WaFd, Inc. (NASDAQ:WAFD):
Q1 Highlights |
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$64 Million |
|
$0.79 |
|
0.96% |
|
10.6% |
Net Income |
|
Diluted Earnings
|
|
Return on Average
|
|
Return on Tangible
|
|
"We are off to a solid start in fiscal 2026, with a 10% increase in earnings per share on a linked quarter basis and a 46% increase compared to the same period last year. Earnings were driven by a steady margin, increases in other income and lower expenses. Increases in delinquent and non-performing loans have our full attention, yet current levels reflect normal stress in a diversified portfolio. We believe we are well reserved for any losses that may materialize. Loan demand has been modest, yet I am encouraged by recent client inquiries and believe we are poised for stronger loan production in the coming months. In the meantime, we have taken decisive action by repurchasing shares at attractive valuations—0.99 times tangible book value—which has contributed to our increased earnings per share and a 7.1% annualized growth in tangible book value per share." |
Brent Beardall President and CEO of WaFd Bank |
Net Interest Income and NIM |
|
|
Credit Quality |
|
Non-Interest Income and Expense |
|
|
Shareholder Returns and Stock Activity |
|
|
|
|
|
|
1 Metric is a non-GAAP Financial Measure. See page 10 for additional information on our use of non-GAAP Financial Measures |
WaFd, Inc. (NASDAQ:WAFD) (the "Company"), parent company of WaFd Bank (or the "Bank"), today announced quarterly earnings of $64,196,000 for the quarter ended December 31, 2025, an increase of 6% from net earnings of $60,597,000 for the quarter ended September 30, 2025 and an increase of 36% from net earnings of $47,267,000 for the quarter ended December 31, 2024. After the effect of dividends on preferred stock, net income available for common shareholders was $0.79 per diluted share for the quarter ended December 31, 2025, compared to $0.72 per diluted share for the quarter ended September 30, 2025, and $0.54 per diluted share for the quarter ended December 31, 2024, a $0.25 or 46% increase in fully diluted earnings per common share.
The following table provides the Company's financial scorecard for the last five quarters:
|
As of |
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(In thousands, except share and ratio data) |
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
|
December 31,
|
||||||||||
BALANCE SHEET |
|
||||||||||||||||||
Cash |
$ |
734,915 |
|
|
$ |
657,310 |
|
|
$ |
809,252 |
|
|
$ |
1,231,461 |
|
|
$ |
1,507,735 |
|
Loans receivable, net |
|
19,848,156 |
|
|
|
20,088,618 |
|
|
|
20,277,164 |
|
|
|
20,920,001 |
|
|
|
21,060,501 |
|
Allowance for credit losses ("ACL") |
|
221,039 |
|
|
|
221,220 |
|
|
|
219,268 |
|
|
|
222,709 |
|
|
|
225,022 |
|
Available-for-sale securities, at fair value |
|
4,142,285 |
|
|
|
3,533,201 |
|
|
|
3,387,497 |
|
|
|
3,142,763 |
|
|
|
2,743,731 |
|
Held-to-maturity securities, at amortized cost |
|
764,794 |
|
|
|
645,802 |
|
|
|
512,854 |
|
|
|
526,502 |
|
|
|
537,348 |
|
Total investments |
|
4,907,079 |
|
|
|
4,179,003 |
|
|
|
3,900,351 |
|
|
|
3,669,265 |
|
|
|
3,281,079 |
|
Total assets |
|
27,285,744 |
|
|
|
26,699,699 |
|
|
|
26,731,915 |
|
|
|
27,644,637 |
|
|
|
27,684,454 |
|
Transaction deposits |
|
12,865,974 |
|
|
|
12,306,532 |
|
|
|
11,969,124 |
|
|
|
11,853,984 |
|
|
|
11,853,859 |
|
Time deposits |
|
8,550,996 |
|
|
|
9,131,104 |
|
|
|
9,417,447 |
|
|
|
9,573,442 |
|
|
|
9,584,918 |
|
Total deposits |
|
21,416,970 |
|
|
|
21,437,636 |
|
|
|
21,386,571 |
|
|
|
21,427,426 |
|
|
|
21,438,777 |
|
Borrowings and junior subordinated debentures |
|
2,488,411 |
|
|
|
1,817,249 |
|
|
|
1,991,087 |
|
|
|
2,814,938 |
|
|
|
2,914,627 |
|
Total shareholders' equity |
|
3,029,407 |
|
|
|
3,039,575 |
|
|
|
3,014,325 |
|
|
|
3,032,620 |
|
|
|
3,021,636 |
|
Loans to customer deposits |
|
92.67 |
% |
|
|
93.71 |
% |
|
|
94.81 |
% |
|
|
97.63 |
% |
|
|
98.24 |
% |
|
|
|
|
|
|
|
|
|
|
||||||||||
PROFITABILITY |
|
|
|
|
|
|
|
|
|
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Net income |
$ |
64,196 |
|
|
$ |
60,597 |
|
|
$ |
61,952 |
|
|
$ |
56,252 |
|
|
$ |
47,267 |
|
Net income to common shareholders |
|
60,540 |
|
|
|
56,941 |
|
|
|
58,296 |
|
|
|
52,596 |
|
|
|
43,611 |
|
Earnings per common share |
|
0.79 |
|
|
|
0.72 |
|
|
|
0.73 |
|
|
|
0.65 |
|
|
|
0.54 |
|
Return on tangible common equity1 |
|
10.57 |
% |
|
|
9.99 |
% |
|
|
10.20 |
% |
|
|
9.18 |
% |
|
|
7.69 |
% |
Return on tangible assets1 |
|
0.97 |
% |
|
|
0.93 |
% |
|
|
0.94 |
% |
|
|
0.84 |
% |
|
|
0.70 |
% |
Net interest margin |
|
2.70 |
% |
|
|
2.71 |
% |
|
|
2.69 |
% |
|
|
2.55 |
% |
|
|
2.39 |
% |
Efficiency ratio |
|
55.25 |
% |
|
|
56.82 |
% |
|
|
56.01 |
% |
|
|
58.31 |
% |
|
|
65.04 |
% |
FINANCIAL HIGHLIGHTS |
|
|
|
|
|
|
|
|
|
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Common shareholders' equity per share |
$ |
35.70 |
|
|
$ |
35.04 |
|
|
$ |
34.30 |
|
|
$ |
33.84 |
|
|
$ |
33.45 |
|
Tangible common shareholders' equity per share1 |
|
29.91 |
|
|
|
29.38 |
|
|
|
28.69 |
|
|
|
28.31 |
|
|
|
27.93 |
|
Shareholders' equity to total assets |
|
11.10 |
% |
|
|
11.38 |
% |
|
|
11.28 |
% |
|
|
10.97 |
% |
|
|
10.91 |
% |
Tangible shareholders' equity to tangible assets1 |
|
9.64 |
% |
|
|
9.89 |
% |
|
|
9.78 |
% |
|
|
9.51 |
% |
|
|
9.45 |
% |
