GLEN ALLEN, Va.--(BUSINESS WIRE)--January 26, 2026--
Dynex Capital, Inc. (the "Company") $(DX)$, a REIT with a long track record of generating dividends from high-quality mortgage assets, reported its fourth quarter and full year 2025 financial results today. Management will host a call today at 10:00 a.m. Eastern Time to discuss the results and business outlook. Details to access the call can be found below under "Earnings Conference Call."
Financial Performance Summary and Other Highlights
-- Total economic return of $1.29 per common share, or 10.2% of beginning
book value, for the fourth quarter of 2025, and $2.75 per common share,
or 21.6% of beginning book value, for the full year 2025
-- Book value per common share of $13.45 as of December 31, 2025 compared
to $12.67 as of September 30, 2025 and $12.70 as of December 31, 2024
-- Comprehensive income of $1.22 per common share and net income of $1.17
per common share for the fourth quarter of 2025; comprehensive income of
$2.85 per common share and net income of $2.49 per common share for the
full year 2025
-- REIT taxable income for 2025 is estimated at $229 million and includes
amortization of deferred tax hedge gains of approximately $100 million
-- Dividends declared of $0.51 per common share for the fourth quarter of
2025 and $2.00 for the full year 2025
-- Raised equity capital of $393 million during the fourth quarter of 2025
through at-the-market ("ATM") common stock issuances, bringing total
capital raised for 2025 to $1.2 billion, net of issuance costs
-- Purchased $3 billion in Agency RMBS and $284 million in Agency CMBS
during the fourth quarter, bringing total purchases for 2025 to $8.2
billion of Agency RMBS and $1.2 billion of Agency CMBS
-- Average balance of interest-earning assets increased 58% during 2025
-- Liquidity of $1.4 billion as of December 31, 2025
-- Leverage including to-be-announced ("TBA") securities at cost was 7.3
times shareholders' equity as of December 31, 2025
-- Common shares outstanding as of January 22, 2026 were 199,585,507
Management Remarks
"2025 was a strong year for Dynex. We delivered a 29.4% total shareholder return and a 67% decade-long total return, driven by disciplined execution and rigorous risk management. Our market capitalization nearly tripled over the last 13 months as we raised and deployed capital into attractive opportunities, while strengthening our organization with refreshed leadership, a new independent auditor, and an expanded office footprint. Our strategy remains accretive to long-term value creation, and we enter 2026 resilient and focused on our shareholders," said Smriti Laxman Popenoe, Co-Chief Executive Officer and President.
"Reflecting the company's significant growth, commitment to building resilience and evolving our human capital to align with our vision, we are expanding the breadth and depth of our executive team by separating the roles of Chief Financial Officer and Chief Operating Officer," added Byron L. Boston, Chairman and Co-Chief Executive Officer. "Rob Colligan will bring his expertise to an expanded CFO role, and today we welcome Meakin Bennett as our new Chief Operating Officer. A seasoned operator with deep financial and operational expertise from Fannie Mae, Morgan Stanley, and GE Capital--and a U.S. Navy veteran--Meakin brings the leadership and discipline to continue strengthening our platform."
Earnings Conference Call
As previously announced, the Company's conference call to discuss these results is today at 10:00 a.m. Eastern Time and may be accessed via telephone by dialing (800) 330-6710 and providing the Conference Code 3915006 or by live audio webcast by clicking the "Webcast" button on the Investors page of the Company's website (www.dynexcapital.com), which includes a slide presentation. To listen to the live conference call via telephone, please dial in at least 10 minutes before the call begins. A full replay of the presentation will be available on the same webcast link on the Company's website shortly after the conclusion of the live presentation.
