New York – November 06, 2026 -- Ares Commercial Real Estate Corporation (NYSE:ACRE) reported third-quarter 2026 GAAP net income of $10.0 million, or $0.18 per diluted common share, and fully repaid and terminated a $90 million secured term loan after the quarter closed.
Distributable Earnings, a non-GAAP measure, reached $6.7 million, or $0.12 per diluted common share. The company said a gain on the sale of its REO office property contributed to the quarter's results.
Ares Commercial Real Estate cuts office and REO exposure
Reducing office and real estate owned (REO) investments remains a strategic priority, CEO Bryan Donohoe said. He added that the diversified loan portfolio continues to show overall stability, backed by the Ares Real Estate Debt platform.
CFO Jeff Gonzales said management is focused on its risk rated 4 and 5 loans. Resolving them would "advance the repositioning of our portfolio and enhance our future earnings."
Board declares $0.15 fourth-quarter dividend, above third-quarter Distributable Earnings per share
The board declared a regular cash dividend of $0.15 per common share for the fourth quarter of 2026. It is payable January 15, 2027, to stockholders of record as of December 31, 2026. The payout exceeds third-quarter Distributable Earnings of $0.12 per share.
The third-quarter dividend, also $0.15 per share, was declared August 4, 2026, and paid October 15, 2026, to holders of record as of September 30, 2026.
Company ties payout to execution of strategic priorities
Gonzales described the dividend as a reflection of confidence in the execution of the company's strategic priorities and its future earnings potential. The company is externally managed by a subsidiary of Ares Management Corporation.