Provident Financial (NASDAQ: PROV) lifts Q4 and 2026 profit
Rhea-AI Filing Summary
Provident Financial Holdings, Inc., holding company for Provident Savings Bank, reported stronger results for the quarter and fiscal year ended June 30, 2026. Fourth-quarter net income was $2.18 million, or $0.35 per diluted share, up 61% from the prior quarter and 34% from a year earlier. For fiscal 2026, net income was $6.66 million and diluted EPS was $1.03, up 11% from $0.93 in fiscal 2025.
Fourth-quarter net interest margin was 3.21%, 27 basis points higher than the prior-year quarter, as lower funding costs and higher loan yields lifted net interest income to $9.31 million. Total deposits were $910.4 million and loans held for investment were about $1.03 billion at June 30, 2026. Asset quality was very strong, with non-performing assets at 0.04% of total assets and no net charge-offs, while the allowance for credit losses on loans was $5.9 million, or 0.57% of gross loans. The bank remained well capitalized, with a Tier 1 leverage ratio of 10.30%. The company also returned capital through repurchasing 89,974 shares at an average $16.97 and paying a quarterly dividend of $0.14 per share.
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Filing Explained
At June 30, the bank had $493.4 million of borrowing capacity, while a $311,000 VISA-share conversion gain contributed to quarterly earnings.
The completed fiscal-year disclosure adds that Provident Bank had
The capacity consisted of
The quarter’s
8-K Event Classification
3 items: 2.02, 7.01, 9.01
3 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Q4 2026 net income: $2.18 million
Fiscal 2026 net income: $6.66 million
Fiscal 2026 diluted EPS: $1.03
+5 more
8 metrics
Q4 2026 net income
$2.18 million
Net income for the quarter ended June 30, 2026
Fiscal 2026 net income
$6.66 million
Net income for the fiscal year ended June 30, 2026
Fiscal 2026 diluted EPS
$1.03
Diluted earnings per share for fiscal year 2026
Q4 2026 net interest margin
3.21%
Net interest margin for the quarter ended June 30, 2026
Total deposits
$910.383 million
Total deposits at June 30, 2026
Non-performing assets ratio
0.04%
Non-performing assets to total assets at June 30, 2026
Allowance for credit losses on loans
$5.850 million
Allowance on loans held for investment at June 30, 2026
Shares repurchased in Q4 2026
89,974 shares at $16.97 per share
Common stock repurchased during quarter ended June 30, 2026
Key Terms
net interest margin, efficiency ratio, brokered certificates of deposit, allowance for credit losses, +1 more
5 terms
net interest margin financial
"Net Interest Margin of 3.21% in the June 2026 Quarter"
Net interest margin measures how much a bank earns from lending and investing compared with what it pays for funding, expressed as a percentage of its interest-earning assets. Think of it like a grocery store’s markup: it shows the gap between buying cost and selling price per dollar of goods — here, the cost is interest paid and the sale is interest received. Investors watch it because a higher margin usually means a bank is more profitable and better at managing interest rate and credit conditions.
efficiency ratio financial
"The Company’s efficiency ratio, defined as non-interest expense divided by the sum"
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.
brokered certificates of deposit financial
"Brokered certificates of deposit totaled $161.4 million at June 30, 2026"
Brokered certificates of deposit are time-deposit savings instruments issued by banks but sold through independent brokerage firms, like buying a fixed-term bond through a shop rather than directly at a bank branch. They matter to investors because they often offer higher interest rates and the ability to buy different bank issuers in one place, but they carry trade-off of reduced liquidity and potential price fluctuations if you sell before maturity; FDIC protection applies up to insured limits per bank.
allowance for credit losses financial
"The allowance for credit losses on loans held for investment was $5.9 million"
Allowance for credit losses is a reserve set aside by a financial institution to cover potential losses from borrowers who may not repay their loans. It acts like a safety net, helping the institution prepare for loans that might turn sour. For investors, it signals how cautious the institution is about the quality of its loans and potential risks to its financial health.
non-performing assets financial
"Non-performing assets to total assets Ratio of 0.04% at June 30, 2026"
Loans or other credit exposures that are not producing expected income because borrowers have stopped making scheduled payments for a significant period (commonly around 90 days). Think of it like a business lending money that has gone quiet — the cash flow stops while the lender still carries the debt on its books. High levels of non-performing assets matter to investors because they reduce a lender’s earnings, tie up capital that could be used for growth, and signal higher risk of future losses.
Earnings Snapshot
Q4 2026 net income: $2.18 million
quarter and fiscal year ended June 30, 2026
Q4 2026 net income
$2.18 million
up 61 percent from $1.35 million in the prior quarter and up 34 percent from $1.63 million a year ago
Fiscal 2026 net income
$6.66 million
increased $400,000, or six percent, from $6.26 million in fiscal 2025
Fiscal 2026 diluted EPS
$1.03
up 11 percent from $0.93 in the comparable period last year
Q4 2026 net interest margin
3.21%
up eight basis points from the sequential quarter and up 27 basis points from the comparable quarter last year
Q4 2026 return on average assets
0.73%
compared to 0.45 percent in the third quarter of fiscal 2026 and 0.53 percent in the fourth quarter of fiscal 2025
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What were Provident Financial (PROV)'s Q4 2026 earnings?
Provident Financial reported Q4 2026 net income of $2.18 million, or $0.35 per diluted share, up 61% from the prior quarter and 34% from the same quarter in 2025, driven by higher net interest income and non-interest income.
How did Provident Financial (PROV)'s fiscal 2026 results compare to 2025?
For fiscal 2026, Provident Financial earned $6.66 million in net income, up 6% from $6.26 million in 2025. Diluted EPS rose to $1.03 from $0.93, helped by higher net interest income and modest growth in non-interest income.
How strong was asset quality at Provident Financial (PROV) on June 30, 2026?
Asset quality was very high, with non-performing assets at $505,000, or 0.04% of total assets. The allowance for credit losses on loans was $5.9 million, or 0.57% of gross loans, and there were no net loan charge-offs in the period.
What happened to Provident Financial (PROV)'s net interest margin in Q4 2026?
Net interest margin improved to 3.21% in Q4 2026, up from 2.94% a year earlier and 3.13% in the prior quarter. The expansion reflected lower borrowing costs and higher loan yields, despite slightly lower average interest-earning assets.
What is Provident Financial (PROV)'s capital position as of June 30, 2026?
The bank remained well capitalized, with a Tier 1 leverage ratio of 10.30% and a Total risk-based capital ratio of 20.34%. Stockholders’ equity was $126.2 million, representing 10.45% of total assets at June 30, 2026.
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): July 28, 2026
(Exact name of registrant as specified in its charter)
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Identification No.)
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Registrant’s telephone number, including area
code: (951 ) 686-6060
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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.
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Securities registered pursuant to Section 12(b) of the Act:
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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 ☐
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. [ ]
Item 2.02 Results of Operations and Financial Condition
On July 28, 2026, Provident Financial Holdings, Inc. (“Corporation”), the holding company for Provident Savings Bank, F.S.B., distributed its financial results for the quarter and fiscal year
ended June 30, 2026. A copy of the news release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
Item 7.01 Regulation FD Disclosure.
On April 28, 2026, the Corporation posted its Investor Presentation for the quarter ended June 30, 2026 on the
Corporation’s website, www.myprovident.com, under Presentations in the Investor Relations section. A copy of the Investor Presentation is attached hereto as Exhibit
99.2 and is incorporated herein by reference.
Item 9.01 Financial Statements and Exhibits
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Exhibits
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99.1
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News release of
the Corporation’s financial results for the quarter and fiscal year ended June 30, 2026.
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99.2
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Investor
Presentation of Provident Financial Holdings, Inc. for the quarter ended June 30, 2026.
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104
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Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101)
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to
be signed on its behalf by the undersigned hereunto duly authorized.
