Rocket Mortgage is a mortgage company formerly known as Quicken Loans and that is part of Rocket Companies.

Dan Gilbert’s mortgage company continues to feel the nationwide slowdown in the housing market and is tightening its belt.

Rocket Companies, the publicly traded corporate parent of Rocket Mortgage, formerly known as Quicken Loans, reported late Thursday that it had $60 million in net income, or profit, during the second quarter, down from just over $1 billion during the same quarter in 2021.

Total revenue also fell to $1.4 billion for the quarter, down from nearly $2.7 billion.

To adjust to the revenue plunge, Rocket cut expenses by about $300 million during the second quarter and is on pace to cut an additional $50 million to $150 million in the current quarter, Chief Financial Officer Julie Booth said during a late Thursday earnings call.

In April, Rocket began offering voluntary buyouts to hundreds of employees. The cost savings is largely coming from those buyouts and reductions in marketing and vendor expenses, she said.

Read More: Rocket Companies ekes out $60M Q2 profit, does cost cuts

2022-08-04 21:33:45

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