On this page of StockholderLetter.com we present the latest annual shareholder letter from Rithm Capital Corp. — ticker symbol RITM. Reading current and past RITM letters to shareholders can bring important insights into the investment thesis.
2024 Annual Report
Rithm Capital Corp. Opportunity Industry Leading Franchises Rithm benefits from connectivity across its platforms, collaborating on strategy, execution, market insights and risk management. Innovation Partnership $45B Assets $8B Total Equity $6B Dividends(1) $34B Assets Under Management(2) 11% Total Shareholder Return(3) Highlights + Grew Multiple Asset Generating Platforms + Deepened & Diversified our Capital Base + Expanded Asset Management Capabilities
Dear Fellow Shareholders At Rithm, we often talk about our performance-first ethos. It is our driving principle, setting the bar for every decision we make to strengthen the power of our platform, enhance our talent, and most importantly unlock value for our fund investors and public shareholders. In 2024, we took a number of significant actions in line with our long-term strategy to deliver value by growing our business, diversifying and synergizing Rithm s public and private asset management capabilities, and further establishing our one-of-a-kind operating ecosystem. In particular, through our integrated operating platforms and more than 6,000 talented employees, we are tapping the immense potential of our end-to-end capabilities by manufacturing our own assets and creating new revenue synergies. We continue to believe that our bold transformation into a multi-dimensional asset manager will shift the paradigm used to value Rithm s equity. Our unique business model is designed to produce predictable returns through cycles and growth over the long term. In 2024, all of our core businesses generated differentiated alpha and grew substantially, providing us confidence in our strategy and future potential. During Rithm Capital 2024 Annual Report the year, Rithm grew earnings by 23% when adjusting for one-time gains in 2023 and grew book value by 6%. Capitalizing on Macro Dynamics Our experience and rigorous approach proved critical in 2024 given noisy economic drivers and price levels that reflected the constantly changing mood in the market and in benchmark rates. Interest rates were volatile in the face of economic and geopolitical uncertainty. Yet, an anticipated softening in the economy never materialized as employment data remained healthy, and expectations for change in political leadership drove an improvement in risk assets. This market backdrop drove asset price inflation with the S&P 500 achieving record highs and credit spreads tightening to multi-cycle lows. Despite widespread asset price inflation, certain sectors such as commercial real 1
Our growth as an asset manager will make Rithm a more resilient business and provide exciting growth potential for shareholders and private capital partners. estate and structured products continued to be attractive for deploying capital. Investments in these sectors require highly specialized capabilities, and we leveraged the full breadth of Rithm s ecosystem and in-house expertise to identify and pursue attractive opportunities. Asset Management Growth and Synergy We remain very excited by the potential for our asset management platforms to deliver ongoing performance for both fund investors and shareholders. We are building a world-class asset management platform by harnessing the combined strength of our operating ecosystem our deep expertise navigating market and economic cycles, and the exceptional talent across the firm and its robust capital base. With close to $8 billion in permanent capital and extensive capital markets relationships, Rithm is well-positioned to provide innovative financing to our partners and generate attractive returns for investors. Rithm s core investment platform continues to scale significantly with a focus on asset-based opportunities. Asset-based finance is an integral part of Rithm s DNA, and we have completed over $50 billion of residential and consumer credit securitizations since inception. Rithm s ability to control origination and underwriting through our operating ecosystem, combined with our 2 servicing capabilities, enables us to manage risk and optimize returns. This cross-business collaboration is critical to the strategy and performance of our principal portfolio and funds alike. In 2024 and into 2025, we have positioned the platform to capture a unique opportunity to integrate asset-based finance into current gaps in energy infrastructure, which will allow us to strategically expand our platform and drive value. By channeling capital into tangible, incomegenerating assets, such as advanced data centers, modernized power grids, and next-generation energy facilities, we expect to build a resilient, differentiated portfolio that will underpin the digital transformation of the global economy. In its first year within the Rithm ecosystem, Sculptor Capital our wholly owned alternative investment manager delivered great returns for its fund investors across all three primary investment strategies. As a harbinger of things to come, Sculptor s AUM grew to approximately $34 billion following the recent closing of two new CLOs and a new vintage of Sculptor Real Estate s highly successful opportunistic CRE fund, which attracted approximately $3.2 billion in total commitments. Driven by an anchor investment from Rithm, Sculptor also extended its CLO capabilities through the launch of a captive CLO equity investment
platform, demonstrating our ability to cross-pollinate between operating platforms and leverage our deep capital base to deliver revenue synergies. Rithm Property Trust (NYSE: RPT) is another example of our nimble ecosystem enabling us to be opportunistic. We stepped in as the external manager of a separate publicly listed mortgage REIT, which we renamed Rithm Property Trust, and quickly repositioned the investment portfolio, improved its financial performance, and we expect it to deliver attractive returns for its shareholders, while growing high-quality fee-related earnings. RPT is poised to continue to grow and capitalize on a dynamic commercial real estate sector. Expanding World-Class Origination and Servicing Capabilities As banks have retrenched from lending in recent years, private capital solutions are in demand, and Rithm s integrated operating platforms have enabled us to grow into one of the largest residential mortgage and business purpose lenders in the U.S. Genesis Capital, our residential transitional lending platform, originated $2.0 billion in 2021, the year we acquired the business. In subsequent years as part of Rithm, the Genesis team has carefully invested to scale their platform by cultivating relationships with some of the highest-quality residential development sponsors in the U.S. As a result, in 2024, originations reached $3.6 billion, reflecting organic growth of approximately 80% in three years. The credit performance of our platform remains superb, and we couldn t be more excited about its potential to create assets for both the principal investment portfolio and funds, and to deliver healthy returns and growth. Our mortgage company, Newrez, also took steps to further distinguish itself from peers. In a sector where scale is an increasingly necessary ingredient for success, Newrez became the third-largest servicer and fifthlargest lender in the U.S. by the end of 2024. Profitability remains the primary financial objective and, through the persistent dedication of the team, Newrez generated a 20% return-on-equity in Q4 24, which is top-tier performance in its sector. Importantly, we are investing to capture additional share and optimize Newrez, ensuring the platform is positioned to be a source of durable earnings and cash flow well into the future. Recent publicmarket transactions underscore the significant value of the Newrez platform, supporting our rationale to consider alternatives to unlock value for shareholders. Rithm Capital 2024 Annual Report Working Hand-in-Hand to Support Our Communities When Hurricanes Helene and Milton struck the Southeast, Rithm joined forces with a group of artists as an official corporate sponsor of SOULSHINE, a live benefit concert at Madison Square Garden, which raised over $4.5 million for impacted communities. Newrez led the coordinated effort, making an additional $500,000 commitment to support Habitat for Humanity and the Newrez Employee Emergency and Disaster (NEED) Fund, which provides immediate financial assistance to employees facing unforeseen emergencies, including natural disasters like hurricanes and wildfire, medical crises, or other significant personal hardships. Through nationwide engagement with local communities, the Newrez team volunteered over 11,000 hours to support recovery, resilience and hope in these regions. Our support teams were on the ground meeting with homeowners face-to-face following floods and fires and demonstrating the Newrez promise to care fiercely for the homeowners and communities we support. 3
 • shareholder letter icon 4/9/2025 Letter Continued (Full PDF)
 • stockholder letter icon 4/11/2023 RITM Stockholder Letter
 • stockholder letter icon 4/11/2024 RITM Stockholder Letter
 • stockholder letter icon More "REITs" Category Stockholder Letters
 • Benford's Law Stocks icon RITM Benford's Law Stock Score = 90


