Company: TWO-PC
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0001465740-25-000152
Chunk: 101

Company: TWO HARBORS INVESTMENT CORP.
Filing Date: 2025-10-28
Form: 10-Q
Item: Item 1
Chunk 101
---
 table provides details of changes in our stockholders’ equity from June 30, 2025 to September 30, 2025:

(in millions, except per share amounts)Book ValueCommon Shares OutstandingCommon Book Value Per ShareCommon stockholders’ equity at June 30, 2025$1,264.2 104.1 $12.14 Net loss(127.9)Other comprehensive income61.0 Comprehensive loss(66.9)Dividends on preferred stock(13.3)Comprehensive loss attributable to common stockholders(80.2)Dividends on common stock(35.7)Other1.5 — Balance before capital transactions1,149.8 104.1 Issuance of common stock, net of offering costs0.1 — Common stockholders’ equity at September 30, 2025$1,149.9 104.1 $11.04 Total preferred stock liquidation preference621.8 Total stockholders’ equity at September 30, 2025$1,771.7 

Liquidity and Capital Resources

Our liquidity and capital resources are managed and forecasted on a daily basis. We believe this helps ensure that we have sufficient liquidity to absorb market events that could negatively impact collateral valuations and result in margin calls. We also believe that it gives us the flexibility to manage our portfolio to take advantage of market opportunities. 

Our principal sources of cash consist of borrowings under repurchase agreements, revolving credit facilities, warehouse lines of credit, senior notes, convertible senior notes, payments of principal and interest we receive on our target assets, cash generated from our operating results, and proceeds from capital market transactions. We typically use cash to repay principal and interest on our borrowings, to purchase our target assets, to make dividend payments on our capital stock, and to fund our operations. To the extent that we raise additional equity capital through capital market transactions, we anticipate using cash proceeds from such transactions to purchase our target assets and for other general corporate purposes. Such general corporate purposes may include the refinancing or repayment of debt, the repurchase or redemption of common and preferred equity securities, and other capital expenditures.

65

As of September 30, 2025, we held $770.5 million in cash and cash equivalents available to support our operations; $9.1 billion of AFS securities, MSR, mortgage loans held-for-sale and derivative assets held at fair value; and