MITT

Image source: The Motley Fool. Monday, Aug. 10, 2026 at 8:30 a.m. ET General Counsel - Jenny Neslin Chief Executive Officer and President - Thomas Durkin Chief Investment Officer - Nicholas Smith Chief Financial Officer - Anthony Rossiello Operator: Good day, and thank you for standing by. Welcome to the TPG Mortgage Investment Trust, Inc. Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. I'd now like to turn the call over to Jenny Neslin, General Counsel for the company. Please go ahead. Jenny Neslin: Thank you. Good morning, everyone, and welcome to the Second Quarter 2026 Earnings Call for TPG Mortgage Investment Trust. With me on the call today are T.J. Durkin, our CEO and President; Nick Smith, our Chief Investment Officer; and Anthony Rossiello, our Chief Financial Officer. Before we begin, please note that the information discussed in today's call may contain forward-looking statements. Any forward-looking statements made during today's call are subject to certain risks and uncertainties, which are outlined in our SEC filings, including under the headings Cautionary Statement Regarding Forward-Looking Statements, Risk Factors and Management's Discussion and Analysis. The company's actual results may differ materially from these statements. We encourage you to read the disclosure regarding forward-looking statements contained in our SEC filings, including our most recently filed Form 10-K for the year ended December 31, 2025, and our subsequent reports filed from time to time with the SEC. Except as required by law, we are not obligated and do not intend to update or to review or revise any forward-looking statements, whether as a result of new information, future events or otherwise. During the call today, we will refer to certain non-GAAP financial measures. Please refer to our SEC filings for reconciliations to the most comparable GAAP measures. We will also reference the earnings presentation and the transaction presentation that were posted to our website this morning. To view the slide presentation, turn to our website, www.mitt.tpg.com, and click the link for the Q2 2026 earnings presentation or the transaction presentation as applicable on the home page. Again, welcome to the call, and thank you for joining us today. With that, I'd like to turn the call over to T.J. Thomas Durkin: Thank you, Jenny. Good morning, everyone. I'm very pleased to report another strong quarter for MITT, highlighted by second quarter earnings and the announcement of our definitive agreement to acquire Cherry Hill Mortgage Investment Corporation. We believe this transaction represents a transformational step forward for MITT. The combined scale will benefit from significantly enhanced scale, meaningful G&A synergies and a highly complementary portfolio mix that remains firmly centered on our core focus, the residential mortgage ecosystem. As a reminder, MITT has a proven track record of executing and creating value through strategic acquisitions, including the WMC transaction that closed in December 2023. Since that acquisition, MITT has dramatically outperformed its peers, increasing our dividend 5x for a cumulative growth of 33%, while delivering approximately 140% growth in our quarterly EAD. With the addition of Cherry Hill, the combined company's market capitalization will increase by approximately 36%, materially improving stock liquidity and trading volumes while creating an equity capital base of approximately $750 million. This greater scale will position us to compete more effectively, operate more efficiently and create stronger long-term earnings power for our shareholders. We are also pleased that MITT's manager, TPG, is making a direct cash contribution of approximately $20 million alongside approximately $15 million from MITT's balance sheet, creating an attractive cash to stock consideration mix of approximately 30%. We believe this differentiates the transaction from a traditional REIT acquisition and meaningfully enhances the value proposition for both Cherry Hill and MITT shareholders. Cherry Hill shareholders will also gain access to the full breadth of TPG's platform, capabilities, relationships and operating expertise. In addition, we believe the combination will generate substantial G&A efficiencies with expected annual cost synergies in the range of approximately $7 million to $9 million, further supporting earnings growth and returns over time. We expect to close the strategic acquisition in the fourth quarter. Turning back to the second quarter. The market navigated a challenging interest rate environment driven by renewed inflation concerns and continued uncertainty around Federal Reserve policy. Despite this backdrop, MITT delivered another quarter of stable performance and disciplined execution. Book value increased from $9.97 to $10 per share during the quarter as we maintained a disciplined leverage profile and continued rotating capital into higher returning residential credit strategies. At the same time, Arc Home continued to scale meaningfully with funding volumes reaching multiyear highs. These initiatives helped generate EAD of $0.24 per share for the quarter, fully covering our recently declared dividend of $0.24. Notably, our company has continued to demonstrate earnings growth over the past year despite the ongoing headwind of having a legacy commercial loan exposure on nonaccrual status, which leaves room for significant upside as we continue to wind down this exposure. On the topic of our legacy commercial loans, as we discussed last quarter, the sale process for our retail exposure is progressing well. A buyer has been selected, and we currently expect the transaction to close by year-end. Within the hospitality portfolio, we remain on track to resolve 2 of our remaining exposures by the end of the third quarter. More importantly, we expect all 3 of these resolutions to occur in line with our current carrying values. These resolutions are important catalysts for MITT. As capital from these legacy positions is redeployed into our core residential strategies, we expect it to contribute approximately $0.05 of incremental EAD in the short term. Looking ahead, the remaining 2 hospitality assets are actively being repositioned under new management, and we expect to begin remarketing those assets next year. The eventual recycling of that capital is expected to provide an additional annual EAD benefit in excess of $0.15 per share. So combined, that's $0.20 in aggregate incremental EAD per annum. All in all, we believe MITT is entering a new phase for growth. We have consistently executed on the objectives we laid out over the last several years, strengthening the platform, improving earnings power and positioning the company for higher and more durable returns. As we look towards closing out 2026, we believe we have a clear line of sight to stronger ROEs, higher EAD and continued dividend growth. We have already raised the dividend in 4 of the last 7 quarters, reflecting the momentum we are building and the confidence we have in the trajectory of the business. We remain excited about the opportunities ahead and look forward to continuing to share our progress in the quarters to come. With that, I'll turn the call over to Nick. Nicholas Smith: Thanks, T.J., and thank you, everyone, for joining us today. The company remains active, rotating excess capital into home equity and non-agency credit, where we continue to see attractive risk-adjusted returns and strong demand across the capital stack. MITT is well positioned to continue to benefit from the growth of the non-agency residential mortgage market. As stated previously, home equity remains core to our strategy, and we believe this segment will provide the company with compelling opportunities as this residential housing segment's growth accelerates. It is worth noting that while year-over-year non-agency issuance has increased nearly 50%, the home equity segment has seen annualized growth of almost 150%. We expect our early mover advantage and continued market leadership to pay dividends well into the future as our partnerships deepen with the growth of the overall market. This quarter, the company successfully issued 2 securitizations with an aggregate balance of over $750 million. In the third quarter, we expect to issue over $1.25 billion across 3 home equity securitizations, building on partnerships with leading home equity originators. We expect to be able to continue this growth while maintaining a disciplined leverage profile as demonstrated by the modest increase in leverage quarter-over-quarter of just 0.1 turns, bringing the company's economic leverage to just 1.8 turns. Importantly, at these current levels, we have plenty of dry powder to continue to grow our asset base by using a combination of liquidity on hand or untapped financing, which we expect to be an important driver of additional earnings power. On Page 6, we highlight the second quarter's performance. This quarter, there were modest net mark-to-market gains on our investment and hedge portfolio despite the bear flattener and meaningfully higher nominal yields. Despite a challenging origination backdrop at Arc Home was able to distribute $6.6 million in excess capital to MITT during the quarter while growing origination volumes and making early progress on newly launched home equity offerings. This, combined with the previously mentioned capital rotation, drove the company's earnings power. Following T.J.'s remarks regarding the status of resolving the legacy commercial portfolio, we look forward to quickly rotating that capital into attractive opportunities within our core strategy to drive meaningfully accretion