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Segment Information (Tables)

9 Months Ended

Sep. 30, 2025

Segment Reporting [Abstract]

Schedule of Business Segment Financial Information

The following tables present financial information by segment for the three and nine months ended September 30, 2025 and 2024.

Table 4.1 – Business Segment Financial Information

						Three Months Ended September 30, 2025
(In Thousands)						Sequoia Mortgage Banking						CoreVest Mortgage Banking						Redwood Investments						Legacy Investments						Corporate/ Other						Total
Interest income						$	47,890					$	4,052					$	225,521					$	21,476					$	592					$	299,531
Interest expense						(26,657)						(2,554)						(207,939)						(30,528)						(16,859)						(284,537)
Net interest income (expense)						21,233						1,498						17,582						(9,052)						(16,267)						14,994
Non-interest income
Mortgage banking activities, net, excluding risk management derivatives						31,145						11,395						—						—						—						42,540
Risk management derivatives (losses) gains, net (1)						(2,426)						18						—						—						—						(2,408)
Total Mortgage banking activities, net						28,719						11,413						—						—						—						40,132
Investment fair value changes, net, excluding risk management derivatives						—						—						(1,682)						(4,891)						1,512						(5,061)
Risk management derivatives (losses) gains, net (1)						—						—						(60)						(1,850)						—						(1,910)
Total Investment fair value changes, net						—						—						(1,742)						(6,741)						1,512						(6,971)
HEI income (loss), net						—						—						745						(291)						—						454
Servicing income, net						—						—						1,416						—						—						1,416
Fee income (loss), net						—						5,247						270						(938)						—						4,579
Other income (loss), net						—						(928)						392						(532)						885						(183)
Realized gains, net						—						—						—						—						(48)						(48)
Total non-interest income (loss), net						28,719						15,732						1,081						(8,502)						2,349						39,379
General and administrative expenses						(7,774)						(9,971)						(1,599)						(23)						(19,340)						(38,707)
Portfolio management costs						—						—						(3,524)						(3,426)						(31)						(6,981)
Loan acquisition costs						(2,395)						(1,804)						—						(156)						—						(4,355)
Other expenses						—						(2,011)						(3,170)						(500)						—						(5,681)
(Provision for) benefit from income taxes						(5,464)						48						(30)						(571)						(336)						(6,353)
Net Income (Loss) (2)						$	34,319					$	3,492					$	10,340					$	(22,230)					$	(33,625)					$	(7,704)
Total Assets						$	2,659,250					$	393,790					$	16,906,766					$	2,305,179					$	335,781					$	22,600,766

(1)Represents market valuation changes of derivatives that were used to manage risks associated with our mortgage banking operations, Redwood Investments and Legacy Investments. Mortgage banking activities, net, 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 (Loss).

						Nine Months Ended September 30, 2025
(In Thousands)						Sequoia Mortgage Banking						CoreVest Mortgage Banking						Redwood Investments						Legacy Investments						Corporate/ Other						Total
Interest income						$	116,594					$	12,182					$	646,834					$	79,077					$	1,274					$	855,961
Interest expense						(61,498)						(6,846)						(585,540)						(95,741)						(49,566)						(799,191)
Net interest income (expense)						55,096						5,336						61,294						(16,664)						(48,292)						56,770
Non-interest income
Mortgage banking activities, net, excluding risk management derivatives						9,877						40,596						—						—						—						50,473
Risk management derivatives gains (losses), net (1)						65,389						(1,820)						—						—						—						63,569
Total Mortgage banking activities, net						75,266						38,776						—						—						—						114,042
Investment fair value changes, net, excluding risk management derivatives						—						—						(51,307)						(82,567)						1,300						(132,574)
Risk management derivatives gains (losses), net (1)						—						—						44,190						(8,479)						—						35,711
Total Investment fair value changes, net						—						—						(7,117)						(91,046)						1,300						(96,863)
HEI income (loss), net						—						—						926						(3,205)						—						(2,279)
Servicing income, net						—						—						6,431						—						—						6,431
Fee income (loss), net						—						11,109						823						(2,793)						—						9,139
Other income (loss), net						—						1,468						1,156						(532)						(373)						1,719
Realized gains, net						—						—						1,207						—						(48)						1,159
Total non-interest income (loss), net						75,266						51,353						3,426						(97,576)						879						33,348
General and administrative expenses						(21,325)						(30,786)						(4,477)						(95)						(56,478)						(113,161)
Portfolio management costs						—						—						(8,178)						(15,291)						(31)						(23,500)
Loan acquisition costs						(4,733)						(7,816)						—						(155)						—						(12,704)
Other expenses						—						(6,416)						(6,709)						(500)						—						(13,625)
(Provision for) benefit from income taxes						(22,015)						975						1,841						1,964						58						(17,177)
Net Income (Loss) (2)						$	82,289					$	12,646					$	47,197					$	(128,317)					$	(103,864)					$	(90,049)
Total Assets						$	2,659,250					$	393,790					$	16,906,766					$	2,305,179					$	335,781					$	22,600,766

(1)Represents market valuation changes of derivatives that were used to manage risks associated with our mortgage banking operations, Redwood Investments and Legacy Investments. Mortgage banking activities, net, 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.