Consolidated Balance Sheets
(unaudited)
----------------------------------
($s in thousands except per share December 31, September 30, December 31,
data) 2025 2025 2024
------------- ------------- --------------
ASSETS (audited)
Cash and cash equivalents $ 531,043 $ 490,989 $ 377,099
Cash collateral posted to
counterparties 399,344 332,818 244,440
Mortgage-backed securities
(including pledged of
$14,593,470; $12,382,611;
and $6,893,629
respectively) 16,306,988 13,230,145 7,512,087
Due from counterparties 17,425 25,255 10,445
Derivative assets 10,498 14,100 133
Accrued interest receivable 67,940 55,931 32,841
Other assets, net 8,940 9,456 7,534
----------- ----------- ----------
Total assets $ 17,342,178 $ 14,158,694 $ 8,184,579
=========== =========== ==========
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
Repurchase agreements $ 13,904,231 $ 11,753,522 $ 6,563,120
Due to counterparties 811,656 270,719 341,924
Derivative liabilities 4,830 4,635 22,814
Cash collateral posted by
counterparties 8,373 18,424 --
Accrued interest payable 95,196 110,517 44,672
Accrued dividends payable 37,171 30,688 16,501
Other liabilities 18,577 12,641 10,612
----------- ----------- ----------
Total liabilities 14,880,034 12,201,146 6,999,643
Shareholders' equity:
Preferred stock $ 107,843 $ 107,843 $ 107,843
Common stock 1,748 1,457 845
Additional paid-in capital 2,921,551 2,524,286 1,742,471
Accumulated other
comprehensive loss (127,061) (134,069) (172,489)
Accumulated deficit (441,937) (541,969) (493,734)
----------- ----------- ----------
Total shareholders' equity 2,462,144 1,957,548 1,184,936
----------- ----------- ----------
Total liabilities and
shareholders' equity $ 17,342,178 $ 14,158,694 $ 8,184,579
=========== =========== ==========
Preferred stock aggregate
liquidation preference $ 111,500 $ 111,500 $ 111,500
Book value per common share $ 13.45 $ 12.67 $ 12.70
Common shares outstanding 174,814,912 145,714,136 84,491,800
Consolidated Comprehensive Statements of Income
(Loss) (unaudited)
---------------------------------------------------
Three Months Ended Year Ended
----------------------------
($s in thousands
except per share December 31, September 30, December 31,
data) 2025 2025 2025
------------- ------------- ---------------
INTEREST INCOME
Interest income $ 177,036 $ 149,679 $ 533,521
Interest expense (133,552) (119,068) (419,165)
----------- ----------- -----------
Net interest income 43,484 30,611 114,356
OTHER GAINS (LOSSES)
Unrealized gain on
investments, net 84,732 142,469 370,850
Gain (loss) on
derivatives, net 73,781 (10,694) (113,093)
----------- ----------- -----------
Total other gains,
net 158,513 131,775 257,757
EXPENSES
General and
administrative
expenses (16,367) (11,464) (51,508)
Other operating
expense, net (272) (534) (1,539)
----------- ----------- -----------
Total operating
expenses (16,639) (11,998) (53,047)
Net income 185,358 150,388 319,066
Preferred stock
dividends (2,760) (2,827) (10,191)
----------- ----------- -----------
Net income to common
shareholders $ 182,598 $ 147,561 $ 308,875
=========== =========== ===========
Other comprehensive
income:
Unrealized gain on
available-for-sale
investments, net 7,008 14,966 45,428
----------- ----------- -----------
Total other
comprehensive
income 7,008 14,966 45,428
----------- ----------- -----------
Comprehensive income
to common
shareholders $ 189,606 $ 162,527 $ 354,303
=========== =========== ===========
Weighted average
common shares-basic 156,041,438 135,952,339 124,128,422
Weighted average
common
shares-diluted 157,213,691 136,927,985 125,067,280
Net income per common
share-basic $ 1.17 $ 1.09 $ 2.49 Net income per common share-diluted $ 1.16 $ 1.08 $ 2.47 Dividends declared per common share $ 0.51 $ 0.51 $ 2.00
Summary of Fourth Quarter and Full Year 2025 Results
The Company's total economic return ("TER") for the fourth quarter of 2025 of $1.29 per common share was comprised of an increase in book value of $0.78 per common share and dividends declared of $0.51 per common share. For the year ended December 31, 2025, the Company's TER of $2.75 per common share was comprised of an increase in book value of $0.75 per common share and dividends declared of $2.00 per common share. The increase in book value for both periods was largely driven by asset appreciation. The Company grew its capital base and added to its mortgage-backed securities portfolio throughout the year and benefitted from lower repurchase agreement financing rates following the three U.S. Federal Funds rate cuts in 2025.
