Granite Point Mortgage Trust Inc. · NYSE:GPMT
Granite Point Mortgage Trust — Q1 2025 Earnings Presentation
29 slides from Granite Point Mortgage Trust's earnings presentation, May 7, 2025
Slide 1: First Quarter 2025 Earnings Supplemental
First Quarter 2025 Earnings Supplemental May 7, 2025
Slide 2: Legal Disclosures
Legal Disclosures This presentation contains, or incorporates by reference, not only historical information, but also forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve numerous risks and uncertainties. Our actual
Slide 3: Company Overview
Company Overview An internally-managed commercial real estate finance company operating as a REIT, focused on originating and investing in floating-rate, first mortgage loans secured by institutional-quality transitional properties. Conservatively managed balance sheet with a granular investment por
Slide 4: Q1 2025 Summary Results
Q1 2025 Summary Results ▪ GAAP Net (Loss) attributable to common stockholders of $(10.6) million, or $(0.22) per basic common share FINANCIAL ▪ Distributable Earnings (Loss)(3) of $(27.7) million, or $(0.57) per basic common share SUMMARY ▪ Distributable Earnings (Loss)(3) Before Realized Gains and
Slide 5: Post-Q1 2025 Business Update
Post-Q1 2025 Business Update ▪ In April, extended the maturities of all repurchase facilities by approximately one year ▪ Expect to close imminently the resolution of a loan secured by a hotel property located in Minneapolis, MN ◦ As of March 31, 2025, the loan was on nonaccrual status with an unpai
Slide 6: Q1 2025 Financial Summary
Q1 2025 Financial Summary Summary Income statement Summary Balance Sheet ($ in millions, except per share data) ($ in millions, except per share data, reflects carrying values) (Unaudited) (Unaudited) Net Interest Income $8.0 Cash $85.7 (Provision) for Credit Losses $(3.8) Restricted Cash $14.7 Reve
Slide 7: Q1 2025 Earnings and Book Value Per Share
Q1 2025 Earnings and Book Value Per Share ▪ GAAP Net (Loss) attributable to common stockholders of $(10.6) million, or $(0.22) per basic common share, inclusive of a $(3.8) million, or $(0.08) per basic common share, provision for credit losses ▪ Book value per share of common stock at March 31, 202
Slide 8: Loan Investment Portfolio Credit Overview
Loan Investment Portfolio Credit Overview CECL RESERVE BY QUARTER ( $ i n m i l l i o n s ) CECL RESERVE AS % OF COMMITMENTS BY QUARTER General Specific 10.5% $266.9 $259.0 9.7% 9.2% 8.8% $195.0 $200.3 $201.0 $180.2 $154.7 $134.3 $71.9 $58.8 $46.3 $45.9 6/30/2024 9/30/2024 12/31/2024 3/31/2025 6/30/
Slide 9: Q1 2025 Loan Investment Portfolio Activity
Q1 2025 Loan Investment Portfolio Activity ▪ Net loan portfolio activity of $(161.4) million in unpaid principal balance, attributed to two full loan repayments of $(65.6) million and partial repayments of $(8.9) million, two loan resolutions of $(97.4) million, offset by $10.5 million from existing
Slide 10: Loan Investment Portfolio Overview
Loan Investment Portfolio Overview Well-diversified and granular portfolio comprised of over 99% senior loans with a weighted average stabilized LTV at origination of 64.5% KEY LOAN PORTFOLIO STATISTICS PROPERTY TYPE(9)(10) Other, 3.4% Industrial, 6.5% Unpaid Principal Balance $1.9 billion Hotel, 6.
