Bimini Capital Management Announces Third Quarter 2025 Results
Rhea-AI Summary
Bimini Capital Management (OTCQB: BMNM) reported Q3 2025 net income of $1.8M or $0.18 per share, versus $0.3M ($0.03) in Q3 2024, with book value per share $0.92 at September 30, 2025. Advisory service revenue was approximately $4.5M (up 35% YoY) and advisory net income was $2.4M. Investment-portfolio net income was $0.3M. Orchid Island reported $72.1M net income and raised $152.3M in equity, supporting higher advisory fees. Portfolio returns: pass-through MBS ~10.2%, structured MBS ~0.1%, combined ~8.4%. Repurchase obligations totaled ~$100.0M at a 4.36% average rate; liquidity was ~$9.7M.
Positive
- Q3 net income increased to $1.8M from $0.3M
- Advisory revenue rose ~35% year-over-year to $4.5M
- Orchid net income of $72.1M and $152.3M equity raise
- Pass-through MBS return ~10.2% for the quarter
Negative
- Operating expenses increased by 13% year-over-year
- Net interest income fell 2% quarter-over-quarter
- Repurchase obligations of $100.0M vs liquidity ~$9.7M
News Market Reaction 1 Alert
On the day this news was published, BMNM declined 3.41%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
VERO BEACH, Fla., Nov. 06, 2025 (GLOBE NEWSWIRE) -- Bimini Capital Management, Inc. (OTCQB: BMNM), (“Bimini Capital,” “Bimini,” or the “Company”), today announced results of operations for the three-month period ended September 30, 2025.
Third Quarter 2025 Highlights
- Net income of approximately
$1.8 million , or$0.18 per common share, compared to net income of approximately$0.3 million , or$0.03 per common share, in the third quarter of 2024 - Book value per share of
$0.92 - Company to discuss results on Friday, November 7, 2025, at 10:00 AM ET
Management Commentary
Commenting on third quarter results, Robert E. Cauley, Chairman and Chief Executive Officer, said, “Unlike the second quarter, the third quarter of 2025 was generally free of market moving events unlike the second. As a result, interest rates were generally range bound and slightly lower on the quarter, implied interest rate volatility continued to decline steadily, and mortgage spreads tightened modestly but still offer attractive returns on a historical basis. In all it was a very favorable environment for levered Agency Residential Mortgage Backed Securities ("RMBS") investors, and the companies in the sector generated strong financial results for the quarter, including Orchid Island Capital, Inc. ("Orchid"). The quarter was also conducive to capital raising by the mortgage Real Estate Investment Trust ("REIT") sector and most companies in the space did so, including Orchid once again.
“Like the second quarter of 2025, our advisory service revenues for the nine and three months ended September 30, 2025, continued to expand, increasing by
“As the fourth quarter unfolds the markets are faced with a prolonged government shutdown that commenced on October 1, 2025. Economic data related to the labor market release during the third quarter of 2025 was quite weak, and the Fed shifted its balance of risks outlook towards economic weakness, leading to two 25 basis point interest rate cuts – in September and October. Interest rate volatility has remained low – both realized and implied in the swaptions market, and Agency RMBS have continued to perform well. The market remains generally conducive to both Agency mortgage REIT performance and capital raising. Without most economic data available due to the government shutdown, markets are unable to clearly discern the evolving performance of the economy, and the Federal Reserve may withhold further monetary policy steps until there is more clarity on the economic outlook. In the interim the Company should continue to benefit from the favorable market conditions.”
Details of Third Quarter 2025 Results of Operations
Bimini's advisory service revenues of approximately
Interest revenue from Royal Palm's MBS portfolio increased
Interest charges on the trust preferred and other long-term debt of
Management of Orchid Island Capital, Inc.
Orchid is managed and advised by Bimini. As Manager, Bimini is responsible for administering Orchid’s business activities and day-to-day operations. Pursuant to the terms of a management agreement, our subsidiary, Bimini Advisors, provides Orchid with its management team, including its officers, along with appropriate support personnel. Bimini also maintains a common stock investment in Orchid, which is accounted for under the fair value option, with changes in fair value recorded in the statement of operations for the current period. For the three months ended September 30, 2025, Bimini’s statement of operations included dividends of
Book Value Per Share
The Company's book value per share on September 30, 2025 was
Capital Allocation and Return on Invested Capital
The Company allocates capital between two MBS sub-portfolios, the pass-through MBS portfolio and the structured MBS portfolio, consisting of interest-only and inverse interest-only securities. The table below details the changes to the respective sub-portfolios during the quarter.
