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ACRES Commercial Realty Corp. (ACR-3.07%) has submitted its 10-K filing for the fiscal year ended December 31, 2024.
The filing includes financial statements showing a decrease in total assets to $1.9 billion from $2.2 billion in the previous year. This decrease is attributed to loan payoffs and foreclosures.
Interest income for the year was $157.3 million, down from $187.5 million in the previous year, primarily due to a decrease in the total par value of the CRE loan portfolio.
The company reported a net income of $28.7 million, compared to $21.8 million in the previous year. Net income allocable to common shares was $9.1 million, or $1.19 per share-basic.
Operating expenses increased slightly to $71.9 million from $70.5 million, driven by higher real estate expenses and equity compensation.
The provision for credit losses was $4.8 million, down from $10.9 million in the previous year, reflecting a general worsening of macroeconomic factors and an increase in modeled credit risk.
ACRES Commercial Realty Corp. managed $1.9 billion of assets, including $1.1 billion financed and held in variable interest entities.
The company continues to focus on originating, holding, and managing commercial real estate mortgage loans and equity investments.
ACRES Commercial Realty Corp. did not pay distributions on its common shares during the year, focusing on retaining and managing sufficient liquidity.
The company anticipates using its net operating loss carryforwards to offset future taxable income, limiting the requirement for common share distributions.
ACRES Commercial Realty Corp. remains compliant with all financial covenants as defined in its respective agreements at the end of the fiscal year.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the ACRES Commercial Realty Corp. annual 10-K report dated March 17, 2025. To report an error, please email earnings@qz.com.