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PennyMac Mortgage Investment Trust Reports Fourth Quarter and Full-Year 2025 Results

PennyMac Mortgage Investment Trust Reports Fourth Quarter and Full-Year 2025 Results

WESTLAKE VILLAGE, Calif.–(BUSINESS WIRE)–
PennyMac Mortgage Investment Trust (NYSE: PMT) today reported net income attributable to common shareholders of $41.9 million, or $0.48 per common share for the fourth quarter of 2025, on net investment income of $93.6 million. PMT previously announced a cash dividend for the fourth quarter of 2025 of $0.40 per common share of beneficial interest, which was declared on December 10, 2025, and will be paid on January 23, 2026, to common shareholders of record as of December 26, 2025.

Fourth Quarter 2025 Highlights

Financial results:

  • Net income attributable to common shareholders of $41.9 million; annualized return on average common shareholders’ equity of 13 percent1

    • Strong results from the credit sensitive and interest rate sensitive strategies, including a tax benefit

  • Book value per common share was $15.25 at December 31, 2025, up from $15.16 at September 30, 2025

Other investment highlights:

  • Investment activity driven by acquisition volumes

    • Loans acquired totaled $5.5 billion in unpaid principal balance (UPB), up 18 percent from the prior quarter

      • Acquired $3.7 billion in UPB of conventional conforming and non-Agency loan volume from PennyMac Financial Services, Inc. (NYSE: PFSI) through their fulfillment agreement, up 10 percent from the prior quarter

      • Also acquired $1.8 billion in UPB of loans from PFSI’s production, up 40 percent from the prior quarter

      • Resulted in the creation of $53 million in new mortgage servicing rights (MSRs)

      • Closed three Agency-eligible investor loan securitizations, three jumbo loan securitizations, and two Agency-eligible owner occupied loan securitizations with a combined UPB of $2.8 billion

        • Generated $184 million of net new investments in non-Agency subordinate bonds2

Other highlights:

  • Raised $150 million through opportunistic reopenings of exchangeable senior notes due June 2029

Notable activity after quarter end:

  • Closed one jumbo loan securitization, one Agency-eligible investor loan securitization, and one Agency-eligible owner occupied loan securitization with a combined UPB of $1.1 billion

    • Generated $69 million of net new investments in non-Agency subordinate bonds2

Full-Year 2025 Highlights

Financial results:

  • Net income attributable to common shareholders of $86.1 million, versus $119.2 million in 2024; diluted earnings per share of $0.99 versus $1.37 in 2024

  • Dividends of $1.60 per common share

  • Book value per share decreased from $15.87 to $15.25

  • Net investment income of $307.5 million, down from $334.2 million in 2024

  • Return on average common equity of 6%3
  • Closed 19 private label securitizations with a combined UPB of $6.7 billion

    • Generated approximately $528 million of net new investments in non-Agency senior and subordinate bonds2
  • Purchased $876 million of agency floating rate mortgage-backed securities

  • Sold $195 million in Government-sponsored enterprise (GSE)-issued CRT investments

  • Issued $428 million in unsecured debt to address upcoming maturities and support growth

1

Return on average common equity is calculated based on net income attributable to common shareholders as a percentage of monthly average common equity during the quarter
 

2

 We consolidate the assets and liabilities of the trust that issued the subordinate and senior bonds; accordingly, these investments are shown as Loans held for investment at fair value and Asset-backed financing of variable interest entities at fair value on our consolidated balance sheets
 

3

 Return on average common equity is calculated based on net income attributable to common shareholders as a percentage of monthly average common equity during the year

“PMT delivered strong results in the fourth quarter, generating earnings per share of $0.48, above the dividend level for an annualized return on common equity of 13%,” said Chairman and CEO David Spector. “These results were primarily driven by solid contributions from our credit sensitive and interest rate sensitive strategies, including a tax benefit, demonstrating the earnings power of our investment portfolio in the current market environment. We took significant steps to build future earnings potential, accelerating our organic investment activity with the execution of eight private label securitizations totaling $2.8 billion in UPB, retaining more than $180 million in new subordinate bond investments with attractive return profiles. Additionally, we further strengthened our balance sheet and liquidity position through the opportunistic issuance of $150 million in exchangeable senior notes. These actions highlight our ability to actively manage capital and consistently create high-quality investments at scale.”

