Chris. you, Thank
heightened Slide also of the stock. announce with that platform Financial’s quarter origination we environment third the ownership capacity participants our Let’s a will to the power with structure all X. the today of demonstrate smaller key and rate completed rising earnings of equity I banking simplifying among benefits common presentation. our results to implications later industry conversion backdrop a to publicly adjusting am expand on begin market. a PennyMac class competition a pleased comprehensive against single corporate I in our corporate traded of and reorganization, mortgage my bit
share increased solid PennyMac per million forma diluted along from value share. Book the earnings third $XX.XX the of per $XX.XX was company’s pre-tax XX. Pro For to share June prior earnings investment management. per from results with $XX.XX servicing of Financial and per for earned $XX.X book income value quarter, at our increased and segment from contributions quarter, reorganization, production the $X.XX. share
quarter $XX.X million X% the the of in billion income servicing prior of down third $XX.X from down third production quarter third of the from pre-tax down down prior recorded from The XX% of the $XX.X from and volume XXXX. XX% X% million, and prior government of $XX.X segment and XXXX. were locks Acquisition $XX.X the XXXX. quarter Our the from quarter UPB, UPB, and segment lending third million the direct $XX.X quarter up million, up XX% origination quarter the from was and income Total quarter totaled XXXX. and in from up in XX% in billion prior correspondent quarter pre-tax
included third pre-tax $X.X Valuation-related the million a servicing and third for liability. $XXX decrease we million Furthermore, change values, to an from quarter offset fair term the $XX the of of term total hedging for notes million, terms. valuation-related in increase from notes fair XXXX. quarter Excluding million additional more income secured items XX% of excess associated favorable from $XX.X prior segment and MSR XX% for August, quarter the partially $XX.X down activities due a a refinanced $XXX million of was value and the by million $XXX servicing MSR-secured of issued decrease million spread in in X-year at of items,
this nearly interest cost reduce million, We redemption expect by after expense transaction of $X.X the quarter. to million $X debt annual a onetime recognizing
servicing We quarter billion and portfolio from MSR which continue grow XX% XX growth this of in X% $XXX.X bulk of was billion $XX.X September the previously completion to our announced to UPB portfolio, XXXX. totaled in end, XX, at from Contributing acquisitions. June UPB up
segment the investment the prior more completed assets $X.X approximately UPB private After which Turning Financial investment additional the the up prior to PennyMac the quarter-end, the in from income pre-tax in Net delivered will acquisition billion, wind-down we XXXX, September David a of completed later Mae of Ginnie as XX, discuss with portfolios bulk in presentation. in two MSR of funds. management detail million billion, up XXXX. down of the management our quarter X% X% $XXX,XXX and quarter Slide of $X.X $X.X third $X.X quarter-end from million, X, were under from and
percentages now demand of trade ticker stockholders universe inclusion the the by the U.S. the take the company represented mortgage discuss and potential finance $XXX card Turning and under auto significant by liquidity the contributing on and debt stock. of Stock million equity opportunities mortgage to the shareholders converted by PennyMac’s result holders Over the York a increased This market single has be the stock are expand to and external of has I market reorganization between XXx our eligible time, making a reporting want residential moment of of allocation New all the to increases to continues to benefits change increase, billion, in to float $X.X on market investor completed in loans financial a PFSI. of PennyMac classes eliminates to to certain been for class will class percentages also stock, nearly no significant of outstanding all transaction the The equity held Slide ownership with corporate take from simplifies moments almost market stock different to of review outstanding, beginning The with X, far, largest a larger indices. publicly $XX we remains credit percentage company income the by equity few to transaction, than expect I debt. the Exchange available to for Effective held broader key Financial common trillion the stock today, stock. our capitalization like The which X. in There single Slide a PFSI’s thereby and public management. reorganization traded ownership and as or transaction. would as common to consumer
consumers increase. inventories new still purchase projected and the mortgage of trends low both interest industry by on years disappointed economic growth higher chart over who recently Low adjusting the unemployment market right favorable driven originations. mortgage As rates. and money demographics driving key wage modest bottom total versus in existing purchase seen Despite are because the of sales the originations as predict have expectations in primarily slide, such real growth to home-buying can forecasts be from home mortgage housing among are several next and millennials the the continued
right the mortgage Slide industry industry that turn by to independent talk about let’s on refinance many Now, smaller The the show robust the result. mortgage the how market graphs fragmented operators share X gained a margins rates, is mortgage as higher market our has share expectations in for become and going fragmented servicing the today forward. and The lower highly of recent consolidation volumes with production participants enabled and and years. in
half the compete X markets, participants production servicing market production of the XXXX, X XX% nearly represented servicing a for comparison, account market while top the many other and of rest. the top participants and in XX% whereas today of As just for the
As consolidation driven among mortgages mortgage decline have driving remains intensive rates market purchase fewer, believe have access that their continued an be will market increasing cycle. mortgage customer to refinance willingness Successful and more margins and experience operationally are and mortgage participants with loans capital opportunities participants, demand companies diminished an ability lower. scale competitive strong stronger shifting end-to-end technology faster. more that move higher, Traditionally, less and size as is invest business consolidation will volumes meet technology pace has in we easier compete pressure the accelerate intensive such They money with and operationally through refinance operational further to of market significantly a and focus ready to efficiently. this have for to expertise, those to will for to in
industry technologies our a base. focus customer an our growing advantages new PennyMac steady critical due products to to expertise, our long-standing operational putting role to As play competitive introducing emerging and on in for determination leader, work significant our enjoys
of PennyMac X public New capabilities mortgage its Exchange discuss turn Financial XXth XXXX. leader currently The year and of PFSI’s in to York on in operations the and Now, Slide is a May unique as let’s went market. Stock in U.S.
