NYSE$RKT

Rocket Companies Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Rocket Companies reported Q4 2023 results with a net revenue of $694 million and an adjusted revenue of $885 million. The company experienced a GAAP net loss of $233 million, or $(0.09) per share, and an adjusted net loss of $6 million, or $0.00 per share.

Rocket Companies reported Q4 2023 net revenue of $694 million and adjusted revenue of $885 million, exceeding the high end of guidance. The company had a GAAP net loss of $233 million, or $(0.09) per share, and an adjusted net loss of $6 million, or $0.00 per share. Despite a challenging year for mortgage originations, Rocket Companies achieved positive adjusted EBITDA for the third consecutive quarter and increased its market share.

  • Generated Q4'23 net revenue of $694 million and adjusted revenue of $885 million, exceeding guidance.
  • Reported Q4'23 GAAP net loss of $233 million, or $(0.09) per GAAP diluted loss per share and adjusted net loss of $6 million or $0.00 per adjusted diluted loss per share.
  • Gain on sale margin was 2.68%, a 51 bps increase over the same period the prior year.
  • Total liquidity was approximately $9.0 billion, as of December 31, 2023, which includes $1.1 billion of cash on the balance sheet, and $2.5 billion of corporate cash used to self-fund loan originations, $3.4 billion of undrawn lines of credit, and $2.0 billion of undrawn MSR lines of credit.

Headline financials

Total Revenue

$854M

Previous: $683M+25.1%
EPS (adj)

-$0.06

Previous: -$0.10+40.0%
Closed Loan Volume

$17.3B

Previous: $19B-9.3%
Gain on Sale Margin

0.0%

Previous: 2.2%-98.8%
Net Rate Lock Volume

$16.1B

No prior period
Loans Serviced

2.5M

No prior period
Capital Expenditures

-$540K

Previous: $5.17M-110.5%
Net Income

-$233M

Previous: -$493M+52.7%
Operating Income

-$243M

Previous: -$505M+51.9%
Gross Profit

$828M

Previous: $418M+97.8%
Stock-Based Comp

$35.4M

Previous: $47.6M-25.7%

Revenue & EPS history

Rocket Companies · Revenue · Quarterly

$854M

Q4 2023+25.1%vs Q4 2022
Beat estimate in 4 of 15 quarters(27%)
ActualEstimate

Revenue by segment

Rocket Companies · $1.1B total across 2 segments · Q3 2023

  • Direct to Consumer
    $979M-12.1%
  • Partner Network
    $123M+25.5%

Forward guidance

In Q1 2024, we expect adjusted revenue of between $925 million to $1,075 million.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2023

Historical avgQ4 2023

+0.6%

Avg return

Earnings day

+5.6%

Avg return

5 days after

+3.2%

Avg return

30 days after

50%

12 / 24 earnings

Positive

+14.8%

Q3 2023

Best reaction

-15.5%

Q1 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-5.4%-14.9%
Q4 2025+2.4%-6.4%-23.1%
Q3 2025+6.0%+2.3%+25.3%
Q2 2025+0.0%+11.4%+21.8%
Q1 2025-4.7%+8.2%+9.6%
Q4 2024+9.1%+16.1%+1.6%
Q3 2024-10.3%-13.7%-20.6%
Q2 2024+6.5%+13.2%+21.4%
Q1 2024+7.6%+13.1%+12.5%
Q4 2023+5.1%+8.6%+28.5%
Q3 2023+14.8%+8.5%+31.2%
Q2 2023+8.5%+10.4%+2.1%
Q1 2023-2.2%-4.3%-4.2%
Q4 2022+1.9%+9.6%+11.5%
Q3 2022-4.5%-0.6%+27.2%
Q2 2022-2.9%-6.0%-25.7%
Q1 2022-11.9%-3.5%-0.6%
Q4 2021+10.4%+20.8%-6.1%
Q3 2021-2.4%-4.3%-10.9%
Q2 2021+9.4%+2.0%-5.7%
Q1 2021-15.5%-21.5%-12.1%
Q4 2020+7.5%+104.7%+17.7%
Q3 2020-1.8%+1.9%-3.0%
Q2 2020-13.7%-20.0%-25.1%
Q1 2020
Q4 2019
Q3 2019
Q2 2019
Q1 2019

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