PennyMac Mortgage Investment Trust (PMT): Business Model Canvas [Dec-2025 Updated]

You're looking to dissect how PennyMac Mortgage Investment Trust (PMT) actually makes money as a mortgage REIT, and honestly, it's more intricate than just collecting interest. As someone who's spent two decades in this space, I can tell you their model hinges on a tight partnership with PennyMac Financial Services, Inc. (PFSI) to acquire, securitize, and manage a massive portfolio, hitting about $18.5 billion in assets by mid-2025 while aiming to deliver that consistent $0.40 quarterly common share dividend to you, the investor. This isn't just a passive holding company; it's an active manager of credit and interest rate risk through things like Mortgage Servicing Rights (MSRs) valued near $3.74 billion as of Q2 2025. So, let's cut through the noise and map out the nine essential blocks of the PennyMac Mortgage Investment Trust (PMT) business model below.

PennyMac Mortgage Investment Trust (PMT) - Canvas Business Model: Key Partnerships

You're looking at the core relationships that make PennyMac Mortgage Investment Trust (PMT) run, which is really about how it connects with its parent and affiliates to source, manage, and finance assets. These aren't just names on a page; they are the operational backbone.

PennyMac Financial Services, Inc. (PFSI) for external management

PennyMac Mortgage Investment Trust is externally managed by PNMAC Capital Management, LLC (PCM), which is itself a wholly-owned subsidiary of PennyMac Financial Services, Inc. (PFSI). This structure means PFSI provides the ultimate oversight and strategic direction through PCM. For instance, in the third quarter of 2025, PMT reported net income attributable to common shareholders of $47.8 million. It's a tight relationship, as evidenced by PMT and PFSI presenting jointly at the 2025 Barclays Global Financial Services Conference in September 2025.

PNMAC Capital Management, LLC for investment expertise

PCM acts as the SEC-registered investment advisor, providing the day-to-day management and investment expertise for PMT's portfolio, which held total assets of $18.5 billion at one point. PCM oversees the investment focus, which includes Mortgage Servicing Rights (MSRs) and Credit Risk Transfer (CRT) investments. The net assets under management (AUM) for PCM were reported at $1.9 billion.

PennyMac Loan Services, LLC (PLS) for loan servicing

PLS, another PFSI subsidiary, handles the servicing for PMT's residential mortgage loan portfolio under a mortgage banking services agreement. This covers everything from collecting principal and interest payments to loss mitigation and managing escrow accounts. Under a renewed agreement effective July 1, 2025, correspondent production volumes are initially acquired by PFSI, but PLS's fulfillment activities are key to PMT's correspondent aggregation business.

Major financial institutions as repurchase agreement counterparties

Securing financing, often through repurchase agreements (repos), is critical for PMT's investment activities. While specific counterparty names for PMT are not always public in every release, the general structure involves major financial institutions. For example, in June 2025, PMT priced an offering of $100,000,000 Senior Notes due 2030, showing their reliance on capital markets funding. The servicing functions provided by PLS include mortgage financing to facilitate sales of real estate owned properties, which ties into these financing partners.

Investment banks for securitization underwriting

PMT relies on investment banks to underwrite the securitizations of the loans it acquires, turning pools of mortgages into marketable securities. In the June 2025 Senior Notes offering, the joint book-running managers included several large firms. The volume of loans securitized is a direct measure of this partnership activity.

Here is a look at the key transaction volumes related to the correspondent and securitization partnerships in 2025:

The correspondent production segment shows how actively PMT is engaging with PFSI's origination pipeline. For instance, in the third quarter of 2025, PMT retained 100 percent of jumbo correspondent production and 17 percent of conventional conforming correspondent production, with expectations to retain 15 to 25 percent of conventional conforming production in the fourth quarter of 2025.

The key partners involved in the June 2025 Senior Notes offering, which helps fund these activities, included:

• Morgan Stanley & Co. LLC
• Goldman Sachs & Co. LLC
• RBC Capital Markets, LLC
• UBS Investment Bank
• Wells Fargo Securities, LLC
• Keefe, Bruyette & Woods, Inc.
• Piper Sandler & Co.

