Atrium Mortgage Investment Corporation Announces Third Quarter Earnings, 2027 Regular Dividend Policy and Declares First Quarter 2027 Dividends

Nine-month earnings per share of $0.71 exceeded regular dividends of $0.6975, while quarterly earnings fell below the quarterly payout.

Rhea-AI Summary

Atrium Mortgage Investment Corporation (TSX: AI) reported third-quarter net income of $10.5 million, down from the prior-year quarter. Revenue fell 11.0% to $18.7 million, while basic and diluted earnings per share declined to $0.22 from $0.25. For the nine months ended September 30, 2026, net income fell 7.2% to $34.3 million and earnings per share declined to $0.71 from $0.78.

The mortgage portfolio reached $869.1 million, versus $860.1 million at June 30, but remained below December's $917.1 million. First mortgages represented 96.8% of the portfolio. Credit-loss allowances totalled $31.0 million. Atrium reaffirmed its approximately $900 million year-end portfolio target.

The regular annual dividend remains $0.93 per share for 2027, payable monthly at $0.0775, subject to board approval. First-quarter monthly dividends were declared, with payments scheduled for February 10, March 10 and April 9, 2027.

13 points · 0 major

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0 major · 16 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate pointCredit-facility borrowings decreased to $231.0 million from $283.0 million at December 31, 2025.
• Moderate pointNine-month credit-loss provision fell to $2.243 million from $3.452 million a year earlier.
• Moderate pointFinancing costs fell to $4.157 million quarterly and $12.668 million year-to-date, from $5.165 million and $15.633 million.
• Minor pointQuarterly borrowing cost fell to 4.68%, versus 5.14% a year earlier and 5.08% for full-year 2025.
• Minor pointMortgage portfolio increased to $869.1 million from $860.1 million at June 30, 2026.

8 minor points

• Minor point. Forward-looking: it has not happened yet and may not happen.Atrium reaffirmed its year-end mortgage portfolio target of approximately $900 million.
• Minor pointFirst mortgages represented 96.8% of the portfolio; 87.5% had loan-to-value ratios below 75%.
• Minor pointAlberta office originated $10.6 million in mortgages during the third quarter.
• Minor pointWestern Canadian diversification increased: Alberta represented 1.2%; British Columbia rose to 9.2% from 6.1% at year-end.
• Minor pointRevenue-producing property and single-family lending increased as part of Atrium's risk-reduction strategy.
• Minor pointMortgage servicing and management fees fell to $2.103 million quarterly and $6.307 million year-to-date, from $2.191 million and $6.557 million.
• Minor pointShareholders' equity increased to $531.999 million from $525.054 million at December 31, 2025.
• Minor pointBook value per share increased to $10.98 from $10.96 at December 31, 2025.

Negative

• Moderate pointThird-quarter revenue declined 11.0% year over year to $18.7 million.
• Moderate pointThird-quarter net income declined 11.6% year over year to $10.5 million.
• Moderate pointMortgage portfolio remained below year-end: $869.075 million versus $917.074 million at December 31, 2025.
• Moderate pointCredit-loss allowance totalled $31.0 million, or 3.57% of the gross mortgage portfolio.
• Minor pointQuarterly basic and diluted EPS fell to $0.22 from $0.25, below regular dividends of $0.2325 per share.

11 minor points

• Minor pointNine-month revenue declined 10.8% year over year to $57.2 million.
• Minor pointNine-month net income declined 7.2% year over year to $34.3 million.
• Minor pointNine-month basic and diluted EPS fell to $0.71 from $0.78, still exceeding regular dividends of $0.6975.
• Minor pointTotal assets declined to $844.004 million from $893.633 million at December 31, 2025.
• Minor pointMortgage portfolio interest rate fell to 8.64% from 8.98% at December 31, 2025.
• Minor pointQuarterly credit-loss provision increased to $1.455 million from $1.297 million a year earlier.
• Minor pointMortgage write-offs totalled $1.7 million during the nine months ended September 30, 2026.
• Minor pointWeighted average loan-to-value rose to 63.2% from 61.4% at December 31, 2025.
• Minor pointGreater Toronto Area properties accounted for 80.8% of the portfolio, down from 86.6% at year-end.
• Minor pointOther expenses increased to $490,000 quarterly and $1.748 million year-to-date, from $486,000 and $1.631 million.
• Minor pointResidential market activity softened in the third quarter after improvement earlier in 2026.

