Business
TFS Financial Reports Second Quarter and 2025 Fiscal Year-To-Date Results
CLEVELAND--(BUSINESS WIRE)-- TFS Financial Corporation (NASDAQ: TFSL) (the "Company", "we", "our"), the holding company for Third Federal Savings and Loan
About this update from Tfs Financial Corporation
[{"type":"text","content":" CLEVELAND--(BUSINESS WIRE)--\nTFS Financial Corporation (NASDAQ: TFSL) (the \"Company\", \"we\", \"our\"), the holding company for Third Federal Savings and Loan Association of Cleveland (the \"Association\"), today announced results for the quarter and six months ended March 31, 2025.\nThis press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250430666038/en/Chairman and CEO Marc A. Stefanski\n“Our second quarter earnings reflect our ability to successfully operate in any economic climate,” said Chairman and CEO Marc A. Stefanski. “My optimism for this year continues to be reinforced by the success we have seen so far, and that our fiscal earnings to date this year are the best we’ve seen since 2021. Our net interest margin increased nearly 10 basis points to 1.75% and commitments to originate and acquire first mortgages and equity loans and lines of credit have increased 40% over last quarter. We continue to exceed the threshold to be considered well-capitalized, our Tier 1 leverage ratio at 10.92% improved by three basis points compared to last quarter.”\n\nThe Company reported net income of $21.0 million for the quarter ended March 31, 2025 following $22.4 million of net income for the quarter ended December 31, 2024. The change in net income, when comparing the two quarters, was mainly attributable to increases in the provision for credit losses and non-interest expense, partially offset by an increase in net interest income.\n\nNet interest income increased $3.7 million, or 5.4%, to $72.0 million for the quarter ended March 31, 2025 from $68.3 million for the quarter ended December 31, 2024. The increase was primarily due to a 14 basis point decrease in the weighted average cost of interest-bearing liabilities. The interest rate spread for the quarter ended March 31, 2025 increased 11 basis points from the previous quarter, to 1.45%, and the net interest margin increased nine basis points during the quarter to 1.75%.\n\nThe Company recorded a provision for credit losses of $1.5 million for the quarter ended March 31, 2025 compared to a $1.5 million release of provision for the quarter ended December 31, 2024. The total allowance for credit losses increased $2.2 million during the quarter to $99.9 million, or 0.65% of total loans receivable, from $97.8 million, or 0.64% of...