Guild Holdings Company Reports Third Quarter 2025 Results
-
Originations of
$7.4 Billion -
Net Revenue of
$307.4 Million -
Net Income Attributable to Guild of
$33.3 Million -
Adjusted Net Income of
$47.0 Million -
Return on Average Equity of
10.9% and Adjusted Return on Average Equity of15.3% - Gain on Sale Margin on Originations of 347 bps
-
86% of Loan Volume were Purchase Originations
"Our team delivered another quarter of solid performance across both our retail origination and servicing platforms, demonstrating continued positive momentum and the successful execution of our balanced business model," said Terry Schmidt, Guild Chief Executive Officer. "We continue to realize robust growth as we delivered strong year-over-year increases in adjusted net income, adjusted EBITDA, and adjusted return on average equity during the third quarter, while achieving
Third Quarter 2025 Highlights |
|
Total originations of |
|
Originated |
|
|
Net revenue of |
|
|
Net income attributable to Guild of |
|
|
Servicing portfolio unpaid principal balance of |
|
|
Adjusted net income and adjusted EBITDA, non-GAAP measures, totaled |
|
|
Return on average equity of |
Third Quarter Summary
Please refer to “Key Performance Indicators” and “GAAP to Non-GAAP Reconciliations” elsewhere in this release for a description of the key performance indicators and definitions of the non-GAAP measures and reconciliations to the nearest comparable financial measures calculated and presented in accordance with accounting principles generally accepted in
($ amounts in millions, except per share amounts) |
3Q'25 |
2Q'25 |
3Q'24 |
YTD'25 |
YTD'24 |
Total originations |
|
|
|
|
|
Gain on sale margin on originations (bps) |
347 |
329 |
333 |
348 |
337 |
Gain on sale margin on pull-through adjusted locked volume (bps) |
319 |
315 |
321 |
317 |
311 |
UPB of servicing portfolio (period end) |
|
|
|
|
|
Net revenue |
|
|
|
|
|
Total expenses |
|
|
|
|
|
Net income (loss) attributable to Guild |
|
|
( |
|
( |
Return on average equity |
|
|
( |
|
( |
Adjusted net income |
|
|
|
|
|
Adjusted EBITDA |
|
|
|
|
|
Adjusted return on average equity |
15.3 % |
13.7 % |
10.6 % |
11.8 % |
8.0 % |
Earnings (loss) per share—Basic |
|
|
( |
|
( |
Earnings (loss) per share—Diluted |
|
|
( |
|
( |
Adjusted earnings per share—Basic |
|
|
|
|
|
Adjusted earnings per share—Diluted |
|
|
|
|
|
Origination Segment Results
Origination segment net income was
($ amounts in millions) |
3Q'25 |
2Q'25 |
3Q'24 |
YTD'25 |
YTD'24 |
Total originations |
|
|
|
|
|
Total origination units (000’s) |
21.5 |
21.4 |
20.1 |
58.2 |
51.2 |
Net revenue |
|
|
|
|
|
Total expenses |
|
|
|
|
|
Net income (loss) allocated to origination |
|
|
|
|
( |
Servicing Segment Results
Servicing segment net income was
In third quarter 2025, valuation adjustments with respect to the Company’s MSRs totaled a loss of
($ amounts in millions) |
3Q'25 |
2Q'25 |
3Q'24 |
YTD'25 |
YTD'24 |
UPB of servicing portfolio (period end) |
|
|
|
|
|
# Loans serviced (000’s) (period end) |
387 |
381 |
365 |
387 |
365 |
Loan servicing and other fees |
|
|
|
|
|
Valuation adjustment of MSRs |
( |
( |
( |
( |
( |
Net revenue |
|
|
( |
|
|
Total expenses |
|
|
|
|
|
Net income (loss) allocated to servicing |
|
|
( |
|
|
Dividends
On August 6, 2025, the Company's Board of Directors declared a special cash dividend of
Balance Sheet and Liquidity Highlights
The Company’s cash and cash equivalents were
(in millions, except per share amounts) |
September 30,
|
December 31,
|
||
Cash and cash equivalents |
$ |
106.4 |
$ |
118.2 |
Mortgage servicing rights, at fair value |
$ |
1,335.1 |
$ |
1,343.8 |
Warehouse lines of credit, net |
$ |
1,593.9 |
$ |
1,414.6 |
Notes payable, net |
$ |
339.1 |
$ |
300.0 |
Total stockholders’ equity |
$ |
1,237.6 |
$ |
1,254.0 |
|
|
|
||
Tangible net book value per share(1) |
$ |
16.35 |
$ |
16.59 |
| _____________ | ||
(1) |
See “GAAP to Non-GAAP Reconciliations” for a description of this non-GAAP measure and reconciliation to the nearest comparable financial measures calculated and presented in accordance with GAAP. |
|
Webcast and Conference Call
Due to the pending Merger pursuant to the Merger Agreement by and among the Company, the Parent, and the Merger Sub, the Company will not host a conference call in conjunction with this quarterly earnings release. For more information on the pending Merger, visit https://ir.guildmortgage.com/.
