– Quarterly GAAP Earnings of $0.23 and Distributable Earnings (DE) of
$0.48 per Diluted Share –
– Originated or Acquired $2.1 Billion of Assets in the Quarter and
$3.5 Billion Year-To-Date –
– Received Repayments of $1.6 Billion in the Quarter and $3.7 Billion Year-To-Date –
– Raised $800
Million of Capital Bringing Liquidity to a Record
$1.8 Billion –
– Undepreciated Book Value Per Share of
$20.22 –
– Paid Dividend of $0.48 per Share –
GREENWICH, Conn., Nov. 6, 2024
/PRNewswire/ -- Starwood Property Trust, Inc. (NYSE: STWD) today
announced operating results for the fiscal quarter ended
September 30, 2024. The Company's third quarter 2024
GAAP net income was $76.1 million, inclusive of a $66.4 million credit loss provision, and
Distributable Earnings (a non-GAAP financial measure) was
$159.0 million.
"STWD's differentiated multi-cylinder business model, created
exactly to help us weather storms, has served us well. To date, we
are the only company in the United
States categorized as a commercial mortgage REIT that did
not reduce its dividend, either in the pandemic or because of the
Fed's rapid increase in rates. While we remain among the dominant
large real estate loan lenders in the nation, our commercial
lending book is roughly 60% of our total assets today. Our
other cylinders, particularly infrastructure lending, conduit and
special servicing, have contributed an increasing share to our
performance. We also used this period to significantly reduce our
leverage, which is a full turn or more below many of our peers.
Like most of our peers, we have had, and are likely to continue to
have, restructurings in our loan book as the cycle moves on, but it
is gratifying that knowing this, we are still able to move to full
offense again," commented Barry
Sternlicht, Chairman and CEO of Starwood Property Trust.
"After successfully accessing the equity and debt markets for
the third time this year, which were met with record demand, we
have $1.8 billion of liquidity, our
highest level ever, and a leverage ratio of just 2.1x. We
invested over $2.0 billion in the
quarter, our highest volume since the Fed began raising rates in
2022. With record liquidity and a robust pipeline, along with
additional access to capital via our $4.6
billion of unencumbered assets and over $4.00 per share of unrealized gains in our
property book, we are well positioned to increase our investment
pace as transaction volumes return to the real estate markets,"
added Jeffrey DiModica, President of
Starwood Property Trust.
Supplemental Schedules
The Company has published supplemental earnings schedules on its
website in order to provide additional disclosure and financial
information for the benefit of the Company's stakeholders.
Specifically, these materials can be found on the Company's website
in the Investor Relations section under "Quarterly Results" at
www.starwoodpropertytrust.com.
Webcast and Conference Call Information
The Company will host a live webcast and conference call on
Wednesday, November 6, 2024, at 10:00
a.m. Eastern Time. To listen to a live broadcast,
access the site at least 15 minutes prior to the scheduled start
time in order to register, download and install any necessary audio
software. The webcast is available at
www.starwoodpropertytrust.com in the Investor Relations
section of the website. The Company encourages use of the
webcast due to potential extended wait times to access the
conference call via dial-in.
To Participate via Telephone Conference Call:
Dial in
at least 15 minutes prior to start time.
Domestic: 1-877-407-9039
International: 1-201-689-8470
Conference Call Playback:
Domestic:
1-844-512-2921
International: 1-412-317-6671
Passcode: 13742861
The playback can be accessed through November 20, 2024.
About Starwood Property Trust, Inc.
Starwood Property Trust (NYSE: STWD), an affiliate of global
private investment firm Starwood Capital Group, is a leading
diversified finance company with a core focus on the real estate
and infrastructure sectors. As of September 30, 2024,
the Company has successfully deployed over $100 billion of capital since inception and
manages a portfolio of $26 billion
across debt and equity investments. Starwood Property Trust's
investment objective is to generate attractive and stable returns
for shareholders, primarily through dividends, by leveraging a
premiere global organization to identify and execute on the best
risk adjusted returning investments across its target assets.
Additional information can be found at
www.starwoodpropertytrust.com.
Forward-Looking Statements
Statements in this press release which are not historical fact
may be deemed forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements are developed by combining
currently available information with our beliefs and assumptions
and are generally identified by the words "believe," "expect,"
"anticipate" and other similar expressions. Although Starwood
Property Trust, Inc. believes the expectations reflected in any
forward-looking statements are based on reasonable assumptions, it
can give no assurance that its expectations will be attained.