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Date: July 28, 2026
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PROVIDENT FINANCIAL HOLDINGS, INC.
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/s/ Peter C. Fan
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Peter C. Fan
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Senior Vice President and Chief Financial Officer
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(Principal Financial and Accounting Officer)
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Exhibit 99.1
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3756 Central Avenue
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NEWS RELEASE
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Riverside, CA 92506
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(951) 686-6060
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PROVIDENT FINANCIAL HOLDINGS REPORTS
FOURTH QUARTER AND FISCAL 2026 RESULTS
Net Income of $2.18 million in the June 2026 Quarter, Up 61% from the Sequential Quarter and Up
34% from the Comparable Quarter Last Year
Net Interest Margin of 3.21% in the June 2026 Quarter, Up Eight Basis Points from the
Sequential
Quarter and Up 27 Basis Points from the Comparable Quarter Last Year
Loans Held for Investment of $1.03 Billion at June 30, 2026, Down 1% from $1.05 Billion at June
30, 2025
Total Deposits of $910.4 Million at June 30, 2026, up 2% from $888.8 million at June 30, 2025
Non-Performing Assets to Total Assets Ratio of 0.04% at June 30, 2026, Down from 0.11% at June
30, 2025
Riverside, Calif. – July 28, 2026 – Provident Financial Holdings, Inc. (“Company”), NASDAQ GS:
PROV, the holding company for Provident Savings Bank, F.S.B. (“Bank”), today announced earnings for the fourth quarter and fiscal year ended June 30, 2026.
The Company reported net income of $2.18 million, or $0.35 per diluted share (on 6.33 million
average diluted shares outstanding), for the quarter ended June 30, 2026, up 61 percent from $1.35 million, or $0.21 per diluted share (on 6.44 million average diluted shares outstanding), in the third quarter of fiscal 2026, and up 34 percent from
net income of $1.63 million, or $0.24 per diluted share (on 6.65 million average diluted shares outstanding), in the comparable period a year ago. The increase compared to the sequential quarter primarily reflected a $95,000 recovery of credit
losses, in contrast to a $326,000 provision for credit losses, and a $570,000 increase in non-interest income (mainly due to higher gains on other equity investments). The increase from the comparable quarter last year was due primarily to a $429,000
increase in net interest income and a $403,000 increase in non-interest income (mainly due to higher gains on other equity investments), partly offset by a $129,000 increase in non-interest expense (mainly salaries and employee benefits).
For the fiscal year ended June 30, 2026, net income increased $400,000, or six percent, to
$6.66 million from $6.26 million in fiscal 2025. Diluted earnings per share for the fiscal year ended June 30, 2026 was $1.03 per share, up 11 percent from $0.93 in the comparable period last year. The increase in net income was primarily
attributable to an $859,000 increase in net interest income and a $195,000 increase in non-interest income (primarily due to an increase in the loan servicing and other fees and an increase in the gain on other equity investments), partly offset by
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a $363,000 increase in the provision for income taxes (of which $251,000 was attributable to the write-off of
deferred tax assets related to the expiration of non-qualified stock options).
“Our fourth quarter results reflect sustained momentum in our business. The net interest
margin expanded for the fourth consecutive quarter, credit quality remained excellent, and operating expenses were tightly managed. Together with our share repurchases, these results underscore our continued commitment to delivering shareholder
value,” said Donavon P. Ternes, President and Chief Executive Officer. “We are well positioned to further strengthen our fundamentals in fiscal 2027, supported by our disciplined credit culture, strong capital position, and a more favorable interest
rate environment,” he added.
Return on average assets was 0.73 percent for the fourth quarter of fiscal 2026, compared to
0.45 percent in the third quarter of fiscal 2026 and 0.53 percent for the fourth quarter of fiscal 2025. Return on average stockholders’ equity for the fourth quarter of fiscal 2026 was 6.85 percent, compared to 4.21 percent for the third quarter of
fiscal 2026 and 5.01 percent for the fourth quarter of fiscal 2025.
In the fourth quarter of fiscal 2026, net interest income increased $429,000 or five percent
to $9.31 million from $8.88 million for the same quarter last year. The increase reflected the impact of a $595,000 decrease in funding costs, reflecting lower interest expense on FHLB advances resulting from lower average borrowings and lower
borrowing rates, partly offset by a $166,000 decrease in income from interest-earning assets. The net interest margin increased 27 basis points to 3.21% from 2.94% in the same quarter last year, reflecting lower funding costs and higher loan yields,
despite lower average interest-earning assets.
Interest income on loans receivable was virtually unchanged at $13.12 million in the fourth
quarter of fiscal 2026 from $13.10 million in the same quarter last year, primarily due to a higher average loan yield, which was mainly offset by a lower average loan balance. The yield on loans receivable increased 13 basis points to 5.10 percent
from 4.97 percent in the same quarter last year. The increase in the loan yield was primarily due to the effect of adjustable rate loan repricing and a decrease in net deferred loan cost amortization to $407,000 from $463,000 in the same quarter last
year. For the last 12-month period, approximately $256.8 million of adjustable-rate loans repriced to a weighted average rate of 6.98 percent, up 59 basis points from 6.39 percent prior to repricing. The average balance of loans receivable decreased
$24.2 million, or two percent, to $1.03 billion, as loan principal payments received during the last 12 months of $176.8 million, exceeded loans originated for investment of $162.3 million.
Interest income from investment securities decreased $70,000, or 16 percent, to $376,000 in
the fourth quarter of fiscal 2026 from $446,000 for the same quarter of fiscal 2025. This decrease was attributable to a lower average balance, partly offset by a higher average yield. The average balance of investment securities totaled $93.4
million, a decrease of $20.2 million, or 18 percent, from the same quarter of fiscal 2025, reflecting the continued runoff of the held-to-maturity portfolio. The yield on investment securities increased four basis points to 1.61 percent in the
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fourth quarter of fiscal 2026 from 1.57 percent for the same quarter last year, resulting from a lower premium
amortization ($52,000 vs. $80,000).
In the fourth quarter of fiscal 2026, the Bank received $177,000 in cash dividends from the
FHLB – San Francisco stock and other equity investments, down $32,000 or 15 percent from $209,000 in the same quarter last year. The cash dividend yield was 6.80%, down 132 basis points from 8.12% in the same quarter last year, while the average
balance increased slightly to $10.4 million from $10.3 million in the same quarter last year.
Interest income from interest-earning deposits, primarily cash deposited at the FRB of San
Francisco, was $264,000 in the fourth quarter of fiscal 2026, down $78,000 or 23 percent from $342,000 in the same quarter of fiscal 2025. The decrease was due to both a lower yield and a lower average balance. The yield decreased 75 basis points to
3.65 percent from 4.40 percent in the same quarter last year, due to a lower average interest rate on FRB reserve balances following decreases in the targeted federal funds rate since the same quarter last year. The average balance decreased $2.1
million, or seven percent, to $28.6 million in the fourth quarter of fiscal 2026 from $30.7 million in the same quarter last year.
Interest expense on deposits for the fourth quarter of fiscal 2026 was $3.03 million, an
increase of $46,000 or two percent from $2.98 million for the same period last year, reflecting higher rates paid on average deposits of $892.6 million compared to $898.5 million in the same quarter last year. The average cost of deposits increased
three basis points to 1.36 percent from 1.33 percent in the same quarter last year, primarily due to a greater proportion of time deposits, including brokered certificates of deposit.
During fiscal year ended June 30, 2026, transaction account balances, or “core deposits,”
decreased $19.3 million, or three percent, to $557.1 million, while time deposits increased $40.9 million, or 13 percent, to $353.2 million, reflecting continued customer preference for higher-yielding deposit products. Brokered certificates of
deposit totaled $161.4 million at June 30, 2026, up $30.4 million, or 23 percent, from $131.0 million at June 30, 2025, while the weighted average cost of brokered certificates of deposit declined 31 basis points to 3.93 percent from 4.24 percent at
June 30, 2025, reflecting the lower interest rate environment.
