Atrium Mortgage Investment Corporation
Reports Record Revenue and EPS Despite a Spike in Loan Loss Provisions
Published: 2/16/2024
Author: Sid Rajeev, B.Tech, CFA, MBA
*See important disclosures at the bottom of this reportSector: Financial Services | Industry: Mortgage Finance
Ticker Symbols:
AI.TO - TSX 🔹
AMIVF - NASDAQ 🔹
Highlights
In 2023, AI reported record revenue (up 26% YoY), beating our estimate by 2% amid higher than expected lending rates. EPS increased 9% YoY, and was exactly in line with our forecast.
Atrium maintains its status as the second largest publicly traded MIC, with a higher percentage of first mortgages, lower average loan-to-value mortgages, and higher yield.
Loan loss provisions were up 521% YoY, and 13% higher than our forecast. Property developers, and landlords, have been hit harder than individual homeowners due to higher borrowing costs, low presa