Waterstone Financial, Inc. Announces Results of Operations for the Quarter and Nine Months Ended September 30, 2025
Waterstone Financial (NASDAQ: WSBF) reported net income of $7.9M (EPS $0.45) for Q3 2025 versus $4.7M (EPS $0.26) in Q3 2024, and nine-month diluted EPS of $1.04 versus $0.72 year‑earlier. Return on average assets was 1.42% and return on average equity was 9.14% for Q3 2025. Net interest margin rose to 2.76% (up 63 bps YoY). Community Banking pre-tax income was $8.4M (up 49.4% YoY); Mortgage Banking pre-tax income was $1.3M. The company repurchased ~270,000 shares for $3.8M, increased book value per share to $18.65, and declared a quarterly dividend of $0.15 per share.
Waterstone Financial (NASDAQ: WSBF) ha riportato un utile netto di $7.9M (EPS $0.45) per il Q3 2025 rispetto a $4.7M (EPS $0.26) nel Q3 2024, e l’EPS diluito dei primi nove mesi è di $1.04 contro $0.72 nello stesso periodo dell'anno precedente. Il ritorno medio sugli attivi è stato 1.42% e il ROE medio è stato 9.14% per il Q3 2025. Il margine di interesse netto è salito a 2.76% (in aumento di 63 bps rispetto all’anno precedente). Il reddito ante-imposta della Banca Comunitaria è stato $8.4M (in aumento del 49.4% YoY); il reddito ante-imposta della Banca Ipotecaria è stato $1.3M. L’azienda ha riacquistato circa 270,000 azioni per $3.8M, ha aumentato il valore contabile per azione a $18.65 e ha dichiarato un dividendo trimestrale di $0.15 per azione.
Waterstone Financial (NASDAQ: WSBF) reportó ingresos netos de $7.9M (EPS $0.45) para el T3 2025 frente a $4.7M (EPS $0.26) en el T3 2024, y el EPS diluido de los nueve meses fue de $1.04 frente a $0.72 del año anterior. El rendimiento sobre activos promedios fue de 1.42% y el rendimiento sobre el patrimonio promedio fue de 9.14% para el T3 2025. El margen de interés neto subió a 2.76% (un aumento de 63 bps YoY). Los ingresos antes de impuestos de Banca Comunitaria fueron $8.4M (un aumento del 49.4% YoY); los ingresos antes de impuestos de Banca Hipotecaria fueron $1.3M. La empresa recompró ~270,000 acciones por $3.8M, aumentó el valor contable por acción a $18.65 y declaró un dividendo trimestral de $0.15 por acción.
Waterstone Financial (NASDAQ: WSBF)는 2025년 3분기에 $7.9M의 순이익을 보고했으며(주당순이익 $0.45), 2024년 3분기 대비 증가했습니다. 9개월간 희석 주당순이익은 $1.04로 전년동기 $0.72에 비해 증가했습니다. 평균 자산이익률은 1.42%, 평균 자기자본이익률은 9.14%였습니다. 순이자마진은 2.76%로 상승했습니다(63 bps YoY). 커뮤니티 뱅킹 세전 이익은 $8.4M으로 전년 대비 49.4% 증가; 모기지 뱅킹 세전 이익은 $1.3M이었습니다. 회사는 대략 270,000주를 $3.8M에 재매입했고, 주당 순자산가치를 $18.65로 높였으며, 주당 $0.15의 분기 배당금을 선언했습니다.
Waterstone Financial (NASDAQ: WSBF) a publié un bénéfice net de $7.9M pour le T3 2025 contre $4.7M au T3 2024, et le BPA dilué sur neuf mois est de $1.04 contre $0.72 l'année précédente. Le rendement des actifs moyens s’est établi à 1.42% et le rendement des capitaux propres moyens à 9.14% pour le T3 2025. La marge nette d’intérêt a augmenté à 2.76% (hausse de 63 pb YoY). Le revenu avant taxes de la Banque communautaire était de $8.4M (hausse de 49.4% YoY); le revenu avant taxes de la Banque hypothécaire était de $1.3M. L’entreprise a racheté environ 270,000 actions pour $3.8M, a augmenté la valeur comptable par action à $18.65 et a déclaré un dividende trimestriel de $0.15 par action.
