loanDepot Reports Third Quarter 2025 Results and Highlights Strategic Leadership Restructuring to Drive Future Growth
loanDepot, Inc. (NYSE: LDI), along with its subsidiaries (collectively referred to as “loanDepot” or the “Company”), released its financial results for the quarter ended September 30, 2025. The third quarter marked a period of strategic transition and organizational realignment aimed at positioning the Company for long-term growth, improved operational efficiency, and a return to profitable market share expansion.
Founder and Chief Executive Officer Anthony Hsieh emphasized that the quarter was defined less by external market forces and more by purposeful internal restructuring. His primary focus has been on reshaping the Company’s leadership team, reinforcing its core strengths, and reorienting loanDepot toward innovation-driven execution. According to Hsieh, the Company’s unique strategic assets, including its diverse origination channels and large servicing portfolio, create a competitive advantage that can be better leveraged to achieve sustainable performance improvements.
A key part of my efforts during the third quarter has focused on reshaping our leadership team, positioning us to leverage loanDepot’s unique set of assets and drive operational excellence,” Hsieh stated. “With key senior-level promotions, strategic hires, and organizational realignment, I believe we now have the right team in place to return to our innovative roots and pursue profitable market share growth.
Leveraging a Multi-Channel Origination Strategy
Hsieh reiterated that loanDepot operates from a strong foundation built on a diversified origination model that spans:
- Direct-to-consumer operations
- In-market retail distribution
- Homebuilder partnerships
This strategy is anchored by a nationally recognized consumer lending brand and a large servicing portfolio that continues to support customer retention and repeat business.
At the center of loanDepot’s platform is its Consumer Direct Lending channel, which remains one of the few technology-enabled, high-scale lending models in the industry. The channel benefits from powerful digital lead generation capabilities and high recapture rates from its servicing portfolio—both considered key drivers of lower acquisition costs and increased loan volume per customer.
Hsieh emphasized that these assets enable the Company to invest in emerging mortgage technologies that can reduce time-to-close, lower expenses, and create more consistent customer experiences. As the mortgage industry continues to consolidate and digitize, he asserted that loanDepot’s scale and integrated platform can support greater efficiency and responsiveness to market shifts.
Financial Performance: Narrowing Losses and Strengthening Liquidity
Chief Financial Officer David Hayes highlighted that the Company made measurable progress toward improving profitability in the third quarter. While loanDepot still reported a net loss for the quarter, the loss narrowed significantly compared to the preceding quarter, driven by revenue growth and disciplined expense management.
- Quarterly revenue increased 14% quarter-over-quarter, supported by stronger pull-through volume, improved gain-on-sale margins, and higher servicing income.
- Total expenses increased only 6%, demonstrating positive operating leverage.
- Net loss improved to $8.7 million, compared to a loss of $25.3 million in Q2 2025.
- Cash balances increased by $51 million, ending the quarter at $459 million, strengthening the Company’s liquidity position.
We continued to narrow our loss in the third quarter,” Hayes said. “Higher revenue combined with disciplined cost management resulted in meaningful progress. At the same time, we strengthened our balance sheet, increasing our cash position to $459 million.
Key Operating and Financial Metrics
| Metric | Q3 2025 | Q2 2025 | Q3 2024 |
|---|---|---|---|
| Rate Lock Volume | $9.46B | $8.56B | $9.79B |
| Pull-Through Weighted Lock Volume | $6.97B | $6.35B | $6.75B |
| Loan Origination Volume | $6.53B | $6.73B | $6.66B |
| Total Revenue | $323.3M | $282.5M | $314.6M |
| Net Income (Loss) | $(8.7M) | $(25.3M) | $2.7M |
The Company reported a gain-on-sale margin of 3.61%, an increase from 3.11% in the prior quarter. Meanwhile, servicing fee income rose to $111.8 million, reflecting continued strength in the Company’s mortgage servicing operations.
loanDepot closed the quarter with:
- $6.24 billion in total assets
- $5.81 billion in total liabilities
- $433 million in total equity
The servicing portfolio expanded to $118.2 billion in unpaid principal balance, an increase of 3% year-over-year.
Operational Highlights
- Pull-through weighted lock volume increased 10%, signaling stronger borrower engagement.
- Loan origination volume decreased slightly quarter-over-quarter, reflecting market interest rate fluctuations.
- Purchase loan volume represented 60% of all loans originated, compared to 63% in Q2 2025.
- Consumer direct refinance recapture rate decreased to 65% from 70% in the previous quarter.
- Adjusted net loss narrowed to $2.8 million, compared to $16 million in Q2 2025.
loanDepot expects continued progress toward achieving operational efficiencies and margin strength. The Company projects:
- Origination volume between $6.5B and $8.5B
- Pull-through weighted lock volume between $6.0B and $8.0B
- Gain-on-sale margins between 300 and 325 basis points
loanDepot’s leadership believes that the Company is entering the next phase of its competitive evolution. With a refreshed executive team, strong liquidity, a diversified origination network, and a scalable digital lending platform, the Company aims to:
- Improve profitability
- Strengthen customer lifetime value
- Capture incremental market share in a fragmented industry
Hsieh concluded that loanDepot is returning to the principles that defined its early growth—innovation, customer accessibility, and operational discipline—while simultaneously laying the foundation for long-term resilience.
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