0001556593-26-000012
SEC filingRithm Capital Corp. reported strong financial results for fiscal year 2025, with total revenues of $4.59 billion and net income attributable to common stockholders of $567.2 million. The company generated $806.4 million in income before taxes, driven by $209.0 million in total other income. Operating expenses totaled $3.99 billion, with compensation and benefits being the largest component at $1.32 billion. The balance sheet shows total assets of $53.06 billion, with significant holdings in mortgage servicing rights ($10.36 billion), real estate ($6.18 billion), and residential mortgage loans ($5.48 billion). Total liabilities stood at $43.81 billion, resulting in stockholders' equity of $8.94 billion. Cash flow from operations was negative $1.29 billion, primarily due to significant mortgage loan origination and sales activity, while investing activities generated $2.67 billion in cash. The company paid $643.2 million in dividends on common and preferred stock and declared $1 per share in dividends for common stockholders.
Rithm Capital Corp. delivered solid financial performance for fiscal year 2025, reporting total revenues of $4.59 billion and net income of $718.1 million. The company achieved income before taxes of $806.4 million, supported by $209.0 million in total other income from realized/unrealized gains and other income. Net income attributable to common stockholders was $567.2 million after accounting for non-controlling interests, redeemable non-controlling interests, preferred stock dividends, and changes in redemption values. Basic earnings per share was $1.00 based on 537.9 million weighted average shares outstanding. The company maintained a strong dividend payout, declaring $1 per share for common stockholders.
The company's revenue structure shows $5.08 billion in origination and servicing, investment portfolio, mortgage loans receivable and corporate revenues, though total revenues were reported at $4.59 billion. The document does not provide detailed segment breakdowns or geographic mix data. Revenue drivers included mortgage servicing activities, investment portfolio returns, and mortgage loan operations. The company's business model focuses on mortgage-related assets and services, with significant activity in loan origination and servicing.
Operating expenses totaled $3.99 billion, consisting of $1.66 billion in interest expense and warehouse line fees, $1.32 billion in compensation and benefits, and $1.01 billion in general and administrative expenses. The company's operating margin cannot be calculated from the provided data as operating income is not explicitly stated. Profitability was supported by $209.0 million in other income, which included $125.9 million in realized and unrealized gains and $83.2 million in other income. Income tax expense was $88.3 million, resulting in an effective tax rate of approximately 11% on pre-tax income.
Cash flow from operations was negative $1.29 billion, primarily due to $66.26 billion in mortgage loans originated and purchased for sale, offset by $63.44 billion in sales proceeds. Investing activities generated $2.67 billion in cash, driven by $3.12 billion in proceeds from security sales and $3.44 billion from residential transition loan repayments. Financing activities used $507.8 million, with significant debt repayments offset by new borrowings. The balance sheet shows total assets of $53.06 billion, with mortgage servicing rights ($10.36 billion), real estate ($6.18 billion), and residential mortgage loans ($5.48 billion) as major components. Total liabilities were $43.81 billion, resulting in a debt-to-equity ratio of approximately 4.9:1. Liquidity included $1.85 billion in cash and equivalents plus $941.8 million in restricted cash.
The filing does not contain specific forward-looking guidance, management projections, or explicit strategic priorities for future periods. No quantitative or qualitative outlook statements are provided in the extracted data. Investors should monitor the company's ability to manage its substantial mortgage-related assets, interest rate sensitivity, and debt levels. The absence of explicit guidance suggests investors should focus on the disclosed financial results and balance sheet strength when assessing future performance potential.