Federal National Mortgage Association · OTC:FNMA
Federal National Mortgage Association — Fannie Mae — Q2 2025 Earnings Presentation
17 slides from Federal National Mortgage Association's earnings presentation, Jul 30, 2025
Slide 1: 2Q 2025 Earnings Presentation
2Q 2025 Earnings Presentation July 30, 2025 © 2025 Fannie Mae 1
Slide 2: 2Q 2025 Key Highlights
2Q 2025 Key Highlights Impact Financial Performance $102B Liquidity provided to the mortgage market $3.3B Net Income 381K Households helped to buy, refinance, or rent a home $7.2B Net Revenues 52% Of buyers were first-time homebuyers 31.5% Efficiency Ratio 1 Households helped to stay in their homes
Slide 3: 2Q 2025 Financial Summary
2Q 2025 Financial Summary Key Metrics $ Millions 2Q25 1Q25 + / (-) 2Q24 + / (-) 81.4% 6 Guaranty Fees / Net revenues 5 $7,241 $7,085 $156 2 % $7,336 $(95) (1)% Net Revenues (Provision) / benefit for 0.66% (946) (24) (922) NM 300 (1,246) NM credit losses 7 Net Interest Margin Non-interest expense (2,
Slide 4: Guaranty Book & Net Interest Income
Guaranty Book & Net Interest Income The guaranty business drives the majority of net interest income. Guaranty book balance is impacted by home prices, mortgage rates, and our market share. Guaranty Book 2 Net Interest Income $ Billions $ Billions $4,076 $4,107 $4,117 $4,102 $3,896 $441 $470 $500 $5
Slide 5: Net Interest Margin (NIM)
Net Interest Margin (NIM) We have relatively stable NIM, primarily driven by guaranty fees. Basis Points 78.7 78.4 78.5 75.4 76.1 74.9 74.5 74.4 73.3 71.8 69.4 72.9 69.3 67.6 67.1 67.8 66.9 66.9 65.6 63.5 63.6 62.3 50.2 50.8 51.3 49.3 49.7 46.4 47.8 45.4 45.8 44.0 42.0 47.6 48.2 46.2 46.9 45.7 44.4
Slide 6: Select Credit Metrics
Select Credit Metrics Total guaranty book credit quality remains strong. 30-Days PD increased from seasonally low 1Q level. 30-Days Past Due 21 Seriously Delinquent 21 Nonperforming Loans 22 0.99% 1.00% 0.88% 0.96% 0.94% 0.84% 0.82% 0.84% 0.79% 0.73% 0.90% 0.84% 0.86% 0.89% 0.63% 0.61% 0.81% 0.79% 0
Slide 7: Non-Interest Expense
Non-Interest Expense Expenses continue to be well controlled. 2Q25 Efficiency Ratio of 31.5%. • Reduction in salaries & benefits and $ Millions 2Q25 1Q25 + / (-) 2Q24 + / (-) professional services due to fewer FTEs and contractors Salaries & benefits $(492) $(611) $119 19 % $(496) $4 1% • Occupancy
Slide 8: Balance Sheet Liquidity & Fannie Mae Debt Portfolios
Balance Sheet Liquidity & Fannie Mae Debt Portfolios Corporate Liquidity Portfolio Debt Portfolio 28 $ Billions $ Billions 4.0% 3.9% 3.6% 3.5% 3.6% 3.6% 3.3% 3.4% 3.4% 3.1% $147.9 $139.4 $132.4 $136.2 $136.8 $121.7 $128.3 $117.6 $116.2 $118.5 $11.2 $11.0 $11.4 $11.1 $77.9 $12.0 $38.3 $33.4 $75.8 $33
Slide 9: Net Worth and Regulatory Capital Position
Net Worth and Regulatory Capital Position We have materially grown our net worth and meaningfully reduced our regulatory capital deficit. Growth in Net Worth 3 Progress Towards Regulatory Capital Requirements 30 $ Billions $ Billions 4Q22 2Q25 $88.1 $101.6 Minimum Capital Requirement: $105 $105 Tota
Slide 10: Single-Family Highlights
Single-Family Highlights Single-Family At a Glance Single-Family Guaranty Book 10 $ Billions 47.6 47.7 47.9 48.1 48.3 $ Millions 2Q25 1Q25 + / (-) 2Q24 + / (-) Net revenues 5 $6,061 $5,931 $130 2 % $6,147 $(86) (1) % (Provision) / benefit (737) (24) (713) NM 548 (1,285) NM for credit losses $3,625 $
Slide 11: Single-Family Credit Characteristics & Credit Risk Transfer
Single-Family Credit Characteristics of Acquisitions & Credit Risk Transfer Original Loan-to-Value Ratio FICO Credit Score 32 DTI Ratio > 43% 33 7.0% 8.0% 6.0% 6.0% 7.0% 5.0% 6.0% 6.0% 5.0% 3.0% 36% 36% 37% 32% 23% 75% 78% 77% 77% 756 747 755 758 757 69% 2021 2022 2023 2024 2Q25 2021 2022 2023 2024
Slide 12: Multifamily Highlights
Multifamily Highlights Multifamily At a Glance Multifamily Guaranty Book 11 $ Billions 75.5 75.1 74.4 74.1 73.3 $ Millions 2Q25 1Q25 + / (-) 2Q24 + / (-) Net revenues 5 $1,180 $1,154 $26 2 % $1,189 $(9) (1)% (Provision) / benefit (209) 0 (209) NM (248) 39 (16) for credit losses $500 $505 $511 $480 $
Slide 13: Multifamily Credit Characteristics & Credit Risk Transfer
Multifamily Credit Characteristics & Credit Risk Transfer Guaranty Book Credit Metrics 11 Original Loan-to-Value Ratio of Acquisitions 65% 62% 62% 59% 59% 65% 64% 63% 63% 63% 6% 11% 13% 14% 27% 93% 89% 2.2 86% 87% 2.1 2.0 2.0 2.0 72% 2021 2022 2023 2024 2Q25 2021 2022 2023 2024 2Q25 % OLTV < 70% % O
Slide 14: Definitions
DRAFT Definitions CAS: Connecticut Avenue Securities® CET1: Common Equity Tier 1 CIRT™: Credit Insurance Risk Transfer™ CRT: Credit risk transfer DSCR: Debt service coverage ratio DTI ratio: Debt-to-income ("DTI") ratio refers to the ratio of a borrower's outstanding debt obligations (including both
Slide 15: Endnotes
DRAFT Endnotes 1 Efficiency ratio is calculated as non-interest expense during the quarter divided by the sum of net interest income and non-interest income. As presented in our Form 10-Q, non- interest income consists of the sum of “Fee and other income,” “Investment gains (losses), net” and “Fair
Slide 16: Endnotes
DRAFT Endnotes 18 Represents, on an annualized basis, the average of the base guaranty fees charged weighted by unpaid principal balance during the period for the company's single-family conventional guaranty arrangements plus the recognition of any upfront cash payments relating to these guaranty a
Slide 17: Endnotes
DRAFT Endnotes 36 Represents the percentage of the company's multifamily guaranty book of business with lender risk-sharing agreements in place, measured by UPB. 37 Under the Delegated Underwriting and Servicing (“DUS”) program, Fannie Mae acquires individual, newly originated mortgages from special