Granite Point Mortgage Trust reported a significantly wider-than-expected GAAP net loss for the third quarter of 2026, primarily due to heavy credit loss provisions and realized write-offs from asset resolutions. While the company made progress in resolving non-performing loans, including a major multifamily asset in Georgia, book value per share declined to $44.54 as the total CECL reserve reached 13.7% of portfolio commitments.
Key Highlights
- GAAP net loss of $(12.50) per share compared to the analyst consensus estimate of a $(3.10) loss.
- Total realized write-offs of $(25.3) million were recognized during the quarter, largely driven by the resolution of a $(52.4) million nonaccrual multifamily loan.
- The allowance for credit losses expanded to $185.9 million, with 95% of the total reserve now allocated to specific CECL reserves for troubled assets.
- Total loan principal exposure was reduced by $(81.7) million net, as the company prioritized repayments and resolutions over new fundings.