2023-07-26 16:17:06 ET
Ladder Capital ( NYSE: LADR ) stock slipped 1.4% in Wednesday after-hours trading after the commercial real estate investment trust turned in Q2 earnings per share that exceeded the Wall Street consensus by a penny. Its provision for loan loss reserves jumped more than 40% from the previous quarter.
The commercial real estate investment trust reported Q2 distributable EPS of $0.33, just beating the $0.32 average analyst estimate, fell from $0.38 in the previous quarter.
"We generated a double-digit return on equity and maintained our strong dividend coverage," said CEO Brian Harris. "With over 50% of our assets unencumbered, low leverage, and robust liquidity, we believe we are well-positioned to capitalize on the opportunities we expect to see in our sector in the second half of 2023 and into 2024."
Q2 net interest income of $40.5M dropped $43.0M in Q1 2022.
Provision for loan loss reserves increased to $6.89M from $4.74M in the prior quarter.
Real estate operating income of $25.9M rose from $23.2M in Q1.
Total costs and expenses of $39.1M dropped from $46.2M in the previous quarter.
Cash and cash equivalents of $777.1M at June 30, 2023 climbed from $626.1M at March 31.
Conference call at 4:30 PM ET.
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Ladder Capital Q2 earnings just top estimate; provision for loan losses rises