News Details

PONTIAC, Mich.--(BUSINESS WIRE)-- UWM Holdings Corporation (NYSE: UWMC), the publicly traded indirect parent of United Wholesale Mortgage (“UWM”), the #1 wholesale mortgage lender in America, today announced its results for the third quarter ended September 30, 2021. UWMC reported 3Q21 net income of $329.9 million and diluted earnings per share of $0.16. Loan origination volume for the quarter was a record of $63.0 billion, which included $26.5 billion in purchase volume. Net income for the third quarter was inclusive of a $170.5 million decline in fair value of mortgage servicing rights (MSRs).

Mat Ishbia, Chairman and CEO of UWMC, said: "UWM broke company records yet again in Q3 for overall originations and purchase originations, demonstrating continued momentum for both UWM and the broker channel. I'm proud of our newest technology launches, BOLT, The Source, and UWM Appraisal Direct. These enhancements are just another in a long line of technology initiatives that UWM has pioneered over the years for the benefit of independent mortgage brokers, and by extension, consumers that are wise enough to use them rather than our retail competitors. Now more than ever, the broker channel is the fastest, easiest and cheapest way for a consumer to get a mortgage."

Third Quarter 2021 Financial Highlights

• Originations of $63.0 billion, a 16% increase from $54.3 billion in 3Q20 and a 6% increase from $59.2 billion in 2Q21
• Purchase originations of $26.5 billion, a 119% increase compared to $12.1 billion in 3Q20 and a 10% increase from $24.1 billion in 2Q21
• Total gain margin of 94 bps in 3Q21 compared to 318 bps in 3Q20 and 81 bps in 2Q21
• Third quarter 2021 net income of $329.9 million inclusive of a $170.5 million decline in fair value of MSRs as compared to $1.5 billion of net income for 3Q20 inclusive of $68.9 million of expenses related to amortization, impairment, and pay-offs of MSRs and $138.7 million of net income for 2Q21 inclusive of a $219.1 million decline in fair value of MSRs
• Total equity of $3.0 billion at September 30, 2021 as compared to $2.0 billion at September 30, 2020 and $2.7 billion at June 30, 2021
• Unpaid principal balance of mortgage servicing rights increased to $284.9 billion at September 30, 2021 from $153.1 billion at September 30, 2020 and $260.5 billion at June 30, 2021
• Sale of MSRs in 3Q21 on loans with an aggregate unpaid principal balance of approximately $22.7 billion for proceeds of approximately $269.9 million
• Continued stock buyback, repurchasing 1,952,018 Class A shares in 3Q21; through September 30, 2021, total Class A shares repurchased by the Company of 2,742,617 for $21.0 million for an average price per share of $7.66

Production and Income Statement Highlights (dollars in thousands)
		Q3 2021				Q2 2021				Q3 2020
Closed loan volume(1)		$	63,004,342			$	59,210,747			$	54,289,429
Total gain margin(1)(2)		0.94		%		0.81		%		3.18		%
Net income		$	329,857			$	138,712			$	1,450,883
Adjusted net income(3)		254,672				106,841				1,109,048
Adjusted EBITDA(3)		290,382				209,651				1,391,204

	(1)	Key operational metric - see discussion below.
	(2)	Represents total loan production income divided by total production.
	(3)	Non-GAAP metric - see discussion below.

Balance Sheet Highlights as of Period-end (dollars in thousands)
		Q3 2021				Q2 2021				Q3 2020
Cash and cash equivalents		$	950,910			$	1,048,177			$	755,795
Mortgage loans at fair value		11,736,642				12,404,112				5,215,196
Mortgage servicing rights (fair value at Q3 2021 and Q2 2021; amortized cost at Q3 2020)(1)		2,900,310				2,662,556				1,411,272
Total assets		16,480,950				16,844,098				7,907,803
Non-funding debt (2)		1,580,143				1,548,088				346,225
Total equity		2,994,028				2,686,986				2,022,361
Non-funding debt to equity (2)		0.53				0.58				0.17

	(1)	The Company elected the fair value method of accounting for mortgage servicing rights effective January 1, 2021.
	(2)	Non-GAAP metric - please see discussion below.

