☒ | ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 33-0867444 | |||||||
(State or other jurisdiction of
incorporation or organization) |
(I.R.S. Employer
Identification No.) |
Securities registered pursuant to Section 12(b) of the Act: | ||||||||
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Common stock, $.01 par value | AX | New York Stock Exchange |
Large accelerated filer | ☒ |
Accelerated filer
|
☐ | ||||||||
Non-accelerated filer
|
☐ |
Smaller reporting company
|
☐ | ||||||||
Emerging growth company
|
☐ |
At June 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2021 | 2020 | 2019 | 2018 | 2017 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | |||||||||||||||||||||||||||||||||||||||||||||||||
Single Family - Mortgage & Warehouse | $ | 4,359,472 | 37.8 | % | $ | 4,722,304 | 44.2 | % | $ | 4,586,253 | 48.6 | % | $ | 4,349,254 | 51.0 | % | $ | 4,075,763 | 54.7 | % | |||||||||||||||||||||||||||||||||||||||
Multifamily and Commercial Mortgage | 2,470,454 | 21.4 | % | 2,263,054 | 21.1 | % | 2,098,034 | 22.2 | % | 1,767,566 | 20.8 | % | 1,548,712 | 20.8 | % | ||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | 3,180,453 | 27.5 | % | 2,297,920 | 21.5 | % | 1,561,368 | 16.5 | % | 1,191,081 | 14.0 | % | 911,792 | 12.2 | % | ||||||||||||||||||||||||||||||||||||||||||||
Commercial & Industrial - Non-RE | 1,123,869 | 9.7 | % | 885,320 | 8.3 | % | 791,647 | 8.4 | % | 808,778 | 9.5 | % | 593,532 | 8.0 | % | ||||||||||||||||||||||||||||||||||||||||||||
Auto & Consumer | 362,180 | 3.1 | % | 341,365 | 3.1 | % | 323,995 | 3.4 | % | 233,020 | 2.7 | % | 157,234 | 2.1 | % | ||||||||||||||||||||||||||||||||||||||||||||
Other | 58,316 | 0.5 | % | 193,479 | 1.8 | % | 88,013 | 0.9 | % | 167,987 | 2.0 | % | 162,228 | 2.2 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total loans held for investment | $ | 11,554,744 | 100.0 | % | $ | 10,703,442 | 100.0 | % | $ | 9,449,310 | 100.0 | % | $ | 8,517,686 | 100.0 | % | $ | 7,449,261 | 100.0 | % | |||||||||||||||||||||||||||||||||||||||
Allowance for credit losses | (132,958) | (75,807) | (57,085) | (49,151) | (40,832) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unamortized premiums/discounts, net of deferred loan fees | (6,972) | 3,714 | (10,101) | (36,246) | (33,936) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net loans held for investment | $ | 11,414,814 | $ | 10,631,349 | $ | 9,382,124 | $ | 8,432,289 | $ | 7,374,493 |
Term to Contractual Maturity | |||||||||||||||||||||||||||||
(Dollars in thousands) | Less Than Three Months | Over Three Months Through One Year | Over One Year Through Five Years | Over Five Years | Total | ||||||||||||||||||||||||
June 30, 2021 | $ | 874,212 | $ | 1,643,001 | $ | 2,790,502 | $ | 6,247,029 | $ | 11,554,744 |
(Dollars in thousands) | Fixed |
Floating or
Adjustable1
|
Total | ||||||||||||||
Single Family - Mortgage & Warehouse | $ | 90,941 | $ | 3,523,909 | $ | 3,614,850 | |||||||||||
Multifamily and Commercial Mortgage | 44,367 | 2,384,953 | 2,429,320 | ||||||||||||||
Commercial Real Estate | 97,509 | 1,510,532 | 1,608,041 | ||||||||||||||
Commercial & Industrial - Non-RE | 248,116 | 757,469 | 1,005,585 | ||||||||||||||
Auto & Consumer | 359,846 | — | 359,846 | ||||||||||||||
Other | 19,888 | — | 19,888 | ||||||||||||||
Total | $ | 860,667 | $ | 8,176,863 | $ | 9,037,530 |
At June 30, 2021 | |||||||||||||||||||||||||||||||||||
Percentage of Loan Principal Secured by Real Estate Located in State or Region | |||||||||||||||||||||||||||||||||||
State or Region | Total Real Estate Mortgage Loans | Single Family Mortgage | Multifamily real estate secured |
Commercial
Real Estate |