The servicing relationship with PLS directly impacts PMT's servicing fee income. In the third quarter of 2025, net loan servicing fees were $15.4 million, which included contractually specified servicing fees of $151.4 million, reduced by $89.4 million in realization of MSR cash flows. This servicing income supports the dividend payments, such as the declared third quarter 2025 cash dividend of $0.40 per common share.

Here's a quick snapshot of PMT's financial standing as of the Q3 2025 report, which reflects the success of these operational partnerships:

Finance: draft 13-week cash view by Friday.

PennyMac Mortgage Investment Trust (PMT) - Canvas Business Model: Key Activities

You're looking at the core engine of PennyMac Mortgage Investment Trust (PMT), the things they actually do to generate returns. It's all about acquiring loans, packaging them up, and managing the resulting interest rate exposure. Here's the quick math on their Q3 2025 activity, which gives you a solid snapshot of their operational focus.

Acquiring and aggregating conventional and jumbo mortgage loans is the starting point. This activity is heavily reliant on the relationship with PennyMac Financial Services, Inc. (PFSI). For the third quarter of 2025, PennyMac Mortgage Investment Trust acquired a total of $4.6 billion in unpaid principal balance (UPB) of loans. Specifically, they pulled $3.3 billion in UPB of conventional conforming and jumbo loan volume directly from PFSI through their fulfillment agreement. On top of that, they acquired another $1.3 billion in UPB of loans from PFSI's production for their private label securitizations that quarter. To give you context on commitment levels, interest rate lock commitments on conventional conforming and jumbo loans for PennyMac Mortgage Investment Trust's account totaled $4.4 billion as of the end of Q3 2025.

Next up is Securitizing loans into private label mortgage-backed securities (MBS). This is where they take those acquired loans and turn them into securities they can hold or sell. In Q3 2025, PennyMac Mortgage Investment Trust closed three Agency-eligible investor loan securitizations and one Jumbo loan securitization, totaling a combined UPB of $1.5 billion. You can see the granular breakdown of their securitization and related credit investment activity below, which shows a steady flow of execution:

The activity didn't stop at quarter end; for instance, after September 30, 2025, they closed a jumbo loan securitization with a UPB of $336 million and an Agency-eligible securitization with a UPB of $387 million. They also priced their inaugural Agency-eligible owner occupied loan securitization with a UPB of $292 million post-quarter end.

The Investing in Mortgage Servicing Rights (MSRs) and Agency MBS is crucial for ongoing income. PennyMac Mortgage Investment Trust is constantly adding to its MSR asset base; they created $46 million in new MSRs during Q3 2025. At the end of Q1 2025, the fair value of their MSR asset stood at $3.8 billion. On the MBS side, in Q3 2025, they purchased $876.4 million of Agency floating rate mortgage-backed securities (MBS). The interest income for the segment holding these assets was $173.8 million in Q3 2025, up from $137.5 million in the prior quarter, partly due to that Agency MBS addition.

Managing interest rate risk through hedging activities is a constant necessity given the MSR and MBS holdings. PennyMac Mortgage Investment Trust uses hedging to manage net exposure across these interest rate sensitive strategies. For example, in the first quarter of 2025, fair value declines on MSR investments were $56 million, but this was partially offset by an increase in MBS fair value of $65 million due to lower market interest rates, with interest rate hedges decreasing by $40 million in fair value that quarter. Net loan servicing fees in Q3 2025 included $89.4 million in realization of MSR cash flows.

Finally, Generating credit risk transfer (CRT) investments allows them to manage credit exposure. In Q3 2025, PennyMac Mortgage Investment Trust sold the remainder of their opportunistic investments in GSE-issued CRT for $195 million. However, they continue to organically create these investments; net gains on their organically-created CRT investments for Q3 2025 were $13.7 million. This contrasts with Q2 2025, where net gains on organically-created CRT investments reached $20.3 million. You should also note that in Q1 2025, they retired $45 million in credit risk transfer (CRT) term notes.

