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8-K - 8-K - STARWOOD PROPERTY TRUST, INC. | stwd-20150804x8k.htm |
For Immediate Release
Starwood Property Trust Reports Results for the
Quarter Ended June 30, 2015
– Quarterly Core Earnings of $0.53 per Diluted Common Share –
– Deploys $1.9 Billion During the Quarter –
– Completes Acquisition of Office and Multifamily Portfolio in Dublin, Ireland –
– Declares Dividend of $0.48 per Share for the Third Quarter of 2015 –
GREENWICH, Conn., August 4, 2015 /PRNewswire/ -- Starwood Property Trust, Inc. (NYSE: STWD) today announced operating results for the fiscal quarter ended June 30, 2015. The Company’s second quarter 2015 Core Earnings (a non-GAAP financial measure) were $125.9 million, or $0.53 per diluted share. Excluding one-time acquisition and pursuit costs of $4.9 million, the Company’s second quarter 2015 Core Earnings were $130.8 million, or $0.55 per diluted share.
GAAP net income for the second quarter of 2015 was $117.1 million, or $0.49 per diluted. Excluding one-time acquisition and pursuit costs of $4.9 million, the Company’s second quarter 2015 GAAP net income was $122.0 million, or $0.51 per diluted share.
“We experienced another strong quarter of performance, driven by contributions from all of our operating segments. With year-to-date capital deployment of $3.1 billion, we have again demonstrated our ability to source attractive investments despite increased competition and recent market volatility. Importantly, we closed another major real estate acquisition, an office and multifamily portfolio in Dublin, which provides strong cash-on-cash returns, duration to our existing book and the potential for asset appreciation. At this point in the cycle, it is gratifying to see our targeted optimal investment returns increase sequentially quarter-over-quarter from 10.7% to 11.0%, while maintaining a conservative loan-to-value ratio in our lending portfolio. Our pipeline remains robust in both our lending and property segments, and we continue to leverage Starwood Capital’s global platform to source unique and differentiated transactions,” stated Barry Sternlicht, Chairman and Chief Executive Officer of Starwood Property Trust.
Mr. Sternlicht continued, “Our business is favorably positioned to continue to outperform in today’s evolving markets. Given our concentration of floating-rate loans, our lending portfolio will generate greater earnings in a higher interest rate environment. Additionally, our special servicing business provides a hedge against both higher interest rates and weakening credit conditions. Our growth will come from a combination of scaling our existing business, building new verticals organically and adding select new businesses to our platform. We continue to be focused on building a diversified real estate platform that can generate sustainable and attractive risk adjusted returns for our shareholders over the long term.”
1
Highlights for the Second Quarter 2015 by Business Segment
The Company currently operates in three reportable segments: Real Estate Lending (the “Lending Segment”), Real Estate Investing and Servicing (the “Investing and Servicing Segment”) and Real Estate Property (the “Property Segment”). The Property Segment was created during the second quarter of 2015, and is comprised of the Company’s equity investments in stabilized commercial real estate properties.
Real Estate Lending Segment
The Lending Segment primarily represents the Company’s on-balance sheet loan origination business. During the second quarter of 2015, the Lending Segment contributed Core Earnings of $108.1 million, or $0.46 per diluted share. GAAP earnings during the second quarter of 2015 were $100.9 million, or $0.42 per diluted share.
The Lending Segment originated or acquired $810.2 million of new investments during the quarter, of which $559.9 million was funded at closing. During the quarter, the Company also funded an additional $131.9 million of pre-existing loan commitments. The Company’s activity during the quarter includes:
· |
Originated a $257.9 million first mortgage for the development of a 194-acre coastal residential community in Orange County, California. |
· |
Originated a $175.0 million first mortgage and mezzanine loan for the refinancing of a 1,054-room, five-property hotel portfolio located in California. |
· |
Originated an $83.5 million first mortgage and mezzanine loan for the refinancing and development of a 77-acre retail center located in Albuquerque, New Mexico. |
· |
Originated an $82.8 million first mortgage and mezzanine loan for the refinancing of a 270-unit luxury condominium tower located in Philadelphia, Pennsylvania. |
During the quarter, the Company received gross cash of $928.2 million from sales, partial paydowns, prepayments, refinancings and maturities in the Lending Segment, which were reinvested at accretive optimal asset-level returns to the existing portfolio.
2
At June 30, 2015, the carrying amount of the Lending Segment’s principal assets was $6.8 billion and is summarized below:
Lending Segment Investments
(Amounts in millions)
Investment |
|
Face |
|
Carry |
|
Asset Specific |
|
Net |
|
Unlevered |
|
Current |
|
Optimal |
|
||||
First mortgages held-for-investment (5) |
|
$ |
4,784 |
|
$ |
4,715 |
|
$ |
2,172 |
|
$ |
2,543 |
|
7.0 |
% |
9.7 |
% |
10.9 |
% |
Subordinated mortgages held-for-investment |
|
|
318 |
|
|
291 |
|
|
2 |
|
|
289 |
|
11.3 |
% |
11.3 |
% |
11.3 |
% |
Mezzanine loans held-for-investment (5) |
|
|
897 |
|
|
908 |
|
|
- |
|
|
908 |
|
10.9 |
% |
10.9 |
% |
10.9 |
% |
Preferred equity investments held-to-maturity |
|
|
81 |
|
|
81 |
|
|
- |
|
|
81 |
|
10.7 |
% |
10.7 |
% |
10.7 |
% |
CMBS |
|
|
368 |
|
|
373 |
|
|
98 |
|
|
275 |
|
7.7 |
% |
9.7 |
% |
11.7 |
% |
Target portfolio of Lending Segment |
|
$ |
6,448 |
|
$ |
6,368 |
|
$ |
2,272 |
|
$ |
4,096 |
|
7.8 |
% |
10.1 |
% |
11.0 |
% |
RMBS available-for-sale at fair value |
|
|
251 |
|
|
193 |
|
|
66 |
|
|
127 |
|
11.5 |
% |
|
|
|
|
Loans held-for-sale |
|
|
93 |
|
|
88 |
|
|
42 |
|
|
46 |
|
|
|
|
|
|
|
Loans transferred as secured borrowings |
|
|
137 |
|
|
136 |
|
|
137 |
|
|
(1) |
|
|
|
|
|
|
|
Equity security |
|
|
15 |
|
|
15 |
|
|
- |
|
|
15 |
|
|
|
|
|
|
|
Investment in unconsolidated entities |
|
|
N/A |
|
|
35 |
|
|
- |
|
|
35 |
|
|
|
|
|
|
|
Total investments |
|
$ |
6,944 |
|
$ |
6,835 |
|
$ |
2,517 |
|
$ |
4,318 |
|
|
|
|
|
|
|
Loan-to-Value of Portfolio
The following table reflects the weighted average loan-to-value (“LTV”) ratio of the Lending Segment’s loan portfolio as of June 30, 2015:
Weighted Average LTV of Loan Portfolio (5)(6) |
|
||||||||||
|
|
First |
|
Subordinated |
|
Mezzanine |
|
Preferred |
|
Total (7) |
|
Beginning LTV |
0.0 |
% |
35.7 |
% |
45.4 |
% |
42.4 |
% |
9.0 |
% |
|
Ending LTV |
|
60.8 |
% |
61.4 |
% |
65.4 |
% |
47.6 |
% |
61.3 |
% |
Real Estate Investing and Servicing Segment
The Investing and Servicing Segment includes the Company’s U.S. and European servicing businesses, CMBS investment business and conduit loan origination platform. During the second quarter of 2015, the Investing and Servicing Segment contributed Core Earnings of $61.1 million, or $0.25 per diluted share. GAAP earnings during the second quarter of 2015 were $72.7 million, or $0.31 per diluted share.
