Executive Summary

Q4 2024 marked a positive inflection: GAAP EPS was $0.21, while Distributable EPS was a loss of $(1.25) due to $294M of charge-offs tied to impaired loan resolutions; DE prior to charge-offs was $0.44, indicating underlying earnings power despite cleanup activity .
Credit improved materially: 49% of impaired loans were resolved in Q4 ($1.1B), portfolio performance rose to 93% from 88% QoQ, and CECL reserves declined 27% QoQ to $734M, including a $32M net CECL reversal from resolutions above carrying values .
Balance sheet and liquidity strengthened: debt-to-equity fell to 3.5x (11-quarter low) and liquidity stood at $1.5B; BXMT refinanced $1.1B of corporate debt and repurchased $50M of stock across Q4 and Q1-to-date .
Forward setup: management turned to offense with $2.0B+ of Q1 2025 originations closed or in closing and expects earnings to trough near-term and build through 2025 as resolution capital is redeployed; dividend held at $0.47 (≈10% yield at the time) .
Estimates: S&P Global consensus data was unavailable at time of analysis; press materials do not provide consensus benchmarks. We therefore cannot quantify beats/misses this quarter (S&P Global data unavailable).

What Went Well and What Went Wrong

What Went Well
- “This quarter marked a meaningful positive inflection point for BXMT, with loan resolutions and accelerating capital deployment establishing a foundation for growth in 2025.” — CEO Katie Keenan .
- Portfolio performance improved to 93% (from 88% QoQ), CECL reserve fell 27% QoQ to $734M with a $32M net CECL reversal as asset sales cleared above marks, boosting book value resilience .
- Capital markets access and liquidity: $1.1B corporate debt deal (4x oversubscribed) extended maturities; debt-to-equity dropped to 3.5x; quarter-end liquidity remained $1.5B; Q4/Q1-to-date repurchases totaled $50M .
What Went Wrong
- Distributable Earnings headline was negative $(1.25) per share in Q4 due to $294M charge-offs on impaired loan resolutions; DE prior to charge-offs was $0.44 (including ~$0.02 of startup/refi items) .
- CECL reserve remained elevated at $734M even after the 27% QoQ decline, reflecting ongoing portfolio cleanup and remaining impaired loans (13 loans at year-end) .
- Office remains a headwind despite improving liquidity; management remains highly selective and expects office exposure to decline over time, even as high-quality opportunities (e.g., The Spiral) can perform well .

Financial Results

Key GAAP and non-GAAP per-share metrics

Metric	Q2 2024	Q3 2024	Q4 2024
GAAP EPS ($)	($0.35)	($0.32)	$0.21
Distributable EPS ($)	$0.49	$0.39	($1.25)
Distributable EPS prior to charge-offs ($)	$0.56	$0.49	$0.44
Dividend per share ($)	$0.62 (paid for Q2)	$0.47 (paid for Q3)	$0.47 (paid for Q4)
Book value per share ($)	$22.90	$22.17	$21.87

Operating and credit metrics

Metric	Q2 2024	Q3 2024	Q4 2024
Income from loans & other investments, net ($M)	$126.772	$108.348	$101.558
Total net revenues ($M)	n/a	$111.951	$114.448
Portfolio performance (%)	90%	88% (QoQ ref)	93%
CECL reserve ($M)	$893.938	$1,011.059	$733.936
Debt-to-equity (x)	3.9x	3.8x	3.5x
Liquidity ($B)	$1.6	$1.5	$1.5
Repayments ($B)	$0.701	$1.8	$1.6

Q4 2024 year-over-year (YoY) snapshot

Metric	Q4 2024	Q4 2023	YoY
Total net revenues ($M)	$114.448	$153.840	(25.6%)
Income from loans & other investments, net ($M)	$101.558	$153.765	(33.9%)
GAAP EPS ($)	$0.21	($0.01)	n.m.
Net income attributable ($M)	$37.190	($2.376)	n.m.

KPI highlights

KPI	Q4 2024
Portfolio size / loans	$17.0B; 130 loans
Weighted-average origination LTV	63%
Impaired loans resolved in Q4	$1.1B (≈49% of Q3 impaired balance)
CECL reversal in Q4	$32M (from resolutions above marks)
Share repurchases	$50M in Q4 and Q1-to-date; $61M since Q2 2024
Corporate debt refinancing	$1.1B closed in Q4

Segment/asset-class context (repayments mix, 2024)

Asset Class	Share of 2024 Repayments
US Office	30%
Non-US Office	8%
Multifamily	24%
Hospitality	22%
Industrial	6%
Other Property	10%

Estimates versus actuals

S&P Global consensus for Q4 2024 EPS and revenue was unavailable at time of analysis; we cannot quantify beats/misses this quarter (S&P Global data unavailable).

