Sunrise Realty Trust, Inc. Announces Financial Results for the First Quarter 2025
Sunrise Realty Trust (NASDAQ:SUNS) reported its Q1 2025 financial results, achieving GAAP net income of $3.1 million ($0.27 per share) and Distributable Earnings of $3.5 million ($0.31 per share). The company paid a cash dividend of $0.30 per share for Q1 2025, distributing $4.0 million total. SUNS maintains its guidance for Q2 2025, expecting Distributable Earnings at or near $0.30 per share.
The company operates as a commercial real estate lender focusing on transitional CRE projects in the Southern United States, particularly residential and mixed-use assets. CEO Brian Sedrish highlighted SUNS's strong balance sheet and favorable market conditions, with many transitional lenders preoccupied with legacy loans and conventional lenders remaining conservative.
Sunrise Realty Trust (NASDAQ:SUNS) ha comunicato i risultati finanziari del primo trimestre 2025, registrando un utile netto GAAP di 3,1 milioni di dollari (0,27 dollari per azione) e un utile distribuibile di 3,5 milioni di dollari (0,31 dollari per azione). La società ha corrisposto un dividendo in contanti di 0,30 dollari per azione relativo al primo trimestre 2025, per un totale di 4,0 milioni di dollari distribuiti. SUNS conferma le previsioni per il secondo trimestre 2025, prevedendo utili distribuibili intorno a 0,30 dollari per azione.
L'azienda opera come finanziatore nel settore immobiliare commerciale, concentrandosi su progetti CRE in fase di transizione nel Sud degli Stati Uniti, in particolare su immobili residenziali e a uso misto. Il CEO Brian Sedrish ha sottolineato la solidità del bilancio di SUNS e le condizioni di mercato favorevoli, con molti finanziatori di transizione impegnati con prestiti legacy e istituti finanziari tradizionali che mantengono un approccio prudente.
Sunrise Realty Trust (NASDAQ:SUNS) informó sus resultados financieros del primer trimestre de 2025, logrando un ingreso neto GAAP de 3,1 millones de dólares (0,27 dólares por acción) y ganancias distribuibles de 3,5 millones de dólares (0,31 dólares por acción). La empresa pagó un dividendo en efectivo de 0,30 dólares por acción para el primer trimestre de 2025, distribuyendo un total de 4,0 millones de dólares. SUNS mantiene su guía para el segundo trimestre de 2025, esperando ganancias distribuibles cercanas a 0,30 dólares por acción.
La compañía opera como prestamista en bienes raíces comerciales, enfocándose en proyectos CRE en transición en el sur de Estados Unidos, especialmente activos residenciales y de uso mixto. El CEO Brian Sedrish destacó el sólido balance de SUNS y las condiciones favorables del mercado, con muchos prestamistas en transición ocupados con préstamos heredados y prestamistas convencionales manteniéndose conservadores.
Sunrise Realty Trust (NASDAQ:SUNS)는 2025년 1분기 재무 결과를 발표하며, GAAP 순이익 310만 달러(주당 0.27달러)와 배분 가능 수익 350만 달러(주당 0.31달러)를 기록했습니다. 회사는 2025년 1분기에 대해 주당 0.30달러 현금 배당금을 지급하여 총 400만 달러를 배분했습니다. SUNS는 2025년 2분기 배분 가능 수익을 주당 약 0.30달러로 예상하며 가이던스를 유지하고 있습니다.
이 회사는 미국 남부 지역의 전환기 상업용 부동산 프로젝트, 특히 주거용 및 복합 용도 자산에 집중하는 상업용 부동산 대출업체로 운영됩니다. CEO 브라이언 세드리시는 SUNS의 탄탄한 재무 상태와 우호적인 시장 상황을 강조하며, 많은 전환기 대출업체들이 기존 대출에 집중하고 있고 전통적 대출업체들은 보수적인 태도를 유지하고 있다고 언급했습니다.