| Portfolio Activity for the Quarter | ||||||||||||||||||||
| Structured Security Portfolio | ||||||||||||||||||||
| Inverse | ||||||||||||||||||||
| Pass | Interest- | Interest- | ||||||||||||||||||
| Through | Only | Only | ||||||||||||||||||
| Portfolio | Securities | Securities | Sub-total | Total | ||||||||||||||||
| Market Value - June 30, 2025 | $ | 105,433,767 | $ | 2,183,340 | $ | 6,522 | $ | 2,189,862 | $ | 107,623,629 | ||||||||||
| Return of investment | n/a | (78,246 | ) | (302 | ) | (78,548 | ) | (78,548 | ) | |||||||||||
| Pay-downs | (3,976,821 | ) | n/a | n/a | n/a | (3,976,821 | ) | |||||||||||||
| Discount accreted due to pay-downs | (28,230 | ) | n/a | n/a | n/a | (28,230 | ) | |||||||||||||
| Mark to market gains (losses) | 897,033 | (29,666 | ) | 233 | (29,433 | ) | 867,600 | |||||||||||||
| Market Value - September 30, 2025 | $ | 102,325,749 | $ | 2,075,428 | $ | 6,453 | $ | 2,081,881 | $ | 104,407,630 | ||||||||||
The tables below present the allocation of capital between the respective portfolios at September 30, 2025 and June 30, 2025, and the return on invested capital for each sub-portfolio for the three-month period ended September 30, 2025. Capital allocation is defined as the sum of the market value of securities held, less associated repurchase agreement borrowings, plus cash and cash equivalents and restricted cash associated with repurchase agreements. Capital allocated to non-portfolio assets is not included in the calculation.
| Capital Allocation | ||||||||||||||||||||
| Structured Security Portfolio | ||||||||||||||||||||
| Inverse | ||||||||||||||||||||
| Pass- | Interest- | Interest- | ||||||||||||||||||
| Through | Only | Only | ||||||||||||||||||
| Portfolio | Securities | Securities | Sub-total | Total | ||||||||||||||||
| September 30, 2025 | ||||||||||||||||||||
| Market value | $ | 102,325,749 | $ | 2,075,428 | $ | 6,453 | $ | 2,081,881 | $ | 104,407,630 | ||||||||||
| Cash equivalents and restricted cash | 10,979,924 | - | - | - | 10,979,924 | |||||||||||||||
| Repurchase agreement obligations | (99,953,000 | ) | - | - | - | (99,953,000 | ) | |||||||||||||
| Total | $ | 13,352,673 | $ | 2,075,428 | $ | 6,453 | $ | 2,081,881 | $ | 15,434,554 | ||||||||||
| % of Total | 86.5 | % | 13.5 | % | 0.0 | % | 13.5 | % | 100.0 | % | ||||||||||
| June 30, 2025 | ||||||||||||||||||||
| Market value | $ | 105,433,767 | $ | 2,183,340 | $ | 6,522 | $ | 2,189,862 | $ | 107,623,629 | ||||||||||
| Cash equivalents and restricted cash | 6,583,906 | - | - | - | 6,583,906 | |||||||||||||||
| Repurchase agreement obligations | (101,742,000 | ) | - | - | - | (101,742,000 | ) | |||||||||||||
| Total | $ | 10,275,673 | $ | 2,183,340 | $ | 6,522 | $ | 2,189,862 | $ | 12,465,535 | ||||||||||
| % of Total | 82.4 | % | 17.5 | % | 0.1 | % | 17.6 | % | 100.0 | % | ||||||||||
The returns on invested capital in the PT MBS and structured MBS portfolios were approximately
| Returns for the Quarter Ended September 30, 2025 | ||||||||||||||||||||
| Structured Security Portfolio | ||||||||||||||||||||
| Inverse | ||||||||||||||||||||
| Pass | Interest- | Interest- | ||||||||||||||||||
| Through | Only | Only | ||||||||||||||||||
| Portfolio | Securities | Securities | Sub-total | Total | ||||||||||||||||
| Interest income (net of repo funding cost) | $ | 346,062 | $ | 30,878 | $ | 93 | $ | 30,971 | $ | 377,033 | ||||||||||
| Realized and unrealized gains (losses) | 868,803 | (29,666 | ) | 233 | (29,433 | ) | 839,370 | |||||||||||||
| Hedge losses | (169,953 | ) | n/a | n/a | n/a | (169,953 | ) | |||||||||||||
