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Washington Federal Announces Quarterly Earnings Per Share Of $0.84
SEATTLE--(BUSINESS WIRE)-- Washington Federal, Inc. (Nasdaq: WAFD) (the "Company"), parent company of Washington Federal Bank, N.A. ("WaFd Bank"), today
About this update from Wafd, Inc.
[{"type":"text","content":" SEATTLE--(BUSINESS WIRE)--\nWashington Federal, Inc. (Nasdaq: WAFD) (the \"Company\"), parent company of Washington Federal Bank, N.A. (\"WaFd Bank\"), today announced quarterly earnings of $65,703,000 or $0.84 per diluted share for the quarter ended December 31, 2019, compared to $52,942,000 or $0.65 per diluted share for the quarter ended December 31, 2018, a $0.19 or 29% increase in fully diluted earnings per share. Return on equity for the quarter ended December 31, 2019 was 12.89% compared to 10.64% for the quarter ended December 31, 2018. Return on assets for the quarter ended December 31, 2019 was 1.60% compared to 1.32% for the same quarter in the prior year.\n\n\nTwo significant non-recurring items occurred during the quarter, with a net positive pre-tax impact of $25.7 million. First, WaFd Bank sold a branch property in Bellevue, Washington resulting in a gain of $31.6 million. The sales of real estate are part of the Company's ongoing initiative to evaluate its portfolio of branches to meet customer demand, rightsize facilities and enhance the efficiency of capital investments. Second, WaFd Bank entered into a contract to enhance and modernize its core banking system that over the next two years is expected to improve the client experience, strengthen controls and reduce operating expenses. Related to this new agreement, WaFd Bank recognized an impairment charge of $5.9 million to existing systems hardware and software.\n\n\nPresident and Chief Executive Officer Brent J. Beardall commented, “We are pleased to start our fiscal year with record net income and earnings per share. The quarter benefited from two non-recurring items that generated net positive pre-tax income of $25.7 million. Our approach of owning the majority of our branch locations has been beneficial to our shareholders, thanks to the bull market in commercial real estate, particularly in the Bellevue and Seattle, Washington markets.\n\n\n\"Operationally, this was a strong quarter for the bank. We produced record loan originations of $1.4 billion, which were offset by record loan repayments of $1.3 billion. This level of repayments is unprecedented for WaFd Bank and is due the drop in long-term interest rates that occurred in August and September and a burst of real estate activity in the state of Washington. Many property owners in Washington accelera...