Waterstone Financial (NASDAQ: WSBF) meldete einen Nettogewinn von $7.9M (EPS $0.45) für Q3 2025 gegenüber $4.7M (EPS $0.26) in Q3 2024, und der verwässerte EPS für neun Monate betrug $1.04 gegenüber $0.72 im Vorjahr. Die Rendite auf durchschnittliche Vermögenswerte betrug 1.42% und die Rendite auf das durchschnittliche Eigenkapital betrug 9.14% für Q3 2025. Die Nettogoldrendite stieg auf 2.76% (Ca. +63 Basispunkte YoY). Die Vorsteuererträge der Community Banking lagen bei $8.4M (YoY +49.4%); die Vorsteuererträge des Mortgage Banking lagen bei $1.3M. Das Unternehmen kaufte ca. 270,000 Aktien für $3.8M zurück, erhöhte den Buchwert je Aktie auf $18.65 und erklärte eine vierteljährliche Dividende von $0.15 pro Aktie.
Waterstone Financial (NASDAQ: WSBF) حققت صافي دخل قدره $7.9M للسنة الثالثة من 2025 مقابل $4.7M للسنة الثالثة من 2024، وربح السهم المخفف لتسعة أشهر هو $1.04 مقابل $0.72 في العام السابق. العائد على الأصول المتوسطة كان 1.42% والعائد على حقوق المساهمين المتوسط كان 9.14% للسنة الثالثة من 2025. هامش الفائدة الصافي ارتفع إلى 2.76% (ارتفاع بمقدار 63 نقطة أساس على مدار السنة). دخل قبل الضريبة للبنك المجتمعي كان $8.4M (ارتفاع 49.4% على أساس سنوي)؛ دخل قبل الضريبة لبنك الرهن العقاري كان $1.3M. الشركة أعادت شراء نحو 270,000 سهمًا مقابل $3.8M، زادت القيمة الكتابية للسهم إلى $18.65، وقررت توزيع أرباح ربع سنوية بنسبة $0.15 للسهم.
Waterstone Financial (NASDAQ: WSBF) 报告第三季度净利润为 $7.9M（EPS $0.45）相比于2024年第三季度的 $4.7M（EPS $0.26），九个月的稀释后每股收益为 $1.04 对比去年同期的 $0.72。平均资产回报率为 1.42%，平均股本回报率为 9.14%，第三季度。净息差上升至 2.76%（同比增长 63 个基点）。社区银行税前收入为 $8.4M（同比增长 49.4%）；按揭银行税前收入为 $1.3M。公司回购了约 270,000 股，花费 $3.8M，每股账面价值增至 $18.65，并宣布每股 $0.15 的季度股息。
- Quarterly EPS increased 73.1% to $0.45
- Return on equity improved to 9.14% from 5.55%
- Community pre-tax income +49.4% YoY to $8.4M
- Share repurchase ~270,000 shares for $3.8M, adding $0.61 to book value during quarter
- None.
Insights
Quarterly results show clear earnings improvement driven by higher net interest margins and low credit losses.
The company reported consolidated net income of
Risks and dependencies remain tied to continued margin maintenance and deposit cost trends; the results reflect explicit reductions in cost of funds and improved loan yields this quarter. Mortgage Banking delivered a second consecutive quarter of pre‑tax profit (
WAUWATOSA, Wis., Oct. 23, 2025 (GLOBE NEWSWIRE) -- Waterstone Financial, Inc. (NASDAQ: WSBF), holding company for WaterStone Bank, reported net income of
“We sustained our improved 2025 performance, exceeding the prior year, as well as our 2025 second quarter results due primarily to improved net interest margin and continued strong asset quality metrics,” said William Bruss, Chief Executive Officer of Waterstone Financial, Inc. “With improved earnings in both our Community and Mortgage Banking segments, consolidated earnings totaled
Highlights of the Quarter Ended September 30, 2025
Waterstone Financial, Inc. (Consolidated)
- Consolidated net income of Waterstone Financial, Inc. totaled
$7.9 million for the quarter ended September 30, 2025 compared to net income of$4.7 million for the quarter ended September 30, 2024. - Consolidated return on average assets (annualized) was
1.42% for the quarter ended September 30, 2025 and0.83% for the quarter ended September 30, 2024. - Consolidated return on average equity (annualized) was
9.14% for the quarter ended September 30, 2025 and5.55% for the quarter ended September 30, 2024. - Dividends declared during the quarter ended September 30, 2025 totaled
$0.15 per common share. - During the quarter ended September 30, 2025, we repurchased approximately 270,000 shares at a cost (including the federal excise tax) of
$3.8 million , or$14.15 per share. The share repurchases increased book value approximately$0.07 during the quarter ended September 30, 2025. - Nonperforming assets as a percentage of total assets was
0.27% at September 30, 2025,0.37% at June 30, 2025, and0.25% at September 30, 2024. - Past due loans as a percentage of total loans was
0.50% at September 30, 2025,0.69% at June 30, 2025, and0.63% at September 30, 2024. - Book value per share was
$18.65 at September 30, 2025 and$17.53 at December 31, 2024.
