Financial Data and Key Metrics Changes - In Q1 2020, the company generated $0.17 of adjusted diluted earnings per share, $4.4 million of adjusted pre-tax income, $13.2 million of adjusted EBITDA, and $113.2 million of service revenue [6][5][7] - The first quarter financial performance was lower than the same period last year due to the disposition of certain businesses, the run-off of Ocwen's service portfolios, and COVID-19 related disruptions [5][6] Business Line Data and Key Metrics Changes - Service revenue from customers other than Ocwen, NRZ, and RESI grew by 36% year-over-year in Q1 2020, driven by customer base growth and market share expansion [7] - The company anticipates a short to medium-term negative impact on default-related revenue but expects strong long-term growth due to low interest rates [7][10] Market Data and Key Metrics Changes - The COVID-19 pandemic has led to significant disruptions in the real estate mortgage and servicing markets, with a rise in unemployment claims and borrowers in forbearance [9][10] - The Mortgage Bankers Association estimates that 7% of borrowers were in forbearance as of April 19, 2020, up from 0.25% in early March [9] Company Strategy and Development Direction - The company is focusing on maintaining employee health, adjusting operations to mitigate impacts, and preserving liquidity in anticipation of lower revenue [10][12] - The company believes it is well-positioned to capture opportunities in a low interest rate and rising delinquency environment, estimating that a 1% increase in mortgage delinquencies could increase the addressable market for default-related services by over $700 million [17][16] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the unprecedented impact of COVID-19 on the economy and the company's operations, with expectations of a challenging environment in the second and third quarters [5][49] - The company anticipates a gradual recovery starting in the fourth quarter, depending on the unemployment and delinquency rates [49][42] Other Important Information - The company has implemented cost reduction measures, including furloughs and compensation reductions, aiming to reduce cash expenses by $45 million to $50 million compared to the fourth quarter of 2019 [14][15] - The company holds $79 million in cash and equivalents, with $294 million in debt, positioning itself to manage through the current economic challenges [13] Q&A Session Summary Question: How did Ocwen-related revenues compare to forecasts? - Management indicated that they were largely on track until March when disruptions began due to the pandemic, resulting in a couple of million dollars off plan [20] Question: What is the impact of the moratorium on business flow? - Management explained that the federal and state moratoriums on foreclosures and evictions would reduce inflows into REO and referrals, with expectations of a pickup in referrals as moratoriums end [39][41] Question: What is the current state of business segments? - Management noted that the marketplace segment (Hubzu) is expected to be down about 75%, while Field Services is down but holding up reasonably well, and Mortgage Real Estate Solutions is expected to perform better than initially anticipated [53][58]

Financial Performance - Altisource ended Q1 2020 with $120.4 million in cash, cash equivalents, and equity securities[6] - Net debt less marketable securities was $173.5 million at the end of Q1 2020, a 30% decrease compared to March 31, 2019[6] - Q1 2020 revenue was $121.4 million, a 29% decrease compared to Q1 2019's $169.9 million[11] - Adjusted operating income for Q1 2020 was $8.5 million, a 51% decrease compared to Q1 2019's $17.3 million[11] - Adjusted pretax income attributable to Altisource for Q1 2020 was $4.4 million, a 61% decrease compared to Q1 2019's $11.3 million[11] - Adjusted EBITDA for