ASPS

This article first appeared on GuruFocus. Service Revenue: $48.7 million, a 19% increase year-over-year and an 8% increase quarter-over-quarter. Origination Segment Revenue Growth: 62% increase year-over-year. Servicer and Real Estate Segment Revenue: $34.4 million, an 8% increase year-over-year. Adjusted EBITDA (Servicer and Real Estate Segment): $11.7 million, a 2% decrease year-over-year. Net Cash Used in Operating Activities: $6.6 million. Unrestricted Cash: $23.2 million at the end of the quarter. Hubzu Inventory Growth: 30% increase to 22,300 assets. Corporate Adjusted EBITDA Loss: $7.9 million, a $400,000 increase year-over-year. Foreclosure Starts Increase: 14% higher for the first five months of 2026 compared to the same period in 2025. Mortgage Origination Unit Volume Increase: 9% increase year-over-year in the second quarter of 2026. Warning! GuruFocus has detected 4 Warning Signs with ASPS. Is ASPS fairly valued? Test your thesis with our free DCF calculator. Release Date: July 23, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Altisource Portfolio Solutions SA (NASDAQ:ASPS) reported a 19% increase in service revenue for the second quarter of 2026 compared to the same period in 2025. The company achieved a 62% growth in the Origination segment and an 8% growth in the Servicer and Real Estate segment. ASPS successfully reduced outstanding debt and repurchased $2 million of its term loan, contributing to financial stability. The company is deploying AI and other efficiency initiatives to improve product development speed and EBITDA margins. ASPS has diversified its customer base, reducing dependence on Onity and Rithm, with 65% of service revenue now coming from other customers. Despite revenue growth, adjusted EBITDA and adjusted EBITDA margins declined quarter over quarter due to non-recurring benefits in the previous year and higher costs. Net cash used in operating activities was $6.6 million, driven by an increase in receivables from revenue growth. The Servicer and Real Estate segment's adjusted EBITDA decreased by 2% compared to the same quarter last year. Corporate adjusted EBITDA loss increased by $400,000 compared to the second quarter of 2025. Working capital was a use of cash this quarter, primarily due to growth in receivables, which may continue as revenues grow. Q: Can you provide some color on how long it may take for Hubzu inventory to transfer into revenue, considering the differences between foreclosure and REO timelines? A: Typically, an REO file takes about 9 to 12 months to sell, depending on factors like redemption state and eviction processes. For foreclosure referrals, it usually takes around 12 months to reach foreclosure sale. These timelines can vary widely by state. Q: How do you plan to allocate capital going forward, particularly regarding debt reduction? A: We have the ability to buy back up to $3 million in debt annually, subject to approval. We aim to opportunistically buy back debt at a discount. Our focus is on growing revenue and improving margins, with the goal of generating more free cash flow to eventually refinance the debt. Q: With customer diversification improving, how do you see the share of Onity and Rithm in service revenue changing over time? A: Revenue from Onity and Rithm is expected to decline as some portfolios are transferred. We anticipate stabilization by the fourth quarter, with future revenue depending on Onity's growth. Q: Working capital was a significant use this quarter. Is this a trend or just normal seasonality? A: The increase in working capital is associated with revenue growth and some seasonality. Receivables have grown with revenue, but this is expected to stabilize as cash is generated from receivables. Q: Should there be any concerns regarding liquidity given the current working capital situation? A: No concerns about liquidity. Cash is already building back up in the third quarter, indicating a stable financial position. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Altisource Portfolio Solutions S.A.? Here are five stocks we like better. Revenue growth accelerated in Q2 as Altisource reported service revenue of $48.7 million, up 19% year over year, driven by customer wins in both the origination and servicer/real estate segments. The company said this more than offset declines in business tied to Rithm. Customer diversification improved sharply, with revenue from customers other than Onity and Rithm rising to 65% of total service revenue, the highest level since the company’s IPO. Management also pointed to growing Hubzu inventory and a stronger sales pipeline as signs of continued progress. Margins and cash flow were pressured despite growth, as adjusted EBITDA declined due to prior-year one-time benefits, higher growth-related costs, and a $6.6 million use of operating cash tied mainly to receivables. Altisource said it repurchased $2 million of debt and is using AI initiatives to improve efficiency and support future margin expansion. Altisource Portfolio Solutions (NASDAQ:ASPS) reported higher second-quarter 2026 service revenue as new customer wins helped offset a decline in business tied to Rithm, while management said the company is making progress toward diversifying its customer base and improving efficiency through artificial intelligence initiatives. Chairman and Chief Executive Officer Bill Shepro said Altisource generated service revenue of $48.7 million in the quarter, up 19% from the second quarter of 2025 and 8% from the prior quarter. The increase reflected growth in both of the company’s operating segments, including a 62% year-over-year increase in the origination segment and an 8% increase in the servicer and real estate segment. → 3 Photonics Companies Making Quantum Tech Possible “Service revenue growth from customer wins has more than replaced the loss of a portion of the Rithm-related business, as demonstrated by our more diversified customer base and growing Hubzu inventory,” Shepro said. Despite the revenue growth, Shepro said adjusted EBITDA and adjusted EBITDA margins declined from the prior-year period, primarily because the second quarter of 2025 included a non-recurring benefit related to a legacy matter in the servicer and real estate segment and because Altisource incurred higher costs to support revenue growth. Those factors were partially offset by a second-quarter 2026 gain from the repurchase of $2 million of the company’s term loan. → Could Truth API Become Trump Media’s First Meaningful Revenue Driver? GAAP pre-tax earnings were nearly breakeven in the quarter, compared with $200,000 of pre-tax income in the second quarter of 2025. Net cash used in operating activities was $6.6 million, which Shepro said was driven almost entirely by higher receivables tied to revenue growth. The company ended the quarter with $23.2 million in unrestricted cash. Altisource’s countercyclical servicer and real estate segment generated $34.4 million in second-quarter service revenue, an 8% increase from the same period last year. Shepro attributed the growth primarily to customer wins in the Hubzu, title and trustee businesses, partially offset by fewer Rithm-related referrals. → AeroVironment’s Stock Is Down, But Drone Demand Is Taking Off Segment adjusted EBITDA was $11.7 million, down 2% year over year. Shepro said the decline reflected the prior-year non-recurring benefit in the marketplace business and 2026 EBITDA losses related to Rithm, which were largely offset by EBITDA growth from customer wins. Altisource won an estimated $5.2 million in annualized stabilized service revenue in the servicer and real estate segment during the quarter. The company also generated $9.1 million of second-quarter revenue, or $36.5 million annualized, from sales wins since 2024. Its estimated weighted average sales pipeline for the segment ended the quarter at $8.2 million on a stabilized basis. Shepro highlighted growth in Hubzu inventory as a key indicator for future revenue. Hubzu inventory increased 30% during the quarter to 22,300 assets from 17,200 assets at March 31, 2026. In response to a question from B. Riley Securities analyst Timothy D’Agostino, Shepro said it typically takes nine to 12 months to sell an REO file after receipt, depending on factors such as redemption periods or eviction processes. For