General assumptions include: XYZ firm would have been able to purchase the securities recommended by the model and the markets were sufficiently liquid to permit all trading. For the complete insider trading history of PFSI, click here. Get notified the next time David A. Spector buys or sells PennyMac Financial Services stock. Co-op loans not available. This was all done while the vast majority of our employees were working from home for most of the year. In July, originations for our consumer direct channel totaled $3.5 billion and locks totaled $5.5 billion. Conventional correspondent acquisitions, for which PFSI earns a fulfillment fee from PMT, totaled $30.5 billion, down 10% from the prior quarter and up 61% from the second quarter of 2020. Business Incorporated: A number of research firms recently issued reports on PFSI. I am incredibly thankful and proud of the over 6,000 PennyMac employees who managed through the challenges of the pandemic to deliver these extraordinary results. These transactions provide PennyMac the additional capacity and liquidity to efficiently execute loss mitigation strategies as sales of these loans to third parties also eliminate the potential for associated margin calls. Lastly, I would like to touch on the trends we are seeing related to forbearance and loss mitigation. Backtested results are calculated by the retroactive application of a model constructed on the basis of historical data and based on assumptions integral to the model which may or may not be testable and are subject to losses. In January, our broker direct originations totaled $1.4 billion in UPB, and locks totaled $2.1 billion. Susquehanna Fundamental Investments LLC raised its position in shares of PennyMac Financial Services by 24.8% during the 4th quarter. PennyMac Financial Services can also be reached via phone at (818) 224-7442 and via email at pfsi_ir@pnmac.com. This hedging strategy is designed to moderate the impact of interest rate changes on the fair value of our MSR asset and also considers production-related income. Looking at the consumer direct channel in the center column, we originated $8 billion in UPB of loans, up 27% from the prior quarter and 113% from the fourth quarter of 2019. PennyMac Financial Services, Inc. (NYSE:PFSI) Q4 2020 Earnings Conference Call February 4, 2021 4:30 PM ET, Isaac Garden - Vice President Investor Relations, David Spector - President and Chief Executive Officer, Doug Jones - Chief Mortgage Banking Officer. This financial performance is driven by the balanced business model in mortgage banking that we have built over the last 13 years. As David mentioned earlier PFSIs net income was $452.8 million or diluted earnings per share of $5.97. The Production segment includes mortgage loan origination, acquisition, and sale activities. This growth in production is not only due to the significant investments we have made in our production technology, which Doug will elaborate on later, but is also due to the considerable investments we have made in people. Thank you Isaac. Mr. David Spector, CEO Mr. Andrew Chang, CFO Mr. Derek Stark, Chief Legal Officer Additional Contact Information Phone Numbers (800) 777-4001 Other Phone Email Addresses Email this. Senior Managing Director and Chief Financial Officer, will discuss our financial performance in more detail later on in his discussion. Schonfeld Strategic Advisors LLC raised its position in shares of PennyMac Financial Services by 822.2% during the 4th quarter. Similar Profiles. Segment revenue was $13.5 million, up 41% from the first quarter and 28% from June 30, 2020. Segment revenue was $9.7 million, down from $9.8 million in the prior quarter which included gains related to PMT shares owned by PFSI. Purchase originations in 2021 are forecasted to increase 10% year-over-year while refinance originations are expected to decrease but remain elevated relative to historical norms. I am pleased to note that PFSIs Board of Directors declared a fourth quarter cash dividend of $0.20 per share, representing a 33% increase from the prior quarter. The Investment Management segment consists of sourcing, performing diligence, bidding and closing investment asset acquisitions, managing correspondent production activities and managing the acquired assets. And finally, PFSIs Board of Directors approved an increase to its stock repurchase authorization from $500 million to $1 billion of outstanding common stock. These returns have led to a 29% compounded annual growth rate in our book value per share since our IPO. 130 Westlake Village, CA, 91362 Get Directions. We continue to originate record levels of volumes in this channel as a result of our large and growing servicing portfolio, efficient and low-cost infrastructure, advanced modeling and analytics, and the growth in sales and fulfillment capacity. And I'm pleased to be joined by PennyMac Financial Services CEO,. The company was founded by Stanford L. Kurland on July 2, 2008 and is headquartered in Westlake Village, CA. Mr. Spector owns 650,183 shares of PennyMac Financial Services stock worth more than $40,948,525 as of March 4th. All loan programs subject to borrowers meeting appropriate underwriting conditions. What is David Spector's role in PennyMac Mortgage? Thank you. David is based out of Agoura Hills, California, United States and works in the Financial Services industry. If youre new to trading, then youve probably heard the wrong thing about optionsthat theyre risky, unpredictable, or difficult. However, margins in this channel remain attractive. PennyMac Loan Services, LLC Attention: Correspondence Unit PO Box 514387 Los Angeles, CA 90051-4387, Notice of Error and Information Requests Only. Our balanced business model continues to deliver consistent profitability and value creation as it has done over the last seven years as a public company. Most recently, David Spector sold 26,169 shares of the business's stock in a transaction on Wednesday, March 1st. Please. This website may include combined information from PennyMac Financial Services, Inc. ("PFSI") and PennyMac Mortgage Investment Trust ("PMT") collectively Pennymac. The UPB of completed modifications was $5.5 billion, essentially unchanged from the prior quarter, and the UPB of EBO loan volume totaled $6.8 billion, up from $4.2 billion in the prior quarter. David Spector Work Experience and Education Work Experience Chairman & Chief Executive Officer PennyMac Mortgage Investment Trust 2007-2022 Chief Credit Officer Santander Consumer USA 2013-2016 Co-Head of Global Residential Mortgages