Business
Altisource Announces Fourth Quarter and Full Year 2021 Financial Results
LUXEMBOURG, March 03, 2022 (GLOBE NEWSWIRE) -- Altisource Portfolio Solutions S.A. (“Altisource” or the “Company”) (NASDAQ: ASPS), a leading provider and
About this update from Altisource Portfolio Solutions S.a.
[{"type":"text","content":"LUXEMBOURG, March 03, 2022 (GLOBE NEWSWIRE) -- Altisource Portfolio Solutions S.A. (“Altisource” or the “Company”) (NASDAQ: ASPS), a leading provider and marketplace for the real estate and mortgage industries, today reported financial results for the fourth quarter and full year 2021. “Altisource demonstrated resiliency during 2021, a year defined by challenges from the pandemic and related borrower relief programs that significantly impacted our revenue and Adjusted earnings. We strengthened our balance sheet with the fourth quarter sale of Pointillist. We ended 2021 with $98.1 million in cash and $149.1 million of net debt representing a 68% increase in cash and a 21% reduction in net debt compared to 2020,” said Chairman and Chief Executive Officer William B. Shepro. Mr. Shepro further commented, “We believe we are poised to return to revenue growth in 2022 with quarterly year-over-year revenue forecasted to grow over the same period in 2021 beginning with the third quarter. The growth reflects the anticipated tailwinds in our Default business from the recent termination of the temporary pandemic related borrower relief programs and launch of new solutions, customer wins, and greater product adoption in our Origination business. With the expected revenue growth and benefit of our prior cost reduction initiatives, we anticipate we will generate positive Adjusted EBITDA for the second half of 2022.” 2021 Highlights(1) Corporate and Financial: Ended 2021 with $98.1 million of cash and cash equivalents, a 68% increase from December 31, 2020Ended 2021 with $149.1 million of net debt(2), a 21% decrease from December 31, 2020On December 1, 2021 Altisource sold all of its equity interest in Pointillist, Inc. (“Pointillist”). Altisource received approximately $106.0 million from the sale of its Pointillist equity and the collection of outstanding receivables, with $102.2 million received at closing, approximately $0.3 million deposited into the Working Capital Escrow and approximately $3.5 million deposited into the Indemnification Escrow. We recognized a pre-tax and after-tax gain of $88.9 million from the saleThe Company reduced 2021 cash operating costs (excluding outside fees and services) by $49.3 million, representing a 25% reduction from 2020The Company announced on July 29, 2021 that it was evaluating ways to enhance sharehol...