Ocwen Financial Corporation (NYSE: OCN) (“Ocwen” or the “Company”),
a leading non-bank mortgage servicer and originator, today
announced preliminary results for the first quarter of 2022 and
scheduled an earnings conference call for Thursday, May 5 at 8:30
a.m. (ET).
The Company reported the following preliminary
results for the first quarter of 2022 (see “Note Regarding
Financial Performance Estimates” below):
- Net Income of
$58 million and earnings per share of $6.30
- Cash of $269
million and total liquidity of $314 million as of March 31, 2022,
an increase of $76 million and $121 million respectively over
December 31, 2021
- Book value per
share of $58 as of March 31, 2022, up 12% from December 31,
2021
- Total servicing
additions of $20 billion during first quarter
- Total servicing
UPB of $275 billion as of March 31, 2022, up 3% from December 31,
2021
Glen A. Messina, President and CEO of Ocwen, said, “We are
pleased with our progress during the first quarter. We believe our
strategy of balance and diversification is working and positions us
well to maintain performance during this market cycle. Our
originations and servicing businesses are performing as expected
with the rapid increase in interest rates and MSR fair value gains
more than offset a pre-tax loss in forward originations. We are
taking the necessary actions to address lower industry forward
mortgage origination volume and margins, including expense
reduction and right-sizing actions, while prioritizing higher
margin products and services. Reverse originations volume and
profitability remain strong and consistent with the fourth quarter
of 2021. In our servicing segment, forward mortgage runoff is
declining, the build-out and financial performance of reverse
servicing are on track, and we continue to be excited about the
growth opportunities in both forward and reverse subservicing. We
look forward to providing additional details and business updates
during our first quarter earnings conference call.”
First Quarter 2022 Earnings and Business Update
Conference Call
The Company will hold a conference call on Thursday, May 5, 2022
at 8:30 a.m. (ET) to review the Company’s first quarter 2022
operating results and provide a business update.
All interested parties are welcome to participate. You can
access the conference call by dialing (800) 304-0389 or
(773) 341-1655 and using the conference ID 5259170
approximately 10 minutes prior to the call. Participants can also
access the conference call through a live audio webcast available
from the Shareholder Relations page at www.ocwen.com under Events
and Presentations.
An investor presentation will accompany the conference call and
be available by visiting the Shareholder Relations page at
www.ocwen.com prior to the call.
A replay of the conference call will be available via the
website approximately two hours after the conclusion of the call
and will remain available for approximately 30 days.
For more information on prior releases and SEC Filings, please
refer to the Shareholder Relations section at www.ocwen.com.
About Ocwen Financial Corporation
Ocwen Financial Corporation (NYSE: OCN) is a leading non-bank
mortgage servicer and originator providing solutions through its
primary brands, PHH Mortgage and Liberty Reverse Mortgage. PHH
Mortgage is one of the largest servicers in the country, focused on
delivering a variety of servicing and lending programs. Liberty is
one of the nation’s largest reverse mortgage lenders dedicated to
education and providing loans that help customers meet their
personal and financial needs. We are headquartered in West Palm
Beach, Florida, with offices in the United States and the U.S.
Virgin Islands and operations in India and the Philippines, and
have been serving our customers since 1988. For additional
information, please visit our website (www.ocwen.com).
Forward Looking Statements
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These forward-looking statements may be identified by a
reference to a future period or by the use of forward-looking
terminology. Forward-looking statements are typically identified by
words such as “expect”, “believe”, “foresee”, “anticipate”,
“intend”, “estimate”, “goal”, “strategy”, “plan” “target” and
“project” or conditional verbs such as “will”, “may”, “should”,
“could” or “would” or the negative of these terms, although not all
forward-looking statements contain these words, and includes
statements in this press release regarding the ability of our
recent strategic transactions to improve our earnings.
Forward-looking statements by their nature address matters that
are, to different degrees, uncertain. Our business has been
undergoing substantial change and we are experiencing significant
changes within the mortgage lending and servicing ecosystem which
has magnified such uncertainties. Readers should bear these factors
in mind when considering such statements and should not place undue
reliance on such statements.
Forward-looking statements involve a number of assumptions,
risks and uncertainties that could cause actual results to differ
materially. In the past, actual results have differed from those
suggested by forward looking statements and this may happen again.
