Fri, Aug 2, 10:14 AM (88 days ago)
Velocity Financial, Inc. reported solid financial performance for the quarter ended June 30, 2024, with notable increases in key metrics. The company's total loan portfolio reached $4.5 billion, reflecting a growth driven by increased loan originations and acquisitions. Interest income rose to $97.8 million, up from $74.9 million in the same quarter last year, primarily due to higher average loan balances and yields. Net interest income after provision for credit losses was $32.2 million, marking an increase from $25.0 million in the prior year. The provision for credit losses remained stable, reflecting effective credit risk management. Operating expenses increased to $34.9 million, largely due to higher compensation and securitization expenses. The company completed a securitization of $209.9 million of investor real estate loans in June 2024, enhancing its funding capabilities. Despite market uncertainties, Velocity Financial continues to demonstrate resilience and growth potential, supported by a diversified funding strategy and robust loan origination activities.