foreclosure referrals, he said Altisource typically receives the referral at the foreclosure start, and it takes around 12 months on average to reach foreclosure sale, though timelines vary by state. The company’s origination segment posted a 62% increase in second-quarter service revenue compared with the prior-year period, driven primarily by sales wins. Adjusted EBITDA declined as Altisource invested in leadership and staff and incurred higher outside fees and services to support growth. During the quarter, the origination segment secured an estimated $7.1 million in wins, primarily in Lenders One. The segment ended the quarter with an estimated weighted average sales pipeline of $20 million. Shepro said management expects service revenue and adjusted EBITDA in the origination segment to grow based on onboarding of recent sales wins, the existing pipeline and forecasted market conditions. Altisource said it is reducing its dependence on Onity and Rithm. In the second quarter, revenue from customers other than Onity, Rithm and customers associated with their portfolios rose to 65% of total service revenue, up from 46% a year earlier. Shepro said this represented the company’s highest percentage of service revenue from customers other than Onity and Rithm since Altisource went public in 2009. Asked about the future contribution from Onity and Rithm, Shepro said it is difficult to forecast because it depends on Onity’s portfolio growth and delinquency trends. He said Altisource expects revenue from Rithm portfolios serviced or sub-serviced by Onity to decline over the next couple of months, but added that the company believes it is “closer to the end than the beginning” of that transition. Shepro said the decline may continue in the third quarter and should begin to stabilize in the fourth quarter. Altisource reduced outstanding debt during the quarter by repurchasing $2 million of its term loan. Shepro said the company has the ability under its debt agreements to buy back up to $3 million in purchase price of debt annually, subject to approval from the first-lien or super-senior term loan lenders. “If we have the opportunity to opportunistically buy back debt, we think that’s a good use of cash, particularly when we’re buying back at a discount,” Shepro said. He added that the company remains focused on building the business, growing revenue and improving margins, with the goal of generating more free cash flow and positioning Altisource to eventually refinance its debt. Napier Park Global Managing Director Shachar Minkove asked about working capital, noting that receivables were a use of cash during the quarter. Chief Financial Officer Michelle Esterman said the increase was associated with revenue growth and some seasonality. Shepro said there was “nothing out of the ordinary” and that cash was already building back up early in the third quarter. Shepro said Altisource has moved over the past year from evaluating AI to deploying it in practical ways across the company. He said the company is using AI to improve customer-facing capabilities, operating efficiency, revenue generation and software development. Altisource has established a centralized AI enablement model and is applying AI-first software development to new applications and platform modernization. Shepro said the initiatives are already improving software development speed and productivity and could help reduce commercial off-the-shelf software costs while strengthening platforms including Equator, Hubzu and REALSynergy. Management said Altisource continues to operate in a difficult market marked by low delinquency rates and origination volumes. Shepro cited a modest increase in 90-plus day mortgage delinquency rates to 1.55% in May 2026 from 1.45% in December 2025. Loans that were 90-plus days delinquent plus loans in foreclosure totaled 857,000 as of May 31, up 28% from May 2025 and 7% from December 2025. Foreclosure starts for the first five months of 2026 were 14% higher than the same period in 2025, while foreclosure sales were 19% higher, though both remained well below pre-pandemic levels. In the origination market, second-quarter mortgage origination unit volume rose 9% year over year, driven by a 37% increase in refinance volume and a 4% decrease in purchase volume. Shepro said the ramp of sales wins and efficiency initiatives should drive roughly flat third-quarter adjusted EBITDA and higher fourth-quarter adjusted EBITDA. He said the company remains focused on its Project 45 objective of reaching $45 million in run-rate adjusted EBITDA by the fourth quarter of 2028. Altisource Portfolio Solutions SA (NASDAQ: ASPS) is a provider of proprietary technology and specialized services to the mortgage and real estate industries. Founded in 2009, the company helps financial institutions, investors and loan servicers streamline processes across the full loan lifecycle, from origination and valuation through default management, asset disposition and investor reporting. Core offerings include loan servicing and asset management solutions, property preservation and inspection services, valuation and due diligence, title and settlement services, as well as vendor management platforms. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Altisource Portfolio Solutions Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved 19% year-over-year service revenue growth by successfully replacing lost Rithm-related business with new customer wins across both segments. Reached a historical milestone with 65% of total service revenue now coming from non-Onity/Rithm customers, the highest diversification since the 2009 IPO. Attributed the decline in adjusted EBITDA margins to the absence of a prior-year non-recurring benefit and increased investments in leadership and staff to support growth. Deployed a centralized AI enablement model to accelerate software development and improve operating efficiency, specifically targeting the modernization of the Equator and Hubzu platforms. Reported a 30% sequential increase in Hubzu inventory, which management views as a critical leading indicator for future revenue realization. Noted that while foreclosure starts and sales are increasing, they remain significantly below pre-pandemic levels, suggesting further upside if market conditions normalize. Anticipates roughly flat third quarter adjusted EBITDA with a projected increase in the fourth quarter as recent sales wins continue to ramp. Maintains the 'Project 45' objective to reach a $45 million run rate adjusted EBITDA by the fourth quarter of 2028. Expects the decline in Rithm-related revenue to stabilize by the fourth quarter of 2026 as the transition of assets to Rithm's internal servicing nears completion. Assumes a 9 to 12-month lag between receiving REO or foreclosure referrals and the ultimate realization of service revenue. Focusing on margin improvement and pipeline building in the second half of 2026 to position the company for a future debt refinancing. Repurchased $2 million of the company's term loan at a discount, resulting in a gain and contributing to debt reduction efforts. Identified a $6.6 million net cash use in operating activities, almost entirely driven by increased receivables resulting from rapid revenue growth. Highlighted that $6.9 billion of Onity's portfolio remains subject to trustee approvals, which may determine if those assets stay with Altisource for the foreseeable future. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management explained that REO files typically take 9 to 12 months to sell, depending on state-specific redemption and eviction laws. Foreclosure referrals generally take approximately 12 months from the initial start to reach a foreclosure sale. The company is permitted to buy back up to $3 million in debt annually, subject to super senior term loan approval, and views opportunistic discounted buybacks as a good use of cash. Primary focus remains on growing revenue and improving margins to generate free cash flow for an eventual full refinancing of the debt. Management clarified that the increase in receivables is a normal byproduct of revenue growth and some seasonality, rather than a structural liquidity issue. Confirmed that cash levels have already begun to build back up in the early part of the third quarter.