to EAD. To reiterate T.J.'s remarks, we see approximately $0.20 annual EAD pickup in aggregate with this improvement beginning in the third quarter and accelerating through 2027. Before handing off the call to Anthony, I'd like to comment briefly on MITT's strategic acquisition of Cherry Hill Mortgage Investment Corporation. As T.J. noted, this is a highly complementary portfolio. Cherry Hill's mortgage servicing rights will provide MITT with a new revenue stream that delivers additional diversification to the existing portfolio. We are confident that this is another segment of the broader residential mortgage ecosystem that MITT is well suited to leverage in the future to generate attractive risk-adjusted returns and importantly, will contribute to earnings immediately. Additionally, we believe that the combined balance sheet will provide opportunity to free additional capital through opportunistic sales and additional leverage capacity. Over to you, Anthony. Anthony Rossiello: Thank you, Nick, and good morning, everyone. During the second quarter, we continued rotating capital into home equity loans and non-agency securitizations, successfully executing 2 cosponsored deals. We also gained significant momentum toward resolving certain of our legacy WMC commercial loans and delivered continued strength in earnings available for distribution or EAD. During the quarter, book value increased 0.3% to $10 per share, generating 2.7% economic return, inclusive of our $0.24 dividend. GAAP net income was approximately $9.1 million or $0.29 per share. Net income during the quarter was driven by durable EAD across our investment portfolio and Arc Home, hedge adjusted gains on residential investments and unrealized gains on legacy W&C commercial loans, supported by $3.5 million of payments received, which reduced our cost basis and were used to continue delevering these investments. Our investment portfolio continued to generate high-teen ROEs while expenses remain controlled. We recognized EAD of $0.24 per share, fully covering our dividend. Net interest income, inclusive of our hedge portfolio was $0.65 per share, exceeding $0.45 of expenses and preferred dividends to generate net earnings of $0.20 per share. Arc Home contributed an additional $0.04 per share to EAD, consistent with last quarter and driven by origination volume growth. Our investment portfolio stood at $7.7 billion, primarily allocated across high-quality agency-eligible non-QM and home equity loans. While headline assets declined from $8.1 billion in Q1 due to securitized loan paydowns, our Q2 securitizations deployed capital into unconsolidated non-Agency RMBS rather than consolidated loans. During the quarter, we purchased an additional $70 million of HELOCs ahead of a planned Q3 securitization and acquired $38 million of non-Agency RMBS through executing 2 partnership deals without incurring warehouse financing risk. Looking ahead, resolving nonaccrual commercial loans unlocks roughly $30 million of capital for reinvestment into higher-yielding residential investments, further enhancing shareholder returns in 2027. Rounding out a strong quarter, we're excited to execute on our strategic acquisition of Cherry Hill, delivering immediate and long-term benefits to shareholders of both companies. The transaction is expected to drive EAD accretion in 2027 by acquiring a portfolio generating attractive equity returns while realizing significant operating synergies upon combining the platforms. Cherry Hill's Agency RMBS and low WACC MSR portfolios bring durable, predictable cash flows that complement our residential loan strategy, strengthen our net interest margin and provide strong support for our dividend. Importantly, this transaction achieved scale through permanent capital without adding unsecuritized debt, supported by a significant contribution from TPG and an amended manager incentive fee structure that aligns interest with shareholders and TPG's commitment to growth in MITT's pure-play residential strategy. Upon combination, pro forma economic leverage will settle at approximately 2.9 turns, derisking Cherry Hill's historical profile while maintaining our conservative balance sheet relative to peers. As we ended the quarter with $112 million of liquidity, funding this $15 million of cash consideration leaves us with ample post-close flexibility to capitalize on a larger, more liquid platform. I'll now turn the call back to T.J. for closing remarks. Thomas Durkin: Thank you, Anthony. I'd like to close by addressing Cherry Hill shareholders. We hope you agree that this pending transaction is compelling and should deliver long-term value for you. We look forward to welcoming you to our combined company, and we sincerely hope your ownership continues. And with that, we'll open up the line for questions. Operator? Operator: [Operator Instructions] I'm showing no questions at this time. I'll now turn the program back to our presenters. Apologies. We do have a question. We'll take our first question from Bose George with KBW. Bose George: Actually, first on the acquisition. Is the plan to maintain that portfolio, both the MSR and the agencies as is? Or any thoughts on how that might look as a combined company? Nicholas Smith: Bose, this is Nick. Thanks for the question. So the -- similar to all of our strategies, we will optimize over time. There is an expectation that there are portions of the portfolio that will be retained and others that will be rotated not dissimilar to sort of our current strategies. Bose George: Okay. Great. And then actually in terms of the mix of the different assets, leaving aside the acquisition, what -- like how do you see that evolving? Do you see home equity as being a potentially much larger piece? Or just how do those pieces potentially look a year out from now? Nicholas Smith: Yes. The expectation is from the prepared remarks that home equity will continue to accelerate. We just currently see one a competitive advantage and more relative value there. So I would expect that to continue to grow. Bose George: Okay. And the returns there remain -- have they remained fairly stable? It seems like there's a lot of activity in that space, a lot of production, but the returns are relatively stable? Thomas Durkin: Yes. Look, I mean, generally, the market has gotten more competitive in non-agencies broadly. This segment itself is not isolated from that, but we do believe it is generally more isolated than other segments for various reasons. And it's our view that we have a strong competitive advantage to drive higher returns there relative to other segments. Operator: I'm showing no additional questions at this time. I'll now turn the program back to our presenters for any additional or closing remarks. Jenny Neslin: Thank you, everyone, for joining, and we look forward to speaking with you again next quarter. Have a great day. Operator: Thank you. This brings us to the end of today's meeting. We appreciate your time and participation. You may now disconnect. 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Download the Complete Report Here The MITT transaction materially improves value realization for CHMI shareholders while preserving meaningful participation in the combined platform. CHMI entered into a definitive agreement to be acquired by TPG Mortgage Investment Trust (MITT), with closing targeted for 4Q26. The $3.10 signing value represents a 29% premium to CHMI’s unaffected $2.41 share price and approximately 0.98x June 30 BVPS of $3.16, while roughly 30% of announced consideration is cash and CHMI holders retain approximately 27% ownership of the combined company. Through the fixed 0.3063 exchange ratio, the stock component provides both near-term value realization and continued exposure to MITT’s earnings, book value and potential rerating following closing. Strategically, the merger creates a larger and more diversified residential mortgage REIT with a clearer path to earnings and valuation upside. The combined investment portfolio is expected to total approximately $9.0 billion, while management expects $7-$9 million of annual operating efficiencies, 2027 earnings accretion and lower pro forma economic leverage of roughly 2.9x. TPG’s direct ~$20 million / $0.52-per-share cash contribution, proprietary securitization capabilities and experience originating, acquiring and managing MSRs add further support, with greater scale, lower unit costs and broader capital-allocation flexibility providing multiple avenues for value creation across the combined platform. 