v3.26.3
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Net Interest Income:        
Interest income [1] $ 230,687 $ 209,100 $ 671,607 $ 601,014
Interest expense [2] 159,504 144,089 454,912 400,773
Net interest income 71,183 65,011 216,695 200,241
Increase in provision for credit losses 6,847 2,587 16,863 10,383
Other income (losses):        
Net unrealized gains (losses) on derivatives 127,224 (7,907) 160,772 (16,932)
Realized gains (losses) on derivatives 74,901 2,015 87,298 (15,857)
Periodic interest on derivatives, net 5,639 5,751 9,534 14,953
Net gains (losses) on derivatives 207,764 (141) 257,604 (17,836)
Investment management and advisory fees 7,978 8,509 21,682 26,254
Interest income from investment in MSR financing receivables [3] 777 500 3,927 500
Net unrealized gains (losses) on financial instruments at fair value (391,000) (36,995) (471,922) 98,872
Net realized gains (losses) on sales of investments (26,889) 1,991 (76,941) 76
Gains (losses) on extinguishment of debt 0 0 (41,605) 2,122
Other investment gains (losses) 1,063 1,945 1,382 4,481
Gain on origination and sale of loans, net 11,128 0 54,723 0
Total other income (losses) (189,179) (24,191) (251,150) 114,469
Other expenses:        
Compensation and benefits [4] 23,875 13,756 75,683 38,501
General and administrative expenses 12,174 6,936 35,814 20,658
Servicing and asset manager fees 6,164 6,991 16,117 21,726
Depreciation, amortization, and impairment of intangible assets 5,479 948 19,203 2,850
Transaction expenses 0 9,931 3,305 16,009
Total other expenses 47,692 38,562 150,122 99,744
Income (loss) before income taxes (172,535) (329) (201,440) 204,583
Income tax expense (benefit) (306) 251 (2,671) 2,416
Net income (loss) (172,229) (580) (198,769) 202,167
Dividends on preferred stock 21,433 21,417 63,910 64,200
Net income (loss) available to common shareholders $ (193,662) $ (21,997) $ (262,679) $ 137,967
Net income (loss) per share available to common shareholders:        
Basic (in dollars per share) $ (2.31) $ (0.27) $ (3.14) $ 1.69
Diluted (in dollars per share) $ (2.31) $ (0.27) $ (3.14) $ 1.67
Weighted average number of common shares outstanding:        
Basic (in shares) 83,870,874 81,507,492 83,787,100 81,435,782
Diluted (in shares) 83,870,874 81,507,492 83,787,100 82,696,006
[1] Includes interest income of consolidated VIEs of $104,642 and $137,597 for the quarters ended September 30, 2026 and 2025 respectively, and $339,901 and $423,817 for the nine months ended September 30, 2026 and 2025, respectively. See Note 10 for further discussion.
[2] Includes interest expense of consolidated VIEs of $55,287 and $70,387 for the quarters ended September 30, 2026 and 2025 respectively, and $173,765 and $213,076 for the nine months ended September 30, 2026 and 2025, respectively. See Note 10 for further discussion.
[3] Includes interest income from investment in MSR financing receivables of a consolidated VIE of $312 and $363 for the quarter ended September 30, 2026 and 2025, respectively, and $2,162 and $363 for the nine months ended September 30, 2026 and 2025. See Note 10 for further discussion.
[4] Includes a related-party, non-cash imputed compensation expense from the Palisades Acquisition of $302 and $341 for the quarters ended September 30, 2026 and 2025, respectively, and $984 and $1,023 for the nine months ended September 30, 2026 and 2025, respectively.

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