Rocket Companies Inc. wrapped up 2025 with higher revenues and growing mortgage activity, the company reported Thursday in its fourth-quarter and full-year 2025 earnings report.
For the full year, Rocket reported total revenue of $6.7 billion and a GAAP net loss of $234 million, or $0.05 per diluted share. On an adjusted basis, revenue was $6.9 billion with adjusted net income of $628 million, or $0.28 per share.
Total net rate lock volume for 2025 reached $132 billion, with closed mortgage originations of $130.4 billion and a gain-on-sale margin of 2.83%. Excluding correspondent loans, net rate lock volume was $126 billion and closed loan volume was $124 billion, with a gain-on-sale margin of 2.93%.
Rocket Mortgage reportedly maintained a 97% net client retention rate, reflecting strong loyalty and lifetime value among borrowers.
“2025 was where Rocket demonstrated who we are. We acquired Redfin. We acquired Mr. Cooper. We executed and delivered against our goals in every quarter,” CEO Varun Krishna said during the company’s earnings call. “We grew market share to 5.5% in Q4, up from 3.8% the year prior. This is no coincidence. It is the result of strategy and disciplined execution.”
Krishna said the results capped a “transformational year” for the company, citing stronger market share and growth across Rocket’s teams. He also pointed to a new three-year partnership with Compass International Holdings, announced on Thursday, which is aimed at helping people buy homes more easily.
During the call, Krishna called the partnership “exciting,” saying it represents the future of search and homeownership. As part of the partnership, Redfin becomes a home search partner for Compass, giving Redfin users access to exclusive listings and expanding Rocket Mortgage’s distribution network.
On the leadership front, Rocket promoted Brian Brown to president while adding to his role as chief financial officer, while Kurt Johnson, formerly of Mr. Cooper, became deputy CFO. Both moves are effective Thursday.
Earnings details
During the company’s earnings call, Krishna noted that Q4 2025 was the company’s first quarter in which it fully consolidated both Redfin’s and Mr. Cooper’s financial results.
In the fourth quarter, Rocket generated total net revenue of $2.69 billion and GAAP net income of $68 million. It also posted a total adjusted revenue of $2.44 billion and adjusted net income of $316 million.
The company generated $41.6 billion in total net rate lock volume and $47.3 billion in total closed mortgage origination volume. That’s compared to its $27.8 billion in closed origination volume in the fourth quarter of 2024. Total gain-on-sale margin, meanwhile, was 2.82%.
Rocket’s servicing portfolio, which includes acquired and subserviced loans, stood at $2.1 trillion in unpaid principal balance, or 9.5 million loans serviced, as of Dec. 31. The portfolio generates approximately $5 billion in annualized recurring cash flow from servicing fee income and deposit income, the company said.
Brown said conversion rates and recapture on the Mr. Cooper portfolio improved quickly, helping drive Rocket’s largest fourth quarter for refinance since 2021.
In Q4, closed loan volume from Rocket’s servicing portfolio hit an all‑time high, Brown said, with more than half of refinances coming from existing servicing clients, up from 30% in Q4 2020.
Brown also said that Rocket’s closed-end second product “continues to resonate” and that its volume nearly doubled year over year. “In fact, the month of December was our largest month ever for the product, surpassing $1 billion of origination volume,” he said.
“On the purchase side, our Redfin preferred pricing bundle is gaining traction,” Brown added. “Volume increased by 40% quarter over quarter. This was a leading driver in the double-digit growth we saw in the direct-to-consumer purchase closings year on year. In the fourth quarter, jumbo loans grew nearly 70% year over year as we expanded the jumbo products available to our loan officers and mortgage broker partners.”
Total liquidity was $10.1 billion at the end of 2025. That includes $2.7 billion of cash on the balance sheet, $100 million of corporate cash used to self-fund originations, $2.3 billion of undrawn lines of credit and $5 billion of undrawn MSR lines of credit.
Company updates and expectations
Krishna also gave a broad company update during the call. Since acquiring Redfin and Mr. Cooper in mid-2025, Krishna said Rocket has advanced integration ahead of schedule, with Redfin realizing $140 million in expense synergies and Mr. Cooper “well ahead” to meet its targets.
Rocket Mortgage launched fully digital purchase preapprovals in February 2026, boosting conversion rates by 2.5 times, while an AI-powered communications platform handles millions of interactions monthly, freeing loan officers to focus on key clients.
Redfin, meanwhile, expanded conversational search across its platforms and launched a ChatGPT app. In February, Rocket and Redfin debuted a joint Super Bowl ad campaign featuring Lady Gaga, paired with a nationwide home search challenge that helped Redfin top Apple’s lifestyle app downloads.
The company said in its earnings release that Rocket Pro hosted Ignite26, a virtual event for 4,000 mortgage broker partners, introducing tools like Jupiter, BrokerNearMe.com campaigns and new AI integration services to support broker growth.
For the first quarter of 2026, Rocket Companies expects adjusted revenue of $2.6 billion to $2.8 billion.
The company also noted that beginning in Q1 2026, it will reclassify warehouse interest on loans held for sale from a contra-revenue account to a direct expense. The change will raise both reported revenue and expenses but will not affect net income or cash flow. The guidance range includes $150 million from this reclassification.
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