NewtekOne (NEWT) Q1 2026 EPS climbs as deposits nearly double
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
NewtekOne, Inc. reported strong results for the quarter ended March 31, 2026, with basic and diluted EPS of $0.43, up from $0.36 and $0.35 in the prior-year quarter. Net income available to common shareholders rose to $12.3 million from $9.0 million.
Book value per common share reached $12.36, while tangible book value per common share was $11.85, both showing double‑digit year-over-year growth. Net interest income increased to $17.2 million, and net income before taxes climbed to about $17.1 million, up 46.7% from the prior year.
Newtek Bank’s deposits nearly doubled year-over-year to almost $1.9 billion, with business and consumer balances each showing strong growth. The company closed a $295 million securitization backed by $342 million of C&I long‑amortizing loans and retired $95 million of fixed‑rate senior unsecured notes, while maintaining solid profitability metrics including a 1.96% ROAA and 14.8% ROTCE.
Positive
- Strong earnings growth: 1Q26 basic and diluted EPS of $0.43 rose from $0.36 and $0.35 a year earlier, while net income before taxes increased to approximately $17.1 million from $11.6 million.
- Rapid deposit expansion: Newtek Bank’s deposits nearly doubled year over year, increasing about $833 million from $966 million in 1Q25 to almost $1.9 billion in 1Q26, with 78% of deposits insured.
- Capital markets and de‑leveraging activity: The company closed a $295 million securitization backed by $342 million of C&I long‑amortizing loans and retired $95 million of fixed‑rate senior unsecured notes.
- Improved returns and book value: ROAA reached 1.96% and ROTCE 14.8% for 1Q26, while tangible book value per common share increased to $11.85, up 16.5% year over year.
Negative
- None.
Insights
NewtekOne delivers stronger EPS, rapid deposit growth, and active balance-sheet repositioning.
NewtekOne showed notable first-quarter momentum. EPS increased to $0.43 from $0.36 basic and $0.35 diluted, with net income before taxes rising to $17.1M, up 46.7% year over year. Net interest income grew to $17.2M, supported by expanding lending activity.
The balance sheet scaled meaningfully, with total assets at $2.89B and deposits nearly doubling to almost $1.9B, a 92% year-over-year increase. Business and consumer deposits both contributed, while insured deposits represented 78% of total deposits. Profitability remained solid, with ROAA at 1.96% and ROTCE at 14.8% for 1Q26.
Strategic actions included a $295M ALP loan securitization backed by $342M of loans, retirement of $95M of fixed-rate senior unsecured notes, and a shift to funding C&I long-amortizing loans through Newtek Bank deposits. These moves, alongside continued loan origination growth, frame management’s 2026 EPS guidance of $2.15–$2.55 and a stated 2027 EPS growth target of 10%.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Q1 2026 EPS (basic/diluted): $0.43 / $0.43 per share
Net income available to common: $12.34M
Net interest income: $17.23M
+5 more
8 metrics
Q1 2026 EPS (basic/diluted)
$0.43 / $0.43 per share
For the three months ended March 31, 2026; vs. $0.36 / $0.35 in Q1 2025
Net income available to common
$12.34M
Three months ended March 31, 2026; compared to $8.97M in Q1 2025
Net interest income
$17.23M
Q1 2026 net interest income vs. $13.93M in Q1 2025
Total deposits
$1.86B
Deposits at March 31, 2026; up from $1.42B at December 31, 2025
Total assets
$2.89B
Total assets as of March 31, 2026; up from $2.74B at year-end 2025
ALP securitization notes
$295M
Securitization backed by $342M of ALP (C&I long amortizing) loans in 1Q26
Senior notes retired
$95M
Fixed‑rate senior unsecured notes retired during Q1 2026
ROAA and ROTCE
1.96% ROAA; 14.8% ROTCE
Returns for the three months ended March 31, 2026
Key Terms
Alternative Loan Program (ALP), C&I long amortizing loans, efficiency ratio, return on average tangible common equity (ROTCE), +2 more
6 terms
Alternative Loan Program (ALP) financial
"Closed a $295 million securitization backed by $342 million of Alternative Loan Program (“ALP”) loans"
C&I long amortizing loans financial
"ALP loans (also referred to as C&I long amortizing loans ("C&I LA Loans"))"
efficiency ratio financial
"The efficiency ratio1 was 62.4% for 1Q26 compared to 62.1% for 1Q25."