Common shares outstanding |
|
76,448,351 |
|
|
|
78,186,520 |
|
|
|
79,130,276 |
|
|
|
80,758,674 |
|
|
|
81,373,760 |
|
Preferred shares outstanding |
|
300,000 |
|
|
|
300,000 |
|
|
|
300,000 |
|
|
|
300,000 |
|
|
|
300,000 |
|
CREDIT QUALITY |
|
|
|
|
|
|
|
|
|
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ACL to gross loans |
|
1.05 |
% |
|
|
1.04 |
% |
|
|
1.03 |
% |
|
|
1.01 |
% |
|
|
1.00 |
% |
Non-accrual loans to net loans |
|
0.96 |
% |
|
|
0.64 |
% |
|
|
0.41 |
% |
|
|
0.29 |
% |
|
|
0.34 |
% |
Delinquencies to net loans |
|
1.07 |
% |
|
|
0.60 |
% |
|
|
0.26 |
% |
|
|
0.27 |
% |
|
|
0.30 |
% |
Non-performing assets to total assets |
|
0.75 |
% |
|
|
0.54 |
% |
|
|
0.36 |
% |
|
|
0.26 |
% |
|
|
0.29 |
% |
Total criticized loans to net loans |
|
4.60 |
% |
|
|
4.39 |
% |
|
|
4.07 |
% |
|
|
3.32 |
% |
|
|
2.54 |
% |
Total adversely classified loans to net loans |
|
2.94 |
% |
|
|
3.16 |
% |
|
|
3.54 |
% |
|
|
2.53 |
% |
|
|
1.97 |
% |
1Metric is a non-GAAP Financial Measure. See page 10 for additional information on our use of non-GAAP Financial Measures. |
Balance Sheet Total assets increased to $27.3 billion as of December 31, 2025, compared to $26.7 billion at September 30, 2025, primarily due to the purchase of investment securities during the period. Investment securities increased by $728 million, or 17.4% in the three months ended December 31, 2025, a result of $866 million of purchases, primarily discount-priced agency mortgage backed securities at an effective yield of 4.93%. Net loans decreased $0.2 billion to $19.8 billion and cash increased $0.1 billion, or 11.8%.
Customer deposits totaled $21.4 billion as of December 31, 2025, largely unchanged from September 30, 2025. The effective weighted average interest rate, including non-interest-bearing deposits, was 2.56% as of December 31, 2025, compared to 2.69% at September 30, 2025. Transaction accounts increased by $559 million or 4.5% during the period, while time deposits decreased $580 million or 6.4%. As of December 31, 2025, 60.1% of the Company's deposits were transaction accounts, an increase from 57.4% at September 30, 2025. Core deposits, defined as all transaction accounts and time deposits less than $250,000, totaled 79.7% of deposits at December 31, 2025, up from 77.9% on September 30, 2025. Deposits that are uninsured or not collateralized were 26.2% of total deposits as of December 31, 2025, an increase from 24.7% as of September 30, 2025.
Borrowings totaled $2.4 billion as of December 31, 2025, up from $1.8 billion at September 30, 2025. The effective weighted average interest rate of borrowings was 2.74% as of December 31, 2025, compared to 2.50% at September 30, 2025.
Loan originations for active loan types totaled $1.1 billion for the first fiscal quarter of 2026, compared to $1.4 billion of originations in the prior quarter. Offsetting loan originations for these loan types in each of these quarters were loan repayments of $1.0 billion and $1.2 billion, respectively. Active loan types include the commercial segment and the consumer portfolio. Inactive loan-types include all consumer residential portfolios. These loan types had repayments of $0.3 billion during the quarter. Commercial loans represented 94% of all loan originations during the first fiscal quarter of 2026 and consumer loans accounted for the remaining 6%. The period end interest yield on the loan portfolio was 5.24% as of December 31, 2025, a decrease from 5.38% as of September 30, 2025.
Tangible common equity per share is a key metric for our management team. For the three months ended December 31, 2025, tangible book value per share grew from $29.38 as of September 30, 2025 to $29.91. This metric is a non-GAAP Financial Measure. See page 10 for additional information on our use of non-GAAP Financial Measures. During the quarter, the Company repurchased 1,950,013 shares of common stock at a weighted average price of $29.75. Our share repurchase plan currently has a remaining authorization of 6.3 million shares which, depending on share price, provides a compelling investment alternative.
Credit Quality Credit quality continues to be closely monitored with the shifting economic and monetary environment. As of December 31, 2025, non-performing assets increased to $203 million, or 0.75% of total assets, from $143 million, or 0.54%, at September 30, 2025. The change is due to non-accrual loans increasing by $62.7 million, or 49%, since September 30, 2025 offset by a decrease in real estate owned ("REO") of $2.3 million during the same time frame. Delinquent loans increased to 1.07% of total loans at December 31, 2025, compared to 0.60% at September 30, 2025. The current quarter increase in non-performing assets is primarily the result of two commercial relationships over 90 days past due. Although appropriately non-accrual based on policy, it was determined no charge-offs were needed for these credits and management is actively collaborating with the borrowers.
The allowance for credit losses (including the reserve for unfunded commitments) totaled $221 million as of December 31, 2025, and was 1.05% of gross loans outstanding, as compared to $221 million, or 1.04% of gross loans outstanding, as of September 30, 2025. Net charge-offs were $3.7 million for the first fiscal quarter of 2026, compared to $1.0 million for the prior quarter.
