UWM (UWMC) Q2 2024 earnings summary

Executive summary

• Q2 2024 loan production was $33.6B, up 5.6% year-over-year and 22% sequentially; $27.2B was purchase volume.

• Net income was $76.286M, down from $228.8M in Q2 2023, with a $115.3M decline in MSR fair value weighing on results.

• Wholesale market share reached a 15-year high; ranked No. 1 in overall, wholesale and purchase mortgage lending.

• Adjusted EBITDA was $133.146M, up from $125.4M in Q2 2023.

Financial highlights

• Q2 total revenue was $507.1M; loan production income was $357.1M, up 27.2% year-over-year, with a 106-basis-point gain margin.

• Loan servicing income fell 25.5% to $143.9M, and net interest income was $44.7M, down 9% year-over-year.

• For the six months ended June 30, production was $61.3B, up 13.1%; net income was $256.8M, versus $90.2M in 2023.

• Six-month Adjusted EBITDA was $234.6M, down from $266.4M; six-month revenue was $1.08B, up from $748.8M.

Outlook and guidance

• Q3 2024 production guidance is $31B–$38B, with gain margin guidance of 85–110 basis points.

• Management cited potential upside to guidance if rates decline further and preparation to handle a rapid increase in refinance volume.

• Focus remains on wholesale growth, technology investment and opportunistic MSR sales; liquidity and capital resources are expected to fund operations and originations for the next 12 months.