Rocket Companies reports $709 million Q3 profit

Rocket Companies, the Detroit-based fintech mortgage provider, reported a third-quarter net income of $709 million, a significant reversal from a $124 million loss during the same period last year. Total revenue for the quarter reached $3.28 billion, representing an 84.2% increase year-over-year.

Despite the revenue growth and beating Wall Street expectations for earnings per share, the company issued a Q4 revenue guidance of $2.2 billion, which fell below analysts’ consensus estimates of $2.56 billion. Mortgage production also saw a decline, with closed origination volume falling to $43.6 billion from $49.1 billion in the previous year.

CEO Varun Krishna stated that the company gained market share in both purchase and refinance sectors despite mortgage rates reaching a three-year high. Krishna attributed the performance to heavy investments in technology and the integration of real estate and mortgage services.