Profitability Net interest income was $171 million for the first fiscal quarter of 2026, an increase of $1.2 million or 1% from the prior quarter. The increase in net interest income was primarily due to a 14 basis point decrease in the rate paid on interest bearing liabilities offsetting the effect of a 12 basis point decrease in the rate earned on interest earning assets. Net interest margin was 2.70% in the first fiscal quarter of 2026 compared to 2.71% for the quarter ended September 30, 2025.
Total non-interest income was $20.3 million for the first fiscal quarter of 2026 compared to $18.4 million the prior quarter. The increase compared to the prior quarter was primarily due to a $3.2 million gain recorded on the sale of a branch property. This gain was partially offset by losses taken on certain equity method investments in the quarter which realized gains in the prior quarter.
Total non-interest expense was $105.7 million in the first fiscal quarter of 2026, a slight decrease of $1.3 million, or 1.2%, from the prior quarter. The decrease is the result of reduced Compensation and Technology expenses offset by increased other expense. Decreased expenses combined with increased income resulted in a decrease in the Company's efficiency ratio in the first fiscal quarter of 2026 to 55.3%, compared to 56.8% in the prior quarter.
The Company recorded a $3.5 million provision for credit losses in the first fiscal quarter of 2026 compared to a provision of $3.0 million the prior quarter. The provision for loan losses in the quarter ended December 31, 2025 was the net result of decreased loan balances, mixed credit metrics, including the increasing trends in negative migration of criticized and nonperforming loans and $3.7 million of net charge-offs taken during the quarter.
Return on common shareholders' equity for the quarter ended December 31, 2025 was 8.86% compared to 8.36% for the quarter ended September 30, 2025. Adjusted for certain non-operating items, return on equity for the quarter was 8.49% compared to adjusted return on equity of 8.37% the prior quarter. Return on assets for the quarter ended December 31, 2025 was 0.96% compared to 0.91% for the previous quarter. Adjusted for certain non-operating items, return on assets for the quarter is 0.92% compared to adjusted return on assets of 0.91% the prior quarter. For a reconciliation of these adjusted ratios, see the Non-GAAP Financial Measures section below.
Income tax expense totaled $18.1 million the first fiscal quarter of 2026, as compared to $17.0 million for the prior quarter. The effective tax rate for the quarter ended December 31, 2025 was 22.00% compared to 21.93% for the quarter ended September 30, 2025. The Company's effective tax rate may vary from the statutory rate mainly due to state taxes, tax-exempt income and tax-credit investments.
WaFd Bank is headquartered in Seattle, Washington, and has 208 branches in nine western states. To find out more about WaFd Bank, please visit our website www.wafdbank.com. The Company will host a conference call for investors and analysts at 7:00am Pacific Time on Friday January 16, 2026. Participants may register for the call from a link on the Company's investor relations site (https://www.wafdbank.com/about-us/investor-relations) or through a direct link (https://register-conf.media-server.com/register/BI3c78563caa08404080a16d082e20e62f). The Company uses its website to distribute financial and other material information about the Company.
WAFD, INC. AND SUBSIDIARIES
|
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|
December 31, 2025 |
|
September 30, 2025 |
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|
(In thousands, except share and ratio data) |
||||||||
ASSETS |
|
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
734,915 |
|
|
|
$ |
657,310 |
|
Available-for-sale securities, at fair value |
|
|
4,142,285 |
|
|
|
|
3,533,201 |
|
Held-to-maturity securities, at amortized cost |
|
|
764,794 |
|
|
|
|
645,802 |
|
Loans receivable, net of allowance for loan losses of $199,539 and $199,720 |
|
|
19,848,156 |
|
|
|
|
20,088,618 |
|
Interest receivable |
|
|
97,650 |
|
|
|
|
98,589 |
|
Premises and equipment, net |
|
|
270,552 |
|
|
|
|
261,271 |
|
Real estate owned |
|
|
8,738 |
|
|
|
|
11,084 |
|
FHLB stock |
|
|
118,218 |
|
|
|
|
88,068 |
|
Bank owned life insurance |
|
|
277,121 |
|
|
|
|
275,159 |
|
Intangible assets, including goodwill of $416,247 and $414,722 |
|
|
443,085 |
|
|
|
|
442,093 |
|
Federal and state income tax assets |
|
|
102,377 |
|
|
|
|
112,784 |
|
Other assets |
|
|
477,853 |
|
|
|
|
485,720 |
|
|
|
$ |
27,285,744 |
|
|
|
$ |
26,699,699 |
|
LIABILITIES AND SHAREHOLDERS' EQUITY |
|
|
|
|
|
||||
Liabilities |
|
|
|
|
|
||||
Transaction deposits |
|
$ |
12,865,974 |
|
|
|
$ |
12,306,532 |
|
Time deposits |
|
|