Mr. Spector continued, “Fundamentally, PMT’s success is anchored by its synergistic relationship with PFSI. Our ability to leverage PFSI’s multi-channel production platform and best-in-class servicing capabilities is unique in the industry and allows us to organically create a steady flow of investments with strong risk adjusted returns. As we look ahead, I am confident that this comprehensive platform will drive our ability to continue generating earnings that support our dividend and drive long-term value for our shareholders.”

The following table presents the contributions of PMT’s segments to pretax income:

Quarter ended December 31, 2025 Credit sensitive strategies Interest rate
sensitive
strategies		 Correspondent production Reportable segment total Corporate Total
 
(in thousands)
Net investment income:
Net gains on investments and financings
Mortgage-backed securities

$

—

 

$

31,353

 

$

—

 

$

31,353

 

$

—

 

$

31,353

 
Loans held for investment

 

8,659

 

 

(3,157

)

 

—

 

 

5,502

 

 

—

 

 

5,502

 
CRT investments

 

16,178

 

 

—

 

 

—

 

 

16,178

 

 

—

 

 

16,178

 

 

24,837

 

 

28,196

 

 

—

 

 

53,033

 

 

—

 

 

53,033

 
Net gains on loans held for sale

 

—

 

 

—

 

 

7,187

 

 

7,187

 

 

—

 

 

7,187

 
Net loan servicing fees

 

—

 

 

36,766

 

 

—

 

 

36,766

 

 

—

 

 

36,766

 
Net interest expense:
Interest income

 

17,546

 

 

189,031

 

 

39,429

 

 

246,006

 

 

2,246

 

 

248,252

 
Interest expense

 

18,887

 

 

201,308

 

 

33,134

 

 

253,329

 

 

1,385

 

 

254,714

 

 

(1,341

)

 

(12,277

)

 

6,295

 

 

(7,323

)

 

861

 

 

(6,462

)
Other

 

106

 

 

—

 

 

2,933

 

 

3,039

 

 

—

 

 

3,039

 

 

23,602

 

 

52,685

 

 

16,415

 

 

92,702

 

 

861

 

 

93,563

 
Expenses:
Earned by PennyMac Financial Services, Inc.:
Loan servicing fees

 

1

 

 

20,045

 

 

—

 

 

20,046

 

 

—

 

 

20,046

 
Management fees

 

—

 

 

—

 

 

—

 

 

—

 

 

6,856

 

 

6,856

 
Loan fulfillment fees

 

—

 

 

—

 

 

6,538

 

 

6,538

 

 

—

 

 

6,538

 
Professional Services

 

—

 

 

—

 

 

10,659

 

 

10,659

 

 

3,163

 

 

13,822

 
Compensation

 

—

 

 

—

 

 

—

 

 

—

 

 

3,263

 

 

3,263

 
Loan collection and liquidation

 

17

 

 

2,411

 

 

—

 

 

2,428

 

 

—

 

 

2,428

 
Safekeeping

 

—

 

 

1,018

 

 

80

 

 

1,098

 

 

—

 

 

1,098

 
Mortgage loan origination Fees

 

—

 

 

—

 

 

132

 

 

132

 

 

—

 

 

132

 
Other

 

78

 

 

739

 

 

23

 

 

840

 

 

2,427

 

 

3,267

 

 

96

 

 

24,213

 

 

17,432

 

 

41,741

 

 

15,709

 

 

57,450

 
Pretax income (loss)

$

23,506

 

$

28,472

 

$

(1,017

)

$

50,961

 

$

(14,848

)

$

36,113

 

Credit Sensitive Strategies Segment

The Credit Sensitive Strategies segment primarily includes results from PMT’s organically-created GSE CRT investments and investments in non-Agency subordinate bonds from private-label securitizations of PMT’s production. Pretax income for the segment was $23.5 million on net investment income of $23.6 million, compared to pretax income of $18.8 million on net investment income of $18.8 million in the prior quarter.

Net gains on investments in the segment were $24.8 million, compared to $17.6 million in the prior quarter. These net gains included $16.2 million of gains from PMT’s organically-created GSE CRT investments and $8.7 million of gains from non-Agency subordinate bonds from PMT’s production.

