NYSE$RITM

New Residential Investment Corp · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Rithm Capital Corp. reported results for the second quarter ended June 30, 2022, marked by internalization and rebranding, with earnings available for distribution at $0.31 per share and a book value of $12.28 per share.

Rithm Capital Corp. announced second quarter 2022 results, with a GAAP net loss of $(3.3) million, or $(0.01) per diluted common share, and earnings available for distribution of $145.8 million, or $0.31 per diluted common share. The company maintained a common dividend of $0.25 per common share and a book value of $12.28 per share. They are reducing expenses in their operating companies, with run-rate annual general & administrative expenses down to $1.9 billion.

  • GAAP net loss of $(3.3) million, or $(0.01) per diluted common share, reflecting a termination fee to former external manager.
  • Earnings available for distribution of $145.8 million, or $0.31 per diluted common share.
  • Common dividend of $0.25 per common share, totaling $116.7 million.
  • Book value per common share of $12.28.

Headline financials

Total Revenue

$1.32B

Previous: $454M+191.3%
EPS (adj)

$0.31

Previous: $0.31+0.0%
Total Servicing UPB

$623B

Previous: $306B+103.7%
Free Cash Flow

$33.3M

Previous: -$58.2M+157.3%
Net Income

$33.3M

Previous: $146M-77.1%
Operating Income

$156M

Previous: -$60.8M+356.8%
Gross Profit

$1.29B

Previous: $437M+195.7%
Cash & Equivalents

$1.51B

Previous: $956M+58.0%
Total Assets

$34.6B

Previous: $37.3B-7.2%

Revenue & EPS history

NRZ · Revenue · Quarterly

$1.32B

Q2 2022+191.3%vs Q2 2021
Beat estimate in 10 of 14 quarters(71%)
ActualEstimate

Revenue by segment

NRZ · $162M total across 2 segments · Q2 2022

  • Residential Transitional Lending
    $108M
  • Asset Management
    $54.6M

Forward guidance

The company expects an upward move in treasury yields and Fed’s expected policy actions, expected market volatility and ability to generate great returns for our shareholders in 2022 and beyond.

Tailwinds

  • Ability to continue growing book value in the second quarter
  • Upward move in treasury yields
  • Fed’s expected policy actions
  • Ability to generate great returns for our shareholders in 2022 and beyond
  • Strong book value of $12.28 per share

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 Q2 2022

Historical avgQ2 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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