LDI

This article first appeared on GuruFocus. Adjusted Net Loss: Reported an adjusted net loss of $29 million in Q2 2026, compared to a $34 million loss in Q1 2026. Loan Origination Volume: Totaled $8.0 billion for Q2 2026, a 4% increase from $7.7 billion in the prior quarter. Unit Volume Growth: Increased 25% quarter-over-quarter, driven by the mix shift towards smaller home equity (5x5) loan products. Pull-Through Weighted Rate Lock Volume: Came in at $6.6 billion, a 20% decrease from $8.3 billion in Q1 2026, primarily due to the product mix shift to HELOCs. Adjusted Total Revenue: Reached $308 million in Q2 2026, up from $299 million in Q1 2026. Pull-Through Weighted Gain on Sale Margin: Improved to 345 basis points in Q2 2026, up from 271 basis points in the prior quarter. Origination Income: Increased 60% from the prior quarter, reflecting higher demand for HELOC products. Servicing Fee Income: Rose to $112 million in Q2 2026 from $109 million in Q1 2026, due to a larger portfolio size and higher interest credit on escrow balances. Total Expenses: Increased by $2 million, or less than 1%, from the prior quarter, driven by higher commissions and direct origination expenses. Cash Position: Ended Q2 2026 with $229 million in cash, a decrease of $48 million from Q1 2026. Senior Notes Repurchase: Repurchased $16 million of senior notes at an average purchase price of 90% of par during the quarter. Q3 2026 Guidance: Expects pull-through weighted lock volume between $5.25 billion and $7.25 billion, origination volume between $6.25 billion and $8.25 billion, and pull-through weighted gain on sale margin between 360 and 390 basis points. Warning! GuruFocus has detected 4 Warning Signs with LDI. Is LDI fairly valued? Test your thesis with our free DCF calculator. Release Date: August 04, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Revenue increased and net loss narrowed substantially in Q2 2026, with June showing the strongest results of the year. Unit volume grew 25% quarter-over-quarter, driven by successful expansion into home equity lending (5x5 HELOC products). Purchase market share increased 33% in Q2, supported by growth in builder partners and retail branch locations. Gain on sale margin improved to 345 basis points in Q2, up from 271 basis points in Q1, due to product mix shift. Operating efficiency improved: marketing return increased 70%, marketing cost per funding decreased 34%, and total cost per funded loan decreased 12% year-over-year. Adjusted net loss remained at $29 million in Q2, indicating continued unprofitability. Pull-through weighted rate lock volume decreased 20% quarter-over-quarter to $6.6 billion, reflecting the mix shift to HELOC products. Cash balance declined by $48 million to $229 million in Q2, though mitigated by post-quarter MSR sale. Recapture rate declined sequentially by about 5 points, attributed to higher interest rates and competitive pressures. The company faces ongoing challenges from rising interest rates, which suppress traditional refinance and purchase demand, and it continues to address bond maturities and capital structure optimization. Q: How should we think about the mix between HELOC and first mortgage in the third quarter, and how does that influence the gain on sale margin and volume guidance? On a like-for-like basis, how are gain on sale margins trending quarter-over-quarter? A: Anthony Hsieh (CEO) stated that the product mix will depend on interest rate movements. If rates stay static, the company expects to continue growing its HELOC volume, which will skew margins upward. The home equity market is a new strategic focus, and the company is seeing strong momentum, adding loan officers and expanding its direct lending platform, including a new Miami center. He noted that traditional mortgage companies find it harder to compete in this space because loanDepot generates leads at the top of the funnel rather than relying solely on loan officers. Q: Can you clarify the size of the MSR sale and the total dollars expected to be received from it? A: David Hayes (CFO) clarified that the sale was for $10 billion of servicing rights, not $12 billion as mentioned in a slide (which he said would be corrected). Jeff DerGurahian (CIO) added that the trade executed well through their marks and was a strategic decision based on market conditions, but did not disclose the specific dollar amount received. Q: Recapture declined sequentially by about five points. Was that driven by customer behavior, competitive intensity, or the mix shift toward home equity products, and what level should we expect going forward? A: Anthony Hsieh (CEO) attributed the decline primarily to the rise in interest rates in Q2 versus Q1, which reduces consumer attractiveness for refinancing. He expects recapture to increase as the home equity offering develops further, but does not anticipate a material change in Q3. Q: Can you provide quantitative metrics on the wholesale channel's performance since its reintroduction earlier this year, and is it tracking ahead of or behind expectations? A: Anthony Hsieh (CEO) stated that wholesale is a complementary business and is unlikely to be a major contributor. However, it is tracking ahead of schedule after five or six months, with positive responses from the broker community. Q: What are your general thoughts on the competitive landscape, especially given some big banks reported strong origination numbers? Are they taking share at the margin? A: Anthony Hsieh (CEO) said the company has not seen increased competitive pressure. He highlighted that some competitors have exited the mortgage market or shifted to B2B structures. loanDepot's purchase share increased 33% from Q1 to Q2, with purchase volume up 44%. He also noted significant progress in the home equity market, reducing monthly losses from $15 million in April to $2 million in June. Q: What are your plans for technology and AI initiatives, and how will they lead to further operating leverage? A: Dom Marchetti (Chief Digital Officer) outlined a focus on revenue-generating top-of-funnel tools, operational efficiency measures, and automation. The company is leveraging its proprietary platform to add diversified products like 5x5 and is seeing improved performance in verification processes. Anthony Hsieh (CEO) added that AI will fundamentally change the industry, and loanDepot's unique customer acquisition model positions it to benefit significantly from these investments. Q: Can you provide more detail on the $12 million annualized productivity initiatives and the expected impact on expenses in the third quarter? A: David Hayes (CFO) noted that total expenses are expected to decrease somewhat in Q3, primarily due to the benefit of repurchasing corporate debt at a discount, partially offset by higher volume-related costs from HELOC growth. The $12 million in annualized productivity initiatives are being actioned through the remainder of the year as part of ongoing cost management. Q: How is the company addressing its bond maturities and optimizing its capital structure? A: David Hayes (CFO) stated that addressing bond maturities remains a high priority. The company repurchased $16 million of senior notes at 90% of par during Q2 and an additional $27 million at 86% of par post-quarter end. Management continues to evaluate a range of options with retained advisers to optimize the capital structure. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in loanDepot, Inc.? Here are five stocks we like better. Improved second-quarter results: Adjusted revenue increased to $308 million, while the adjusted net loss narrowed to $29 million from $34 million. The gain-on-sale margin rose to 345 basis points, driven largely by a shift toward higher-margin home equity products. Home equity fueled growth: Origination volume reached $8 billion, up 4% sequentially, while loan units increased 25% as loanDepot expanded its HELOC offering. Purchase-market share rose 33%, and the loan officer base grew 18% year over year. Outlook and capital remain priorities: loanDepot expects third-quarter closed origination volume of $6.25 billion to $8.25 billion and a gain-on-sale margin of 360 to 390 basis points. Management is pursuing productivity savings, debt repurchases and the monetization of approximately $10 billion in mortgage servicing rights while evaluating options for upcoming bond maturities. Here’s What Driving the 125% YTD Gains for Upstart Holdings Stock loanDepot (NYSE:LDI) reported improved second-quarter operating results as the mortgage lender expanded its home equity offering, increased purchase-market share and narrowed its adjusted net loss despite a higher-rate environment. Chief Executive Officer Anthony Hsieh said the company is pursuing a transformation intended to support profitable market-share growth across market cycles. He said the company was making more loans faster and at lower cost, with June producing its strongest monthly results of the year. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control “We are making more loans faster and at a lower cost,” Hsieh said, adding that revenue rose, operating leverage improved and the company’s net loss narrowed during the quarter. A central part of loanDepot’s strategy has been its expansion into home equity lending, including its 5x5 Home Loan HELOC product. Hsieh said the market is supported by approximately $35 trillion of U.S. homeowner equity and provides borrowers an option to access liquidity without refinancing an existing first mortgage with an attractive rate. → 3 Drone Stocks That Should Soar After the Summer Slump Management said home equity lending is less sensitive to interest rates and less seasonal than conventional refinance and purchase lending. Although home equity loans generally have smaller balances, the company said they typically carry higher gain-on-sale revenue and lower production costs. Loan origination volume totaled $8 billion in the second quarter, up 4% from $7.7 billion in the first quarter and within the company’s prior guidance range. On a unit basis, volume rose 25% sequentially, reflecting the shift toward smaller-balance home equity products as well as investments in loan officers. → Why Rare Earth Processing Could Be the Real 2027 Opportunity Hsieh said the company expects home equity momentum to continue if interest rates remain near current levels. If rates decline, he said first-mortgage refinance activity would likely return more meaningfully. He added that growing HELOC production would tend to lift margins. Chief Financial Officer David Hayes said pull-through weighted rate-lock volume declined 20% sequentially to $6.6 billion, largely because HELOCs do not generate a traditional rate lock. The measure was within loanDepot’s prior guidance range. Adjusted total revenue rose to $308 million in the second quarter from $299 million in the first quarter. The company’s adjusted net loss narrowed to $29 million from $34 million in the prior quarter, which Hayes attributed primarily to higher adjusted revenue while expense growth was largely limited to volume-related costs. Pull-through weighted gain-on-sale margin was 345 basis points, compared with 271 basis points in the first quarter and within the company’s guided range of 330 to 360 basis points. Hayes said the improvement principally reflected the product-mix shift toward higher-margin home equity loans. Origination income increased 60% from the prior quarter. Servicing fee income increased to $112 million from $109 million in the first quarter, driven by a larger portfolio and higher interest credited on escrow balances, Hayes said. The company said it dynamically hedges its servicing portfolio to help limit volatility in earnings and liquidity. Total expenses increased by $2 million, or less than 1%, from the first quarter. Higher commissions and direct origination expenses associated with increased production were partly offset by operating-leverage improvements, management said. Hsieh said loanDepot increased purchase-market share by 33% in the second quarter, supported by additions of builder partners in its joint-venture channel and new retail branch locations. He said the company believes it is the leading independent mortgage company financing new-home construction for builders. The company also expanded its loan officer base. Net loan officer count increased 18% over the past year, including graduates of its proprietary ACES training program in the direct channel and experienced retail loan officers. Return on marketing increased 70% over the past year. Marketing lead-to-funded-loan conversion increased 50%. Marketing cost per funding declined 34%. Total cost per funded loan declined 12%. Funded loan units per loan officer increased 18%. Hsieh said the company’s reintroduced wholesale channel is ahead of schedule after roughly five or six months, though he characterized it as a complement rather than a planned major contributor to production. For the third quarter, loanDepot expects pull-through weighted lock volume of $5.25 billion to $7.25 billion and closed origination volume of $6.25 billion to $8.25 billion. The company forecast pull-through weighted gain-on-sale margin of 360 to 390 basis points. Hayes said total expenses are expected to decline somewhat in the third quarter, aided by repurchases of corporate debt at a discount, though higher home equity volume is expected to add some volume-related costs. The company has begun implementing approximately $12 million of annualized productivity initiatives that are expected to progress through the remainder of the year. loanDepot ended the quarter with $229 million in cash, down $48 million from the first quarter. Post-quarter-end, the company monetized approximately $10 billion of mortgage servicing rights, with settlement expected later in the year. During the quarter, it repurchased $16 million of senior notes at an average price of 90% of par, followed by an additional $27 million repurchased through July 30 at an average price of 86% of par. Management said addressing bond maturities remains a priority and that it is evaluating capital-structure alternatives with retained advisers. Hsieh said the company will continue investing in technology, automation and AI-enabled capabilities to improve productivity, customer acquisition and operating leverage. loanDepot, Inc (NYSE: LDI) is a leading non-bank consumer lender that provides a broad range of home and personal financing products through a digitally enabled platform. The company specializes in originating and servicing purchase and refinance mortgage loans, home equity lines of credit (HELOCs), and personal loans. Through its proprietary mello™ technology suite, loanDepot streamlines the application, underwriting, and closing processes for borrowers and real estate professionals, emphasizing speed, transparency, and a seamless digital experience. Founded in 2010 by Anthony Hsieh, loanDepot has grown rapidly to become one of the largest independent mortgage lenders in the United States. 