Mortgage Servicing Rights (dollars in thousands)
		Q3 2021				Q2 2021				Q3 2020
Unpaid principal balance		$	284,918,293			$	260,514,602			$	153,113,808
Weighted average interest rate		2.95		%		2.97		%		3.32		%
Weighted average age (months)		8				7				4

Technology Update

• UWM launched three new technologies in Q3 which are intended to speed-up the loan process and help independent mortgage brokers grow their business:
  • BOLT allows broker clients to obtain an initial underwrite approval for qualified borrowers in as little as 15 minutes which will unlock underwriter capacity and ultimately drive down UWM's cost-per-loan.
  • UWM Appraisal Direct will streamline the appraisal process delivering faster appraisals and a long list of benefits to appraisers and borrowers alike to offer a better experience and relieve a key pain point in the mortgage industry.
  • The Source is a mortgage search engine that learns from past searches and allows for the creation of a personalized hub for every UWM broker client to customize and track the information most important to them from pricing matrices to GSE guidelines and even job aids on all of UWM's technology.

Operational and Community Highlights

• We maintained an average application to clear to close time (“Days to Close”) of approximately 19 days in 3Q21 while management estimates that the industry remains at an average of 43 days during the third quarter 2021, as released in the August ICE Mortgage Technology Origination Insight Report
• Our 1.01% 60+ days delinquency and our 0.83% forbearance rates, as of September 30, 2021, are significantly better than the industry averages of 3.91% and 2.62%, respectively, highlighting our strong credit quality
• Executed $1.17 billion in Private Label Securitization deals and sold MSRs on loans with an aggregate unpaid principal balance of approximately $22.7 billion for proceeds of approximately $269.9 million
• UWM celebrated National Mortgage Broker Day by inviting 100 mortgage brokers to ring the NYSE closing bell on July 21st

Product and Investor Mix - Unpaid Principal Balance of Originations (dollars in thousands)
Purchase:		Q3 2021				Q2 2021				Q3 2020
Conventional		$	18,633,123			$	17,439,162			$	10,373,521
Jumbo		3,368,094				3,151,864				—
Government		4,472,931				3,471,430				1,719,375
Total Purchase		$	26,474,148			$	24,062,456			$	12,092,896
Refinance:		Q3 2021				Q2 2021				Q3 2020
Conventional		$	31,353,081			$	30,143,310			$	37,115,641
Jumbo		2,244,459				2,737,040				4,605
Government		2,932,654				2,267,940				5,076,287
Total Refinance		$	36,530,194			$	35,148,290			$	42,196,533
Total Originations		$	63,004,342			$	59,210,746			$	54,289,429

Chairman and CEO of UWMC, Mat Ishbia, added: “As the mortgage market shifts from heavy refinance to more purchase, UWM and the wholesale channel, are uniquely positioned to best serve the needs of the American consumer as a team. Brokers, by nature, are embedded in their local housing markets and UWM provides them elite technology, speed, and service, especially on purchase loans. Technologies like BOLT and UWM Appraisal Direct will continue to fuel broker channel growth for years to come.”

Fourth Quarter 2021 Outlook

We anticipate fourth quarter production to be in the $52-$60 billion range, with expected gain margin between 85 and 105 bps.

