Sachem Capital Q1 loss widens on loan restructuring, transaction costs

Sachem Capital

20/05/2026 12:09

Overview

U.S. mortgage REIT reported Q1 net loss, driven by loan restructuring and transaction expenses

Company's book value per share declined, reflecting net loss and dividend payments

Previously announced combination with Industrial Realty Group to create top-10 industrial REIT

Outlook

Company expects combination with IRG to add significant industrial property lease-driven revenue

Sachem expects combination to provide scale and diversification for long-term growth

Company intends to continue qualifying and operating as a REIT, distributing at least 90% of taxable income

Result Drivers

LOAN RESTRUCTURING CHARGE - Co incurred $3.9 mln non-cash charge tied to Naples, Florida loan restructuring, impacting provision for credit losses

TRANSACTION EXPENSES - $1.6 mln in expenses related to IRG combination contributed to net loss

HIGHER OPERATING COSTS - Compensation, administrative, and developmental real estate expenses increased, reflecting portfolio scale and complexity

Company press release: ID:nGNX3BGWYh

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
-$0.15
Q1 Net Income
-$7.20 mln
$652,000 (1 Analyst)

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the specialized reits peer group is "buy."

Wall Street's median 12-month price target for Sachem Capital Corp is $1.23, about 2.1% above its May 19 closing price of $1.20

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)