A measure of how much a company spends to produce each dollar of revenue, usually shown as operating expenses divided by revenue and expressed as a percentage. Think of it as a household’s budget: a lower percentage means more of each dollar earned stays as profit, while a higher number means costs are eating into returns. Investors use it to judge cost control and compare how efficiently companies turn revenue into earnings, especially in banks and financial firms.
return on average tangible common equity (ROTCE) financial
"Return on average tangible common equity (“ROTCE”)1 was 14.8% for 1Q26"
Return on average tangible common equity (ROTCE) measures how much profit a company generates for ordinary shareholders relative to the average amount of their tangible capital—equity after removing goodwill and other intangible items. For investors it shows how efficiently the company uses the concrete, balance-sheet value that could realistically back future dividends or growth, similar to measuring how well a baker turns physical ingredients into loaves rather than valuing the shop’s brand name.
securitization financial
"The securitization, NALP Business Loan Trust 2026-1, was the Company’s fourth asset-backed securitization"
Securitization is when a bank or company takes a bunch of loans or assets, like mortgages or car loans, and bundles them together into a single package. They then sell pieces of this package to investors, who receive regular payments from the borrowers. This process helps the original lender get money quickly and spreads the risk among many investors.
Current Expected Credit Losses (CECL) financial
"the CECL calculation/allowance for credit losses takes projected seasoning of the loan portfolio into account."
Current Expected Credit Losses (CECL) is an accounting standard that requires lenders and companies with loans or receivables to estimate and record the lifetime expected losses up front, rather than waiting until a loss is probable. Investors care because CECL changes reported profits and the amount of reserves a firm must hold — like a household setting aside a larger rainy‑day fund based on forecasted storms — which affects capital, dividend capacity and the perceived financial strength of a company.
Earnings Snapshot
Basic EPS: $0.43 · Guidance included
Q1 2026
Basic EPS
$0.43
from $0.36 in Q1 2025
Diluted EPS
$0.43
from $0.35 in Q1 2025
Net income available to common
$12.34M
from $8.97M in Q1 2025
Net interest income
$17.23M
from $13.93M in Q1 2025
ROAA
1.96%
from 1.81% in Q1 2025
ROTCE
14.8%
from 13.8% in Q1 2025
Guidance
Management reaffirmed 2026 EPS guidance of $2.15–$2.55 and introduced a 2027 EPS growth target of 10%, implying 2027 EPS of $2.40–$2.80.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (date of Earliest Event Reported)
(Exact Name of Company as Specified in its Charter)
| (State or Other Jurisdiction of Incorporation or Organization) | (Commission File No.) | (I.R.S. Employer Identification No.) | ||||||
(Address of principal executive offices and zip code)
(212 ) 356-9500
(Company’s telephone number, including area code)
(Former name or former address, if changed from last report)
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company o
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Forward-Looking Statements
Statements in NewtekOne, Inc.’s (“NewtekOne” or the “Company”) Current Report on Form 8-K and the Exhibit hereto contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current expectations and beliefs and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements. See “Note Regarding Forward-Looking Statements” and the sections entitled “Risk Factors” in the Company's filings with the Securities and Exchange Commission which are available on NewtekOne's website (https://investor.newtekbusinessservices.com/sec-filings) and on the Securities and Exchange Commission’s website (www.sec.gov). Any forward-looking statements made by or on behalf of NewtekOne speak only as to the date they are made, and NewtekOne does not undertake to update forward-looking statements to reflect the impact of circumstances or events that arise after the date the forward-looking statements were made.