|||||||||||||||||||||||||||||||
California—south1
|
55.91 | % | 56.80 | % | 54.39 | % | 55.33 | % | |||||||||||||||||||||||||||
California—north2
|
16.52 | % | 15.59 | % | 17.93 | % | 17.88 | % | |||||||||||||||||||||||||||
New York | 13.51 | % | 12.84 | % | 15.37 | % | 10.68 | % | |||||||||||||||||||||||||||
Florida | 3.74 | % | 5.58 | % | 0.87 | % | 1.23 | % | |||||||||||||||||||||||||||
Illinois | 1.23 | % | 0.41 | % | 2.53 | % | 2.30 | % | |||||||||||||||||||||||||||
Arizona | 0.89 | % | 1.04 | % | 0.66 | % | 0.62 | % | |||||||||||||||||||||||||||
Washington | 0.87 | % | 0.55 | % | 1.41 | % | 1.14 | % | |||||||||||||||||||||||||||
Nevada | 0.86 | % | 1.09 | % | 0.53 | % | 0.43 | % | |||||||||||||||||||||||||||
Hawaii | 0.84 | % | 1.24 | % | 0.23 | % | 0.16 | % | |||||||||||||||||||||||||||
Colorado | 0.75 | % | 0.40 | % | 1.08 | % | 2.23 | % | |||||||||||||||||||||||||||
All other states | 4.88 | % | 4.46 | % | 5.00 | % | 8.00 | % | |||||||||||||||||||||||||||
100.00 | % | 100.00 | % | 100.00 | % | 100.00 | % |
Total Real Estate Mortgage Loans | Single Family - Mortgage & Warehouse | Multifamily and Commercial Mortgage |
Commercial
Real Estate |
||||||||||||||||||||||||||||||||
Weighted Average LTV | 55.53 | % | 57.02 | % | 53.73 | % | 51.21 | % | |||||||||||||||||||||||||||
Median LTV | 54.00 | % | 56.00 | % | 49.00 | % | 47.00 | % |
Available-for-Sale | Held-to-maturity | Trading | |||||||||||||||||||||
(Dollars in thousands) | Fair Value | Carrying Amount | Fair Value | Total | |||||||||||||||||||
Fiscal year end | |||||||||||||||||||||||
June 30, 2021 | $ | 187,335 | $ | — | $ | 1,983 | $ | 189,318 | |||||||||||||||
June 30, 2020 | 187,627 | — | 105 | 187,732 | |||||||||||||||||||
June 30, 2019 | 227,513 | — | — | 227,513 | |||||||||||||||||||
June 30, 2018 | 180,305 | — | — | 180,305 | |||||||||||||||||||
June 30, 2017 | 264,470 | — | 8,327 | 272,797 |
At June 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Amount | Due Within One Year | Due After One but within Five Years | Due After Five but within Ten Years | Due After Ten Years | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Amount |
Yield1
|
Amount |
Yield1
|
Amount |
Yield1
|
Amount |
Yield1
|
Amount |
Yield1
|
|||||||||||||||||||||||||||||||||||||||||||||||||
Available-for-sale | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agency2
|
$ | 23,639 | 1.47 | % | $ | 3,885 | 1.63 | % | $ | 11,162 | 1.57 | % | $ | 5,980 | 1.30 | % | $ | 2,612 | 1.21 | % | |||||||||||||||||||||||||||||||||||||||
Non-Agency3
|
65,174 | 4.82 | % | 7,420 | 6.01 | % | 55,352 | 4.49 | % | 2,313 | 8.34 | % | 89 | 18.69 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total Mortgage-Backed Securities | $ | 88,813 | 3.93 | % | $ | 11,305 | 4.50 | % | $ | 66,514 | 4.00 | % | $ | 8,293 | 3.26 | % | $ | 2,701 | 1.79 | % | |||||||||||||||||||||||||||||||||||||||
Non-RMBS | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Municipal | 3,466 | 3.57 | % | 60 | 3.38 | % | — | — | % | — | — | % | 3,406 | 3.57 | % | ||||||||||||||||||||||||||||||||||||||||||||
Asset-backed securities and structured notes | 90,549 | 4.58 | % | 43,739 | 4.07 | % | 46,810 | 5.05 | % | — | — | % | — | — | % | ||||||||||||||||||||||||||||||||||||||||||||
Total Non-RMBS | $ | 94,015 | 4.54 | % | $ | 43,799 | 4.07 | % | $ | 46,810 | 5.05 | % | $ | — | — | % | $ | 3,406 | 3.57 | % | |||||||||||||||||||||||||||||||||||||||
Available-for-sale—Amortized Cost | $ | 182,828 | 4.24 | % | $ | 55,104 | 4.16 | % | $ | 113,324 | 4.44 | % | $ | 8,293 | 3.26 | % | $ | 6,107 | 2.78 | % | |||||||||||||||||||||||||||||||||||||||