At June 30, 2015, the carrying amount of the Investing and Servicing Segment’s principal assets was $1.4 billion and is summarized below:
Investing and Servicing Segment Investments
(Amounts in millions)
Investment |
|
Carry Value |
|
Asset |
|
Net |
|||
CMBS (8) |
|
$ |
830 |
|
$ |
137 |
|
$ |
693 |
Special servicing intangibles |
|
|
170 |
|
|
- |
|
|
170 |
Conduit loans |
|
|
279 |
|
|
126 |
|
|
153 |
Loans held-for-investment |
|
|
2 |
|
|
- |
|
|
2 |
Investment in unconsolidated entities |
|
|
55 |
|
|
- |
|
|
55 |
Properties, net |
|
|
58 |
|
|
32 |
|
|
26 |
Total investments |
|
$ |
1,394 |
|
$ |
295 |
|
$ |
1,099 |
3
Significant activity during the second quarter includes:
· |
Conduit loan originations of $476.7 million and securitizations of $551.6 million. |
· |
Purchase of $37.9 million of CMBS, including $17.5 million in new issue B-pieces. |
· |
Purchase of two multi-family properties and one retail property for a gross purchase price of $33.4 million and a net equity investment of $13.5 million. |
· |
Net decrease in the fair value of the domestic servicing intangible on a GAAP and Core basis of $8.4 million, resulting from the continued amortization of this asset, net of increases in fair value due to the attainment of new servicing contracts. |
As of June 30, 2015, the Company was active special servicer on $12.6 billion of loans and real estate owned and named special servicer on $124.9 billion of loans and real estate owned.
Real Estate Property Segment
The Property Segment includes the Company’s investments in stabilized commercial real estate properties that are held for investment. During the quarter, the Company acquired a portfolio of 11 office properties and one multi-family residential property, all located in the central business district of Dublin, Ireland, for a gross purchase price of €341.5 million ($383.0 million). Subsequent to quarter end, the Company acquired the remaining asset in the portfolio, a 103,000 sq. ft. fully occupied office property also located in Dublin, for a gross purchase price of €111.0 million ($121.9 million) (collectively the “Ireland Portfolio”).
During the second quarter of 2015, the Property Segment contributed Core Earnings of $0.4 million. Excluding the impact of one-time acquisition and pursuit costs of $4.2 million, the Property Segment contributed Core Earnings of $4.6 million, or $0.02 per diluted share during the second quarter of 2015. The Property Segment incurred a GAAP loss of $1.2 million, or $0.01 per diluted share. Excluding the impact of one-time acquisition and pursuit costs of $4.2 million, the Property Segment’s second quarter 2015 GAAP earnings were $3.0 million, or $0.01 per diluted share.
At June 30, 2015, the carrying amount of the Property Segment’s principal assets was $502.7 million and is summarized below:
Property Segment Investments
(Amounts in millions)
Investment |
Net Carrying Value |
Asset Specific Financing |
Net Investment |
Net Operating Income (9) |
Occupancy Rate |
Weighted Average Lease Term |
|||||||||||
Office (10) |
|
$ |
364 |
|
$ |
236 |
|
$ |
128 |
|
$ |
3.1 |
|
99.8 |
% |
6.8 years |
|
Multi-family residential (10) |
|
|
18 |
|
|
10 |
|
|
8 |
|
|
0.1 |
|
100.0 |
% |
0.4 years |
|
Investment in unconsolidated entity - retail |
121 |
- |
121 | 2.6 |
(11) |
95.2 |
% |
9.5 years |
|||||||||
$ |
503 |
$ |
246 |
$ |
257 |
$ |
5.8 |
Financing Activities
As of June 30, 2015, the Company had an aggregate outstanding balance of $5.0 billion and a maximum borrowing capacity of $6.0 billion under its 17 financing facilities and three convertible senior notes, with a debt-to-equity ratio of 1.2x.
4
During the second quarter, the Company:
· |
Sold 13.8 million shares of common stock for gross proceeds of $326.1 million. |
· |
Obtained a financing facility for €294.0 million to fund the acquisition of the Ireland Portfolio. As of June 30, 2015, €220.5 million ($245.6 million) of this facility was drawn. The remaining balance was drawn in July 2015 upon acquisition of the remaining asset in the Ireland Portfolio. |
· |
Announced a $200.0 million increase in share and convertible note repurchase authorization, bringing the total size of the program to $450.0 million. |
· |
Repurchased 400,000 shares of common stock for $8.8 million. |
· |
Repurchased $14.5 million aggregate principal amount of the Company’s 4.0% Convertible Senior Notes for $16.5 million, resulting in a loss on extinguishment of debt for the quarter of $0.6 million. |
Subsequent to quarter end, in July 2015, the Company amended an existing revolving repurchase facility to (i) permanently upsize available borrowings from $250.0 million to $450.0 million; (ii) extend the maturity date to July 2019 assuming exercise of a one-year extension option; (iii) reduce pricing; and (iv) unencumber up to $728.4 million of assets. In August 2015, the Company upsized its largest repurchase facility’s available borrowings from $1.25 billion to $1.6 billion.
