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WAFD Inc Reports Strong Q2 Earnings

Wafd, Inc. reported second-quarter 2026 net income of $65.5 million, up 2% from $64.2 million in the prior quarter and up 17% from $56.3 million a year earlier.

Diluted earnings per share rose to $0.82 from $0.79 in the fourth quarter of 2025 and $0.65 in the same quarter last year, a gain of $0.17, or 26%, year over year.

Net interest income climbed to $178 million from $171 million in the prior quarter, while net interest margin widened to 2.81% from 2.70%.

Credit quality improved sharply. Non-performing assets fell to $132 million, or 0.48% of total assets, from $203 million, or 0.75%, in the prior quarter. Delinquencies dropped to 0.78% of total loans from 1.07%, and net charge-offs fell to $0.6 million from $3.7 million.

Total assets increased to $27.6 billion from $26.7 billion at the end of September 2025, led by a $919 million, or 22%, increase in investment securities to $5.1 billion. Loans declined to $20.0 billion from $20.1 billion, while cash rose to $669.8 million from $657.3 million.

Deposits slipped to $21.1 billion from $21.4 billion in September. Transaction deposits increased to $12.7 billion from $12.3 billion, while time deposits fell to $8.4 billion from $9.1 billion. Borrowings jumped to $3.1 billion from $1.8 billion.

Non-interest income edged down to $19.8 million from $20.3 million, while non-interest expense rose to $109.9 million from $105.8 million, pushing the efficiency ratio up to 55.66% from 55.25%.

The company repurchased 2.74 million shares during the quarter at a weighted average price of $31.85, equal to 3.6% of shares outstanding. Common shareholders’ equity per share increased to $36.30 from $35.70, and tangible book value per share rose to $30.27 from $29.38 since September 2025. The market has reacted to these announcements by moving the company's shares 0.13% to a price of $31.59. Check out the company's full 8-K submission here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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