`

Stonegate Mortgage's third-quarter loss more than expected

November 4, 2015

Stonegate Mortgage Corp. on Wednesday reported third quarter financial results that fell short of analyst expectations.

The Indianapolis-based non-bank mortgage company took a loss of $22.8 million, or 88 cents cents per share, in the latest quarter, down from a profit of 11.1 million, or 43 cents per share, in the third quarter of 2014.

Earnings, adjusted for one-time gains and costs, came to 2 cents per share, missing the average estimate of 13 cents per share by four analysts surveyed by Zacks Investment Research.

The struggling company reported revenue of $34.9 million in the period, down 45 percent, from $63.1 million, a year ago.

“Stonegate is focused on maximizing shareholder value,” said interim CEO Rich Kraemer in a written statement. “We are refocusing the company in four key areas: producing stable core earnings, continuing to originate quality loans, gaining efficiencies in our operations and strengthening our relationships internally and externally.”

Kraemer took over as company chief after the sudden departure in September of Jim Cutillo, who founded the company 10 years ago.

Stonegate shares closed at $5.69 Wednesday, down 9 cents on the day and 52 percent since the beginning of the year.

ADVERTISEMENT

Recent Articles by IBJ Staff and Associated Press

Comments powered by Disqus