Sunrise Realty Trust (NASDAQ:SUNS) a publié ses résultats financiers du premier trimestre 2025, affichant un résultat net GAAP de 3,1 millions de dollars (0,27 dollar par action) et des bénéfices distribuables de 3,5 millions de dollars (0,31 dollar par action). La société a versé un dividende en espèces de 0,30 dollar par action pour le premier trimestre 2025, pour un total de 4,0 millions de dollars distribués. SUNS maintient ses prévisions pour le deuxième trimestre 2025, s'attendant à des bénéfices distribuables proches de 0,30 dollar par action.
L'entreprise opère en tant que prêteur immobilier commercial, se concentrant sur des projets CRE en transition dans le sud des États-Unis, notamment des actifs résidentiels et à usage mixte. Le PDG Brian Sedrish a souligné la solidité du bilan de SUNS et les conditions de marché favorables, avec de nombreux prêteurs en transition occupés par des prêts hérités et des prêteurs conventionnels restant prudents.
Sunrise Realty Trust (NASDAQ:SUNS) veröffentlichte seine Finanzergebnisse für das erste Quartal 2025 und erzielte einen GAAP-Nettogewinn von 3,1 Millionen US-Dollar (0,27 US-Dollar je Aktie) sowie ausschüttungsfähige Gewinne von 3,5 Millionen US-Dollar (0,31 US-Dollar je Aktie). Das Unternehmen zahlte für das erste Quartal 2025 eine Bardividende von 0,30 US-Dollar je Aktie aus, insgesamt 4,0 Millionen US-Dollar. SUNS bestätigt seine Prognose für das zweite Quartal 2025 und erwartet ausschüttungsfähige Gewinne von etwa 0,30 US-Dollar je Aktie.
Das Unternehmen ist als Kreditgeber im Bereich der gewerblichen Immobilien tätig und konzentriert sich auf Übergangsprojekte im südlichen Teil der USA, insbesondere auf Wohn- und Mischimmobilien. CEO Brian Sedrish hob die starke Bilanz von SUNS und die günstigen Marktbedingungen hervor, wobei viele Übergangskreditgeber mit Alt-Darlehen beschäftigt sind und traditionelle Kreditgeber weiterhin vorsichtig agieren.
- Q1 2025 Distributable Earnings of $0.31 per share exceeded the $0.30 dividend payment
- Strong balance sheet enables aggressive market positioning
- Favorable market conditions for loan origination due to reduced competition
- Net income increased significantly YoY from $1.76M in Q1 2024 to $3.1M in Q1 2025
- Current expected credit losses (CECL) provision of $117,648 indicates some credit risk
- Dividend payout of $4.0M slightly exceeded Distributable Earnings of $3.5M
Insights
SUNS delivered Q1 earnings exceeding its dividend with stable outlook for Q2, maintaining steady capital deployment following recent equity raise.
Sunrise Realty Trust reported $3.1 million in GAAP net income (
The company's
The reconciliation table reveals two key adjustments to GAAP earnings:
Share count increased to 11.2 million from 6.9 million in Q1 2024, a
Management maintains consistent guidance, projecting Q2 2025 Distributable Earnings to be "at, or close to,
The release indicates SUNS is targeting commercial real estate loans across the Southern United States, with emphasis on residential and mixed-use assets. Management cites market conditions where "transitional lenders remain preoccupied with their legacy loan books" and "conventional lenders continuing to remain conservative," potentially creating lending opportunities for SUNS.
First quarter 2025 GAAP net income of
WEST PALM BEACH, Fla., May 07, 2025 (GLOBE NEWSWIRE) -- Sunrise Realty Trust, Inc. (NASDAQ:SUNS) (“SUNS” or the “Company”) today announced its results for the quarter ended March 31, 2025.
