Blackstone Mortgage Trust, Inc.
345 Park Avenue
New York, New York 10154
T 212 655 0220
Blackstone Mortgage Trust Reports First Quarter 2024 Results
New York, April 24, 2024 -- Blackstone Mortgage Trust, Inc. (NYSE: BXMT) today reported its first quarter 2024 results. The net loss
attributable to Blackstone Mortgage Trust for the quarter was $124 million. First quarter EPS, Distributable EPS, Distributable EPS
prior to charge-offs, and dividends paid per basic share were ($0.71), $0.33, $0.65, and $0.62, respectively.
Katie Keenan, Chief Executive Officer, said, “BXMT’s first quarter results reflect strong execution on key initiatives, with over
$1 billion of repayments and continued progress on loan resolutions and asset management. With $1.7 billion of liquidity and the
insight from the largest owner of commercial real estate globally, we are well positioned for the current market.”
Blackstone Mortgage Trust issued a full presentation of its first quarter 2024 results, which can be viewed at www.bxmt.com. An
updated investor presentation may also be viewed on the website.
Quarterly Investor Call Details
Blackstone Mortgage Trust will host a conference call today at 9:00 a.m. ET to discuss results. To register for the webcast, please
use the following link: https://event.webcasts.com/starthere.jsp?ei=1662838&tp_key=6e92f5954b. For those unable to listen to
the live broadcast, a recorded replay will be available on the company's website at www.bxmt.com beginning approximately two
hours after the event.
About Blackstone Mortgage Trust
Blackstone Mortgage Trust (NYSE: BXMT) is a real estate finance company that originates senior loans collateralized by commercial
real estate in North America, Europe, and Australia. Our investment objective is to preserve and protect shareholder capital while
producing attractive risk-adjusted returns primarily through dividends generated from current income from our loan portfolio. Our
portfolio is composed primarily of loans secured by high-quality, institutional assets in major markets, sponsored by experienced,
well-capitalized real estate investment owners and operators. These senior loans are capitalized by accessing a variety of financing
options, depending on our view of the most prudent strategy available for each of our investments. We are externally managed by
BXMT Advisors L.L.C., a subsidiary of Blackstone. Further information is available at www.bxmt.com.
About Blackstone
Blackstone is the world’s largest alternative asset manager. We seek to deliver compelling returns for institutional and individual
investors by strengthening the companies in which we invest. Our more than $1 trillion in assets under management include global
investment strategies focused on real estate, private equity, infrastructure, life sciences, growth equity, credit, real assets,
Blackstone Mortgage Trust, Inc.
345 Park Avenue
New York, New York 10154
T 212 655 0220
secondaries and hedge funds. Further information is available at www.blackstone.com. Follow @blackstone on LinkedIn, X (Twitter),
and Instagram.
Forward-Looking Statements and Other Matters
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect BXMT’s current views with respect to, among
other things, its operations and financial performance, its business plans and the impact of the current macroeconomic environment,
including interest rate changes. You can identify these forward-looking statements by the use of words such as “outlook,”
“objective,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “predicts,” “intends,”
“plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking
statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual
outcomes or results to differ materially from those indicated in these statements. BXMT believes these factors include but are not
limited to those described under the section entitled “Risk Factors” in its Annual Report on Form 10-K for the fiscal year ended
December 31, 2023, as such factors may be updated from time to time in its periodic filings with the Securities and Exchange
Commission (“SEC”) which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive
and should be read in conjunction with the other cautionary statements that are included in this release and in the filings. BXMT
assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events or
circumstances.
We refer to “Distributable EPS” and “Distributable EPS prior to charge-offs,” which are non-GAAP financial measures, in this press
release. A reconciliation to net income attributable to Blackstone Mortgage Trust, the most directly comparable GAAP measure, is
included in our full detailed presentation of first quarter 2024 results and is available on our website at www.bxmt.com.
Investor Relations
Blackstone
+1 (888) 756-8443
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Blackstone Mortgage Trust, Inc.
Blackstone Mortgage Trust, Inc.
Blackstone
Mortgage Trust, Inc.
First Quarter 2024 Results
APRIL 24, 2024
Blackstone |
Blackstone Mortgage Trust, Inc.
BXMT HIGHLIGHTS
Note: The information in this presentation is as of March 31, 2024, unless otherwise stated. Opinions expressed reflect the current opinions of BXMT as of the date appearing in the materials only and are
based on BXMT’s opinions of the current market environment, which is subject to change. BXMT’s manager is a subsidiary of Blackstone.
