The company says it is benefiting from momentum built up during the latter part of 2020
Terra Firma Capital Corporation has returned to a positive-growth path with strong Q1 2021 results.
With total assets of $139 million, total investments of $133.1 million, and total assets under management of $155.9 million by the end of the first quarter, Terra Firma is currently benefiting from the momentum built up over the last few months of 2020.
“Originations from Q3 2020 are now starting to support the beginning of what should be a substantial expansion for the company after a few quarters of a pause due to the COVID-19 pandemic,” said Glenn Watchorn, chief executive officer of the corporation.
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Terra Firma’s net income and comprehensive income increased by 748.2% to $819,000, despite revenues shrinking by 10% to $3.6 million. This was “primarily due to a decrease of interest and fee income by 16.7% to $2.8 million compared to $3.4 million in 2020,” the company said.
The principal balance of Terra Firma’s loan and mortgage syndications also ticked down by 1% on a quarterly basis, settling at $70.7 million as of March 31.
“After successfully closing our first fund of $37.5 million in Q1 2021, we are now looking to raise a larger second fund to accommodate our capital needs for what is a growing pipeline of new transactions,” Watchorn added.