The following tables summarize the changes in the Company's financial position during the fourth quarter and fiscal year 2025:
($s in thousands Components of Common
except per share Net Changes Comprehensive Equity
data) in Fair Value Income Rollforward
----------------- -------------- --------------- ----------------
Balance as of
September 30,
2025 (1) $ 1,846,048
Net interest
income $ 43,484
Net periodic
interest from
interest rate
swaps 7,598
Operating
expenses (16,639)
Preferred stock
dividends (2,760)
Changes in fair
value:
MBS and other $ 91,740
TBAs 17,292
U.S. Treasury
futures 12,260
Options on
U.S.
Treasury
futures (7,344)
Interest rate
swaps 47,734
Interest rate
swaptions (3,759)
---------
Total net change
in fair value 157,923
--- ---------
Comprehensive
income to common
shareholders 189,606
Capital
transactions:
Net proceeds
from stock
issuance (2) 397,556
Common dividends
declared (82,566)
---------
Balance as of
December 31, 2025
(1) $ 2,350,644
------------------ -------------- --------------- =========
(1) Amounts represent total shareholders' equity less the aggregate
liquidation preference of the Company's preferred stock of $111,500.
(2) Net proceeds from common stock issuances during the fourth quarter of
2025 include approximately $393 million from ATM issuances and
approximately $4 million from amortization of share-based compensation,
net of grants.
($s in thousands Net Changes Components of Common
except per share in Fair Comprehensive Equity
data) Value Income Rollforward
----------------- ------------- --------------- ----------------
Balance as of
December 31, 2024
(1) $ 1,073,436
Net interest
income $ 114,356
Net periodic
interest from
interest rate
swaps 45,063
Operating
expenses (53,047)
Preferred stock
dividends (10,191)
Changes in
fair value:
MBS and other $ 416,278
TBAs 94,646
U.S. Treasury
futures (46,190)
Options on
U.S.
Treasury
futures (7,852)
Interest rate
swaps (194,715)
Interest rate
swaptions (4,045)
--------
Total net
change in fair
value 258,122
----------
Comprehensive
income to common
shareholders 354,303
Capital
transactions:
Net proceeds
from stock
issuance (2) 1,179,983
Common
dividends
declared (257,078)
---------
Balance as of
December 31, 2025
(1) $ 2,350,644
=========
(1) Amounts represent total shareholders' equity less the aggregate
liquidation preference of the Company's preferred stock of $111,500.
(2) Net proceeds from common stock issuances during the year ended December
31, 2025 include approximately $1.2 billion from ATM issuances and
approximately $11 million from amortization of share-based compensation,
net of grants.
