loanDepot Posts $21M Q4 Loss, Eyes AI Marketing Rebuild and Wholesale Return
loanDepot reported an adjusted net loss of $21 million in Q4 2025, with amortization expense rising to $52 million due to higher refinance volumes. The company is rebuilding its marketing funnel using AI to cut customer acquisition costs and re-entering the wholesale channel to scale operations and improve margins.
1. Q4 2025 Financial Results
loanDepot reported an adjusted net loss of $21 million in Q4 2025, up from the prior quarter. Amortization expense rose to $52 million driven by higher refinance volumes, and cash-out refinance margins improved driven by strong recapture rates.
2. AI-driven Marketing and Retail Growth
The company’s retail model spans digital direct lending, in-market loan officers and builder partnerships. Efforts are underway to rebuild the marketing funnel using AI, aiming to cut acquisition costs and capture greater market share in direct channels.
3. Wholesale Lending Channel Re-entry
loanDepot plans to re-enter the wholesale lending channel to enhance scale and operating efficiency. Management expects growing refinance volumes to drive margin expansion in the wholesale business over time.
4. 2026 Expense Outlook and Profitability
For 2026, the CFO projects most expense growth will be volume-related from loan officer additions, with only modest technology and innovation investments. Fixed costs are largely in place, and profitability should benefit as originations scale.