AX Axos Financial Inc

Axos Financial, Inc. (NYSE: AX) (“Axos” or the “Company”) today announced unaudited financial results for the fourth fiscal quarter ended June 30, 2024. Net income was $104.9 million, an increase of 20.1% from $87.4 million for the quarter ended June 30, 2023. Diluted earnings per share (“EPS”) were $1.80, an increase of $0.34, or 23.3%, as compared to diluted earnings per share of $1.46 for the quarter ended June 30, 2023.

Adjusted earnings and adjusted earnings per diluted common share (“Adjusted EPS”), non-GAAP measures described further below, increased $17.3 million to $106.7 million and increased $0.33 to $1.83, respectively, for the quarter ended June 30, 2024, compared to $89.4 million and $1.50, respectively, for the quarter ended June 30, 2023.

Fourth Quarter Fiscal 2024 Financial Summary

 

Three Months Ended

June 30,

 

 

(Dollars in thousands, except per share data)

2024

 

2023

 

% Change

Net interest income

$

260,062

 

$

203,754

 

27.6 %

Non-interest income

$

30,861

 

$

32,705

 

(5.6) %

Net income

$

104,872

 

$

87,356

 

20.1 %

Adjusted earnings (Non-GAAP)1

$

106,727

 

$

89,431

 

19.3 %

Diluted EPS

$

1.80

 

$

1.46

 

23.3 %

Adjusted EPS (Non-GAAP)1

$

1.83

 

$

1.50

 

22.0 %

1 See “Use of Non-GAAP Financial Measures”

 

 

 

 

 

For the fiscal year ended June 30, 2024, net income was $450.0 million, an increase of 46.5% from net income of $307.2 million for the fiscal year ended June 30, 2023. Diluted earnings per share were $7.66 for the fiscal year ended June 30, 2024, an increase of $2.59, or 51.1%, as compared to diluted earnings per share of $5.07 for the fiscal year ended June 30, 2023.

“We had an exceptional fiscal year 2024, with 51% EPS growth, 27 basis point of net interest margin expansion, and a 24% increase in book value per share,” stated Greg Garrabrants, President and Chief Executive Officer of Axos. “Credit remains strong, as evidenced by the 5 basis points of net charge-offs to average loans and the 6 basis point sequential decline in our non-accrual loans to total loans in the three months ended June 30, 2024. We continue to operate a highly efficient and profitable company, as indicated by our 43.6% consolidated efficiency ratio and 21.6% return on average common stockholders’ equity for fiscal year 2024.”

Other Highlights

• Net interest margin was 4.65% for the quarter ended June 30, 2024, compared to 4.19% for the quarter ended June 30, 2023
• Net loans for investment totaled $19.2 billion at June 30, 2024, an increase of $0.5 billion, or 10.6% annualized, from $18.7 billion at March 31, 2024
• Total deposits were $19.4 billion at June 30, 2024, an increase of $2.3 billion, or 13.1%, from $17.1 billion at June 30, 2023; total savings, checking and other demand deposits were $18.4 billion at June 30, 2024, up from $15.8 billion at June 30, 2023
• Approximately 90% of total deposits were FDIC-insured or collateralized at June 30, 2024
• Non-accrual loans to total loans was 57 basis points at June 30, 2024, down from 63 basis points at March 31, 2024
• Total capital to risk-weighted assets was 13.80% for Axos Bank at June 30, 2024, up from 12.50% at June 30, 2023
• Book value per share increased to $40.26, up 23.76% from $32.53 at June 30, 2023
• Axos repurchased approximately $13.2 million of common stock in the three months ended June 30, 2024 at an average share price of $48.37 per share

Fourth Quarter Fiscal 2024 Income Statement Summary

Net income was $104.9 million and earnings per diluted common share was $1.80 for the three months ended June 30, 2024, compared to net income of $87.4 million and earnings per diluted common share of $1.46 for the three months ended June 30, 2023. Net interest income increased $56.3 million or 27.6% for the three months ended June 30, 2024, compared to the three months ended June 30, 2023, primarily due to an increase in interest income from loans attributable to higher average balances and higher rates earned, including the impact of discount accretion on loans obtained in the FDIC Loan Purchase, partially offset by higher average interest-bearing deposit balances and higher rates paid.

