Company: FOACW
Filing Date: 2025-03-14
Form Type: 10-K
Source: 0001828937-25-000009
Chunk: 20

Company: Finance of America Companies Inc.
Filing Date: 2025-03-14
Form: 10-K
Item: Item 7
Chunk 20
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 is a summary of the components of our Portfolio Management segment’s total expenses (in thousands):

For the year ended December 31, 2024For the year ended December 31, 2023Salaries$11,299 $13,409 Commissions and bonuses2,188 3,431 Other salary related expenses2,026 3,034 Total salaries, benefits, and related expenses15,513 19,874 Loan portfolio related expenses28,318 16,935 Loan servicing expenses31,323 30,729 Marketing and advertising expenses41 24 Depreciation and amortization77 107 General and administrative expenses12,177 16,354 Total expenses$87,449 $84,023 

For the year ended December 31, 2024 versus the year ended December 31, 2023

Total expenses increased $3.4 million or 4.1% as a result of the following:

•Salaries, benefits, and related expenses decreased $4.4 million or 21.9% primarily due to a decrease in average headcount and continued cost-cutting measures associated with the wind-down of business lines that are not part of our unified modern retirement solutions platform during the year ended December 31, 2024 compared to the 2023 period, as well as lower compensation cost associated with the Replacement RSUs and Earnout Right RSUs. Average headcount was 63 for the year ended December 31, 2024 compared to 73 for the 2023 period.

•Loan portfolio related expenses increased $11.4 million or 67.2% due to the increased volume of securitizations of assets into nonrecourse securitizations during the year ended December 31, 2024 compared to the 2023 period.

•General and administrative expenses decreased $4.2 million or 25.5% primarily due to continued cost-cutting measures associated with the wind-down of business lines that are not part of our unified modern retirement solutions platform during the year ended December 31, 2024 when compared to the 2023 period.

Corporate and Other

Corporate and Other consists of our corporate services groups. These groups support our operating segments, and the cost of services directly supporting the operating segments are allocated to those operating segments on a cost-of-service basis. Enterprise-focused Corporate and Other expenses that are not incurred in direct support of the operating segments are kept unallocated