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 "loanDepot Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Strategic expansion into home equity drove unit volume growth of 25%, and revenue growth of 18%, improved operating leverage and substantially narrowed the quarterly loss compared to prior quarter. Second Quarter 2026 Highlights: Loan origination volume increased 4% to $7.99 billion and unit volume increased 25% from the first quarter of 2026, demonstrating meaningful progress in the Company’s strategic expansion into home equity lending through its 5X5 HomeLoan product. Revenue grew 18% to $337 million and adjusted revenue increased 3% to $308 million compared to the prior quarter, primarily due to higher origination income and servicing revenue. Pull-through weighted gain on sale margin increased 74 basis points to 345 basis points, supported by the Company’s deliberate mix shift toward higher-margin home equity and government loans. Operating leverage strengthened as revenue increased while expenses increased less than 1% to $344 million from the prior quarter, reflecting disciplined cost management and benefits of a more efficient product mix; return on marketing increased 70% and cost-per-funded loan decreased 12% from the second quarter of 20251. The Company has begun actioning approximately $12 million of annualized productivity initiatives progressing through the remainder of the year. Net loss was narrowed to $7 million, compared with a net loss of $55 million in the prior quarter. Adjusted net loss was $29 million, compared with adjusted net loss of $34 million in the prior quarter. Adjusted EBITDA was $20 million, compared to adjusted EBITDA of $14 million in the prior quarter. The Company repurchased $16 million of senior notes at an average purchase price of 90% of par during the quarter and repurchased an additional $27 million of notes at an average purchase price of 86% of par post quarter end through July 30, 2026. IRVINE, Calif., August 04, 2026--(BUSINESS WIRE)--loanDepot, Inc. (NYSE: LDI), (together with its subsidiaries, "loanDepot" or the "Company"), today announced results for the second quarter ended June 30, 2026. "We have moved decisively to reshape the business for profitable market share growth in any macro environment and are starting to see the signs of our progress: we are making more loans, faster and at a lower cost," said loanDepot Founder and Chief Executive Officer Anthony Hsieh. "In the second quarter, revenue increased, operating leverage improved, and our net loss narrowed substantially even as interest rates rose meaningfully beginning in March. The pace of improvement accelerated as the quarter progressed, with June demonstrating the strongest results so far this year. Hsieh continued, "A central driver of this momentum is the progress we made during the second quarter in executing our strategic expansion into home equity lending. This represents a significant expansion opportunity within a market supported by approximately $35 trillion of U.S. homeowner equity. Importantly, these are the same homeowners we have long served through traditional refinance products. In a higher-rate environment, however, home equity products can allow qualified borrowers to access liquidity while preserving an attractive first-mortgage rate and may offer a more compelling value proposition than higher-cost alternatives such as unsecured personal loans, credit cards, and certain small business financing products. "Home equity lending is more stable, less rate sensitive, and less seasonal than refinance and purchase mortgage lending. Loan balances are smaller, but gain on sale and revenue are both typically higher, and our cost to produce is significantly lower. We are now seeing the results of this pivot. The second quarter results demonstrate that this strategic shift is beginning to translate into measurable growth, stronger margins and improved operating leverage. "During the year, we continued to expand our core mortgage franchise by adding builder partners in our joint venture channel and branch locations in our retail channel. That growth contributed to an increase in purchase market share during the quarter and reinforces the durability of our diversified origination platform. "Our ability to pivot toward home equity while continuing to grow purchase market share reflects the agility of our team and the adaptability of loanDepot’s differentiated model. We believe our nationally recognized brand, valuable servicing portfolio, diversified origination channels, proven ability to develop loan officers organically, industry-leading recapture capabilities, and technology-enabled customer acquisition platform allow us to redirect capacity toward the products that offer the greatest customer and shareholder value in a given rate environment. Few originators have the resources, customer relationships or operating expertise to make that transition at scale. As refinance and purchase opportunities expand, we expect to deploy the same platform and execution discipline to capture them quickly. This is what it means to be built to compete across market cycles." Chief Financial Officer David Hayes said, "The second quarter represented another meaningful step forward in our financial performance and showed that we can increase funded volume while maintaining disciplined expense management and a clear focus on profitability. The benefits of our product mix shift were evident in higher revenue, stronger pull-through weighted gain on sale margin and an improved bottom line. Maintaining strong liquidity remains a top priority, and we took advantage of favorable market conditions to monetize approximately $10 billion of servicing rights after quarter end. We also continue to evaluate opportunities to optimize our capital structure. Addressing the Company’s bond maturities remains a high priority for management, and we are evaluating a range of options with the support of retained advisors." Second Quarter Highlights: Financial Summary Operational Highlights Non-volume2 related expenses decreased $6.4 million from the first quarter of 2026, primarily reflecting lower salary-related costs, servicing expense, and other interest expense. Pull-through weighted lock volume was $6.6 billion for the second quarter of 2026, a decrease of $1.6 billion or 20% from the first quarter, primarily reflecting the Company’s strategic mix shift toward higher-margin HELOC production, which does not carry an associated interest rate lock. Loan origination volume for the second quarter of 2026 was $8.0 billion, an increase of $335.1 million or 4% from the first quarter of 2026. Purchase volume totaled 57% of total loans originated during the second quarter, up from 41% during the first quarter of 2026. Our preliminary organic refinance consumer direct recapture rate3 decreased to 68% for the second quarter from the first quarter 2026’s recapture rate of 73%. Outlook for the third quarter of 2026 Origination volume of between $6.25 billion and $8.25 billion. Pull-through weighted rate lock volume of between $5.25 billion and $7.25 billion. Pull-through weighted gain on sale margin of between 360 basis points and 390 basis points. Servicing Balance Sheet Highlights A decrease in loans held for sale at June 30, 2026, resulted in a corresponding decrease in the balance on our warehouse lines of credit. Total funding