The provision for credit losses was $6.0 million for the three months ended June 30, 2024, compared to $7.0 million for the three months ended June 30, 2023. The provision for credit losses for the three months ended June 30, 2024, was primarily due to loan growth in the Commercial & Industrial - Non-Real Estate portfolio as well as increases across loan portfolios reflecting changes in the underlying macroeconomic variables.

Non-interest income decreased to $30.9 million for the three months ended June 30, 2024, compared to $32.7 million for the three months ended June 30, 2023. The decrease was primarily due to lower broker-dealer fee income and lower prepayment penalty fee income, partially offset by higher mortgage banking and servicing rights income.

Non-interest expense, comprised of various operating expenses, increased $28.0 million to $140.5 million for the three months ended June 30, 2024 from $112.5 million for the three months ended June 30, 2023. The increase was primarily due to higher salaries and related costs, higher professional services expense and higher advertising and promotional expense.

Full Year Fiscal 2024 Highlights

• Net income reached a record $450.0 million, an increase of 46.5% compared to fiscal year ended June 30, 2023
• Diluted earnings per share were $7.66, up 51.1% from $5.07 in the fiscal year ended June 30, 2023
• Deposits increased by $2.3 billion, or 13.1%, to $19.4 billion during fiscal year ended June 30, 2024
• Net interest margin for the Banking Business segment increased to 4.68% for the fiscal year ended June 30, 2024, compared to 4.48% for the fiscal year ended June 30, 2023
• Efficiency ratio was 43.59% for the fiscal year ended June 30, 2024, compared to 49.54% for the fiscal year ended June 30, 2023
• Return on average assets increased to 2.08% for the fiscal year ended June 30, 2024 from 1.64% for the fiscal year ended June 30, 2023

Balance Sheet Summary

Axos’ total assets increased by $2.6 billion, or 12.3%, to $22.9 billion, at June 30, 2024, from $20.3 billion at June 30, 2023, primarily due to an increase in loans. Total liabilities increased by $2.2 billion, or 11.6%, to $20.6 billion at June 30, 2024, from $18.4 billion at June 30, 2023, primarily due to an increase in deposits. Stockholders’ equity increased by $373.4 million, or 19.5%, to $2.3 billion at June 30, 2024 from $1.9 billion at June 30, 2023, primarily due to net income of $450.0 million, partially offset by purchases of common stock of $97.0 million under the share repurchase program during the fiscal year ended June 30, 2024.

Conference Call

A conference call and webcast will be held on Tuesday, July 30, 2024, at 5:00 PM Eastern / 2:00 PM Pacific. Analysts and investors may dial in and participate in the question/answer session. To access the call, please dial: 877-407-8293. The conference call will be webcast live, and both the webcast and the earnings supplement may be accessed at Axos’ website, investors.axosfinancial.com. For those unable to listen to the live broadcast, a replay will be available until August 30, 2024, at Axos’ website and telephonically by dialing toll-free number 877-660-6853, passcode 13747476.

About Axos Financial, Inc. and Subsidiaries

Axos Financial, Inc., with approximately $22.9 billion in consolidated assets as of June 30, 2024, is the holding company for Axos Bank, Axos Clearing LLC and Axos Invest, Inc. Axos Bank provides consumer and business banking products nationwide through its low-cost distribution channels and affinity partners. Axos Clearing LLC (including its business division Axos Advisor Services), with approximately $35.7 billion of assets under custody and/or administration as of June 30, 2024, and Axos Invest, Inc., provide comprehensive securities clearing services to introducing broker-dealers and registered investment advisor correspondents, and digital investment advisory services to retail investors, respectively. Axos Financial, Inc.’s common stock is listed on the NYSE under the symbol “AX” and is a component of the Russell 2000® Index, the S&P SmallCap 600® Index, the KBW Nasdaq Financial Technology Index, and the Travillian Tech-Forward Bank Index. For more information on Axos Financial, Inc., please visit http://investors.axosfinancial.com.