Item 2.02. Results of Operations and Financial Condition.
On April 30, 2026, NewtekOne issued a press release announcing its financial results for the quarter ended March 31, 2026. A copy of the press release is furnished as Exhibit 99.1 to this report.
In accordance with General Instruction B.2 of Form 8-K, the information in this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Item 9.01 Financial Statement and Exhibits
(d) Exhibits.
| Exhibit Number | Description | |||||||
99.1 | NewtekOne, Inc. Press Release dated April 30, 2026 | |||||||
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL) | |||||||
SIGNATURES
In accordance with the requirements of the Securities Exchange Act of 1934, the registrant has caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| NEWTEKONE, INC. | ||||||||
| Date: April 30, 2026 | By: | /S/ BARRY SLOANE | ||||||
| Barry Sloane | ||||||||
| Chief Executive Officer, President and Chairman of the Board | ||||||||
Exhibit 99.1 1 NewtekOne, Inc. Reports 1Q26 Basic and Diluted EPS of $0.43 Year-Over-Year Basic and Diluted EPS Growth Were 19% and 23% Boca Raton, Fla., April 30, 2026 - NewtekOne, Inc. (the "Company") (Nasdaq: NEWT) reports its financial and operating results for the three months ended March 31, 2026. Financial Highlights for the three months ended March 31, 2026: • For the three months ended March 31, 2026 ("1Q26"), basic and diluted earnings per share ("EPS") were $0.43 and $0.43 vs. $0.36 and $0.35, respectively, for the three months ended March 31, 2025 ("1Q25"), which reflect Y/Y increases of 19.4% and 22.9%. • Book value per common share ended 1Q26 at $12.36, up Y/Y and Q/Q by 15.2% and 1.4%, respectively. • Tangible book value per common share1 ended 1Q26 at $11.85, up Y/Y and Q/Q by 16.5% and 1.5%, respectively. • Net interest income for 1Q26 was $17.2 million, a 23.6% increase from $13.9 million for 1Q25. • Net income before taxes for 1Q26 was approximately $17.1 million, up 46.7% from $11.6 million for 1Q25. • The efficiency ratio1 was 62.4% for 1Q26 compared to 62.1% for 1Q25. • Newtek Bank, N.A.'s ("Newtek Bank" or the "Bank") efficiency ratio1 was 40.0% for 1Q26 compared to 48.2% for 1Q25 • Return on average assets (“ROAA”)1 was 1.96% for 1Q26 compared to 1.81% for 1Q25. • Return on average equity ("ROAE")1 was 12.5% for 1Q26 compared to 12.2% for 1Q25. • Return on average tangible common equity (“ROTCE”)1 was 14.8% for 1Q26 compared to 13.8% for 1Q25. Selected Balance Sheet and Other Highlights for 1Q26 • Business deposits at Newtek Bank increased $37 million, or 9% Q/Q, and $173 million, or 66% Y/Y, while core consumer deposits grew $392 million, or 38% Q/Q, and $668 million, or 88% Y/Y. • Newtek Bank opened more than 10,000 deposit accounts in 1Q26, which was the second consecutive quarter of record deposit account openings.
