Sep 30, 2024

Sachem Capital Q3 2024 Earnings Report

Sachem Capital's Q3 2024 financial results were announced, revealing a decrease in revenue and a net loss, driven by lower loan originations and a significant provision for credit losses.

Key Takeaways

Sachem Capital reported a decrease in revenue to $14.8 million and a net loss of $6.1 million, or $0.13 per share, for the third quarter ended September 30, 2024. This downturn was primarily due to reduced loan origination activity, leading to lower interest and fee income, and a substantial increase in the provision for credit losses. The company is focusing on strategic initiatives to strengthen its balance sheet and position itself for future growth.

Total revenue decreased to $14.8 million, compared to $17.8 million in the same quarter of the previous year.

Net loss attributable to common shares was $6.1 million, or $0.13 per share, a significant shift from the net income of $5.2 million, or $0.12 per share, in Q3 2023.

Total assets decreased to $555.5 million, down from $625.5 million at the end of 2023.

The company declared a quarterly dividend of $0.05 per share, payable on November 26, 2024.

Total Revenue
$14.8M
Previous year: $17.5M
-15.7%
EPS
-$0.13
Previous year: $0.12
-208.3%
Cash and Equivalents
$6.7M
Previous year: $103M
-93.5%
Total Assets
$556M
Previous year: $638M
-12.9%

Sachem Capital

Sachem Capital

Forward Guidance

The Company plans to repay the $34.5 million of unsecured unsubordinated notes due and payable by December 30, 2024 with a combination of current cash on hand, principal repayments from mortgage loans, its lines of credit, and the sale of mortgage loans.