Finance: draft 13-week cash view by Friday.

PennyMac Mortgage Investment Trust (PMT) - Canvas Business Model: Key Resources

You're looking at the core assets that make PennyMac Mortgage Investment Trust (PMT) tick. These aren't just line items; they're the financial muscle and the structural advantages that define the business.

The sheer scale of the balance sheet is a primary resource. As of the third quarter of 2025, PennyMac Mortgage Investment Trust's Total assets stood at approximately $18.5 billion. This asset base is what allows the trust to deploy capital into its core investment strategies.

Underpinning that asset base is the capital structure. The trust maintained a significant equity base, reported at about $1.9 billion in shareholder's equity around mid-2025, which is crucial for absorbing potential market fluctuations. This equity supports the investment portfolio and the overall operational stability.

A critical, non-financial resource is the integrated operational capability derived from its manager. PennyMac Mortgage Investment Trust relies heavily on its Proprietary loan acquisition and fulfillment platform via PFSI (PennyMac Financial Services, Inc.). This relationship provides PMT with a consistent, high-quality pipeline of newly originated loans for investment, which is a major competitive edge in sourcing assets.

The investment portfolio itself is a defining key resource, particularly the high-value servicing assets. The Portfolio of MSRs (Mortgage Servicing Rights) was valued at approximately $3.8 billion at the end of the second quarter of 2025. This portfolio, along with Credit Risk Transfer (CRT) arrangements, forms the stable, income-producing core of the investment strategy.

Finally, the legal structure is a strategic enabler. PennyMac Mortgage Investment Trust benefits from its REIT tax status, which is designed to allow for high dividend distributions to shareholders. This structure aligns the trust's objective with providing attractive, primarily income-based, returns.

Here's a quick look at the scale of the primary financial resources as of the mid-to-late 2025 reporting periods:

The operational synergy with PennyMac Financial Services, Inc. translates into specific sourcing advantages:

• Leveraging PFSI's scaled servicing operations.
• Access to a large, agile multi-channel origination business.
• Ability to acquire loans from PFSI's production pipeline.
• Retaining the right to purchase up to 100 percent of non-government correspondent production.

This relationship is definitely a cornerstone asset for PMT's investment pipeline.

PennyMac Mortgage Investment Trust (PMT) - Canvas Business Model: Value Propositions

You're looking at PennyMac Mortgage Investment Trust (PMT) to understand the core value it delivers to investors, which is built heavily on its unique structure and relationship with PennyMac Financial Services, Inc. (PFSI).

High-yield investment vehicle for mortgage-related assets

The primary draw here is the potential for high income from a specialized asset class. PennyMac Mortgage Investment Trust (PMT) focuses its investments on residential mortgage loans and related assets, which is the essence of a mortgage REIT. This strategy aims to generate substantial returns for shareholders. For instance, in the third quarter of 2025, the trust acquired a total of $4.6 billion in unpaid principal balance (UPB) of loans. Furthermore, it actively built out its portfolio by generating $84 million of net new investments in non-Agency subordinate bonds and $50 million of net new investments in non-Agency senior bonds during Q3 2025.

Access to the U.S. residential mortgage market for investors

PennyMac Mortgage Investment Trust (PMT) offers investors a way to gain exposure to the U.S. residential mortgage market through its investment activities. This access is highly structured, involving both direct acquisitions and securitization efforts. The trust closed three Agency-eligible investor loan securitizations and one Jumbo loan securitization in Q3 2025, totaling a combined UPB of $1.5 billion. This ability to originate and structure assets is key to its market access.