Interest Rate Sensitivity
The Company’s Lending Segment should benefit from a rising rate environment given its high volume of LIBOR-based floating rate loans. As of June 30, 2015, 82% of the Lending Segment’s existing loan portfolio and 100% of its current loan pipeline is indexed to LIBOR. In addition, 82% of the floating rate portfolio benefits from having a LIBOR floor at an average rate of 0.31%. For the 18% of the portfolio that is fixed rate, the weighted average coupon is 7.8%.
The Company continues to pursue its strategy of financing floating rate investments with floating rate debt and fixed rate investments with either fixed rate debt or floating rate debt hedged by interest swaps. The Company realizes an additional benefit from its fixed rate convertible senior notes, which help limit exposure to rising rates.
The following table summarizes the impact to annual net income from a specified hypothetical change in LIBOR:
Interest Rate Sensitivity as of June 30, 2015
(Amounts in millions except per share data)
Income (Expense) Subject to Interest Rate |
|
Variable rate |
|
3.0% |
|
2.0% |
|
1.0% |
||||
Investment income from variable rate investments |
|
$ |
5,209 |
|
$ |
170 |
|
$ |
111 |
|
$ |
52 |
Interest expense from variable rate debt |
|
|
(3,567) |
|
|
(104) |
|
|
(68) |
|
|
(33) |
Net investment income from variable rate instruments |
|
$ |
1,642 |
|
$ |
66 |
|
$ |
43 |
|
$ |
19 |
Impact per diluted share |
|
|
|
|
$ |
0.28 |
|
$ |
0.18 |
|
$ |
0.08 |
Additionally, the Company’s special servicing revenues would likely benefit from a rising rate environment due to an expected increase in the number of loans that would enter special servicing.
5
Book Value and Fair Value Per Share, Net of Minority Interest
|
March 31, 2015 |
||||||
Fair value per diluted share |
|
$ |
17.91 |
|
$ |
17.21 |
|
Book value per diluted share |
|
$ |
17.39 |
|
$ |
16.67 |
|
Investment Related Activity Subsequent to June 30, 2015
Activity subsequent to quarter end included:
· |
Acquired a 103,000 sq. ft., fully leased office property in Dublin, Ireland, for a gross purchase price of €111.0 million ($121.9 million). |
· |
Closed $153.7 million of new loan originations in the Lending Segment. |
· |
Obtained four new special servicer assignments, including assignments relating to three new issue CMBS trusts. |
Investment Capacity
As of July 30, 2015, the Company has the capacity to acquire or originate up to $1.5 billion of new investments through (i) $609.3 million of expected third quarter maturities, prepayments, sales and participations; (ii) $438.3 million of unallocated warehouse capacity; (iii) $340.8 million of approved but undrawn capacity under existing financing facilities; (iv) $235.8 million of available cash and equivalents and (v) approximately $79.0 million of net equity invested in RMBS that are classified as available-for-sale.
Dividend
On August 4, 2015, the Company’s Board of Directors declared a dividend of $0.48 per share of common stock for the quarter ending September 30, 2015. The dividend is payable on October 15, 2015 to common shareholders of record as of September 30, 2015.
2015 Guidance
For 2015, the Company is reaffirming its Core Earnings guidance in the range of $2.05 to $2.25 per diluted share. This guidance reflects the Company’s estimates on the (i) yield on existing investments; (ii) yield on incremental investments inclusive of the Company’s existing pipeline; (iii) amount and timing of debt and equity capital deployment to fund new investments; (iv) costs of additional debt and equity capital to fund new investments; (v) pace of amortization of the servicing intangible based on the amount and timing of servicing fees on existing contracts; (vi) taxation associated with the TRSs, particularly the Investing and Servicing TRSs, which house this segment’s servicing and conduit loan operations, both of which generate significant taxable income; and (vii) changes in costs and expenses reflective of the Company’s forecasted operations. This guidance does not reflect any impact that may result from repurchases of equity or convertible debt securities pursuant to the Company’s existing repurchase program. All guidance is based on current expectations of future economic conditions, the dynamics of the commercial real estate markets in which it operates and the judgment of the Company's management team.
Supplemental Schedules
The Company has published supplemental earnings schedules in order to provide additional disclosure and financial information for the benefit of the Company’s stakeholders. These can be found at the Company’s website in the Investor Relations section under “Financial Information”.
6
Conference Call and Webcast Information
The Company will host a webcast and conference call on Tuesday, August 4, 2015 at 10:00 a.m. Eastern Time to discuss second quarter financial results and recent events. A webcast will be available on the Company's website at www.starwoodpropertytrust.com. To listen to a live broadcast, access the site at least 15 minutes prior to the scheduled start time in order to register and download and install any necessary audio software.
To Participate in the Telephone Conference Call:
Dial in at least 15 minutes prior to start time.
Domestic: 1-888-539-3613
International: 1-719-325-2111
Conference Call Playback:
Domestic: 1-877-870-5176
International: 1-858-384-5517
Passcode: 3892237
The playback can be accessed through August 18, 2015
About Starwood Property Trust, Inc.
Starwood Property Trust (NYSE: STWD), an affiliate of global private investment firm Starwood Capital Group, is the largest commercial mortgage real estate investment trust in the United States. The Company’s core business focuses on originating, acquiring, financing and managing commercial mortgage loans and other commercial real estate debt and equity investments. Through its subsidiaries LNR Property, LLC and Hatfield Philips International, Starwood Property Trust also operates as the largest commercial mortgage special servicer in the United States and one of the largest primary and special servicers in Europe. With total capital deployed since inception of approximately $19.9 billion, Starwood Property Trust continues to solidify its position as one of the premier real estate finance companies in the country.
