Company: RWT-PA
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0000930236-25-000029
Chunk: 79

Company: REDWOOD TRUST INC
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 79
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 acquisition costs(980)(2,433)(13)(238)— (3,664)Other expenses— (2,203)(2,974)— — (5,177)(Provision for) Benefit from income taxes(1,560)(449)(2,914)— (1)(4,924)Net Income (Loss) (2)$9,923 $595 $38,117 $(723)$(32,378)$15,534 Total Assets$1,106,416 $371,980 $11,420,075 $3,230,928 $361,705 $16,491,104 (1)Represents market valuation changes of derivatives that were used to manage risks associated with our mortgage banking operations and Legacy Investments. For mortgage banking, also includes other derivative financial instruments such as loan purchase commitments and interest rate locks. (2)Net Income (Loss) by segment is also referred to as Segment Contribution.

14

REDWOOD TRUST, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS June 30, 2025(Unaudited) Note 4. Segment Information - (continued)

Six Months Ended June 30, 2024(In Thousands)Sequoia Mortgage BankingCoreVest Mortgage BankingRedwood InvestmentsLegacy InvestmentsCorporate/OtherTotalInterest income$35,409 $10,779 $294,818 $86,822 $2,329 $430,157 Interest expense(18,188)(8,381)(247,049)(78,685)(28,351)(380,654)Net interest income (expense)17,221 2,398 47,769 8,137 (26,022)49,503 Non-interest income (loss)Mortgage banking activities, net, excluding risk management derivatives23,002 17,266 — — — 40,268 Risk management derivatives (losses) gains, net (1)(8,930)2,142 — — — (6,788)Total Mortgage banking activities, net14,072 19,408 — — — 33,480 Investment fair value changes, net, excluding risk management derivatives— — 40,637 (23,827)(800)16,010 Risk management derivatives gains, net (1)— — — 6,925