Broadmark Realty Capital Inc.

CIK:0001784797|SEC Filings

Consolidated Statements of Income - USD ($) $ in Thousands	3 Months Ended
Consolidated Statements of Income - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Revenues:
Total revenues	$ 24,701	$ 30,699
Revenues	23,836	29,873
Real property revenue from operations	865	826
Expenses:
Compensation and employee benefits	4,322	5,078
General and administrative	3,221	3,186
Merger transaction related expenses	4,920	0
Operating expenses	2,831	748
Interest expense	2,116	2,115
Total expenses	17,410	11,127
Impairment:
Provision for credit losses, net	1,701	1,747
Total impairment	2,705	1,747
Other (expense) income:
Change in fair value of warrant liabilities	0	(8)
Gain (loss) on sale of real property	(30)	257
Impairment on real property	(1,004)	0
Total other (expense) income	(30)	249
Income before provision for income taxes	4,556	18,074
Income tax provision	0	0
Net gain (loss) from investment in real property, held for sale	$ 4,556	$ 18,074
Earnings per common share:
Basic	$ 0.03	$ 0.14
Diluted	$ 0.03	$ 0.14
Weighted-average shares of common stock outstanding, basic and diluted
Basic	131,727,381	132,769,876
Diluted	132,046,269	132,836,771
Interest Income [Member]
Revenues:
Revenues	$ 19,264	$ 24,110
Fee Income [Member]
Revenues:
Revenues	$ 4,572	$ 5,763

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Cash flows from operating activities
Net income (loss)	$ 4,556	$ 18,074
Adjustments to reconcile net income to net cash provided by operating activities:
Accretion of deferred origination and amendment fees	(4,088)	(5,318)
Depreciation and amortization	601	219
Amortization of right of use assets	106	99
Amortization of debt issuance costs	143	143
Amortization of credit facility costs	377	379
Stock-based compensation expense for restricted stock units	905	985
Provision for credit losses, net	1,701	1,747
Gain on sale of real property	30	(257)
Impairment	1,004	0
Change in fair value of warrant liabilities	0	8
Changes in operating assets and liabilities:
Interest and fees receivable, net	(1,516)	(1,991)
Other assets	308	(135)
Accounts payable and accrued liabilities	(3,085)	714
Lease liabilities	(128)	(114)
Net cash provided by operating activities	914	14,553
Cash flows from investing activities:
Fundings of mortgage notes receivable	(78,555)	(123,802)
Principal collections	73,204	96,366
Origination and amendment fees received on mortgage notes receivable	1,379	1,968
Purchases of property and equipment	0	(198)
Proceeds from sale of real property	3,304	5,288
Improvements in real property	(1,855)	(1,450)
Net cash provided by (used in) investing activities	(2,523)	(21,828)
Cash flows from financing activities:
Dividends paid	(13,831)	(27,879)
Payment of taxes on shares withheld for tax liability	(201)	(328)
Net cash used in financing activities	(14,032)	(28,207)
Net decrease in cash and cash equivalents	(15,641)	(35,482)
Cash and cash equivalents, beginning of period	54,964	132,889
Cash and cash equivalents, end of period	39,323	97,407
Supplemental disclosure of non-cash investing and financing activities:
Dividends payable	4,612	9,297
Mortgage notes receivable converted to investment in real property	103,013	0
Interest and fee receivables converted to investments in real property	$ 3,389	$ 0

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Assets
Cash and cash equivalents	$ 39,323	$ 54,964
Mortgage notes receivable, net	784,881	881,950
Interest and fees receivable, net	12,902	14,775
Investment in real property held for sale, net	36,096	24,516
Investment in real property held for use, net	155,207	63,382
Right-of-use assets	5,503	5,609
Other assets	5,538	6,311
Total assets	1,039,450	1,051,507
Liabilities and stockholders' equity
Senior unsecured notes, net	97,932	97,789
Dividends payable	4,612	4,654
Accounts payable and accrued liabilities	9,988	13,489
Lease liabilities	7,394	7,522
Total liabilities	119,926	123,454
Commitments and contingencies (Note 11)
Stockholders' equity:
Preferred stock, $0.001 par value, 100,000,000 shares authorized, no shares issued and outstanding at March 31, 2023 and December 31, 2022	0	0
Common stock, $0.001 par value, 500,000,000 shares authorized, 131,750,308 and 131,645,145 issued and outstanding at March 31, 2023 and December 31, 2022, respectively	131	131
Additional paid in capital	1,215,933	1,215,229
Accumulated deficit	(296,540)	(287,307)
Total stockholders' equity	919,524	928,053
Total liabilities and stockholders' equity	$ 1,039,450	$ 1,051,507