Orchid Island Capital Announces Estimated Second Quarter 2024 Results, July 2024 Monthly Dividend and June 30, 2024 RMBS Portfolio Characteristics
Orchid Island Capital (NYSE: ORC) has announced its estimated results for Q2 2024, a monthly dividend for July 2024, and the characteristics of its RMBS portfolio as of June 30, 2024.
The company declared a monthly dividend of $0.12 per share, payable on August 29, 2024, to shareholders on record as of July 31, 2024. The estimated book value per share was $8.58 as of June 30, 2024, with a total stockholders' equity of approximately $555.9 million and 64,824,374 shares outstanding.
ORC reported an estimated GAAP net loss of $0.09 per share for Q2 2024, including $0.1 million in net realized and unrealized gains on RMBS and derivative instruments. The estimated total return on equity for the quarter was (2.0)%, reflecting dividends per share of $0.36 and a book value decrease of $0.54 per share.
The company will announce its next dividend on August 14, 2024. As a REIT, ORC must distribute 90% of its taxable income annually to maintain its status. These figures are preliminary and subject to change upon review by the company's independent auditors.
- Declared monthly dividend of $0.12 per share for July 2024.
- Estimated book value per share of $8.58 as of June 30, 2024.
- Estimated GAAP net loss of $0.09 per share for Q2 2024.
- Estimated total return on equity of (2.0)% for Q2 2024.
Insights
Orchid Island Capital's recent announcement provides several key figures that are pertinent to investors, particularly their estimated book value per share of
Furthermore, the net loss per share suggests that the company is currently operating at a loss, which might concern investors seeking stable or growing returns. This loss, combined with a
Understanding the company's dividend strategy is also crucial. As a REIT, Orchid Island is required to distribute at least
The announcement from Orchid Island Capital encompasses several critical aspects for market analysis. The stability in their dividend payout of
For the retail investor, the shift in the number of shares outstanding—from
The RMBS portfolio characteristics and valuation metrics provide a background for the company's asset management strategies. Investors should be aware of potential valuation volatility in these instruments, which can affect overall company performance.
-
July 2024 Monthly Dividend of
$0.12 -
Estimated Book Value Per Share as of June 30, 2024 of
$8.58 -
Estimated GAAP net loss of
$0.09 $0.1 million - Estimated (2.0)% total return on equity for the quarter ended June 30, 2024
- Estimated book value, net loss and total return on equity amounts are preliminary, subject to change, and subject to review by the Company’s independent registered public accounting firm
- RMBS Portfolio Characteristics as of June 30, 2024
- Next Dividend Announcement Expected August 14, 2024
The Company intends to make regular monthly cash distributions to its holders of common stock. In order to qualify as a real estate investment trust (“REIT”), the Company must distribute annually to its stockholders an amount at least equal to
As of July 10, 2024, the Company had 66,849,374 shares of common stock outstanding. As of June 30, 2024, the Company had 64,824,374 shares of common stock outstanding. As of March 31, 2024, the Company had 52,826,169 shares of common stock outstanding.
Estimated June 30, 2024 Book Value Per Share
The Company’s estimated book value per share as of June 30, 2024 was
Estimated Net Loss Per Share and Realized and Unrealized Gains and Losses on RMBS and Derivative Instruments
The Company estimates it generated a net loss per share of
Estimated Total Return on Equity
The Company’s estimated total return on equity for the quarter ended June 30, 2024 was (2.0)%. The Company calculates total return on equity as the sum of dividends declared and paid during the quarter plus changes in book value during the quarter, divided by the Company’s stockholders’ equity at the beginning of the quarter. The total return was
RMBS Portfolio Characteristics
Details of the RMBS portfolio as of June 30, 2024 are presented below. These figures are preliminary and subject to change and, with respect to figures that will appear in the Company's financial statements and associated footnotes as of and for the quarter ended June 30, 2024, are subject to review by the Company's independent registered public accounting firm:
- RMBS Valuation Characteristics
- RMBS Assets by Agency
- Investment Company Act of 1940 (Whole Pool) Test Results
- Repurchase Agreement Exposure by Counterparty
- RMBS Risk Measures
About Orchid Island Capital, Inc.