Interest expense on borrowings, primarily comprised of FHLB advances, decreased $641,000, or
29 percent, to $1.59 million during the fourth quarter of fiscal 2026 from $2.24 million for the same period last year. This decrease was due to a $37.7 million, or 19 percent, decrease in average borrowings to $158.1 million from $195.8 million, as
well as a 54-basis point decrease in the average cost of borrowings to 4.04 percent from 4.58 percent, reflecting the lower interest rate environment.
At June 30, 2026, the Bank had approximately $255.9 million of remaining borrowing capacity
with the FHLB, an additional $187.5 million available through a borrowing facility with the FRB of San Francisco, and an unused unsecured federal funds borrowing facility of $50.0 million with its correspondent bank. Total available borrowing
capacity across all sources was
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approximately $493.4 million at June 30, 2026. The Bank also remained well capitalized under all applicable
regulatory capital requirements.
During the fourth quarter of fiscal 2026, the Company recorded a $95,000 recovery of credit
losses, which included an $11,000 recovery related to unfunded loan commitment reserves. This compares with a $164,000 recovery of credit losses in the same quarter last year and a $326,000 provision for credit losses in the third quarter of fiscal
2026 (the sequential quarter). The recovery of credit losses was primarily driven by a decrease in the expected life of the loan portfolio as adjustable-rate loans repriced upward during the quarter. The recovery was also supported by other favorable
factors, including strong loan quality, lower historical loss rates and improved forward-looking economic indicators. These favorable factors were partly offset by a modest increase in the loan portfolio balance.
Non-performing assets, comprised solely of non-accrual loans secured by properties located in
California, decreased $909,000, or 64 percent, to $505,000, representing 0.04 percent of total assets at June 30, 2026, compared to $1.4 million, or 0.11 percent of total assets, at June 30, 2025. At June 30, 2026, non-performing loans were comprised
of three single-family loans and one multi-family loan, compared to seven single-family loans and one multi-family loan at June 30, 2025. At both dates, the Bank had no real estate owned and no loans 90 days or more past due that were still accruing
interest. Additionally, no loan charge-offs occurred during the quarters ended June 30, 2026 and 2025.
Classified assets were $2.5 million at June 30, 2026, consisting of $792,000 of loans in the
special mention category and $1.7 million of loans in the substandard category. This compares to $5.0 million at June 30, 2025, consisting of $1.1 million of loans in the special mention category and $3.9 million of loans in the substandard category.
The allowance for credit losses on loans held for investment was $5.9 million, or 0.57 percent
of gross loans held for investment, at June 30, 2026, down from $6.4 million, or 0.62 percent of gross loans held for investment, at June 30, 2025. The decrease in the allowance for credit losses was due primarily to a shorter estimated average life
of the loan portfolio attributable to a decline in mortgage interest rates and a lower loan portfolio balance from June 30, 2025. Management believes, based on currently available information, the allowance for credit losses is sufficient to absorb
expected losses inherent in loans held for investment at June 30, 2026.
Non-interest income increased $403,000, or 46 percent, to $1.28 million in the fourth quarter
of fiscal 2026 from $880,000 in the same period last year, primarily due to an increase in other non-interest income, attributable primarily to a higher gain on other equity investments. The increase was due primarily to a conversion of VISA shares
in May 2026 resulting in a gain of $311,000. On a sequential quarter basis, non-interest income increased $570,000, or 80 percent, primarily due to a higher gain on other equity investments resulting mainly from the VISA share conversion and a
higher valuation of VISA Class C shares.
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Non-interest expense increased $129,000, or two percent, to $7.75 million in the fourth
quarter of fiscal 2026 from $7.62 million in the same quarter last year, primarily due to a $126,000 or three percent increase in salaries and employee benefits. On a sequential quarter basis, non-interest expense increased $110,000, or one percent,
primarily due to an increase in salaries and employee benefits.
The Company’s efficiency ratio, defined as non-interest expense divided by the sum of net
interest income and non-interest income, in the fourth quarter of fiscal 2026 was 73 percent, improved from 78 percent in the same quarter last year. The ratio also improved from 77 percent in the third quarter of fiscal 2026 (the sequential
quarter).
The Company’s provision for income taxes was $756,000 for the fourth quarter of fiscal 2026,
up 11 percent from $680,000 in the same quarter last year and up 36 percent from $557,000 in the third quarter of fiscal 2026 (the sequential quarter). The increase compared to the same quarter last year was due to a higher pre-tax income, partly
offset by a reduction in the effective tax rate to 25.7 percent from 29.5 percent. The increase compared to the sequential quarter similarly reflected higher pre-tax income, partly offset by a lower effective tax rate from 29.2 percent in the prior
quarter. The lower effective tax rate was due primarily to tax benefits totaling $94,000 attributable to the vesting of restricted stock in May 2026.
Consistent with the Company's continued commitment to delivering shareholder value, the
Company repurchased 89,974 shares of its common stock at an average cost of $16.97 per share during the quarter ended June 30, 2026, and paid a quarterly cash dividend of $0.14 per share. As of June 30, 2026, a total of 174,605 shares remained
available for future purchase under the Company’s current repurchase program.
The Bank currently operates 13 retail/business banking offices in Riverside County and San
Bernardino County (collectively referred to as the Inland Empire).
The Company will host a conference call for institutional investors and bank analysts on
Wednesday, July 29, 2026 at 9:00 a.m. (Pacific) to discuss its financial results. The conference call can be accessed by dialing 1-800-715-9871 and referencing Conference ID number 7361828. An audio replay of the conference call will be available
through Wednesday, August 5, 2026 by dialing 1-800-770-2030 and referencing Conference ID number 7361828.
For more financial information about the Company please visit the website at
www.myprovident.com and click on the “Investor Relations” section.
Safe-Harbor Statement
This press release contains statements that the Company believes are “forward-looking statements” within the meaning
of the Private Securities Litigation Reform Act of 1995. These statements relate to the Company’s financial condition, liquidity, results of operations, plans, objectives, future performance or business. You should not place undue reliance on these
statements as they are subject to various risks and uncertainties. When considering these forward-looking statements, you should keep in mind these risks and uncertainties, as well as any cautionary statements the Company may make. Moreover, you
should treat these statements as speaking only as of the date they are made and based only on information then actually known to the Company.