About Guild Holdings Company
Guild Mortgage Company, a wholly owned subsidiary of Guild Holdings Company (NYSE: GHLD), was founded in 1960 and is a nationally recognized independent mortgage lender providing residential mortgage products and local in-house origination and servicing. Guild employs a relationship-based loan sourcing strategy to execute on its mission of delivering the promise of homeownership in neighborhoods and communities across 49 states and the
Forward-Looking Statements
This press release and a related presentation by management of Guild Holdings Company (the “Company”) contains forward-looking statements, including statements about the Company’s growth strategies, the completion of the pending Merger, the Company’s future revenue, operating performance or capital position, ongoing pursuit of growth opportunities and growth strategies, expectations regarding home sales and mortgage activity, the impact of future interest rate environments and any other statements that are not historical facts. These forward-looking statements reflect our current expectations and judgments about future events and our financial performance. These statements are often, but not always, made through the use of words or phrases such as “may,” “should,” “could,” “predict,” “potential,” “believe,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “estimate,” “intend,” “plan,” “projection,” “would” and “outlook,” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature.
Important factors that could cause our actual results or actual events to differ materially from those expressed in or implied by forward-looking statements include, but are not limited to, the following: any disruptions in the secondary home loan market and their effects on our ability to sell the loans that we originate at attractive pricing; any changes in macroeconomic and
Any forward-looking statement speaks only as of the date on which it is made, and, except as otherwise required by law, we undertake no obligation to update any forward-looking statement made in this press release or any related presentation by Company management.
Non-GAAP Financial Measures
To supplement our financial statements presented in accordance with GAAP and to provide investors with additional information regarding our GAAP financial results, we disclose certain financial measures for our consolidated and operating segment results on both a GAAP and a non-GAAP (adjusted) basis. The non-GAAP financial measures disclosed should be viewed in addition to, and not as an alternative to, results prepared in accordance with GAAP. These non-GAAP financial measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similarly titled measures presented by other companies.
Adjusted net income. Net income (loss) is the most directly comparable financial measure calculated and presented in accordance with GAAP for adjusted net income, a non-GAAP measure. We define adjusted net income as earnings or loss attributable to Guild excluding (i) the change in the fair value measurements related to our MSRs due to changes in model inputs and assumptions, (ii) change in the fair value of contingent liabilities related to completed acquisitions, net of change in the fair value of notes receivable related to acquisitions, (iii) amortization of acquired intangible assets, (iv) stock-based compensation and (v) merger-related expenses. We exclude these items because we believe they are non-cash and / or expenses that are not reflective of our core operations or indicative of our ongoing operations. Adjusted net income is also adjusted by applying an estimated effective tax rate to these adjustments. We exclude the change in the fair value of MSRs, a non-cash, non-realized adjustment to net revenues, from adjusted net income and adjusted EBITDA below because it is not indicative of our operating performance or results of operations. The change in fair value of MSRs is due to changes in model inputs and assumptions such as prepayment speed, discount rate, cost to service assumptions and other factors that impact the carrying value of our MSRs from period to period. Merger-related expenses relate to the previously announced proposed Merger between the Company, the Parent and the Merger Sub pursuant to the Merger Agreement and includes direct transaction costs for external advisory, legal and other professional services, loan officer retention bonuses and integration related costs.