Available-for-sale—Fair Value | $ | 187,335 | 4.24 | % | $ | 55,531 | 4.16 | % | $ | 116,912 | 4.44 | % | $ | 8,593 | 3.26 | % | $ | 6,299 | 2.78 | % | |||||||||||||||||||||||||||||||||||||||
Total available-for-sale securities | $ | 187,335 | 4.24 | % | $ | 55,531 | 4.16 | % | $ | 116,912 | 4.44 | % | $ | 8,593 | 3.26 | % | $ | 6,299 | 2.78 | % |
At June 30, | |||||||||||||||||||||||||||||
2021 | 2020 | 2019 | 2018 | 2017 | |||||||||||||||||||||||||
Non-interest-bearing, prepaid and other | 36,726 | 3,361,965 | 3,743,334 | 3,535,904 | 3,113,128 | ||||||||||||||||||||||||
Checking and savings accounts | 336,068 | 310,463 | 311,067 | 270,082 | 274,962 | ||||||||||||||||||||||||
Time deposits | 12,815 | 18,450 | 23,447 | 2,309 | 2,748 | ||||||||||||||||||||||||
Total number of deposit accounts | 385,609 | 3,690,878 | 4,077,848 | 3,808,295 | 3,390,838 |
At June 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2021 | 2020 | 2019 | 2018 | 2017 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Amount |
Rate1
|
Amount |
Rate1
|
Amount |
Rate1
|
Amount |
Rate1
|
Amount |
Rate1
|
|||||||||||||||||||||||||||||||||||||||||||||||||
Non-interest-bearing | $ | 2,474,424 | — | $ | 1,936,661 | — | $ | 1,441,930 | — | $ | 1,015,355 | — | $ | 848,544 | — | ||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Demand | 3,369,845 | 0.15 | % | 3,456,127 | 0.37 | % | 2,709,014 | 2.06 | % | 2,519,845 | 1.60 | % | 2,593,491 | 0.89 | % | ||||||||||||||||||||||||||||||||||||||||||||
Savings | 3,458,687 | 0.21 | % | 3,697,188 | 0.78 | % | 2,466,214 | 1.48 | % | 2,482,430 | 1.31 | % | 2,651,176 | 0.81 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total demand and savings | 6,828,532 | 0.18 | % | $ | 7,153,315 | 0.58 | % | $ | 5,175,228 | 1.78 | % | $ | 5,002,275 | 1.46 | % | $ | 5,244,667 | 0.85 | % | ||||||||||||||||||||||||||||||||||||||||
Time deposits | 1,512,841 | 1.22 | % | 2,246,718 | 1.91 | % | 2,366,015 | 2.43 | % | 1,967,720 | 2.32 | % | 806,296 | 2.46 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing2
|
$ | 8,341,373 | 0.37 | % | $ | 9,400,033 | 0.90 | % | $ | 7,541,243 | 1.99 | % | $ | 6,969,995 | 1.70 | % | $ | 6,050,963 | 1.06 | % | |||||||||||||||||||||||||||||||||||||||
Total deposits | $ | 10,815,797 | 0.29 | % | $ | 11,336,694 | 0.75 | % | $ | 8,983,173 | 1.67 | % | $ | 7,985,350 | 1.48 | % | $ | 6,899,507 | 0.93 | % |
For the Fiscal Year Ended June 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||||
2021 | 2020 | 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Average Balance | Interest Expense | Avg. Rate Paid | Average Balance | Interest Expense | Avg. Rate Paid | Average Balance | Interest Expense | Avg. Rate Paid | ||||||||||||||||||||||||||||||||||||||||||||
Demand | $ | 3,817,516 | $ | 14,444 | 0.38 | % | $ | 2,191,103 | $ | 31,882 | 1.46 | % | $ | 1,494,040 | $ | 25,321 | 1.69 | % | |||||||||||||||||||||||||||||||||||
Savings | 3,387,182 | 14,587 | 0.43 | % | 2,653,597 | 35,001 | 1.32 | % | 2,412,793 | 36,070 | 1.49 | % | |||||||||||||||||||||||||||||||||||||||||
Time deposits | 1,825,795 | 31,498 | 1.73 | % | 2,482,151 | 60,033 | 2.42 | % | 2,322,039 | 55,689 | 2.40 | % | |||||||||||||||||||||||||||||||||||||||||
Total interest-bearing deposits | $ | 9,030,493 | $ | 60,529 | 0.67 | % | $ | 7,326,851 | $ | 126,916 | 1.73 | % | $ | 6,228,872 | $ | 117,080 | 1.88 | % | |||||||||||||||||||||||||||||||||||
Total deposits | $ | 11,212,502 | $ | 60,529 | 0.54 | % | $ | 9,316,856 | $ | 126,916 | 1.36 | % | $ | 7,456,157 | $ | 117,080 | 1.57 | % |
For the Fiscal Year Ended June 30, | |||||||||||||||||||||||||||||||||||
2018 | 2017 | ||||||||||||||||||||||||||||||||||
(Dollars in thousands) |
Average
Balance |
Interest
Expense |
Avg. Rate
Paid |