2Q26 EAD beat expectations as stronger RMBS carry and dollar-roll income drove the best quarterly core earnings performance since 1Q25. EAD increased to $0.15/share from $0.14 in 1Q26 and $0.11 in 4Q25, while dividend coverage expanded to approximately 1.5x on the $0.10 quarterly payout. The stronger-than-expected print supported an upward revision in the Street’s 2026E EAD estimate to $0.59/share from $0.55, with current estimates of $0.15/share for both 3Q26E and 4Q26E. Lower funding costs and wider RMBS spreads improved the quality of 2Q26 earnings despite higher prepayments and modest book-value pressure. Net interest income rose to $4.7 million, RMBS net interest spread widened to approximately 3.45% from 2.90%, and aggregate leverage declined to 5.02x from 5.49x, while unrestricted cash increased to $52.1 million from $46.7 million. Offsetting these gains, RMBS CPR increased to 9.7%, MSR CPR rose to 6.3%, BVPS declined modestly to $3.16 from $3.23, and Real Genius required a $2.8 million impairment. Valuation is now anchored by the transaction, while MITT’s valuation gap versus peers and merger synergies preserve meaningful upside. At $2.79, CHMI trades at approximately 0.88x book and 4.7x 2026E EAD, while MITT trades at roughly 0.6x book and 5.6x NTM earnings versus peer averages of approximately 0.9x and 6.4x. The fixed exchange ratio therefore gives CHMI holders continued exposure to any normalization in MITT’s valuation, while expected annual operating efficiencies, 2027 earnings accretion, and greater scale provide additional avenues for value creation. CHMI entered into a definitive agreement to be acquired by TPG Mortgage Investment Trust (MITT), combining its Agency RMBS and conventional MSR platform with MITT’s broader residential credit franchise. Under the agreement signed August 9, 2026, each CHMI common share will receive 0.3063 MITT common shares plus $0.93 in cash, with $0.41/share funded by MITT and $0.52/share contributed by MITT’s external manager, AG REIT Management, an affiliate of TPG. Based on MITT’s August 7 closing price of $7.09, the consideration was worth $3.10 per CHMI share, implying an aggregate transaction value of approximately $117.5 million, a 29% premium to CHMI’s unaffected $2.41 closing price and a 32% premium to its 30-day VWAP. Importantly, approximately 30% of announced consideration is cash, including roughly $20 million funded by TPG and $15 million by MITT, providing CHMI holders with a meaningful element of certain value at closing while preserving upside participation through the stock component. The transaction is expected to close in 4Q26, subject to stockholder approvals and customary closing conditions. The transaction crystallizes much of CHMI’s standalone discount to book while retaining meaningful upside through ownership in the combined company. CHMI ended 2Q26 with BVPS of $3.16, versus an unaffected share price of $2.41, or approximately 0.76x book, while the $3.10 announced consideration equates to roughly 0.98x June 30 BVPS. The fixed 0.3063 exchange ratio, established using adjusted June 30 book values of CHMI and MITT, leaves CHMI holders with approximately 27% ownership of the combined company. MITT’s June 30 BVPS was $10.00 versus its $7.09 August 7 close, or approximately 0.71x book; accordingly, the exchange ratio represents approximately $3.06/share of MITT book value compared with $2.17/share of market value at announcement. Including the $0.93 cash component, the transaction presentation shows $3.99/share of illustrative value on a MITT book-value basis, approximately 66% above CHMI’s unaffected price. While $3.99 is not fixed transaction consideration, the structure allows CHMI holders to monetize most of CHMI’s discount to book while rolling the majority of consideration into MITT at a meaningful discount to its own book value, preserving potential upside if the combined company’s valuation normalizes. Strategically, the combination creates a ~$9.0 billion residential mortgage platform while materially broadening CHMI’s access to capital, financing and securitization capabilities. CHMI contributes an Agency-oriented platform centered on Agency RMBS and conventional MSRs, while MITT brings a larger residential credit franchise spanning Non-Agency mortgage assets and home equity. The combined investment portfolio is expected to total approximately $9.0 billion, comprising 72.0% Non-Agency Residential Credit, 14.4% Agency RMBS and MSRs, 12.6% Home Equity and 1.0% other investments. This should create a more diversified earnings mix, with CHMI’s Agency carry and MSR cash flows complementing MITT’s credit-oriented earnings profile. CHMI’s conventional MSR platform represented approximately $211 million of investment value and $15.2 billion of underlying UPB at June 30, adding a differentiated servicing asset to MITT’s broader credit platform. MITT management also expects the MSR portfolio to contribute to earnings immediately and provide an additional revenue stream, while TPG’s substantial experience originating, acquiring and managing MSRs strengthens the strategic fit of the servicing platform within MITT. Importantly, the combined company will gain access to the broader resources of TPG, a global alternative asset manager with approximately $327 billion of AUM, including its proprietary securitization platform and broader credit and asset-based finance capabilities. This should broaden financing options and improve capital-allocation flexibility across Agency and credit assets, while management also indicated that portions of the acquired portfolio may be retained or rotated over time as relative-value opportunities evolve. TPG’s backing adds an important layer of strategic and financial support to the combination. MITT’s external manager, an affiliate of TPG, is contributing approximately $20 million, or $0.52 per CHMI share, toward the cash consideration while also providing access to TPG’s $327 billion asset-management platform, proprietary securitization capabilities and residential mortgage expertise. TPG’s experience originating, acquiring and managing MSRs is particularly relevant to CHMI’s conventional servicing portfolio, while the broader platform should expand financing, capital-allocation and liquidity options for the combined company. The transaction also meaningfully improves operating scale and financial efficiency, providing a clear path to earnings accretion. The merger is expected to add approximately $1.3 billion, or 17%, to MITT’s investment portfolio, increase MITT’s market capitalization by approximately 36%, and expand total equity capital to roughly $742 million. The transaction also expands MITT through permanent equity capital without requiring incremental unsecured corporate debt, preserving balance-sheet flexibility as the combined platform scales. Management expects approximately $7-$9 million of annual operating expense efficiencies, net of incremental estimated management-fee expense, as the combined cost base is spread across a substantially larger equity platform. The transaction is expected to be earnings accretive in 2027, within one year of closing, while pro forma economic leverage is expected to settle at approximately 2.9x, which management views as derisking CHMI’s historical profile while maintaining a conservative balance sheet relative to peers. The combination should therefore translate greater scale into a lower effective expense burden, improved financing flexibility and a broader opportunity set for capital deployment, supporting stronger long-term earnings capacity across the residential mortgage platform. The transaction preserves substantially equivalent treatment for CHMI preferred shareholders while strengthening governance and alignment in the combined company. CHMI’s 8.20% Series A and 8.250% Series B preferred shares are expected to convert 1-for-1 into newly issued MITT preferred securities with substantially equivalent rights. MITT’s existing management team will continue to lead the combined company, while two CHMI-designated independent directors will join the board, increasing it to eight members. Alignment is further supported by an amendment to MITT’s manager incentive-fee framework, which will be based on the combined company’s pro forma book value and EAD. Approximately 11.608 million new MITT common shares are expected to be issued to CHMI holders. Execution and closing remain the principal near-term transaction considerations. Both boards unanimously approved the merger, but completion remains subject to CHMI and MITT stockholder approval, effectiveness of the Form S-4, required regulatory approvals, NYSE listing of the new securities and customary closing conditions. The companies are targeting a 4Q26 close, with an outside date of March 9, 2027, subject to a possible 60-day regulatory extension. From a CHMI shareholder perspective, the main variable through closing is MITT’s stock price: the fixed 0.3063 exchange ratio means the market value of the stock component—approximately 70% of announced consideration at signing—will move with MITT shares, while the $0.93/share cash component remains fixed. Accordingly, through closing, CHMI’s realized transaction value will be driven primarily by MITT’s share price, the fixed 0.3063 exchange ratio, the $0.93 cash component and successful completion of the merger, while standalone EAD and book value remain relevant principally as markers of underlying value through closing. Dividend treatment through closing provides additional continuity for CHMI shareholders. The merger agreement permits CHMI to declare a prorated dividend immediately prior to closing based on its then-most-recent quarterly dividend for the period since the last dividend record date, together with any additional distribution required to preserve REIT qualification. This should help preserve the economic value of CHMI’s dividend accrual through the closing date, subject to the terms of the merger agreement. Core earnings continued to improve in 2Q26, with EAD reaching the strongest quarterly level since 1Q25 and dividend coverage expanding further. EAD attributable to common shareholders increased to $5.5 million, or $0.15/share, in 2Q26, from $0.14/share in 1Q26 and $0.11/share in 4Q25, marking CHMI’s strongest quarterly EAD performance since 1Q25 and exceeding the $0.13/share Street estimate. The sequential improvement was supported by stronger RMBS carry, lower borrowing costs and higher TBA dollar-roll income of $1.4 million versus $0.4 million in 1Q26, partially offset by higher G&A. As a result, coverage of the $0.10 common dividend improved to approximately 1.5x, from 1.4x in 1Q26 and 1.1x in 4Q25. The stronger earnings run-rate also supported an upward revision in the Street’s 2026E EAD estimate (source: TIKR) to $0.59/share from $0.55 