UWM (UWMC) Q4 2025 Earnings Call Transcript

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Date

Wednesday, Feb. 25, 2026 at 10:30 a.m. ET

Call participants

• Chairman, President, and Chief Executive Officer — Mathew Ishbia
• Chief Financial Officer — Rami Hasani

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Takeaways

• Originations -- $49.6 billion in Q4, an increase of 28% year over year.
• Full-year originations -- $163.4 billion, up 17% from 2024.
• Total Q4 revenue -- $945 million, rising from $843 million in Q3.
• Q4 net income -- $164.5 million, compared to $12.1 million in Q3, including a $28.8 million mortgage-servicing-rights (MSR) write-down.
• Adjusted Q4 EBITDA -- $232.8 million.
• Gain margin -- 122 basis points in Q4.
• MSR portfolio -- Unpaid principal balance (UPB) of approximately $241 billion and a fair value of $4.1 billion at quarter-end.
• Q4 servicing income -- $186 million, up from $169 million in Q3.
• Full-year servicing income -- $725 million, an increase from $637 million in 2024.
• Full-year net income -- $244 million, which includes a $435 million MSR write-down.
• Full-year adjusted EBITDA -- Exceeded $697 million.
• Total equity -- $1.6 billion at quarter-end.
• Total liquidity -- $1.8 billion at quarter-end, above Q3 due to the $1 billion unsecured bond issuance in September and proactive liability management prior to mid-November bond maturity.
• Number one lender -- Fourth consecutive year ranked as number one overall lender in America, and eleventh consecutive year as top wholesale lender.
• Servicing in-house initiative -- On track, expected to enhance lead flow and broker retention, and lower the cost per recaptured loan.
• Pending Two Harbors acquisition -- Positions the company to expand platform capabilities and further improve capital, liquidity, and leverage metrics upon closing.
• BUILT partnership -- Launched to expand lead generation for brokers and elevate consumer engagement throughout the loan process.

Summary

UWM Holdings Corporation (NYSE:UWMC) highlighted its continued leadership in U.S. residential mortgage originations, achieving record volumes in both the overall and wholesale segments. Management affirmed strategic progress on bringing servicing in-house and integrating platform enhancements, including technology-driven initiatives and partnerships, to strengthen future growth prospects. The call confirmed that the pending acquisition of Two Harbors and the BUILT partnership form key parts of an expanded business model aimed at increasing both broker and consumer engagement.

• Chairman and CEO Mathew Ishbia emphasized the company’s operational edge, asserting, “Our 100% broker model at our scale is both unique and a tremendous advantage.”
• Management reiterated a commitment to disciplined investment in people, process, and technology to support long-term operating capacity and maintain industry dominance.
• CFO Rami Hasani stated that capital, liquidity, and leverage ratios are expected “be further enhanced.” following the Two Harbors acquisition.
• The company confirmed the servicing platform’s dual role as a growth and retention engine, with data-driven tools aimed at increasing recapture rates for brokers.

Industry glossary

• MSR (Mortgage Servicing Right): The contractual right to service a mortgage loan and collect associated fees, recorded as a balance-sheet asset subject to fair-value adjustment.
• UPB (Unpaid Principal Balance): The total principal remaining on all outstanding loans serviced by the company.

Full Conference Call Transcript

Mathew Ishbia: It was our fourth consecutive year as the number one overall lender in America, and our eleventh consecutive year as the number one wholesale lender. This has never been done in the history of the mortgage industry, and we are really proud of our success and our dominance across the industry in wholesale and overall. Now, for the year, we delivered $163.4 billion originations, which is up 17% from 2024; $244 million in net income, and that included a $435 million MSR write-down. Our adjusted EBITDA was over $697 million. So we delivered an amazing quarter, $49.6 billion originations, a phenomenal year across the board. Now turning to the fourth quarter, which is up 28% year over year.

Our gain margin was 122 basis points, and our net income was $164.5 million. That included a $28.8 million write-down of MSRs. You know, on top of that, adjusted EBITDA was $232.8 million. It was just really strong across the board. An amazing fourth quarter. Really proud of what we did, and now we are going to continue to dominate going forward. Now, our process of bringing servicing in-house is on track. Our partnership with BUILT is going fantastic. We are so excited about what is going on right now. Going to deliver the best consumer experience in the industry just like we do on the mortgage side, on the lending side.