Orchid Island Capital, Inc. is a specialty finance company that invests on a leveraged basis in Agency RMBS. Our investment strategy focuses on, and our portfolio consists of, two categories of Agency RMBS: (i) traditional pass-through Agency RMBS, such as mortgage pass-through certificates and collateralized mortgage obligations issued by Fannie Mae, Freddie Mac or Ginnie Mae, and (ii) structured Agency RMBS. The Company is managed by Bimini Advisors, LLC, a registered investment adviser with the Securities and Exchange Commission.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These forward-looking statements include, but are not limited to, statements about the Company’s distributions. These forward-looking statements are based upon Orchid Island Capital, Inc.’s present expectations, but these statements are not guaranteed to occur. Investors should not place undue reliance upon forward-looking statements. For further discussion of the factors that could affect outcomes, please refer to the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023.
RMBS Valuation Characteristics |
||||||||||||||||||||||||||||||||||||||||||||||||
($ in thousands) |
||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Realized |
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Realized |
|
|
Apr-24 - |
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Jun-24 |
|
|
Jun-24 |
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net |
|
|
|
|
|
|
|
|
|
|
Weighted |
|
|
CPR |
|
|
CPR |
|
|
|
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted |
|
|
|
|
|
|
|
|
|
|
Average |
|
|
(1-Month) |
|
|
(3-Month) |
|
|
Modeled Interest |
|
|||||||||
|
|
Current |
|
|
Fair |
|
|
% of |
|
|
Current |
|
|
Average |
|
|
|
|
|
|
|
|
|
|
Maturity |
|
|
(Reported |
|
|
(Reported |
|
|
Rate Sensitivity (1) |
|
|||||||||||||
Type |
|
Face |
|
|
Value |
|
|
Portfolio |
|
|
Price |
|
|
Coupon |
|
|
GWAC |
|
|
Age |
|
|
(Months) |
|
|
in July) |
|
|
in July) |
|
|
(-50 BPS) |
|
|
(+50 BPS) |
|
||||||||||||
Fixed Rate RMBS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
30yr 3.0 |
|
$ |
1,344,063 |
|
|
$ |
1,163,056 |
|
|
|
25.70 |
% |
|
|
86.53 |
|
|
|
3.00 |
% |
|
|
3.46 |
% |
|
|
39 |
|
|
|
315 |
|
|
|
5.4 |
% |
|
|
5.5 |
% |
|
$ |
36,664 |
|
|
$ |
(37,298 |
) |
30yr 3.5 |
|
|
185,861 |
|
|
|
167,726 |
|
|
|
3.71 |
% |
|
|
90.24 |
|
|
|
3.50 |
% |
|
|
4.04 |
% |
|
|
52 |
|
|
|
296 |
|
|
|
9.8 |
% |
|
|
8.6 |
% |
|
|
4,725 |
|
|
|
(4,792 |
) |
30yr 4.0 |
|
|
545,532 |
|
|
|
502,031 |
|
|
|
11.09 |
% |
|
|
92.03 |
|
|
|
4.00 |
% |
|
|
4.78 |
% |
|
|
29 |
|
|
|
327 |
|
|
|
4.8 |
% |
|
|
4.3 |
% |
|
|
12,984 |
|
|
|
(13,772 |
) |
30yr 4.5 |
|
|
322,297 |
|
|
|
305,678 |
|
|
|
6.75 |
% |
|
|
94.84 |
|
|
|
4.50 |
% |
