Ready Capital Corporation Reports Second Quarter 2025 Results
Ready Capital Corporation (NYSE:RC) reported challenging Q2 2025 financial results, with a GAAP loss per share of $(0.31) and distributable loss per share of $(0.14). The company completed several strategic initiatives, including $173 million in LMM commercial real estate originations and $359 million in Small Business Lending originations.
Key developments include the sale of the Residential Mortgage Banking segment, acquisition of 8.5 million shares at an average price of $4.41 through stock repurchase, and issuance of $50 million in Senior Secured Notes. Book value stood at $10.44 per share as of June 30, 2025. Subsequently, the company completed a significant sale of 21 loans with $494 million carrying value for net proceeds of $85 million.
The company continues its strategic liquidation of underperforming assets to support future reinvestment in its Core multi-family bridge portfolio.Ready Capital Corporation (NYSE:RC) ha riportato risultati finanziari difficili per il secondo trimestre 2025, con una perdita GAAP per azione di $(0,31) e una perdita distribuibile per azione di $(0,14). L'azienda ha completato diverse iniziative strategiche, tra cui $173 milioni in originazioni di immobili commerciali LMM e $359 milioni in originazioni di prestiti per piccole imprese.
Tra gli sviluppi principali figurano la vendita del segmento di mutui residenziali, l'acquisto di 8,5 milioni di azioni a un prezzo medio di $4,41 tramite riacquisto di azioni proprie e l'emissione di $50 milioni in Senior Secured Notes. Il valore contabile era pari a $10,44 per azione al 30 giugno 2025. Successivamente, la società ha completato una vendita significativa di 21 prestiti con un valore contabile di $494 milioni per un ricavo netto di $85 milioni.
L'azienda prosegue nella liquidazione strategica degli asset meno performanti per supportare futuri reinvestimenti nel suo portafoglio principale di prestiti ponte multi-familiari.
Ready Capital Corporation (NYSE:RC) reportó resultados financieros desafiantes en el segundo trimestre de 2025, con una pérdida GAAP por acción de $(0.31) y una pérdida distribuible por acción de $(0.14). La compañía completó varias iniciativas estratégicas, incluyendo $173 millones en originaciones de bienes raíces comerciales LMM y $359 millones en originaciones de préstamos para pequeñas empresas.
Entre los desarrollos clave se encuentran la venta del segmento de banca hipotecaria residencial, la adquisición de 8.5 millones de acciones a un precio promedio de $4.41 mediante recompra de acciones, y la emisión de $50 millones en Senior Secured Notes. El valor contable fue de $10.44 por acción al 30 de junio de 2025. Posteriormente, la compañía completó una venta significativa de 21 préstamos con un valor en libros de $494 millones por ingresos netos de $85 millones.
La empresa continúa con la liquidación estratégica de activos con bajo rendimiento para apoyar futuras reinversiones en su cartera principal de préstamos puente multifamiliares.
Ready Capital Corporation (NYSE:RC)는 2025년 2분기 어려운 재무 실적을 보고했으며, 주당 GAAP 손실은 $(0.31), 배당 가능 손실은 주당 $(0.14)였습니다. 회사는 1억 7,300만 달러 규모의 LMM 상업용 부동산 대출과 3억 5,900만 달러 규모의 중소기업 대출 등 여러 전략적 이니셔티브를 완료했습니다.
주요 발전 사항으로는 주택담보대출 부문의 매각, 평균 가격 $4.41에 850만 주의 자사주 매입, 그리고 5,000만 달러 규모의 선순위 담보 채권 발행이 있습니다. 2025년 6월 30일 기준 장부 가치는 주당 $10.44였습니다. 이후 회사는 장부가치 4억 9,400만 달러인 21건의 대출을 8,500만 달러 순수익에 매각하는 중요한 거래를 완료했습니다.
회사는 핵심 다가구 브리지 포트폴리오에 대한 향후 재투자를 지원하기 위해 부진한 자산의 전략적 청산을 계속하고 있습니다.