Investment Portfolio and Financing
The following table provides detail on the Company's MBS investments, including TBA securities, as of the periods indicated:
December 31, 2025 September 30, 2025
------------------------------------- --------------------------------------
Amortized Unrealized Amortized Unrealized
Cost/Implied Gain Cost/Implied Gain
($ in thousands) Cost Basis (Loss) Fair Value Cost Basis (Loss) Fair Value
----------------- ------------ ---------- ----------- ------------- ---------- -----------
Fixed rate Agency RMBS:
2.0% coupon $ 613,475 $(116,378) $ 497,097 $ 626,357 $(121,099) $ 505,258
2.5% coupon 535,039 (90,135) 444,904 546,065 (94,283) 451,782
4.0% coupon 293,432 (11,543) 281,889 300,076 (14,048) 286,028
4.5% coupon (1) 1,853,757 27,547 1,881,304 1,749,387 14,881 1,764,268
5.0% coupon 3,913,622 83,915 3,997,537 3,402,253 61,931 3,464,184
5.5% coupon 6,361,758 104,011 6,465,769 5,153,380 67,022 5,220,402
6.0% coupon 1,419,727 13,133 1,432,860 505,328 5,944 511,272
TBA 4.0% 1,101,441 1,323 1,102,764 1,183,947 869 1,184,816
TBA 4.5% (2) 1,425,945 4,191 1,430,136 833,230 1,389 834,619
TBA 5.0% 175,287 383 175,670 252,163 (251) 251,912
TBA 5.5% 185,175 456 185,631 251,709 244 251,953
TBA 6.0% 226,218 704 226,922 -- -- --
----------- -------- ---------- ------------ -------- ----------
Total Agency RMBS $ 18,104,876 $ 17,607 $18,122,483 $ 14,803,895 $ (77,401) $14,726,494
=========== ======== ========== ============ ======== ==========
Agency CMBS $ 1,213,107 $ 5,236 $ 1,218,343 $ 929,273 $ 4,566 $ 933,839
CMBS IO 87,557 (272) 87,285 94,227 (1,115) 93,112
----------- -------- ---------- ------------ -------- ----------
Total $ 19,405,540 $ 22,571 $19,428,111 $ 15,827,395 $ (73,950) $15,753,445
=========== ======== ========== ============ ======== ==========
(1) Includes a par value of $9 million of 4.5% 15-year Agency RMBS at December 31, 2025 and
September 30, 2025.
(2) Includes notional amount of $690 million of 4.5% 15-year TBA securities at December 31, 2025
and September 30, 2025.
The following table provides detail on the Company's repurchase agreement borrowings outstanding as of the dates indicated:
December 31, 2025 September 30, 2025
--------------------------------- ----------------------------------
WAVG WAVG
Weighted Original Weighted Original
Remaining Term Average Term to Average Term to
to Maturity Balance Rate Maturity Balance Rate Maturity
------------------ ----------- ---------- -------- ----------- ---------- ---------
($s in thousands)
Less than 30 days $ 9,146,566 4.11% 75 $ 7,845,206 4.44% 86
30 to 90 days 4,757,665 4.07% 94 3,130,470 4.44% 117
91 to 180 days -- --% -- 777,846 4.42% 177
---------- ----- -------- ---------- ----- ---------
Total $13,904,231 4.10% 81 $11,753,522 4.44% 100
========== ===== ======== ========== ===== =========
The following table provides details on the performance of the Company's MBS, repurchase agreement financing, and interest rate swaps for the fourth quarter of 2025 compared to the prior quarter:
Three Months Ended
----------------------------------------------------------------------------
December 31, 2025 September 30, 2025
------------------------------------- -------------------------------------
Effective Effective
Interest Average Yield/ Interest Average Yield/
Income/ Balance Financing Income/ Balance Financing
($s in thousands) Expense (1)(2) Cost(3)(4) Expense (1)(2) Cost(3)(4)
---------- ----------- ------------ ---------- ----------- ------------
Agency RMBS $ 158,160 $12,712,611 4.98% $ 136,921 $11,137,193 4.92%
Agency CMBS 9,992 915,117 4.27% 5,380 488,441 4.32%
CMBS IO(5) 1,484 90,573 6.25% 1,740 97,693 7.02%
Other investments 7 769 3.22% 16 841 3.84%
-------- ---------- ------ --- -------- ---------- ------ ---
Subtotal 169,643 13,719,070 4.94% 144,057 11,724,168 4.91%
Cash equivalents 7,393 5,622
-------- --------
Total interest
income $ 177,036 $ 149,679
Repurchase
agreement
financing (133,552) 12,469,902 (4.19)% (119,068) 10,468,568 (4.45)%
-------- ------ -------- ------
Net interest
income/net
interest
spread $ 43,484 0.75% $ 30,611 0.46%
======== ====== === ======== ====== ===
Net periodic
interest from
interest rate
swaps 7,598 0.24% 14,265 0.54%
-------- ------ --- -------- ------ ---
Economic net
interest income
(6) $ 51,082 0.99% $ 44,876 1.00%
======== ====== === ======== ====== ===
*Table Note: Data may not foot due to rounding.
(1) Average balance for assets is calculated as a simple average of the
daily amortized cost and excludes securities pending settlement if
applicable.