Adjusted earnings per share—Basic and Diluted. Earnings per share is the most directly comparable financial measure calculated and presented in accordance with GAAP for adjusted earnings per share, a non-GAAP measure. We define adjusted earnings per share as our adjusted net income divided by the basic and diluted weighted average shares outstanding of our Class A and Class B common stock. Diluted weighted average shares outstanding is adjusted to include potential shares of Class A common stock related to unvested restricted stock grants that were excluded from the calculation of GAAP diluted loss per share because they were anti-dilutive due to the net loss, when applicable.
Adjusted EBITDA. Net income (loss) is the most directly comparable financial measure calculated and presented in accordance with GAAP for adjusted EBITDA, a non-GAAP measure. We define adjusted EBITDA as earnings before (i) interest expense on non-funding debt (without adjustment for net warehouse interest related to loan fundings and payoff interest related to loan prepayments), (ii) taxes, (iii) depreciation and amortization and (iv) net income attributable to the non-controlling interests and excluding (v) any change in the fair value measurements of our MSRs due to valuation assumptions, (vi) change in the fair value of contingent liabilities related to completed acquisitions, net of change in the fair value of notes receivable related to acquisitions, (vii) stock-based compensation and (viii) merger-related expenses. We exclude these items because we believe they are not reflective of our core operations or indicative of our ongoing operations.
Adjusted return on average equity. Return on average equity is the most directly comparable financial measure calculated and presented in accordance with GAAP for adjusted return on average equity, a non-GAAP measure. We define adjusted return on average equity as annualized adjusted net income as a percentage of average beginning and ending stockholders’ equity during the period.
Tangible net book value per share. Book value per share is the most directly comparable financial measure calculated and presented in accordance with GAAP for tangible net book value per share, a non-GAAP measure. We define tangible net book value per share as total stockholders’ equity attributable to Guild, less goodwill and intangible assets, net divided by the total shares of our Class A and Class B common stock outstanding.
We use these non-GAAP financial measures (other than tangible net book value per share) to evaluate our operating performance, to establish budgets and to develop operational goals for managing our business. These non-GAAP financial measures are designed to evaluate operating results exclusive of fair value and other adjustments that are not indicative of our business’s operating performance. Accordingly, we believe that these financial measures provide useful information to investors and others in understanding and evaluating our operating results, enhancing the overall understanding of our past performance and future prospects. In addition, management uses the non-GAAP financial measure of tangible net book value per share to evaluate the adequacy of our stockholders’ equity and assess our capital position to make capital allocation decisions. We believe tangible net book value provides useful information to investors in assessing the strength of our financial position.
For more information on these non-GAAP financial measures, please see the “GAAP to Non-GAAP Reconciliations” included at the end of this release.
