Part I. Financial Information [Financial Statements (Unaudited)](index=7&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) Rithm Capital reported Q3 2023 net income of $221.2 million and total assets of $34.7 billion, with nine-month net income at $697.8 million Consolidated Balance Sheet Highlights (Unaudited) | Metric | September 30, 2023 ($ thousands) | December 31, 2022 ($ thousands) | | :--- | :--- | :--- | | **Total Assets** | **$34,745,528** | **$32,479,336** | | Mortgage servicing rights | $8,694,868 | $8,889,403 | | Real estate and other securities | $10,193,596 | $8,289,277 | | Cash and cash equivalents | $1,217,283 | $1,336,508 | | **Total Liabilities** | **$27,477,565** | **$25,469,268** | | Secured financing agreements | $13,605,380 | $11,257,736 | | Secured notes and bonds payable | $9,964,855 | $10,098,943 | | **Total Equity** | **$7,267,963** | **$7,010,068** | Consolidated Statement of Operations Highlights (Unaudited) | Metric | Three Months Ended Sep 30, 2023 ($ thousands) | Three Months Ended Sep 30, 2022 ($ thousands) | Nine Months Ended Sep 30, 2023 ($ thousands) | Nine Months Ended Sep 30, 2022 ($ thousands) | | :--- | :--- | :--- | :--- | :--- | | Total Revenues | $1,089,415 | $910,847 | $2,911,034 | $3,960,028 | | Total Expenses | $759,178 | $723,697 | $2,124,553 | $2,663,319 | | **Net Income** | **$221,191** | **$154,190** | **$697,825** | **$877,452** | | Net Income Attributable to Common Stockholders | $193,949 | $124,456 | $620,204 | $783,039 | | **Diluted EPS** | **$0.40** | **$0.26** | **$1.28** | **$1.62** | Consolidated Cash Flow Highlights (Unaudited) | Metric | Nine Months Ended Sep 30, 2023 ($ thousands) | Nine Months Ended Sep 30, 2022 ($ thousands) | | :--- | :--- | :--- | | Net cash provided by operating activities | $1,667,487 | $6,732,161 | | Net cash used in investing activities | $(1,453,938) | $(854,825) | | Net cash used in financing activities | $(245,453) | $(5,456,203) | | **Net (Decrease) Increase in Cash** | **$(31,904)** | **$421,133** | [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=73&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management reported strong Q3 2023 economic data, increased book value per share, and adequate liquidity for planned acquisitions Book Value Per Common Share Trend | Date | Book Value Per Common Share | | :--- | :--- | | September 30, 2023 | $12.32 | | June 30, 2023 | $12.16 | | March 31, 2023 | $11.67 | | December 31, 2022 | $12.00 | | September 30, 2022 | $12.10 | - The company's total assets reached approximately **$34.7 billion** as of September 30, 2023, with a workforce of around **6,098 employees**[297](index=297&type=chunk) - Management noted strong Q3 2023 economic data, including a **4.9% annualized real GDP increase**, but also highlighted persistent inflation and a tight labor market. The **10-year U.S. Treasury rate rose to 4.6%**, and the **30-year fixed mortgage rate was 7.3%**[299](index=299&type=chunk)[300](index=300&type=chunk)[306](index=306&type=chunk) - The company has sufficient liquidity to finance the acquisitions of Sculptor (~**$719.8 million**, expected Q4 2023) and Computershare (~**$720 million**, expected Q1 2024) using cash on hand, available liquidity, and additional MSR/servicer advance financing[432](index=432&type=chunk) - As of September 30, 2023, the company's regulated servicer subsidiaries (NRM, Newrez, Caliber) held **$737.9 million** in liquidity excess of the new regulatory requirements that became effective on that date[433](index=433&type=chunk)[440](index=440&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=106&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is primarily exposed to interest rate, mortgage basis spread, prepayment, and credit risks, with book value sensitive to rate changes Interest Rate Sensitivity on Book Value (Pre-tax) | Interest Rate Change (bps) | Estimated Change in Book Value ($ millions) | | :--- | :--- | | +50 | +116.9 | | +25 | +60.0 | | -25 | -60.0 | | -50 | -125.0 | Mortgage Basis Spread Sensitivity on Book Value (Pre-tax) | Mortgage Basis Change (bps) | Estimated Change in Book Value ($ millions) | | :--- | :--- | | +20 | -53.8 | | +10 | -26.8 | | -10 | +26.8 | | -20 | +53.0 | - The company's primary market risks are identified as interest rate risk, mortgage basis spread risk, prepayment rate risk, and credit risk[487](index=487&type=chunk) - The company uses recapture agreements on a significant portion of its MSRs and Excess MSRs to mitigate the negative impact of increasing prepayment rates in a declining interest rate environment[491](index=491&type=chunk)[502](index=502&type=chunk) [Controls and Procedures](index=101&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded disclosure controls were effective, with no material changes to internal control over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of the end of the reporting period[512](index=512&type=chunk) - There were no changes in internal control over financial reporting during the quarter that materially affected, or are reasonably likely to materially affect, the company's internal controls[513](index=513&type=chunk) Part II. Other Information [Legal Proceedings](index=102&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal and regulatory matters, including Sculptor acquisition proceedings, with no material adverse effect anticipated - The company is subject to various legal disputes and regulatory inquiries that arise in the ordinary course of business[515](index=515&type=chunk) - Specific legal proceedings concerning the acquisition of Sculptor Capital Management are detailed in Note 25 to the Consolidated Financial Statements[516](index=516&type=chunk) [Risk Factors](index=102&type=section&id=Item%201A.