TPG RE Finance Trust, Inc. Q1 FY2026 earnings call

• Broader economic backdrop in the first quarter provided an encouraging environment for real estate investment activity, with real estate credit relatively stable while private credit and geopolitical tensions permeated the market. • Maintained stable risk ratings and 100% performing loan portfolio at quarter end with no negative credit migration, and office exposure reduced to less than 5%. • 67% of the balance sheet is 2023 and newer loan originated due to proactive risk management and strategic investment approach. • Closed $324 million of loans and had $535 million of executed term sheets in the first quarter of 2026, mostly in multifamily and industrial sectors. • Expanded lender relationships and optimized capital structure, ending Q1 2026 with $173 million of liquidity, 78% non - mark to market financing, and a debt to equity ratio of 3.1 times. • Repurchased over 1 million shares of common stock since the start of the year through April 27th at an average price of $8.07 per share.

For the first quarter of 2026, TRTX reported net income of $15.2 million. Distributable earnings for the quarter was $19.5 million, or $0.25 per common share, a 1.04 times coverage ratio of the first quarter common stock dividend of $0.24 per share. During the quarter, 2 loans with total commitments of $148.4 million were originated, and loan repayments of $123.6 million were received. At quarter end, the loan portfolio was 100% performing, with a weighted average risk rating unchanged at 3.0 and CISO reserve slightly decreased quarter over quarter. Net assets remained flat at $4.1 billion quarter over quarter and grew 26% or $868.0 million year over year. Office exposure is now less than 5% of the balance sheet. 67% of the balance sheet is comprised of 2023 and newer loan originated. $324 million of loans were closed in the first quarter of 2026, and there are $535 million of executed term sheets, mostly in multifamily and industrial sectors.

• Expect to finish 2026 with a substantial majority of the balance sheet comprised of 2023 and newer loan origination dates. • In the first quarter of 2026, $324 million of loans were closed and there are $535 million of executed term sheets, mostly in multifamily and industrial sectors. • Since the start of Q4 2025, 12 loans with total commitments of $1.25 billion were originated, more than 90% from repeat borrowers. • Plan to sell some REO assets in 2026.

• Concern over private credit and broader geopolitical tensions permeating the market could affect results. • Recent steepening of the yield curve has put modest pressure on new acquisition activity. • Risks related to the real estate market such as changes in real estate values and capital flows could impact performance.

Q: John Nicodemus with BTIG asked about how portfolio growth could trend throughout 2026 and progress on the REO portfolio.

A: Doug said the trend is growth with $535 million of executed term sheets and the stability of the balance sheet and liability structure positions the company well. Ryan said the plan is to sell some REO assets this year with majority of REO focused in multifamily.

Q: Chris Muller with Citizens Capital Markets asked about whether pushing into larger loan space and competition for multifamily and industrial assets.

A: The company said loan size will be a mix, with a history of averaging $85 - $90 million, and will pursue larger assets if compelling. On competition, multifamily and industrial have some competition but TPG has a sourcing edge, especially in industrial due to the integrated debt and equity platform. Also, the earnings contribution from REO assets is positive with a run rate between $0.02 and $0.03 per quarter.