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Toronto, Ontario--(Newsfile Corp. - November 5, 2026) - Atrium Mortgage Investment Corporation (TSX: AI) (TSX: AI.DB.F) (TSX: AI.DB.G) ("Atrium") today released its financial results for the three and nine months ended September 30, 2026.

"Atrium delivered solid results for the third quarter and for the first nine months of 2026, while maintaining its disciplined approach to portfolio management and recognizing prudent provisions for credit losses. Although commercial real estate conditions have remained relatively stable, residential market activity softened in the third quarter after showing signs of improvement earlier in the year. Against this backdrop, Atrium earned basic earnings per share of $0.71 for the year-to-date, which is in excess of our regular dividend. The portfolio had 96.8% invested in first mortgages and a modest weighted average loan-to-value of 63.2%¹.

Our mortgage portfolio increased to $869.1 million as at September 30, 2026, from $860.1 million at June 30, 2026. During the quarter, we originated $10.6 million in mortgages from our new Alberta office, and the BC office also had a very productive quarter. We have strategically and deliberately reduced the risk profile of the portfolio in 2026 by:

i.) Broadening geographic diversification by growing mortgage origination activity in Western Canada, and
ii.) Increasing the proportion of the portfolio secured by revenue producing properties, including industrial, retail and apartment loans, as well as single family loans.

This strategy will enhance the resilience of our portfolio during this period of continued uncertainty in the overall market. We anticipate an active fourth quarter for new business and reaffirm our earlier target that the mortgage portfolio should finish the year at approximately $900 million," said Rob Goodall, CEO of Atrium.

Q3 2026 Highlights

• Quarterly net income of $10.5 million, compared to $11.9 million in the prior year

• Quarterly basic and diluted earnings per share of $0.22

• Mortgage portfolio of $869.1 million

• Well-secured mortgage portfolio

  • 96.8% of the portfolio in first mortgages

  • 87.5% of the portfolio is less than 75% loan-to-value

  • Weighted average loan-to-value of 63.2%¹

Results of operations

Atrium reported assets of $844.0 million as at September 30, 2026, down from $893.6 million at the end of 2025. Revenues for the three months ended September 30, 2026 were $18.7 million, a decrease of 11.0% from the comparative quarter in the prior year. Net income for the three months ended September 30, 2026 was $10.5 million, a decrease of 11.6% from the comparative quarter of the prior year.

For the nine months ended September 30, 2026, revenues were $57.2 million, a decrease of 10.8% from the comparative period in the prior year. Net income for the nine months ended September 30, 2026 was $34.3 million, a decrease of 7.2% from the prior year.

For the three months ended September 30, 2026, basic and diluted earnings per common share were $0.22, compared with basic and diluted earnings per common share of $0.25 for the three months ended September 30, 2025. For the nine months ended September 30, 2026, basic and diluted earnings per common share were $0.71, compared with basic and diluted earnings per common share of $0.78 for the nine months ended September 30, 2025.

For the three and nine months ended September 30, 2026, regular dividends declared were $0.2325 per share and $0.6975 per share, respectively.

Mortgages receivable as at September 30, 2026 were $842.8 million, down from $892.5 million as at December 31, 2025. This was due to mortgage interest and principal repayments exceeding advances for the year to date. Atrium's allowance for credit losses at September 30, 2026 totalled $31.0 million or 3.57% of the gross mortgage portfolio. During the nine months ended September 30, 2026, $193.4 million of mortgage principal was advanced and $239.7 million was repaid and transferred, net of write-offs of $1.7 million. The weighted average interest rate on the mortgage portfolio at September 30, 2026 was 8.64%, compared to 8.98% at December 31, 2025.

Borrowings under our $380 million credit facility decreased to $231.0 million as at September 30, 2026, down from $283.0 million as at December 31, 2025, providing significant available capacity. The weighted average cost of borrowing on the credit facility was 4.68% for the three months ended September 30, 2026, down from 5.08% for the year ended December 31, 2025, and 5.14% in the prior year comparative quarter.

