false000182116000018211602024-08-082024-08-08

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
__________________________________________________________________
FORM 8-K
__________________________________________________________________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): August 8, 2024
__________________________________________________________________
GUILD HOLDINGS COMPANY
(Exact name of Registrant as Specified in Its Charter)
__________________________________________________________________
Commission file number: 001-39645
Delaware85-2453154
(State of Incorporation)(IRS Employer Identification No.)
5887 Copley Drive
San Diego, California
92111
(Address of Principal Executive Offices)(Zip Code)
(858) 560-6330
(Registrant’s telephone number, including area code)
__________________________________________________________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each class
Trading
Symbol
Name of each exchange on which registered
Class A common stock, $0.01 par value per shareGHLDThe New York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐


Item 2.02 Results of Operations and Financial Condition.
On August 8, 2024, Guild Holdings Company (“the Company”) issued a press release announcing its financial results for the second quarter ended June 30, 2024. A copy of the press release is furnished as Exhibit 99.1 hereto.
The information contained in this Item 2.02 of this Current Report on Form 8-K, as well as Exhibit 99.1, shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise be subject to the liabilities of that section. It may only be incorporated by reference in another filing under the Exchange Act or Securities Act of 1933, as amended, if it is expressly incorporated by specific reference in such filing.

Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
Exhibit
Number
Description of Exhibit
99.1
104Cover Page Interactive Data File (embedded within the Inline XBRL document)
1

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
GUILD HOLDINGS COMPANY
Date: August 8, 2024
By:/s/ Desiree A. Kramer
Desiree A. Kramer
Chief Financial Officer
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Exhibit 99.1
ghldlogoa.jpg


GUILD HOLDINGS COMPANY REPORTS SECOND QUARTER 2024 RESULTS

•Originations of $6.5 Billion
•Net Revenue of $285.7 Million
•Net Income Attributable to Guild of $37.6 Million
•Adjusted Net Income of $30.7 Million
•Return on Equity of 12.3% and Adjusted Return on Equity of 10.1%
•Gain on Sale Margin on Originations of 326 bps
•92% of Originations were Purchase Originations
•Paid Special Dividend of $0.50 per share


SAN DIEGO, California – August 8, 2024 – Guild Holdings Company (NYSE: GHLD) (“Guild” or the “Company”), a growth-oriented mortgage company that employs a relationship-based loan sourcing strategy to execute on its mission of delivering the promise of homeownership, today announced results for the second quarter ended June 30, 2024.

“Our second quarter results demonstrate Guild's highly successful strategy to increase market share, by investing in people and technology, to drive growth in our originations and servicing portfolio. Our continued ability to execute effectively in a challenging market environment is illustrated by our origination volume increasing 69% quarter-over-quarter, compared to 14% for the industry, a strong indicator of our ability to take market share. We are also pleased to produce strong adjusted net income of $30.7 million as we continued to ramp up and integrate the acquisition of Academy Mortgage,” stated Terry Schmidt, Guild Chief Executive Officer. “Additional highlights of the quarter include the launch and integration of our internal, proprietary artificial intelligence model, GuildGPT, with our sales team. Our ongoing technology investments, deep product offerings, extensive customer database, and unwavering commitment to local relationships through origination and servicing, positions the Guild platform to continue to drive organic growth as market conditions improve. We will also maintain our pursuit of selective acquisitions that align with our model and culture, as we seek to deliver meaningful growth and value for our shareholders over time.”


