Rocket Companies, has returned to profitability despite a challenging second quarter for the mortgage industry, marked by economic uncertainties in the U.S. The company is now focusing on integrating the recently acquired real estate brokerage firm Redfin, which has already shown early benefits. In the second quarter, Rocket reported a GAAP net income of $34 million, a decrease from its $178 million profit in the same period of 2024, but a significant improvement from the $212 million loss in the previous quarter. Adjusted net income was $75 million, according to filings with the Securities and Exchange Commission. “We mentioned a delayed spring homebuying season, and that’s exactly what played out,” Varun Krishna, CEO of Rocket Companies, told analysts on Thursday. “April was pretty abnormal; there was a lot of volatility. You had tariffs, rates dipping and climbing, consumer sentiment dropping. In general, affordability was a little bit challenged.” Rocket’s total revenue for the quarter was $1.36 billion, up from $1.3 billion in the same period last year, while expenses increased from $1.1 billion to $1.3 billion. Mortgage production rose to $29 billion from April to June, compared to $24.6 billion in the same period last year and $21.5 billion in the first quarter of 2025. The direct-to-consumer channel accounted for $14.1 billion, surpassing the $13.4 billion Rocket produced in the broker channel. Krishna said Rocket served 100,000 origination clients, with purchase volume increasing month over month from April to June, supported by “affordability programs.” The company also experienced “strong growth” in refinance volume, he said, while home equity loan originations nearly doubled year over year, setting new records for units and volume. On the artificial intelligence front, there was a nearly 20% increase in daily follow-ups with refinance clients. More than 80% of clients opted to continue their applications via chat, with those starting their journey in AI chat converting at rates that were three times higher on the purchase side of business and 2.5 times higher for refi business compared to those not using chat. Rocket has launched a fully digital refi that can be completed in under 30 minutes, with a goal to reduce it to 10 minutes. Its gain-on-sale margin was 2.80% in Q2 2025, a decrease of 19 basis points compared to the same period last year and a decline of 9 bps from Q1. Executives anticipate margins will remain stable in Q3. Total liquidity in Q2 2025 was $9.1 billion as of June 30. Redfin financials were not included in the Q2 results, but its integration has moved at a “rapid pace,” Krishna said. Rocket has introduced prequalification buttons on every home listing and launched Rocket preferred pricing. Qualified clients who finance with Rocket and work with a Redfin agent have a one-point rate reduction in their first year, up to $6,000. Rocket is adding nearly 150 loan officers from Bay Equity Home Loans, a Redfin subsidiary, enhancing its presence in local markets. The company is also merging the Rocket Homes agent network with the Redfin agent network to achieve greater scale. Since July 1, Rocket has seen more than 65 Redfin clients close on homes. Also, 200,000 people have clicked on the prequalification button, with 23% of Redfin account users becoming contactable leads for Rocket. In addition, 12% of users entering the funnel proceed to start an application, and 7,000 agent referrals have been sent to Rocket. “Clients referred from Rocket to Redfin are 30% more likely than those from other channels to upgrade to verified approval letters, which is the strongest sign that they’re moving toward closing these results,” Krishna said. Regarding Rocket’s acquisition of Mr. Cooper, executives maintain the forecast of closing the deal in the fourth quarter of 2025. The deal will bolster Rocket’s strategy to recapture customers through an expanded servicing portfolio. Rocket’s unpaid principal balance for its servicing portfolio, which includes acquired and subserviced loans, reached $609 billion in the quarter. Brian Brown, Rocket’s chief financial officer, told analysts that servicing portfolio transfers were down 30% in the first half of the year compared to the same period in 2024 across the entire market. But in this “mute market,” he said, Rocket remains “active,” particularly for assets with “high recapture potential.” Rocket streamlined operations by shutting down Rocket Mortgage Canada and winding down the Rocket Visa Signature card program, resulting in $80 million in annualized savings. But total expenses are anticipated to rise by approximately $335 million in the third quarter compared to the second quarter, including $275 million in Redfin-related costs and $90 million in nonrecurring items ($30 million for severance and $60 million for interest expenses from issuing bonds to replace Mr. Cooper’s debt). This is expected to be partially offset by a reduction in standalone expenses. Looking forward, the company expects adjusted revenues between $1.6 billion and $1.75 billion in Q3 2025, which considers a full quarter of consolidated financial results from Redfin.
