Company: SACH
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001682220-25-000044
Chunk: 99

Company: Sachem Capital Corp.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 2
Chunk 99
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 totaled $364.5 million, compared to $485.7 million as of June 30, 2024, representing a decline of $121.2 million in the net principal balance. On the other hand, other income increased by $0.5 million. This was driven by the recognition of rental income from one project in 2025, which contributed $0.5 million during the quarter. No such rental income was recorded in the prior year. 

Operating costs and expenses

Total operating expenses for three months ended June 30, 2025 were $9.7 million compared to $18.3 million for the three months ended June 30, 2024, a decrease of $8.6 million or 46.8%. The primary contributor to this decrease was the reduction in the provision for credit losses related to loans held for investment, which declined by $7.6 million or 89.1%. This change was driven by a decrease in direct allowances related to foreclosures and non-performing loans.  Additionally, the change was due to reductions in interest and amortization expense of $0.8 million and change in valuation allowance related to loans held for sale of $1.1 million.  Such reductions were partially offset by an increase in compensation and employee benefits of $0.5 million and other expenses totaling $0.3 million.

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Net income (loss) attributable to common shareholders and net income (loss) attributable to common shareholders per share

Net income attributable to common shareholders for the three months ended June 30, 2025 was $0.8 million, or $0.02 per common share, compared to net loss attributable to common shareholders of $4.1 million, or $0.09 per common share, for the three months ended June 30, 2024.

Book value per common share

The following table sets forth the calculation of our book value per common share (in thousands, except share and per share data):

June 30, 2025March 31, 2025Total shareholders’ equity$177,907 $179,339 Series A Preferred Stock ($25 liquidation preference per share)(57,669)(57,669)Total shareholders’ equity, net of preferred stock$120,238 $121,670 Number of common shares outstanding at period end47,310,13947,310,139Book value per common share$2.54 $2.57 

Book value per common share as