Q1 2020 was $13.2 million, a 42% decrease compared to Q1 2019's $22.7 million[11] Business Segment Performance - Field Services revenue from customers other than Ocwen, NRZ, and RESI grew by 177% in Q1 2020 compared to Q1 2019[9] - Hubzu revenue from customers other than Ocwen, NRZ, and RESI grew by 39% in Q1 2020 compared to Q1 2019[10] - Hubzu inventory from customers other than Ocwen, NRZ, and RESI grew by 22% since March 31, 2019, representing 38% of total Hubzu inventory as of March 31, 2020[10, 22] - Mortgage and Real Estate Solutions revenue from customers other than Ocwen, NRZ, and RESI grew by 47% in Q1 2020 compared to Q1 2019[10]

PART I — Financial Information [Item 1. Interim Condensed Consolidated Financial Statements (Unaudited)](index=3&type=section&id=Item%201%20Interim%20Condensed%20Consolidated%20Financial%20Statements%20(Unaudited)) Altisource's unaudited Q1 2020 consolidated financial statements detail key financial positions, performance, and cash flows Condensed Consolidated Balance Sheets | Metric (in thousands) | March 31, 2020 | December 31, 2019 | | :-------------------- | :------------- | :---------------- | | **ASSETS** | | | | Total current assets | $181,605 | $184,188 | | Total assets | $368,595 | $385,119 | | **LIABILITIES AND EQUITY** | | | | Total current liabilities | $84,722 | $87,578 | | Long-term debt | $288,233 | $287,882 | | Total deficit | $(31,524) | $(21,357) | | Total liabilities and deficit | $368,595 | $385,119 | - Total assets **decreased** from **$385.1 million** at December 31, 2019, to **$368.6 million** at March 31, 2020[5](index=5&type=chunk) - Total deficit **increased** from **$(21.4) million** at December 31, 2019, to **$(31.5) million** at March 31, 2020[5](index=5&type=chunk) Condensed Consolidated Statements of Operations and Comprehensive Loss | Metric (in thousands, except per share) | 2020 | 2019 | | :------------------------------------ | :---------- | :---------- | | Revenue | $121,444 | $169,935 | | Gross profit | $26,863 | $45,720 | | Loss from operations | $(4,155) | $(626) | | Net loss attributable to Altisource | $(11,650) | $(3,184) | | Basic loss per share | $(0.75) | $(0.20) | | Diluted loss per share | $(0.75) | $(0.20) | - Revenue **decreased by 28.5%** from **$169.9 million** in Q1 2019 to **$121.4 million** in Q1 2020[8](index=8&type=chunk) - Net loss attributable to Altisource **significantly increased** from **$(3.2) million** in Q1 2019 to **$(11.7) million** in Q1 2020[8](index=8&type=chunk) Condensed Consolidated Statements of Equity | Metric (in thousands) | March 31, 2020 | December 31, 2019 | | :-------------------- | :------------- | :---------------- | | Common stock | $25,413 | $25,413 | | Additional paid-in capital | $136,563 | $133,669 | | Retained earnings | $252,466 | $272,026 | | Treasury stock, at cost | $(447,229) | $(453,934) |\ | Altisource deficit | $(32,787) | $(22,826) | | Non-controlling interests | $1,263 | $1,469 | | Total deficit | $(31,524) | $(21,357) | - Altisource's total deficit **increased** from **$(21.4) million** at December 31, 2019, to **$(31.5) million** at March 31, 2020, primarily due to a **net loss of $(11.65) million**[9](index=9&type=chunk) - Additional paid-in capital **increased by $2.9 million**, mainly from share-based compensation expense[9](index=9&type=chunk) Condensed Consolidated Statements of Cash Flows | Metric (in thousands) | 2020 | 2019 | | :-------------------- | :---------- | :---------- | | Net cash used in operating activities | $(1,648) | $(6,655) | | Net cash used in investing activities | $(511) | $(790) | | Net cash used in financing activities | $(1,516) | $(1,177) | | Net decrease in cash, cash equivalents and restricted cash | $(3,675) | $(8,622) | | Cash, cash equivalents and restricted cash at the end of the period | $82,908 | $55,424 | - Net cash used in operating