Important factors that could cause actual results to differ
materially from those suggested by the forward-looking statements
include, but are not limited to, uncertainty relating to the
continuing impacts of the COVID-19 pandemic, including the response
of the U.S. government, state governments, the Federal National
Mortgage Association (Fannie Mae) and Federal Home Loan Mortgage
Corporation (Freddie Mac) (together, the GSEs), the Government
National Mortgage Association (Ginnie Mae) and regulators, as well
as the impacts on borrowers and the economy generally; the
potential for ongoing disruption in the financial markets and in
commercial activity generally as a result of international events
and other sources of instability; the extent to which our MSR asset
vehicle (MAV), other transactions and our enterprise sales
initiatives will generate additional subservicing volume, increase
market share within the subservicing market, and result in
increased profitability; the timing and amount of presently
anticipated forward and reverse loan boarding; whether we will
increase the total investment commitments in MAV, and if so, when
and on what terms; our ability to close acquisitions of MSRs and
other transactions, including the ability to obtain regulatory
approvals; our ability to continue to grow our reverse servicing
business; our ability to retain clients and employees of acquired
businesses, and the extent to which acquisitions and our other
strategic initiatives will contribute to achieving our growth
objectives; the extent to which we will be able to execute call
rights transactions, and whether such transactions will generate
the returns anticipated; the adequacy of our financial resources,
including our sources of liquidity and ability to sell, fund and
recover servicing advances, forward and reverse whole loans, and
HECM and forward loan buyouts and put backs, as well as repay,
renew and extend borrowings, borrow additional amounts as and when
required, meet our MSR or other asset investment objectives and
comply with our debt agreements, including the financial and other
covenants contained in them; increased servicing costs based on
increased borrower delinquency levels or other factors; the future
of our relationship and remaining servicing agreements with New
Residential Investment Corp.; our ability to improve our financial
performance through cost and productivity improvements; the
performance of our lending business in a competitive market and
uncertain interest rate environment; our ability to execute on
identified business development and sales opportunities;
uncertainty related to past, present or future claims, litigation,
cease and desist orders and investigations regarding our servicing,
foreclosure, modification, origination and other practices brought
by government agencies and private parties, including state
regulators, the Consumer Financial Protection Bureau (CFPB), State
Attorneys General, the Securities and Exchange Commission (SEC),
the Department of Justice or the Department of Housing and Urban
Development (HUD); adverse effects on our business as a result of
regulatory investigations, litigation, cease and desist orders or
settlements and the reactions of key counterparties, including
lenders, the GSEs and Ginnie Mae; our ability to comply with the
terms of our settlements with regulatory agencies and the costs of
doing so; increased regulatory scrutiny and media attention; any
adverse developments in existing legal proceedings or the
initiation of new legal proceedings; our ability to effectively
manage our regulatory and contractual compliance obligations; our
ability to interpret correctly and comply with liquidity, net worth
and other financial and other requirements of regulators, the GSEs
and Ginnie Mae, as well as those set forth in our debt and other
agreements; our ability to comply with our servicing agreements,
including our ability to comply with the requirements of the GSEs
and Ginnie Mae and maintain our seller/servicer and other statuses
with them; our ability to fund future draws on existing loans in
our reverse mortgage portfolio; our servicer and credit ratings as
well as other actions from various rating agencies, including any
future downgrades; as well as other risks and uncertainties
detailed in our reports and filings with the SEC, including our
annual report on Form 10-K for the year ended December 31, 2021 and
any current report or quarterly report filed with the SEC since
such date. Anyone wishing to understand Ocwen’s business should
review our SEC filings. Our forward-looking statements speak only
as of the date they are made and, we disclaim any obligation to
update or revise forward-looking statements whether as a result of
new information, future events or otherwise.
Note Regarding Financial Performance
Estimates
This press release contains statements relating to our
preliminary first quarter financial performance. These statements
are based on currently available information and reflect our
current estimates and assessments. The Company has not finished its
first quarter financial closing procedures. There can be no
assurance that actual results will not differ from our current
estimates and assessments, including as a result of first quarter
financial closing procedures, and any such differences could be
material.
FOR FURTHER INFORMATION CONTACT:
Investors: |
Media: |
June Campbell |
Dico Akseraylian |
T: (856) 917-3190 |
T: (856) 917-0066 |
E:shareholderrelations@ocwen.com |
E:mediarelations@ocwen.com |
Ocwen Financial (NYSE:OCN)
Historical Stock Chart
Von Mär 2024 bis Apr 2024
Ocwen Financial (NYSE:OCN)
Historical Stock Chart
Von Apr 2023 bis Apr 2024