Segment Reporting

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Segment Reporting

Note 3 — Segment Reporting

The Company conducts its business through the following segments: (i) investments in RMBS; (ii) investments in Servicing Related Assets; and (iii) “All Other,” which consists primarily of general and administrative expenses, including fees paid to the Company’s directors and management fees and reimbursements paid to the Manager pursuant to the Management Agreement (see Note 7). For segment reporting purposes, the Company does not allocate interest income on short-term investments or general and administrative expenses.

Summary financial data with respect to the Company’s segments is given below, together with the data for the Company as a whole (dollars in thousands):

	Servicing Related Assets			RMBS			All Other			Total
Income Statement
Three Months Ended June 30, 2022
Interest income	$	-		$	6,004		$	-		$	6,004
Interest expense		1,131			1,371			-			2,502
Net interest income (expense)		(1,131	)		4,633			-			3,502
Servicing fee income		13,188			-			-			13,188
Servicing costs		2,615			-			-			2,615
Net servicing income		10,573			-			-			10,573
Other expense		(5,530	)		(19,473	)		-			(25,003	)
Other operating expenses		510			151			2,452			3,113
Provision for corporate business taxes		1,423			-			-			1,423
Net Income (Loss)	$	1,979		$	(14,991	)	$	(2,452	)	$	(15,464	)
Three Months Ended June 30, 2021
Interest income	$	106		$	3,420		$	-		$	3,526
Interest expense		1,074			267			-			1,341
Net interest income (expense)		(968	)		3,153			-			2,185
Servicing fee income		13,748			-			-			13,748
Servicing costs		4,072			-			-			4,072
Net servicing income		9,676			-			-			9,676
Other expense		(11,147	)		(10,325	)		-			(21,472	)
Other operating expenses		846			158			2,828			3,832
Benefit from corporate business taxes		(1,830	)		-			-			(1,830	)
Net Loss	$	(1,455	)	$	(7,330	)	$	(2,828	)	$	(11,613	)
Six Months Ended June 30, 2022
Interest income	$	-		$	11,523		$	-		$	11,523
Interest expense		2,384			1,758			-			4,142
Net interest income (expense)		(2,384	)		9,765			-			7,381
Servicing fee income		26,304			-			-			26,304
Servicing costs		5,808			-			-			5,808
Net servicing income		20,496			-			-			20,496
Other income (expense)		(8,896	)		6,232			-			(2,664	)
Other operating expenses		1,032			379			5,239			6,650
Provision for corporate business taxes		5,298			-			-			5,298
Net Income (Loss)	$	2,886		$	15,618		$	(5,239	)	$	13,265
Six Months Ended June 30, 2021
Interest income	$	226		$	6,601		$	-		$	6,827
Interest expense		2,006			789			-			2,795
Net interest income (expense)		(1,780	)		5,812			-			4,032
Servicing fee income		27,288			-			-			27,288
Servicing costs		7,154			-			-			7,154
Net servicing income		20,134			-			-			20,134
Other income (expense)		(15,909	)		10,401			-			(5,508	)
Other operating expenses		1,412			329			5,669			7,410
Provision for corporate business taxes		1,633			-			-			1,633
Net Income (Loss)	$	(600	)	$	15,884		$	(5,669	)	$	9,615

	Servicing Related Assets		RMBS		All Other		Total
Balance Sheet
June 30, 2022
Investments	$	263,578	$	728,825	$	-	$	992,403
Other assets		30,284		114,913		61,817		207,014
Total assets		293,862		843,738		61,817		1,199,417
Debt		178,308		683,173		-		861,481
Other liabilities		14,268		57,817		10,767		82,852
Total liabilities		192,576		740,990		10,767		944,333
Net assets	$	101,286	$	102,748	$	51,050	$	255,084

December 31, 2021
Investments	$	218,727	$	953,496	$	-	$	1,172,223
Other assets		44,506		21,611		64,522		130,639
Total assets		263,233		975,107		64,522		1,302,862
Debt		145,268		865,494		-		1,010,762
Other liabilities		1,847		1,411		10,026		13,284
Total liabilities		147,115		866,905		10,026		1,024,046
Net assets	$	116,118	$	108,202	$	54,496	$	278,816