Exhibit 99.1 2 • Since the acquisition of Newtek Bank in early 2023, roughly 54% of Newtek Bank's business lending clients have opened a business deposit account. In addition, since February 2024 when we initiated offering life insurance to Newtek Bank business lending clients, 25% of those clients have purchased life insurance policies through Newtek Insurance Agency. • Insured deposits comprised 78% of deposits. • Closed a $295 million securitization backed by $342 million of Alternative Loan Program (“ALP”) loans (also referred to as C&I long amortizing loans ("C&I LA Loans")). The securitization, NALP Business Loan Trust 2026-1, was the Company’s fourth asset-backed securitization secured by ALP loans and is the Company’s 17th and largest rated securitization. All of the Company’s prior securitizations have maintained their initial investment-grade ratings or been upgraded and have never been on credit watch. The securitization was roughly ten times oversubscribed with 32 institutions purchasing the securitization notes. • Retired $95 million of fixed rate senior unsecured notes. • Originated $86 million of C&I LA Loans in 1Q26 compared to $69 million in 1Q25. • Originated $202 million of SBA 7(a) loans in 1Q26 compared to $213 million for 1Q25. In addition, the Company sold $96 million of guaranteed portions of SBA 7(a) loans in 1Q26. • Originated $29 million of SBA 504 loans in 1Q26 compared to $17 million in 1Q25. In addition, the Company sold $14 million of SBA 504 loans in 1Q26 compared to $13 million in 1Q25. • Originated $36 million and $26 million of CRE and C&I loans HFI in 1Q26 compared to $41 million and $23 million in 1Q25. Post 1Q26 Highlights • On April 1, 2026, the Company paid a dividend on the Company’s outstanding Series B Preferred in the amount of $21.25 per Preferred Share, or $0.53125 per depositary share, which is equivalent to 1/40th of the dividend on the Preferred Shares. • On April 1, 2026, the Company paid a quarterly cash dividend of $0.19 per share on its outstanding common shares. • The Company's subsidiary, Newtek ALP Holdings, paid down to $0 two credit facilities that it had used to fund originations of C&I LA Loans. Because C&I LA Loans are now being originated by Newtek Bank and funded with deposits, the two credit facilities will no longer be utilized. Commenting on quarterly results, trends, and activity, Barry Sloane, CEO, President, and Chairman, said, “We are pleased to report basic and diluted EPS of $0.43 and $0.43 for 1Q26, which reflect increases of 19% and 23% over 1Q25 basic and diluted EPS of $0.36 and $0.35, respectively, and within our 1Q26 EPS guidance range of $0.37- $0.47. We remain comfortable with our 2026 EPS guidance range of $2.15-$2.55. In addition, we are establishing a target of 10% EPS growth for 2027, which implies an EPS range of $2.40-$2.80 for 2027. Even with the first quarter typically being the seasonally weakest of the year, we generated robust 1Q26 profitability with ROAA and ROTCE of 1.96% and 14.8%, respectively, up from 1.81% and 13.8% for 1Q25. From a credit quality perspective, we were encouraged by a second consecutive quarter of stable nonperforming loans ("NPLs") at Newtek Bank, with NPLs of approximately $53.4 million at the end of 3Q25, $56.4 million at the end of 4Q25, and $54.0 million at the end of 1Q26. We are monitoring the trend of stability as the Bank's loan portfolio, with a weighted average life of roughly 18 months, is still climbing the default curve, which typically flattens when the weighted average life of the portfolio reaches 36 months. We are reserving for that climb, and the CECL calculation/allowance for credit losses takes projected seasoning of the loan portfolio into account. In addition, year-over-year balance sheet growth was strong with assets up 35%, loans up 24%, and deposits up a substantial 92%. “We experienced several positive developments in the first quarter of 2026 starting with the January securitization of C&I LA Loans, which was roughly 10x oversubscribed and distributed across 32 purchasers of the $295 million of
