Rithm Capital Corp. (NYSE:RITM) Q1 2024 Earnings Conference Call April 30, 2024 8:00 AM ET

Company Participants

Emma Bolla - Associate General Counsel
Michael Nierenberg - Chairman, CEO and President
Baron Silverstein - President, Newrez

Conference Call Participants

Bose George - KBW
Eric Hagen - BTIG
Doug Harter - UBS
Stephen Laws - Raymond James
Jason Weaver - Jones Trading
Trevor Cranston - JMP Securities
Crispin Love - Piper Sandler

Operator

Hello and welcome to the Rithm Capital First Quarter 2024 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions] Please note this event is being recorded.

I would now like to hand the call to Emma Bolla, Associate General Counsel. Please go ahead.

Emma Bolla

Thank you and good morning everyone. I would like to thank you for joining us today for Rithm Capital's first quarter 2024 earnings call.

Joining me today are Michael Nierenberg, Chairman, CEO and President of Rithm Capital; and Nick Santoro, Chief Financial Officer of Rithm Capital; and Baron Silverstein, President of Newrez. Throughout the call, we are going to reference the earnings supplement that was posted this morning to the Rithm Capital website www.rithmcap.com. If you've not already done so, I'd encourage you to download the presentation now.

I would like to point out that certain statements made today will be forward-looking statements. These statements, by their nature, are uncertain and may differ materially from actual results. I encourage you to review the disclaimers in our press release and earnings supplement regarding forward-looking statements and to review the risk factors contained in our annual and quarterly reports filed with the SEC.

In addition, we will be discussing some non-GAAP financial measures during today's call. Reconciliations of these measures to the most directly comparable GAAP measures can be found in our earnings supplement.

And with that I will turn the call over to Michael.

Michael Nierenberg

Thanks, Emma. Good morning, everyone, and thanks for joining us. As you look at our business, another very solid quarter for Rithm and quite frankly all of our operating companies. All of our business lines performed extremely well. With the recent backup in rates, the market should provide us with great opportunities to deploy capital and generate and continue to generate outsize returns.

Regarding risk, we are much closer to home from a duration perspective. With Fed speak early in the quarter and quite frankly late last year targeting lower rates, we -- throughout the first quarter we hedged most of our MSR risk or MSR positions. What this should do for the company is continue to create stability in earnings, as well as book value on a go-forward basis. As everyone knows, we set out on a mission to grow our alternatives business. To be clear, this is not just in size, but more importantly, excellent risk-adjusted returns for our shareholders and LPs.