Like a specialized bond fund, but for mortgage loans instead of corporate or government bonds.

Imagine a landlord, but instead of owning apartment buildings, they 'own' the income streams from mortgage loans.

• First Lien Non-Qualified Mortgage Loans: The company focuses on acquiring and investing in these specialized mortgage loans.
• Other Mortgage-Related Assets: The company also acquires and invests in a range of assets tied to the United States mortgage market.

Angel Oak Mortgage REIT (AOMR) operates as a mortgage real estate investment trust (mREIT). Its business model involves acquiring and investing in first lien non-qualified mortgage loans and other mortgage-related assets.

As an mREIT, AOMR does not have "customers" in the traditional sense of entities or individuals purchasing goods or services from it. Instead, the company generates its revenue primarily from the net interest income earned on its portfolio of mortgage assets. The ultimate source of these interest payments are individual borrowers (homeowners) whose mortgage loans AOMR holds or invests in. However, AOMR typically acquires these loans from mortgage originators or through securitization vehicles, rather than directly originating them to individual consumers. Therefore, AOMR does not sell products or services to other companies or directly to individual consumers.

Angel Oak Capital Advisors, LLC

Sreeni Prabhu, Chief Executive Officer and President Mr. Prabhu has served as the Chief Executive Officer and President of Angel Oak Mortgage REIT since September 2022. He is also a co-founder, Managing Partner, and Group Chief Investment Officer at Angel Oak Capital Advisors, LLC, which externally manages Angel Oak Mortgage REIT. In this role, he is responsible for the overall investment strategy of Angel Oak. Before co-founding Angel Oak Capital, Mr. Prabhu was the Chief Investment Officer of the investment portfolio at Washington Mutual Bank from 2005 to 2008, where he managed a $25 billion portfolio. Prior to that, from 2001 to 2005, he was the Head Portfolio Manager for the commercial mortgage-backed securities portfolio at SunTrust Bank, where he was also responsible for investment strategies. The broader Angel Oak Companies, which includes Angel Oak Capital Advisors, had a majority stake acquired by Brookfield in October 2025.

Brandon Filson, Chief Financial Officer and Treasurer Mr. Filson has served as the Chief Financial Officer of Angel Oak Mortgage REIT since June 2018 and as Treasurer since August 2019. He oversees the firm's finance and accounting activities. Mr. Filson brings over 15 years of experience in accounting and financial roles. Before joining Angel Oak, he was the Vice President and Real Estate Controller of iStar Inc. (NYSE: STAR) and Safehold Inc. (NYSE: SAFE), both publicly traded REITs, from April 2013 to April 2018. He also worked in financial services assurance practices at Grant Thornton LLP and KPMG LLP. Mr. Filson is a Certified Public Accountant.

Michael Fierman, Chairman of the Board Mr. Fierman is the Chairman of the Board of Angel Oak Mortgage REIT. He is also a co-founder and Co-CEO of the broader Angel Oak platform, Angel Oak Capital Advisors. He has worked with Sreeni Prabhu for over 14 years. A majority stake in Angel Oak Companies was acquired by Brookfield in October 2025.

KC Kelleher, Head of Corporate Finance & Investor Relations Mr. Kelleher is the Head of Corporate Finance and Investor Relations at Angel Oak Mortgage REIT, Inc. His responsibilities include long-term financial planning, forecasting, and serving as a key communication link between the company and its institutional shareholders.

Namit Sinha, Managing Director and Chief Investment Officer of Private Strategies Mr. Sinha is a Managing Director and Chief Investment Officer of the private strategies at Angel Oak Capital. In this role, he focuses on managing non-qualified mortgage and commercial assets for the firm.

The key risks for Angel Oak Mortgage REIT (AOMR) are primarily tied to its business model as a mortgage REIT specializing in non-qualified mortgage (non-QM) loans and its use of leverage.

1. Interest Rate and Prepayment Risks: Angel Oak Mortgage REIT is highly sensitive to fluctuations in interest rates. Rising interest rates can increase the company's borrowing costs, which in turn reduces its net interest margin—the difference between the interest earned on its assets and the interest paid on its liabilities. Simultaneously, higher rates can diminish the fair value of its existing mortgage assets. Conversely, a decline in interest rates can lead to an increase in prepayment rates on its mortgage loans, as borrowers may choose to refinance their loans. This prepayment risk can result in the company losing higher-yielding assets and having to reinvest at potentially lower rates.

2. Dependence on Securitization Markets and Concentration in Non-QM Loans: AOMR's business strategy heavily relies on its ability to effectively securitize its portfolio of non-QM loans. Any disruptions in the securitization markets, or an inability to execute these securitizations profitably, could materially and adversely affect the company's financial performance. Furthermore, the significant concentration of its investments in non-QM loans exposes AOMR to specific legal, administrative, and regulatory risks, as well as heightened volatility within the non-agency mortgage market. Non-QM loans generally carry a higher credit risk compared to agency-backed mortgages due to their less stringent underwriting standards.

