Kearny Financial Corp. reported a net income of $9.5 million for the quarter ended September 30, 2025, an increase from the previous quarter. The company declared a quarterly cash dividend of $0.11 per share payable on November 19, 2025.

President and CEO Craig L. Montanaro highlighted a 36% increase in earnings per share, driven by a 10 basis point expansion in net interest margin. The company advanced key initiatives to enhance operational efficiency and drive shareholder value, including a partnership with The Lab Consulting for robotic process automation.

First quarter highlights include a 10 basis point expansion in net interest margin to 2.10% and a 36.4% increase in net income per share. Loan portfolio diversification efforts resulted in growth in construction and commercial business loans. The company consolidated three branches to streamline operations.

Total assets were reported at $7.65 billion, with a decrease of $92.4 million from the previous quarter. Loans receivable totaled $5.77 billion, with a decrease primarily in multifamily mortgage loans. Deposits decreased to $5.63 billion, driven by declines in interest-bearing demand deposits and CDs.

Net interest margin expanded to 2.10% for the quarter ended September 30, 2025. Net interest income increased to $37.7 million. Non-interest income increased by 17.2% to $5.8 million, driven by a gain on the sale of property. Non-interest expense increased by 2.5%, primarily due to higher salary and benefits expenses.

Income tax expense totaled $2.5 million for the quarter, resulting in an effective tax rate of 20.6%. Asset quality saw an increase in non-performing assets to $64.6 million, driven by a single construction loan. Net charge-offs totaled $1.0 million for the quarter.

Book value per share increased to $11.63, while tangible book value per share increased to $9.86. The company’s tangible equity to tangible assets ratio stood at 8.47%, exceeding regulatory requirements for “well-capitalized” status.

For more information, contact Keith Suchodolski, Senior EVP and COO, or Sean Byrnes, EVP and CFO at Kearny Financial Corp. at (973) 244-4500.

Read more at GlobeNewswire: Kearny Financial Corp. Announces First Quarter Fiscal 2026