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Segment Reporting | 6 Months Ended
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Jun. 30, 2026
Segment Reporting [Abstract] |
Segment Reporting | Segment Reporting At June 30, 2026, the Company’s reportable segments include (i) mortgage-related assets and (ii) Lima One. The Corporate column in the table below primarily consists of corporate cash and related interest income, investments in loan originators and related economics, general and administrative expenses not directly attributable to Lima One, interest expense on unsecured senior notes (see Note 6), securitization issuance costs, and preferred stock dividends. The Company’s segments are managed by its “chief operating decision maker” or “CODM” as defined under GAAP; the Company’s CODM is its Chief Executive Officer. The CODM utilizes the segment reporting as part of their analysis of relative segment performance in deciding where to focus resources to enhance the Company’s future performance. The following tables summarize segment financial information, which in total reconciles to the same data for the Company as a whole:
(In Thousands) |  | Mortgage-Related Assets |  | Lima One |  | Corporate |  | Total
Three months ended June 30, 2026 |  |  |  |  |  |  |  |
Interest Income |  | $ | 155,380 |  |  | $ | 39,909 |  |  | $ | 1,485 |  |  | $ | 196,774 |
Interest Expense |  | 108,287 |  |  | 25,339 |  |  | 4,577 |  |  | 138,203 |
Net Interest Income/(Expense) |  | $ | 47,093 |  |  | $ | 14,570 |  |  | $ | (3,092) |  |  | $ | 58,571 |
Reversal/(Provision) for Credit Losses on Residential Whole Loans |  | 62 |  |  | — |  |  | — |  |  | 62 |
Reversal/(Provision) for Credit Losses on Other Assets |  | — |  |  | — |  |  | — |  |  | — |
Net Interest Income/(Expense) after Reversal/(Provision) for Credit Losses |  | $ | 47,155 |  |  | $ | 14,570 |  |  | $ | (3,092) |  |  | $ | 58,633 |
Net gain/(loss) on residential whole loans measured at fair value through earnings |  | $ | (26,768) |  |  | $ | (18,712) |  |  | $ | — |  |  | $ | (45,480) |
Impairment and other net gain/(loss) on securities and other portfolio investments |  | (4,362) |  |  | 11 |  |  | 501 |  |  | (3,850) |
Net gain/(loss) on real estate owned |  | 534 |  |  | (2,025) |  |  | — |  |  | (1,491) |
Net gain/(loss) on derivatives |  | 40,009 |  |  | 4,616 |  |  | — |  |  | 44,625 |
Net gain/(loss) on securitized debt measured at fair value through earnings |  | 20,843 |  |  | 4,425 |  |  | — |  |  | 25,268 |
Lima One mortgage banking income |  | — |  |  | 8,367 |  |  | — |  |  | 8,367 |
Net realized gain/(loss) on residential whole loans held at carrying value |  | — |  |  | — |  |  | — |  |  | — |
Other, net |  | (326) |  |  | 1,685 |  |  | 887 |  |  | 2,246 |
Other Income/(Loss), net |  | $ | 29,930 |  |  | $ | (1,633) |  |  | $ | 1,388 |  |  | $ | 29,685 |
Compensation and benefits |  | $ | — |  |  | $ | 8,926 |  |  | $ | 9,066 |  |  | $ | 17,992 |
Other general and administrative expense |  | — |  |  | 4,086 |  |  | 9,076 |  |  | 13,162 |
Loan servicing, financing and other related costs |  | 3,780 |  |  | 2,169 |  |  | 4,117 |  |  | 10,066 |
Amortization of intangible assets |  | — |  |  | 300 |  |  | — |  |  | 300 |
Income/(loss) before income taxes |  | $ | 73,305 |  |  | $ | (2,544) |  |  | $ | (23,963) |  |  | $ | 46,798 |