Forward Looking Statements
Statements in this press release which are not historical fact may be deemed forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Although Starwood Property Trust, Inc. believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from the Company's expectations include completion of pending investments, continued ability to acquire additional investments, competition within the finance and real estate industries, economic conditions, availability of financing and other risks detailed from time to time in the Company's reports filed with the SEC.
7
Footnotes
(1) |
The difference between the Carry Value and Face Amount of the loans held for investment consists of unamortized purchase discount, deferred loan fees and loan origination costs. The difference between the Carry Value and Face Amount of the available-for-sale securities consists of the unrealized gains/(losses) on the fair value of the securities and unamortized purchase discount. |
(2) |
Current financings are either floating rate or swapped to fixed rate to match the interest rate characteristics of the underlying asset. |
(3) |
The current leveraged return represents the compounded effective rate of return earned over the life of the investment based on existing leverage levels as of June 30, 2015, and calculated on a weighted average basis. Leveraged returns include the loan coupon, amortization of premium or discount, and the effects of costs and fees, all recognized on the effective interest method. Leveraged returns are presented solely for informational purposes and will not equal income recognized in prior or future periods due mainly to the fact that (i) interest earned on the Company’s floating rate loans will change in the future when interest rates change, and these leveraged returns assume interest rates remain at current levels and (ii) the leveraged returns assume that the leverage levels existing at June 30, 2015 will be maintained either throughout the remaining term of the applicable credit facilities or the remaining term of the investment, if shorter. However, leverage levels in future periods will likely fluctuate as the Company manages its day-to-day liquidity. |
(4) |
The optimal asset-level return assumes (i) maximum available leverage in place or in negotiation for each asset, notwithstanding the amount actually borrowed, and (ii) full syndication of the first mortgage when syndication is deemed probable. |
(5) |
During the second quarter of 2015, the Company reclassified certain loans previously included in the mezzanine loan category to the first mortgage category. Previously, first mortgage loans which contained a related contiguous mezzanine loan component were classified by their respective components as first mortgages and mezzanine loans. These loans are now classified as first mortgage loans in their entirety because as a whole, the expected credit quality of these loans is more similar to that of a first mortgage loan. As of June 30, 2015, the application of this methodology resulted in mezzanine loans with an aggregate carrying value of $793.0 million being classified as first mortgages. |
(6) |
Underlying property values are determined by the Company's management based on its ongoing asset assessments, and loan balances that are the face value of a loan regardless of whether the Company has purchased the loan at a discount or premium to par. Assets characterized as first mortgages include all loan components where the Company owns the senior most interest in the loan, which may include subordinated mortgages and/or mezzanine loans. Assets characterized as subordinated mortgages are the subordinated components of first mortgages where the Company does not own the senior most interest in the loan. Assets characterized as mezzanine loans are mezzanine loans where the Company does not own the senior most interest in the loan. For any loans collateralized by ground-up construction projects without significant leasing or units with executed sales contracts, the fully funded loan balance is included in the numerator and the fully budgeted construction cost, including costs of acquisition of the property, is included in the denominator. For ground up construction loans which have significant leasing or units under contract for sale, the fully funded loan balance is included in the numerator with an estimate of the stabilized value upon completion of construction included in the denominator. Includes loans held for investment and preferred equity. |
(7) |
Represents the Company’s entire investment, which includes all components of the capital stack that it owns (i.e., first mortgages, subordinated mortgages, mezzanine loans and preferred equity). |
(8) |
Face amount is $4.4 billion. Differences between face amount and carry value are principally attributable to purchase discounts and changes in fair value. |
(9) |
Includes net operating income for the current quarter, which includes net operating income subsequent to the May 8, 2015 and May 18, 2015 acquisition dates for those Ireland Portfolio properties acquired during the quarter. |
(10) |
Net carrying value includes all components of the related asset, including properties and intangibles. |
