of with results to morning, everyone. high start Slide level I’m on eight. Good Jay. review Thanks, a going
million basis strong by of offset GAAP charge a see loss a non-cash $X.XX we income or $XXX net driven operating a pre-tax of $XX million, $XXX million. As share, mark-to-market on you a of can by reported
progress servicing basis out operating thanks to and the steady we extremely quarter noticeable with very pleased the in an On Xome. results performance strong segment, at were of origination
out operating results between $XX interest in our but leave take a As relatively comparable MSR We take income calculating makes million in cost reminder, to rate-related we which the our the approach. with and the on fair operating difference mark more conservative value peers. in associated a amortization
the and the Pacific charges merger Seterus Union exclude also acquisitions. We integration to related and
marks. totaled now and integrations will would you we how These in show expressed would operations charges book in point right see, $XX further of you no of to fully future rate several tangible then finally, interest absence those see can the over operating And fluctuations. equity back the intangible quarters. million return with I side amortization generation which the can absence charges capital you accurate add on we which as tangible Jay taxed those as most value consistent by you but the be the of measure time in of complete the of And are in results eight. ways we the quarter, XX.X% Slide grow way, mentioned, in on as from common regard
the gives of benefit which tax the benefits in credit to these cash will tax not We up asset also flow, affected earnings. ROTCE show the cash deferred you although tax show
steady-state segment. with quarter doubled Our was quite cash the the million, level to thanks in nearly strong cash $XX in of flow margins flow origination strong first-quarter the discretionary profit
mentioned, by this get surpassed in we sustainable position company to quarter. XX% Absent to of the ROTCE Jay goal is the that mark, the produce As XXXX minimum goal would’ve our or higher.
indefinitely. And and cash actions, improve the that assume this target. not initiatives Titan, that’s achieve if we profitability expect deleveraging why going strong that rates results corporate so designed interest don’t obviously, and the will flow. remains hard is environment profitability we’re plan origination as how other And in very we change quarter of to on But the sustain the favorable well. part XX% we’re and third working the origination Stronger to
cash results quarter, long-term share $XX.XX present And that the one the marks just In the value the flows $XX.XX. portfolio. of we at But to up value I the time. show estimate book quarter tangible comment origination of value in a with servicing per from an book the course will take fell represent associated
Now spend moment on before the results segment I a into get valuation. MSR let’s
Turning to Slide nine.
our XXX points with the our a mortgage to XXX grew MSR the from from XX% during interest was marked CPR estimated lifetime which to driven as projection, decline rates. from by that This see on XX-basis-point basis well impact deposit lower consistent basis we can increase XX.X%, You rates. an as mark in revenues down quarter points, in
do made MSR independent value as of validating changes to parties. with other our also third of the assumptions quarter as some We process part we each
quarter, six the discount we of for observing certain having market portfolio participants rate this And last segments lower after over rates adjusted months. the our discount
subject I’d does not remind the recapture. that include value MSR of to on like the While the everyone value, we’re MSR the of
different of sharing in applied cost estimated due to liability loans However, value. recaptured was accounting amounts book of tangible include do per guidance excess our share spread lifetime $X.XX to the spread partners. which $XXX excess to liabilities, end with we that a discount million, quarter At
We And that of industry-leading with given on associated our the value to performance. quarter if especially to XX% estimate for per of it significantly were course, by average customers for take enormous still at there’s month of save opportunity present be our come. comment lifetime an results portfolio. produce the higher, MSR, which strong X roughly refinancing, to recapture end portfolio, that million would our channel final you direct-to-consumer on of One quarters were suggests many the $XXX which our
which turn results in and originations, talk Now XX contributed about quarter. record let’s Slide the to
three up fact, In almost times first-quarter pre-tax was income results.
this of XX% channels. were correspondent years and market. the the volumes was in As Total a work DTC both Jay lot sequentially, up reflects mentioned, which hard than stronger several over
And the XX% are up second the than July volumes about through so far higher quarter. end of trending
DTC first more quarter. $X.X billion, XX% originated than the
contribution Union. were first up of quarter volumes While correspondent the XX% reflecting sequentially, full Pacific
acquiring relatively purchase, new assets it’s for almost the production correspondent XX% very customers, that us acquiring a it than in bulk stable is us. even For channel environment for typically pleased as deals. through a great channel costly MSR our We correspondent were makes is running which less current
be double also volumes acquisition The capabilities. turned did Union Pacific but only and it new well us very brought correspondent it not out timed, our to
which the of the sophisticated from basis whose quarter was fourth XXX year. has DTC real points points a quite were but XX low basis top of story quarter last up us margins pricing XX more basis Correspondent margin quarter, margins. point For approaches example, points. origination loans, the in the in widen good, overall to almost in was The helped double
call the flow lot costs of are of Because strongly fixed. Union was result, its cash environment, a a operates positive. out As DTC a center
expect to you’d the seeing years. with so few Jay volume. alluded And as of you’re to, improve also, margins last results investments significant But over the
a was out home greater Titan with our of home of be important huge than and has run the platform, a advisor home service turned to sales creation One and our new seven investments Home contributed to the materially second the times EBT this conversion rolled relative origination XX% only it’s out. and unit in the rest quarter, to call of lifting rates in advisor advisor center.