| Total Return | $ | 1,044,912 | $ | 1,212 | $ | 326 | $ | 1,538 | $ | 1,046,450 | ||||||||||
| Beginning capital allocation | $ | 10,275,673 | $ | 2,183,340 | $ | 6,522 | $ | 2,189,862 | $ | 12,465,535 | ||||||||||
| Return on invested capital for the quarter(1) | 10.2 | % | 0.1 | % | 5.0 | % | 0.1 | % | 8.4 | % | ||||||||||
| (1) | Calculated by dividing the Total Return by the Beginning Capital Allocation, expressed as a percentage. | |
Prepayments
For the third quarter of 2025, the Company received approximately
| PT | Structured | |||||
| MBS Sub- | MBS Sub- | Total | ||||
| Three Months Ended | Portfolio | Portfolio | Portfolio | |||
| September 30, 2025 | 16.4 | 18.8 | 16.8 | |||
| June 30, 2025 | 10.3 | 7.3 | 9.9 | |||
| March 31, 2025 | 7.5 | 6.2 | 7.3 | |||
| December 31, 2024 | 10.9 | 12.5 | 11.1 | |||
| September 30, 2024 | 6.3 | 6.7 | 6.3 | |||
| June 30, 2024 | 10.9 | 5.5 | 10.0 | |||
| March 31, 2024 | 18.0 | 9.2 | 16.5 | |||
Portfolio
The following tables summarize the MBS portfolio as of September 30, 2025 and December 31, 2024:
| ($ in thousands) | |||||||||||||||||
| Weighted | |||||||||||||||||
| Percentage | Average | ||||||||||||||||
| of | Weighted | Maturity | |||||||||||||||
| Fair | Entire | Average | in | Longest | |||||||||||||
| Asset Category | Value | Portfolio | Coupon | Months | Maturity | ||||||||||||
| September 30, 2025 | |||||||||||||||||
| Fixed Rate MBS | $ | 102,326 | 98.0 | % | 5.60 | % | 330 | 1-Aug-54 | |||||||||
| Structured MBS | 2,082 | 2.0 | % | 2.90 | % | 275 | 15-May-51 | ||||||||||
| Total MBS Portfolio | $ | 104,408 | 100.0 | % | 5.26 | % | 329 | 1-Aug-54 | |||||||||
| December 31, 2024 | |||||||||||||||||
| Fixed Rate MBS | $ | 120,056 | 98.1 | % | 5.60 | % | 341 | 1-Jan-55 | |||||||||
| Structured MBS | 2,292 | 1.9 | % | 2.85 | % | 281 | 15-May-51 | ||||||||||
| Total MBS Portfolio | $ | 122,348 | 100.0 | % | 5.26 | % | 340 | 1-Jan-55 | |||||||||
| ($ in thousands) | ||||||||||||||||
| September 30, 2025 | December 31, 2024 | |||||||||||||||
| Percentage of | Percentage of | |||||||||||||||
| Agency | Fair Value | Entire Portfolio | Fair Value | Entire Portfolio | ||||||||||||
| Fannie Mae | $ | 29,528 | 28.3 | % | $ | 32,692 | 26.7 | % | ||||||||
| Freddie Mac | 74,880 | 71.7 | % | 89,656 | 73.3 | % | ||||||||||
| Total Portfolio | $ | 104,408 | 100.0 | % | $ | 122,348 | 100.0 | % | ||||||||
| September 30, 2025 | December 31, 2024 | |||||||
| Weighted Average Pass Through Purchase Price | $ | 102.99 | $ | 102.72 | ||||
| Weighted Average Structured Purchase Price | $ | 4.48 | $ | 4.48 | ||||
| Weighted Average Pass Through Current Price | $ | 101.74 | $ | 99.63 | ||||
| Weighted Average Structured Current Price | $ | 14.02 | $ | 13.71 | ||||
| Effective Duration (1) | 2.699 | 3.622 | ||||||
| (1) | Effective duration is the approximate percentage change in price for a 100 basis point change in rates. An effective duration of 2.699 indicates that an interest rate increase of | |
Financing and Liquidity
As of September 30, 2025, the Company had outstanding repurchase obligations of approximately
We may pledge more of our structured MBS as part of a repurchase agreement funding but retain cash in lieu of acquiring additional assets. In this way, we can, at a modest cost, retain higher levels of cash on hand and decrease the likelihood that we will have to sell assets in a distressed market in order to raise cash. Below is a list of outstanding borrowings under repurchase obligations at September 30, 2025.