Factors that could cause actual results to differ materially
from the Company's expectations include, but are not limited to,
completion of pending investments and financings, continued ability
to acquire additional investments, competition within the finance
and real estate industries, availability of financing, and other
risks detailed under the heading "Risk Factors" in the Company's
Annual Report on Form 10-K for the fiscal year ended
December 31, 2023, as well as other risks and uncertainties
set forth from time to time in the Company's reports filed with the
SEC, including its Quarterly Report on Form 10-Q for the quarter
ended September 30, 2024.
In light of these risks and uncertainties, there can be no
assurances that the results referred to in the forward-looking
statements contained herein will in fact occur. Except to the
extent required by applicable law or regulation, we undertake no
obligation to, and expressly disclaim any such obligation to,
update or revise any forward-looking statements to reflect changed
assumptions, the occurrence of anticipated or unanticipated events,
changes to future results over time or otherwise.
Additional information can be found on the Company's website at
www.starwoodpropertytrust.com.
Contact:
Zachary
Tanenbaum
Starwood Property Trust
Phone: 203-422-7788
Email: ztanenbaum@starwood.com
|
Starwood Property Trust, Inc. and
Subsidiaries
Condensed Consolidated Statement of
Operations by Segment
For the three months ended
September 30, 2024
(Amounts in thousands)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Subtotal
|
|
Securitization
VIEs
|
|
Total
|
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income from
loans
|
$
349,589
|
|
$
63,910
|
|
$
—
|
|
$
5,258
|
|
$
—
|
|
$
418,757
|
|
$
—
|
|
$
418,757
|
|
Interest income from
investment securities
|
29,392
|
|
123
|
|
—
|
|
24,882
|
|
—
|
|
54,397
|
|
(37,170)
|
|
17,227
|
|
Servicing
fees
|
109
|
|
—
|
|
—
|
|
15,448
|
|
—
|
|
15,557
|
|
(3,730)
|
|
11,827
|
|
Rental
income
|
4,267
|
|
—
|
|
16,352
|
|
5,360
|
|
—
|
|
25,979
|
|
—
|
|
25,979
|
|
Other
revenues
|
2,149
|
|
1,410
|
|
212
|
|
1,338
|
|
641
|
|
5,750
|
|
—
|
|
5,750
|
|
Total
revenues
|
385,506
|
|
65,443
|
|
16,564
|
|
52,286
|
|
641
|
|
520,440
|
|
(40,900)
|
|
479,540
|
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Management
fees
|
185
|
|
—
|
|
—
|
|
—
|
|
27,254
|
|
27,439
|
|
—
|
|
27,439
|
|
Interest
expense
|
209,464
|
|
38,381
|
|
10,375
|
|
10,160
|
|
69,687
|
|
338,067
|
|
(208)
|
|
337,859
|
|
General and
administrative
|
14,430
|
|
4,440
|
|
1,236
|
|
24,249
|
|
3,699
|
|
48,054
|
|
—
|
|
48,054
|
|
Costs of rental
operations
|
3,140
|
|
—
|
|
6,057
|
|
2,936
|
|
—
|
|
12,133
|
|
—
|
|
12,133
|
|
Depreciation and
amortization
|
2,264
|
|
14
|
|
5,914
|
|
1,745
|
|
251
|
|
10,188
|
|
—
|
|
10,188
|
|
Credit loss provision,
net
|
65,021
|
|
1,406
|
|
—
|
|
—
|
|
—
|
|
66,427
|
|
—
|
|
66,427
|
|
Other
expense
|
15
|
|
175
|
|
—
|
|
285
|
|
—
|
|
475
|
|
—
|
|
475
|
|
Total costs and
expenses
|
294,519
|
|
44,416
|
|
23,582
|
|
39,375
|
|
100,891
|
|
502,783
|
|
(208)
|
|
502,575
|
|
Other income
(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in net assets
related to consolidated VIEs
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
16,570
|
|
16,570
|
|
Change in fair value of
