Ocwen Financial Corp. reported a fourth-quarter 2017 net loss attributable to common stockholders of $44.5 million, or 34 cents per share, compared to a net loss of $10.4 million, or 8 cents per share, in the year-ago period.
Pretax loss for the fourth quarter of 2017 was $45.3 million. Pretax results for the quarter were impacted by several "significant" items, the largest of which was $49.8 million in litigation and regulatory settlement-related expenses. Excluding these settlement-related expenses and other adjusting items that largely offset, the company had an adjusted pretax income of $4.0 million.
Ocwen's servicing segment recorded $28.7 million of pretax income for the fourth quarter of 2017, compared to $45.8 million in the year-ago quarter. The lending segment reported $2.6 million of pretax income for the fourth quarter of 2017, compared to a pretax loss of $5.6 million in the year-ago quarter, driven by $6.8 million in restructuring costs in the prior quarter and higher gains in the reverse lending business as a result of increased origination volume and improved margins.
The company announced the exit of its automotive capital services business in January and the exit is expected to be completed during the first half of 2018.
Ocwen generated total revenue of $276.8 million in the most recent quarter, down from $323.9 million in the year-ago quarter.
For full year 2017, the company reported a net loss attributable to common stockholders of $128.0 million, or $1.01 per share, compared to a net loss of $199.8 million, or $1.61 per share, in 2016.