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There are a number of important factors that could cause actual results to differ materially from those express or
implied by these forward-looking statements and from historical performance. Factors that could cause actual results to differ materially include, but are not limited to: adverse economic conditions in the Company’s local market areas or other
markets in which it has lending relationships; changes in employment levels, labor shortages, persistent inflation, recessionary pressures, or slowing economic growth; changes in interest rate levels and volatility, and the timing and pace of such
changes, including actions by the Board of Governors of the Federal Reserve System (the “Federal Reserve”), which could adversely affect the Company’s revenues and expenses, the value of its assets and obligations, and the availability and cost of
capital and liquidity; the impact of inflation and related monetary and fiscal policy responses, and their effect on consumer and business behavior; the effects of a federal government shutdown, debt ceiling standoff, or other fiscal policy
uncertainty; credit risks associated with lending activities, including loan delinquencies, charge-offs, changes in the allowance for credit losses (“ACL”), and the provision for credit losses; increased competitive pressures, including repricing and
competitors’ pricing initiatives, and their impact on the Company’s market position and loan and deposit products; the quality and composition of the Company’s securities portfolio and the impact of adverse changes in the securities markets;
fluctuations in deposits; secondary market conditions for loans and the Company’s ability to sell loans in the secondary market; liquidity risks, including the Company’s ability to borrow funds or raise additional capital, if necessary; the Company’s
ability to successfully implement key growth initiatives and strategic priorities; the impact of bank failures or adverse developments at other banks and related negative publicity about the banking industry on investor and depositor sentiment;
results of examinations by regulatory authorities, including the possibility that a regulatory authority may, among other things, institute a formal or informal enforcement action against the Company or its bank subsidiary that could require the
Company to increase its ACL, write down assets, alter its regulatory capital position, affect its ability to borrow funds or maintain or increase deposits, or impose additional requirements or restrictions, any of which could adversely affect its
liquidity and earnings; the Company’s ability to adapt to rapid technological changes, including advancements related to artificial intelligence, digital banking platforms, and cybersecurity; legislative or regulatory changes, including but not
limited to changes in capital requirements, banking regulation, tax laws, or consumer protection laws; the use of estimates in determining the fair value of assets, which may prove inaccurate; vulnerabilities in information systems or third-party
service providers, including disruptions, breaches, or cyberattacks; geopolitical developments and international conflicts, including but not limited to tensions or instability in Eastern Europe, the Middle East, South America and Asia, or the
imposition of new or increased tariffs or trade restrictions, which could disrupt financial markets, global supply chains, commodity prices, or economic activity; staffing fluctuations in response to changes in product demand or corporate
implementation strategies; the Company’s ability to pay dividends on its common stock; environmental, social and governance matters; effects of climate change, severe weather events, natural disasters, pandemics, epidemics and other public health
crises, acts of war or terrorism, domestic political unrest, and other external events; and other factors described in the Company’s latest Annual Report on Form 10-K and Quarterly Reports on Form 10-Q and other reports filed with or furnished to the
Securities and Exchange Commission (“SEC”), which are available on the Company’s website at www.myprovident.com and on the SEC’s website at www.sec.gov.
We do not undertake and specifically disclaim any obligation to revise any forward-looking statements to reflect the
occurrence of anticipated or unanticipated events or circumstances after the date of such statements whether as a result of new information, future events or otherwise. These risks could cause our actual results for fiscal 2027 and beyond to differ
materially from those expressed in any forward-looking statements by, or on behalf of us and could negatively affect our operating and stock price performance.
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Contacts:
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Donavon P. Ternes
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Peter C. Fan
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President and
Chief Executive Officer
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Senior Vice President and
Chief Financial Officer
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PROVIDENT FINANCIAL HOLDINGS, INC.
Condensed Consolidated Statements of Financial Condition
(Unaudited –In Thousands, Except Share and Per Share Information)
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|
|
|
|||||
|
Cash and cash equivalents
|
$
|
49,210
|
$
|
57,126
|
$
|
54,370
|
$
|
49,407
|
$
|
53,090
|
|||||
|
Investment securities - held to maturity, at cost with no
allowance for credit losses |
|
89,251
|
|
93,997
|
|
98,899
|
|
103,877
|
|
109,399
|
|||||
|
Investment securities - available for sale, at fair value
|
|
1,272
|
|
1,346
|
|
1,404
|
|
1,544
|
|
1,607
|
|||||
|
Loans held for investment, net of allowance for credit losses of
$5,850, $5,934, $5,634, $5,780 and $6,424, respectively;
includes $978, $997, $1,006, $1,010 and $1,018 of loans held
at fair value, respectively
|
|
1,032,682
|
|
1,029,644
|
|
1,037,655
|
|
1,041,776
|
|
1,045,745
|
|||||
|
Accrued interest receivable
|
|
4,285
|
|
4,196
|
|
4,106
|
|
4,180
|
|
4,215
|
|||||
|
FHLB - San Francisco stock and other equity investments,
includes $1,041, $622, $721, $702 and $730 of other equity
investments at fair value, respectively
|
|
10,609
|
|
10,190
|
|
10,289
|
|
10,270
|
|
10,298
|
|||||
|
Premises and equipment, net
|
|
9,231
|
|
9,551
|
|
9,836
|
|
8,992
|
|
9,324
|
|||||
|
Prepaid expenses and other assets
|
|
11,621
|
|
11,574
|
|
11,333
|
|
10,761
|
|
11,935
|
|||||
|
Total assets
|
$
|
1,208,161
|
$
|
1,217,624
|
$
|
1,227,892
|
$
|
1,230,807
|
$
|
1,245,613
|
|||||
|
Liabilities and Stockholders’ Equity
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Noninterest-bearing deposits
|
$
|
86,859
|
$
|
84,628
|
$
|
75,316
|
$
|
79,007
|
$
|
83,566
|
|||||
|
Interest-bearing deposits
|
|
823,524
|
|
808,257
|
|
797,118
|
|
795,832
|
|
805,206
|
|||||
|
Total deposits
|
|
910,383
|
|
892,885
|
|
872,434
|
|
874,839
|
|
888,772
|
|||||
|
Borrowings
|
|
157,046
|
|
184,053
|
|
213,060
|
|
213,066
|
|
213,073
|
|||||
|
Accounts payable, accrued interest and other liabilities
|
|
14,512
|
|
14,113
|
|
14,907
|
|
14,532
|
|
15,223
|
|||||
|
Total liabilities
|
|
1,081,941
|
|
1,091,051
|
|
1,100,401
|
|
1,102,437
|
|
1,117,068
|
|||||
|
Stockholders’ equity:
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Preferred stock, $.01 par value (2,000,000 shares authorized;
none issued and outstanding)
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|||||
|
Common stock, $.01 par value; (40,000,000 shares authorized;
18,229,615, 18,229,615, 18,229,615, 18,229,615 and
18,229,615 shares issued respectively; 6,264,035, 6,323,219,
6,414,751, 6,511,011 and 6,577,718 shares outstanding,
respectively)
|
|
183
|
|
183
|
|
183
|
|
183
|
|
183
|
|||||
|
Additional paid-in capital
|
|
99,782
|
|
99,553
|
|
99,434
|
|
99,306
|
|
99,149
|
|||||
|
Retained earnings
|
|
215,466
|
|
214,156
|
|
213,693
|
|
213,163
|
|
212,403
|
|||||
|
Treasury stock at cost (11,965,580, 11,906,396, 11,814,864,
11,718,604, and 11,651,897 shares, respectively)
|
|
(189,224)
|
|
(187,333)
|
|
(185,836)
|
|
(184,300)
|
|
(183,207)
|
|||||
|
Accumulated other comprehensive income, net of tax
|
|
13
|
|
14
|
|
17
|
|
18
|
|
17
|
|||||
|
Total stockholders’ equity
|
|
126,220
|
|
126,573
|
|
127,491
|
|
128,370
|
|
128,545
|
|||||
|
Total liabilities and stockholders’ equity
|
$
|
1,208,161
|
$
|
1,217,624
|
$
|
1,227,892
|
$
|
1,230,807
|
$
|
1,245,613
|
|||||
Page 7 of 15
|
|
PROVIDENT FINANCIAL HOLDINGS, INC.