Community Banking Segment
- Pre-tax income totaled
$8.4 million for the quarter ended September 30, 2025, which represents a$2.8 million , or49.4% , increase compared to$5.6 million for the quarter ended September 30, 2024. - Net interest income totaled
$14.6 million for the quarter ended September 30, 2025, which represents a$2.4 million , or19.3% , increase compared to$12.3 million for the quarter ended September 30, 2024. - Average loans held for investment totaled
$1.68 billion during the quarter ended September 30, 2025, which represents a decrease of$6.2 million , or0.4% , compared to the quarter ended September 30, 2024. The decrease was primarily due to a decrease in single-family mortgages offset by an increase multi-family mortgages. Average loans held for investment increased$15.0 million compared to$1.67 billion for the quarter ended June 30, 2025. The increase was primarily due to an increase in multi-family mortgages. - Net interest margin increased 63 basis points to
2.76% for the quarter ended September 30, 2025 compared to2.13% for the quarter ended September 30, 2024, which was primarily driven by an increase in weighted average yield on loans receivable and held for sale and decreases in the cost of borrowings and weighted average cost of deposits. Net interest margin increased 16 basis points compared to2.60% for the quarter ended June 30, 2025, which was primarily driven by an increase in weighted average yield on loans receivable and held for sale and decreases in cost of borrowings and weighted average cost of deposits. - Past due loans at the community banking segment totaled
$6.8 million at September 30, 2025,$8.9 million at June 30, 2025, and$8.0 million at September 30, 2024. - The segment had a negative provision for credit losses related to funded loans of
$137,000 for the quarter ended September 30, 2025 compared to a negative provision for credit losses related to funded loans of$218,000 for the quarter ended September 30, 2024. The current quarter decrease was primarily due to decreases in single-family and commercial real estate qualitative risk factors, offset by an increase in the multi-family loan balances. The negative provision for credit losses related to unfunded loan commitments was$139,000 for the quarter ended September 30, 2025 compared to a negative provision for credit losses related to unfunded loan commitments of$84,000 for the quarter ended September 30, 2024. The negative provision for credit losses related to unfunded loan commitments for the quarter ended September 30, 2025 was due primarily to a decrease in the construction loans waiting to be funded. - The efficiency ratio, a non-GAAP ratio, was
48.94% for the quarter ended September 30, 2025, compared to60.35% for the quarter ended September 30, 2024. - Average core retail deposits (excluding brokered and escrow accounts) totaled
$1.31 billion during the quarter ended September 30, 2025, an increase of$65.4 million , or5.2% , compared to$1.25 billion during the quarter ended September 30, 2024 due primarily to increases in money market and certificated of deposits balances. Average deposits increased$1.3 million , or0.4% annualized, compared to$1.31 billion for the quarter ended June 30, 2025. The segment had an average of$61.8 million in brokered certificate of deposits during the quarter ended September 30, 2025 compared to$435,000 during the quarter ended September 30, 2024.
Mortgage Banking Segment
- Pre-tax income totaled
$1.3 million for the quarter ended September 30, 2025, compared to$144,000 for the quarter ended September 30, 2024. - Loan originations decreased
$19.3 million , or3.5% , to$539.4 million during the quarter ended September 30, 2025, compared to$558.7 million during the quarter ended September 30, 2024. Origination volume relative to purchase activity accounted for90.1% of originations for the quarter ended September 30, 2025 compared to88.9% of total originations for the quarter ended September 30, 2024. - Mortgage banking non-interest income decreased
$401,000 , or1.9% , to$21.0 million for the quarter ended September 30, 2025, compared to$21.4 million for the quarter ended September 30, 2024. - Gross margin on loans sold totaled
3.87% for the quarter ended September 30, 2025, compared to3.83% for the quarter ended September 30, 2024. - Total compensation, payroll taxes and other employee benefits decreased
$214,000 , or1.3% , to$15.7 million during the quarter ended September 30, 2025 compared to$15.9 million during the quarter ended September 30, 2024. The decrease primarily related to decreased commission expense, manager pay expense, and salary expense offset by an increase in sign on incentives for new loan officers added.
About Waterstone Financial, Inc.
Waterstone Financial, Inc. is the savings and loan holding company for WaterStone Bank, a community-focused financial institution established in 1921. WaterStone Bank offers a comprehensive suite of personal and business banking products and operates 14 branch locations across southeastern Wisconsin. WaterStone Bank is also the parent company of WaterStone Mortgage Corporation, a national lender licensed in 48 states.
