Orchid Island Capital Announces June 2021 Monthly Dividend and May 31, 2021 RMBS Portfolio Characteristics
Orchid Island Capital (NYSE: ORC) has declared a monthly cash dividend of $0.065 per share for June 2021, payable on July 28, 2021, to stockholders on record as of June 30, 2021. The ex-dividend date is set for June 29, 2021. This dividend announcement aligns with the Company’s strategy to make regular monthly distributions to common stockholders, essential for maintaining its status as a Real Estate Investment Trust (REIT). As of June 15, 2021, there are 107,413,793 shares outstanding.
- Regular monthly cash dividends support shareholder income.
- Recent dividend declaration reflects company confidence in cash flow.
- No assurance of future distributions could impact investor confidence.
- The company has not established a minimum distribution level.
Orchid Island Capital, Inc. (the “Company”) (NYSE: ORC) announced today that the Board of Directors (the “Board”) declared a monthly cash dividend for the month of June 2021. The dividend of
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 June 15, 2021, the Company had 107,413,793 shares of common stock outstanding. As of May 31, 2021, the Company had 101,340,113 shares of common stock outstanding. As of March 31, 2021, the Company had 94,410,960 shares of common stock outstanding.
RMBS Portfolio Characteristics
Details of the RMBS portfolio as of May 31, 2021 are presented below. These figures are preliminary and subject to change. The information contained herein is an intra-quarter update created by the Company based upon information that the Company believes is accurate:
- 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, 2020.
RMBS Valuation Characteristics |
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($ in thousands) |
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Realized |
Realized |
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May 2021 |
Mar - May |
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Modeled |
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Modeled |
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Net |
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Weighted |
CPR |
2021 CPR |
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Interest |
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Interest |
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% |
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Weighted |
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Average |
(1-Month) |
(3-Month) |
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Rate |
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Rate |
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Current |
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Fair |
of |
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Current |
Average |
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Maturity |
(Reported |
(Reported |
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Sensitivity |
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Sensitivity |
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Type |
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Face |
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Value |
Portfolio |
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Price |
Coupon |
GWAC |
Age |
(Months) |
in Jun) |
in Jun) |
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(-50 BPS)(1) |
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(+50 BPS)(1) |
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Pass Through RMBS |
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15yr 2.5 |
$ |
232,960 |
|
$ |
246,395 |
5.72 |
% |
$ |
105.77 |
2.50 |
% |
2.87 |
% |
5 |
171 |
2.97 |
% |
3.37 |
% |
$ |
4,019 |
|
$ |
(4,735 |
) |
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15yr 4.0 |
|
603 |
|
|
655 |
0.02 |
% |
|
108.59 |
4.00 |
% |
4.50 |
% |
37 |
119 |
8.06 |
% |
8.17 |
% |
|
7 |
|
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(8 |
) |
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15yr Total |
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233,563 |
|
|
247,050 |
5.73 |
% |
|
105.77 |
2.50 |
% |
2.88 |
% |
6 |
171 |
2.98 |
% |
3.39 |
% |
|
4,026 |
|
|
(4,743 |
) |
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20yr 2.0 |
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147,148 |
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|
150,167 |
3.48 |
% |
|
102.05 |
2.00 |
% |
2.87 |
% |
5 |
235 |
3.55 |
% |
3.15 |
% |
|
2,439 |
|
|
(3,396 |
) |
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20yr Total |
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147,148 |
|
|
150,167 |
3.48 |
% |
|
102.05 |
2.00 |
% |
2.87 |
% |
5 |
235 |
3.55 |
% |
3.15 |
% |
|
2,439 |
|
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(3,396 |
) |
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30yr 2.5 |
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677,061 |
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|
703,866 |
16.33 |
% |
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103.96 |
2.50 |
% |
3.46 |
% |
7 |
350 |
10.58 |
% |
8.89 |
% |
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12,401 |
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(18,114 |
) |
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30yr 3.0 |
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2,182,017 |
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2,332,316 |
54.12 |
% |
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106.89 |
3.00 |
% |
3.50 |
% |
5 |
353 |
6.30 |
% |
6.75 |
