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Mar 31, 2020

PennyMac Q1 2020 Earnings Report

PennyMac Financial Services reported record quarterly financial performance driven by record production segment profitability and outstanding performance from interest rate hedging strategies.

Key Takeaways

PennyMac Financial Services reported a net income of $306.2 million for Q1 2020, or $3.73 per share on a diluted basis, on revenue of $721.8 million. The company's book value per share increased to $29.85. The Board of Directors declared a first quarter cash dividend of $0.12 per share.

Reported record quarterly financial performance.

Captured elevated production volumes and margins across all three production channels.

Maintained disciplined approach to interest rate, credit, and operational risks.

Offered borrowers the ability to request forbearance immediately using self-service capabilities.

Total Revenue
$722M
Previous year: $248M
+191.4%
EPS
$3.73
Previous year: $0.58
+543.1%
PMT Assets Under Mgmt
$1.8B
Gross Profit
$466M
Previous year: $96.1M
+384.9%
Cash and Equivalents
$879M
Previous year: $145M
+506.6%
Free Cash Flow
-$731M
Previous year: -$136M
+436.2%
Total Assets
$10.9B
Previous year: $7.82B
+39.3%

PennyMac

PennyMac

PennyMac Revenue by Segment

Forward Guidance

Given the present market environment, we expect PFSI’s overall financial performance to remain elevated throughout 2020.

Revenue & Expenses

Visualization of income flow from segment revenue to net income