Arbor Realty Trust, Inc. (NYSE:ABR) Q3 2023 Earnings Call Transcript

Ivan Kaufman: It’s not something we forecast. I will talk to — Paul, do you have any comment on that?

Paul Elenio: I don’t. I mean, as we’ve said in our commentary, Jade, is new issues arise every day. We knock them down and when we get new ones. I can’t tell you where that number goes. I think we’ve done a great job of managing it to date and putting our efforts where it needs to be, but it’s — I don’t have a crystal ball and what happens to the market and where that number goes, but first 2 quarters have been okay.

Jade Rahmani: And on the cash flow number, the cash flow performance number, you talked in response to Rick’s question about the other liabilities and the due from related party line item. So that line resolved October 1, average cash flow was very strong in the fourth. Is that how we look at that?

Paul Elenio: Yes, that’s right. It’s just timing. We had a bunch of loans pay off late by the end of the month, 9/30, 9/29. Those loans, the cash is not remitted to us until October 1. It takes a day or 2 to get it out of our service shop once they process it. So yes, so that’s why that number is down so much in the cash flow. But again, it’s timing. That was it was late.

Jade Rahmani: That would imply about $140 million of cash from operations in the quarter. And the dividend costs, $90 million — sorry, about $95 million, including the preferred. So cash flow is continuing to be in excess of the dividend.

Paul Elenio: That’s correct.

Operator: And we have reached out allotted time for our Q&A session today. I will now turn the call back over to Ivan Kaufman for any closing remarks.

Paul Elenio: Yes, we’re done with our questions. Well, we certainly appreciate everyone’s support. We think our results have been outstanding and above our peers, and we continue to grind forward, and we continue to have confidence in our ability to manage through the downturn. Hope everybody has a great weekend.

Operator: Thank you. This does conclude today’s teleconference. Thank you for your participation. You may now disconnect.