Ready Capital Corporation (NYSE:RC) a annoncé des résultats financiers difficiles pour le deuxième trimestre 2025, avec une perte GAAP par action de $(0,31) et une perte distribuable par action de $(0,14). La société a mené à bien plusieurs initiatives stratégiques, incluant 173 millions de dollars en originations immobilières commerciales LMM et 359 millions de dollars en originations de prêts aux petites entreprises.
Les développements clés comprennent la vente du segment de banque hypothécaire résidentielle, l'acquisition de 8,5 millions d’actions à un prix moyen de 4,41 $ via un rachat d’actions, ainsi que l’émission de 50 millions de dollars en Senior Secured Notes. La valeur comptable s’élevait à 10,44 $ par action au 30 juin 2025. Par la suite, la société a réalisé une vente importante de 21 prêts d’une valeur comptable de 494 millions de dollars pour un produit net de 85 millions de dollars.
La société poursuit sa liquidation stratégique des actifs sous-performants afin de soutenir de futurs réinvestissements dans son portefeuille principal de prêts relais multifamiliaux.
Ready Capital Corporation (NYSE:RC) meldete herausfordernde Finanzergebnisse für das zweite Quartal 2025 mit einem GAAP-Verlust je Aktie von $(0,31) und einem verteilbaren Verlust je Aktie von $(0,14). Das Unternehmen schloss mehrere strategische Initiativen ab, darunter $173 Millionen an LMM-Gewerbeimmobilien-Urkunden und $359 Millionen an Kleinunternehmerkrediten.
Wichtige Entwicklungen umfassen den Verkauf des Bereichs Wohnhypothekenbanking, den Rückkauf von 8,5 Millionen Aktien zu einem Durchschnittspreis von $4,41 sowie die Ausgabe von $50 Millionen an Senior Secured Notes. Der Buchwert lag zum 30. Juni 2025 bei $10,44 pro Aktie. Anschließend schloss das Unternehmen einen bedeutenden Verkauf von 21 Krediten mit einem Buchwert von $494 Millionen ab, was Nettobeträge von $85 Millionen einbrachte.
Das Unternehmen setzt seine strategische Veräußerung von leistungsschwachen Vermögenswerten fort, um zukünftige Reinvestitionen in sein Kernportfolio von Mehrfamilien-Brückenkrediten zu unterstützen.
- SBL loan originations reached $359 million, including $216 million in SBA 7(a) loans
- LMM commercial real estate originations of $173 million
- Strategic stock repurchase of 8.5 million shares at favorable $4.41 average price
- Successful sale of 21 loans generating $85 million in net proceeds
- GAAP loss of $(0.31) per share from continuing operations
- Distributable loss of $(0.14) per share
- Book value declined to $10.44 per share
- Significant valuation allowance increase of $39.7 million
- Net interest income decreased substantially year-over-year
Insights
Ready Capital reported significant Q2 losses while implementing asset liquidation strategy to restore future profitability amid CRE market challenges.
Ready Capital Corporation (NYSE: RC) reported concerning Q2 2025 financial results, with a
The quarterly performance shows significant stress, with a net loss of
Despite the difficult quarter, Ready Capital maintained origination activity with
The balance sheet shows
These results reflect a company in transition, taking significant short-term losses while attempting to reposition for future profitability in a challenging commercial real estate environment.
- GAAP LOSS PER COMMON SHARE FROM CONTINUING OPERATIONS OF
- DISTRIBUTABLE LOSS PER COMMON SHARE OF
- DISTRIBUTABLE LOSS PER COMMON SHARE BEFORE REALIZED LOSSES OF
NEW YORK, Aug. 07, 2025 (GLOBE NEWSWIRE) -- Ready Capital Corporation (“Ready Capital” or the “Company”) (NYSE: RC), a multi-strategy real estate finance company that originates, acquires, finances, and services lower-to-middle-market (“LMM”) investor and owner-occupied commercial real estate loans, today reported financial results for the quarter ended June 30, 2025.
