Ladder Capital Corp (0JSZ.L) Q2 2025 Earnings Report

Ladder Capital Corp reported a solid Q2 2025 across core profitability metrics, with revenue of $97.8 million and a gross margin of approximately 80.4% (gross profit $78.6 million). Operating income reached $62.3 million, while EBITDA stood at $70.36 million and net income was $17.33 million (EPS $0.14). A key takeaway is the strong operating profitability on a relative basis, supported by a high gross margin and disciplined operating cost structure. However, the quarter also reflects the ongoing intensity of the company’s leverage and interest burden, with interest expense of $41.21 million and an EBITDAR of 0.72x, underscoring earnings sensitivity to funding costs in a real estate finance environment. Net income declined year-over-year by 46.4% but increased QoQ by 47.2%, suggesting cyclicality and potential one-off or portfolio management effects impacting quarterly results. The cash flow profile shows operating cash flow of $44.0 million and free cash flow of $44.0 million, but with a substantial negative external investing cash outflow (-$405.6 million) and a net cash decrease of $385.0 million for the period, driven by sizable non-operating investing activities and financing activities.