Second Quarter
 2024
Highlights
Total originations of $6.5 billion compared to $3.9 billion in the prior quarter
Originated 92% of closed loan origination volume from purchase business, compared to the Mortgage Bankers Association industry estimate of 78% for the same period
Net revenue of $285.7 million compared to $231.8 million in the prior quarter
Net income attributable to Guild of $37.6 million compared to net income of $28.5 million in the prior quarter
Servicing portfolio unpaid principal balance of $89.1 billion as of June 30, 2024, up 3% compared to $86.3 billion as of March 31, 2024
Adjusted net income and adjusted EBITDA totaled $30.7 million and $41.6 million, respectively, compared to $8.0 million and $16.0 million, respectively, in the prior quarter
Return on equity of 12.3% and adjusted return on equity of 10.1%, compared to 9.5% and 2.7%, respectively, in the prior quarter


1

Year-To-Date
 2024
Highlights
Total originations of $10.4 billion compared to $7.3 billion in the prior year
Originated 92% of closed loan origination volume from purchase business, compared to the Mortgage Bankers Association estimate of 78% for the same period
Net revenue of $517.5 million compared to $340.7 million in the prior year
Net income attributable to Guild of $66.1 million compared to net loss of $0.3 million in the prior year
Servicing portfolio unpaid principal balance of $89.1 billion as of June 30, 2024, up 9% compared to $82.0 billion as of June 30, 2023
Adjusted net income and adjusted EBITDA totaled $38.8 million and $57.5 million, respectively, compared to $6.4 million and $17.7 million, respectively, in the prior year
Return on equity of 11.0% and adjusted return on equity of 6.4%, compared to 0.0% and 1.0%, respectively, in the prior year


Second Quarter Summary
Please refer to “Key Performance Indicators” and “GAAP to Non-GAAP Reconciliations” elsewhere in this release for a description of the key performance indicators and definitions of the non-GAAP measures and reconciliations to the nearest comparable financial measures calculated and presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”).
($ amounts in millions, except per share amounts)2Q'241Q'24%∆YTD'24YTD'23%∆
Total originations
$6,525.9$3,852.569%$10,378.4$7,292.542%
Gain on sale margin on originations (bps)
326364(10)%3403235%
Gain on sale margin on pull-through adjusted locked volume (bps)
3152909%3052992%
UPB of servicing portfolio (period end)$89,092.9$86,319.13%$89,092.9$82,030.49%
Net revenue$285.7$231.823%$517.5$340.752%
Total expenses$241.2$193.225%$434.4$341.127%
Net income (loss) attributable to Guild
$37.6$28.532%$66.1($0.3)NM
Return on equity12.3%9.5%30%11.0%—%NM
Adjusted net income
$30.7$8.0282%$38.8$6.4507%
Adjusted EBITDA$41.6$16.0161%$57.5$17.7225%
Adjusted return on equity10.1%2.7%274%6.4%1.0%527%
Earnings (loss) per share
$0.61$0.4730%$1.08$—NM
Diluted earnings (loss) per share
$0.60$0.4630%$1.06$—NM
Adjusted earnings per share
$0.50$0.13285%$0.63$0.10530%
Adjusted diluted earnings per share
$0.49$0.13277%$0.62$0.10520%
__________________________
NM—Not meaningful.
Origination Segment Results
Origination segment net loss was $3.1 million in the second quarter compared to net loss of $24.2 million in the prior quarter primarily driven by higher origination volumes. Gain on sale margins on originations decreased 38 bps quarter-over-quarter to 326 bps. Gain on sale margins on pull-through adjusted locked volume increased 25 bps quarter-over-quarter to 315 bps and total pull-through adjusted locked volume was $6.5 billion compared to $4.6 billion in the prior quarter.
($ amounts in millions)2Q'241Q'24%∆YTD'24YTD'23%∆
Total originations
$6,525.9$3,852.569%$10,378.4$7,292.542%
Total origination units (000’s)
19.211.961%31.122.439%
Net revenue$208.8$137.951%$346.7$233.948%
Total expenses$211.9$162.131%$374.0$288.030%
Net loss allocated to origination
($3.1)($24.2)87%($27.3)($54.1)50%
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Servicing Segment Results
Servicing segment net income was $69.5 million in the second quarter compared to net income of $83.9 million in the prior quarter. The Company retained mortgage servicing rights (“MSRs”) for 68% of total loans sold in the second quarter of 2024.