Slide 11: Overview of Risk-Rated "5" Loans
Overview of Risk-Rated “5” Loans ▪ Five loans risk rated “5” with an aggregate unpaid principal balance of $354.9 million ▪ Actively pursuing resolution options, which may include foreclosure, deed-in-lieu, loan restructuring loan or collateral sale ▪ Specific CECL reserves of approximately 38% of u
Slide 12: Office Loan Portfolio Overview
Office Loan Portfolio Overview ▪ Since 2021, reduced the office exposure by over $(840) REDUCTION IN OFFICE EXPOSURE(9) ($ in millions) million, or about 49%, primarily through repayments, paydowns and proactive loan resolutions ▪ Granular office portfolio across 20 MSAs and 14 States $1,723 ▪ 62% C
Slide 13: Funding Mix and Capitalization Highlights
Funding Mix and Capitalization Highlights WELL-BALANCED CAPITAL STRUCTURE WITH MODERATE LEVERAGE FINANCING SUMMARY ($ in millions) LEVERAGE RATIO’S Total Outstanding Weighted Advance Non- Capacity Balance(14) Average Cost Rate MTM 2.2 ($ in millions) Repurchase Facilities $1,228 $535 S + 3.33% 61.0%
Slide 14: Endnotes
Endnotes
Slide 15: Endnotes
Endnotes 1) Includes maximum loan commitments. Unpaid loan principal balance of $1.9 billion 2) Represents Net (loss) attributable to common stockholders 3) Non-GAAP measure. See slide 22 in the Appendix for a reconciliation to financial results prepared in accordance with GAAP 4) Dividend yield is
Slide 16: Appendix
Appendix
Slide 17: Summary of Investment Portfolio
Summary of Investment Portfolio Maximum Original Stabilized Loan Principal Carrying Cash All-in Yield at Term Initial LTV at LTV at ($ in millions) Commitment Balance Value Coupon* Origination** (Years) Origination Origination Senior Loans $2,024.5 $1,931.8 $1,747.3 S+3.69% S+3.97% 3.0 69.6% 64.6% S
Slide 18: Loan Investment Portfolio
Loan Investment Portfolio Maximum All-in Original Stabilized Origination Loan Principal Carrying Cash Yield at Term Initial LTV at LTV at ($ in millions) Type Date Commitment Balance Value Coupon* Origination** (Years) State Property Type Origination Origination Asset 1 Senior 12/19 $110.7 $108.8 $1
Slide 19: Average Balances and Yields/Cost of Funds
Average Balances and Yields/Cost of Funds Quarter Ended March 31, 2025 ($ in thousands) Average Balance* Interest Income/Expense Net Yield/Cost of Funds Interest-earning assets Loans held-for-investment Senior loans $2,005,976 $34,063 6.8 % Subordinated loans 13,191 264 8.0 % Total loan interest inc
Slide 20: Condensed Consolidated Balance Sheets
Condensed Consolidated Balance Sheets GRANITE POINT MORTGAGE TRUST INC. March 31, December 31, CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except share data) 2025 2024 ASSETS (unaudited) Loans held-for-investment $ 1,937,659 $ 2,097,375 Allowance for credit losses (177,282) (199,727) Loans
Slide 21: Condensed Consolidated Statements of Comprehensive Income
Condensed Consolidated Statements of Comprehensive (Loss) Income GRANITE POINT MORTGAGE TRUST INC. Three Months Ended CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) March 31, (in thousands, except share data) 2025 2024 Interest income: (unaudited) Loans held-for-investment $ 34,327
Slide 22: Quarterly Per Share Calculations
Quarterly Per Share Calculations RECONCILIATION OF GAAP TO NON-GAAP MEASURES ($ in millions, except per share data) (unaudited) Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 GAAP Net (loss) income attributable to common stockholders $ (77.7) $ (66.7) $ (34.6) $ (42.4) $ (10.6) Adjustments: Provision (Bene
Slide 23: Financial Statements Impact of CECL Reserves
Financial Statements Impact of CECL Reserves • Total allowance for credit losses of $(180.2) million, of which $2.9 million is related to future funding obligations and recorded in other liabilities • Loans reported on the balance sheet are net of the allowance for credit losses ($ in thousands) Q1
Slide 24: Distributable Earnings (Loss)
Distributable Earnings (Loss) ▪ Beginning with our Annual Report on Form 10-K for the year ended December 31, 2024, and for all subsequent reporting periods ending on or after December 31, 2024, we have elected to present Distributable Earnings (Loss), a non-GAAP measure, as a supplemental method of
Slide 25: Distributable Earnings (Loss) (cont'd)
Distributable Earnings (Loss) (cont’d) ▪ While Distributable Earnings (Loss) excludes the impact of the unrealized non-cash current provision for credit losses, we expect to only recognize such potential credit losses in Distributable Earnings (Loss) if and when such amounts are deemed non-recoverab
Slide 26: Other Definitions
Other Definitions ▪ Provided for illustrative purposes only. Calculations of realized loan portfolio yield are based on a number of assumptions Realized Loan Portfolio Yield (some or all of which may not occur) and are expressed as monthly equivalent yields that include net origination fees and exit
Slide 27: Other Definitions (cont'd)
Other Definitions (cont’d) REO ▪ Real estate owned Repayments ▪ Reductions in a loan’s principal balance, including full loan repayments, partial loan repayments, principal amortization, cost- recovery for non-accrual loans and capitalized deferred interest repayments Resolutions ▪ Reductions in a l
Slide 28: Company Information
Company Information Granite Point Mortgage Trust Inc. is an internally-managed real estate finance company that focuses primarily on directly originating, investing in and managing senior floating rate commercial mortgage loans and other debt and debt-like commercial real estate investments. Granite
Slide 29: GRANIT
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