(2) Average balance for liabilities is calculated as a simple average of the
daily borrowings outstanding during the period.
(3) Effective yield is calculated by dividing annualized interest income by
the average balance of asset type outstanding during the reporting
period. Unscheduled adjustments to premium/discount
amortization/accretion, such as for prepayment compensation, are not
annualized in this calculation.
(4) Financing cost is calculated by dividing annualized interest expense by
the total average balance of borrowings outstanding during the period
with an assumption of 360 days in a year.
(5) CMBS IO ("Interest only") includes Agency and non-Agency issued
securities.
(6) Represents a non-GAAP measure. See "Non-GAAP Financial Measures" below
for a reconciliation to the most comparable GAAP financial measure.
Hedging Portfolio
The following tables provide details on the Company's interest rate hedging portfolio as of the dates indicated:
December 31, 2025 September 30, 2025
---------------------- -----------------------
WAVG
Notional Fixed Notional WAVG
Amount Long Pay Amount Long Fixed Pay
Derivative Type (Short) Rate (Short) Rate
------------------ ------------ -------- ------------ ---------
($s in thousands)
5-year U.S.
Treasury futures $ (30,000) n/a $ (30,000) n/a
10-year U.S.
Treasury futures (1,475,000) n/a (1,190,000) n/a
30-year U.S.
Treasury futures (1,153,500) n/a (953,500) n/a
---------- ----------
$(2,658,500) $(2,173,500)
---------- ----------
3-5 year interest
rate swaps $ 2,450,000 3.42% $ 1,550,000 3.42%
5-7 year interest
rate swaps 4,070,000 3.66% 3,760,000 3.67%
7-10 year interest
rate swaps 3,090,000 3.87% 2,550,000 3.90%
10-15 year interest
rate swaps 75,000 3.77% -- --%
---------- ----------
$ 9,685,000 $ 7,860,000
========== ==========
December 31, 2025 September 30, 2025
-------------------- -----------------------
Average Average
Fixed Fixed
Notional Receive Notional Receive
($s in thousands) Amount Rate Amount Rate
-------- ---------- ---------- -----------
1-2 year interest
rate swaption $750,000 3.25% $ 750,000 3.25%
3-month options on
U.S. Treasury
futures 500,000 n/a 1,000,000 n/a
The following table provides detail on the Company's "gain (loss) on derivatives, net" recognized in the Company's consolidated statements of comprehensive income (loss) during the periods indicated:
Three Months Ended
-------------------------------------------
December 31, 2025 September 30, 2025
------------------- ----------------------
Unrealized gain (loss):
TBA securities $ 4,806 $ (28,541)
U.S. Treasury futures 50,038 41,174
Options on U.S. Treasury
futures (7,344) (508)
Interest rate swaps 47,734 (30,320)
Interest rate swaptions (3,759) (1,279)
-------------- --------------
91,475 (19,474)
Realized gain (loss) upon
settlement, maturity or
termination:
TBA securities 12,486 56,112
U.S. Treasury futures (37,778) (61,597)
Interest rate swaps -- --
-------------- --------------
(25,292) (5,485)
Net periodic interest:
Interest rate swaps 7,598 14,265
-------------- --------------
Gain (loss) on derivatives,
net $ 73,781 $ (10,694)
============== ==============
The Company typically designates certain of its interest rate derivatives as hedges for tax purposes. Gains and losses realized upon maturity or termination of derivatives designated as hedges for tax purposes are amortized into the Company's REIT taxable income over the original periods hedged by those derivatives. These hedge gains are not included in the Company's current or future earnings available for distribution ("EAD"), a non-GAAP measure, but will be part of the Company's future distribution requirements. The table below provides the projected amortization of the Company's net deferred tax hedge gains that may be recognized as taxable income over the periods indicated, given conditions known as of December 31, 2025; however, uncertainty inherent in the forward interest rate curve makes future realized gains and losses difficult to estimate, and as such, these projections are subject to change for any given period.