Net gains on PMT’s organically-created CRT investments for the quarter were $16.2 million, compared to $13.7 million in the prior quarter. These net gains included $3.6 million in valuation-related gains, which reflected the impact of credit spread tightening in the fourth quarter, up from $1.5 million in the prior quarter. Net gains on PMT’s organically-created CRT investments also included $13.3 million in realized gains and carry, compared to $13.5 million in the prior quarter. Realized losses during the quarter were $0.7 million, down from $1.3 million in the prior quarter.

Net interest expense for the segment totaled $1.3 million, compared to $1.3 million of net interest income in the prior quarter. Interest income totaled $17.5 million, down from $20.9 million in the prior quarter. Interest expense totaled $18.9 million, down from $19.6 million in the prior quarter.

Interest Rate Sensitive Strategies Segment

The Interest Rate Sensitive Strategies segment includes results from investments in MSRs, Agency MBS, non-Agency senior MBS and interest rate hedges. The segment includes investments that typically have offsetting fair value exposures to changes in interest rates. For example, in a period with decreasing interest rates, MSRs are expected to decrease in fair value, whereas Agency pass-through and non-Agency senior MBS are expected to increase in fair value. The results in the Interest Rate Sensitive Strategies segment consist of net gains and losses on investments, net loan servicing fees and net interest income, as well as associated expenses.

Pretax income for the segment was $28.5 million on net investment income of $52.7 million, compared to pretax income of $32.3 million on net investment income of $56.5 million in the prior quarter.

Net loan servicing fees were $36.8 million, compared to $15.4 million in the prior quarter. Net loan servicing fees included contractually specified servicing fees of $151.3 million and $4.0 million in other fees, reduced by $103.9 million in realization of MSR cash flows, which was up from $89.4 million in the prior quarter due to higher prepayment activity. Net loan servicing fees also included $26.2 million in fair value gains on MSRs, $45.0 million in hedging losses, and $4.1 million of MSR recapture income.

Net gains on investments for the segment were $28.2 million, which primarily consisted of gains on MBS. PMT’s hedging activities are intended to manage its net exposure across all interest rate sensitive strategies, which include MSRs, MBS and related tax effects.

The following schedule details net loan servicing fees:

Quarter ended
December 31, 2025 September 30, 2025 December 31, 2024
(in thousands)
From non-affiliates:
Contractually specified

$

151,320

 

$

151,395

 

$

159,553

 
Other fees

 

3,958

 

 

4,428

 

 

4,884

 
Effect of MSRs:
Change in fair value
Realization of cashflows

 

(103,859

)

 

(89,404

)

 

(90,612

)
Market changes

 

26,247

 

 

(26,975

)

 

183,879

 

 

(77,612

)

 

(116,379

)

 

93,267

 
Hedging results

 

(44,990

)

 

(27,360

)

 

(51,209

)

 

(122,602

)

 

(143,739

)

 

42,058

 
Net servicing fees from non-affiliates

 

32,676

 

 

12,084

 

 

206,495

 
From PFSI—MSR recapture income

 

4,090

 

 

3,345

 

 

926

 
Net loan servicing fees

$

36,766

 

$

15,429

 

$

207,421

 

Net interest expense for the segment was $12.3 million versus $5.4 million in the prior quarter. Interest income totaled $189.0 million, up from $173.8 million in the prior quarter primarily due to a higher amount of retained investments from private label securitizations. Interest expense totaled $201.3 million, up from $179.2 million in the prior quarter, due to higher financing balances.

Segment expenses were $24.2 million, unchanged from the prior quarter.

Correspondent Production Segment

Correspondent production volumes are initially acquired by PFSI. PMT retains the right to purchase up to 100 percent of non-government correspondent loan production. After purchasing certain conventional conforming and non-Agency eligible loans from PFSI, PMT sells or securitizes those loans, resulting in current period income. PMT’s Correspondent Production segment generated a pretax loss of $1.0 million in the fourth quarter, compared to $9.2 million of pretax income in the prior quarter.

