Segment Reporting (Tables)

12 Months Ended

Dec. 31, 2022

Reconciliation of Operating Profit (Loss) from Segments to Consolidated

The reconciliation of adjusted pretax operating income (loss) for our reportable segments to consolidated pretax income is as follows.


Reconciliation of adjusted pretax operating income (loss) by segment

	December 31,
(In thousands)	2022		2021		2020
Adjusted pretax operating income (loss)
Mortgage	$	1,131,943	$	781,546	$	453,294
homegenius	(88,198)		(27,324)		(23,240)
Total adjusted pretax operating income for reportable segments	1,043,745		754,222		430,054
All Other adjusted pretax operating income	8,972		3,527		2,013
Net gains (losses) on investments and other financial instruments (1)	(80,780)		14,094		60,277


Amortization of other acquired intangible assets	(4,308)		(3,450)		(5,144)
Impairment of other long-lived assets and other non-operating items	(14,850)		(3,561)		(7,759)
Consolidated pretax income	$	952,779	$	764,832	$	479,441

(1)For 2022 and 2021, excludes certain net gains (losses) on investments that are attributable to specific operating segments and therefore included in adjusted pretax operating income (loss).

Reconciliation of Revenue from Segments to Consolidated

The following tables reconcile reportable segment revenues to consolidated revenues and summarize interest expense, depreciation expense, allocation of corporate operating expenses and adjusted pretax operating income for our reportable segments as follows.


Reportable segment revenue and other segment information

	December 31, 2022
(In thousands)	Mortgage		homegenius		Reportable Segment Total		All Other		Inter-segment		Adjustments		Consolidated Total
Net premiums earned	$	957,213	$	23,918	$	981,131	$	—	$	—	$	—	$	981,131
Services revenue	7,390		85,158		92,548		—		(332)		—		92,216
Net investment income	171,221		729		171,950		23,708		—		—		195,658
Net gains (losses) on investments and other financial instruments	—		—		—		47		—		(80,780)		(80,733)
Other income	2,376		170		2,546		78		(170)		—		2,454
Total revenues	$	1,138,200	$	109,975	$	1,248,175	$	23,833	$	(502)	$	(80,780)	$	1,190,726
Other segment information:
Interest expense	$	84,440	$	—	$	84,440
Direct depreciation expense	8,986		2,538		11,524
Allocation of corporate operating expenses (1)	138,566		22,856		161,422

(1)Includes allocated depreciation expense of $3.0 million, $0.5 million and $3.6 million allocated to Mortgage, homegenius and Reportable Segment Total, respectively.


	December 31, 2021
(In thousands)	Mortgage		homegenius		Reportable Segment Total		All Other		Inter-segment		Adjustments		Consolidated Total
Net premiums earned	$	998,282	$	38,901	$	1,037,183	$	—	$	—	$	—	$	1,037,183
Services revenue	17,670		108,282		125,952		154		(281)		—		125,825
Net investment income	132,929		358		133,287		14,622		—		—		147,909
Net gains (losses) on investments and other financial instruments	—		1,509		1,509		—		—		14,094		15,603
Other income	2,678		—		2,678		734		—		—		3,412
Total revenues	$	1,151,559	$	149,050	$	1,300,609	$	15,510	$	(281)	$	14,094	$	1,329,932
Other segment information:
Interest expense	$	84,344	$	—	$	84,344
Direct depreciation expense	9,580		2,452		12,032
Allocation of corporate operating expenses (1)	127,482		18,482		145,964

(1)Includes allocated depreciation expense of $3.2 million, $0.5 million and $3.7 million allocated to Mortgage, homegenius and Reportable Segment Total, respectively.


	December 31, 2020
(In thousands)	Mortgage		homegenius		Reportable Segment Total		All Other		Inter-segment		Adjustments		Consolidated Total
Net premiums earned	$	1,092,767	$	22,554	$	1,115,321	$	—	$	—	$	—	$	1,115,321
Services revenue	14,765		79,524		94,289		12,535		(1,439)		—		105,385
Net investment income	137,195		361		137,556		16,481		—		—		154,037
Net gains (losses) on investments and other financial instruments	—		—		—		—		—		60,277		60,277
Other income	2,816		—		2,816		534		—		247		3,597
Total revenues	$	1,247,543	$	102,439	$	1,349,982	$	29,550	$	(1,439)	$	60,524	$	1,438,617
Other segment information:
Interest expense	$	71,150	$	—	$	71,150
Direct depreciation expense	12,387		2,857		15,244
Allocation of corporate operating expenses (1)	114,802		12,807		127,609

(1)Includes allocated depreciation expense of $2.6 million, $0.3 million and $2.9 million allocated to Mortgage, homegenius and Reportable Segment Total, respectively.

Services Revenue

The table below, which represents total services revenue on our consolidated statements of operations for the periods indicated, represents the disaggregation of services revenues by revenue type.


Services revenue

	Years Ended December 31,
(In thousands)	2022		2021		2020
homegenius
Title	$	18,687	$	40,202	$	23,265
Real estate
Valuation	30,002		28,590		17,986
Single-family rental	24,387		27,291		17,159
REO asset management	3,091		2,370		5,518
Other real estate services	115		144		2,479
Technology
Asset management workflow platform	4,814		5,535		7,998
Other technology services	3,730		3,869		3,763
Mortgage	7,390		17,670		14,682
All Other (1)	—		154		12,535
Total services revenue	$	92,216	$	125,825	$	105,385

(1)Includes services revenue from Clayton Services LLC, a former indirect subsidiary of Radian Group, prior to its sale in January 2020 and amounts related to our traditional appraisal business, which we wound down beginning in the fourth quarter of 2020.