(11) |
Represents the Company’s earnings from unconsolidated entities attributable to the Company’s investment in the mall portfolio acquired in the fourth quarter of 2014. |
8
Starwood Property Trust, Inc. and Subsidiaries
Condensed Consolidated Statement of Operations by Segment
For the three months ended June 30, 2015
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing |
|
|
|
|
|
|
|
Investing |
|
|
|||||||
|
|
Lending |
|
and Servicing |
|
Property |
|
|
|
|
|
and Servicing |
|
|
|||||||
|
|
Segment |
|
Segment |
|
Segment |
|
Corporate |
|
Subtotal |
|
VIEs |
|
Total |
|||||||
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income from loans |
|
$ |
113,928 |
|
$ |
4,364 |
|
$ |
— |
|
$ |
— |
|
$ |
118,292 |
|
$ |
— |
|
$ |
118,292 |
Interest income from investment securities |
|
|
17,050 |
|
|
47,272 |
|
|
— |
|
|
— |
|
|
64,322 |
|
|
(40,512) |
|
|
23,810 |
Servicing fees |
|
|
98 |
|
|
54,349 |
|
|
— |
|
|
— |
|
|
54,447 |
|
|
(24,293) |
|
|
30,154 |
Rental income |
|
|
— |
|
|
1,478 |
|
|
3,536 |
|
|
— |
|
|
5,014 |
|
|
— |
|
|
5,014 |
Other revenues |
|
|
334 |
|
|
1,301 |
|
|
— |
|
|
— |
|
|
1,635 |
|
|
(245) |
|
|
1,390 |
Total revenues |
|
|
131,410 |
|
|
108,764 |
|
|
3,536 |
|
|
— |
|
|
243,710 |
|
|
(65,050) |
|
|
178,660 |
Costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Management fees |
|
|
367 |
|
|
18 |
|
|
— |
|
|
26,385 |
|
|
26,770 |
|
|
51 |
|
|
26,821 |
Interest expense |
|
|
20,197 |
|
|
2,751 |
|
|
877 |
|
|
25,974 |
|
|
49,799 |
|
|
— |
|
|
49,799 |
General and administrative |
|
|
6,083 |
|
|
32,626 |
|
|
174 |
|
|
2,343 |
|
|
41,226 |
|
|
178 |
|
|
41,404 |
Acquisition and investment pursuit costs |
|
|
224 |
|
|
505 |
|
|
4,262 |
|
|
(124) |
|
|
4,867 |
|
|
— |
|
|
4,867 |
Costs of rental operations |
|
|
— |
|
|
878 |
|
|
333 |
|
|
— |
|
|
1,211 |
|
|
— |
|
|
1,211 |
Depreciation and amortization |
|
|
— |
|
|
4,213 |
|
|
1,615 |
|
|
— |
|
|
5,828 |
|
|
— |
|
|
5,828 |
Loan loss allowance, net |
|
|
2,661 |
|
|
— |
|
|
— |
|
|
— |
|
|
2,661 |
|
|
— |
|
|
2,661 |
Total costs and expenses |
|
|
29,532 |
|
|
40,991 |
|
|
7,261 |
|
|
54,578 |
|
|
132,362 |
|
|
229 |
|
|
132,591 |
Income (loss) before other income, income taxes and non-controlling interests |
|
|
101,878 |
|
|
67,773 |
|
|
(3,725) |
|
|
(54,578) |
|
|
111,348 |
|
|
(65,279) |
|
|
46,069 |
Other income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in net assets related to consolidated VIEs |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
55,873 |
|
|
55,873 |
Change in fair value of servicing rights |
|
|
— |
|
|
(8,381) |
|
|
— |
|
|
— |
|
|
(8,381) |
|
|
5,729 |
|
|
(2,652) |
Change in fair value of investment securities, net |
|
|
510 |
|
|
(3,191) |
|
|
— |
|
|
— |
|
|
(2,681) |
|
|
4,127 |
|
|
1,446 |
Change in fair value of mortgage loans held-for-sale, net |
|
|
— |
|
|
10,831 |
|
|
— |
|
|
— |
|
|
10,831 |
|
|
— |
|
|
10,831 |
Earnings from unconsolidated entities |
|
|
1,361 |
|
|
5,328 |
|
|
2,554 |
|
|
— |
|
|
9,243 |
|
|
(292) |
|
|
8,951 |
Gain on sale of investments and other assets, net |
|
|
209 |
|
|
— |
|
|
— |
|
|
— |
|
|
209 |
|
|
— |
|
|
209 |
(Loss) gain on derivative financial instruments, net |
|
|
(23,954) |
|
|
4,274 |
|
|
150 |
|
|
— |
|
|
(19,530) |
|
|
— |
|
|
(19,530) |
Foreign currency gain (loss), net |
|
|
21,181 |
|
|
(120) |
|
|
(207) |
|
|
— |
|
|
20,854 |
|
|
— |
|
|
20,854 |
Loss on extinguishment of debt |
|
|
— |
|
|
— |
|
|
— |
|
|
(629) |
|
|
(629) |
|
|
— |
|
|
(629) |
Other income, net |
|
|
— |
|
|
10 |
|
|
— |
|
|
— |
|
|
10 |
|
|
— |
|
|
10 |
Total other (loss) income |
|
|
(693) |
|
|
8,751 |
|
|
2,497 |
|
|
(629) |
|
|
9,926 |
|
|
65,437 |
|
|
75,363 |
Income (loss) before income taxes |
|
|
101,185 |
|
|
76,524 |
|
|
(1,228) |
|
|
(55,207) |
|
|
121,274 |
|
|
158 |
|
|
121,432 |
Income tax provision |
|
|
— |
|
|
(3,792) |
|
|
— |
|
|
— |
|
|
(3,792) |
|
|
— |
|
|
(3,792) |
Net income (loss) |
|
|
101,185 |
|
|
72,732 |
|
|
(1,228) |
|
|
(55,207) |
|
|
117,482 |
|
|
158 |
|
|
117,640 |
Net income attributable to non-controlling interests |
|
|
(334) |
|
|
— |
|
|
— |
|
|
— |
|
|
(334) |
|
|
(158) |
|
|
(492) |
Net income (loss) attributable to Starwood Property Trust, Inc. |
|
$ |
100,851 |
|
$ |
72,732 |
|
$ |
(1,228) |
|
$ |
(55,207) |
|
$ |
117,148 |
|
$ |
— |
|
$ |
117,148 |
9
Definition of Core Earnings
Core Earnings, a non-GAAP financial measure, is used to compute the Company's incentive fees to its external manager and is an appropriate supplemental disclosure for a mortgage REIT. For the Company's purposes, Core Earnings is defined as GAAP net income (loss) excluding non-cash equity compensation expense, the incentive fee due to the Company’s external manager, depreciation and amortization of real estate, any unrealized gains, losses or other non-cash items recorded in net income for the period, regardless of whether such items are included in other comprehensive income or loss, or in net income. The amount is adjusted to exclude one-time events pursuant to changes in GAAP and certain other non-cash adjustments as determined by the Company's external manager and approved by a majority of the Company's independent directors.