PMT purchased a total of $3.7 billion in UPB of conventional conforming and non-Agency eligible loans through its fulfillment agreement that PFSI acquired from correspondent sellers, up 10 percent from the prior quarter. PMT acquired 17 percent of total conventional conforming correspondent production and 100 percent of non-Agency eligible correspondent production in the fourth quarter. PMT is expected to acquire all non-Agency eligible correspondent production and 15 to 25 percent of total conventional conforming correspondent production in the first quarter of 2026. Interest rate lock commitments on conventional conforming and non-Agency eligible loans for PMT’s account totaled $4.1 billion, down 7 percent from the prior quarter. Additionally, PMT acquired $1.8 billion in UPB of loans from PFSI’s production for inclusion in private label securitizations, up from $1.3 billion in the prior quarter.

Segment revenues were $16.4 million and included net gains on loans acquired for sale of $7.2 million, net interest income of $6.3 million, and other income of $2.9 million, which primarily consists of volume-based origination fees. Net gains on loans acquired for sale decreased $7.7 million from the prior quarter, due to the impact of spread widening on jumbo loans held for sale during aggregation and lower overall channel margins. Interest income was $39.4 million, up from $33.1 million in the prior quarter, and interest expense was $33.1 million, up from $28.2 million in the prior quarter.

Segment expenses were $17.4 million, up from $13.7 million in the prior quarter due to increased private label securitization activity. The weighted average fulfillment fee rate in the fourth quarter was 18 basis points, essentially unchanged from the prior quarter.

Corporate

Corporate includes interest income from cash and short-term investments, management fees, and corporate expenses.

Corporate revenues were $0.9 million, unchanged from the prior quarter. Corporate expenses were $15.7 million, up slightly from $14.3 million in the prior quarter, and consisted of management fees of $6.9 million and $8.9 million of other corporate expenses.

Taxes

PMT recorded a tax benefit of $16.2 million, driven primarily by net fair value declines on MSR and interest rate hedges held in its taxable REIT subsidiary.

Management’s slide presentation and accompanying materials will be available in the Investor Relations section of the Company’s website at pmt.pennymac.com after the market closes on Thursday, January 29, 2026. Management will also host a conference call and live audio webcast at 6:00 p.m. Eastern Time to review the Company’s financial results. The webcast can be accessed at pmt.pennymac.com, and a replay will be available shortly after its conclusion.

Individuals who are unable to access the website but would like to receive a copy of the materials should contact the Company’s Investor Relations department at 818.224.7028.

