Third quarter GAAP net income of $10.0 million or $0.21 per diluted common share and Distributable Earnings(1) of $17.5 million or $0.37 per diluted common share
Closed $485 million of new loan commitments
– Subsequent to end of third quarter –
Declared fourth quarter 2021 dividend of $0.33 per diluted common share and a supplemental dividend of $0.02 per diluted common share
NEW YORK, November 03, 2021–(BUSINESS WIRE)–Ares Commercial Real Estate Corporation (the “Company”) (NYSE:ACRE), a specialty finance company engaged in originating and investing in commercial real estate assets, reported generally accepted accounting principles (“GAAP”) net income of $10.0 million or $0.21 per diluted common share and Distributable Earnings(1) of $17.5 million or $0.37 per diluted common share for the third quarter of 2021.
“ACRE delivered another quarter of strong and stable Distributable Earnings supported by robust new investment activity,” said Bryan Donohoe, Chief Executive Officer of Ares Commercial Real Estate Corporation. “During the third quarter, we fully deployed the proceeds from our June equity offering, which enabled us to grow our loan portfolio by more than 30% versus the same period a year ago.”
“Based on our strong actual results year-to-date and continued confidence in our outlook, we expect to more than fully cover our regular and supplemental dividends from our Distributable Earnings for the year,” said Tae-Sik Yoon, Chief Financial Officer of Ares Commercial Real Estate Corporation. “Looking forward, as most of our loans are floating rate combined with interest rate hedges on our liabilities, we believe that we are well-positioned to benefit should short-term interest rates materially increase.”
(1) Beginning in the fourth quarter of 2020, the non-GAAP financial measure of Core Earnings was renamed to Distributable Earnings. Refer to Schedule I for the definition and reconciliation of Distributable Earnings.
COMMON STOCK DIVIDEND
On July 30, 2021, the Company declared a regular cash dividend of $0.33 per common share and a supplemental cash dividend of $0.02 per common share for the third quarter of 2021. The third quarter 2021 dividend and supplemental cash dividend were paid on October 15, 2021 to common stockholders of record as of September 30, 2021.
On November 3, 2021, the Company declared a regular cash dividend of $0.33 per common share and a supplemental cash dividend of $0.02 per common share for the fourth quarter of 2021. The fourth quarter 2021 dividend and supplemental cash dividend will be payable on January 19, 2022 to common stockholders of record as of December 31, 2021.
The Company issued a presentation of its third quarter 2021 results, which can be viewed at www.arescre.com on the Investor Resources section of our home page under Events and Presentations. The presentation is titled “Third Quarter 2021 Earnings Presentation.” The Company also filed its Quarterly Report on Form 10-Q …….