Axos Financial Reports Strong Q4 Earnings and Loan Growth
Axos Financial reported strong fiscal fourth-quarter results with a year-over-year increase in net income by 12.9% to $124.9 million, or diluted EPS of $2.16. Excluding a legal accrual, the company's adjusted net income rose 28% to $141.8 million and EPS reached $2.46. The growth was broad-based with sequential increases in net loans by approximately $638 million and deposits rising 17.9% year-over-year to $24.6 billion. Management expects low-to-mid-teens organic loan growth for the coming year, driven by demand across commercial specialty real estate, fund finance, and other lending segments. The company also repurchased $22 million of stock while improving credit metrics with declines in non-performing assets and net charge-offs. Recent acquisitions such as Jenius Bank are expected to strengthen Axos's funding base and expand its digital banking capabilities. Axos reported a stable average loan yield at 7.4% for the quarter, with purchase loans yielding significantly higher due to accretion of discounts. The company noted that pending transfers from Capital One deposits might temporarily affect net interest margin but not overall income.
Tickers: $COF
Topics: acquisitions deposits EPS growth loan growth net income