(1) Represents Distributable Earnings per share. See Appendix for definition and reconciliation to GAAP net income.
(2) Represents Distributable Earnings per share prior to charge-offs. See Appendix for definition and reconciliation to GAAP net income.
(3) Reflects ratio of Distributable Earnings per share prior to charge-offs to dividends declared per share for the three months ended March 31, 2024. See Appendix for a reconciliation of Distributable
Earnings prior to charge-offs to Distributable Earnings, which covered 53% of the dividend in the same period, and GAAP net income, which was a loss during the same period.
1
▪ Q1 GAAP EPS of $(0.71) and Distributable EPS
(1)
of $0.33; Distributable EPS prior to charge-offs
(2)
of $0.65, excluding
realized losses from loan resolutions
▪ Well-positioned to execute on portfolio management and new investment opportunities with a strong balance sheet
and substantial liquidity
Current Income
Dividend supported by cash flow from
performing portfolio
Balance Sheet Strength
Well-structured, match-funded
liabilities with substantial liquidity
Credit Performance
Continued repayment activity and
loan performance
$0.33
Q1 2024
Distributable
EPS
(1)
$1.7B
quarter-end liquidity
$1.0B
Q1 2024 repayments
105%
dividend coverage by Q1 2024
Distributable EPS prior to charge-offs
(3)
$0
corporate debt maturities
until 2026
92%
performing loans
(a)
$0.65
Q1 2024
Distributable EPS
prior to charge-offs
(2)
Blackstone |
Blackstone Mortgage Trust, Inc.
FIRST QUARTER RESULTS
(1) Represents Distributable Earnings per share. See Appendix for definition and reconciliation to GAAP net income.
(2) Represents Distributable Earnings per share prior to charge-offs. See Appendix for definition and reconciliation to GAAP net income.
2
▪ Q1 GAAP basic loss per share of $(0.71), Distributable Earnings
(1)
per share of $0.33, and Distributable EPS prior to
charge-offs
(2)
of $0.65
▪ Book value per share of $23.83 includes $4.40 per share of CECL reserves
▪ Paid Q1 dividend of $0.62 per share, equating to a 13.0% annualized dividend yield
(b)
Earnings
▪ $21.1B portfolio
(a)
of 173 senior loans, collateralized by institutional quality real estate and diversified across
sectors and markets; weighted-average origination LTV
of 63%
(c)
▪ Collected $1.0B of repayments in Q1 (56% US office), which exceeded loan fundings of $353M
▪ Resolved four 5-risk rated loans in Q1, including two asset sales, one deed-in-lieu, and one restructuring
Portfolio
▪ 92% portfolio performance;
(a)
multifamily loans are 100% performing
▪ Upgraded 9 loans and downgraded 13 loans in Q1, with a weighted-average risk rating of 3.0 at quarter-end;
recorded $174M net increase in CECL reserve
▪ Received over $300M of incremental borrower equity commitments in Q1 and $1.5B over the last twelve months;
negotiated $86M of paydowns from loan modifications in Q1 (11% of OPB, on average)
Credit
▪ Stable, match-funded financing structures with no capital markets mark-to-market provisions and no corporate
debt maturities until 2026
▪ Maintained strong liquidity of $1.7B; debt-to-equity
(d)
stable year-over-year at 3.8x
▪ Repurchased $26M of Senior Secured Notes at 88% of par in Q1’24 ($3M realized gain); $60M of total repurchases
over the last twelve months have generated $8M of realized gains
Capitalization
and Liquidity
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Blackstone Mortgage Trust, Inc.
$23.83
$4.40
3/31/2024
EARNINGS
3
▪ Q1 Distributable Earnings
(1)
were impacted by realized credit losses from impaired loan resolutions; Distributable
Earnings prior to charge-offs
(2)
support the dividend
▪ Book value per share of $23.83 includes $4.40 per share of CECL reserves
Earnings Per Share
$0.33
$0.65
Distributable EPS Distributable EPS
prior to charge-offs
(2)
(1)
$0.62
Dividend
Book Value and CECL Reserves
($ per share)
CECL Reserves
Book Value
GAAP
EPS
$(0.71)
(1) Represents Distributable Earnings per share. See Appendix for definition and reconciliation to GAAP net income.
