Terra Property Trust Posts Wider Q2 Loss
Terra Property Trust (NYSE:TPTA), a real estate investment trust focused on middle-market commercial real estate lending, posted its second-quarter 2025 earnings on Sept. 4, 2025. The headline result was a substantial GAAP net loss of $9.1 million, or $0.38 per share, as portfolio performance was hurt by a rise in non-performing loans. This GAAP net loss fell short of prior quarters, with steep declines in interest income.
The company’s monthly dividend of $0.10 per share was maintained, bringing ongoing questions around its sustainability as payouts exceeded GAAP earnings. Management’s update showed meaningful reductions in leverage, yet the quarter highlighted continued challenges in asset performance and transparency regarding troubled loans.
Terra Property Trust operates by providing loans to commercial real estate borrowers, focused on the middle market segment. Its loan portfolio includes first mortgages, mezzanine debt, and preferred equity, usually for deals ranging from $10 million to $50 million. The company’s goal is to deliver current income for investors while managing risk through asset and regional diversification.
Source Fool.com