servicing rights
|
—
|
|
—
|
|
—
|
|
975
|
|
—
|
|
975
|
|
(1,316)
|
|
(341)
|
|
Change in fair value of
investment securities, net
|
2,913
|
|
—
|
|
—
|
|
(29,277)
|
|
—
|
|
(26,364)
|
|
25,586
|
|
(778)
|
|
Change in fair value of
mortgage loans, net
|
95,747
|
|
—
|
|
—
|
|
19,124
|
|
—
|
|
114,871
|
|
—
|
|
114,871
|
|
Loss from affordable
housing fund investments
|
—
|
|
—
|
|
(5,590)
|
|
—
|
|
—
|
|
(5,590)
|
|
—
|
|
(5,590)
|
|
Earnings (loss) from
unconsolidated entities
|
1,277
|
|
(963)
|
|
—
|
|
183
|
|
—
|
|
497
|
|
(148)
|
|
349
|
|
Gain on sale of
investments and other assets, net
|
—
|
|
—
|
|
—
|
|
8,316
|
|
—
|
|
8,316
|
|
—
|
|
8,316
|
|
(Loss) gain on
derivative financial instruments, net
|
(108,436)
|
|
(104)
|
|
(546)
|
|
(3,592)
|
|
28,737
|
|
(83,941)
|
|
—
|
|
(83,941)
|
|
Foreign currency gain
(loss), net
|
58,930
|
|
546
|
|
(55)
|
|
—
|
|
—
|
|
59,421
|
|
—
|
|
59,421
|
|
Loss on extinguishment
of debt
|
(142)
|
|
—
|
|
—
|
|
(100)
|
|
—
|
|
(242)
|
|
—
|
|
(242)
|
|
Other (loss) income,
net
|
(2,146)
|
|
—
|
|
(879)
|
|
44
|
|
—
|
|
(2,981)
|
|
—
|
|
(2,981)
|
|
Total other income
(loss)
|
48,143
|
|
(521)
|
|
(7,070)
|
|
(4,327)
|
|
28,737
|
|
64,962
|
|
40,692
|
|
105,654
|
|
Income (loss) before
income taxes
|
139,130
|
|
20,506
|
|
(14,088)
|
|
8,584
|
|
(71,513)
|
|
82,619
|
|
—
|
|
82,619
|
|
Income tax (provision)
benefit
|
(7,422)
|
|
156
|
|
—
|
|
(3,183)
|
|
—
|
|
(10,449)
|
|
—
|
|
(10,449)
|
|
Net income
(loss)
|
131,708
|
|
20,662
|
|
(14,088)
|
|
5,401
|
|
(71,513)
|
|
72,170
|
|
—
|
|
72,170
|
|
Net (income) loss
attributable to non-controlling interests
|
(3)
|
|
—
|
|
(3,148)
|
|
7,049
|
|
—
|
|
3,898
|
|
—
|
|
3,898
|
|
Net income (loss)
attributable to Starwood Property Trust, Inc.
|
$
131,705
|
|
$
20,662
|
|
$
(17,236)
|
|
$
12,450
|
|
$ (71,513)
|
|
$ 76,068
|
|
$
—
|
|
$
76,068
|
Definition of Distributable Earnings
Distributable Earnings, a non-GAAP financial measure, is used to
compute the Company's incentive fees to its external manager and is
an appropriate supplemental disclosure for a mortgage REIT.
For the Company's purposes, Distributable Earnings is defined as
GAAP net income (loss) excluding non-cash equity compensation
expense, the incentive fee due to the Company's external manager,
acquisition costs for successful acquisitions, depreciation and
amortization of real estate and associated intangibles, any
unrealized gains, losses or other non-cash items recorded in net
income (loss) for the period and, to the extent deducted from net
income (loss), distributions payable with respect to equity
securities of subsidiaries issued in exchange for properties or
interests therein. The amount is adjusted to exclude one-time
events pursuant to changes in GAAP and certain other non-cash
adjustments as determined by the Company's external manager and
approved by a majority of the Company's independent
directors. Refer to the Company's Quarterly Report on Form
10-Q for the quarter ended September 30, 2024 for additional
information regarding Distributable Earnings.
|
Reconciliation of
Net Income to Distributable Earnings
For the three months
ended September 30, 2024
(Amounts in thousands except per
share data)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Total
|
|
Net income (loss)
attributable to Starwood
Property Trust, Inc.
