Note 15 – Summarized Quarterly Results (Unaudited)

The following tables present information about the Company’s quarterly operating results for the periods indicated below (dollars in thousands):

Summarized Quarterly Results

	2019
	December 31,			September 30,			June 30,			March 31,
Income
Interest income	$	19,770		$	19,383		$	17,216		$	16,969
Interest expense		13,499			12,635			11,707			10,744
Net interest income		6,271			6,748			5,509			6,225
Servicing fee income		19,318			18,687			18,362			17,188
Servicing costs		5,096			4,102			4,103			3,821
Net servicing income		14,222			14,585			14,259			13,367
Other income (loss)
Realized gain (loss) on RMBS, available-for-sale, net		627			275			-			-
Realized loss on derivatives, net		(17,148	)		12,627			(365	)		(7,476	)
Realized gain (loss) on acquired assets, net		(28	)		54			-			-
Unrealized gain (loss) on derivatives, net		3,357			(2,133	)		(3,819	)		(8,272	)
Unrealized gain (loss) on investments in Servicing Related Assets		1,959			(37,514	)		(44,042	)		(27,175	)
Total Income (Loss)		9,260			(5,358	)		(28,458	)		(23,331	)
Expenses
General and administrative expense		1,352			1,194			1,138			963
Management fee to affiliate		1,999			2,042			1,934			1,809
Total Expenses		3,351			3,236			3,072			2,772
Income (Loss) Before Income Taxes		5,909			(8,594	)		(31,530	)		(26,103	)
Provision for (Benefit from) corporate business taxes		(1,842	)		(5,643	)		(4,372	)		(4,965	)
Net Income (Loss)		7,751			(2,951	)		(27,158	)		(21,138	)
Net (income) loss allocated to noncontrolling interests in Operating Partnership		(127	)		43			438			349
Dividends on preferred stock		2,460			2,459			2,593			1,841
Net Income (Loss) Applicable to Common Stockholders	$	5,164		$	(5,367	)	$	(29,313	)	$	(22,630	)
Net Income (Loss) Per Share of Common Stock
Basic	$	0.31		$	(0.32	)	$	(1.75	)	$	(1.36	)
Diluted	$	0.31		$	(0.32	)	$	(1.75	)	$	(1.36	)
Weighted Average Number of Shares of Common Stock Outstanding
Basic		16,797,523			16,883,816			16,776,472			16,646,114
Diluted		16,810,312			16,896,605			16,789,261			16,654,370

	2018
	December 31,			September 30,			June 30,			March 31,
Income
Interest income	$	16,958		$	15,323		$	12,019		$	13,415
Interest expense		10,385			9,257			7,324			7,543
Net interest income		6,573			6,066			4,695			5,872
Servicing fee income		16,574			14,017			11,535			8,650
Servicing costs		3,528			2,981			2,394			1,712
Net servicing income		13,046			11,036			9,141			6,938
Other income (loss)
Realized loss on RMBS, net		(2,932	)		(428	)		(121	)		(4,881	)
Realized gain (loss) on derivatives, net		(3,162	)		(707	)		(2,033	)		13
Unrealized gain (loss) on derivatives, net		(30,937	)		8,807			6,009			19,626
Unrealized gain (loss) on investments in MSRs		(21,924	)		6,218			(365	)		12,498
Total Income (Loss)		(39,336	)		30,992			17,326			40,066
Expenses
General and administrative expense		962			1,165			937			877
Management fee to affiliate		1,649			1,599			1,383			1,315
Total Expenses		2,611			2,764			2,320			2,192
Income Before Income Taxes		(41,947	)		28,228			15,006			37,874
(Benefit from) provision for corporate business taxes		(3,137	)		729			1,161			2,635
Net Income (Loss)		(38,810	)		27,499			13,845			35,239
Net income (loss) allocated to noncontrolling interests in Operating Partnership		505			(364	)		(173	)		(456	)
Dividends on preferred stock		1,395			1,372			1,317			1,213
Net Income (Loss) Applicable to Common Stockholders	$	(39,700	)	$	25,763		$	12,355		$	33,570
Net Income (Loss) Per Share of Common Stock		—			—			—			—
Basic	$	(2.42	)	$	1.62		$	0.91		$	2.64
Diluted	$	(2.42	)	$	1.62		$	0.91		$	2.64
Weighted Average Number of Shares of Common Stock Outstanding
Basic		16,382,914			15,864,774			13,616,461			12,713,265
Diluted		16,391,170			15,873,030			13,624,676			12,721,464

Basic and diluted net income (loss) per share of common stock are computed independently based on the weighted average number of shares of common stock outstanding during each period. Accordingly, the sum of the quarterly net income (loss) per share amounts may not agree to the total for the year.