Ready Capital Reports Substantial Q1 Loss, 30% Drop in Book Value, and CLO Collapses
RC sits 26% above its 52-week low of $1.5.
Summary
Ready Capital Corp reported a net loss of $203.7 million and a 30% decline in book value per share for Q1 2026, driven by increased loan loss provisions and CLO collapses.
Key Events · Earnings and Guidance · RC
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Significant Net Loss and EPS Decline
Ready Capital reported a net loss attributable to common stockholders of $203.7 million for Q1 2026, a substantial reversal from a $77.5 million net income in Q1 2025. Basic EPS fell to $(1.25) from $0.47 in the prior year period.
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Sharp Drop in Book Value
Book value per common share decreased significantly to $7.43 as of March 31, 2026, down from $10.61 at December 31, 2025, representing a 30% reduction.
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Increased Loan Loss Provisions
The company recorded a $70.9 million provision for loan losses in Q1 2026, a stark contrast to a $109.6 million recovery in Q1 2025, reflecting a significant deterioration in credit quality and macroeconomic forecasts.
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CLO Collapses and Asset Reduction
Total assets decreased by $1.5 billion (18.7%) to $6.3 billion, primarily due to the collapse of RCMF 2021-FL7, RCMF 2023-FL11, and RCMF 2023-FL12 CLOs, which also led to a $0.6 billion decrease in securitized debt obligations.
Analysis · RC · Real Estate & Construction
Ready Capital Corp's Q1 2026 results confirm a significant deterioration in financial performance, following the preliminary announcement on May 7, 2026. The company reported a substantial net loss and a sharp decline in book value, primarily driven by a large provision for loan losses and the collapse of multiple Collateralized Loan Obligations (CLOs). This indicates ongoing challenges in its loan portfolio and a difficult operating environment. Investors should be aware of the significant credit quality issues and the impact on the company's equity.
How filings like this one have moved
In the 30 days to Oct 5, 2026, 42.7% of the 288 measured filings Wiseek scored 9 moved their stock by 5% or more by the next session's close. The median move was -0.53%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, RC was trading at $1.89 on NYSE in the Real Estate & Construction sector, with a market capitalization of approximately $312.3M. The 52-week trading range was $1.50 to $4.75. This filing was assessed with negative market sentiment and an importance score of 9 out of 10.