Morgan Stanley 2005-2008 Global Managing Director, Banking & Markets Bank of America 2004-2010 Education PennyMac Loan Services, LLC PO Box 950002 Fort Worth, TX 76155-9802, PennyMac Loan Services, LLC PO Box 5133 Thousand Oaks, CA 91359-5133, 3043 Townsgate Rd, Suite 200 Westlake Village, CA 91361 818.224.7442. Get contact details including emails and phone numbers Revenue per fallout adjusted lock for PFSIs own account was 217 basis points in the fourth quarter, down slightly from 236 basis points in the third quarter. Series 2023-GTL1 Loan On February 28, 2023, PennyMac Financial Services, Inc. (the "Company"), through two of its indirect, wholly owned subsidiaries, PNMAC GMSR ISSUER TRUST ("Issuer Trust") and PennyMac Loan Services, LLC ("PLS"), entered into a syndicated series of term notes (the "Series 2023-GTL1 Loan"), as part of the structured . On Wednesday, March 1st, David Spector sold 26,169 shares of PennyMac Financial Services stock. It operates through the following segments: Production, Servicing, and Investment Management. The percentage of loans in forbearance decreased to 7.8% at December 31 from 10.1% at September 30 as new forbearance plans implemented since September 30 were more than offset by borrowers in forbearance plans at September 30 who have since exited. PennyMac Financial reported strong earnings in the fourth quarter driven by core production and servicing results. And we ended the quarter with a servicing portfolio of $473 billion in unpaid principal balance, approximately 4% of all residential mortgage debt in the United States. We were quick to step up and aid borrowers as the COVID-19 pandemic spread across the U.S., affecting many of our customers. PennyMac Financial Services, Inc. has a 12-month low of $38.53 and a 12-month high of $73.79. The shares were sold at an average price of $60.64, for a transaction totalling $1,586,888.16. Lastly, we encourage investors with any questions to reach out to our Investor Relations team by email or phone. How do I contact David A. Spector? This hedging strategy is designed to moderate the impact of interest rate changes on the fair value of our MSR asset and also considers productionrelated income. Production segment pretax income was $244.4 million, down 33% from the prior quarter and 55% from the second quarter of 2020. Trade/service marks are the property of PennyMac Loan Services, LLC and/or its subsidiaries or affiliates. Following the completion of the sale, the chief executive officer now directly owns 650,183 shares of the company's stock, valued at $39,427,097.12. While such a market would be smaller than 2020, it would represent a large origination market by historical standards. Advances are expected to increase over the next few quarters as many property tax payments become due toward the end of the calendar year. Since the start of 2020, we have repurchased approximately 13% of the PFSI shares that were outstanding at the beginning of 2020. T. Rowe Price Investment Management Inc. raised its position in shares of PennyMac Financial Services by 5.4% during the 4th quarter. The price of the stock has increased by 0.03% since. Posted by Defense World Staff on Mar 3rd, 2023. In the fourth quarter, PennyMac Financial delivered net income of 38 The history of PennyMac Financial was borne out of the Great Financial Crisis, with a desire to help distressed borrowers. The firm has a 50 day moving average of $62.72 and a 200-day moving average of $56.17. Hedging and related gains totaled $91 million. Thank you. His leadership helped lay the foundation for PennyMacs long term success which included building and developing a deep management team that carries on his legacy. The committed pipeline at January 31 was $7.9 billion. With that, I will turn the call over to Andy Chang, Senior Managing Director and Chief Operating Officer, who will go through some of the initiatives we are focused on to position us for future success in the years to come. 292 Pennymac reviews in Los Angeles, CA. Additionally, PFSI's Board of Directors approved an increase to its stock repurchase authorization from $1 billion to $2 billion. As David mentioned earlier, we sold $3.4 billion in UPB of EBO loans to third-party whole loan investors, up significantly from last quarter. Origination volumes totaled $10.7 billion in UPB, while interest rate lock commitments totaled $14.1 billion. And I'm pleased to be joined by PennyMac Financial Services CEO,. To ensure this doesnt happen in the future, please enable Javascript and cookies in your browser. Having difficulty making payments? Pennymac has 10 current employee profiles, including President and Chief Executive Officer David Spector. Schonfeld Strategic Advisors LLC now owns 60,866 shares of the real estate investment trusts stock worth $3,449,000 after purchasing an additional 54,266 shares during the last quarter. Thank you. These businesses provide PFSI a stable foundation through their low cost structures while our scaled fulfillment operation enables more aggressive growth in our higher margin direct lending channels. If you're not automatically redirected, please click here. Revenue per fallout-adjusted government lock in the second quarter was 30 basis points, down from 37 basis points in the prior quarter. As a management team, we are committed to putting the health and safety of our team members at the heart of our decisions. Our large production volumes fuel the organic growth of our servicing portfolio, leading to a larger recurring stream of earnings. Net assets under management totaled $2.3 billion as of June 30, down slightly from March 31 and up 5% from June 30, 2020. If you have an ad-blocker enabled you may be blocked from proceeding. The PFSI's owned servicing portfolio, which consists primarily of Ginnie Mae MSRs, had a 60 day delinquency rate of 6.7%, down from 8.6% at the end of the prior quarter. The return on the trade was 60.70%. In our broker direct channel, we are focused on further reducing the length of our loan origination cycle via workflow enhancements and upgrades to our broker portal, POWER. We quickly developed a plan to deal with the COVID-19 pandemic and the various work from home orders across the nation. This hiring mostly occurred in three key areas, servicing, direct lending and fulfillment services. David Spector - Chairman and Chief . The opportunity to grow these newer channels is exciting and provides PFSI a multi-channel, diversified and profitable production segment that will further grow the servicing portfolio with high quality assets.