Franklin Bsp Realty Trust, Inc. · NYSE:FBRT
Franklin Bsp Realty Trust — Q1 2025 Earnings Presentation
27 slides from Franklin Bsp Realty Trust's earnings presentation, Apr 29, 2025
Slide 1: First Quarter 2025 Supplemental Information
First Quarter 2025 Franklin BSP Realty Trust Supplemental Information
Slide 2: Important Information
Important Information The information herein relates to the Company’s business and financial information as of March 31, 2025 and does not reflect subsequent developments. Risk Factors Investing in and owning our common stock involves a high degree of risk. See the section entitled “Risk Factors” in
Slide 3: FBRT 1Q 2025 Financial Update
FBRT 1Q 2025 Financial Update
Slide 4: Highlights
FBRT 1Q 2025 Financial Update Highlights Earnings • GAAP Net Income of $23.7 million and $0.20 per diluted common share and $0.22 per fully converted share (1) • Distributable Earnings (2) of ($6.2) million and ($0.12) per fully converted share (1). Distributable Earnings includes $38.2 million of r
Slide 5: Financial Highlights
FBRT 1Q 2025 Financial Update Financial Highlights Income Statement Balance Sheet - Assets (End of Quarter) Net interest income $43.3 Total core portfolio $4,739.9 (1) Operating expenses (18.8) Total real estate securities 167.2 (Provision) / Benefit for credit loss $1.9 Cash and restricted cash 224
Slide 6: Earnings & Distributions
FBRT 1Q 2025 Financial Update Earnings & Distributions Distributable Earnings ($M) (1) GAAP Net Income (Loss) ($M) $36.0 (2) $31.7 (2) $32.4 $32.5 (2) $31.2 $31.9 (2) $30.2 $30.2 $23.7 -$4.0 -$3.8 -$6.2 2Q'24 3Q'24 4Q'24 1Q'25 2Q'24 3Q'24 4Q'24 1Q'25 2Q'24 3Q'24 4Q'24 1Q'25 $0.355 $0.355 $0.355 $0.3
Slide 7: Core Net Fundings
FBRT 1Q 2025 Financial Update Core Net Fundings 1Q 2025 ($M) $59 $261 $5,000 ($353) $4,801 ($166) (1 ) 4Q24 Loans Fundings on Fundings on Repayments REO/ 1Q25 Loans (2 ) Outstanding New Loans Existing Loans Foreclosures Outstanding Note: All numbers in millions. 1. Includes full paydowns, dispositio
Slide 8: Capitalization Overview
FBRT 1Q 2025 Financial Update Capitalization Overview Average debt cost including financing was 6.9% in 1Q25 vs. 7.4% in 4Q24 Financing Sources (1) Net Leverage (2) Warehouse 11% 2.50x 2.35x Repo - Securities 5% Asset Specific Financings 1% 2.00x Unsecured Debt 2% 1.50x 1.00x 0.50x 0.33x Collaterali
Slide 9: Financing Detail
FBRT 1Q 2025 Financial Update Financing Detail CLOs Warehouse/Revolver/Other Reinvest Cost of CLO Name Debt Amount(1) End Date Debt(2) Name Commitment (3) BSPRT 2021-FL6 $253 million Ended S + 1.83% Barclays (Warehouse) $500 million BSPRT 2021-FL7 $378 million Ended S + 1.92% Wells Fargo $400 millio
Slide 10: Liquidity
FBRT 1Q 2025 Financial Update Liquidity Liquidity ($M) $664 $913 $34 $215 Unrestricted CLO Reinvestment Financing Total Cash Available Available & (1) Liquidity In Progress 1. Represents cash available at 3/31/2025 that we can invest at a market advance rate utilizing our available capacity on finan
Slide 11: Portfolio
Portfolio O2
Slide 12: Core Loan Portfolio Composition
Portfolio Core Loan Portfolio Composition Portfolio Overview Portfolio Summary Rate Type • $4.8B total portfolio; 62.8% WA LTV (1) Senior Fixed 99% 11% • 140 senior loans; average UPB (2) of $34M • 12 mezzanine loans; average UPB (2) of $4M • 3 non-performing loans (3) Mezzanine Floating 1% 89% Coll
Slide 13: Core Originations in the Quarter
Portfolio Core Originations in the Quarter Overview By Collateral • 11 loans; $341 million total commitment ($261 million of Hospitality 21% initial funding / $80 million of future funding) • 3.25% weighted average spread; 7.57% all-in coupon (1) • 0.7% and 0.4% weighted average origination and exit
Slide 14: Core Portfolio - Watch List Loans (Risk Rating 4&5)
Portfolio Core Portfolio - Watch List Loans (Risk Rating 4&5) Suburban 307-Unit Student Housing 249-Unit Apartment 222-Unit Apartment 77-Unit Apartment 176-Unit Apartment Investment Office Park Community Community Community Community Community Loan Type Floating Rate Senior Loan Floating Rate Senior
