Business Combinations (Tables)

6 Months Ended

Jun. 30, 2024

Madison One

Acquisitions

Schedule of fair value of assets acquired and liabilities acquired

(in thousands)	June 5, 2024
Assets
Cash and cash equivalents	$	83
Restricted cash		721
Servicing rights		16,304
Other assets:
Intangible assets		10,400
Other		303
Total assets acquired	$	27,811
Liabilities
Accounts payable and other accrued liabilities		978
Total liabilities assumed	$	978
Net assets acquired	$	26,833
Non-controlling interests		(600)
Net assets acquired, net of non-controlling interests	$	26,233

Schedule of aggregate amount of consideration transferred, net assets acquired, and related goodwill

(in thousands)		June 5, 2024
Fair value of net assets acquired	$	26,233
Cash paid		32,868
Contingent consideration		3,926
Total consideration transferred	$	36,794
Goodwill	$	10,561

Broadmark

Acquisitions

Schedule of fair value of assets acquired and liabilities acquired

(in thousands)	Preliminary Purchase Price Allocation			Measurement Period Adjustments		Updated Purchase Price Allocation
Assets
Cash and cash equivalents	$	38,710	$	—	$	38,710
Loans, net		772,954		(8,587)		764,367
Real estate owned, held for sale		158,911		(23,671)		135,240
Other assets		17,107		(7,151)		9,956
Total assets acquired	$	987,682	$	(39,409)	$	948,273
Liabilities
Corporate debt, net		98,028		—		98,028
Accounts payable and other accrued liabilities		22,531		819		23,350
Total liabilities assumed	$	120,559	$	819	$	121,378
Net assets acquired	$	867,123	$	(40,228)	$	826,895

Schedule of aggregate amount of consideration transferred, net assets acquired, and related goodwill

(in thousands)		Preliminary Purchase Price Allocation		Measurement Period Adjustments		Updated Purchase Price Allocation
Fair value of net assets acquired	$	867,123	$	(40,228)	$	826,895
Consideration transferred based on the value of common stock issued		637,229		—		637,229
Bargain purchase gain	$	229,894	$	(40,228)	$	189,666

Schedule of pro-forma revenue and earnings

		Three Months Ended June 30,				Six Months Ended June 30,
(in thousands)		2024	2023			2024	2023
Selected Financial Data
Interest income	$	234,119	$	246,245	$	466,473	$	486,050
Interest expense		(183,167)		(172,876)		(366,972)		(333,860)
Recovery of (provision for) loan losses		18,871		(22,360)		45,415		(17,327)
Non-interest income		(82,393)		276,813		(185,021)		309,307
Non-interest expense		(66,239)		(65,526)		(144,101)		(132,242)
Income (loss) before provision for income taxes	$	(78,809)	$	262,296	$	(184,206)	$	311,928
Income tax benefit (expense)		48,579		(5,141)		78,790		(5,532)
Net income (loss)	$	(30,230)	$	257,155	$	(105,416)	$	306,396