Mfa Financial, Inc. · NYSE:MFA
Mfa Financial — Southwest IDEAS Investor Conference 2024
12 slides from Mfa Financial's conference presentation, November 2024
Slide 1: Investor Presentation
Investor Presentation November 2024
Slide 2: Forward-looking statements
Q3 2022 Financial Snapshot Forward-looking statements When used in this presentation or other written or oral communications, statements that are not historical in nature, including those containing words such as “will,” “believe,” “expect,” “anticipate,” “estimate,” “plan,” “continue,” “intend,” “s
Slide 3: MFA Overview
❑ MFA Financial, Inc. (NYSE: MFA) is an internally managed real estate investment trust (REIT) MFA that invests in U.S. residential mortgage loans and mortgage-backed securities Overview ❑ Since its IPO in 1998, MFA has distributed over $4.8 billion of dividends to its stockholders ❑ MFA focuses pri
Slide 4: Financial Metrics
Financial Metrics MFA currently trades at a discount to book value and offers a compelling dividend yield MFA stock price1 Q3 Economic Q3 GAAP Q3 Distributable book value2 net income3 earnings4 $11.08 $14.46 $0.38 per common share $0.37 per common share per common share per common share Recourse lev
Slide 5: Asset Summary
❑ $10.3B residential mortgage portfolio diversified by product type Investment Portfolio at Sept. 306 Asset ▪ Non-QM residential loans acquired from a select group of lenders Other $0.4B Summary with which MFA holds strong relationships Agency MBS $1.0B ▪ Single-family rental (SFR) loans originated
Slide 6: Q3 2024 Highlights
❑ Strengthened leadership team at MFA and Lima One Q3 2024 ▪ Named Bryan Wulfsohn President of MFA and Josh Woodward CEO of Lima One Highlights ▪ Named Lori Samuels Chief Loan Operations Officer ❑ Delivered strong earnings and total economic return of 3.3% ▪ Economic book value rose by approximately
Slide 7: Portfolio Credit Metrics
LTV by Loan Product Type8 LTV Distribution8 Portfolio 68% 67% 67% $5B Credit 58% $4B Metrics 56% 51% $3B $2B $1B Non-QM Loans SFR Loans Single-family Multifamily Legacy RPL/NPL Total - Transitional Loans Transitional Loans Loans <60% 60-70% 70-80% 80-90% 90-100% >100 % Portfolio 60+ Delinquency Rate
Slide 8: Prudent Liability Management
Liabilities ($B) as of Sept. 30 ❑ Despite the historic rise in rates between 2022-2024, MFA’s borrowing $10.0 Prudent costs remained relatively stable due to fixed-rate loan securitizations and interest rate swaps used for hedging purposes $9.0 Agency Repo Liability ▪ Effective cost of funds in Q3 w
Slide 9: Appendix
Appendix James Casebere, Landscape9with Houses (Dutchess County, NY) #2, 2010 (detail)
Slide 10: Select Financial Metrics
Select Financial Metrics Asset Yield Net Interest Spread Distributable Earnings vs. Dividend 6.79% 6.71% 7.00% 6.46% 6.58% 2.50% 6.35% 2.17% 2.13% 2.16% 2.18% $0.50 2.06% 6.00% 2.00% $0.40 5.00% 1.50% 4.00% $0.30 3.00% 1.00% $0.20 2.00% 0.50% $0.10 1.00% 0.00% 0.00% $- Q3 2023 Q4 2023 Q1 2024 Q2 202
Slide 11: MFA-Issued Securitizations Outstanding
MFA-Issued Securitizations Outstanding Original Collateral UPB Current Collateral Bonds Sold Original UPB Outstanding Balance of Weighted Average Coupon (WAC) WAC of Underlying Securitization Name Loan Product Type Settlement Date Callable Date ($M)11 UPB ($M)11 ($M) Sold (%)12 Bonds Sold ($M) of Ou
Slide 12: Endnotes
1) Closing stock price on 11/18/24. 2) Economic book value is a non-GAAP financial measure. Refer to slide 24 of MFA’s Q3 2024 earnings presentation for further information regarding the calculation of Endnotes this measure and a reconciliation to GAAP book value. 3) GAAP net income presented per ba
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