Provision for/(benefit from) income taxes |  | — |  |  | — |  |  | — |  |  | — |
Net Income/(Loss) |  | $ | 73,305 |  |  | $ | (2,544) |  |  | $ | (23,963) |  |  | $ | 46,798 |
Less Preferred Stock Dividend Requirement |  | $ | — |  |  | $ | — |  |  | $ | 10,559 |  |  | $ | 10,559 |
Net Income/(Loss) Available to Common Stock and Participating Securities |  | $ | 73,305 |  |  | $ | (2,544) |  |  | $ | (34,522) |  |  | $ | 36,239 |
(In Thousands) |  | Mortgage-Related Assets |  | Lima One |  | Corporate |  | Total
Three months ended June 30, 2025 |  |  |  |  |  |  |  |
Interest Income |  | $ | 125,987 |  |  | $ | 59,830 |  |  | $ | 2,527 |  |  | $ | 188,344 |
Interest Expense |  | 84,424 |  |  | 38,099 |  |  | 4,545 |  |  | 127,068 |
Net Interest Income/(Expense) |  | $ | 41,563 |  |  | $ | 21,731 |  |  | $ | (2,018) |  |  | $ | 61,276 |
Reversal/(Provision) for Credit Losses on Residential Whole Loans |  | (791) |  |  | — |  |  | — |  |  | (791) |
Provision for Credit Losses on Other Assets |  | — |  |  | — |  |  | — |  |  | — |
Net Interest Income/(Expense) after Reversal/(Provision) for Credit Losses |  | $ | 40,772 |  |  | $ | 21,731 |  |  | $ | (2,018) |  |  | $ | 60,485 |
Net gain/(loss) on residential whole loans measured at fair value through earnings |  | $ | 26,675 |  |  | $ | (2,876) |  |  | $ | — |  |  | $ | 23,799 |
Impairment and other net gain/(loss) on securities and other portfolio investments |  | 4,007 |  |  | 2 |  |  | 2,636 |  |  | 6,645 |
Net gain/(loss) on real estate owned |  | (1,374) |  |  | (1,537) |  |  | — |  |  | (2,911) |
Net gain/(loss) on derivatives |  | (15,289) |  |  | (2,962) |  |  | — |  |  | (18,251) |
Net gain/(loss) on securitized debt measured at fair value through earnings |  | (8,607) |  |  | 1,502 |  |  | — |  |  | (7,105) |
Lima One mortgage banking income |  | — |  |  | 6,087 |  |  | — |  |  | 6,087 |
Net realized gain/(loss) on residential whole loans held at carrying value |  | (343) |  |  | — |  |  | — |  |  | (343) |
Other, net |  | (681) |  |  | 3,972 |  |  | 1,038 |  |  | 4,329 |
Other Income/(Loss), net |  | $ | 4,388 |  |  | $ | 4,188 |  |  | $ | 3,674 |  |  | $ | 12,250 |
Compensation and benefits |  | $ | — |  |  | $ | 9,700 |  |  | $ | 9,608 |  |  | $ | 19,308 |
Other general and administrative expense |  | (30) |  |  | 4,867 |  |  | 5,784 |  |  | 10,621 |
Loan servicing, financing and other related costs |  | 4,790 |  |  | 1,796 |  |  | 1,998 |  |  | 8,584 |
Amortization of intangible assets |  | — |  |  | 800 |  |  | — |  |  | 800 |
Income/(loss) before income taxes |  | $ | 40,400 |  |  | $ | 8,756 |  |  | $ | (15,734) |  |  | $ | 33,422 |
Provision for/(benefit from) income taxes |  | — |  |  | — |  |  | 238 |  |  | 238 |
Net Income/(Loss) |  | $ | 40,400 |  |  | $ | 8,756 |  |  | $ | (15,972) |  |  | $ | 33,184 |
Less Preferred Stock Dividend Requirement |  | $ | — |  |  | $ | — |  |  | $ | 10,560 |  |  | $ | 10,560 |
Net Income/(Loss) Available to Common Stock and Participating Securities |  | $ | 40,400 |  |  | $ | 8,756 |  |  | $ | (26,532) |  |  | $ | 22,624 |
(In Thousands) |  | Mortgage-Related Assets |  | Lima One |  | Corporate |  | Total
Six months ended June 30, 2026 |  |  |  |  |  |  |  |
Interest Income |  | $ | 303,567 |  |  | $ | 82,046 |  |  | $ | 3,087 |  |  | $ | 388,700 |
Interest Expense |  | 209,550 |  |  | 52,244 |  |  | 9,145 |  |  | 270,939 |