Segment Reporting

The Company operates through two segments: Banking Business and Securities Business. In order to reconcile the two segments to the consolidated totals, the Company includes parent-only activities and intercompany eliminations. Inter-segment transactions are eliminated in consolidation and primarily include non-interest income earned by the Securities Business segment and non-interest expense incurred by the Banking Business segment for cash sorting fees related to deposits sourced from Securities Business segment customers, as well as interest expense paid by the Banking Business segment to each of the wholly-owned subsidiaries of the Company and to the Company itself for their operating cash held on deposit with the Business Banking segment.

The following tables present the operating results of the segments:

 

For the Three Months Ended June 30, 2024

(Dollars in thousands)

Banking Business

 

Securities Business

 

Corporate/ Eliminations

 

Axos Consolidated

Net interest income

$

256,543

 

$

7,452

 

$

(3,933

)

 

$

260,062

Provision for credit losses

 

6,000

 

 

—

 

 

—

 

 

 

6,000

Non-interest income

 

10,827

 

 

29,079

 

 

(9,045

)

 

 

30,861

Non-interest expense

 

110,668

 

 

27,111

 

 

2,756

 

 

 

140,535

Income before income taxes

$

150,702

 

$

9,420

 

$

(15,734

)

 

$

144,388

 

 

 

 

 

 

 

 

 

For the Three Months Ended June 30, 2023

(Dollars in thousands)

Banking Business

 

Securities Business

 

Corporate/ Eliminations

 

Axos Consolidated

Net interest income

$

201,770

 

$

5,556

 

$

(3,572

)

 

$

203,754

Provision for credit losses

 

7,000

 

 

—

 

 

—

 

 

 

7,000

Non-interest income

 

10,306

 

 

37,640

 

 

(15,241

)

 

 

32,705

Non-interest expense

 

95,579

 

 

27,648

 

 

(10,771

)

 

 

112,456

Income before income taxes

$

109,497

 

$

15,548

 

$

(8,042

)

 

$

117,003

 

 

 

 

 

 

 

 

 

For the Year Ended June 30, 2024

(Dollars in thousands)

Banking Business

 

Securities Business

 

Corporate/ Eliminations

 

Axos Consolidated

Net interest income

$

950,832

 

$

26,207

 

$

(15,610

)

 

$

961,429

Provision for credit losses

 

32,500

 

 

—

 

 

—

 

 

 

32,500

Non-interest income

 

139,071

 

 

129,020

 

 

(45,431

)

 

 

222,660

Non-interest expense

 

418,695

 

 

115,091

 

 

(17,678

)

 

 

516,108

Income before income taxes

$

638,708

 

$

40,136

 

$

(43,363

)

 

$

635,481

 

 

 

 

 

 

 

 

 

For the Year Ended June 30, 2023

(Dollars in thousands)

Banking Business

 

Securities Business

 

Corporate/ Eliminations

 

Axos Consolidated

Net interest income

$

776,294

 

$

21,042

 

$

(14,215

)

 

$

783,121

Provision for credit losses

 

24,251

 

 

—

 

 

—

 

 

 

24,251

Non-interest income

 

42,260

 

 

141,107

 

 

(62,879

)

 

 

120,488

Non-interest expense

 

391,410

 

 

102,572

 

 

(46,368

)

 

 

447,614

Income before income taxes

$

402,893

 

$

59,577

 

$

(30,726

)

 

$

431,744

Use of Non-GAAP Financial Measures

In addition to the results presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”), this release includes non-GAAP financial measures such as adjusted earnings, adjusted earnings per diluted common share, and tangible book value per common share. Non-GAAP financial measures have inherent limitations, may not be comparable to similarly titled measures used by other companies and are not audited. Readers should be aware of these limitations and should be cautious as to their reliance on such measures. Although we believe the non-GAAP financial measures disclosed in this release enhance investors’ understanding of our business and performance, these non-GAAP measures should not be considered in isolation, or as a substitute for GAAP basis financial measures.

