Company: ADAMM
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001273685-25-000088
Chunk: 245

Company: ADAMAS TRUST, INC.
Filing Date: 2025-11-04
Form: 10-Q
Item: Part I, Item 2
Chunk 245
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 by the Company. We include the net interest component of interest rate swaps in these measures to more fully represent the cost of our financing strategy. We include TBA dollar roll income as it represents the economic equivalent of net interest income on the underlying Agency RMBS over the TBA dollar roll period (interest income less implied financing cost).   

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We provide the non-GAAP financial measures listed above because we believe these non-GAAP financial measures provide investors and management with additional detail and enhance their understanding of our interest earning asset yields, in total and by investment category, relative to the cost of our financing and the underlying trends within our portfolio of interest earning assets. In addition to the foregoing, our management team uses these measures to assess, among other things, the performance of our interest earning assets in total and by asset, possible cash flows from our interest earning assets in total and by asset, our ability to finance or borrow against the asset and the terms of such financing and the composition of our portfolio of interest earning assets, including acquisition and disposition determinations.  

The following tables set forth certain information about our interest earning assets by category and their related adjusted interest income, adjusted interest expense, adjusted net interest income (loss), yield on average interest earning assets, average financing cost and net interest spread for the three and nine months ended September 30, 2025 and 2024, respectively (dollar amounts in thousands):  

Three Months Ended September 30, 2025

 AgencySingle-Family Credit (8)Multi-Family CreditCorporate/OtherTotalAdjusted Interest Income (1) (2)$86,041 $59,305 $2,124 $2,030 $149,500 Adjusted Interest Expense (1)(55,268)(41,377)— (10,103)(106,748)Adjusted Net Interest Income (Loss) (1)$30,773 $17,928 $2,124 $(8,073)$42,752 Average Interest Earning Assets (3)$5,873,080 $3,333,917 $71,026 $172,958 $9,450,981 Average Interest Bearing Liabilities (4)$5,300,885 $2,902,470 $— $561,681 $8,765,036 Yield on Average Interest Earning Assets (1) (5)5.86 %7.12 %11.96 %4.69 %