WaFd, Inc. Reports Q3 Fiscal 2026 Net Income Increase to $66.1 Million

WaFd, Inc. reported its financial results for the third quarter of fiscal 2026, revealing a net income of $66.1 million, an increase from $62.0 million in the same period last year. For the nine months ending June 30, 2026, the company achieved a net income of $195.9 million, compared to $165.5 million for the same period in 2025. The increase in profitability was attributed to a rise in net interest income, which reached $181.3 million for the quarter, up from $168.0 million a year earlier, driven by a decrease in interest expenses on customer accounts and borrowings.

Total assets for WaFd, Inc. increased to $27.6 billion as of June 30, 2026, up from $26.7 billion at the end of the previous fiscal year. This growth was primarily due to a significant increase in available-for-sale securities, which rose to $4.2 billion from $3.5 billion, reflecting the company's strategy to bolster its investment portfolio. Loans receivable, however, saw a slight decline, decreasing to $20.0 billion from $20.1 billion, as loan repayments outpaced new originations. The company’s allowance for credit losses increased to $214.8 million, reflecting a proactive approach to managing credit risk amid a growing loan portfolio.

In terms of operational metrics, WaFd's customer accounts decreased by 2.4% to $20.9 billion, with a notable shift from time deposits to transaction accounts, which increased by 3.6%. The company also reported a total of 210 bank branches across several states, including Washington, Oregon, and California, indicating a stable geographic presence. The bank's focus on commercial lending continued, with commercial loans accounting for 64% of the total loan portfolio, while consumer loans represented 36%.

Strategically, WaFd has made significant changes, including the decision to exit the consumer single-family home loan market, which was announced in January 2025. This move is part of a broader strategy to concentrate on commercial lending and enhance operational efficiency. The company also repurchased approximately 4.7 million shares of its common stock during the nine months ended June 30, 2026, as part of its ongoing stock repurchase program, which has a remaining authorization of nearly 8 million shares.

Looking ahead, WaFd, Inc. remains optimistic about its growth prospects, supported by a strong capital position with shareholders' equity at $3.0 billion, representing 10.95% of total assets. The company is well-capitalized under regulatory standards and is focused on managing interest rate risk while continuing to adapt to changing market conditions. Management anticipates that its strategic initiatives will position the company favorably for future growth, despite potential economic uncertainties.