With a long-standing commitment to innovation, integrity, and community service, Waterstone Financial, Inc. supports the financial and homeownership goals of customers nationwide. For more information about WaterStone Bank, go to wsbonline.com.
Forward-Looking Statements
This press release contains statements or information that may constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, without limitation, statements regarding expected financial and operating activities and results that are preceded by, followed by, or that include words such as “may,” “expects,” “anticipates,” “estimates” or “believes.” Any such statements are based upon current expectations that involve a number of risks and uncertainties and are subject to important factors that could cause actual results to differ materially from those anticipated by the forward-looking statements. Factors that might cause such a difference include changes in interest rates; demand for products and services; the degree of competition by traditional and nontraditional competitors; changes in banking regulation or actions by bank regulators; changes in tax laws; the impact of technological advances; governmental and regulatory policy changes; the outcomes of contingencies; trends in customer behavior as well as their ability to repay loans; changes in local real estate values; changes in the national and local economies; and other factors, including risk factors referenced in Item 1A. Risk Factors in Waterstone’s most recent Annual Report on Form 10-K and as may be described from time to time in Waterstone’s subsequent SEC filings, which factors are incorporated herein by reference. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect only Waterstone’s belief as of the date of this press release.
Non-GAAP Financial Measures
Management uses non-GAAP financial information in its analysis of the Company's performance. Management believes that this non-GAAP measure provides a greater understanding of ongoing operations and enhances comparability of results of operations with prior periods. The Company’s management believes that investors may use this non-GAAP measure to analyze the Company's financial performance without the impact of unusual items or events that may obscure trends in the Company’s underlying performance. This non-GAAP data should be considered in addition to results prepared in accordance with GAAP, and is not a substitute for, or superior to, GAAP results. Limitations associated with non-GAAP financial measures include the risks that persons might disagree as to the appropriateness of items included in this measure and that different companies might calculate this measure differently.
| WATERSTONE FINANCIAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (Unaudited) | |||||||||||||||||
| For The Three Months Ended September 30, | For The Nine Months Ended September 30, | ||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||
| (In Thousands, except per share amounts) | |||||||||||||||||
| Interest income: | |||||||||||||||||
| Loans | $ | 26,625 | $ | 26,590 | $ | 77,578 | $ | 76,675 | |||||||||
| Mortgage-related securities | 1,365 | 1,137 | 3,809 | 3,360 | |||||||||||||
| Debt securities, federal funds sold and short-term investments | 1,566 | 1,464 | 4,609 | 4,081 | |||||||||||||
| Total interest income | 29,556 | 29,191 | 85,996 | 84,116 | |||||||||||||
| Interest expense: | |||||||||||||||||
| Deposits | 10,527 | 10,477 | 32,826 | 29,163 | |||||||||||||
| Borrowings | 4,290 | 7,197 | 12,147 | 21,620 | |||||||||||||
| Total interest expense | 14,817 | 17,674 | 44,973 | 50,783 | |||||||||||||
| Net interest income | 14,739 | 11,517 | 41,023 | 33,333 | |||||||||||||
| Provision (credit) for credit losses | (269 | ) | (377 | ) | (836 | ) | (535 | ) | |||||||||