J.P. Morgan Payments Launches Cutting-Edge Supply Chain Finance Solution with Oracle
J.P. Morgan Payments has launched a Supply Chain Finance (SCF) solution integrated with Oracle Fusion Cloud ERP, currently used by FedEx, to optimize working capital. “We are thrilled to team up with FedEx to enhance working capital and boost liquidity management,” said Umar Farooq, Global Co-Head at J.P. Morgan Payments. “By integrating our payment solutions with strong ERP relationships, we are demonstrating our commitment to collaboration and innovation, helping clients optimize financial performance and drive business growth.” The integration enables FedEx to activate SCF functionality natively within Oracle Cloud ERP via Oracle B2B, replacing a typical six-month development project with a simplified setup. Vendors can now either accept extended terms or receive early payment through J.P. Morgan Payments, leveraging FedEx’s credit rating. “Collaborating with J.P. Morgan Payments and Oracle to build a solution has been transformative for our working capital management,” said Trampas Gunter, CVP Corporate Development and Treasurer at FedEx. J.P. Morgan’s SCF solution is delivered through its Integrated Trade Finance for Oracle Fusion ERP and was showcased at Oracle Cloudworld 2024. FedEx also adopted Kinexys Digital Payments to manage liquidity across notional pools in Europe and Asia Pacific. J.P. Morgan and Oracle have collaborated since 2022, offering clients enhanced user experiences through integrated solutions like Integrated Banking, Touchless Expenses, and Integrated Virtual Card. “The collaboration between Oracle and J.P. Morgan Payments is transforming how our joint customers unlock new banking and working capital solutions,” said Rondy Ng, EVP of Applications Development at Oracle. Oracle is part of the J.P. Morgan Payments Partner Network, which includes over 80 third-party integrations. J.P. Morgan Payments processes over $10 trillion daily in 160+ countries and 120 currencies. Its Kinexys platform has handled more than $1.5 trillion in transactions, with daily volume exceeding $2 billion and 10x annual growth. Some of the world’s largest blockchain repo transactions have been executed on Kinexys, now active across five continents.
Silicon Valley Bank taps Forge Securities’s trading platform to offer clients access to private market liquidity solutions including tender offers and secondary sales
Silicon Valley Bank (SVB), a division of First Citizens Bank serving companies throughout the innovation economy, has partnered with Forge Securities LLC, a wholly owned subsidiary of Forge Global Holdings. Forge is a leading provider of marketplace infrastructure, data services, technology, and investment solutions for the private market. The new referral partnership will provide Silicon Valley Bank clients with Forge’s private liquidity solutions to manage their cap table, diversify their investor bases and help retain employees. Forge offers a trusted trading platform and proprietary data and insights to inform investment strategies, along with custody services to help companies, shareholders, institutions and accredited investors navigate and transact in the private market. The partnership offers Silicon Valley Bank clients, some of the world’s most innovative companies and investors, access to Forge’s secondary liquidity solutions at scale. Benefits of the Silicon Valley Bank and Forge partnership for companies and shareholders, include: Issuer-led structured liquidity events, including tender offers and secondary sales; Controlled shareholder transactions for employees, founders, or early investors; Access to 19K+institutional investors looking to invest in private companies; Private market transactions via a trusted platform.
