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Timbercreek Financial Announces 2025 First Quarter Results
TORONTO, May 05, 2025 (GLOBE NEWSWIRE) -- Timbercreek Financial (TSX: TF) (the “Company&#x...
About this update from Timbercreek Financial Corp.
[{"type":"text","content":"Timbercreek Financial Announces 2025 First Quarter Results \n\n\n\n TORONTO, May 05, 2025 (GLOBE NEWSWIRE) -- Timbercreek Financial (TSX: TF) (the “Company”) announced today its financial results for the three months ended March 31, 2025 (“Q1 2025”).\n \n\n\n\n Q1 2025 Highlights\n \n\n\n\n 1\n \n\n\n\n\n Strong top-line income and distributable income:\n \n\n Net investment income of $28.6 million compared to $24.6 million in Q1 2024.\n \n\n Net income and comprehensive income of $14.8 million (Q1 2024 – $14.4 million) or basic earnings per share of $0.18 (Q1 2024 – $0.17).\n \n\n Distributable income of $15.4 million ($0.19 per share) compared with $15.8 million ($0.19 per share) in Q1 2024.\n \n\n Declared a total of $14.3 million in dividends to shareholders, or $0.17 per share, reflecting a distributable income payout ratio of 92.8% (Q1 2024 – 90.6%).\n \n\n The dividend remains well-covered and at the current trading price of $7.00 represent a 9.9% yield – a 7.3% premium over the 2-year Canadian bond yield (2.6% as at May 2, 2025).\n \n\n\n\n\n\n The net mortgage investment portfolio increased by $101.6 million or 10.4% over the prior year and decreased modestly by $10.6 million to $1,079.2 million in Q1 2025.\n \n\n\n\n The weighted average interest rate (\"WAIR\") on the portfolio remains resilient due to a high percentage of variable rate loans with protection of interest rate floors - as indicated by the Company's WAIR decreasing by 1.2% relative to a 2.3% drop in the Bank of Canada prime rate over the same period. At the end of Q1 2025, variable rate loans with rate floors represented 84.8% of the portfolio (Q1 2024 – 88.6%) and 87.8% of these variable rate loans with floors are currently at their floor rates.\n \n\n\n\n While the Company continues to monitor developments closely with respect to tariffs and the potential impact to certain borrowers, its core asset class multi-family residential is expected to be well protected from any near-term implications and tends to perform well in periods of economic uncertainty.\n \n\n\n\n In March, the Company completed the sale of a Quebec-based retirement asset. This transaction resulted in full recovery of real estate held for sale and a repayment of the Company's real estate c...