Acres Commercial Realty Corp. · NYSE:ACR
Acres Commercial Realty — Q1 2026 Earnings Presentation
22 slides from Acres Commercial Realty's earnings presentation, Apr 30, 2026
Slide 1: First Quarter 2026 Earnings Presentation
FIRST QUARTER 2026 EARNINGS PRESENTATION April 30, 2026
Slide 2: Disclaimer: Forward-Looking Statements
DISCLAIMER Forward-Looking Statements This presentation contains forward-looking statements within the meaning of federal securities laws. These forward-looking statements are not historical facts but rather are based on ACRES Commercial Realty Corp.’s (“ACR’s” or the “Company’s”) current beliefs, a
Slide 3: Disclaimer: Forward-Looking Statements (continued)
DISCLAIMER Forward-Looking Statements (continued) In light of these risks and uncertainties, the forward-looking events and circumstances discussed in this presentation might not occur and actual results, performance or achievement could differ materially from those anticipated or implied in the for
Slide 4: Highlights
HIGHLIGHTS Manager is focused on delivering shareholder value through EAD1 growth Percentage of Multifamily-focused Per Share-Diluted GAAP Net Loss / EAD Percentage of CRE loan CRE in Loan Portfolio portfolio current on payments 81% ($0.16) / $0.02 96.2% ACRES 2026-FL4 ($1B Transaction Size) 1Q26 Ne
Slide 5: First Quarter 2026 Results
FIRST QUARTER 2026 RESULTS Financial Results Book Value CRE Loan Activity & CRE Portfolio Capitalization, Liquidity & NOL ($0.16) $29.98 $2.2B Comprising 60 loans with a weighted average LTV of 76% $2.8B GAAP net loss per share-diluted Book value per share CRE loan portfolio at par value Total capac
Slide 6: Balance Sheet Overview
BALANCE SHEET OVERVIEW 1Q26 Balance Sheet Overview Summary of Changes to Book Value per Share 1 Total Assets ($B) $2.5 $0.08 $0.16 $0.05 $30.01 $29.98 Total Liquidity ($M) $86.8 CRE Whole Loans, at par ($B) $2.2 WA Spread 3.29% CECL Reserve – General ($M) $19.4 Per BV Share1 / Basis Points $2.96/0.8
Slide 7: CRE Loan Portfolio Overview
CRE LOAN PORTFOLIO OVERVIEW CRE Loan Summary 1 Balance by Region 1,3 Loans held for investment, at amortized cost $2,202.8 Pacific Northeast CECL Reserves ($19.4) 10.3% 12.6% CRE whole loans, floating-rate WA 1M SOFR + 3.29% Mountain Mid Atlantic WA 1M SOFR Floor2 2.13% 13.0% 10.4% WA CRE loan portf
Slide 8: CRE Loan Portfolio Maturity Profile
CRE LOAN PORTFOLIO MATURITY PROFILE 3.3 years 74% Fully extended weighted average loan maturity 1,2 of the par value of the portfolio has interest rate caps or debt service reserves in place at March 31, 2026 3,4,5 Fully Extended Loan and Interest Rate Cap Maturities ($ in millions at par) $1,000 $8
Slide 9: CRE Loan Risk Ratings and CECL Reserves
CRE LOAN RISK RATINGS AND CECL RESERVES 86% ofperforming ACR’s loans have a risk rating of 1, 2 or 3 that are in line with or near underwritten expectations 1,2 56 of ACR’s 60 loans, or 96%, are current on contractual payments at March 31, 2026 W.A. Risk Rating by Collateral Type, $ at par 4Q25 W.A.
