Revenue reached $6.81 billion, propelled by a 7.7% increase in net interest income to $5.88 billion. This growth stems from a strategic shift in the multifamily mortgage portfolio alongside steady expansion in the single-family business. Noninterest income saw a sharper trajectory, more than tripling to $933 million as the company shifted from recording investment losses last year to realizing net gains this quarter.

Despite these gains, the firm increased its provision for credit losses to $800 million, a stark rise from the $175 million recorded in the same period last year. Management attributed this reserve build to the single-family segment, where new acquisitions and expectations of higher future mortgage interest rates necessitated a more conservative outlook.