第二季度业绩凸显收益部署，Chimera股价上涨

Chimera Investment (NYSE:CIM) stock climbed 6.5% in Wednesday morning trading after Q2 earnings topped the consensus estimate, even though the mortgage REIT's net interest fell short of Wall Street expectations.

Q2 earnings available for distribution of $0.37 per share, topping the consensus of $0.35, were flat with the prior quarter and edged up from $0.36 in last year's Q2.

Net interest income of $67.3M, missing the average analyst estimate of $71.3M, increased from $65.1M in Q1. Economic net interest income of $72.4M increased from $68.0M in Q1.

"Our ability to successfully deploy proceeds during the first half of the year enabled us to increase our dividend and generate an 8.4% economic return for the first half of the year," said President and CEO Phillip J. Kardis.

Its increase in provision for credit losses rose to $3.68M from $1.34M in the previous quarter and $2.76M in the year-ago period.

GAAP book value of $21.27 per common share dropped from $21.32 at March 31.

Assets' total average balance for the quarter ended June 30, 2024, was $12.75B vs. $12.69B in the prior quarter.

Q2 economic return was 1.4% vs. 7.0% in Q1.

In Q2, the company issued and sold $65M of 9.0% senior unsecured noted due in 2029. After its July securitization, Chimera (CIM) expects to continue to acquire and securitize mortgage loans and further implement its call optimization strategy on securitizations.

During the quarter, Chimera (CIM) committed to purchasing $486M of reperforming loans, which settled into a rated resecuritization in July, purchased $377M of agency CMO floaters, purchased $65M of guaranteed senior floating rate SLST securities, and invested $16M of high-yielding subordinated tranches of new issue mortgage securitizations backed by small balance commercial properties.

Earlier, Chimera Investment reports mixed Q2 results