“As we begin to emerge from this CRE cycle, several items were completed since the first quarter which we believe will restore us to profitability”, said Thomas Capasse, Ready Capital’s Chairman and Chief Executive Officer. “Our continued, targeted and decisive liquidation strategy on underperforming assets is designed to provide liquidity to support future reinvestment in our Core multi-family bridge portfolio.”
Second Quarter Highlights
- LMM commercial real estate originations of
$173 million - Small Business Lending (“SBL”) loan originations of
$359 million , including$216 million of Small Business Administration 7(a) loans and$96 million of USDA loans - Completed the sale of the Residential Mortgage Banking segment
- Book value of
$10.44 per share of common stock as of June 30, 2025 - Acquired approximately 8.5 million shares of the Company’s common stock at an average price of
$4.41 per share as part of stock repurchase program - Issued an additional
$50 million in aggregate principal amount of its9.375% Senior Secured Notes due 2028
Subsequent Events
On July 21, 2025, the Company secured ownership of the Portland OR, mixed-use asset via a consensual deed-in-lieu arrangement in which the Company assumed control. All components of the property will continue to operate business as usual.
On August 6, 2025, the Company completed the sale of 21 loans with a carrying value of
Use of Non-GAAP Financial Information
In addition to the results presented in accordance with U.S. GAAP, this press release includes distributable earnings, formerly referred to as core earnings, which is a non-U.S. GAAP financial measure. The Company defines distributable earnings as net income adjusted for unrealized gains and losses related to certain mortgage backed securities (“MBS”) not retained by us as part of our loan origination business, realized gains and losses on sales of certain MBS, unrealized gains and losses related to residential mortgage servicing rights (“MSR”) from discontinued operations, unrealized changes in our current expected credit loss reserve, unrealized gains or losses on de-designated cash flow hedges, unrealized gains or losses on foreign exchange hedges, unrealized gains or losses on certain unconsolidated joint ventures, non-cash compensation expense related to our stock-based incentive plan, and one-time non-recurring gains or losses, such as gains or losses on discontinued operations, bargain purchase gains, or merger related expenses.
The Company believes that this non-U.S. GAAP financial information, in addition to the related U.S. GAAP measures, provides investors greater transparency into the information used by management in its financial and operational decision-making, including the determination of dividends. However, because distributable earnings is an incomplete measure of the Company's financial performance and involves differences from net income computed in accordance with U.S. GAAP, it should be considered along with, but not as an alternative to, the Company's net income computed in accordance with U.S. GAAP as a measure of the Company's financial performance. In addition, because not all companies use identical calculations, the Company's presentation of distributable earnings may not be comparable to other similarly-titled measures of other companies.
In calculating distributable earnings, Net Income (in accordance with U.S. GAAP) is adjusted to exclude unrealized gains and losses on MBS acquired by the Company in the secondary market but is not adjusted to exclude unrealized gains and losses on MBS retained by Ready Capital as part of its loan origination businesses, where the Company transfers originated loans into an MBS securitization and the Company retains an interest in the securitization. In calculating distributable earnings, the Company does not adjust Net Income (in accordance with U.S. GAAP) to take into account unrealized gains and losses on MBS retained by us as part of the loan origination businesses because the unrealized gains and losses that are generated in the loan origination and securitization process are considered to be a fundamental part of this business and an indicator of the ongoing performance and credit quality of the Company’s historical loan originations. In calculating distributable earnings, Net Income (in accordance with U.S. GAAP) is adjusted to exclude realized gains and losses on certain MBS securities considered to be non-distributable. Certain MBS positions are considered to be non-distributable due to a variety of reasons which may include collateral type, duration, and size.
In addition, in calculating distributable earnings, Net Income (in accordance with U.S. GAAP) is adjusted to exclude unrealized gains or losses on residential MSRs, held at fair value from discontinued operations. Servicing rights relating to the Company’s small business commercial business are accounted for under ASC 860, Transfer and Servicing. In calculating distributable earnings, the Company does not exclude realized gains or losses on commercial MSRs, as servicing income is a fundamental part of Ready Capital’s business and is an indicator of the ongoing performance.
