Armour Residential REIT, Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Armour Residential REIT, Inc. has filed its Q1 2024 10-Q report, providing financial details and historical data.</b>

AI Summary

Armour Residential REIT, Inc. (ARR-PC) filed a Quarterly Report (10-Q) with the SEC on April 25, 2024. Armour Residential REIT, Inc. filed its 10-Q report for the period ending March 31, 2024. The filing covers the first quarter of 2024. Key financial data from previous periods (2023-12-31, 2023-03-31, 2022-12-31) are referenced. The company's business address is 3001 Ocean Drive, Suite 201, Vero Beach, FL 32963. The filing includes details on various stock and security members, including Series C Preferred Stock and Common Stock.

Why It Matters

For investors and stakeholders tracking Armour Residential REIT, Inc., this filing contains several important signals. This 10-Q filing provides investors with the latest quarterly financial performance and position of Armour Residential REIT, Inc., crucial for assessing investment value and risk. The inclusion of detailed historical data allows for trend analysis and comparison against previous periods, aiding in understanding the company's financial trajectory.

Risk Assessment

Risk Level: medium — Armour Residential REIT, Inc. shows moderate risk based on this filing. The company operates in the real estate investment trust sector, which is sensitive to interest rate fluctuations and economic conditions, as evidenced by the detailed security holdings and preferred stock information in the filing.

Analyst Insight

Investors should review the detailed financial statements and risk factors within the 10-Q to understand the company's current financial health and future outlook.

Key Numbers

• 2024-03-31 — Reporting Period End Date (Conformed period of report)
• 2024-04-25 — Filing Date (Filed as of date)
• 2024-01-01 — Quarter Start Date (Fiscal quarter)

Key Players & Entities

• Armour Residential REIT, Inc. (company) — Filer name
• 3001 Ocean Drive, Suite 201, Vero Beach, FL 32963 (company) — Business address
• BUCKLER Securities LLC (company) — Related party member

FAQ

Risk Factors

• Interest Rate Risk [high — financial]: The company's financial performance is highly sensitive to changes in interest rates, which can affect the value of its investment portfolio and borrowing costs.
• Market Conditions [medium — market]: Adverse changes in the real estate market or broader economic conditions could negatively impact the company's operations and financial results.

Industry Context

Armour Residential REIT, Inc. operates as a real estate investment trust, focusing on investing in and managing a portfolio of residential real estate assets and mortgage-backed securities.

Regulatory Implications

As a publicly traded REIT, Armour Residential REIT, Inc. is subject to regulations set forth by the Securities and Exchange Commission (SEC) and specific tax laws governing REITs.

What Investors Should Do

1. Analyze the detailed financial statements for Q1 2024, paying close attention to asset values and liabilities.
2. Review the company's investment portfolio composition, particularly its holdings in Agency Securities and any related party transactions.
3. Assess the impact of current interest rate environments on the company's profitability and portfolio valuation as described in the risk factors.

Key Dates

• 2024-03-31: Quarter End Date — End of the reporting period for the 10-Q filing.
• 2024-04-25: Filing Date — Date the 10-Q report was officially submitted to the SEC.

Year-Over-Year Comparison

This filing is a 10-Q for the first quarter of 2024, providing updated financial information compared to previous filings like the 2023 annual report (10-K) or prior 10-Q reports.

Key Financial Figures

• $0.001 — New York Stock Exchange Common Stock, $0.001 par value ARR New York Stock Exchange

Filing Documents

• arr-20240331.htm (10-Q) — 1456KB
• a2024q110q-exhibit311sulm.htm (EX-31.1) — 12KB
• a2024q110q-ex312gharper.htm (EX-31.2) — 12KB
• a2024q110q-exhibit321sulm.htm (EX-32.1) — 7KB
• a2024q110q-ex322gharper.htm (EX-32.2) — 7KB
• arr-20240331_g1.jpg (GRAPHIC) — 151KB
• arr-20240331_g2.jpg (GRAPHIC) — 95KB
• arr-20240331_g3.jpg (GRAPHIC) — 114KB
• arr-20240331_g4.jpg (GRAPHIC) — 136KB
• arr-20240331_g5.jpg (GRAPHIC) — 133KB
• arr-20240331_g6.jpg (GRAPHIC) — 75KB
• 0001428205-24-000100.txt (&nbsp;) — 9784KB
• arr-20240331.xsd (EX-101.SCH) — 67KB
• arr-20240331_cal.xml (EX-101.CAL) — 85KB
• arr-20240331_def.xml (EX-101.DEF) — 411KB
• arr-20240331_lab.xml (EX-101.LAB) — 606KB
• arr-20240331_pre.xml (EX-101.PRE) — 506KB
• arr-20240331_htm.xml (XML) — 1139KB

Financial Information

PART I. Financial Information 1

Financial Statements

Item 1. Financial Statements 1

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 27

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 50

Controls and Procedures

Item 4. Controls and Procedures 53

Other Information

PART II. Other Information 56

Legal Proceedings

Item 1. Legal Proceedings 56 Item IA. Risk Factors 56

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 56

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 56

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 56

Other Information

Item 5. Other Information 56

Exhibits

Item 6. Exhibits 57

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements ARMOUR Residential REIT, Inc. CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in thousands, except per share) March 31, 2024 December 31, 2023 Assets Cash and cash equivalents $ 221,297 $ 221,888 Cash collateral posted to counterparties 38,220 36,970 Investments in securities, at fair value Agency Securities (including pledged securities of $ 10,304,605 ($ 6,167,891 with BUCKLER) at March 31, 2024 and $ 10,599,340 ($ 5,400,138 with BUCKLER) at December 31, 2023) 10,905,877 11,159,754 Receivable for unsettled sales (including pledged securities of $ 35,948 at March 31, 2024) 35,948 — Derivatives, at fair value 959,727 877,412 Accrued interest receivable 46,209 47,111 Prepaid and other 1,020 1,260 Total Assets $ 12,208,298 $ 12,344,395 Liabilities and Stockholders' Equity Liabilities: Repurchase agreements, net (including $ 4,865,218 and $ 4,667,483 , respectively with BUCKLER) $ 8,654,063 $ 9,647,982 Obligations to return securities received as collateral, at fair value 1,101,625 350,273 Cash collateral posted by counterparties 927,360 860,130 Payable for unsettled purchases 199,683 171,513 Derivatives, at fair value 3,328 5,036 Accrued interest payable- repurchase agreements (including $ 29,071 and $ 12,345 , respectively with BUCKLER) 49,884 26,509 Accrued interest payable- U.S. Treasury Securities sold short 11,869 5,049 Accounts payable and other accrued expenses 13,373 6,719 Total Liabilities $ 10,961,185 $ 11,073,211 Commitments and contingencies (Note 8 and Note 14) Stockholders' Equity: Preferred stock, $ 0.001 par value, 50,000 shares authorized; 7.00 % Series C Cumulative Preferred Stock; 6,847 shares issued and outstanding ($ 25.00 per share liquidation preference) 7 7 Common stock, $ 0.001 par value, 90,000 shares authorized; 48,752 shares and 48,799 shares issued and outstanding at March 31, 2024 and December 31, 2023, respectively. 49 49 Additional paid-in capital 4,317,875 4,318,155 Cumu

View Full Filing

View this 10-Q filing on SEC EDGAR