Company: CIMO
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001409493-25-000028
Chunk: 193

Company: CHIMERA INVESTMENT CORP
Filing Date: 2025-11-06
Form: 10-Q
Item: Item 8
Chunk 193
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 nine months ended September 30, 2024. Our net interest rate spread, which equals the yield on our average interest-earning assets less the economic average cost of funds, remained relatively unchanged at 1.5% for the nine months ended September 30, 2025, and 2024, respectively.

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Our Average net interest-earning assets decreased by $199 million to $1.8 billion for the nine months ended September 30, 2025, compared to $2.0 billion for the same period of 2024. Our net interest margin, which equals the yield on our average interest-earning assets less the economic average cost of funds, decreased by 20 basis points for the nine months ended September 30, 2025, as compared to the nine months ended September 30, 2024.

Economic Interest Expense and the Cost of Funds

The borrowing rate at which we are able to finance our assets using secured financing agreements is typically correlated to SOFR and the term of the financing. The borrowing rate on the majority of our securitized debt is fixed and correlated to the term of the financing. The table below shows our average borrowed funds, Economic interest expense, average cost of funds (inclusive of periodic interest on swaps and Swap futures), average one-month SOFR, average three-month SOFR and average one-month SOFR relative to average three-month SOFR.

 Average Debt BalanceEconomic Interest ExpenseAverage Cost of FundsAverage One-Month SOFRAverage Three-Month SOFRAverage One-Month SOFR Relative to Average Three-Month SOFR (Ratios have been annualized, dollars in thousands)For the Quarter Ended September 30, 2025$12,278,733 $138,338 4.50 %4.29 %4.05 %0.24 %For the Quarter Ended June 30, 2025$11,501,566 $130,220 4.50 %4.32 %4.30 %0.02 %For the Quarter Ended March 31, 2025$10,769,436 $117,262 4.40 %4.31 %4.30 %0.01 %For the Quarter Ended December 31, 2024$10,880,840 $121,997 4.48 %4.59 %4.50 %0.09 %