NYSE$RPT

Rithm Property Trust Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Great Ajax Corp. announced results for the quarter ended June 30, 2020.

Great Ajax Corp. reported a net income attributable to common stockholders of $6.2 million and basic earnings per common share of $0.27 for the quarter ended June 30, 2020. The company's book value per common share was $15.20 at the end of the quarter, and they held $163.4 million in cash and cash equivalents.

  • Interest income of $23.7 million; net interest income after reversal of provision for credit losses of $15.0 million.
  • Net income attributable to common stockholders of $6.2 million.
  • Basic earnings per common share (“EPS”) of $0.27.
  • Held $163.4 million of cash and cash equivalents at June 30, 2020.

Headline financials

Total Revenue

$10.6M

Previous: $12.7M-16.1%
EPS (adj)

$0.16

Previous: $0.27-40.7%
Capital Expenditures

-$17K

Previous: -$4.6M+99.6%
Free Cash Flow

-$10.2M

Previous: -$14.7M+30.4%
Net Income

$8.08M

Previous: $13M-38.0%
Operating Income

$301K

Previous: $10.6M-97.2%
Gross Profit

$10.5M

Previous: $12.7M-17.6%
Cash & Equivalents

$163M

Previous: $55.7M+193.2%
Total Assets

$1.64B

Previous: $1.53B+7.1%
Stock-Based Comp

$40K

Previous: $864K-95.4%

Revenue & EPS history

Great Ajax · Revenue · Quarterly

$10.6M

Q2 2020-16.1%vs Q2 2019
Beat estimate in 4 of 16 quarters(25%)
ActualEstimate

Revenue by segment

Great Ajax · $23.1M total across 2 segments · Q1 2022

  • Loan Interest Income
    $16.2M-11.0%
  • Earnings from Debt Securities
    $6.87M+15.6%

Forward guidance

Subsequent to the end of the quarter, Great Ajax acquired 239 residential RPLs with aggregate UPB of $45.4 million. The company also priced Ajax Mortgage Loan Trust 2020-B with $97.2 million of AAA-rated senior securities and $17.3 million of A-rated securities issued with respect to $156.5 million of mortgage loans, all of which were RPLs.

Tailwinds

  • Acquired 239 residential RPLs with aggregate UPB of $45.4 million.
  • Priced Ajax Mortgage Loan Trust 2020-B with $97.2 million of AAA-rated senior securities.
  • Priced Ajax Mortgage Loan Trust 2020-B with $17.3 million of A-rated securities issued with respect to $156.5 million of mortgage loans.
  • Weighted average coupon of 1.874% on AAA- and A-rated securities.
  • Cost of funds on securities and mortgage loan repurchase lines of credit decreased materially.

Headwinds

  • Forward-looking statements are subject to inherent uncertainties.
  • Predicting future results and conditions are beyond the control of Great Ajax.
  • Risks relating to the impact of the COVID-19 outbreak.
  • Volatility and disruption in the financial markets caused by the COVID-19 outbreak.
  • Potential material adverse effects on business, financial condition, liquidity and results of operations due to COVID-19.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

-1.0%

Avg return

Earnings day

-0.1%

Avg return

5 days after

-3.0%

Avg return

30 days after

29%

13 / 45 earnings

Positive

+9.2%

Q2 2020

Best reaction

-14.6%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.1%-1.2%+0.1%
Q4 2025-1.8%-1.1%-7.2%
Q3 2025-0.8%+2.4%+15.7%
Q2 2025-1.9%-6.3%+1.1%
Q1 2025+0.0%+3.2%-3.5%
Q4 2024-0.3%+4.8%-7.9%
Q3 2024-1.3%-3.5%-2.9%
Q2 2024-14.0%-11.4%-14.3%
Q1 2024+1.6%+1.8%-9.2%
Q4 2023-14.6%-19.2%-27.7%
Q3 2023+5.4%+8.7%+15.4%
Q2 2023-0.6%-0.7%-1.2%
Q1 2023-7.3%-7.0%-5.3%
Q4 2022-0.3%+1.8%-33.6%
Q3 2022-2.8%-1.6%-5.7%
Q2 2022-6.7%-5.2%-17.7%
Q1 2022-6.0%-5.2%+3.9%
Q4 2021-0.8%-0.7%-10.3%
Q3 2021+2.5%+0.5%-12.1%
Q2 2021+8.4%+10.3%+9.5%
Q1 2021+2.9%+1.4%+3.6%
Q4 2020-5.1%-0.4%+13.7%
Q3 2020+3.9%+20.0%+33.4%
Q2 2020+9.2%+8.7%+1.6%
Q1 2020-5.4%-2.8%+11.7%
Q4 2019-0.1%-2.1%-60.0%
Q3 2019-0.3%+0.8%-2.9%
Q2 2019-0.5%-2.3%+4.1%
Q1 2019-1.8%-0.8%-11.3%
Q4 2018+0.0%+0.6%+2.5%
Q3 2018-0.3%+0.8%-1.2%
Q2 2018+0.8%+1.3%+2.2%
Q1 2018-0.1%-0.1%-1.6%
Q4 2017-1.2%+0.3%-0.3%
Q3 2017-0.6%-0.7%+1.6%
Q2 2017+0.7%+0.4%+1.9%
Q1 2017+1.5%+3.3%+3.8%
Q4 2016+0.8%+0.1%-1.6%
Q3 2016-2.8%-3.0%-7.4%
Q2 2016-0.9%+0.3%-2.1%
Q1 2016+2.1%
Q4 2015-3.2%
Q3 2015+0.7%
Q2 2015-0.1%
Q1 2015-1.4%
Q4 2014
Q3 2014

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