Projected Period of Recognition for Tax Hedge Gains,
Net December 31, 2025
------------------------------------------------------ -------------------
($ in thousands)
Fiscal year 2026 $ 95,972
Fiscal year 2027 91,382
Fiscal year 2028 85,347
Fiscal year 2029 and thereafter 285,531
--- --------------
$ 558,232
=== ==============
Non-GAAP Financial Measures
In evaluating the Company's financial and operating performance, management considers book value per common share, total economic return to common shareholders, and other operating results presented in accordance with GAAP as well as certain non-GAAP financial measures, which include earnings available for distribution ("EAD") to common shareholders (including per common share) and economic net interest income (and the related metric economic net interest spread). Management believes these non-GAAP financial measures may be useful to investors because they are viewed by management as a measure of the investment portfolio's return based on the effective yield of its investments, net of financing costs and, with respect to EAD, net of other normal recurring operating income/expenses.
Drop income/loss generated by TBA dollar roll positions, which is included in "gain (loss) on derivatives instruments, net" on the Company's consolidated statements of comprehensive income, is included in EAD because management views drop income/loss as the economic equivalent of net interest income on the underlying Agency security from trade date to settlement date. However, drop income/loss does not represent the total realized gain/loss from the Company's TBA securities.
Management also includes net periodic interest from its interest rate swaps, which is included in "gain (loss) on derivatives instruments, net", in each of these non-GAAP measures because interest rate swaps are used by the Company to economically hedge the impact of changing interest rates on its borrowing costs from repurchase agreements, and including net periodic interest from interest rate swaps is a helpful indicator of the Company's total financing cost in addition to GAAP interest expense.
Non-GAAP financial measures are not a substitute for GAAP earnings and may not be comparable to similarly titled measures of other REITs because they may not be calculated in the same manner. Furthermore, though EAD is one of several factors our management considers in determining the appropriate level of distributions to common shareholders, it should not be utilized in isolation, and it is not an accurate indication of the Company's REIT taxable income or its distribution and dividend requirements in accordance with the Internal Revenue Code.
Reconciliations of each non-GAAP measure to certain GAAP financial measures are provided below.
Three Months Ended
----------------------------------
($s in thousands except per share December 31, September 30,
data) 2025 2025
---------------- ----------------
Comprehensive income to common
shareholders (GAAP) $ 189,606 $ 162,527
Less:
Change in fair value of
investments, net (1) (91,740) (157,435)
Change in fair value of derivative
instruments, net (2) (63,467) 28,507
----------- -----------
EAD to common shareholders
(non-GAAP) $ 34,399 $ 33,599
=========== ===========
Weighted average common shares 156,041,438 135,952,339
EAD per common share (non-GAAP) $ 0.22 $ 0.25
Net interest income (GAAP) $ 43,484 $ 30,611
Net periodic interest from
interest rate swaps 7,598 14,265
----------- -----------
Economic net interest income 51,082 44,876
TBA drop income (3) 2,716 3,548
Operating expenses (16,639) (11,998)
Preferred stock dividends (2,760) (2,827)
----------- -----------
EAD to common shareholders
(non-GAAP) $ 34,399 $ 33,599
=========== ===========
Net interest spread (GAAP) 0.75% 0.46%
Net periodic interest as a
percentage of average repurchase
borrowings 0.24% 0.54%
----------- -----------
Economic net interest spread
(non-GAAP) 0.99% 1.00%
=========== ===========
(1) Amount includes realized and unrealized gains and losses from the
Company's MBS.
(2) Amount includes unrealized gains and losses from changes in fair value
of derivatives (including TBAs accounted for as derivative instruments)
and realized gains and losses on terminated derivatives and excludes TBA
drop income and net periodic interest from interest rate swaps.
(3) TBA drop income/loss is calculated by multiplying the notional amount of
the TBA dollar roll positions by the difference in price between two TBA
securities with the same terms but different settlement dates.