previously. GAAP results improved as well, with net income applicable to common shareholders of $1.3 million, or $0.04/share, compared with a $(0.05)/share loss in 1Q26. The improvement in EAD reflects stronger recurring carry as lower financing costs continued to lift net interest income and RMBS spreads. Net interest income increased to $4.7 million from $4.5 million, while interest expense declined to $10.0 million from $11.4 million, helping RMBS net interest spread widen to approximately 3.5% from 2.90% in 1Q26. Importantly, the improvement came despite a smaller financed asset base, with average repo borrowings declining roughly 10% q/q, indicating better earnings efficiency rather than growth driven by higher leverage. Total other loss narrowed to $4.2 million from $7.7 million, as a $12.1 million realized derivative gain partially offset continued unrealized derivative and portfolio losses, including the $2.8 million Real Genius impairment. Operating expenses increased to $4.0 million from $3.3 million, partly reflecting transaction-related costs. Overall, the quarter showed stronger underlying spread economics and recurring earnings, while continued realized and unrealized mark volatility reinforces EAD as the cleaner measure of core portfolio performance. Book value pressure moderated materially from 1Q26, while total economic return turned positive as stronger carry and the dividend helped absorb a still-volatile rate backdrop. BVPS ended 2Q26 at $3.16 versus $3.23 at March 31, a 2.2% sequential decline, compared with a much sharper 6.1% decline in 1Q26. Including the $0.10/share quarterly dividend, CHMI generated a 0.9% total economic gain, a meaningful improvement from the negative economic return in the prior quarter. The backdrop remained challenging as Treasury yields moved higher and lower-coupon Agency RMBS weakened, yet the comparatively modest $0.07/share decline in book value suggests that stronger carry, portfolio construction and hedging provided substantially better downside absorption than in 1Q26. BVPS remains below the $3.44 year-end 2025 level, but the quarter showed a notably better balance between distributable earnings and book-value preservation. The RMBS portfolio remained the primary earnings engine, with improved spread economics more than offsetting a smaller securities balance and somewhat faster prepayments. RMBS carrying value declined to $1.08 billion, from $1.21 billion at the year-end while the portfolio remained entirely Agency-backed and represented 79% of invested assets excluding cash. Despite the smaller asset base, net interest income increased 6.3% q/q to $4.7 million, as lower financing costs and stronger asset yields drove net interest spread to 3.45% from 2.90% in 1Q26, a 55-bp sequential improvement. Prepayments accelerated, with RMBS CPR increasing to 9.7% from 8.0%, creating some incremental reinvestment and premium-amortization risk, but CHMI also increased its RMBS hedge ratio to 65% from 63%. Overall, the combination of wider spreads, lower funding costs and greater hedge protection supported stronger core earnings despite reduced balance-sheet exposure and higher prepayment activity. MSRs continued to provide complementary servicing cash flow, although portfolio runoff and faster prepayments weighed on sequential results. Net servicing income declined 7.0% q/q to $7.4 million from $7.9 million, as servicing fee income fell to $9.7 million from $10.2 million while servicing costs remained broadly stable at $2.3 million. MSR UPB declined to approximately $15.2 billion from $15.6 billion, with carrying value easing to $211.1 million, while MSRs represented roughly 21% of investments excluding cash and Servicing Related Assets represented approximately 39% of equity. Prepayment activity increased, with net CPR rising to 6.3% from 4.5% in 1Q26, though the portfolio’s low 3.49% weighted-average mortgage coupon continues to provide meaningful refinance protection. Credit quality also remained solid, with a 755 original FICO, 76.5% original LTV and 1.1% 60+ day delinquencies. Recapture was minimal at 0.2%, limiting the offset to natural runoff, but the low-coupon collateral profile continues to support the durability of servicing cash flows. Hedge positioning continued to absorb rate and basis volatility, while lower net mark-to-market pressure supported the sequential improvement in earnings. CHMI generated $8.4 million of realized derivative gains excluding swap periodic income, led by gains on TBAs, Treasury futures and Eris SOFR futures, while $3.7 million of periodic swap interest income provided additional support to EAD. These benefits were partially offset by a $9.3 million unrealized derivative loss, reflecting continued quarter-to-quarter mark volatility. Despite this, total other loss narrowed to $4.2 million from $7.7 million in 1Q26, contributing to the improvement in GAAP results. Hedge positioning also continued to evolve, with interest-rate swap notional at $767 million, net TBA notional declining to $267 million, and Eris SOFR futures increasing to $82 million at quarter-end. Overall, the hedge book continued to enhance carry and protect against rate and basis risk even as unrealized derivative valuations remained volatile. The $2.8 million Real Genius credit loss and impairment reduces the near-term optionality of CHMI’s digital-origination initiative. The charge relates to CHMI’s investment in Real Genius LLC and associated promissory note, representing a notable reversal from the optionality attributed to the platform in prior quarters. CHMI recorded a $2.3 million credit-loss allowance against the $3.2 million promissory note, leaving a net carrying value of approximately $0.9 million. Importantly, the impairment is excluded from EAD, helping explain why distributable earnings improved to $0.15/share even as the investment weakened economically and contributed to GAAP pressure. We therefore assign substantially less standalone value to Real Genius, with future value more dependent on recovery of the remaining exposure than on scaling the origination platform. Its strategic importance also becomes less significant under the proposed MITT combination, where CHMI’s $15.2 billion MSR portfolio would sit within a broader ~$9 billion residential mortgage platform with access to TPG’s larger origination, investment and securitization capabilities. Liquidity and leverage improved as CHMI reduced financed RMBS exposure, leaving the balance sheet more conservatively positioned entering the proposed MITT merger. Aggregate leverage declined to 5.02x from 5.49x in 1Q26, while quarter-end repo borrowings fell to $1.01 billion from $1.12 billion and the weighted-average repo rate improved to 3.76%. Unrestricted cash increased approximately 12% q/q to $52.1 million from $46.7 million, with total unrestricted and restricted cash of $77.5 million, while notes payable declined to $140.6 million. The reduction in leverage and financed assets, together with lower funding costs and higher liquidity, provides greater protection against margin pressure and additional balance-sheet flexibility ahead of the targeted 4Q26 transaction close. Capital allocation remains conservative, with CHMI prioritizing liquidity and portfolio economics rather than accessing the ATM or repurchasing shares. No common shares were issued through the ATM during 1H26, leaving approximately $34.6 million of capacity under the $150 million common-stock ATM program; this contrasts with 2025, when CHMI issued 4.9 million shares at an average $3.00/share and raised approximately $14.7 million of gross proceeds. CHMI also made no common or preferred-stock repurchases during the quarter, leaving approximately $4.7 million available under the common repurchase authorization, while the existing preferred-stock repurchase program authorizes up to $50 million of repurchases. With BVPS at $3.16, unrestricted cash of $52.1 million, 5.0x leverage and the common dividend covered 1.5x by EAD, the lack of ATM issuance or discretionary share repurchases is consistent with preserving balance-sheet flexibility rather than materially changing capital structure immediately before the subsequent transaction announcement. The stronger 1H26 earnings run-rate supports a higher second-half baseline, with improved RMBS carry providing a firmer foundation for standalone earnings through the expected merger close. CHMI generated $0.29/share of EAD in 1H26 versus $0.27/share in 1H25, while Street estimates sourced from TIKR now show $0.15/share in both 3Q26 and 4Q26, implying $0.30/share for 2H26 and lifting the full-year estimate from $0.55 to $0.59/share. Quarterly EAD has improved from $0.11 in 4Q25 to $0.14 in 1Q26 and $0.15 in 2Q26, and the revised second-half estimates effectively assume that the 2Q run-rate is sustained. Support for the upward revision comes from lower funding costs and stronger RMBS spread economics, with 2Q NII of $4.7 million and RMBS net interest spread of approximately 3.5%, while higher MSR CPR of 6.3%, RMBS CPR of 9.7%, and operating expenses of approximately $4.0 million versus $3.3 million in 1Q26 remain key offsets. At the revised $0.59/share estimate, CHMI’s $0.40 annualized common dividend remains comfortably covered at roughly 1.5x. Given the expected 4Q26 merger close, we view the revised estimate primarily as a measure of the standalone earnings capacity CHMI brings into the transaction. Disclaimer: Exec Edge does not publish proprietary estimates, ratings, price targets, or investment recommendations. The valuation discussion below is illustrative only and is based on company filings, management commentary, and third-party data and