Reconciliation of Net Income to Core Earnings
For the three months ended June 30, 2015
(Amounts in thousands except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing |
|
|
|
|
|
|
|
||||
|
|
Lending |
|
and Servicing |
|
Property |
|
|
|
|
|
||||
|
|
Segment |
|
Segment |
|
Segment |
|
Corporate |
|
Total |
|||||
Net income (loss) attributable to Starwood Property Trust, Inc. |
|
$ |
100,851 |
|
$ |
72,732 |
|
$ |
(1,228) |
|
$ |
(55,207) |
|
$ |
117,148 |
Add / (Deduct): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-cash equity compensation expense |
|
|
1,135 |
|
|
2,291 |
|
|
— |
|
|
7,484 |
|
|
10,910 |
Management incentive fee |
|
|
— |
|
|
— |
|
|
— |
|
|
4,088 |
|
|
4,088 |
Depreciation and amortization |
|
|
— |
|
|
414 |
|
|
1,537 |
|
|
— |
|
|
1,951 |
Loan loss allowance, net |
|
|
2,661 |
|
|
— |
|
|
— |
|
|
— |
|
|
2,661 |
Interest income adjustment for securities |
|
|
(301) |
|
|
(7,232) |
|
|
— |
|
|
— |
|
|
(7,533) |
Other non-cash items |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
Reversal of unrealized (gains) / losses on: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held-for-sale |
|
|
— |
|
|
(10,831) |
|
|
— |
|
|
— |
|
|
(10,831) |
Securities |
|
|
(510) |
|
|
3,191 |
|
|
— |
|
|
— |
|
|
2,681 |
Derivatives |
|
|
23,160 |
|
|
(5,067) |
|
|
(150) |
|
|
— |
|
|
17,943 |
Foreign currency |
|
|
(21,182) |
|
|
120 |
|
|
207 |
|
|
— |
|
|
(20,855) |
Earnings from unconsolidated entities |
|
|
— |
|
|
(5,328) |
|
|
— |
|
|
— |
|
|
(5,328) |
Recognition of realized gains / (losses) on: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held-for-sale |
|
|
— |
|
|
18,188 |
|
|
— |
|
|
— |
|
|
18,188 |
Securities |
|
|
— |
|
|
(11,492) |
|
|
— |
|
|
— |
|
|
(11,492) |
Derivatives |
|
|
8,578 |
|
|
(62) |
|
|
— |
|
|
— |
|
|
8,516 |
Foreign currency |
|
|
(6,282) |
|
|
(120) |
|
|
(7) |
|
|
— |
|
|
(6,409) |
Earnings from unconsolidated entities |
|
|
— |
|
|
4,274 |
|
|
— |
|
|
— |
|
|
4,274 |
Core Earnings (Loss) |
|
$ |
108,110 |
|
$ |
61,078 |
|
$ |
359 |
|
$ |
(43,635) |
|
$ |
125,912 |
Core Earnings (Loss) per Weighted Average Diluted Share |
|
$ |
0.46 |
|
$ |
0.25 |
|
$ |
— |
|
$ |
(0.18) |
|
$ |
0.53 |
10
Starwood Property Trust, Inc. and Subsidiaries
Condensed Consolidated Statement of Operations by Segment
For the six months ended June 30, 2015
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing |
|
|
|
|
|
|
|
Investing |
|
|
|||||||
|
|
Lending |
|
and Servicing |
|
Property |
|
|
|
|
|
and Servicing |
|
|
|||||||
|
|
Segment |
|
Segment |
|
Segment |
|
Corporate |
|
Subtotal |
|
VIEs |
|
Total |
|||||||
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income from loans |
|
$ |
227,400 |
|
$ |
9,321 |
|
$ |
— |
|
$ |
— |
|
$ |
236,721 |
|
$ |
— |
|
$ |
236,721 |
Interest income from investment securities |
|
|
39,346 |
|
|
71,968 |
|
|
— |
|
|
— |
|
|
111,314 |
|
|
(59,760) |
|
|
51,554 |
Servicing fees |
|
|
182 |
|
|
105,297 |
|
|
— |
|
|
— |
|
|
105,479 |
|
|
(47,068) |
|
|
58,411 |
Rental income |
|
|
— |
|
|
4,150 |
|
|
3,536 |
|
|
— |
|
|
7,686 |
|
|
— |
|
|
7,686 |
Other revenues |
|
|
413 |
|
|
3,231 |
|
|
— |
|
|
— |
|
|
3,644 |
|
|
(507) |
|
|
3,137 |
Total revenues |
|
|
267,341 |
|
|
193,967 |
|
|
3,536 |
|
|
— |
|
|
464,844 |
|
|
(107,335) |
|
|
357,509 |
Costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Management fees |
|
|
755 |
|
|
36 |
|
|
— |
|
|
53,897 |
|
|
54,688 |
|
|
101 |
|
|
54,789 |
Interest expense |
|
|
41,720 |
|
|
4,870 |
|
|
877 |
|
|
52,866 |
|
|
100,333 |
|
|
— |
|
|
100,333 |
General and administrative |
|
|
10,941 |
|
|
61,815 |
|
|
176 |
|
|
3,372 |
|
|
76,304 |
|
|
364 |
|
|
76,668 |
Acquisition and investment pursuit costs |
|
|
997 |
|
|
718 |
|
|
4,262 |
|
|
76 |
|
|
6,053 |
|
|
— |
|
|
6,053 |
Costs of rental operations |
|
|
— |
|
|
2,576 |
|
|
333 |
|
|
— |
|
|
2,909 |
|
|
— |
|
|
2,909 |
Depreciation and amortization |
|
|
— |
|
|
8,298 |
|
|
1,615 |
|
|
— |
|
|
9,913 |
|
|
— |
|
|
9,913 |
Loan loss allowance, net |
|
|
2,978 |
|
|
— |
|
|
— |
|
|
— |
|
|
2,978 |
|
|
— |
|
|
2,978 |
Other expense |
|
|
— |
|
|
375 |
|
|
— |
|
|
— |
|
|
375 |
|
|
— |
|
|
375 |
Total costs and expenses |
|
|
57,391 |
|
|
78,688 |
|
|
7,263 |
|
|
110,211 |
|
|
253,553 |
|
|
465 |
|
|
254,018 |
Income (loss) before other income, income taxes and non-controlling interests |
|
|
209,950 |
|
|
115,279 |
|
|
(3,727) |
|
|
(110,211) |
|
|
211,291 |
|
|
(107,800) |
|
|
