Company: ADAMM
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001273685-25-000047
Chunk: 96

Company: ADAMAS TRUST, INC.
Filing Date: 2025-05-02
Form: 10-Q
Item: Part I, Item 1
Chunk 96
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The federal conservatorship of Fannie Mae and Freddie Mac and related efforts, along with any changes in such conservatorship or laws and regulations affecting the relationship between Fannie Mae, Freddie Mac and Ginnie Mae and the U.S. Government, may materially adversely affect our business, financial condition and results of operations, and our ability to pay dividends to our shareholders” in Part I, Item “1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2024.

The scope and nature of the actions the Federal Reserve and other governmental authorities will ultimately undertake are unknown and will continue to evolve. There can be no assurance as to how, in the long term, these and other actions, as well as the negative impacts from ongoing geopolitical instability and uncertainty surrounding inflation, interest rates, U.S. tariff and trade policies and the outlook for the U.S. and global economies, will affect the efficiency, liquidity and stability of the financial, credit and mortgage markets, and thus, our business. Greater uncertainty frequently leads to wider asset spreads or lower prices and higher hedging costs.

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First Quarter 2025 Summary

Earnings and Return Metrics

The following table presents key earnings and return metrics for the three months ended March 31, 2025 (dollar amounts in thousands, except per share data):

Three Months Ended March 31, 2025Net income attributable to Company's common stockholders$30,285 Net income attributable to Company's common stockholders per share (basic)$0.33 Earnings available for distribution attributable to Company's common stockholders (1)$18,194 Earnings available for distribution per common share (1)$0.20 Yield on average interest earning assets (1) (2)6.47 %Interest income$129,734 Interest expense$96,636 Net interest income$33,098 Net interest spread (1) (3)1.32 %Book value per common share at the end of the period$9.37 Adjusted book value per common share at the end of the period (1)$10.43 Economic return on book value (4)3.13 %Economic return on adjusted book value (5)2.71 %Dividends per common share$0.20 

(1)Represents a non-GAAP financial measure. A reconciliation of the Company's non-GAAP financial measures to their most directly comparable GAAP measure