estimates. It does not constitute a recommendation, price target, rating, or prediction of future pricing. The transaction creates value for CHMI shareholders through a combination of near-book value realization, meaningful cash consideration and retained participation in a larger platform with further rerating potential. The $3.10 signing value equates to approximately 0.98x CHMI’s June 30 BVPS of $3.16, versus roughly 0.76x book at the unaffected $2.41 share price, while approximately 30% of announced consideration is cash and CHMI holders retain about 27% ownership of the combined company. Importantly, the stock component rolls CHMI shareholders into MITT, which trades at approximately 0.6x book and 5.6x NTM earnings versus peer averages of roughly 0.9x and 6.4x. Successful realization of $7-$9 million of annual operating efficiencies, expected 2027 earnings accretion and greater scale and liquidity therefore provide multiple avenues for further value creation beyond the initial transaction premium. The signing valuation validates the standalone value identified in our prior CHMI framework, while the improved earnings outlook strengthens the underlying transaction economics. The $3.10 announced value falls within the approximately $3.0-$3.9/share range highlighted in our last EPS note and represents a substantial recovery from CHMI’s unaffected $2.41 price. The deal was also struck against improving fundamentals: 2Q26 EAD increased to $0.15/share, the strongest quarterly level since 1Q25, while 2026E EAD/share has been revised higher to $0.59 from $0.55. At the current $2.79 share price, CHMI trades at approximately 0.88x June 30 book, 4.7x 2026E EAD and a 14.3% annualized dividend yield, with a market capitalization of approximately $103 million. We therefore view the transaction as recognizing substantially more of CHMI’s underlying book value and earnings capacity than was reflected in the pre-deal public-market valuation. MITT’s valuation provides the principal source of retained longer-term upside for CHMI shareholders following closing. At approximately 0.6x book and 5.6x NTM earnings, MITT trades well below peer averages of roughly 0.9x and 6.4x, respectively, while its 15.2% dividend yield is broadly in line with the peer average of 15.3%. This suggests MITT’s discount is concentrated primarily in its book-value and earnings multiples rather than its income proposition. Because CHMI holders receive a fixed 0.3063 MITT shares per CHMI share, they retain direct exposure to any normalization in MITT’s valuation as the combined platform realizes expected cost efficiencies, earnings accretion and greater operating scale. The transaction therefore both recognizes CHMI at close to book value and preserves additional upside through participation in a potential rerating of MITT. Near-term transaction value remains sensitive to MITT’s share price, but we view this separately from the longer-term value-creation opportunity. At MITT’s current $6.32 share price, the fixed 0.3063 exchange ratio plus $0.93 cash implies consideration of approximately $2.87/share, compared with the $3.10 signing-date value based on MITT’s $7.09 August 7 close. Against CHMI at $2.79, the current merger spread is approximately 2.7%. While the mark-to-market consideration will continue to fluctuate through closing, CHMI holders retain approximately 27% of the combined company, making successful transaction completion, preservation of book value and realization of the expected annual efficiencies and 2027 earnings accretion the more important longer-term valuation drivers. Read Exec Edge’s Initiation on Cherry Hill Here Subscribe to our Weekly Newsletter to Receive All Research Contact: Executives-Edge.com [email protected] -0- The post Cherry Hill Mortgage’s 29% Premium Deal: $9B Merger Opens Door to Bigger Upside – Quarterly Update Report appeared first on ExecEdge.

Interested in AG Mortgage Investment Trust, Inc.? Here are five stocks we like better. Cherry Hill acquisition: MITT expects to close its acquisition of Cherry Hill Mortgage Investment Corporation in the fourth quarter of 2026. The transaction is projected to increase market capitalization by about 36%, create a roughly $750 million equity base and generate $7 million–$9 million in annual cost synergies. Dividend coverage and portfolio growth: Second-quarter earnings available for distribution were $0.24 per share, fully covering the $0.24 dividend. MITT is expanding home equity and non-agency residential credit, with more than $1.25 billion of home equity securitizations planned for the third quarter. Commercial asset resolutions: MITT expects to resolve three legacy commercial exposures by year-end, potentially unlocking about $30 million for reinvestment. Management projects these actions could improve annual EAD by approximately $0.20 per share through 2027. TPG Mortgage Investment Trust, which operates under the MITT name, reported second-quarter earnings available for distribution that covered its dividend and outlined plans to expand its residential mortgage strategy through a pending acquisition of Cherry Hill Mortgage Investment Corporation. AG Mortgage Investment Trust (NYSE:MITT) said the transaction is expected to close in the fourth quarter of 2026, subject to customary conditions. Chief Executive Officer and President T.J. Durkin said the Cherry Hill acquisition would be a “transformational step forward” for MITT, citing increased scale, expected overhead synergies and a complementary portfolio mix within the residential mortgage ecosystem. → MarketBeat Week in Review – 08/03 - 08/07 The combined company’s market capitalization is expected to rise by approximately 36%, creating an equity capital base of roughly $750 million, according to Durkin. MITT also expects the deal to improve stock liquidity and trading volumes. TPG, MITT’s manager, plans to provide about $20 million in direct cash, while MITT expects to contribute approximately $15 million from its balance sheet. The consideration mix is expected to be about 30% cash and 70% stock. MITT reported second-quarter GAAP net income of approximately $9.1 million, or $0.29 per share. Book value increased 0.3% during the quarter to $10.00 per share, while economic return, including the company’s $0.24 per-share dividend, was 2.7%. → Quantum Earnings Week: Winners and Losers Are Finally Emerging Earnings available for distribution, or EAD, totaled $0.24 per share, fully covering the recently declared $0.24 dividend. Chief Financial Officer and Treasurer Anthony Rossiello said net interest income, including the company’s hedge portfolio, was $0.65 per share. That exceeded $0.45 per share of expenses and preferred dividends, resulting in $0.20 per share of net earnings. Arc Home contributed another $0.04 per share to EAD, consistent with the prior quarter. Durkin said the company’s book value performance and dividend coverage came despite a challenging interest-rate environment marked by renewed inflation concerns and uncertainty surrounding Federal Reserve policy. The company maintained what management described as a disciplined leverage profile while rotating capital into residential credit investments. → Take-Two’s Q1 Results Leave GTA 6 Bulls Stuck in the Fog of War MITT ended the quarter with $112 million of liquidity. Its economic leverage increased by 0.1 turns from the prior quarter to 1.8 turns, according to Chief Investment Officer Nick Smith. Management emphasized home equity loans and non-agency residential mortgage credit as core areas for growth. Smith said MITT continued to see attractive risk-adjusted returns and strong demand across the capital stack in those markets. The company completed two securitizations during the second quarter with an aggregate balance exceeding $750 million. For the third quarter, MITT expects to issue more than $1.25 billion through three home equity securitizations, supported by partnerships with home equity originators. MITT’s investment portfolio stood at $7.7 billion at quarter-end, down from $8.1 billion in the first quarter due to securitized loan paydowns. Rossiello said the portfolio was primarily allocated to agency-eligible non-QM and home equity loans. During the quarter, the company purchased an additional $70 million of home equity lines of credit ahead of a planned third-quarter securitization and acquired $38 million of non-agency residential mortgage-backed securities through two partnership transactions. Smith said home equity is expected to become a larger portion of MITT’s asset mix. He noted that non-agency issuance had increased nearly 50% year over year, while the home equity segment had posted annualized growth of almost 150%. While acknowledging that the broader non-agency RMBS market has become more competitive, Smith said management believes home equity is relatively more insulated than other market segments and that MITT has a competitive advantage in the area. MITT also provided an update on its remaining legacy commercial loan exposures, which have been a drag on earnings because of non-accrual positions. Durkin said the sale process for the company’s retail exposure is progressing, with a buyer selected and closing anticipated by year-end. Within the hospitality portfolio, MITT expects to resolve two of its four remaining exposures by the end of the third quarter. Together with the retail resolution, management expects the three transactions to occur in line with their current carrying values. Rossiello said the non-accrual commercial loan resolutions are expected to unlock roughly $30 million of capital for reinvestment into higher-yielding residential investments. Management expects redeploying capital