for full and everyone, our Good morning. the can review thanks highlights market long-term model why take progress to few you environment and for balance this the discuss deliver diversified our our quarter, We're value. a fourth and actions Today, looking we morning, to year our we'll joining with sharing through forward you believe address and call.
we Please turn Slide delivered proud to of results XXXX. X. I'm the in
well. model diversified Our working is balance and business
while quite share interest per As prior you XX% with challenging. and substantially originations year environment servicing XX% million XXXX. of Book year income XX% is and $XX value improves net per know, all We remains up of rising $X.XX, up delivered end. environment the versus $XX share versus full earnings rates, respectively the of
Mae which later. quarter, increased net updates largely we will MSR fourth was the and in about market values due million, In bulk assumption $XX reflect trading loss and valuation Sean Ginnie $XX reported driven by million of the losses borrowers. notable included to in pre-tax interest a future observed rates more This for lower lower this to talk changes items.
Similarly, of in pressures We driving our the and channels were the the servicing margin co-issue impact quarter and segment from pressure volume MSR of and correspondent below values margin third and correspondent the adjusted and for co-issue. in earnings market leaders a offset as cost improvement $X pre-tax our from levels loss XX% quarter. we million, actions fourth in new volume observed quarter originations reported
prior year-end. grew originations portfolio smaller significantly XX% a on focused We market, our which X%. was up Despite servicing growing sub-servicing, we capital-light over
X% up pipeline over opportunity prior levels. sub-servicing year-end Our strong, remained
initial quarter proud done delivered cost $XXX target. than versus who million in the our I'm structure, second our the by reduction cost annualized much team work our Regarding of global better XXXX,
efficiency and servicing both Expense XXXX. improved originations materially versus in
of retiring of year, repurchases, $XX at Last million in we Lastly, completed notes. share an $XX shares million up our total PHH million XXXX. repurchased liquidity $XX.XX is and million X.XX year-end versus average XX% $XXX price of
our those results performing remain execute diversified forward, I'm business in are investments capital for our items for cycle. our balance model expectations this to that to we in in economic and given navigating liquidity are is with ability volatility. rate on well enable opportunistic as business potential confident and believe investment XXXX our within and We well our control. and interest preserving Going as returns pleased Overall,
creation materially turn a are since and Now, core values X conditions they've profitability servicing of risen XXXX MSR plan. improving. business than have to been favorable let's to in Slide in servicing our environment and strength value more is The our years is and the discuss model. servicing
We in persist. are returns distressed assets certain attractive with elevated seeing and bulk investment MSRs opportunities expect we and volume to increased
sub-servicing in remains pipeline interest Client and strong. client Potential easing is robust. our delays are opportunity
sector service partners mortgage and are investors source increased seeking whole from loans. seeing non-performing are loans MSRs, We who to in the and interest
to to for of originations, XXXX. trillion originations XXXX. we market Moving conditions continue X.X challenging. forecasting down Mae That's Fannie will industry volumes is expect from be XX%
a the nominal if fixed the refinance expect incentive. mortgage in near-term, We XX-year X%, decline XX% outstanding to rate even of activity mortgages roughly to were refinance have
new a we margin driving view seeing substantially is market participants own. GSE Competition are market both MSR aggressive relative are pricing support volatility. with actions to levels and intense of to origination our more versus values enterprise goals and several
heightened and both origination expect are and consolidation in M&A servicing. We opportunities seeing
in our Board foundation. right we committed all of core we've this said options evaluating strength the before, to to our the for Management maximize is value environment, As In servicing are believe shareholders.
the elements: capital our tier business structure; and model; our of plan on key growth relationships breadth environment prudent adapted strength leading has this core to balance five Our servicing growth for leverage and objectives. operational value unmatched cost capabilities industry and partner built diversified and support performance creation top
Let's the model. to balanced discuss turn to Slide business of and our X benefits diversified
have actions operating XXXX. key and consistent since improvements driven business net income balanced Our
performance servicing improving income GAAP, pre-tax complimentary declining years, to have three servicing profitability with last offset originations. the Over and and financial demonstrated originations
As rates portfolio and true pre-tax and interest for depressed. XXXX further both Mae income to this growth improve productivity in adjusted volume remain servicing initiatives, and forecast and Sean will discuss, for expect adjusted we Based and origination expect reverse. industry on to Fannie is forward income pre-tax the our
Our focus when diversification is on evident looking portfolio our at composition.
credit respectively, growth and the Our growing XX% and reverse MSRs, operating supported which GSE of advances, of emphasis four if are revenues servicing have performance is we we to earn mitigate bars servicing, high also P&I advances at and quality has and high. are in Mae, our sub-servicing. Fannie in help no the we on portfolio the advances risk sub-servicing, material GSE-owned exposure believe months a capped In our event delinquent. are potential related In forward We now of recover monthly. case recession. our in XX% portfolio sub-servicing
for as The have portfolio loan more significant risk responsibility as segments PLS advancing repurchases payments, are where we with revenue Mae-owned well delinquency Ginnie MSRs. bar our of and
combined only portfolio. segments of these XX% our comprised However,
to market While portfolio recession, we the our exposure our should strategy to increased reduces have special drive in risk our expect sub-servicing demand. event support capacity conditions diversify deliberate to of a
X Slide current the our to to turn in environment. Let's growth focus discuss
and sub-servicing growth driving Our capital-light products on focused margin and higher strategy is origination channels.
