Orchid Island Capital Focuses on Agency RMBS Investment

By Hao Liu • Saturday, October 25 15:34 • Permanent Link

Orchid Island Capital, Inc. has recently released its 10-Q report, revealing a focus on investing in residential mortgage-backed securities (RMBS) in the United States, particularly Agency RMBS. The company's portfolio includes traditional pass-through Agency RMBS and structured Agency RMBS. Orchid Island Capital, Inc. operates as a real estate investment trust (REIT) and is externally managed by Bimini Advisors, LLC, an investment adviser registered with the Securities and Exchange Commission.

In the 10-Q report, Orchid Island Capital, Inc. highlighted its equity distribution agreements and stock repurchase program. The company entered into several equity distribution agreements, raising significant gross proceeds from the sales of shares of its common stock. Notably, Orchid Island Capital, Inc. issued a total of 56,019,745 shares under the February 2025 Equity Distribution Agreement for aggregate gross proceeds of approximately $420.2 million. Additionally, the company repurchased a total of 6,257,826 shares at an aggregate cost of approximately $84.8 million through September 30, 2025.

The report also discussed various factors that may affect Orchid Island Capital, Inc.'s results of operations and financial condition, including interest rate trends, competition for investments in Agency RMBS, prepayment rates on mortgages underlying their RMBS, and other market developments.

In terms of financial performance, Orchid Island Capital, Inc. reported a net income of $55.6 million for the nine months ended September 30, 2025, compared to $32.1 million for the same period in 2024. For the three months ended September 30, 2025, the company reported a net income of $72.1 million, up from $17.3 million for the same period in 2024. The report also included GAAP and Non-GAAP reconciliations, providing insights into the company's financial performance beyond traditional accounting measures. Following these announcements, the company's shares moved -0.4%, and are now trading at a price of $7.44. Check out the company's full 10-Q submission here.

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