Sachem Capital Corp (SACH) Posts Mixed Q3 2025 Results with Revenue Beat and EPS Miss

Sachem Capital Corp (NYSEARCA:SACH), a Connecticut-based real estate investment trust specializing in short-term, first mortgage loans, reported its third quarter 2025 financial results on November 5, 2025. The company's performance for the period presented a mixed picture, with revenue surpassing analyst expectations while earnings per share fell short of estimates, a dynamic that appears to be influencing early market sentiment.

Third Quarter Earnings Versus Estimates

The core financial metrics from the quarter reveal a clear divergence between top-line revenue performance and bottom-line profitability.

• Reported Revenue: $12.0 million

• Estimated Revenue: $10.99 million

• Variance: Revenue exceeded estimates by approximately 9.2%

• Reported Non-GAAP EPS: $0.00

• Estimated Non-GAAP EPS: $0.0102

• Variance: EPS missed the analyst consensus estimate

The significant revenue beat suggests the company's core lending business remains robust, generating more income than anticipated. However, the failure to translate this strong revenue into positive earnings per share, landing at zero against an expectation of a small profit, is a primary point of concern for investors. This indicates that expenses, potentially related to loan servicing, operational costs, or interest expenses, were higher than modeled, eroding the revenue advantage.

Market Reaction and Price Action

The immediate market reaction to this mixed earnings report has been negative. In pre-market trading following the release, Sachem Capital's stock was down approximately 1.87%. This initial price action suggests that investors are weighing the earnings miss more heavily than the revenue beat. The negative sentiment in the short term indicates that the market was looking for profitability, and the zero EPS figure has overshadowed the positive revenue news. This follows a period of modest decline for the stock, which was down about 2.75% over the previous two weeks.

Press Release Summary and Forward Outlook

The company's press release announced its third quarter 2025 results and highlighted its business model as a real estate lender that originates, underwrites, and manages a portfolio of first mortgage loans, often referred to as "hard money" loans. Sachem Capital also confirmed it will host a webcast and conference call to discuss these results with investors and analysts. The provided press release did not include a specific financial outlook or guidance from the company's management for the upcoming quarters or the full year. The absence of forward-looking company commentary means the market is left to rely solely on analyst projections for future performance.

Analyst estimates for the remainder of the year provide a benchmark for investor expectations. For the fourth quarter of 2025, analysts are forecasting revenue of approximately $10.99 million and earnings per share of $0.0143. For the full 2025 year, the sales estimate stands at $44.64 million with an EPS estimate of $0.0347. The company's ability to meet or exceed these future profitability estimates will be a key driver of its stock performance moving forward.

For a detailed look at historical earnings, future estimates, and analyst projections for Sachem Capital Corp, you can review the data here.

Disclaimer: This article is for informational purposes only and is not intended as investment advice. The analysis is based on publicly available data and should not be construed as a recommendation to buy or sell any security. All investment decisions involve risk and should be made based on your own research and financial circumstances.