we have still more come. So to
and efficiency portfolio at that would guidance, Now $XXX be to the on as XX, quarter which billion, ended deleveraging. date. the Slide XX% to up flat with X% sequentially largely up servicing we our first focused on year integration, let’s and the consistent turn quarter And following
headwind indicating was quarter with, a start more rising the to for from sustain attributed the of that for the originations capacity driver to out netting XX% is portion runoff CPR double spread portfolio To XXX%, year almost X% improved than which and major the net and transactions, is is ratio to MSR, replenishment after cash Mr. obviously rate last profitability this a in excess of before a a Cooper, But environment, overall. new of the milestone now flow. sufficient
the portfolio a rapid to Finally, shrink reverse continues at pace.
only it portfolio. fact, and year-over-year XX% down now X% In of for accounts the was
portfolio double-digit and it a shrink in should As at runoff a reminder, to continue the pace. is
in it end Now, was full at the had the a mark amortization we margin, expenses, year. Titan which we’ve quarter. historically obviously is X.X discussed, levels margin. excluding the basis, amortization remain elevated of the likely the higher points on the to let’s and and to And With bigger CPRs impacting basis through number in quarter servicing that the turn
million Given to will and CPRs to to the – seasonal to of of payoff lead XX% expect you to quarter. spread slowdown excess in million third trend the see accretion, amortization XX% likely quarter, net fourth increased speeds after which in $XX we’d $XX XX% should prepayment rise the some early requests, around which in
Project on give me update Titan. you an Let
out loan automating savings call for process benefits by schedule to benefits Titan’s was $XX spending plans. is we starting these our investments remain flow And see the What’s that line year. complete new quarter through end on in some of of the from in to some in million, analyzing anticipated. with coming we’re the files quarter the roughly fees. our and older process cost several million earlier mortgage opportunities projects, to including and identify investments this from $X modification and from revenues I our than optimize some
And benefits home you and of will advisor. update We’ll become visible XXXX course, when complete. more from as we’re seeing be this savings the substantial project in year
from down continue to quarter. X.X% be delinquencies They story. that good Finally, note I’ll a to X.X% were in the
Slide turning Xome Now XX. the on
is improved income by target, ROTCE from capital. progress well can million a operating sharply You reflects contribution the Xome’s is see significant require saw validation $XX a unit’s for nice in before, integrating we the to which short doesn’t its contribution important progress profitability, pre-tax quarter $XX of but breakeven where million up of results of The potential. excellent lot our $X because it million sequentially. AMS any with
the the completed cross system during up set expect the to completely even some year-end conversion win has delinquencies growth some to systems third-party in but completed with office by next which remain be which headwind. XX of the the is final breakeven first a of lot a potential integrated should us quarter to drive the recently the back And highlight obviously remaining, of We There’s clients. face point with migration momentum exchange in I’d Xome to this third of we where the to quarter. also auction still profit work starting new like XX out year. Assurant, declining and
profitability. direction Title on and And did forecasting delinquencies, of also interest million the should refinance-related Xome XXXX. for very current a this well finally field visible rate half run year. rates achieved quarter, in income Based in the be pre-tax $XX we’re thanks at the in volumes and operating second to annual progress second this in and for services outlook close
to turn wrap comments my by I’ll Slide leverage you’ll addressing and liquidity. XX If up
that our would but greater target servicing shared provide bringing current we we stronger profitability. believe down lower flexibility financial to also low. environment, five times we and leverage with of discussed, we the As Last quarter in you comfortable feel a debt-to-EBITDA debt over
EBITDA was a strong, originations. quarter During to target. which that close the is times, debt-to-EBITDA ratio And very as to the our X.X thanks second to fell result
called once on net state opportunistic flow, the the basis, this the change state is available $XX in doesn’t spread. its level cash from Last the sustain an retiring basis. amount we of quarter, to of we you metric our steady thanks that On cash strong portfolio second originations. some notes shared to discretionary However, MSR with current cash contribution at quarter, intention begin our excess of senior a flow was million steady which
expand As MSR. is boarding the an the billion a second portfolio we because with the reminder, cash illustrative MSR the quarter in of metric this use $XX Seterus did to
quarter. warehouse lines to in to accommodate good a was million lines additional capacity in originations. We surge we by capital. our Liquidity We story MSR our $XXX in also second the increased use for the were able working which million obtain on $XXX
surge use capital servicing working from reversed securitization. a this segment advanced the cash While contributed quarter, filings in recoveries, and the originations did claims benefits
to So Ken with that I’ll turn wrap things to it up. back