About PennyMac Mortgage Investment Trust

PennyMac Mortgage Investment Trust is a mortgage real estate investment trust (REIT) that invests primarily in residential mortgage loans and mortgage-related assets. PMT is externally managed by PNMAC Capital Management, LLC, a wholly-owned subsidiary of PennyMac Financial Services, Inc. (NYSE: PFSI). Additional information about PennyMac Mortgage Investment Trust is available at pmt.pennymac.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, regarding management’s beliefs, estimates, projections and assumptions with respect to, among other things, the Company’s financial results, future operations, business plans and investment strategies, as well as industry and market conditions, all of which are subject to change. Words like “believe,” “expect,” “anticipate,” “promise,” “plan,” and other expressions or words of similar meanings, as well as future or conditional verbs such as “will,” “would,” “should,” “could,” or “may” are generally intended to identify forward-looking statements. Actual results and operations for any future period may vary materially from those projected herein and from past results discussed herein. Factors which could cause actual results to differ materially from historical results or those anticipated include, but are not limited to: changes in interest rates; changes in macroeconomic, consumer and real estate market conditions; changes in housing prices, housing sales and real estate values; t changes in homeownership costs and affordability; compliance with changing federal, state and local laws and regulations that govern its business; the general economy or the real estate finance and real estate markets; events or circumstances which undermine confidence in the financial and housing markets or otherwise have a broad impact on financial and housing markets; the degree and nature of the Company’s competition; the availability of, and level of competition for, attractive risk adjusted investment opportunities in mortgage loans and mortgage related assets that satisfy the Company’s investment objectives; the concentration of credit risks to which the Company is exposed; the Company’s dependence on and potential conflicts with its manager, servicer and their affiliates; the Company’s ability to mitigate cybersecurity risks, cybersecurity incidents and technology disruptions; the development of artificial intelligence; the availability, terms and deployment of short term and long term capital; the adequacy of the Company’s cash reserves and working capital; the Company’s ability to maintain the desired relationship between its financing and the interest rates and maturities of its assets; the timing and amount of cash flows, if any, from the Company’ s investments; the Company’s engagement in private loan securitizations; the Company’s substantial amount of indebtedness; the performance, financial condition and liquidity of borrowers; the Company’s exposure to risks of loss from severe weather events, man-made or other natural conditions, including climate change and pandemics; the ability of the Company’s servicer, which also provides the Company with fulfillment services, to approve and monitor correspondent sellers and underwrite loans to investor standards; incomplete or inaccurate information or documentation provided by customers or counterparties, or adverse changes in the financial condition of the Company’s customers and counterparties; the Company’s indemnification and repurchase obligations in connection with mortgage loans it purchases and later sells or securitizes; the quality and enforceability of the collateral documentation evidencing the Company’ s ownership and rights in the assets in which it invests; increased rates of delinquency, defaults and forbearances and/or decreased recovery rates on the Company’s investments; the performance of mortgage loans underlying mortgage backed securities or other investments in which the Company retains credit risk; the Company’s ability to foreclose on its investments in a timely manner or at all; increased prepayments of the mortgages and other loans underlying the Company’s mortgage backed securities or relating to the Company’s mortgage servicing rights and other investments; risks associated with the discontinuation of LIBOR; the degree to which the Company’s hedging strategies may or may not protect it from interest rate volatility; the accuracy or changes in the estimates the Company makes about uncertainties, contingencies and asset and liability valuations; the Company’s ability to maintain appropriate internal control over financial reporting; the Company’s ability to detect misconduct and fraud; developments in the secondary markets for the Company’s mortgage loan products; legislative and regulatory changes that impact the mortgage loan industry or housing market regulatory or other changes that impact government agencies or government sponsored entities, or such changes that increase the cost of doing business with such agencies or entities; federal and state mortgage regulations and enforcement; changes in government support of homeownership and affordability programs; changes in the Company’s investment objectives or investment or operational strategies; limitations imposed on the Company’s business and its ability to satisfy complex rules for it to qualify as a REIT for U.S. federal income tax purposes and qualify for an exclusion from the Investment Company Act of 1940 and the ability of certain of the Company’s subsidiaries to qualify as REITs or as taxable REIT subsidiaries for U.S. federal income tax purposes; changes in governmental regulations, accounting treatment, tax rates and similar matters; the Company’s ability to make distributions to its shareholders in the future; the Company’s failure to deal appropriately with issues that may give rise to reputational risk; and the Company’s organizational structure and certain requirements in its charter documents. You should not place undue reliance on any forward-looking statement and should consider all of the uncertainties and risks described above, as well as those more fully discussed in reports and other documents filed by the Company with the Securities and Exchange Commission from time to time. The Company undertakes no obligation to publicly update or revise any forward-looking statements or any other information contained herein, and the statements made in this press release are current as of the date of this release only.

PENNYMAC MORTGAGE INVESTMENT TRUST AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS (UNAUDITED)
 
December 31, 2025 September 30, 2025 December 31, 2024
(in thousands except share amounts)
ASSETS
Cash

$

271,970

 

$

263,488

 

$

337,694

 
Short-term investments at fair value

 

190,518

 

 

181,043

 

 

103,198

 
Mortgage-backed securities at fair value

 

4,452,859

 

 

4,609,164

 

 

4,063,706

 
Loans held for sale at fair value

 

2,699,398

 

 

2,421,033

 

 

2,116,318

 
Loans held for investment at fair value

 

8,532,644

 

 

5,983,197

 

 

2,193,575

 
Derivative assets

 

55,943

 

 

58,442

 

 

56,840

 
Deposits securing credit risk transfer arrangements

 

1,009,334

 

 

1,033,008

 

 

1,110,708

 
Mortgage servicing rights at fair value

 

3,644,702

 

 

3,668,755

 

 

3,867,394

 
Servicing advances

 

96,830

 

 

61,599

 

 

105,037

 
Due from PennyMac Financial Services, Inc.