Average
Balance |
Interest
Expense |
Avg. Rate
Paid |
|||||||||||||||||||||||||||||
Demand | $ | 2,381,000 | $ | 28,807 | 1.21 | % | $ | 2,197,000 | $ | 16,049 | 0.73 | % | |||||||||||||||||||||||
Savings | 2,325,238 | 25,206 | 1.08 | % | 2,422,769 | 18,507 | 0.76 | % | |||||||||||||||||||||||||||
Time deposits | 990,635 | 25,838 | 2.61 | % | 941,919 | 21,938 | 2.33 | % | |||||||||||||||||||||||||||
Total interest-bearing deposits | $ | 5,696,873 | $ | 79,851 | 1.40 | % | $ | 5,561,688 | $ | 56,494 | 1.02 | % | |||||||||||||||||||||||
Total deposits | $ | 6,749,817 | $ | 79,851 | 1.18 | % | $ | 6,336,099 | $ | 56,494 | 0.89 | % |
At June 30, | |||||||||||||||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | 2018 | 2017 | ||||||||||||||||||||||||
Within 12 months | $ | 1,021,465 | $ | 1,079,674 | $ | 1,306,072 | $ | 1,259,119 | $ | 187,536 | |||||||||||||||||||
13 to 24 months | 214,232 | 540,669 | 351,374 | 97,226 | 14,149 | ||||||||||||||||||||||||
25 to 36 months | 125,943 | 180,590 | 99,502 | 11,118 | 74,631 | ||||||||||||||||||||||||
37 to 48 months | 138,485 | 132,629 | 126,525 | 35,981 | 3,305 | ||||||||||||||||||||||||
49 months and thereafter | 12,716 | 313,156 | 482,542 | 564,276 | 526,675 | ||||||||||||||||||||||||
Total | $ | 1,512,841 | $ | 2,246,718 | $ | 2,366,015 | $ | 1,967,720 | $ | 806,296 |
Term to Maturity | |||||||||||||||||||||||||||||
(Dollars in thousands) | Within Three Months | Over Three Months to Six Months | Over Six Months to One Year | Over One Year | Total | ||||||||||||||||||||||||
Fiscal year end | |||||||||||||||||||||||||||||
June 30, 2021 | $ | 469,404 | $ | 163,710 | $ | 140,740 | $ | 175,566 | $ | 949,420 | |||||||||||||||||||
June 30, 2020 | 487,188 | 94,647 | 321,409 | 469,283 | 1,372,527 | ||||||||||||||||||||||||
June 30, 2019 | 151,176 | 363,486 | 376,714 | 335,201 | 1,226,577 | ||||||||||||||||||||||||
June 30, 2018 | 96,837 | 75,464 | 33,125 | 41,569 | 246,995 | ||||||||||||||||||||||||
June 30, 2017 | 71,771 | 21,137 | 71,266 | 606,892 | 771,066 |
At or For The Fiscal Years Ended June 30, | |||||||||||||||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | 2018 | 2017 | ||||||||||||||||||||||||
Advances from the FHLB: | |||||||||||||||||||||||||||||
Average balance outstanding | $ | 211,077 | $ | 747,358 | $ | 1,397,460 | $ | 1,296,120 | $ | 798,982 | |||||||||||||||||||
Maximum amount outstanding at any month-end during the period | $ | 353,500 | $ | 1,462,500 | $ | 3,424,000 | $ | 2,240,000 | $ | 1,317,000 | |||||||||||||||||||
Balance outstanding at end of period | $ | 353,500 | $ | 242,500 | $ | 458,500 | $ | 457,000 | $ | 640,000 | |||||||||||||||||||
Average interest rate at end of period | 1.18 | % | 2.22 | % | 2.32 | % | 2.14 | % | 1.79 | % | |||||||||||||||||||
Average interest rate during period | 2.21 | % | 1.60 | % | 2.35 | % | 1.76 | % | 1.55 | % | |||||||||||||||||||
Securities sold under agreements to repurchase: | |||||||||||||||||||||||||||||
Average balance outstanding | $ | — | $ | — | $ | — | $ | 5,575 | $ | 33,068 | |||||||||||||||||||
Maximum amount outstanding at any month-end during the period | $ | — | $ | — | $ | — | $ | 20,000 | $ | 35,000 | |||||||||||||||||||
Balance outstanding at end of period | $ | — | $ | — | $ | — | $ | — | $ | 20,000 | |||||||||||||||||||
Average interest rate at end of period | — | % | — | % | — | % | — | % | 4.25 | % | |||||||||||||||||||
Average interest rate during period | — | % | — | % | — | % | 4.11 | % | 4.43 | % | |||||||||||||||||||
Paycheck Protection Program Liquidity Facility advances | |||||||||||||||||||||||||||||
Average balance outstanding | $ | 116,102 | $ | 3,092 | $ | — | $ | — | $ | — | |||||||||||||||||||