						Three Months Ended September 30, 2024
(In Thousands)						Sequoia Mortgage Banking						CoreVest Mortgage Banking						Redwood Investments						Legacy Investments						Corporate/ Other						Total
Interest income						$	26,318					$	4,868					$	177,136					$	39,921					$	400					$	248,643
Interest expense						(16,770)						(3,099)						(150,238)						(38,445)						(14,593)						(223,145)
Net interest income (expense)						9,548						1,769						26,898						1,476						(14,193)						25,498
Non-interest income (loss)
Mortgage banking activities, net, excluding risk management derivatives						(7,336)						12,303						—						—						—						4,967
Risk management derivatives gains, net (1)						34,051						551						—						—						—						34,602
Total Mortgage banking activities, net						26,715						12,854						—						—						—						39,569
Investment fair value changes, net, excluding risk management derivatives						—						—						(9,127)						6,312						(236)						(3,051)
Risk management derivatives (losses), net (1)						—						—						—						(9,151)						—						(9,151)
Total Investment fair value changes, net						—						—						(9,127)						(2,839)						(236)						(12,202)
HEI income, net						—						—						32						10,695						—						10,727
Servicing income, net						—						—						251						—						—						251
Fee income, net						—						5,434						64						(865)						155						4,788
Other income (loss), net						—						—						932						—						(52)						880
Realized gains, net						—						—						211						—						—						211
Total non-interest income (loss), net						26,715						18,288						(7,637)						6,991						(133)						44,224
General and administrative expenses						(5,240)						(9,306)						(1,861)						—						(19,601)						(36,008)
Portfolio management costs						—						—						(1,550)						(4,791)						(15)						(6,356)
Loan acquisition costs						(1,291)						(1,885)						—						—						—						(3,176)
Other expenses						—						(2,202)						(26)						—						—						(2,228)
(Provision for) Benefit from income taxes						(6,977)						(981)						606						—						224						(7,128)
Net Income (Loss) (2)						$	22,755					$	5,683					$	16,430					$	3,676					$	(33,718)					$	14,826
Total Assets						$	1,543,380					$	357,432					$	12,815,147					$	3,337,646					$	373,821					$	18,427,426

(1)Represents market valuation changes of derivatives that were used to manage risks associated with our mortgage banking operations and Legacy Investments. Mortgage banking activities, net, 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.

						Nine Months Ended September 30, 2024
(In Thousands)						Sequoia Mortgage Banking						CoreVest Mortgage Banking						Redwood Investments						Legacy Investments						Corporate/ Other						Total
Interest income						$	61,728					$	15,647					$	471,952					$	126,744					$	2,729					$	678,800
Interest expense						(34,958)						(11,480)						(397,286)						(117,131)						(42,944)						(603,799)
Net interest income (expense)						26,770						4,167						74,666						9,613						(40,215)						75,001
Non-interest income (loss)
Mortgage banking activities, net, excluding risk management derivatives						15,666						29,569						—						—						—						45,235
Risk management derivatives gains, net (1)						25,121						2,693						—						—						—						27,814
Total Mortgage banking activities, net						40,787						32,262						—						—						—						73,049
Investment fair value changes, net, excluding risk management derivatives						—						—						33,478						(21,967)						(1,037)						10,474
Risk management derivatives (losses) gains, net (1)						—						—						(1,967)						2,226						—						259
Total Investment fair value changes, net						—						—						31,511						(19,741)						(1,037)						10,733
HEI income, net						—						—						32						35,664						—						35,696
Servicing income, net						—						—						8,025						—						—						8,025
Fee income, net						—						7,233						797						(733)						155						7,452
Other income (loss), net						—						—						2,139						—						(997)						1,142
Realized gains, net						—						—						525						—						95						620
Total non-interest income (loss), net						40,787						39,495						43,029						15,190						(1,784)						136,717
General and administrative expenses						(14,986)						(30,407)						(6,024)						(53)						(52,391)						(103,861)
Portfolio management costs						—						—						(3,760)						(11,017)						(40)						(14,817)
Loan acquisition costs						(2,843)						(5,982)						(14)						(238)						—						(9,077)
Other expenses						—						(7,210)						(3,556)						—						—						(10,766)
(Provision for) Benefit from income taxes						(10,031)						706						(3,454)						—						204						(12,575)
Net Income (Loss) (2)						$	39,697					$	769					$	100,887					$	13,495					$	(94,226)					$	60,622
Total Assets						$	1,543,380					$	357,432					$	12,815,147					$	3,337,646					$	373,821					$	18,427,426

(1)Represents market valuation changes of derivatives that were used to manage risks associated with our mortgage banking operations and Legacy Investments. Mortgage banking activities, net, 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.

X

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 25
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-25

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-22

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-30

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- References

No definition available.

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