Five Oaks Investment Profit Falls, Yet Meets Street

(RTTNews) - Five Oaks Investment Corp (OAKS) Friday reported second-quarter net income to stockholders of $3.8 million or $0.34 per share, compared with $8 million or $1.08 per share a year ago.

Analysts polled by Thomson Reuters projected earnings of $0.34 per share for the quarter. Analysts' estimates typically exclude special items.

New York-based Five Oaks Investment focuses on investing, and managing residential mortgage-backed securities and loans, among others.

Net interest income for the quarter fell to $3.9 million from $6.4 million last year and other income slid to $2.8 million from $3.1 million.

Analysts estimated revenue of $6.1 million for the quarter.

"The relatively sanguine interest rate environment during the first quarter of 2014 continued in the second quarter. Additionally, credit spreads tightened, which was positive for Non-Agency RMBS prices, an important contributor to another quarter's positive economic return to common stockholders," said CEO David Carroll.

Expenses for the quarter climbed to $2.3 million from $1.5 million a year ago.

The company declared a dividend of $0.125 per share of common stock for the months of July, August and September 2014.