Claros Mortgage Trust, Inc. · NYSE:CMTG
Claros Mortgage Trust — Q1 2022 Earnings Presentation
26 slides from Claros Mortgage Trust's earnings presentation, May 11, 2022
Slide 1: First Quarter 2022 Earnings Supplement
First Quarter 2022 Earnings Supplement Claros Mortgage Trust, Inc. (CMTG) May 11, 2022 The properties above are not representative of all transactions.
Slide 2: Important Notices
Important Notices The information herein generally speaks as of the date hereof or such earlier date referred to on specific pages herein. In furnishing this document, Claros Mortgage Trust, Inc. and its consolidated subsidiaries (the “Company” or “CMTG”) do not undertake to update the information h
Slide 3: Important Notices (cont’d)
Important Notices (cont’d) Determinations of Loan-to-Value / Loan-to-Cost LTV’s stated herein represent CMTG’s total loan commitment from time to time, as if fully funded, plus any financings that are pari passu with or senior to CMTG’s loan, divided by the Company’s estimate of either (i) the value
Slide 4: First Quarter 2022 Highlights
First Quarter 2022 Highlights $7.2 billion $2.5 billion 8.1% 5.6% Unpaid Principal Weighted Average Equity Book Value Dividend Yield1 Balance All-In Yield2 96% 97% 67.7% 1.9x Weighted Average Net Debt/Equity Senior Loans3 Floating Rate Loans3 Portfolio LTV4 Ratio5 See Endnotes in the Appendix. CLARO
Slide 5: First Quarter 2022 Highlights (cont’d)
First Quarter 2022 Highlights (cont’d) Financial GAAP net income of $29.4 million, or $0.21 per share, and Net Distributable Earnings of $33.5 million, or $0.24 per share6 Paid a cash dividend of $0.37 per share for the first quarter of 2022 Originations Originated $1.2 billion of total loan c
Slide 6: First Quarter 2022 Highlights (cont’d)
First Quarter 2022 Highlights (cont’d) Asset Management Update and Subsequent Events On April 15, 2022, one of our non-accrual loans was successfully resolved. CMTG held a $116.0 million mortgage on a New York land portfolio, which had been on non-accrual status since May of 2020. The subordinate
Slide 7: Financial Overview
Financial Overview 1Q-2022 GAAP net income of $29.4 million, or $0.21 per share, and Net Distributable Earnings of $33.5 million, or $0.24 per share6 Paid 1Q-2022 common dividend of $51.7 million, or $0.37 per share Key Financial Metrics 1Q-2022 GAAP Net Income ($MM) $29.4 Per Share $0.21 Net Di
Slide 8: Book Value per Share Roll-Forward
Book Value per Share Roll-Forward Book Value per Share $18.88 $18.76 Adjusted BV Adjusted BV $20.00 per Share per Share $19.60 $19.20 $0.05 $0.06 Depreciation Depreciation $18.80 $0.48 $0.21 General CECL $0.50 $18.40 $0.37 General CECL $18.00 $17.60 $17.20 $18.35 $18.20 $16.80 $16.40 $16.00 Book Val
Slide 9: First Quarter 2022 Originations Overview
First Quarter 2022 Originations Overview Highlights10 Originated $1.2 billion of total loan commitments across 14 investments (average loan commitment of $87.8 million), of which $684.8 million was funded at closing ― 76% of new loan commitments were in the residential sector (64% in multi-family
Slide 10: Loan Portfolio Overview
Loan Portfolio Overview March 31, December 31, Collateral Diversification3 Key Portfolio Metrics7 2022 2021 100% Multi-family 30% Unpaid Principal Balance $7.2Bn $6.6Bn 80% 37% Hospitality Office 60% 18% 17% Mixed-use Total Loan Commitments11 $8.7Bn $7.7Bn 17% 40% 15% For Sale Condo 11% 10% 20% 11%
Slide 11: Loan Portfolio Overview (cont’d)
Loan Portfolio Overview (cont’d) $ amounts in millions Region Exposure by Unpaid Principal Balance (UPB) and as a % of Total UPB Number of % of Mid Collateral Type UPB Northeast West Southeast Southwest Midwest Other Loans Total UPB Atlantic Multi-family 21 $2,672 37% $390 / 5% $965 / 13% $830 / 11%
Slide 12: Portfolio Migration
Portfolio Migration 4Q-2019 1Q-2022 3% Multi-family 3% Multi-family Hospitality 9% Hospitality 9% 23% Office Office By 9% 37% Property 14% Mixed-use Mixed-use 10% Type3 For Sale Condo 19% For Sale Condo Percentage Point 18% Land Increase: 15% Land 14% Multi-family (+14%) 17% Other Other Percentage P
Slide 13: 1Q-2022 Net Loan Fundings
1Q-2022 Net Loan Fundings 1Q-2022 Net Loan Fundings $ amounts in millions $9,000 $8,500 $1,481 $8,000 Unfunded Add-On Funding Commitments $7,500 $1,086 $141 $194 Unfunded $7,000 $685 Commitments $6,500 New Loans $6,000 $5,500 $7,234 $5,000 $6,603 $631 Net Change in UPB $4,500 $4,000 $3,500 $3,000 Un
Slide 14: Loan Maturity Schedule with Associated LIBOR / SOFR Floors
Loan Maturity Schedule with Associated LIBOR / SOFR Floors Weighted average LIBOR / SOFR floor of 0.96% Fully Extended Maturities by Unpaid Principal Balance12,a $ amounts in millions $2,400 $2,208.9 $2,100 $1,800 $1,500 $1,437.6 $1,200 $1,027.1 $1,019.0 $900 $767.5 $600 $394.9 $300 Wtd. Average L
Slide 15: Conservative and Diversified Funding Strategy
Conservative and Diversified Funding Strategy Total financing capacity of $6.5 billion with $1.1 billion of undrawn capacity Unencumbered loan assets totaled $614.8 million Leverage Ratios5,8 Financing Sources3 3.0x + 2.78% 2.8x + 3.57% 2.6x 5.4% 2.3x 5.8% 2.4x 2.2x 2.1x 2.1x 2.0x 2.0x 1.9x + 4.