Second quarter 2026 Service revenue grew 19% compared to the second quarter 2025 and 8% compared to the first quarter 2026 LUXEMBOURG, July 23, 2026 (GLOBE NEWSWIRE) -- Altisource Portfolio Solutions S.A. (“Altisource” or the “Company”) (NASDAQ: ASPS), a leading provider and marketplace for the real estate and mortgage industries, today reported financial results for the second quarter 2026. “We are pleased with our second quarter 2026 performance with sequential and year-over-year Service revenue growth in both segments. Service revenue growth from customer wins has more than replaced the loss of a portion of the Rithm-related business as demonstrated by our more diversified customer base and growing Hubzu inventory. In addition to strong Service revenue, we reduced outstanding debt and continued to deploy AI and other efficiency initiatives which we anticipate will improve product development speed and EBITDA margins," said William B. Shepro, Chairman and Chief Executive Officer. Mr. Shepro further commented, "We believe the ramp of sales wins, on-going efficiency initiatives and continued sales wins position us well to achieve our Project 45 objective of $45 million in run rate Adjusted EBITDA(1) by the fourth quarter of 2028." Second Quarter 2026 Highlights(2) Company, Corporate and Financial: Second quarter Service revenue of $48.7 million was $7.9 million, or 19%, higher than the same quarter of 2025 Second quarter Loss before income taxes and non-controlling interests of $43 thousand was a $0.2 million decrease compared to the same quarter of 2025 Second quarter Net loss attributable to Altisource of $0.6 million was a $17.1 million decline compared to the same quarter of 2025 from an $18.5 million benefit in 2025 from the reversal of reserves for uncertain tax positions and related accrued interest Second quarter Diluted loss per share of $(0.05) was a $1.53 decrease compared to the same quarter of 2025 Second quarter Adjusted diluted earnings per share(1) of $0.17 was a $0.02 decrease compared to the same quarter of 2025 Second quarter Adjusted earnings before interest, tax, depreciation and amortization (“Adjusted EBITDA”)(1) of $4.4 million was $1.0 million, or 18% lower than the same quarter of 2025 Second quarter Adjusted EBITDA(1) margin of 9% was lower than the 13% Adjusted EBITDA(1) margin in the same quarter of 2025 largely due to a non-recurring benefit realized in the second quarter 2025 related to a legacy matter in the Servicer and Real Estate segment and higher costs to support revenue growth Repurchased $2.0 million of our debt at a discount of 23.7%, recognizing a net gain of $0.7 million on the early extinguishment of debt Second quarter Cash used in operating activities of $6.6 million was a $6.3 million increase, compared to the same quarter of 2025, almost all of which was driven by an increase in receivables from revenue growth; we ended the quarter with $23.2 million of cash and cash equivalents Business and Industry: Adjusted EBITDA(1) in the Servicer and Real Estate and Origination segments (together “Business Segments”) was $12.3 million, or 25.2% of Service revenue, compared to $12.9 million, or 31.5% of Service revenue, in the same quarter of 2025 primarily due to a non-recurring benefit realized in the second quarter 2025 related to a legacy matter in the Servicer and Real Estate segment and higher costs to support revenue growth Generated sales wins which we estimate represent potential annualized service revenue on a stabilized basis of $5.2 million for the Servicer and Real Estate segment and $7.1 million for the Origination segment Driven by recent sales wins, total Hubzu inventory grew 30% since the first quarter 2026 Ended the quarter with an estimated weighted average sales pipeline between $25.1 million and $31.3 million of potential estimated annual revenue on a stabilized basis based upon forecasted probability of closing (comprising of between $7.3 million and $9.1 million in the Servicer and Real Estate segment and between $17.8 million and $22.3 million in the Origination segment) Industrywide foreclosure initiations were 14% higher for the five months ended May 31, 2026 compared to the same period in 2025 (although still 11% lower than the same pre-COVID-19 period in 2019)(3) Industrywide foreclosure sales were 19% higher for the five months ended May 31, 2026 compared to the same period in 2025 (although still 42% lower than the same pre-COVID-19 period in 2019)(3) Industrywide mortgage origination unit volume increased by 9% for the second quarter 2026 compared to the same period in 2025, comprised of a 4% decrease in purchase origination unit volume and a 37% increase in refinancing origination unit volume(4) Second Quarter 2026 Financial Results Service revenue of $48.7 million Income from operations of $1.1 million Loss before income taxes and non-controlling interests of $43 thousand Net loss attributable to Altisource of $(0.6) million Adjusted EBITDA(1) of $4.4 million Diluted loss per share of $(0.05) Adjusted diluted earnings per share(1) of $0.17 Second Quarter 2026 Results Compared to the Second Quarter 2025 (unaudited): Second quarter 2026 loss before income taxes and non-controlling interests includes $0.7 million of gain on early extinguishment of debt (no comparative amount for the second quarter 2025) 2025 loss before income taxes and non-controlling interests includes $0.5 million and $3.5 million of Debt Exchange Transaction expenses for the three and six month period ended, respectively (no comparative amount for three or six month period ended second quarter 2026 ) Second quarter 2025 net income attributable to Altisource includes an $18.5 million income tax benefit related to the reversal of a portion of its reserves for uncertain India tax positions and related accrued interest (no comparable amount for the second quarter of 2026). ____________________ (1) This is a non-GAAP measure that is defined and reconciled to the corresponding GAAP measure herein(2) Applies to the second quarter 2026 unless otherwise indicated(3) Based on data from ICE’s Mortgage Monitor and First Look reports with data through May 2026(4) Based on estimated number of loans originated as reported by the Mortgage Bankers Association’s Mortgage Finance Forecast dated June 22, 2026(5) Altisource does not provide foreclosure auction services to Rithm Forward-Looking Statements This press release contains forward-looking statements that involve a number of risks and uncertainties. These forward-looking statements include all statements that are not historical fact, including statements that relate to, among other things, future events or our future financial / operating performance or financial condition. These statements may be identified by words such as “anticipate,” “intend,” “expect,” “may,” “could,” “should,” “would,” “will,” “plan,” “estimate,” “seek,” “believe,” “potential” or “continue” or the negative of these terms and comparable terminology. Such statements are based on expectations as to the future and are not statements of historical fact. Furthermore, forward-looking statements are not guarantees of future performance and involve a number of assumptions, risks and uncertainties that could cause actual results to differ materially. Important factors that could cause actual results to differ materially from those suggested by the forward-looking statements include, but are not limited to, the risks discussed in Item 1A of Part I “Risk Factors” in our Form 10-K filed with the Securities and Exchange Commission (“SEC”) on March 4, 2026 and our Form 10-Q filed with the SEC on July 23, 2026. We caution you not to place undue reliance on these forward-looking statements which reflect our view only as of the date of this report. We are under no obligation (and expressly disclaim any obligation) to update or alter any forward-looking statements contained herein to reflect any change in our expectations with regard thereto or change in events, conditions or circumstances on which any such statement is based. