Rocket Companies, Inc. · NYSE:RKT
Rocket Companies — Q1 2025 Earnings Presentation
38 slides from Rocket Companies's earnings presentation, May 8, 2025
Slide 1: Investor Presentation
Investor Presentation May 2025 Investor Presentation | May 2025 1 of 38
Slide 2: Disclaimer
Disclaimer This presentation contains and related discussions may contain “forward-looking statements” within the meaning of U.S. federal securities laws. Forward-looking statements include information concerning possible or assumed future results of operations, Rocket Companies, Inc.’s (the ”Compan
Slide 3: Table of contents
Table of contents 1 Overview | 4 - 6 2 Massive market opportunity | 7 - 11 3 The Rocket Platform | 12-22 4 Proven leadership and culture | 23-25 5 Financials | 26-29 Investor Presentation | May 2025 3 of 38
Slide 4: Overview
1 Overview Investor Presentation | May 2025 4 of 38
Slide 5: Rocket is on a mission to Help Everyone Home
Overview Rocket is on a mission to Help Everyone Home Investor Presentation | May 2025 5 of 38
Slide 6: America’s pioneer in transforming homeownership
Overview America’s pioneer in transforming homeownership Since 1985, we've been committed to innovating and improving the homebuying experience. Now more than ever, Rocket is poised to shape the future of homeownership. 40 $1.8T+ #1 10M years of total transaction mortgage clients operating history v
Slide 7: Massive market opportunity
2 Massive market opportunity Investor Presentation | May 2025 7 of 38
Slide 8: The homeownership market is large and fragmented
Massive market opportunity The homeownership market is large $29T 1 and fragmented Homeownership is a prime opportunity that Rocket is well-positioned to seize. Gro ss d o me stic p ro d uc t To ta l a d d re ssa b le ho me o wne rship ma rke t $5T 2 Mo rtg a g e o rig ina tio n ma rke t $2T 3 Hig h
Slide 9: Homeownership is the cornerstone of the American dream
Massive market opportunity Homeownership is the cornerstone 50% of the American of renters today are “rent burdened.”1 dream 92% of Americans believe that Yet, many feel intimidated by the process homeownership and believe this dream is out of reach. is an essential Rocket's mission is to make homeo
Slide 10: Homebuying is complicated, stressful and expensive
Massive market opportunity Homebuying is complicated, Ho me Se a rc h stressful and expensive Listing agent fee $ 12K Se ll Title a nd c lo sing Title premium $ 1K We will leverage our immense assets to transform homebuying experience into one that is modern, simple and seamless. Buyer’s Mortgage ag
Slide 11: Disruption is in our DNA
Massive market opportunity Disruption is in our DNA Ma rke t sh a re o f c a te g o ry le a d e rs Homeownership is one of the last frontiers, ripe for technology-driven Mortgage The potential disruption. We see significant growth potential and are positioned to help lead the industry's next evoluti
Slide 12: The Rocket Platform
3 The Rocket Platform Investor Presentation | May 2025 12 of 38
Slide 13: Homeownership partner for life
The Rocket Platform Homeownership partner for life An e nd -to -e nd p la tfo rm… …e ve ry ste p o f th e c lie nt jo urne y. Year 1 Pu rc h a se first h o me Year 3 Home search Re fin a n c e in to lo we r ra te Home financing Year 5 Pu rc h a se b ig g e r h o me Title and closing Year 10 Ca sh o
Slide 14: Industry leading recapture rates
The Rocket Platform Industry leading recapture rates Our recapture rate is more than 3x Our client-first mentality drives industry- leading recapture rates, with clients returning 83% to Rocket at a rate three times higher than the industry average. We aim to delight our clients the first time they
Slide 15: Breadth of reach with multi-channel approach
The Rocket Platform Breadth of reach with multi-channel approach 12M mo nth ly visito rs Hig h re c a p ture d rive s re p e a t o rig ina tio n $0 c lie nt a c q uisitio n c o st (CAC) th ro ug h re c a p ture 2.8M servicing clients Investor Presentation | May 2025 15 of 38
Slide 16: Executing continuous product innovation
The Rocket Platform Executing continuous product innovation AVM and Expansion for Seconds RefiNow BorrowerSmart We continuously innovate Condo Access E-Note New Construction to better serve our clients. Simply Expansion Manufactured Our ecosystem enables us Homes Expanded FHA to quickly launch produ
Slide 17: Driving our unmatched client service
The Rocket Platform Driving our unmatched client service Rocket Mortgage has earned 22 J.D. Power awards across mortgage origination 70+ net promoter score1 97% net client retention and servicing. We've built our reputation for exceptional service by delighting millions—every client, every time. Mos
Slide 18: Vast data lake and robust technology platform
The Rocket Platform Vast data lake and robust technology platform With $500M invested in AI over the last five years, Rocket has built 200+ proprietary AI models powered by 6TB of structured data, solidifying our position as an industry leader in AI. 65M mortgage call logs 850M annual client interac
Slide 19: AI-powered experiences
The Rocket Platform AI-powered experiences Our patented AI platform powers proprietary front-facing client interactions and back-end processing. Efficiency Velocity Accuracy Personalization Amplified our team Enhanced client Unmatched precision Tailored experiences member’s capacity to experiences w