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance/Commentary	Change
Dividend per share	Ongoing	Board reassesses quarterly; $0.47 declared for Q3 2024	$0.47 paid for Q4 2024; ~10% annualized yield at time	Maintained
Leverage (debt-to-equity)	Medium-term	Target range ~3–4x	3.5x at Q4; management reiterates 3–4x target as market heals	Maintained / improving
Portfolio balance	Q1 2025	n/a	“Portfolio balance stabilizing in Q1 and then growing from there”	New qualitative guide
Originations pipeline	Q1 2025	$0.5B in closing at Q3	$2.0B+ closed or in closing in Q1-to-date	Raised pipeline visibility
Capital allocation	Ongoing	$150M repurchase authorization (Q2)	$90M remaining; repurchases continue opportunistically	Ongoing execution

Earnings Call Themes & Trends

Topic	Q2 2024 (Q-2)	Q3 2024 (Q-1)	Q4 2024 (Current)	Trend
Credit resolutions	$385M NPL resolutions in 1H, in line with reserves	$0.5B YTD; $0.6B closed/in closing post-Q3	$1.1B resolved in Q4; CECL reversal $32M; 2/3 of peak resolved by Q1-to-date	Improving
Portfolio performance	90% performing	88% (QoQ reference)	93% performing	Improving
Office exposure	Non-performance concentrated; 55% watchlisted/impaired	58% watchlisted/impaired	$2.0B office repayments in 2024; net office exposure down 28% YoY	De-risking
Liquidity/leverage	Liquidity $1.6B; D/E 3.9x	Liquidity $1.5B; D/E 3.8x	Liquidity $1.5B; D/E 3.5x	Balance sheet strengthening
Originations	Early pipeline; M&T agency launched	$94M closed; $0.5B in closing	$2.0B+ Q1 closed/in closing; levered yields ~900 bps over base	Accelerating
Diversification	M&T agency partnership	—	Net lease strategy launched to add long-duration cash flows	Expanding platforms
Macro/capital markets	—	“Emerging recovery”	Liquidity returning; CMBS/SASB active; spreads tightening	Supportive

Management Commentary

“We resolved $1.1 billion or 49% of our impaired loans, proving out our view that credit performance troughed last quarter… bringing our performing loan percentage to 93% today.” — CEO Katie Keenan .
“We completed the largest corporate debt transaction in our history, a $1.1 billion deal… 4x oversubscribed… reduced overall debt to equity to 3.5x, our lowest level in 11 quarters.” — CEO Katie Keenan .
“Excluding the impact from CECL charge-offs, fourth quarter DE was $0.44 per share… book value was down just [slightly] from the third quarter… delivered a positive 1% economic return to our stockholders.” — CFO Tony Marone .
“We are off to a great start with a robust global pipeline… $2 billion of closed and committed deals… levered yields average 900 basis points over base rates.” — CEO/CIO team .
“BXMT today trades at a 10% dividend yield and 87% of post-reserve book value… we’ve executed over $50 million of stock buybacks in the last 3 months.” — CEO Katie Keenan .

Q&A Highlights

Earnings trough and ramp: Management framed Q4 DE prior to charge-offs ($0.44) as a baseline, with resolutions and redeployment driving a recovery into Q2 and beyond; noted ~$0.02 per share of Q4 one-time startup/refi items .
Resolution pace and severity: ~$400M of additional resolutions were “on the 10–15 yard line” for Q1; loss assumptions should look to CECL on 5-rated loans (mid-20s) rather than a lower ad-hoc calc; repayments in Q4 and Q1-to-date were at par .
Capital allocation: $90M remains on the buyback; management views shares as attractive alongside robust deployment opportunities .
Leverage target and growth: Expect leverage within 3–4x as portfolio regrows; near-term stabilization in Q1 and growth thereafter .
Strategy expansion: Net lease ramp to be opportunity-driven with diversified long-duration cash flows; potential to broaden unsecured/ABS financing access over time .

Estimates Context

S&P Global consensus estimates for Q4 2024 EPS and revenue were unavailable at time of analysis; company materials did not include consensus benchmarks (S&P Global data unavailable).
Implications: Without published consensus, we cannot quantify beats/misses. However, underlying run-rate DE prior to charge-offs ($0.44) versus the $0.47 dividend suggests near-term coverage depends on the cadence of resolutions/redeployment, which management expects to improve through 2025 .

Key Takeaways for Investors

Credit turning the corner: Large Q4 resolutions, higher performing percentage, and CECL reduction indicate the cleanup phase is well advanced and should reduce interest expense drag and unlock earnings as capital is redeployed .
Earnings bridge: While headline DE was negative due to charge-offs, DE prior to charge-offs at $0.44 combined with visible pipeline suggests upward pressure as 2025 progresses, with management explicitly pointing to a trough and rebuild through Q2+ .
Balance sheet advantage: 3.5x D/E and $1.5B liquidity, plus receptive debt markets (4x oversubscribed $1.1B deal), create optionality to fund pipeline and opportunistic buybacks .
Office risk managed down: $2.0B of office repayments in 2024 and $1.5B Q1-to-date; exposure expected to decline further, with new office investments limited to top-tier, low-basis situations .
Deployment catalysts: $2.0B+ of Q1 originations closed/in closing at attractive levered spreads (~900 bps over base) across multifamily/industrial/self-storage and select international markets .
Strategic diversification: M&T agency partnership and a new net lease strategy add capital-light and long-duration cash flow streams that can complement core floating-rate lending .
Stock setup: Management highlights shares at ~87% of post-reserve book with ~10% dividend yield; ongoing buybacks signal confidence, though near-term earnings coverage still hinges on redeployment pace .

Sources and documents read in full:

Q4 2024 8-K press release and presentation .
Q4 2024 earnings call transcript –.
Prior quarters for trend analysis: Q3 2024 8-K and presentation –; Q2 2024 8-K and presentation –.

Press releases: No additional standalone press releases in Q4 2024 beyond the 8-K earnings materials were found; subsequent (March 28, 2025) Q1 2025 earnings date press release located but not relevant to Q4 .

BLACKSTONE MORTGAGE TRUST, INC. (BXMT)·Q4 2024 Earnings Summary