Integrated, low-cost operating model via the PFSI relationship

This is arguably the most concrete competitive advantage you see in the numbers. The external management structure with PFSI creates a pipeline of assets and cost efficiencies that many peers can't match. In Q3 2025, PennyMac Mortgage Investment Trust acquired $3.3 billion in UPB of conventional conforming and jumbo loan volume directly from PFSI through their fulfillment agreement, which was up 8 percent from the prior quarter. Additionally, it acquired $1.3 billion in UPB of loans from PFSI's production, marking a 28 percent increase from the prior quarter. This integration resulted in the creation of $46 million in new mortgage servicing rights (MSRs) in that quarter alone. The efficiency is clear when you look at operating margins; for Q3 2025, the Operating Margin stood at 47.36 percent, well above the general REIT average of 29.13 percent. Even corporate expenses were tightly managed, coming in at $14.3 million in Q3 2025.

Here's a quick look at some key operational and investment metrics from Q3 2025:

Active risk management against interest rate volatility

For a mortgage REIT, managing interest rate risk is non-negotiable, and PennyMac Mortgage Investment Trust (PMT) emphasizes its active hedging. The strong levels of income reported for Q3 2025 were explicitly noted as excluding market-driven value changes and including strong interest rate risk hedging results. This suggests the hedging program is effectively mitigating the impact of rate swings on earnings. As part of its capital management, the trust also sold $195 million of opportunistic investments in GSE-issued CRT during Q3 2025, realizing significant gains, which shows active portfolio positioning.

Consistent common share dividend of $0.40 per quarter (Q3 2025)

The commitment to a steady income stream is a core value proposition, especially when earnings can be volatile. PennyMac Mortgage Investment Trust's Board declared a cash dividend of $0.40 per common share for the third quarter of 2025. This translates to an annual rate of $1.60 per share. This consistent payout, even when Q2 2025 saw a net loss of $3 million due to nonrecurring items, signals management's confidence in the underlying cash flow stability derived from its platform. The current dividend yield is cited around 12.60 percent.

You should keep an eye on the payout ratio, as the company currently pays out 75.24 percent of its cash flow as dividends, but the dividend coverage is a key factor to watch given the uneven earnings across recent quarters.

• The Q3 2025 dividend of $0.40 per share was declared on September 17, 2025.
• The annualized dividend rate is $1.60 per share.
• Book value per common share increased to $15.16 as of September 30, 2025.
• Total debt was approximately $16.3 billion against total equity of roughly $1.9 billion as of September 30, 2025.

Finance: draft the Q4 2025 cash flow projection incorporating the latest MSR creation figures by next Tuesday.

PennyMac Mortgage Investment Trust (PMT) - Canvas Business Model: Customer Relationships

You're looking at how PennyMac Mortgage Investment Trust (PMT) manages its relationships with the people who fund its operations and those who scrutinize its performance. It's a multi-faceted approach, balancing direct communication with formal compliance.

Investor Relations team for common and preferred shareholders

The Investor Relations department is the direct line for both common and preferred shareholders. They handle inquiries and disseminate key financial updates. For instance, the Q3 2025 results were released on October 21, 2025, followed by a conference call at 6:00 p.m. Eastern Time. If you need materials, you can contact them at $\text{818.224.7028}$ or email $\text{investorrelations@pennymac.com}$.

The relationship with preferred shareholders is defined by their declared distributions. For the third quarter of 2025, dividends were declared on the following series:

Common shareholders received a cash dividend of $\text{\$0.40}$ per common share for the third quarter of 2025, which was paid on October 24, 2025, to shareholders of record as of October 10, 2025. The book value per common share stood at $\text{\$15.16}$ as of September 30, 2025.

Direct engagement with institutional investors and analysts

PennyMac Mortgage Investment Trust actively engages the institutional base. As of November 18, 2025, Institutions Ownership stood at 70.53% of the float, indicating significant professional interest. Insider Ownership was only 0.97%. The company uses formal events to communicate strategy and results.

Key engagement points included:

• Third Quarter 2025 Earnings Presentation on October 21, 2025.
• Fireside Chat at the Barclays Global Financial Services Conference on September 8, 2025.
• Presentation at the Nareit REIT week 2025 Investor Conference on June 3, 2025.

The market capitalization for PMT as of mid-November 2025 was around $\text{\$1.11B}$, with a float of $\text{86.16M}$ shares.