|
|
5.45 |
% |
|
|
24 |
|
|
|
333 |
|
|
|
15.3 |
% |
|
|
13.0 |
% |
|
|
6,432 |
|
|
|
(6,940 |
) |
30yr 5.0 |
|
|
533,332 |
|
|
|
517,506 |
|
|
|
11.43 |
% |
|
|
97.03 |
|
|
|
5.00 |
% |
|
|
5.93 |
% |
|
|
22 |
|
|
|
334 |
|
|
|
15.8 |
% |
|
|
9.5 |
% |
|
|
10,381 |
|
|
|
(11,385 |
) |
30yr 5.5 |
|
|
263,728 |
|
|
|
262,431 |
|
|
|
5.80 |
% |
|
|
99.51 |
|
|
|
5.50 |
% |
|
|
6.43 |
% |
|
|
15 |
|
|
|
342 |
|
|
|
2.9 |
% |
|
|
6.7 |
% |
|
|
4,731 |
|
|
|
(5,306 |
) |
30yr 6.0 |
|
|
617,207 |
|
|
|
622,737 |
|
|
|
13.76 |
% |
|
|
100.90 |
|
|
|
6.00 |
% |
|
|
6.98 |
% |
|
|
11 |
|
|
|
344 |
|
|
|
6.9 |
% |
|
|
11.5 |
% |
|
|
8,768 |
|
|
|
(10,054 |
) |
30yr 6.5 |
|
|
620,611 |
|
|
|
635,540 |
|
|
|
14.04 |
% |
|
|
102.41 |
|
|
|
6.50 |
% |
|
|
7.42 |
% |
|
|
8 |
|
|
|
350 |
|
|
|
9.4 |
% |
|
|
7.2 |
% |
|
|
6,818 |
|
|
|
(8,068 |
) |
30yr 7.0 |
|
|
320,972 |
|
|
|
332,378 |
|
|
|
7.34 |
% |
|
|
103.55 |
|
|
|
7.00 |
% |
|
|
7.95 |
% |
|
|
8 |
|
|
|
347 |
|
|
|
12.4 |
% |
|
|
12.4 |
% |
|
|
2,780 |
|
|
|
(3,359 |
) |
30yr Total |
|
|
4,753,603 |
|
|
|
4,509,083 |
|
|
|
99.63 |
% |
|
|
94.86 |
|
|
|
4.72 |
% |
|
|
5.49 |
% |
|
|
24 |
|
|
|
331 |
|
|
|
8.4 |
% |
|
|
7.6 |
% |
|
|
94,283 |
|
|
|
(100,974 |
) |
Total Pass Through RMBS |
|
|
4,753,603 |
|
|
|
4,509,083 |
|
|
|
99.63 |
% |
|
|
94.86 |
|
|
|
4.72 |
% |
|
|
5.49 |
% |
|
|
24 |
|
|
|
331 |
|
|
|
8.4 |
% |
|
|
7.6 |
% |
|
|
94,283 |
|
|
|
(100,974 |
) |
Structured RMBS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IO 20yr 4.0 |
|
|
7,890 |
|
|
|
763 |
|
|
|
0.02 |
% |
|
|
9.67 |
|
|
|
4.00 |
% |
|
|
4.57 |
% |
|
|
150 |
|
|
|
84 |
|
|
|
11.0 |
% |
|
|
10.4 |
% |
|
|
4 |
|
|
|
(3 |
) |
IO 30yr 3.0 |
|
|
2,722 |
|
|
|
373 |
|
|
|
0.01 |
% |
|
|
13.70 |
|
|
|
3.00 |
% |
|
|
3.64 |
% |
|
|
113 |
|
|
|
237 |
|
|
|
0.7 |
% |
|
|
6.9 |
% |
|
|
1 |
|
|
|
(1 |
) |
IO 30yr 4.0 |
|
|
76,265 |
|
|
|
14,285 |
|
|
|
0.32 |
% |
|
|
18.73 |
|
|
|
4.00 |
% |
|
|
4.60 |
% |
|
|
118 |
|
|
|
233 |
|
|
|
9.3 |
% |
|
|
7.9 |
% |
|
|
(193 |
) |
|
|
173 |
|
IO 30yr 4.5 |
|
|
3,302 |
|
|
|
642 |
|
|
|
0.01 |
% |
|
|
19.45 |
|
|
|
4.50 |
% |
|
|
4.99 |
% |
|
|
168 |
|
|
|
178 |
|
|
|
3.2 |
% |
|
|
5.0 |
% |
|
|
(2 |
) |
|
|
1 |
|
IO 30yr 5.0 |
|
|
1,827 |
|
|
|
384 |
|
|
|
0.01 |
% |
|
|
21.04 |
|
|
|
5.00 |
% |
|
|
5.36 |
% |
|
|
168 |
|
|
|
180 |
|
|
|
31.3 |
% |
|
|
12.3 |
% |
|
|
(3 |
) |
|
|
2 |
|
IO Total |
|
|
92,006 |
|
|
|
16,447 |
|
|
|
0.36 |
% |
|
|
17.88 |
|
|
|
4.01 |
% |
|
|
4.60 |
% |
|
|
123 |
|
|
|
217 |
|
|
|
9.4 |
% |
|
|
8.1 |
% |
|
|
(193 |
) |
|
|
172 |
|
IIO 30yr 4.0 |
|
|
25,049 |
|
|
|
224 |
|
|
|
0.00 |
% |
|
|
0.90 |
|
|
|
0.00 |
% |
|
|
4.40 |
% |
|
|
81 |
|
|
|
267 |
|
|
|
7.8 |
% |
|
|
3.3 |
% |
|
|
79 |
|
|
|
(62 |
) |