activities **decreased by 75%** from **$(6.7) million** in Q1 2019 to **$(1.6) million** in Q1 2020[11](index=11&type=chunk) - Cash, cash equivalents and restricted cash at period-end **increased by 49.6%** from **$55.4 million** in Q1 2019 to **$82.9 million** in Q1 2020[11](index=11&type=chunk) Notes to Condensed Consolidated Financial Statements [NOTE 1 — ORGANIZATION AND BASIS OF PRESENTATION](index=8&type=section&id=NOTE%201%20%E2%80%94%20ORGANIZATION%20AND%20BASIS%20OF%20PRESENTATION) Altisource, a NASDAQ-traded real estate and mortgage service provider, presents unaudited GAAP financials, consolidating key entities - Altisource is an integrated service provider and marketplace for the real estate and mortgage industries, publicly traded on NASDAQ under '**ASPS**'[12](index=12&type=chunk)[13](index=13&type=chunk) - The company consolidates Lenders One, a mortgage cooperative, and Pointillist, Inc., a customer journey analytics business, due to primary beneficiary or controlling interests[15](index=15&type=chunk)[16](index=16&type=chunk)[17](index=17&type=chunk) - Lenders One had total assets of **$2.0 million** and liabilities of **$0.6 million** as of March 31, 2020, compared to **$1.6 million** and **$0.3 million** respectively, as of December 31, 2019[16](index=16&type=chunk) [NOTE 2 — CUSTOMER CONCENTRATION](index=11&type=section&id=NOTE%202%20%E2%80%94%20CUSTOMER%20CONCENTRATION) Ocwen remains Altisource's largest customer, contributing 61% of Q1 2020 revenue, impacted by platform transition Revenue from Ocwen (Three Months Ended March 31) | Metric (in millions) | 2020 | 2019 | | :------------------- | :---- | :---- | | Revenue from Ocwen | $74.2 | $98.3 | | % of consolidated revenue | 61% | 58% | - Ocwen was Altisource's largest customer, contributing **61% of total revenue** in Q1 2020, an **increase from 58%** in Q1 2019[28](index=28&type=chunk)[30](index=30&type=chunk) - Service revenue from REALServicing and related technologies **decreased significantly** from **$8.2 million** in Q1 2019 to **$0.9 million** in Q1 2020 due to Ocwen's platform transition[29](index=29&type=chunk) - Accounts receivable from Ocwen **increased to $21.4 million** as of March 31, 2020, from **$19.1 million** as of December 31, 2019[32](index=32&type=chunk) [NOTE 3 — SALE OF BUSINESSES](index=12&type=section&id=NOTE%203%20%E2%80%94%20SALE%20OF%20BUSINESSES) Altisource sold Financial Services and rental property management businesses, with future payments expected - Financial Services business sold to Transworld Systems Inc. for **$44.0 million** in July 2019, with **$40.0 million** upfront and **$4.0 million** due on the one-year anniversary[39](index=39&type=chunk) - Rental property management business sold to Front Yard Residential Corporation (RESI) for **$18.0 million** in August 2018. The second installment of **$3.0 million** (discounted to **$2.4 million**) is due upon a RESI change of control or by August 8, 2023[40](index=40&type=chunk) [NOTE 4 — INVESTMENT IN EQUITY SECURITIES](index=13&type=section&id=NOTE%204%20%E2%80%94%20INVESTMENT%20IN%20EQUITY%20SECURITIES) Altisource's RESI stock, valued at $41.3M, saw an unrealized loss in Q1 2020 due to a merger agreement Investment in RESI Common Stock (March 31, 2020 vs. December 31, 2019) | Metric (in millions) | March 31, 2020 | December 31, 2019 | | :------------------- | :------------- | :---------------- | | Fair value | $41.3 | $42.6 | | Unrealized (loss) gain | $(1.3) | $2.2 |\ | Dividends earned | $0.5 | $0.6 | - RESI entered a merger agreement on February 17, 2020, to be acquired for **$12.50 cash per share**, with Altisource agreeing to vote its shares in favor[42](index=42&type=chunk) [NOTE 5 — ACCOUNTS RECEIVABLE, NET](index=13&type=section&id=NOTE%205%20%E2%80%94%20ACCOUNTS%20RECEIVABLE%2C%20NET) Net accounts receivable stable at $43.6M, with minor shifts