Dividend

Subsequent to September 30, 2021, for the fourth consecutive quarter, the UWMC Board of Directors declared a cash dividend of $0.10 per share on the outstanding shares of Class A common stock. The dividend is payable on January 6, 2022 (the “Dividend Payment Date”) to stockholders of record at the close of business on December 10, 2021. On or before the Dividend Payment Date, the Board, in its capacity as the Manager of UWM Holdings LLC ("Holdings LLC") and pursuant to its authority under the Holdings LLC Amended and Restated Operating Agreement, will determine whether to (a) make distributions from Holdings LLC to only UWM Holdings Corporation, as the owner of the Class A Units of Holdings LLC with the proportional amount due to SFS Holding Corp. ("SFS Corp.") as the owner of the Class B Units of Holdings LLC, being distributed upon the sooner to occur of (i) the Board making a determination to do so or (ii) the date on which Class B Units of Holdings LLC are converted into shares of Class B common stock of UWMC or (b) make proportional and simultaneous distributions from Holdings LLC to both UWM Holdings Corporation, as the owner of the Class A Units of Holdings LLC and to SFS Corp. as the owner of the Class B Units of Holdings LLC.

Earnings Conference Call Details

As previously announced, UWMC will hold a conference call for financial analysts and investors on Tuesday, November 9 at 9:00 AM ET to review the results and answer questions. Interested parties may register for a toll-free dial-in number by visiting:

• https://conferencingportals.com/event/YModynrv

Please dial in at least 15 minutes in advance to ensure a timely connection to the call. Audio webcast, taped replay and transcript will be available on the UWMC investor relations website at https://investors.uwm.com/.

Key Operational Metrics

“Closed loan volume” and “Total gain margin” are key operational metrics that UWMC management uses to evaluate the performance of the business. “Closed loan volume” is the aggregate principal of the residential mortgage loans originated by UWMC during a period. “Total gain margin” represents total loan production income divided by total loan production.

Non-GAAP Metrics

UWMC's net income for periods prior to the first quarter of 2021 does not reflect a significant income tax provision, since UWM (UWMC's accounting predecessor) is a pass-through entity not subject to federal and most state income taxes. For periods commencing with the first quarter of 2021, UWMC's net income does not reflect the income tax provision that would otherwise be reflected if 100% of the economic interest in UWM was owned by UWMC. Therefore, for comparison purposes, UWMC provides “Adjusted net income”, which is our pre-tax income adjusted for a 23.60% estimated annual effective tax rate. “Adjusted net income” is a Non-GAAP Metric.

We also disclose Adjusted EBITDA, which we define as earnings before interest expense on non-funding debt, provision for income taxes, depreciation and amortization of premises and equipment, stock-based compensation expense, the change in fair value of MSRs due to valuation inputs or assumptions (for periods subsequent to the election of the fair value method accounting for MSRs), and the impairment or recovery of MSRs (for periods prior to the election of the fair value method of accounting for MSRs), the impact of non-cash deferred compensation expense, the change in fair value of Public and Private Warrants, and the change in Tax Receivable Agreement liability. We exclude the change in Tax Receivable Agreement liability, the change in fair value of Public and Private Warrants and the change in fair value of MSRs due to valuation inputs or assumptions, or impairment or recovery of MSRs prior to the election of the fair value method of accounting for MSRs, as these represent non-cash, non-realized adjustments to our earnings, which are not indicative of our performance or results of operations. Adjusted EBITDA includes interest expense on funding facilities, which are recorded as a component of interest expense, as these expenses are a direct operating expense driven by loan origination volume. By contrast, interest expense on non-funding debt is a function of our capital structure and is therefore excluded from Adjusted EBITDA.

In addition, we disclose “Non-funding debt” and the “Non-funding debt to equity ratio” as a Non-GAAP metric. We define “Non-funding debt” as the total of UWMC's senior notes, operating lines of credit, borrowings against investment securities, equipment note payable, and finance leases as reported on our balance sheet, and the “Non-funding debt to equity ratio” as total Non-funding debt divided by UWMC’s total equity.

Management believes that these Non-GAAP metrics provide useful information to investors. These measures are not financial measures calculated in accordance with GAAP and should not be considered as a substitute for any other operating performance measure calculated in accordance with GAAP, and may not be comparable to a similarly titled measure reported by other companies.

