Allowance for credit losses
Chicago Atlantic Real Estate Finance Allowance for credit losses increased by 71.5% to $8.68M in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 165.1%, from $3.27M to $8.68M. Over 3 years (FY 2022 to FY 2025), Allowance for credit losses shows an upward trend with a 8.7% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.
Analysis
How to read this metric
An increase suggests higher expected defaults or a more conservative risk assessment, while a decrease suggests improved borrower creditworthiness.
Detailed definition
A contra-asset account representing the estimated amount of uncollectible loans and receivables within the company's len...
Peer comparison
Standard for financial institutions; peers with higher-risk loan portfolios will typically maintain higher allowance ratios.
bank_allowance_for_credit_lossesHistorical Data
| Q4 '22 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $3.94M | $5.11M | $4.97M | $5.36M | $5.08M | $4.09M | $4.35M | $3.27M | $4.42M | $4.99M | $5.06M | $8.68M |
| QoQ Change | — | +29.7% | -2.7% | +7.7% | -5.1% | -19.5% | +6.3% | -24.7% | +35.0% | +12.9% | +1.4% | +71.5% |
| YoY Change | — | — | +26.2% | — | — | -20.0% | -12.6% | -38.9% | -13.0% | +22.0% | +16.5% | +165.1% |
Geographic Breakdown
| Segment | Q3 '23 |
|---|---|
| Subtotal | $5.11M |
| Total | $5.11M |
Subtotal was previously reported and has since been discontinued or reclassified. Only currently active segments are shown in the chart.
Allowance for credit losses at Other Companies
Frequently Asked Questions
- What is Chicago Atlantic Real Estate Finance's allowance for credit losses?
- Chicago Atlantic Real Estate Finance (REFI) reported allowance for credit losses of $8.68M in Q1 2026.
- How has Chicago Atlantic Real Estate Finance's allowance for credit losses changed year-over-year?
- Chicago Atlantic Real Estate Finance's allowance for credit losses increased by 165.1% year-over-year, from $3.27M to $8.68M.
- What is the long-term trend for Chicago Atlantic Real Estate Finance's allowance for credit losses?
- Over 3 years (2022 to 2025), Chicago Atlantic Real Estate Finance's allowance for credit losses has grown at a 8.7% compound annual growth rate (CAGR), from $3.94M to $5.06M.
- What does allowance for credit losses mean?
- The reserve set aside to cover potential losses from loans that may not be repaid.