To qualify as a REIT, the Company must distribute to its stockholders each calendar year at least
The table below reconciles Net Income computed in accordance with U.S. GAAP to Distributable Earnings.
| (in thousands) | Three Months Ended June 30, 2025 | ||
| Net Loss | $ | (53,677 | ) |
| Reconciling items: | |||
| Unrealized loss on joint ventures | 1,019 | ||
| Increase in CECL reserve | 487 | ||
| Increase in valuation allowance | 39,746 | ||
| Non-recurring REO impairment | 4,418 | ||
| Non-cash compensation | 1,634 | ||
| Unrealized gain on preferred equity, at fair value | (4,227 | ) | |
| Merger transaction costs and other non-recurring expenses | 12,115 | ||
| Loss on bargain purchase | 14,381 | ||
| Realized losses on sale of investments | 8,896 | ||
| Total reconciling items | $ | 78,469 | |
| Income tax adjustments | (37,496 | ) | |
| Distributable earnings before realized losses | $ | (12,704 | ) |
| Realized losses on sale of investments, net of tax | (7,088 | ) | |
| Distributable loss | $ | (19,792 | ) |
| Less: Distributable earnings attributable to non-controlling interests | 1,990 | ||
| Less: Income attributable to participating shares | 2,214 | ||
| Distributable loss attributable to common stockholders | $ | (23,996 | ) |
| Distributable earnings before realized losses on investments, net of tax per common share - basic and diluted | $ | (0.10 | ) |
| Distributable loss per common share - basic and diluted | $ | (0.14 | ) |
U.S. GAAP return on equity is based on U.S. GAAP net income, while distributable return on equity is based on distributable earnings, which adjusts U.S. GAAP net income for the items Din the distributable earnings reconciliation above.
Webcast and Earnings Conference Call
Management will host a webcast and conference call on Friday, August 8, 2025 at 8:30am ET to provide a general business update and discuss the financial results for the quarter ended June 30, 2025. During the conference call, the Company may discuss and answer questions concerning business and financial developments and trends that have occurred after quarter-end. The Company’s responses to questions, as well as other matters discussed during the conference call, may contain or constitute information that has not been disclosed previously.
The Company encourages use of the webcast due to potential extended wait times to access the conference call via dial-in. The webcast of the conference call will be available in the Investor Relations section of the Company’s website at www.readycapital.com. To listen to a live broadcast, go to the site at least 15 minutes prior to the scheduled start time in order to register, download and install any necessary audio software.
To Participate in the Telephone Conference Call:
Dial in at least five minutes prior to start time.
Domestic: 1-877-407-0792
International: 1-201-689-8263
Conference Call Playback:
Domestic: 1-844-512-2921
International: 1-412-317-6671
Replay Pin #: 13753253
The playback can be accessed through August 22, 2025.
Safe Harbor Statement
This press release contains statements that constitute "forward-looking statements," as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are intended to be covered by the safe harbor provided by the same. These statements are based on management's current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements; the Company can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from the Company's expectations include, but are not limited to, applicable regulatory changes; general volatility of the capital markets; changes in the Company’s investment objectives and business strategy; the availability of financing on acceptable terms or at all; the availability, terms and deployment of capital; the availability of suitable investment opportunities; changes in the interest rates or the general economy; increased rates of default and/or decreased recovery rates on investments; changes in interest rates, interest rate spreads, the yield curve or prepayment rates; changes in prepayments of Company’s assets; the degree and nature of competition, including competition for the Company's target assets; and other factors, including those set forth in the Risk Factors section of the Company's most recent Annual Report on Form 10-K filed with the SEC, and other reports filed by the Company with the SEC, copies of which are available on the SEC's website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.
About Ready Capital Corporation
Ready Capital Corporation (NYSE: RC) is a multi-strategy real estate finance company that originates, acquires, finances and services lower-to-middle-market investor and owner occupied commercial real estate loans. The Company specializes in loans backed by commercial real estate, including agency multifamily, investor, construction, and bridge as well as U.S. Small Business Administration loans under its Section 7(a) program and government guaranteed loans focused on the United States Department of Agriculture. Headquartered in New York, New York, the Company employs approximately 500 professionals nationwide.