SUNS reported generally accepted accounting principles (“GAAP”) net income of
Brian Sedrish, Chief Executive Officer, said, “SUNS entered 2025 with a strong balance sheet and a portfolio comprised of recently originated, performing loans, enabling the Company to continue to remain on offense as it seeks to originate attractive, commercial real estate loans across the Southern United States, with an emphasis on residential and mixed-use assets. With a significant number of transitional lenders remaining preoccupied with their legacy loan books, and conventional lenders continuing to remain conservative, the conditions remain attractive for SUNS to capitalize on this market environment.”
Common Stock Dividend
On April 15, 2025, the Company paid a cash dividend of
The Company previously provided an estimate that, based on certain assumptions, it expected to generate Distributable Earnings at, or close to,
Additional Information
SUNS issued a presentation, titled “First Quarter 2025 Investor Presentation,” which can be viewed at www.sunriserealtytrust.com under the Investor Relations section. The Company also filed its Quarterly Report on Form 10-Q for the quarter ended March 31, 2025, with the Securities and Exchange Commission on May 7, 2025.
SUNS routinely posts important information for investors on its website, www.sunriserealtytrust.com. The Company intends to use this webpage as a means of disclosing material information, for complying with our disclosure obligations under Regulation FD and to post and update investor presentations and similar materials on a regular basis. SUNS encourages investors, analysts, the media and others interested in SUNS to monitor the Investors section of its website, in addition to following its press releases, SEC filings, public conference calls, presentations, webcasts and other information posted from time to time on the website. To sign-up for email-notifications, please visit the “Email Alerts” section of the website under the “IR Resources” section.
Conference Call & Discussion of Financial Results
SUNS will host a conference call at 10:00 am (Eastern Time) on Wednesday, May 7, 2025, to provide an update on the business. All interested parties are welcome to participate. The call will be available through a live audio webcast at the Investor Relations section of SUNS’s website found here: SUNS – Investor Relations, or by registering in advance at this link. To participate in the live conference call, dial 888-715-9871 (or 646-307-1963 for international callers) and provide Conference ID 6235201. A replay will be available one hour after the event and archived for 90 days on the Investor Relations section of SUNS’ website.
About Sunrise Realty Trust, Inc.
Sunrise Realty Trust, Inc. (NASDAQ: SUNS) is an institutional commercial real estate (“CRE”) lender providing flexible financing solutions to sponsors of CRE projects in the Southern United States. It focuses on transitional CRE business plans with the potential for near-term value creation, collateralized by top-tier assets in established and rapidly expanding Southern markets. For additional information regarding the Company, please visit www.sunriserealtytrust.com.
Non-GAAP Metrics
In addition to using certain financial metrics prepared in accordance with GAAP to evaluate our performance, we also use Distributable Earnings to evaluate our performance excluding the effects of certain transactions and GAAP adjustments we believe are not necessarily indicative of our current loan activity and operations. Distributable Earnings is a measure that is not prepared in accordance with GAAP. Distributable Earnings and the other capitalized terms not defined in this section have the meanings ascribed to such terms in our most recently filed quarterly report. We use this non-GAAP financial measure both to explain our results to shareholders and the investment community and in the internal evaluation and management of our businesses. Our management believes that this non-GAAP financial measure and the information they provide are useful to investors since these measures permit investors and shareholders to assess the overall performance of our business using the same tools that our management uses to evaluate our past performance and prospects for future performance.