103,491 |
Other income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in net assets related to consolidated VIEs |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
103,734 |
|
|
103,734 |
Change in fair value of servicing rights |
|
|
— |
|
|
(13,256) |
|
|
— |
|
|
— |
|
|
(13,256) |
|
|
9,062 |
|
|
(4,194) |
Change in fair value of investment securities, net |
|
|
171 |
|
|
5,122 |
|
|
— |
|
|
— |
|
|
5,293 |
|
|
(4,346) |
|
|
947 |
Change in fair value of mortgage loans held-for-sale, net |
|
|
— |
|
|
31,962 |
|
|
— |
|
|
— |
|
|
31,962 |
|
|
— |
|
|
31,962 |
Earnings from unconsolidated entities |
|
|
2,216 |
|
|
8,052 |
|
|
5,195 |
|
|
— |
|
|
15,463 |
|
|
(422) |
|
|
15,041 |
Gain on sale of investments and other assets, net |
|
|
307 |
|
|
17,100 |
|
|
— |
|
|
— |
|
|
17,407 |
|
|
— |
|
|
17,407 |
Gain (loss) on derivative financial instruments, net |
|
|
8,909 |
|
|
(3,733) |
|
|
(83) |
|
|
— |
|
|
5,093 |
|
|
— |
|
|
5,093 |
Foreign currency loss, net |
|
|
(8,155) |
|
|
(1,291) |
|
|
(7) |
|
|
— |
|
|
(9,453) |
|
|
— |
|
|
(9,453) |
Loss on extinguishment of debt |
|
|
— |
|
|
— |
|
|
— |
|
|
(5,921) |
|
|
(5,921) |
|
|
— |
|
|
(5,921) |
Other income, net |
|
|
— |
|
|
41 |
|
|
— |
|
|
14 |
|
|
55 |
|
|
— |
|
|
55 |
Total other income (loss) |
|
|
3,448 |
|
|
43,997 |
|
|
5,105 |
|
|
(5,907) |
|
|
46,643 |
|
|
108,028 |
|
|
154,671 |
Income (loss) before income taxes |
|
|
213,398 |
|
|
159,276 |
|
|
1,378 |
|
|
(116,118) |
|
|
257,934 |
|
|
228 |
|
|
258,162 |
Income tax benefit (provision) |
|
|
30 |
|
|
(19,773) |
|
|
— |
|
|
— |
|
|
(19,743) |
|
|
— |
|
|
(19,743) |
Net income (loss) |
|
|
213,428 |
|
|
139,503 |
|
|
1,378 |
|
|
(116,118) |
|
|
238,191 |
|
|
228 |
|
|
238,419 |
Net income attributable to non-controlling interests |
|
|
(680) |
|
|
— |
|
|
— |
|
|
— |
|
|
(680) |
|
|
(228) |
|
|
(908) |
Net income (loss) attributable to Starwood Property Trust, Inc. |
|
$ |
212,748 |
|
$ |
139,503 |
|
$ |
1,378 |
|
$ |
(116,118) |
|
$ |
237,511 |
|
$ |
— |
|
$ |
237,511 |
11
Reconciliation of Net Income to Core Earnings
For the six months ended June 30, 2015
(Amounts in thousands except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing |
|
|
|
|
|
|
|||||
|
|
Lending |
|
and Servicing |
|
Property |
|
|
|
|
|||||
|
|
Segment |
|
Segment |
|
Segment |
|
Corporate |
|
Total |
|||||
Net income (loss) attributable to Starwood Property Trust, Inc. |
|
$ |
212,748 |
|
$ |
139,503 |
|
$ |
1,378 |
|
$ |
(116,118) |
|
$ |
237,511 |
Add / (Deduct): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-cash equity compensation expense |
|
|
1,312 |
|
|
2,554 |
|
|
— |
|
|
14,535 |
|
|
18,401 |
Management incentive fee |
|
|
— |
|
|
— |
|
|
— |
|
|
10,767 |
|
|
10,767 |
Depreciation and amortization |
|
|
— |
|
|
856 |
|
|
1,537 |
|
|
— |
|
|
2,393 |
Loan loss allowance, net |
|
|
2,978 |
|
|
— |
|
|
— |
|
|
— |
|
|
2,978 |
Interest income adjustment for securities |
|
|
(364) |
|
|
(3,445) |
|
|
— |
|
|
— |
|
|
(3,809) |
Other non-cash items |
|
|
— |
|
|
(775) |
|
|
— |
|
|
— |
|
|
(775) |
Reversal of unrealized (gains) / losses on: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held-for-sale |
|
|
— |
|
|
(31,962) |
|
|
— |
|
|
— |
|
|
(31,962) |
Securities |
|
|
(171) |
|
|
(5,122) |
|
|
— |
|
|
— |
|
|
(5,293) |
Derivatives |
|
|
(10,507) |
|
|
1,642 |
|
|
83 |
|
|
— |
|
|
(8,782) |
Foreign currency |
|
|
8,154 |
|
|
1,291 |
|
|
7 |
|
|
— |
|
|
9,452 |
Earnings from unconsolidated entities |
|
|
— |
|
|
(8,052) |
|
|
— |
|
|
— |
|
|
(8,052) |
Recognition of realized gains / (losses) on: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held-for-sale |
|
|
— |
|
|
35,623 |
|
|
— |
|
|
— |
|
|
35,623 |
Securities |
|
|
— |
|
|
(10,121) |
|
|
— |
|
|
— |
|
|
(10,121) |
Derivatives |
|
|
11,506 |
|
|
(4,495) |
|
|
— |
|
|
— |
|
|
7,011 |
Foreign currency |
|
|
(10,239) |
|
|
(1,565) |
|
|
(7) |
|
|
— |
|
|
(11,811) |
Earnings from unconsolidated entities |
|
|
— |
|
|
6,063 |
|
|
— |
|
|
— |
|
|
6,063 |
Core Earnings (Loss) |
|
$ |
215,417 |
|
$ |
121,995 |
|
$ |
2,998 |
|
$ |
(90,816) |
|
$ |
249,594 |
Core Earnings (Loss) per Weighted Average Diluted Share |
|
$ |
0.94 |
|
$ |
0.52 |
|
$ |
0.01 |
|
$ |
(0.39) |
|
$ |
1.08 |
12
Starwood Property Trust, Inc. and Subsidiaries
Condensed Consolidated Balance Sheet by Segment
As of June 30, 2015
(Amounts in thousands)
|
|
|
|
Investing |
|
|
|
|
|
|
|
Investing |
|
|
|||||||
|
|
Lending |