from the initial resolutions to add approximately $0.05 per share of EAD in the near term. The two remaining hospitality assets are being repositioned under new management and are expected to be remarketed next year. Durkin said the eventual recycling of capital from those assets could provide an additional annual EAD benefit exceeding $0.15 per share. In aggregate, management expects approximately $0.20 per share of annual EAD improvement, beginning in the third quarter and accelerating through 2027. Cherry Hill’s portfolio includes agency RMBS and mortgage servicing rights, or MSRs. Smith said MITT expects to retain portions of the acquired portfolio and rotate other assets over time, consistent with its approach to current investment strategies. Management said the MSR portfolio would add a new revenue stream and diversification to MITT’s residential loan strategy. Rossiello said Cherry Hill’s agency RMBS and low weighted-average-coupon MSR portfolios are expected to provide durable cash flows, support net interest margin and contribute to earnings immediately. Following the combination, MITT expects pro forma economic leverage of about 2.9 times. Rossiello said the transaction would add scale through permanent capital without adding unsecuritized debt, while expected annual general and administrative cost synergies are projected at approximately $7 million to $9 million. AG Mortgage Investment Trust, Inc is a publicly traded, closed-end management investment company that primarily focuses on investing in U.S. residential mortgage assets. The firm seeks to generate current income for its shareholders by acquiring a diversified portfolio of mortgage loans and mortgage-backed securities. As an externally managed mortgage real estate investment trust (REIT), AG Mortgage Investment Trust aims to deliver attractive risk-adjusted returns through active portfolio management and interest rate hedging strategies. The company’s investment portfolio is concentrated in adjustable-rate residential mortgage loans, including so-called “jumbo” prime ARMs, as well as Agency and non-Agency residential mortgage-backed securities (RMBS). This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "AG Mortgage Investment Trust Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

This article first appeared on GuruFocus. Book Value: Increased 0.3% to $10.00 per share during the second quarter. Economic Return: Generated a 2.7% economic return, inclusive of the $0.24 dividend. GAAP Net Income: Approximately $9.1 million, or $0.29 per share. Earnings Available for Distribution (EAD): $0.24 per share, fully covering the declared dividend. Net Interest Income: $0.65 per share, inclusive of the hedge portfolio. Expenses and Preferred Dividends: $0.45 per share, resulting in net earnings of $0.20 per share. Arc Home Contribution: Contributed $0.04 per share to EAD, consistent with the prior quarter. Investment Portfolio: Stood at $7.7 billion, down from $8.1 billion in Q1 due to securitized loan paydowns. Securitizations: Issued two securitizations with an aggregate balance of over $750 million in Q2; expects to issue over $1.25 billion across three home equity securitizations in Q3. Economic Leverage: Increased modestly by 0.1 turns quarter-over-quarter to 1.8 turns. Arc Home Excess Capital Distribution: Distributed $6.6 million in excess capital to MITT during the quarter. HELOC Purchases: Purchased an additional $70 million of HELOCs ahead of a planned Q3 securitization. Non-Agency RMBS Acquisitions: Acquired $38 million through two partnership deals. Liquidity: Ended the quarter with $112 million of liquidity. Warning! GuruFocus has detected 4 Warning Sign with MITT. Is MITT fairly valued? Test your thesis with our free DCF calculator. Release Date: August 10, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Book value increased to $10 per share, generating a 2.7% economic return for the quarter. EAD of $0.24 per share fully covered the declared dividend, demonstrating stable earnings. Successfully issued two securitizations totaling over $750 million, with plans for $1.25 billion in Q3. Strategic acquisition of Cherry Hill Mortgage Investment Corporation expected to enhance scale, liquidity, and earnings power. Legacy commercial loan resolutions are on track, with potential to unlock $0.20 in incremental annual EAD. Challenging interest rate environment with renewed inflation concerns and Fed policy uncertainty. Legacy commercial loan exposure on nonaccrual status continues to be a headwind. Headline assets declined from $8.1 billion to $7.7 billion due to securitized loan paydowns. Increased competition in the non-agency market may pressure returns. Pro forma economic leverage will increase to approximately 2.9 turns post-acquisition. Q: Is the plan to maintain the Cherry Hill portfolio, both the MSR and the agencies, as is, or are there thoughts on how that might look as a combined company?A: Nicholas Smith (Chief Investment Officer): Similar to all of our strategies, we will optimize the portfolio over time. There is an expectation that portions of the portfolio will be retained and others will be rotated, not dissimilar to our current strategies. Q: Leaving aside the acquisition, how do you see the mix of different assets evolving? Do you see home equity as a potentially much larger piece, or how do those pieces look a year out?A: Nicholas Smith (Chief Investment Officer): The expectation is that home equity will continue to accelerate. We currently see a competitive advantage and more relative value there, so we expect that segment to continue to grow. Q: Have the returns in the home equity space remained fairly stable, given the high level of activity and production?A: Nicholas Smith (Chief Investment Officer): The market has generally gotten more competitive in non-agencies broadly, and this segment is not isolated from that. However, we believe it is generally more isolated than other segments, and we have a strong competitive advantage to drive higher returns there relative to other segments. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

TPG Mortgage Investment Trust (MITT) came out with quarterly earnings of $0.24 per share, missing the Zacks Consensus Estimate of $0.26 per share. This compares to earnings of $0.18 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -7.69%. A quarter ago, it was expected that this real estate investment trust would post earnings of $0.25 per share when it actually produced earnings of $0.26, delivering a surprise of +4%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. TPG Mortgage Investment Trust, which belongs to the Zacks REIT and Equity Trust industry, posted revenues of $20.24 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 7.99%. This compares to year-ago revenues of $17.75 million. The company has not been able to beat consensus revenue estimates over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. TPG Mortgage Investment Trust shares have lost about 16.8% since the beginning of the year versus the S&P 500's gain of 13.3%. While TPG Mortgage Investment Trust has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for TPG Mortgage Investment Trust was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.27 on $23 million in revenues for the coming quarter and $1.09 on $90 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, REIT and Equity Trust is currently in the bottom 27% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Qfin Holdings Inc. - Sponsored ADR (QFIN), another stock in the broader Zacks Finance sector, has yet to report results for the quarter ended June 2026. This company is expected to post quarterly earnings of $0.99 per share in its upcoming report, which represents a year-over-year change of -44.4%. The consensus EPS estimate for the quarter has been revised 0.5% higher over the last 30 days to the current level. Qfin Holdings Inc. - Sponsored ADR's revenues are expected to be $520.01 million, down 28.6% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report TPG Mortgage Investment Trust Inc. (MITT) : Free Stock Analysis Report Qfin Holdings Inc. - Sponsored ADR (QFIN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

NEW YORK, August 10, 2026--(BUSINESS WIRE)--TPG Mortgage Investment Trust, Inc. ("MITT," "we," the "Company," or "our") (NYSE: MITT) today reported financial results for the quarter ended June 30, 2026. MANAGEMENT REMARKS "Despite a challenging interest rate environment, our disciplined leverage profile, consistent capital rotation into highreturning residential credit strategies, and strong momentum at Arc Home produced EAD of $0.24 per share for the second quarter, fully covering our dividend while increasing our book value to $10.00 per share," said T.J. Durkin, Chief Executive Officer and President. "Looking ahead, we believe our definitive agreement to acquire Cherry Hill Mortgage Investment Corporation will significantly enhance our scale and long-term earnings power by expanding our equity capital base, driving meaningful cost synergies, and incorporating complementary, durable cash flows. We are confident in our positioning and the compelling opportunities ahead to deliver for our shareholders." SECOND QUARTER FINANCIAL HIGHLIGHTS $10.00 Book Value per share as of June 30, 2026(1) $0.29 of Net Income/(Loss) Available to Common Stockholders per diluted common share(3) $0.24 of Earnings Available for Distribution ("EAD") per diluted common share(3),(4) $0.24 dividend per common share declared in the second quarter of 2026 INVESTING AND FINANCING HIGHLIGHTS $7.7 billion Investment Portfolio as of June 30, 2026(5) $46.4 million investment in Arc Home as of June 30, 2026 