Transactional relationships with capital markets counterparties

The relationship with capital markets counterparties is built on the execution of securitizations, which are key to managing the asset portfolio. During the third quarter of 2025, PennyMac Mortgage Investment Trust closed several significant transactions:

• Jumbo loan securitization with an Unpaid Principal Balance (UPB) of $\text{\$336 million}$.
• Agency-eligible investor loan securitization with a UPB of $\text{\$387 million}$.
• Inaugural Agency-eligible owner occupied loan securitization with a UPB of $\text{\$292 million}$.

This activity resulted in the creation of $\text{\$46 million}$ in new mortgage servicing rights (MSRs) during the quarter. The short interest as of November 18, 2025, was 4.91%.

Regulatory compliance and transparent SEC filings

Transparency is maintained through timely regulatory filings. You can track the latest disclosures, such as the Quarterly Earnings Report on Form 10-Q filed on October 29, 2025, and the Annual Report (10-K) filed February 20, 2025. For the 2025 Annual Meeting of Shareholders on June 24, 2025, shareholders could submit questions in advance to the Investor Relations email by June 23, 2025, at 4:30 PM Pacific Time, using their control number found on their Proxy Card or Voting Instruction Form to vote online at $\text{www.proxyvote.com}$.

PennyMac Mortgage Investment Trust (PMT) - Canvas Business Model: Channels

You're looking at how PennyMac Mortgage Investment Trust (PMT) gets its products and services-which are primarily mortgage-related assets and investment opportunities-out to the market and how it raises the capital to fund those investments. It's a mix of public markets and direct execution, which makes sense for a specialty finance company like this.

New York Stock Exchange (NYSE) for common and preferred stock trading

The NYSE is where PennyMac Mortgage Investment Trust trades its common and preferred shares, giving investors a liquid way to buy and sell ownership interests. This public listing is key for capital structure management and providing shareholder returns.

For the third quarter of 2025, the book value per common share stood at $15.16 as of September 30, 2025. The company declared a common dividend of $0.40 per common share for that same quarter. The market capitalization, based on data around that period, was around $1.12B, with a float of 86.16M shares.

PennyMac Mortgage Investment Trust also manages its preferred stock capital structure through the NYSE, as evidenced by the declaration of Fourth Quarter 2025 Dividends for its preferred shares in November 2025.

Secondary mortgage markets for loan sales and securitizations

This is where PennyMac Mortgage Investment Trust really moves its product-the loans it acquires, often from PennyMac Financial Services, Inc. (PFSI). They package these loans into securities, primarily private label mortgage-backed securities (MBS), and sell them into the secondary market. This channel recycles capital and generates investment income from retained securities.

The activity here is substantial. Since the fourth quarter of 2024 through the third quarter of 2025, PennyMac Mortgage Investment Trust successfully completed 16 securitizations totaling $5.7 billion in Unpaid Principal Balance (UPB), retaining investments of more than $460 million in those deals. The total servicing portfolio, which is related to these assets, grew to $716.6 billion in UPB at September 30, 2025.

Here's a look at the recent securitization flow:

• Closed four non-Agency securitizations in Q3 2025 totaling $1.5 billion in UPB.
• Acquired $1.3 billion in UPB of loans from PFSI for private label securitizations in Q3 2025.
• Closed an Agency-eligible investor loan securitization in Q3 2025 with $387 million UPB.
• Priced inaugural Agency-eligible owner occupied loan securitization in Q3 2025 with $292 million UPB.
• In Q2 2025, executed four private label securitizations totaling $1.4 billion in UPB.
• In Q1 2025, closed three Agency-eligible investor loan securitizations with a combined UPB of $1.0 billion.

Direct private placements for debt and equity capital raising

To fund its investment activities, PennyMac Mortgage Investment Trust taps the debt markets directly, often through private placements or underwritten public offerings of notes. This is a crucial channel for securing long-term, fixed-rate funding.