Condensed Consolidated Balance Sheets |
||||||
(unaudited) |
||||||
(in thousands, except share and per share amounts) |
|
Sep 30,
|
|
Dec 31,
|
||
Assets |
|
|
|
|
||
Cash and cash equivalents |
|
$ |
106,401 |
|
$ |
118,203 |
Restricted cash |
|
|
10,285 |
|
|
6,853 |
Mortgage loans held for sale, at fair value |
|
|
1,750,229 |
|
|
1,523,447 |
Reverse mortgage loans held for investment, at fair value |
|
|
557,972 |
|
|
451,704 |
Ginnie Mae loans subject to repurchase right |
|
|
796,282 |
|
|
807,283 |
Mortgage servicing rights, at fair value |
|
|
1,335,117 |
|
|
1,343,829 |
Advances, net |
|
|
76,480 |
|
|
85,523 |
Property and equipment, net |
|
|
22,171 |
|
|
19,032 |
Right-of-use assets |
|
|
57,672 |
|
|
67,139 |
Goodwill and intangible assets, net |
|
|
219,306 |
|
|
225,994 |
Other assets |
|
|
165,119 |
|
|
119,296 |
Total assets |
|
$ |
5,097,034 |
|
$ |
4,768,303 |
Liabilities and stockholders’ equity |
|
|
|
|
||
Warehouse lines of credit, net |
|
$ |
1,593,909 |
|
$ |
1,414,563 |
Home Equity Conversion Mortgage-Backed Securities (“HMBS”) related borrowings |
|
|
534,610 |
|
|
425,979 |
Ginnie Mae loans subject to repurchase right |
|
|
799,926 |
|
|
817,271 |
Notes payable, net |
|
|
339,131 |
|
|
300,000 |
Accounts payable and accrued expenses |
|
|
116,778 |
|
|
92,401 |
Operating lease liabilities |
|
|
66,834 |
|
|
76,980 |
Deferred tax liabilities |
|
|
253,713 |
|
|
251,440 |
Other liabilities |
|
|
154,552 |
|
|
135,659 |
Total liabilities |
|
|
3,859,453 |
|
|
3,514,293 |
Commitments and contingencies |
|
|
|
|
||
Stockholders’ equity |
|
|
|
|
||
Preferred stock, |
|
|
— |
|
|
— |
Class A common stock, |
|
|
219 |
|
|
216 |
Class B convertible common stock, |
|
|
403 |
|
|
403 |
Additional paid-in capital |
|
|
54,858 |
|
|
51,996 |
Retained earnings |
|
|
1,181,657 |
|
|
1,200,908 |
Non-controlling interests |
|
|
444 |
|
|
487 |
Total stockholders' equity |
|
|
1,237,581 |
|
|
1,254,010 |
Total liabilities and stockholders’ equity |
|
$ |
5,097,034 |
|
$ |
4,768,303 |
Condensed Consolidated Statements of Operations |
||||||||||||||||||||
(unaudited) |
||||||||||||||||||||
|
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||||||
(in thousands, except per share amounts) |
|
Sep 30,
|
|
Jun 30,
|
|
Sep 30,
|
|
Sep 30,
|
|
Sep 30,
|
||||||||||
Revenue |
|
|
|
|
|
|
|
|
|
|
||||||||||
Loan origination fees and gain on sale of loans, net |
|
$ |
243,850 |
|
|
$ |
236,001 |
|
|
$ |
220,611 |
|
|
$ |
665,064 |
|
|
$ |
560,519 |
|
Gain on reverse mortgage loans held for investment and HMBS-related borrowings, net |
|
|
4,018 |
|
|
|
2,591 |
|
|
|
2,367 |
|
|
|
9,524 |
|
|
|
7,731 |
|
Loan servicing and other fees |
|
|
73,931 |
|
|
|
72,745 |
|
|
|
70,951 |
|
|
|
219,427 |
|
|
|
204,448 |
|
Valuation adjustment of mortgage servicing rights |
|
|
(29,009 |
) |
|
|
(41,313 |
) |
|
|
(145,776 |
) |
|
|
(140,258 |
) |
|
|
(122,864 |
) |
Interest income |
|
|
43,350 |
|
|
|
38,714 |
|
|
|
43,808 |
|
|
|
111,158 |
|
|
|
104,755 |
|
Interest expense |
|
|
(29,215 |
) |
|
|