%20Risk%20Factors) New risks related to the Sculptor acquisition include completion failure, integration challenges, litigation, and business disruption - The acquisition of Sculptor is subject to customary closing conditions, including Sculptor stockholder approval, and there is no assurance it will be consummated[518](index=518&type=chunk)[519](index=519&type=chunk) - The company faces challenges in successfully integrating Sculptor's business, which could result in delays, increased costs, and failure to achieve anticipated synergies[524](index=524&type=chunk)[525](index=525&type=chunk) - Stockholder litigation has been filed seeking to enjoin the transaction, which could result in damages, divert management's attention, and materially affect the business[526](index=526&type=chunk) - Uncertainties related to the acquisition may cause a loss of key management personnel and employees from both Rithm and Sculptor[532](index=532&type=chunk) - The company's ability to utilize Sculptor's significant tax attributes, such as net operating losses, will be significantly limited due to an "ownership change" under Section 382 of the Code[535](index=535&type=chunk)

Financial Data and Key Metrics Changes - GAAP net income for the quarter was $193.9 million or $0.40 per diluted share, with earnings available for distribution at $280.8 million or $0.58 per diluted share, including a realized gain of $0.15 related to the sale of excess MSRs [42] - Book value increased to $12.32 from $12.16, reflecting growth despite rising interest rates [42][37] - Total equity stood at $7.2 billion, with cash and liquidity at $1.9 billion at the end of the quarter [42] Business Line Data and Key Metrics Changes - The acquisition of SLS, a mortgage company with $135 billion in servicing, is expected to enhance the servicing business and increase earnings [18] - The total servicing portfolio is projected to grow to $840 billion upon the settlement of the SLS deal, which includes various types of MSRs [18] - The company aims for a return on equity (ROE) of approximately 30% on an annual basis, with a quarterly ROE around 15% [8] Market Data and Key Metrics Changes - The company is focusing on the commercial real estate debt space, which is seen as attractive due to no legacy assets and favorable valuations [27] - The current macroeconomic environment is viewed as highly favorable for capital deployment, with expected unlevered returns between 8% and 12% on senior cash flow [44] Company Strategy and Development Direction - The company is transitioning towards becoming a leading global alternative asset manager, with ambitions to reach $50 billion in assets under management (AUM) by year-end [6][17] - The Sculptor transaction is considered a significant step in expanding the asset management business, adding investment talent and capabilities [17][43] - The focus will be on private capital markets due to the current trading environment of REIT stocks, which are perceived as undervalued [6][19] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing a strong macro backdrop for investing and the potential for continued earnings growth [25] - The origination business is expected to face challenges due to high mortgage rates, but the servicing business is anticipated to benefit from lower prepayment rates [41] - The company is committed to reducing expenses, particularly in the origination segment, while focusing on generating more capital [8][41] Other Important Information - The company has a robust pipeline for acquisitions and is actively seeking opportunities in the private capital space [19][20] - The management team emphasized the importance of partnerships and strategic capital deployment to enhance revenue and earnings [40] Q&A Session Summary Question: Plans for Sculptor and capital allocation - Management indicated that the Sculptor transaction is crucial for growing the asset management business and that they are evaluating how much capital will remain in the mortgage company [4][5] Question: MSR valuations and market opportunities - Management noted modest movement in MSR valuations and indicated they remain buyers in the market, with a focus on achieving returns of 15% to 20% on capital [50][33] Question: Financial headroom for borrowing - The company reported approximately $2 billion in cash and liquidity, with sufficient headroom for additional borrowing as they explore private capital opportunities [52][51] Question: Current book value status - The book value was reported at $12.32, reflecting an increase from the previous quarter [54][37]

