Velocity Financial(US:VEL)2023-08-04 07:03Earnings - Net income was $122 million, with diluted earnings per share (EPS) of $036, compared to $106 million and $031 per share for 2Q22[6] - Core net income reached $129 million, with core diluted EPS of $038, compared to $106 million and $031 per share for 2Q22[7] - Net revenue grew by 68% Q/Q, while operating expense growth was essentially flat Q/Q[9] - The W A portfolio yield reached 824% for 2Q23, a 24 bps increase from 797% for 2Q22[10] Production & Loan Portfolio - Loan production in 2Q23 totaled $2586 million in UPB, a decrease of 419% from $4454 million in UPB for 2Q22[11] - The total loan portfolio was $37 billion in UPB as of June 30, 2023, an increase of 204% from June 30, 2022[13] - NPLs were 100% of Held for Investment (HFI) as of June 30, 2023, up from 82% as of June 30, 2022 Realized 30% gains on NPL UPB resolved in 2Q23[14] Financing & Capital - The company completed the VCC 2023-1R (Re-REMIC) securitization totaling $648 million of non –mark to market securities issued, resulting in $480 million in additional liquidity[15] - The company completed the VCC 2023-2 securitization totaling $2022 million of securities issued, comprised of long-term business-purpose loans[17] - Liquidity was $720 million as of June 30, 2023[18] - Total available warehouse line capacity was $5730 million as of June 30, 2023[19]