(2) Represents Distributable Earnings per share prior to charge-offs. See Appendix for definition and reconciliation to GAAP net income.
Blackstone |
Blackstone Mortgage Trust, Inc.
PORTFOLIO
4
▪ Well-diversified portfolio of 173 senior loans, secured by institutional-quality assets across sectors and markets
Collateral Diversification
(a)(f)
AU, 6%
ES, 5%
IE, 6%
UK, 15%
SE, 2%
DEU, 1%
Geographic Footprint
(a)(e)
DC, 1%
TX, 6%
NY, 15%
NV, 2%
MA, 2%
IL, 3%
GA, 2%
FL, 7%
CA, 12%
VA, 2%
AZ, 2%
CO, 1%
NC, 1%
WA, 1%
Sunbelt
24%
Northeast
20%
West
13%
Midwest
4%
Northwest
2%
UK
15%
Other
Europe
16%
Australia
6%
Multifamily
27%
US Office
26%
Non-US
Office
10%
Hospitality
18%
Industrial
10%
Retail 3%
Life Sciences / Studio 2%
Other Property 4%
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Blackstone Mortgage Trust, Inc.
PORTFOLIO
5
▪ $1.0B of repayments in Q1 (56% in office), reflecting continued liquidity for BXMT collateral assets
▪ Stable weighted-average risk rating of 3.0, with multifamily loans 100% performing
Q1 Repayment Activity
$1.0B
Q1 2024
repayments
Weighted-Average Risk Rating
(a)
3.52.7 3.1 2.7 3.0
Multifamily US Office Non-US
Office
Hospitality Other Total
Portfolio
RR 1 RR 2 RR 3 RR 4 RR 5
3.0
Net Loan
Exposure
$5.8B $5.5B $2.0B $3.7B $4.1B $21.1B
US Office
56%
Retail
10%
Multifamily
7%
Hospitality
6%
Industrial
3%
Other Property
18%
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Blackstone Mortgage Trust, Inc.
$175
$163
$418
$603
12/31/2023 3/31/2024
General Reserves Asset-Specific Reserves
CREDIT
6
▪ Portfolio stable at 92% performing,
(a)
with non-performance concentrated in US office assets
▪ $766M of CECL reserves reflected in Q1 book value; asset-specific CECL reserves represent 25% of impaired loan cost
basis, implying collateral value declines of over 50%, on average
CECL Reserves
($ in millions)
$592
$766
25%
of 5-risk
rated loans
Portfolio Performance
(a)
93%
92%
12/31/2023 3/31/2024
Blackstone |
Blackstone Mortgage Trust, Inc.
CAPITALIZATION
7
▪ Maintained stable leverage and strong liquidity while repaying $1.8B
(g)
of financing over the last 12 months
▪ Well-structured balance sheet positioned to withstand volatility, with no capital markets mark-to-market provisions,
limited credit mark-to-market, and no corporate debt maturities until 2026
Debt to Equity & Liquidity Corporate Debt Maturities
(h)
($ in millions)
3.5x
3.2x
3.8x
3.8x
$1.6B
$1.7B
3/31/2023 3/31/2024
Debt-to-Equity Ratio
Debt-to-Equity Ratio, Adj.
Liquidity
(d)
(1)
$1,303
$772
$300
$340
2024 2025 2026 2027 2028 2029
Term Loan B Convertible Notes Senior Secured Notes
(1) Represents adjusted debt-to-equity ratio, which is the ratio of (i) total outstanding secured debt, asset-specific debt, term loans, senior secured notes, and convertible notes, in each case excluding
unamortized deferred financing costs and discounts, less cash, to (ii) Adjusted Equity. See Appendix for definition of Adjusted Equity and reconciliation to GAAP total equity.
Blackstone |
Blackstone Mortgage Trust, Inc.
II. Appendix
8
Blackstone |
Blackstone Mortgage Trust, Inc.
