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Dec 31, 2020
Rocket Companies Q4 2020 Earnings Report
Rocket Companies experienced substantial growth in Q4 2020, marked by a significant revenue increase and a special dividend announcement.
Key Takeaways
Rocket Companies reported a strong Q4 2020 with a 144% increase in revenue to $4.7 billion and a 277% increase in net income to $2.8 billion year-over-year. The company also announced a special dividend of $1.11 per Class A share.
Total revenue increased by 144% year-over-year to $4.7 billion.
Net income grew by 277% year-over-year to $2.8 billion.
Closed loan origination volume reached a record $107.2 billion, up 111% year-over-year.
Gain on sale margin increased to 4.41%, a 100 basis point increase year-over-year.
Rocket Companies
Rocket Companies
Rocket Companies Revenue by Segment
Revenue by Segment
Direct to Consumer Revenue
CapyFin.comPartner Network Revenue
CapyFin.com Forward Guidance
Rocket Companies anticipates continued growth in Q1 2021, with expectations for closed loan volume between $98 billion and $103 billion and gain on sale margins between 3.60% and 3.90%.
Positive Outlook
- Closed loan volume of between $98 billion and $103 billion, or an increase of 90% to 99% compared to $51.7 billion in the first quarter of 2020.
- Net rate lock volume of between $88 billion and $95 billion, which would represent an increase of 57% to 70% compared to $56.0 billion in the first quarter of 2020.
- Gain on sale margins of 3.60% to 3.90%, which would be an improvement of 35 to 65 basis points compared to 3.25% in the first quarter of 2020.
Revenue & Expenses
Visualization of income flow from segment revenue to net income