Q3 2024 Federal Home Loan Mortgage Corp Earnings Call Transcript
Key Points
- Federal Home Loan Mortgage Corp (FMCC) reported a net income of $3.1 billion for the third quarter, marking a 16% increase year-over-year.
- The company's net worth increased to $56 billion, representing a 26% increase year-over-year.
- FMCC helped 415,000 families purchase, refinance, or rent a home, with 51% of primary home purchases supporting first-time homebuyers.
- The multifamily segment reported a 47% increase in net income, driven by a benefit for credit losses and lower noninterest expense.
- The total mortgage portfolio grew 2% year-over-year, ending the quarter at $3.5 trillion, with strong credit characteristics and a low delinquency rate.
- Noninterest income decreased by $102 million due to lower investment gains compared to the prior year.
- The single-family serious delinquency rate increased by 4 basis points to 54 basis points this quarter.
- The multifamily delinquency rate increased by 1 basis point from last quarter and 15 basis points from the end of September 2023.
- The benefit for credit losses was lower this quarter compared to the prior year, driven by smaller credit reserve releases.
- The average estimated guaranteed fee rate charged on new business increased by 3 basis points from last quarter, potentially impacting affordability.
Good morning, and thank you for joining us for a presentation of Freddie Mac's third-quarter 2024 financial results. I'm Jeff Markowitz, Deputy CAO and SVP of External Affairs and Corporate Communications. We are joined today by our Interim Chief Financial Officer, Jim Whitlinger.
Before we begin, we'd like to point out that during the call, Mr. Whitlinger may make forward-looking statements based on assumptions about the company's key business drivers and other factors. Changes in these factors could cause the company's actual results to materially vary from its expectations.
A description of those factors can be found in the company's quarterly report on Form 10-Q filed today. You'll find the 10-Q, earnings press release and related materials posted on the Investor Relations section of freddiemac.com.
This call is recorded, and a replay will soon be available on freddiemac.com. We ask that the call not be
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
