Liquidity is under pressure as cash reserves plummeted from $103.1M in 2024Q1 to $12.4M in 2026Q1, complicating the firm's ability to fund new originations.
| Cash from Operations | 3.31M | 2.66M | 12.89M | 21.85M | 8.63M | 25.74M | 9.63M | 8.1M | 6.12M | 4.96M | 3.7M | 2.38M | 1.46M |
| Operating CF Growth % | -21.79% | -79.35% | -41.01% | 153.16% | -66.47% | 167.34% | 18.82% | 32.45% | 23.44% | 34.05% | 55.59% | 62.25% | - |
| Operating CF / Revenue % | 6.21% | 5.67% | 22.42% | 72.91% | 28.19% | 128.68% | 73.75% | 79.59% | 52.56% | 70.83% | 89.44% | 85.27% | 93.91% |
| Net Income | 2.41M | 6.31M | -39.57M | 15.9M | 20.91M | 13.32M | 8.99M | 6.2M | 7.77M | 4.86M | 3.05M | 2.31M | 1.47M |
| Depreciation & Amortization | 2.69M | 2.73M | 372K | 266K | 106.41K | 83.53K | 663.82K | 63.57K | 32.53K | 28.36K | 47.68K | 0 | 0 |
| Stock-Based Compensation | 843K | 840K | 863K | 0 | 495.01K | 191.32K | 16.43K | 0 | 37.59K | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 2.6M | -2.28M | 56.11M | 10.13M | 6.47M | -49.97K | 21.06K | 1.23M | 992.85K | 333.95K | 421.45K | 256.99K | 39.72K |
| Working Capital Changes | -2.15M | -4.94M | -4.89M | -4.45M | -13.77M | 12.32M | 54.73K | 613.82K | -1.85M | 7.76K | 510.92K | 36.9K | -45.02K |
| Cash from Investing | 7.1M | 29.35M | 79.91M | -72.49M | -159.54M | -166.27M | -82.82M | -37.82M | -16.84M | -28.93M | -6.94M | -13.18M | -5.15M |
| Acquisitions (Net) | 0 | 0 | 0 | 1.3M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Purchase of Investments | -158.22M | -158.22M | -7.77M | -44.31M | -76.43M | -210.12M | -97.56M | -16M | 0 | 0 | 0 | 0 | 0 |
| Sale of Investments | 163.57M | 163.57M | 43.89M | 20.23M | 87.2M | 182.92M | 78.96M | 1.09M | 1.85M | 530.18K | 1.06M | 421.82K | 0 |
| Other Investing | 5.09M | 27.39M | 43.87M | -37.85M | -168.61M | -137M | -62.26M | -21.4M | -17.43M | -28.8M | -6.72M | -13.6M | -5.15M |
| Cash from Financing | -23.25M | -39.15M | -87.33M | 39.52M | 132.68M | 163.06M | 73.76M | 48.38M | 9.82M | 23.48M | 2.97M | 6.76M | 8.64M |
| Dividends Paid | -12.74M | -13.97M | -20.81M | -25.73M | -22.5M | -12.27M | -7.96M | -9.68M | -6.79M | -5.8M | -3.88M | -1.4M | -636.64K |
| Common Dividends | -2.39M | -9.5M | -16.51M | 0 | -22.5M | -14.12M | -7.96M | 0 | -6.79M | -5.8M | -3.88M | -1.4M | -636.64K |
| Debt Issuance (Net) | -1000K | -1000K | -1000K | 1000K | 1000K | 1000K | 1000K | -1000K | 1000K | -8.9K | 310K | 1000K | 1000K |
| Share Repurchases | 0 | 0 | -1.49M | -226K | 0 | 0 | 0 | 0 | 0 | 0 | -580.89K | -45K | 0 |
| Other Financing | 14.9M | -3.65M | 0 | 0 | -29.66M | -1.88M | 25.42M | 0 | -160.48K | 29.29M | 6.54M | 7.16M | 4.28M |
| Net Change in Cash | -12.85M | -7.14M | 5.47M | -11.12M | -18.23M | 22.53M | 566.09K | 18.67M | -893.74K | -496.45K | -272.22K | -4.04M | 4.95M |
| Exchange Rate Effect | 0 | 0 | 0 | -97 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 10.92M | 18.07M | 12.6M | 23.71M | 41.94M | 19.41M | 18.84M | 171.68K | 1.07M | 1.56M | 1.83M | 5.87M | 922.53K |
| Cash at End | 11.56M | 10.92M | 18.07M | 12.6M | 23.71M | 41.94M | 19.41M | 18.84M | 171.68K | 1.07M | 1.56M | 1.83M | 5.87M |
| Free Cash Flow | -31K | -716K | 12.81M | 9.99M | 6.92M | 23.67M | 7.67M | 6.59M | 4.87M | 4.29M | 2.41M | 2.38M | 1.46M |