Slide 10: Investments in Real Estate Properties
INVESTMENTS IN REAL ESTATE PROPERTIES $106.3 million of net investments in real estate and properties held for sale 1,2 Select Investment Highlights Hotel $39.8M 3 Hotel $29.1M 3 • 279-key hotel next to a convention center • 388-key hotel next to a convention center • Equity via lending activities i
Slide 11: Capitalization Overview
CAPITALIZATION OVERVIEW Total Capitalization ($ in Millions) $2,419.6 Capitalization Corporate WACC 1 5.94% $ in Millions W. Avg. Leverage Capacity Amount3 $ Avail. Coupon Ratio Total Asset Specific Financing $1,663.5 Term Reinvestment Financing 2 $749.1 $709.2 $37.3 SOFR + 1.75% 1.3x WA Asset Speci
Slide 12: Leverage and Liquidity Trend
LEVERAGE AND LIQUIDITY TREND Leverage Ratios $ in millions Total Liquidity ($ in millions) $107.9 3.4x $24.1 $86.8 3.0x 3.0x $0.6 2.8x 2.8x 2.7x 2.7x $64.7 $64.5 $38.2 $21.9 $23.6 1.8x $83.8 $48.0 $42.7 $40.9 2Q25 3Q25 4Q25 1Q26 Reinvestment Cash at CRE Securitiztions 2Q25 3Q25 4Q25 1Q26 CRE Term an
Slide 13: Illustrative Earnings Profile
ILLUSTRATIVE EARNINGS PROFILE The chart below is meant to display the illustrative earnings potential of the Company. It is not meant to represent performance guidance for any period 1. Projected Maximum CRE Loan Portfolio Size & GAAP EPS & EAD per Share Projected maximum CRE loan portfolio size $2,
Slide 14: Appendix
APPENDIX ACRESREIT.COM 14
Slide 15: Consolidated Balance Sheets
CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share data) March 31, 2026 December 31, 2025 Assets (unaudited) Cash and cash equivalents $ 47,985 $ 83,768 Restricted cash 1,835 2,190 Accrued interest receivable 30,042 27,259 CRE loans 2,202,837 1,830,367 Less: allowance for credit l
Slide 16: Consolidated Statements of Operations
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited, in thousands, except share and per share data) For the Three Months Ended Mar. 31, 2026 Mar. 31, 2025 Revenues Interest income $ 34,360 $ 28,726 Interest expense 25,114 23,123 Net interest income 9,246 5,603 Real estate income 8,547 11,366 Other reve
Slide 17: Earnings Available for Distribution
EARNINGS AVAILABLE FOR DISTRIBUTION The following table provides a reconciliation from GAAP net income (loss) allocable to common shares to Earnings Available for Distribution allocable to common shares, a non-GAAP measure, for the periods presented 1: (Unaudited, in thousands, except share and per
Slide 18: CECL Trend Analysis Chart
CECL TREND ANALYSIS CHART Since 2Q24, market liquidity and volatility in the commercial real estate sector have caused a decrease in the CECL reserves to 0.88% at 1Q26 3.00% 100% 82% 81% 2.50% 79% 79% 77% 80% 77% 75% 75% % of CRE Loan Portfolio(1) 2.00% CECL Reserve % 60% 1.50% 40% 1.00% 23% 23% 25%
Slide 19: Benchmark Sensitivity Analysis Trend
BENCHMARK SENSITIVITY ANALYSIS TREND At March 31, 2026, the CRE loan portfolio is 99% floating rate loans that are indexed to one-month term SOFR with a weighted average floor of 2.13% Quarterly Net Interest Income per Share Sensitivity to Changes in SOFR December 31, 2025 March 31, 2026 $0.15 Chang
Slide 20: Key Definitions
KEY DEFINITIONS Earnings Available for Distribution: Earnings Available for Distribution (“EAD”) is a non-GAAP financial measure that the Company uses to evaluate its operating performance. EAD excludes the effects of certain transactions and GAAP adjustments that it believes are not necessarily ind
Slide 21: Other Disclosures
OTHER DISCLOSURES Commercial Real Estate Loans Risk Ratings CRE loans are collateralized by a diversified mix of real estate properties and are assessed for credit quality based on the collective evaluation of several factors, including but not limited to: collateral performance relative to underwri
Slide 22: Contact Information
ACRES Commercial Realty Corp. is a real estate investment trust that is primarily focused on originating, holding and managing commercial real CONTACT estate mortgage loans and equity investments in commercial real estate property through direct ownership and joint ventures. INFORMATION Additional i
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