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This article highlights Rithm Capital’s Revenue Breakdown, split between Net Gains on originated residential mortgage loans held for sale, Interest Income, and Net Servicing revenue, reported quarterly from Q1 2016 onwards.
Rithm Capital, formerly known as the New Residential Investment Corp, is an American company that was founded in 2011, is an investment manager which happens to manage a vertically integrated mortgage platform, and invests in real estate. The company manages assets and investments in real estate and financial service sectors. Over the years, the company has shaped itself into a potential market leader in the sector space. The company is a leading dividend payer having a higher dividend yield than most of its competitors. The company’s revenue can be split into three verticals which are:
The following data shows Rithm Capital’s Revenue Breakdown in some of the recent quarters:
Breakdown | 2022 Q3 | 2022 Q4 | 2023 Q1 | Revenue Mix of 2023 Q1 |
Net Gains on originated residential mortgage loans held for sale | 203,479 | 105,966 | 109,268 | 13.90% |
Interest Income | 273,379 | 365,541 | 346,614 | 44.30% |
Net Servicing Revenue | 435,985 | 290,895 | 327,535 | 41.80% |
Total Revenue | 912,843 | 762,402 | 783,417 | 100% |
(All the values are in USD millions except percentages.)
Rithm Capital Corp has a revenue breakdown into three verticals. In the latest successive quarters, Interest Income is the largest contributor to the revenue of Rithm Capital Corp. There has been a fall in revenue from the Gain on originated residential mortgage loans held for sale subsequently throughout a couple of years. There has not been a significant change in revenue as the index between Q4 2022 and Q1 2023 is 1.03,0.94 and 1.12 respectively. The range between the total revenue among the three quarters is 129,426 with Q3 2022 being the highest and Q1 2023 being the lowest.
Gains on originated residential mortgage loans held for sale include:
About Rithm Capital Corp:
Rithm Capital is an asset and investment manager specializing in the real estate and financial services sectors. It is an American company based in New York which commenced its operations in 2011 to own mortgage servicing rights (“MSRs”) and other mortgage-related assets. The firm manages assets and investments in the real estate and financial services sector. Rithm Capital has grown to approximately $7 billion in equity and $32 billion in assets on the balance sheet, has distributed over $4.6 billion in dividends, and owns a diverse investment portfolio. The ability to access and use the cash generated by their regulated entities is a critical component of the company’s dividend-paying ability.
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