| Net interest income after provision (credit) for loan losses | 15,008 | 11,894 | 41,859 | 33,868 | |||||||||||||
| Noninterest income: | |||||||||||||||||
| Service charges on loans and deposits | 618 | 545 | 1,624 | 1,434 | |||||||||||||
| Increase in cash surrender value of life insurance | 526 | 410 | 2,021 | 1,562 | |||||||||||||
| Mortgage banking income | 20,875 | 21,294 | 59,162 | 66,200 | |||||||||||||
| Other | 283 | 303 | 921 | 1,101 | |||||||||||||
| Total noninterest income | 22,302 | 22,552 | 63,728 | 70,297 | |||||||||||||
| Noninterest expenses: | |||||||||||||||||
| Compensation, payroll taxes, and other employee benefits | 20,534 | 21,017 | 58,702 | 62,655 | |||||||||||||
| Occupancy, office furniture, and equipment | 1,688 | 1,857 | 5,370 | 5,994 | |||||||||||||
| Advertising | 712 | 926 | 2,181 | 2,827 | |||||||||||||
| Data processing | 1,210 | 1,297 | 3,735 | 3,745 | |||||||||||||
| Communications | 249 | 232 | 741 | 698 | |||||||||||||
| Professional fees | 380 | 569 | 2,616 | 2,070 | |||||||||||||
| Real estate owned | 4 | - | (14 | ) | 14 | ||||||||||||
| Loan processing expense | 688 | 697 | 2,425 | 2,604 | |||||||||||||
| Other | 2,001 | 1,965 | 6,437 | 5,762 | |||||||||||||
| Total noninterest expenses | 27,466 | 28,560 | 82,193 | 86,369 | |||||||||||||
| Income before income taxes | 9,844 | 5,886 | 23,394 | 17,796 | |||||||||||||
| Income tax expense | 1,918 | 1,158 | 4,705 | 4,318 | |||||||||||||
| Net income | $ | 7,926 | $ | 4,728 | $ | 18,689 | $ | 13,478 | |||||||||
| Income per share: | |||||||||||||||||
| Basic | $ | 0.45 | $ | 0.26 | $ | 1.04 | $ | 0.72 | |||||||||
| Diluted | $ | 0.45 | $ | 0.26 | $ | 1.04 | $ | 0.72 | |||||||||
| Weighted average shares outstanding: | |||||||||||||||||
| Basic | 17,639 | 18,350 | 17,962 | 18,631 | |||||||||||||
| Diluted | 17,671 | 18,445 | 17,985 | 18,677 | |||||||||||||
| WATERSTONE FINANCIAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION | |||||||||||||||||||||||||
| September 30, 2025 | December 31, 2024 | ||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||
| Assets | (In Thousands, except per share amounts) | ||||||||||||||||||||||||
| Cash | $ | 50,075 | $ | 35,182 | |||||||||||||||||||||
| Federal funds sold | 3,407 | 4,302 | |||||||||||||||||||||||
| Interest-earning deposits in other financial institutions and other short-term investments | 286 | 277 | |||||||||||||||||||||||
| Cash and cash equivalents | 53,768 | 39,761 | |||||||||||||||||||||||
| Securities available for sale (at fair value) | 226,403 | 208,549 | |||||||||||||||||||||||
| Loans held for sale (at fair value) | 135,676 | 135,909 | |||||||||||||||||||||||
| Loans receivable | 1,714,836 | 1,680,576 | |||||||||||||||||||||||
| Less: Allowance for credit losses ("ACL") - loans | 17,670 | 18,247 | |||||||||||||||||||||||
| Loans receivable, net | 1,697,166 | 1,662,329 | |||||||||||||||||||||||
| Office properties and equipment, net | 18,737 | 19,389 | |||||||||||||||||||||||
| Federal Home Loan Bank stock (at cost) | 20,707 | 20,295 | |||||||||||||||||||||||
| Cash surrender value of life insurance | 76,813 | 74,612 | |||||||||||||||||||||||
| Real estate owned, net | 85 | 505 | |||||||||||||||||||||||
| Prepaid expenses and other assets | 39,814 | 48,259 | |||||||||||||||||||||||
| Total assets | $ | 2,269,169 | $ | 2,209,608 | |||||||||||||||||||||
| Liabilities and Shareholders' Equity | |||||||||||||||||||||||||
| Liabilities: | |||||||||||||||||||||||||
| Demand deposits | $ | 176,568 | $ | 171,115 | |||||||||||||||||||||
| Money market and savings deposits | 306,778 | 283,243 | |||||||||||||||||||||||
| Time deposits | 902,627 | 905,539 | |||||||||||||||||||||||
| Total deposits | 1,385,973 | 1,359,897 | |||||||||||||||||||||||