The determination of Distributable Earnings is substantially similar to the determination of Core Earnings under our Management Agreement, provided that Core Earnings is a component of the calculation of any Incentive Compensation earned under the Management Agreement for the applicable time period, and thus Core Earnings is calculated without giving effect to Incentive Compensation expense, while the calculation of Distributable Earnings account for any Incentive Compensation earned for such time period. We define Distributable Earnings as, for a specified period, the net income (loss) computed in accordance with GAAP, excluding (i) stock-based compensation expense, (ii) depreciation and amortization, (iii) any unrealized gains, losses or other non-cash items recorded in net income (loss) for the period, regardless of whether such items are included in other comprehensive income or loss, or in net income (loss); provided that Distributable Earnings does not exclude, in the case of investments with a deferred interest feature (such as original issue discount, debt instruments with PIK interest and zero coupon securities), accrued income that we have not yet received in cash, (iv) provision for (reversal of) current expected credit losses (“CECL”), (v) taxable REIT (as defined below) subsidiary (“TRS”) (income) loss, net of any dividends received from TRS and (vi) one-time events pursuant to changes in GAAP and certain non-cash charges, in each case after discussions between our Manager and our independent directors and after approval by a majority of such independent directors.
We believe providing Distributable Earnings on a supplemental basis to our net income as determined in accordance with GAAP is helpful to shareholders in assessing the overall performance of our business. As a real estate investment trust (“REIT”), we are required to distribute at least
Distributable Earnings is a non-GAAP financial measure and should not be considered as a substitute for GAAP net income. We caution readers that our methodology for calculating Distributable Earnings may differ from the methodologies employed by other REITs to calculate the same or similar supplemental performance measures, and as a result, our reported Distributable Earnings may not be comparable to similar measures presented by other REITs.
The following table provides a reconciliation of GAAP Net income to Distributable Earnings:
| Three months ended March 31, | |||||
| 2025 | 2024 | ||||
| Net income | $ | 3,099,437 | $ | 1,762,345 | |
| Adjustments to net income: | |||||
| Stock-based compensation expense | 243,621 | — | |||
| Depreciation and amortization | — | — | |||
| Unrealized (gains) losses, or other non-cash items | — | — | |||
| Provision for (reversal of) current expected credit losses | 117,648 | — | |||
| TRS (income) loss | — | — | |||
| One-time events pursuant to changes in GAAP and certain non-cash charges | — | — | |||
| Distributable earnings | $ | 3,460,706 | $ | 1,762,345 | |
| Basic weighted average shares of common stock outstanding | 11,208,015 | 6,889,032 | |||
| Distributable earnings per basic weighted average share | $ | 0.31 | $ | 0.26 | |
Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect our current views and projections with respect to, among other things, future events and financial performance. Words such as “believes,” “expects,” “will,” “intends,” “plans,” “guidance,” “estimates,” “projects,” “anticipates,” and “future” or similar expressions are intended to identify forward-looking statements. These forward-looking statements, including statements about our future growth and strategies for such growth, and our estimates of future distributable earnings, are subject to the inherent uncertainties in predicting future results and conditions and are not guarantees of future performance, conditions or results. Certain factors, including the ability of our manager to locate suitable loan opportunities for us, monitor and actively manage our loan portfolio and implement our investment strategy; the demand for commercial real estate investment; management’s current estimate of expected credit losses and current expected credit loss reserve and other factors could cause actual results and performance to differ materially from those projected in these forward-looking statements. More information on these risks and other potential factors that could affect our business and financial results is included in SUNS’s filings with the SEC, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of SUNS’s Annual Report on Form 10-K filed on March 6, 2025, and subsequently filed Quarterly Reports on Form 10-Q. New risks and uncertainties arise over time, and it is not possible to predict those events or how they may affect SUNS. We do not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Investor Relations Contact:
Robyn Tannenbaum
(561) 510-2293
ir@sunriserealtytrust.com
1 Distributable Earnings is a non-GAAP financial measure. See the “Non-GAAP Metrics” section of this release for a reconciliation of GAAP Net Income to Distributable Earnings.
FAQ
What were Sunrise Realty Trust's (SUNS) Q1 2025 earnings?
How much dividend did SUNS pay in Q1 2025?
What is SUNS's business focus and market strategy?
How did SUNS's Q1 2025 performance compare to Q1 2024?
What is SUNS's earnings guidance for Q2 2025?
