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• Revenue: $613 million for Q1 2025.

• Net Loss: $247 million, inclusive of a $388 million reduction in the fair value of the MSR portfolio.

• Adjusted EBITDA: $58 million.

• Production Volume: $32.4 billion, a 7% growth year over year.

• Refinance Volume: $10.6 billion, almost double from Q1 2024.

• Gain Margin: 94 basis points.

• Submission to Clear to Close: 12.7 days, improved from 13.9 days in Q1 2024.

• Net Promoter Score (NPS): 87.3.

• Cash: $485 million as of the end of Q2.

• Total Accessible Liquidity: $2.4 billion.

• MSR Portfolio Fair Value: $3.3 billion.

• Dividend: $0.10 per share for the quarter, $0.40 annualized.

• Q2 2025 Production Guidance: Expected between $38 billion and $45 billion.

• Q2 2025 Gain Margin Guidance: Expected between 90 basis points and 115 basis points.

• Warning! GuruFocus has detected 5 Warning Signs with UWMC.

Release Date: May 06, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• UWM Holdings Corp (NYSE:UWMC) reported a 7% year-over-year growth in production, closing $32.4 billion in the first quarter, outperforming the industry.

• The company achieved a Net Promoter Score of 87.3, indicating high customer satisfaction and industry-leading service levels.

• UWM Holdings Corp (NYSE:UWMC) plans to bring servicing in-house, leveraging AI technology to potentially save between $40 million and $100 million annually.

• The mortgage broker channel share has increased significantly, reaching almost 28%, the highest since 2008, showcasing the company's strategic growth.

• The company maintained strong liquidity with $485 million in cash and $2.4 billion in total accessible liquidity, positioning it well for future opportunities.

Negative Points

• UWM Holdings Corp (NYSE:UWMC) posted a net loss of $247 million for the quarter, impacted by a $388 million reduction in the fair value of its MSR portfolio.

• The gain margin was reported at 94 basis points, which was lower than expected, although the company is optimistic about future trends.

• The company faces increased costs compared to the first quarter of 2024, attributed to ongoing investments in growth and technology.

• There is uncertainty regarding the impact of potential GSE reform and privatization, which could affect the company's operations.

• Despite the positive outlook, the macroeconomic environment remains volatile, posing challenges to achieving projected growth targets.

Q & A Highlights

Q: On moving the servicing in-house, what timeline are you looking at, and what are the expected costs and benefits? A: Mat Ishbia, CEO, stated that they plan to start boarding loans at the beginning of 2026 and complete the transition by the end of that year. The move aims to reduce expenses significantly and improve service levels, enhancing the consumer experience and recapture efforts. There are no major one-time costs anticipated.