Onity Group Inc
onitygroup.comWhat Do They Do?
Services residential mortgages for financial institutions and mortgage investors, and originates forward and reverse mortgage loans for borrowers and third-party lenders.
10-K for FY2025, filed Feb 17, 2026
How Do They Make Money?
It earns monthly servicing and subservicing fees under agreements, plus some fees for other servicing work. It also earns gains when it sells or securitizes mortgage loans, generally soon after origination.
10-K for FY2025, filed Feb 17, 2026Servicing involves the collection of principal and interest payments from borrowers, the administration of tax and insurance escrow…View ↗
We own MSRs outright, where we typically receive all the servicing economics, and we subservice on behalf of other institutions that own…View ↗
The primary source of revenue in our Originations segment is gain on loan sales. We originate and purchase residential mortgage loans that…View ↗
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10-K for FY2025, filed Feb 17, 2026
FY2025 revenue by reportable segment ↗
$1.1B
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10-K for FY2025, filed Feb 17, 2026
$1.1B ↗
| Segment | Share | Revenue | How money arrives |
|---|---|---|---|
|
Servicing
Recurring
10-K for FY2025, filed Feb 17, 2026 |
85%
FY2022: 87%
|
Servicing, FY2025
$909.6M Sources
|
Recurring |
|
Lending
Sold outright
10-K for FY2025, filed Feb 17, 2026 |
15%
FY2022: 15%
|
Lending, FY2025
$157.1M Sources
|
Sold outright |
|
Corporate Segment and Other Operating Segment
|
0.0%
FY2022: 0.0%
|
Corporate Segment and Other Operating Segment, FY2025
$0 Sources
|
Who Are Their Customers?
Financial institutions, government-sponsored mortgage agencies and mortgage investors hire Onity to service loans. Borrowers can apply directly for mortgages, while correspondent lenders and brokers supply or originate loans through other channels.
10-K for FY2025, filed Feb 17, 2026Our Servicing business is primarily comprised of our residential forward mortgage servicing business that currently accounts for the…View ↗
The primary source of revenue in our Originations segment is gain on loan sales. We originate and purchase residential mortgage loans that…View ↗
Retail Lending / Consumer Direct. We originate forward and reverse mortgage loans directly with borrowers through our retail lending…View ↗
Correspondent Lending. Our correspondent lending operation purchases forward and reverse mortgage loans that have been originated by a…View ↗
Wholesale Lending. We originate reverse mortgage loans through a network of approved brokers. Brokers are subject to a formal approval and…View ↗
Do Revenues Turn Into Profits?
Yes. It kept 18 cents of every revenue dollar as net income in FY2025, but spent more cash than it brought in: free cash flow was −$750.9M.
How Are They Changing?
- Net income
-
Sources
10-Q for Q2 FY2026, filed Aug 6, 2026
−$11.9MView ↗
- ▼ Now a loss
- vs $21.5M in Q2 FY2025
10-Q for Q2 FY2026, filed Aug 6, 2026
Open tableView ↗
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Aug 6, 2026
Maintained adjusted return-on-equity guidance, expecting its lower end
It kept the 10%–15% adjusted return-on-equity range and said it expects the lower end.
Sources
8-K, filed Aug 6, 2026
Maintained adjusted ROE* guidance range at 10% - 15%, expected to be at the lower end of the range, in light of persistent geopolitical…View ↗
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Jul 1, 2026
Sold reverse mortgage assets and stopped originating reverse mortgages
It sold reverse servicing rights and the reverse-loan pipeline, stopped originating reverse mortgages, and agreed to subservice the sold loans.
Sources
8-K, filed Jul 1, 2026
The Company sold reverse mortgage servicing rights (“MSRs”) comprised of approximately 20,000 Ginnie Mae home equity conversion mortgage…View ↗
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May 5, 2026
Lowered adjusted return-on-equity guidance range
The range changed from 13%–15% to 10%–15%.
Sources
8-K, filed May 5, 2026
Updated adjusted ROE* guidance range to 10% - 15% from 13% - 15%, in light of ongoing rate volatility due to geopolitical eventsView ↗
Flat. Revenue was $1.1B in FY2025, about the same as the $1.1B of FY2021.
MAV ownership and servicing
The earlier report described MAV as a servicing joint venture; the later report says Onity sold its ownership stake and PHH remained the exclusive subservicer under an amended agreement.
10-K for FY2022, filed Feb 28, 2023 10-K for FY2025, filed Feb 17, 2026Our Servicing business is comprised of two components, our owned MSRs and our subservicing portfolio that complement each other when…View ↗
The Oaktree relationship included the launch of MAV, an MSR investment vehicle in 2021 to scale up Onity’s servicing business in a capital…View ↗
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