Wed, May 15, 7:47 PM (72 days ago)
FS Credit Real Estate Income Trust, Inc. (FS CREIT) reported its financials for the quarter ending March 31, 2024. Key highlights include: 1. **Assets and Liabilities**: Total assets remained stable at $9.47 billion, with loans receivable netting $7.79 billion and mortgage-backed securities at fair value of $234.6 million. Total liabilities were $6.67 billion, including $4.20 billion in collateralized loan obligations. 2. **Net Interest Income**: Increased to $83.4 million from $74.7 million in Q1 2023, driven by higher interest income from new investments and non-recurring prepayment fees. Interest expense also rose due to increased borrowings. 3. **Expenses**: Management and performance fees rose to $9.4 million and $6.2 million, respectively. General and administrative expenses were $11.3 million, reflecting the company's growth. 4. **Credit Losses**: Net credit loss expense surged to $39.96 million, primarily due to a more adverse macroeconomic outlook. 5. **Net Income**: Dropped significantly to $15.8 million from $48.6 million in Q1 2023, impacted by higher expenses and credit loss provisions. 6. **NAV Per Share**: As of March 31, 2024, the NAV per share for different classes ranged from $24.14 to $25.25. 7. **Cash Flow**: Net cash provided by operating activities was $63.7 million, while investing activities used $168.2 million, mainly for loan originations. Financing activities resulted in a net cash outflow of $36.0 million. 8. **Future Commitments**: The company had $333.1 million in unfunded loan commitments. Overall, FS CREIT maintained stable asset levels but faced increased credit loss expenses and higher operational costs, impacting net income. The company continues to focus on originating and managing a diversified portfolio of real estate debt investments.