APPENDIX
9
Portfolio Details
($ in millions)
Loan Type
Origination
Date
(i
)
Total
Loan
(j
)
Principal
Balance
(j
)
Net Book
Value
Cash
Coupon
(k
)
All-
in
Yield
(k
)
Maximum
Maturity
(l
)
Location
Property
Type
Loan Per sf/
Unit/Key
Origination
LTV
(c)
Loan 1
Senior Loan
4/9/2018
$1,487
$1,183
$1,182
+4.27%
+4.44%
6/9/2025
New York
Office
$417/sf
48%
Loan 2
Senior Loan
8/14/2019
1,059
985
982
+3.06%
+3.72%
12/23/2024
Dublin
– IE
Mixed
-Use
$327/sf
74%
Loan 3
Senior Loan
6/24/2022
863
863
857
+4.75%
+5.07%
6/21/2029
Diversified
– AU
Hospitality
$393/sf
59%
Loan 4
Senior Loan
3/22/2018
584
584
584
+3.25%
+3.31%
3/15/2026
Diversified
– Spain
Mixed
-Use
N/A
71%
Loan 5
Senior Loan
7/23/2021
480
463
461
+3.60%
+4.04%
8/9/2027
New York
Multi
$621,903/unit
58%
Loan 6
Senior Loan
03/30/2021
448
448
446
+3.20%
+3.41%
5/15/2026
Diversified
– SE
Industrial
$86/sf
76%
Loan 7
Senior Loan
(j)
11/22/2019
470
398
79
+3.77%
+4.03%
12/9/2025
Los Angeles
Office
$730/sf
69%
Loan 8
Senior Loan
12/9/2021
385
371
370
+2.76%
+3.00%
12/9/2026
New York
Mixed
-Use
$128/sf
50%
Loan 9
Senior Loan
9/23/2019
375
352
351
+3.00%
+3.27%
8/16/2024
Diversified
– Spain
Hospitality
$127,557/key
62%
Loan 10
Senior Loan
4/11/2018
345
340
340
+2.25%
+2.28%
5/1/2025
New York
Office
$431/sf
71%
Loan 11
Senior Loan
7/15/2021
310
301
299
+4.25%
+4.75%
7/16/2026
Diversified
– EUR
Hospitality
$229,765/key
53%
Loan 12
Senior Loan
5/6/2022
298
298
296
+3.50%
+3.79%
5/6/2027
Diversified
– UK
Industrial
$94/sf
53%
Loan 13
Senior Loan
12/11/2018
356
296
298
+1.75%
+1.76%
12/9/2026
Chicago
Office
$251/sf
78%
Loan 14
Senior Loan
9/29/2021
312
295
294
+2.81%
+3.03%
10/9/2026
Washington, DC
Office
$384/sf
66%
Loan 15
Senior Loan
3/25/2022
294
294
293
+4.50%
+4.86%
3/25/2027
Diversified
– UK
Hospitality
$129,402/key
65%
Loans 16
— 173
Senior Loans
(j)
Various
18,316
16,489
16,057
+3.21%
+3.52%
Various
Various
Various
Various
64%
CECL reserve
(751)
Total/Wtd. avg.
$26,382
$23,960
$22,438
+3.33%
+3.66%
2.3 yrs
63%
Blackstone |
Blackstone Mortgage Trust, Inc.
APPENDIX
10
Consolidated Balance Sheets
($ in thousands, except per share data)
March 31, 2024 December 31, 2023
Assets
Cash and cash equivalents $413,986 $350,014
Loans receivable 23,189,312 23,787,012
Current expected credit loss reserve (751,370) (576,936)
Loans receivable, net $22,437,942 $23,210,076
Real estate owned, net 60,203 —
Other assets 353,732 476,088
Total assets $23,265,863 $24,036,178
Liabilities and equity
Secured debt, net $12,387,289 $12,683,095
Securitized debt obligations, net 2,328,073 2,505,417
Asset-specific debt, net 1,061,380 1,000,210
Loan participations sold, net 334,909 337,179
Term loans, net 2,098,415 2,101,632
Senior secured notes, net 337,083 362,763
Convertible notes, net 296,166 295,847
Other liabilities 257,961 362,531
Total Liabilities $19,101,276 $19,648,674
Commitments and contingencies — —
Equity
Class A common stock, $0.01 par value $1,736 $1,732
Additional paid-in capital 5,515,820 5,507,459
Accumulated other comprehensive income 9,870 9,454
Accumulated deficit (1,382,673) (1,150,934)
Total Blackstone Mortgage Trust, Inc. stockholders’ equity $4,144,753 $4,367,711
Non-controlling interests 19,834 19,793
Total equity $4,164,587 $4,387,504
Total liabilities and equity $23,265,863 $24,036,178
Blackstone |
Blackstone Mortgage Trust, Inc.