Exhibit 99.1 2 securitized notes. We were also encouraged to see a record 961 loan units originated in 1Q26 despite a slower start to the quarter as we implemented process improvements. Those improvements, which include the use of AI in the origination, underwriting and closing processes, have dramatically reduced the time and cost to close a loan, which benefits borrowers with faster access to capital and lower closing costs, while we gain operating efficiencies and the ability to attract higher-quality credits. We believe these technological advances position us to capture incremental market share, increase loan origination volumes, and further diversify our loan portfolio. We believe that the $391 million of loan production in 1Q26 is a good first step as we progress toward our objective of originating $1.8 billion of loans in 2026. “The third positive development to highlight is the shift from originating C&I LA Loans at the holding company to originating them out of Newtek Bank. We had been funding C&I LA Loans with revolving warehouse credit facilities at the holding company's non-bank subsidiary and, as of 1Q26, are now originating and funding C&I LA Loans at the Bank with deposits. Funding C&I LA Loans at the Bank is logistically and economically more attractive, and I would note does not preclude us from continuing to issue securitizations collateralized by C&I LA Loans. In addition, funding C&I LA Loans at the Bank diversifies the Bank's loan portfolio with higher quality, wider margin loans and decreases the proportion of unguaranteed SBA 7(a) loans within the Bank's loan portfolio, which approximated 32% of total loans for 1Q26 compared to 36% for 4Q25 and 45% for 1Q25. On our conference call later this afternoon, we plan to discuss the multiple benefits of originating and funding C&I LA Loans within Newtek Bank as opposed to using warehouse credit facilities and securitization exits at the holding company non- bank subsidiary. “On the deposit front, we continue to have great success in attracting deposits. Newtek Bank’s deposits nearly doubled on a year-over-year basis, growing $833 million from $966 million for 1Q25 to end 1Q26 at almost $1.9 billion. On a quarter-over-quarter basis, deposits increased $440 million, or 31%. Both business and consumer deposits are contributing to growth, with business deposits up 9% Q/Q and 66% Y/Y and consumer deposits up 38% Q/Q and 88% Y/Y. We believe our deposits thesis is playing out. Unlike the vast majority of the banking industry, we are paying depositors a market rate of interest and, in addition, for business customers, giving them a valuable tool, the Newtek Advantage® business portal, to help them manage their businesses." Mr. Sloane added, "In January, we celebrated our three-year anniversary of converting to a technology-enabled financial holding company, which improved our ability to deliver our value proposition to our independent business owner clients while allowing us to diversify our funding sources, reduce our funding costs, and generate value for our investors. NewtekOne is more than just an SBA lender; Newtek Bank intends to continue diversifying its loan portfolio in 2026 and beyond offering C&I LA Loans, SBA 504 loans, CRE and C&I loans and SBA 7(a) loans. With our technology-enabled platform, we believe that NewtekOne looks different than the vast majority of our competitors. We believe we have created meaningful franchise value in transforming a sixty year old single-branch bank in Flushing, New York, with an antiquated operating model, into a branchless digital bank. We believe that NewtekOne has demonstrated, in a relatively short period of time, the ability to raise deposits and make loans digitally and to provide value-added payroll, insurance, and real-time payment solutions to its clients. We have spent the past two-plus decades developing our strategy and business and financial solution product offerings and believe financial institutions should be providing the helpful and necessary technologies like we offer to the independent business owner universe in the United States." First Quarter 2026 Conference Call and Webcast A conference call to discuss the first quarter 2026 financial and operating results will be hosted by Barry Sloane, Chief Executive Officer, President and Chairman, and Frank M. DeMaria, Chief Financial Officer, today, Thursday, April 30, 2026, at 4:30 p.m. ET.