|
$
131,705
|
|
$
20,662
|
|
$
(17,236)
|
|
$
12,450
|
|
$
(71,513)
|
|
$
76,068
|
|
Add /
(Deduct):
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-controlling
interests attributable to Woodstar II Class A Units
|
—
|
|
—
|
|
4,659
|
|
—
|
|
—
|
|
4,659
|
|
Non-controlling
interests attributable to unrealized gains/losses
|
—
|
|
—
|
|
(5,065)
|
|
(13,975)
|
|
—
|
|
(19,040)
|
|
Non-cash equity
compensation expense
|
2,582
|
|
521
|
|
103
|
|
1,624
|
|
5,958
|
|
10,788
|
|
Management incentive
fee
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
Depreciation and
amortization
|
2,409
|
|
5
|
|
6,004
|
|
1,839
|
|
—
|
|
10,257
|
|
Interest income
adjustment for securities
|
4,943
|
|
—
|
|
—
|
|
8,342
|
|
—
|
|
13,285
|
|
Consolidated
income tax provision (benefit) associated with fair
value adjustments
|
7,422
|
|
(156)
|
|
—
|
|
3,183
|
|
—
|
|
10,449
|
|
Other non-cash
items
|
3
|
|
—
|
|
282
|
|
(471)
|
|
—
|
|
(186)
|
|
Reversal of GAAP
unrealized and realized (gains) / losses on:
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
(95,747)
|
|
—
|
|
—
|
|
(19,124)
|
|
—
|
|
(114,871)
|
|
Credit loss provision,
net
|
65,021
|
|
1,406
|
|
—
|
|
—
|
|
—
|
|
66,427
|
|
Securities
|
(2,913)
|
|
—
|
|
—
|
|
29,277
|
|
—
|
|
26,364
|
|
Woodstar Fund
investments
|
—
|
|
—
|
|
5,590
|
|
—
|
|
—
|
|
5,590
|
|
Derivatives
|
108,436
|
|
104
|
|
546
|
|
3,592
|
|
(28,737)
|
|
83,941
|
|
Foreign
currency
|
(58,930)
|
|
(546)
|
|
55
|
|
—
|
|
—
|
|
(59,421)
|
|
(Earnings) loss from
unconsolidated entities
|
(1,277)
|
|
963
|
|
—
|
|
(183)
|
|
—
|
|
(497)
|
|
Sales of
properties
|
—
|
|
—
|
|
—
|
|
(8,316)
|
|
—
|
|
(8,316)
|
|
Recognition of
Distributable realized gains / (losses) on:
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
(1,551)
|
|
—
|
|
—
|
|
19,841
|
|
—
|
|
18,290
|
|
Securities
|
(10)
|
|
—
|
|
—
|
|
817
|
|
—
|
|
807
|
|
Woodstar Fund
investments
|
—
|
|
—
|
|
19,043
|
|
—
|
|
—
|
|
19,043
|
|
Derivatives
|
30,099
|
|
85
|
|
(129)
|
|
(4,354)
|
|
(11,425)
|
|
14,276
|
|
Foreign
currency
|
(3,534)
|
|
67
|
|
(55)
|
|
—
|
|
—
|
|
(3,522)
|
|
Earnings (loss) from
unconsolidated entities
|
1,278
|
|
(297)
|
|
—
|
|
350
|
|
—
|
|
1,331
|
|
Sales of
properties
|
—
|
|
—
|
|
—
|
|
3,237
|
|
—
|
|
3,237
|
|
Distributable
Earnings (Loss)
|
$
189,936
|
|
$
22,814
|
|
$
13,797
|
|
$
38,129
|
|
$
(105,717)
|
|
$
158,959
|
|
Distributable
Earnings (Loss) per Weighted Average Diluted Share
|
$
0.57
|
|
$
0.07
|
|
$
0.04
|
|
$
0.12
|
|
$
(0.32)
|
|
$
0.48
|
|
Starwood Property Trust, Inc. and
Subsidiaries
Condensed Consolidated Statement of
Operations by Segment
For the nine months ended September
30, 2024
(Amounts in thousands)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Subtotal
|
|
Securitization
VIEs
|
|
Total
|
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income from
loans
|
$
1,102,810
|
|
$
194,526
|
|
$
—
|
|
$
12,345
|
|
$
—
|
|
$
1,309,681
|
|
$
—
|
|
$ 1,309,681
|
|
Interest income from
investment securities
|
90,170
|
|
391
|
|
—
|
|
70,663
|
|
—
|
|
161,224
|
|
(108,791)
|
|
52,433
|
|
Servicing
fees
|
361
|
|
—
|
|
—
|
|
48,512
|
|
—
|
|
48,873
|
|
(11,324)
|
|
37,549
|
|
Rental