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, risks related to customer concentration, impacts to default related referrals occasioned by government, investor or servicer actions, the use and success of our products and services, our ability to retain existing customers and attract new customers and the potential for expansion or changes in our customer relationships, technology disruptions, our compliance with applicable data requirements, our use of third party vendors and contractors, our ability to effectively manage potential conflicts of interest, macro-economic and industry specific conditions, our ability to effectively manage our regulatory and contractual obligations, the adequacy of our financial resources, including our sources of liquidity and ability to repay borrowings and comply with our debt agreements, including the financial and other covenants contained therein, as well as Altisource’s ability to retain key executives or employees, behavior of customers, suppliers and/or competitors, technological developments, governmental regulations, taxes and policies. The financial projections and scenarios contained in this press release are expressly qualified as forward-looking statements and, as with other forward-looking statements, should not be unduly relied upon. We undertake no obligation to update these statements, scenarios and projections as a result of a change in circumstances, new information or future events, except as required by law. Webcast Altisource will host a webcast at 08:30 a.m. EDT today to discuss our second quarter. A link to the live audio webcast will be available on Altisource’s website in the Investor Relations section. Those who want to listen to the call should go to the website at least fifteen minutes prior to the call to register, download and install any necessary audio software. A replay of the conference call will be available via the website approximately two hours after the conclusion of the call and will remain available for approximately 30 days. About Altisource® Altisource Portfolio Solutions S.A. is an integrated service provider and marketplace for the real estate and mortgage industries. Combining operational excellence with a suite of innovative services and technologies, Altisource helps solve the demands of the ever-changing markets it serves. Additional information is available at www.altisource.com. FOR FURTHER INFORMATION CONTACT: Michelle D. EstermanChief Financial OfficerT: (770) 612-7007E: [email protected] ALTISOURCE PORTFOLIO SOLUTIONS S.A.NON-GAAP MEASURES(in thousands, except per share data)(unaudited) Adjusted operating income, pretax (loss) income attributable to Altisource, adjusted pretax income attributable to Altisource, adjusted net income attributable to Altisource, adjusted diluted earnings per share, Net cash used in operating activities less additions to premises and equipment, Adjusted EBITDA, Business Segments Adjusted EBITDA and net debt, which are presented elsewhere in this earnings release, are non-GAAP measures used by management, existing shareholders, potential shareholders and other users of our financial information to measure Altisource’s performance and do not purport to be alternatives to income from operations, (loss) income before income taxes and non-controlling interests, net (loss) income attributable to Altisource, diluted (loss) earnings per share, Net cash used in operating activities and long-term debt, including current portion, as measures of Altisource’s performance. We believe these measures are useful to management, existing shareholders, potential shareholders and other users of our financial information in evaluating operating profitability and cash flow generation more on the basis of continuing cost and cash flows as they exclude amortization expense related to acquisitions that occurred in prior periods and non-cash share-based compensation, as well as the effect of more significant non-operational items from earnings, cash flows from operating activities and long-term debt net of cash on-hand. We believe these measures are also useful in evaluating the effectiveness of our operations and underlying business trends in a manner that is consistent with management’s evaluation of business performance. Furthermore, we believe the exclusion of more significant non-operational items enables comparability to prior period performance and trend analysis. Specifically, management uses adjusted net income attributable to Altisource to measure the on-going after tax performance of the Company because the measure adjusts for the after tax impact of more significant non-recurring items, amortization expense relating to prior acquisitions (some of which fluctuates with revenue from certain customers and some of which is amortized on a straight-line basis) and non-cash share-based compensation expense which can fluctuate based on vesting schedules, grant date timing and the value attributable to awards. We believe adjusted net income attributable to Altisource is useful to existing shareholders, potential shareholders and other users of our financial information because it provides an after-tax measure of Altisource’s on-going performance that enables these users to perform trend analysis using comparable data. Management uses adjusted diluted earnings per share to further evaluate adjusted net income attributable to Altisource while taking into account changes in the number of diluted shares over the comparable periods. We believe adjusted diluted earnings per share is useful to existing shareholders, potential shareholders and other users of our financial information because it also enables these users to evaluate adjusted net income attributable to Altisource on a per share basis. Management uses Adjusted EBITDA to measure the Company’s overall performance and Business Segments Adjusted EBITDA to measure the segments overall performance (with the adjustments discussed earlier with regard to adjusted net income attributable to Altisource) without regard to its capitalization (debt vs. equity) or its income taxes and to perform trend analysis of the Company’s performance over time. Our effective income tax rate can vary based on the jurisdictional mix of our income. Additionally, as the Company’s capital expenditures have significantly declined over time, it provides a measure for management to evaluate the