NewtekOne, Inc. reported a significant increase in financial performance for the fiscal year ending December 31, 2025, with net income rising to $60.5 million, or $2.21 per share, compared to $50.9 million, or $1.97 per share, in the previous year. This growth was driven by a $35.4 million increase in interest income from loans and a $7.6 million rise in noninterest income, despite a $12.5 million increase in provisions for credit losses and a $13.2 million rise in interest expenses. Total assets reached $2.7 billion, marking a 33.2% increase from $2.1 billion in 2024, largely due to a substantial rise in loans held for sale.
The company underwent a strategic transformation in January 2023, converting from a Business Development Company (BDC) to a financial holding company after acquiring Newtek Bank. This acquisition allowed NewtekOne to expand its offerings to include a range of financial solutions for small and medium-sized businesses (SMBs), including SBA 7(a) loans, electronic payment processing, and payroll services. The transition also involved the winding down of Newtek Small Business Finance (NSBF), which ceased originating new loans in April 2023, transferring its SBA 7(a) loan pipeline to Newtek Bank.
Operationally, NewtekOne reported a total loan portfolio of $2.1 billion, with a notable increase in loans held for sale at fair value, which rose by $599.6 million. The company’s focus on the SMB market has positioned it as the third-largest SBA 7(a) lender in the U.S. by dollar volume, with a diversified portfolio across various industries. As of December 31, 2025, the company had 572 employees, reflecting its commitment to maintaining a robust workforce to support its expanding operations.
Looking ahead, NewtekOne anticipates continued growth driven by its technology-enabled financial solutions and a strong market demand for SMB financing. However, the company also faces challenges, including regulatory scrutiny and potential impacts from economic conditions such as inflation and interest rate fluctuations. The management remains focused on maintaining compliance with regulatory requirements and enhancing its risk management framework to navigate these uncertainties effectively.
About NewtekOne, Inc.
NewtekOne, Inc. is a financial holding company providing business and financial solutions to U.S. small and medium-sized businesses. Its core activities include SBA 7(a) and 504 loan origination, commercial lending, payment processing, insurance, payroll, and depository services through its digital bank. Leveraging proprietary technology like NewTracker and Newtek Advantage, it offers cost-effective, integrated solutions, targeting underserved SMB markets with a focus on innovation, diversification, and efficient client acquisition.
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