Maximum amount outstanding at any month-end during the period | 151,952 | 151,952 | — | — | — | ||||||||||||||||||||||||
Balance outstanding at end of period | — | 151,952 | — | — | — | ||||||||||||||||||||||||
Average interest rate at end of period | — | % | 0.35 | % | — | % | — | % | — | % | |||||||||||||||||||
Average interest rate during period | 0.35 | % | 0.35 | % | — | % | — | % | — | % | |||||||||||||||||||
Borrowings, subordinated notes and debentures: | |||||||||||||||||||||||||||||
Average balance outstanding | $ | 340,699 | $ | 100,560 | $ | 104,287 | $ | 54,522 | $ | 55,873 | |||||||||||||||||||
Maximum amount outstanding at any month-end during the period | $ | 456,380 | $ | 162,546 | $ | 214,477 | $ | 54,552 | $ | 56,511 | |||||||||||||||||||
Balance outstanding at end of period | $ | 221,358 | $ | 83,837 | $ | 168,929 | $ | 54,552 | $ | 54,463 | |||||||||||||||||||
Average interest rate at end of period | 4.68 | % | 5.18 | % | 4.78 | % | 6.55 | % | 6.57 | % | |||||||||||||||||||
Average interest rate during period | 3.65 | % | 5.60 | % | 5.39 | % | 6.70 | % | 6.62 | % |
Period | Number of Shares Purchased | Average Price Paid Per Shares | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs |
Approximate
Dollar Value of Shares that May Yet be Purchased Under the Plans or Programs |
|||||||||||||||||||
Stock Repurchases1 (dollars in thousands)
|
|||||||||||||||||||||||
Quarter Ended June 30, 2021 | |||||||||||||||||||||||
April 1, 2021 to April 30, 2021 | — | $ | — | — | $ | — | |||||||||||||||||
May 1, 2021 to May 31, 2021 | — | — | — | — | |||||||||||||||||||
June 1, 2021 to June 30, 2021 | — | — | — | — | |||||||||||||||||||
For the Three Months Ended June 30, 2021 | — | $ | — | — | $ | 52,764 | |||||||||||||||||
Stock Retained in Net Settlement2
|
|||||||||||||||||||||||
April 1, 2021 to April 30, 2021 | 2,323 | ||||||||||||||||||||||
May 1, 2021 to May 31, 2021 | 277 | ||||||||||||||||||||||
June 1, 2021 to June 30, 2021 | 84,303 | ||||||||||||||||||||||
For the Three Months Ended June 30, 2020 | 86,903 |
Plan Category |
(a)
Number of securities to be issued upon exercise of outstanding options, warrants and rights |
(b)
Weighted-average exercise price of outstanding options and units granted |
(c)
Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a)) |
|||||||||||||||||
Equity compensation plans approved by security holders | — | $ | — | 1,537,686 | ||||||||||||||||
Equity compensation plans not approved by security holders | N/A | N/A | N/A | |||||||||||||||||
Total | — | $ | — | 1,537,686 |
Cumulative Return as of June 30, | |||||||||||||||||||||||||||||||||||
2016 | 2017 | 2018 | 2019 | 2020 | 2021 | ||||||||||||||||||||||||||||||
Axos | $ | 100.00 | $ | 133.94 | $ | 231.00 | $ | 153.87 | $ | 124.68 | $ | 261.94 | |||||||||||||||||||||||
NYSE | 100.00 | 115.02 | 125.30 | 134.15 | 125.44 | 178.43 | |||||||||||||||||||||||||||||
XABQ | 100.00 | 137.15 | 152.26 | 137.53 | 104.63 | 166.80 |
At or for the Fiscal Years Ended June 30, | |||||||||||||||||||||||||||||
(Dollars in thousands, except per share amounts) | 2021 | 2020 | 2019 | 2018 | 2017 | ||||||||||||||||||||||||
Selected Balance Sheet Data: | |||||||||||||||||||||||||||||
Total assets | $ | 14,265,565 | $ | 13,851,900 | $ | 11,220,238 | $ | 9,539,504 | $ | 8,501,680 | |||||||||||||||||||
Loans, net of allowance for credit losses | 11,414,814 | 10,631,349 | 9,382,124 | 8,432,289 | 7,374,493 | ||||||||||||||||||||||||
Loans held for sale, at fair value | 29,768 | 51,995 | 33,260 | 35,077 | 18,738 | ||||||||||||||||||||||||
Loans held for sale, at cost | 12,294 | 44,565 | 4,800 | 2,686 | 6,669 | ||||||||||||||||||||||||