Contact
Investor Relations
Ready Capital Corporation
212-257-4666
InvestorRelations@readycapital.com
Additional information can be found on the Company’s website at www.readycapital.com.
| READY CAPITAL CORPORATION UNAUDITED CONSOLIDATED BALANCE SHEETS | |||||||
| (in thousands) | June 30, 2025 | December 31, 2024 | |||||
| Assets | |||||||
| Cash and cash equivalents | $ | 162,935 | $ | 143,803 | |||
| Restricted cash | 56,769 | 30,560 | |||||
| Loans, net (including | 5,066,694 | 3,378,149 | |||||
| Loans, held for sale (including | 632,784 | 241,626 | |||||
| Mortgage-backed securities | 32,310 | 31,006 | |||||
| Investment in unconsolidated joint ventures (including | 169,369 | 161,561 | |||||
| Derivative instruments | 5,754 | 7,963 | |||||
| Servicing rights | 124,283 | 128,440 | |||||
| Real estate owned, held for sale | 199,790 | 193,437 | |||||
| Other assets | 462,711 | 362,486 | |||||
| Assets of consolidated VIEs | 2,395,398 | 5,175,295 | |||||
| Assets held for sale | — | 287,595 | |||||
| Total Assets | $ | 9,308,797 | $ | 10,141,921 | |||
| Liabilities | |||||||
| Secured borrowings | 3,506,670 | 2,035,176 | |||||
| Securitized debt obligations of consolidated VIEs, net | 1,513,297 | 3,580,513 | |||||
| Senior secured notes, net | 720,893 | 437,847 | |||||
| Corporate debt, net | 666,136 | 895,265 | |||||
| Guaranteed loan financing | 629,380 | 691,118 | |||||
| Contingent consideration | 17,189 | 573 | |||||
| Derivative instruments | 1,986 | 352 | |||||
| Dividends payable | 22,917 | 43,168 | |||||
| Loan participations sold | 101,863 | 95,578 | |||||
| Due to third parties | 9,791 | 1,442 | |||||
| Accounts payable and other accrued liabilities | 184,652 | 188,051 | |||||
| Liabilities held for sale | — | 228,735 | |||||
| Total Liabilities | $ | 7,374,774 | $ | 8,197,818 | |||
| Preferred stock Series C, liquidation preference | 8,361 | 8,361 | |||||
| Commitments & contingencies | |||||||
| Stockholders’ Equity | |||||||
| Preferred stock Series E, liquidation preference | 111,378 | 111,378 | |||||
| Common stock, | 17 | 17 | |||||
| Additional paid-in capital | 2,267,540 | 2,250,291 | |||||
| Retained earnings (deficit) | (528,524 | ) | (505,089 | ) | |||
| Accumulated other comprehensive loss | (23,293 | ) | (18,552 | ) | |||
| Total Ready Capital Corporation equity | 1,827,118 | 1,838,045 | |||||
| Non-controlling interests | 98,544 | 97,697 | |||||
| Total Stockholders’ Equity | $ | 1,925,662 | $ | 1,935,742 | |||
| Total Liabilities, Redeemable Preferred Stock, and Stockholders’ Equity | $ | 9,308,797 | $ | 10,141,921 | |||
| READY CAPITAL CORPORATION UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
| (in thousands, except share data) | 2025 | 2024 | 2025 | 2024 | |||||||||||
| Interest income | $ | 152,735 | $ | 234,119 | $ | 307,702 | $ | 466,473 | |||||||
| Interest expense | (135,837 | ) | (183,167 | ) | (276,303 | ) | (366,972 | ) | |||||||
| Net interest income before (provision for) recovery of loan losses | $ | 16,898 | $ | 50,952 | $ | 31,399 | $ | 99,501 | |||||||
| (Provision for) recovery of loan losses | (8,640 | ) | 18,871 | 100,928 | 45,415 | ||||||||||