Slide 16: Capital Structure Overview
Capital Structure Overview Capital Structure Composition Conservative Capital Structure ($ amounts in millions) Conservative 1.9x Net Debt/Equity Ratio5 Other Debt Warehouse Asset- Related Facilities Specific to REO $4,020 Financings $290 $314 $5.0 billion total warehouse financing capacity across s
Slide 17: Positioned for Rising Rates
Positioned for Rising Rates Steepness of interest rate forward curve(s) and subsequent loan repayments and originations will influence the crossover point to being asset sensitive Quarterly Net Interest Income per Share Sensitivity to Increase in Benchmark Rates14,15 $0.03 Change in Quarterly NII
Slide 18: Appendix
Appendix A STRICTLY CONFIDENTIAL The properties above are not representative of all transactions.
Slide 19: Portfolio Overview
Portfolio Overview CMTG Portfolio Summary by Unpaid Principal Balance as of March 31, 2022 ($ amounts in millions) Unpaid Loan Origination Investment Principal Property Type Location Loan Type Construction Risk Rating Commitment11 Date Balance Investment 1 $390.0 $390.0 Nov-19 Multi-family NY Senior
Slide 20: Portfolio Overview (cont’d)
Portfolio Overview (cont’d) CMTG Portfolio Summary by Unpaid Principal Balance as of March 31, 2022 ($ amounts in millions) Unpaid Loan Origination Investment Principal Property Type Location Loan Type Construction Risk Rating Commitment11 Date Balance Investment 21 $130.0 $130.0 Dec-21 Multi-family
Slide 21: Portfolio Overview (cont’d)
Portfolio Overview (cont’d) CMTG Portfolio Summary by Unpaid Principal Balance as of March 31, 2022 ($ amounts in millions) Unpaid Loan Origination Investment Principal Property Type Location Loan Type Construction Risk Rating Commitment11 Date Balance Investment 41 $75.0 $74.4 Dec-18 Multi-family D
Slide 22: Portfolio Overview (cont’d)
Portfolio Overview (cont’d) CMTG Portfolio Summary by Unpaid Principal Balance as of March 31, 2022 ($ amounts in millions) Unpaid Loan Origination Investment Principal Property Type Location Loan Type Construction Risk Rating Commitment11 Date Balance Investment 61 $28.5 $23.9 Feb-22 Multi-family T
Slide 23: Consolidated Balance Sheets
Consolidated Balance Sheets March 31, 2022 and December 31, 2021 ($ amounts in thousands) March 31, 2022 December 31, 2021 Assets Cash and cash equivalents $ 444,001 $ 310,194 Restricted cash 23,139 23,942 Loan principal payments held by servicer 9,999 154,600 Loans receivable held-for-investment 7,
Slide 24: Income Statement
Income Statement For the Three Months Ended March 31, 2022 and 2021 Three Months Ended Three Months Ended ($ amounts in thousands, except per share data) March 31, 2022 March 31, 2021 Revenue Interest and related income $ 90,694 $ 105,803 Less: Interest and related expense 39,580 46,287 Net interest
Slide 25: Reconciliation of GAAP Net Income to Net Distributable Earnings
Reconciliation of GAAP Net Income to Net Distributable Earnings For the Three Months Ended March 31, 2022 GAAP Net Net Distributable ($ amounts in thousands) Adjustments Income Earnings Interest income $ 90,694 $ - $ 90,694 Interest expense (39,580) - (39,580) Net income relating to real estate owne
Slide 26: Endnotes
Endnotes 1. Calculated as the annualized quarterly dividend per share divided by book value per share. 2. All-in yield represents the weighted average annualized yield to initial maturity of each loan, inclusive of coupon and fees, based on the applicable floating benchmark rate / floors (if applica
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