0001409493-26-000017
SEC filingChimera Investment Corporation reported net income of $230.5 million for fiscal year 2025, with net income available to common shareholders of $144.5 million after $86.0 million in preferred stock dividends. The company generated $266.4 million in net interest income from $821.3 million in interest income and $554.9 million in interest expense. Total other income contributed $120.3 million, primarily driven by $81.7 million in net unrealized gains on financial instruments at fair value and $20.6 million in gain on origination and sale of loans. The balance sheet shows total assets of $15.81 billion, with loans held for investment at fair value comprising $9.80 billion. Total liabilities were $13.24 billion, resulting in stockholders' equity of $2.57 billion. Cash flow from operations was negative $248.9 million, while financing activities provided $2.11 billion, leading to a net increase in cash of $200.5 million. The company paid $122.7 million in common dividends and $86.0 million in preferred dividends during the year.
Chimera Investment Corporation reported fiscal year 2025 net income of $230.5 million, with net income available to common shareholders of $144.5 million after deducting $86.0 million in preferred stock dividends. The company generated basic and diluted earnings per share of $2.00 based on 82.2 million and 83.9 million weighted average shares outstanding, respectively. Income before taxes was $232.8 million with a minimal income tax expense of $2.3 million. The company's performance was driven by $266.4 million in net interest income and $120.3 million in total other income, offset by $138.3 million in total other expenses.
The company's revenue streams are primarily interest-based, with $821.3 million in interest income offset by $554.9 million in interest expense, resulting in net interest income of $266.4 million. Other income contributed significantly with $120.3 million, including $81.7 million in net unrealized gains on financial instruments at fair value, $20.6 million in gain on origination and sale of loans, $35.4 million in investment management and advisory fees, and $5.7 million in other investment gains. These were partially offset by $23.2 million in net realized losses on sales of investments and $2.6 million in net losses on derivatives.
The company's profitability was impacted by $138.3 million in total other expenses, including $56.7 million in compensation and benefits, $30.0 million in general and administrative expenses, $27.7 million in servicing and asset manager fees, $16.6 million in transaction expenses, and $7.2 million in amortization of intangibles and depreciation expenses. The company also recorded a $15.7 million increase in provision for credit losses. Despite these expenses, the company maintained strong net income margins relative to its interest-earning assets.
Cash flow from operating activities was negative $248.9 million, primarily due to $1.04 billion in direct loan origination costs and other non-cash adjustments. Investing activities used $1.66 billion in cash for purchases and business acquisitions. Financing activities provided $2.11 billion, mainly from secured financing agreements. The balance sheet shows total assets of $15.81 billion, dominated by $9.80 billion in loans held for investment and $3.46 billion in Agency MBS. Total liabilities were $13.24 billion, with $6.03 billion in secured financing agreements and $6.72 billion in securitized debt. Stockholders' equity was $2.57 billion.
The filing does not provide specific forward-looking guidance or management outlook statements. The company's strategic focus appears to be on maintaining its mortgage-related investment portfolio, as evidenced by $9.80 billion in loans held for investment and significant activity in secured financing agreements. Risk factors would typically include interest rate sensitivity, credit risk in the mortgage portfolio, and market volatility affecting fair value measurements, though specific forward-looking risk disclosures are not provided in the extracted data.