Blackstone Mortgage Trust Reports Fourth-Quarter and Full-Year 2024 Results

Rhea-AI Summary

Blackstone Mortgage Trust (NYSE: BXMT) reported its fourth-quarter and full-year 2024 results, posting a net loss of $204 million for the year. The company's financial metrics show full-year EPS at $(1.17), Distributable EPS at $(0.03), Distributable EPS prior to charge-offs at $2.15, and dividends paid per basic share at $2.18.

CEO Katie Keenan highlighted a positive turning point for BXMT in the quarter, noting successful loan resolutions and accelerated capital deployment. The company has over $2 billion of loans closed or in closing, and maintains a strong balance sheet positioning it to capitalize on real estate credit opportunities in 2025.

Positive

• Over $2 billion in loans closed or in closing, indicating strong deal pipeline
• Maintained dividend payment at $2.18 per share for the year
• Strong balance sheet position reported by management

Negative

• Net loss of $204 million for full-year 2024
• Negative full-year EPS of $(1.17)
• Negative Distributable EPS of $(0.03)

Insights

Financial Analyst

The Q4 and FY2024 results for Blackstone Mortgage Trust reveal a complex financial picture that warrants careful analysis. The significant net loss of $204 million and negative EPS of $(1.17) reflect the challenging commercial real estate environment, particularly in the office sector where valuations have been under pressure.

A critical metric to focus on is the stark difference between Distributable EPS of $(0.03) and Distributable EPS prior to charge-offs of $2.15, indicating substantial loan impairments during the year. This $2.18 spread effectively represents the impact of credit losses on the portfolio. The company's decision to maintain dividend payments at $2.18 per share, despite negative distributable earnings, suggests an aggressive capital return policy that may not be sustainable without improvement in underlying performance.

The announcement of $2 billion in loans closed or in closing represents a significant capital deployment that could help offset portfolio challenges. This acceleration in lending activity, combined with management's emphasis on "attractive relative value," suggests BXMT is finding opportunities in the current market dislocation. However, the sustainability of dividends and potential for additional charge-offs remain key concerns for investors to monitor.

The "meaningful positive inflection point" highlighted by management will need to be validated through improved credit performance and sustainable earnings generation in 2025. The global scale and balance sheet strength mentioned could provide competitive advantages in navigating market challenges, but execution in loan origination and credit management will be important for restoring profitability.

NEW YORK--(BUSINESS WIRE)-- Blackstone Mortgage Trust, Inc. (NYSE: BXMT) today reported its fourth-quarter and full-year 2024 results. The net loss attributable to Blackstone Mortgage Trust for the year was $204 million. Full year EPS, Distributable EPS, Distributable EPS prior to charge-offs, and dividends paid per basic share were $(1.17), $(0.03), $2.15, and $2.18 respectively.

Katie Keenan, Chief Executive Officer, said, “This quarter marked a meaningful positive inflection point for BXMT, with loan resolutions and accelerating capital deployment establishing a foundation for growth in 2025. With over $2 billion of loans closed or in closing, global scale, and a strong balance sheet, BXMT is well-positioned to capture attractive relative value across an expanding pipeline of real estate credit opportunities.”

Blackstone Mortgage Trust issued a full presentation of its fourth-quarter and full-year 2024 results, which can be viewed at www.bxmt.com. An updated investor presentation may also be viewed on the website.

Quarterly Investor Call Details

Blackstone Mortgage Trust will host a conference call today at 9:00 a.m. ET to discuss results. To register for the webcast, please use the following link: https://event.webcasts.com/starthere.jsp?ei=1703525&tp_key=589226bf3d. For those unable to listen to the live broadcast, a recorded replay will be available on the company's website at www.bxmt.com beginning approximately two hours after the event.

About Blackstone Mortgage Trust

Blackstone Mortgage Trust (NYSE: BXMT) is a real estate finance company that primarily originates senior loans collateralized by commercial real estate in North America, Europe, and Australia, and invests in other real estate credit investments. Our investment objective is to preserve and protect shareholder capital while producing attractive risk-adjusted returns primarily through dividends generated from current income. Our portfolio is composed primarily of loans secured by high-quality, institutional assets in major markets, sponsored by experienced, well-capitalized real estate investment owners and operators. These loans are financed in a variety of ways, depending on our view of the most prudent strategy available for each of our investments. We are externally managed by BXMT Advisors L.L.C., a subsidiary of Blackstone. Further information is available at www.bxmt.com.

About Blackstone

Blackstone is the world’s largest alternative asset manager. We seek to deliver compelling returns for institutional and individual investors by strengthening the companies in which we invest. Our more than $1.1 trillion in assets under management include global investment strategies focused on real estate, private equity, infrastructure, life sciences, growth equity, credit, real assets, secondaries and hedge funds. Further information is available at www.blackstone.com. Follow @blackstone on LinkedIn, X (Twitter), and Instagram.

Forward-Looking Statements and Other Matters

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect BXMT’s current views with respect to, among other things, its operations and financial performance, its business plans and the impact of the current macroeconomic environment, including interest rate changes. You can identify these forward-looking statements by the use of words such as “outlook,” “objective,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. BXMT believes these factors include but are not limited to those described under the section entitled “Risk Factors” in its Annual Report on Form 10-K for the fiscal year ended December 31, 2024, as such factors may be updated from time to time in its periodic filings with the Securities and Exchange Commission (“SEC”) which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in the filings. BXMT assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events or circumstances.

We refer to “Distributable EPS” and “Distributable EPS prior to charge-offs,” which are non-GAAP financial measures, in this press release. A reconciliation to net income (loss) attributable to Blackstone Mortgage Trust, the most directly comparable GAAP measure, is included in our full detailed presentation of fourth-quarter and full-year 2024 results and is available on our website at www.bxmt.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250212574966/en/

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Source: Blackstone Mortgage Trust, Inc.

FAQ

What was Blackstone Mortgage Trust's (BXMT) net loss for full-year 2024?

Blackstone Mortgage Trust reported a net loss of $204 million for full-year 2024.

What was BXMT's dividend payment per share in 2024?

BXMT paid dividends of $2.18 per basic share in 2024.

How much in loans does BXMT have closed or in closing as of Q4 2024?

BXMT reported over $2 billion of loans closed or in closing.

What was Blackstone Mortgage Trust's (BXMT) Distributable EPS for 2024?

BXMT's Distributable EPS for 2024 was $(0.03), while Distributable EPS prior to charge-offs was $2.15.

What was BXMT's full-year EPS for 2024?

BXMT's full-year EPS for 2024 was $(1.17).