Condensed Consolidated Statements of Operations
(Unaudited - In Thousands, Except Per Share Information)
|
For the Quarter Ended
|
Fiscal Year Ended
|
|||||||||||
|
|
June 30,
|
|
June 30,
|
|||||||||
|
|
2026
|
|
2025
|
|
2026
|
|
2025
|
|||||
|
Interest income:
|
|
|
|
|
|
|
||||||
|
Loans receivable, net
|
$
|
13,116
|
$
|
13,102
|
$
|
52,024
|
$
|
52,543
|
||||
|
Investment securities
|
|
376
|
|
446
|
|
1,612
|
|
1,858
|
||||
|
FHLB - San Francisco stock and other equity investments
|
|
177
|
|
209
|
|
1,090
|
|
845
|
||||
|
Interest-earning deposits
|
|
264
|
|
342
|
|
1,163
|
|
1,378
|
||||
|
Total interest income
|
|
13,933
|
|
14,099
|
|
55,889
|
|
56,624
|
||||
|
Interest expense:
|
|
|
|
|
|
|
|
|
||||
|
Checking and money market deposits
|
|
46
|
|
40
|
|
207
|
|
190
|
||||
|
Savings deposits
|
|
249
|
|
144
|
|
836
|
|
500
|
||||
|
Time deposits
|
|
2,733
|
|
2,798
|
|
10,778
|
|
10,536
|
||||
|
Borrowings
|
|
1,594
|
|
2,235
|
|
7,740
|
|
9,929
|
||||
|
Total interest expense
|
|
4,622
|
|
5,217
|
|
19,561
|
|
21,155
|
||||
|
Net interest income
|
|
9,311
|
|
8,882
|
|
36,328
|
|
35,469
|
||||
|
Recovery of credit losses
|
|
(95)
|
|
(164)
|
|
(553)
|
|
(666)
|
||||
|
Net interest income, after recovery of credit losses
|
|
9,406
|
|
9,046
|
|
36,881
|
|
36,135
|
||||
|
Non-interest income:
|
|
|
|
|
|
|
|
|
||||
|
Loan servicing and other fees
|
|
136
|
|
120
|
|
583
|
|
419
|
||||
|
Deposit account fees
|
|
258
|
|
256
|
|
1,067
|
|
1,112
|
||||
|
Card and processing fees
|
|
335
|
|
354
|
|
1,203
|
|
1,265
|
||||
|
Other
|
|
554
|
|
150
|
|
873
|
|
735
|
||||
|
Total non-interest income
|
|
1,283
|
|
880
|
|
3,726
|
|
3,531
|
||||
|
Non-interest expense:
|
|
|
|
|
|
|
|
|
||||
|
Salaries and employee benefits
|
|
4,897
|
|
4,771
|
|
19,263
|
|
19,006
|
||||
|
Premises and occupancy
|
|
878
|
|
886
|
|
3,560
|
|
3,634
|
||||
|
Equipment
|
|
428
|
|
403
|
|
1,757
|
|
1,542
|
||||
|
Professional
|
|
370
|
|
355
|
|
1,551
|
|
1,579
|
||||
|
Sales and marketing
|
|
227
|
|
173
|
|
712
|
|
714
|
||||
|
Deposit insurance premiums and regulatory assessments
|
|
162
|
|
172
|
|
661
|
|
740
|
||||
|
Other
|
|
787
|
|
860
|
|
3,467
|
|
3,578
|
||||
|
Total non-interest expense
|
|
7,749
|
|
7,620
|
|
30,971
|
|
30,793
|
||||
|
Income before income taxes
|
|
2,940
|
|
2,306
|
|
9,636
|
|
8,873
|
||||
|
Provision for income taxes
|
|
756
|
|
680
|
|
2,981
|
|
2,618
|
||||
|
Net income
|
$
|
2,184
|
$
|
1,626
|
$
|
6,655
|
$
|
6,255
|
||||
|
Basic earnings per share
|
$
|
0.35
|
$
|
0.25
|
$
|
1.04
|
$
|
0.93
|
||||
|
Diluted earnings per share
|
$
|
0.35
|
$
|
0.24
|
$
|
1.03
|
$
|
0.93
|
||||
|
Cash dividends per share
|
$
|
0.14
|
$
|
0.14
|
$
|
0.56
|
$
|
0.56
|
||||
Page 8 of 15
|
|
PROVIDENT FINANCIAL HOLDINGS, INC.
Condensed Consolidated Statements of Operations – Sequential Quarters
(Unaudited – In Thousands, Except Per Share Information)
|
For the Quarter Ended
|
|||||||||||||||
|
June 30,
|
March 31,
|
December 31,
|
September 30,
|
June 30,
|
|||||||||||
|
|
2026
|
|
2026
|
|
2025
|
|
2025
|
|
2025
|
||||||
|
Interest income:
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Loans receivable, net
|
$
|
13,116
|
$
|
12,705
|
$
|
13,072
|
$
|
13,131
|
$
|
13,102
|
|||||
|
Investment securities
|
|
376
|
|
395
|
|
411
|
|
430
|
|
446
|
|||||
|
FHLB - San Francisco stock and other equity investments
|
|
177
|
|
488
|
|
214
|
|
211
|
|
209
|
|||||
|
Interest-earning deposits
|
|
264
|
|
272
|
|
253
|
|
374
|
|
342
|
|||||
|
Total interest income
|
|
13,933
|
|
13,860
|
|
13,950
|
|
14,146
|
|
14,099
|
|||||
|
Interest expense:
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Checking and money market deposits
|
|
46
|
|
54
|
|
56
|
|
51
|
|
40
|
|||||
|
Savings deposits
|
|
249
|
|
219
|
|
197
|
|
171
|
|
144
|
|||||
|
Time deposits
|
|
2,733
|
|
2,609
|
|
2,672
|
|
2,764
|
|
2,798
|
|||||
|
Borrowings
|
|
1,594
|
|
1,815
|
|
2,101
|
|
2,230
|
|
2,235
|
|||||
|
Total interest expense
|
|
4,622
|
|
4,697
|
|
5,026
|
|
5,216
|
|
5,217
|
|||||
|
Net interest income
|
|
9,311
|
|
9,163
|
|
8,924
|
|
8,930
|
|
8,882
|
|||||
|
(Recovery of) provision for credit losses
|
|
(95)
|
|
326
|
|
(158)
|
|
(626)
|
|
(164)
|
|||||
|
Net interest income, after (recovery of) provision for credit losses
|
|
9,406
|
|
8,837
|
|
9,082
|
|
9,556
|
|
9,046
|
|||||
|
Non-interest income:
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Loan servicing and other fees
|
|
136
|
|
125
|
|
176
|
|
146
|
|
120
|
|||||
|
Deposit account fees
|
|
258
|
|
271
|
|
273
|
|
265
|
|
256
|
|||||
|
Card and processing fees
|
|
335
|
|
280
|
|
286
|
|
302
|
|
354
|
|||||
|
Other
|
|
554
|
|
37
|
|
182
|
|
100
|
|
150
|
|||||
|
Total non-interest income
|
|
1,283
|
|
713
|
|
917
|
|
813
|
|
880
|
|||||
|
Non-interest expense:
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Salaries and employee benefits
|
|
4,897
|
|
4,813
|
|
4,783
|
|
4,770
|
|
4,771
|
|||||
|
Premises and occupancy
|
|
878
|
|
884
|
|
851
|
|
947
|
|
886
|
|||||
|
Equipment
|
|
428
|
|
444
|
|
479
|
|
406
|
|
403
|
|||||
|
Professional
|
|
370
|
|
325
|
|
442
|
|
414
|
|
355
|
|||||
|
Sales and marketing
|
|
227
|
|
179
|
|
158
|
|
148
|
|
173
|
|||||
|
Deposit insurance premiums and regulatory assessments
|
|
162
|
|
157
|
|
177
|
|
165
|
|
172
|
|||||
|
Other
|
|
787
|
|
837
|
|
1,059
|
|
784
|
|
860
|
|||||
|
Total non-interest expense
|
|
7,749
|
|
7,639
|
|
7,949
|
|
7,634
|
|
7,620
|
|||||
|
Income before income taxes
|
|
2,940
|
|
1,911
|
|
2,050
|
|
2,735
|
|
2,306
|
|||||
|
Provision for income taxes
|
|
756
|
|
557
|
|
614
|
|
1,054
|
|
680
|
|||||
|
Net income
|
$
|
2,184
|
$
|
1,354
|
$
|
1,436
|
$
|
1,681
|
$
|
1,626
|
|||||
|
Basic earnings per share
|
$
|
0.35
|
$
|
0.21
|
$
|
0.22
|
$
|
0.26
|
$
|
0.25
|
|||||
|
Diluted earnings per share
|
$
|
0.35
|
$
|
0.21
|
$
|
0.22
|
$
|
0.25
|
$
|
0.24
|
|||||
|
Cash dividends per share
|
$
|
0.14
|
$
|
0.14
|
$
|
0.14
|
$
|
0.14
|
$
|
0.14
|
|||||
Page 9 of 15
|
|
PROVIDENT FINANCIAL HOLDINGS, INC.
