Chicago Atlantic Real Estate Finance, Inc. ( (REFI) ) has released its Q1 earnings. Here is a breakdown of the information Chicago Atlantic Real Estate Finance, Inc. presented to its investors.
Protect Your Portfolio Against Market Uncertainty
- Discover companies with rock-solid fundamentals in TipRanks' Smart Value Newsletter.
- Receive undervalued stocks, resilient to market uncertainty, delivered straight to your inbox.
Chicago Atlantic Real Estate Finance, Inc. is a commercial mortgage real estate investment trust specializing in originating senior secured loans primarily to state-licensed cannabis operators in limited-license states across the United States. The company leverages its expertise in real estate, credit, and cannabis to provide financial solutions to its clients.
In the first quarter of 2025, Chicago Atlantic reported a net income of approximately $10.0 million, reflecting a 20.5% increase per share compared to the previous quarter. The company maintained a disciplined approach to capital deployment amidst volatility in the financial services sector and the cannabis industry, focusing on consumer and product-focused operators with strong management and growth initiatives.
Key financial metrics for the quarter included a total loan principal outstanding of $407.0 million across 30 portfolio companies, with a weighted average yield to maturity of 16.9%. The company also issued 64,557 shares through its ATM program, raising approximately $1.0 million. Additionally, Chicago Atlantic paid a regular quarterly cash dividend of $0.47 per share and reported distributable earnings of approximately $9.7 million.
The company’s balance sheet remains strong, with a consolidated leverage ratio of approximately 28% and total liquidity of about $65 million. Chicago Atlantic’s management expressed confidence in their strategy to maximize long-term returns for shareholders by focusing on disciplined capital deployment and maintaining a robust loan portfolio.
Looking ahead, Chicago Atlantic affirmed its previously issued outlook for 2025, emphasizing its commitment to leveraging opportunities in the current market environment to drive growth and shareholder value.