Onity Group Reports Record Earnings In 2025, Expands Servicing Portfolio To $328b

Onity Group — the parent company of PHH Mortgage Corp. and its subsidiary, Liberty Reverse Mortgage — reported record earnings for 2025, driven by growth in mortgage servicing and originations. It also announced a new $10 million share repurchase program as the company continues its multiyear transformation.

The nonbank mortgage servicer and originator on Thursday released its earnings for the full year and fourth quarter of 2025. It reported net income attributable to common stockholders of $185.4 million in 2025, up sharply from $33.4 million in 2024.

The earnings are on the higher side of Onity’s expectations, which were projected to be in the range of $166 million to $190 million.

Diluted earnings per share rose to $21.46, up from $4.13 a year earlier, while total revenue increased 9% to $1.07 billion.

Glen Messina, Onity’s chair, president and CEO, said 2025 marked a turning point for the company.

“We delivered record net income and earnings per share, strengthened book value, and achieved double-digit adjusted ROE (return on equity) for the third consecutive year,” he said in a statement. “Our balanced business model proved resilient through shifting interest rates and policy changes, while record originations volume, strong recapture performance, and continued growth of our AI-enabled Servicing platform demonstrate the effectiveness of our strategy and strength of our execution.”

Book value per share increased to $74 at the end of 2025, up $17 from the prior year, while return on equity reached 35%. The company added $85 billion in servicing volume during the year, including $45 billion in subservicing additions, and its total servicing portfolio grew to $328 billion in unpaid principal balance, according to a company press release.

Mortgage originations were a key driver of growth. Funded originations rose 43% year over year to $43 billion, and recapture volume more than doubled compared with 2024.

For the fourth quarter, income attributable to common stockholders totaled $126 million compared with a loss in the same period a year earlier. Diluted earnings per share reached $14.24, and the company added $29 billion in servicing volume from October through December. Onity had estimated net income attributable to common stockholders to be between $107 million and $131 million, up from $18 million in the prior quarter.

The fourth quarter also included the release of a $120 million deferred tax valuation allowance, reflecting sustained profitability and strengthening financial performance.

As part of its capital strategy, the company’s board authorized a share repurchase program of up to $10 million in common stock through August 2026. The company said the timing and amount of repurchases will depend on market conditions and other factors.

Onity said it ended the year with $205 million in total liquidity and raised additional capital to support growth and reduce leverage. The company also took steps to streamline operations, including the planned sale of reverse mortgage assets to Finance of America and the transition of a “deeply delinquent” loan portfolio.

Looking ahead, the company said it expects adjusted return on equity of 13% to 15% in 2026 and servicing portfolio growth of 5% to 15%, supported by increased liquidity and investment in higher-growth assets.