We define “adjusted earnings”, a non-GAAP financial measure, as net income without the after-tax impact of non-recurring acquisition-related items (including amortization of intangible assets related to acquisitions and certain gains and provisions resulting from the Company’s FDIC Loan Purchase) and other costs (unusual or non-recurring charges). Adjusted EPS, a non-GAAP financial measure, is calculated by dividing non-GAAP adjusted earnings by the average number of diluted common shares outstanding during the period. We believe the non-GAAP measures of adjusted earnings and Adjusted EPS provide useful information about Axos’ operating performance. We believe excluding the non-recurring acquisition-related costs and other costs provides investors with an alternative understanding of Axos’ core business.

Below is a reconciliation of net income, the nearest comparable GAAP measure, to adjusted earnings and adjusted EPS (Non-GAAP) for the periods shown:

 

Three Months Ended

 

Year Ended

 

June 30,

 

June 30,

(Dollars in thousands, except per share amounts)

2024

 

2023

 

2024

 

2023

Net income

$

104,872

 

 

$

87,356

 

 

$

450,008

 

 

$

307,165

 

FDIC Loan Purchase - Gain on purchase1

 

—

 

 

 

—

 

 

 

(92,397

)

 

 

—

 

FDIC Loan Purchase - Provision for credit losses1

 

—

 

 

 

—

 

 

 

4,648

 

 

 

—

 

Acquisition-related costs

 

2,554

 

 

 

2,779

 

 

 

10,843

 

 

 

10,948

 

Other costs2

 

—

 

 

 

—

 

 

 

—

 

 

 

16,000

 

Income tax effect

 

(699

)

 

 

(704

)

 

 

22,446

 

 

 

(7,776

)

Adjusted earnings (Non-GAAP)

$

106,727

 

 

$

89,431

 

 

$

395,548

 

 

$

326,337

 

 

 

 

 

 

 

 

 

Average dilutive common shares outstanding

 

58,164,623

 

 

 

59,707,871

 

 

 

58,725,636

 

 

 

60,566,854

 

 

 

 

 

 

 

 

 

Diluted EPS

$

1.80

 

 

$

1.46

 

 

$

7.66

 

 

$

5.07

 

FDIC Loan Purchase - Gain on purchase1

 

—

 

 

 

—

 

 

 

(1.57

)

 

 

—

 

FDIC Loan Purchase - Provision for credit losses1

 

—

 

 

 

—

 

 

 

0.08

 

 

 

—

 

Acquisition-related costs

 

0.04

 

 

 

0.05

 

 

 

0.18

 

 

 

0.18

 

Other costs2

 

—

 

 

 

—

 

 

 

—

 

 

 

0.27

 

Income tax effect

 

(0.01

)

 

 

(0.01

)

 

 

0.39

 

 

 

(0.13

)

Adjusted EPS (Non-GAAP)

$

1.83

 

 

$

1.50

 

 

$

6.74

 

 

$

5.39

 

1 During the fiscal year ended June 30, 2024, the Company completed the purchase from the Federal Deposit Insurance Corporation (“FDIC”) of two performing commercial real estate and multi-family loan pools with a combined unpaid principal balance of approximately $1.25 billion at 63% of par value (the “FDIC Loan Purchase”).

2 Other costs for the fiscal year ended June 30, 2023 reflect an accrual recorded in the first quarter of fiscal year 2024 as a result of an adverse legal judgement that has not been finalized.

We define “tangible book value”, a non-GAAP financial measure, as book value adjusted for goodwill and other intangible assets. Tangible book value is calculated using common stockholders’ equity minus servicing rights, goodwill and other intangible assets. Tangible book value per common share is calculated by dividing tangible book value by the common shares outstanding at the end of the period. We believe tangible book value per common share is useful in evaluating the Company’s capital strength, financial condition, and ability to manage potential losses.

