WaFd Inc. reported quarterly earnings of $64,196,000 for Q1 2026, marking a 6% increase from the previous quarter and a 36% increase year-over-year.
The earnings growth was driven by steady margins, increases in other income, and effective cost management efforts.
Despite challenges in delinquent and non-performing loans, the company remains confident in its reserves and sees potential for stronger loan production ahead.
Earnings Growth
Earnings per share increased by 10% on a linked quarter basis and 46% compared to the same period last year.
Net Interest Income
Quarterly net interest income stood at $171 million with a net interest margin of 2.70%.
Credit Quality Concerns
Non-performing assets and delinquencies have increased, requiring close monitoring and management attention.
Shareholder Returns
The company paid a cash dividend of $0.27 per share and repurchased 1,950,013 shares during the quarter.
- The company's net income to common shareholders has shown consistent growth over the past quarters.
- Efficiency ratio decreased to 55.25% in Q1 2026, reflecting improved cost efficiency.
- Despite challenges in credit quality, the company's overall financial performance remains strong and resilient.
WaFd Inc.'s robust earnings performance in Q1 2026, amidst challenges in loan quality, demonstrates the company's resilience and strategic focus. With a solid financial foundation and proactive measures, WaFd is poised for continued growth and value creation for its shareholders.