Ellington Credit (NYSE:EARN) reported a GAAP net loss of $0.86 per share for the quarter ended March 31, 2026, as volatility in the collateralized loan obligation market weighed on asset valuations, particularly CLO equity holdings.
Chief Executive Officer Larry Penn said the first calendar quarter was marked by “continued volatility in the CLO market,” with broader market conditions pressuring valuations and driving a decline in net asset value. However, Penn said the company’s active trading strategy and bias toward higher positions in the capital stack helped it outperform peers.
