# PennyMac Expects Q4 Adjusted ROE Near Current Levels, Targets $160 Million in Cuts

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/44168
Published: 2026-10-30T02:53:53.000Z
Updated: 2026-10-30T02:53:53.000Z
Section: Business

> PennyMac reported Q3 adjusted net income of $56 million, or $1.05 per share, and net income of $29 million, or $0.54 per diluted share.

PennyMac Financial Services, Inc. expects adjusted return on equity (ROE) to remain near current levels in Q4 2026 as it targets $160 million in annualized expense reductions.

The company reported Q3 adjusted net income of $56 million, or $1.05 per share. Net income was $29 million, or $0.54 per diluted share, representing a 3% annualized ROE.

PennyMac also projects adjusted ROE will reach the low double digits by Q4 2027. The company identifies servicing, lower expenses and production initiatives as factors in that projection.