flat versus bulk contrast, with were down XX%. XXXX to performed while in In team billion. transactions, excluding originations down well at additions XX% MSR originations prior roughly sub-servicing $XX year market the prior Our year was total
continuously is enterprise possible, originations up our margin year team the our impact the adjusted high XXXX, of reverse integrating originations sales the base addressing growing the two The clients XX% platforms market cost forward years. versus by X% Throughout and where XX%. prior of growth our evident portfolio, total in product servicing to and which over is structure, last total conditions XX% client team and our growing by
origination portfolio points versus versus last prior products, objective doubled we've mix We We over the XX% of growth to portfolio mix Our our strategy delivered up over higher is nearly will percentage on XX% up in two sub-servicing percentage seven the XXXX. believe continue sales and drive and last years. increasing prior enterprise and year years. multi-channel approach our year, our two the margin
please an our remain Slide management We achieving an and X expense maintaining update for Now, committed to industry-leading structure. cost to turn on actions. servicing
costs great quarter annualized of expense XXXX second versus operating made $XXX has the realize XXXX. million progress reduction in in team managing our Our to
continuous driving reduction, improvement on management cost and risk prudent supporting a are maintaining while actions sustainable Our compliance focused activities the cost most framework. essential
cost points year quarter structure and in fourth is from Our basis measured down and the XXXX XX% XXXX XXXX respectively. XQ XX% full versus
we basis operating and process has in global systemic structure achieved deliver process cost further other goal focus automation, in another We're XXXX roughly we're of our in again in year, our costs to this continue is meaningful digital portfolio for roadmap proprietary and to we XX%. leverage activities. continuous Our business been for all UPB consistent improvements year. and years And operating and which points platform, on our technology migration, major variable Last XX double-digit by supports driving our all improvement reduce segments enhancements over with targeting improvement. place servicing to operating
to made on we performance investors. can grow operational improvement to service our industry-leading cost meaningful improvements our to the We enable focus structure portfolio. Notwithstanding continue our productivity, maintain delivery improve customers, we've we as and and believe clients, servicing profit
of three in income in a without structure, standard pre-tax cost points added. UPB a and billion we for two revenue profile can Assuming sub-servicing any our improvement between further to $X GSE add half basis
would portfolio as our sub-servicing contribution significant commercial mixture the special to further year, government, increase income $XX cost commercial have profit expect achieve our pre-tax and we're and by $X productivity. more UPB billion, We as billion contribution servicing for sub-servicing reverse, GSE, reflecting to special added. a from This a well additions portfolio, of targeting reverse, servicing additions of
update an Please turn on X performance. Slide operational to our for
Our focus supporting operating of growth is on foundation the our breadth sub-servicing driving portfolio. and performance capabilities the our industry-leading in operating
consecutive our industry We Freddie with Fannie Mae consecutive STAR have HUD. second recognized from Mac, from our rating from SHARP as an top servicer and award been Tier second X consecutive again award third
an outcomes with mature capacity capability, that Through in and efficient platform for financial clients. our drives built for growth global investment and operating technology we've improved
our in have and positions servicing core us the ahead. We consistently strength platform market capabilities servicing we our well believe navigate in to invested
one servicers servicing of capabilities Federal Mae, is loan homeowners, breadth covering Loan PLS We and creating We're with clients positive the Our balanced industry. products. and PLS industry's and proven commercial the largest Ginnie small distressed service for portfolios and GSE, forward, outcomes expertise Home a assets unmatched Bank of investors. to reverse
providers only by the sub-servicing one and additions earned industry's of clients integrated and evidenced The the from. last over We've market are and are emerging of $XXX and as sub-servicing billion. market believe reverse that over robust. issuer growing servicer billion in opportunities two for potential capital XX reverse in partners $XXX a partners mortgages. We trust could the pipeline months benefit We're we and in investment we opportunity bulk of the about excited that remains our the
We believe number reverse the Home we Federal opportunities of the market approved as servicing can one in of non-banks mortgage limited stress a emerge buyer. Bank from and Loan sub-servicer are a and
to turn X. Slide please Now
support capital-light growing basis. servicing We a well continue in partner capital growth Last to sold invested flat additions. and through year, focus roughly expanding on our while prudently as UPB relationships our as on MSR billion, portfolio MSRs, our sub-servicing our opportunistically total objectives keeping at to $XXX we
has has The pricing billion completing of issued UPB the over MSR attractive in levels. management fourth or is capital $XX the quarter. past mid upsize MAV been cornerstone in MAV years two at since our purchased
structure. an we diversification meaningful well mitigate quarter, financing additional our fourth exposure. close excess a new the providers, utilizing portion with servicing transactions funding fee risk prepayment as During two capital as of These trades provide
new grow MSR enhancing execution MSRs capital of our further sales flow a through these best structure to capital-light an our implemented With purchased partners, our servicing on we've portfolio originations ability channels, for basis.
we're investor asset support focused types. across on relationships objectives ahead, additional developing our growth to Looking multiple
partners across capital We range investor satisfy of unique needs to each the potential are structural and further a alternatives. structures evaluating diverse of our six diversify potential
acquisition we're cost. valuation purchases at benchmarking introduces or monetize approach Our able at discipline level process. MSRs Throughout added investor-driven an XXXX, above to to expert independent levels to MSR of our our price
will We thank our $XXX they team manage help owned to new will us partners want allowing to servicing and partners objectives. while help in profitability and placed billion achieve development investor Tree of us and scale objectives, on seriously the achieve believe growth relationships portfolio at commitments. them to and our MSR confidence Oak Again, business our billion. this responsibility trust and $XXX our take between for our We MSR our investor their to we deliver the I have
XXXX. fourth outlook Now, for I’ll results to Sean discuss and turn it to our for over the quarter
