Yahoo Finance

• Distributable Earnings (Q4 2024): $33.6 million or $0.27 per share.

• Return on Equity (Q4 2024): 8.9%.

• Distributable Earnings (Full Year 2024): $153.9 million or $1.21 per share.

• Return on Equity (Full Year 2024): 9.9%.

• Liquidity (as of Dec 31, 2024): $2.2 billion, including $1.3 billion in cash and cash equivalents.

• Adjusted Leverage Ratio (as of Dec 31, 2024): 1.4 times.

• Loan Portfolio (as of Dec 31, 2024): $1.6 billion with a weighted average yield of 9.3%.

• Loan Payoffs (Q4 2024): $575 million.

• Loan Payoffs (Full Year 2024): $1.7 billion.

• Real Estate Portfolio (Q4 2024): Generated $13.2 million in net rental income.

• Real Estate Portfolio (Full Year 2024): Generated $56.3 million in net rental income.

• Securities Portfolio (as of Dec 31, 2024): $1.1 billion with a weighted average unlevered yield of 6%.

• Unsecured Corporate Revolving Credit Facility: Increased from $324 million to $850 million, with potential upsizing to $1.25 billion.

• Unencumbered Assets (as of Dec 31, 2024): $3.8 billion or 77% of total assets.

• Book Value per Share (as of Dec 31, 2024): $13.88.

• Dividend (Q4 2024): $0.23 per share.

• Warning! GuruFocus has detected 4 Warning Sign with LADR.

Release Date: February 06, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Ladder Capital Corp (NYSE:LADR) achieved distributable earnings of $33.6 million in Q4 2024, translating to $0.27 per share, and a return on equity of 8.9%.

• The company maintained a strong liquidity position with $2.2 billion in liquidity, including $1.3 billion in cash and cash equivalents.

• Ladder Capital Corp (NYSE:LADR) successfully extended and upsized its unsecured corporate revolving credit facility to $850 million, with potential to increase to $1.25 billion.

• The company received positive outlooks from Moody's and Fitch, and an upgrade from S&P, moving closer to achieving an investment-grade credit rating.

• Ladder Capital Corp (NYSE:LADR) generated $56.3 million in net rental income from its real estate portfolio in 2024, with long-term leases to investment-grade tenants.

Negative Points

• The loan portfolio decreased significantly from $3.9 billion at the end of 2022 to $1.6 billion by the end of 2024.

• Despite a strong liquidity position, the company faces challenges in rapidly deploying capital into new loan originations.

• Interest rates on loans remain high, with borrowing costs near 7%, which could impact future loan demand.

• The company has two loans totaling $77 million on non-accrual status, indicating potential credit risk.

• Ladder Capital Corp (NYSE:LADR) is cautious about lending in large cities with capital flight and crime issues, which may limit growth opportunities.