% |
|
46,400 |
|
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(60,708 |
) |
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30yr 3.5 |
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577,397 |
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|
628,169 |
14.57 |
% |
|
108.79 |
3.50 |
% |
4.00 |
% |
18 |
336 |
16.89 |
% |
21.74 |
% |
|
10,550 |
|
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(14,259 |
) |
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30yr 4.0 |
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50,022 |
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55,108 |
1.28 |
% |
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110.17 |
4.00 |
% |
4.63 |
% |
60 |
294 |
18.78 |
% |
27.75 |
% |
|
1,098 |
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(1,201 |
) |
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30yr 4.5 |
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81,625 |
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90,816 |
2.11 |
% |
|
111.26 |
4.50 |
% |
5.00 |
% |
24 |
332 |
26.63 |
% |
31.17 |
% |
|
1,181 |
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(1,551 |
) |
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30yr Total |
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3,568,122 |
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3,810,275 |
88.41 |
% |
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106.79 |
3.03 |
% |
3.63 |
% |
9 |
348 |
9.47 |
% |
11.19 |
% |
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71,630 |
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(95,833 |
) |
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Total Pass Through RMBS |
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3,948,833 |
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4,207,492 |
97.62 |
% |
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106.55 |
2.96 |
% |
3.55 |
% |
9 |
334 |
8.86 |
% |
10.27 |
% |
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78,095 |
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(103,972 |
) |
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Structured RMBS |
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Interest-Only Securities |
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628,945 |
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98,447 |
2.28 |
% |
|
15.65 |
3.63 |
% |
4.19 |
% |
57 |
291 |
24.24 |
% |
40.44 |
% |
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(6,964 |
) |
|
5,768 |
|
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Inverse Interest-Only Securities |
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57,112 |
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3,975 |
0.09 |
% |
|
6.96 |
3.79 |
% |
4.40 |
% |
45 |
308 |
15.28 |
% |
39.07 |
% |
|
(221 |
) |
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(187 |
) |
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Total Structured RMBS |
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686,057 |
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102,422 |
2.38 |
% |
|
14.93 |
3.64 |
% |
4.21 |
% |
56 |
292 |
23.49 |
% |
40.14 |
% |
|
(7,185 |
) |
|
5,581 |
|
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Total Mortgage Assets |
$ |
4,634,890 |
|
$ |
4,309,914 |
100.00 |
% |
|
|
3.06 |
% |
3.65 |
% |
16 |
328 |
11.03 |
% |
12.50 |
% |
$ |
70,910 |
|
$ |
(98,391 |
) |
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Interest |
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Interest |
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Average |
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Hedge |
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Rate |
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Rate |
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Notional |
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Period |
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Sensitivity |
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Sensitivity |
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Hedge |
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Balance |
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End |
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(-50 BPS)(1) |
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(+50 BPS)(1) |
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Eurodollar Futures |
$ |
(50,000 |
) |
|
Dec-2021 |
|
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|
|
|
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|
|
$ |
(125 |
) |
$ |
125 |
|
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Swaps |
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(1,355,000 |
) |
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Dec-2026 |
|
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(38,961 |
) |
|
38,961 |
|
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5-Year Treasury Future |
|
(269,000 |
) |
|
Sep-2021(2) |
|
|
|
|
|
|
|
|
|
|
(8,599 |
) |
|
8,532 |
|
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10-Year Treasury Ultra |
|
(23,500 |
) |
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Sep-2021(3) |
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|
|
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|
|
|
(2,509 |
) |
|
1,987 |
|
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TBA |
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(400,000 |
) |
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Jun-2021 |
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(5,619 |
) |
|
8,688 |
|
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Swaptions |