RITM Shareholder/Stockholder Letter Transcript:

2024 Annual Report

Rithm Capital Corp.
Opportunity
Industry Leading Franchises
Rithm benefits from connectivity across
its platforms, collaborating on strategy,
execution, market insights and risk
management.
Innovation
Partnership
$45B
Assets
$8B
Total Equity
$6B
Dividends(1)
$34B
Assets Under Management(2)
11%
Total Shareholder Return(3)
Highlights
+ Grew Multiple Asset Generating
Platforms
+ Deepened & Diversified our
Capital Base
+ Expanded Asset Management
Capabilities

Dear Fellow
Shareholders
At Rithm, we often talk about our performance-first
ethos. It is our driving principle, setting the bar for every
decision we make to strengthen the power of our platform,
enhance our talent, and   most importantly   unlock value
for our fund investors and public shareholders.
In 2024, we took a number of significant actions in line
with our long-term strategy to deliver value by growing
our business, diversifying and synergizing Rithm   s public
and private asset management capabilities, and further
establishing our one-of-a-kind operating ecosystem. In
particular, through our integrated operating platforms
and more than 6,000 talented employees, we are tapping
the immense potential of our end-to-end capabilities
by manufacturing our own assets and creating new
revenue synergies. We continue to believe that our bold
transformation into a multi-dimensional asset manager
will shift the paradigm used to value Rithm   s equity.
Our unique business model is designed to produce
predictable returns through cycles and growth over the
long term. In 2024, all of our core businesses generated
differentiated alpha and grew substantially, providing us
confidence in our strategy and future potential. During
Rithm Capital 2024 Annual Report
the year, Rithm grew earnings by 23% when adjusting for
one-time gains in 2023 and grew book value by 6%.
Capitalizing on Macro Dynamics
Our experience and rigorous approach proved critical in
2024 given noisy economic drivers and price levels that
reflected the constantly changing mood in the market
and in benchmark rates. Interest rates were volatile in the
face of economic and geopolitical uncertainty. Yet, an
anticipated softening in the economy never materialized
as employment data remained healthy, and expectations
for change in political leadership drove an improvement
in risk assets.
This market backdrop drove asset price inflation with
the S&P 500 achieving record highs and credit spreads
tightening to multi-cycle lows. Despite widespread asset
price inflation, certain sectors such as commercial real
1

