Allowance for credit losses
KKR Real Estate Finance Trust Allowance for credit losses increased by 28.1% to $258.68M in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 81.7%, from $142.34M to $258.68M. Over 5 years (FY 2020 to FY 2025), Allowance for credit losses shows an upward trend with a 27.6% 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
| 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 | $58.01M | $58.81M | $22.24M | $20.68M | $31.53M | $110.80M | $106.97M | $167.36M | $223.77M | $218.99M | $210.47M | $243.63M | $110.58M | $148.01M | $117.10M | $142.34M | $171.59M | $157.34M | $201.92M | $258.68M |
| QoQ Change | — | +1.4% | -62.2% | -7.0% | +52.5% | +251.4% | -3.5% | +56.4% | +33.7% | -2.1% | -3.9% | +15.8% | -54.6% | +33.8% | -20.9% | +21.5% | +20.6% | -8.3% | +28.3% | +28.1% |
| YoY Change | — | — | — | — | -45.6% | +88.4% | +380.9% | +709.4% | +609.7% | +97.6% | +96.7% | +45.6% | -50.6% | -32.4% | -44.4% | -41.6% | +55.2% | +6.3% | +72.4% | +81.7% |
Geographic Breakdown
| Segment | Q4 '22 | Q2 '23 | Q3 '23 |
|---|---|---|---|
| Mountain View, CA | — | $49.80M | $49.10M |
| Philadelphia | $23.80M | $22.00M | $20.90M |
| Total | $106.97M | $223.77M | $218.99M |
Mountain View, CA, Philadelphia were previously reported and have 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 KKR Real Estate Finance Trust's allowance for credit losses?
- KKR Real Estate Finance Trust (KREF) reported allowance for credit losses of $258.68M in Q1 2026.
- How has KKR Real Estate Finance Trust's allowance for credit losses changed year-over-year?
- KKR Real Estate Finance Trust's allowance for credit losses increased by 81.7% year-over-year, from $142.34M to $258.68M.
- What is the long-term trend for KKR Real Estate Finance Trust's allowance for credit losses?
- Over 5 years (2020 to 2025), KKR Real Estate Finance Trust's allowance for credit losses has grown at a 27.6% compound annual growth rate (CAGR), from $59.80M to $201.92M.
- What does allowance for credit losses mean?
- The reserve set aside to cover potential losses from loans that may not be repaid.