Key Highlights

  • Orchid Island's $0.10 monthly Dividend trades ex-date September 30, 2026, payable October 29, unchanged from recent months.
  • Second-quarter GAAP Net Income was $89.2 million, or $0.44 per common share, with net interest income of $60.0 million, or $0.30 per share.
  • Book value per common share was $7.22 at June 30, up $0.14 per share for the quarter, contributing to a total Shareholder return of 6.21%.
  • The Agency RMBS portfolio had a Fair Value of $11.15 billion as of August 31, 2026, financed through $10.70 billion of repurchase borrowings at a 3.77% weighted average rate.

Overview

Orchid Island Capital, Inc.'s (NYSE:ORC) $0.10 monthly dividend, equal to $1.20 annualized, yields approximately 21.02%, a level reflecting the stock's low share price relative to the fixed monthly payout. Second-quarter GAAP net income of $0.44 per common share combined a $0.30 per share net interest income contribution with $0.18 per share of net realized and unrealized gains, while Book Value increased $0.14 per share for the quarter.

Dividend Program and Shareholder Returns

Orchid Island's board declared a monthly Cash Dividend of $0.10 per share for September 2026 on September 14, 2026, payable October 29 to holders of record September 30, with an ex-dividend date of September 30. The company intends to make regular monthly cash distributions and has not set a minimum distribution level, with future dividends not assured. The company plans to announce its next common Stock Dividend on October 14, 2026.

About the Company

Orchid Island Capital is a specialty finance REIT that invests primarily in residential mortgage-backed securities, including Agency RMBS, with results driven by interest income, financing costs, derivative positions and interest-rate movements on a portfolio that is marked to market and financed with secured borrowings.

Financial Performance Behind the Payout

Orchid Island reported second-quarter GAAP net income of $89.2 million, or $0.44 per common share. Net interest income was $60.0 million, or $0.30 per share, total expenses were $6.8 million, and net realized and unrealized gains on RMBS and derivative instruments were $36.0 million, or $0.18 per share. Book value per common share was $7.22 at June 30. Total second-quarter shareholder return was 6.21%, consisting of the $0.30 dividend plus a $0.14 increase in book value, divided by beginning book value.

Portfolio Scale and Financing Structure Provide Context Beyond the Quarterly Dividend

As of August 31, 2026, the Agency RMBS portfolio had a fair value of $11.15 billion, with Fannie Mae and Freddie Mac exposures diversified at 52.1% and 47.9% of Mortgage assets, respectively, and whole pool Assets representing 96.0% of mortgage assets under the Investment Company Act test. Repurchase borrowings totaled $10.70 billion at a 3.77% weighted average rate and 14-day weighted average maturity, diversified across multiple counterparties, a financing structure distinct from the quarter's reported net interest income. Rate-shock modeling as of the August update showed an estimated $40.3 million portfolio impact for a 50-basis-point move in rates, a sensitivity measure relevant to assessing the durability of future book-value and income trends.

Outlook

Orchid Island's monthly dividend has remained $0.10 per share, with the company stating it has not set a minimum distribution level and future dividends are not assured. Net interest income trends relative to the $0.30 per share reported this quarter, book value movement relative to the $7.22 level at June 30, and portfolio sensitivity relative to the $40.3 million rate-shock estimate are the relevant considerations.