Chase plans to have 31 Financial Centers open by the end of next year expanding its affluent offering and bringing a highly personalized level of service to millions of potential clients
JPMorganChase celebrated the construction of its 1,000th branch since launching its market expansion initiative in 2018, marking a significant milestone toward improving access to financial services across the nation. At a ribbon-cutting ceremony in Charlotte, North Carolina, JPMorganChase executives joined local community members to officially open the new branch and highlight the positive impact Chase branches have on local neighborhoods. Chase will continue expanding its presence in low-to-moderate income and rural communities with limited access to traditional banking services, as well as markets such as Boston, Charlotte, Philadelphia, Raleigh and Washington, D.C. Over the past seven years, Chase has opened more branches than all large bank peers combined, bringing affordable and convenient financial services to communities in all lower 48 states. Today, Chase covers more Americans than any other bank, with 68% of the U.S. population within an accessible drive time to one of its branches. The bank is on track to meet its goal of 500 new branches by early 2027, contributing to its long-term plans of reaching 75% of the national population within an accessible drive and over 50% within each state. Chase branches are more than just financial service providers; they are vital engines driving economic activity and supporting local communities. JPMorganChase’s internal research highlights the substantial impact these branches have on lending, employment, customer engagement and deposit balances. Annually, Chase branches originate billions in business and home loans, directly fueling local lending activity and fostering economic growth in surrounding areas. With a workforce of around 50,000 customer-facing staff, Chase branches offer significant employment opportunities, bolstering the local economy. Chase branches also play a pivotal role in supporting local economic activity and retail spending, serving approximately 300 million visiting customers each year and handling around 900 million transactions. These findings reveal that new branches have stronger retail activity and marked increases in business activity, mortgage originations and household income in areas with Chase branches compared to matched areas without them. When this expansion is completed, Chase will have added more than 1,100
Senator reintroduces bill that creates a regulatory AI sandbox to let financial institutions test AI tools without fear of sanctions if they meet transparency, consumer protection and national security requirements
A bill reintroduced by Sen. Mike Rounds, R-S.D., creates a regulatory AI sandbox that lets financial institutions test AI tools without fear of sanctions — if they meet transparency, safety and national security requirements. The reintroduction of the “Unleashing AI Innovation in Financial Services Act,” co-sponsored with Sen. Martin Heinrich, D-N.M., would let financial institutions test AI-enabled products and services without immediate risk of enforcement action, as long as they meet transparency, consumer protection and national security requirements. “By creating a safe space for experimentation, we can help firms innovate and regulators learn without applying outdated rules that don’t fit today’s technology,” Rounds said. The bill was originally introduced in 2024. If enacted, S.4951 would direct financial regulators — including the Securities and Exchange Commission, Consumer Financial Protection Bureau and the Federal Reserve — to evaluate and potentially waive or modify existing rules for approved AI test projects. Agencies would have 90 days to approve or deny applications, with automatic approval if no decision is made by the deadline.
Brands are cracking the Gen Z code by deploying TikTok partnerships and viral slogans, embracing sustainability through eco-friendly packaging and use of healthy ingredients, turning Reddit buzz into full-blown campaigns and with bright colors and interactive displays
The brands winning with Gen Z are the ones brave enough to let that listening transform everything they do. e.l.f. Beaury, Bath & Body Works, and Chipotle connected with Gen Z and then transformed their entire approach to customer experience to meet them where they are. E.l.f. Beauty is cracking the Gen Z and customer experience code by deploying TikTok partnerships and viral slogans like “e.l.f.ing Amazing.” The slogan reflects the name: e.l.f. Beauty, where CEO Tarang Amin makes relating to Gen Z consumers and employees a top priority. That means the cosmetics company uses its massive social media fan base (7.5 million followers on Instagram and 2.4 million on TikTok) and insights from employees to figure out what the younger demographic wants. E.l.f. also focuses on being inclusive and encourages employee equity, both important to Gen Z. The results: a Gen Z fan base known as “e.l.f.ies” – and a recent ranking as the No. 1 cosmetics brand among female teens in a survey. With three quarters of employees being in their 20s and 30s, Amin says e.l.f. has never done a focus group “because our team, they are our community.” As it reaches out to Gen Z, e.l.f. is reflecting broader trends and a growing body of research into what the younger set is seeking in customer experience. In addition to e.l.f, another Gen Z favorite is Bath & Body Works. The brand is reimagining its store spaces with Gen Z in mind, emphasizing bright colors and interactive displays that can be shared on social media, along with a highly personalized shopping experiences. Bath & Body Works is also focusing on values important to the younger set, such as sustainability through refill stations and eco-friendly packaging. Chipotle has mounted an impressive comeback after food safety scares in its past. The key: Young people, especially Gen Z. “Chipotle is winning with Gen Z because Chipotle has the right offering [a healthier fast food option], at the right price point and they tend to reach Gen Z where they live — on social,” according to Jason Goldberg, Chief Commerce Strategy Officer at Publicis. The chain’s omnichannel marketing strategy has shown up all over social media, with influencer marketing initiatives including the Chipotle Creator Class challenge that provided perks to leading social influencers, and a partnership with TikTokkers Alexis Frost and Keith Lee to promote digital ordering. On Snapchat, Chipotle also targeted Gen Z consumers with a Snapchat Lens and lineup of Lifestyle Bowls, available through the digital menu and designed to promote wellness.