| ($ in thousands) | ||||||||||||||||
| Repurchase Agreement Obligations | ||||||||||||||||
| Weighted | Weighted | |||||||||||||||
| Total | Average | Average | ||||||||||||||
| Outstanding | % of | Borrowing | Maturity | |||||||||||||
| Counterparty | Balances | Total | Rate | (in Days) | ||||||||||||
| Marex Capital Markets Inc. | $ | 21,903 | 22.0 | % | 4.33 | % | 23 | |||||||||
| DV Securities, LLC | 18,517 | 18.5 | % | 4.48 | % | 28 | ||||||||||
| Mirae Asset Securities (USA) Inc. | 18,209 | 18.2 | % | 4.27 | % | 44 | ||||||||||
| South Street Securities, LLC | 15,731 | 15.7 | % | 4.31 | % | 23 | ||||||||||
| Clear Street LLC | 15,095 | 15.1 | % | 4.30 | % | 20 | ||||||||||
| Mitsubishi UFJ Securities (USA), Inc. | 10,498 | 10.5 | % | 4.49 | % | 15 | ||||||||||
| $ | 99,953 | 100.0 | % | 4.36 | % | 26 | ||||||||||
Summarized Consolidated Financial Statements
The following is a summarized presentation of the unaudited consolidated balance sheets as of September 30, 2025, and December 31, 2024, and the unaudited consolidated statements of operations for the nine and three month periods ended September 30, 2025 and 2024. Amounts presented are subject to change.
| BIMINI CAPITAL MANAGEMENT, INC. CONSOLIDATED BALANCE SHEETS (Unaudited - Amounts Subject to Change) | ||||||||
| September 30, 2025 | December 31, 2024 | |||||||
| ASSETS | ||||||||
| Mortgage-backed securities | $ | 104,407,630 | $ | 122,348,170 | ||||
| Cash equivalents and restricted cash | 10,979,924 | 7,422,746 | ||||||
| Orchid Island Capital, Inc. common stock, at fair value | 3,989,188 | 4,427,372 | ||||||
| Accrued interest receivable | 505,547 | 601,640 | ||||||
| Deferred tax assets, net | 15,372,984 | 15,930,953 | ||||||
| Other assets | 4,493,621 | 4,122,776 | ||||||
| Total Assets | $ | 139,748,894 | $ | 154,853,657 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Repurchase agreements | $ | 99,953,000 | $ | 117,180,999 | ||||
| Long-term debt | 27,352,127 | 27,368,158 | ||||||
| Other liabilities | 3,204,315 | 3,483,093 | ||||||
| Total Liabilities | 130,509,442 | 148,032,250 | ||||||
| Stockholders' equity | 9,239,452 | 6,821,407 | ||||||
| Total Liabilities and Stockholders' Equity | $ | 139,748,894 | $ | 154,853,657 | ||||
| Class A Common Shares outstanding | 10,005,457 | 10,005,457 | ||||||
| Book value per share | $ | 0.92 | $ | 0.68 | ||||
| BIMINI CAPITAL MANAGEMENT, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited - Amounts Subject to Change) | ||||||||||||||||
| Nine Months Ended September 30, | Three Months Ended September 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Advisory services | $ | 11,850,846 | $ | 9,396,828 | $ | 4,457,711 | $ | 3,300,512 | ||||||||
| Interest and dividend income | 5,473,053 | 4,781,408 | 1,739,397 | 1,690,252 | ||||||||||||
| Interest expense | (5,276,945 | ) | (5,558,657 | ) | (1,701,510 | ) | (1,980,863 | ) | ||||||||
| Net revenues | 12,046,954 | 8,619,579 | 4,495,598 | 3,009,901 | ||||||||||||
| Other (expense) income | (356,123 | ) | 1,067,454 | 669,417 | 420,726 | |||||||||||
| Expenses | 8,714,817 | 8,439,314 | 2,971,686 | 2,627,343 | ||||||||||||
| Net income before income tax provision | 2,976,014 | 1,247,719 | 2,193,329 | 803,284 | ||||||||||||
| Income tax provision | 557,969 | 1,052,231 | 370,586 | 547,059 | ||||||||||||
| Net income | $ | 2,418,045 | $ | 195,488 | $ | 1,822,743 | $ | 256,225 | ||||||||
| Basic and Diluted Net (Loss) Income Per Share of: | ||||||||||||||||
| CLASS A COMMON STOCK | $ | 0.24 | $ | 0.02 | $ | 0.18 | $ | 0.03 | ||||||||
| CLASS B COMMON STOCK | $ | 0.24 | $ | 0.02 | $ | 0.18 | $ | 0.03 | ||||||||
| Three Months Ended September 30, | ||||||||
| Key Balance Sheet Metrics | 2025 | 2024 | ||||||
| Average MBS(1) | $ | 106,015,627 | $ | 102,421,681 | ||||
| Average repurchase agreements(1) | 100,847,500 | 97,949,499 | ||||||
| Average stockholders' equity(1) | 8,328,081 | 8,195,116 | ||||||