In the second quarter of 2024, valuation adjustments with respect to the Company’s MSRs totaled a gain of $2.1 million, compared to a gain of $20.8 million in the prior quarter. Guild’s purchase recapture rate was 27% in the second quarter of 2024, which aligns with the Company’s focus on customer service and its customer for life strategy.
($ amounts in millions)2Q'241Q'24%∆YTD'24YTD'23%∆
UPB of servicing portfolio (period end)$89,092.9 $86,319.1 3%$89,092.9 $82,030.4 9%
# Loans serviced (000’s) (period end)358 349 3%358 335 7%
Loan servicing and other fees
$67.7 $65.8 3%$133.5 $120.3 11%
Valuation adjustment of MSRs
$2.1 $20.8 (90)%$22.9 ($27.0)185%
Net revenue$81.4 $97.4 (16)%$178.9 $111.9 60%
Total expenses$11.9 $13.5 (12)%$25.4 $23.5 8%
Net income allocated to servicing
$69.5 $83.9 (17)%$153.5 $88.4 74%
Share Repurchase Program and Dividends
During the three months ended June 30, 2024, the Company repurchased and subsequently retired 14,221 shares of Guild's Class A common stock at an average purchase price of $14.09 per share. As of June 30, 2024, $10.7 million remains available for repurchase under the Company’s share repurchase program.

On May 8, 2024, the Company's Board of Directors declared a special cash dividend of $0.50 per share on the Company’s Class A common stock and Class B common stock, payable on June 6, 2024, to stockholders of record at the close of business on May 20, 2024.

Balance Sheet and Liquidity Highlights
The Company’s cash and cash equivalents position was $102.2 million as of June 30, 2024. The Company’s unutilized loan funding capacity was $375.9 million based on total facility size and borrowing limitations, while the unutilized MSR lines of credit was $214.0 million, based on total committed amounts and borrowing base limitations. The Company’s leverage ratio was 1.9x, defined as recourse debt divided by tangible stockholders’ equity.
(in millions, except per share amounts)
June 30,
2024		December 31,
2023
Cash and cash equivalents$102.2 $120.3 
Mortgage servicing rights, at fair value
$1,292.7 $1,161.4 
Warehouse lines of credit, net
$1,616.6 $833.8 
Notes payable$271.0 $148.8 
Total stockholders’ equity$1,222.4 $1,183.5 
Tangible net book value per share(1)
$16.15 $15.90 
_________________
(1)See “GAAP to Non-GAAP Reconciliation” for a description of this non-GAAP measure and reconciliation to the nearest comparable financial measures calculated and presented in accordance with GAAP.

Webcast and Conference Call
The Company will host a webcast and conference call on Thursday, August 8, 2024 at 5 p.m. Eastern Time to discuss the Company’s results for the second quarter ended June 30, 2024.

The conference call will be available on the Company's website at https://ir.guildmortgage.com/. To listen to a live broadcast, go to the site at least 15 minutes prior to the scheduled start time to register. The conference call can also be accessed by the following dial-in information:

•1-877-407-0789 (Domestic)
•1-201-689-8562 (International)
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A replay of the call will be available on the Company's website at https://ir.guildmortgage.com/ approximately two hours after the live call through August 22, 2024. The replay is also available by dialing 1-844-512-2921 (United States) or 1-412-317-6671 (international). The replay pin number is 13746929.
About Guild Holdings Company
Guild Mortgage Company, a wholly owned subsidiary of Guild Holdings Company (NYSE: GHLD), was founded in 1960 and is a nationally recognized independent mortgage lender providing residential mortgage products and local in-house origination and servicing. Guild employs a relationship-based loan sourcing strategy to execute on its mission of delivering the promise of home ownership in neighborhoods and communities across 49 states and the District of Columbia. Guild’s highly trained loan professionals are experienced in government-sponsored programs such as FHA, VA, USDA, down payment assistance programs and other specialized loan programs. For more information visit https://www.guildmortgage.com/.
Contacts
Investors:
investors@guildmortgage.net
858-956-5130
Media:
Melissa Rue
Nuffer, Smith, Tucker
mkr@nstpr.com
619-296-0605 Ext. 247

