Company: RITM-PC
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001556593-25-000024
Chunk: 36

Company: Rithm Capital Corp.
Filing Date: 2025-08-01
Form: 10-Q
Item: Item 2
Chunk 36
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379)

106

Servicing Revenue, Net

Servicing revenue, net consists of the following:

Three Months EndedSix Months Ended June 30,(dollars in thousands)June 30,2025March 31,202520252024QoQ ChangeYoY ChangeServicing fee revenue, net and interest income from MSRs and MSR financing receivables$518,371 $526,810 $1,045,181 $884,103 $(8,439)$161,078 Ancillary and other fees56,446 43,991 100,437 84,766 12,455 15,671 Servicing fee revenue, net and fees574,817 570,801 1,145,618 968,869 4,016 176,749 Change in Fair Value due to:Realization of cash flows (176,680)(146,891)(323,571)(281,977)(29,789)(41,594)Change in valuation inputs and assumptions, net of realized gains (losses)(A)(8,807)(395,025)(403,832)298,254 386,218 (702,086)Gains (losses) on MSR economic hedges30,482 208,538 239,020 (139,243)(178,056)378,263 Servicing Revenue, Net$419,812 $237,423 $657,235 $845,903 $182,389 $(188,668)

(A)The following table summarizes the components of servicing revenue, net related to changes in valuation inputs and assumptions: 

Three Months EndedSix Months Ended June 30,(dollars in thousands)June 30,2025March 31, 202520252024QoQ ChangeYoY ChangeChanges in interest rates and prepayment rates$(24,427)$(341,713)$(366,140)$402,232 $317,286 $(768,372)Changes in discount rates— (4,323)(4,323)— 4,323 (4,323)Changes in other factors15,620 (48,989)(33,369)(103,978)64,609 70,609 Change in Valuation and Assumptions$(8,807)$(395,025)$(403,832)$298,254 $386,218 $(702,086)

The table below summarizes the UP