| Net interest income after (provision for) recovery of loan losses | $ | 8,258 | $ | 69,823 | $ | 132,327 | $ | 144,916 | |||||||
| Non-interest income | |||||||||||||||
| Net realized gain (loss) on financial instruments and real estate owned | 18,214 | 7,250 | 28,883 | 26,118 | |||||||||||
| Net unrealized gain (loss) on financial instruments | (1,614 | ) | (1,357 | ) | (3,364 | ) | 3,275 | ||||||||
| Valuation allowance, loans held for sale | (39,746 | ) | (80,987 | ) | (139,464 | ) | (227,167 | ) | |||||||
| Servicing income, net of amortization and impairment of | (304 | ) | 3,271 | 6,152 | 7,029 | ||||||||||
| Gain (loss) on bargain purchase | (14,381 | ) | (18,306 | ) | 88,090 | (18,306 | ) | ||||||||
| Income (loss) on unconsolidated joint ventures | (144 | ) | 1,139 | (4,126 | ) | 1,607 | |||||||||
| Other income | 11,304 | 6,597 | 22,894 | 22,423 | |||||||||||
| Total non-interest income (expense) | $ | (26,671 | ) | $ | (82,393 | ) | $ | (935 | ) | $ | (185,021 | ) | |||
| Non-interest expense | |||||||||||||||
| Employee compensation and benefits | (23,159 | ) | (17,799 | ) | (44,413 | ) | (36,213 | ) | |||||||
| Allocated employee compensation and benefits from related party | (3,600 | ) | (3,000 | ) | (6,876 | ) | (5,500 | ) | |||||||
| Professional fees | (6,368 | ) | (6,033 | ) | (11,856 | ) | (13,098 | ) | |||||||
| Management fees – related party | (5,072 | ) | (6,198 | ) | (10,649 | ) | (12,846 | ) | |||||||
| Loan servicing expense | (11,038 | ) | (11,012 | ) | (26,882 | ) | (23,806 | ) | |||||||
| Transaction related expenses | (639 | ) | (1,592 | ) | (3,333 | ) | (2,242 | ) | |||||||
| Impairment on real estate | (4,268 | ) | (9,130 | ) | (6,614 | ) | (26,102 | ) | |||||||
| Other operating expenses | (16,133 | ) | (12,672 | ) | (32,256 | ) | (25,887 | ) | |||||||
| Total non-interest expense | $ | (70,277 | ) | $ | (67,436 | ) | $ | (142,879 | ) | $ | (145,694 | ) | |||
| Loss from continuing operations before benefit for income taxes | (88,690 | ) | (80,006 | ) | (11,487 | ) | (185,799 | ) | |||||||
| Income tax benefit | 39,939 | 48,579 | 45,146 | 78,790 | |||||||||||
| Net income (loss) from continuing operations | $ | (48,751 | ) | $ | (31,427 | ) | $ | 33,659 | $ | (107,009 | ) | ||||
| Discontinued operations | |||||||||||||||
| Income (loss) from discontinued operations before benefit for income taxes | (6,567 | ) | (3,699 | ) | (7,161 | ) | (1,812 | ) | |||||||
| Income tax benefit (provision) | 1,641 | 925 | 1,790 | 453 | |||||||||||
| Net income (loss) from discontinued operations | $ | (4,926 | ) | $ | (2,774 | ) | $ | (5,371 | ) | $ | (1,359 | ) | |||
| Net income (loss) | $ | (53,677 | ) | $ | (34,201 | ) | $ | 28,288 | $ | (108,368 | ) | ||||
| Less: Dividends on preferred stock | 1,999 | 1,999 | 3,998 | 3,998 | |||||||||||
| Less: Net income attributable to non-controlling interest | 1,814 | 1,820 | 4,274 | 1,937 | |||||||||||
| Net income (loss) attributable to Ready Capital Corporation | $ | (57,490 | ) | $ | (38,020 | ) | $ | 20,016 | $ | (114,303 | ) | ||||
| Earnings per common share from continuing operations - basic | $ | (0.31 | ) | $ | (0.21 | ) | $ | 0.15 | $ | (0.67 | ) | ||||