Financial Highlights
(Unaudited - Dollars in Thousands, Except Share and Per
Share Information)
|
As of and For the
|
|||||||||||||
|
Quarter Ended
|
Fiscal Year Ended
|
|
|||||||||||
|
June 30,
|
June 30,
|
|
|||||||||||
|
|
2026
|
|
2025
|
|
2026
|
|
2025
|
|
|||||
|
SELECTED FINANCIAL RATIOS:
|
|
|
|
|
|
|
|
|
|||||
|
Return on average assets
|
|
0.73
|
%
|
0.53
|
%
|
0.55
|
%
|
0.50
|
%
|
||||
|
Return on average stockholders' equity
|
|
6.85
|
%
|
5.01
|
%
|
5.17
|
%
|
4.79
|
%
|
||||
|
Stockholders’ equity to total assets
|
|
10.45
|
%
|
10.32
|
%
|
10.45
|
%
|
10.32
|
%
|
||||
|
Net interest spread
|
|
3.04
|
%
|
2.76
|
%
|
2.91
|
%
|
2.74
|
%
|
||||
|
Net interest margin
|
|
3.21
|
%
|
2.94
|
%
|
3.09
|
%
|
2.93
|
%
|
||||
|
Efficiency ratio
|
|
73.15
|
%
|
78.06
|
%
|
77.32
|
%
|
78.96
|
%
|
||||
|
Average interest-earning assets to average interest-
bearing liabilities
|
|
110.59
|
%
|
110.41
|
%
|
110.61
|
%
|
110.38
|
%
|
||||
|
SELECTED FINANCIAL DATA:
|
|
|
|
|
|
|
|
|
|||||
|
Basic earnings per share
|
$
|
0.35
|
$
|
0.25
|
$
|
1.04
|
$
|
0.93
|
|||||
|
Diluted earnings per share
|
$
|
0.35
|
$
|
0.24
|
$
|
1.03
|
$
|
0.93
|
|||||
|
Book value per share
|
$
|
20.15
|
$
|
19.54
|
$
|
20.15
|
$
|
19.54
|
|||||
|
Shares used for basic EPS computation
|
|
6,264,665
|
|
6,604,758
|
|
6,415,560
|
|
6,716,086
|
|||||
|
Shares used for diluted EPS computation
|
|
6,333,590
|
|
6,653,214
|
|
6,482,884
|
|
6,760,962
|
|||||
|
Total shares issued and outstanding
|
|
6,264,035
|
|
6,577,718
|
|
6,264,035
|
|
6,577,718
|
|||||
|
LOANS ORIGINATED FOR INVESTMENT:
|
|
|
|
|
|
|
|
|
|||||
|
Mortgage loans:
|
|
|
|
|
|
|
|
|
|||||
|
Single-family
|
$
|
37,180
|
$
|
18,303
|
$
|
115,547
|
$
|
92,498
|
|||||
|
Multi-family
|
|
9,186
|
|
9,343
|
|
41,428
|
|
25,115
|
|||||
|
Commercial real estate
|
|
—
|
|
1,017
|
|
5,334
|
|
3,777
|
|||||
|
Construction
|
|
—
|
|
725
|
|
—
|
|
725
|
|||||
|
Commercial business loans
|
|
—
|
|
—
|
|
—
|
|
550
|
|||||
|
Total loans originated for investment
|
$
|
46,366
|
$
|
29,388
|
$
|
162,309
|
$
|
122,665
|
|||||
Page 10 of 15
|
|
PROVIDENT FINANCIAL HOLDINGS, INC.
Financial Highlights
(Unaudited - Dollars in Thousands, Except Share and Per
Share Information)
|
As of and For the
|
||||||||||||||||
|
Quarter
|
Quarter
|
Quarter
|
Quarter
|
Quarter
|
|
|||||||||||
|
Ended
|
Ended
|
Ended
|
Ended
|
Ended
|
|
|||||||||||
|
|
06/30/26
|
|
03/31/26
|
|
12/31/25
|
|
09/30/25
|
|
06/30/25
|
|
||||||
|
SELECTED FINANCIAL
RATIOS:
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Return on average assets
|
|
0.73
|
%
|
0.45
|
%
|
0.47
|
%
|
0.55
|
%
|
0.53
|
%
|
|||||
|
Return on average stockholders'
equity
|
|
6.85
|
%
|
4.21
|
%
|
4.44
|
%
|
5.17
|
%
|
5.01
|
%
|
|||||
|
Stockholders’ equity to total assets
|
|
10.45
|
%
|
10.40
|
%
|
10.38
|
%
|
10.43
|
%
|
10.32
|
%
|
|||||
|
Net interest spread
|
|
3.04
|
%
|
2.93
|
%
|
2.86
|
%
|
2.83
|
%
|
2.76
|
%
|
|||||
|
Net interest margin
|
|
3.21
|
%
|
3.13
|
%
|
3.03
|
%
|
3.00
|
%
|
2.94
|
%
|
|||||
|
Efficiency ratio
|
|
73.15
|
%
|
77.35
|
%
|
80.77
|
%
|
78.35
|
%
|
78.06
|
%
|
|||||
|
Average interest-earning assets to
average interest-bearing liabilities
|
|
110.59
|
%
|
110.59
|
%
|
110.66
|
%
|
110.60
|
%
|
110.41
|
%
|
|||||
|
SELECTED FINANCIAL
DATA:
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Basic earnings per share
|
$
|
0.35
|
$
|
0.21
|
$
|
0.22
|
$
|
0.26
|
$
|
0.25
|
||||||
|
Diluted earnings per share
|
$
|
0.35
|
$
|
0.21
|
$
|
0.22
|
$
|
0.25
|
$
|
0.24
|
||||||
|
Book value per share
|
$
|
20.15
|
$
|
20.02
|
$
|
19.87
|
$
|
19.72
|
$
|
19.54
|
||||||
|
Average shares used for basic EPS
|
|
6,264,665
|
|
6,367,057
|
|
6,462,230
|
|
6,565,592
|
|
6,604,758
|
||||||
|
Average shares used for diluted
EPS
|
|
6,333,590
|
|
6,442,894
|
|
6,527,569
|
|
6,624,787
|
|
6,653,214
|
||||||
|
Total shares issued and outstanding
|
|
6,264,035
|
|
6,323,219
|
|
6,414,751
|
|
6,511,011
|
|
6,577,718
|
||||||
|
LOANS ORIGINATED FOR
INVESTMENT:
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Mortgage loans:
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Single-family
|
$
|
37,180
|
$
|
28,828
|
$
|
30,415
|
$
|
19,124
|
$
|
18,303
|
||||||
|
Multi-family
|
|
9,186
|
|
13,813
|
|
9,925
|
|
8,504
|
|
9,343
|
||||||
|
Commercial real estate
|
|
—
|
|
1,540
|
|
1,782
|
|
2,012
|
|
1,017
|
||||||
|
Construction
|
|
—
|
|
—
|
|
—
|
|
—
|
|
725
|
||||||
|
Total loans originated for
investment
|
$
|
46,366
|
$
|
44,181
|
$
|
42,122
|
$
|
29,640
|
$
|
29,388
|
||||||
Page 11 of 15
|
|
PROVIDENT FINANCIAL HOLDINGS, INC.
