XML 18 R7.htm IDEA: XBRL DOCUMENT v3.7.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Cash flows from operating activities      
Net income $ 75,810 $ 90,100 $ 194,544
Adjustments to reconcile net income to net cash used by operating activities:      
Net gain on mortgage loans acquired for sale (106,442) (51,016) (35,647)
Accrual of unearned discounts and amortization of premiums on mortgage- backed securities, mortgage loans at fair value, and asset-backed financing of a variable interest entity 1,766 (719) (1,588)
Capitalization of interest on mortgage loans at fair value (84,820) (57,754) (66,850)
Capitalization of interest on excess servicing spread (22,601) (25,365) (13,292)
Amortization of debt issuance costs 13,152 11,587 9,763
Change in fair value, amortization and impairment of mortgage servicing rights 78,628 53,615 42,124
Reversal of costs related to forward purchase agreements 0 0 (168)
Net gain on investments (7,175) (53,985) (201,809)
Results of real estate acquired in settlement of loans 19,118 19,177 32,451
Share-based compensation expense 5,748 6,346 5,752
Purchase of mortgage loans acquired for sale at fair value from nonaffiliates (66,112,316) (46,423,734) (28,381,456)
Purchase of mortgage loans acquired for sale at fair value from PennyMac Financial Services, Inc. (21,541) (28,445) (8,082)
Repurchase of mortgage loans subject to representation and warranties (11,380) (17,782) 1,747
Sale and repayment of mortgage loans acquired for sale at fair value to nonaffiliates 23,525,952 14,206,816 11,703,015
Sale of mortgage loans acquired for sale to PennyMac Financial Services, Inc. 42,051,505 31,490,920 16,431,338
Decrease (increase) in servicing advances 4,672 (30,255) (40,084)
Decrease (increase) in due from PennyMac Financial Services, Inc. 1,640 (1,863) (127)
Increase in other assets (62,028) (36,161) (24,910)
Increase (decrease) in accounts payable and accrued liabilities 46,657 7,984 (6,361)
(Decrease) Increase in due to PennyMac Financial Services, Inc. (2,549) (4,742) 2,122
Decrease in income taxes payable (15,339) (17,912) (8,518)
Net cash used in operating activities (621,543) (863,188) (366,036)
Cash flows from investing activities      
Net (increase) decrease in short-term investments (80,223) 98,035 (47,502)
Purchase of mortgage-backed securities at fair value (765,467) (84,828) (185,972)
Sale and repayment of mortgage-backed securities at fair value 206,508 64,459 86,783
Purchase of mortgage loans at fair value 0 (241,981) (554,604)
Sale and repayment of mortgage loans at fair value 712,975 279,683 598,339
Sale of mortgage loans at fair value to PennyMac Financial Services, Inc. 891 1,466 0
Repayment of mortgage loans under forward purchase agreements at fair value 0 0 6,413
Purchase of excess servicing spread from PennyMac Financial Services, Inc. 0 (271,554) (95,892)
Repayment of excess servicing spread by PennyMac Financial Services, Inc. 69,992 78,578 39,257
Settlement of excess servicing spread by PennyMac Financial Services, Inc. 59,045 0 0
Net settlement of derivative financial instruments (7,216) (6,809) (10,436)
Purchase of real estate acquired in settlement of loans 0 0 (3,049)
Sale of real estate acquired in settlement of loans 234,684 240,833 184,467
Sale of real estate acquired in settlement of loans under forward purchase agreements 0 0 5,365
Purchase of mortgage servicing rights (2,739) (2,335) 0
Sale of mortgage servicing rights 106 752 474
Deposit of cash securing credit risk transfer agreements (306,507) (147,446) 0
Distribution from credit risk transfer agreements 24,746 1,831 0
Decrease in margin deposits and restricted cash 40,062 8,148 4,329
Purchase of Federal Home Loan Bank capital stock (225) (7,691) 0
Redemption of Federal Home Loan Bank capital stock 7,320 361 0
Net cash provided by investing activities 193,952 11,502 27,972
Cash flows from financing activities      
Sale of assets under agreements to repurchase 70,684,674 50,133,359 31,873,913
Repurchase of assets sold under agreements to repurchase (70,030,317) (49,733,160) (31,183,387)
Sale of mortgage loan participation certificates 6,579,706 5,009,065 4,246,892
Repayment of mortgage loan participation certificates (6,553,789) (5,029,301) (4,226,656)
Advance under notes payable 129,812 394,242 0
Repayment under notes payable (90,812) (158,343) 0
Issuance of asset-backed financing of a variable interest entity at fair value 182,400 110,482 0
Repayment of asset-backed financing of a variable interest entity at fair value (73,624) (24,951) (8,571)
Federal Home Loan Bank advances 28,000 760,484 0
Repayment of Federal Home Loan Bank advances (211,000) (577,484) 0
Advance under financings payable to PennyMac Financial Services, Inc. 0 168,546 0
Repayment under financings payable to PennyMac Financial Services, Inc. 0 (18,546) 0
Issuance of credit risk transfer financing 0 1,204,187 0
Repayment of credit risk transfer financing 0 (1,204,187) 0
Repayment of borrowings under forward purchase agreements 0 0 (227,866)
Payment of debt issuance costs (11,161) (10,928) 0
Issuance of common shares 0 8 90,589
Repurchase of common shares (98,370) (16,338) 0
Payment of common share underwriting and offering costs 0 0 (1,070)
Payment of contingent underwriting fees payable 0 (705) (2,372)
Payment of dividends (131,560) (173,022) (174,433)
Net cash provided by financing activities 403,959 833,408 387,039
Net increase in cash (23,632) (18,278) 48,975
Net (decrease) increase in cash (23,632) (18,278) 48,975
Cash at beginning of year 58,108 76,386 27,411
Cash at end of year $ 34,476 $ 58,108 $ 76,386