Ready Capital Corp has recently released its 10-Q report, providing a detailed look at the company's financial condition and operations. Ready Capital Corporation operates as a real estate finance company in the United States, with two segments: LMM Commercial Real Estate and Small Business Lending. The LMM Commercial Real Estate segment originates LLM loans across the full life-cycle of an LLM property, including construction, bridge, stabilized, and agency loan origination channels. The Small Business Lending segment acquires, originates, and services owner-occupied loans guaranteed by the SBA under its SBA Section 7(a) Program; and acquires, originates, and services USDA loans, as well as originates and services small business loans. The company has elected to be taxed as a real estate investment trust (REIT) and would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was formerly known as Sutherland Asset Management Corporation and changed its name to Ready Capital Corporation in September 2018. Ready Capital Corporation was founded in 2007 and is headquartered in New York, New York.
In Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations, Ready Capital Corporation makes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The company's forward-looking statements reflect its current views about future events and are inherently subject to substantial risks and uncertainties. These forward-looking statements include information about possible or assumed future results of operations, financial condition, liquidity, plans, and objectives. The company outlines various factors that may impact its operating results, including interest income from its assets, the market and fair value of its assets, demand for various types of loans, population trends, construction costs, and the availability of alternative real estate financing from other lenders.
In the "Overview" section of the report, Ready Capital Corporation describes itself as a multi-strategy real estate finance company that originates, acquires, finances, and services LMM loans, SBA loans, construction loans, USDA loans, and, to a lesser extent, MBS collateralized primarily by LMM loans, or other real estate-related investments. The company's objective is to provide attractive risk-adjusted returns to its stockholders primarily through dividends, as well as through capital appreciation. Ready Capital Corporation also discusses the completion of the disposition of its Residential Mortgage Banking segment effective on June 30, 2025, and the organization of its operations to qualify as a REIT under the Internal Revenue Code of 1986, as amended. Additionally, the report details the company's recent acquisitions, including United Development Funding IV, Funding Circle, and Madison One, and the impact of these acquisitions on its financial condition and operations. Following these announcements, the company's shares moved -3.78%, and are now trading at a price of $4.07. For more information, read the company's full 10-Q submission here.
