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RITM

Rithm Capital Corp.

RITM

Rithm Capital Corp. • NYSE
$11.49 ▼ -0.26% (-0.03)
Market Cap $6.08 B
52w High $12.74
52w Low $9.13
Dividend Yield 1.00%
P/E 7.87
Volume 2.37M
Outstanding Shares 529.18M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $1.334B ▲ $575.431M ▲ $221.538M ▼ 16.611% ▼ $0.36 ▼ $260M ▼
Q2-2025 $1.234B ▼ $403.62M ▼ $311.717M ▲ 25.253% ▲ $0.54 ▲ $748.737M ▲
Q1-2025 $1.322B ▲ $738.052M ▲ $63.2M ▼ 4.782% ▼ $0.07 ▼ $497.911M ▼
Q4-2024 $1.09B ▼ $66.669M ▼ $290.17M ▲ 26.621% ▲ $0.51 ▲ $948.294M ▲
Q3-2024 $1.628B $966.847M $121.742M 7.477% $0.2 $609.857M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $10.149B ▼ $47.165B ▲ $38.256B ▲ $8.499B ▲
Q2-2025 $10.445B ▼ $44.316B ▼ $35.996B ▼ $7.948B ▲
Q1-2025 $12.518B ▲ $45.33B ▼ $37.189B ▼ $7.776B ▼
Q4-2024 $11.17B ▼ $46.049B ▲ $38.163B ▲ $7.795B ▲
Q3-2024 $11.75B $42.276B $34.525B $7.657B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $228.798M ▼ $-2.042B ▼ $625.618M ▼ $1.511B ▲ $94.89M ▲ $-2.042B ▼
Q2-2025 $318.006M ▲ $-557.08M ▼ $1.901B ▲ $-1.284B ▼ $60.312M ▼ $-557.08M ▼
Q1-2025 $80.71M ▼ $1.421B ▲ $-1.304B ▼ $55.953M ▼ $172.763M ▲ $1.421B ▲
Q4-2024 $291.907M ▲ $-1.753B ▼ $-337.627M ▲ $2.005B ▲ $-85.603M ▼ $-1.759B ▼
Q3-2024 $123.581M $768.097M $-676.224M $349.824M $441.697M $767.753M

Revenue by Products

Product Q3-2024Q4-2024Q2-2025Q3-2025
Asset Management
Asset Management
 $80.00M ▲$440.00M ▲$100.00M ▼$80.00M ▼
Interest Revenue
Interest Revenue
 $550.00M ▲$1.40Bn ▲$480.00M ▼$450.00M ▼
Product and Service Other
Product and Service Other
 $60.00M ▲$170.00M ▲$50.00M ▼$60.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Rithm’s earnings profile shows a company in transition. After a tough pandemic year, profitability improved steadily for several years, with decent margins for a mortgage-focused business. However, the most recent year shows a sharp drop in revenue and a move back into an operating loss, even though reported net income still looks respectable. That mix suggests a lot is happening “below the operating line,” likely from fair‑value marks, one‑time items, and the early impact of the shift toward asset management. Overall, profits have recovered from crisis levels and are positive over the five‑year span, but the pattern is uneven and highlights that current earnings are sensitive to market conditions and accounting swings, not just steady, recurring fees.

Balance Sheet

Balance Sheet The balance sheet has grown meaningfully, with total assets and shareholder equity both moving up over time. This signals expansion and some buildup of capital, which is important for a leveraged financial business. At the same time, debt levels have also climbed significantly, and the model remains heavily reliant on borrowing—typical for a mortgage and credit platform, but still a central source of risk. The gradual improvement in equity provides a thicker cushion than in the past, yet the structure is still geared, so interest‑rate moves, funding costs, and access to credit markets remain key pressure points to watch.

Cash Flow

Cash Flow Cash generation is quite volatile. In some years, Rithm produced strong positive operating cash flow, while in the most recent year it swung to a sizeable cash outflow from operations, with free cash flow moving similarly. Capital spending itself is modest, so the swings are more about the nature of the mortgage and credit businesses—loan origination, securitizations, and working‑capital movements—than about heavy investment in physical assets. This kind of lumpiness is not unusual for the sector, but the latest negative cash flow underscores that reported earnings and cash reality can diverge meaningfully in the short term, and that funding and liquidity management are critical.

Competitive Edge

Competitive Edge Rithm is building a differentiated position by moving from a pure mortgage REIT toward a diversified alternative asset manager with an integrated mortgage platform. Controlling origination and servicing through Newrez and specialized lending via Genesis gives it direct access to assets and proprietary data, which many traditional asset managers do not have. Layering on acquisitions like Sculptor and Crestline adds institutional asset‑management capabilities and more diversified fee streams across credit, real estate, and private markets. This creates a broad, vertically integrated ecosystem that can generate and manage its own deal flow. On the other hand, Rithm competes against very large, well‑established managers and lenders. The strategy adds complexity and integration risk, and the business remains exposed to housing cycles, credit quality, and regulation, even as it diversifies away from pure mortgage spreads.

Innovation and R&D

Innovation and R&D Rithm’s “innovation” is primarily in its business model rather than in traditional lab‑style R&D. The company is building an owner‑operator platform that links origination, servicing, lending, and asset management into one coordinated system. This allows it to “manufacture” assets internally, use data from across the lifecycle of loans and investments, and package those assets into funds and vehicles for institutional and other investors. New structures—such as new non‑traded REITs, specialized lending platforms, and potential spin‑offs—are aimed at unlocking value and attracting different pools of capital. While specific proprietary technologies are not heavily publicized, the focus on integration, data use, and product design suggests a steady push to refine the platform. The flip side is that this strategy requires strong execution, systems integration, and regulatory navigation, which can be challenging as the organization becomes more complex.

Summary

Rithm today is a hybrid story: part traditional mortgage and credit platform, part emerging alternative asset manager. Over the past five years it has moved from crisis‑era losses to consistent profitability, although the latest year shows weaker revenue and operating results, emphasizing that earnings are still somewhat volatile and influenced by market conditions and non‑recurring items. The balance sheet has expanded with growing equity, but also higher debt, keeping leverage and funding risk at the center of the narrative. Cash flows are lumpy, reflecting the nature of mortgage and credit activities rather than steady, fee‑only income. Strategically, Rithm’s vertical integration and acquisitions give it a broader and potentially more resilient business mix than a typical mortgage REIT, with meaningful opportunities in private credit and alternative asset management. Success will depend on how well it digests acquisitions, executes the shift toward more fee‑based, capital‑light revenues, and manages interest‑rate and credit cycles while operating a complex, leveraged platform.

NEWS

November 19, 2025 · 3:46 PM UTC

KBRA Assigns Preliminary Ratings to New Residential Mortgage Loan Trust 2025-NQM6 (NRMLT 2025-NQM6)

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October 30, 2025 · 6:55 AM UTC

Rithm Capital Corp. Announces Third Quarter 2025 Results

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October 22, 2025 · 1:58 PM UTC

GreenBarn Investment Group and Sabal Investment Holdings Lead Refinancing of 817 Broadway in Manhattan

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October 16, 2025 · 4:15 PM UTC

Rithm Capital Corp. Schedules Third Quarter 2025 Earnings Release and Conference Call

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October 6, 2025 · 4:13 PM UTC

KBRA Assigns Preliminary Ratings to New Residential Mortgage Loan Trust 2025-NQM5 (NRMLT 2025-NQM5)

Read more