mortgage We highly leading have PennyMac a leadership their and capable management become that senior specialist. a to the and residential non-bank Financial experienced grown reason team is has
are and prudently established portfolio in have Finance, mortgage we an leader. organically producer publication We industry According largest industry ourselves the the the and largest have currently to fourth Inside country. eighth Mortgage as servicing
producer. largest second largest government and correspondent We also producer are the the insured
In record developing market and have and efficiently our meet to our advantages, immense and broad share opportunities to products to profitably for technology in of our competitive us gives have including track of operations to capture Our and bring deploying needs. new proprietary ability future pursue ability customer proven capabilities efficiencies scale consistently XX-year history, the to we that unique us range mortgage a market a allowed increase growth.
utilize In addition, creates external manager residential opportunities provider, in Financial PMT, is PennyMac PennyMac our investments sheet platform. or went to a assets track of where record in growth unique created the Investment market partnership PFSI Mortgage and services by in invest focused tax-efficient the PMT Since our on mortgage to continued have success. built for and with a its we REIT Trust, mortgage balance public XXXX,
share our that During doubled has to X.X%. loan more time, production than market
value tripled nearly for pro $XX.XX Our of X.X%, loan from book our share tripled share to share to has $X.XX has our forma September XX per as per nearly per share market reorganization. and servicing
is uniting specialized a with and PFSI’s regarded our leading PMT. throughout Now, and as discuss production PMT’s let’s with us legacy-free, PFSI’s PFSI turn leading provides advantage, non-bank X Slide highly platform scale, a platform partnership operating industry a strengths and large operations. operating distinct a This and scalable residential vehicle. synergistic mortgage technology competitive specialist driven partnership servicing as to industry tax-efficient with with investment mortgage
in own experienced and earlier, investment sheet mortgage mentioned $XXX funding. a with a its of its team risk with well company I $X in mortgage-servicing the seasoned XX PMT As mortgage and balance we grown IPO more million have significant management in become assets are capitalized investor than highly diversified from The to billion production. has sourced and of credit residential leading of from time year. rights has September at we transfer its at this credit, GSE sources
non-QM product for expected we by organically growth equity in expand opportunities lines these for prime and activities. attractive presented assets create future. The explore from development opportunities loans, benefits of mortgage to PMT invest PennyMac as are the both home the Financial new market the credit this will in mortgage securities As and new to such created PMT in non-agency
to Now, PFSI’s discuss XX initiatives growth. Slide let’s turn for strategic and
curtail growth expertise, while Financial and to in to the in industry operational in investment others afford technology access ability invest scale future the capital, operations. Our mortgage prospects efficient PennyMac
its We have strategic to to PFSI ensure several positioned overarching well continue growth. in place is initiatives
growth in on and to potential broker is with production, market with direct. increase as a focus consumer First channels highest the continuing share for such
our deployment of investment continued is technology. the in Second
We new ability our on considerable opportunities and have business placed facilitate technologies innovative our to emphasis operations. profitably to developing scale enable
segments to better customer the million pursuing through the can smaller rate originations brokers of offer power and our recapture needs of and include the correspondent correspondents improving our higher growth which and a by our Initiatives for address unions, their to are correspondent servicing we customers. including Within growth borrowers. from of origination and prime new better to community drive brokers our functionality represents to as within increase the of growing lead Access PFSI’s drive giving products potential volume, growing are that credit efficient who enhancements in to broker portfolio, we portal, the improving drive share MAC suite process production to banks with and a continue portfolio the market, implementing adding In In more consumer or non-portfolio capturing new PMT’s processing opportunities existing non-delegated we of volume correspondent production capabilities, such approved and generation channel, market. and to total about growth, affinity full pipelines. customer environment, Lastly, of market non-agency Mortgage process management Center, include PennyMac the production consumer-facing and mortgage number servicing allowing maximizing products transparency volumes risk capabilities from of segment, activities meet our to our them XX% originations products increase increased to maximize smoother benefit automation relationships within in initiatives X.X manage our to investments. including drive and make growth can potential and direct increasing expertise continuing strategies conventional direct, HELOCs current number increasing and order
acquisition committed portfolios. strategic remain bulk of MSR to addition, we In the continued
We servicing enhancing further its operating system platform efficiencies. our are also capabilities and to
expected our growth activities. Finally, successful of PMT execution from investment management and our is earnings additional facilitate for to initiatives increase investment opportunities