| Earnings per common share from discontinued operations - basic | $ | (0.03 | ) | $ | (0.02 | ) | $ | (0.03 | ) | $ | (0.01 | ) | |||
| Total earnings per common share - basic | $ | (0.34 | ) | $ | (0.23 | ) | $ | 0.12 | $ | (0.68 | ) | ||||
| Earnings per common share from continuing operations - diluted | $ | (0.31 | ) | $ | (0.21 | ) | $ | 0.15 | $ | (0.67 | ) | ||||
| Earnings per common share from discontinued operations - diluted | $ | (0.03 | ) | $ | (0.02 | ) | $ | (0.03 | ) | $ | (0.01 | ) | |||
| Total earnings per common share - diluted | $ | (0.34 | ) | $ | (0.23 | ) | $ | 0.12 | $ | (0.68 | ) | ||||
| Weighted-average shares outstanding | |||||||||||||||
| Basic | 167,749,917 | 168,653,741 | 166,465,234 | 170,343,303 | |||||||||||
| Diluted | 170,673,088 | 169,863,975 | 169,320,001 | 171,513,556 | |||||||||||
| Dividends declared per share of common stock | $ | 0.125 | $ | 0.30 | $ | 0.25 | $ | 0.60 | |||||||
| READY CAPITAL CORPORATION UNAUDITED SEGMENT REPORTING | |||||||||||||||
| Three Months Ended June 30, 2025 | |||||||||||||||
| (in thousands) | LMM Commercial Real Estate | Small Business Lending | Corporate-Other | Consolidated | |||||||||||
| Interest income | $ | 122,268 | $ | 30,467 | $ | — | $ | 152,735 | |||||||
| Interest expense | (116,088 | ) | (19,749 | ) | — | (135,837 | ) | ||||||||
| Net interest income before provision for loan losses | $ | 6,180 | $ | 10,718 | $ | — | $ | 16,898 | |||||||
| Provision for loan losses | (5,146 | ) | (3,494 | ) | — | (8,640 | ) | ||||||||
| Net interest income after provision for loan losses | $ | 1,034 | $ | 7,224 | $ | — | $ | 8,258 | |||||||
| Non-interest income | |||||||||||||||
| Net realized gain (loss) on financial instruments and real estate owned | 2,766 | 15,448 | — | 18,214 | |||||||||||
| Net unrealized gain (loss) on financial instruments | (4,128 | ) | 3,380 | (866 | ) | (1,614 | ) | ||||||||
| Valuation allowance, loans held for sale | (39,746 | ) | — | — | (39,746 | ) | |||||||||
| Servicing income, net | 1,931 | (2,235 | ) | — | (304 | ) | |||||||||
| Loss on bargain purchase | — | — | (14,381 | ) | (14,381 | ) | |||||||||
| Income on unconsolidated joint ventures | (155 | ) | 11 | — | (144 | ) | |||||||||
| Other income | 2,775 | 7,522 | 1,007 | 11,304 | |||||||||||
| Total non-interest income (loss) | $ | (36,557 | ) | $ | 24,126 | $ | (14,240 | ) | $ | (26,671 | ) | ||||
| Non-interest expense | |||||||||||||||
| Employee compensation and benefits | (6,479 | ) | (14,435 | ) | (2,245 | ) | (23,159 | ) | |||||||
| Allocated employee compensation and benefits from related party | (360 | ) | — | (3,240 | ) | (3,600 | ) | ||||||||
| Professional fees | (929 | ) | (3,291 | ) | (2,148 | ) | (6,368 | ) | |||||||
| Management fees – related party | — | — | (5,072 | ) | (5,072 | ) | |||||||||
| Loan servicing expense | (11,013 | ) | (25 | ) | — | (11,038 | ) | ||||||||
| Transaction related expenses | — | — | (639 | ) | (639 | ) | |||||||||
| Impairment on real estate | (4,268 | ) | — | — | (4,268 | ) | |||||||||
| Other operating expenses | (4,472 | ) | (9,972 | ) | (1,689 | ) | (16,133 | ) | |||||||
| Total non-interest expense | $ | (27,521 | ) | $ | (27,723 | ) | $ | (15,033 | ) | $ | (70,277 | ) | |||