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Forward-Looking Statements
This press release and a related presentation by management of Guild Holdings Company (the “Company”) contains forward-looking statements, including statements about the Company’s growth strategies, the Company’s future revenue, operating performance or capital position, ongoing pursuit of M&A opportunities, expectations for benefits from recent acquisitions, such as increased market share and origination volume, expectations regarding home sales and mortgage activity, the impact of future interest rate environments and any other statements that are not historical facts. These forward-looking statements reflect our current expectations and judgments about future events and our financial performance. These statements are often, but not always, made through the use of words or phrases such as “may,” “should,” “could,” “predict,” “potential,” “believe,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “estimate,” “intend,” “plan,” “projection,” “would” and “outlook,” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature.

Important factors that could cause our actual results to differ materially from those expressed in or implied by forward-looking statements include, but are not limited to, the following: any disruptions in the secondary home loan market and their effects on our ability to sell the loans that we originate; any changes in macroeconomic and U.S. residential real estate market conditions; any changes in certain U.S. government-sponsored entities and government agencies, and any organizational or pricing changes in these entities, their guidelines or their current roles; any changes in prevailing interest rates or U.S. monetary policies; the effects of any termination of our servicing rights; we depend on our loan funding facilities to fund mortgage loans and otherwise operate our business; the effects of our existing and future indebtedness on our liquidity and our ability to operate our business; any disruption in the technology that supports our origination and servicing platform; our failure to identify, develop and integrate acquisitions of other companies or technologies; pressure from existing and new competitors; any failure to maintain or grow our historical referral relationships with our referral partners; any delays in recovering service advances; any failure to adapt to and implement technological changes; any cybersecurity breaches or other vulnerability involving our computer systems or those of certain of our third-party service providers; our inability to secure additional capital, if needed, to operate and grow our business; the impact of operational risks, including employee or consumer fraud, the obligation to repurchase sold loans in the event of a documentation error, and data processing system failures and errors; any repurchase or indemnification obligations caused by the failure of the loans that we originate to meet certain criteria or characteristics; the seasonality of the mortgage origination industry; any non-compliance with the complex laws and regulations governing our mortgage loan origination and servicing activities; material changes to the laws, regulations or practices applicable to reverse mortgage programs; our control by, and any conflicts of interest with, McCarthy Capital Mortgage Investors, LLC; our dependence, as a holding company, upon distributions from Guild Mortgage Company LLC to meet our obligations; and the other risks, uncertainties and factors set forth under Item IA. – Risk Factors and all other disclosures appearing in Guild’s Annual Report on Form 10-K for the year ended December 31, 2023 as well as other documents Guild files from time to time with the Securities and Exchange Commission. You should not place undue reliance on any such forward-looking statements.

Any forward-looking statement speaks only as of the date on which it is made, and, except as otherwise required by law, we undertake no obligation to update any forward-looking statement made in this press release or any related presentation by Company management.

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Non-GAAP Financial Measures
To supplement our financial statements presented in accordance with GAAP and to provide investors with additional information regarding our GAAP financial results, we disclose certain financial measures for our consolidated and operating segment results on both a GAAP and a non-GAAP (adjusted) basis. The non-GAAP financial measures disclosed should be viewed in addition to, and not as an alternative to, results prepared in accordance with GAAP. These non-GAAP financial measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similarly titled measures presented by other companies.

