{"id":2872,"date":"2021-05-30T22:42:09","date_gmt":"2021-05-31T03:42:09","guid":{"rendered":"https:\/\/1reason.com\/re\/arbor-realty-trust-reports-first-quarter-2021-results-and-increases-dividend-for-fourth-consecutive-quarter-to-0-34-per-share\/2872\/"},"modified":"2021-05-31T17:42:09","modified_gmt":"2021-05-31T22:42:09","slug":"arbor-realty-trust-reports-first-quarter-2021-results-and-increases-dividend-for-fourth-consecutive-quarter-to-0-34-per-share","status":"publish","type":"post","link":"https:\/\/1reason.com\/re\/arbor-realty-trust-reports-first-quarter-2021-results-and-increases-dividend-for-fourth-consecutive-quarter-to-0-34-per-share\/2872\/","title":{"rendered":"Arbor Realty Trust Reports First Quarter 2021 Results and Increases Dividend for Fourth Consecutive Quarter to $0.34 per Share"},"content":{"rendered":"
, May 07, 2021 (GLOBE NEWSWIRE) — Arbor Realty Trust, Inc. (NYSE: ABR), today announced financial results for the first quarter ended March 31, 2021. Arbor reported net income for the quarter of $69.5 million, or $0.55 per diluted common share, compared to a net loss of $59.3 million, or $0.54 per diluted common share for the quarter ended March 31, 2020. Distributable earnings for the quarter was $75.1 million, or $0.52 per diluted common share, compared to $40.5 million, or $0.31 per diluted common share for the quarter ended March 31, 2020.1<\/sup> <\/p>\n

\u201cOur first quarter results were truly remarkable, allowing us to once again increase our dividend. Our exceptional performance continues to demonstrate the value of our diverse platform, and how uniquely positioned we are for future growth and success,\u201d said Ivan Kaufman, founder, chairman and CEO of Arbor Realty Trust.<\/p>\n

Agency Business<\/u><\/strong><\/p>\n

Loan Origination Platform<\/em><\/strong><\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
\n\nAgency Loan Volume (in thousands)<\/td>\n<\/tr>\n
\n\nQuarter Ended<\/td>\n<\/tr>\n
\n\nMarch 31, 2021<\/td>\n\nDecember 31, 2020<\/td>\n<\/tr>\n
Fannie Mae<\/td>\n$<\/td>\n1,063,983<\/td>\n\n$<\/td>\n2,202,092<\/td>\n<\/tr>\n
Freddie Mac<\/td>\n\n114,717<\/td>\n\n\n373,063<\/td>\n<\/tr>\n
FHA<\/td>\n\n\n66,480<\/td>\n\n\n133,523<\/td>\n<\/tr>\n
Private Label<\/td>\n\n152,454<\/td>\n\n\n44,884<\/td>\n<\/tr>\n
Total Originations<\/td>\n$<\/td>\n1,397,634<\/td>\n\n$<\/td>\n2,753,562<\/td>\n<\/tr>\n
\n\n\n\n<\/tr>\n
Total Loan Sales<\/td>\n$<\/td>\n1,841,891<\/td>\n\n$<\/td>\n2,418,317<\/td>\n<\/tr>\n
\n\n\n\n<\/tr>\n
Total Loan Commitments<\/td>\n$<\/td>\n1,460,135<\/td>\n\n$<\/td>\n2,808,173<\/td>\n<\/tr>\n
\n\n\n\n<\/tr>\n<\/table>\n

For the quarter ended March 31, 2021, the Agency Business generated revenues (excluding gains and losses on derivative instruments) of $89.3 million, compared to $125.6 million for the fourth quarter of 2020. Gain on sales, including fee-based services, net was $26.2 million for the quarter, reflecting a margin of 1.47% on loan sales (excluding $63.3 million of single-family rental (\u201cSFR\u201d) fixed rate loan sales), compared to $34.0 million and 1.41% for the fourth quarter of 2020. Income from mortgage servicing rights was $36.9 million for the quarter, reflecting a rate of 2.53% as a percentage of loan commitments, compared to $68.8 million and 2.45% for the fourth quarter of 2020. <\/p>\n

At March 31, 2021, loans held-for-sale was $613.5 million which was primarily comprised of unpaid principal balances totaling $602.3 million, with financing associated with these loans totaling $538.3 million.<\/p>\n

Fee-Based Servicing Portfolio<\/em><\/strong><\/p>\n

Our fee-based servicing portfolio totaled $25.46 billion at March 31, 2021, an increase of 3.4% from December 31, 2020, primarily the result of $1.40 billion of new agency loan originations, net of $418.6 million in portfolio runoff during the quarter. Servicing revenue, net was $15.5 million for the quarter and consisted of servicing revenue of $29.7 million, net of amortization of mortgage servicing rights totaling $14.2 million.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n
\n\nFee-Based Servicing Portfolio ($ in thousands)<\/td>\n<\/tr>\n
\n\nAs of March 31, 2021<\/td>\n\nAs of December 31, 2020<\/td>\n<\/tr>\n
\n\nUPB<\/td>\nWtd. Avg.
Fee<\/td>\n		Wtd. Avg. Life
(in years)<\/td>\n		\nUPB<\/td>\nWtd. Avg.
Fee<\/td>\n		Wtd. Avg. Life
(in years)<\/td>\n<\/tr>\n
Fannie Mae<\/td>\n\n$<\/td>\n19,073,504<\/td>\n0.528%<\/td>\n\n8.3<\/td>\n\n$<\/td>\n18,268,268<\/td>\n0.523%<\/td>\n\n8.2<\/td>\n<\/tr>\n
Freddie Mac<\/td>\n\n\n4,795,228<\/td>\n0.283%<\/td>\n\n9.8<\/td>\n\n\n4,881,080<\/td>\n0.279%<\/td>\n\n9.9<\/td>\n<\/tr>\n
FHA<\/td>\n\n\n796,133<\/td>\n0.160%<\/td>\n\n20.7<\/td>\n\n\n752,116<\/td>\n0.163%<\/td>\n\n20.3<\/td>\n<\/tr>\n
Private Label<\/td>\n\n\n726,918<\/td>\n0.200%<\/td>\n\n8.7<\/td>\n\n\n726,992<\/td>\n0.200%<\/td>\n\n8.7<\/td>\n<\/tr>\n
SFR-Fixed Rate<\/td>\n\n63,299<\/td>\n0.200%<\/td>\n\n6.1<\/td>\n\n\n–<\/td>\n–<\/td>\n\n–<\/td>\n<\/tr>\n
Total<\/td>\n\n$<\/td>\n25,455,082<\/td>\n0.460%<\/td>\n\n9.0<\/td>\n\n$<\/td>\n24,628,456<\/td>\n0.454%<\/td>\n\n8.9<\/td>\n<\/tr>\n
\n\n\n\n\n\n\n\n<\/tr>\n<\/table>\n

Loans sold under the Fannie Mae program contain an obligation to partially guarantee the performance of the loan (\u201closs-sharing obligations\u201d), and includes $34.4 million for the fair value of the guarantee obligation undertaken at March 31, 2021. The Company recorded a $1.1 million provision for loss sharing associated with CECL for the first quarter of 2021. At March 31, 2021, the Company\u2019s total CECL allowance for loss-sharing obligations was $31.5 million, representing 0.16% of the Fannie Mae servicing portfolio.<\/p>\n

Structured Business<\/u><\/strong><\/p>\n

Portfolio and Investment Activity<\/em><\/strong><\/p>\n