First Savings Financial Group Reports $6.2 Million Net Income for Q2 2025

First Savings Financial Group, Inc. reported a net income of $6.2 million, or $0.88 per diluted share, for the three months ended June 30, 2025, marking a significant increase from the $4.1 million, or $0.60 per diluted share, reported for the same period in 2024. For the nine-month period ending June 30, 2025, the company achieved a net income of $17.9 million, or $2.57 per diluted share, compared to $9.9 million, or $1.45 per diluted share, in the prior year. The increase in profitability was driven by a 15.1% rise in net interest income, which reached $16.7 million for the quarter, up from $14.5 million in the previous year, and a 12.1% increase for the nine-month period.

The company experienced a decrease in total assets, which fell to $2.42 billion as of June 30, 2025, down from $2.45 billion at the end of the previous fiscal year. This decline was primarily attributed to a $68 million decrease in net loans receivable, which dropped to $1.90 billion, largely due to the transfer and subsequent sale of approximately $87.2 million in residential real estate home equity line of credit loans. Conversely, loans held for sale increased significantly, rising to $61 million, driven by a $42.1 million increase in residential mortgage loans held for sale.

In terms of operational metrics, total deposits decreased by $144.7 million to $1.74 billion, primarily due to a reduction in brokered deposits. However, there were increases in money market accounts and noninterest-bearing demand deposits. The company’s borrowings from the Federal Home Loan Bank (FHLB) rose to $434.9 million, up from $301.6 million, as the company sought to replace the decrease in brokered deposits. Stockholders' equity increased to $183.8 million, reflecting a $6.7 million rise from the previous period, driven by retained earnings.

Looking ahead, First Savings Financial Group remains focused on its core banking and SBA lending segments, with plans to continue leveraging its strengths in residential and commercial lending. The company is also committed to maintaining its capital adequacy, having met all regulatory requirements as of June 30, 2025. The management anticipates that ongoing economic conditions and strategic decisions will continue to influence its financial performance, with a cautious outlook on market interest rates and their potential impact on net interest income.