| Income (loss) before provision for income taxes | $ | (63,044 | ) | $ | 3,627 | $ | (29,273 | ) | $ | (88,690 | ) | ||||
| Total assets | $ | 7,377,104 | $ | 1,530,810 | $ | 400,883 | $ | 9,308,797 | |||||||
| READY CAPITAL CORPORATION UNAUDITED SEGMENT REPORTING | |||||||||||||||
| Six Months Ended June 30, 2025 | |||||||||||||||
| (in thousands) | LMM Commercial Real Estate | Small Business Lending | Corporate-Other | Consolidated | |||||||||||
| Interest income | $ | 247,241 | $ | 60,461 | $ | — | $ | 307,702 | |||||||
| Interest expense | (236,442 | ) | (39,861 | ) | — | (276,303 | ) | ||||||||
| Net interest income before recovery of (provision for) loan losses | $ | 10,799 | $ | 20,600 | $ | — | $ | 31,399 | |||||||
| Recovery of (provision for) loan losses | 112,795 | (11,867 | ) | — | 100,928 | ||||||||||
| Net interest income after recovery of (provision for) loan losses | $ | 123,594 | $ | 8,733 | $ | — | $ | 132,327 | |||||||
| Non-interest income | |||||||||||||||
| Net realized gain (loss) on financial instruments and real estate owned | (11,834 | ) | 40,717 | — | 28,883 | ||||||||||
| Net unrealized gain (loss) on financial instruments | (4,732 | ) | 2,234 | (866 | ) | (3,364 | ) | ||||||||
| Valuation allowance, loans held for sale | (139,464 | ) | — | — | (139,464 | ) | |||||||||
| Servicing income, net | 3,346 | 2,806 | — | 6,152 | |||||||||||
| Gain on bargain purchase | — | — | 88,090 | 88,090 | |||||||||||
| Income (loss) on unconsolidated joint ventures | (4,160 | ) | 34 | — | (4,126 | ) | |||||||||
| Other income | 5,812 | 14,784 | 2,298 | 22,894 | |||||||||||
| Total non-interest income (loss) | $ | (151,032 | ) | $ | 60,575 | $ | 89,522 | $ | (935 | ) | |||||
| Non-interest expense | |||||||||||||||
| Employee compensation and benefits | (12,350 | ) | (29,739 | ) | (2,324 | ) | (44,413 | ) | |||||||
| Allocated employee compensation and benefits from related party | (688 | ) | — | (6,188 | ) | (6,876 | ) | ||||||||
| Professional fees | (1,747 | ) | (6,196 | ) | (3,913 | ) | (11,856 | ) | |||||||
| Management fees – related party | — | — | (10,649 | ) | (10,649 | ) | |||||||||
| Loan servicing expense | (26,077 | ) | (805 | ) | — | (26,882 | ) | ||||||||
| Transaction related expenses | — | — | (3,333 | ) | (3,333 | ) | |||||||||
| Impairment on real estate | (6,614 | ) | — | — | (6,614 | ) | |||||||||
| Other operating expenses | (7,808 | ) | (21,043 | ) | (3,405 | ) | (32,256 | ) | |||||||
| Total non-interest expense | $ | (55,284 | ) | $ | (57,783 | ) | $ | (29,812 | ) | $ | (142,879 | ) | |||
| Income (loss) before provision for income taxes | $ | (82,722 | ) | $ | 11,525 | $ | 59,710 | $ | (11,487 | ) | |||||
| Total assets | $ | 7,377,104 | $ | 1,530,810 | $ | 400,883 | $ | 9,308,797 | |||||||
FAQ
What were Ready Capital's (NYSE:RC) key financial results for Q2 2025?
How much did Ready Capital (RC) spend on stock buybacks in Q2 2025?
What was Ready Capital's (RC) book value per share as of June 30, 2025?
What major asset sales did Ready Capital complete after Q2 2025?
How much did Ready Capital raise in Senior Secured Notes in Q2 2025?
