Apollo Commercial Real Estate Finance

Apollo Commercial Real Estate Finance (ARI) Q3 2025 Earnings

Reported Oct 30, 2025 at 7:26 PM ET · SEC Source

Q3 25 EPS

$0.30

BEAT +20.77%

Est. $0.25

Q3 25 Revenue

$61.6M

BEAT +29.09%

Est. $47.7M

vs S&P Since Q3 25

-5.2%

TRAILING MARKET

ARI +5.0% vs S&P +10.2%

Market Reaction

Did ARI Beat Earnings? Q3 2025 Results

Apollo Commercial Real Estate Finance delivered a decisive beat in Q3 2025, with distributable earnings of $0.30 per diluted share clearing the $0.25 consensus by 20.77%, while revenue of $61.62 million topped estimates by 29.09%, even as the top lin… Read more Apollo Commercial Real Estate Finance delivered a decisive beat in Q3 2025, with distributable earnings of $0.30 per diluted share clearing the $0.25 consensus by 20.77%, while revenue of $61.62 million topped estimates by 29.09%, even as the top line declined 15.0% year over year. The headline GAAP result swung sharply positive, with net income of $0.34 per diluted share compared to a loss of $0.69 per share a year ago, driven in large part by a $17.39 million litigation settlement gain tied to a Massachusetts hospital property taken by eminent domain, alongside favorable foreign currency movements and a reduction in credit loss allowances. Underpinning the beat was robust origination activity, with $1.00 billion in new loan commitments during the quarter and $3.00 billion year-to-date, reflecting strong capital rotation from legacy focus assets into higher-spread opportunities. Management indicated that earnings benefits from freeing up non-performing capital are expected to accelerate into Q4, with two additional floating-rate first mortgage commitments totaling $388 million already secured post-quarter.

Key Takeaways

  • $1.0 billion of new loan originations during Q3
  • Loan repayments and sales of $1.3 billion in Q3
  • 98% first mortgage and 98% floating rate loan portfolio
  • Weighted-average unlevered all-in yield of 7.7%
  • $17.4 million realized gain on litigation settlement with The Commonwealth of Massachusetts
  • Progress in freeing up non-performing capital for redeployment
  • Forward point impact on currency hedges resulted in $3.6 million realized gain in Q3
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ARI YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

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ARI Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 25 Q1 26
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ARI Revenue by Geography

With YoY comparisons, source: SEC Filings

Q2 25 Q1 26

“With $1.0 billion of new loan originations during the quarter ARI continued to benefit from the strength of the Apollo real estate credit platform. There was also continued progress in freeing up non-performing capital for redeployment and we expect the resulting benefit to earnings to begin materializing in the fourth quarter”

— Stuart Rothstein, Q3 2025 Earnings Press Release