Annaly Capital Profit Misses Estimates

(RTTNews) - Annaly Capital Management Inc (NLY), which owns a portfolio of real estate related investments, on Tuesday reported fourth-quarter net loss to equity holders of $676 million or $0.71 per share compared with a profit of $1.01 billion or $1.03 per share last year.

Results for the latest quarter included a loss of $873.5 million from interest rate swaps compared with a gain of $561 million a year ago, the company said.

Excluding items, core earnings for the quarter were $0.30 per share compared with $0.35 per share a year ago, the company said.

Analysts polled by Thomson Reuters estimated earnings of $0.31 per share for the quarter. Analysts' estimates typically exclude special items.

Annaly said its net interest income for the quarter slid to $513.6 million from $633.9 million last year.

Also there was a loss from trading assets of $57.5 million compared with a gain of $41.9 million in the prior year.

"We fully expect the Federal Reserve to adjust policy accommodation sometime this year and the markets to endure higher levels of volatility. We look forward to the opportunities that will accompany that adjustment and remain comfortable in our continued ability to deliver attractive relative returns," said CEO Wellington Denahan.