AGNC Investment Corp. Reports Strong Financial Results for Q4 2025

AGNC Investment Corp. Reports Strong Financial Results for the Fourth Quarter of 2025

AGNC Investment Corp. (Nasdaq: AGNC) has released its financial results for the fourth quarter ending December 31, 2025, showcasing strong performance across various metrics. The company reported a comprehensive income of $0.89 per common share. This figure includes a net income of $0.83 per share and other comprehensive income (OCI) derived from investments, amounting to $0.06 per share, reflecting the company's robust financial health in a competitive environment.

Financial Highlights

In the fourth quarter, AGNC declared dividends of $0.36 per share, alongside a remarkable 11.6% economic return on tangible common equity. The tangible net book value per common share also saw a significant increase, rising by 7.2% to $8.88, compared to $8.28 at the end of the third quarter of 2025.

The investment portfolio was valued at $94.8 billion, primarily consisting of Agency mortgage-backed securities (MBS) totaling $81.1 billion, highlighting the company’s strategy of focusing on high-quality assets. The company also noted a leverage ratio of 7.2x as of December 31, indicating a well-balanced approach to utility of debt in financing its activities.

Performance Drivers

AGNC attributes its strong results to several market factors, including the Federal Reserve's shift towards a more accommodative monetary policy. This environment contributed to a decrease in interest rate volatility, allowing Agency MBS to thrive as a top-performing domestic fixed-income asset class. In fact, the total return for Agency MBS was reported at 8.6%, marking the best annual performance since 2002.

Peter Federico, AGNC’s President and CEO, expressed satisfaction with the company’s operational outcomes, emphasizing the effectiveness of AGNC's active management strategy in producing substantial returns for shareholders. He noted that AGNC’s total stock return nearly doubled the performance of the S&P 500 Index in 2025.

Bernice Bell, CFO, highlighted the steady income stream from net spread and dollar roll income, which remained unchanged at $0.35 per share for the quarter. AGNC's proactive capital markets strategy has enabled it to issue approximately 34.9 million shares of common equity through At-the-Market (ATM) offerings, resulting in net proceeds of $356 million. This initiative has significantly enhanced value for its common shareholders.

Economic Prospects

As AGNC looks ahead into 2026, it remains optimistic about its positioning in the marketplace amid projections of lower interest rates and declining Agency MBS spread volatility. The company noted recent Agency MBS purchases by major government agencies as further signs of a conducive economic backdrop for its operations.

In conclusion, with substantial liquidity amounting to $7.6 billion in unencumbered cash and Agency MBS, AGNC Investment Corp. is strategically poised to continue delivering favorable risk-adjusted returns and an attractive yield for its investors. The company is well-prepared to navigate an evolving market landscape while contributing significant private capital to the U.S. housing sector.

For more detailed insights into AGNC's financial performance, stockholders and interested parties can tune into the upcoming stockholder call scheduled for January 27, 2026. Detailed information will be available on the company's website, providing an opportunity for stakeholders to engage directly with management regarding the fourth quarter performances and future outlook.