Onity Group Inc. Files Q2 2024 10-Q Report

TL;DR

ONITY GROUP INC. 10-Q FILED: Q2 2024 FINANCIALS OUT

AI Summary

Onity Group Inc. filed its 10-Q for the period ending June 30, 2024. The filing details financial performance and operational aspects for the second quarter. Key financial data and disclosures relevant to investors and stakeholders are presented in this report.

Why It Matters

This 10-Q filing provides investors with a crucial update on Onity Group Inc.'s financial health and operational performance for the second quarter of 2024.

Risk Assessment

Risk Level: medium — As a mortgage banker, Onity Group Inc. is subject to market fluctuations and regulatory changes inherent in the financial services industry.

Key Numbers

• 20240630 — Reporting Period End Date (Indicates the end of the fiscal quarter for which financial information is reported.)
• 20240801 — Filing Date (The date the 10-Q report was officially submitted to the SEC.)

Key Players & Entities

• ONITY GROUP INC. (company) — Filer of the 10-Q
• 20240630 (date) — End of the reporting period
• 20240801 (date) — Filing date
• OCWEN FINANCIAL CORP (company) — Former company name

FAQ

Key Financial Figures

• $0.01 — ange on which registered Common Stock, $0.01 Par Value ONIT New York Stock Exchange

Filing Documents

• onit-20240630.htm (10-Q) — 3941KB
• a20240630ex31.htm (EX-3.1) — 235KB
• a20240630ex311.htm (EX-31.1) — 11KB
• a20240630ex312.htm (EX-31.2) — 11KB
• a20240630ex321.htm (EX-32.1) — 6KB
• a20240630ex322.htm (EX-32.2) — 6KB
• image_0.jpg (GRAPHIC) — 426KB
• image_1.jpg (GRAPHIC) — 303KB
• 0001628280-24-034197.txt ( ) — 19594KB
• onit-20240630.xsd (EX-101.SCH) — 137KB
• onit-20240630_cal.xml (EX-101.CAL) — 109KB
• onit-20240630_def.xml (EX-101.DEF) — 601KB
• onit-20240630_lab.xml (EX-101.LAB) — 1012KB
• onit-20240630_pre.xml (EX-101.PRE) — 829KB
• onit-20240630_htm.xml (XML) — 4020KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION Item 1. Unaudited Consolidated Financial Statements 5 Consolidated Balance Sheets at June 30, 2024 and December 31, 2023 5 Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2024 and 2023 6 Consolidated Statements of Comprehensive Income for the Three and Six Months Ended June 30, 2024 and 2023 7 Consolidated Statements of Changes in Equity for the Three and Six Months Ended June 30, 2024 and 2023 8 Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2024 and 2023 10 Notes to Unaudited Consolidated Financial Statements 11 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 52 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 89 Item 4.

Controls and Procedures

Controls and Procedures 91

- OTHER INFORMATION

PART II - OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 92 Item 1A.

Risk Factors

Risk Factors 92 Item 6. Exhibits 92

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This Quarterly Report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact included in this report, including statements regarding our financial position, business strategy and other plans and objectives for our future operations, are forward-looking statements. Forward-looking statements may be identified by a reference to a future period or by the use of forward-looking terminology. Forward-looking statements are typically identified by words such as "expect", "believe", "foresee", "anticipate", "intend", "estimate", "goal", "strategy", "plan", "target" and "project" or conditional verbs such as "will", "may", "should", "could" or "would" or the negative of these terms, although not all forward-looking statements contain these words. Forward-looking statements by their nature address matters that are, to different degrees, uncertain. Readers should bear these factors in mind when considering forward-looking statements and should not place undue reliance on such statements. Forward-looking statements involve a number of assumptions, risks and uncertainties that could cause actual results to differ materially from those suggested by such statements. In the past, actual results have differed from those suggested by forward-looking statements and this may happen again. Important factors that could cause actual results to differ include, but are not limited to, the risks discussed under Part I, Item 1A, Risk Factors of our Annual Report on Form 10-K for the year ended December 31, 2023 and the following: the potential for ongoing disruption in the financial markets and in commercial activity generally related to changes in monetary and fiscal policy, United States political developments, geopolitical events and other sources of instability; the impacts of i

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

ITEM 1. UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS ONITY GROUP INC. AND SUBSIDIARIES UNAUDITED CONSOLIDATED BALANCE SHEETS (Dollars in millions, except per share data) June 30, 2024 December 31, 2023 Assets Cash and cash equivalents $ 203.1 $ 201.6 Restricted cash ($ 22.5 and $ 24.2 related to variable interest entities (VIEs)) 46.3 53.5 Mortgage servicing rights (MSRs), at fair value 2,327.7 2,272.2 Advances, net ($ 467.9 and $ 573.0 related to VIEs) 550.6 678.8 Loans held for sale ($ 1,103.9 and $ 674.2 carried at fair value) ($ 428.8 and $ 269.6 related to VIEs) 1,107.0 677.3 Loans held for investment, at fair value ($ 5.4 and $ 5.6 related to VIEs) 8,227.8 7,975.5 Receivables, net ($ 33.1 and $ 19.9 related to VIEs) 153.4 154.8 Investment in equity method investee 31.3 37.8 Premises and equipment, net 12.3 13.1 Other assets ($ 12.8 and $ 22.0 carried at fair value) ($ 22.4 and $ 18.6 related to VIEs) 84.3 106.2 Contingent loan repurchase asset 341.0 343.0 Total assets $ 13,084.7 $ 12,513.7 Liabilities and Stockholder's Equity Liabilities Home Equity Conversion Mortgage-Backed Securities (HMBS) related borrowings, at fair value $ 8,035.4 $ 7,797.3 Other financing liabilities, at fair value ($ 333.1 and $ 409.2 due to related party) ($ 5.4 and $ 5.6 related to VIEs) 845.9 900.0 Advance match funded liabilities ($ 404.3 and $ 498.9 related to VIEs) 405.0 499.7 Mortgage loan financing facilities, net ($ 280.1 and $ 143.4 related to VIEs) 1,190.5 710.6 MSR financing facilities, net 927.7 916.2 Senior notes, net ($ 245.3 and $ 239.7 due to related parties) 555.2 595.8 Other liabilities ($ 10.1 and $ 7.2 carried at fair value) 337.9 349.3 Contingent loan repurchase liability 341.0 343.0 Total liabilities 12,638.4 12,111.9 Commitments and Contingencies (Notes 20 and 21) Stockholders' Equity Common stock, $ .01 par value; 13,333,333 shares authorized; 7,845,055 and 7,684,401 shares issued and outstanding at June 3

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View this 10-Q filing on SEC EDGAR