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Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2016
Mar. 31, 2015
Cash flows from operating activities    
Net income $ 14,496 $ 7,508
Adjustments to reconcile net income to net cash used by operating activities:    
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 (6,060) (402)
Capitalization of interest on mortgage loans at fair value (23,294) (10,209)
Capitalization of interest on excess servicing spread (7,015) (3,752)
Amortization of debt issuance costs 3,201 2,581
Net gain on mortgage loans acquired for sale (15,049) (10,160)
Net loss (gain) on investments 3,898 (3,447)
Change in fair value, amortization and impairment of mortgage servicing rights 13,448 14,628
Results of real estate acquired in settlement of loans 6,036 5,832
Share-based compensation expense 1,048 2,544
Purchase of mortgage loans acquired for sale at fair value from nonaffiliates (10,149,221) (8,366,569)
Purchase of mortgage loans acquired for sale at fair value from PennyMac Financial Services, Inc. (4,715) (8,405)
Repurchase of mortgage loans subject to representation and warranties (3,844) (7,708)
Sale and repayment of mortgage loans acquired for sale at fair value to nonaffiliates 3,233,779 2,644,244
Sale of mortgage loans acquired for sale to PennyMac Financial Services, Inc. 6,853,542 4,990,358
Decrease (increase) in servicing advances 9,080 (5,804)
Decrease in due from PennyMac Financial Services, Inc. 2,186 886
Decrease in other assets 24,088 7,164
Increase in accounts payable and accrued liabilities 9,771 4,163
Decrease in payable to PennyMac Financial Services, Inc. (1,318) (5,067)
Decrease in income taxes payable (3,627) (11,514)
Net cash used in operating activities (39,570) (753,129)
Cash flows from investing activities    
Net (increase) decrease in short-term investments (5,635) 94,951
Purchase of mortgage-backed securities at fair value (50,702) (25,129)
Sale and repayment of mortgage-backed securities at fair value 13,848 17,802
Purchase of mortgage loans at fair value 0 (241,981)
Sale and repayment of mortgage loans at fair value 47,865 59,596
Purchase of excess servicing spread from PennyMac Financial Services, Inc. 0 (46,412)
Repayment of excess servicing spread by PennyMac Financial Services, Inc. 20,881 12,731
Sale of excess servicing spread to PennyMac Financial Services, Inc. 59,045 0
Net settlement of derivative financial instruments (2) (13,466)
Sale of real estate acquired in settlement of loans 64,908 65,976
Purchase of mortgage servicing rights (2,602) 0
Sale of mortgage servicing rights 0 376
Deposit of cash collateral securing credit risk transfer agreements (66,706) 0
Distribution from credit risk transfer agreements 2,706 0
Decrease (increase) in margin deposits and restricted cash 2,368 (15,792)
Purchase of Federal Home Loan Bank capital stock (225) 0
Redemption of Federal Home Loan Bank capital stock 7,320 0
Net cash provided by (used in) investing activities 93,069 (91,348)
Cash flows from financing activities    
Sale of assets under agreements to repurchase 11,058,933 9,744,632
Repurchase of assets sold under agreements to repurchase (10,943,166) (8,911,469)
Sale of mortgage loan participation certificates 1,567,101 1,014,727
Repayment of mortgage loan participation certificates (1,504,700) (963,134)
Federal Home Loan Bank advances 28,000 0
Repayment of Federal Home Loan Bank advances (211,000) 0
Advance under notes payable 17,057 0
Repayment under notes payable (46,936) 0
Issuance of asset-backed financing of a variable interest entity at fair value 100,301 0
Repayment of asset-backed financing of a variable interest entity at fair value (8,334) (4,641)
Payment of debt issuance costs (2,427) 0
Issuance of common shares 0 8
Repurchase of common shares (64,471) 0
Payment of contingent underwriting fees payable 0 (470)
Payment of dividends (34,993) (45,894)
Net cash (used in) provided by financing activities (44,635) 833,759
Net increase (decrease) in cash 8,864 (10,718)
Cash at beginning of period 58,108 76,386
Cash at end of period $ 66,972 $ 65,668