 

19,100

 

 

18,171

 

 

16,015

 
Other

 

373,584

 

 

227,771

 

 

438,221

 
Total assets

$

21,346,882

 

$

18,525,671

 

$

14,408,706

 
LIABILITIES
Assets sold under agreements to repurchase

$

8,018,601

 

$

7,708,183

 

$

6,500,938

 
Mortgage loan participation and sale agreements

 

—

 

 

—

 

 

11,593

 
Notes payable secured by credit risk transfer
and mortgage servicing assets

 

2,258,128

 

 

2,248,609

 

 

2,929,790

 
Unsecured senior notes

 

1,028,300

 

 

876,510

 

 

605,860

 
Asset-backed financing of variable interest entities
at fair value

 

7,789,303

 

 

5,439,582

 

 

2,040,375

 
Interest-only security payable at fair value

 

37,650

 

 

36,558

 

 

34,222

 
Derivative and credit risk transfer strip liabilities
at fair value

 

9,189

 

 

12,186

 

 

7,351

 
Accounts payable and accrued liabilities

 

168,498

 

 

135,585

 

 

139,124

 
Due to PennyMac Financial Services, Inc.

 

17,122

 

 

40,165

 

 

30,206

 
Income taxes payable

 

127,476

 

 

143,832

 

 

163,861

 
Liability for losses under representations and warranties

 

5,284

 

 

5,152

 

 

6,886

 
Total liabilities

 

19,459,551

 

 

16,646,362

 

 

12,470,206

 
SHAREHOLDERS’ EQUITY
Preferred shares of beneficial interest

 

541,482

 

 

541,482

 

 

541,482

 
Common shares of beneficial interest—authorized,
500,000,000 common shares of $0.01 par value;
issued and outstanding 87,016,604, 87,016,604 and
86,860,960 common shares, respectively

 

870

 

 

870

 

 

869

 
Additional paid-in capital

 

1,927,804

 

 

1,926,552

 

 

1,925,067

 
Accumulated deficit

 

(582,825

)

 

(589,595

)

 

(528,918

)
Total shareholders’ equity

 

1,887,331

 

 

1,879,309

 

 

1,938,500

 
Total liabilities and shareholders’ equity

$

21,346,882

 

$

18,525,671

 

$

14,408,706

 

PENNYMAC MORTGAGE INVESTMENT TRUST AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
 
For the Quarterly Periods Ended
December 31, 2025 September 30, 2025 December 31,
2024
(in thousands, except earnings per common share)
Investment Income
Net gains (losses) on investments and financings

$

53,033

 

$

64,087

 

$

(105,655

)
Net gains on loans held for sale

 

7,187

 

 

14,857

 

 

26,387

 
Loan origination fees

 

2,893

 

 

3,095

 

 

3,986

 
Net loan servicing fees:
From nonaffiliates
Servicing fees

 

155,278

 

 

155,823

 

 

164,437

 
Change in fair value of mortgage servicing rights

 

(77,612

)

 

(116,379

)

 

93,267

 
Hedging results

 

(44,990

)

 

(27,360

)

 

(51,209

)

 

32,676

 

 

12,084

 

 

206,495

 
From PennyMac Financial Services, Inc.

 

4,090

 

 

3,345

 

 

926

 

 

36,766

 

 

15,429

 

 

207,421

 
Net interest (expense) income
Interest income

 

248,252

 

 

230,088

 

 

163,135

 
Interest expense

 

254,714

 

 

228,394

 

 

187,120

 

 

(6,462

)

 

1,694

 

 

(23,985

)
Other

 

146

 

 

70

 

 

(227

)
Net investment income

 

93,563

 

 

99,232

 

 

107,927

 
Expenses
Earned by PennyMac Financial Services, Inc.:
Loan servicing fees

 

20,046

 

 

21,012

 

 

20,486

 
Management fees

 

6,856

 

 

6,912

 

 

7,149

 
Loan fulfillment fees

 

6,538

 

 

6,162

 

 

6,356

 
Professional services

 

13,822

 

 

8,608

 

 

6,041

 
Compensation

 

3,263

 

 

2,817

 

 

997

 
Loan collection and liquidation

 

2,428

 

 

1,503

 

 

2,537

 
Safekeeping

 

1,098

 

 

1,194

 

 

1,336

 
Loan origination

 

132

 

 

794

 

 

914

 
Other

 

3,267

 

 

3,232

 

 

6,987

 
Total expenses

 

57,450

 

 

52,234

 

 

52,803

 
Income before (benefit from) provision for income taxes

 

36,113

 

 

46,998

 

 

55,124

 
(Benefit from) provision for income taxes

 

(16,249

)

 

(11,298

)

 

8,589

 
Net income

 

52,362

 

 

58,296

 

 

46,535

 
Dividends on preferred shares

 