Company’s performance without regard to prior capital expenditures. Management also uses Adjusted EBITDA as one of the measures in determining bonus compensation for certain employees. We believe Adjusted EBITDA and Business Segments Adjusted EBITDA are useful to existing shareholders, potential shareholders and other users of our financial information for the same reasons that management finds the measure useful. Management uses net debt in evaluating the amount of debt the Company has that is in excess of cash and cash equivalents. We believe net debt is useful to existing shareholders, potential shareholders and other users of our financial information for the same reasons management finds the measure useful. Altisource operates in several countries, including Luxembourg, India, the United States and Uruguay. The Company has differing effective tax rates in each country and these rates may change from year to year. In determining the tax effects related to the adjustments in calculating adjusted net (loss) income attributable to Altisource and adjusted diluted earnings per share, we use the tax rate in the country in which the adjustment applies or, if the adjustment is recognized in more than one country, we separate the adjustment by country, apply the relevant tax rate for each country to the applicable adjustment, and then sum the result to arrive at the total adjustment, net of tax. In 2019, the Company recognized a full valuation allowance on its net deferred tax assets in Luxembourg. Accordingly, for 2026 and 2025, the Company has an effective tax rate of close to 0% in Luxembourg. It is management’s intent to provide non-GAAP financial information to enhance the understanding of Altisource’s GAAP financial information, and it should be considered by the reader in addition to, but not instead of, the financial statements prepared in accordance with GAAP. Each non-GAAP financial measure is presented along with the corresponding GAAP measure so as not to imply that more emphasis should be placed on the non-GAAP measure. The non-GAAP financial information presented may be determined or calculated differently by other companies. The non-GAAP financial information should not be unduly relied upon. Adjusted operating income is calculated by removing intangible asset amortization expense, share-based compensation expense, cost of cost savings initiatives and other and litigation matter from income from operations. Pretax (loss) income attributable to Altisource is calculated by removing non-controlling interests from (loss) income before income taxes and non-controlling interests. Adjusted pretax income attributable to Altisource is calculated by removing non-controlling interests, intangible asset amortization expense, share-based compensation expense, cost of cost savings initiatives and other, litigation matter and debt exchange transaction expenses from (loss) income before income taxes and non-controlling interests. Adjusted net income attributable to Altisource is calculated by removing intangible asset amortization expense (net of tax), share-based compensation expense (net of tax), cost of cost savings initiatives and other (net of tax), litigation matter (net of tax), debt exchange transaction expenses (net of tax), litigation matter (net of tax) and certain income tax related items from net (loss) income attributable to Altisource. Adjusted diluted earnings per share is calculated by dividing net (loss) income attributable to Altisource after removing intangible asset amortization expense (net of tax), share-based compensation expense (net of tax), cost of cost savings initiatives and other (net of tax), litigation matter (net of tax), debt exchange transaction expenses (net of tax), litigation matter (net of tax) and certain income tax related items by the weighted average number of diluted shares. Net cash used in operating activities less additions to premises and equipment is calculated by removing additions to premises and equipment from Net cash used in operating activities. Adjusted EBITDA is calculated by removing the income tax provision, interest expense (net of interest income), depreciation and amortization, intangible asset amortization expense, share-based compensation expense, cost of cost savings initiatives and other, litigation settlement loss (net of tax) and debt exchange transaction expenses from net (loss) income attributable to Altisource. Business Segments Adjusted EBITDA is calculated by removing non-controlling interests, interest expense (net of interest income), depreciation and amortization, intangible asset amortization expense, share-based compensation expense, cost of cost savings initiatives and other, litigation matter (net of tax) and debt exchange transaction expenses from income before income taxes and non-controlling interests. Net debt is calculated as long-term debt, including current portion, minus cash and cash equivalents. Reconciliations of the non-GAAP measures to the corresponding GAAP measures are as follows:

Altisource Portfolio Solutions (ASPS) came out with quarterly earnings of $0.17 per share, missing the Zacks Consensus Estimate of $0.2 per share. This compares to earnings of $0.19 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -15.00%. A quarter ago, it was expected that this real estate services firm would post earnings of $0.18 per share when it actually produced earnings of $0.19, delivering a surprise of +5.56%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Altisource Portfolio, which belongs to the Zacks REIT and Equity Trust industry, posted revenues of $48.73 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 13.59%. This compares to year-ago revenues of $40.79 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Altisource Portfolio shares have lost about 5.6% since the beginning of the year versus the S&P 500's gain of 9.6%. While Altisource Portfolio has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Altisource Portfolio was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.23 on $47.9 million in revenues for the coming quarter and $0.87 on $191.1 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, REIT and Equity Trust is currently in the bottom 23% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, NexPoint (NREF), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 6. This company is expected to post quarterly earnings of $0.43 per share in its upcoming report, which represents no change from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. NexPoint's revenues are expected to be $14.31 million, up 18.6% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Altisource Portfolio Solutions S.A. (ASPS) : Free Stock Analysis Report NexPoint Real Estate Finance, Inc. (NREF) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Altisource reported Q1 service revenue of $45.1 million, up 10% year‑over‑year, driven by a 71% jump in the Origination segment to $13.7 million primarily from sales wins in Lenders One. Adjusted EBITDA declined by $0.8 million due to a mix shift toward lower‑margin origination, but GAAP pre‑tax income improved to $0.4 million from a $4.5 million loss a year earlier, with operating cash flow improving to $4.5 million