Rithm Capital Corp. (RITM) — payout ratio, three ways
Fiscal year ending 2025-12-31 · sector Real estate · payout ratios computed from SEC filings, not taken from a data vendor.
| Basis | Payout | Why it differs |
|---|---|---|
| GAAP earnings | 96.2% | What most screeners publish, and badly wrong here — depressed by depreciation on buildings that are not losing value. |
| Operating cash flow | negative | Operations consumed $1,292m of cash rather than producing any, so no ratio exists. |
| Funds from operations | 67.9% | The basis the real estate industry uses. Adds back depreciation on buildings that are not losing value. |
No free cash flow figure is shown. This company does not report the inputs for it in its XBRL filings — capital expenditure, in particular, is often folded into a single investing total rather than tagged on its own. The figure is absent from the filings, not zero, and inventing one from a balance-sheet movement would be a guess dressed as a measurement.
Spread between highest and lowest: 28 percentage points. Same filings, different denominators.
Coverage rating 43 / 100 — Tight. ? Peer standing 35/50Direction 4/30Stability 4/20
Funds from operations payout, last 6 years
| Fiscal year | Payout |
|---|---|
| 2025-12-31 | 67.9% |
| 2024-12-31 | 47.3% |
| 2023-12-31 | 68.8% |
| 2022-12-31 | 44.7% |
| 2021-12-31 | 51.4% |
| 2019-12-31 | 128.1% |
Coverage worsened sharply this year, 47.3% to 67.9%, after no clear trend before it. One year is not a trend, but it is worth knowing which direction the last one moved.
Among the 47 real estate companies here, 70% pay out a larger share on this basis.
The arithmetic
- GAAP earnings — dividends declared per share $1.00 ÷ diluted EPS $1.04
- Operating cash flow — dividends paid $542.6m ÷ operating cash flow $-1,292.1m
- Funds from operations — dividends declared per share $1.00 ÷ derived FFO $1.47 per share
- FFO built NAREIT-style: net income, plus real-estate depreciation, less gains on sale, over weighted-average diluted shares
- This is an approximation. Every REIT defines its own adjusted variant in the filing text, so it will not match the earnings release exactly
Where the figures came from
- 10-K filed 2026-02-19 · accession
0001556593-26-000012
Every one is public at sec.gov and free to check. That is the point — you should not have to take my word for any of it.
Caveats on this company
- FFO derived (NAREIT approximation)
Computed by an open pipeline reading SEC XBRL directly. If any number here looks wrong to you, tell me — that is more useful to me than agreement.