10,455

 

 

10,455

 

 

10,455

 
Net income attributable to common shareholders

$

41,907

 

$

47,841

 

$

36,080

 
Earnings per common share
Basic

$

0.48

 

$

0.55

 

$

0.41

 
Diluted

$

0.48

 

$

0.55

 

$

0.41

 
Weighted average shares outstanding
Basic

 

87,017

 

 

87,017

 

 

86,861

 
Diluted

 

87,017

 

 

87,017

 

 

86,861

 

PENNYMAC MORTGAGE INVESTMENT TRUST AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
 
Year ended December 31,

 

2025

 

 

2024

 

 

2023

 
(in thousands, except earnings per common share)
Net investment income
Net gains on investments and financings

$

213,113

 

$

61,050

 

$

178,099

 
Net gains on loans held for sale at fair value:
From nonaffiliates

 

47,030

 

 

65,055

 

 

32,695

 
From PennyMac Financial Services, Inc.

 

5,164

 

 

8,069

 

 

7,162

 

 

52,194

 

 

73,124

 

 

39,857

 
Loan origination fees

 

12,525

 

 

15,085

 

 

18,231

 
Net loan servicing fees:
From nonaffiliates
Contractually specified

 

608,025

 

 

644,642

 

 

659,438

 
Other

 

17,430

 

 

14,722

 

 

17,008

 

 

625,455

 

 

659,364

 

 

676,446

 
Change in fair value of mortgage servicing rights

 

(413,709

)

 

(170,409

)

 

(296,847

)
Mortgage servicing rights hedging results

 

(172,931

)

 

(226,608

)

 

(92,775

)

 

38,815

 

 

262,347

 

 

286,824

 
From PennyMac Financial Services, Inc.

 

10,117

 

 

2,193

 

 

1,784

 

 

48,932

 

 

264,540

 

 

288,608

 
Net interest expense:
Interest income

 

850,912

 

 

635,263

 

 

639,907

 
Interest expense

 

870,394

 

 

714,659

 

 

735,968

 

 

(19,482

)

 

(79,396

)

 

(96,061

)
Results of real estate acquired in settlement of loans

 

(64

)

 

(437

)

 

(186

)
Other

 

243

 

 

228

 

 

472

 
Net investment income

 

307,461

 

 

334,194

 

 

429,020

 
Expenses
Earned by PennyMac Financial Services, Inc.:
Loan servicing fees

 

84,432

 

 

83,252

 

 

81,347

 
Management fees

 

27,649

 

 

28,623

 

 

28,762

 
Loan fulfillment fees

 

23,804

 

 

26,291

 

 

27,826

 
Professional services

 

37,774

 

 

12,779

 

 

7,621

 
Compensation

 

11,886

 

 

5,608

 

 

7,106

 
Loan collection and liquidation

 

8,285

 

 

6,834

 

 

4,562

 
Safekeeping

 

4,630

 

 

4,403

 

 

3,766

 
Loan origination

 

2,278

 

 

3,328

 

 

4,602

 
Other

 

12,905

 

 

20,428

 

 

19,033

 
Total expenses

 

213,643

 

 

191,546

 

 

184,625

 
Income before (benefit from) provision for income taxes

 

93,818

 

 

142,648

 

 

244,395

 
(Benefit from) provision for income taxes

 

(34,054

)

 

(18,336

)

 

44,741

 
Net income

 

127,872

 

 

160,984

 

 

199,654

 
Dividends on preferred shares of beneficial interest

 

41,819

 

 

41,819

 

 

41,819

 
Net income attributable to common shareholders

$

86,053

 

$

119,165

 

$

157,835

 
Earnings per common share
Basic

$

0.99

 

$

1.37

 

$

1.80

 
Diluted

$

0.99

 

$

1.37

 

$

1.63

 
Weighted average common shares outstanding
Basic

 

86,988

 

 

86,815

 

 

87,372

 
Diluted

 

86,988

 

 

86,815

 

 

111,700

 

 

Media

Kristyn Clark
[email protected]

805.395.9943

Investors

Kevin Chamberlain

Isaac Garden

[email protected]

818.224.7028

KEYWORDS: California United States North America

INDUSTRY KEYWORDS: REIT Finance Professional Services Residential Building & Real Estate Construction & Property

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