Ready Capital Corporation · NYSE:RC

Ready Capital — Q1 2022 Earnings Presentation

19 slides from Ready Capital's earnings presentation, May 6, 2022

  1. Slide 1: Supplemental Financial Data Q1 2022

    SUPPLEMENTAL FINANCIAL DATAQ1 2022

  2. Slide 2: Disclaimer

    2DisclaimerThispresentationcontainsstatementsthatconstitute“forward-lookingstatements,”assuchtermisdefinedinSection27AoftheSecuritiesActof1933,asamended,andSection21EoftheSecuritiesExchangeActof1934,asamended,andsuchstatementsareintendedtobecoveredbythesafeharborprovidedbythesame.Thesestatementsareb

  3. Slide 3: First Quarter 2022 Results

    3First Quarter 2022 Results Net income of $64.3 million1, or $0.70 per common share Distributable earnings of $48.9 million1, or $0.52 per common shareDeclared dividend of $0.42 per common share Earnings / Dividends Return on Equity2of 18.0%Distributable Return on Equity3of 13.6%Dividend Yield

  4. Slide 4: First Quarter 2022 Results (continued)

    4First Quarter 2022 Results (continued) Total liquidity of $326million1including cash, anticipated warehouse advances, principal and interest receivable from servicers, and anticipated proceeds from available-for-sale assets Current Liquidity Closeda$1.1billioncommercialmortgagecollateralizedloano

  5. Slide 5: Return on Equity

    5Return on Equity1.Leveredyieldincludesinterestincome,accretionofdiscount,MSRcreation,incomefromunconsolidatedjointventures,realizedgains(losses)onloansheldforsale,unrealizedgains(losses)onloansheldforsaleandservicingincomenetofinterestexpenseandamortizationofdeferredfinancingcostsonanannualizedbasi

  6. Slide 6: Diversified, Complementary, & Scalable Platforms

    6Diversified, Complementary, & Scalable Platforms 9%12%58%2%5%11%3% Acquisitions Fixed rate Bridge Freddie Mac Construction Small Business Lending Residential Mortgage Banking PORTFOLIO BREAKDOWN1 REVENUE BREAKDOWN2 ($ in thousands) $14,876$3,061$39,065$4,532$28,663$15,428$0$10,000$20,000$30,000$40,

  7. Slide 7: SBC and SBA Investment by Product Type

    7SBC and SBA Investment by Product Type $52.0$148.7$144.3$135.7$101.0$6.0$53.6$104.9$98.2$60.9$164.4$240.5$135.5$169.3$135.0$652.8$807.2$730.4$1,529.2$1,936.6$168.0$29.0$5.2$136.2$443.8$62.4$0$400$800$1,200 $1,600 $2,000 $2,400Q1'21Q2'21Q3'21Q4'21Q1'22 SBA Fixed Rate/CMBS Freddie Mac Bridge Acquired

  8. Slide 8: SBC Lending and Acquisitions

    8SBC Lending and Acquisitions1.Excludes joint venture investments2.53.2% of fixed rate loans match funded3. Calculated on unpaid principal balance4. Includes realized and unrealized gains (losses) on loans held for sale and MSR creation5. Includes interest income, accretion of discount, and servicin

  9. Slide 9: Small Business Lending

    9Small Business Lending GROSS LEVERED YIELD LOAN COUNTUPBBOOK VALUEWA LTVWA COUPONFIXED/FLOAT60+ Days Past Due(1)2,078$649M$614M88.6%5.6%0.3 / 99.7%1.3% CURRENT QUARTER HIGHLIGHTS 37.0%18.6%20.7%16.5%17.6%50.4%80.6%55.4%33.2%25.7%0%20%40%60%80%100%Q1 2021Q2 2021Q3 2021Q4 2021Q1 2022 Gross levered yi

  10. Slide 10: Loan Portfolio Composition

    10Loan Portfolio Composition 21%15%14%11%39%Small Business Lending Lodging Retail Doctors Eating Place Other1. Calculated on unpaid principal balance and excludes assets offset by guaranteed loan financing liabilities 65%9%8%6%12%SBC Lendingand Acquisitions Multi-family Mixed-use Retail Office Other

  11. Slide 11: Residential Mortgage Banking Segment Snapshot

    11 QUARTERLY ORIGINATIONS UPB $768.9MSEGMENT SNAPSHOTResidential Mortgage Banking 61%39%Production by Purpose Purchased Refinanced QUARTERLY SALES UPB $798.7M 77%20% 3% Sales by Investor Fannie/Freddie Ginnie Mae Other MSR PORTFOLIO UPDATE ($ in billions) 46%37%17%Production by Platform Retail Corre

  12. Slide 12: Loan Portfolio – Risk Rating

    12Loan Portfolio –Risk Rating BUCKET1:VeryLowRiskofLoss:Neworiginationorcurrentwithstrongcreditmetrics(LTV/DSCR/DY).Noexpectedlosses.BUCKET2:LowRiskofLoss:Currentwithmaturity>6months.LowercreditmetricswithpossibilityofinclusiononCREFCwatchlist.Noexpectedlosses.BUCKET3:MediumRiskofLoss:Currentwithnea

  13. Slide 13: Debt-Leverage

    13Debt-Leverage $902$1,833$1,441$3,864$627Corporate DebtPPPLFSecuritized Debt ObligationsNon-Recourse Secured BorrowingsRecourse Secured Borrowing 0.3x1.9x0.8x0.9x0.5x Debt BalanceLeverage Ratio•Recourseleverageratioof1.4x•Totalleverageof4.4x•Fullmarkettomarketliabilitiesandcreditmarktomarketliabili

  14. Slide 14: Financial Snapshot

    14Financial Snapshot Investment Type Average Carrying Value (1) Gross Yield(2) Average Debt Balance Debt Cost (3) Levered Yield SBC Lending and Acquisitions $ 7,781,688 5.2%$ 5,856,753 2.7% 12.8% Small Business Lending $ 383,989 15.8%$ 268,973 4.0% 43.3% Total $ 8,165,677 5.7% $ 6,125,726 2.8% 20.4%

  15. Slide 15: Appendix: Additional Financial Information

    APPENDIXAdditional Financial Information

  16. Slide 16: Balance Sheet by Quarter

    _ READY CAPITAL. Balance Sheet by Quarter (in Thousands) 3012024 oz ‘Assets ‘Cash and cash equivalents S 305428 $ 200723 S| 2097689 $2531 $211,369 Restricted cash 62.961 57,118 52,692 51,569 56,963 Loans, net 4,611,826 2.222.284 2,386,497 2.918.446 4,062,235 Loans, held for sale, a far value 473.078

  17. Slide 17: Statement of Income by Quarter

    17Statement of Income by Quarter (In thousands, except share data) Interest income$73,371 $103,047 $105,136 $121,942 $124,405 Interest expense (50,761) (55,415) (50,136) (57,249) (61,017) Net interest income before provision for loan losses$22,610 $47,632 $55,000 $64,693 $63,388 Recovery of (provisi

  18. Slide 18: Distributable Earnings Reconciliation by Quarter

    18Distributable Earnings Reconciliation by QuarterTheCompanybelievesthatthisnon-U.S.GAAPfinancialinformation,inadditiontotherelatedU.S.GAAPmeasures,providesinvestorsgreatertransparencyintotheinformationusedbymanagementinitsfinancialandoperationaldecision-making,includingthedeterminationofdividends.H

  19. Slide 19: * READY

    * READY ». CAPITAL.

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