Allowance for credit losses | 132,958 | 75,807 | 57,085 | 49,151 | 40,832 | ||||||||||||||||||||||||
Securities—trading | 1,983 | 105 | — | — | 8,327 | ||||||||||||||||||||||||
Securities—available for sale | 187,335 | 187,627 | 227,513 | 180,305 | 264,470 | ||||||||||||||||||||||||
Securities borrowed | 619,088 | 222,368 | 144,706 | N/A | N/A | ||||||||||||||||||||||||
Customer, broker-dealer and clearing receivables | 369,815 | 220,266 | 203,192 | N/A | N/A | ||||||||||||||||||||||||
Total deposits | 10,815,797 | 11,336,694 | 8,983,173 | 7,985,350 | 6,899,507 | ||||||||||||||||||||||||
Securities sold under agreements to repurchase | — | — | — | — | 20,000 | ||||||||||||||||||||||||
Advances from the FHLB | 353,500 | 242,500 | 458,500 | 457,000 | 640,000 | ||||||||||||||||||||||||
Borrowings, subordinated debentures and other borrowings | 221,358 | 235,789 | 168,929 | 54,552 | 54,463 | ||||||||||||||||||||||||
Securities loaned | 728,988 | 255,945 | 198,356 | N/A | N/A | ||||||||||||||||||||||||
Customer, broker-dealer and clearing payables | 535,425 | 347,614 | 238,604 | N/A | N/A | ||||||||||||||||||||||||
Total stockholders’ equity | 1,400,936 | 1,230,846 | 1,073,050 | 960,513 | 834,247 | ||||||||||||||||||||||||
Selected Income Statement Data: | |||||||||||||||||||||||||||||
Interest and dividend income | $ | 617,863 | $ | 622,839 | $ | 564,887 | $ | 475,074 | $ | 387,286 | |||||||||||||||||||
Interest expense | 79,121 | 145,228 | 156,282 | 106,580 | 74,059 | ||||||||||||||||||||||||
Net interest income | 538,742 | 477,611 | 408,605 | 368,494 | 313,227 | ||||||||||||||||||||||||
Provision for loan and lease losses | 23,750 | 42,200 | 27,350 | 25,800 | 11,061 | ||||||||||||||||||||||||
Net interest income after provision for loan losses | 514,992 | 435,411 | 381,255 | 342,694 | 302,166 | ||||||||||||||||||||||||
Non-interest income | 105,261 | 102,987 | 82,757 | 70,941 | 68,132 | ||||||||||||||||||||||||
Non-interest expense | 314,510 | 275,766 | 251,206 | 173,936 | 137,605 | ||||||||||||||||||||||||
Income before income tax expense | 305,743 | 262,632 | 212,806 | 239,699 | 232,693 | ||||||||||||||||||||||||
Income tax expense | 90,036 | 79,194 | 57,675 | 87,288 | 97,953 | ||||||||||||||||||||||||
Net income | $ | 215,707 | $ | 183,438 | $ | 155,131 | $ | 152,411 | $ | 134,740 | |||||||||||||||||||
Net income attributable to common stock | $ | 215,518 | $ | 183,129 | $ | 154,822 | $ | 152,102 | $ | 134,431 | |||||||||||||||||||
Per Common Share Data: | |||||||||||||||||||||||||||||
Net income: | |||||||||||||||||||||||||||||
Basic | $ | 3.64 | $ | 3.01 | $ | 2.50 | $ | 2.41 | $ | 2.11 | |||||||||||||||||||
Diluted | $ | 3.56 | $ | 2.98 | $ | 2.48 | $ | 2.37 | $ | 2.10 | |||||||||||||||||||
Adjusted earnings per common share (Non-GAAP1)
|
$ | 3.68 | $ | 3.10 | $ | 2.75 | $ | 2.39 | N/A | ||||||||||||||||||||
Book value per common share | $ | 23.62 | $ | 20.56 | $ | 17.47 | $ | 15.24 | $ | 13.05 | |||||||||||||||||||
Tangible book value per common share (Non-GAAP1)
|
$ | 21.36 | $ | 18.28 | $ | 15.10 | $ | 13.99 | $ | 12.94 | |||||||||||||||||||
Weighted average number of common shares outstanding: | |||||||||||||||||||||||||||||
Basic | 59,229,495 | 60,794,555 | 61,898,447 | 63,136,232 | 63,656,542 | ||||||||||||||||||||||||
Diluted | 60,519,611 | 61,437,635 | 62,382,065 | 64,147,220 | 63,915,100 | ||||||||||||||||||||||||
Common shares outstanding at end of period | 59,317,944 | 59,612,635 | 61,128,817 | 62,688,064 | 63,536,244 |
At or for the Fiscal Years Ended June 30, | |||||||||||||||||||||||||||||