Net Interest Income/(Expense) |  | $ | 94,017 |  |  | $ | 29,802 |  |  | $ | (6,058) |  |  | $ | 117,761 |
Reversal/(Provision) for Credit Losses on Residential Whole Loans |  | 304 |  |  | — |  |  | — |  |  | 304 |
Reversal/(Provision) for Credit Losses on Other Assets |  | — |  |  | — |  |  | — |  |  | — |
Net Interest Income/(Expense) after Reversal/(Provision) for Credit Losses |  | $ | 94,321 |  |  | $ | 29,802 |  |  | $ | (6,058) |  |  | $ | 118,065 |
Net gain/(loss) on residential whole loans measured at fair value through earnings |  | $ | (51,687) |  |  | $ | (32,926) |  |  | $ | — |  |  | $ | (84,613) |
Impairment and other net gain/(loss) on securities and other portfolio investments |  | (43,051) |  |  | 25 |  |  | 906 |  |  | (42,120) |
Net gain/(loss) on real estate owned |  | 917 |  |  | (5,389) |  |  | — |  |  | (4,472) |
Net gain/(loss) on derivatives |  | 69,408 |  |  | 7,278 |  |  | — |  |  | 76,686 |
Net gain/(loss) on securitized debt measured at fair value through earnings |  | 36,977 |  |  | 8,136 |  |  | — |  |  | 45,113 |
Lima One mortgage banking income |  | — |  |  | 16,027 |  |  | — |  |  | 16,027 |
Net realized gain/(loss) on residential whole loans held at carrying value |  | — |  |  | — |  |  | — |  |  | — |
Other, net |  | (50) |  |  | 2,474 |  |  | 4,755 |  |  | 7,179 |
Other Income/(Loss), net |  | $ | 12,514 |  |  | $ | (4,375) |  |  | $ | 5,661 |  |  | $ | 13,800 |
Compensation and benefits |  | $ | — |  |  | $ | 17,808 |  |  | $ | 22,343 |  |  | $ | 40,151 |
Other general and administrative expense |  | — |  |  | 8,398 |  |  | 16,918 |  |  | 25,316 |
Loan servicing, financing and other related costs |  | 7,389 |  |  | 4,523 |  |  | 8,072 |  |  | 19,984 |
Amortization of intangible assets |  | — |  |  | 600 |  |  | — |  |  | 600 |
Income/(loss) before income taxes |  | $ | 99,446 |  |  | $ | (5,902) |  |  | $ | (47,730) |  |  | $ | 45,814 |
Provision for/(benefit from) income taxes |  | — |  |  | — |  |  | — |  |  | — |
Net Income/(Loss) |  | $ | 99,446 |  |  | $ | (5,902) |  |  | $ | (47,730) |  |  | $ | 45,814 |
Less Preferred Stock Dividend Requirement |  | $ | — |  |  | $ | — |  |  | $ | 20,983 |  |  | $ | 20,983 |
Net Income/(Loss) Available to Common Stock and Participating Securities |  | $ | 99,446 |  |  | $ | (5,902) |  |  | $ | (68,713) |  |  | $ | 24,831 |
(In Thousands) |  | Mortgage-Related Assets |  | Lima One |  | Corporate |  | Total
Six months ended June 30, 2025 |  |  |  |  |  |  |  |
Interest Income |  | $ | 238,753 |  |  | $ | 125,102 |  |  | $ | 4,994 |  |  | $ | 368,849 |
Interest Expense |  | 161,783 |  |  | 79,171 |  |  | 9,082 |  |  | 250,036 |
Net Interest Income/(Expense) |  | $ | 76,970 |  |  | $ | 45,931 |  |  | $ | (4,088) |  |  | $ | 118,813 |
Reversal/(Provision) for Credit Losses on Residential Whole Loans |  | (936) |  |  | — |  |  | — |  |  | (936) |
Reversal/(Provision) for Credit Losses on Other Assets |  | — |  |  | — |  |  | — |  |  | — |
Net Interest Income/(Expense) after Reversal/(Provision) for Credit Losses |  | $ | 76,034 |  |  | $ | 45,931 |  |  | $ | (4,088) |  |  | $ | 117,877 |
Net gain/(loss) on residential whole loans measured at fair value through earnings |  | $ | 75,107 |  |  | $ | (658) |  |  | $ | — |  |  | $ | 74,449 |
Impairment and other net gain/(loss) on securities and other portfolio investments |  | 24,442 |  |  | (7) |  |  | 3,389 |  |  | 27,824 |