Slide 15: Foreclosure Real Estate Owned (REO)
Portfolio Foreclosure Real Estate Owned (“REO”) Multi Property Loan 16-Building 144-Unit 471-Unit 426-Unit 224-Unit 397-Unit 76-Unit 50-Unit 320-Unit Single Tenant CBD Apartment Apartment Apartment Apartment Apartment Apartment Apartment Apartment CBD Apartment Investment Retail Portfolio Office Com
Slide 16: Appendix
Appendix
Slide 17: Core Portfolio Details - Top 15 Loans
Appendix Core Portfolio – FBRT Portfolio Details – Top 15 Loans Effective Fully Extended (1) (2) Loan Loan Type Origination Date Par Value Amortized Cost Spread Yield Maturity State Collateral Type As-is LTV Loan 1 Senior Loan 5/10/24 117 116 + 2.50% 6.82% 5/9/29 Connecticut Multifamily 50.7% Loan 2
Slide 18: Core Portfolio - Risk Ratings
Appendix Core Portfolio – Risk Ratings Average risk rating was 2.2 for the quarter vs. 2.3 in 4Q24 Risk Ratings 79.9% 16.1% 3.5% 0.0% 0.5% Risk Rating 1 2 3 4 5 Principal Balance - 3,838 773 168 23 Loan Count, 4Q24 - 124 27 1 3 (+) Addition - 11 1 4 - (-) Reduction - (9) (8) - (2) Loan Count, 1Q25 -
Slide 19: Earnings Sensitivity
Appendix Earnings Sensitivity Positive earnings correlation to falling rates due to rate floor activations EPS Sensitivity on Index Rates As of 4/11/25: 1M SOFR: 4.33% As of 3/31/25: 1M SOFR: 4.32% $0.08 $0.01 $0.01 $0.00 ($0.01) -1.50% -1.00% -0.50% 3/31/2025 +0.25% Change in Floating Base Rate Ind
Slide 20: Core Portfolio - Fully Extended Maturities
Appendix Core Portfolio – Fully Extended Maturities Fully Extended Maturity by Year $1,337 $1,124 $1,027 $897 $399 $17 2025 ROY 2026 2027 2028 2029 2030 Note: All numbers in millions. BENEFIT STREET PARTNERS | ALCENTRA 20
Slide 21: Core Portfolio - Allowance For Loan Loss
Appendix Core Portfolio – Allowance For Loan Loss Total Allowance for Credit Loss by Collateral Type All Other 6% Hospitality 13% Office 2% Multifamily 79% Provision/ As % of 4Q24 Write offs 1Q25 UPB (Benefit) Total UPB General CECL Provision $48.0 ($1.6) - $46.4 $4,741 1.0% Specific CECL Provision
Slide 22: GAAP Net Income to Distributable Earnings Reconciliation
Appendix GAAP Net Income to Distributable Earnings Reconciliation 1Q'25 4Q'24 3Q'24 2Q'24 GAAP Net Income (Loss) 23.7 30.2 30.2 (3.8) Adjustments: Unrealized (Gain) / Loss (1) 3.3 (1.5) 2.5 6.3 (2) 0.3 (1.4) (3.4) (2.2) Subordinated Performance Fee Non-Cash Compensation Expense 2.2 2.2 2.1 2.1 Depre
Slide 23: Book Value Per Share & Shares Outstanding
Appendix Book Value Per Share & Shares Outstanding March 31, 2025 December 31, 2024 Stockholders' equity applicable to convertible common stock $ 1,330,641 $ 1,343,568 Shares: Common stock 82,161,584 81,788,091 Restricted stock and restricted stock units 1,475,850 1,278,698 Series H convertible pref
Slide 24: FBRT Income Statement
Appendix FBRT Income Statement Three Months Ended March 31, 2025 2024 Income Interest income $ 113,908 $ 130,558 Less: Interest expense 70,593 81,318 Net interest income 43,315 49,240 Revenue from real estate owned 6,797 4,712 Total income $ 50,112 $ 53,952 Expenses Asset management and subordinated
Slide 25: FBRT Balance Sheet
Appendix FBRT Balance Sheet March 31, 2025 December 31, 2024 ASSETS Cash and cash equivalents $ 215,368 $ 184,443 Restricted cash 8,736 12,421 Commercial mortgage loans, held for investment, net of allowance for credit losses of $46,604 and $78,083 as of March 31, 2025 and 4,739,876 4,908,667 Decemb
Slide 26: Definitions
Definitions Distributable Earnings and Distributable Earnings to Common Distributable Earnings is a non-GAAP measure, which the Company defines as GAAP net income (loss), adjusted for (i) non-cash CLO amortization acceleration and amortization over the expected useful life of the Company's CLOs, (ii
Slide 27: Office Locations
New York London Boston West Palm Beach One Madison Avenue Cannon Place 100 Federal Street 360 South Rosemary Avenue Suite 1600 78 Cannon Street 22nd Floor Suite 1510 New York London Boston West Palm Beach NY 10010 EC4N 6HL MA 02110 FL 33401 USA UK USA USA www.benefitstreetpartners.com www.alcentra.c
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