(Dollars in thousands, except per share amounts) | 2021 | 2020 | 2019 | 2018 | 2017 | ||||||||||||||||||||||||
Performance Ratios and Other Data: | |||||||||||||||||||||||||||||
Loan originations for investment | $ | 7,304,414 | $ | 6,797,971 | $ | 6,934,259 | $ | 5,922,801 | $ | 4,182,701 | |||||||||||||||||||
Loan originations for sale | $ | 1,608,700 | $ | 1,601,579 | $ | 1,471,906 | $ | 1,564,165 | $ | 1,375,443 | |||||||||||||||||||
Loan purchases | $ | 3,619 | $ | — | $ | 11,009 | $ | — | $ | 276,917 | |||||||||||||||||||
Return on average assets | 1.52 | % | 1.53 | % | 1.51 | % | 1.68 | % | 1.68 | % | |||||||||||||||||||
Return on average common stockholders’ equity | 16.51 | % | 15.65 | % | 15.40 | % | 17.05 | % | 17.78 | % | |||||||||||||||||||
Interest rate spread2
|
3.70 | % | 3.65 | % | 3.66 | % | 3.79 | % | 3.74 | % | |||||||||||||||||||
Net interest margin3
|
3.92 | % | 4.12 | % | 4.07 | % | 4.11 | % | 3.95 | % | |||||||||||||||||||
Net interest margin - Banking segment only3
|
4.11 | % | 4.19 | % | 4.14 | % | 4.14 | N/A | |||||||||||||||||||||
Efficiency ratio4
|
48.84 | % | 47.50 | % | 51.12 | % | 39.58 | % | 36.08 | % | |||||||||||||||||||
Efficiency ratio - Banking segment only4
|
41.95 | % | 39.81 | % | 40.51 | % | 34.55 | % | N/A | ||||||||||||||||||||
Capital Ratios: | |||||||||||||||||||||||||||||
Equity to assets at end of period | 9.82 | % | 8.89 | % | 9.56 | % | 10.07 | % | 9.81 | % | |||||||||||||||||||
Axos Financial, Inc: | |||||||||||||||||||||||||||||
Tier 1 leverage (core) capital to adjusted average assets | 8.82 | % | 8.97 | % | 8.75 | % | 9.45 | % | 9.95 | % | |||||||||||||||||||
Common equity tier 1 capital (to risk-weighted assets) | 11.36 | % | 11.22 | % | 11.43 | % | 13.27 | % | 14.66 | % | |||||||||||||||||||
Tier 1 capital (to risk-weighted assets) | 11.36 | % | 11.27 | % | 11.49 | % | 13.34 | % | 14.75 | % | |||||||||||||||||||
Total capital (to risk-weighted assets) | 13.78 | % | 12.64 | % | 12.91 | % | 14.84 | % | 16.38 | % | |||||||||||||||||||
Axos Bank: | |||||||||||||||||||||||||||||
Tier 1 leverage (core) capital to adjusted average assets | 9.45 | % | 9.25 | % | 9.21 | % | 8.88 | % | 9.60 | % | |||||||||||||||||||
Common equity tier 1 capital (to risk-weighted assets) | 12.28 | % | 11.79 | % | 12.14 | % | 12.53 | % | 14.25 | % | |||||||||||||||||||
Tier 1 capital (to risk-weighted assets) | 12.28 | % | 11.79 | % | 12.14 | % | 12.53 | % | 14.25 | % | |||||||||||||||||||
Total capital (to risk-weighted assets) | 13.21 | % | 12.62 | % | 12.89 | % | 13.27 | % | 14.97 | % | |||||||||||||||||||
Axos Clearing: | |||||||||||||||||||||||||||||
Net capital | $ | 35,950 | $ | 34,022 | $ | 25,027 | N/A | N/A | |||||||||||||||||||||
Excess capital | $ | 27,904 | $ | 29,450 | $ | 21,199 | N/A | N/A | |||||||||||||||||||||
Net capital as percentage of aggregate debit item | 8.94 | % | 14.88 | % | 13.08 | % | N/A | N/A | |||||||||||||||||||||
Net capital in excess of 5% aggregate debit item | $ | 15,836 | $ | 22,593 | $ | 15,458 | N/A | N/A | |||||||||||||||||||||
Asset Quality Ratios: | |||||||||||||||||||||||||||||
Net annualized charge-offs (recoveries) to average loans outstanding5
|
0.12 | % | 0.23 | % | 0.19 | % | 0.19 | % | 0.06 | % | |||||||||||||||||||
Net annualized charge-offs (recoveries) to average loans outstanding excluding tax products5
|
0.07 | % | 0.08 | % | 0.06 | % | 0.02 | % | 0.01 | % | |||||||||||||||||||
Non-performing loans and leases to total loans and leases | 1.26 | % | 0.82 | % | 0.51 | % | 0.37 | % | 0.38 | % | |||||||||||||||||||
Non-performing assets to total assets | 1.07 | % | 0.68 | % | 0.50 | % | 0.43 | % | 0.35 | % | |||||||||||||||||||
