Boston, MA 05/08/2014 (wallstreetpr) – If you are considering investment in Annaly Capital Management, Inc. (NYSE:NLY), know that the company just reported 1Q loss and wants you to focus on the future and not the past. The company is already doing that itself.
The company showed a bigger departure from what has been known of it in the recent past to swing to a loss in the latest quarter, citing various impacts including unrealized losses. However, the management downplayed the poor results and instead asked shareholders to judge a company on what will happen in the reaming part of fiscal 2014.
In promising a positive future, Annaly Capital Management, Inc. (NYSE:NLY) cited the favorable investment landscape thanks to the market reaction to the ongoing Federal Reserve bond purchases reduction. According to CEO Wellington Denaham, he is optimistic about the future and so should you, the investor.
In any case, Annaly claims a flexibility in capital deployment and the ability to sustain returns in the upcoming quarters.
What was left unmentioned and perhaps preserved for earnings call today was the fact that the company is also improving its costs and expenses curb to give support to the bottom-line. Moreover, many real estate players that have already reported their 1Q have spoken positively about the future. And that lends credence to the view that Annaly Capital Management, Inc. (NYSE:NLY) sought to sell to its shareholders at the lackluster 1Q performance.
1Q at a glance
Annaly Capital Management, Inc. (NYSE:NLY) reported 1Q2014 results that missed Wall Street expectations and the results in the previous and a year earlier quarters. Net loss in the quarter was $203.4 million, translating to 23 cents per share. The company realized 4Q2013 net income of $1 billion or $1.07 per share. The latest quarter also failed to match a year earlier net income of $870.3 million or 90 cents per share.
On the average, analysts were looking for six cents per share in the latest quarter.
Hoping for the positive future
In reporting a tepid 1Q2014, Annaly Capital Management, Inc. (NYSE:NLY) mentioned some challenges that impacted the quarter that it does not expect to reoccur in the quarters ahead.