| --- | --- | |---------------------------|-------------------------| | | | | | Residential Securities, | | Origination and Servicing | Properties and Loans | Q3 2023 Quarterly Supplement • With regard to non-capitalized transaction-related expenses, management does not view these costs as part of the Company's core operations, as they are considered by management to be similar to realized losses incurred at acquisition. Non-capitalized transaction-related expenses are generally legal and valuation service ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 or ☐ 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: 001-35777 Rithm Capital Corp. (Exact name of registrant as specified in its charter) | Delaware | | 45-3449660 ...

Financial Data and Key Metrics Changes - GAAP net income for Q2 2023 was $357 million, or $0.74 per diluted share, while earnings available for distribution were $297 million, or $0.62 per diluted share, which included a $0.20 gain from the sale of excess MSRs [5] - The company declared a dividend of $0.25, reflecting a 10.7% dividend yield as of June, with cash liquidity at quarter-end amounting to $1.8 billion and total equity at $7.1 billion [5] Business Line Data and Key Metrics Changes - The mortgage company reported a total pre-tax income of $327 million for the quarter, with a 19% pre-tax return on equity, excluding MSR mark-to-market [15] - The servicing portfolio is around $600 billion, which includes both excess and full MSRs, and the company continues to move mortgage servicing rights back in-house under the new Shellpoint brand [39][40] Market Data and Key Metrics Changes - Interest rates are at some of the highest levels seen in over 20 years, with unlevered returns on most assets between 8% and 12% [8] - The company has a strong capital base of over $7 billion in equity and a balance sheet exceeding $30 billion, positioning it well for investment opportunities [4][33] Company Strategy and Development Direction - The acquisition of Sculptor Asset Management, valued at $639 million, is expected to be transformational, broadening the company's mandate and enhancing its investment expertise [4][37] - The company aims to differentiate itself from traditional mortgage REITs by expanding into alternative asset management and raising third-party AUM [14][58] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the current investment environment, highlighting significant deal flow and attractive investment opportunities [33][84] - The company anticipates that the Sculptor acquisition will be neutral to earnings in 2024 and accretive in 2025, with expectations for strong performance from existing investments [37][84] Other Important Information - The company has executed a strategic plan since its inception in 2013, growing from $1 billion in equity to over $7 billion and distributing $4.7 billion in dividends [32] - The company is focused on maintaining a mortgage REIT structure while also exploring the establishment of a C Corp and private funds to enhance capital structure [20][86] Q&A Session Summary Question: How do you think the valuations for other mortgage originators and servicers are driving your thinking around the value you could pick up in a spin-off? - Management indicated that the timing is right for a spin-off, emphasizing the scale and performance of the new brand [44] Question: Is there any tangible equity coming with the Sculptor transaction? - Management confirmed that tangible equity is expected to be about $300 million to $350 million, with goodwill around $200 million to $250 million [73] Question: What is the time frame for additional assets to come available from banks due to regulatory changes? - Management stated that opportunities are present now, with significant capital available to partner with [53][78] Question: Can you provide more detail about the price paid for the Marcus loans? - Management noted that the price was at a discount to par, with expected returns of 15% to 20% [55] Question: Is there a focus on shifting more AUM to externally managed? - Management confirmed a strategic focus on raising third-party AUM, facilitated by the Sculptor acquisition [58]

rithm = Q2 2023 Quarterly Supplement Rithm Capital Quarterly Supplement Q2 2023 Disclaimers IN GENERAL. This disclaimer applies to this document and the verbal or written comments of any person presenting it. This document, taken together with any such verbal or written comments, is referred to herein as the "Presentation." NO OFFER; NO RELIANCE. This Presentation is for informational purposes only and does not constitute an offer to sell, or a solicitation of an offer to buy, any security and may not be re ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 or ☐ 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: 001-35777 Rithm Capital Corp. (Exact name of registrant as specified in its charter) | Delaware | | 45-3449660 ...

