Guild pany(GHLD) - 2024 Q4 - Annual Results

Financial Performance - Total originations reached $6.7 billion in Q4 2024, a 86$3.6 billion in Q4 2023[3] - Net revenue for Q4 2024 was $373.0 million, compared to$57.2 million in Q4 2023, marking a 552% increase[3] - Net income attributable to Guild was $97.9 million in Q4 2024, a significant recovery from a net loss of$93.0 million in Q4 2023[3] - Adjusted net income for 2024 totaled $90.2 million, compared to$48.0 million in the prior year, reflecting a 88% increase[4] - Total revenue for the three months ended December 31, 2024, was $372,987,000, compared to$159,257,000 for the same period in 2023, representing a significant increase[35] - Net income attributable to Guild for the three months ended December 31, 2024, was $97,942,000, a recovery from a net loss of$66,892,000 in the same quarter of 2023[35] - Adjusted net income for the year ended December 31, 2024, was $90.2 million, significantly up from$48.0 million in 2023[41] Balance Sheet and Assets - The servicing portfolio's unpaid principal balance was $93.0 billion as of December 31, 2024, up 9$85.0 billion a year earlier[4] - Total assets increased to $4,768,303 thousand in 2024 from$3,676,720 thousand in 2023, representing a growth of approximately 29.7%[33] - Mortgage loans held for sale at fair value rose to $1,523,447 thousand in 2024, up from$901,227 thousand in 2023, indicating an increase of about 68.9%[33] - The company reported a significant increase in mortgage servicing rights, valued at $1,343,829 thousand in 2024 compared to$1,161,357 thousand in 2023, a rise of approximately 15.7%[33] - Total liabilities grew to $3,514,293 thousand in 2024 from$2,493,227 thousand in 2023, marking an increase of around 40.9%[33] - Retained earnings increased to $1,200,908 thousand in 2024, up from$1,135,387 thousand in 2023, reflecting a growth of about 5.8%[33] Shareholder Returns and Equity - The company declared a special cash dividend of $0.50 per share, payable on March 31, 2025[13] - Return on average equity for 2024 was 8.0$20.24 as of December 31, 2024, from $19.36 in 2023[44] - Tangible net book value per share rose to$16.59 as of December 31, 2024, compared to $15.90 in 2023[44] - Average stockholders' equity for the year ended December 31, 2024, was$1,218.8 million, slightly up from $1,216.4 million in 2023[43] Operational Metrics - The gain on sale margin on originations was 317 basis points in Q4 2024, down from 330 basis points in Q4 2023[7] - The gain on sale margin for total loans sold was 317 basis points for the three months ended December 31, 2024, compared to 330 basis points in the previous quarter[38] - The purchase origination percentage for the three months ended December 31, 2024, was 82$244,167,000, a decrease from $252,090,000 in the previous quarter[35] Stock and Compensation - The company repurchased 27,641 shares at an average price of$13.95 per share during Q4 2024[12] - The company reported stock-based compensation of 9.7 million for the year ended December 31, 2024[42] Strategic Initiatives - The company is actively pursuing M&A opportunities to enhance market share and origination volume[21] - The company plans to adapt to technological changes and improve its origination and servicing platform to maintain competitive advantage[21] Non-GAAP Measures - Adjusted net income is defined as earnings excluding certain non-cash expenses, reflecting the company's focus on core operations[25] - The company emphasizes the importance of non-GAAP financial measures to evaluate operating performance and establish operational goals[30] Cash and Cash Equivalents - The cash and cash equivalents stood at 118.2 million as of December 31, 2024, slightly down from $120.3 million a year earlier[14] - The increase in cash and cash equivalents was modest, decreasing slightly to$118,203 thousand in 2024 from $120,260 thousand in 2023[33] Earnings Per Share - The basic earnings per share for the three months ended December 31, 2024, was$1.59, compared to a loss of $1.09 per share in the previous quarter[35] - The weighted average shares outstanding for diluted Class A and Class B common stock was 62,476,000 for the three months ended December 31, 2024[35] - The weighted average shares outstanding for diluted earnings per share was 62.5 million for the three months ended December 31, 2024[41] Other Financial Metrics - Adjusted EBITDA for the three months ended December 31, 2024, was$30.9 million, compared to $46.4 million in the previous quarter[42] - Return on average equity for the three months ended December 31, 2024, was 32.5$107.4 million for the three months ended December 31, 2024[42]