WAFD INC (WAFDP) SEC Filings & Earnings Calls

Credit loss from large classified loan resolved with $36M charge-off; net charge-offs elevated in Q4.

“Net charge-offs of $39 million taken in Q4; $36 million charge-off from a large previously classified loan.”

Interest rate surge to 20-year highs could pressure deposit costs and loan demand.

“Recent surge in interest rates to their highest level in the last twenty years, with the 10 year bond at levels above 5.20%.” · word for word

Merger-related expenses increased efficiency ratio; integration risk from EverBank merger.

“Non-interest expense up $11.2 million compared to Q3 due to strategic investments and merger related expenses.”

Regulatory approval risk and integration execution risk.

“Risks include failure to obtain required regulatory approvals and integration challenges.”

Credit quality deterioration

“The Company recorded an $11,000,000 provision for credit losses for the three months ended June 30, 2026, compared with a $2,000,000 provision for credit losses for the three months ended June 30, 2025.” · word for word

Deposit outflow and reliance on wholesale funding

“Customer accounts decreased $505,561,000, or 2.4%, to $20,932,075,000 at June 30, 2026 compared with $21,437,636,000 at September 30, 2025.” · word for word

Interest rate risk from fixed-rate securities

“As of June 30, 2026, the net unrealized loss on these securities was $36,745,000.” · word for word

No material risks identified; routine investor presentation.

Non-performing assets increased to 0.49% from 0.36% YoY, indicating credit quality deterioration.

“Non-performing assets at 0.49% of total assets compared to 0.36% Q3 2025”

Delinquencies rose to 0.75% from 0.26% YoY, a significant increase.

“Delinquencies to net loans 0.75% Q3 2026 vs 0.26% Q3 2025”

Total deposits declined 2.1% YoY, potentially indicating deposit outflow pressure.

“Total deposits $20.93B Q3 2026 vs $21.39B Q3 2025”

Consumer loan runoff

“Total consumer loans 8,072,036 37.6 % 8,622,638 40.5 % (550,602) (6.4)” · word for word

Treasury stock purchases reducing equity

“treasury stock purchases of $145,224,000” · word for word

Provision increase

“The Company recorded a $4,000,000 provision for credit losses for the three months ended March 31, 2026, compared with $2,750,000 provision for credit losses for the three months ended March 31, 2025.” · word for word

Efficiency ratio increased sequentially to 55.66% from 55.25% due to higher expense growth relative to income.

“Efficiency ratio increased to 55.66% compared to 55.25% in the prior quarter as a result of a higher increase in expenses compared to income.” · word for word

Total deposits declined slightly QoQ and YoY, with time deposits decreasing $754M over six months.

“Customer deposits totaled $21.1 billion as of March 31, 2026, compared to $21.4 billion at September 30, 2025. Time deposits decreased $754 million.”

Credit quality deterioration

“Non-performing assets increased $60,374,000 during the three months ended December 31, 2025 to $203,396,000 from $143,022,000 at September 30, 2025.” · word for word

Concentration in commercial real estate

“Commercial real estate loans represent 16.9% of total loans, with non-accrual CRE loans of $68.5M.”

Interest rate risk from falling rates

“The Company's NPV would decrease by 11.74% in a +100 bps rate shock scenario.”

Declining origination yields may pressure net interest margin.

“Weighted average rate on originations dropped from 6.87% to 5.99%.”

Loan portfolio shrinking slightly, net loans down ~1.2% sequentially.

“Net loans $19.85B vs $20.09B prior quarter.”

Credit quality deterioration

“For the year ended September 30, 2025, net charge-offs were $11,783,000, compared to $1,356,000 in the prior year.” · word for word

Cash liquidity decline

“The Company's cash and cash equivalents were $657,310,000 at September 30, 2025, which is a 72.4% decrease from the balance of $2,381,102,000 as of September 30, 2024.” · word for word

Activist shareholder risk

“In recent months, activist investors have increasingly targeted regional banking institutions, like the Bank, including campaigns at Comerica Incorporated and Eastern Bancshares, Inc.” · word for word

Rising non-performing assets and delinquencies indicate credit quality deterioration.

“Non-performing assets up $46 million at 0.54% of total assets compared to 0.36% as of June 2025; Delinquencies up $69 million to 0.60% of total loans compared to 0.26%.” · word for word

Efficiency ratio increased to 56.82% from 56.01% due to strategic investments.

“Efficiency ratio increased to 56.82% compared to 56.01% in the prior quarter.” · word for word