Square’s survey- 78% of restaurant owners said online ordering is the channel that drives the most orders to their business but leaning into first-party ordering is more profitable for sellers, with the profit margins being 64% higher than third-party delivery
In Q1 2025, Square found that the average tip on food and beverage transactions was 15.17%, and this continued to fall into Q2 with the average tip coming in at 14.99%, aligned to dropping consumer confidence in the economy. Bars regularly receive the highest tips; in Q1 their average tip was 17.36% on each transaction, though this too fell to 16.96% in Q2. Cafés and quick-service restaurants received 14.72% and 14.64% in Q1, respectively, and dropped to 14.57% and 14.2% in Q2. Tips at full-service restaurants also declined from 14.76% in Q1 to 14.64% in Q2. “As previous Square research has underlined, tips make up a major part of workers’ wages – the average restaurant employee earned nearly 23% of their income in tips in 2024,” said Ming-Tai Huh, Head of Food and Beverage at Square. “As consumer confidence in the economy shifts and tips fall, workers are taking home less which could lead to a return to labor uncertainties for the industry – adding to the crunch local restaurants are continuing to feel.” In terms of sales growth, fast casual restaurants peaked at 9.3% in Q4 2024, with a moderation down to .9% in 2025. QSRs peaked at 15.8% in Q4 2024 with continued strength into 2025 between 8.7% and 9.1%.Sales at fine dining restaurants declined by 13% in early 2024 compared to late 2023, likely due to reduced discretionary spending, but recovered to between 2.1% and 3.1% growth by early 2025, signaling renewed interest in premium dining experiences. According to Square’s 2025 Future of Commerce report, 78% of restaurant owners said online ordering is the channel that drives the most orders to their business – so ensuring this ordering option is streamlined is key to a successful business. Overall, leaning into first-party ordering is more profitable for sellers, with the profit margins being 64% higher than third-party delivery. With Square, too, sellers save an average of 30% through first-party online ordering.
Coinbase believes majority of all payments in the economy will eventually run on stablecoin rails and estimates cross-border stablecoin payments to be a $40 trillion opportunity with B2B making up 75% of that
Coinbase, the crypto exchange and platform, is shifting its core focus from speculative trading toward practical crypto applications in payments, custody and commerce. It is launching predictions markets and tokenized stocks for U.S. users in the months ahead. But the biggest story was in building stablecoin payments and gaining institutional trust. “We see payments as the next big use case in crypto, and believe that the majority of all payments in the economy will eventually run on stablecoin rails,” said Coinbase CEO and Co-founder Brian Armstrong. “One of the biggest areas we are focused on is B2B payments. We think cross-border stablecoin payments is a $40 trillion opportunity and B2B is 75% of that,” added Armstrong. “It’s better if the sender and recipient both want to use the same stablecoin and actually the same underlying payment rail.” Stablecoin revenue rose 12% to $332 million, fueled by a 13% increase in average USDC balances held in Coinbase products. USDC usage also surged off-platform, and Coinbase attributed part of this momentum to an extended rewards program and growing adoption across commerce and payments. Coinbase expects Q3 subscription and services revenue to land between $665 million and $745 million, driven largely by further gains in stablecoin market capitalization and adoption. Base Chain, the Layer 2 infrastructure Coinbase is developing, also now supports real-time settlement of stablecoin payments. Coinbase’s Q2 results also reflect growing institutional interest, particularly through its Prime Financing division and custodial services.