|
and Servicing |
|
Property |
|
|
|
|
|
and Servicing |
|
|
|||||||
|
|
Segment |
|
Segment |
|
Segment |
|
Corporate |
|
Subtotal |
|
VIEs |
|
Total |
|||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
158,795 |
|
$ |
47,694 |
|
$ |
1,161 |
|
$ |
238,072 |
|
$ |
445,722 |
|
$ |
756 |
|
$ |
446,478 |
Restricted cash |
|
|
10,969 |
|
|
15,822 |
|
|
— |
|
|
— |
|
|
26,791 |
|
|
— |
|
|
26,791 |
Loans held-for-investment, net |
|
|
5,913,197 |
|
|
2,199 |
|
|
— |
|
|
— |
|
|
5,915,396 |
|
|
— |
|
|
5,915,396 |
Loans held-for-sale |
|
|
88,056 |
|
|
279,352 |
|
|
— |
|
|
— |
|
|
367,408 |
|
|
— |
|
|
367,408 |
Loans transferred as secured borrowings |
|
|
135,940 |
|
|
— |
|
|
— |
|
|
— |
|
|
135,940 |
|
|
— |
|
|
135,940 |
Investment securities |
|
|
663,014 |
|
|
829,687 |
|
|
— |
|
|
— |
|
|
1,492,701 |
|
|
(615,463) |
|
|
877,238 |
Properties, net |
|
|
— |
|
|
57,771 |
|
|
339,245 |
|
|
— |
|
|
397,016 |
|
|
— |
|
|
397,016 |
Intangible assets |
|
|
— |
|
|
170,100 |
|
|
42,499 |
|
|
— |
|
|
212,599 |
|
|
(36,992) |
|
|
175,607 |
Investment in unconsolidated entities |
|
|
35,283 |
|
|
55,189 |
|
|
120,927 |
|
|
— |
|
|
211,399 |
|
|
(7,144) |
|
|
204,255 |
Goodwill |
|
|
— |
|
|
140,437 |
|
|
— |
|
|
— |
|
|
140,437 |
|
|
— |
|
|
140,437 |
Derivative assets |
|
|
16,572 |
|
|
4,485 |
|
|
3,969 |
|
|
— |
|
|
25,026 |
|
|
— |
|
|
25,026 |
Accrued interest receivable |
|
|
38,078 |
|
|
276 |
|
|
— |
|
|
— |
|
|
38,354 |
|
|
— |
|
|
38,354 |
Other assets |
|
|
20,084 |
|
|
65,478 |
|
|
19,459 |
|
|
12,918 |
|
|
117,939 |
|
|
(1,741) |
|
|
116,198 |
VIE assets, at fair value |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
92,719,092 |
|
|
92,719,092 |
Total Assets |
|
$ |
7,079,988 |
|
$ |
1,668,490 |
|
$ |
527,260 |
|
$ |
250,990 |
|
$ |
9,526,728 |
|
$ |
92,058,508 |
|
$ |
101,585,236 |
Liabilities and Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable, accrued expenses and other liabilities |
|
$ |
16,293 |
|
$ |
80,485 |
|
$ |
15,261 |
|
$ |
28,493 |
|
$ |
140,532 |
|
$ |
555 |
|
$ |
141,087 |
Related-party payable |
|
|
— |
|
|
3,484 |
|
|
— |
|
|
21,075 |
|
|
24,559 |
|
|
— |
|
|
24,559 |
Dividends payable |
|
|
— |
|
|
— |
|
|
— |
|
|
115,575 |
|
|
115,575 |
|
|
— |
|
|
115,575 |
Derivative liabilities |
|
|
5,734 |
|
|
556 |
|
|
— |
|
|
— |
|
|
6,290 |
|
|
— |
|
|
6,290 |
Secured financing agreements, net |
|
|
2,379,372 |
|
|
294,771 |
|
|
245,609 |
|
|
659,751 |
|
|
3,579,503 |
|
|
— |
|
|
3,579,503 |
Convertible senior notes, net |
|
|
— |
|
|
— |
|
|
— |
|
|
1,315,245 |
|
|
1,315,245 |
|
|
— |
|
|
1,315,245 |
Secured borrowings on transferred loans |
|
|
137,302 |
|
|
— |
|
|
— |
|
|
— |
|
|
137,302 |
|
|
— |
|
|
137,302 |
VIE liabilities, at fair value |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
92,046,550 |
|
|
92,046,550 |
Total Liabilities |
|
|
2,538,701 |
|
|
379,296 |
|
|
260,870 |
|
|
2,140,139 |
|
|
5,319,006 |
|
|
92,047,105 |
|
|
97,366,111 |
Equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Starwood Property Trust, Inc. Stockholders’ Equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock |
|
|
— |
|
|
— |
|
|
— |
|
|
2,402 |
|
|
2,402 |
|
|
— |
|
|
2,402 |
Additional paid-in capital |
|
|
2,918,478 |
|
|
1,174,898 |
|
|
262,513 |
|
|
(182,020) |
|
|
4,173,869 |
|
|
— |
|
|
4,173,869 |
Treasury stock |
|
|
— |
|
|
— |
|
|
— |
|
|
(32,464) |
|
|
(32,464) |
|
|
— |
|
|
(32,464) |
Accumulated other comprehensive income (loss) |
|
|
46,668 |
|
|
(1,090) |
|
|
323 |
|
|
— |
|
|
45,901 |
|
|
— |
|
|
45,901 |
Retained earnings (accumulated deficit) |
|
|
1,564,327 |
|
|
113,309 |
|
|
3,554 |
|
|
(1,677,067) |
|
|
4,123 |
|
|
— |
|
|
4,123 |
Total Starwood Property Trust, Inc. Stockholders’ Equity |
|
|
4,529,473 |
|
|
1,287,117 |
|
|
266,390 |
|
|
(1,889,149) |
|
|
4,193,831 |
|
|
— |
|
|
4,193,831 |
Non-controlling interests in consolidated subsidiaries |
|
|
11,814 |
|
|
2,077 |
|
|
— |
|
|
— |
|
|
13,891 |
|
|
11,403 |
|
|
25,294 |
Total Equity |
|
|
4,541,287 |
|
|
1,289,194 |
|
|
266,390 |
|
|
(1,889,149) |
|
|
4,207,722 |
|
|
11,403 |
|
|
4,219,125 |
Total Liabilities and Equity |
|
$ |
7,079,988 |
|
$ |
1,668,490 |
|
$ |
527,260 |
|
$ |
250,990 |
|
$ |
9,526,728 |
|
$ |
92,058,508 |
|
$ |
101,585,236 |
Additional information can be found on the Company's website at www.starwoodpropertytrust.com
Contact:
Zachary Tanenbaum
Starwood Property Trust
Phone: 203-422-7788
Email: ztanenbaum@starwood.com
13