IVR earnings analysis
What we found in IVR's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Invesco Mortgage Capital Inc. reported a net loss in Q1 2026, with a diluted EPS of -0.28, a deterioration from 0.26 in Q1 2025. Revenue totaled $48.6 million, falling short of estimates of $52.2 million, reflecting current market volatility and investment challenges. Notably, net interest income increased to $27.1 million from $18.8 million a year ago.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- EPS Matches Estimates but Reports Loss
- In Q1 2026, EPS was $0.55, matching estimates, yet the company recorded a net loss of $23.1 million compared to a profit of $16.3 million the prior year.
- Revenue Decline
- Total revenue fell to $48.6 million vs $78.0 million last year, missing expectations of $52.2 million.
- Increase in Interest Income
- Interest income rose to $79.6 million from $73.8 million in the prior year, driven by higher average earning assets.
- Higher Average Borrowings
- Average borrowings increased by $437.2 million to $5.37 billion, with a decrease in cost of funds to 3.92% from 4.46%.
- Increased Cash Holdings
- Cash, cash equivalents, and restricted cash increased to $190.9 million from $181.5 million year-over-year.
- Decrease in Book Value
- Book value per share decreased to $8.08, down from $8.72 at the end of 2025.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Geopolitical and Economic Volatility
- Market conditions have deteriorated due to geopolitical tensions and rising inflation, impacting valuations.
- Decline in Investment Performance
- Investment losses totaled $54.9 million in Q1 2026 compared to gains of $82.2 million in Q1 2025.
- Interest Rate Sensitivity
- Rising interest rates could further compress margins and trigger margin calls on repurchase agreements.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.28
What they said about what is next.
Management remains cautious, awaiting improved macroeconomic conditions without providing specific numeric guidance.
The filing reads worse than the one before it.
What came before.
- 10-K · February 23, 2026
- Invesco Mortgage Capital (IVR) positions itself as an externally managed, REIT-focused investor concentrated in mortgage-backed securities, primarily Agency RMBS and Agency CMBS as of December 31, 2025. The company…
- 10-Q · November 5, 2025
- Invesco Mortgage Capital reported a stronger quarter vs. the year-ago quarter with net income of $53,471 (3Q25) up from $40,720 (3Q24) and diluted EPS of $0.74 vs. $0.63. Net interest income widened to $17,614 from…
- 10-Q · May 7, 2025
- Q1 2025 results show improved net interest income and large realized/unrealized investment gains but were offset by substantial derivative losses, resulting in lower net income and EPS versus prior year. Balance sheet…
- 10-Q · November 5, 2024
- Invesco Mortgage Capital recorded a swing to profitability in Q3 2024 driven by large net investment gains. Net income was $40.72 million (common shareholders $35.27 million) for the quarter versus a net loss of $68.60…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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