Ready Capital Q1 Net Income Rebounds Amid Challenges

Ready Capital Corporation reported first-quarter 2025 results showing GAAP earnings per share of $0.47 and net income of $81.97 million, a turnaround from a net loss the previous year. Revenues declined sharply to $14.5 million from $48.55 million a year earlier, missing expectations, while the company posted a distributable loss per share of $(0.09) and break-even adjusted EPS, falling short of consensus estimates. The share price has dropped over 35% year-to-date, though the company maintains an 11.3% dividend yield and completed acquisitions such as United Development Funding IV. Management highlighted efforts to stabilize book value, pursue targeted asset liquidations, increase liquidity through debt issuance and share repurchases, and adjust the dividend. Ongoing market volatility, tariffs, and recession risk continue to pose challenges. Analysts remain cautious, emphasizing that the outlook hinges on management's ability to navigate headwinds and rebuild investor confidence.