Angel Oak Mortgage Reit, Inc. · NYSE:AOMR
Angel Oak Mortgage Reit — Q3 2021 Earnings Presentation
16 slides from Angel Oak Mortgage Reit's earnings presentation, Nov 9, 2021
Slide 1: Third Quarter 2021 Earnings Supplemental
Third Quarter 2021 Earnings Supplemental Angel Oak Mortgage, Inc.
Slide 2: Table of Contents
Table of Contents 2 AOMR Overview 5 Third Quarter 2021 Earnings Results 7 Book Value 8 Securitization and Funding Update 9 Portfolio Overview 10 Investment Highlights 12 Appendix: Financial Statements 13
Slide 3: Important Notices
Important Notices 3 References in this presentation to “we,” “us,” “our,” “AOMR” and the “Company” refer to Angel Oak Mortgage, Inc., a Maryland corporation, its operating partnership and their respective subsidiaries; the term “Manager” refers to Falcons I, LLC, our external manager; the term “Ange
Slide 4: Important Notices
Important Notices 4 the severity and duration of the COVID-19 pandemic, actions that have been taken and may be taken in the future by governmental authorities to contain the COVID-19 outbreak, including variants and resurgences thereof, or to mitigate its impact and the adverse impacts that the C
Slide 5: Differentiated Investment Strategy with True Scarcity Value
Differentiated Investment Strategy with True Scarcity Value 5 Angel Oak Mortgage, Inc. (“AOMR”) invests in high-quality non-QM assets created on a proprietary basis within the Angel Oak ecosystem Best in Class Credit Manager with Integrated Sourcing and Securitization Functions $1.0 billion loan p
Slide 6: AOMR Overview
AOMR Overview AOMR leverages Angel Oak’s broader infrastructure to acquire and invest in high quality non-QM assets 6 Since inception, AOMR has: • Purchased $2.3 billion2 of non-QM and commercial real estate (“CRE”) loans • Retained $150 million2 of RMBS from 4 securitizations to which loans were co
Slide 7: Third Quarter 2021 Key Metrics
Third Quarter 2021 Key Metrics • GAAP Net Income of $6.3 million, or $0.25 per share • Distributable Earnings of $4.9 million • Book value of $19.72 per share as of September 30, 2021, up from $19.48 as of June 30, 2021 • Return on equity of 5.1% for the second quarter and 6.7% for the first nine mo
Slide 8: Investments Support Book Value Appreciation
Investments Support Book Value Appreciation 8
Slide 9: Securitization and Funding Strategy
Securitization and Funding Strategy 9 Securitization Date Amount WA Cost of Funding WA Credit Score WA LTV WA DTI Senior Tranche Credit Rating AOMR 2021-4 8/25/2021 $316.6M 1.12% 739 73.8% 33.3% AAA (Fitch) AAA (Kroll) Completed one securitization in Q3 2021 totaling $316.6 million Expanded loan fin
Slide 10: RMBS Portfolio Overview
RMBS Portfolio Overview 10 Asset Allocation Total Target Portfolio: $1.7 bn AOMR has utilized its originator model to quickly build a scaled portfolio of non-QM RMBS and whole loans Total RMBS: $622 mm Bond Type Metrics of Securitized PortfolioCapital Allocation Total Capital allocated to portfolio:
Slide 11: Whole Loan Portfolio Overview
Whole Loan Portfolio Overview 11 Portfolio Range Portfolio Weighted Average Unpaid principal balance (“UPB”) $29 - $3,535 $415 Interest rate 2.75% - 9.88% 4.74% Maturity date 1/1/2038 - 9/1/2061 6/16/2051 FICO score at loan origination 521 - 823 738 LTV at loan origination 39% - 90% 70% DTI at loan
Slide 12: Investment Highlights
Proprietary Access to Angel Oak Mortgage Lending In Place Portfolio Demonstrates Execution of Strategy “Best-in-Class” Mortgage Credit Manager Integrated with Sourcing and Securitization Function Leading Management Team with Extensive Experience Target Assets Provide Opportunity for Attractive Risk-
Slide 13: Appendix
Appendix & Angel Oak MORTGAGE REIT 3
Slide 14: Appendix: Consolidated Income Statement
Appendix: Consolidated Income Statement 14
Slide 15: Appendix: Consolidated Balance Sheet
Appendix: Consolidated Balance Sheet 15
Slide 16: Appendix: GAAP Reconciliations
Appendix: GAAP Reconciliations 16 1. Distributable earnings is calculated as net income (loss) allocable to common stockholders, excluding (1) unrealized gains, (2) impairment losses, (3) extinguishment of debt, (4) non-cash equity compensation expense, (5) incentive fee, (6) realized gains or losse