APPENDIX
11
Consolidated Statements of Operations
($ in thousands, except per share data)
2024 2023
Income from loans and other investments
Interest and related income $486,122 $491,384
Less: Interest and related expenses 343,730 317,197
Income from loans and other investments, net $142,392 $174,187
Other expenses
Management and incentive fees $18,927 $31,050
General and administrative expenses 13,728 12,865
Total other expenses $32,655 $43,915
Increase in current expected credit loss reserve (234,868) (9,823)
Gain on extinguishment of debt 2,963 —
(Loss) income before income taxes ($122,168) $120,449
Income tax provision 1,002 1,893
Net (loss) income ($123,170) $118,556
Net income attributable to non-controlling interests (668) (799)
Net (loss) income attributable to Blackstone Mortgage Trust, Inc. ($123,838) $117,757
Per share information (basic)
Net (loss) income per share of common stock, basic ($0.71) $0.68
Weighted-average shares of common stock outstanding, basic 174,041,630 172,598,349
Per share information (diluted)
Net (loss) income per share of common stock, diluted ($0.71) $0.67
Weighted-average shares of common stock outstanding, diluted 174,041,630 180,869,409
Three Months Ended March 31,
Blackstone |
Blackstone Mortgage Trust, Inc.
APPENDIX
12
Quarterly Per Share Calculations
(in thousands, except per share data)
Three Months Ended March 31, 2024 Three Months Ended December 31, 2023
Net loss
(m)
($123,838) ($2,376)
Charge-offs of CECL reserves
(n)
(61,013) –
Increase in CECL reserves 234,868 115,261
Non-cash compensation expense
8,112 7,729
Realized hedging and foreign currency gain (loss), net
(o)
111 (1,557)
Adjustments attributable to non-controlling interests, net (35) (83)
Other items (7) 8
Distributable Earnings $58,198 $118,982
Charge-offs of CECL reserves
(n)
61,013 –
Incentive fee related to charge-offs of CECL reserves
(p)
(6,272) –
Distributable Earnings prior to charge-offs $112,939 $118,982
Weighted-average shares outstanding, basic
(q)
174,042 172,824
Distributable Earnings per share, basic $0.33 $0.69
Distributable Earnings per share, basic, prior to charge-offs $0.65 $0.69
March 31, 2024 December 31, 2023
Stockholders’ equity $4,144,753 $4,367,711
Shares
Class A common stock 173,582 173,210
Deferred stock units 370 359
Total outstanding 173,952 173,569
Book value per share $23.83 $25.16
Three Months Ended March 31, 2024 Three Months Ended December 31, 2023
Net loss
(m)
($123,838) ($2,376)
Weighted-average shares outstanding, basic 174,042 172,824
Per share amount, basic ($0.71) ($0.01)
Diluted earnings ($123,838) ($2,376)
Weighted-average shares outstanding, diluted 174,042 172,824
Per share amount, diluted ($0.71) ($0.01)
Distributable
Earnings
Reconciliation
Book Value per
Share
Earnings (Loss) per
Share
Blackstone |
Blackstone Mortgage Trust, Inc.
APPENDIX
13
Reconciliation of Adjusted Equity
($ in thousands)
March 31, 2024
March 31, 2023
Total equity
$4,164,587
$4,560,699
Add back: aggregate CECL reserves
766,162
352,340
Adjusted Equity
$4,930,749
$4,913,039
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Blackstone Mortgage Trust, Inc.
DEFINITIONS
14
Distributable Earnings: Blackstone Mortgage Trust, Inc. (“BXMT”) discloses Distributable Earnings in this presentation. Distributable Earnings is a financial measure that is
calculated and presented on the basis of methodologies other than in accordance with generally accepted accounting principles in the United States of America (“GAAP”).
Distributable Earnings is a non-GAAP measure, which is defined as GAAP net income (loss), including realized gains and losses not otherwise recognized in current period GAAP net
income (loss), and excluding (i) non-cash equity compensation expense, (ii) depreciation and amortization, (iii) unrealized gains (losses), and (iv) certain non-cash items.
Distributable Earnings may also be adjusted from time to time to exclude one-time events pursuant to changes in GAAP and certain other non-cash charges as determined by
BXMT’s manager, subject to approval by a majority of its independent directors. Distributable Earnings mirrors the terms of BXMT’s management agreement between BXMT’s
Manager and BXMT, for purposes of calculating its incentive fee expense.