| Key Performance Metrics | ||||||||
| Average yield on MBS(2) | 5.79 | % | 5.80 | % | ||||
| Average cost of funds(2) | 4.59 | % | 5.61 | % | ||||
| Average economic cost of funds(3) | 4.16 | % | 5.75 | % | ||||
| Average interest rate spread(4) | 1.20 | % | 0.19 | % | ||||
| Average economic interest rate spread(5) | 1.63 | % | 0.05 | % | ||||
| (1) | Average MBS, repurchase agreements and stockholders’ equity balances are calculated using two data points, the beginning and ending balances. | |
| (2) | Portfolio yields and costs of funds are calculated based on the average balances of the underlying investment portfolio/repurchase agreement balances and are annualized for the quarterly periods presented. | |
| (3) | Represents interest cost of our borrowings and the effect of derivative agreements attributed to the period related to hedging activities, divided by average repurchase agreements. | |
| (4) | Average interest rate spread is calculated by subtracting average cost of funds from average yield on MBS. | |
| (5) | Average economic interest rate spread is calculated by subtracting average economic cost of funds from average yield on MBS. | |
About Bimini Capital Management, Inc.
Bimini Capital Management, Inc. invests primarily in, but is not limited to investing in, residential mortgage-related securities issued by the Federal National Mortgage Association (Fannie Mae), the Federal Home Loan Mortgage Corporation (Freddie Mac) and the Government National Mortgage Association (Ginnie Mae). Its objective is to earn returns on the spread between the yield on its assets and its costs, including the interest expense on the funds it borrows. In addition, Bimini generates a significant portion of its revenue serving as the manager of the MBS portfolio of, and providing certain repurchase agreement trading, clearing and administrative services to, Orchid.
Forward Looking Statements
Statements herein relating to matters that are not historical facts are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. The reader is cautioned that such forward-looking statements are based on information available at the time and on management's good faith belief with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in such forward-looking statements. Important factors that could cause such differences are described in Bimini Capital Management, Inc.'s filings with the Securities and Exchange Commission, including Bimini Capital Management, Inc.'s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Bimini Capital Management, Inc. assumes no obligation to update forward-looking statements to reflect subsequent results, changes in assumptions or changes in other factors affecting forward-looking statements, except as may be required by applicable law.
Earnings Conference Call Details
An earnings conference call and live audio webcast will be hosted Friday, November 7, 2025, at 10:00 AM ET. Participants can register and receive dial-in information at https://register-conf.media-server.com/register/BIc095834801924b8887982b5950fc3ce4. A live audio webcast of the conference call can be accessed at https://edge.media-server.com/mmc/p/e376u7h7 or via the investor relations section of the Company's website at https://ir.biminicapital.com. An audio archive of the webcast will be available on the website for 30 days after the call.
CONTACT:
Bimini Capital Management, Inc.
Robert E. Cauley, 772-231-1400
Chairman and Chief Executive Officer
https://ir.biminicapital.com
FAQ
What were Bimini Capital (BMNM) Q3 2025 earnings and EPS?
How much did Bimini's advisory revenue (BMNM) grow in Q3 2025?
What return did Bimini's MBS portfolios (BMNM) generate in Q3 2025?
What is Bimini Capital's (BMNM) book value per share at Sept 30, 2025?
How leveraged is Bimini (BMNM) and what is its liquidity position?
How did Orchid Island's results affect Bimini's Q3 2025 performance?