capacity with our lending partners was $4.4 billion at June 30, 2026 and March 31, 2026. Available borrowing capacity was $1.9 billion at June 30, 2026. Consolidated Statements of Operations Consolidated Balance Sheets Loan Origination and Sales Data Second Quarter Earnings Call Management will host a conference call and live webcast today at 5:00 p.m. ET to discuss the Company’s financial and operational highlights followed by a question-and-answer session. Register online at https://events.q4inc.com/attendee/948119963. A live audio webcast of the conference call will also be available via the Company's website, investors.loandepot.com, under the Events & Presentation tab. A replay of the webcast will be made available following the conclusion of the event. For more information about loanDepot, please visit the Company’s Investor Relations website: investors.loandepot.com. Non-GAAP Financial Measures To provide investors with information in addition to our results as determined by GAAP, we disclose certain non-GAAP measures to assist investors in evaluating our financial results. We believe these non-GAAP measures provide useful information to investors regarding our results of operations because each measure assists both investors and management in analyzing and benchmarking the performance and value of our business. They facilitate company-to-company operating performance comparisons by backing out potential differences caused by variations in hedging strategies, changes in valuations, capital structures (affecting interest expense on non-funding debt), taxation, the age and book depreciation of facilities (affecting relative depreciation expense), and other cost or benefit items which may vary for different companies for reasons unrelated to operating performance. These non-GAAP measures include our Adjusted Total Revenue, Adjusted Net Loss, Adjusted Diluted Weighted Average Shares Outstanding, and Adjusted EBITDA. We exclude from these non-GAAP financial measures the change in fair value of MSRs, gains (losses) from the sale of MSRs, and related hedging gains and losses that represent realized and unrealized adjustments resulting from changes in valuation, mostly due to changes in market interest rates, and are not indicative of the Company’s operating performance or results of operation. We have excluded expenses directly related to the cybersecurity incident in January 2024 that resulted from unauthorized access to our systems (the "Cybersecurity Incident"), net of insurance recoveries during fiscal 2024, such as costs to investigate and remediate the Cybersecurity Incident, the costs of customer notifications and identity protection, and professional fees, including legal expenses, settlement costs, and commission guarantees. We also exclude stock-based compensation expense, which is a non-cash expense, gains or losses on extinguishment of debt and disposal of fixed assets, and impairment charges to operating lease right-of-use assets, as well as certain costs associated with our restructuring efforts, as management does not consider these costs to be indicative of our performance or results of operations. Adjusted EBITDA includes interest expense on funding facilities, which are recorded as a component of "net interest income," as these expenses are a direct operating expense driven by loan origination volume. By contrast, interest expense on our non-funding debt is a function of our capital structure and is therefore excluded from Adjusted EBITDA. Adjustments for income taxes are made to reflect historical results of operations on the basis that it was taxed as a corporation under the Internal Revenue Code, and therefore subject to U.S. federal, state, and local income taxes. Adjustments to Diluted Weighted Average Shares Outstanding assumes the pro forma conversion of weighted average Class B and Class C common stock to Class A common stock. These non-GAAP measures have limitations as analytical tools and should not be considered in isolation or as a substitute for revenue, net income, or any other operating performance measure calculated in accordance with GAAP, and may not be comparable to a similarly titled measure reported by other companies. Some of these limitations are: They do not reflect every cash expenditure, future requirements for capital expenditures or contractual commitments; Adjusted EBITDA does not reflect the significant interest expense or the cash requirements necessary to service interest or principal payment on our debt; Although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced or require improvements in the future, and Adjusted Total Revenue, Adjusted Net Loss, and Adjusted EBITDA do not reflect any cash requirement for such replacements or improvements; and They are not adjusted for all non-cash income or expense items that are reflected in our statements of cash flows. Because of these limitations, Adjusted Total Revenue, Adjusted Net Loss, Adjusted Diluted Weighted Average Shares Outstanding, and Adjusted EBITDA are not intended as alternatives to total revenue, net loss, net loss attributable to the Company, or as an indicator of our operating performance and should not be considered as measures of discretionary cash available to us to invest in the growth of our business or as measures of cash that will be available to us to meet our obligations. We compensate for these limitations by using Adjusted Total Revenue, Adjusted Net Loss, Adjusted Diluted Weighted Average Shares Outstanding, and Adjusted EBITDA along with other comparative tools, together with U.S. GAAP measurements, to assist in the evaluation of operating performance. See below for a reconciliation of these non-GAAP measures to their most comparable U.S. GAAP measures. Forward-Looking Statements This press release and related management commentary contain, and responses to investor questions may contain, forward-looking statements that can be identified by the fact that they do not relate strictly to historical or current facts and may contain the words "believe," "aim," "anticipate," "expect," "goal," "intend," "plan," "predict," "estimate," "project," "will be," "will continue," "will likely result," or other similar words and phrases or future or conditional verbs such as "will," "may," "might," "should," "would," or "could" and the negatives of those terms. Examples of forward-looking statements include, but are not limited to, our strategic expansion into home equity lending and the expected benefits of that strategy; attractiveness and growth of our home equity products, competitive advantages and market differentiators; automation, technology and innovation initiatives and investments, including artificial intelligence and the benefits of our technology-enabled, multi-channel platform; strategic opportunities, strengths, plans, focuses, and progress; our momentum; our readiness to take advantage of improved market opportunities; market share; hedging strategy benefits; return to profitability; expenses and expense management; liquidity and financing strategies; settlement of a mortgage servicing rights transaction; productivity initiatives; loan officer growth and development; operating leverage; loan origination volumes; pull-through weighted lock volume; pull-through weighted gain on sale margin; and evaluation of capital structures and bond maturities. These forward-looking statements are based on current available operating, financial, economic and other information, and