NYSE$ONIT

Onity Group Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Ocwen Financial reported a net loss due to income statement notables, but improved adjusted pre-tax loss.

Ocwen Financial Corporation reported a GAAP net loss of $80 million for Q4 2022, with an adjusted pre-tax loss of $3 million. The company's results reflect lower interest rates and lower correspondent and co-issue margins compared to the previous quarter. Despite market challenges, Ocwen improved earnings and grew book value and earnings per share year-over-year.

  • GAAP net loss was $80 million, a decline of $117 million compared to the third quarter of 2022.
  • Adjusted pre-tax loss was $3 million, an improvement of $5 million compared to the third quarter of 2022.
  • Results reflect lower interest rates and lower correspondent and co-issue margins compared to the third quarter.
  • Company took decisive action to right-size the business and further improve cost structure.

Headline financials

Total Revenue

$250M

Previous: $294M-14.8%
EPS (adj)

-$8.49

Previous: -$0.20-4145.0%
Capital Expenditures

$740K

Previous: $1.21M-38.7%
Free Cash Flow

-$87.2M

Previous: -$60.5M-44.0%
Net Income

-$80M

Previous: $18M-544.4%
Gross Profit

$127M

Previous: $143M-11.3%
Cash & Equivalents

$208M

Previous: $193M+7.9%
Total Assets

$12.4B

Previous: $12.1B+2.1%
Stock-Based Comp

$1.83M

Previous: $1.02M+78.8%

Revenue & EPS history

Onity · Revenue · Quarterly

$250M

Q4 2022-14.8%vs Q4 2021
Beat estimate in 6 of 13 quarters(46%)
ActualEstimate

Forward guidance

Ocwen expects market challenges to persist in 2023 but believes there are growth opportunities for strong operators. The company will rely on its balanced business, cost leadership, and capital partnerships to drive growth, improved net income, and shareholder value.

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 2022

Historical avgQ4 2022

-1.4%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+1.8%

Avg return

30 days after

53%

34 / 64 earnings

Positive

+67.5%

Q1 2020

Best reaction

-65.7%

Q4 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.2%-17.5%-21.8%
Q4 2025+6.1%+11.3%-8.3%
Q3 2025+1.8%+0.0%+13.7%
Q1 2025+5.6%+5.4%+4.3%
Q4 2024-7.9%-14.9%-22.9%
Q3 2024+3.5%+3.6%+9.7%
Q2 2024-8.8%-15.7%-0.9%
Q1 2024+6.4%+12.3%+1.4%
Q4 2023-8.1%-7.8%-4.6%
Q3 2023-2.2%+0.3%+12.3%
Q2 2023-2.4%-5.8%-12.6%
Q1 2023+1.8%-0.7%+3.6%
Q4 2022-14.9%-13.1%-28.4%
Q3 2022+24.3%+20.8%+16.5%
Q2 2022-20.0%-21.3%-25.8%
Q1 2022+7.6%+3.4%+32.7%
Q4 2021-18.6%-20.2%-29.1%
Q3 2021+9.1%+1.9%+10.1%
Q2 2021-0.2%+5.3%+4.1%
Q1 2021+9.8%+26.8%+24.1%
Q4 2020+3.9%-1.8%-3.4%
Q3 2020+2.5%-0.3%+0.4%
Q2 2020+11.6%+24.0%-9.8%
Q1 2020+67.5%+40.0%+97.5%
Q4 2019+5.4%+0.8%-55.8%
Q3 2019+0.0%-1.1%-17.1%
Q2 2019-12.1%-7.3%+6.7%
Q1 2019+6.9%+8.1%-7.5%
Q4 2018+12.0%+13.6%-4.7%
Q3 2018-19.2%-25.7%-52.0%
Q2 2018-9.4%-8.3%-0.7%
Q1 2018+10.2%+14.8%+8.5%
Q4 2017+5.6%+12.8%+22.3%
Q3 2017+0.9%-6.4%-5.0%
Q2 2017+0.7%-0.7%+2.8%
Q1 2017-15.4%-17.1%-10.0%
Q4 2016-20.2%-20.4%-13.2%
Q3 2016+10.2%+14.2%+37.7%
Q2 2016+4.0%+17.8%+94.8%
Q1 2016-20.7%
Q4 2015-65.7%
Q3 2015+0.4%
Q2 2015-27.0%
Q1 2015+18.2%
Q4 2014-9.2%
Q3 2014+13.2%
Q2 2014-20.1%
Q1 2014-8.8%
Q4 2013+1.8%
Q3 2013-9.6%
Q2 2013+7.1%
Q1 2013+2.0%
Q4 2011+3.3%
Q4 2012+6.0%
Q3 2012-7.4%
Q2 2012+2.7%
Q1 2012+1.4%
Q3 2010-10.7%
Q3 2011-10.7%
Q2 2011+0.2%
Q1 2011-1.9%
Q2 2010-1.9%
Q4 2010-1.9%
Q1 2010-1.9%

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