3. Leverage and Debt Risk: Angel Oak Mortgage REIT utilizes substantial leverage, primarily through short-term financing lines and long-term securitization funding, to finance its mortgage loan portfolio. While the use of leverage can amplify returns for shareholders, it also significantly magnifies the company's risk exposure and potential losses. AOMR's organizational documents or guidelines may not impose strict limitations on the amount of debt it can incur, providing management with flexibility but also increasing the overall risk profile. This inherent reliance on borrowed funds makes the company vulnerable to changes in financing costs and market liquidity.

The addressable markets for Angel Oak Mortgage REIT (AOMR), which focuses on acquiring and investing in first lien non-qualified mortgage loans and other mortgage-related assets, are primarily within the United States.

For their main product, non-qualified mortgage (Non-QM) loans, the market in the U.S. saw an issuance of expanded-credit mortgage-backed securities, largely comprising Non-QM and other non-jumbo, non-agency products, totaling approximately $76.54 billion in 2025. This market is projected to grow, with estimates suggesting that upwards of $130.0 billion of expanded-credit mortgages could be originated in the U.S. in 2026. The Non-QM segment also accounted for more than 9% of total mortgage lock volume in the U.S. in December 2025.

Considering their broader investment in "other mortgage-related assets" within the U.S. mortgage market, the total single-family mortgage origination volume in the U.S. is a relevant addressable market. This volume was expected to reach $2.0 trillion in 2025 and is forecast to increase to $2.2 trillion in 2026. In 2023, the U.S. home mortgage market size was valued at around $180.91 billion, with projections to grow to approximately $501.67 billion by 2032. As of December 2025, Americans collectively owed $13.07 trillion in mortgage debt.

• Strategic Acquisition of Non-Qualified Mortgage (Non-QM) Loans: Angel Oak Mortgage REIT consistently emphasizes the acquisition of newly-originated, current market coupon non-QM residential mortgage loans to increase its interest income. The company's growth has been fueled by "accretive loan purchases". In the second quarter of 2024, AOMR purchased $114.4 million of loans with a weighted average coupon of approximately 7.9%. Furthermore, for the full year 2025, loan purchases totaled $861.8 million with a weighted average coupon of 7.79%. Management expects to continue deploying capital into "high-quality income-accretive opportunities, supporting both portfolio growth and underlying earnings quality". The company also finished Q4 2025 with approximately $1 billion in undrawn loan financing capacity, enabling further accretive target asset purchases.
• Disciplined Securitization Strategy: AOMR's active and methodical securitization strategy is crucial for its revenue growth. Securitizations help reduce whole loan warehouse debt, release cash, and allow for the rotation of capital into higher-yielding assets. The company executed four securitizations in 2025, totaling $704 million in unpaid principal balance. Management has stated its intention to "continue leveraging this strength through our disciplined methodical securitization strategy". This process contributes to the company's ability to generate incremental earnings.
• Expansion of Net Interest Margin (NIM): The company has demonstrated a focus on expanding its net interest margin, which directly contributes to revenue growth. In the second quarter of 2024, net interest margin expanded by over 250 basis points from the first quarter. The company's interest income for the full year 2025 rose by 30% to $143.7 million, and net interest income increased by 11% to $41.1 million compared to 2024, marking a "second consecutive year of expanding net interest income". This growth is supported by accretive loan purchases and efficient capital allocation.
• Optimizing Portfolio Composition and Credit Performance: Maintaining and improving the quality and performance of its loan portfolio is vital for sustainable revenue growth by minimizing losses and ensuring consistent interest generation. Angel Oak Mortgage REIT has seen a decrease in the weighted average percentage of loans 90-plus days delinquent, which was 2.18% at the end of Q4 2025, a decrease of 25 basis points from year-end 2024. The company believes the "continued outperformance of our collateral relative to the broader market further differentiates our platform," contributing to a strengthened earnings profile.

Share Repurchases

No specific dollar amount of share repurchases made or authorized for future repurchases over the last 3-5 years is readily available in the provided information.

Share Issuance

• Angel Oak Mortgage REIT completed its Initial Public Offering (IPO) in June 2021.
• The number of shares outstanding increased from 23,500,175 as of December 31, 2024, to 24,914,035 as of September 30, 2025, indicating an issuance of 1,413,860 shares during this period.

Inbound Investments

• Angel Oak Mortgage REIT has approximately 100 institutional owners and shareholders.
• Largest institutional shareholders include Morgan Stanley, Davidson Kempner Capital Management Lp, Victory Capital Management Inc, Vanguard Group Inc, BlackRock, Inc., and State Street Corp, who hold significant percentages of the company's shares.

Outbound Investments

• In 2025, Angel Oak Mortgage REIT purchased $861.8 million of newly-originated, current market coupon non-qualified residential mortgage (non-QM) loans, second lien mortgage loans, and home equity lines of credit (HELOCs).
• The company also participated in four securitization transactions in 2025, contributing a total of $704 million of unpaid principal balance of residential mortgage loans.
• As of September 30, 2025, the company had total purchase commitments of $186.8 million related to residential mortgage loans from both Angel Oak Mortgage Lending and third parties, an increase from $152.6 million as of December 31, 2024.

Capital Expenditures

• As a real estate investment trust focused on acquiring and investing in mortgage-related assets, Angel Oak Mortgage REIT's primary investments are in financial assets rather than traditional property, plant, and equipment.
• Research and development expenses for the company have been reported as $0 for the period from 2021 to 2025.