8,550,996 |
|
|
|
|
9,131,104 |
|
Total customer deposits |
|
|
21,416,970 |
|
|
|
|
21,437,636 |
|
Borrowings |
|
|
2,436,532 |
|
|
|
|
1,765,604 |
|
Junior subordinated debentures |
|
|
51,879 |
|
|
|
|
51,645 |
|
Advance payments by borrowers for taxes and insurance |
|
|
20,688 |
|
|
|
|
59,845 |
|
Federal and state income tax liabilities |
|
|
5,124 |
|
|
|
|
— |
|
Accrued expenses and other liabilities |
|
|
325,144 |
|
|
|
|
345,394 |
|
|
|
|
24,256,337 |
|
|
|
|
23,660,124 |
|
Shareholders' equity |
|
|
|
|
|
||||
Preferred stock, $1.00 par value, 5,000,000 shares authorized; 300,000 and 300,000 shares issued; 300,000 and 300,000 shares outstanding |
|
|
300,000 |
|
|
|
|
300,000 |
|
Common stock, $1.00 par value, 300,000,000 shares authorized; 154,616,464 and 154,408,001 shares issued; 76,448,351 and 78,186,520 shares outstanding |
|
|
154,616 |
|
|
|
|
154,408 |
|
Additional paid-in capital |
|
|
2,165,709 |
|
|
|
|
2,163,276 |
|
Accumulated other comprehensive income (loss), net of taxes |
|
|
61,904 |
|
|
|
|
56,950 |
|
Treasury stock, at cost 78,168,113 and 76,221,481 shares |
|
|
(1,798,702 |
) |
|
|
|
(1,740,761 |
) |
Retained earnings |
|
|
2,145,880 |
|
|
|
|
2,105,702 |
|
|
|
|
3,029,407 |
|
|
|
|
3,039,575 |
|
|
|
$ |
27,285,744 |
|
|
|
$ |
26,699,699 |
|
Yield and margin as of period end |
|
|
|
|
|
||||
Loans receivable1 |
|
|
5.24 |
% |
|
|
|
5.38 |
% |
Mortgage-backed securities |
|
4.49 |
|
|
|
4.44 |
|
||
Combined cash, investments and FHLB stock |
|
|
4.24 |
|
|
|
|
4.96 |
|
Interest-earning assets |
|
|
5.05 |
|
|
|
|
5.23 |
|
Interest-bearing customer accounts |
|
|
2.76 |
|
|
|
|
2.95 |
|
Borrowings1 |
|
|
2.74 |
|
|
|
|
2.50 |
|
Interest-bearing liabilities |
|
|
2.76 |
|
|
|
|
2.91 |
|
Net interest spread |
|
|
2.29 |
|
|
|
|
2.32 |
|
Net interest margin |
|
|
2.77 |
|
|
|
|
2.82 |
|
1Accretion and amortization assumed to be same as prior quarter. Also includes the impact of derivatives. |
WAFD, INC. AND SUBSIDIARIES
|
|||||||||
|
Three Months Ended December 31, |
||||||||
|
2025 |
|
2024 |
||||||
|
(In thousands, except share and ratio data) |
||||||||
INTEREST INCOME |
|
|
|
|
|
||||
Loans receivable |
|
$ |
264,207 |
|
|
|
$ |
286,597 |
|
Mortgage-backed securities |
|
|
38,902 |
|
|
|
18,337 |
||
Investment securities and cash equivalents |
|
|
19,387 |
|
|
|
|
40,183 |
|
|
|
|
322,496 |
|
|
|
|
345,117 |
|
INTEREST EXPENSE |
|
|
|
|
|
||||
Customer accounts |
|
|
136,214 |
|
|
|
|
162,150 |
|
Borrowings and junior subordinated debentures |
|
|
15,171 |
|
|
|
|
27,536 |
|
|
|
|
151,385 |
|
|
|
|
189,686 |
|
Net interest income |
|
|
171,111 |
|
|
|
|
155,431 |
|
Provision (release) for credit losses |
|
|
3,500 |
|
|
|
|
— |
|
Net interest income after provision (release) |
|
|
167,611 |
|
|
|
|
155,431 |
|
NON-INTEREST INCOME |
|
|
|
|
|
||||
Gain (loss) on sale of investment securities |
|
|
— |
|
|
|
|
20 |
|
Gain (loss) on termination of hedging derivatives |
|
|
24 |
|
|
|
|
5 |
|
Loan fee income |
|
|
1,354 |
|
|
|
|
1,345 |
|
Deposit fee income |
|
|
7,858 |
|
|
|
|
7,046 |
|
Other income |
|
|
11,019 |
|
|
|
|
7,286 |
|
Total non-interest income |
|
|
20,255 |
|
|
|
|
15,702 |
|
NON-INTEREST EXPENSE |
|
|
|
|
|
||||
Compensation and benefits |
|
|
54,190 |
|
|
|
|
59,927 |
|
Occupancy |
|
|
11,170 |
|
|
|
|
10,788 |
|
FDIC insurance premiums |
|
|
5,400 |
|
|
|
|
4,850 |
|
Product delivery |
|
|
6,574 |
|
|
|
|
5,785 |
|
Information technology |
|
|
14,384 |
|
|
|
|
14,192 |
|
Other expense |
|
|
14,003 |
|
|
|
|
15,769 |
|
Total non-interest expense |
|
|
105,721 |
|
|
|
|
111,311 |
|
Gain (loss) on real estate owned, net |
|
|
156 |
|
|
|
|
429 |
|
Income before income taxes |
|
|
82,301 |
|
|
|
|
60,251 |
|
Income tax provision |
|
|
18,105 |
|
|
|
|
12,984 |
|
Net income |
|
|
64,196 |
|
|
|
|
47,267 |
|
Dividends on preferred stock |
|
|
3,656 |
|
|
|
|
3,656 |
|
Net income available to common shareholders |
|
$ |
60,540 |
|
|
|
$ |
43,611 |
|
PER SHARE DATA |
|
|
|
|
|
||||
Basic earnings per common share |
|
$ |
0.79 |
|
|
|
$ |
0.54 |
|
Diluted earnings per common share |
|
|
0.79 |
|
|
|
|
0.54 |
|
Cash dividends per common share |
|
|
0.27 |
|
|
|
|
0.26 |
|
Basic weighted average shares outstanding |
|
|
76,969,729 |
|
|
|
|
81,294,227 |
|
Diluted weighted average shares outstanding |
|
|
77,015,554 |
|
|
|
|
81,401,599 |
|
PERFORMANCE RATIOS |
|
|
|
|
|
||||
Return on average assets |
|
|
0.96 |
% |
|
|
|
0.69 |
% |
Return on average common equity |
|
|
8.86 |
% |
|
|
|
6.42 |
% |
WAFD, INC. AND SUBSIDIARIES
|
|||||||||||||||||
|
Three Months Ended |
||||||||||||||||
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
|
December 31,
|
||||||||
|
(In thousands, except share and ratio data) |
||||||||||||||||
INTEREST INCOME |
|
|
|
|
|
|
|
|
|
||||||||
Loans receivable |
$ |
264,207 |
|
$ |
271,787 |
|
|
$ |
