Annaly Capital Management, Inc. Q3 2025 Earnings Recap

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.