Exhibit 99.1 3 Please note, to attend the conference call or webcast, participants should register online at NewtekOne, Inc. First Quarter 2026 Financial Results Conference Call. To receive a dial-in number, participants are requested to register at a minimum 15 minutes before the start of the call. The corresponding presentation will be available in the ‘Events & Presentations’ section of the Investor Relations portion of NewtekOne's website at NewtekOne, Inc. First Quarter 2026 Financial Results Conference Call. A replay of the call with the corresponding presentation will be available on NewtekOne's website shortly following the live presentation and will be available for a period of one year. Note Regarding Dividend Payments Amount and timing of dividends, if any, remain subject to the discretion of the Company's Board of Directors. About NewtekOne, Inc. NewtekOne®, Your Business Solutions Company®, is a financial holding company, which along with its bank and non-bank consolidated subsidiaries (collectively, “NewtekOne”), provides a wide range of business and financial solutions under the Newtek® brand to independent business owners. Since 1999, NewtekOne has provided state-of-the-art, cost-efficient products and services and efficient business strategies to independent business owners across all 50 states to help them grow their sales, control their expenses, and reduce their risk. NewtekOne’s and its subsidiaries’ business and financial solutions include: Banking (Newtek Bank, N.A.), Business Lending, SBA Lending Solutions, Electronic Payment Processing, Accounts Receivable Financing & Inventory Financing, Insurance Solutions and Payroll and Benefits Solutions. In addition, NewtekOne offers its clients the Technology Solutions (Cloud Computing, Data Backup, Storage and Retrieval, IT Consulting and Web Services) provided by Intelligent Protection Management Corp. (IPM.com) Newtek®, NewtekOne®, Newtek Bank®, National Association, Your Business Solutions Company®, One Solution for All Your Business Needs® and Newtek Advantage® are registered trademarks of NewtekOne, Inc. Note Regarding Forward-Looking Statements Certain statements in this press release are “forward-looking statements” within the meaning of the rules and regulations of the Private Securities Litigation and Reform Act of 1995. Information regarding the Company’s assets under supervision, capital ratios, risk-weighted assets, supplementary leverage ratio and balance sheet data consists of preliminary estimates and are subject to change with our filings with regulatory agencies and the filing of the Company's Form 10-Q for the period ended March 31, 2026. These statements and other forward-looking statements herein are based on the current beliefs and expectations of NewtekOne's management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements. See “Note Regarding Forward-Looking Statements” and the sections entitled “Risk Factors” in our filings with the Securities and Exchange Commission which are available on NewtekOne's website (https://investor.newtekbusinessservices.com/sec-filings) and on the Securities and Exchange Commission’s website (www.sec.gov). Any forward-looking statements made by or on behalf of NewtekOne speak only as to the date they are made, and NewtekOne does not undertake to update
Exhibit 99.1 4 forward-looking statements to reflect the impact of circumstances or events that arise after the date the forward- looking statements were made. SOURCE: NewtekOne, Inc. Investor Relations & Public Relations Contact: Bryce Rowe Telephone: (212) 273-8292 / browe@newtekone.com
Exhibit 99.1 5 NEWTEKONE, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (In Thousands, except for Per Share Data) March 31, 2026 December 31, 2025 (unaudited) ASSETS Cash and due from banks $ 5,222 $ 4,196 Restricted cash (amounts related to VIEs of $6.3 million and $6.3 million, respectively) 22,195 26,477 Interest bearing deposits in banks 375,599 279,618 Total cash and cash equivalents 403,016 310,291 Debt securities available-for-sale, at fair value 15,843 16,829 Loans held for sale, at fair value 769,225 971,837 Loans held for sale, at LCM 20,395 26,532 Loans held for investment, at fair value (amounts related to VIEs of $187.0 million and $198.4 million, respectively) 264,011 281,198 Loans held for