Company: RITM-PC
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001556593-25-000016
Chunk: 35

Company: Rithm Capital Corp.
Filing Date: 2025-05-02
Form: 10-Q
Item: Item 8
Chunk 35
---
 result, consolidates this joint venture. Following the acquisition from the Former Manager, all of Rithm Capital’s ownership in pools of Excess MSRs is consolidated on its consolidated balance sheet and is presented in other assets at fair value. See Note 20 for noncontrolling interests related to these Excess MSRs.

30

RITHM CAPITAL CORP. AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)(dollars in tables in thousands, except share and per share data)

Mr. Cooper, as servicer, performs all of the servicing and advancing functions on the Company’s Excess MSR assets, retains the ancillary income and assumes servicing obligations and liabilities as the servicer of the underlying loans in the portfolio. As part of the Computershare Acquisition (Note 3), Rithm Capital acquired MSRs owned by SLS underlying certain Excess MSRs owned by Rithm Capital. Accordingly, those Excess MSRs have been reclassified to full MSRs on Rithm Capital’s consolidated balance sheets. Investments in Excess MSRsThe following table presents activity related to the consolidated investments in Excess MSRs measured at fair value:Balance at December 31, 2024$369,162 Interest income4,190 Proceeds from repayments(17,514)Change in fair value(915)Balance at March 31, 2025$354,923 The following summarizes Rithm Capital’s direct investments in Excess MSRs:March 31, 2025December 31, 2024UPB of Underlying MortgagesInterest in Excess MSRWeighted Average Life (Years)(A)Amortized Cost BasisCarrying Value(B)Carrying Value(B)Rithm Capital(C)(D)Mr. CooperTotal$52,144,523 65.0% – 80.0%(69.9%)20.0% – 35.0%(30.9%)5.9$308,638 $354,923 $369,162 (A)Represents the weighted average expected timing of the receipt of expected cash flows for this investment.(B)Carrying value represents the fair value of the pools and recapture agreements, as applicable.(C)Amounts in parentheses represent weighted averages.(D)Rithm Capital also invested in related servicer advance investments, including the base fee component of the related MSR as of March 31, 2025 and