Company: ADAMM
Filing Date: 2025-04-28
Form Type: DEF 14A
Source: 0001273685-25-000038
Chunk: 119

Company: ADAMAS TRUST, INC.
Filing Date: 2025-04-28
Form: DEF 14A
Chunk 119
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, related to operating real estate, net for which an impairment has not been recognized. By excluding these non-cash adjustments from our operating results, we believe that the presentation of undepreciated (loss) earnings provides a consistent measure of our operating performance and useful information to investors to evaluate the effective net return on our portfolio. In addition, we believe that presenting undepreciated (loss) earnings enables our investors to measure, evaluate, and compare our operating performance to that of our peers.

A reconciliation of GAAP net (loss) income attributable to Company's common stockholders to undepreciated (loss) earnings for the year ended December 31, 2024 is presented below (amounts in thousands, except per share data).

|                                                                    |     | For the Year Ended December 31, 
 2024                            |          |
|:-------------------------------------------------------------------|:----|:--------------------------------|---------:|
| Net (loss) income attributable to Company's common stockholders    |     | $                               | -103,785 |
| Add:                                                               |     |                                 |          |
| Depreciation expense on operating real estate                      |     |                                 |   12,026 |
| Amortization of lease intangibles related to operating real estate |     |                                 |        — |
| Undepreciated (loss) earnings                                      |     | $                               |  -91,759 |
| Weighted average shares outstanding - basic                        |     |                                 |   90,815 |
| Undepreciated (loss) earnings per common share                     |     | $                               |    -1.01 |

Adjusted Book Value Per Common Share

The calculation of the performance measure under the Quantitative Component uses Adjusted TER, which is based upon adjusted book value per common share. The Compensation Committee considered our Adjusted TER performance against the total economic return on GAAP book value for our identified performance peer group for the performance period that commenced on October 1, 2023 and ended on September 30, 2024 in its determination of annual incentive compensation since that was the most recent book value information for the full identified performance peer group that was available when the Compensation Committee finalized annual incentive compensation in January 2025.

Adjusted book value per common share is a supplemental non-GAAP measure calculated by making the following adjustments to GAAP book value: (i) exclude the Company's share of cumulative depreciation and lease intangible amortization expenses related to real estate held at the end of the period for which an