Highlights

  • Annaly reported GAAP net income of USD 1.40 per average common share in Q4 2025.
  • The company recorded an economic return of 8.6% for the fourth quarter.
  • The total investment portfolio stood at USD 104.7 billion at year-end 2025.

Annaly Capital Management, Inc. (NYSE:NLY) reported its financial results for the quarter ended December 31, 2025. For the fourth quarter, the company posted GAAP net income of USD 1.40 per average common share, while earnings available for distribution (EAD) totaled USD 0.74 per average common share. For the full year 2025, both GAAP net income and EAD were reported at USD 2.92 per average common share.

Book value per common share at the end of the quarter was USD 20.21. The company reported an economic return of 8.6% for the quarter and 20.2% for the full year. Annaly declared a common stock cash dividend of USD 0.70 per share for the fourth quarter.

Portfolio Composition and Deployment
As of December 31, 2025, Annaly’s total portfolio was valued at USD 104.7 billion. This included USD 92.9 billion in highly liquid Agency assets. The Agency portfolio increased 6% during the quarter and accounted for 62% of dedicated capital. Capital raised during the period was primarily allocated to 5.0% coupon TBA securities, generic collateral securities, higher coupon specified pools, and Agency CMBS.

The Residential Credit portfolio expanded 16% quarter-over-quarter to USD 8.0 billion, supported by correspondent channel activity. Annaly’s MSR portfolio increased 8% to USD 3.8 billion in market value, representing 19% of dedicated capital.

Financing, Liquidity, and Risk Management
Annaly reported USD 9.4 billion in total assets available for financing, including USD 6.1 billion in cash and unencumbered Agency MBS. GAAP leverage rose slightly to 7.2x from 7.1x in the prior quarter, while economic leverage declined to 5.6x from 5.7x.

The average GAAP cost of interest-bearing liabilities declined to 4.49%, down 24 basis points quarter-over-quarter. The average economic cost of interest-bearing liabilities was reported at 3.95%. The weighted average days to maturity for repurchase agreements decreased to 35 days from 49 days in the previous quarter.

Full-Year 2025 Operating Activity
During 2025, Annaly increased its Agency portfolio by USD 22 billion, with investments focused on specified pools featuring call protection. The weighted average coupon rose from 5.00% to 5.12%. The Residential Credit portfolio grew 15% during the year, supported by USD 23.1 billion in lock volume and USD 16.5 billion in loan fundings.

Annaly Residential Credit Group completed 29 securitizations totaling USD 15.2 billion during the year. The company raised USD 2.9 billion in capital during 2025, including USD 2.6 billion through common equity issuance and USD 275 million through preferred stock issuance.

Share Performance
NLY shares closed at USD 24.25 on January 28, 2026, Down 0.45% during the session.