BXMT’s CECL reserves have been excluded from Distributable Earnings consistent with other unrealized gains (losses) pursuant to its existing policy for reporting Distributable
Earnings. BXMT expects to only recognize such potential credit losses in Distributable Earnings if and when such amounts are realized and deemed non-recoverable upon a
realization event. This is generally at the time a loan is repaid, or in the case of foreclosure, when the underlying asset is sold, but realization and non-recoverability may also be
concluded if, in BXMT’s determination, it is nearly certain that all amounts due will not be collected. The timing of any such credit loss realization in BXMT’s Distributable Earnings
may differ materially from the timing of CECL reserves or charge-offs in BXMT’s consolidated financial statements prepared in accordance with GAAP. The realized loss amount
reflected in Distributable Earnings will equal the difference between the cash received, or expected to be received, and the book value of the asset, and is reflective of its
economic experience as it relates to the ultimate realization of the loan.
BXMT believes that Distributable Earnings provides meaningful information to consider in addition to net income (loss) and cash flow from operating activities determined in
accordance with GAAP. BXMT believes Distributable Earnings is a useful financial metric for existing and potential future holders of its class A common stock as historically,
over time, Distributable Earnings has been a strong indicator of its dividends per share. As a REIT, BXMT generally must distribute annually at least 90% of its net taxable income,
subject to certain adjustments, and therefore BXMT believes its dividends are one of the principal reasons stockholders may invest in BXMT’s class A common stock. Distributable
Earnings helps BXMT to evaluate its performance excluding the effects of certain transactions and GAAP adjustments that BXMT believes are not necessarily indicative of BXMT’s
current loan portfolio and operations and is a performance metric BXMT considers when declaring its dividends.
Furthermore, BXMT believes it is useful to present Distributable Earnings prior to charge-offs of CECL reserves to reflect BXMT’s direct operating results and help existing and
potential future holders of BXMT’s class A common stock assess the performance of BXMT’s business excluding such charge-offs. BXMT utilizes Distributable Earnings prior to
charge-offs of CECL reserves as an additional performance metric to consider when declaring BXMT’s dividends. Distributable Earnings mirrors the terms of BXMT’s Management
Agreement for purposes of calculating BXMT’s incentive fee expense. Therefore, Distributable Earnings prior to charge-offs of CECL reserves is calculated net of the incentive fee
expense that would have been recognized if such charge-offs had not occurred.
Distributable Earnings and Distributable Earnings prior to charge-offs of CECL reserves do not represent net income (loss) or cash generated from operating activities and should
not be considered as alternatives to GAAP net income (loss), or indicators of BXMT’s GAAP cash flows from operations, measures of BXMT’s liquidity, or indicators of funds
available for BXMT’s cash needs. In addition, BXMT’s methodology for calculating Distributable Earnings and Distributable Earnings prior to charge-offs of CECL reserves may differ
from the methodologies employed by other companies to calculate the same or similar supplemental performance measures, and accordingly, BXMT’s reported Distributable
Earnings and Distributable Earnings prior to charge-offs of CECL reserves may not be comparable to similar metrics reported by other companies.
Adjusted Equity: BXMT discloses Adjusted Equity in this presentation. Adjusted Equity is a financial measure that is calculated and presented on the basis of methodologies other
than in accordance with GAAP. Adjusted Equity reflects BXMT’s total equity, excluding the aggregate CECL reserve on loans receivable and unfunded commitments.
BXMT believes that Adjusted Equity provides meaningful information to consider in addition to its total equity determined in accordance with GAAP in the context of assessing its
debt-to-equity and total leverage ratios. The adjusted debt-to-equity and total leverage ratios are metrics used, in addition to unadjusted debt-to-equity and total leverage
ratios, when evaluating BXMT’s capitalization structure, as Adjusted Equity excludes the unrealized impact of BXMT’s CECL reserve, which may vary from quarter-to-quarter as its
loan portfolio changes and market and economic conditions evolve. BXMT believes these ratios, and therefore Adjusted Equity, are useful financial metrics for existing and
potential future holders of its class A common stock to consider when evaluating how BXMT’s business is capitalized and the relative amount of leverage in its business.
Adjusted Equity does not represent BXMT’s total equity and should not be considered as an alternate to GAAP total equity. In addition, BXMT’s methodology for calculating
Adjusted Equity may differ from methodologies employed by other companies to calculate the same or similar supplemental measures, and accordingly, BXMT’s reported Adjusted
Equity may not be comparable to the Adjusted Equity reported by other companies.
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Blackstone Mortgage Trust, Inc.