determined using a valuation multiple of 1.05x book value(7) $7.3 billion of financing as of June 30, 2026(5) $111.6 million of total liquidity as of June 30, 2026(9) DIVIDENDS On June 16, 2026, declared a second quarter dividend of $0.24 per common share On July 30, 2026, declared quarterly cash dividends of $0.51563, $0.50, and $0.664786 per share on our Series A, Series B, and Series C Preferred Stock, respectively, payable on September 17, 2026 to preferred shareholders of record on August 31, 2026 STOCKHOLDER CALL The Company invites stockholders, prospective stockholders, and analysts to participate in MITT’s second quarter earnings conference call on Monday, August 10, 2026 at 8:30 a.m. Eastern Time. To participate in the call by telephone, please dial (800) 347-6865 at least five minutes prior to the start time. International callers should dial (203) 518-9757. The Conference ID is MITTQ226. To listen to the live webcast of the conference call, please go to https://event.on24.com/wcc/r/5416544/7D08A1214A9046837D90BDB16266BB09 and register using the same Conference ID. The Company issued an earnings presentation detailing its second quarter 2026 financial results, which is available on the Company’s website, www.mitt.tpg.com, under "Presentations" in the "News & Presentations" section. Additional information regarding the proposed acquisition by the Company of Cherry Hill Mortgage Investment Corporation by merger can be found in the joint press release issued today and in the investor presentation relating to the proposed acquisition, both of which are available on MITT’s website at www.mitt.tpg.com. The investor presentation is also being furnished by MITT in a Current Report on Form 8-K filed with the SEC on the date hereof. For those unable to listen to the live call, an audio replay will be available on August 10, 2026 through 9:00 a.m. Eastern Time on September 10, 2026. To access the replay, please go to the Company’s website at www.mitt.tpg.com. ABOUT TPG MORTGAGE INVESTMENT TRUST, INC. TPG Mortgage Investment Trust, Inc. is a residential mortgage REIT with a focus on investing in a diversified risk-adjusted portfolio of residential mortgage-related assets in the U.S. mortgage market. The Company is externally managed and advised by AG REIT Management, LLC, an affiliate of TPG Inc. (NASDAQ: TPG). Additional information can be found on the Company’s website at www.mitt.tpg.com. Important Additional Information and Where to Find It In connection with MITT’s proposed acquisition of Cherry Hill Mortgage Investment Corporation ("CHMI") by merger ("Merger"), MITT expects to file with the U.S. Securities and Exchange Commission (the "SEC") a registration statement on Form S-4 (the "Registration Statement") that will include a prospectus of MITT and a joint proxy statement of MITT and CHMI (the "joint proxy statement/prospectus"). The joint proxy statement/prospectus will contain important information about MITT, CHMI, the proposed Merger and related matters. MITT and CHMI also expect to file with the SEC other documents regarding the Merger. The Merger will be submitted to the stockholders of MITT and CHMI for their consideration. The definitive joint proxy statement/prospectus will be sent to the stockholders of MITT and CHMI, and will contain important information about MITT, CHMI, the proposed Merger and related matters. This communication is not a substitute for any proxy statement, registration statement, tender or exchange offer statement, prospectus or other document MITT or CHMI may file with the SEC in connection with the proposed Merger and related matters. INVESTORS AND SECURITY HOLDERS ARE ADVISED TO READ THE REGISTRATION STATEMENT ON FORM S-4 AND THE RELATED JOINT PROXY STATEMENT/PROSPECTUS (INCLUDING ALL AMENDMENTS AND SUPPLEMENTS THERETO) AND OTHER RELEVANT DOCUMENTS FILED BY MITT AND CHMI WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT MITT, CHMI AND THE PROPOSED MERGER. Investors and security holders may obtain copies of these documents free of charge (if and when they become available) through the website maintained by the SEC at www.sec.gov. Copies of the documents filed by MITT with the SEC are also available free of charge on MITT’s website at www.agmit.com. Copies of the documents filed by CHMI with the SEC are also available free of charge on CHMI’s website at www.chmireit.com. Participants in the Solicitation Relating to the Merger MITT, CHMI and certain of their respective directors and executive officers and certain other affiliates of MITT and CHMI may be deemed to be participants in the solicitation of proxies from the common stockholders of CHMI and MITT in respect of the proposed Merger. Information regarding CHMI and its directors and executive officers and their ownership of common stock of CHMI can be found in CHMI’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the SEC on March 5, 2026, and in its definitive proxy statement relating to its 2026 annual meeting of stockholders, filed with the SEC on April 21, 2026. Information regarding MITT and its directors and executive officers and their ownership of common stock of MITT can be found in MITT’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the SEC on February 25, 2026, and in its definitive proxy statement relating to its 2026 annual meeting of stockholders, filed with the SEC on March 16, 2026. Additional information regarding the interests of such participants in the Merger will be included in the joint proxy statement/prospectus and other relevant documents relating to the proposed Merger when they are filed with the SEC. These documents are available free of charge on the SEC’s website and from MITT or CHMI, as applicable, using the sources indicated above. No Offer or Solicitation This communication and the information contained herein shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended (the "Securities Act"). This communication may be deemed to be solicitation material in respect of the proposed Merger. FORWARD LOOKING STATEMENTS This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposes of complying with the safe harbor provisions. Words such as "expects," "endeavor," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "will," "should," "may," "projects," "could," "estimates," "continue" or variations of such words and other similar expressions are intended to identify such forward-looking statements, which generally are not historical in nature, but not all forward-looking statements include such identifying words. Forward-looking statements are based on our beliefs, assumptions and expectations of our future operations, business strategies, performance, financial condition, liquidity and prospects, taking into account information currently available to us, and are not guarantees of future performance. Forward-looking statements regarding the Company include, but are not limited to, the Company’s leverage profile, the Company’s ability to consistently rotate capital into higher-returning residential investments, whether momentum at Arc Home will continue, whether the Company’s earnings will continue to support its dividend, the Company’s dividend levels, whether the Company is well positioned to drive increased earnings power, statements related to the proposed Merger, including the anticipated timing, benefits and financial and operational impact thereof, other statements of management’s belief, intentions or goals, and other statements that are not historical facts. These forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. The Company believes these factors include, without limitation, changes in general economic or market conditions, including changes in inflation, tariffs, interest rates and the fair value of our assets; changes in government regulations affecting our business; the Company’s ability to grow its residential loan portfolio; changes in prepayment rates and mortgage default rates on the Company’s assets; financing needs and arrangements; MITT’s and CHMI’s ability to complete the proposed Merger on the proposed terms or on the anticipated timeline, or at all, including risks and uncertainties related to securing the necessary stockholder approval from CHMI’s and MITT’s respective stockholders and satisfaction of other closing conditions to consummate the proposed Merger; the occurrence of any event, change or other circumstance that could give rise to the termination of the Merger Agreement; risks related to diverting the attention of MITT and CHMI management from ongoing business operations; failure to realize the expected benefits of the proposed Merger; significant transaction costs and/or unknown or inestimable liabilities; the risk of stockholder litigation in connection with the proposed Merger, including resulting expense or delay; the risk that MITT’s and CHMI’s respective businesses will not be integrated successfully or that such integration may be more difficult, time-consuming or costly than expected; and effects relating to the announcement of the proposed Merger or any further announcements or the consummation of the proposed Merger on the market price of MITT’s or CHMI’s common stock; and the risk factors contained in the Company’s filings with the Securities and Exchange Commission ("SEC"), including those described under the headings "Forward-Looking Statements" and "Risk Factors" in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025 and in other reports and documents filed by the Company with the SEC from time to time, which are accessible on the SEC's website, http://www.sec.gov/. Moreover, other risks and uncertainties of which the Company is not currently aware may also affect the Company’s