We saw a few recent examples of this direct capital raising:

• In June 2025, PennyMac Mortgage Investment Trust priced an underwritten public offering of $100,000,000 aggregate principal amount of its 9.00% Senior Notes due 2030.
• During the second quarter of 2025, the trust opportunistically issued $105 million in unsecured senior notes.
• In the first quarter of 2025, PennyMac Mortgage Investment Trust issued $173 million in unsecured senior notes due to mature in 2030.

These proceeds are used to fund business and investment activities, including investments in subordinated bonds from securitization activities and the acquisition of mortgage servicing rights.

Investor website and quarterly earnings webcasts

The digital presence is the direct line to current and prospective investors for updates on performance and strategy. The investor relations section of the website serves as the central repository for official documentation.

Key channels for investor communication include:

• The official website, pmt.pennymac.com, hosts press releases, presentations, and supplements.
• Quarterly earnings webcasts are held following results announcements, such as the one for Third Quarter 2025 Results on October 21, 2025, at 6:00 p.m. Eastern Time.
• Other investor events, like the Barclays Global Financial Services Conference 2025 fireside chat on September 8, 2025, are also broadcast via webcast.

Finance: draft 13-week cash view by Friday.

PennyMac Mortgage Investment Trust (PMT) - Canvas Business Model: Customer Segments

You're looking at the core groups PennyMac Mortgage Investment Trust (PMT) serves, which are distinct from the customers of its manager, PennyMac Financial Services (PFSI). PMT's customers are primarily capital providers, not mortgage borrowers.

Retail investors seeking dividend income (as a REIT)

This segment is attracted by the Real Estate Investment Trust (REIT) structure, aiming for consistent cash distributions. The objective for PennyMac Mortgage Investment Trust is to provide attractive risk-adjusted returns to its shareholders over the long-term, primarily through dividends. You can see the commitment in the recent payout history.

• Annualized dividend per share is currently stated as $1.60.
• The latest declared quarterly dividend was $0.40 per common share in September 2025.
• The current dividend yield stands at 12.64%.
• Book value per common share increased to $15.16 as of September 30, 2025.
• The annualized return on average common shareholders' equity was 14 percent for the third quarter of 2025.

Capital markets participants (MBS buyers, debt investors)

These participants buy the assets PennyMac Mortgage Investment Trust creates or invests in, often through securitization or direct bond purchases. They are key to funding the trust's investment strategy, which focuses on mortgage-related assets like Mortgage Servicing Rights (MSRs) and various Mortgage-Backed Securities (MBS).

Here's a snapshot of the investment activity that attracts this group in the third quarter of 2025:

Also, debt investors are a segment, as evidenced by the recent offering of senior notes. In June 2025, PennyMac Mortgage Investment Trust offered $100,000,000 principal amount of its 9.00% senior notes due 2030.

Correspondent mortgage loan sellers (indirectly through PFSI)

These are the mortgage originators who sell newly originated loans to PennyMac Financial Services (PFSI), which then fulfills them for PennyMac Mortgage Investment Trust to acquire. This relationship is central to PMT's Correspondent Production segment. For the twelve months ended September 30, 2025, PennyMac Financial's total production of newly originated loans was $139 billion in unpaid principal balance (UPB).

Specific Q3 2025 transaction details between PFSI and PMT show the flow:

• Loans acquired by PMT from PFSI totaled $3.3 billion in UPB.
• This was up 8 percent from the $3.1 billion retained in the prior quarter.
• PMT retained 100 percent of total jumbo correspondent loan volume from PFSI.
• PMT retained 17 percent of total conventional conforming correspondent loan volume from PFSI.

For the fourth quarter of 2025, PennyMac Mortgage Investment Trust expects to acquire all jumbo correspondent production and 15 to 25 percent of total conventional conforming correspondent production.

PennyMac Mortgage Investment Trust (PMT) - Canvas Business Model: Cost Structure

You're looking at the core expenses that drive PennyMac Mortgage Investment Trust's operations as of late 2025. These are the real dollars that flow out to keep the investment trust running and servicing its assets.