are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict, including but not limited to, the following: our ability to achieve the expected benefits of our strategic plans and priorities and the success of other business initiatives, including our partnership with Figure Technology Solutions; our ability to achieve profitability; our loan production volume; our ability to maintain an operating platform and management system sufficient to conduct our business; our ability to maintain warehouse lines of credit and other sources of capital and liquidity; our ability to effectively utilize artificial intelligence and emerging technologies; impacts of cybersecurity incidents, cyberattacks, information or security breaches and technology disruptions or failures, of ours or of our third party vendors; the outcome of legal proceedings to which we are a party; our ability to favorably resolve regulatory matters related to the Cybersecurity Incident; adverse changes in macroeconomic and U.S residential real estate and mortgage market conditions, including changes in interest rates, changes in global trade policy and tariffs, geopolitical tensions and conflicts and impacts from government shutdowns; changing federal, state and local laws, as well as changing regulatory enforcement policies and priorities; our ability to address our senior notes; and other risks detailed in the "Risk Factors" section of loanDepot, Inc.'s Annual Report on Form 10-K for the year ended December 31, 2025, as well as any subsequent filings with the Securities and Exchange Commission. Therefore, current plans, anticipated actions, and financial results, as well as the anticipated development of the industry, may differ materially from what is expressed or forecasted in any forward-looking statement. loanDepot does not undertake any obligation to publicly update or revise any forward-looking statement to reflect future events or circumstances, except as required by applicable law. About loanDepot Since its launch in 2010, loanDepot (NYSE: LDI) has revolutionized the mortgage industry with digital innovations that make transacting easier, faster, and less stressful for customers and originators alike. The Company, which is licensed in all 50 states, helps its customers achieve the American dream of homeownership through a broad suite of lending and real estate services that simplify one of life's most complex transactions. loanDepot is also committed to serving the communities in which its team lives and works through a variety of local and national philanthropic efforts. LDI-IR View source version on businesswire.com: https://www.businesswire.com/news/home/20260804993476/en/ Contacts Investor Relations Contact: Gerhard ErdeljiSenior Vice President, Investor Relations(949) [email protected] Media Contact: Rebecca AndersonSenior Vice President, Communications & Public Relations(949) [email protected]

Interested in loanDepot, Inc.? Here are five stocks we like better. loanDepot’s Q1 adjusted loss widened to $34 million from $21 million in the prior quarter as lower gain-on-sale margins and higher interest rate volatility pressured results. Revenue also fell to $299 million, while the company said product mix shifts toward conventional loans hurt margins. Despite weaker profitability, loanDepot said it gained market share and saw origination volume of $7.7 billion, near the high end of guidance. Management credited the improvement to adding loan officers, relaunching wholesale lending and sharpening marketing efficiency. The company expects a margin rebound in Q2, with gain-on-sale margins forecast at 330 to 360 basis points and higher origination volume. Management says the 5x5 HomeLoan and Figure Technology partnership should support growth and a shift toward more profitable loan mix. Here’s What Driving the 125% YTD Gains for Upstart Holdings Stock loanDepot (NYSE:LDI) reported a wider adjusted loss for the first quarter of 2026 as lower gain-on-sale margins and interest rate volatility weighed on revenue, even as the mortgage lender said it continued to gain market share and invest in growth initiatives. Chief Executive Officer Anthony Hsieh said the company is “three quarters into the rebuild” and has focused on long-term growth initiatives including the addition of more than 100 loan officers, the relaunch of its wholesale business and a new partnership with Figure Technology Solutions. → Beyond NVIDIA: Picks-and-Shovels AI Plays with Strong Momentum “Despite a volatile market environment, these initiatives help us increase market share during the quarter, which I consider vital to our goal of achieving consistent profitability in the current market,” Hsieh said. Chief Financial Officer David Hayes said loanDepot reported an adjusted net loss of $34 million in the first quarter, compared with an adjusted net loss of $21 million in the fourth quarter of 2025. He attributed the change primarily to a lower pull-through weighted gain-on-sale margin, partially offset by lower expenses. → 3 Ways to Target the Resources Powering AI and Data Centers Adjusted total revenue was $299 million, down from $316 million in the prior quarter. Pull-through weighted rate lock volume was $8.3 billion, up 14% from $7.3 billion in the fourth quarter and within the company’s prior guidance range of $7.75 billion to $8.75 billion. Loan origination volume was $7.7 billion, down 5% from $8 billion in the prior quarter, but at the high end of the company’s guidance range of $6.75 billion to $7.75 billion. Hayes said closed loan volume represented a market share increase, reflecting the company’s investment in adding loan officers. → Quantum Earnings Season Is Ramping Up—What to Watch From 2 Major Players The company’s pull-through weighted gain-on-sale margin was 271 basis points, at the low end of its guidance range of 270 to 300 basis points and down from 324 basis points in the prior quarter. Hayes said the decline reflected interest rate volatility and a shift in product mix, including fewer higher-margin FHA, VA and HELOC loans and more conventional loans. “The geopolitical environment created a sharp increase in interest rates during the first quarter,” Hayes said, adding that higher rates also generated wider negative fair value marks on mortgage servicing and trading securities. Total expenses decreased by $565,000 from the fourth quarter, despite the company’s previous guidance for higher expenses. Hayes said the decline was driven by lower commissions following the implementation of more efficient commission strategies and a 12% reduction in marketing expenses. Hsieh said loanDepot sharpened its marketing strategy to drive more lock volume while reducing marketing costs, increasing its return on marketing. Hayes said salary-related expenses rose because of higher headcount and seasonal employment tax resets, while direct origination expenses increased as vendors raised credit reporting costs. The company ended the quarter with $277 million in cash, down $60 million from the fourth quarter. Hayes said the decline reflected the net loss, investment in servicing rights and timing differences related to mortgage servicing rights secured loans. loanDepot highlighted its partnership with Figure Technology Solutions as a key part of its digital strategy. Hsieh said the company integrated Figure’s credit and loan underwriting engine into loanDepot’s mello technology platform, allowing it to offer new home loan products. The company is emphasizing its 