Pennymac Financial Services, Inc. · NYSE:PFSI
Pennymac Financial Services — Barclays Global Financial Services Conference 2016
11 slides from Pennymac Financial Services's conference presentation, Sep 13, 2016
Slide 1: Barclays Global Financial Services Conference
Barclays Global Financial Services Conference September 13, 2016
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, regarding management’s beliefs, estimates, projections and assumptions with respect to, among other things, the Company’s financial results, f
Slide 3: PennyMac Financial Is a Leading Specialist Mortgage Company
PennyMac Financial Is a Leading Specialist Mortgage Company A balanced mortgage banking business model Earnings Per Share Since IPO $2.17 $1.73 (1) $0.82 $0.89 2013 2014 2015 1H 2016 Book Value Per Share $13.28 $12.40 Best-in-class platform in its ninth year of operations, built organically throug
Slide 4: U.S. Housing Outlook Strong Despite Mixed Broader Markets
U.S. Housing Outlook Strong Despite Mixed Broader Markets U.S. macroeconomic indicators have been mixed Gross Domestic Product(1) – Moderating job growth (Q/Q % Δ, annualized) 6.0 – Consumer spending remains solid 3.0 – Manufacturing is struggling 0.0 – Headwinds from sluggish overseas economies P
Slide 5: Low Interest Rates Are Contributing to a Favorable Origination Environment
Low Interest Rates Are Contributing to a Favorable Origination Environment Total U.S. Single Family Mortgage Originations ($ in billions) Market volumes for mortgage $1,859 $1,697 originations have increased in reaction to lower rates and are expected to remain low for the foreseeable future $861
Slide 6: PennyMac Is Uniquely Positioned to Capture the Mortgage Market Opportunity
PennyMac Is Uniquely Positioned to Capture the Mortgage Market Opportunity Top 10 Mortgage Originators(1) 2008 2013 1H 2016 Category 1 Bank of America 1 Wells Fargo 1 Wells Fargo Bank 2 Wells Fargo 2 Chase 2 Chase Bank 3 Chase 3 Bank of America 3 Quicken Loans Private 4 Citi 4 Quicken Loans 4 Bank o
Slide 7: PennyMac's Success Has Been Enabled by Our Differentiated Platform
PennyMac’s Success Has Been Enabled by Our Differentiated Platform Centralized mortgage fulfillment division Correspondent counterparty Lead maximization/optimization management Loan production Web and mobile loan origination tools Margin management/pricing systems Key areas of expertise
Slide 8: PennyMac Has Steadily Gained Market Share – With Room to Grow
PennyMac Has Steadily Gained Market Share – With Room to Grow Drivers of Market Share Gains Correspondent Production(1) Highly scalable correspondent platform and the Market Share continued expansion of seller relationships 12.0% Consumer direct growth reflects investments made to 10.0% 9.2% gro
Slide 9: Highlights of PFSI’s Recent Performance
Highlights of PFSI’s Recent Performance Second quarter pretax income was $84.3 million; diluted earnings per share of common stock of $0.65 – Record earnings driven by strong momentum in consumer direct and correspondent production – Reflects PFSI’s strong operational execution and ability to capt
Slide 10: PennyMac Is Well Positioned for Continued Success and Growth
PennyMac Is Well Positioned for Continued Success and Growth Substantial opportunity to grow consumer direct origination volumes and earnings contribution National call center-based platform with technology-enabled operations – scalable for large volumes of loan manufacturing while maintaining the
Slide 11: Update on Partnership Between PFSI and PMT
Update on Partnership Between PFSI and PMT PMT and PFSI recently renewed the agreements that govern the arrangements between the two companies This renewal extends the term of the agreements for another four years, through September 2020 Modest changes from the prior agreements, including: – M
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