Armour Residential Reit, Inc. · NYSE:ARR
Armour Residential Reit — Corporate Update (October 2019)
9 slides from Armour Residential Reit's corporate update, Oct 11, 2019
Slide 1: Company Update
ARMOUR RESIDENTIAL REIT, Inc. Company Update 10/11/19 ARMOUR seeks to create shareholder value through thoughtful investment and risk management that produces current yield and superior risk adjusted returns over the long term. Our focus on residential real estate finance supports home ownership for
Slide 2: Important Regulatory and Yield Estimate Risk Disclosures
PLEASE READ: Important Regulatory and Yield Estimate Risk Disclosures 2 • Certain statements made in this presentation regarding ARMOUR Residential REIT, Inc. (“ARMOUR” or the “Company”), and any other statements regarding ARMOUR’s future expectations, beliefs, goals or prospects constitute forward-
Slide 3: ARMOUR Overview
ARMOUR Overview 3 ARMOUR invests in and manages a leveraged portfolio of mortgage-related assets and U.S. government securities. 1 Capitalization • Total capitalization of $1,383.2 million composed of: ◦ Estimated book value of common stock of $1,203.1 million. ◦ Preferred stock par value of $180.0
Slide 4: Key Metrics
ARMOUR Key Metrics 4 Market Date 6/30/19 7/31/19 8/31/19 9/30/19 Common Stock Price $18.64 $17.87 $16.42 $16.75 Estimated Book Value $20.50 $20.84 $20.68 $20.43 (1) Common Shares Outstanding 59,192,390 59,142,390 58,983,750 58,889,758 Preferred A Shares Outstanding(2) 2,180,572 — — — Preferred B Sha
Slide 5: Net Interest Margin
ARMOUR Net Interest Margin 5 NIM Analysis 4 3 Asset Yield Cost of Funds NIM Q1 2017 2.93 1.32 1.61 Q2 2017 3.11 1.39 1.72 2 Q3 2017 3.06 1.42 1.64 Q4 2017 3.02 1.47 1.55 Q1 2018 3.05 1.53 1.52 1 Q2 2018 3.13 1.57 1.56 Q3 2018 3.46 1.82 1.64 Q4 2018 3.59 1.92 1.67 Q1 2019 3.65 2.03 1.62 0 2 2 2 2 2 2
Slide 6: Portfolio & Hedge Positioning
ARMOUR Portfolio & Hedge Positioning 6 Estimated % of Current Value Weighted Average Weighted Average Weighted Average Effective Securities Portfolio (millions) Book Price Market Price Net/Gross Coupon Duration Agency ARMs & Hybrids 0.3% $41.1 104.7% 103.5% 4.01/4.62 0.92 Agency Multifamily Ballooni
Slide 7: Repo Composition
ARMOUR Repo Composition 7 Weighted Percentage of Repo Weighted Average Longest Principal Borrowed Positions with Average Original Remaining Remaining Repo Counter-Party (millions) ARMOUR Term in Days Term in Days Term in Days 1 BUCKLER Securities LLC 1 $4,313.9 36.9% 24 6 15 2 Wells Fargo Securities
Slide 8: Portfolio Constant Prepayment Rates (CPR)
ARMOUR Portfolio Constant Prepayment Rates ("CPR") 8 Trailing Twelve Month Portfolio CPR* 25 October 2019 Agency Asset CPR** 20 10 & 15 Year Pass-Throughs 12.7 15 25 & 30 Year Pass-Throughs 26.0 10 Agency Multifamily 0.0 5 Portfolio Average 18.6 0 8 8 8 9 9 9 9 9 9 9 9 9 9 1 1 1 1 1 1 1 1 1 1 1 1 1
Slide 9: ARMOUR Residential REIT, Inc. contact details
ARMOUR Residential REIT, Inc. 3001 Ocean Drive Suite 201 Vero Beach, FL 32963 armourreit.com 772-617-4340
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