According to Reuters, Ellie Mae’s (ELLI) third-quarter profit was lower than expected due to declining mortgage volumes, which pushed its shares down more than 20% after the closing bell.
Eliie Mae, whose software is used for loan processing and to interact with lenders and investors, said its net income halved in the quarter ended Sept. 30 and warned of lower-than-expected earnings in the fourth quarter.
Ellie Mae's net income nearly halved to $3.36 million, or 12 cents per share, in the third quarter from $6.83 million, or 25 cents per share, a year earlier.
Revenue rose 20 percent to $33 million.