The following table presents these non-GAAP financial measures along with their most directly comparable financial measure calculated in accordance with GAAP (dollars in thousands):

Adjusted net income		Q3 2021				Q2 2021				Q3 2020
Earnings before income taxes		$	333,340			$	140,174			$	1,451,633
Impact of estimated annual effective tax rate of 23.60%		(78,668		)		(33,081		)		(342,585		)
Adjusted net income		$	254,672			$	107,093			$	1,109,048
Adjusted EBITDA		Q3 2021				Q2 2021				Q3 2020
Net income		$	329,857			$	138,712			$	1,450,883
Interest expense on non-funding debt		22,034				22,292				4,374
Provision for income taxes		3,483				1,462				750
Depreciation and amortization		9,034				8,353				2,749
Stock-based compensation expense		2,126				2,327				—
Change in fair value of MSRs due to valuation inputs or assumptions		(61,477		)		38,035				—
Recovery of MSRs		—				—				(84,519		)
Deferred compensation, net		(5,965		)		—				16,967
Change in fair value of Public and Private Warrants		(12,110		)		(1,530		)		—
Change in Tax Receivable Agreement liability		3,400				—				—
Adjusted EBITDA		$	290,382			$	209,651			$	1,391,204
Non-funding debt and non-funding debt to equity		Q3 2021				Q2 2021				Q3 2020
Senior notes		$	1,484,370			$	1,483,587			$	—
Borrowings against investment securities		32,560				—				—
Operating lines of credit		—				—				320,300
Equipment note payable		2,343				2,583				25,925
Finance lease liability		60,871				61,918				—
Total non-funding debt		$	1,580,143			$	1,548,088			$	346,225
Total equity		$	2,994,028			$	2,686,986			$	2,022,361
Non-funding debt to equity		0.53				0.58				0.17

Forward Looking Statements

This press release and our earnings call include forward-looking statements. These forward-looking statements are generally identified by the use of words such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” and similar words indicating that these reflect our views with respect to future events. Forward-looking statements in this press release include statements regarding: (1) our foundation and strategies for growth and the drivers of that growth; (2) our “All-In” initiative and its impact on our business and industry; (3) our performance in shifting market conditions and the comparison of such performance against our competitors; (4) growth of the wholesale channel and the benefits to our business of such growth; (5) our investments in technology and the impact to our operations and financial results; (6) our purchase production and product mix; and (7) our anticipated ranges for production volume and margin in the third quarter of 2021. These statements are based on management’s current expectations, but are subject to risks and uncertainties, many of which are outside of our control, and could cause future events or results materially differ from those stated or implied in the forward-looking statements, including (i) UWM’s dependence on macroeconomic and U.S. residential real estate market conditions, including changes in U.S. monetary policies that affect interest rates; (ii) UWM’s reliance on its warehouse facilities and the risk of a decrease in the value of the collateral underlying certain of its facilities causing an unanticipated margin call; (iii) UWM’s ability to sell loans in the secondary market; (iv) UWM’s dependence on the government sponsored entities such as Fannie Mae and Freddie Mac; (v) changes in the GSEs’, FHA, USDA and VA guidelines or GSE and Ginnie Mae guarantees; (vi) UWM’s dependence on Independent Mortgage Advisors to originate mortgage loans; (vii) the risk that an increase in the value of the MBS UWM sells in forward markets to hedge its pipeline may result in an unanticipated margin call; (viii) UWM’s inability to continue to grow, or to effectively manage the growth of, its loan origination volume; (ix) UWM’s ability to continue to attract and retain its Independent Mortgage Advisor relationships; (x) UWM’s ability to implement technological innovation; (xi) UWM’s ability to continue to comply with the complex state and federal laws regulations or practices applicable to mortgage loan origination and servicing in general; and (xii) other risks and uncertainties indicated from time to time in our filings with the Securities and Exchange Commission including those under “Risk Factors” therein. With respect to expectations regarding the share repurchase program, the amount and timing of share repurchases will depend upon, among other things, market conditions, share price, liquidity targets, regulatory requirements. We wish to caution readers that certain important factors may have affected and could in the future affect our results and could cause actual results for subsequent periods to differ materially from those expressed in any forward-looking statement made by or on behalf of us. We undertake no obligation to update forward-looking statements to reflect events or circumstances after the date hereof.

