WaFd Inc

Latest Results (13.01.2026):

WaFd Inc. reported results for the fourth quarter of fiscal 2025 (Q4 2025) and the full fiscal year 2025: Q4 net income was $60.6 million ($0.72 diluted EPS available to common shareholders) and full-year net income was $226.1 million ($2.63 diluted EPS). The quarter showed a modest sequential margin improvement, stronger loan originations, an improving deposit mix toward transaction accounts, but rising non‑performing assets and slightly higher operating expenses as the bank invests in strategic initiatives.

Quarter and Year Results

Q4 2025 net income: $60.6M; diluted EPS available to common shareholders: $0.72. Fiscal 2025 net income: $226.1M; diluted EPS: $2.63 (FY +13% vs FY2024 net income; FY diluted EPS +5.2% vs FY2024).

Net Interest Income & Margin

Q4 net interest income was $169.9M, up $1.9M from Q3. Net interest margin (NIM) improved to 2.71% in Q4 2025 from 2.69% in Q3 2025 and 2.62% a year earlier, driven by lower funding costs.

Balance Sheet & Deposit Mix

Total assets were $26.7B at Sept. 30, 2025 (down from $28.1B a year earlier). Net loans were ~$20.1B and investment securities rose ~38.9% YoY. Total deposits were stable at $21.4B; transaction accounts increased (57.4% of deposits) and management highlighted checking increasing from 33% to 35% of deposits over the year.

Loan Activity and Pipeline

Fiscal 2025 loan originations were $4.0B (up from $3.6B in FY2024). Management noted a 103% increase in new loan originations over the prior quarter and a building loan pipeline over three consecutive quarters, with commercial loans comprising ~83% of originations in FY2025.

Credit Quality

Non-performing assets rose to $143M (0.54% of total assets) at Sept. 30, 2025, up from $97M (0.36%) at June 30, 2025, primarily due to one commercial real estate loan becoming >90 days delinquent (no charge-off). Delinquencies were 0.60% of loans. Allowance for credit losses totaled $221M, or 1.04% of gross loans. Net charge-offs were modest: $1.0M in Q4 and $11.8M for FY2025.

Expenses and Efficiency

Non-interest expense rose to $107.0M in Q4 (up $2.7M vs Q3) from strategic investments in staff and technology. Efficiency ratio increased to 56.82% from 56.01% in the prior quarter.

Capital Deployment & Shareholder Returns

WaFd paid a quarterly cash dividend of $0.27 per share on Sept. 5, 2025 (170th consecutive quarterly dividend). The company repurchased 969,653 shares in the quarter at a weighted average price of $29.74; FY repurchases totaled 3,447,771 shares at a weighted average of $29.56. Remaining repurchase authorization cited in the report: 8,162,654 shares.

Strategy & Management Commentary

Management emphasized a strategic shift in 2025 from mortgage lending toward serving businesses, expecting improved branch relevance and long‑term shareholder returns. Early signs cited include the change in deposit mix and rising commercial originations.