Total Structured RMBS |
|
|
117,055 |
|
|
|
16,671 |
|
|
|
0.37 |
% |
|
|
14.24 |
|
|
|
3.15 |
% |
|
|
4.55 |
% |
|
|
114 |
|
|
|
228 |
|
|
|
9.0 |
% |
|
|
7.1 |
% |
|
|
(114 |
) |
|
|
110 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Mortgage Assets |
|
$ |
4,870,658 |
|
|
$ |
4,525,754 |
|
|
|
100.00 |
% |
|
|
|
|
|
|
4.68 |
% |
|
|
5.47 |
% |
|
|
26 |
|
|
|
329 |
|
|
|
8.4 |
% |
|
|
7.6 |
% |
|
$ |
94,169 |
|
|
$ |
(100,864 |
) |
|
|
Average |
|
Hedge |
|
Modeled Interest |
|
||||||
|
|
Notional |
|
Period |
|
Rate Sensitivity (1) |
|
||||||
Hedge |
|
Balance |
|
End |
|
(-50 BPS) |
|
|
(+50 BPS) |
|
|||
3-Month SOFR Futures |
|
$ |
(100,000 |
) |
Mar-26 |
|
$ |
(750 |
) |
|
$ |
750 |
|
5-Year Treasury Future(2) |
|
|
(421,500 |
) |
Sep-24 |
|
|
(8,616 |
) |
|
|
8,353 |
|
Swaps |
|
|
(3,136,800 |
) |
Jul-30 |
|
|
(80,573 |
) |
|
|
77,666 |
|
TBA |
|
|
(400,000 |
) |
Jul-24 |
|
|
(11,206 |
) |
|
|
11,479 |
|
Swaptions |
|
|
(9,400 |
) |
Sep-24 |
|
|
(83 |
) |
|
|
53 |
|
Hedge Total |
|
$ |
(4,067,700 |
) |
|
|
$ |
(101,228 |
) |
|
$ |
98,301 |
|
Rate Shock Grand Total |
|
|
|
|
|
|
$ |
(7,059 |
) |
|
$ |
(2,563 |
) |
(1) |
Modeled results from Citigroup Global Markets Inc. Yield Book. Interest rate shocks assume instantaneous parallel shifts and horizon prices are calculated assuming constant SOFR option-adjusted spreads. These results are for illustrative purposes only and actual results may differ materially. |
|
(2) |
Five-year Treasury futures contracts were valued at prices of |
RMBS Assets by Agency |
|
|
|
|
|
|
|
|
($ in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Percentage |
|
|
|
|
Fair |
|
|
of |
|
||
Asset Category |
|
Value |
|
|
Portfolio |
|
||
As of June 30, 2024 |
|
|
|
|
|
|
|
|
Fannie Mae |
|
$ |
2,906,690 |
|
|
|
64.2 |
% |
Freddie Mac |
|
|
1,619,064 |
|
|
|
35.8 |
% |
Total Mortgage Assets |
|
$ |
4,525,754 |
|
|
|
100.0 |
% |
Investment Company Act of 1940 Whole Pool Test |
|
|||||||
($ in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Percentage |
|
|
|
|
Fair |
|
|
of |
|
||
Asset Category |
|
Value |
|
|
Portfolio |
|
||
As of June 30, 2024 |
|
|
|
|
|
|
|
|
Non-Whole Pool Assets |
|
$ |
133,303 |
|
|
|
2.9 |
% |
Whole Pool Assets |
|
|
4,392,451 |
|
|
|
97.1 |
% |
Total Mortgage Assets |
|
$ |
4,525,754 |
|
|
|
100.0 |
% |
Borrowings By Counterparty |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
($ in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted |
|
|
Weighted |
|
|
||
|
|
|
|
|
|
% of |
|
|
Average |
|
|
Average |
|
|
|||
|
|
Total |
|
|
Total |
|
|
Repo |
|
|
Maturity |
|
Longest |
||||
As of June 30, 2024 |
|
Borrowings |
|
|
Debt |
|
|
Rate |
|
|
in Days |
|
Maturity |
||||
ABN AMRO Bank N.V. |
|
$ |
292,120 |
|
|
|
6.7 |