income
|
11,819
|
|
—
|
|
52,863
|
|
15,603
|
|
—
|
|
80,285
|
|
—
|
|
80,285
|
|
Other
revenues
|
4,455
|
|
2,690
|
|
574
|
|
2,836
|
|
1,951
|
|
12,506
|
|
—
|
|
12,506
|
|
Total
revenues
|
1,209,615
|
|
197,607
|
|
53,437
|
|
149,959
|
|
1,951
|
|
1,612,569
|
|
(120,115)
|
|
1,492,454
|
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Management
fees
|
569
|
|
—
|
|
—
|
|
—
|
|
103,401
|
|
103,970
|
|
—
|
|
103,970
|
|
Interest
expense
|
662,124
|
|
115,229
|
|
35,325
|
|
26,952
|
|
199,200
|
|
1,038,830
|
|
(626)
|
|
1,038,204
|
|
General and
administrative
|
49,003
|
|
14,625
|
|
3,701
|
|
71,407
|
|
11,063
|
|
149,799
|
|
—
|
|
149,799
|
|
Costs of rental
operations
|
8,577
|
|
—
|
|
17,309
|
|
8,661
|
|
—
|
|
34,547
|
|
—
|
|
34,547
|
|
Depreciation and
amortization
|
6,349
|
|
43
|
|
17,695
|
|
5,289
|
|
754
|
|
30,130
|
|
—
|
|
30,130
|
|
Credit loss provision,
net
|
142,993
|
|
1,982
|
|
—
|
|
—
|
|
—
|
|
144,975
|
|
—
|
|
144,975
|
|
Other
expense
|
771
|
|
175
|
|
35
|
|
453
|
|
—
|
|
1,434
|
|
—
|
|
1,434
|
|
Total costs and
expenses
|
870,386
|
|
132,054
|
|
74,065
|
|
112,762
|
|
314,418
|
|
1,503,685
|
|
(626)
|
|
1,503,059
|
|
Other income
(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in net assets
related to consolidated VIEs
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
43,836
|
|
43,836
|
|
Change in fair value of
servicing rights
|
—
|
|
—
|
|
—
|
|
(1,521)
|
|
—
|
|
(1,521)
|
|
2,303
|
|
782
|
|
Change in fair value of
investment securities, net
|
(4,352)
|
|
—
|
|
—
|
|
(69,445)
|
|
—
|
|
(73,797)
|
|
74,301
|
|
504
|
|
Change in fair value of
mortgage loans, net
|
102,781
|
|
—
|
|
—
|
|
47,498
|
|
—
|
|
150,279
|
|
—
|
|
150,279
|
|
Income from affordable
housing fund investments
|
—
|
|
—
|
|
10,304
|
|
—
|
|
—
|
|
10,304
|
|
—
|
|
10,304
|
|
Earnings (loss) from
unconsolidated entities
|
10,293
|
|
(694)
|
|
—
|
|
1,046
|
|
—
|
|
10,645
|
|
(951)
|
|
9,694
|
|
(Loss) gain on sale of
investments and other assets, net
|
(41)
|
|
—
|
|
92,003
|
|
8,316
|
|
—
|
|
100,278
|
|
—
|
|
100,278
|
|
Gain on derivative
financial instruments, net
|
11,636
|
|
59
|
|
1,442
|
|
129
|
|
5,718
|
|
18,984
|
|
—
|
|
18,984
|
|
Foreign currency gain
(loss), net
|
23,970
|
|
479
|
|
(13)
|
|
—
|
|
—
|
|
24,436
|
|
—
|
|
24,436
|
|
Gain (loss) on
extinguishment of debt
|
173
|
|
(620)
|
|
(2,254)
|
|
(100)
|
|
—
|
|
(2,801)
|
|
—
|
|
(2,801)
|
|
Other (loss) income,
net
|
(7,337)
|
|
40
|
|
(1,156)
|
|
50
|
|
—
|
|
(8,403)
|
|
—
|
|
(8,403)
|
|
Total other income
(loss)
|
137,123
|
|
(736)
|
|
100,326
|
|
(14,027)
|
|
5,718
|
|
228,404
|
|
119,489
|
|
347,893
|
|
Income (loss) before
income taxes
|
476,352
|
|
64,817
|
|
79,698
|
|
23,170
|
|
(306,749)
|
|
337,288
|
|
—
|
|
337,288
|
|
Income tax (provision)
benefit
|
(18,930)
|
|
414
|
|
—
|
|
(9,017)
|
|
—
|
|
(27,533)
|
|
—
|
|
(27,533)
|
|
Net income
(loss)
|
457,422
|
|
65,231
|
|
79,698
|
|
14,153
|
|
(306,749)
|
|
309,755
|
|
—
|
|
309,755
|
|
Net (income) loss
attributable to non-controlling interests
|
(10)
|
|
—
|
|
(15,010)
|
|
13,555
|
|
—
|
|
(1,465)
|
|
—
|
|
(1,465)
|
|
Net income (loss)
attributable to Starwood Property Trust, Inc.
