New York Mortgage Trust, Inc.

NYMT reported EAD per share of $0.22 in Q2 2025, up 10% quarter over quarter from $0.20 and above the $0.20 dividend by $0.02. Adjusted net interest income per share was $0.44, up 10% sequentially from $0.40 and 47% year over year from $0.30. Net interest spread widened to 150 basis points from 132 basis points in Q1, helped by a 17 basis point decline in average financing costs. GAAP book value per share was $9.11 and adjusted book value per share was $10.26, down 2.8% and 1.6% respectively from March 31. During the quarter the company acquired $915 million in assets, bringing first-half 2025 acquisitions to over $2.8 billion. Management also said it entered Q3 with $416 million of liquidity and issued $90 million of unsecured notes in July. For Q3/full-year direction, management expects Constructive to be immediately accretive to EAD, with annual equity return around 15% currently, and expects continued earnings above the current dividend, though it did not give formal quarterly or full-year EPS guidance.

Jason Serrano framed the quarter as proof that NYMT’s capital allocation strategy is working, emphasizing recurring earnings above the dividend and strong liquidity. He said the company is positioning for a steeper yield curve and lower short-term rates, and highlighted the full acquisition of Constructive as a pivotal milestone that expands the business-purpose lending platform and diversifies the balance sheet. His tone was constructive and upbeat, but tied to balance-sheet growth and disciplined execution rather than broad macro optimism.

Kristine Nario-Eng focused on the mechanics of the quarter: $915 million of Q2 acquisitions, $0.22 EAD per share, $0.44 adjusted net interest income per share, and a net interest spread of 150 basis points. She noted net unrealized gains of $24.6 million, unrealized derivative losses of $36.3 million, realized losses of about $3.8 million, and a small increase in net loss from real estate to $3 million due mainly to insurance and property taxes. She also said G&A declined by $628,000 on restructuring benefits, but the Constructive acquisition is expected to lift the G&A expense ratio to about 6.2% to 6.4% and add roughly 0.2x to recourse leverage; the quarterly dividend stayed at $0.20 for a seventh straight quarter.

Analysts focused on the long-term mix between Agency RMBS and credit, and management said the agency book is a medium-term core strategy, not necessarily a fixed 50% target forever. On Constructive, management said NYMT will likely continue buying only a minority share of production, keeping the platform capital-light while still retaining some on-balance-sheet purchases. Questions also probed leverage and book value: management said adjusted book value was down slightly in July, by 0% to 1% as of July 29, and described overall leverage as flexible by asset class. Management reiterated that BPL Rental looks like the bigger growth area, while BPL Bridge is becoming more competitive and could see slower acquisition pace.