NYSE$RITM

New Residential Investment Corp · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

New Residential's performance in Q1 2022 demonstrated strength and balance, generating a ~5% total shareholder return and growing book value by ~10% to $12.56 per share.

New Residential Investment Corp. reported a GAAP net income of $661.9 million, or $1.37 per diluted common share, and core earnings of $177.4 million, or $0.37 per diluted common share for the first quarter ended March 31, 2022. The company's book value per common share grew to $12.56.

  • GAAP net income of $661.9 million, or $1.37 per diluted common share.
  • Core earnings of $177.4 million, or $0.37 per diluted common share.
  • Common dividend of $116.7 million, or $0.25 per common share.
  • Book value per common share of $12.56.

Headline financials

Total Revenue

$1.73B

Previous: $1.17B+47.7%
EPS (adj)

$0.37

Previous: $0.34+8.8%
Total Servicing UPB

$626B

Previous: $305B+105.5%
Capital Expenditures

$0.00

Previous: -$74.9M+100.0%
Free Cash Flow

$690M

Previous: $226M+204.7%
Net Income

$690M

Previous: $301M+129.0%
Operating Income

$900M

Previous: $661M+36.2%
Gross Profit

$1.7B

Previous: $1.16B+46.3%
Cash & Equivalents

$1.67B

Previous: $1.04B+60.9%
Total Assets

$37.9B

Previous: $35.2B+7.6%

Revenue & EPS history

NRZ · Revenue · Quarterly

$1.73B

Q1 2022+47.7%vs Q1 2021
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

NRZ · $283M total across 3 segments · Q1 2022

  • Residential Transitional Lending
    $202M-57.8%
  • Asset Management
    $56.3M
  • Corporate Category
    $25.4M-0.4%

Forward guidance

New Residential expects book value growth to continue in the second quarter given the upward move in treasury yields and the Fed’s expected policy actions. With $1.7 billion of cash and liquidity coupled with the expected market volatility ahead, New Residential anticipates terrific opportunities to deploy capital effectively and generate great returns for shareholders in 2022 and beyond.

Tailwinds

  • Continued book value growth in Q2 expected due to treasury yields and Fed actions.
  • Strong cash position of $1.7 billion.
  • Expected market volatility will create opportunities for capital deployment.
  • Anticipated strong returns for shareholders in 2022 and beyond.
  • Effective capital deployment.

Headwinds

  • Market volatility.
  • Uncertainty of treasury yields.
  • Dependence on Fed policy actions.
  • No guarantee for returns in 2022 and beyond.
  • Potential risks associated with capital deployment.

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 Q1 2022

Historical avgQ1 2022

+0.9%

Avg return

Earnings day

+0.7%

Avg return

5 days after

+2.2%

Avg return

30 days after

68%

38 / 56 earnings

Positive

+12.5%

Q1 2022

Best reaction

-11.5%

Q3 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.2%-3.3%-8.5%
Q4 2025+6.0%-0.6%-9.4%
Q3 2025+0.3%+0.5%+5.1%
Q1 2025+1.3%+7.5%+7.0%
Q4 2024+3.7%+3.1%+2.9%
Q3 2024+3.0%+0.1%+6.8%
Q2 2024-1.7%-6.6%+3.6%
Q1 2024-0.6%+0.9%-1.2%
Q4 2023-4.2%-1.7%+3.2%
Q3 2023+2.8%+4.2%+13.7%
Q2 2023-0.4%+2.3%+3.4%
Q1 2023+1.9%+2.9%+11.5%
Q4 2022+1.8%+3.6%-11.2%
Q3 2022-1.4%+0.8%+5.9%
Q2 2022-6.2%-9.1%-16.1%
Q1 2022+12.5%+6.6%+9.4%
Q4 2021+6.1%+3.7%+1.3%
Q3 2021+0.7%-0.3%-5.6%
Q2 2021+3.1%+2.6%+13.6%
Q1 2021-2.2%-2.4%+1.7%
Q4 2020-2.9%-3.8%+7.1%
Q3 2020-11.5%-14.1%+11.2%
Q2 2020-1.1%-1.5%-1.8%
Q1 2020+0.8%+8.9%+36.3%
Q4 2019+1.7%+2.7%-7.3%
Q3 2019-0.6%-0.3%-2.7%
Q2 2019+1.2%-0.9%-9.3%
Q1 2019-0.9%-0.8%-9.3%
Q4 2018+1.7%+1.9%+0.0%
Q3 2018-1.1%+0.5%-5.0%
Q2 2018-4.4%-3.8%-1.3%
Q1 2018+3.2%+4.3%+6.8%
Q4 2017+1.1%+1.5%+2.3%
Q3 2017+2.2%+3.8%+4.5%
Q2 2017+6.9%+4.9%+2.1%
Q1 2017+1.7%+0.4%-3.5%
Q4 2016+3.0%+3.1%+2.9%
Q3 2016+0.4%+3.0%+11.2%
Q2 2016+3.4%+4.2%+4.6%
Q1 2016+5.2%
Q4 2015+4.3%
Q3 2015-2.4%
Q2 2015+0.1%
Q1 2015+1.7%
Q4 2014+1.6%
Q3 2014+0.5%
Q2 2014+5.2%
Q1 2014-2.5%
Q4 2012+0.9%
Q4 2013+1.9%
Q3 2012+5.6%
Q3 2013-7.1%
Q2 2012-0.9%
Q1 2012+1.9%
Q2 2013+1.9%
Q1 2013+1.9%

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