5x5 HomeLoan product, which Hsieh said can deliver approval in as little as five minutes and funding in as few as five days. He said the product is designed to serve borrowers seeking speed and convenience and is expected to reduce production costs as it is integrated across channels. Hayes said the product is also affecting the company’s second-quarter guidance because HELOC products do not involve an interest rate lock. As a result, expected volume from those loans is not included in lock volume guidance but is included in closed origination volume guidance. In response to a question from Bank of America analyst Mihir Bhatia, Hayes said the expected increase in gain-on-sale margin in the second quarter is “first and foremost” tied to the 5x5 product, which carries a stronger gain-on-sale margin. He also said the company is seeing product mix shift back toward FHA, VA and higher home equity volumes. For the second quarter, loanDepot expects pull-through weighted lock volume of $5.75 billion to $7.75 billion and origination volume of $7.25 billion to $9.25 billion. The company expects pull-through weighted gain-on-sale margin of 330 to 360 basis points. Hayes said total expenses are expected to increase in the second quarter, primarily because of higher volume-related costs tied to higher expected originations. Servicing fee income declined to $109 million in the first quarter from $113 million in the fourth quarter, which Hayes attributed mainly to lower interest earnings from custodial balances and fewer days in the quarter. The company’s recapture rate rose to 73% from 71% in the prior quarter. Hsieh said the company remains focused on returning to consistent profitability regardless of rate movements, though he said falling rates would shorten the timeline. He said loanDepot plans to continue investing in customer acquisition, origination capacity, technology and artificial intelligence to improve efficiency and lower costs. In response to a question from Citizens JMP analyst Mikhail Goberman about whether a substantial decline in mortgage rates is needed for earnings to improve, Hsieh said the company would benefit from a lower 10-year yield but remains “quite bullish” based on progress in market share, top-line growth and marketing efficiency. Hayes also addressed a question about upcoming debt maturities, saying management and the board are actively engaged and discussing strategies with bankers. He said the company hopes to have a resolution “in the coming months,” while noting that markets remain turbulent. Hsieh closed the call by reiterating four objectives: investing in growth and infrastructure, becoming a more efficient mortgage banker, growing profitable market share and returning to profitability through origination growth, servicing portfolio expansion, higher recapture rates, brand investment and operating leverage. loanDepot, Inc (NYSE: LDI) is a leading non-bank consumer lender that provides a broad range of home and personal financing products through a digitally enabled platform. The company specializes in originating and servicing purchase and refinance mortgage loans, home equity lines of credit (HELOCs), and personal loans. Through its proprietary mello™ technology suite, loanDepot streamlines the application, underwriting, and closing processes for borrowers and real estate professionals, emphasizing speed, transparency, and a seamless digital experience. Founded in 2010 by Anthony Hsieh, loanDepot has grown rapidly to become one of the largest independent mortgage lenders in the United States. 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 "loanDepot Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

Company delivers market share gains and operational progress amid a challenging market. First Quarter 2026 Highlights: Loan origination volume decreased 5% to $7.66 billion from the prior quarter, while market share increased to 1.39%1. Revenue decreased 8% to $286 million and adjusted revenue decreased 5% to $299 million compared to the prior quarter, primarily impacted by volatile interest rates and margin pressure. Pull-through weighted gain on sale margin decreased 53 basis points to 271 basis points on larger loan balances, product mix shifts and market volatility during the quarter. Expenses decreased 0.2% to $342 million from the prior quarter on lower commissions and marketing costs, reflecting the benefits of our productivity initiatives. Net loss was $55 million, compared with a net loss of $33 million in the prior quarter. Adjusted net loss was $34 million, compared with adjusted net loss of $21 million in the prior quarter. Adjusted EBITDA was $14 million, compared to adjusted EBITDA of $29 million in the prior quarter. Cash balance was $277 million, down from $337 million in the prior quarter, primarily reflecting investment in our servicing rights. IRVINE, Calif., May 05, 2026--(BUSINESS WIRE)--loanDepot, Inc. (NYSE: LDI), (together with its subsidiaries, "loanDepot" or the "Company"), today announced results for the first quarter ended March 31, 2026. "During the first quarter, we continued to see positive results from our investments in growth and efficiency initiatives," said Founder and Chief Executive Officer, Anthony Hsieh. "Despite a volatile market environment, we increased market share. At the same time, we made meaningful progress behind the scenes on our long-term initiatives by expanding our revenue‑generating capabilities, improving operating leverage, and driving marketing efficiency. Hsieh continued, "Since my return as CEO, I have been laser focused on our digital transformation as a key enabler of our return to a market leading position. We have focused on fully leveraging our unique assets and strategy, including one of the most differentiated customer acquisition and retention business models in the marketplace today. This includes rebuilding our management team with deep mortgage, technology, and marketing IQ; opening up our wholesale channel and increasing our loan officers to drive top line and market share growth; reducing costs and increasing operating leverage; and applying advanced automation and technology across the origination and servicing lifecycle. Hsieh concluded, "Our recently announced partnership with Figure Technology Solutions is expected to meaningfully accelerate our work and is delivering promising early results. As we integrate this platform across our channels, we expect to lower our cost of production, improve the customer experience, close more loans more quickly and advance our long-term objective of profitable market share growth. Importantly, it also positions us to introduce new and innovative products that expand the way we serve borrowers in the future and capitalize on market improvements." Added Chief Financial Officer, David Hayes, "The quarter reflected continued progress toward sustainable profitability, offset by geopolitically driven market volatility. We grew pull‑through weighted lock volume by 14% from the prior quarter while reducing marketing costs by 12%, reflecting improvements in mid‑funnel lead conversion and sharpened marketing strategies. However, market headwinds during the quarter contributed to a 53 bps decrease in our pull-through weighted gain on sale margin and wider negative fair value marks on our mortgage servicing rights and trading securities, resulting in lower revenue." First Quarter Highlights: Financial Summary Operational Highlights Non-volume2 related expenses