Walker & Dunlop signals market thaw with double-digit volume growth

Walker & Dunlop (NYSE:WD) reported a significant resurgence in its core Capital Markets business for the fourth quarter of 2025, even as bottom-line results were hampered by non-cash impairments and legacy loan costs.

The company's total transaction volume jumped 36% year-over-year to $18.3 billion, driving quarterly revenues to $340 million and signaling a potential turning point for commercial real estate lending activity.

The financial results for the quarter included a GAAP diluted loss per share of $0.41, a figure heavily impacted by $66.2 million in specific charges.

These expenses primarily stemmed from impairment charges related to underperforming assets slated for sale in 2026, as well as costs associated with indemnified and repurchased loans.

Consequently, adjusted EBITDA fell to $38.8 million, and adjusted core EPS declined to $0.28.

Despite these accounting headwinds, the company’s cash position and recurring revenue streams remained resilient.

Walker & Dunlop’s massive $144 billion loan servicing portfolio continues to generate stable, high-margin cash flow, which supported a 1.5% increase in the quarterly dividend to $0.68 per share.

This latest hike represents a 172% increase in the payout since the dividend's inception in 2018.

The company ended the fiscal year with $299 million in cash and cash equivalents.