PennyMac Profitable in 2Q Despite Servicing Rights Hit

National Mortgage News, July 28, 2023–Brad Finkelstein (subscription)
PennyMac Financial Services has room to grow in both the correspondent and wholesale channels, even as both of those reported higher production on a quarter-to-quarter and year-over-year basis. However, its results were negatively impacted by a 51 cent per share reduction to its profits related to mortgage servicing rights as fair value gains were more than wiped out by hedging losses.