increased $5.1 million from the fourth quarter of 2025, primarily reflecting higher salary-related costs. Pull-through weighted lock volume of $8.3 billion for the first quarter of 2026, an increase of $1.0 billion or 14% from the fourth quarter of 2025. Loan origination volume for the first quarter of 2026 was $7.7 billion, a decrease of $382.5 million or 5% from the fourth quarter of 2025. Purchase volume totaled 41% of total loans originated during the first quarter, down from 49% during the fourth quarter of 2025. Our preliminary organic refinance consumer direct recapture rate3 increased to 73% for the first quarter from the fourth quarter 2025’s recapture rate of 71%. Outlook for the second quarter of 2026 Origination volume of between $7.25 billion and $9.25 billion. Pull-through weighted rate lock volume of between $5.75 billion and $7.75 billion. Pull-through weighted gain on sale margin of between 330 basis points and 360 basis points. Servicing Balance Sheet Highlights An increase in loans held for sale at March 31, 2026, resulted in a corresponding increase in the balance on our warehouse lines of credit. Total funding capacity with our lending partners was $4.2 billion at March 31, 2026 and December 31, 2025. Available borrowing capacity was $1.2 billion at March 31, 2026. Consolidated Statements of Operations Consolidated Balance Sheets Loan Origination and Sales Data First Quarter Earnings Call Management will host a conference call and live webcast today at 5:00 p.m. ET to discuss the Company’s financial and operational highlights followed by a question-and-answer session. Register online at https://events.q4inc.com/attendee/833959793. A live audio webcast of the conference call will also be available via the Company's website, investors.loandepot.com, under the Events & Presentation tab. A replay of the webcast will be made available following the conclusion of the event. For more information about loanDepot, please visit the company’s Investor Relations website: investors.loandepot.com. Non-GAAP Financial Measures To provide investors with information in addition to our results as determined by GAAP, we disclose certain non-GAAP measures to assist investors in evaluating our financial results. We believe these non-GAAP measures provide useful information to investors regarding our results of operations because each measure assists both investors and management in analyzing and benchmarking the performance and value of our business. They facilitate company-to-company operating performance comparisons by backing out potential differences caused by variations in hedging strategies, changes in valuations, capital structures (affecting interest expense on non-funding debt), taxation, the age and book depreciation of facilities (affecting relative depreciation expense), and other cost or benefit items which may vary for different companies for reasons unrelated to operating performance. These non-GAAP measures include our Adjusted Total Revenue, Adjusted Net Loss, Adjusted Diluted Weighted Average Shares Outstanding, and Adjusted EBITDA. We exclude from these non-GAAP financial measures the change in fair value of MSRs, gains (losses) from the sale of MSRs, and related hedging gains and losses that represent realized and unrealized adjustments resulting from changes in valuation, mostly due to changes in market interest rates, and are not indicative of the Company’s operating performance or results of operation. We have excluded expenses directly related to the cybersecurity incident in January 2024 that resulted from unauthorized access to our systems (the "Cybersecurity Incident"), net of insurance recoveries during fiscal 2024, such as costs to investigate and remediate the Cybersecurity Incident, the costs of customer notifications and identity protection, and professional fees, including legal expenses, litigation settlement costs, and commission guarantees. We also exclude stock-based compensation expense, which is a non-cash expense, gains or losses on extinguishment of debt and disposal of fixed assets, and impairment charges to operating lease right-of-use assets, as well as certain costs associated with our restructuring efforts, as management does not consider these costs to be indicative of our performance or results of operations. Adjusted EBITDA includes interest expense on funding facilities, which are recorded as a component of "net interest income," as these expenses are a direct operating expense driven by loan origination volume. By contrast, interest expense on our non-funding debt is a function of our capital structure and is therefore excluded from Adjusted EBITDA. Adjustments for income taxes are made to reflect historical results of operations on the basis that it was taxed as a corporation under the Internal Revenue Code, and therefore subject to U.S. federal, state, and local income taxes. Adjustments to Diluted Weighted Average Shares Outstanding assumes the pro forma conversion of weighted average Class B and Class C common stock to Class A common stock. These non-GAAP measures have limitations as analytical tools and should not be considered in isolation or as a substitute for revenue, net income, or any other operating performance measure calculated in accordance with GAAP, and may not be comparable to a similarly titled measure reported by other companies. Some of these limitations are: They do not reflect every cash expenditure, future requirements for capital expenditures or contractual commitments; Adjusted EBITDA does not reflect the significant interest expense or the cash requirements necessary to service interest or principal payment on our debt; Although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced or require improvements in the future, and Adjusted Total Revenue, Adjusted Net Loss, and Adjusted EBITDA do not reflect any cash requirement for such replacements or improvements; and They are not adjusted for all non-cash income or expense items that are reflected in our statements of cash flows. Because of these limitations, Adjusted Total Revenue, Adjusted Net Loss, Adjusted Diluted Weighted Average Shares Outstanding, and Adjusted EBITDA are not intended as alternatives to total revenue, net loss, net loss attributable to the Company, or as an indicator of our operating performance and should not be considered as measures of discretionary cash available to us to invest in the growth of our business or as measures of cash that will be available to us to meet our obligations. We compensate for these limitations by using Adjusted Total Revenue, Adjusted Net Loss, Adjusted Diluted Weighted Average Shares Outstanding, and Adjusted EBITDA along with other comparative tools, together with U.S. GAAP measurements, to assist in the evaluation of operating performance. See below for a reconciliation of these non-GAAP measures to their most comparable U.S. GAAP measures. Forward-Looking Statements This press release and related management commentary contain, and responses to investor questions may contain, forward-looking statements that can be identified by the fact that they do not relate strictly to historical or current facts and may contain the words "believe," "aim," "anticipate," "expect," "goal," "intend," "plan," "predict," "estimate," "project," "will be," "will continue," "will likely result," or other similar words and phrases or future or conditional verbs such as "will," "may," "might," "should," "would," or "could" and the negatives