Below is a reconciliation of total stockholders’ equity, the nearest comparable GAAP measure, to tangible book value per common share (non-GAAP) as of the dates indicated:

 

June 30,

(Dollars in thousands, except per share amounts)

2024

 

2023

Common stockholders’ equity

$

2,290,596

 

$

1,917,159

Less: servicing rights, carried at fair value

 

28,924

 

 

25,443

Less: goodwill and intangible assets—net

 

141,769

 

 

152,149

Tangible common stockholders’ equity (Non-GAAP)

$

2,119,903

 

$

1,739,567

 

 

 

 

Common shares outstanding at end of period

 

56,894,565

 

 

58,943,035

 

 

 

 

Book value per common share

$

40.26

 

$

32.53

Less: servicing rights, carried at fair value per common share

 

0.51

 

 

0.44

Less: goodwill and other intangible assets—net per common share

 

2.49

 

 

2.58

Tangible book value per common share (Non-GAAP)

$

37.26

 

$

29.51

Forward-Looking Safe Harbor Statement

This press release contains forward-looking statements that involve risks and uncertainties, including without limitation statements relating to Axos’ financial prospects and other projections of its performance and asset quality, Axos’ deposit balances and capital ratios, Axos’ ability to continue to grow profitably and increase its business, Axos’ ability to continue to diversify its lending and deposit franchises, the anticipated timing and financial performance of other offerings, initiatives, and acquisitions, expectations of the environment in which Axos operates and projections of future performance. These forward-looking statements are made on the basis of the views and assumptions of management regarding future events and performance as of the date of this press release. Actual results and the timing of events could differ materially from those expressed or implied in such forward-looking statements as a result of risks and uncertainties, including without limitation Axos’ ability to successfully integrate acquisitions and realize the anticipated benefits of the transactions, changes in the interest rate environment, monetary policy, inflation, government regulation, general economic conditions, changes in the competitive marketplace, conditions in the real estate markets in which we operate, risks associated with credit quality, our ability to attract and retain deposits and access other sources of liquidity, and the outcome and effects of litigation and other factors beyond our control. These and other risks and uncertainties detailed in Axos’ periodic reports filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal year ended June 30, 2023, could cause actual results to differ materially from those expressed or implied in any forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Axos undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. All written and oral forward-looking statements made in connection with this press release, which are attributable to us or persons acting on Axos’ behalf are expressly qualified in their entirety by the foregoing information.

AXOS FINANCIAL, INC.

SELECTED CONSOLIDATED FINANCIAL INFORMATION

(Unaudited – dollars in thousands)

 

 

June 30, 2024

 

June 30, 2023

 

June 30, 2022

Selected Balance Sheet Data:

 

 

 

 

 

Total assets

$

22,855,334

 

 

$

20,348,469

 

 

$

17,401,165

 

Loans—net of allowance for credit losses

 

19,231,385

 

 

 

16,456,728

 

 

 

14,091,061

 

Loans held for sale, carried at fair value

 

16,482

 

 

 

23,203

 

 

 

4,973

 

Loans held for sale, lower of cost or fair value

 

—

 

 

 

776

 

 

 

10,938

 

Allowance for credit losses

 

260,542

 

 

 

166,680

 

 

 

148,617

 

Trading securities

 

353

 

 

 

758

 

 

 

1,758

 

Available-for-sale securities

 

141,611

 

 

 

232,350

 

 

 

262,518

 

Securities borrowed

 

67,212

 

 

 

134,339

 

 

 

338,980

 

Customer, broker-dealer and clearing receivables

 

240,028

 

 

 

374,074

 

 

 

417,417

 

Total deposits

 

19,359,217

 

 

 

17,123,108

 

 

 

13,946,422

 

Advances from the Federal Home Loan Bank

 

90,000

 

