Invesco Mortgage Q4 core EPS beats, average NII improves

|About: Invesco Mortgage Capital Inc. (IVR)|By:, SA News Editor

Invesco Mortgage Capital (NYSE:IVR) Q4 core earnings of 46 cents per share exceeds the average analyst estimate of 41 cents and rose from 41 cents in Q3.

Q4 average net interest margin of 1.31% vs. 1.24% in Q3.

During H2 2018, the company began to reposition its agency portfolio into newly issued 30-year agency RMBS and agency CMBS to "take advantage of accretive opportunities in those sectors."

The repositioning drove an increase in its weighted average asset yield to 4.02% as of Dec. 31, 2018, up 24 basis points from 3.78% as of Sept. 30, 2018.

Invesco Mortgage gains 0.3% in after-hours trading.

Heightened volatility in almost all agency and credit assets during Q4 led to Invesco Mortgage's book value falling 9.3% to $15.27 per share at year end, before recovering about half of the decline in January.

Previously: Invesco Mortgage Capital beats by $0.05, beats on net interest income (Feb. 20)

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