$SACH

Sachem Capital Corp.

CIK:0001682220|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Income Statement [Abstract]
Interest income from loans	$ 7,252	$ 7,482	$ 16,006	$ 15,370
Interest income from limited liability company investments	750	859	1,608	2,801
Interest expense and amortization of deferred financing costs	(6,328)	(6,139)	(12,387)	(12,233)
Net interest income	1,674	2,202	5,227	5,938
Provision for credit losses related to loans held for investment	(2,551)	(925)	(7,923)	(1,977)
Change in valuation allowance related to loans held for sale	0	1,043	0	1,047
Net interest (loss) income after provision for credit losses related to loans held for investment and changes in valuation allowance related to loans held for sale	(877)	2,320	(2,696)	5,008
Fee income from loans	1,146	1,771	2,438	3,196
Income from limited liability company investments	71	119	176	229
Other investment income	4	12	7	17
Gain (loss) on equity securities	7	821	(133)	696
Other income	134	532	277	604
Total other income	1,362	3,255	2,765	4,742
Operating expenses
Compensation and employee benefits	(1,937)	(1,821)	(4,075)	(3,592)
General and administrative expenses	(1,450)	(1,304)	(3,413)	(2,659)
Transaction expenses	(2,567)	0	(4,175)	0
Impairment loss on real estate owned	(288)	0	(191)	0
Gain on sale of investments in developmental real estate, real estate owned, and property and equipment, net	475	131	671	131
Other expenses	(95)	(694)	(340)	(839)
Total operating expenses	(5,862)	(3,688)	(11,523)	(6,959)
Net (loss) income	(5,377)	1,887	(11,454)	2,791
Preferred stock dividends	(1,120)	(1,118)	(2,240)	(2,235)
Net (loss) income attributable to common shareholders	$ (6,497)	$ 769	$ (13,694)	$ 556
Basic and diluted net loss per common share outstanding:
Basic (loss) income per common share (in dollars per share)	$ (0.14)	$ 0.02	$ (0.29)	$ 0.01
Diluted (loss) income per common share (in dollars per share)	$ (0.14)	$ 0.02	$ (0.29)	$ 0.01
Weighted average number of common shares outstanding:
Basic weighted average number of common shares outstanding (in shares)	47,281,931	46,875,187	47,230,349	46,830,215
Diluted weighted average number of common shares outstanding (in shares)	47,281,931	46,875,187	47,230,349	46,830,215

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net (loss) income	$ (11,454)	$ 2,791
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Amortization of deferred financing costs	1,035	1,101
Depreciation and amortization expense	152	234
Stock-based compensation	427	428
Provision for credit losses related to loans held for investment	7,923	1,977
Change in valuation allowance related to loans held for sale	0	(1,047)
Impairment loss on real estate owned	191	0
Gain on sale of real estate owned and property and equipment, net	(671)	(131)
Loss (gain) on equity securities	133	(696)
Change in deferred loan fees	(477)	681
Changes in operating assets and liabilities:
Interest and fees receivable, net	(332)	(462)
Other assets	310	(1,010)
Due from borrowers, net	(448)	(2,277)
Accounts payable and accrued liabilities	1,355	(996)
Advances from borrowers	(897)	99
NET CASH (USED IN) PROVIDED BY OPERATING ACTIVITIES	(2,753)	692
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from the sale of investment securities	0	1,174
Purchase of interests in limited liability companies	(721)	(5,731)
Proceeds from investments in limited liability companies	5,616	10,963
Proceeds from sale of real estate owned	2,402	1,559
Purchase of property and equipment	0	(43)
Investments in developmental real estate	(1,104)	(1,022)
Proceeds from sale of investments in developmental real estate	1,215	0
Principal disbursements for loans	(79,308)	(80,952)
Principal collections on loans	70,360	71,394
NET CASH USED IN INVESTING ACTIVITIES	(1,540)	(2,658)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from lines of credit	38,500	36,100
Repayments on lines of credit	(21,000)	(49,862)
Proceeds from repurchase agreements	0	11,693
Repayments of repurchase agreements	0	(30,959)
Repayment of mortgage payable	(44)	(42)
Dividends paid on common shares	(2,878)	(4,728)
Dividends paid on Series A Preferred Stock	(2,240)	(2,235)
Proceeds from issuance of Senior Secured Notes	10,000	50,000
Payments of deferred financing costs	(150)	(3,593)
NET CASH PROVIDED BY FINANCING ACTIVITIES	22,188	6,374
NET INCREASE IN CASH AND CASH EQUIVALENTS	17,895	4,408
CASH AND CASH EQUIVALENTS – BEGINNING OF PERIOD	10,924	18,066
CASH AND CASH EQUIVALENTS – END OF PERIOD	28,819	22,474
SUPPLEMENTAL DISCLOSURE OF CASH FLOWS INFORMATION
Cash paid during the period for interest	11,437	11,005
Real estate acquired in connection with foreclosure of certain mortgages	6,500	6,298
Loans held for sale transferred to loans held for investment	0	6,479
Developmental real estate acquired in restructuring of loan held for investment	35,948	1,696
Loans held for investment transferred to other assets	454	0
Loans originated from sale of real estate owned	$ 0	$ 840

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Assets
Cash and cash equivalents	$ 28,819	$ 10,924
Investment securities (at fair value)	803	936
Allowance for credit losses	(17,554)	(15,862)
Interest and fees receivable (net of allowance of $2,915 and $3,133)	3,975	4,116
Due from borrowers (net of allowance of $906 and $1,135)	4,413	6,978
Real estate owned (net of impairment of $185 and $492)	20,968	16,402
Investments in limited liability companies	34,237	39,132
Investments in developmental real estate, net	45,536	9,719
Property and equipment, net	3,043	3,160
Other assets	8,793	5,002
Total assets	472,900	460,047
Liabilities:
Notes payable (net of deferred financing costs of $1,213 and $1,905)	172,041	171,349
Senior secured notes payable (net of deferred financing costs of $3,152 and $3,427)	96,848	86,573
Mortgage payable	873	917
Lines of credit	36,500	19,000
Accounts payable and accrued liabilities	4,727	3,255
Advances from borrowers	3,119	4,016
Total liabilities	314,108	285,110
Commitments and Contingencies - Note 14
Shareholders’ equity:
Preferred shares - $0.001 par value; 5,000,000 shares authorized; 3,332,000 shares designated as Series A Preferred Stock; 2,312,758 shares of Series A Preferred Stock issued and outstanding at June 30, 2026 and December 31, 2025, respectively	2	2
Common Shares - $0.001 par value; 200,000,000 shares authorized; 47,954,632 and 47,684,955 issued and outstanding at June 30, 2026 and December 31, 2025, respectively	48	48
Additional paid-in capital	258,332	257,905
Cumulative net earnings	30,372	41,826
Cumulative dividends paid	(129,962)	(124,844)
Total shareholders’ equity	158,792	174,937
Total liabilities and shareholders’ equity	472,900	460,047
Loans held for investment
Assets
Loans held for investment (net of deferred loan fees of $1,753 and $2,230)	335,804	375,188
Allowance for credit losses	(13,491)	(11,510)
Loans held for investment, net	$ 322,313	$ 363,678