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(244,350 |
) |
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May-2022 |
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|
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|
|
|
|
(7,188 |
) |
|
6,301 |
|
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Yield Curve Spread Floor |
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(150,000 |
) |
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Feb-2023 |
|
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n/a |
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n/a |
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Hedge Total |
$ |
(2,491,850 |
) |
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|
|
$ |
(63,001 |
) |
$ |
64,594 |
|
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Rate Shock Grand Total |
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|
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|
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|
$ |
7,909 |
|
$ |
(33,797 |
) |
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(1) |
Modeled results from Citigroup Global Markets Inc. Yield Book. Interest rate shocks assume instantaneous parallel shifts and horizon prices are calculated assuming constant LIBOR option-adjusted spreads. These results are for illustrative purposes only and actual results may differ materially. |
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(2) |
Five-year Treasury futures contracts were valued at prices of |
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(3) |
Ten-year Treasury Ultra futures contracts were valued at prices of |
RMBS Assets by Agency |
|
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Investment Company Act of 1940 Whole Pool Test |
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($ in thousands) |
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($ in thousands) |
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Percentage |
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Percentage |
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Fair |
of |
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Fair |
of |
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Asset Category |
|
Value |
Portfolio |
|
Asset Category |
|
Value |
Portfolio |
||
As of May 31, 2021 |
|
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|
|
As of May 31, 2021 |
|
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|
||
Fannie Mae |
$ |
3,396,877 |
78.8 |
% |
|
Non-Whole Pool Assets |
$ |
342,197 |
7.9 |
% |
Freddie Mac |
|
913,037 |
21.2 |
% |
|
Whole Pool Assets |
|
3,967,717 |
92.1 |
% |
Total Mortgage Assets |
$ |
4,309,914 |
100.0 |
% |
|
Total Mortgage Assets |
$ |
4,309,914 |
100.0 |
% |
Borrowings By Counterparty |
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($ in thousands) |
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Weighted |
Weighted |
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% of |
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Average |
Average |
|
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Total |
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Total |
|
Repo |
Maturity |
Longest |
||||
As of May 31, 2021 |
|
Borrowings |
|
Debt |
|
Rate |
in Days |
Maturity |
||||
Wells Fargo Bank, N.A. |
$ |
379,933 |
|
9.2 |
% |
|
0.11 |
% |
34 |
7/12/2021 |
||
Mirae Asset Securities (USA) Inc. |
|
368,505 |
|
8.9 |
% |
|
0.14 |
% |
61 |
8/13/2021 |
||
Mitsubishi UFJ Securities (USA), Inc. |
|
353,215 |
|
8.5 |
% |
|
0.18 |
% |
44 |
7/26/2021 |
||
J.P. Morgan Securities LLC |
|
345,507 |
|
8.4 |
% |
|
0.18 |
% |
91 |
9/7/2021 |
||
ASL Capital Markets Inc. |
|
342,467 |
|
8.3 |
% |
|
0.11 |
% |
49 |
8/26/2021 |
||
RBC Capital Markets, LLC |
|
295,929 |
|
7.2 |
% |
|
0.11 |
% |
63 |
8/12/2021 |
||
Cantor Fitzgerald & Co. |
|
225,653 |
|
5.5 |
% |
|
0.12 |
% |
62 |
8/19/2021 |
||
ABN AMRO Bank N.V. |
|
224,818 |
|
5.4 |
% |
|
0.15 |
% |
30 |
7/12/2021 |
||
ED&F Man Capital Markets Inc. |
|
204,081 |
|
4.9 |
% |
|
0.15 |
% |
54 |
8/19/2021 |
||
Nomura Securities International, Inc. |
|
201,930 |
|
4.9 |
% |
|
0.11 |
% |
41 |
7/23/2021 |
||
Citigroup Global Markets Inc. |
|
197,170 |
|
4.8 |
% |
|
0.12 |
% |
42 |
7/12/2021 |
||
ING Financial Markets LLC |
|
175,835 |
|
4.3 |
% |
|
0.12 |
% |
44 |
8/11/2021 |
||
Barclays Capital Inc. |
|
150,511 |
|
3.6 |
% |
|
0.12 |
% |
42 |
7/12/2021 |
||
Merrill Lynch, Pierce, Fenner & Smith |
|
141,669 |
|
3.4 |
% |
|
0.15 |
% |
43 |
7/14/2021 |
||
South Street Securities, LLC |
|
98,634 |
|
2.4 |
% |
|
0.14 |
% |
96 |
10/8/2021 |
||
Goldman, Sachs & Co. LLC |
|
96,703 |
|
2.3 |
% |
|
0.10 |
% |
47 |
7/19/2021 |
||
Daiwa Capital Markets America Inc. |
|
96,139 |
|
2.3 |
% |
|
0.12 |
% |
68 |
8/12/2021 |
||
BMO Capital Markets Corp. |
|
89,396 |
|
2.2 |
% |
|
0.13 |
% |
44 |
7/14/2021 |
||
Lucid Cash Fund USG LLC |
|
62,469 |
|
1.5 |
% |
|
0.14 |
% |
10 |
6/10/2021 |
||
Austin Atlantic Asset Management Co. |
|
48,931 |
|
1.2 |
% |
|
0.16 |
% |
3 |
6/3/2021 |
||
J.V.B. Financial Group, LLC |
|
32,945 |
|
0.8 |
% |
|
0.11 |
% |
54 |
7/26/2021 |
||
Total Borrowings |
$ |
4,132,440 |
|
100.0 |
% |
|
0.13 |
% |
52 |
10/8/2021 |
||
View source version on businesswire.com: https://www.businesswire.com/news/home/20210615006153/en/
FAQ
What is the dividend amount for Orchid Island Capital for June 2021?
When is the dividend payment date for Orchid Island Capital?
What is the ex-dividend date for Orchid Island Capital's June 2021 dividend?
How often does Orchid Island Capital pay dividends?
Is Orchid Island Capital guaranteed to continue paying dividends?
