MIAMI BEACH - On Friday, Starwood Property Trust (NYSE:STWD) reported first quarter earnings that met analyst expectations, while revenue fell short of estimates.
The company’s shares were down 1% in pre-market trading following the release.
The real estate investment trust posted adjusted earnings per share of $0.45 for the quarter ended March 31, 2025, in line with the consensus estimate. However, revenue came in at $325.47 million, significantly below analyst projections of $493 million.
Starwood Property Trust invested $2.3 billion during the quarter, including $1.4 billion in commercial lending and a record $700 million in infrastructure lending. The company also closed an additional $1.3 billion in investments after the quarter ended.
"We entered 2025 with significant financial flexibility, diversified business lines, and a solid investment portfolio that we expect to grow significantly this year, with commercial lending originations to date already surpassing all of last year," said Barry Sternlicht, Chairman and CEO of Starwood Property Trust.
The company maintained its quarterly dividend of $0.48 per share, which it has paid for over a decade. Starwood reported current liquidity of $1.5 billion and no corporate debt maturities for over a year.
"We also continue to benefit from our diverse business model, high levels of liquidity, $4.9 billion of unencumbered assets and $1.5 billion of unrealized property gains which we can harvest to create incremental distributable earnings," added Jeffrey DiModica, President of Starwood Property Trust.
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