Dynex scales portfolio 27% to $23.8B but spread widening drives $140M loss, book value down

Filed April 27, 2026 · Period ending March 31, 2026 · Compared to 10-Q Apr 30, 2025 · ~1 min read

Key Changes

• high

  Portfolio grew $6B (27%) in Q1 2026 vs 13% prior year, funded by $442M equity raise and $7B increase in repo borrowings to $21B total, pushing leverage to 8.6x equity—aggressive expansion amid volatile spreads.

  MD&A: Portfolio Growth & Leverage verify on EDGAR →
• high

  Spread widening late in quarter drove $140M net loss on investments, swinging total economic return to negative $(0.34) per share from positive $0.33 in Q1 2025 despite lower financing costs.

  MD&A: Investment Performance verify on EDGAR →
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  Net interest income surged 363% to $79.3M from $17.1M year-over-year, driven by larger portfolio and 33bp decline in financing costs as Fed rate cuts flowed through repo agreements.

  MD&A: Net Interest Income verify on EDGAR →