Onity Group Announces Full Year and Fourth Quarter 2025 Results

Core Insights - Onity Group Inc. reported record net income and earnings per share (EPS) for the full year 2025, with a net income of $185 million and diluted EPS of $21.46, reflecting a strong financial performance [6][8] - The company achieved a book value per share of $74, an increase of $17 year-over-year, indicating solid growth in shareholder equity [6][8] - A new $10 million share repurchase program was announced, demonstrating the company's confidence in its future prospects [6][11] Full Year 2025 Highlights - Total GAAP revenue increased by 9% to $1.1 billion compared to FY 2024 [8] - Net income attributable to common stockholders was $185 million, with an adjusted return on equity (ROE) of 17% [8][28] - The company reported $85 billion in total servicing additions, including $45 billion in subservicing additions [8] Fourth Quarter 2025 Highlights - Net income attributable to common stockholders for Q4 2025 was $126 million, with a diluted EPS of $14.24 [8] - The company experienced a funded recapture volume increase of 2.1 times compared to FY 2024 [9] - Total servicing unpaid principal balance (UPB) grew by $26 billion to $328 billion as of December 31, 2025 [9] 2026 Outlook - The company plans to simplify its business model and invest in innovation while continuing to support growth and deleveraging [6] - Adjusted ROE guidance for 2026 is projected to be in the range of 13% to 15%, with a potential increase to 16% to 18% without the release of the deferred tax valuation allowance [8] - The company aims to accelerate profitable growth and create long-term value for stakeholders [6]