| Segments |
Note 25—Segments The Company operates in three segments as described in Note 1 ‒ Organization. The Company’s reportable segments are identified based on PMT’s investment strategies. The following disclosures about the Company’s business segments are presented consistent with the way the Company’s chief operating decision maker organizes and evaluates financial information for making operating decisions and assessing performance. The reportable segments are evaluated based on income or loss before benefit from income taxes. The chief operating decision maker uses pre-tax segments results to assess segment performance and allocate operating and capital resources among the segments. The Company’s chief operating decision maker is its chief executive officer. Financial highlights by segment are summarized below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter ended June 30, 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 |
|
$ |
— |
|
|
$ |
40,041 |
|
|
$ |
— |
|
|
$ |
40,041 |
|
|
$ |
— |
|
|
$ |
40,041 |
|
Net gains on loans held for sale |
|
|
— |
|
|
|
— |
|
|
|
15,292 |
|
|
|
15,292 |
|
|
|
— |
|
|
|
15,292 |
|
Net gains (losses) on investments and financings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
|
|
(8 |
) |
|
|
434 |
|
|
|
— |
|
|
|
426 |
|
|
|
— |
|
|
|
426 |
|
Loans held for investment |
|
|
211 |
|
|
|
11,953 |
|
|
|
— |
|
|
|
12,164 |
|
|
|
— |
|
|
|
12,164 |
|
Credit risk transfer arrangements |
|
|
9,711 |
|
|
|
— |
|
|
|
— |
|
|
|
9,711 |
|
|
|
— |
|
|
|
9,711 |
|
|
|
|
9,914 |
|
|
|
12,387 |
|
|
|
— |
|
|
|
22,301 |
|
|
|
— |
|
|
|
22,301 |
|
Net interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income |
|
|
21,547 |
|
|
|
236,693 |
|
|
|
43,481 |
|
|
|
301,721 |
|
|
|
2,529 |
|
|
|
304,250 |
|
Interest expense |
|
|
20,086 |
|
|
|
256,741 |
|
|
|
32,461 |
|
|
|
309,288 |
|
|
|
2,057 |
|
|
|
311,345 |
|
|
|
|
1,461 |
|
|
|
(20,048 |
) |
|
|
11,020 |
|
|
|
(7,567 |
) |
|
|
472 |
|
|
|
(7,095 |
) |
Other |
|
|
(61 |
) |
|
|
— |
|
|
|
2,251 |
|
|
|
2,190 |
|
|
|
— |
|
|
|
2,190 |
|
|
|
|
11,314 |
|
|
|
32,380 |
|
|
|
28,563 |
|
|
|
72,257 |
|
|
|
472 |
|
|
|
72,729 |
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earned by PennyMac Financial Services, Inc.: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan servicing fees |
|
|
1 |
|
|
|
19,639 |
|
|
|
— |
|
|
|
19,640 |
|
|
|
— |
|
|
|
19,640 |
|
Management fees |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
6,810 |
|
|
|
6,810 |
|
Loan fulfillment fees |
|
|
— |
|
|
|
— |
|
|
|
5,023 |
|
|
|
5,023 |
|
|
|
— |
|
|
|
5,023 |
|
Professional services |
|
|
— |
|
|
|
— |
|
|
|
9,249 |
|
|
|
9,249 |
|
|
|
2,378 |
|
|
|
11,627 |
|
Compensation |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,390 |
|
|
|
3,390 |
|
Loan collection and liquidation |
|
|
2 |
|
|
|
1,678 |
|
|
|
— |
|
|
|
1,680 |
|
|
|
— |
|
|
|
1,680 |
|
Safekeeping |
|
|
— |
|
|
|
891 |
|
|
|
40 |
|
|
|
931 |
|
|
|
— |
|
|
|
931 |
|