| Borrowings | 469,061 | 446,519 | |||||||||||||||||||||||
| Advance payments by borrowers for taxes | 26,993 | 5,630 | |||||||||||||||||||||||
| Other liabilities | 41,647 | 58,427 | |||||||||||||||||||||||
| Total liabilities | 1,923,674 | 1,870,473 | |||||||||||||||||||||||
| Shareholders' equity: | |||||||||||||||||||||||||
| Preferred stock | - | - | |||||||||||||||||||||||
| Common stock | 185 | 193 | |||||||||||||||||||||||
| Additional paid-in capital | 80,521 | 91,214 | |||||||||||||||||||||||
| Retained earnings | 287,868 | 277,196 | |||||||||||||||||||||||
| Unearned ESOP shares | (9,792 | ) | (10,682 | ) | |||||||||||||||||||||
| Accumulated other comprehensive loss, net of taxes | (13,287 | ) | (18,786 | ) | |||||||||||||||||||||
| Total shareholders' equity | 345,495 | 339,135 | |||||||||||||||||||||||
| Total liabilities and shareholders' equity | $ | 2,269,169 | $ | 2,209,608 | |||||||||||||||||||||
| Share Information | |||||||||||||||||||||||||
| Shares outstanding | 18,524 | 19,343 | |||||||||||||||||||||||
| Book value per share | $ | 18.65 | $ | 17.53 | |||||||||||||||||||||
| WATERSTONE FINANCIAL, INC. AND SUBSIDIARIES SUMMARY OF KEY QUARTERLY FINANCIAL DATA (Unaudited) | ||||||||||||||||||||
| At or For the Three Months Ended | ||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||
| (Dollars in Thousands, except per share amounts) | ||||||||||||||||||||
| Condensed Results of Operations: | ||||||||||||||||||||
| Net interest income | $ | 14,739 | $ | 13,708 | $ | 12,576 | $ | 12,835 | $ | 11,517 | ||||||||||
| Provision (credit) for credit losses | (269 | ) | (9 | ) | (558 | ) | 367 | (377 | ) | |||||||||||
| Total noninterest income | 22,302 | 24,329 | 17,097 | 19,005 | 22,552 | |||||||||||||||
| Total noninterest expense | 27,466 | 28,377 | 26,350 | 25,267 | 28,560 | |||||||||||||||
| Income before income taxes | 9,844 | 9,669 | 3,881 | 6,206 | 5,886 | |||||||||||||||
| Income tax expense | 1,918 | 1,942 | 845 | 996 | 1,158 | |||||||||||||||
| Net income | $ | 7,926 | $ | 7,727 | $ | 3,036 | $ | 5,210 | $ | 4,728 | ||||||||||
| Income per share – basic | $ | 0.45 | $ | 0.43 | $ | 0.17 | $ | 0.28 | $ | 0.26 | ||||||||||
| Income per share – diluted | $ | 0.45 | $ | 0.43 | $ | 0.17 | $ | 0.28 | $ | 0.26 | ||||||||||
| Dividends declared per common share | $ | 0.15 | $ | 0.15 | $ | 0.15 | $ | 0.15 | $ | 0.15 | ||||||||||
| Performance Ratios (annualized): | ||||||||||||||||||||
| Return on average assets - QTD | 1.42 | % | 1.39 | % | 0.57 | % | 0.94 | % | 0.83 | % | ||||||||||
| Return on average equity - QTD | 9.14 | % | 9.04 | % | 3.61 | % | 6.05 | % | 5.55 | % | ||||||||||
| Net interest margin - QTD | 2.76 | % | 2.60 | % | 2.47 | % | 2.42 | % | 2.13 | % | ||||||||||
| Return on average assets - YTD | 1.13 | % | 0.99 | % | 0.57 | % | 0.84 | % | 0.81 | % | ||||||||||
| Return on average equity - YTD | 7.23 | % | 6.32 | % | 3.61 | % | 5.48 | % | 5.30 | % | ||||||||||
| Net interest margin - YTD | 2.61 | % | 2.54 | % | 2.47 | % | 2.17 | % | 2.09 | % | ||||||||||
| Asset Quality Ratios: | ||||||||||||||||||||
| Past due loans to total loans | 0.50 | % | 0.69 | % | 0.67 | % | 0.95 | % | 0.63 | % | ||||||||||
| Nonaccrual loans to total loans | 0.35 | % | 0.49 | % | 0.45 | % | 0.34 | % | 0.32 | % | ||||||||||
| Nonperforming assets to total assets | 0.27 | % | 0.37 | % | 0.35 | % | 0.28 | % | 0.25 | % | ||||||||||
| Allowance for credit losses - loans to loans receivable | 1.03 | % | 1.07 | % | 1.08 | % | 1.09 | % | 1.07 | % | ||||||||||
| WATERSTONE FINANCIAL, INC. AND SUBSIDIARIES SUMMARY OF QUARTERLY AVERAGE BALANCES AND YIELD/COSTS (Unaudited) | ||||||||||||||||||||
| At or For the Three Months Ended | ||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||
| Average balances | (Dollars in Thousands) | |||||||||||||||||||
