Rithm Capital Corp. (RITM) SEC Filings & Earnings Calls

Origination volume decline: Funded production volume decreased 19% QoQ and 21% YoY, indicating potential mortgage market headwinds.

“Origination funded production volume was $12.9 billion in Q3’26, a decrease of 19% quarter over quarter and a decrease of 21% YoY” · word for word

Earnings available for distribution per share declined from $0.60 to $0.55 QoQ, though still robust.

“Earnings Available for Distribution per Diluted Common Share $0.55 vs $0.60 in Q2 2026”

Interest rate sensitivity

“Changes in interest rates can inversely impact a borrower’s ability or willingness to enter into mortgage transactions” · word for word

Regulatory capital requirements

“Compliance with these capital and liquidity requirements may require us to maintain elevated levels of capital and liquidity” · word for word

Uncertain macro environment may impact performance.

“Despite an uncertain macro environment, our asset management business reached $61 billion in AUM” · word for word

Potential dilution from increased equity compensation.

“Approval of 35M additional shares for incentive plan.”

Increased leverage from $500M debt issuance.

“Creation of direct financial obligation from senior notes.”

Increased debt burden from upcoming issuance.

“Pricing of $500M senior notes.”

Potential increase in leverage from planned debt issuance.

“Intention to offer $500M senior notes.”

Margin Compression in Origination

“Gain on sale margin 1.09% vs 1.23% YoY”

Prepayment Speed Risk on MSRs

“Realization of cash flows $(211,456) vs $(146,891) YoY”

Regulatory Capital Requirements

“Compliance with these capital and liquidity requirements may require us to maintain elevated levels of capital and liquidity, which could constrain our operations and adversely affect our returns.” · word for word

Mortgage rate sensitivity and market volatility could impact origination volumes and MSR valuations.

“Despite a challenging and volatile market environment, Rithm delivered strong Q1 results... Origination funded production volume was $15.5 billion in Q1'26, a decrease of 18% QoQ.” · word for word

Mortgage servicing rights (MSR) mark-to-market volatility

“Excludes the net of hedge mortgage servicing rights mark-to-market loss and other non-operating items of $(467.5) million.” · word for word

Share dilution from equity offerings

“Raising $300 million from the issuance of 32.9 million shares of common stock through the Company’s “at-the-market” equity offering program.” · word for word

Interest Rate Sensitivity

“Mortgage rates ranged between approximately 6% and 7% throughout 2025, and affordability pressures were also affected by higher insurance and other homeownership costs.” · word for word

Regulatory Scrutiny

“Regulatory examinations, investigations, enforcement actions and fines have increased across the financial services sector.” · word for word

Interest rate sensitivity: MSR MTM losses of $(216.5)M in Q4'25 highlight exposure to rate changes

“Newrez posted pre-tax operating income of $249.1 million in Q4'25, excluding the net of hedge MSRs MTM loss and other non-operating items of $(216.5) million” · word for word

Potential dilution from additional share issuance if underwriters exercise option.

“Underwriters have option for 30 days to purchase up to an additional 1,500,000 shares.”

Integration risk and office market fundamentals recovery uncertainty.

“Forward-looking statements cite risks including integration, tenant retention, and office market trends.”

MSR Fair Value Volatility

“Servicing revenue, net decreased $104.9 million, primarily driven by a decrease in the value of our MSRs driven by changes in interest rates and higher prepayment speeds, partially offset by a decrease in discount rates.” · word for word

Regulatory Capital Requirements

“These revised requirements are expected to increase our capital and liquidity requirements and lower our return on capital.” · word for word

Consumer Loan Defaults

“Interest income for the three months ended September 30, 2025 decreased $24.7 million, primarily driven by elevated default rates related to certain consumer loans.” · word for word

Acquisition Integration Risk

“In connection with the pending acquisitions, we have incurred and expect to incur substantial various cash outflows across operating, investing and financing activities.” · word for word

Pending acquisitions of Crestline and Paramount subject to closing conditions and approvals; integration risk.

“Closing is targeted for Q4’25, subject to customary closing conditions and approvals.” · word for word

Mortgage servicing rights mark-to-market volatility; Newrez pre-tax income impacted by $(61.0) million MSR hedge loss.

“excluding the net of hedge mortgage servicing rights mark-to-market loss of $(61.0) million” · word for word