About UWM Holdings Corporation and United Wholesale Mortgage

Headquartered in Pontiac, Michigan, UWM Holdings Corporation is the publicly traded indirect parent of United Wholesale Mortgage (“UWM”). UWM is the #1 wholesale lender in the nation six years in a row, providing state-of-the-art technology and unrivaled client service. UWM underwrites and provides closing documentation for residential mortgage loans originated by independent mortgage brokers, correspondents, small banks and local credit unions. UWM focuses on providing highly efficient, accurate and expeditious lending support. UWM’s exceptional teamwork and focus on technology result in the delivery of innovative mortgage solutions that drive the company’s ongoing growth in market share and its leadership position as the foremost advocate for independent mortgage brokers. For more information, visit www.uwm.com.

UWM HOLDINGS CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except shares and per share amounts)
	September 30, 2021				December 31, 2020
Assets	(Unaudited)
Cash and cash equivalents	$	950,910			$	1,223,837
Mortgage loans at fair value	11,736,642				7,916,515
Derivative assets	143,807				61,072
Investment securities at fair value, pledged	41,809				—
Accounts receivable, net	340,028				253,600
Mortgage servicing rights	2,900,310				1,756,864
Premises and equipment, net	145,774				107,572
Operating lease right-of-use asset, net (includes $105,594 and $92,571 with related parties)	105,902				93,098
Finance lease right-of-use asset (includes $29,129 and $0 with related parties)	60,113				22,929
Other assets	55,655				57,989
Total assets	$	16,480,950			$	11,493,476
Liabilities and Equity
Warehouse lines of credit	$	10,487,950			$	6,941,397
Accounts payable and accrued expenses	1,229,483				847,745
Accrued distributions and dividends payable	10,087				—
Derivative liabilities	61,434				66,237
Borrowings against investment securities	32,560				—
Equipment note payable	2,343				26,528
Operating lines of credit	—				320,300
Senior notes	1,484,370				789,323
Operating lease liability (includes $117,516 and $104,006 with related parties)	117,824				104,534
Finance lease liability (includes $29,462 and $0 with related parties)	60,871				23,132
Total liabilities	13,486,922				9,119,196
Equity:
Preferred stock, $0.0001 par value - 100,000,000 shares authorized, none issued and outstanding as of September 30, 2021	—				—
Class A common stock, $0.0001 par value - 4,000,000,000 shares authorized, 100,367,478 shares issued and outstanding as of September 30, 2021	10				—
Class B common stock, $0.0001 par value - 1,700,000,000 shares authorized, none issued and outstanding as of September 30, 2021	—				—
Class C common stock, $0.0001 par value - 1,700,000,000 shares authorized, none issued and outstanding as of September 30, 2021	—				—
Class D common stock, $0.0001 par value - 1,700,000,000 shares authorized, 1,502,069,787 shares issued and outstanding as of September 30, 2021	150				—
Additional paid-in capital	313				24,839
Retained earnings	129,815				2,349,441
Non-controlling interest	2,863,740				—
Total equity	2,994,028				2,374,280
Total liabilities and equity	$	16,480,950			$	11,493,476