and increased allowance for credit losses Accounts Receivable, Net (March 31, 2020 vs. December 31, 2019) | Metric (in thousands) | March 31, 2020 | December 31, 2019 | | :-------------------- | :------------- | :---------------- | | Billed | $36,388 | $35,921 | | Unbilled | $12,002 | $12,166 | | Total gross | $48,390 | $48,087 | | Less: Allowance for credit losses | $(4,814) | $(4,472) | | Total net | $43,576 | $43,615 | - Unbilled accounts receivable primarily relate to real estate asset management, REO sales, title and closing services, and foreclosure trustee services, where revenue is recognized when services are provided but collection occurs later[43](index=43&type=chunk) [NOTE 6 — PREPAID EXPENSES AND OTHER CURRENT ASSETS](index=13&type=section&id=NOTE%206%20%E2%80%94%20PREPAID%20EXPENSES%20AND%20OTHER%20CURRENT%20ASSETS) Prepaid expenses and other current assets rose to $17.7M, driven by prepayments, offset by lower tax receivables Prepaid Expenses and Other Current Assets (March 31, 2020 vs. December 31, 2019) | Metric (in thousands) | March 31, 2020 | December 31, 2019 | | :-------------------- | :------------- | :---------------- | | Maintenance agreements, current portion | $1,845 | $1,923 | | Income taxes receivable | $2,605 | $5,098 | | Prepaid expenses | $6,972 | $3,924 | | Other current assets | $6,238 | $4,269 | | Total | $17,660 | $15,214 | [NOTE 7 — DISCONTINUATION OF LINES OF BUSINESS](index=14&type=section&id=NOTE%207%20%E2%80%94%20DISCONTINUATION%20OF%20LINES%20OF%20BUSINESS) Altisource wound down Owners.com and discontinued BRS business, with no material financial impact - Owners.com, a technology-enabled real estate brokerage, was wound down and closed by December 31, 2019[45](index=45&type=chunk) - The Buy-Renovate-Lease-Sell (BRS) business, focused on single-family homes for investors, was discontinued, with inventory sales completed in 2019[46](index=46&type=chunk) [NOTE 8 — PREMISES AND EQUIPMENT, NET](index=14&type=section&id=NOTE%208%20%E2%80%94%20PREMISES%20AND%20EQUIPMENT%2C%20NET) Net premises and equipment decreased to $21.0M, primarily due to Q1 2020 depreciation and amortization Premises and Equipment, Net (March 31, 2020 vs. December 31, 2019) | Metric (in thousands) | March 31,

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) þ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 1-34354 ALTISOURCE PORTFOLIO SOLUTIONS S.A. (Exact name of registrant as specified in its Charter) Luxembourg 98-0554932 (State or other ...

Altisource Portfolio Solutions SA (NASDAQ:ASPS) Q3 2019 Earnings Conference Call October 24, 2019 8:30 AM ET Corporate Participants Michelle Esterman - Chief Financial Officer Bill Shepro - Chairman and Chief Executive Officer Conference Call Participants Lee Cooperman - Omega Family Office Mike Grondahl - Northland Securities Operator Ladies and gentlemen, thank you for standing by and welcome to the Altisource Third Quarter 2019 Earnings Conference Call. At this time, all participants lines are in a liste ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q þ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2019 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 1-34354 ALTISOURCE PORTFOLIO SOLUTIONS S.A. (Exact name of Registrant as specified in its Charter) Luxembourg 98-0554932 (State or other jurisdiction of incorporation or or ...

Altisource Portfolio Solutions S.A. (NASDAQ:ASPS) Q2 2019 Earnings Conference Call July 25, 2019 8:30 AM ET Company Participants Michelle Esterman - Chief Financial Officer. Bill Shepro - Chief Executive Officer Conference Call Participants Lee Cooperman - Omega Family Office Mike Grondahl - Northland Securities Operator Good day, ladies and gentlemen, and welcome to the Altisource Second Quarter Earnings Conference Call. At this time, all participants are in a listen-only mode. Later we will conduct a ques ...