Segment Reporting

9 Months Ended

Sep. 30, 2024

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 September 30, 2024
Interest income	$	-		$	14,327		$	-		$	14,327
Interest expense		(57	)		14,275			-			14,218
Net interest income		57			52			-			109
Servicing fee income		11,681			-			-			11,681
Servicing costs		3,206			-			-			3,206
Net servicing income		8,475			-			-			8,475
Other expense		(6,574	)		(9,087	)		-			(15,661	)
Other operating expenses		(711	)		(167	)		(4,204	)		(5,082	)
Provision for corporate business taxes		(285	)		-			-			(285	)
Net Income (Loss)	$	962		$	(9,202	)	$	(4,204	)	$	(12,444	)
Three Months Ended September 30, 2023
Interest income	$	-		$	12,864		$	-		$	12,864
Interest expense		(89	)		13,426			-			13,337
Net interest income (expense)		89			(562	)		-			(473	)
Servicing fee income		13,225			-			-			13,225
Servicing costs		2,869			-			-			2,869
Net servicing income		10,356			-			-			10,356
Other income		282			10,362			-			10,644
Other operating expenses		(561	)		(174	)		(2,631	)		(3,366	)
Provision for corporate business taxes		(1,276	)		-			-			(1,276	)
Net Income (Loss)	$	8,890		$	9,626		$	(2,631	)	$	15,885
Nine Months Ended September 30, 2024
Interest income	$	6		$	40,739		$	-		$	40,745
Interest expense		874			40,502			-			41,376
Net interest income (expense)		(868	)		237			-			(631	)
Servicing fee income		36,921			-			-			36,921
Servicing costs		9,295			-			-			9,295
Net servicing income		27,626			-			-			27,626
Other income (expense)		(13,681	)		2,536			-			(11,145	)
Other operating expenses		(2,216	)		(482	)		(11,104	)		(13,802	)
Provision for corporate business taxes		(1,652	)		-			-			(1,652	)
Net Income (Loss)	$	9,209		$	2,291		$	(11,104	)	$	396
Nine Months Ended September 30, 2023
Interest income	$	-		$	37,193		$	-		$	37,193
Interest expense		1,143			37,317			-			38,460
Net interest expense		(1,143	)		(124	)		-			(1,267	)
Servicing fee income		40,535			-			-			40,535
Servicing costs		8,098			-			-			8,098
Net servicing income		32,437			-			-			32,437
Other expense		(17,935	)		(3,544	)		-			(21,479	)
Other operating expenses		(1,694	)		(506	)		(8,058	)		(10,258	)
Provision for corporate business taxes		(1,244	)		-			-			(1,244	)
Net Income (Loss)	$	10,421		$	(4,174	)	$	(8,058	)	$	(1,811	)

	Servicing Related Assets		RMBS		All Other		Total
Balance Sheet
September 30, 2024
Investments	$	226,782	$	1,214,123	$	-	$	1,440,905
Other assets		27,590		32,526		50,368		110,484
Total assets		254,372		1,246,649		50,368		1,551,389
Debt		150,848		1,108,496		-		1,259,344
Other liabilities		3,874		36,632		11,843		52,349
Total liabilities		154,722		1,145,128		11,843		1,311,693
Net Assets	$	99,650	$	101,521	$	38,525	$	239,696

Balance Sheet
December 31, 2023
Investments	$	253,629	$	1,012,130	$	-	$	1,265,759
Other assets		33,785		39,939		53,509		127,233
Total assets		287,414		1,052,069		53,509		1,392,992
Debt		169,314		903,489		-		1,072,803
Other liabilities		4,240		47,990		9,584		61,814
Total liabilities		173,554		951,479		9,584		1,134,617
Net Assets	$	113,860	$	100,590	$	43,925	$	258,375