NASDAQ$ASPS

Altisource Portfolio Sol · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Altisource's financial results for Q4 2021 were announced, showing a net income of $70.6 million and a service revenue of $36.9 million.

Altisource reported a net income of $70.6 million for Q4 2021, driven by the sale of Pointillist. However, service revenue declined by 36% compared to Q4 2020. The company ended the year with a strong cash position and reduced net debt.

  • Altisource ended 2021 with $98.1 million in cash and cash equivalents, a 68% increase from December 31, 2020.
  • The company sold its equity interest in Pointillist for approximately $106.0 million, recognizing a pre-tax and after-tax gain of $88.9 million.
  • Service revenue for Q4 2021 was $36.9 million, a 36% decrease compared to Q4 2020.
  • Net income attributable to Altisource for Q4 2021 was $70.6 million, or $4.40 per diluted share.

Headline financials

Total Revenue

$36.9M

Previous: $57.7M-36.0%
EPS (adj)

-$0.86

Previous: -$1.10+21.8%
Capital Expenditures

$254K

Previous: $203K+25.1%
Free Cash Flow

-$19.5M

Previous: -$8.53M-129.0%
Net Income

$70.6M

Previous: -$7.2M+1080.6%
Operating Income

$76.1M

Previous: -$15.6M+587.1%
Gross Profit

$2.2M

Previous: $4.55M-51.7%
Cash & Equivalents

$98.1M

Previous: $58.3M+68.4%
Total Assets

$258M

Previous: $266M-3.0%
Stock-Based Comp

$315K

Previous: $1.25M-74.8%

Revenue & EPS history

Altisource · Revenue · Quarterly

$36.9M

Q4 2021-36%vs Q4 2020
Beat estimate in 7 of 16 quarters(44%)
ActualEstimate

Forward guidance

Altisource anticipates a return to revenue growth in 2022, with quarterly year-over-year revenue growth forecasted to begin in the third quarter. The company also expects to generate positive Adjusted EBITDA for the second half of 2022.

Tailwinds

  • Anticipated tailwinds in the Default business from the termination of borrower relief programs.
  • Launch of new solutions.
  • Customer wins.
  • Greater product adoption in the Origination business.
  • Benefit of prior cost reduction initiatives.

Headwinds

  • Risks related to the COVID-19 pandemic.
  • Customer concentration.
  • Timing of the anticipated increase in default related referrals following the expiration of foreclosure and eviction moratoriums and forbearance programs.
  • The timing of the expiration of such moratoriums and programs, and any other delays occasioned by government, investor or servicer actions.
  • Macro-economic and industry specific conditions.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

-0.8%

Avg return

Earnings day

-4.9%

Avg return

5 days after

-4.0%

Avg return

30 days after

41%

27 / 66 earnings

Positive

+28.6%

Q1 2015

Best reaction

-34.1%

Q2 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.6%+3.4%-9.2%
Q4 2025+1.3%-8.0%-4.1%
Q3 2025-0.4%-16.6%-20.5%
Q2 2025-7.6%+3.6%+7.7%
Q1 2025-0.2%-12.0%-14.5%
Q4 2024+18.7%+22.7%+1.3%
Q3 2024-15.8%-11.5%-45.3%
Q2 2024+11.7%+2.3%-6.2%
Q1 2024+15.9%+17.1%+0.6%
Q4 2023-4.1%-9.6%-41.3%
Q3 2023-17.3%-14.5%-2.7%
Q2 2023-17.7%-17.2%-32.7%
Q1 2023+3.0%+13.5%+28.4%
Q4 2022-0.4%-6.9%-19.0%
Q3 2022+8.7%+32.4%+33.0%
Q2 2022-3.5%-0.3%-1.1%
Q1 2022+4.9%+2.3%+5.0%
Q4 2021-8.5%-12.3%-1.4%
Q3 2021-7.5%-6.9%-24.0%
Q2 2021+10.7%+8.9%+25.1%
Q1 2021-5.8%-9.3%+0.1%
Q4 2020-0.4%-1.4%-1.8%
Q3 2020-0.1%+3.2%+17.1%
Q2 2020-34.1%-36.1%-24.0%
Q1 2020-0.2%-12.0%+77.4%
Q4 2019-32.9%-45.6%-55.5%
Q3 2019-16.8%-31.0%-22.2%
Q2 2019-3.5%-2.0%-11.2%
Q1 2019-2.2%+0.3%-5.3%
Q4 2018-0.3%+1.6%-4.3%
Q3 2018+1.6%-0.4%-16.1%
Q2 2018-5.8%-4.9%+5.9%
Q1 2018+5.0%+10.8%+10.0%
Q4 2017-3.4%-2.4%-7.1%
Q3 2017+0.4%+3.2%+9.1%
Q2 2017-2.4%-1.3%-1.3%
Q1 2017-0.4%-7.1%-4.6%
Q4 2016-24.8%-22.9%-7.9%
Q3 2016-12.1%-15.1%-5.7%
Q2 2016-13.3%-15.9%+9.9%
Q1 2016+6.5%
Q4 2015+10.0%
Q3 2015-10.3%
Q2 2015+21.9%
Q1 2015+28.6%
Q4 2014+5.3%
Q3 2014-0.2%
Q2 2014+1.4%
Q1 2014-8.4%
Q4 2013-0.6%
Q3 2013+9.0%
Q2 2013+19.8%
Q1 2013+9.7%
Q4 2012+4.3%
Q3 2012-7.2%
Q2 2012-0.7%
Q1 2012+1.0%
Q1 2011+1.0%
Q4 2009+10.5%
Q4 2011+10.5%
Q3 2011+8.1%
Q3 2010+8.1%
Q2 2011-4.8%
Q4 2010-4.8%
Q2 2010-4.8%
Q1 2010-0.9%

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