279,476 |
|
|
$ |
282,077 |
|
|
$ |
286,597 |
Mortgage-backed securities |
|
38,902 |
|
|
32,953 |
|
|
|
27,855 |
|
|
|
23,926 |
|
|
|
18,337 |
Investment securities and cash equivalents |
|
19,387 |
|
|
21,794 |
|
|
|
24,383 |
|
|
|
30,081 |
|
|
|
40,183 |
|
|
322,496 |
|
|
326,534 |
|
|
|
331,714 |
|
|
|
336,084 |
|
|
|
345,117 |
INTEREST EXPENSE |
|
|
|
|
|
|
|
|
|
||||||||
Customer accounts |
|
136,214 |
|
|
143,874 |
|
|
|
146,735 |
|
|
|
151,948 |
|
|
|
162,150 |
Borrowings and junior subordinated debentures |
|
15,171 |
|
|
12,754 |
|
|
|
16,991 |
|
|
|
23,226 |
|
|
|
27,536 |
|
|
151,385 |
|
|
156,628 |
|
|
|
163,726 |
|
|
|
175,174 |
|
|
|
189,686 |
Net interest income |
|
171,111 |
|
|
169,906 |
|
|
|
167,988 |
|
|
|
160,910 |
|
|
|
155,431 |
Provision for credit losses |
|
3,500 |
|
|
3,000 |
|
|
|
2,000 |
|
|
|
2,750 |
|
|
|
— |
Net interest income after provision |
|
167,611 |
|
|
166,906 |
|
|
|
165,988 |
|
|
|
158,160 |
|
|
|
155,431 |
NON-INTEREST INCOME |
|
|
|
|
|
|
|
|
|
||||||||
Gain on sale of investment securities |
|
— |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
20 |
Gain on termination of hedging derivatives |
|
24 |
|
|
32 |
|
|
|
56 |
|
|
|
65 |
|
|
|
5 |
Loan fee income |
|
1,354 |
|
|
2,081 |
|
|
|
1,650 |
|
|
|
1,812 |
|
|
|
1,345 |
Deposit fee income |
|
7,858 |
|
|
7,959 |
|
|
|
7,588 |
|
|
|
7,057 |
|
|
|
7,046 |
Other income |
|
11,019 |
|
|
8,319 |
|
|
|
8,979 |
|
|
|
9,947 |
|
|
|
7,286 |
Total non-interest income |
|
20,255 |
|
|
18,391 |
|
|
|
18,273 |
|
|
|
18,881 |
|
|
|
15,702 |
NON-INTEREST EXPENSE |
|
|
|
|
|
|
|
|
|
||||||||
Compensation and benefits |
|
54,190 |
|
|
56,028 |
|
|
|
53,481 |
|
|
|
52,710 |
|
|
|
59,927 |
Occupancy |
|
11,170 |
|
|
10,895 |
|
|
|
11,755 |
|
|
|
11,499 |
|
|
|
10,788 |
FDIC insurance premiums |
|
5,400 |
|
|
4,400 |
|
|
|
5,150 |
|
|
|
5,800 |
|
|
|
4,850 |
Product delivery |
|
6,574 |
|
|
6,558 |
|
|
|
6,621 |
|
|
|
6,907 |
|
|
|
5,785 |
Information technology |
|
14,384 |
|
|
16,406 |
|
|
|
15,022 |
|
|
|
14,481 |
|
|
|
14,192 |
Other expense |
|
14,003 |
|
|
12,706 |
|
|
|
12,298 |
|
|
|
13,435 |
|
|
|
15,769 |
Total non-interest expense |
|
105,721 |
|
|
106,993 |
|
|
|
104,327 |
|
|
|
104,832 |
|
|
|
111,311 |
Gain (loss) on real estate owned, net |
|
156 |
|
|
(681 |
) |
|
|
(176 |
) |
|
|
(199 |
) |
|
|
429 |
Income before income taxes |
|
82,301 |
|
|
77,623 |
|
|
|
79,758 |
|
|
|
72,010 |
|
|
|
60,251 |
Income tax provision |
|
18,105 |
|
|
17,026 |
|
|
|
17,806 |
|
|
|
15,758 |
|
|
|
12,984 |
Net income |
|
64,196 |
|
|
60,597 |
|
|
|
61,952 |
|
|
|
56,252 |
|
|
|
47,267 |
Dividends on preferred stock |
|
3,656 |
|
|
3,656 |
|
|
|
3,656 |
|
|
|
3,656 |
|
|
|
3,656 |
Net income available to common shareholders |
$ |
60,540 |
|
$ |
56,941 |
|
|
$ |
58,296 |
|
|
$ |
52,596 |
|
|
$ |
43,611 |
WAFD, INC. AND SUBSIDIARIES
|
|||||||||||||||||||
|
Three Months Ended |
||||||||||||||||||
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
|
December 31,
|
||||||||||
|
(In thousands, except share and ratio data) |
||||||||||||||||||
PER SHARE DATA |
|
|
|
|
|
|
|
|
|
||||||||||
Basic earnings per common share |
$ |
0.79 |
|
|
$ |
0.73 |
|
|
$ |
0.73 |
|
|
$ |
0.65 |
|
|
$ |
0.54 |
|
Diluted earnings per common share |
|
0.79 |
|
|
|
0.72 |
|
|
|
0.73 |
|
|
|
0.65 |
|
|
|
0.54 |
|
Cash dividends per common share |
|
0.27 |
|
|
|
0.27 |
|
|
|
0.27 |
|
|
|
0.27 |
|
|
|
0.26 |
|
Basic weighted average shares outstanding |
|
76,969,729 |
|
|
|
78,509,472 |
|
|
|
79,888,520 |
|
|
|
81,061,206 |
|
|
|
81,294,227 |
|
Diluted weighted average shares outstanding |
|
77,015,554 |
|
|
|
78,573,457 |
|
|
|
79,907,672 |
|
|
|
81,105,536 |
|
|
|
81,401,599 |
|
PERFORMANCE RATIOS |
|
|
|
|
|
|
|
|
|
||||||||||
Return on average assets |
|
0.96 |
% |
|
|
0.91 |
% |
|
|
0.92 |
% |
|
|
0.82 |
% |
|
|
0.69 |
% |
Return on average common equity |
|
8.86 |
|
|
|
8.36 |
|
|
|
8.54 |
|
|
|
7.68 |
|
|
|
6.42 |
|
Net interest margin |
|
2.70 |
|
|
|
2.71 |
|
|
|
2.69 |
|
|
|
2.55 |
|
|
|
2.39 |
|
Efficiency ratio |
|
55.25 |
|
|
|
56.82 |
|
|
|
56.01 |
|
|
|
58.31 |
|
|
|
65.04 |
|
WAFD, INC. AND SUBSIDIARIES
NON-GAAP MEASURES
(UNAUDITED)
Non-GAAP Financial Measures
The Company has presented certain non-GAAP measures within this document to remove the effect of certain income and expenses to provide investors with information useful in understanding our financial performance. The Company considers these items to be non-operating in nature as they are items that management does not consider indicative of the Company's on-going financial performance. We believe that the tables presented reflect our on-going performance in the periods presented and, accordingly, are useful to consider in addition to our GAAP financial results. These measures should not be considered a substitution for GAAP basis disclosures.