Loan origination |
|
|
— |
|
|
|
— |
|
|
|
14 |
|
|
|
14 |
|
|
|
— |
|
|
|
14 |
|
Other (2) |
|
|
63 |
|
|
|
1,181 |
|
|
|
3,108 |
|
|
|
4,352 |
|
|
|
2,442 |
|
|
|
6,794 |
|
|
|
|
66 |
|
|
|
23,389 |
|
|
|
17,434 |
|
|
|
40,889 |
|
|
|
15,020 |
|
|
|
55,909 |
|
Pretax income (loss) |
|
$ |
11,248 |
|
|
$ |
8,991 |
|
|
$ |
11,129 |
|
|
$ |
31,368 |
|
|
$ |
(14,548 |
) |
|
$ |
16,820 |
|
Total assets at end of quarter |
|
$ |
1,852,215 |
|
|
$ |
19,556,028 |
|
|
$ |
3,261,534 |
|
|
$ |
24,669,777 |
|
|
$ |
423,813 |
|
|
$ |
25,093,590 |
|
(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 June 30, 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 |
|
$ |
— |
|
|
$ |
23,947 |
|
|
$ |
— |
|
|
$ |
23,947 |
|
|
$ |
— |
|
|
$ |
23,947 |
|
Net gains on loans held for sale |
|
|
— |
|
|
|
— |
|
|
|
17,806 |
|
|
|
17,806 |
|
|
|
— |
|
|
|
17,806 |
|
Net gains (losses) on investments and financings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
|
|
506 |
|
|
|
14,058 |
|
|
|
— |
|
|
|
14,564 |
|
|
|
— |
|
|
|
14,564 |
|
Loans held for investment |
|
|
(958 |
) |
|
|
(176 |
) |
|
|
— |
|
|
|
(1,134 |
) |
|
|
— |
|
|
|
(1,134 |
) |
Credit risk transfer arrangements |
|
|
20,250 |
|
|
|
— |
|
|
|
— |
|
|
|
20,250 |
|
|
|
— |
|
|
|
20,250 |
|
|
|
|
19,798 |
|
|
|
13,882 |
|
|
|
— |
|
|
|
33,680 |
|
|
|
— |
|
|
|
33,680 |
|
Net interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income |
|
|
20,971 |
|
|
|
137,493 |
|
|
|
35,886 |
|
|
|
194,350 |
|
|
|
2,131 |
|
|
|
196,481 |
|
Interest expense |
|
|
18,824 |
|
|
|
154,614 |
|
|
|
30,273 |
|
|
|
203,711 |
|
|
|
1,438 |
|
|
|
205,149 |
|
|
|
|
2,147 |
|
|
|
(17,121 |
) |
|
|
5,613 |
|
|
|
(9,361 |
) |
|
|
693 |
|
|
|
(8,668 |
) |
Other |
|
|
— |
|
|
|
— |
|
|
|
3,436 |
|
|
|
3,436 |
|
|
|
— |
|
|
|
3,436 |
|
|
|
|
21,945 |
|
|
|
20,708 |
|
|
|
26,855 |
|
|
|
69,508 |
|
|
|
693 |
|
|
|
70,201 |
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earned by PennyMac Financial Services, Inc.: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan servicing fees |
|
|
2 |
|
|
|
21,643 |
|
|
|
— |
|
|
|
21,645 |
|
|
|
— |
|
|
|
21,645 |
|
Management fees |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
6,869 |
|
|
|
6,869 |
|
Loan fulfillment fees |
|
|
— |
|
|
|
— |
|
|
|
5,814 |
|
|
|
5,814 |
|
|
|
— |
|
|
|
5,814 |
|
Professional services |
|
|
— |
|
|
|
— |
|
|
|
6,381 |
|
|
|
6,381 |
|
|
|
1,981 |
|
|
|
8,362 |
|
Compensation |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2,836 |
|
|
|
2,836 |
|
Loan collection and liquidation |
|
|
20 |
|
|
|
2,365 |
|
|
|
— |
|
|
|
2,385 |
|
|
|
— |
|
|
|
2,385 |
|
Safekeeping |
|
|
— |
|
|
|
1,144 |
|
|
|
84 |
|
|
|
1,228 |
|
|
|
— |
|
|
|
1,228 |
|
Loan origination |
|
|
— |
|
|
|
— |
|
|
|
666 |
|
|
|
666 |
|
|
|
— |
|
|
|
666 |
|
Other (2) |
|
|
89 |
|
|
|
444 |
|
|
|
189 |
|
|
|
722 |
|
|
|
2,668 |
|
|
|
3,390 |
|
|
|
|
111 |
|
|
|
25,596 |
|
|
|
13,134 |
|
|
|
38,841 |
|
|
|
14,354 |
|
|
|
53,195 |
|
Pretax income (loss) |