Adjusted net income. Net income (loss) is the most directly comparable financial measure calculated and presented in accordance with GAAP for adjusted net income, a non-GAAP measure. We define adjusted net income as earnings or loss attributable to Guild excluding (i) the change in the fair value measurements related to our MSRs due to changes in model inputs and assumptions, (ii) change in the fair value of contingent liabilities related to completed acquisitions, net of change in the fair value of notes receivable related to acquisitions, (iii) amortization of acquired intangible assets and (iv) stock-based compensation. We exclude these items because we believe they are non-cash expenses that are not reflective of our core operations or indicative of our ongoing operations. Adjusted net income is also adjusted by applying an estimated effective tax rate to these adjustments. We exclude the change in the fair value of MSRs due to changes in model inputs and assumptions from adjusted net income and adjusted EBITDA below because we believe this non-cash, non-realized adjustment to net revenues is not indicative of our operating performance or results of operations but rather reflects changes in model inputs and assumptions (e.g., prepayment speed, discount rate and cost to service assumptions) that impact the carrying value of our MSRs from period to period.

Adjusted earnings per share—Basic and Diluted. Earnings per share is the most directly comparable financial measure calculated and presented in accordance with GAAP for adjusted earnings per share, a non-GAAP measure. We define adjusted earnings per share as our adjusted net income divided by the basic and diluted weighted average shares outstanding of our Class A and Class B common stock. Diluted weighted average shares outstanding is adjusted to include potential shares of Class A common stock related to unvested RSUs that were excluded from the calculation of GAAP diluted loss per share because they were anti-dilutive due to the net loss, when applicable.

Adjusted EBITDA. Net income (loss) is the most directly comparable financial measure calculated and presented in accordance with GAAP for adjusted EBITDA, a non-GAAP measure. We define adjusted EBITDA as earnings before (i) interest expense on non-funding debt (without adjustment for net warehouse interest related to loan fundings and payoff interest related to loan prepayments), (ii) taxes, (iii) depreciation and amortization and (iv) net income attributable to the non-controlling interests and excluding (v) any change in the fair value measurements of our MSRs due to valuation assumptions, (vi) change in the fair value of contingent liabilities related to completed acquisitions, net of change in the fair value of notes receivable related to acquisitions and (vii) stock-based compensation. We exclude these items because we believe they are not reflective of our core operations or indicative of our ongoing operations.

Adjusted return on equity. Return on equity is the most directly comparable financial measure calculated and presented in accordance with GAAP for adjusted return on equity, a non-GAAP measure. We define adjusted return on equity as annualized adjusted net income as a percentage of average beginning and ending stockholders’ equity during the period.
Tangible net book value per share. Book value per share is the most directly comparable financial measure calculated and presented in accordance with GAAP for tangible net book value per share, a non-GAAP measure. We define tangible net book value per share as total stockholders’ equity attributable to Guild, less goodwill and intangible assets, net divided by the total shares of our Class A and Class B common stock outstanding.
We use these non-GAAP financial measures (other than tangible net book value per share) to evaluate our operating performance, to establish budgets and to develop operational goals for managing our business. These non-GAAP financial measures are designed to evaluate operating results exclusive of fair value and other adjustments that are not indicative of our business’s operating performance. Accordingly, we believe that these financial measures provide useful information to investors and others in understanding and evaluating our operating results, enhancing the overall understanding of our past performance and future prospects. In addition, management uses the non-GAAP financial measure of tangible net book value per share to evaluate the adequacy of our stockholders’ equity and assess our capital position and believes tangible net book value provides useful information to investors in assessing the strength of our financial position.
For more information on these non-GAAP financial measures, please see the “GAAP to Non-GAAP Reconciliations” included at the end of this release.