Other companies may use similarly titled non-GAAP financial measures that are calculated differently from the way they are calculated herein. Because of this, our non-GAAP financial measures may not be comparable to similar measures used by others. We caution investors not to place undue reliance on such measures. See the following unaudited tables for reconciliations of our non-GAAP measures to the most directly comparable GAAP financial measures.
Tangible Measures |
December 31,
|
September 30,
|
June 30,
|
March 31,
|
December 31,
|
||||||||||||||
(Unaudited - In thousands, except for share and ratio data) |
|||||||||||||||||||
Shareholders' equity - GAAP |
$ |
3,029,407 |
|
|
$ |
3,039,575 |
|
|
$ |
3,014,325 |
|
|
$ |
3,032,620 |
|
|
$ |
3,021,636 |
|
Less intangible assets - GAAP |
|
443,085 |
|
|
|
442,093 |
|
|
|
444,291 |
|
|
|
446,660 |
|
|
|
449,213 |
|
Tangible shareholders' equity |
$ |
2,586,322 |
|
|
$ |
2,597,482 |
|
|
$ |
2,570,034 |
|
|
$ |
2,585,960 |
|
|
$ |
2,572,423 |
|
Less preferred stock - GAAP |
|
300,000 |
|
|
|
300,000 |
|
|
|
300,000 |
|
|
|
300,000 |
|
|
|
300,000 |
|
Tangible common shareholders' equity |
$ |
2,286,322 |
|
|
$ |
2,297,482 |
|
|
$ |
2,270,034 |
|
|
$ |
2,285,960 |
|
|
$ |
2,272,423 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total assets - GAAP |
$ |
27,285,744 |
|
|
$ |
26,699,699 |
|
|
$ |
26,731,915 |
|
|
$ |
27,644,637 |
|
|
$ |
27,684,454 |
|
Less intangible assets - GAAP |
|
443,085 |
|
|
|
442,093 |
|
|
|
444,291 |
|
|
|
446,660 |
|
|
|
449,213 |
|
Tangible assets |
$ |
26,842,659 |
|
|
$ |
26,257,606 |
|
|
$ |
26,287,624 |
|
|
$ |
27,197,977 |
|
|
$ |
27,235,241 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Tangible Metrics |
|
|
|
|
|
|
|
|
|
||||||||||
Common shares outstanding - GAAP |
|
76,448,351 |
|
|
|
78,186,520 |
|
|
|
79,130,276 |
|
|
|
80,758,674 |
|
|
|
81,373,760 |
|
Tangible common equity per share |
$ |
29.91 |
|
|
$ |
29.38 |
|
|
$ |
28.69 |
|
|
$ |
28.31 |
|
|
$ |
27.93 |
|
Tangible equity to tangible assets |
|
9.64 |
% |
|
|
9.89 |
% |
|
|
9.78 |
% |
|
|
9.51 |
% |
|
|
9.45 |
% |
WAFD, INC. AND SUBSIDIARIES
|
|||||||||||||||||||
|
Three Months Ended |
||||||||||||||||||
Average Tangible Measures |
December 31,
|
September 30,
|
June 30,
|
March 31,
|
December 31,
|
||||||||||||||
(Unaudited - In thousands, except for ratio data) |
|||||||||||||||||||
Average shareholders' equity - GAAP |
$ |
3,033,933 |
|
|
$ |
3,023,098 |
|
|
$ |
3,030,745 |
|
|
$ |
3,039,021 |
|
|
$ |
3,015,197 |
|
Less average preferred stock - GAAP |
|
300,000 |
|
|
|
300,000 |
|
|
|
300,000 |
|
|
|
300,000 |
|
|
|
300,000 |
|
Less average intangible assets - GAAP |
|
442,226 |
|
|
|
443,382 |
|
|
|
445,733 |
|
|
|
448,272 |
|
|
|
447,754 |
|
Average tangible common equity |
$ |
2,291,707 |
|
|
$ |
2,279,716 |
|
|
$ |
2,285,012 |
|
|
$ |
2,290,749 |
|
|
$ |
2,267,443 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Average Assets - GAAP |
$ |
26,852,389 |
|
|
$ |
26,540,782 |
|
|
$ |
26,813,500 |
|
|
$ |
27,371,320 |
|
|
$ |
27,504,576 |
|
Less average intangible assets - GAAP |
|
442,226 |
|
|
|
443,382 |
|
|
|
445,733 |
|
|
|
448,272 |
|
|
|
447,754 |
|
Average tangible assets |
$ |
26,410,163 |
|
|
$ |
26,097,400 |
|
|
$ |
26,367,767 |
|
|
$ |
26,923,048 |
|
|
$ |
27,056,822 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Average Tangible Metrics |
|
|
|
|
|
|
|
|
|
||||||||||
Net income - GAAP |
|
64,196 |
|
|
|
60,597 |
|
|
|
61,952 |
|
|
|
56,252 |
|
|
|
47,267 |
|
Net income available to common shareholders' - GAAP |
|
60,540 |
|
|
|
56,941 |
|
|
|
58,296 |
|
|
|
52,596 |
|
|
|
43,611 |
|
Return on tangible common equity |
|
10.57 |
% |
|
|
9.99 |
% |
|
|
10.20 |
% |
|
|
9.18 |
% |
|
|
7.69 |
% |
Return on tangible assets |
|
0.97 |
% |
|
|
0.93 |
% |
|
|
0.94 |
% |
|
|
0.84 |
% |
|
|
0.70 |
% |
WAFD, INC. AND SUBSIDIARIES
|
|||||||||||||||||||
|
Three Months Ended |
||||||||||||||||||
Net Income Adjusted for Acquisition Expenses and Other Non-Operating Items |
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
|
December 31,
|
||||||||||
(Unaudited - In thousands, except for share and ratio data) |
|||||||||||||||||||
Interest income |
|
|
|
|
|
|
|
|
|
||||||||||
LBC Hedge Valuation Adj |
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
3,933 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Non-interest income |
|
|
|
|
|
|
|
|
|
||||||||||
(Gain)Loss on sale of branch property |
$ |
(3,214 |
) |
|
$ |
467 |
|
|
$ |
4 |
|
|
$ |
— |
|
|
$ |
195 |
|
Distribution received on LBC equity method investment |
|
(237 |
) |
|
|
(251 |
) |
|
|
(255 |
) |
|
|
(257 |
) |
|
|
(279 |
) |
(Gain)Loss on WaFd Bank equity method investment |
|
408 |
|
|
|
(815 |
) |
|
|
304 |
|
|
|
(155 |
) |
|
|
48 |
|
Total non-interest income |
$ |
(3,043 |
) |
|
$ |
(599 |
) |
|
$ |
53 |
|
|
$ |
(412 |
) |
|
$ |
(36 |
) |
|
|
|
|
|
|
|
|
|
|
||||||||||
Non-interest expense |
|
|
|
|
|
|
|
|
|
||||||||||
Acquisition-related expenses |
