Ready Capital Corporation Reports Q2 2025 Results with Strategic Moves Toward Profitability
TL;DR
Ready Capital's strategic asset liquidation and reinvestment in multifamily bridge loans positions investors for stronger returns as profitability is restored.
Ready Capital executed $173M commercial and $359M SBA loan originations, repurchased 8.5M shares, and issued $50M in 9.375% notes due 2028.
Ready Capital's focus on affordable multifamily housing financing helps address housing shortages and supports community development nationwide.
Ready Capital secured a Portland mixed-use property via deed-in-lieu while selling $494M in loans for $85M to optimize its portfolio.
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Ready Capital Corporation (NYSE: RC) reported second quarter 2025 financial results showing strategic progress toward restoring profitability through asset sales and portfolio optimization. The multi-strategy real estate finance company achieved $173 million in lower-to-middle-market commercial originations and $359 million in small business loan originations during the quarter, demonstrating continued lending activity in its core business segments.
The company completed the sale of its Residential Mortgage Banking segment as part of its broader strategy to exit non-core businesses. Ready Capital maintained a book value of $10.44 per share while executing an aggressive share repurchase program, buying back 8.5 million shares at $4.41 per share. The company also strengthened its capital structure through the issuance of $50 million in 9.375% Senior Secured Notes due 2028, providing additional liquidity for strategic initiatives.
Subsequent to quarter-end, Ready Capital secured ownership of a Portland, Oregon mixed-use property through a deed-in-lieu transaction, adding to its real estate portfolio. More significantly, the company sold 21 loans with a carrying value of $494 million, generating $85 million in net proceeds. This substantial asset sale represents a critical component of the company's ongoing efforts to liquidate underperforming assets and reinvest capital into its core multifamily bridge portfolio.
The strategic repositioning reflects management's focus on optimizing the company's asset mix and improving overall profitability. By divesting underperforming loans and non-core business segments, Ready Capital aims to enhance shareholder value while concentrating resources on its most promising lending opportunities. The multifamily bridge portfolio, which remains a strategic priority, represents a targeted investment area where the company sees strong growth potential and attractive risk-adjusted returns.
For additional information about Ready Capital Corporation's business operations and financial performance, visit https://readycapital.com/. The company's comprehensive approach to real estate finance, including agency multifamily lending, construction financing, and government-guaranteed loan programs, positions it to capitalize on evolving market opportunities while maintaining disciplined risk management practices.
Curated from InvestorBrandNetwork (IBN)
