Ready Capital Corporation (NYSE:RC) Q2 2023 Earnings Conference Call August 8, 2023 8:30 AM ET

Company Participants

Andrew Ahlborn - CFO

Tom Capasse - CEO

Adam Zausmer - CCO

Conference Call Participants

Crispin Love - Piper Sandler

Stephen Laws - Raymond James

Christopher Nolan - Ladenburg Thalmann

Jade Rahmani - KBW

Matt Howlett - B. Riley Securities

Operator

Greetings, ladies and gentlemen, and welcome to the Ready Capital Second Quarter of 2023 Earnings Call. At this time, all participants are in listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions]. As a reminder, this conference is being recorded.

It is now my pleasure to introduce your host, Chief Financial Officer, Andrew Ahlborn. Please go ahead, sir.

Andrew Ahlborn

Thank you, operator, and good morning to those of you on the call.

Some of our comments today will be forward-looking statements within the meaning of the federal securities laws. Such statements are subject to numerous risks and uncertainties that could cause actual results to differ materially from what we expect.

Therefore, you should exercise caution in interpreting and relying on them. We refer you to our SEC filings for a more detailed discussion of the risks that could impact our future operating results and financial condition.

During the call, we will discuss our non-GAAP measures, which we believe can be useful in evaluating the company's operating performance. These measures should not be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP. A reconciliation of these measures to the most directly comparable GAAP measure is available in our second quarter 2023 earnings release and our supplemental information, which can be found in the Investors section of the Ready Capital website.

In addition to Tom and myself on today's call, we are also joined by Adam Zausmer, Ready Capital's Chief Credit Officer.

I will now turn it over to Chief Executive Officer, Tom Capasse.

Tom Capasse

Thanks, Andrew. Good morning, everyone, and thank you for joining the call today.

The second quarter results reflect ongoing expansion of the Ready Capital franchise, positive relative credit metrics of our multi-family centric portfolio and the strength of earnings along with the a more conservative balance sheet.

The closing of the Broadmark Realty Capital acquisition marked another significant milestone for the company. At closing, the transaction increased our capital base by 44% to $2.7 billion, boosting Ready Capital to the fourth largest commercial mortgage REIT, added liquidity of $270 million and reduced leverage by 1.6x.