forward-looking statements and may cause actual results and the timing of events to differ materially from those anticipated. The forward-looking statements made in this press release are made only as of the date of this press release or as of the dates indicated in the forward-looking statements, even if they are subsequently made available by the Company on its website or otherwise. The Company undertakes no obligation to update or supplement any forward-looking statements to reflect actual results, new information, future events, changes in its expectations or other circumstances that exist after the date as of which the forward-looking statements were made, except as required by law. All financial information in this press release is as of June 30, 2026, unless otherwise indicated. NON-GAAP FINANCIAL MEASURES This press release contains EAD and Economic Leverage Ratio, non-GAAP financial measures. Our presentation of these measures may not be comparable to similarly-titled measures of other companies, who may use different calculations. These non-GAAP measures should not be considered a substitute for, or superior to, the financial measures calculated in accordance with GAAP. Our GAAP financial results and the reconciliations from these results included herein should be carefully evaluated. NON-GAAP FINANCIAL MEASURES Earnings Available for Distribution(4) A reconciliation of GAAP Net Income/(loss) available to common stockholders to EAD is set forth below (in thousands, except per share data). Economic Leverage Ratio(8) The calculation in the table below divides GAAP Leverage and Economic Leverage by our GAAP stockholders’ equity to derive our leverage ratios. The following table presents a reconciliation of our GAAP Leverage ratio to our Economic Leverage ratio ($ in thousands). Footnotes (1) Book value is calculated using stockholders’ equity less the liquidation preference of our cumulative redeemable preferred stock of $228.0 million. (2) The economic return on equity represents the change in book value per share during the period, plus the common dividends per share declared over the period, divided by book value per share from the prior period. (3) Diluted per share figures are calculated using diluted weighted average outstanding shares in accordance with GAAP. (4) We define EAD, a non-GAAP financial measure, as Net Income/(loss) available to common stockholders excluding (i) (a) unrealized gains/(losses) on loans, real estate securities, derivatives and other investments, inclusive of our investment in AG Arc and Arc Home's net mortgage servicing rights, and (b) net realized gains/(losses) on the sale or termination of such instruments, (ii) any transaction related expenses incurred in connection with the acquisition, disposition, or securitization of our investments, (iii) the income tax effect on non-EAD income/(loss) items, and (iv) certain other nonrecurring gains or losses. Items (i) through (iv) above include any amount related to those items held in affiliated entities. EAD includes the net interest income and other income earned on our investments on a yield adjusted basis, including the net interest component of interest rate swaps, TBA dollar roll income/(loss), or any other investment activity that may earn or pay net interest or its economic equivalent. Additionally, EAD includes the net operating income/(loss) from Arc Home. Transaction related expenses are primarily comprised of costs incurred prior to or at the time of executing our securitizations and acquiring or disposing of residential mortgage loans. These costs are nonrecurring and may include underwriting fees, legal fees, diligence fees, and other similar transaction related expenses. Recurring expenses, such as servicing fees, custodial fees, trustee fees and other similar ongoing fees are not excluded from earnings available for distribution. Management considers the transaction related expenses and income taxes related to non-EAD income/(loss) items to be similar to realized losses incurred at the acquisition, disposition, or securitization of an asset and does not view them as being part of its core operations. (5) The Investment Portfolio consists of Residential Investments, Agency RMBS, and Legacy WMC Commercial Investments, all of which are held at fair value. Financing is inclusive of Securitized Debt, which is held at fair value, Financing Arrangements, and Senior Unsecured Notes. This press release excludes investments held through AG Arc LLC unless otherwise noted. (6) Net interest margin is calculated by subtracting the weighted average cost of funds on our financing from the weighted average yield for our Investment Portfolio, which excludes cash held. (7) We invest in Arc Home LLC, a licensed mortgage originator, through AG Arc LLC, one of our equity method investees. Our investment in AG Arc LLC represents a 66% ownership interest as of June 30, 2026. (8) We define GAAP Leverage as the sum of (1) Securitized debt, at fair value, (2) Financing arrangements, net of any restricted cash posted on such financing arrangements, (3) Senior Unsecured Notes, and (4) the amount payable on purchases that have not yet settled less the financing remaining on sales that have not yet settled. We define Economic Leverage, a non-GAAP financial measure, as the sum of our GAAP Leverage, exclusive of any fully non-recourse financing arrangements, and our net TBA position (at cost), if any. Our leverage does not include any financing utilized through AG Arc. (9) Total liquidity includes $61.6 million of cash and cash equivalents and $50.0 million of available committed financing on certain Home Equity Loans. As of June 30, 2026, we pledged Home Equity Loans with a fair value of $63.5 million in which we have no outstanding financing but have $50 million of available financing which is contractually committed. View source version on businesswire.com: https://www.businesswire.com/news/home/20260810474256/en/ Contacts TPG Mortgage Investment Trust, Inc. Investor Relations(212) [email protected]

NexPoint (NREF) came out with quarterly earnings of $0.46 per share, beating the Zacks Consensus Estimate of $0.43 per share. This compares to earnings of $0.43 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +6.98%. A quarter ago, it was expected that this company would post earnings of $0.41 per share when it actually produced earnings of $0.43, delivering a surprise of +4.88%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. NexPoint, which belongs to the Zacks REIT and Equity Trust industry, posted revenues of $16.54 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 15.58%. This compares to year-ago revenues of $12.07 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. NexPoint shares have added about 20.2% since the beginning of the year versus the S&P 500's gain of 12.8%. While NexPoint has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for NexPoint was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.45 on $14.47 million in revenues for the coming quarter and $1.80 on $58.8 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, REIT and Equity Trust is currently in the bottom 29% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. TPG Mortgage Investment Trust (MITT), another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 10. This real estate investment trust is expected to post quarterly earnings of $0.26 per share in its upcoming report, which represents a year-over-year change of +44.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. TPG Mortgage Investment Trust's revenues are expected to be $22 million, up 23.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NexPoint Real Estate Finance, Inc. (NREF) : Free Stock Analysis Report TPG Mortgage Investment Trust Inc. (MITT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Redwood Trust (RWT) came out with quarterly earnings of $0.25 per share, missing the Zacks Consensus Estimate of $0.26 per share. This compares to earnings of $0.18 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -3.85%. A quarter ago, it was expected that this specialty finance company would post earnings of $0.28 per share when it actually produced earnings of $0.28, delivering no surprise. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Redwood Trust, which belongs to the Zacks REIT and Equity Trust industry, posted revenues of $32.1 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 26.2%. This compares to year-ago revenues of $13.8 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Redwood Trust shares have lost about 10.7% since the beginning of the year versus the S&P 500's gain of 8.3%. While Redwood Trust has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Redwood Trust was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #5 (Strong Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.27 on $44.6 million in revenues for the coming quarter and $1.07 on $168.95 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, REIT and Equity Trust is currently in the bottom 41% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, TPG Mortgage Investment Trust (MITT), has yet to report results for the quarter ended June 2026. This real estate investment trust is expected to post quarterly earnings of $0.26 per share in its upcoming report, which represents a year-over-year change of +44.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. TPG Mortgage Investment Trust's revenues are expected to be $22 million, up 23.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Redwood Trust, Inc. (RWT) : Free Stock Analysis Report TPG Mortgage Investment Trust Inc. (MITT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research