of those terms. Examples of forward-looking statements include, but are not limited to, statements about the benefits that our partnership with Figure Technology Solutions is expected to deliver to loanDepot and its customers; our digital transformation; market positioning; integration of Figure and loanDepot solutions, including platform integration across channels and expected benefits; the 5x5 HomeLoan product; competitive advantages; automation, technology and innovation initiatives and investments, including artificial intelligence; strategic opportunities, plans, focuses, and progress; our momentum; market share; digital customer experience; investment plans; return to profitability; expenses and expense management; loan origination volumes; pull-through weighted lock volume; and pull-through weighted gain on sale margin. These forward-looking statements are based on current available operating, financial, economic and other information, and are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict, including but not limited to, the following: our ability to achieve the expected benefits of our strategic plans and priorities and the success of other business initiatives, including our partnership with Figure Technology Solutions; our ability to achieve profitability; our loan production volume; our ability to maintain an operating platform and management system sufficient to conduct our business; our ability to maintain warehouse lines of credit and other sources of capital and liquidity; our ability to effectively utilize artificial intelligence and emerging technologies; impacts of cybersecurity incidents, cyberattacks, information or security breaches and technology disruptions or failures, of ours or of our third party vendors; the outcome of legal proceedings to which we are a party; our ability to favorably resolve regulatory matters related to the Cybersecurity Incident; adverse changes in macroeconomic and U.S residential real estate and mortgage market conditions, including changes in interest rates, changes in global trade policy and tariffs, geopolitical tensions and conflicts and impacts from government shutdowns; changing federal, state and local laws, as well as changing regulatory enforcement policies and priorities; and other risks detailed in the "Risk Factors" section of loanDepot, Inc.'s Annual Report on Form 10-K for the year ended December 31, 2025, as well as any subsequent filings with the Securities and Exchange Commission. Therefore, current plans, anticipated actions, and financial results, as well as the anticipated development of the industry, may differ materially from what is expressed or forecasted in any forward-looking statement. loanDepot does not undertake any obligation to publicly update or revise any forward-looking statement to reflect future events or circumstances, except as required by applicable law. About loanDepot Since its launch in 2010, loanDepot (NYSE: LDI) has revolutionized the mortgage industry with digital innovations that make transacting easier, faster, and less stressful for customers and originators alike. The company, which is licensed in all 50 states, helps its customers achieve the American dream of homeownership through a broad suite of lending and real estate services that simplify one of life's most complex transactions. loanDepot is also committed to serving the communities in which its team lives and works through a variety of local and national philanthropic efforts. LDI-IR View source version on businesswire.com: https://www.businesswire.com/news/home/20260505048129/en/ Contacts Investor Relations Contact: Gerhard Erdelji Senior Vice President, Investor Relations (949) 822-4074 [email protected] Media Contact: Rebecca Anderson Senior Vice President, Communications & Public Relations (949) 822-4024 [email protected]

Management is three quarters into a comprehensive company rebuild focused on digital transformation and returning to a market-leading position through technology and marketing IQ. Performance this quarter was driven by a 14% increase in pull-through weighted rate lock volume, achieved while simultaneously reducing marketing expenses by 12% through improved mid-funnel lead conversion. The company is aggressively expanding its sales force, adding over 100 new loan officers through its proprietary ACES training program and retail channel recruitment to capture market share ahead of demand increases. Strategic reopening of the wholesale channel aims to leverage existing infrastructure and offer more products to the broker community with limited incremental expense. Operational efficiency is being targeted through the integration of AI and automation across the origination lifecycle to lower unit costs and increase operating leverage. Market share gains were achieved despite a volatile environment, which management views as vital for reaching consistent profitability in the current cycle. The partnership with Figure Technology Solutions is expected to accelerate growth by integrating a proprietary underwriting engine that enables the 5x5 HomeLoan product, offering 5-minute approvals and 5-day funding. Second quarter guidance reflects a significant product mix shift toward HELOCs, which do not require interest rate locks and will result in lower reported lock volumes but higher funded originations. Management expects the 5x5 HomeLoan to be a consistent earnings contributor as record home equity levels sustain demand even if interest rates decline. Total expenses are projected to increase in the second quarter, primarily driven by volume-related costs as origination activity is expected to rise quarter-over-quarter. The timeline to consistent profitability is expected to shorten as interest rates fall, though the company is focused on achieving this goal regardless of rate movements. Adjusted net loss widened to $34 million from $21 million in the prior quarter, primarily due to lower pull-through weighted gain on sale margins and interest rate volatility. Gain on sale margin of 271 basis points was at the low end of guidance, impacted by a shift away from higher-margin FHA and VA loans toward conventional products. Higher interest rates triggered wider negative fair value marks on mortgage servicing and trading securities, though the company continues to use a dynamic hedging strategy to mitigate volatility. Direct origination expenses rose due to increased vendor costs for credit reporting services, which management plans to mitigate through process and workflow improvements. 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. The expected margin step-up to 330-360 basis points is driven by the ramp-up of the 5x5 HELOC product, which carries a significantly stronger margin than traditional first mortgages. Management also anticipates a product mix shift back toward higher-margin FHA, VA, and home equity volumes in the second quarter. The decline in guided lock volume is a reporting nuance; HELOC products do not have an associated interest rate lock and therefore only appear in funded volume totals. The 5x5 product significantly shortens the production cycle to 5-7 calendar days compared to the traditional 25-33 day cycle for locked loans. Management and the Board are actively engaged with bankers to address maturities in a comprehensive way. While markets remain turbulent, the company aims to reach a resolution on debt strategies in the coming months. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here.