 

 

90,000

 

 

 

117,500

 

Borrowings, subordinated notes and debentures

 

325,679

 

 

 

361,779

 

 

 

445,244

 

Securities loaned

 

74,177

 

 

 

159,832

 

 

 

474,400

 

Customer, broker-dealer and clearing payables

 

301,127

 

 

 

445,477

 

 

 

511,654

 

Total stockholders’ equity

 

2,290,596

 

 

 

1,917,159

 

 

 

1,642,973

 

 

 

 

 

 

 

Capital Ratios:

 

 

 

 

 

Equity to assets at end of period

 

10.02

%

 

 

9.42

%

 

 

9.44

%

Axos Financial, Inc.:

 

 

 

 

 

Tier 1 leverage (to adjusted average assets)

 

9.43

%

 

 

8.96

%

 

 

9.25

%

Common equity tier 1 capital (to risk-weighted assets)

 

12.00

%

 

 

10.94

%

 

 

9.86

%

Tier 1 capital (to risk-weighted assets)

 

12.00

%

 

 

10.94

%

 

 

9.86

%

Total capital (to risk-weighted assets)

 

14.83

%

 

 

13.82

%

 

 

12.73

%

Axos Bank:

 

 

 

 

 

Tier 1 leverage (to adjusted average assets)

 

9.74

%

 

 

9.68

%

 

 

10.65

%

Common equity tier 1 capital (to risk-weighted assets)

 

12.72

%

 

 

11.63

%

 

 

11.24

%

Tier 1 capital (to risk-weighted assets)

 

12.72

%

 

 

11.63

%

 

 

11.24

%

Total capital (to risk-weighted assets)

 

13.80

%

 

 

12.50

%

 

 

12.01

%

Axos Clearing LLC:

 

 

 

 

 

Net capital

$

101,462

 

 

$

35,221

 

 

$

38,915

 

Excess capital

$

96,654

 

 

$

29,905

 

 

$

32,665

 

Net capital as a percentage of aggregate debit items

 

42.21

%

 

 

13.25

%

 

 

12.45

%

Net capital in excess of 5% aggregate debit items

$

89,442

 

 

$

21,930

 

 

$

23,290

 

AXOS FINANCIAL, INC.

SELECTED CONSOLIDATED FINANCIAL INFORMATION

(Unaudited – dollars in thousands, except per share data)

 

 

As of or for the Three Months Ended

 

As of or for the Year Ended

 

June 30,

 

June 30,

(Dollars in thousands, except per share data)

2024

 

2023

 

2024

 

2023

Selected Income Statement Data:

 

 

 

 

 

 

 

Interest and dividend income

$

453,428

 

 

$

346,430

 

 

$

1,655,607

 

 

$

1,157,138

 

Interest expense

 

193,366

 

 

 

142,676

 

 

 

694,178

 

 

 

374,017

 

Net interest income

 

260,062

 

 

 

203,754

 

 

 

961,429

 

 

 

783,121

 

Provision for credit losses

 

6,000

 

 

 

7,000

 

 

 

32,500

 

 

 

24,251

 

Net interest income, after provision for credit losses

 

254,062

 

 

 

196,754

 

 

 

928,929

 

 

 

758,870

 

Non-interest income

 

30,861

 

 

 

32,705

 

 

 

222,660

 

 

 

120,488

 

Non-interest expense

 

140,535

 

 

 

112,456

 

 

 

516,108

 

 

 

447,614

 

Income before income taxes

 

144,388

 

 

 

117,003

 

 

 

635,481

 

 

 

431,744

 

Income tax expense

 

39,516

 

 

 

29,647

 

 

 

185,473

 

 

 

124,579

 

Net income

$

104,872

 

 

$

87,356

 

 

$

450,008

 

 

$

307,165

 

 

 

 

 

 

 

 

 

Per Common Share Data:

 

 

 

 

 

 

 

Net income:

 

 

 

 

 

 

 

Basic

$

1.84

 

 