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Condensed Consolidated Balance Sheets
(unaudited)
(in thousands, except share and per share amounts) Jun 30,
2024		Dec 31,
2023
Assets
Cash and cash equivalents$102,185 $120,260 
Restricted cash5,620 7,121 
Mortgage loans held for sale, at fair value
1,729,007 901,227 
Reverse mortgage loans held for investment, at fair value
376,182 315,912 
Ginnie Mae loans subject to repurchase right568,176 699,622 
Mortgage servicing rights, at fair value
1,292,662 1,161,357 
Advances, net
53,640 64,748 
Property and equipment, net
16,262 13,913 
Right-of-use assets
72,562 65,273 
Goodwill and intangible assets, net
230,452 211,306 
Other assets133,096 115,981 
Total assets$4,579,844 $3,676,720 
Liabilities and stockholders’ equity
Warehouse lines of credit, net
$1,616,569 $833,781 
Home Equity Conversion Mortgage-Backed Securities (“HMBS”) related borrowings
358,101 302,183 
Ginnie Mae loans subject to repurchase right574,707 700,120 
Notes payable271,000 148,766 
Accounts payable and accrued expenses80,253 63,432 
Operating lease liabilities82,780 75,832 
Deferred tax liabilities244,722 225,021 
Other liabilities
129,276 144,092 
Total liabilities3,357,408 2,493,227 
Commitments and contingencies
Stockholders’ equity
Preferred stock, $0.01 par value; 50,000,000 shares authorized; no shares issued and outstanding
— — 
Class A common stock, $0.01 par value; 250,000,000 shares authorized; 21,061,207 and 20,786,814 shares issued and outstanding at June 30, 2024 and December 31, 2023, respectively
211 208 
Class B common stock, $0.01 par value; 100,000,000 shares authorized; 40,333,019 shares issued and outstanding at June 30, 2024 and December 31, 2023
403 403 
Additional paid-in capital51,352 47,158 
Retained earnings1,169,852 1,135,387 
Non-controlling interests618 337 
Total stockholders' equity1,222,436 1,183,493 
Total liabilities and stockholders’ equity$4,579,844 $3,676,720 
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Condensed Consolidated Statements of Operations
(unaudited)
Three Months EndedSix Months Ended
(in thousands, except per share amounts)Jun 30, 2024Mar 31, 2024Jun 30, 2024Jun 30, 2023
Revenue
Loan origination fees and gain on sale of loans, net$205,848 $134,060 $339,908 $229,576 
Gain on reverse mortgage loans held for investment and HMBS-related borrowings, net2,134 3,230 5,364 2,306 
Loan servicing and other fees67,709 65,788 133,497 120,298 
Valuation adjustment of mortgage servicing rights2,134 20,778 22,912 (26,981)
Interest income36,219 24,728 60,947 44,829 
Interest expense(28,647)(16,541)(45,188)(29,591)
Other income (expense), net
288 (261)27 259 
Net revenue285,685 231,782 517,467 340,696 
Expenses
Salaries, incentive compensation and benefits188,938 140,067 329,005 256,023 
General and administrative28,398 29,211 57,609 41,331 
Occupancy, equipment and communication20,348 19,815 40,163 35,832 
Depreciation and amortization3,970 3,754 7,724 7,399 
(Reversal of) provision for foreclosure losses
(496)392 (104)470 
Total expenses241,158 193,239 434,397 341,055 
Income (loss) before income taxes
44,527 38,543 83,070 (359)
Income tax expense (benefit)
6,936 10,143 17,079 (100)
Net income (loss)
37,591 28,400 65,991 (259)
Net income (loss) attributable to non-controlling interests
8 (98)(90)(5)
Net income (loss) attributable to Guild
$37,583 $28,498 $66,081 $(254)
Earnings (loss) per share attributable to Class A and Class B Common Stock:
Basic$0.61 $0.47 $1.08 $— 
Diluted$0.60 $0.46 $1.06 $— 
Weighted average shares outstanding of Class A and Class B Common Stock:
Basic61,337 61,109 61,223 60,931 
Diluted62,393 62,157 62,275 60,931 
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Key Performance Indicators

