Company: FOACW
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001828937-25-000033
Chunk: 61

Company: Finance of America Companies Inc.
Filing Date: 2025-05-20
Form: 10-Q
Item: Item 1
Chunk 61
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 individual segments based on the estimated value of services performed, total revenue contributions, personnel headcount, or the equity invested in each segment based on the type of expense allocated. The allocation methodology is reviewed annually. There were no changes to methodology during the three months ended March 31, 2025 and 2024. Expenses for enterprise-level general overhead, such as executive administration, are not allocated to the business segments.

Retirement Solutions Segment

The following table summarizes our Retirement Solutions segment’s results (in thousands):  

For the three months ended March 31, 2025For the three months ended March 31, 2024Net origination gains$46,038 $39,657 Fee income5,683 6,051 Total revenues51,721 45,708 Total expenses48,462 49,410 Other, net— (174)NET INCOME (LOSS) BEFORE INCOME TAXES$3,259 $(3,876)

Our Retirement Solutions segment generates its revenues primarily from the origination of reverse mortgage loans, including HECM insured by the FHA and non-agency reverse mortgage loans. Revenues from our Retirement Solutions segment include both our initial estimate of net origination gains from originated loans, which is determined by utilizing quoted prices on similar securities or internally-developed models utilizing observable market inputs, in addition to fees earned at the time of origination of the associated loans. We elect to account for all originated loans at fair value. The loans are immediately transferred to our Portfolio Management segment, and any future fair value adjustments, including interest earned, on these originated loans are reflected in revenues of our Portfolio Management segment until final disposition.

Key Metrics

The following table provides a summary of our Retirement Solutions segment’s key metrics (in thousands, except units):

For the three months ended March 31, 2025For the three months ended March 31, 2024Reverse mortgage loan origination volumeLoan origination volume(1)$560,678 $423,453 Loan origination volume - tails(2)236,520 261,704 Total loan origination volume$797,198 $685,157 Total reverse mortgage loan origination volume - units(1)2,284 2,036 Reverse mortgage loan origination volume - by channel(1)TPO$384,556 $257,186 Retail176,122 166,267 Total reverse mortgage loan origination volume$560,678 $423,