Slide 20: Our proprietary AI platform
The Rocket Platform Our proprietary AI platform Front-end Ho me Mo rtg a g e Mo rtg a g e 3 rd p a rty Pe rso n a l client experience se a rc h o rig in a tio n se rvic in g o rig in a tio n fin a n c e Business Home Mortgage Pricing and Mortgage Partnership Personal money capabilities search origin
Slide 21: Extending the power of our platform to partners
The Rocket Platform Extending the power of our platform to partners We’ve built industry-leading capabilities in our direct-to-consumer channel and are extending them to support the growth and success of our wholesale and enterprise partners. Business Home Mortgage Pricing and Mortgage Partnership P
Slide 22: Investor Presentation | May 2025 22 of 38
Investor Presentation | May 2025 22 of 38
Slide 23: Proven leadership and culture
4 Proven leadership and culture Investor Presentation | May 2025 23 of 38
Slide 24: Our unrivaled leadership team
Proven leadership and culture Our unrivaled leadership team Va ru n Bill Bria n Krish n a Eme rso n Bro wn Chief President Chief Financial Executive Officer and Officer Treasurer Rocket Companies is driven by an experienced leadership team – this collective strength enables Rocket to navigate change
Slide 25: Culture is our foundation
Proven leadership and culture Culture is our foundation Our culture is grounded in 16 updated ISM in a c tio n: We’ll figure it out. ISM in a c tio n: Every client. Every time. philosophies, known as “ISMs,” which serve as our guiding principles for success and reflect our core values. ISM in a c ti
Slide 26: Financials
Financials Investor Presentation | May 2025 26 of 38
Slide 27: Financial highlights
Financials Financial highlights Adjusted revenue Adjusted EBITDA $M $M $286 $1,323 $1,296 $1,228 $1,187 $1,163 $225 $1,002 $1,002 $885 $174 $177 $169 34% 32% $73 $55 23% 11% $18 Q2’23 Q2’24 Q3’23 Q3’24 Q4’23 Q4’24 Q1’24 Q1’25 Q2’23 Q3’23 Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 Q1’25 Gain on sale margin % EBIT
Slide 28: Strong liquidity position
Financials Strong liquidity position Cash and cash Discretionary Undrawn mortgage Undrawn lines equivalents self-funding servicing rights facilities of credit $1,409M $1,500M $2,000M $3,200M $8.1B Total $2.9B $5.2B Available cash position Available on lines of credit Note: As of March 31, 2025. Inve
Slide 29: Servicing portfolio
Financials Servicing portfolio $600B 97% $7.3B serviced UPB1 net client retention rate2 MSR fair value $6.4B+ 2.8M $1.6B UPB added3 loans serviced1 recurring servicing fee income Note: Data as of March 31, 2025. 1) Includes subservicing. 2) See endnote #3 in Appendix for definition of our net client
Slide 30: Appendix
Appendix Investor Presentation | May 2025 30 of 38
Slide 31: Driving transformation of the homeownership industry
Appendix Driving transformation of the homeownership industry Rock Financial Mortgage in a Box In a groundbreaking RockLoans.com founded by Dan released, enabling email, Dan Gilbert launched, catapulting Gilbert, later to be mortgage applications pledges full resources the Company to be one known as
Slide 32: MSR value over time
Appendix MSR value over time MSRs, At Fair Value (B) Total Serviced UPB (B) $8.0 $ 700 $7.6 $7.3 97% $7.3 $7.2 $6.9 $ 650 $7.0 $6.7 $6.8 $6.7 $6.7 $6.7 $6.4 $6.5 net client $6.4 $6.0 retention rate $ 600 as of 3/31/25 $5.4 MSR, At Fair Value ($B) Total Serviced UPB ($B) $ 550 $4.7 $5.0 $4.6 $4.3 $ 5
Slide 33: Financial highlights
Appendix Financial highlights Note: See endnote (1) in 2024 2025 Appendix for non-GAAP reconciliation; see endnote (2) for Adjusted revenue, Adjusted ($ in M) Q1 Q2 Q3 Q4 Q1 Q2E1 EBITDA, and Adjusted net income (loss) definitions. Adjusted revenue $1,163 $1,228 $1,323 $1,187 $1,296 $1,075 -$1,325 Ce
Slide 34: Endnotes (1)
Appendix Endnotes(1) 2024 2025 Q1 Q2 Q3 Q4 Q1 ($ in M) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) Net income (loss) $291 $178 ($481) $649 ($212) Interest and amortization expense on 38 38 39 38 38 non-funding debt Provision for (benefit from) income taxes 8 14 (16) 26 (11) Depreciat
Slide 35: Endnotes
Appendix Endnotes(1) 2024 2025 ($ in M) Q1 Q2 Q3 Q4 Q1 (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) Total revenue, net $1,384 $1,301 $647 $1,769 $1,037 Change in fair value of MSRs due to (220) (73) 676 (582) 259 valuation assumptions (net of hedges) 1 Adjusted revenue $1,163 $1,228 $
Slide 36: Endnotes
Appendix Endnotes(1) 2024 2025 ($ in M) Q1 Q2 Q3 Q4 Q1 1. Reflects net income (loss) to Class A common stock from pro forma exchange and conversion of corresponding shares of our Class D common shares held by non-controlling interest as of the period end. (Unaudited) (Unaudited) (Unaudited) (Unaudit
Slide 37: Endnotes
Appendix Endnotes (2) “Adjusted EBITDA Margin” calculated as Adjusted EBITDA divided by Adjusted Revenue. “Adjusted Net Income Margin” calculated as Adjusted Net Income divided by Adjusted Revenue. We define “Adjusted revenue” as total revenues net of the change in fair value of mortgage servicing r
Slide 38: Thank you
Thank you Investor InvestorPresentation Presentation| May 2025 | May 2025 38of 38 of 38