Maryland
|
001-36099
|
461315605
|
(State or other jurisdiction
of incorporation)
|
Commission
File Number:
|
(IRS Employer
Identification No.)
|
☐ |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
☐ |
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
☐ |
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
☐ |
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
Title of each class
|
Trading Symbol(s)
|
Name of each exchange on which registered
|
Common Stock, $0.01 par value
|
CHMI
|
New York Stock Exchange
|
8.20% Series A Cumulative Redeemable Preferred Stock, $0.01 par value
|
CHMI-PRA
|
New York Stock Exchange
|
8.250% Series B Fixed-to-Floating Rate Cumulative Redeemable
Preferred Stock, $0.01 par value
|
CHMI-PRB
|
New York Stock Exchange
|
Item 2.02. |
Results of Operations and Financial Condition.
|
Item 9.01. |
Financial Statements and Exhibits.
|
CHERRY HILL MORTGAGE INVESTMENT CORPORATION
|
||
By:
|
/s/ Martin J. Levine
|
|
Martin J. Levine
|
||
Date: May 9, 2019
|
Chief Financial Officer
|
Exhibit
Number
|
Description
|
Press release, dated May 9, 2019
|
• |
GAAP net loss applicable to common stockholders of $22.6 million, or $1.36 per share
|
• |
Core earnings attributable to common stockholders of $10.0 million, or $0.60 per share
|
• |
Book value of $17.54 per share at March 31, 2019, a 0.2% decline from December 31, 2018, net of the Company’s first quarter dividend
|
• |
Declared regular common dividend of $0.49 per share; annualized common dividend yield at market close was 11.5% at May 8, 2019
|
• |
Aggregate portfolio leverage stood at 4.7x at March 31, 2019
|
• |
Increased UPB of MSR portfolio by approximately 11% during the quarter
|
• |
In February, the Company completed an offering of 2,000,000 shares of its 8.250% Series B Fixed-to-Floating Rate Cumulative Redeemable Preferred Stock, resulting in net
proceeds of approximately $48.4 million, before offering expenses
|
Three Months Ended March 31,
|
||||||||
2019
|
2018
|
|||||||
(unaudited)
|
(unaudited)
|
|||||||
Income
|
||||||||
Interest income
|
$
|
16,969
|
$
|
13,415
|
||||
Interest expense
|
10,744
|
7,543
|
||||||
Net interest income
|
6,225
|
5,872
|
||||||
Servicing fee income
|
17,188
|
8,650
|
||||||
Servicing costs
|
3,821
|
1,712
|
||||||
Net servicing income
|
13,367
|
6,938
|
||||||
Other income (loss)
|
||||||||
Realized loss on RMBS, net
|
-
|
(4,881
|
)
|
|||||
Realized gain (loss) on derivatives, net
|
(7,476
|
)
|
13
|
|||||
Unrealized gain (loss) on derivatives, net
|
(8,272
|
)
|
19,626
|
|||||
Unrealized gain (loss) on investments in MSRs
|
(27,175
|
)
|
12,498
|
|||||
Total Income (Loss)
|
(23,331
|
)
|
40,066
|
|||||
Expenses
|
||||||||
General and administrative expense
|
963
|
877
|
||||||
Management fee to affiliate
|
1,809
|
1,315
|
||||||
Total Expenses
|
2,772
|
2,192
|
||||||
Income (Loss) Before Income Taxes
|
(26,103
|
)
|
37,874
|
|||||
Provision for (Benefit from) corporate business taxes
|
(4,965
|
)
|
2,635
|
|||||
Net Income (Loss)
|
(21,138
|
)
|
35,239
|
|||||
Net (income) loss allocated to noncontrolling interests in Operating Partnership
|
349
|
(456
|
)
|
|||||
Dividends on preferred stock
|
1,841
|
1,213
|
||||||
Net Income (Loss) Applicable to Common Stockholders
|
$
|
(22,630
|
)
|
$
|
33,570
|
|||
Net Income (Loss) Per Share of Common Stock
|
||||||||
Basic
|
$
|
(1.36
|
)
|
$
|
2.64
|
|||
Diluted
|
$
|
(1.36
|
)
|
$
|
2.64
|
|||
Weighted Average Number of Shares of Common Stock Outstanding
|
||||||||
Basic
|
16,646,114
|
12,713,265
|
||||||
Diluted
|
16,654,370
|
12,721,464
|
Three Months Ended
March 31,
|
||||||||
2019
|
2018
|
|||||||
(unaudited)
|
(unaudited)
|
|||||||
Net Income (Loss)
|
$
|
(21,138
|
)
|
$
|
35,239
|
|||
Other comprehensive income:
|
||||||||
Net unrealized gain (loss) on RMBS
|
31,981
|
(35,924
|
)
|
|||||
Reclassification of net realized gain on RMBS included in earnings
|
-
|
4,881
|
||||||
Other comprehensive income (loss)
|
31,981
|
(31,043
|
)
|
|||||
Comprehensive income
|
$
|
10,843
|
$
|
4,196
|
||||
Comprehensive income attributable to noncontrolling interests in Operating Partnership
|
179
|
54
|
||||||
Dividends on preferred stock
|
1,841
|
1,213
|
||||||
Comprehensive income attributable to common stockholders
|
$
|
8,823
|
$
|
2,929
|
Three Months Ended March 31,
|
||||||||
2019
|
2018
|
|||||||
(unaudited)
|
(unaudited)
|
|||||||
Net Income (Loss)
|
$
|
(21,138
|
)
|
$
|
35,239
|
|||
Realized loss on RMBS, net
|
-
|
4,881
|
||||||
Realized loss (gain) on derivatives, net
|
7,476
|
(13
|
)
|
|||||
Unrealized loss (gain) on derivatives, net
|
8,272
|
(19,626
|
)
|
|||||
Unrealized loss (gain) on investments in MSRs
|
27,175
|
(12,498
|
)
|
|||||
Tax (benefit) expense on unrealized (loss) gain on MSRs
|
(4,739
|
)
|
2,444
|
|||||
Changes due to realization of expected cash flows
|
(5,027
|
)
|
(2,493
|
)
|
||||
Total core earnings:
|
$
|
12,019
|
$
|
7,934
|
||||
Core earnings attributable to noncontrolling interests in Operating Partnership
|
(198
|
)
|
(103
|
)
|
||||
Dividends on preferred stock
|
1,841
|
1,213
|
||||||
Core Earnings Attributable to Common Stockholders
|
$
|
9,980
|
$
|
6,618
|
||||
Core Earnings Attributable to Common Stockholders, per Share
|
$
|
0.60
|
$
|
0.52
|
||||
GAAP Net Income (Loss) Per Share of Common Stock
|
$
|
(1.36
|
)
|
$
|
2.64
|