Forward Looking Statements
This release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. The words "believe, " "expect," "forecast," "anticipate," "estimate," "project," "plan," "may," "could," "will," "continue" and similar expressions identify forward-looking statements that are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Forward-looking statements in this release, including statements made in Ms. Popenoe's quote, may include, without limitation, statements regarding the Company's financial performance in future periods, future interest rates, future market credit spreads, management's views on expected characteristics of future investment and macroeconomic environments, central bank strategies, prepayment rates and investment risks, future investment strategies, future leverage levels and financing strategies, the use of specific financing and hedging instruments and the future impacts of these strategies, future actions by the Federal Reserve, and the expected performance of the Company's investments. The Company's actual results and timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements as a result of unforeseen external factors. These factors may include, but are not limited to, the Company's ability to find suitable investment opportunities; changes in domestic economic conditions; geopolitical conflicts and uncertainty and the related impacts on macroeconomic conditions as a result of such conflicts and uncertainty; tariffs that the U.S. imposes on trading partners or tariffs imposed on the U.S. from trading partners; global and domestic government policy changes and the ability or inability to react to rapidly changing global economic policies; changes in interest rates and credit spreads, including the repricing of interest-earning assets and interest-bearing liabilities; the Company's investment portfolio performance, particularly as it relates to cash flow, prepayment rates, and credit performance; the impact on markets and asset prices from changes in the Federal Reserve's policies regarding purchases of Agency RMBS, Agency CMBS, and U.S. Treasuries; actual or anticipated changes in Federal Reserve monetary policy or the monetary policy of other central banks; adverse reactions in U.S. financial markets related to actions of foreign central banks or the economic performance of foreign economies, including in particular China, Japan, the European Union, and the United Kingdom; uncertainty concerning the long-term fiscal health and stability of the United States; the cost and availability of financing, including the future availability of financing due to changes to regulation of, and capital requirements imposed upon, financial institutions; the cost and availability of new equity capital; changes in the Company's use of leverage; changes to the Company's investment strategy, operating policies, dividend policy, or asset allocations; the quality of performance of third-party servicer providers, including the Company's sole third-party service provider for our critical operations and trade functions; the loss or unavailability of the Company's third-party service provider's service and technology that supports critical functions of the Company's business related to the Company's trading and borrowing activities due to outages, interruptions, or other failures; the level of defaults by borrowers on loans underlying MBS; changes in the Company's industry; increased competition; changes in government policy or regulations affecting the Company's business; changes or volatility in the repurchase agreement financing markets and other credit markets; changes to the market for interest rate swaps and other derivative instruments, including changes to margin requirements on derivative instruments; uncertainty regarding continued government support of the U.S. financial system and U.S. housing and real estate markets, or to reform the U.S. housing finance system including the resolution of the conservatorship of Fannie Mae and Freddie Mac; the composition of the Board of Governors of the Federal Reserve; the political environment in the U.S.; the effect on economic conditions from any U.S. federal government shutdown or the risk of such a shutdown; systems failures or cybersecurity incidents; and exposure to current and future claims and litigation. For additional information on risk factors that could affect the Company's forward-looking statements, see the Company's Annual Report on Form 10-K for the year ended December 31, 2024, and other reports filed with and furnished to the Securities and Exchange Commission.
All forward-looking statements are qualified in their entirety by these and other cautionary statements that the Company makes from time to time in its filings with the Securities and Exchange Commission and other public communications. The Company cannot assure the reader that it will realize the results or developments the Company anticipates or, even if substantially realized, that they will result in the consequences or affect the Company or its operations in the way the Company expects. As a result of these risks and uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements included herein or that may be made elsewhere from time to time by, or on behalf of, the Company. Forward-looking statements speak only as of the date made. The Company undertakes no obligation to update or revise any forward-looking statements to reflect events or circumstances arising after the date on which they were made, except as otherwise required by law.
Company Description
Dynex Capital, Inc. (NYSE: DX) is a leading internally managed REIT with a long track record of delivering attractive dividends through the disciplined risk management of investments in high--quality mortgage assets backed by U.S. residential and commercial real estate. Additional information is available at www.dynexcapital.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260126370339/en/
CONTACT: Alison Griffin
(804) 217-5897
(END) Dow Jones Newswires
January 26, 2026 08:00 ET (13:00 GMT)