Net Interest Income
Redwood Trust Net Interest Income increased by 33.9% to $34.72M in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 24.2%, from $27.94M to $34.72M. Over 4 years (FY 2021 to FY 2025), Net Interest Income shows a downward trend with a -13.6% CAGR. This is a positive signal — higher values indicate stronger performance for this metric.
Analysis
How to read this metric
An increase indicates improved profitability from core lending activities, while a decrease suggests margin compression or inefficient asset-liability management.
Detailed definition
This metric is the difference between total interest income earned and total interest expense incurred. It represents th...
Peer comparison
The primary performance metric for banks and mortgage REITs to evaluate core business profitability.
net_interest_incomeHistorical Data
| Q2 '21 | Q3 '21 | Q4 '21 | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $30.63M | $41.97M | $49.83M | $53.10M | $40.49M | $34.94M | $26.93M | $26.44M | $26.10M | $20.35M | $20.06M | $24.21M | $25.29M | $25.50M | $27.61M | $27.94M | $13.83M | $14.99M | $25.93M | $34.72M |
| QoQ Change | — | +37.0% | +18.7% | +6.6% | -23.8% | -13.7% | -22.9% | -1.8% | -1.3% | -22.0% | -1.4% | +20.7% | +4.5% | +0.8% | +8.3% | +1.2% | -50.5% | +8.4% | +72.9% | +33.9% |
| YoY Change | — | — | — | — | +32.2% | -16.8% | -46.0% | -50.2% | -35.5% | -41.7% | -25.5% | -8.4% | -3.1% | +25.3% | +37.6% | +15.4% | -45.3% | -41.2% | -6.1% | +24.2% |
Business Segments — Sequoia
| Segment | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 |
|---|---|---|---|---|
| Sequoia | $15.52M | $21.23M | $27.31M | $24.97M |
| Redwood Investments | $22.10M | $17.58M | $20.09M | $12.44M |
| Legacy Investments | -$9.45M | -$9.05M | -$8.36M | -$8.71M |
| Aspire | — | — | — | $3.64M |
| CoreVest | $1.83M | $1.50M | $3.06M | $2.11M |
| Total | $13.83M | $14.99M | $25.93M | $34.72M |
Business Segments — Investment Portfolio
| Segment | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 |
|---|---|---|---|---|---|---|---|---|
| Investment Portfolio | $41.10M | $40.21M | $36.83M | $31.06M | $30.47M | $29.50M | $29.93M | $32.74M |
| Residential Consumer Mortgage Banking | $0.00 | -$1.36M | $734.00K | $1.24M | — | $6.05M | $11.18M | $9.55M |
| Residential Investor Mortgage Banking | — | — | — | — | — | $894.00K | $1.50M | $1.77M |
| Business Purpose Mortgage Banking | $921.00K | $456.00K | $724.00K | $730.00K | — | — | — | — |
| Total | $26.93M | $26.44M | $26.10M | $20.35M | $20.06M | $24.21M | $25.29M | $25.50M |
Business Purpose Mortgage Banking, Investment Portfolio, Residential Consumer Mortgage Banking, Residential Investor Mortgage Banking were previously reported and have since been discontinued or reclassified. Only currently active segments are shown in the chart.
Business Segments — Redwood Investments
| Segment | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '24 | Q1 '25 |
|---|---|---|---|---|---|
| Redwood Investments | $45.61M | $45.61M | $45.61M | $40.47M | $23.45M |
| Sequoia Mortgage Banking | $3.12M | $3.12M | $3.12M | $17.03M | $18.34M |
| CoreVest Mortgage Banking | $2.66M | $2.66M | $2.66M | $1.14M | $2.01M |
| Total | $53.10M | $40.49M | $34.94M | $27.61M | $27.94M |
CoreVest Mortgage Banking, Redwood Investments, Sequoia Mortgage Banking were previously reported and have since been discontinued or reclassified. Only currently active segments are shown in the chart.
Net Interest Income at Other Companies
Frequently Asked Questions
- What is Redwood Trust's net interest income?
- Redwood Trust (RWT) reported net interest income of $34.72M in Q1 2026.
- How has Redwood Trust's net interest income changed year-over-year?
- Redwood Trust's net interest income increased by 24.2% year-over-year, from $27.94M to $34.72M.
- What is the long-term trend for Redwood Trust's net interest income?
- Over 4 years (2021 to 2025), Redwood Trust's net interest income has grown at a -13.6% compound annual growth rate (CAGR), from $148.18M to $82.70M.
- What does net interest income mean?
- The profit earned from interest-bearing assets after paying interest on debt.