| Schedule of Assets and Liabilities Held for Sale |
The assets and liabilities associated with the discontinued operations have been segregated in the condensed consolidated balance sheets. The following table summarizes the major components of the Mortgage Conduit, Title and Real Estate Services assets and liabilities held for sale on the condensed consolidated balance sheets for the periods presented.
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Assets and liabilities held for sale |
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(In thousands) |
|
June 30,
2026 |
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|
December 31,
2025 |
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Assets held for sale |
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Investments |
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Fixed maturities available for sale—at fair value |
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$ |
6,545 |
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$ |
6,489 |
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Residential mortgage loans held for sale—at fair value (1) |
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|
— |
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|
|
340,734 |
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Short-term investments—at fair value |
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|
23,173 |
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|
57,791 |
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Total investments |
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|
29,718 |
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|
405,014 |
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Cash |
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|
1,552 |
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|
20,597 |
|
Restricted cash |
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|
— |
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|
|
86 |
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Accrued investment income |
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|
225 |
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|
|
3,068 |
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Premiums and other receivables |
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|
5,252 |
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|
5,412 |
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Reinsurance recoverables |
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|
529 |
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|
2,743 |
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Other assets |
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|
27,219 |
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|
37,348 |
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Total assets held for sale |
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$ |
64,495 |
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|
$ |
474,268 |
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Liabilities held for sale |
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Liabilities |
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Reserve for losses and LAE |
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$ |
4,888 |
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$ |
6,874 |
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Short-term borrowings (1) |
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— |
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|
324,226 |
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Other liabilities |
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|
24,806 |
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|
32,718 |
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Total liabilities held for sale |
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$ |
29,694 |
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|
$ |
363,818 |
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(1)Radian Mortgage Capital entered into Master Repurchase Agreements that were used to finance the acquisition of residential mortgage loans and related mortgage loan assets. During the three months ended June 30, 2026, all outstanding borrowings under these agreements were repaid and the agreements were terminated as part of the wind-down of our Mortgage Conduit business.
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| Schedule of Income (Loss) from Discontinued Operations, Net of Tax |
The income (loss) from discontinued operations, net of tax, consisted of the following components for the periods indicated.
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Income (loss) from discontinued operations, net of tax |
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Three Months Ended
June 30, |
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Six Months Ended
June 30, |
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(In thousands) |
|
2026 |
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|
2025 |
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|
2026 |
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|
2025 |
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Revenues |
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Net premiums earned |
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$ |
5,069 |
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$ |
3,995 |
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$ |
10,106 |
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$ |
6,629 |
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Services revenue |
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|
13,332 |
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|
10,882 |
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|
26,988 |
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|
|
22,825 |
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Net investment income |
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|
1,516 |
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|
11,097 |
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|
6,607 |
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|
18,661 |
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Net gains (losses) on financial instruments and foreign exchange |
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|
(129 |
) |
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(6,703 |
) |
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|
1,280 |
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|
(5,425 |
) |
Income (loss) on consolidated VIEs |
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|
— |
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|
185 |
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— |
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|
613 |
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Other income (loss) |
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|
485 |
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(3 |
) |
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|
2,170 |
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|
|
(571 |
) |
Total revenues |
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|
20,273 |
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|
|
19,453 |
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|
|
47,151 |
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|
42,732 |
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Expenses |
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Provision for losses |
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|
144 |
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|
143 |
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|
353 |
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(30 |
) |
Cost of services |
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9,506 |
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|
8,412 |
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|
19,658 |
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|
17,085 |
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Other operating expenses |
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|
12,873 |
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|
20,225 |
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|
33,028 |
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|
39,264 |
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Interest expense |
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|
1,003 |
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|
8,446 |
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|
4,616 |
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|
14,456 |
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Total expenses |
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23,526 |
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37,226 |
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|
57,655 |
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|
70,775 |
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Pretax income (loss) from discontinued operations |
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|
(3,253 |
) |
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|
(17,773 |
) |
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|
(10,504 |
) |
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|
(28,043 |
) |
Income tax provision (benefit) |
|
|
(939 |
) |
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|
(5,084 |
) |
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|
(2,817 |
) |
|
|
(7,822 |
) |
Income (loss) from discontinued operations, net of tax |
|
$ |
(2,314 |
) |
|
$ |
(12,689 |
) |
|
$ |
(7,687 |
) |
|
$ |
(20,221 |
) |
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