Even with lower new insurance written, the six active underwriters remained profitable.

After a selloff toward the end of 2022 when it sought to reduce liquidity risk, the company resumed purchases of whole loans last quarter.

Management provided upbeat commentary both about the period and how the second quarter is progressing.

Earnings dipped for both companies coming in at $236 million and $328.2 million, respectively.

In a quarterly earnings call, CEO Michael Nierenberg said the company was evaluating options and would likely file forms for a new public company in the near future.

MSR marks weighed down results again but by less than in the previous quarter as the company worked on offsets and restated some adjusted numbers.

The government-sponsored enterprise improved slightly upon the previous quarter's numbers, but contraction in lending remains a risk.

Although the company reported a loss, executives expressed confidence in its funding and liquidity.

But the company's earnings were up due to lower loss provisions.

The neobank expects to turn a profit by the end of the year, but faces challenges as it copes with the government's pause on federal student loan repayment and with the difficulty of selling technology services to other businesses.