IBM’s study finds about one-quarter of the organizations surveyed reported having a CAIO, up from 11% in 2023 and are seeing an average of 10% greater return on investment in AI spending and 24% greater innovation compared to their peers
A growing number of organizations are appointing chief AI officers and seeing an average of 10% greater return on investment in AI spending and 24% greater innovation compared to their peers — but most organizations remain stuck in pilot mode and struggle to scale AI initiatives more broadly. Those are among the findings of a new study by the IBM Institute for Business Value with the Dubai Future Foundation and Oxford Economics. The survey reveals that organizations with CAIOs see positive returns but face strategic, technical and organizational obstacles to optimizing the role’s value. Improved metrics, teamwork and cultural modifications are needed. About one-quarter of the organizations surveyed reported having a CAIO, up from 11% in 2023. Two-thirds of respondents expect most organizations will have a CAIO within the next two years. Organizations that have appointed CAIOs say the primary drivers are to accelerate AI strategy and adoption. AI spending increased 62% as a share of information technology budgets over the past three years, and CEOs expect 31% annual increases through 2027. Nevertheless, 60% of organizations are still investing primarily in pilots, and only 25% of AI initiatives have delivered the expected ROI since 2023. The report delineates a clear shift in operating models as AI projects scale. Initial efforts tend to be decentralized, but advanced organizations shift to centralized hub‑and‑spoke models. That approach moves twice as many pilots into production compared to a decentralized structure and realizes 36% higher ROI. That’s because centralization provides clearer ownership, according to Mohammed Al Mudharreb, CAIO of Dubai’s Road and Transport Authority. The study found that the factors that separate high-performing CAIOs from their peers are measurement, teamwork and authority. Successful projects address high-impact areas like revenue growth, profit, customer satisfaction and employee productivity. The most effective teams combine AI specialists, machine‑learning engineers and business strategists, with AI experts embedded across functions to avoid the emergence of shadow AI operations.
BoA’s CashPro Forecasting is clearest examples of AI-driven efficiency; it learns from a client’s historical cash flows, automatically selecting the most accurate balance for each account and using it to forecast future cash positions
Bank of America’s CashPro platform is being transformed by artificial intelligence, real-time data, and advanced digital tools, supporting over 40,000 corporate and commercial clients worldwide. The platform now includes biometric mobile logins and machine learning–driven forecasting. “Clients … are looking for more productivity and efficiency out of tools that help them manage cash, payments and receivables,” said Tom Durkin, global product head of CashPro. He emphasized the platform’s ability to deliver “predictive, more personalized recommendations to clients to help drive the right treasury decisions,” highlighting tools like CashPro Forecasting, CashPro Chat, and QR Sign-In. Internally, AI is embedded across the bank’s technology stack. “We’re leveraging AI … to help [develop] software,” said Andrew McKibben, head of International Technology. “It improves the productivity of a software engineer — helps them write code, helps them write test cases [and] improve time to market.” Bank of America has issued over 7,800 patents, including 1,400 in AI and machine learning. “We showcase it and we celebrate it,” McKibben said. In generative AI, the bank uses tools for content classification, summarization, and generation. “You can prompt and ask questions of all of our research reports in a library and generate content that might be useful [for someone internally, or in discussions with] a client,” McKibben noted. CashPro Forecasting learns from historical cash flows to predict future balances, retraining its models daily. “There’s nothing more important to the treasurer than preserving and understanding where their cash is,” said Durkin. Forecasts that once took a week are now generated in minutes, with capabilities extending to scenario-based modeling across global subsidiaries. “If I create certain models and events, how will the model scenario work? How will that work within this unit — if I have a subsidiary operating in the EU versus a subsidiary that’s operating out of Brazil?” he explained. CashPro’s self-service tools, such as account verification letters, are seeing rapid adoption — up 21% in Q1 2025. “Clients no longer have to call the service center,” Durkin noted. CashPro Chat, powered by the same AI as consumer assistant Erica, now handles 40% of client queries. The CashPro App has evolved from a transactional tool to a personalized experience. “The app itself really started as … a transactional tool,” Durkin said, but it now supports over $1 trillion in annual payment approvals. Daylon Bailey of Highgate Hotels called it “our saving grace,” noting its intuitive design and strategic utility: “Primary administrators like myself, a lot of times, we’re generally going into CashPro App to make decisions, so it’s nice to have front and center that information that we need right then and there — whether I need to approve a user change, I need to approve a wire or look at positive pay. It’s very intuitive. It’s like having the web-based platform in the palm of your hand.” Security enhancements include QR sign-in and push notifications, with QR sign-in adoption up 60% year over year. McKibben said, “We’re deep into evaluating it,” referring to agentic AI.