Jun 30, 2024

Annaly Q2 2024 Earnings Report

Annaly's financial performance reflected a positive economic return, driven by diversified capital allocation and a balanced hedge portfolio.

Key Takeaways

Annaly Capital Management reported a GAAP net loss of ($0.09) per average common share, but earnings available for distribution (EAD) of $0.68 per average common share. The company's economic return was 0.9% for the quarter and 5.7% for the first half of the year. Annaly strategically increased its Agency portfolio and maintained a conservative hedge position.

GAAP net loss of ($0.09) per average common share for the quarter.

Earnings available for distribution (EAD) of $0.68 per average common share for the quarter.

Economic return of 0.9% for the second quarter and 5.7% for the first half of 2024.

Agency portfolio increased 2% quarter-over-quarter.

Total Revenue
$1.18B
Previous year: $921M
+27.7%
EPS
$0.68
Previous year: $0.72
-5.6%
Net Interest Margin
0.24%
Previous year: -0.15%
-260.0%
Average Yield on Assets
5.17%
Previous year: 4.27%
+21.1%
Cost of Interest Bearing Liabilities
5.43%
Previous year: 5%
+8.6%
Cash and Equivalents
$1.59B
Previous year: $1.24B
+28.3%
Total Assets
$93.7B
Previous year: $89.3B
+4.9%

Annaly

Annaly

Forward Guidance

Annaly anticipates growth due to moderating interest rate volatility and dovish monetary policy.

Positive Outlook

  • Near-term rate cut is increasingly likely.
  • Interest rate volatility appears poised to moderate.
  • More dovish monetary policy is on the horizon.
  • Substantial liquidity.
  • Prudent leverage and nimble capital structure.