Management reviews several key performance indicators to evaluate our business results, measure our performance and identify trends to inform our business decisions. Summary data for these key performance indicators is listed below.
Three Months Ended Six Months Ended
($ and units in thousands)Jun 30,
2024		Mar 31,
2024		Jun 30,
2024		Jun 30,
2023
Origination Data
Total originations(1)
$6,525,898$3,852,539$10,378,437$7,292,475
Total originations (units)(2)
19.211.931.122.4
Gain on sale margin (bps)(3)
326364340323
Pull-through adjusted locked volume(4)
$6,528,825$4,618,203$11,147,028$7,675,669
Gain on sale margin on pull-through adjusted locked volume (bps)(5)
315290305299
Purchase recapture rate(6)
27 %25 %27 %28 %
Refinance recapture rate(7)
22 %26 %25 %26 %
Purchase origination %92 %91 %92 %93 %
Servicing Data
UPB (period end)(8)
$89,092,933$86,319,074$89,092,933$82,030,408
Loans serviced (period end)(9)
358349358335
_________________
(1)Total originations includes retail forward and reverse, brokered, wholesale and correspondent loans.
(2)Total origination units excludes second lien mortgages originated at the same time as the first mortgage or shortly thereafter.
(3)Represents loan origination fees and gain on sale of loans, net plus gain on reverse mortgage loans held for investment and HMBS-related borrowings, net divided by total originations, excluding brokered and wholesale loans, to derive basis points.
(4)Pull-through adjusted locked volume is equal to total locked volume, which excludes reverse loans, multiplied by pull-through rates of 88.0%, 88.0% and 85.4% as of June 30, 2024, March 31, 2024 and June 30, 2023, respectively. We estimate the pull-through rate based on changes in pricing and actual borrower behavior using a historical analysis of loan closing data and “fallout” data with respect to the number of commitments that have historically remained unexercised.
(5)Represents loan origination fees and gain on sale of loans, net divided by pull-through adjusted locked volume.
(6)Purchase recapture rate is calculated as the ratio of (i) UPB of our clients that originated a new mortgage with us for the purchase of a home in a given period, to (ii) total UPB of our clients that paid off their existing mortgage as a result of selling their home in a given period.
(7)Refinance recapture rate is calculated as the ratio of (i) UPB of our clients that originated a new mortgage loan for the purpose of refinancing an existing mortgage with us in a given period, to (ii) total UPB of our clients that paid off their existing mortgage as a result of refinancing their home in the same period.
(8)Excludes subserviced forward and reverse mortgage loans, which had UPB of $2.0 billion, $320.7 million and $34.5 million as of June 30, 2024, March 31, 2024 and June 30, 2023, respectively, and includes loans held for sale of $1.6 billion, $1.0 billion, and $1.0 billion, respectively.
(9)Includes loans held for sale, which had period end number of loans serviced of 6,000, 3,000 and 4,000 as of June 30, 2024, March 31, 2024, and June 30, 2023 respectively.

9

GAAP to Non-GAAP Reconciliations
Reconciliation of Net Income (Loss) to Adjusted Net Income and Earnings (Loss) Per Share to Adjusted Earnings Per Share
(unaudited)
Three Months Ended Six Months Ended
(in millions, except per share amounts)Jun 30, 2024Mar 31, 2024Jun 30, 2024Jun 30, 2023
Net income (loss) attributable to Guild
$37.6 $28.5 $66.1 $(0.3)
Add adjustments:
Change in fair value of MSRs due to model inputs and assumption
(20.6)(32.9)(53.5)(0.1)
Change in fair value of contingent liabilities and notes receivable due to acquisitions, net
6.3 1.1 7.4 1.2 
Amortization of acquired intangible assets2.4 2.2 4.6 4.0 
Stock-based compensation2.7 2.1 4.8 4.1 
Tax impact of adjustments(1)
2.4 7.0 9.4 (2.6)
Adjusted net income
$30.7 $8.0 $38.8 $6.4 
Weighted average shares outstanding of Class A and Class B Common Stock:
Basic
61.3 61.1 61.2 60.9 
Diluted
62.4 62.2 62.3 60.9 
Adjusted diluted(2)
62.4 62.2 62.3 61.7 
Earnings (loss) per share—Basic
$0.61 $0.47 $1.08 $— 
Earnings (loss) per share—Diluted
$0.60 $0.46 $1.06 $— 
Adjusted earnings per share—Basic
$0.50 $0.13 $0.63 $0.10 
Adjusted earnings per share—Diluted
$0.49 $0.13 $0.62 $0.10 
_________________
Amounts may not foot due to rounding
(1)Calculated using the estimated effective tax rate of 25.9%, 25.5%, 25.6% and 28.0% for the three months ended June 30, 2024 and March 31, 2024 and the six months ended June 30, 2024 and June 30, 2023, respectively.
(2)Adjusted diluted weighted average shares outstanding of Class A and Class B Common Stock for the six months ended June 30, 2023 includes $0.8 million potential shares of Class A common stock related to unvested RSUs that were excluded from the calculation of GAAP diluted loss per share because they were anti-dilutive. There were no adjustments for the three months ended June 30, 2024 and March 31, 2024 or for the six months ended June 30, 2024.
10