(28,963 |
) |
|
|
(33,339 |
) |
|
|
(80,257 |
) |
|
|
(78,527 |
) |
Other income (expense), net |
|
|
512 |
|
|
|
(330 |
) |
|
|
635 |
|
|
|
710 |
|
|
|
662 |
|
Net revenue |
|
|
307,437 |
|
|
|
279,445 |
|
|
|
159,257 |
|
|
|
785,368 |
|
|
|
676,724 |
|
Expenses |
|
|
|
|
|
|
|
|
|
|
||||||||||
Salaries, incentive compensation and benefits |
|
|
207,901 |
|
|
|
202,838 |
|
|
|
199,005 |
|
|
|
583,951 |
|
|
|
528,010 |
|
General and administrative |
|
|
29,339 |
|
|
|
31,426 |
|
|
|
26,718 |
|
|
|
89,918 |
|
|
|
84,327 |
|
Occupancy, equipment and communication |
|
|
19,542 |
|
|
|
19,913 |
|
|
|
22,001 |
|
|
|
61,175 |
|
|
|
62,164 |
|
Depreciation and amortization |
|
|
3,528 |
|
|
|
3,611 |
|
|
|
3,753 |
|
|
|
10,786 |
|
|
|
11,477 |
|
Provision for foreclosure losses |
|
|
1,148 |
|
|
|
1,115 |
|
|
|
613 |
|
|
|
4,641 |
|
|
|
509 |
|
Total expenses |
|
|
261,458 |
|
|
|
258,903 |
|
|
|
252,090 |
|
|
|
750,471 |
|
|
|
686,487 |
|
Income (loss) before income taxes |
|
|
45,979 |
|
|
|
20,542 |
|
|
|
(92,833 |
) |
|
|
34,897 |
|
|
|
(9,763 |
) |
Income tax expense (benefit) |
|
|
12,636 |
|
|
|
1,879 |
|
|
|
(25,882 |
) |
|
|
6,850 |
|
|
|
(8,803 |
) |
Net income (loss) |
|
|
33,343 |
|
|
|
18,663 |
|
|
|
(66,951 |
) |
|
|
28,047 |
|
|
|
(960 |
) |
Net income (loss) attributable to non-controlling interests |
|
|
17 |
|
|
|
2 |
|
|
|
(59 |
) |
|
|
(43 |
) |
|
|
(149 |
) |
Net income (loss) attributable to Guild |
|
$ |
33,326 |
|
|
$ |
18,661 |
|
|
$ |
(66,892 |
) |
|
$ |
28,090 |
|
|
$ |
(811 |
) |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Earnings (loss) per share attributable to Class A and Class B common stock: |
||||||||||||||||||||
Basic |
|
$ |
0.54 |
|
|
$ |
0.30 |
|
|
$ |
(1.09 |
) |
|
$ |
0.45 |
|
|
$ |
(0.01 |
) |
Diluted |
|
$ |
0.53 |
|
|
$ |
0.30 |
|
|
$ |
(1.09 |
) |
|
$ |
0.45 |
|
|
$ |
(0.01 |
) |
Weighted average shares outstanding of Class A and Class B common stock: |
||||||||||||||||||||
Basic |
|
|
62,253 |
|
|
|
62,168 |
|
|
|
61,390 |
|
|
|
62,111 |
|
|
|
61,279 |
|
Diluted |
|
|
62,814 |
|
|
|
62,622 |
|
|
|
61,390 |
|
|
|
62,626 |
|
|
|
61,279 |
|
Key Performance Indicators
Management reviews several key performance indicators and metrics to evaluate our business results, measure our performance and identify trends to inform our business decisions. Summary data for these key performance indicators and metrics is listed below.
|
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||||||
($ and units in thousands) |
|
Sep 30,
|
|
Jun 30,
|
|
Sep 30,
|
|
Sep 30,
|
|
Sep 30,
|
||||||||||
Origination Data |
|
|
|
|
|
|
|
|
|
|
||||||||||
Total originations(1) |
|
$ |
7,386,127 |
|
|
$ |
7,474,794 |
|
|
$ |
6,905,527 |
|
|
$ |
20,065,486 |
|
|
$ |
17,283,964 |
|
Total originations (units)(2) |
|
|
21.5 |
|
|
|
21.4 |
|
|
|
20.1 |
|
|
|
58.2 |
|
|
|
51.2 |
|
Total loans sold(3) |
|
$ |
7,225,008 |
|
|
$ |
6,813,533 |
|
|
$ |
6,667,061 |
|
|
$ |
19,229,946 |
|
|
$ |
16,012,707 |
|
Gain on sale margin (bps)(4) |
|
|
347 |
|
|
|
329 |
|
|
|
333 |
|
|
|
348 |
|
|
|