Net gain/(loss) on real estate owned |  | (1,305) |  |  | (3,114) |  |  | — |  |  | (4,419) |
Net gain/(loss) on derivatives |  | (40,852) |  |  | (8,454) |  |  | — |  |  | (49,306) |
Net gain/(loss) on securitized debt measured at fair value through earnings |  | (25,756) |  |  | (3,280) |  |  | — |  |  | (29,036) |
Lima One mortgage banking income |  | — |  |  | 11,524 |  |  | — |  |  | 11,524 |
Net realized gain/(loss) on residential whole loans held at carrying value |  | (882) |  |  | — |  |  | — |  |  | (882) |
Other, net |  | (1,195) |  |  | 5,475 |  |  | 2,328 |  |  | 6,608 |
Other Income/(Loss), net |  | $ | 29,559 |  |  | $ | 1,486 |  |  | $ | 5,717 |  |  | $ | 36,762 |
Compensation and benefits |  | $ | — |  |  | $ | 19,493 |  |  | $ | 23,072 |  |  | $ | 42,565 |
Other general and administrative expense |  | (22) |  |  | 9,243 |  |  | 11,691 |  |  | 20,912 |
Loan servicing, financing and other related costs |  | 9,032 |  |  | 2,944 |  |  | 3,860 |  |  | 15,836 |
Amortization of intangible assets |  | — |  |  | 1,600 |  |  | — |  |  | 1,600 |
Income/(loss) before income taxes |  | $ | 96,583 |  |  | $ | 14,137 |  |  | $ | (36,994) |  |  | $ | 73,726 |
Provision for/(benefit from) income taxes |  | — |  |  | — |  |  | (634) |  |  | (634) |
Net Income/(Loss) |  | $ | 96,583 |  |  | $ | 14,137 |  |  | $ | (36,360) |  |  | $ | 74,360 |
Less Preferred Stock Dividend Requirement |  | $ | — |  |  | $ | — |  |  | $ | 18,779 |  |  | $ | 18,779 |
Net Income/(Loss) Available to Common Stock and Participating Securities |  | $ | 96,583 |  |  | $ | 14,137 |  |  | $ | (55,139) |  |  | $ | 55,581 |
(In Thousands) |  | Mortgage-Related Assets |  | Lima One |  | Corporate |  | Total
June 30, 2026 |  |  |  |  |  |  |  |
Total Assets |  | $ | 11,186,791 |  |  | $ | 2,299,954 |  |  | $ | 166,947 |  |  | $ | 13,653,692 |
December 31, 2025 |  |  |  |  |  |  |  |
Total Assets |  | $ | 10,128,088 |  |  | $ | 2,632,740 |  |  | $ | 285,621 |  |  | $ | 13,046,449 |
Lima One Segment The Lima One segment includes the stand-alone mortgage origination and servicing business of Lima One, including related goodwill, intangible assets, and direct expenses, plus Lima One-related residential whole loans and REO (defined as both those owned by Lima One on the acquisition date and those originated by Lima One since the acquisition date) and the economics related thereto (including any related taxes and the economics of associated financing and hedging instruments), all as recorded under GAAP. Associated financing economics are equal to the results of direct financings of Lima One-related residential whole loans and REO plus allocations of the results of financings which include Lima One related residential whole loans and REO as part of their collateral, based on the relative carrying values of the financed assets. Associated hedging economics are equal to allocations of the Company’s overall hedging results based on the relative estimated duration of each asset class hedged and the relative fair values of assets within each asset class. Mortgage-Related Assets Segment This segment is comprised of the remainder of the Company’s investments (including any related taxes and the economics of associated financing and hedging instruments).

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