and $30.3 million of unrestricted cash on hand. Hubzu inventory has more than tripled to roughly 18,800 assets and the company secured an estimated $12.4 million in annualized stabilized service revenue this quarter, which management expects will boost Servicer & Real Estate revenue as REO and foreclosure referrals convert to sales. Interested in Altisource Portfolio Solutions S.A.? Here are five stocks we like better. Altisource Portfolio Solutions (NASDAQ:ASPS) reported first-quarter 2026 results that showed higher service revenue and improved profitability versus the prior-year period, driven by sales wins, a stronger origination market, and lower debt-related costs, according to management on the company’s earnings call. Chairman and CEO Bill Shepro said the company was “off to a strong start” in 2026, citing growth in service revenue and pre-tax GAAP earnings compared with the first quarter of 2025. Total service revenue was $45.1 million, up 10% year-over-year. → Credo Stock Flashes Strong Bullish Signal—Upswing Just Starting Shepro attributed the increase primarily to the Origination segment, where service revenue rose 71% to $13.7 million, “primarily from sales wins in our Lenders One business,” as well as what he described as a stronger origination market. That growth was partially offset by a 5% decline in Servicer and Real Estate segment service revenue to $31.4 million, which Shepro said was mainly due to “a one-time 2025 pricing adjustment benefit in our foreclosure trustee business,” along with lower renovation volume. Despite higher revenue, Shepro said total company adjusted EBITDA declined by $800,000, citing a shift in mix toward “higher revenue in the lower margin Origination segment,” lower revenue in Servicer and Real Estate, and “modestly higher corporate costs.” → Allbirds Exits Shoes, Pivots to AI With NewBird Rebrand On a GAAP basis, the company posted first-quarter pre-tax income of $400,000, compared with a $4.5 million pre-tax loss in the first quarter of 2025. Shepro said the improvement was “primarily attributable to lower interest expense and debt exchange transaction expenses incurred last year.” Altisource generated net cash provided by operating activities of $4.5 million, which Shepro said was a $9.4 million improvement year-over-year. The company ended the quarter with $30.3 million in unrestricted cash. → Amazon Stock Up 30%: Is AMZN Still a Buy Before Earnings? In the Servicer and Real Estate segment, adjusted EBITDA was $10.8 million, down 10% year-over-year, which Shepro again tied primarily to the year-ago one-time pricing adjustment benefit in the foreclosure trustee business. Shepro highlighted segment sales wins and a growing Hubzu inventory base as key drivers for the outlook. He said the company won an estimated $12.4 million in annualized stabilized service revenue during the quarter, with “two of the larger first quarter wins” coming in “our higher margin foreclosure trustee and title businesses.” He added that the company began receiving referrals from new business late in the quarter and expects “referral growth and earnings from these wins to accelerate as the year progresses.” Hubzu inventory growth was a major focus of management’s comments. Shepro said Altisource recently onboarded two larger Hubzu wins and that, driven by those and other customer wins, total Hubzu inventory “has more than tripled since September 30th.” Hubzu inventory stood at 17,200 assets as of March 31 and “over 18,800 assets as of earlier this week,” he said. Shepro said the company expects revenue from these wins to increase during the year “as REO and foreclosure referrals proceed to sale,” and that management is forecasting full-year Servicer and Real Estate segment service revenue growth from the larger Hubzu inventory and recent sales wins. However, Shepro noted the forecast assumes some offsets, including “lower Onity and Rithm revenue” based on management’s estimated timing for “the service transfer of Onity servicing to Rithm” and the transition of cooperative brokerage agreement REO assets from Altisource to Rithm. The Origination segment delivered both revenue and profitability growth in the quarter. Shepro said adjusted EBITDA in the segment more than doubled to $1.2 million from $500,000 a year earlier, reflecting sales wins and improved market conditions. During the quarter, the company secured an estimated $4.7 million in wins, “primarily in Lenders One,” and ended the quarter with an estimated $17.2 million weighted average sales pipeline. Based on those wins, the pipeline, and forecasted market conditions, Shepro said Altisource is “anticipating strong full-year service revenue growth in our origination segment.” During the Q&A, B. Riley Securities analyst Timothy D’Agostino asked about the quarter-over-quarter decline in the Servicer and Real Estate sales pipeline, which ended the quarter at a total weighted average pipeline of $11.7 million on a stabilized basis. Management responded that the decline primarily reflected the conversion of pipeline into wins. “The difference in the pipeline reflects the $10 or $11 million in sales wins I discussed in the call,” Shepro said, adding that the change was “simply partially offset by some increases in the sales pipeline” and that the company would be working “very diligently to rebuild that pipeline.” D’Agostino also asked whether operating cash flow would remain positive through the year. CFO Michelle Esterman said the company expects positive operating cash flow for 2026, while noting quarter-to-quarter variability. “Yes, I think we guided earlier in the year to positive cash flow, operating cash flow for the year,” Esterman said. “You do see fluctuations from quarter to quarter depending on revenue growth, et cetera. Yes, we do anticipate positive cash flow for the year.” Asked which segment was supporting operating cash flow, Esterman said both segments generated positive EBITDA, though the larger contribution came from Servicer and Real Estate. “You do have larger EBITDA in Servicer and Real Estate, so more of the cash flow does come from that segment,” she said, while reiterating Shepro’s earlier point that management expects results to become more balanced over time. In closing remarks, Shepro said the company was “very pleased” with the quarter and again pointed to Hubzu inventory, which he said stood at roughly 18,800 assets earlier in the week. “We think we’re set up very well for continued growth during the year,” he said. Altisource Portfolio Solutions SA (NASDAQ: ASPS) is a provider of proprietary technology and specialized services to the mortgage and real estate industries. Founded in 2009, the company helps financial institutions, investors and loan servicers streamline processes across the full loan lifecycle, from origination and valuation through default management, asset disposition and investor reporting. Core offerings include loan servicing and asset management solutions, property preservation and inspection services, valuation and due diligence, title and settlement services, as well as vendor management platforms. The article "Altisource Portfolio Solutions Q1 Earnings Call Highlights" was originally published by MarketBeat.