| Interest-earning assets | ||||||||||||||||||||
| Loans receivable and held for sale | $ | 1,809,600 | $ | 1,812,065 | $ | 1,768,617 | $ | 1,819,574 | $ | 1,870,627 | ||||||||||
| Mortgage related securities | 178,063 | 173,220 | 170,947 | 168,521 | 170,221 | |||||||||||||||
| Debt securities, federal funds sold and short-term investments | 131,165 | 131,710 | 123,004 | 124,658 | 115,270 | |||||||||||||||
| Total interest-earning assets | 2,118,828 | 2,116,995 | 2,062,568 | 2,112,753 | 2,156,118 | |||||||||||||||
| Noninterest-earning assets | 103,434 | 105,382 | 105,030 | 100,627 | 104,600 | |||||||||||||||
| Total assets | $ | 2,222,262 | $ | 2,222,377 | $ | 2,167,598 | $ | 2,213,380 | $ | 2,260,718 | ||||||||||
| Interest-bearing liabilities | ||||||||||||||||||||
| Demand accounts | $ | 90,015 | $ | 89,548 | $ | 87,393 | $ | 92,247 | $ | 89,334 | ||||||||||
| Money market, savings, and escrow accounts | 334,300 | 320,908 | 300,686 | 306,478 | 304,116 | |||||||||||||||
| Certificates of deposit - retail | 823,274 | 830,550 | 818,612 | 810,340 | 785,793 | |||||||||||||||
| Certificates of deposit - brokered | 61,814 | 72,533 | 97,101 | 59,254 | 435 | |||||||||||||||
| Total interest-bearing deposits | 1,309,403 | 1,313,539 | 1,303,792 | 1,268,319 | 1,179,678 | |||||||||||||||
| Borrowings | 440,968 | 437,784 | 397,053 | 464,964 | 600,570 | |||||||||||||||
| Total interest-bearing liabilities | 1,750,371 | 1,751,323 | 1,700,845 | 1,733,283 | 1,780,248 | |||||||||||||||
| Noninterest-bearing demand deposits | 88,799 | 85,665 | 80,372 | 87,889 | 91,532 | |||||||||||||||
| Noninterest-bearing liabilities | 39,136 | 42,669 | 44,905 | 49,645 | 49,787 | |||||||||||||||
| Total liabilities | 1,878,306 | 1,879,657 | 1,826,122 | 1,870,817 | 1,921,567 | |||||||||||||||
| Equity | 343,956 | 342,720 | 341,476 | 342,563 | 339,151 | |||||||||||||||
| Total liabilities and equity | $ | 2,222,262 | $ | 2,222,377 | $ | 2,167,598 | $ | 2,213,380 | $ | 2,260,718 | ||||||||||
| Average Yield/Costs (annualized) | ||||||||||||||||||||
| Loans receivable and held for sale | 5.84 | % | 5.73 | % | 5.75 | % | 5.75 | % | 5.65 | % | ||||||||||
| Mortgage related securities | 3.04 | % | 2.90 | % | 2.83 | % | 2.67 | % | 2.66 | % | ||||||||||
| Debt securities, federal funds sold and short-term investments | 4.74 | % | 4.74 | % | 4.90 | % | 4.85 | % | 5.05 | % | ||||||||||
| Total interest-earning assets | 5.53 | % | 5.43 | % | 5.46 | % | 5.46 | % | 5.39 | % | ||||||||||
| Demand accounts | 0.11 | % | 0.11 | % | 0.11 | % | 0.11 | % | 0.11 | % | ||||||||||
| Money market and savings accounts | 2.04 | % | 2.07 | % | 2.10 | % | 2.00 | % | 1.94 | % | ||||||||||
| Certificates of deposit – retail | 3.92 | % | 4.11 | % | 4.33 | % | 4.53 | % | 4.54 | % | ||||||||||
| Certificates of deposit - brokered | 4.11 | % | 4.35 | % | 4.18 | % | 4.18 | % | 0.00 | % | ||||||||||
| Total interest-bearing deposits | 3.19 | % | 3.35 | % | 3.52 | % | 3.58 | % | 3.53 | % | ||||||||||
| Borrowings | 3.86 | % | 3.67 | % | 3.93 | % | 4.11 | % | 4.77 | % | ||||||||||
| Total interest-bearing liabilities | 3.36 | % | 3.43 | % | 3.62 | % | 3.72 | % | 3.95 | % | ||||||||||
| COMMUNITY BANKING SEGMENT SUMMARY OF KEY QUARTERLY FINANCIAL DATA (Unaudited) | ||||||||||||||||||||
| At or For the Three Months Ended | ||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||
| (Dollars in Thousands) | ||||||||||||||||||||
| Condensed Results of Operations: | ||||||||||||||||||||
| Net interest income | $ | 14,617 | $ | 13,640 | $ | 12,403 | $ | 12,886 | $ | 12,250 | ||||||||||
| Provision (credit) for credit losses | (276 | ) | (19 | ) | (518 | ) | 331 | (302 | ) | |||||||||||
| Total noninterest income | 1,359 | 1,686 | 1,348 | 1,595 | 1,227 | |||||||||||||||