|
$
457,412
|
|
$
65,231
|
|
$
64,688
|
|
$
27,708
|
|
$
(306,749)
|
|
$
308,290
|
|
$
—
|
|
$
308,290
|
|
Reconciliation of
Net Income to Distributable Earnings
For the nine months
ended September 30, 2024
(Amounts in thousands except per
share data)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Total
|
|
Net income (loss)
attributable to Starwood
Property Trust, Inc.
|
$
457,412
|
|
$
65,231
|
|
$
64,688
|
|
$
27,708
|
|
$
(306,749)
|
|
$
308,290
|
|
Add /
(Deduct):
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-controlling
interests attributable to Woodstar II Class A Units
|
—
|
|
—
|
|
13,978
|
|
—
|
|
—
|
|
13,978
|
|
Non-controlling
interests attributable to unrealized gains/losses
|
—
|
|
—
|
|
(9,028)
|
|
(25,498)
|
|
—
|
|
(34,526)
|
|
Non-cash equity
compensation expense
|
7,320
|
|
1,485
|
|
288
|
|
4,797
|
|
17,612
|
|
31,502
|
|
Management incentive
fee
|
—
|
|
—
|
|
—
|
|
—
|
|
22,593
|
|
22,593
|
|
Depreciation and
amortization
|
6,793
|
|
15
|
|
17,955
|
|
5,570
|
|
—
|
|
30,333
|
|
Interest income
adjustment for securities
|
15,891
|
|
—
|
|
—
|
|
25,603
|
|
—
|
|
41,494
|
|
Consolidated
income tax provision
(benefit} associated with fair
value adjustments
|
18,930
|
|
(414)
|
|
—
|
|
9,017
|
|
—
|
|
27,533
|
|
Other non-cash
items
|
10
|
|
—
|
|
834
|
|
(823)
|
|
—
|
|
21
|
|
Reversal of GAAP
unrealized and realized (gains) / losses on:
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
(102,781)
|
|
—
|
|
—
|
|
(47,498)
|
|
—
|
|
(150,279)
|
|
Credit loss provision,
net
|
142,993
|
|
1,982
|
|
—
|
|
—
|
|
—
|
|
144,975
|
|
Securities
|
4,352
|
|
—
|
|
—
|
|
69,445
|
|
—
|
|
73,797
|
|
Woodstar Fund
investments
|
—
|
|
—
|
|
(10,304)
|
|
—
|
|
—
|
|
(10,304)
|
|
Derivatives
|
(11,636)
|
|
(59)
|
|
(1,442)
|
|
(129)
|
|
(5,718)
|
|
(18,984)
|
|
Foreign
currency
|
(23,970)
|
|
(479)
|
|
13
|
|
—
|
|
—
|
|
(24,436)
|
|
(Earnings) loss from
unconsolidated entities
|
(10,293)
|
|
694
|
|
—
|
|
(1,046)
|
|
—
|
|
(10,645)
|
|
Sales of
properties
|
—
|
|
—
|
|
(92,003)
|
|
(8,316)
|
|
—
|
|
(100,319)
|
|
Recognition of
Distributable realized gains / (losses) on:
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
(4,949)
|
|
—
|
|
—
|
|
47,261
|
|
—
|
|
42,312
|
|
Realized credit
loss
|
—
|
|
(1,546)
|
|
—
|
|
—
|
|
—
|
|
(1,546)
|
|
Securities
|
(9,302)
|
|
—
|
|
—
|
|
(37,078)
|
|
—
|
|
(46,380)
|
|
Woodstar Fund
investments
|
—
|
|
—
|
|
54,246
|
|
—
|
|
—
|
|
54,246
|
|
Derivatives
|
101,184
|
|
269
|
|
8,694
|
|
1,019
|
|
(31,750)
|
|
79,416
|
|
Foreign
currency
|
(12,209)