Financial Highlights
(Unaudited - Dollars in Thousands)
|
|
As of
|
|
As of
|
|
As of
|
|
As of
|
|
As of
|
|
||||||
|
06/30/26
|
03/31/26
|
12/31/25
|
09/30/25
|
06/30/25
|
|
|||||||||||
|
ASSET QUALITY RATIOS AND DELINQUENT
LOANS:
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Recourse reserve for loans sold
|
$
|
17
|
$
|
23
|
$
|
23
|
$
|
23
|
$
|
23
|
||||||
|
Allowance for credit losses on loans held for
investment
|
$
|
5,850
|
$
|
5,934
|
$
|
5,634
|
$
|
5,780
|
$
|
6,424
|
||||||
|
Non-performing loans to loans held for investment,
net
|
|
0.05
|
%
|
|
0.09
|
%
|
|
0.10
|
%
|
|
0.18
|
%
|
|
0.14
|
%
|
|
|
Non-performing assets to total assets
|
|
0.04
|
%
|
|
0.08
|
%
|
|
0.08
|
%
|
|
0.15
|
%
|
|
0.11
|
%
|
|
|
Allowance for credit losses on loans to gross loans
held for investment
|
|
0.57
|
%
|
|
0.58
|
%
|
|
0.55
|
%
|
|
0.56
|
%
|
|
0.62
|
%
|
|
|
Net loan charge-offs (recoveries) to average loans
receivable (annualized)
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
|
Non-performing loans
|
$
|
505
|
$
|
978
|
$
|
990
|
$
|
1,888
|
$
|
1,414
|
||||||
|
Loans 30 to 89 days delinquent
|
$
|
1
|
$
|
1
|
$
|
1
|
$
|
—
|
$
|
2
|
||||||
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
||||||
|
Ended
|
Ended
|
Ended
|
Ended
|
Ended
|
|||||||||||
|
06/30/26
|
03/31/26
|
12/31/25
|
09/30/25
|
06/30/25
|
|||||||||||
|
(Recovery) recourse provision for loans sold
|
$
|
(6)
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
|||||
|
(Recovery of) provision for credit losses
|
$
|
(95)
|
$
|
326
|
$
|
(158)
|
$
|
(626)
|
$
|
(164)
|
|||||
|
Net loan charge-offs (recoveries)
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
|||||
|
|
As of
|
|
As of
|
|
As of
|
|
As of
|
|
As of
|
|
|
|
06/30/26
|
03/31/26
|
12/31/25
|
09/30/25
|
06/30/25
|
|
||||||
|
REGULATORY CAPITAL RATIOS (BANK):
|
|
|
|
|
|
|
|
|
|
|
|
|
Tier 1 leverage ratio
|
|
10.30
|
%
|
9.98
|
%
|
9.79
|
%
|
9.55
|
%
|
10.11
|
%
|
|
Common equity tier 1 capital ratio
|
|
19.41
|
%
|
19.01
|
%
|
18.67
|
%
|
18.19
|
%
|
19.50
|
%
|
|
Tier 1 risk-based capital ratio
|
|
19.41
|
%
|
19.01
|
%
|
18.67
|
%
|
18.19
|
%
|
19.50
|
%
|
|
Total risk-based capital ratio
|
|
20.34
|
%
|
19.96
|
%
|
19.56
|
%
|
19.09
|
%
|
20.51
|
%
|
|
As of June 30,
|
|
||||||||||
|
|
2026
|
|
2025
|
|
|||||||
|
|
Balance
|
|
Rate(1)
|
|
Balance
|
|
Rate(1)
|
|
|||
|
INVESTMENT SECURITIES:
|
|
|
|
|
|
|
|
||||
|
Held to maturity (at cost):
|
|
|
|
|
|
|
|
||||
|
U.S. SBA securities
|
$
|
152
|
|
4.10
|
%
|
$
|
325
|
|
4.85
|
%
|
|
|
U.S. government sponsored enterprise MBS
|
85,003
|
1.61
|
104,549
|
1.60
|
|||||||
|
U.S. government sponsored enterprise CMO
|
|
4,096
|
|
2.75
|
|
4,525
|
|
2.72
|
|||
|
Total investment securities held to maturity
|
$
|
89,251
|
|
1.67
|
%
|
$
|
109,399
|
|
1.66
|
%
|
|
|
Available for sale (at fair value):
|
|
|
|
|
|
|
|
|
|||
|
U.S. government agency MBS
|
$
|
859
|
|
5.30
|
%
|
$
|
1,082
|
|
4.90
|
%
|
|
|
U.S. government sponsored enterprise MBS
|
|
350
|
|
5.99
|
|
446
|
|
6.66
|
|||
|
Private issue CMO
|
|
63
|
|
5.12
|
|
79
|
|
5.78
|
|||
|
Total investment securities available for sale
|
$
|
1,272
|
|
5.48
|
%
|
$
|
1,607
|
|
5.43
|
%
|
|
|
Total investment securities
|
$
|
90,523
|
|
1.72
|
%
|
$
|
111,006
|
|
1.71
|
%
|
|
|
(1)
|
Weighted-average yield earned on all instruments included in the balance of the respective line item.
|
Page 12 of 15
|
|
PROVIDENT FINANCIAL HOLDINGS, INC.
Financial Highlights
(Unaudited - Dollars in Thousands)
|
As of June 30,
|
|
||||||||||
|
|
2026
|
|
2025
|
|
|||||||
|
|
Balance
|
|
Rate(1)
|
|
Balance
|
|
Rate(1)
|
|
|||
|
LOANS HELD FOR INVESTMENT:
|
|
|
|
|
|
|
|
||||
|
Mortgage loans:
|
|
|
|
|
|
|
|||||
|
Single-family (1 to 4 units)
|
$
|
565,930
|
|
4.75
|
%
|
$
|
544,425
|
|
4.69
|
%
|
|
|
Multi-family (5 or more units)
|
|
395,882
|
|
5.88
|
|
423,417
|
|
5.52
|
|||
|
Commercial real estate
|
|
66,731
|
|
6.64
|
|
72,766
|
|
6.59
|
|||
|
Construction
|
|
—
|
|
—
|
|
402
|
|
9.17
|
|||
|
Other
|
|
—
|
|
—
|
|
89
|
|
5.25
|
|||
|
Commercial business loans
|
|
—
|
|
—
|
|
1,267
|
|
9.59
|
|||
|
Consumer loans
|
|
58
|
|
16.75
|
|
57
|
|
17.50
|
|||
|
Total loans held for investment, gross
|
|
1,028,601
|
|
5.31
|
%
|
|
1,042,423
|
|
5.16
|
%
|
|
|
Advance payments of escrows
|
|
129
|
|
|
293
|
|
|
||||
|
Deferred loan costs, net
|
|
9,802
|
|
|
9,453
|
|
|
||||
|
Allowance for credit losses on loans
|
|
(5,850)
|
|
|
(6,424)
|
|
|
||||
|
Total loans held for investment, net
|
$
|
1,032,682
|
$
|
1,045,745
|
|
|
|||||
|
Purchased loans serviced by others included above
|
$
|
1,529
|
5.72
|
%
|
$
|
1,673
|
|
5.72
|
%
|
||
|
(1)
|
Weighted-average yield earned on all instruments included in the balance of the respective line item.