| Noninterest expenses: | ||||||||||||||||||||
| Compensation, payroll taxes, and other employee benefits | 5,036 | 5,027 | 5,212 | 4,883 | 5,326 | |||||||||||||||
| Occupancy, office furniture and equipment | 907 | 920 | 1,076 | 825 | 904 | |||||||||||||||
| Advertising | 213 | 219 | 171 | 204 | 311 | |||||||||||||||
| Data processing | 733 | 806 | 712 | 691 | 720 | |||||||||||||||
| Communications | 108 | 99 | 100 | 89 | 80 | |||||||||||||||
| Professional fees | 200 | 196 | 347 | 196 | 190 | |||||||||||||||
| Real estate owned | 4 | (8 | ) | (10 | ) | 12 | - | |||||||||||||
| Loan processing expense | - | - | - | - | - | |||||||||||||||
| Other | 617 | 466 | 596 | 563 | 602 | |||||||||||||||
| Total noninterest expense | 7,818 | 7,725 | 8,204 | 7,463 | 8,133 | |||||||||||||||
| Income before income taxes | 8,434 | 7,620 | 6,065 | 6,687 | 5,646 | |||||||||||||||
| Income tax expense | 1,518 | 1,400 | 1,427 | 1,399 | 941 | |||||||||||||||
| Net income | $ | 6,916 | $ | 6,220 | $ | 4,638 | $ | 5,288 | $ | 4,705 | ||||||||||
| Efficiency ratio - QTD (non-GAAP) | 48.94 | % | 50.40 | % | 59.66 | % | 51.54 | % | 60.35 | % | ||||||||||
| Efficiency ratio - YTD (non-GAAP) | 52.71 | % | 54.78 | % | 59.66 | % | 59.58 | % | 62.58 | % | ||||||||||
| MORTGAGE BANKING SEGMENT SUMMARY OF KEY QUARTERLY FINANCIAL DATA (Unaudited) | ||||||||||||||||||||
| At or For the Three Months Ended | ||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||
| (Dollars in Thousands) | ||||||||||||||||||||
| Condensed Results of Operations: | ||||||||||||||||||||
| Net interest loss | $ | 103 | $ | 53 | $ | 152 | $ | (92 | ) | $ | (760 | ) | ||||||||
| Provision for credit losses | 7 | 10 | (40 | ) | 36 | (75 | ) | |||||||||||||
| Total noninterest income | 20,985 | 22,643 | 15,731 | 17,455 | 21,386 | |||||||||||||||
| Noninterest expenses: | ||||||||||||||||||||
| Compensation, payroll taxes, and other employee benefits | 15,716 | 16,312 | 12,054 | 13,781 | 15,930 | |||||||||||||||
| Occupancy, office furniture and equipment | 781 | 833 | 853 | 754 | 953 | |||||||||||||||
| Advertising | 499 | 527 | 552 | 523 | 615 | |||||||||||||||
| Data processing | 475 | 507 | 498 | 542 | 570 | |||||||||||||||
| Communications | 141 | 158 | 135 | 135 | 152 | |||||||||||||||
| Professional fees | 180 | 303 | 1,373 | 917 | 379 | |||||||||||||||
| Real estate owned | - | - | - | - | - | |||||||||||||||
| Loan processing expense | 688 | 817 | 920 | 486 | 697 | |||||||||||||||
| Other | 1,271 | 1,230 | 1,751 | 814 | 1,261 | |||||||||||||||
| Total noninterest expense | 19,751 | 20,687 | 18,136 | 17,952 | 20,557 | |||||||||||||||
| (Loss) income before income taxes (benefit) expense | 1,330 | 1,999 | (2,213 | ) | (625 | ) | 144 | |||||||||||||
| Income tax (benefit) expense) | 382 | 531 | (588 | ) | (428 | ) | 194 | |||||||||||||
| Net (loss) income | $ | 948 | $ | 1,468 | $ | (1,625 | ) | $ | (197 | ) | $ | (50 | ) | |||||||
| Efficiency ratio - QTD (non-GAAP) | 93.66 | % | 91.15 | % | 114.18 | % | 103.39 | % | 99.67 | % | ||||||||||
| Efficiency ratio - YTD (non-GAAP) | 98.17 | % | 100.63 | % | 114.18 | % | 97.74 | % | 96.23 | % | ||||||||||
| Loan originations | $ | 539,404 | $ | 588,838 | $ | 387,729 | $ | 470,650 | $ | 558,729 | ||||||||||
| Purchase | 90.1 | % | 91.7 | % | 87.5 | % | 82.1 | % | 88.9 | % | ||||||||||
| Refinance | 9.9 | % | 8.3 | % | 12.5 | % | 17.9 | % | 11.1 | % | ||||||||||
| Gross margin on loans sold(1) | 3.87 | % | 3.84 | % | 3.98 | % | 3.74 | % | 3.83 | % | ||||||||||
(1) Gross margin on loans sold equals mortgage banking income (excluding the change in interest rate lock value) divided by total loan originations.
Contact: Mark R. Gerke
Chief Financial Officer
414-459-4012
markgerke@wsbonline.com
FAQ
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