|
|
55
|
|
(13)
|
|
—
|
|
—
|
|
(12,167)
|
|
Earnings (loss) from
unconsolidated entities
|
4,272
|
|
(326)
|
|
—
|
|
1,033
|
|
—
|
|
4,979
|
|
Sales of
properties
|
—
|
|
—
|
|
39,150
|
|
3,237
|
|
—
|
|
42,387
|
|
Distributable
Earnings (Loss)
|
$
584,017
|
|
$
66,907
|
|
$
87,056
|
|
$
74,302
|
|
$
(304,012)
|
|
$
508,270
|
|
Distributable
Earnings (Loss) per Weighted Average Diluted Share
|
$
1.78
|
|
$
0.20
|
|
$
0.26
|
|
$
0.23
|
|
$
(0.92)
|
|
$
1.55
|
|
Starwood Property Trust, Inc. and
Subsidiaries
Condensed Consolidated Balance Sheet by
Segment
As of September 30, 2024
(Amounts in
thousands)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Subtotal
|
|
Securitization
VIEs
|
|
Total
|
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
$
11,235
|
|
$
174,581
|
|
$
35,527
|
|
$
13,692
|
|
$
122,818
|
|
$
357,853
|
|
$
—
|
|
$
357,853
|
|
Restricted
cash
|
93,839
|
|
19,825
|
|
1,057
|
|
4,627
|
|
32,935
|
|
152,283
|
|
—
|
|
152,283
|
|
Loans
held-for-investment, net
|
13,713,603
|
|
2,415,162
|
|
—
|
|
—
|
|
—
|
|
16,128,765
|
|
—
|
|
16,128,765
|
|
Loans
held-for-sale
|
2,540,411
|
|
—
|
|
—
|
|
232,968
|
|
—
|
|
2,773,379
|
|
—
|
|
2,773,379
|
|
Investment
securities
|
1,094,588
|
|
17,275
|
|
—
|
|
1,189,930
|
|
—
|
|
2,301,793
|
|
(1,585,991)
|
|
715,802
|
|
Properties,
net
|
476,951
|
|
—
|
|
659,351
|
|
58,288
|
|
—
|
|
1,194,590
|
|
—
|
|
1,194,590
|
|
Investments of
consolidated affordable housing fund
|
—
|
|
—
|
|
1,984,822
|
|
—
|
|
—
|
|
1,984,822
|
|
—
|
|
1,984,822
|
|
Investments in
unconsolidated entities
|
26,407
|
|
51,997
|
|
—
|
|
27,270
|
|
—
|
|
105,674
|
|
(14,665)
|
|
91,009
|
|
Goodwill
|
—
|
|
119,409
|
|
—
|
|
140,437
|
|
—
|
|
259,846
|
|
—
|
|
259,846
|
|
Intangible
assets
|
11,373
|
|
—
|
|
22,770
|
|
61,577
|
|
—
|
|
95,720
|
|
(35,561)
|
|
60,159
|
|
Derivative
assets
|
67,220
|
|
—
|
|
544
|
|
1,799
|
|
5,076
|
|
74,639
|
|
—
|
|
74,639
|
|
Accrued interest
receivable
|
179,174
|
|
16,572
|
|
224
|
|
964
|
|
212
|
|
197,146
|
|
—
|
|
197,146
|
|
Other
assets
|
150,882
|
|
7,247
|
|
52,816
|
|
8,646
|
|
73,571
|
|
293,162
|
|
—
|
|
293,162
|
|
VIE assets, at fair
value
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
39,950,395
|
|
39,950,395
|
|
Total
Assets
|
$
18,365,683
|
|
$
2,822,068
|
|
$
2,757,111
|
|
$
1,740,198
|
|
$
234,612
|
|
$
25,919,672
|
|
$
38,314,178
|
|
$
64,233,850
|
|
Liabilities and
Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable,
accrued expenses and other liabilities
|
$
184,956
|
|
$
63,422
|
|
$
12,584
|
|
$
44,583
|