We are going to do it on the servicing and also keep our brokers connected and engaged to their consumers’ lives going forward. So we are really excited about this. BUILT is going to allow our brokers to not only acquire consumers earlier and expand the volume, the top of our funnel for lead flow, but also keep the mortgage brokers top of mind through the whole process. So BUILT-UWM servicing process is off to an amazing start, and we are really excited to give you more information about that as it goes forward. Now, the pending Two Harbors acquisition and process of bringing servicing in-house are strategic inflection points, not just operational improvements.

Together, these initiatives position us to expand our dominance, deliver high-quality leads to our brokers, increase the recapture rate while lowering cost per recaptured loan, and more data-driven personalization tools for our brokers. You can think about our servicing platform as both a growth and retention engine. We will continue to capitalize on where the market is going. More consumers are entering the broker channel, driven by rate shopping, optionality, speed, and a mortgage broker’s ability to guide them. Our 100% broker model at our scale is both unique and a tremendous advantage. We put our business in position in a more organic way to dominate than any of our competitors, and we are excited about the growth going forward.

I will now turn the call over to our CFO, Rami Hasani. Thank you, Mathew. Q4 was a strong quarter.

Rami Hasani: Reported total revenue of $945 million in Q4. Up from $843 million in Q3. Income was $164.5 million in Q4, up from $12.1 million in Q3. We also continue to maintain our MSR portfolio with a UPB of approximately $241 billion, a fair value of $4.1 billion, and net servicing income of $186 million in Q4, up from $169 million in Q3. For the full year, we reported total revenue of $3.2 billion in 2025, up from $2.7 billion in 2024. Net income was $244 million, down from net income of $329 million in 2024. We also delivered servicing income of $725 million in 2025, up from $637 million in 2024.

As we have said consistently, supporting long-term growth means continuing to invest in our people, processes, and technology, and doing so in a way that strengthens our operating capacity. In 2025, we continued to focus on investing to be prepared for growth, as we have mentioned before. We remain firmly on strategy with our investments, including bringing servicing in-house, which positions us to capitalize on significant market opportunities as volumes continue to normalize and grow. From a capital and liquidity perspective, we remain well capitalized with total equity of $1.6 billion. We also continue to be in a strong liquidity position, with total available liquidity of $1.8 billion at the end of Q4.

While our liquidity position was higher at the end of Q3, it was due to the timing of the $1 billion senior unsecured bond issuance in September and our proactive liability management with the use of proceeds prior to the mid-November bond maturity. Net available cash and our leverage ratios as of the end of Q4 remained relatively consistent with Q3. Going forward, we expect to continue to maintain our capital, liquidity, and leverage ratios within what we believe to be acceptable ranges. And upon completion of our acquisition of Two Harbors, we expect that our capital, liquidity, and leverage ratios will be further enhanced.

In summary, Q4 and 2025 delivered strong performance, and we are excited for 2026, bringing servicing in-house and completing the Two Harbors acquisition to further strengthen our business for long-term growth and success. I will now turn things back over to our Chairman, President, and CEO, Mathew Ishbia, for closing remarks.

Mathew Ishbia: Alright. Thanks, Rami. I will close with a few quick points. We are very optimistic on the mortgage and housing industry. You know, there is a big tailwind behind all of us. A lot of it is tied to the market, the administration, HUD, FHFA, Treasury, all these leaders in the country and in our industry are trying to find a way to help affordability and lowering rates, help more consumers. UWM Holdings Corporation will be the clear beneficiaries of all these changes, and we are excited about what is going on. Now, we expect to stay number one in the growing market, excited about how our AI implementation drives expenses lower while driving production much higher.

The opportunity is there right now, and we are seeing it happen. Our model is unique. As with the lowest cost of energy, and with servicing in-house, the BUILT experience and pending Two Harbors acquisition, we now have a closed-loop platform that will help position us to accelerate broker channel growth and drive consumer retention for us and the channel. Now, on these calls, I have always taken questions. We have gone through the process, and we believe our industry’s superior business model that the short Q&A does not necessarily do it justice, really make it to explain the complexity of business.

So I am not going to go through the question process today, but I do encourage you to read the SEC filings for more information about our business and strategy. UWM Holdings Corporation has had such a dominant 2025. We are going to have an even more dominant 2026, and I am really, really excited about it. So the year 2025 was about execution, disciplined investment, continued leadership. We are well positioned operationally, financially, and strategically for 2026 and beyond. We remain focused on the long-term focus of dominating this industry, taking care of our consumers, our team members, our brokers, our shareholders, and we are going to do just that going forward. Thanks for the time today.

Have a great day, and we will talk soon.

Operator: This concludes today’s conference call. You may now disconnect.

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