Two Harbors Investments Reports Q4 2025 Earnings

Highlights company's strategic merger with United Wholesale Mortgage and evolution of mortgage servicing rights platform

Feb. 7, 2026 at 5:15am

Two Harbors Investments (NYSE:TWO) reported fourth-quarter 2025 results, with management highlighting the company's solid portfolio performance and a strategic update on its recently announced merger with United Wholesale Mortgage (UWM). Executives described the transaction as a culmination of Two Harbors' long-running effort to build a scaled mortgage servicing rights (MSR) platform supported by origination and servicing capabilities.

Why it matters

The merger with UWM is intended to address a shift in the mortgage finance landscape in 2025, where management believes scale has become 'more important than ever.' The deal represents Two Harbors' evolution in MSR investing, including obtaining GSE approvals, buying its first MSR pool in 2013, and bringing servicing in-house through the 2023 acquisition of RoundPoint.

The details

Two Harbors added a direct-to-consumer (DTC) lending platform in 2024 to improve recapture, but concluded that origination needed to be 'much, much bigger' to compete effectively. Management also addressed investor questions about whether Two Harbors might liquidate its securities portfolio after the merger, saying the company intends to manage the business 'in the ordinary course' in the short term and that there are potential paths that could involve selling some or all of the assets over time, or alternatively maintaining or expanding positions depending on the combined company's needs.

  • Two Harbors reported fourth-quarter 2025 results on February 7, 2026.
  • The company repaid $261.9 million of convertible senior notes in full on their January 15, 2026 maturity date.
  • As of January 30, 2026, Two Harbors' book value was up about 1.5%-2%.

The players

Two Harbors Investments

A mortgage real estate investment trust (mREIT) that primarily invests in residential mortgage-backed securities (RMBS) and mortgage servicing rights.

United Wholesale Mortgage (UWM)

A mortgage lender that Two Harbors is merging with to build a scaled mortgage servicing rights platform.

Bill Greenberg

President and CEO of Two Harbors Investments.

William Dellal

Chief Financial Officer of Two Harbors Investments.

Nick Letica

Chief Investment Officer of Two Harbors Investments.

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What they’re saying

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