UWM HOLDINGS CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except shares and per share amounts) (Unaudited)
	For the three months ended												For the nine months ended
	September 30, 2021				June 30, 2021				September 30, 2020				September 30, 2021				September 30, 2020
Revenue
Loan production income	$	589,461			$	479,274			$	1,723,981			$	2,143,400			$	2,884,162
Loan servicing income	174,695				145,278				70,503				443,762				182,656
Change in fair value of mortgage servicing rights	(170,462		)		(219,104		)		—				(448,825		)		—
Gain (loss) on sale of mortgage servicing rights	(5,443		)		10				(324		)		(670		)		(65,821		)
Interest income	102,063				79,194				40,041				227,169				119,308
Total revenue, net	690,314				484,652				1,834,201				2,364,836				3,120,305
Expenses
Salaries, commissions and benefits	164,971				172,951				206,174				550,983				462,706
Direct loan production costs	18,980				15,518				16,685				47,660				39,864
Marketing, travel, and entertainment	14,138				12,157				3,608				37,138				13,913
Depreciation and amortization	9,034				8,353				2,749				24,676				8,071
Servicing costs	29,192				23,067				15,320				72,767				41,286
Amortization, impairment and pay-offs of mortgage servicing rights	—				—				68,928				—				357,728
General and administrative	39,148				41,289				28,484				96,867				70,835
Interest expense	90,221				72,673				40,620				215,884				113,683
Other (income)/expense	(8,710		)		(1,530		)		—				(27,544		)		—
Total expenses	356,974				344,478				382,568				1,018,431				1,108,086
Earnings before income taxes	333,340				140,174				1,451,633				1,346,405				2,012,219
Provision for income taxes	3,483				1,462				750				17,831				1,500
Net income	329,857				138,712				1,450,883				1,328,574				2,010,719
Net income attributable to non-controlling interest	304,611				130,448				N/A				$	1,247,079			N/A
Net income attributable to UWMC	$	25,246			$	8,264			N/A				$	81,495			N/A
Earnings per share of Class A common stock:
Basic	$	0.25			$	0.08			N/A				$	0.80			N/A
Diluted	$	0.16			$	0.07			N/A				$	0.55			N/A
Weighted average shares outstanding:
Basic	101,106,023				102,760,823				N/A				102,247,594				N/A
Diluted	1,603,710,511				1,605,067,478				N/A				1,604,567,758				N/A

Addendum to Exhibit 99.1

This addendum includes the Company's Condensed Consolidated Balance Sheets as of September 30, 2021 and the preceding four quarters and Statements of Operations for the quarter ended September 30, 2021 and the preceding four quarters, for purposes of providing historical quarterly trending information to investors.

CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except shares and per share amounts)
	September 30, 2021			June 30, 2021			March 31, 2021			December 31, 2020			September 30, 2020
Assets	(Unaudited)			(Unaudited)			(Unaudited)						(Unaudited)
Cash and cash equivalents	$	950,910		$	1,048,177		$	1,592,663		$	1,223,837		$	755,795
Mortgage loans at fair value	11,736,642			12,404,112			5,503,271			7,916,515			5,215,196
Derivative assets	143,807			75,438			113,168			61,072			51,053
Investment securities at fair value, pledged	41,809			—			—			—			—
Accounts receivable, net	340,028			317,458			549,381			253,600			246,862
Mortgage servicing rights	2,900,310			2,662,556			2,300,434			1,756,864			1,411,272
Premises and equipment, net	145,774			130,864			111,964			107,572			51,548
Operating lease right-of-use asset, net	105,902			87,130			87,896			93,098			109,680
Finance lease right-of-use asset	60,113			61,356			54,456			22,929			—
Other assets	55,655			57,007			59,393			57,989			66,397
Total assets	$	16,480,950		$	16,844,098		$	10,372,626		$	11,493,476		$	7,907,803
Liabilities and Equity
Warehouse lines of credit	$	10,487,950		$	11,249,213		$	4,823,740		$	6,941,397		$	4,913,206
Accounts payable and accrued expenses	1,229,483			1,018,536			1,185,499			847,745			462,074
Accrued dividends payable	10,087			160,444			160,517			—			—
Derivative liabilities	61,434			82,551			55,479			66,237			41,498
Borrowings against investment securities	32,560			—			—			—			—
Equipment note payable	2,343			2,583			25,424			26,528			25,925
Operating lines of credit	—			—			400,000			320,300			320,300
Senior notes	1,484,370			1,483,587			789,870			789,323			—
Operating lease liability	117,824			98,280			99,188			104,534			122,439
Finance lease liability	60,871			61,918			54,873			23,132			—
Total liabilities	13,486,922			14,157,112			7,594,590			9,119,196			5,885,442
Equity:
Preferred stock, $0.0001 par value - 100,000,000 shares authorized, none issued and outstanding as of September 30, 2021	—			—			—			—			—
Class A common stock, $0.0001 par value - 4,000,000,000 shares authorized, 100,367,478 shares issued and outstanding as of September 30, 2021	10			10			10			—			—
Class B common stock, $0.0001 par value - 1,700,000,000 shares authorized, none issued and outstanding as of September 30, 2021	—			—			—			—			—
Class C common stock, $0.0001 par value - 1,700,000,000 shares authorized, none issued and outstanding as of September 30, 2021	—			—			—			—			—
Class D common stock, $0.0001 par value - 1,700,000,000 shares authorized, 1,502,069,787 shares issued and outstanding as of September 30, 2021	150			150			150			—			—
Additional paid-in capital	313			187			—			24,839			24,839
Retained earnings	129,815			109,397			113,078			2,349,441			1,997,522
Non-controlling interest	2,863,740			2,577,242			2,664,798			—			—
Total equity	2,994,028			2,686,986			2,778,036			2,374,280			2,022,361
Total liabilities and equity	$	16,480,950		$	16,844,098		$	10,372,626		$	11,493,476		$	7,907,803

