Company: CIMO
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001628280-25-038345
Chunk: 191

Company: CHIMERA INVESTMENT CORP
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 8
Chunk 191
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 202420.30 %10.64 %6.79 %For the Quarter Ended June 30, 20248.57 %11.06 %7.08 %

Return on average equity was 5.38% for the quarter ended June 30, 2025, as compared to 25.89% for the quarter ended March 31, 2025. This decrease was primarily driven by lower mark to market gains on our investment portfolio. Economic net interest income as a percentage of average equity decreased by 70 basis points for the quarter ended June 30, 2025 as compared to the quarter ended March 31, 2025. Earnings available for distribution as a percentage of average common equity decreased by 56 basis points for the quarter ended June 30, 2025, as compared to the quarter ended March 31, 2025, primarily driven by higher interest expense on secured financing agreements collateralized by Agency RMBS.

Financial Condition

Portfolio Review

During the six months ended June 30, 2025, we focused our efforts on taking advantage of relative value opportunities while simultaneously increasing our liquid securities allocation. During the six months ended June 30, 2025, on an aggregate basis, we purchased $2.4 billion of investments and received $840 million in principal payments related to our Agency MBS, Non-Agency RMBS and Loans held for investment portfolio.

The following table summarizes certain characteristics of our portfolio at June 30, 2025 and December 31, 2024. 

June 30, 2025December 31, 2024Interest earning assets at period-end (1)$14,326,573 $12,780,065 Interest bearing liabilities at period-end$11,737,352 $10,014,759 GAAP Leverage at period-end 4.5:1 4.0:1GAAP Leverage at period-end (recourse) 1.8:1 1.2:1

(1) Excludes cash and cash equivalents.

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June 30, 2025December 31, 2024June 30, 2025December 31, 2024Portfolio CompositionAmortized CostFair ValueNon-Agency RMBS6.8 %7.9 %7.1 %8.3 %Senior3.2 %3.7 %4.0 %4.8