337 |
|
Pull-through adjusted locked volume(5) |
|
$ |
7,651,601 |
|
|
$ |
7,488,520 |
|
|
$ |
6,868,012 |
|
|
$ |
20,969,748 |
|
|
$ |
18,040,374 |
|
Gain on sale margin on pull-through adjusted locked volume (bps)(6) |
|
|
319 |
|
|
|
315 |
|
|
|
321 |
|
|
|
317 |
|
|
|
311 |
|
Purchase recapture rate(7) |
|
|
23 |
% |
|
|
27 |
% |
|
|
29 |
% |
|
|
23 |
% |
|
|
28 |
% |
Refinance recapture rate(7) |
|
|
49 |
% |
|
|
37 |
% |
|
|
41 |
% |
|
|
50 |
% |
|
|
35 |
% |
Purchase origination % |
|
|
86 |
% |
|
|
89 |
% |
|
|
88 |
% |
|
|
87 |
% |
|
|
90 |
% |
Servicing Data |
|
|
|
|
|
|
|
|
|
|
||||||||||
UPB (period end)(8) |
|
$ |
98,337,330 |
|
|
$ |
96,275,766 |
|
|
$ |
91,485,163 |
|
|
$ |
98,337,330 |
|
|
$ |
91,485,163 |
|
Loans serviced (period end)(9) |
|
|
387 |
|
|
|
381 |
|
|
|
365 |
|
|
|
387 |
|
|
|
365 |
|
_________________
(1) |
Total originations includes retail forward and reverse, brokered, wholesale and correspondent loans. |
|
(2) |
Total origination units excludes second lien mortgages originated at the same time as the first mortgage or shortly thereafter. |
|
(3) |
Represents the UPB of forward loans sold and reverse loans securitized. |
|
(4) |
Represents loan origination fees and gain on sale of loans, net plus gain on reverse mortgage loans held for investment and HMBS-related borrowings, net divided by total originations, excluding brokered and wholesale loans, to derive basis points. |
|
(5) |
Pull-through adjusted locked volume is equal to total locked volume, which excludes reverse loans, multiplied by pull-through rates of |
|
(6) |
Represents loan origination fees and gain on sale of loans, net divided by pull-through adjusted locked volume. |
|
(7) |
Purchase recapture rate is calculated as the ratio of (i) UPB of our clients that originated a new mortgage with us for the purchase of a home in a given period, to (ii) total UPB of our clients that paid off their existing mortgage as a result of selling their home in a given period. Refinance recapture rate is calculated as the ratio of (i) UPB of our clients that originated a new mortgage loan for the purpose of refinancing an existing mortgage with us in a given period, to (ii) total UPB of our clients that paid off their existing mortgage as a result of refinancing their home in the same period. These calculations exclude clients to whom we did not actively market due to contractual prohibitions or other business reasons. |
|
(8) |
Excludes subserviced forward and reverse mortgage loans, which had UPB of |
|
(9) |
Includes loans held for sale and pending service release loans, which had period end number of loans serviced of approximately 7 thousand, 7 thousand and 8 thousand as of September 30, 2025, June 30, 2025, and September 30, 2024, respectively. |
GAAP to Non-GAAP Reconciliations |
||||||||||||||||||||
|
|
|
|
|
||||||||||||||||
Reconciliation of Net Income (Loss) to Adjusted Net Income and Earnings (Loss) Per Share to Adjusted Earnings Per Share |
||||||||||||||||||||
(unaudited) |
||||||||||||||||||||