$

1.48

 

 

$

7.82

 

 

$

5.15

 

Diluted

$

1.80

 

 

$

1.46

 

 

$

7.66

 

 

$

5.07

 

Adjusted earnings per common share (Non-GAAP)1

$

1.83

 

 

$

1.50

 

 

$

6.74

 

 

$

5.39

 

Book value per common share

$

40.26

 

 

$

32.53

 

 

$

40.26

 

 

$

32.53

 

Tangible book value per common share (Non-GAAP)1

$

37.26

 

 

$

29.51

 

 

$

37.26

 

 

$

29.51

 

 

 

 

 

 

 

 

 

Weighted average number of common shares outstanding:

 

 

 

 

 

 

 

Basic

 

56,938,405

 

 

 

58,981,372

 

 

 

57,509,029

 

 

 

59,691,541

 

Diluted

 

58,164,623

 

 

 

59,707,871

 

 

 

58,725,636

 

 

 

60,566,854

 

Common shares outstanding at end of period

 

56,894,565

 

 

 

58,943,035

 

 

 

56,894,565

 

 

 

58,943,035

 

Common shares issued at end of period

 

70,221,632

 

 

 

69,465,446

 

 

 

70,221,632

 

 

 

69,465,446

 

 

 

 

 

 

 

 

 

Performance Ratios and Other Data:

 

 

 

 

 

 

 

Loan originations for investment

$

2,451,410

 

 

$

2,216,764

 

 

$

10,597,113

 

 

$

8,452,215

 

Loan originations for sale

 

52,574

 

 

 

64,154

 

 

 

197,305

 

 

 

160,607

 

Loan purchases

 

430

 

 

 

650

 

 

 

841,838

 

 

 

1,564

 

Return on average assets

 

1.81

%

 

 

1.73

%

 

 

2.08

%

 

 

1.64

%

Return on average common stockholders’ equity

 

18.81

%

 

 

18.60

%

 

 

21.64

%

 

 

17.22

%

Interest rate spread2

 

3.63

%

 

 

3.20

%

 

 

3.62

%

 

 

3.44

%

Net interest margin3

 

4.65

%

 

 

4.19

%

 

 

4.62

%

 

 

4.35

%

Net interest margin3 – Banking Business Segment

 

4.68

%

 

 

4.26

%

 

 

4.68

%

 

 

4.48

%

Efficiency ratio4

 

48.31

%

 

 

47.56

%

 

 

43.59

%

 

 

49.54

%

Efficiency ratio4 – Banking Business Segment

 

41.39

%

 

 

45.07

%

 

 

38.42

%

 

 

47.82

%

 

 

 

 

 

 

 

 

Asset Quality Ratios:

 

 

 

 

 

 

 

Net annualized charge-offs to average loans

 

0.05

%

 

 

0.04

%

 

 

0.05

%

 

 

0.04

%

Non-accrual loans to total loans

 

0.57

%

 

 

0.52

%

 

 

0.57

%

 

 

0.52

%

Non-performing assets to total assets

 

0.51

%

 

 

0.47

%

 

 

0.51

%

 

 

0.47

%

Allowance for credit losses - loans to total loans held for investment

 

1.34

%

 

 

1.00

%

 

 

1.34

%

 

 

1.00

%

Allowance for credit losses - loans to non-accrual loans

 

229.84

%

 

 

191.23

%

 

 

229.84

%

 

 

191.23

%

1

See “Use of Non-GAAP Financial Measures” herein.

2

Interest rate spread represents the difference between the annualized weighted average yield on interest-earning assets and the annualized weighted average rate paid on interest-bearing liabilities.

3

Net interest margin represents annualized net interest income as a percentage of average interest-earning assets.

4

Efficiency ratio represents non-interest expense as a percentage of the aggregate of net interest income and non-interest income.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20240730553727/en/

Investor Relations Contact: Johnny Lai, CFA SVP, Corporate Development & Investor Relations 858-649-2218 jlai@axosfinancial.com