Mr. Cooper Q4 earnings results: MSR portfolio grows as originations take a hit
“The company produced exceptional results in 2022, growing the portfolio by 23% year-over-year and tangible book value per share by 29%, despite a very challenging year for the industry,” said Jay Bray, chairman and CEO of Mr. Cooper. “This is a clear validation of our balanced business model, the investments we’ve made in technology, and the incredible talent and hard work of our people.”
Despite this achievement, the Dallas-based lender saw a decline in loan originations in the fourth quarter, with loan production totaling $3.17 billion – down 44.8% quarter over quarter. Mr. Cooper’s gain-on-sale margin also dropped, with 200 basis points in the October-December period compared to 258 basis points in the third quarter of 2022.
Mr. Cooper also incurred $23 million in expenses for severance payments to laid-off workers and property consolidation, as well as a $10 million loss related to equity investments.
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