Interest expense on financing remains a major cost driver, reflecting the cost of funding the assets on the balance sheet. For the parent entity, PennyMac Financial Services, Inc. (PFSI), total interest expense in Q3 2025 was reported as $249.9 million.

The leverage structure is evident in the liabilities side of the balance sheet, particularly in secured financing arrangements:

The figure for assets sold under repurchase agreements as of Q2 2025 aligns with the $6.83 billion figure you noted, based on the search result showing $6,826,855 in thousands.

Costs related to the external management structure and operational overhead include:

• Management fees paid to PNMAC Capital Management, LLC: $6.9 million in Q3 2025.
• General and administrative operating expenses (PMT Corporate expenses excluding management fees): $7.4 million in Q3 2025.

Hedging activities and loan fulfillment generate significant, variable costs. For instance, in Q2 2025, PennyMac Mortgage Investment Trust's Interest Rate Sensitive Strategies segment recorded hedging losses of $60.6 million. Loan fulfillment fees, paid by PennyMac Mortgage Investment Trust to PennyMac Financial Services, Inc. for loan origination support, were $6.162 million in Q3 2025.

Other key cost components for the related entity in Q3 2025 include:

• Servicing segment expenses totaled $102.1 million.
• Production segment expenses were $238.9 million.

Finance: draft 13-week cash view by Friday.

PennyMac Mortgage Investment Trust (PMT) - Canvas Business Model: Revenue Streams

You're looking at how PennyMac Mortgage Investment Trust (PMT) actually brings in the money, which is key to understanding its stability, especially in a shifting rate environment. The revenue streams are quite specific to a mortgage REIT, focusing heavily on the spread between what they earn on assets and what they pay for funding, plus fees from servicing.

The overall performance metric you're tracking is the Net investment income, which for the third quarter of 2025 was reported at $99.2 million. This number is the bedrock, representing the core earnings from the assets held on the balance sheet, before accounting for market value changes on some of those assets.

The revenue sources are diverse, pulling from both asset ownership and fee-based activities. Here's a look at the key components derived from the Q3 2025 results:

• Net investment income (Q3 2025): $99.2 million
• Net gains on loans acquired for sale (Q3 2025): $14.9 million
• Net loan servicing fees (Q3 2025): $15.4 million

The business model relies on several distinct activities to generate these figures. For instance, the segment that deals with credit-sensitive strategies-think GSE CRT investments and non-Agency subordinate bonds-generated its own net investment income of $18.8 million in the quarter. That's a significant chunk of the total.

Here's a breakdown of the components that feed into the overall picture, focusing on the activity from the correspondent production segment and the credit-sensitive strategies:

You can see the servicing piece is quite detailed. The Net loan servicing fees of $15.4 million is actually the net result of a few moving parts. Contractually specified servicing fees were high, but they were offset by the realization of cash flows from the Mortgage Servicing Rights (MSR) portfolio.

The components of the Net Loan Servicing Fees for Q3 2025 looked like this:

• Contractually specified servicing fees: $151.4 million
• Realization of MSR cash flows: $89.4 million (a reduction)
• Other fees: $4.4 million
• Fair value losses on MSRs: $27.0 million (a reduction)
• MSR recapture income: $3.3 million

The Net interest income from retained investments and loan portfolios is harder to isolate cleanly as a single line item matching the prompt's request, because the reported figures break down by segment. However, the Interest Rate Sensitive Strategies segment reported interest income of $173.8 million, with a net interest expense of $5.4 million for that segment, suggesting a significant positive contribution from retained investments like Agency MBS. Honestly, you have to look at the segment data to see where the bulk of the interest spread is coming from.

Finally, those Realized gains from the sale of opportunistic investments, specifically from the organically-created GSE CRT, contributed $13.5 million in realized gains and carry for the quarter. This shows PMT is actively managing and monetizing its credit risk positions, which is a distinct revenue driver from its core interest income.

Finance: draft 13-week cash view by Friday.