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Onity Group Inc. (ONIT-0.03%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing an increase in net income to $21.4 million, compared to $10.5 million in the previous quarter. The increase is attributed to higher revenue from servicing and subservicing fees.
Servicing and subservicing fees for the quarter were $211.1 million, consistent with the previous quarter. The company also reported a gain on loans held for sale of $25.8 million, an increase from $16.5 million in the previous quarter.
Operating expenses for the quarter were $112.4 million, up from $104.0 million in the previous quarter. This increase was primarily due to higher compensation and benefits expenses.
The company reported a gross profit of $236.1 million for the quarter, compared to $217.2 million in the previous quarter, with the increase attributed to higher revenue from reverse mortgage activities.
Interest income for the quarter was $24.5 million, while interest expense was $74.2 million, resulting in a net interest expense of $49.7 million.
Onity had a working capital of $201.6 million as of September 30, 2024. The company continues to focus on its servicing and origination segments, with an emphasis on subservicing growth.
The filing also details various financial agreements, including a transaction agreement with Oaktree Capital Management (BAM-0.12%) for the sale of its interest in MAV Canopy HoldCo I, LLC.
Onity does not anticipate cash dividend payments to common stockholders in the near future.
The company identified a material weakness in its internal controls over financial reporting due to a lack of resources with SEC financial reporting experience.
Onity continues to focus on its servicing and origination businesses, highlighting its strategy to maintain a balanced and diversified portfolio.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Onity Group Inc. quarterly 10-Q report dated November 7, 2024. To report an error, please email earnings@qz.com.