investment, at amortized cost, net of deferred fees and costs 988,269 896,689 Allowance for credit losses (46,721) (45,226) Loans held for investment, at amortized cost, net 941,548 851,463 Federal Home Loan Bank and Federal Reserve Bank stock 4,572 4,234 Settlement receivable 51,512 438 Residuals in securitizations, at fair value 197,501 76,701 Joint ventures and other non-control investments, at fair value (cost of $36,294 and $36,692), respectively 43,213 47,719 Goodwill and intangibles 14,561 14,597 Right of use assets 2,683 2,790 Deferred tax asset, net 6,270 — Servicing assets, at fair value 13,622 15,358 Servicing assets, at LCM 41,698 29,564 Other assets 97,097 95,268 Total assets $ 2,886,767 $ 2,744,819 LIABILITIES AND SHAREHOLDERS’ EQUITY Liabilities: Deposits: Noninterest-bearing $ 71,629 $ 53,873 Interest-bearing 1,787,244 1,364,535 Total deposits 1,858,873 1,418,408 Borrowings (including borrowings of VIEs of $113.9 million and $127.1 million, respectively) 550,471 819,888 Lease liabilities 2,760 2,874 Deferred tax liabilities, net — 10,728 Due to participants 27,455 52,389 Accounts payable, accrued expenses and other liabilities 42,517 42,962 Total liabilities 2,482,076 2,347,249 Shareholders' Equity:
Exhibit 99.1 6 NEWTEKONE, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (In Thousands, except for Per Share Data) March 31, 2026 December 31, 2025 Series B Preferred stock (par value $0.02 per share; 54 authorized, 50 issued and outstanding) 48,181 48,181 Common stock (par value $0.02 per share; authorized 199,980 shares, 28,846 and 28,658 issued and outstanding, respectively) 577 573 Retained earnings 101,838 94,990 Additional paid-in capital 254,101 253,830 Accumulated other comprehensive loss, net of income taxes (6) (4) Total shareholders' equity 404,691 397,570 Total liabilities and shareholders' equity $ 2,886,767 $ 2,744,819
Exhibit 99.1 7 NEWTEKONE, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (In Thousands, except for Per Share Data) Three Months Ended March 31, 2026 December 31, 2025 March 31, 2025 (unaudited) (unaudited) (unaudited) Interest income Debt securities available-for-sale $ 216 $ 234 $ 276 Loans and fees on loans 37,702 42,061 34,483 Other interest earning assets 8,323 2,618 3,131 Total interest income 46,241 44,913 37,890 Interest expense Deposits 15,270 11,813 9,845 Notes and securitizations 9,402 10,254 10,974 Bank and FHLB borrowings 4,343 5,366 3,138 Total interest expense 29,015 27,433 23,957 Net interest income 17,226 17,480 13,933 Provision for credit losses 9,608 8,395 13,505 Net interest income after provision for credit losses 7,618 9,085 428 Noninterest income Dividend income 450 500 1,686 Net loss on loan servicing assets (6,197) (4,192) (3,652) Servicing income 6,385 5,195 5,525 Net gains on sales of loans 26,682 9,505 12,961 Net gain on residuals in securitizations 56,144 — — Net (loss) gain on loans under the fair value option (49,578) 25,591 18,077 Electronic payment processing income 10,404 10,448 10,609 Other noninterest income 9,441 8,806 7,192 Total noninterest income 53,731 55,853 52,398 Noninterest expense Salaries and employee benefits expense 23,096 20,346 21,316 Electronic payment processing expense 4,121 4,505 4,447 Professional services expense 2,603 3,929 3,435 Other loan origination and maintenance expense 6,227 4,097 4,417 Technology expense 2,953 3,052 2,728 Other general and administrative costs 5,263 4,519 4,834 Total noninterest expense 44,263 40,448 41,177 Net income before taxes 17,086 24,490 11,649 Income tax expense 3,685 4,949 2,282 Net income 13,401 19,541 9,367 Dividends to preferred shareholders (1,063) (1,063) (400) Net income available to common shareholders $ 12,338 $ 18,478 $ 8,967 Earnings per Common Share:
Exhibit 99.1 8 NEWTEKONE, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (In Thousands, except for Per Share Data) Three Months Ended March 31, 2026 December 31, 2025 March 31, 2025 (unaudited) (unaudited) (unaudited) Basic $ 0.43 $ 0.65 $ 0.36 Diluted $ 0.43 $ 0.65 $ 0.35
Exhibit 99.1 9 Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) The information provided below presents a reconciliation of each of our non-GAAP financial measures to the most directly comparable GAAP financial measure. Ratios for three month periods ended have been annualized based on calendar days.