|
$ |
21,834 |
|
|
$ |
(4,888 |
) |
|
$ |
13,721 |
|
|
$ |
30,667 |
|
|
$ |
(13,661 |
) |
|
$ |
17,006 |
|
Total assets at end of quarter |
|
$ |
1,581,220 |
|
|
$ |
12,082,858 |
|
|
$ |
2,665,396 |
|
|
$ |
16,329,474 |
|
|
$ |
471,645 |
|
|
$ |
16,801,119 |
|
(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.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six months ended June 30, 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 |
|
$ |
— |
|
|
$ |
123,627 |
|
|
$ |
— |
|
|
$ |
123,627 |
|
|
$ |
— |
|
|
$ |
123,627 |
|
Net gains on loans held for sale |
|
|
— |
|
|
|
— |
|
|
|
38,202 |
|
|
|
38,202 |
|
|
|
— |
|
|
|
38,202 |
|
Net gains (losses) on investments and financings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
|
|
(8 |
) |
|
|
(32,973 |
) |
|
|
— |
|
|
|
(32,981 |
) |
|
|
— |
|
|
|
(32,981 |
) |
Loans held for investment |
|
|
2,401 |
|
|
|
6,196 |
|
|
|
— |
|
|
|
8,597 |
|
|
|
— |
|
|
|
8,597 |
|
Credit risk transfer arrangements |
|
|
23,622 |
|
|
|
— |
|
|
|
— |
|
|
|
23,622 |
|
|
|
— |
|
|
|
23,622 |
|
|
|
|
26,015 |
|
|
|
(26,777 |
) |
|
|
— |
|
|
|
(762 |
) |
|
|
— |
|
|
|
(762 |
) |
Net interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income |
|
|
40,777 |
|
|
|
451,323 |
|
|
|
83,011 |
|
|
|
575,111 |
|
|
|
5,230 |
|
|
|
580,341 |
|
Interest expense |
|
|
38,813 |
|
|
|
484,298 |
|
|
|
64,015 |
|
|
|
587,126 |
|
|
|
3,969 |
|
|
|
591,095 |
|
|
|
|
1,964 |
|
|
|
(32,975 |
) |
|
|
18,996 |
|
|
|
(12,015 |
) |
|
|
1,261 |
|
|
|
(10,754 |
) |
Other |
|
|
(109 |
) |
|
|
— |
|
|
|
4,659 |
|
|
|
4,550 |
|
|
|
— |
|
|
|
4,550 |
|
|
|
|
27,870 |
|
|
|
63,875 |
|
|
|
61,857 |
|
|
|
153,602 |
|
|
|
1,261 |
|
|
|
154,863 |
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earned by PennyMac Financial Services, Inc.: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan servicing fees |
|
|
2 |
|
|
|
39,361 |
|
|
|
— |
|
|
|
39,363 |
|
|
|
— |
|
|
|
39,363 |
|
Management fees |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
13,572 |
|
|
|
13,572 |
|
Loan fulfillment fees |
|
|
— |
|
|
|
— |
|
|
|
10,760 |
|
|
|
10,760 |
|
|
|
— |
|
|
|
10,760 |
|
Professional services |
|
|
— |
|
|
|
— |
|
|
|
20,093 |
|
|
|
20,093 |
|
|
|
5,035 |
|
|
|
25,128 |
|
Compensation |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
6,366 |
|
|
|
6,366 |
|
Loan collection and liquidation |
|
|
19 |
|
|
|
3,785 |
|
|
|
— |
|
|
|
3,804 |
|
|
|
— |
|
|
|
3,804 |
|
Safekeeping |
|
|
— |
|
|
|
1,693 |
|
|
|
93 |
|
|
|
1,786 |
|
|
|
— |
|
|
|
1,786 |
|
Loan origination |
|
|
— |
|
|
|
— |
|
|
|
227 |
|
|
|
227 |
|
|
|
— |
|
|
|
227 |
|
Other (2) |
|
|
140 |
|
|
|
2,055 |
|
|
|
3,138 |
|
|
|
5,333 |
|
|
|
4,809 |
|
|
|
10,142 |
|
|
|
|
161 |
|
|
|
46,894 |
|
|
|
34,311 |
|
|
|
81,366 |
|
|
|
29,782 |
|
|
|
111,148 |
|
Pretax income (loss) |
|
$ |
27,709 |
|
|
$ |
16,981 |
|
|
$ |
27,546 |
|
|
$ |
72,236 |
|
|
$ |
(28,521 |
) |
|
$ |
43,715 |
|
Total assets at end of period |
|
$ |
1,852,215 |