DEFINITIONS
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Non-Consolidated Senior Interests: Senior interests in loans originated and syndicated to third parties. These non-recourse loan participations, which are excluded from the GAAP
balance sheet, constitute additional financing capacity and are included in discussions of the loan portfolio.
Net Loan Exposure: Represents loans that are included in BXMT’s consolidated financial statements, net of (i) asset specific debt, (ii) participations sold, (iii) cost-recovery
proceeds, and (iv) CECL reserves on its loans receivable.
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Blackstone Mortgage Trust, Inc.
ENDNOTES
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a. Based on Net Loan Exposure. See Appendix for definition.
b. Dividend yield based on share price of $19.13 as of April 23, 2024.
c. Reflects weighted average loan-to-value (“LTV”) as of the date investments were originated or acquired by BXMT excluding any loans that are impaired and any junior
participations sold.
d. Represents debt-to-equity ratio, which is the ratio of (i) total outstanding secured debt, asset-specific debt, term loans, senior secured notes, and convertible notes, in each
case excluding unamortized deferred financing costs and discounts, less cash, to (ii) total equity.
e. States and countries comprising less than 1% of total loan portfolio are excluded.
f. Assets with multiple components are proportioned into relevant collateral types based on the allocated value of each collateral type.
g. Represents repayments during the period on secured debt, asset-specific debt, securitizations, term loans, senior secured notes, and convertible notes, in each case net of
borrowings under such financings during the period.
h. Excludes 1.0% per annum of scheduled amortization payments under the Term Loan B.
i. Date loan was originated or acquired by BXMT. Origination dates are subsequently updated to reflect material loan modifications.
j. Certain loans include an aggregate $0.7B of Non-Consolidated Senior Interests which are not included in BXMT’s consolidated financial statements and exclude $100.5M of
junior loan interests that BXMT has sold, but that remain included in BXMT’s consolidated financial statements as of March 31, 2024. Total loan includes unfunded
commitments.
k. The weighted-average cash coupon and all-in yield are expressed as a spread over the relevant floating benchmark rates. Excludes loans accounted for under the cost-
recovery method.
l. Maximum maturity assumes all extension options are exercised; however, floating rate loans generally may be repaid prior to their final maturity without penalty.
m. Represents net loss attributable to Blackstone Mortgage Trust, Inc.
n. Represents realized losses related to loan principal amounts deemed non-recoverable during the three months ended March 31, 2024.
o. Represents realized gains (losses) on the repatriation of unhedged foreign currency. These amounts were not included in GAAP net loss, but rather as a component of other
comprehensive income in our consolidated financial statements.
p. Reflects the $6.3M incentive fee expense that would have been incurred if such charge-offs had not occurred.
q. The weighted-average shares outstanding, basic, exclude shares issuable from a potential conversion of BXMT’s convertible notes. Consistent with the treatment of other
unrealized adjustments to Distributable Earnings, these potentially issuable shares are excluded until a conversion occurs.
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FORWARD-LOOKING STATEMENTS & IMPORTANT DISCLOSURE INFORMATION
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References herein to “Blackstone Mortgage Trust,” “Company,” “we,” “us,” or “our” refer to Blackstone Mortgage Trust, Inc. and its subsidiaries unless the context specifically
requires otherwise. Opinions expressed reflect the current opinions of BXMT as of the date appearing in this document only and are based on the BXMT's opinions of the current
market environment, which is subject to change. There can be no assurances that any of the trends described herein will continue or will not reverse. Past events and trends do
not imply, predict or guarantee, and are not necessarily indicative of, future events or results.
This presentation may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended, which reflect BXMT’s current views with respect to, among other things, its operations and financial performance, its business plans and the impact of
the current macroeconomic environment, including interest rate changes. You can identify these forward-looking statements by the use of words such as “outlook,” “objective,”
“indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative
version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important
factors that could cause actual outcomes or results to differ materially from those indicated in these statements. BXMT believes these factors include but are not limited to those
described under the section entitled “Risk Factors” in its Annual Report on Form 10-K for the fiscal year ended December 31, 2023, as such factors may be updated from time to
time in its periodic filings with the Securities and Exchange Commission (“SEC”) which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed
as exhaustive and should be read in conjunction with the other cautionary statements that are included in this presentation and in the filings. BXMT assumes no obligation to
update or supplement forward‐looking statements that become untrue because of subsequent events or circumstances.
