Welcome to our dedicated page for Velocity Financial news (Ticker: VEL), a resource for investors and traders seeking the latest updates and insights on Velocity Financial stock.
Velocity Financial, Inc. (NYSE: VEL) is a U.S. real estate finance company focused on business purpose and investor real estate loans, and its news flow centers on loan production, portfolio performance, securitizations and capital markets activity. The company describes itself as a leader in investor real estate loans and business purpose loans, with a portfolio secured by investor 1–4 family rental properties and a range of commercial property types.
News updates for Velocity commonly include quarterly and annual earnings releases that detail net income, core net income, diluted and core diluted earnings per share, portfolio net interest margin and net revenue. These releases also provide insight into record loan production volumes, growth in the total loan portfolio, and trends in nonperforming loans and real estate owned resolutions, including realization rates on resolved nonperforming assets.
Investors following VEL news will see regular disclosures on securitization activity, such as the completion of new securitizations, the collapse and refinancing of existing securitizations, and liquidity and warehouse line capacity metrics. Announcements can also cover equity capital actions, including issuance of common shares through an at-the-market offering program, and developments like a dual listing of the company’s common stock on NYSE Texas, Inc. alongside its primary New York Stock Exchange listing.
Other notable news items include rating agency reviews of securitizations issued by Velocity’s subsidiary, with rating affirmations and upgrades based on collateral and structure performance, and transactions such as the sale of nonperforming loans combined with third-party servicing mandates. For investors and analysts tracking VEL, this news page offers a centralized view of the company’s operating trends, credit performance, funding strategy and corporate milestones over time.
Velocity Financial, Inc. (NYSE: VEL) announced its CFO, Mark Szczepaniak, was honored as a finalist and ultimately awarded by the Los Angeles Times at the 2nd Annual CFO Leadership Awards, recognizing leadership among small to mid-sized public companies. CEO Chris Farrar praised Szczepaniak's contributions within the executive committee. The awards ceremony emphasized the importance of CFO leadership, with details on all recipients to be published in the L.A. Times' C-Suite Magazine on July 24, 2022. Velocity is a real estate finance firm originating loans secured by residential rental and small commercial properties.
Velocity Financial, Inc. (NYSE: VEL) announced that Kroll Bond Rating Agency (KBRA) has upgraded and affirmed the ratings on 15 outstanding securitizations from its subsidiary, Velocity Commercial Capital, LLC. The action follows KBRA’s comprehensive surveillance review and indicates stable collateral performance with minimal losses since issuance, ranging from 0.00% to 0.58%. Nine of these securitizations experienced no losses at all. The rating upgrades reflect improved credit support and positive trends in the underlying loans.
Velocity Financial, Inc. (NYSE: VEL) reported a net income of $3.1 million and diluted EPS of $0.09 for 1Q22, down from $8.4 million and $0.24 in 4Q21. However, core net income rose to $12.4 million, a 23.1% increase from the previous quarter. Loan production hit a record of $581.4 million, up 16.8% quarter-over-quarter. The nonaccrual loan percentage decreased to 9.8% from 10.9%. The company refinanced $215 million of debt, lowering interest costs. Despite macroeconomic challenges, Velocity cites a strong capital position and robust growth opportunities in the investor real estate loans market.
Velocity Financial, Inc. (NYSE:VEL) is set to release its Q1 2022 financial results on May 5, 2022, after market close. The executive management team will host a conference call at 2:00 p.m. PT to discuss these results. Interested parties can access the live webcast through the Investor Relations section of Velocity's website. A replay of the call will be available until May 31, 2022. Velocity focuses on originating and managing investor loans for residential rental and small commercial properties across the U.S.
Velocity Financial, Inc. (NYSE: VEL) announced the issuance of $215 million in five-year Senior Secured Notes with an interest rate of 7.125%, maturing on March 15, 2027. The notes, which settled on March 15, 2022, aim to refinance existing debt while providing additional capital for new loan investments. CFO Mark R. Szczepaniak highlighted that this transaction reduces interest rates and stabilizes the company’s debt structure. The notes are not registered under the Securities Act, limiting their offer and sale in the U.S.
Velocity Financial, Inc. (NYSE: VEL) reported strong financial performance for 4Q21, with a net income of $8.4 million and diluted EPS of $0.24, reflecting a solid increase compared to 3Q21. The company achieved a record loan production volume of $497.8 million, a 46.1% quarter-over-quarter increase. Core net income rose 25.7% to $10.1 million, driven by growth in the held-for-investment loan portfolio, which increased 10.1% year-over-year to $2.5 billion. However, the portfolio net interest margin decreased to 4.27% from 4.97% in 3Q21, impacted by the collapse of higher-cost securitizations.
Velocity Financial, Inc. (NYSE: VEL) has announced significant preliminary financial and operational updates for Q4 2021. The company expects loan production of approximately $497.8 million, representing a 46% increase from the previous quarter. Projected net income ranges from $8.2 million to $8.6 million, with diluted EPS estimated between $0.24 and $0.25. Total loans held for investment are estimated at $2.5 billion, and nonperforming loans are expected to decline to between 10.3% and 10.8%. Additionally, the company completed two securitizations and acquired a majority stake in Century Health for $12.8 million.
Velocity Financial, Inc. (NYSE: VEL) has successfully acquired a majority stake in Century Health & Housing Capital, enhancing its commercial mortgage product offerings. Century, established in 1992, specializes in government-insured FHA financing for multifamily and senior housing. The acquisition is poised to diversify Velocity's revenue and is immediately accretive to earnings with a minimal impact on tangible book value. This strategic move is expected to leverage Velocity's national footprint for organic growth and enhance fee-based income.
Velocity Financial, Inc. (NYSE: VEL) reported Q3 2021 net income and core income of $8.02 million, a decrease from Q2 2021's $9.45 million. Diluted EPS was $0.23, down from $0.28 in Q2. Loan production surged by 32.81% to $340.66 million, primarily driven by Investor 1-4 Rental loans. Portfolio net interest income rose by 9% to $26.6 million, with a margin of 4.97%. The company issued a $205.18 million securitization and doubled its warehouse financing facility to $200 million. Despite improvements in credit performance, the nonperforming loans remained a concern at 12.7% of loans held for investment.
Velocity Financial, Inc. (NYSE:VEL) is set to announce its third quarter 2021 results on November 3, 2021, after market close. The management will conduct a conference call at 2:00 p.m. PT to discuss the financial results. Investors can access the live webcast through the company's Investor Relations website. A replay will be available until November 30, 2021. Velocity specializes in small balance investor loans and operates nationwide through a network of mortgage brokers.
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