| FCF Growth % | -100.59% | -105.59% | 28.22% | 44.33% | -70.75% | 208.77% | 16.27% | 35.54% | 13.38% | 77.78% | 1.58% | 62.25% | - |
| FCF / Revenue % | -0.06% | -1.53% | 22.28% | 33.34% | 22.61% | 118.35% | 58.73% | 64.77% | 41.8% | 61.33% | 58.39% | 85.27% | 93.91% |
Collateral Liquidity and Credit
As reported in financial statements, Sachem Capital's FFO frequently decouples from GAAP operating cash flow, with the 2024Q4 period showing a massive -36.0M FFO against a -620.0K operating cash flow, suggesting that non-cash adjustments and credit loss provisions are significantly distorting the firm's perceived core earnings power.
The wide variance between FFO and operating cash flow implies that the company's reported earnings are highly sensitive to accounting estimates rather than actual cash receipts. Investors should monitor whether this divergence reflects a buildup of non-accrual interest or aggressive valuation adjustments on collateral assets.
Based on reported figures, the company's AFFO has struggled to maintain positive territory, with a -37.2M result in 2024Q4 and a -657.0K deficit in 2025Q4, indicating that dividend payments are currently being funded by capital sources rather than recurring cash flow generated from the loan portfolio.
The consistent failure to cover dividends with AFFO suggests a structural reliance on external financing to sustain payouts. This pattern warrants further investigation into whether the current dividend policy is sustainable without further eroding the company's net asset value.
According to recent SEC filings, the volatility in net income, which swung from a -36.1M loss in 2024Q4 to a 2.5M gain in 2025Q4, appears disconnected from the underlying cash flow reality, suggesting that significant non-cash impairments are obscuring the true liquidity profile of the mortgage portfolio.
The extreme swings in net income highlight the limitations of using GAAP metrics to evaluate a bridge lender. The lack of correlation between net income and cash flow suggests that management's accounting for credit losses may be creating artificial volatility that masks the underlying trend of portfolio deterioration.
As indicated by the financial data, the company's transition from interest-bearing loans to REO assets, such as the 1.2M in capex during 2024Q4, suggests that cash flow is being diverted to maintain foreclosed properties rather than being recycled into new, high-yield bridge loan originations.
The shift toward REO management implies that the company is absorbing carrying costs that were not part of the original lending model. This transition may indicate that the quality of the loan book is declining, forcing the firm to take on operational burdens that further strain its limited liquidity.
Quick answers to the most common questions about buying SCCF stock.
Sachem Capital Corp. 7.125% Not (SCCF) generated $2.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Sachem Capital Corp. 7.125% Not (SCCF) reported negative free cash flow of $0.7M in 2025, indicating capital requirements exceeded cash from operations.
Sachem Capital Corp. 7.125% Not (SCCF) spent $3.4M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Sachem Capital Corp. 7.125% Not (SCCF) returned $14.0M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.