|
|
$ |
19,556,028 |
|
|
$ |
3,261,534 |
|
|
$ |
24,669,777 |
|
|
$ |
423,813 |
|
|
$ |
25,093,590 |
|
(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.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six months ended June 30, 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 |
|
$ |
— |
|
|
$ |
(3,263 |
) |
|
$ |
— |
|
|
$ |
(3,263 |
) |
|
$ |
— |
|
|
$ |
(3,263 |
) |
Net gains on loans held for sale |
|
|
— |
|
|
|
— |
|
|
|
30,150 |
|
|
|
30,150 |
|
|
|
— |
|
|
|
30,150 |
|
Net gains (losses) on investments and financings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
|
|
(504 |
) |
|
|
79,923 |
|
|
|
— |
|
|
|
79,419 |
|
|
|
— |
|
|
|
79,419 |
|
Loans held for investment |
|
|
1,809 |
|
|
|
(3,685 |
) |
|
|
— |
|
|
|
(1,876 |
) |
|
|
— |
|
|
|
(1,876 |
) |
Credit risk transfer arrangements |
|
|
18,450 |
|
|
|
— |
|
|
|
— |
|
|
|
18,450 |
|
|
|
— |
|
|
|
18,450 |
|
|
|
|
19,755 |
|
|
|
76,238 |
|
|
|
— |
|
|
|
95,993 |
|
|
|
— |
|
|
|
95,993 |
|
Net interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income |
|
|
40,520 |
|
|
|
257,389 |
|
|
|
69,084 |
|
|
|
366,993 |
|
|
|
5,579 |
|
|
|
372,572 |
|
Interest expense |
|
|
36,942 |
|
|
|
289,945 |
|
|
|
57,795 |
|
|
|
384,682 |
|
|
|
2,604 |
|
|
|
387,286 |
|
|
|
|
3,578 |
|
|
|
(32,556 |
) |
|
|
11,289 |
|
|
|
(17,689 |
) |
|
|
2,975 |
|
|
|
(14,714 |
) |
Other |
|
|
(142 |
) |
|
|
— |
|
|
|
6,642 |
|
|
|
6,500 |
|
|
|
— |
|
|
|
6,500 |
|
|
|
|
23,191 |
|
|
|
40,419 |
|
|
|
48,081 |
|
|
|
111,691 |
|
|
|
2,975 |
|
|
|
114,666 |
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earned by PennyMac Financial Services, Inc.: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan servicing fees |
|
|
4 |
|
|
|
43,370 |
|
|
|
— |
|
|
|
43,374 |
|
|
|
— |
|
|
|
43,374 |
|
Management fees |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
13,881 |
|
|
|
13,881 |
|
Loan fulfillment fees |
|
|
— |
|
|
|
— |
|
|
|
11,104 |
|
|
|
11,104 |
|
|
|
— |
|
|
|
11,104 |
|
Professional services |
|
|
— |
|
|
|
— |
|
|
|
11,261 |
|
|
|
11,261 |
|
|
|
4,083 |
|
|
|
15,344 |
|
Compensation |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
5,806 |
|
|
|
5,806 |
|
Loan collection and liquidation |
|
|
63 |
|
|
|
4,291 |
|
|
|
— |
|
|
|
4,354 |
|
|
|
— |
|
|
|
4,354 |
|
Safekeeping |
|
|
— |
|
|
|
2,178 |
|
|
|
160 |
|
|
|
2,338 |
|
|
|
— |
|
|
|
2,338 |
|
Loan origination |
|
|
— |
|
|
|
— |
|
|
|
1,352 |
|
|
|
1,352 |
|
|
|
— |
|
|
|
1,352 |
|
Other (2) |
|
|
182 |
|
|
|
943 |
|
|
|
354 |
|
|
|
1,479 |
|
|
|
4,927 |
|
|
|
6,406 |
|
|
|
|
249 |
|
|
|
50,782 |
|
|
|
24,231 |
|
|
|
75,262 |
|
|
|
28,697 |
|
|
|
103,959 |
|
Pretax income (loss) |
|
$ |
22,942 |
|
|
$ |
(10,363 |
) |
|
$ |
23,850 |
|
|
$ |
36,429 |
|
|
$ |
(25,722 |
) |
|
$ |
10,707 |
|
Total assets at end of period |
|
$ |
1,581,220 |
|
|
$ |
12,082,858 |
|
|
$ |
2,665,396 |
|
|
$ |
16,329,474 |
|
|
$ |
471,645 |
|
|
$ |
16,801,119 |
|
(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.
|