% |
|
|
5.45 |
% |
|
|
40 |
|
8/29/2024 |
DV Securities, LLC Repo |
|
|
276,688 |
|
|
|
6.4 |
% |
|
|
5.45 |
% |
|
|
28 |
|
9/27/2024 |
Mitsubishi UFJ Securities ( |
|
|
264,103 |
|
|
|
6.1 |
% |
|
|
5.47 |
% |
|
|
33 |
|
8/29/2024 |
J.P. Morgan Securities LLC |
|
|
248,837 |
|
|
|
5.7 |
% |
|
|
5.46 |
% |
|
|
8 |
|
7/24/2024 |
Wells Fargo Bank, N.A. |
|
|
245,795 |
|
|
|
5.7 |
% |
|
|
5.46 |
% |
|
|
14 |
|
7/15/2024 |
Banco Santander SA |
|
|
244,119 |
|
|
|
5.6 |
% |
|
|
5.47 |
% |
|
|
36 |
|
8/19/2024 |
Citigroup Global Markets Inc |
|
|
243,766 |
|
|
|
5.6 |
% |
|
|
5.45 |
% |
|
|
22 |
|
7/24/2024 |
Cantor Fitzgerald & Co |
|
|
240,022 |
|
|
|
5.5 |
% |
|
|
5.45 |
% |
|
|
15 |
|
7/15/2024 |
RBC Capital Markets, LLC |
|
|
230,733 |
|
|
|
5.3 |
% |
|
|
5.47 |
% |
|
|
15 |
|
7/15/2024 |
Marex Capital Markets Inc. |
|
|
220,831 |
|
|
|
5.1 |
% |
|
|
5.45 |
% |
|
|
50 |
|
8/19/2024 |
ASL Capital Markets Inc. |
|
|
213,654 |
|
|
|
4.9 |
% |
|
|
5.44 |
% |
|
|
17 |
|
7/29/2024 |
Goldman, Sachs & Co |
|
|
207,923 |
|
|
|
4.8 |
% |
|
|
5.46 |
% |
|
|
15 |
|
7/15/2024 |
Bank of Montreal |
|
|
206,039 |
|
|
|
4.7 |
% |
|
|
5.47 |
% |
|
|
15 |
|
7/15/2024 |
Clear Street LLC |
|
|
190,252 |
|
|
|
4.4 |
% |
|
|
5.46 |
% |
|
|
40 |
|
9/20/2024 |
Mirae Asset Securities ( |
|
|
189,247 |
|
|
|
4.4 |
% |
|
|
5.47 |
% |
|
|
64 |
|
9/18/2024 |
Merrill Lynch, Pierce, Fenner & Smith |
|
|
187,004 |
|
|
|
4.3 |
% |
|
|
5.48 |
% |
|
|
15 |
|
7/29/2024 |
Daiwa Securities America Inc. |
|
|
169,261 |
|
|
|
3.9 |
% |
|
|
5.47 |
% |
|
|
54 |
|
8/23/2024 |
StoneX Financial Inc. |
|
|
159,516 |
|
|
|
3.7 |
% |
|
|
5.46 |
% |
|
|
16 |
|
7/16/2024 |
South Street Securities, LLC |
|
|
150,210 |
|
|
|
3.5 |
% |
|
|
5.46 |
% |
|
|
65 |
|
9/24/2024 |
ING Financial Markets LLC |
|
|
124,998 |
|
|
|
2.9 |
% |
|
|
5.47 |
% |
|
|
32 |
|
8/1/2024 |
Lucid Prime Fund, LLC |
|
|
23,454 |
|
|
|
0.5 |
% |
|
|
5.46 |
% |
|
|
18 |
|
7/18/2024 |
Lucid Cash Fund USG LLC |
|
|
17,132 |
|
|
|
0.4 |
% |
|
|
5.47 |
% |
|
|
18 |
|
7/18/2024 |
Total Borrowings |
|
$ |
4,345,704 |
|
|
|
100.0 |
% |
|
|
5.46 |
% |
|
|
29 |
|
9/27/2024 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240710332037/en/
Orchid Island Capital, Inc.
Robert E. Cauley
Telephone: (772) 231-1400
Source: Orchid Island Capital, Inc.
FAQ
What is the July 2024 dividend for Orchid Island Capital (ORC)?
What is the estimated book value per share of Orchid Island Capital (ORC) as of June 30, 2024?
What was the estimated GAAP net loss per share for Orchid Island Capital (ORC) in Q2 2024?
What was the estimated total return on equity for Orchid Island Capital (ORC) in Q2 2024?
How many shares of common stock did Orchid Island Capital (ORC) have outstanding as of June 30, 2024?