Financial Data and Key Metrics Changes - GAAP net income for the quarter is $68.9 million or $0.14 per diluted share, with core earnings at $171.1 million or $0.35 per diluted share [19] - Book value decreased from $12 to $11.67, reflecting a $0.23 dilution from warrant exercise, indicating stability despite market volatility [19][28] - Cash and liquidity at the end of the quarter is $1.6 billion, total equity is $6.9 billion [19] Business Line Data and Key Metrics Changes - The origination segment decreased by $11.7 million due to seasonality, with March breakeven [1] - The mortgage company represents 75% of Rithm's full MSR portfolio, with newly originated MSRs at 6.37% [40] - The Genesis business is expected to yield unlevered returns of 10% to 12%, with potential returns of 20% to 30% [32] Market Data and Key Metrics Changes - The company is seeing increased competition in the retail channel due to reduced inventory in the market [8] - The overall market for MSRs is viewed as attractive, with expected returns of 15% to 20% [2][6] - Delinquencies remain extremely low, indicating a healthy portfolio [31][23] Company Strategy and Development Direction - The company aims to transition into an alternative asset manager, evaluating alternatives for its mortgage company and likely filing an S-1 [17][20] - The focus is on acquiring distressed assets and direct lending opportunities, particularly in the commercial real estate sector [22][60] - The company plans to raise significant pools of capital over the next three to nine months to enhance earnings growth [29] Management's Comments on Operating Environment and Future Outlook - Management believes the current stress in the banking system will create greater opportunities for lending business lines [16][18] - The company will not fight the Fed's interest rate policies and aims to maintain stable book value while growing earnings [18][28] - There is optimism regarding the pipeline of investment opportunities, particularly in consumer and real estate assets [60][77] Other Important Information - The company has a strong track record of consistent earnings and has paid out $1 billion in dividends over the past two years [16][29] - The investment portfolio is performing well, with a focus on customer retention and reducing expenses [31][23] Q&A Session Summary Question: Update on book value quarter to date - Book value is essentially unchanged from Q1 [5] Question: MSR opportunity focus - The focus is more on POS and conventional sides, targeting 15% to 20% returns [6] Question: Competitive positioning in origination market - The company is exploring opportunities in the Genesis business and is optimistic about the potential for higher returns [46][55] Question: Potential for creating a public entity from the mortgage company - The company is likely to file an S-1 to explore this option [47] Question: Opportunities from regional bank stress - The company sees significant investment opportunities arising from the stress in regional banks [59][77] Question: Capital raising ambitions - The company is optimistic about raising large pools of capital for investment strategies [81]

rithm PAST PERFORMANCE. Past performance is not a reliable indicator of future results and should not be relied upon for any reason. NO OFFER; NO RELIANCE. This Presentation is for informational purposes only and does not constitute an offer to sell, or a solicitation of an offer to buy, any security and may not be relied upon in connection with the purchase or sale of any security. Any reference to a potential financing does not constitute, nor should it be construed as, an offer to purchase or sell any se ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 or ☐ 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: 001-35777 Rithm Capital Corp. (Exact name of registrant as specified in its charter) | | Delaware | | 45-3449660 | | --- | --- | --- | --- | | | (S ...