SELECTED FINANCIAL HIGHLIGHTS

Consolidated Statements of Income and Comprehensive Income
(Unaudited, 000s, except per share amounts)

	Three months ended  September 30,						Nine months ended  September 30,
		2026		2025				2026		2025
Revenue	$	18,727		$	21,039		$	57,235		$	64,187
Mortgage servicing and management fees		(2,103	)		(2,191	)		(6,307	)		(6,557		)
Other expenses		(490	)		(486	)		(1,748	)		(1,631		)
Provision for credit losses		(1,455	)		(1,297	)		(2,243	)		(3,452		)
Income before financing costs		14,679			17,065			46,937			52,547
Financing costs		(4,157	)		(5,165	)		(12,668	)		(15,633		)
Net income and comprehensive income	$	10,522		$	11,900		$	34,269		$	36,914
Basic earnings per share	$	0.22		$	0.25		$	0.71		$	0.78
Diluted earnings per share	$	0.22		$	0.25		$	0.71		$	0.78
Dividends declared	$	11,254		$	11,087		$	33,640		$	33,130

 

Selected Financial Position Highlights
(000s, except per share amounts)

		September 30,		December 31,
		2026			2025
Mortgages receivable	$	842,821		$	892,456
Total assets	$	844,004		$	893,633
Total liabilities	$	312,005		$	368,579
Shareholders' equity	$	531,999		$	525,054
Book value per share	$	10.98		$	10.96

 

Mortgage portfolio
(carrying amounts in 000s)

				As at September 30, 2026											As at December 31, 2025
							Carrying				% of								Carrying				% of
Property Type				Number			amount				Portfolio				Number				amount				Portfolio
High-rise residential				14			178,480				20.5%				18			$	245,843				26.8%
Mid-rise residential				12			87,590				10.1%				13				103,088				11.3%
Low-rise residential				12			117,089				13.5%				13				127,504				13.9%
House and apartment				261			219,168				25.2%				251				176,254				19.2%
Condominium corporation				4			992				0.1%				4				1,091				0.1%
Residential portfolio				303			603,319				69.4%				299				653,780				71.3%
Commercial				32			265,756				30.6%				27				263,294				28.7%
Mortgage portfolio				335			869,075				100.0%				326			$	917,074				100.0%

 

		As at September 30, 2026
Location of underlying property	Number of mortgages						Carrying amount				% of Portfolio				Weighted average loan-to-value					Weighted average interest rate
Greater Toronto Area ("GTA")		257				$	701,714				80.8%				62.3%					8.57%
Non-GTA Ontario		61					76,716				8.8%				62.8%					8.05%
Alberta		2					10,622				1.2%				55.0%					7.70%
British Columbia		15					80,023				9.2%				71.8%					9.89%
		335				$	869,075				100.0%				63.2%					8.64%

 

		As at December 31, 2025
Location of underlying property	Number of mortgages						Carrying amount				% of Portfolio				Weighted average loan- to-value					Weighted average interest rate
GTA		249				$	793,802				86.6%				60.5%					8.95%
Non-GTA Ontario		63					67,210				7.3%				64.0%					8.23%
British Columbia		14					56,062				6.1%				69.9%					10.29%
		326				$	917,074				100.0%				61.4%					8.98%

 

For additional information on the financial results, further analysis of the company's mortgage portfolio, and definitions of non-IFRS measures and other financial measures, please refer to Atrium's interim condensed consolidated financial statements and management's discussion and analysis for the three and nine months ended September 30, 2026, available on SEDAR+ at www.sedarplus.ca, and on the company's website at www.atriummic.com.

2027 Annual Dividend and First Quarter Dividends

Atrium is pleased to announce its regular monthly dividend policy for 2027. Effective January 1, 2027, the annual regular dividend rate will remain unchanged at $0.93 per common share, payable in monthly installments of $0.0775 per common share. Each monthly dividend is subject to approval by Atrium's Board of Directors.

Atrium's Board of Directors has declared regular monthly cash dividends of $0.0775 per common share for the first quarter of 2027 (subject to rescission or adjustment at the discretion of the Board of Directors), payable on each dividend payment date listed below to shareholders of record at the close of business on the corresponding record date:

Dividend Month	Record Date	Dividend Payment Date
January 2027	January 29, 2027	February 10, 2027
February 2027	February 26, 2027	March 10, 2027
March 2027	March 31, 2027	April 9, 2027

 

Conference call

Interested parties are invited to participate in a conference call with management on Friday, November 6, 2026 at 9:00 a.m. ET to discuss the results.