|
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||||||
(in millions, except per share amounts) |
|
Sep 30,
|
|
Jun 30,
|
|
Sep 30,
|
|
Sep 30,
|
|
Sep 30,
|
||||||||||
Net income (loss) attributable to Guild |
|
$ |
33.3 |
|
|
$ |
18.7 |
|
|
$ |
(66.9 |
) |
|
$ |
28.1 |
|
|
$ |
(0.8 |
) |
Add adjustments: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Change in fair value of MSRs due to model inputs and assumption |
|
|
7.9 |
|
|
|
19.5 |
|
|
|
124.0 |
|
|
|
82.3 |
|
|
|
70.4 |
|
Change in fair value of contingent liabilities and notes receivable due to acquisitions, net |
|
|
2.3 |
|
|
|
2.1 |
|
|
|
3.2 |
|
|
|
6.4 |
|
|
|
10.6 |
|
Amortization of acquired intangible assets |
|
|
2.2 |
|
|
|
2.2 |
|
|
|
2.2 |
|
|
|
6.7 |
|
|
|
6.8 |
|
Stock-based compensation |
|
|
1.9 |
|
|
|
1.8 |
|
|
|
2.9 |
|
|
|
5.3 |
|
|
|
7.7 |
|
Merger-related expenses |
|
|
4.0 |
|
|
|
4.4 |
|
|
|
— |
|
|
|
8.3 |
|
|
|
— |
|
Tax impact of adjustments(1) |
|
|
(4.5 |
) |
|
|
(7.2 |
) |
|
|
(33.7 |
) |
|
|
(27.0 |
) |
|
|
(24.3 |
) |
Adjusted net income |
|
$ |
47.0 |
|
|
$ |
41.4 |
|
|
$ |
31.7 |
|
|
$ |
110.1 |
|
|
$ |
70.4 |
|
Weighted average shares outstanding of Class A and Class B common stock: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic |
|
|
62.3 |
|
|
|
62.2 |
|
|
|
61.4 |
|
|
|
62.1 |
|
|
|
61.3 |
|
Diluted |
|
|
62.8 |
|
|
|
62.6 |
|
|
|
61.4 |
|
|
|
62.6 |
|
|
|
61.3 |
|
Adjusted diluted(2) |
|
|
62.8 |
|
|
|
62.6 |
|
|
|
62.5 |
|
|
|
62.6 |
|
|
|
62.4 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Earnings (loss) per share—Basic |
|
$ |
0.54 |
|
|
$ |
0.30 |
|
|
$ |
(1.09 |
) |
|
$ |
0.45 |
|
|
$ |
(0.01 |
) |
Earnings (loss) per share—Diluted |
|
$ |
0.53 |
|
|
$ |
0.30 |
|
|
$ |
(1.09 |
) |
|
$ |
0.45 |
|
|
$ |
(0.01 |
) |
Adjusted earnings per share—Basic |
|
$ |
0.76 |
|
|
$ |
0.67 |
|
|
$ |
0.52 |
|
|
$ |
1.77 |
|
|
$ |
1.15 |
|
Adjusted earnings per share—Diluted |
|
$ |
0.75 |
|
|
$ |
0.66 |
|
|
$ |
0.51 |
|
|
$ |
1.76 |
|
|
$ |
1.13 |
|
_________________ |
||
Amounts may not foot due to rounding |
||
(1) |
Calculated using the estimated effective tax rate of |
|
(2) |
Adjusted diluted weighted average shares outstanding of Class A and Class B common stock for the three and nine months ended September 30, 2024 includes 1.2 million and 1.1 million, respectively, potential shares of Class A common stock related to unvested restricted stock grants that were excluded from the calculation of GAAP diluted loss per share because they were anti-dilutive. There were no adjustments for the three months ended September 30, 2025 and June 30, 2025 or the nine months ended September 30, 2025. |
|
Reconciliation of Net Income (Loss) to Adjusted EBITDA |
|||||||||||||||||
(unaudited) |
|||||||||||||||||
|
|
Three Months Ended |
|
Nine Months Ended |
|||||||||||||
(in millions) |
|
Sep 30,
|
|
Jun 30,
|
|
Sep 30,
|
|
Sep 30,
|
|
Sep 30,
|
|||||||
Net income (loss) |
|
$ |
33.3 |
|
$ |
18.7 |
|
$ |
(67.0 |
) |
|
$ |
28.0 |
|
$ |
(1.0 |
) |
Add adjustments: |
|
|
|
|
|
|
|
|
|
|
|||||||
