Finance of America panies (US:FOA)2022-03-03 10:39Financial Performance & Impairment - Finance of America reported a net loss of $1336 million in Q4 2021, primarily due to a $1381 million impairment of goodwill and intangible assets[7, 8] - Excluding the impairment charge and related tax benefit, the company generated net income of $15 million for Q4 2021[7] - For the full year 2021, the company reported a net loss of $1177 million, also due to the impairment of goodwill and intangible assets[7, 10] - Adjusted Net Income for 2021 was $308 million, driven by 177% growth in Specialty Finance & Services (SF&S)[10] Segment Performance - SF&S segments accounted for 51% of total revenue in Q4 2021 and are expected to be the major driver of profitability in 2022[6] - The SF&S businesses demonstrated substantial growth, with a Compound Annual Growth Rate (CAGR) of 90% from 2019 to 2021[12] - Mortgage pre-tax income excluding impairment of goodwill and intangible assets was $(8) million in Q4 2021 and $96 million for the full year 2021[7] - SF&S pre-tax income excluding impairment of goodwill and intangible assets was $27 million in Q4 2021 and $89 million for the full year 2021[7] Strategic Priorities & Outlook - Management is focused on optimizing the Mortgage Originations segment, investing in high-growth businesses (Reverse, Commercial, Home Improvement, and Lender Services), and investing in technology and data[6] - Non-agency Mortgage volume grew 25% quarter over quarter, accounting for 18% of overall Mortgage volume in Q4 2021[8] - Q1 2022 projected revenue for Mortgage is $150-170 million with an Adjusted Net Income Margin of 0-2%, while SF&S is projected to have revenue of $230-250 million with an Adjusted Net Income Margin of 19-21%[24]