0001193125-26-103027
SEC filingChicago Atlantic Real Estate Finance, Inc. (REFI) reported net income of $36.0 million for fiscal year 2025, driven by net interest income of $55.4 million from interest income of $62.9 million and interest expense of $7.5 million. Total expenses were $19.5 million, including management and incentive fees of $8.2 million, general and administrative expense of $5.3 million, professional fees of $1.9 million, stock-based compensation of $3.4 million, and a provision for current expected credit losses of $731K. The company generated basic and diluted earnings per share of $2.00 based on 21.0 million and 21.4 million weighted average shares outstanding, respectively. Operating cash flow was $28.8 million, while investing activities provided $8.7 million and financing activities used $49.0 million, resulting in a net decrease in cash of $11.5 million to $7.9 million at year-end. The balance sheet shows total assets of $424.9 million, with loans held for investment (net) of $403.9 million, total liabilities of $117.1 million, and stockholders' equity of $307.8 million.
Chicago Atlantic Real Estate Finance, Inc. (REFI) reported strong financial results for fiscal year 2025 with net income of $36.0 million, representing a net interest margin of 57.4% based on net interest income of $55.4 million. The company generated basic and diluted earnings per share of $2.00 based on 21.0 million and 21.4 million weighted average shares outstanding, respectively. Total expenses were $19.5 million, with the largest components being management and incentive fees of $8.2 million, general and administrative expense of $5.3 million, and stock-based compensation of $3.4 million. The company reported no income tax expense for the period. No prior period comparison data is provided in the filing to calculate year-over-year changes.
The company's revenue is primarily derived from interest income, which totaled $62.9 million for fiscal year 2025. Interest expense was $7.5 million, resulting in net interest income of $55.4 million. The filing does not disclose segment breakdowns, geographic mix, or specific growth drivers beyond the interest income figures. No other revenue sources are identified in the provided data. The company's business model appears focused on real estate finance activities, with loans held for investment representing the primary asset class at $403.9 million net of credit loss reserves.
REFI achieved an operating margin of 57.4% based on net interest income of $55.4 million and total expenses of $19.5 million. The cost structure shows management and incentive fees as the largest expense category at $8.2 million (42% of total expenses), followed by general and administrative expense of $5.3 million (27% of total expenses). Stock-based compensation represented $3.4 million (17% of total expenses), while professional fees were $1.9 million (10% of total expenses). The provision for current expected credit losses was relatively modest at $731K, representing 3.7% of total expenses.
The company generated $28.8 million in operating cash flow, primarily from net income of $36.0 million adjusted for non-cash items including paid-in-kind interest of $6.2 million and stock-based compensation of $3.4 million. Investing activities provided $8.7 million, with $79.2 million in principal repayments of loans held for investment offsetting $76.0 million in new loan issuances. Financing activities used $49.0 million, driven by $43.8 million in dividends paid to common shareholders and net repayments on the revolving loan. The balance sheet shows total assets of $424.9 million, with loans held for investment (net) comprising 95% of assets at $403.9 million. Total liabilities were $117.1 million, resulting in a debt-to-equity ratio of 0.38 and stockholders' equity of $307.8 million.
The filing does not provide specific management guidance, forward-looking statements, or strategic priorities for future periods. The only forward-looking information relates to risk factors, specifically cybersecurity risks. The company discloses that its cybersecurity program is managed by its Manager's IT Manager and an IT consultant, with oversight from the Board and Audit Committee. The Audit Committee receives annual briefings on cybersecurity risks and engages in discussions with management regarding significant financial risk exposures. No other outlook information, growth projections, or strategic initiatives are disclosed in the provided filing content.