Exhibit 99.1 10 NewtekOne, Inc. As of and for the three months ended (dollars and number of shares in thousands) March 31, 2026 December 31, 2025 March 31, 2025 Return on Average Equity and Tangible Common Equity Numerator: Net Income (GAAP) $13,401 $19,541 $9,367 Dividend on preferred equity (1,063) (1,063) (400) Numerator: Adjusted net income 12,338 18,478 8,967 Average Total Shareholders' Equity1 401,018 392,139 299,308 Return on Average Equity1 12.5% 18.7% 12.2% Deduct: Preferred Stock (GAAP) 48,181 48,181 19,738 Average Common Shareholders' Equity1 352,837 343,958 279,570 Return on Average Common Equity 13.6% 19.8% 12.7% Deduct: Average Goodwill and Intangibles1 14,579 14,615 15,130 Denominator: Average Tangible Common Equity1 $338,258 $329,343 $264,440 Return on Average Tangible Common Equity1 14.8% 22.3% 13.8% Return on Average Assets Numerator: Net Income (GAAP) $13,401 $19,541 $9,367 Denominator: Average Assets1 2,778,792 2,423,378 2,098,325 Return on Average Assets1 1.96% 3.20% 1.81% Efficiency Ratio Numerator: Non-Interest Expense (GAAP) $44,263 $40,448 $41,177 Net Interest Income (GAAP) 17,226 17,480 13,933 Non-Interest Income (GAAP) 53,731 55,853 52,398 Denominator: Total Income $70,957 $73,333 $66,331 Efficiency Ratio1 62.4% 55.2% 62.1% Tangible Book Value Per Share Total Shareholders' Equity (GAAP) $404,691 $397,570 $302,334 Deduct: Goodwill and Intangibles (GAAP) 14,561 14,597 14,711 Numerator: Total Tangible Book Value1 $390,130 $382,973 $287,623 Denominator: Total Number of Shares Outstanding 28,846 28,658 26,343 Tangible Book Value Per Share1 $13.52 $13.36 $10.92 Tangible Book Value Per Common Share Total Tangible Book Value1 $390,130 $382,973 $287,623 Deduct: Preferred Stock (GAAP) 48,181 48,181 19,738 Numerator: Tangible Common Book Value1 $341,949 $334,792 $267,885 Denominator: Total Number of Shares Outstanding 28,846 28,658 26,343 Tangible Book Value Per Common Share1 $11.85 $11.68 $10.17 1Non-GAAP financial measure
FAQ
How did NewtekOne (NEWT) perform financially in Q1 2026?
NewtekOne delivered higher profitability in Q1 2026, with basic and diluted EPS of $0.43. Net income available to common shareholders was $12.3 million, up from $9.0 million a year earlier, and net income before taxes increased to approximately $17.1 million.
What were NewtekOne (NEWT)’s key profitability ratios for Q1 2026?
NewtekOne reported a return on average assets (ROAA) of 1.96% and return on average tangible common equity (ROTCE) of 14.8% for Q1 2026. These metrics improved from 1.81% ROAA and 13.8% ROTCE in Q1 2025, indicating stronger earnings relative to assets and equity.
How fast are NewtekOne (NEWT) deposits growing at Newtek Bank?
Deposits at Newtek Bank grew rapidly, nearly doubling year over year to almost $1.9 billion in Q1 2026 from $966 million in Q1 2025. On a quarter-over-quarter basis, deposits increased $440 million, or 31%, with 78% of total deposits reported as insured.
What capital markets transactions did NewtekOne (NEWT) complete in Q1 2026?
NewtekOne closed a $295 million securitization backed by $342 million of C&I long‑amortizing loans, its fourth asset‑backed securitization of these loans and 17th rated securitization overall. The company also retired $95 million of fixed‑rate senior unsecured notes during the quarter.
What guidance did NewtekOne (NEWT) provide for future EPS?
Management reiterated 2026 EPS guidance of $2.15–$2.55 and introduced a target of 10% EPS growth for 2027. That 2027 target implies an EPS range of $2.40–$2.80, reflecting the company’s expectations based on its current strategy and operational trends.
How did NewtekOne (NEWT)’s loan and securitization activities evolve in Q1 2026?
NewtekOne originated $86 million of C&I long‑amortizing loans and $202 million of SBA 7(a) loans in Q1 2026, among other categories. It completed a $295 million securitization of ALP loans and continued shifting C&I long‑amortizing loan funding from warehouse facilities to Newtek Bank deposits.