v3.25.1
Business Segment Reporting
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Business Segment Reporting
Note 20 – Business Segment Reporting
Our business segments reflect the internal reporting that our Chief Executive Officer, whom we have determined to be our Chief Operating Decision Maker (CODM), uses to evaluate our operating and financial performance and to assess the allocation of our resources. The CODM uses pre-tax income calculated both on a GAAP basis and on a managed or adjusted basis, as internally defined, to assess the segment performance and allocate resources. The segment information presented below is prepared under GAAP, consistent with the amounts included in our consolidated financial statements. Our current reportable business segments consist of Servicing, Originations, and Corporate.
Financial information for our segments prepared under GAAP is as follows:
Three Months Ended March 31, 2025
Results of Operations ServicingOriginations
Corporate
Business Segments Consolidated
Servicing and subservicing fees$203.3 $— $— $203.3 
Gain on reverse loans held for investment and HMBS-related borrowings, net
16.9 6.9 — 23.8 
Gain (loss) on loans held for sale, net
(3.8)15.6 — 11.8 
Other revenue, net4.8 6.2 — 10.9 
Revenue221.2 28.6 — 249.8 
MSR valuation adjustments, net
(41.9)3.0 — (38.9)
Operating expenses
 
 
 
 
Compensation and benefits23.1 12.4 21.9 57.4 
Servicing and origination 11.7 1.1 0.2 13.0 
Technology and communications7.4 2.1 5.5 15.0 
Professional services6.3 0.5 15.9 22.6 
Occupancy, equipment and mailing7.1 0.7 0.4 8.2 
Corporate overhead allocations12.4 3.9 (16.4)— 
Other expenses 0.5 1.5 1.6 3.6 
Operating expenses68.6 22.2 29.1 119.9 
Other income (expense):
Interest income11.8 13.3 1.1 26.2 
Interest expense (47.9)(12.7)(6.4)(67.0)
Pledged MSR liability expense(41.9)— — (41.9)
Other, net
0.5 (0.4)0.8 0.9 
Other income (expense), net
(77.5)0.2 (4.5)(81.9)
Income (loss) before income taxes$33.1 $9.6 $(33.6)$9.1 
Three Months Ended March 31, 2024
Results of Operations ServicingOriginations
Corporate
Business Segments Consolidated
Servicing and subservicing fees$204.2 $0.3 $— 204.5 
Gain on reverse loans held for investment and HMBS-related borrowings, net
8.6 6.8 — 15.4 
Gain on loans held for sale, net
1.8 9.1 — 10.9 
Other revenue, net4.5 3.8 — 8.3 
Revenue 219.1 20.0 — 239.1 
MSR valuation adjustments, net
(12.5)0.9 — (11.6)
Operating expenses
 
 
 
 
Compensation and benefits25.3 10.2 18.1 53.6 
Servicing and origination 13.3 1.4 0.3 15.0 
Technology and communications6.1 1.7 4.9 12.7 
Professional services7.1 0.3 4.6 12.0 
Occupancy, equipment and mailing6.8 0.5 0.4 7.7 
Corporate overhead allocations10.9 3.9 (14.8)— 
Other expenses 1.1 1.0 1.3 3.4 
Operating expenses
70.6 19.0 14.8 104.4 
Other income (expense):
Interest income6.7 9.7 1.1 17.5 
Interest expense (45.8)(10.4)(11.2)(67.4)
Pledged MSR liability expense(44.9)— — (44.8)
Gain on extinguishment of debt
— — 1.4 1.4 
Earnings of equity method investee2.7 — — 2.7 
Other, net
(0.5)(0.1)— (0.7)
Other income (expense), net(81.8)(0.8)(8.6)(91.3)
Income (loss) before income taxes$54.2 $1.1 $(23.4)$31.8 
Total AssetsServicingOriginations
Corporate
Business Segments Consolidated
March 31, 2025$15,013.1 $1,009.6 $236.6 $16,259.3 
December 31, 202415,242.5 945.0 247.9 16,435.4