|
$
89,689
|
|
$
395,234
|
|
$
—
|
|
$
395,234
|
|
Related-party
payable
|
—
|
|
—
|
|
—
|
|
—
|
|
25,542
|
|
25,542
|
|
—
|
|
25,542
|
|
Dividends
payable
|
—
|
|
—
|
|
—
|
|
—
|
|
163,669
|
|
163,669
|
|
—
|
|
163,669
|
|
Derivative
liabilities
|
90,530
|
|
—
|
|
—
|
|
69
|
|
27,562
|
|
118,161
|
|
—
|
|
118,161
|
|
Secured financing
agreements, net
|
8,628,342
|
|
796,183
|
|
479,138
|
|
639,323
|
|
1,332,072
|
|
11,875,058
|
|
(20,440)
|
|
11,854,618
|
|
Collateralized loan
obligations and single asset securitization, net
|
2,163,968
|
|
1,138,281
|
|
—
|
|
—
|
|
—
|
|
3,302,249
|
|
—
|
|
3,302,249
|
|
Unsecured senior
notes, net
|
—
|
|
—
|
|
—
|
|
—
|
|
2,757,146
|
|
2,757,146
|
|
—
|
|
2,757,146
|
|
VIE liabilities, at
fair value
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
38,334,618
|
|
38,334,618
|
|
Total
Liabilities
|
11,067,796
|
|
1,997,886
|
|
491,722
|
|
683,975
|
|
4,395,680
|
|
18,637,059
|
|
38,314,178
|
|
56,951,237
|
|
Temporary
Equity: Redeemable non-controlling interests
|
—
|
|
—
|
|
410,799
|
|
—
|
|
—
|
|
410,799
|
|
—
|
|
410,799
|
|
Permanent
Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Starwood Property
Trust, Inc. Stockholders' Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
stock
|
—
|
|
—
|
|
—
|
|
—
|
|
3,447
|
|
3,447
|
|
—
|
|
3,447
|
|
Additional paid-in
capital
|
1,309,195
|
|
586,273
|
|
(391,883)
|
|
(652,611)
|
|
5,460,889
|
|
6,311,863
|
|
—
|
|
6,311,863
|
|
Treasury
stock
|
—
|
|
—
|
|
—
|
|
—
|
|
(138,022)
|
|
(138,022)
|
|
—
|
|
(138,022)
|
|
Retained earnings
(accumulated deficit)
|
5,972,318
|
|
237,909
|
|
2,039,228
|
|
1,584,106
|
|
(9,487,382)
|
|
346,179
|
|
—
|
|
346,179
|
|
Accumulated other
comprehensive income
|
16,256
|
|
—
|
|
—
|
|
—
|
|
—
|
|
16,256
|
|
—
|
|
16,256
|
|
Total Starwood
Property Trust, Inc. Stockholders' Equity
|
7,297,769
|
|
824,182
|
|
1,647,345
|
|
931,495
|
|
(4,161,068)
|
|
6,539,723
|
|
—
|
|
6,539,723
|
|
Non-controlling
interests in consolidated subsidiaries
|
118
|
|
—
|
|
207,245
|
|
124,728
|
|
—
|
|
332,091
|
|
—
|
|
332,091
|
|
Total Permanent
Equity
|
7,297,887
|
|
824,182
|
|
1,854,590
|
|
1,056,223
|
|
(4,161,068)
|
|
6,871,814
|
|
—
|
|
6,871,814
|
|
Total Liabilities
and Equity
|
$
18,365,683
|
|
$
2,822,068
|
|
$
2,757,111
|
|
$
1,740,198
|
|
$
234,612
|
|
$
25,919,672
|
|
$
38,314,178
|
|
$
64,233,850
|
View original
content:https://www.prnewswire.com/news-releases/starwood-property-trust-reports-results-for-quarter-ended-september-30-2024-302297302.html
SOURCE Starwood Property Trust, Inc.