To participate or listen to the conference call live, please call 1-833-491-0507 (call topic: Third quarter results). For a replay of the conference call (available until November 18, 2026) please call 1-833-607-0619, passcode 1493992#.

About Atrium

Canada's Premier Non-Bank Lender™
Atrium is a non-bank provider of residential and commercial mortgages that lends in major urban centres in Canada where the stability and liquidity of real estate are high. Atrium's objectives are to provide its shareholders with stable and secure dividends and preserve shareholders' equity by lending within conservative risk parameters. Atrium is a Mortgage Investment Corporation ("MIC") as defined in the Income Tax Act (Canada), so is not taxed on income provided that its taxable income is paid to its shareholders in the form of dividends within 90 days after December 31 each year. Such dividends are generally treated by shareholders as interest income, so that each shareholder is in the same position as if the mortgage investments made by the company had been made directly by the shareholder. For further information about Atrium, please refer to regulatory filings available at www.sedarplus.ca or investor information on Atrium's website at www.atriummic.com.

Forward-Looking Information

This news release may contain forward-looking statements. Such statements are disclosures regarding possible events, conditions, results of operations or changes in financial position, including the future size of Atrium's mortgage portfolio, that are based upon assumptions and expectations. These are not based upon historical facts but are with respect to management's beliefs, estimates, and intentions. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "outlook", "objective", "may", "will", "expect", "intent", "estimate", "anticipate", "believe", "should", "plans", "continue" or similar expressions suggesting future outcomes or events. Forward-looking statements regarding earnings, possible credit losses, and mortgage portfolio growth are based upon assumptions regarding performance of the economy in general and real estate markets in particular. Forward-looking statements generally assume that our revenues and expenses continue to follow current trends, and that current trends in our mortgage portfolio growth continue.

All forward-looking statements reflect management's current beliefs and are based on information currently available to management. These statements are not guarantees of future performance and are based on our estimates and assumptions that are subject to risks and uncertainties which could cause our actual results to differ materially from the forward-looking statements contained in this press release or elsewhere. Those risks and uncertainties include risks associated with mortgage lending, competition for mortgage lending, real estate values, interest rate fluctuations, environmental matters and the general economic environment. For other risks and uncertainties, please refer to Atrium's filings with securities regulators, including the latest Annual Information Form for the year ended December 31, 2025, which is available at www.sedarplus.ca and at www.atriummic.com. That list is not exhaustive, as other factors could adversely affect our results, performance or achievements. The reader is cautioned against undue reliance on any forward-looking statements.

Although the forward-looking statements contained in this press release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise unless required by applicable law.

For additional information, please contact

Robert G. Goodall
Chief Executive Officer

Chris Anastasopoulos
Chief Financial Officer

(416) 867-1053
info@atriummic.com
www.atriummic.com

---

¹ Weighted average loan-to-value ("LTV") is calculated based on the value of the underlying assets determined using third-party appraisals at origination and updated using third-party appraisals when warranted as described in Atrium's Management's Discussion and Analysis for the three and nine months ended September 30, 2026.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/322811

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Atrium's third-quarter 2026 earnings?

Atrium earned $10.5 million in the third quarter, down 11.6% from the prior-year quarter. Basic and diluted earnings per share were $0.22, compared with $0.25. Revenue declined 11.0% to $18.7 million.

What is Atrium's regular dividend for 2027?

Atrium's annual regular dividend rate remains $0.93 per common share, effective January 1, 2027, payable in monthly installments of $0.0775. Each monthly dividend requires board approval. The declared first-quarter dividends remain subject to rescission or adjustment at the board's discretion.

What are Atrium's record and payment dates for its first-quarter 2027 dividends?

Atrium's January dividend has a January 29, 2027 record date and February 10 payment date. February's record date is February 26, with payment March 10. March's record date is March 31, with payment April 9. Each dividend is payable to shareholders of record at the close of business on its record date.

How does Atrium calculate its mortgage portfolio loan-to-value ratio?

Atrium calculates weighted average loan-to-value, the loan amount relative to underlying property value, using third-party appraisals at origination. Those valuations are updated using third-party appraisals when warranted.