Reconciliation of Net Income (Loss) to Adjusted EBITDA
(unaudited)
Three Months Ended Six Months Ended
(in millions)Jun 30, 2024Mar 31, 2024Jun 30, 2024Jun 30, 2023
Net income (loss)
$37.6 $28.4 $66.0 $(0.3)
Add adjustments:
Interest expense on non-funding debt
4.7 3.3 8.0 5.4 
Income tax expense (benefit)6.9 10.1 17.1 (0.1)
Depreciation and amortization4.0 3.8 7.7 7.4 
Change in fair value of MSRs due to model inputs and assumptions
(20.6)(32.9)(53.5)(0.1)
Change in fair value of contingent liabilities and notes receivable due to acquisitions, net
6.3 1.1 7.4 1.2 
Stock-based compensation2.7 2.1 4.8 4.1 
Adjusted EBITDA$41.6 $16.0 $57.5 $17.7 
_________________
Amounts may not foot due to rounding
Reconciliation of Return on Equity to Adjusted Return on Equity
(unaudited)
 Three Months Ended Six Months Ended
($ in millions)Jun 30, 2024Mar 31, 2024Jun 30, 2024Jun 30, 2023
Income Statement Data:
Net income (loss) attributable to Guild
$37.6 $28.5 $66.1 $(0.3)
Adjusted net income
$30.7 $8.0 $38.8 $6.4 
Average stockholders’ equity$1,218.3$1,198.8$1,203.0$1,250.4
Return on equity
12.3 %9.5 %11.0 %— %
Adjusted return on equity
10.1 %2.7 %6.4 %1.0 %
11

Reconciliation of Book Value Per Share to Tangible Net Book Value Per Share
(unaudited)

(in millions, except per share amounts)Jun 30,
2024		Dec 31,
2023
Total stockholders' equity$1,222.4 $1,183.5 
Less: non-controlling interests0.6 0.3 
Total stockholders' equity attributable to Guild$1,221.8 $1,183.2 
Adjustments:
Goodwill(198.7)(186.2)
Intangible assets, net(31.7)(25.1)
Tangible common equity$991.4 $971.9 
Ending shares of Class A and Class B common stock outstanding61.4 61.1 
Book value per share$19.90 $19.36 
Tangible net book value per share(1)
$16.15 $15.90 
_________________
Amounts may not foot due to rounding
(1)Tangible net book value per share uses the same denominator as book value per share.
12
v3.24.2.u1
Document and Entity Information
Aug. 08, 2024
Cover [Abstract]  
Document Type 8-K
Document Period End Date Aug. 08, 2024
Entity Registrant Name GUILD HOLDINGS COMPANY
Entity File Number 001-39645
Entity Incorporation, State or Country Code DE
Entity Tax Identification Number 85-2453154
Entity Address, Address Line One 5887 Copley Drive
Entity Address, City or Town San Diego
Entity Address, State or Province CA
Entity Address, Postal Zip Code 92111
City Area Code (858)
Local Phone Number 560-6330
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Security 12b Title Class A common stock, $0.01 par value per share
Trading Symbol GHLD
Security Exchange Name NYSE
Entity Emerging Growth Company false
Amendment Flag false
Entity Central Index Key 0001821160
Guild (NYSE:GHLD)
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