   Our growth as an asset manager will make Rithm a
more resilient business and provide exciting growth
potential for shareholders and private capital partners.   
estate and structured products continued to be attractive
for deploying capital. Investments in these sectors require
highly specialized capabilities, and we leveraged the full
breadth of Rithm   s ecosystem and in-house expertise to
identify and pursue attractive opportunities.
Asset Management Growth and Synergy
We remain very excited by the potential for our asset
management platforms to deliver ongoing performance
for both fund investors and shareholders. We are
building a world-class asset management platform by
harnessing the combined strength of our operating
ecosystem   our deep expertise navigating market and
economic cycles, and the exceptional talent across the
firm and its robust capital base. With close to $8 billion
in permanent capital and extensive capital markets
relationships, Rithm is well-positioned to provide
innovative financing to our partners and generate
attractive returns for investors.
Rithm   s core investment platform continues to scale
significantly with a focus on asset-based opportunities.
Asset-based finance is an integral part of Rithm   s DNA,
and we have completed over $50 billion of residential
and consumer credit securitizations since inception.
Rithm   s ability to control origination and underwriting
through our operating ecosystem, combined with our
2
servicing capabilities, enables us to manage risk and
optimize returns. This cross-business collaboration is
critical to the strategy and performance of our principal
portfolio and funds alike.
In 2024 and into 2025, we have positioned the platform
to capture a unique opportunity to integrate asset-based
finance into current gaps in energy infrastructure, which
will allow us to strategically expand our platform and
drive value. By channeling capital into tangible, incomegenerating assets, such as advanced data centers,
modernized power grids, and next-generation energy
facilities, we expect to build a resilient, differentiated
portfolio that will underpin the digital transformation of
the global economy.
In its first year within the Rithm ecosystem, Sculptor
Capital     our wholly owned alternative investment
manager     delivered great returns for its fund investors
across all three primary investment strategies. As a
harbinger of things to come, Sculptor   s AUM grew to
approximately $34 billion following the recent closing
of two new CLOs and a new vintage of Sculptor Real
Estate   s highly successful opportunistic CRE fund,
which attracted approximately $3.2 billion in total
commitments. Driven by an anchor investment from
Rithm, Sculptor also extended its CLO capabilities
through the launch of a captive CLO equity investment

platform, demonstrating our ability to cross-pollinate
between operating platforms and leverage our deep
capital base to deliver revenue synergies.
Rithm Property Trust (NYSE: RPT) is another example of
our nimble ecosystem enabling us to be opportunistic.
We stepped in as the external manager of a separate
publicly listed mortgage REIT, which we renamed Rithm
Property Trust, and quickly repositioned the investment
portfolio, improved its financial performance, and we
expect it to deliver attractive returns for its shareholders,
while growing high-quality fee-related earnings. RPT is
poised to continue to grow and capitalize on a dynamic
commercial real estate sector.
Expanding World-Class Origination
and Servicing Capabilities
As banks have retrenched from lending in recent years,
private capital solutions are in demand, and Rithm   s
integrated operating platforms have enabled us to
grow into one of the largest residential mortgage and
business purpose lenders in the U.S.
Genesis Capital, our residential transitional lending
platform, originated $2.0 billion in 2021, the year we
acquired the business. In subsequent years as part of
Rithm, the Genesis team has carefully invested to scale
their platform by cultivating relationships with some of the
highest-quality residential development sponsors in the
U.S. As a result, in 2024, originations reached $3.6 billion,
reflecting organic growth of approximately 80% in three
years. The credit performance of our platform remains
superb, and we couldn   t be more excited about its potential
to create assets for both the principal investment portfolio
and funds, and to deliver healthy returns and growth.
Our mortgage company, Newrez, also took steps to
further distinguish itself from peers. In a sector where
scale is an increasingly necessary ingredient for success,
Newrez became the third-largest servicer and fifthlargest lender in the U.S. by the end of 2024. Profitability
remains the primary financial objective and, through the
persistent dedication of the team, Newrez generated
a 20% return-on-equity in Q4   24, which is top-tier
performance in its sector. Importantly, we are investing to
capture additional share and optimize Newrez, ensuring
the platform is positioned to be a source of durable
earnings and cash flow well into the future. Recent publicmarket transactions underscore the significant value of
the Newrez platform, supporting our rationale to consider
alternatives to unlock value for shareholders.
Rithm Capital 2024 Annual Report
Working Hand-in-Hand to
Support Our Communities
When Hurricanes Helene and Milton struck the
Southeast, Rithm joined forces with a group
of artists as an official corporate sponsor of
SOULSHINE, a live benefit concert at Madison
Square Garden, which raised over $4.5 million
for impacted communities. Newrez led the
coordinated effort, making an additional
$500,000 commitment to support Habitat for
Humanity and the Newrez Employee Emergency
and Disaster (NEED) Fund, which provides
immediate financial assistance to employees
facing unforeseen emergencies, including
natural disasters like hurricanes and wildfire,
medical crises, or other significant personal
hardships. Through nationwide engagement
with local communities, the Newrez team
volunteered over 11,000 hours to support
recovery, resilience and hope in these regions.
Our support teams were on the ground meeting
with homeowners face-to-face following
floods and fires and demonstrating the Newrez
promise to    care fiercely    for the homeowners
and communities we support.
3



shareholder letter icon 4/9/2025 Letter Continued (Full PDF)
 

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