loanDepot (LDI) Q4 2025 earnings summary

Executive summary

• Achieved highest quarterly loan origination volume since 2022, reaching $8.04 billion in Q4 2025, a 23% sequential increase, and a 19% market share increase to 1.4%.

• Recapture rate rose to 71% from 65% in Q3, with a retention rate of 70% and early wins in direct lending due to AI-driven lead funnel improvements.

• Net loss for Q4 widened to $33 million from $9 million in Q3; adjusted net loss was $21 million, and adjusted EBITDA was $29 million, down from $49 million in Q3.

• Liquidity decreased to $337 million, reflecting investment in loan inventory and full repayment of 2025 unsecured notes.

• Strategy centers on investing in growth, operational efficiency, infrastructure, and profitable market share gains across all origination channels.

Financial highlights

• Q4 2025 revenue was $310 million, with adjusted revenue at $316 million; pull-through weighted lock volume was $7.3 billion, up 4% from Q3.

• Q4 net loss increased to $33 million from $9 million in Q3; adjusted net loss rose to $21 million from $3 million.

• Servicing portfolio UPB rose to $119.1 billion, with 448,261 loans serviced and a 1.6% delinquency rate (60+ days).

• Servicing fee income for 2025 was $437 million, down from $482 million in 2024.

• Cash balance at quarter-end was $337 million, down from $459 million in Q3, due to loan inventory investment and debt repayment.

Outlook and guidance

• Q1 2026 origination volume expected between $6.75–$7.75 billion; pull-through weighted lock volume projected at $7.75–$8.75 billion.

• Gain on sale margin expected between 270–300 bps.

• Expenses anticipated to rise in Q1, driven by personnel and G&A, partially offset by lower volume-related costs; continued investment in automation and innovation.

• Focus remains on profitability, revenue growth, and cost management while maintaining a strong balance sheet.

• Market conditions include limited home supply, declining long-term rates boosting refinance activity, and ongoing volatility.