NYSE$UWMC

UWM Holdings Corp · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

UWM's Q4 2023 results were announced, revealing a net loss driven by MSR markdown, but operationally profitable with significant purchase loan origination volume.

UWM Holdings Corporation reported a Q4 2023 total loan origination volume of $24.4 billion, with $20.7 billion from purchase volume. The company experienced a net loss of $461.0 million, which includes a $634.4 million decline in the fair value of MSRs, resulting in a diluted loss per share of $0.29. Despite the net loss, the company highlights its operational profitability and leading position in purchase origination and wholesale lending.

  • Total loan origination volume reached $24.4 billion, with purchase volume comprising $20.7 billion.
  • The company reported a net loss of $461.0 million, impacted by a $634.4 million decline in the fair value of MSRs.
  • Total gain margin was reported at 92 bps for the quarter.
  • Adjusted EBITDA amounted to $99.6 million.

Headline financials

Total Revenue

$520M

Previous: $302M+71.9%
EPS (adj)

-$0.23

Previous: -$0.03-666.7%
Total Origination Volume

$24.4B

Previous: $25.1B-3.0%
Total Gain Margin

0.9%

No prior period
Adjusted EBITDA

$99.6M

No prior period
MSR UPB

$299B

No prior period
MSR WAC

4.4%

No prior period
MSR Weighted Average Age

21

No prior period
Purchase Originations

$20.7B

No prior period
Refinance Originations

$3.69B

No prior period
Capital Expenditures

$6.82M

No prior period
Net Income

-$461M

Previous: -$62.5M-637.7%
Operating Income

-$468M

Previous: -$69.3M-576.3%
Gross Profit

-$115M

No prior period
Stock-Based Comp

$3.96M

No prior period

Revenue & EPS history

UWM · Revenue · Quarterly

$520M

Q4 2023+71.9%vs Q4 2022
Beat estimate in 5 of 14 quarters(36%)
ActualEstimate

Revenue by segment

UWM · $677M total across 4 segments · Q3 2023

  • Loan Production Income
    $289M+67.6%
  • Loan Servicing Income
    $200M+1.9%
  • Interest Income
    $94.8M+21.3%
  • MSR Fair Value Change
    $92.9M-60.8%

Forward guidance

UWM anticipates first quarter production to be in the $22 to $28 billion range, with gain margin from 80 to 105 basis points.

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

-1.7%

Avg return

Earnings day

-1.2%

Avg return

5 days after

+0.5%

Avg return

30 days after

29%

6 / 21 earnings

Positive

+28.2%

Q3 2022

Best reaction

-16.8%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.2%-11.2%-28.4%
Q4 2025-9.0%-5.0%-25.0%
Q3 2025-10.1%-3.4%+1.2%
Q1 2025-14.7%-11.3%-13.8%
Q4 2024-5.8%-0.2%-14.6%
Q3 2024-6.0%-9.2%-2.4%
Q2 2024-6.5%-3.8%+2.3%
Q1 2024-0.7%+2.8%+2.8%
Q4 2023-4.9%-4.6%+8.2%
Q3 2023+4.3%+6.9%+15.6%
Q2 2023-1.6%-4.0%-16.3%
Q1 2023-16.8%-11.3%-7.4%
Q4 2022+12.7%+11.7%+15.3%
Q3 2022+28.2%+22.3%+44.7%
Q2 2022-0.5%+1.0%-9.2%
Q1 2022+0.3%+8.9%+18.1%
Q4 2021+7.4%-4.1%+4.4%
Q3 2021-1.5%-2.2%-3.8%
Q2 2021-7.0%-7.6%-8.5%
Q1 2021-2.4%+7.9%+43.1%
Q4 2020+0.6%-7.9%-16.0%
Q4 2019

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