In the third quarter, WSFS reported a decline in problem assets, delinquencies, and non-performing assets, with NPAs decreasing by over 30% to 35 basis points and delinquencies dropping by 34%. The company returned $56.3 million of capital, including buybacks of $46.8 million. They maintained an elevated level of buybacks in line with their capital target of 12%. The company remains optimistic about meeting their full-year outlook despite additional rate cuts.

WSFS has seen positive trends in asset quality resolution, particularly in their home lending and Spring portfolio. They have a healthy reserve and are conservative due to macroeconomic volatility. The company has a strong pipeline in commercial loans and is focused on profitable originations. They have a diverse business model with operating leverage in the wealth business and are continuously looking to add talent.

WSFS has been successful in managing their net interest margin despite rate cuts, utilizing tools like deposit repricing, hedging programs, new deposit origination, and securities portfolio rollover. They have a sensitivity of about three basis points per 25 basis point rate cut, but have been able to mitigate the impact through strategic actions. Their floating rate loans are over 50%, but with hedges, the loan beta drops to about 40%. They have a strong focus on organic growth and are actively recruiting talent in various areas of their business.

(Source: WSFS Q3 2025 Earnings Call Transcript by The Motley Fool)

Read more at Yahoo Finance: WSFS Q3 2025 Earnings Call Transcript