Velocity Financial reported strong financial performance with record net income and loan production, significant portfolio growth, and successful securitizations. Despite a relatively high nonperforming loan rate, the company's strong liquidity position and nonperforming asset resolution efforts contributed positively.

Company Guidance

During the Velocity Financial Second Quarter 2025 Conference Call, the company reported robust financial performance, with net income increasing by 76% and new loan production rising by 72% compared to the second quarter of 2024. Revenue grew by $31 million, and pre-tax income increased by $14 million, driving the core pre-tax return on equity to 24%. The portfolio expanded by nearly $1.4 billion year-over-year, with a 30.8% growth, as commercial properties contributed approximately $770 million and residential properties added $600 million. The company completed four securitizations, issuing nearly $1 billion in securities, enhancing liquidity to $139 million. The net interest margin (NIM) climbed to 3.82%, up 47 basis points from the previous quarter, primarily due to the recapture of delinquent interest on nonperforming loans. The weighted average coupon on the portfolio was 9.67%, with a low loan-to-value ratio of 65.8%. Despite a slight decrease in nonperforming loans to 10.3%, the company achieved positive asset resolution gains of $3.6 million. Looking ahead, Velocity Financial anticipates continued growth in loan originations, driven by strong market conditions and robust investor demand.

Record Quarterly Results

Velocity Financial reported record quarterly results with net income increasing 76% and new loan production up 72% versus Q2 '24.

Revenue and Pretax Income Growth

Revenue grew by $31 million, and pretax income increased by $14 million, boosting core pretax return on equity to 24%.

Portfolio Growth

The portfolio increased by nearly $1.4 billion year-over-year, with commercial properties representing $770 million and residential properties $600 million.

Successful Securitizations

Completed 4 securitizations, issuing just under $1 billion in securities, which freed up $53.5 million of cash for portfolio growth.

Strong Liquidity Position

Increased liquidity to $139 million, with plenty of warehouse capacity to fund growth.

Consistent Loan Production

Record loan production of over $725 million in UPB, a 13.3% increase from the previous quarter.

Nonperforming Loan Resolution

Nonperforming asset resolution gains were $3.6 million or 3.5% of about $104 million of NPA UPB resolved.

Velocity Financial (VEL) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

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VEL Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Oct 30, 2025	2025 (Q3)	0.57 / -	0.47	―	―	―
Aug 07, 2025	2025 (Q2)	0.53 / 0.73	0.45	62.22% (+0.28)
May 01, 2025	2025 (Q1)	0.52 / 0.55	0.51	7.84% (+0.04)
Mar 06, 2025	2024 (Q4)	0.48 / 0.60	0.46	30.43% (+0.14)
Nov 07, 2024	2024 (Q3)	0.48 / 0.47	0.37	27.03% (+0.10)
Aug 01, 2024	2024 (Q2)	0.41 / 0.45	0.38	18.42% (+0.07)
May 02, 2024	2024 (Q1)	0.39 / 0.51	0.33	54.55% (+0.18)
Mar 07, 2024	2023 (Q4)	0.38 / 0.46	0.27	70.37% (+0.19)
Nov 02, 2023	2023 (Q3)	0.35 / 0.37	0.29	27.59% (+0.08)
Aug 03, 2023	2023 (Q2)	0.33 / 0.38	0.31	22.58% (+0.07)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

VEL Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
Aug 07, 2025	$16.33	$17.58	+7.65%
May 01, 2025	$17.85	$17.12	-4.09%
Mar 06, 2025	$18.88	$20.48	+8.47%
Nov 07, 2024	$19.49	$19.82	+1.69%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

FAQ

When does Velocity Financial (VEL) report earnings?

Velocity Financial (VEL) is schdueled to report earning on Oct 30, 2025, Before Open (Confirmed).

What is Velocity Financial (VEL) earnings time?

Velocity Financial (VEL) earnings time is at Oct 30, 2025, Before Open (Confirmed).

Where can I see when companies are reporting earnings?

You can see which companies are reporting today on our designated earnings calendar.

What companies are reporting earnings today?

You can see a list of the companies which are reporting today on TipRanks earnings calendar.

What is VEL EPS forecast?

VEL EPS forecast for the fiscal quarter 2025 (Q3) is 0.57.

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