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
239 |
|
Non-operating expenses: |
|
|
|
|
|
|
|
|
|
||||||||||
Restructuring Charges |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
5,390 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
5,390 |
|
Total non-interest expense |
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
5,629 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net Income - GAAP |
$ |
64,196 |
|
|
$ |
60,597 |
|
|
$ |
61,952 |
|
|
$ |
56,252 |
|
|
$ |
47,267 |
|
Interest income adjustments |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,933 |
|
Non-interest income adjustments |
|
(3,043 |
) |
|
|
(599 |
) |
|
|
53 |
|
|
|
(412 |
) |
|
|
(36 |
) |
Non-interest expense adjustments |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
5,629 |
|
REO adjustments |
|
(156 |
) |
|
|
681 |
|
|
|
176 |
|
|
|
199 |
|
|
|
(429 |
) |
Income tax adjustment |
|
704 |
|
|
|
(18 |
) |
|
|
(51 |
) |
|
|
47 |
|
|
|
(1,960 |
) |
Net Income - non-GAAP |
$ |
61,701 |
|
|
$ |
60,661 |
|
|
$ |
62,130 |
|
|
$ |
56,086 |
|
|
$ |
54,404 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Dividend on preferred stock |
|
3,656 |
|
|
|
3,656 |
|
|
|
3,656 |
|
|
|
3,656 |
|
|
|
3,656 |
|
Net Income available to common shareholders' - non-GAAP |
$ |
58,045 |
|
|
$ |
57,005 |
|
|
$ |
58,474 |
|
|
$ |
52,430 |
|
|
$ |
50,748 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic weighted average number |
|
76,969,729 |
|
|
|
78,509,472 |
|
|
|
79,888,520 |
|
|
|
81,061,206 |
|
|
|
81,294,227 |
|
Diluted weighted average |
|
77,015,554 |
|
|
|
78,573,457 |
|
|
|
79,907,672 |
|
|
|
81,105,536 |
|
|
|
81,401,599 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic EPS - non-GAAP |
$ |
0.75 |
|
|
$ |
0.73 |
|
|
$ |
0.73 |
|
|
$ |
0.65 |
|
|
$ |
0.62 |
|
Diluted EPS - non-GAAP |
|
0.75 |
|
|
|
0.73 |
|
|
|
0.73 |
|
|
|
0.65 |
|
|
|
0.62 |
|
WAFD, INC. AND SUBSIDIARIES
|
|||||||||||||||||||
|
Three Months Ended |
||||||||||||||||||
Adjusted Efficiency Ratio |
December 31,
|
September 30,
|
June 30,
|
March 31,
|
December 31,
|
||||||||||||||
(Unaudited - In thousands, except for ratio data) |
|||||||||||||||||||
Efficiency ratio - GAAP |
|
55.3 |
% |
|
|
56.8 |
% |
|
|
56.0 |
% |
|
|
58.3 |
% |
|
65.0 |
% |
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net interest income - GAAP |
$ |
171,111 |
|
|
$ |
169,906 |
|
|
$ |
167,988 |
|
|
$ |
160,910 |
|
$ |
155,431 |
|
|
| Total interest income adjustments |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
3,933 |
|
|
Net interest income - non-GAAP |
$ |
171,111 |
|
|
$ |
169,906 |
|
|
$ |
167,988 |
|
|
$ |
160,910 |
|
$ |
159,364 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Non-interest expense - GAAP |
$ |
105,721 |
|
|
$ |
106,993 |
|
|
$ |
104,327 |
|
|
$ |
104,832 |
|
$ |
111,311 |
|
|
Less merger related expenses |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
239 |
|
|
Less non-operating expenses |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
5,390 |
|
|
Non-interest Expenses - non-GAAP |
$ |
105,721 |
|
|
$ |
106,993 |
|
|
$ |
104,327 |
|
|
$ |
104,832 |
|
$ |
105,682 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Non-interest income - GAAP |
$ |
20,255 |
|
|
$ |
18,391 |
|
|
$ |
18,273 |
|
|
$ |
18,881 |
|
$ |
15,702 |
|
|
Total other income |
|
(3,043 |
) |
|
|
(599 |
) |
|
|
53 |
|
|
|
(412 |
) |
|
(36 |
) |
|
Non-interest income - non-GAAP |
$ |
17,212 |
|
|
$ |
17,792 |
|
|
$ |
18,326 |
|
|
$ |
18,469 |
|
$ |
15,666 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Interest Income - non-GAAP |
$ |
171,111 |
|
|
$ |
169,906 |
|
|
$ |
167,988 |
|
|
$ |
160,910 |
|
$ |
159,364 |
|
|
Non-interest income - non-GAAP |
|
17,212 |
|
|
|
17,792 |
|
|
|
18,326 |
|
|
|
18,469 |
|
|
15,666 |
|
|
Total Income - non-GAAP |
$ |
188,323 |
|
|
$ |
187,698 |
|
|
$ |
186,314 |
|
|
$ |
179,379 |
|
$ |
175,030 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Adjusted Efficiency Ratio |
|
56.1 |
% |
|
|
57.0 |
% |
|
|
56.0 |
% |
|
|
58.4 |
% |
|
60.4 |
% |
|
WAFD, INC. AND SUBSIDIARIES
|
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
Adjusted ROA and ROE |
|
December 31,
|
September 30,
|
|
June 30,
|
March 31,
|
December 31,
|
|||||||||||||
|
(Unaudited - In thousands, except for ratio data) |
|||||||||||||||||||
Reported: |
|
|
|
|
|
|
|
|||||||||||||
Net Income - GAAP |
|
$ |
64,196 |
|
$ |
60,597 |
|
|
$ |
61,952 |
|
$ |
56,252 |
|
$ |
47,267 |
|
|||
Net income available to common shareholders - GAAP |
|
$ |
60,540 |
|
$ |
56,941 |
|
|
$ |
58,296 |
|
$ |
52,596 |
|
$ |
43,611 |
|
|||
|
|
|
|
|
|
|
|
|||||||||||||
Average Assets |
|
|
26,852,389 |
|
|
26,540,782 |
|
|
|
26,813,500 |
|
|
27,371,320 |
|
|
27,504,576 |
|
|||
Return on Assets |
|
|
0.96 |
% |
|
0.91 |
% |
|
|
0.92 |
% |
|
0.82 |
% |
|
0.69 |
% |
|||
|
|
|
|
|
|
|
|
|||||||||||||
Average Common Equity |
|
$ |
2,733,933 |
|
$ |
2,723,098 |
|
|
$ |
2,730,745 |
|
$ |
2,739,021 |
|
$ |
2,715,197 |
|
|||
Return on common equity |