Interest expense on non-funding debt |
|
|
6.5 |
|
|
6.1 |
|
|
5.5 |
|
|
|
18.4 |
|
|
13.5 |
|
Income tax expense (benefit) |
|
|
12.6 |
|
|
1.9 |
|
|
(25.9 |
) |
|
|
6.9 |
|
|
(8.8 |
) |
Depreciation and amortization |
|
|
3.5 |
|
|
3.6 |
|
|
3.8 |
|
|
|
10.8 |
|
|
11.5 |
|
Change in fair value of MSRs due to model inputs and assumptions |
|
|
7.9 |
|
|
19.5 |
|
|
124.0 |
|
|
|
82.3 |
|
|
70.4 |
|
Change in fair value of contingent liabilities and notes receivable due to acquisitions, net |
|
|
2.3 |
|
|
2.1 |
|
|
3.2 |
|
|
|
6.4 |
|
|
10.6 |
|
Stock-based compensation |
|
|
1.9 |
|
|
1.8 |
|
|
2.9 |
|
|
|
5.3 |
|
|
7.7 |
|
Merger-related expenses |
|
|
4.0 |
|
|
4.4 |
|
|
— |
|
|
|
8.3 |
|
|
— |
|
Adjusted EBITDA |
|
$ |
72.0 |
|
$ |
58.0 |
|
$ |
46.4 |
|
|
$ |
166.4 |
|
$ |
103.9 |
|
___________________ |
Amounts may not foot due to rounding |
Reconciliation of Return on Average Equity to Adjusted Return on Average Equity |
||||||||||||||||||||
(unaudited) |
||||||||||||||||||||
|
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||||||
($ in millions) |
|
Sep 30,
|
|
Jun 30,
|
|
Sep 30,
|
|
Sep 30,
|
|
Sep 30,
|
||||||||||
Income Statement Data: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Net income (loss) attributable to Guild |
|
$ |
33.3 |
|
|
$ |
18.7 |
|
|
$ |
(66.9 |
) |
|
$ |
28.1 |
|
|
$ |
(0.8 |
) |
Adjusted net income |
|
$ |
47.0 |
|
|
$ |
41.4 |
|
|
$ |
31.7 |
|
|
$ |
110.1 |
|
|
$ |
70.4 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Average stockholders’ equity |
|
$ |
1,227.8 |
|
|
$ |
1,209.2 |
|
|
$ |
1,190.2 |
|
|
$ |
1,245.8 |
|
|
$ |
1,170.7 |
|
Return on average equity |
|
|
10.9 |
% |
|
|
6.2 |
% |
|
|
(22.5 |
%) |
|
|
3.0 |
% |
|
|
(0.1 |
%) |
Adjusted return on average equity |
|
|
15.3 |
% |
|
|
13.7 |
% |
|
|
10.6 |
% |
|
|
11.8 |
% |
|
|
8.0 |
% |
Reconciliation of Book Value Per Share to Tangible Net Book Value Per Share |
||||||||
(unaudited) |
||||||||
(in millions, except per share amounts) |
|
Sep 30,
|
|
Dec 31,
|
||||
Total stockholders' equity |
|
$ |
1,237.6 |
|
|
$ |
1,254.0 |
|
Less: non-controlling interests |
|
|
0.4 |
|
|
|
0.5 |
|
Total stockholders' equity attributable to Guild |
|
$ |
1,237.1 |
|
|
$ |
1,253.5 |
|
Adjustments: |
|
|
|
|
||||
Goodwill |
|
|
(198.7 |
) |
|
|
(198.7 |
) |
Intangible assets, net |
|
|
(20.6 |
) |
|
|
(27.3 |
) |
Tangible common equity |
|
$ |
1,017.8 |
|
|
$ |
1,027.5 |
|
|
|
|
|
|
||||
Ending shares of Class A and Class B common stock outstanding |
|
|
62.3 |
|
|
|
61.9 |
|
|
|
|
|
|
||||
Book value per share |
|
$ |
19.87 |
|
|
$ |
20.24 |
|
Tangible net book value per share(1) |
|
$ |
16.35 |
|
|
$ |
16.59 |
|
_________________ |
||
| Amounts may not foot due to rounding | ||
(1) |
Tangible net book value per share uses the same denominator as book value per share. |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20251105496890/en/
Investors:
investors@guildmortgage.net
858-956-5130
Media:
Melissa Rue
Nuffer, Smith, Tucker
mkr@nstpr.com
619-296-0605 Ext. 247
Source: Guild Holdings Company