LUXEMBOURG, April 23, 2026 (GLOBE NEWSWIRE) -- Altisource Portfolio Solutions S.A. (“Altisource” or the “Company”) (NASDAQ: ASPS), a leading provider and marketplace for the real estate and mortgage industries, today reported financial results for the first quarter 2026. “We are off to a strong start in 2026. For the quarter, we grew Service revenue by 10%, and pretax GAAP earnings by $4.9 million and cash provided by operating activities by $9.4 million, compared to the first quarter of 2025, primarily from sales wins and lower debt related interest and transaction costs. More importantly, we are seeing strength in both business segments. The Origination segment grew first quarter Service revenue by 71% and Adjusted EBITDA(1) by 166% compared to last year, primarily from sales wins and a stronger origination market. The Servicer and Real Estate segment is positioned extremely well with Hubzu inventory at 17,200 homes as of the end of the first quarter and exciting first quarter sales wins in the Title and Foreclosure Trustee businesses,” said William B. Shepro, Chairman and Chief Executive Officer. First Quarter 2026 Highlights(2) Company, Corporate and Financial: First quarter Service revenue of $45.1 million was $4.2 million, or 10%, higher than the same quarter of 2025 First quarter Income before income taxes and non-controlling interests of $0.4 million was a $4.9 million improvement compared to the same quarter of 2025 First quarter Net loss attributable to Altisource of $0.6 million was a $4.7 million improvement compared to the same quarter of 2025 First quarter Diluted loss per share of $(0.06) was a $0.68 improvement compared to the same quarter of 2025 First quarter Adjusted diluted earnings per share(1) of $0.19 was a $0.21 improvement compared to the same quarter of 2025 First quarter Adjusted earnings before interest, tax, depreciation and amortization (“Adjusted EBITDA”)(1) of $4.4 million was $(0.8) million, or (15)% lower than the same quarter of 2025 First quarter Adjusted EBITDA(1) margin of 10% was lower than the 13% Adjusted EBITDA(1) margin in the same quarter of 2025 largely due to revenue mix First quarter Cash provided by operating activities of $4.5 million was a $9.4 million improvement, compared to the same quarter of 2025, and we ended the quarter with $30.3 million of cash and cash equivalents Business and Industry: Adjusted EBITDA(1) in the Servicer and Real Estate and Origination segments (together “Business Segments”) was $12.0 million, or 26.7% of Service revenue, compared to $12.5 million, or 30.5% of Service revenue, in the same quarter of 2025 primarily due to a change in revenue mix. Generated sales wins which we estimate represent potential annualized service revenue on a stabilized basis of $12.4 million for the Servicer and Real Estate segment and $4.7 million for the Origination segment Driven by recent sales wins, total Hubzu inventory has more than tripled since September 30, 2025 Ended the quarter with a weighted average sales pipeline between $25.7 million and $32.1 million of potential estimated annual revenue on a stabilized basis based upon forecasted probability of closing (comprising of between $10.4 million and $13.0 million in the Servicer and Real Estate segment and between $15.3 million and $19.1 million in the Origination segment) Industrywide foreclosure initiations were 5% higher for the two months ended February 28, 2026 compared to the same period in 2025 (although still 14% lower than the same pre-COVID-19 period in 2019)(3) Industrywide foreclosure sales were 27% higher for the two months ended February 28, 2026 compared to the same period in 2025 (although still 42% lower than the same pre-COVID-19 period in 2019)(3) Industrywide mortgage origination volume increased by 42% for the three months ended March 31, 2026 compared to the same period in 2025, comprised of a 19% increase in purchase origination and a 91% increase in refinancing origination(4) First Quarter 2026 Financial Results Service revenue of $45.1 million Income from operations of $1.7 million Income before income taxes and non-controlling interests of $0.4 million Net loss attributable to Altisource of $(0.6) million Adjusted EBITDA(1) of $4.4 million Diluted loss per share of $(0.06) Adjusted diluted earnings per share(1) of $0.19 First Quarter 2026 Results Compared to the First Quarter 2025 (unaudited): Forward-Looking Statements This press release contains forward-looking statements that involve a number of risks and uncertainties. These forward-looking statements include all statements that are not historical fact, including statements that relate to, among other things, future events or our future financial / operating performance or financial condition. These statements may be identified by words such as “anticipate,” “intend,” “expect,” “may,” “could,” “should,” “would,” “will,” “plan,” “estimate,” “seek,” “believe,” “potential” or “continue” or the negative of these terms and comparable terminology. Such statements are based on expectations as to the future and are not statements of historical fact. Furthermore, forward-looking statements are not guarantees of future performance and involve a number of assumptions, risks and uncertainties that could cause actual results to differ materially. Important factors that could cause actual results to differ materially from those suggested by the forward-looking statements include, but are not limited to, the risks discussed in Item 1A of Part I “Risk Factors” in our Form 10-K filed with the Securities and Exchange Commission (“SEC”) on March 4, 2026. We caution you not to place undue reliance on these forward-looking statements which reflect our view only as of the date of this report. We are under no obligation (and expressly disclaim any obligation) to update or alter any forward-looking statements contained herein to reflect any change in our expectations with regard thereto or change in events, conditions or circumstances on which any such statement is based. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, risks related to customer concentration, impacts to default related referrals occasioned by government, investor or servicer actions, the use and success of our products and services, our ability to retain existing customers and attract new customers and the potential for expansion or changes in our customer relationships, technology disruptions, our compliance with applicable data requirements, our use of third party vendors and contractors, our ability to effectively manage potential conflicts of interest, macro-economic and industry specific conditions, our ability to effectively manage our regulatory and contractual obligations, the adequacy of our financial resources, including our sources of liquidity and ability to repay borrowings and comply with our debt agreements, including the financial and other covenants contained therein, as well as Altisource’s ability to retain key executives or employees, behavior of customers, suppliers and/or competitors, technological developments, governmental regulations, taxes and policies. The financial projections and scenarios contained in this press release are expressly qualified as forward-looking statements and, as with other forward-looking statements, should not be unduly relied upon. We undertake no obligation to update these statements, scenarios and projections as a result of a change in circumstances, new information or future events, except as required by law. Webcast Altisource will host a webcast at 08:30 a.m. EDT today to discuss our first quarter. A link to the live audio webcast will be available on Altisource’s website in the Investor Relations section. Those who want to listen to the call should go to the website at least fifteen minutes prior to the call to register, download and install any necessary audio software. A replay of the conference call will be available via the website approximately two hours after the conclusion of the call and will remain available for approximately 30 days. About Altisource® Altisource Portfolio Solutions S.A. is an integrated service provider and marketplace for the real estate and mortgage industries. Combining operational excellence with a suite of innovative services and technologies, Altisource helps solve the demands of the ever-changing markets it serves. Additional information is available at www.altisource.com. FOR FURTHER INFORMATION CONTACT: Michelle D. Esterman Chief Financial Officer T: (770) 612-7007 E: [email protected] ALTISOURCE PORTFOLIO SOLUTIONS S.A. NON-GAAP MEASURES (in thousands, except per share data) (unaudited) Adjusted operating income, pretax income (loss) attributable to Altisource, adjusted pretax income attributable to Altisource, adjusted net income (loss) attributable to Altisource, adjusted diluted earnings (loss) per share, Net cash provided by (used in) operating activities less additions to premises and equipment, Adjusted EBITDA, Business Segments Adjusted EBITDA and net debt, which are presented elsewhere in this earnings release, are non-GAAP measures used by management, existing shareholders, potential shareholders and other users of our financial information to measure Altisource’s performance and do not purport to be alternatives to income from operations, income (loss) before income taxes and non-controlling interests, net loss attributable to Altisource, diluted loss per share, Net cash provided by (used in) operating activities and long-term debt, including current portion, as measures of Altisource’s performance. We believe these measures are useful to management, existing shareholders, potential shareholders and other users of our financial information in evaluating operating profitability and cash flow generation more on the basis of continuing cost and cash flows as they exclude amortization expense related to acquisitions that occurred in prior periods and non-cash share-based compensation, as well as the effect of more significant non-operational items from earnings, cash flows from operating activities and long-term debt net of cash on-hand. We believe these measures are also useful in evaluating the effectiveness of our operations and underlying business trends in a manner that is consistent with management’s evaluation of business performance. Furthermore, we believe the exclusion of more significant non-operational items enables comparability to prior period performance and trend analysis. Specifically, management uses adjusted net income (loss) attributable to Altisource to measure the on-going after tax performance of the Company because the measure adjusts for the after tax impact of more significant non-recurring items, amortization expense relating to prior acquisitions (some of which fluctuates with revenue from certain customers and some of which is amortized on a straight-line basis) and non-cash share-based compensation expense which can fluctuate based on vesting schedules, grant date timing and the value attributable to awards. We believe adjusted net income (loss) attributable to Altisource is useful to existing shareholders, potential shareholders and other users of our financial information because it provides an after-tax measure of Altisource’s on-going performance that enables these users to perform trend analysis using comparable data. Management uses adjusted diluted earnings (loss) per share to further evaluate adjusted net income (loss) attributable to Altisource while taking into account changes in the number of diluted shares over the comparable periods. We believe adjusted diluted earnings (loss) per share is useful to existing shareholders, potential shareholders and other users of our financial information because it also enables these users to evaluate adjusted net income (loss) attributable to Altisource on a per share basis. Management uses Adjusted EBITDA to measure the Company’s overall performance and Business Segments Adjusted EBITDA to measure the segments overall performance (with the adjustments discussed earlier with regard to adjusted net income (loss) attributable to Altisource) without regard to its capitalization (debt vs. equity) or its income taxes and to perform trend analysis of the Company’s performance over time. Our effective income tax rate can vary based on the jurisdictional mix of our income. Additionally, as the Company’s capital expenditures have significantly declined over time, it provides a measure for management to evaluate the Company’s performance without regard to prior capital expenditures. Management also uses Adjusted EBITDA as one of the measures in determining bonus compensation for certain employees. We believe Adjusted EBITDA and Business Segments Adjusted EBITDA are useful to existing shareholders, potential shareholders and other users of our financial information for the same reasons that management finds the measure useful. Management uses net debt in evaluating the amount of debt the Company has that is in excess of cash and cash equivalents. We believe net debt is useful to existing shareholders, potential shareholders and other users of our financial information for the same reasons management finds the measure useful. Altisource operates in several countries, including Luxembourg, India, the United States and Uruguay. The Company has differing effective tax rates in each country and these rates may change from year to year. In determining the tax effects related to the adjustments in calculating adjusted net loss attributable to Altisource and adjusted diluted earnings (loss) per share, we use the tax rate in the country in which the adjustment applies or, if the adjustment is recognized in more than one country, we separate the adjustment by country, apply the relevant tax rate for each country to the applicable adjustment, and then sum the result to arrive at the total adjustment, net of tax. In 2019, the Company recognized a full valuation allowance on its net deferred tax assets in Luxembourg. Accordingly, for 2026 and 2025, the Company has an effective tax rate of close to 0% in Luxembourg. It is management’s intent to provide non-GAAP financial information to enhance the understanding of Altisource’s GAAP financial information, and it should be considered by the reader in addition to, but not instead of, the financial statements prepared in accordance with GAAP. Each non-GAAP financial measure is presented along with the corresponding GAAP measure so as not to imply that more emphasis should be placed on the non-GAAP measure. The non-GAAP financial information presented may be determined or calculated differently by other companies. The non-GAAP financial information should not be unduly relied upon. Adjusted operating income is calculated by removing intangible asset amortization expense, share-based compensation expense, cost of cost savings initiatives and other from income from operations. Pretax income (loss) attributable to Altisource is calculated by removing non-controlling interests from income (loss) before income taxes and non-controlling interests. Adjusted pretax income attributable to Altisource is calculated by removing non-controlling interests, intangible asset amortization expense, share-based compensation expense, cost of cost savings initiatives and other and debt exchange transaction expenses from income (loss) before income taxes and non-controlling interests. Adjusted net income (loss) attributable to Altisource is calculated by removing intangible asset amortization expense (net of tax), share-based compensation expense (net of tax), cost of cost savings initiatives and other (net of tax), debt exchange transaction expenses (net of tax) and certain income tax related items from net loss attributable to Altisource. Adjusted diluted earnings (loss) per share is calculated by dividing net loss attributable to Altisource after removing intangible asset amortization expense (net of tax), share-based compensation expense (net of tax), cost of cost savings initiatives and other (net of tax), debt exchange transaction expenses (net of tax) and certain income tax related items by the weighted average number of diluted shares. Net cash provided by (used in) operating activities less additions to premises and equipment is calculated by removing additions to premises and equipment from Net cash provided by (used in) operating activities. Adjusted EBITDA is calculated by removing the income tax provision, interest expense (net of interest income), depreciation and amortization, intangible asset amortization expense, share-based compensation expense, cost of cost savings initiatives and other and debt exchange transaction expenses from net loss attributable to Altisource. Business Segments Adjusted EBITDA is calculated by removing non-controlling interests, interest expense (net of interest income), depreciation and amortization, intangible asset amortization expense, share-based compensation expense, cost of cost savings initiatives and other from income before income taxes and non-controlling interests. Net debt is calculated as long-term debt, including current portion, minus cash and cash equivalents. Reconciliations of the non-GAAP measures to the corresponding GAAP measures are as follows: ______________________________________________ Note: Amounts may not add to the total due to rounding.