Rocket Companies Reports Q2 2025 Financial Results with Revenue Increase but Net Income Decline

Rocket Companies, Inc. reported its financial results for the second quarter of 2025, revealing a total revenue of $1.36 billion, a 4.6% increase from $1.30 billion in the same period last year. The company’s net income for the quarter was $34.1 million, a significant decline from $177.9 million in the prior year, primarily due to increased operational costs and a decrease in loan servicing income. For the first half of 2025, Rocket Companies recorded a net loss of $178.4 million, compared to a net income of $468.6 million in the first half of 2024, reflecting a challenging market environment and increased expenses.

The company originated $29.1 billion in residential mortgage loans during the second quarter, an 18% increase from $24.7 billion in the same quarter of 2024. However, the gain on sale of loans, net, increased by only 8% to $815.9 million, indicating a decline in gain on sale margins. The total expenses for the quarter rose to $1.34 billion, up 20% from $1.11 billion in the previous year, driven by higher salaries, commissions, and marketing expenses associated with increased origination volume.

In terms of strategic developments, Rocket Companies completed the acquisition of Redfin Corporation on July 1, 2025, which is expected to enhance its market position in the real estate sector. Additionally, the company is in the process of acquiring Mr. Cooper Group Inc., with the transaction anticipated to close in the fourth quarter of 2025, subject to regulatory approval. The company also underwent an Up-C Collapse on June 30, 2025, simplifying its organizational structure and eliminating non-controlling interests.

Operationally, Rocket Companies reported a total serviced UPB of $609.2 billion as of June 30, 2025, an increase from $534.6 billion a year earlier. The company’s mortgage servicing rights (MSRs) were valued at $7.57 billion, reflecting a slight increase from $7.16 billion in the previous year. The total number of loans serviced rose to 2.84 million, up from 2.56 million in 2024. The company’s liquidity position remains strong, with $5.1 billion in cash and cash equivalents, bolstered by the recent issuance of $4 billion in senior notes.

Looking ahead, Rocket Companies anticipates continued challenges in the mortgage market due to elevated interest rates and inflationary pressures. The company aims to leverage its recent acquisitions and operational efficiencies to enhance profitability and market share. Management remains focused on maintaining compliance with financial covenants and optimizing its capital structure to support future growth initiatives.