v3.26.1
Segments (Tables)
3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Financial Highlights by Segment

Financial highlights by segment are summarized below:

Quarter ended March 31, 2026

 

Credit sensitive strategies

 

 

Interest rate sensitive strategies

 

 

Aggregation and securitization

 

 

Reportable segment total

 

 

Corporate

 

 

Consolidated total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loan servicing fees

 

$

 

 

$

83,586

 

 

$

 

 

$

83,586

 

 

$

 

 

$

83,586

 

Net gains on loans held for sale

 

 

 

 

 

 

 

 

22,910

 

 

 

22,910

 

 

 

 

 

 

22,910

 

Net (losses) gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

 

 

 

 

(33,407

)

 

 

 

 

 

(33,407

)

 

 

 

 

 

(33,407

)

Loans held for investment

 

 

2,191

 

 

 

(5,758

)

 

 

 

 

 

(3,567

)

 

 

 

 

 

(3,567

)

Credit risk transfer arrangements

 

 

13,911

 

 

 

 

 

 

 

 

 

13,911

 

 

 

 

 

 

13,911

 

 

 

 

16,102

 

 

 

(39,165

)

 

 

 

 

 

(23,063

)

 

 

 

 

 

(23,063

)

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

19,229

 

 

 

214,630

 

 

 

39,531

 

 

 

273,390

 

 

 

2,701

 

 

 

276,091

 

Interest expense

 

 

18,727

 

 

 

227,557

 

 

 

31,554

 

 

 

277,838

 

 

 

1,912

 

 

 

279,750

 

 

 

502

 

 

 

(12,927

)

 

 

7,977

 

 

 

(4,448

)

 

 

789

 

 

 

(3,659

)

Other

 

 

(48

)

 

 

 

 

 

2,408

 

 

 

2,360

 

 

 

 

 

 

2,360

 

 

 

16,556

 

 

 

31,494

 

 

 

33,295

 

 

 

81,345

 

 

 

789

 

 

 

82,134

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

2

 

 

 

19,721

 

 

 

 

 

 

19,723

 

 

 

 

 

 

19,723

 

Management fees

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,762

 

 

 

6,762

 

Loan fulfillment fees

 

 

 

 

 

 

 

 

5,737

 

 

 

5,737

 

 

 

 

 

 

5,737

 

Professional services

 

 

 

 

 

 

 

 

10,844

 

 

 

10,844

 

 

 

2,657

 

 

 

13,501

 

Compensation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2,976

 

 

 

2,976

 

Loan collection and liquidation

 

 

17

 

 

 

2,107

 

 

 

 

 

 

2,124

 

 

 

 

 

 

2,124

 

Safekeeping

 

 

 

 

 

802

 

 

 

53

 

 

 

855

 

 

 

 

 

 

855

 

Loan origination

 

 

 

 

 

 

 

 

213

 

 

 

213

 

 

 

 

 

 

213

 

Other (2)

 

 

77

 

 

 

873

 

 

 

31

 

 

 

981

 

 

 

2,367

 

 

 

3,348

 

 

 

96

 

 

 

23,503

 

 

 

16,878

 

 

 

40,477

 

 

 

14,762

 

 

 

55,239

 

Pretax income (loss)

 

$

16,460

 

 

$

7,991

 

 

$

16,417

 

 

$

40,868

 

 

$

(13,973

)

 

$

26,895

 

Total assets at end of quarter

 

$

1,756,200

 

 

$

17,934,880

 

 

$

2,408,670

 

 

$

22,099,750

 

 

$

402,942

 

 

$

22,502,692

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.

Quarter ended March 31, 2025

 

Credit sensitive strategies

 

 

Interest rate sensitive strategies

 

 

Aggregation and securitization

 

 

Reportable segment total

 

 

Corporate

 

 

Consolidated total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loan servicing fees

 

$

 

 

$

(27,210

)

 

$

 

 

$

(27,210

)

 

$

 

 

$

(27,210

)

Net gains on loans held for sale

 

 

 

 

 

 

 

 

12,344

 

 

 

12,344

 

 

 

 

 

 

12,344

 

Net (losses) gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

 

(1,010

)

 

 

65,865

 

 

 

 

 

 

64,855

 

 

 

 

 

 

64,855

 

Loans held for investment

 

 

2,767

 

 

 

(3,509

)

 

 

 

 

 

(742

)

 

 

 

 

 

(742

)

Credit risk transfer arrangements

 

 

(1,800

)

 

 

 

 

 

 

 

 

(1,800

)

 

 

 

 

 

(1,800

)

 

 

 

(43

)

 

 

62,356

 

 

 

 

 

 

62,313

 

 

 

 

 

 

62,313

 

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

19,549

 

 

 

119,896

 

 

 

33,198

 

 

 

172,643

 

 

 

3,448

 

 

 

176,091

 

Interest expense

 

 

18,117

 

 

 

135,332

 

 

 

27,522

 

 

 

180,971

 

 

 

1,166

 

 

 

182,137

 

 

 

1,432

 

 

 

(15,436

)

 

 

5,676

 

 

 

(8,328

)

 

 

2,282

 

 

 

(6,046

)

Other

 

 

(141

)

 

 

 

 

 

3,205

 

 

 

3,064

 

 

 

 

 

 

3,064

 

 

 

1,248

 

 

 

19,710

 

 

 

21,225

 

 

 

42,183

 

 

 

2,282

 

 

 

44,465

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

2

 

 

 

21,727

 

 

 

 

 

 

21,729

 

 

 

 

 

 

21,729

 

Management fees

 

 

 

 

 

 

 

 

 

 

 

 

 

 

7,012

 

 

 

7,012

 

Loan fulfillment fees

 

 

 

 

 

 

 

 

5,290

 

 

 

5,290

 

 

 

 

 

 

5,290

 

Professional services

 

 

 

 

 

 

 

 

4,880

 

 

 

4,880

 

 

 

2,102

 

 

 

6,982

 

Compensation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2,970

 

 

 

2,970

 

Loan collection and liquidation

 

 

42

 

 

 

1,927

 

 

 

 

 

 

1,969

 

 

 

 

 

 

1,969

 

Safekeeping

 

 

 

 

 

1,034

 

 

 

76

 

 

 

1,110

 

 

 

 

 

 

1,110

 

Loan origination

 

 

 

 

 

 

 

 

686

 

 

 

686

 

 

 

 

 

 

686

 

Other (2)

 

 

94

 

 

 

496

 

 

 

166

 

 

 

756

 

 

 

2,260

 

 

 

3,016

 

 

 

138

 

 

 

25,184

 

 

 

11,098

 

 

 

36,420

 

 

 

14,344

 

 

 

50,764

 

Pretax income (loss)

 

$

1,110

 

 

$

(5,474

)

 

$

10,127

 

 

$

5,763

 

 

$

(12,062

)

 

$

(6,299

)

Total assets at end of quarter

 

$

1,517,529

 

 

$

10,860,903

 

 

$

2,045,113

 

 

$

14,423,545

 

 

$

452,681

 

 

$

14,876,226

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.