Annaly Capital Management, Inc.

Annaly Capital Management, Inc. Earnings Recaps

NLY Real Estate 3 recaps
Q1 2026 Apr 22, 2026

Annaly delivered a resilient first quarter with a 1.5% economic return amid volatile markets, reflecting disciplined risk management and strategic capital deployment. The firm maintained conservative leverage and strengthened its positioning across residential credit and MSRs.

Key takeaways
  • Generated $0.76 earnings per share and raised approximately $510 million in equity, predominantly reallocating capital to credit and MSR strategies amid Agency spread tightening.
  • Portfolio value remained stable at $92 billion, with strategic repositioning into lower-coupon Agency MBS to enhance cash flow durability and convexity.
  • Primarily focused on balanced risk management through measured hedging, maintaining exposure to swap spreads and treasury hedges during heightened macro volatility.
  • Macro backdrop includes geopolitical risks, energy shocks, and evolving bank capital rules, which favor fixed income and housing finance sectors with potential for increased bank MSR demand.
  • Portfolio positioning remains opportunistic with a focus on resilience amid ongoing market volatility and changing regulatory dynamics.
Full recap
Q3 2025 Oct 24, 2025

Annaly Capital Management delivered solid performance in Q3 2025, achieving an economic return of 8.1% and generating a robust earnings power, supported by a comprehensive equity raise and an expansion in Agency MBS investment.

Key takeaways
  • Economic return of 8.1% for Q3 and 11.5% year-to-date, marking eight consecutive quarters of positive economic performance.
  • Raised $1.1 billion in equity, bolstering capital deployment into Agency MBS, leading to a 10% quarter-over-quarter portfolio growth.
  • Agency MBS market dynamics improved significantly, with fixed income fund inflows 50% higher than previous averages, contributing to tighter spreads.
  • Residential Credit portfolio increased to $6.9 billion, benefiting from favorable spread movements and strong securitization volumes.
  • Continued disciplined risk management with effective hedging strategies, contributing positively to economic returns.
Full recap
Q2 2025 Jul 25, 2025

Annaly Capital Management reported a strong second quarter of 2025, achieving an economic return of 0.7% and earnings available for distribution of $0.73, outperforming its dividend for the seventh consecutive quarter.

Key takeaways
  • Generated a total shareholder return of over 10% year-to-date, supported by effective capital management and favorable market conditions.
  • Successfully raised over $750 million in accretive capital to bolster the agency sector, growing the agency portfolio by approximately $4.5 billion in notional terms.
  • The company maintains a balanced risk profile with a hedge allocation favoring swaps, while optimistic about potential catalysts in the agency mortgage-backed securities market.
Full recap