STWD Q1 net income falls 54% on fair value losses; adds $130M net lease portfolio

Filed May 8, 2026 · Period ending March 31, 2026 · Compared to 10-Q May 9, 2025 · ~1 min read

Key Changes

• high

  Net income dropped to $51.9M from $112.3M year-over-year, driven by $51.6M unfavorable fair value changes in residential loans, $13M foreign currency losses, and $35.9M lower derivative gains.

  MD&A: Results of Operations verify on EDGAR →
• high

  New tariff uncertainty replaces COVID-19 office concerns in management discussion; tariffs may dampen consumer spending, slow income growth, and pressure borrower performance and collateral values.

  MD&A: Economic Environment verify on EDGAR →
• high

  Acquired 32 net lease properties for $129.6M, expanding Property Segment revenues 270% to $61.3M; refinanced Fundamental portfolio ABS at 5.06% vs. prior 6.65%, cutting cost of funds to 5.29%.

  MD&A: Property Segment verify on EDGAR →