FOR IMMEDIATE RELEASE
|FOR FURTHER INFORMATION CONTACT:|
|Michelle D. Esterman|
|Chief Financial Officer|
|T: (770) 612-7007|
ALTISOURCE ANNOUNCES THIRD QUARTER 2022 FINANCIAL RESULTS
Luxembourg, November 3, 2022 - Altisource Portfolio Solutions S.A. (“Altisource” or the “Company”) (NASDAQ: ASPS), a leading provider and marketplace for the real estate and mortgage industries, today reported financial results for the third quarter 2022.
“I am encouraged by our third quarter results and performance. During the quarter, we focused on improving segment margins, growing sales wins and reducing costs. Our Servicer and Real Estate segment continues to benefit from the restart of the default business and operational efficiencies with 45% year-over-year Adjusted EBITDA growth on 14% service revenue growth. In our Origination segment, we had strong sales wins that we estimate represent $10 million of annualized revenue on a stabilized basis,” said Chairman and Chief Executive Officer William B. Shepro.
Mr. Shepro further commented, “The market tailwinds from the restart of the default market, sales wins and cost discipline, should help us return to growth and create substantial value for our stakeholders. Our countercyclical default business should further benefit from a deteriorating economic environment.”
Third Quarter 2022 Highlights(1)
Corporate and Financial:
•Ended the third quarter 2022 with $63.8 million of cash and cash equivalents, a 75% increase from the third quarter of 2021
•Ended the third quarter 2022 with $183.4 million of net debt(2), a 21% reduction from the third quarter of 2021
•Third quarter Adjusted earnings before interest, tax, depreciation and amortization (“EBITDA”)(2) loss of $6.5 million represents a $1.1 million improvement over the third quarter of 2021
•Reduced third quarter 2022 Corporate costs by $5.9 million, representing a 25% reduction, compared to the third quarter 2021 from the sale of Pointillist, costs savings initiatives and the assignment of sales and marketing employees to the segments beginning on January 1, 2022
•The Servicer and Real Estate segment continues to benefit from the restart of the default business with 45% year-over-year Adjusted EBITDA(2) growth on 14% service revenue growth
•The Origination segment had strong sales wins that we estimate represent $10 million of annualized revenue on a stabilized basis
•The current unweighted sales pipeline in the Servicer and Real Estate business is approximately $116 million on a stabilized basis, representing $32 million to $40 million in annual revenue based upon our forecasted probability of closing
•The current unweighted sales pipeline in the Origination business is approximately $83 million on a stabilized basis, representing $21 million to $26 million in annual revenue based upon our forecasted probability of closing
The following information was filed by Altisource Portfolio Solutions S.A. (ASPS) on Thursday, November 3, 2022 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.