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except shares and per share amounts) (Unaudited)
	For the three months ended
	September 30, 2021			June 30, 2021			March 31, 2021			December 31, 2020			September 30, 2020
Revenue
Loan production income	$	589,461		$	479,274		$	1,074,665		$	1,667,252		$	1,723,981
Loan servicing income	174,695			145,278			123,789			105,648			70,503
Change in fair value of mortgage servicing rights	(170,462		)	(219,104		)	(59,259		)	—			—
Gain (loss) on sale of mortgage servicing rights	(5,443		)	10			4,763			3,538			(324		)
Interest income	102,063			79,194			45,912			41,852			40,041
Total revenue, net	690,314			484,652			1,189,870			1,818,290			1,834,201
Expenses
Salaries, commissions and benefits	164,971			172,951			213,061			89,437			206,174
Direct loan production costs	18,980			15,518			13,162			14,595			16,685
Marketing, travel, and entertainment	14,138			12,157			10,843			6,454			3,608
Depreciation and amortization	9,034			8,353			7,289			8,749			2,749
Servicing costs	29,192			23,067			20,508			29,549			15,320
Amortization, impairment and pay-offs of mortgage servicing rights	—			—			—			215,390			68,928
General and administrative	39,148			41,289			16,430			28,022			28,484
Interest expense	90,221			72,673			52,990			53,353			40,620
Other (income) expense	(8,710		)	(1,530		)	(17,304		)	—			—
Total expenses	356,974			344,478			316,979			445,549			382,568
Earnings before income taxes	333,340			140,174			872,891			1,372,741			1,451,633
Provision for income taxes	3,483			1,462			12,886			950			750
Net income	329,857			138,712			860,005			1,371,791			1,450,883
Net income attributable to non-controlling interest	304,611			130,448			812,020			N/A			N/A
Net income attributable to UWMC	$	25,246		8,264			47,985			N/A			N/A
Earnings per share of Class A common stock:
Basic	$	0.25		$	0.08		$	0.47		N/A			N/A
Diluted	$	0.16		$	0.07		$	0.33		N/A			N/A
Weighted average shares outstanding:
Basic	101,106,023			102,760,823			103,104,205			N/A			N/A
Diluted	1,603,710,511			1,605,067,478			1,605,173,992			N/A			N/A

 

Source: UWM Holdings Corporation