|
|
As of June 30,
|
|
||||||||||
|
|
2026
|
|
2025
|
|
|||||||
|
|
Balance
|
|
Rate(1)
|
|
Balance
|
|
Rate(1)
|
|
|||
|
DEPOSITS:
|
|
|
|
|
|
|
|
||||
|
Checking accounts – noninterest-bearing
|
$
|
86,859
|
|
—
|
%
|
$
|
83,566
|
|
—
|
%
|
|
|
Checking accounts – interest-bearing
|
|
226,695
|
|
0.04
|
|
240,597
|
|
0.04
|
|||
|
Savings accounts
|
|
223,136
|
|
0.50
|
|
230,610
|
|
0.28
|
|||
|
Money market accounts
|
|
20,450
|
|
0.48
|
|
21,703
|
|
0.32
|
|||
|
Time deposits
|
|
353,243
|
|
3.32
|
|
312,296
|
|
3.56
|
|||
|
Total deposits(2)(3)
|
$
|
910,383
|
|
1.43
|
%
|
$
|
888,772
|
|
1.34
|
%
|
|
|
Brokered CDs included in time deposits above
|
$
|
161,381
|
3.93
|
%
|
$
|
130,970
|
4.24
|
%
|
|||
|
BORROWINGS:
|
|
|
|
|
|
|
|
|
|||
|
Overnight
|
$
|
—
|
|
—
|
%
|
$
|
20,000
|
|
4.64
|
%
|
|
|
Three months or less
|
|
25,000
|
|
4.45
|
|
5,000
|
|
5.33
|
|||
|
Over three to six months
|
|
15,000
|
|
4.03
|
|
54,000
|
|
5.03
|
|||
|
Over six months to one year
|
|
72,000
|
|
3.76
|
|
84,000
|
|
4.39
|
|||
|
Over one year to two years
|
|
35,046
|
|
4.03
|
|
35,000
|
|
4.35
|
|||
|
Over two years to three years
|
|
10,000
|
|
4.51
|
|
5,073
|
|
4.22
|
|||
|
Over three years to four years
|
|
—
|
|
—
|
|
10,000
|
|
4.51
|
|||
|
Over four years to five years
|
|
—
|
|
—
|
|
—
|
|
—
|
|||
|
Over five years
|
|
—
|
|
—
|
|
—
|
|
—
|
|||
|
Total borrowings(4)
|
$
|
157,046
|
|
4.00
|
%
|
$
|
213,073
|
|
4.59
|
%
|
|
|
(1)
|
Weighted-average rate paid on all instruments included in the balance of the respective line item.
|
|
(2)
|
Includes uninsured deposits of approximately $178.6 million (of which, $61.2 million are collateralized) and $158.7
million (of which, $54.0 million are collateralized) at June 30, 2026 and 2025, respectively.
|
|
(3)
|
The average balance of deposit accounts was approximately $40 thousand and $37 thousand at June 30, 2026 and 2025,
respectively.
|
|
(4)
|
The Bank had approximately $255.9 million and
$282.3 million of remaining borrowing capacity at the FHLB – San Francisco, approximately $187.5 million and $142.5 million of borrowing capacity at the FRB of San Francisco and $50.0 million and $50.0 million of borrowing capacity with
its correspondent bank at June 30, 2026 and 2025, respectively.
|
Page 13 of 15
|
|
PROVIDENT FINANCIAL HOLDINGS, INC.
Financial Highlights
(Unaudited - Dollars in Thousands)
|
For the Quarter Ended
|
For the Quarter Ended
|
|
||||||||||
|
June 30, 2026
|
June 30, 2025
|
|
||||||||||
|
|
Balance
|
|
Rate(1)
|
|
Balance
|
|
Rate(1)
|
|
||||
|
SELECTED AVERAGE BALANCE SHEETS:
|
|
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|||||
|
Loans receivable, net
|
$
|
1,029,391
|
|
5.10
|
%
|
$
|
1,053,554
|
|
4.97
|
%
|
||
|
Investment securities
|
|
93,411
|
|
1.61
|
|
113,621
|
|
1.57
|
||||
|
FHLB - San Francisco stock and other equity
investments
|
|
10,414
|
|
6.80
|
|
10,294
|
|
8.12
|
||||
|
Interest-earning deposits
|
|
28,621
|
|
3.65
|
|
30,742
|
|
4.40
|
||||
|
Total interest-earning assets
|
$
|
1,161,837
|
|
4.80
|
%
|
$
|
1,208,211
|
|
4.67
|
%
|
||
|
Total assets
|
$
|
1,192,487
|
$
|
1,238,691
|
|
|
||||||
|
Deposits(2)
|
$
|
892,557
|
|
1.36
|
%
|
$
|
898,485
|
|
1.33
|
%
|
||
|
Borrowings
|
|
158,061
|
|
4.04
|
|
195,824
|
|
4.58
|
||||
|
Total interest-bearing liabilities(2)
|
$
|
1,050,618
|
|
1.76
|
%
|
$
|
1,094,309
|
|
1.91
|
%
|
||
|
Total stockholders’ equity
|
$
|
127,580
|
$
|
129,920
|
|
|
||||||
|
(1)
|
Weighted-average yield earned or rate paid on all instruments included in the balance of the respective line item.
|
|
(2)
|
Includes the average balance of noninterest-bearing checking accounts of $83.5 million and $87.5 million and the average
balance of uninsured deposits of $169.0 million and $125.8 million during the quarters ended June 30, 2026 and 2025, respectively.
|
|
Fiscal Year Ended
|
Fiscal Year Ended
|
|
||||||||||
|
|
June 30, 2026
|
|
June 30, 2025
|
|
||||||||
|
|
Balance
|
|
Rate(1)
|
|
Balance
|
|
Rate(1)
|
|
||||
|
SELECTED AVERAGE BALANCE SHEETS:
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
||||||
|
Loans receivable, net
|
$
|
1,036,180
|
|
5.02
|
%
|
$
|
1,051,448
|
|
5.00
|
%
|
||
|
Investment securities
|
|
100,966
|
|
1.60
|
|
121,399
|
|
1.53
|
||||
|
FHLB - San Francisco stock and other equity investments
|
|
10,302
|
|
10.58
|
|
10,213
|
|
8.27
|
||||
|
Interest-earning deposits
|
|
29,284
|
|
3.92
|
|
28,990
|
|
4.69
|
||||
|
Total interest-earning assets
|
$
|
1,176,732
|
|
4.75
|
%
|
$
|
1,212,050
|
|
4.67
|
%
|
||
|
Total assets
|
$
|
1,207,432
|
$
|
1,242,402
|
|
|
||||||
|
Deposits(2)
|
$
|
883,831
|
|
1.34
|
%
|
$
|
881,738
|
|
1.27
|
%
|
||
|
Borrowings
|
|
180,041
|
|
4.30
|
|
216,290
|
|
4.59
|
||||
|
Total interest-bearing liabilities(2)
|
$
|
1,063,872
|
|
1.84
|
%
|
$
|
1,098,028
|
|
1.93
|
%
|
||
|
Total stockholders’ equity
|
$
|
128,848
|
$
|
130,664
|
|
|
||||||
|
(1)
|
Weighted-average yield earned or rate paid on all instruments included in the balance of the respective line item.
|
|
(2)
|
Includes the average balance of noninterest-bearing checking accounts of $80.7 million and $88.2 million and the average
balance of uninsured deposits of $166.8 million and $127.1 million during the full fiscal year ended June 30, 2026 and 2025, respectively.
|
Page 14 of 15
|
|
ASSET QUALITY:
|
|
As of
|
|
As of
|
|
As of
|
|
As of
|
|
As of
|
||||||
|
06/30/26
|
03/31/26
|
12/31/25
|
09/30/25
|
06/30/25
|
|||||||||||
|
Loans on non-accrual status
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Mortgage loans:
|
|||||||||||||||
|
Single-family
|
$
|
50
|
$
|
520
|
$
|
529
|
$
|
568
|
$
|
948
|
|||||
|
Multi-family
|
|
455
|
|
458
|
|
461
|
|
1,320
|
|
466
|
|||||
|
Total
|
|
505
|
|
978
|
|
990
|
|
1,888
|
|
1,414
|
|||||
|
Accruing loans past due 90 days or more:
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|||||
|
Total
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|||||
|
Total non-performing loans (1)
|
|
505
|
|
978
|
|
990
|
|
1,888
|
|
1,414
|
|||||
|
Real estate owned, net
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|||||
|
Total non-performing assets
|
$
|
505
|
$
|
978
|
$
|
990
|
$
|
1,888
|
$
|
1,414
|
|||||
|
(1)
|
The non-performing loan balances are net of individually evaluated or collectively evaluated allowances, specifically
attached to the individual loans.
|
Page 15 of 15
Exhibit 99.2