|
|
8.86 |
% |
|
8.36 |
% |
|
|
8.54 |
% |
|
7.68 |
% |
|
6.42 |
% |
|||
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted: |
|
|
|
|
|
|
|
|||||||||||||
Net Income - non-GAAP |
|
$ |
61,701 |
|
$ |
60,661 |
|
|
$ |
62,130 |
|
$ |
56,086 |
|
$ |
54,404 |
|
|||
Net income available to common shareholders - non-GAAP |
|
$ |
58,045 |
|
$ |
57,005 |
|
|
$ |
58,474 |
|
$ |
52,430 |
|
$ |
50,748 |
|
|||
|
|
|
|
|
|
|
|
|||||||||||||
Average Assets |
|
|
26,852,389 |
|
|
26,540,782 |
|
|
|
26,813,500 |
|
|
27,371,320 |
|
|
27,504,576 |
|
|||
Adjusted Return on Assets |
|
|
0.92 |
% |
|
0.91 |
% |
|
|
0.93 |
% |
|
0.82 |
% |
|
0.79 |
% |
|||
|
|
|
|
|
|
|
|
|||||||||||||
Average Common Equity |
|
|
2,733,933 |
|
|
2,723,098 |
|
|
|
2,730,745 |
|
|
2,739,021 |
|
|
2,715,197 |
|
|||
Adjusted Return on common equity |
|
|
8.49 |
% |
|
8.37 |
% |
|
|
8.57 |
% |
|
7.66 |
% |
|
7.48 |
% |
|||
Important Cautionary Statements
The foregoing information should be read in conjunction with the financial statements, notes and other information contained in the Company's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.
This press release contains statements about the Company's future that are not statements of historical or current fact. These statements are "forward-looking statements" for purposes of applicable securities laws and are based on current information and/or management's good faith belief as to future events. Words such as "expects," "anticipates," "believes," "estimates," "intends," "forecasts," "may," "potential," "projects," and other similar expressions or future or conditional verbs such as "will," "should," "would," and "could" are intended to help identify such forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although the Company believes any such statements are based on reasonable assumptions, forward-looking statements should not be read as a guarantee of future performance, and you are cautioned not to place undue reliance on any forward-looking statements. The Company undertakes no obligation to update or revise any forward-looking statement.
By their nature, forward-looking statements involve inherent risk and uncertainties including the following risks and uncertainties, and those risks and uncertainties more fully discussed under "Risk Factors" in the Company's September 30, 2025 10-K and Quarterly Reports on Form 10-Q, which could cause actual performance to differ materially from that anticipated by any forward-looking statements. Forward-looking statements relating to our financial condition or operations are subject to risks and uncertainties related to (i) fluctuations in interest rate risk and market interest rates, including the effect on our net interest income and net interest margin; (ii) current and future economic conditions, including the effects of declines in the real estate market, tariffs, high unemployment rates, inflationary pressures, a potential recession, the monetary policies of the Federal Reserve, and slowdowns in economic growth either nationally or locally in some or all of the areas in which we conduct business; (iii) financial stress on borrowers (consumers and businesses) as a result of higher interest rates or an uncertain economic environment; (iv) changes in deposit flows or loan demands; (v) our ability to identify and address cyber-security risks, including through the use of artificial intelligence, such as security breaches, "denial of service attacks," "hacking" and identity theft; (vi) the Company's exit from the mortgage lending business; (vii) the effects of natural or man-made disasters, calamities, or conflicts, including terrorist events and pandemics (such as the COVID-19 pandemic) and the resulting governmental and societal responses; (viii) the results of examinations by regulatory authorities, including a "Needs to Improve" CRA rating, which may impose restrictions or penalties on the Company's activities and changes in laws, regulations, or government policies; (ix) expectations regarding key growth initiatives and strategic priorities; (x) our reliance on third party provided technology and developments related to artificial intelligence; (xi) global economic trends, including developments related to Ukraine and Russia, and the evolving conflict in the Middle East, and related negative financial impacts on our borrowers; (xii) litigation risks resulting in significant expenses, losses and reputational damage; (xiii) the impact of bank failures or adverse developments at other banks and related negative press about regional banks and the banking industry in general; and (xiv) other economic, competitive, governmental, environmental, regulatory, and technological factors affecting our operations, pricing, products and services.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260115526416/en/
WaFd, Inc.
425 Pike Street, Seattle, WA 98101
Brad Goode, SVP, Chief Marketing Officer
206-626-8178
[email protected]