Allowance for loan and lease losses to total loans and leases held for investment at end of period | 1.15 | % | 0.71 | % | 0.60 | % | 0.58 | % | 0.55 | % | |||||||||||||||||||
Allowance for loan and lease losses to non-performing loans and leases | 91.57 | % | 86.20 | % | 117.84 | % | 157.40 | % | 143.81 | % |
For Twelve Months Ended June 30, | |||||||||||||||||
(Dollars in thousands, except per share amounts) | 2021 | 2020 | 2019 | ||||||||||||||
Net income | $ | 215,707 | $ | 183,438 | $ | 155,131 | |||||||||||
Acquisition-related costs | 9,826 | 10,108 | 6,714 | ||||||||||||||
Excess FDIC expense | — | — | 1,111 | ||||||||||||||
Other costs | — | — | 15,299 | ||||||||||||||
Tax effect of adjustments | (2,894) | (3,048) | (6,267) | ||||||||||||||
Adjusted earnings (Non-GAAP) | $ | 222,639 | $ | 190,498 | $ | 171,988 | |||||||||||
Adjusted EPS (Non-GAAP) | $ | 3.68 | $ | 3.10 | $ | 2.75 | |||||||||||
At the Fiscal Years Ended June 30, | |||||||||||||||||||||||||||||
(Dollars in thousands, except per share amounts) | 2021 | 2020 | 2019 | 2018 | 2017 | ||||||||||||||||||||||||
Total stockholders’ equity | $ | 1,400,936 | $ | 1,230,846 | $ | 1,073,050 | $ | 960,513 | $ | 834,247 | |||||||||||||||||||
Less: preferred stock | — | 5,063 | 5,063 | 5,063 | 5,063 | ||||||||||||||||||||||||
Common stockholders’ equity | 1,400,936 | 1,225,783 | 1,067,987 | 955,450 | 829,184 | ||||||||||||||||||||||||
Less: mortgage servicing rights, carried at fair value | 17,911 | 10,675 | 9,784 | 10,752 | 7,200 | ||||||||||||||||||||||||
Less: goodwill and intangible assets | 115,972 | 125,389 | 134,893 | 67,788 | — | ||||||||||||||||||||||||
Tangible common stockholders’ equity (Non-GAAP) | $ | 1,267,053 | $ | 1,089,719 | $ | 923,310 | $ | 876,910 | $ | 821,984 | |||||||||||||||||||
Common shares outstanding at end of period | 59,317,944 | 59,612,635 | 61,128,817 | 62,688,064 | 63,536,244 | ||||||||||||||||||||||||
Tangible book value per common share (Non-GAAP) | $ | 21.36 | $ | 18.28 | $ | 15.10 | $ | 13.99 | $ | 12.94 |
For the Fiscal Years Ended June 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||||
2021 | 2020 | 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) |
Average
Balance1
|
Interest
Income / Expense |
Average
Yields Earned / Rates Paid |
Average
Balance1
|
Interest
Income / Expense |
Average
Yields Earned / Rates Paid |
Average
Balance1
|
Interest
Income / Expense |
Average
Yields Earned / Rates Paid |
||||||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans2,3
|
$ | 11,332,020 | $ | 584,410 | 5.16 | % | $ | 10,149,867 | $ | 582,748 | 5.74 | % | $ | 8,974,820 | $ | 525,317 | 5.85 | % | |||||||||||||||||||||||||||||||||||
Interest-earning deposits in other financial institutions | 1,600,811 | 2,185 | 0.14 | % | 833,612 | 10,906 | 1.31 | % | 631,228 | 13,495 | 2.14 | % | |||||||||||||||||||||||||||||||||||||||||
Investment securities | 192,420 | 9,560 | 4.97 | % | 217,598 | 11,061 | 5.08 | % | 210,189 | 13,943 | 6.63 | % | |||||||||||||||||||||||||||||||||||||||||
Securities borrowed and margin lending | 613,735 | 20,466 | 3.33 | % | 362,063 | 16,585 | 4.58 | % | 173,829 | 8,746 | 5.03 | % | |||||||||||||||||||||||||||||||||||||||||
Stock of the regulatory agencies | 20,588 | 1,242 | 6.03 | % | 28,776 | 1,539 | 5.35 | % | 41,078 | 3,386 | 8.24 | % | |||||||||||||||||||||||||||||||||||||||||
Total interest-earning assets | 13,759,574 | $ | 617,863 | 4.49 | % | 11,591,916 | $ | 622,839 | 5.37 | % | 10,031,144 | $ | 564,887 | 5.63 | % | ||||||||||||||||||||||||||||||||||||||
Non-interest-earning assets | 394,085 | 395,789 | 234,993 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 14,153,659 | $ | 11,987,705 | $ | 10,266,137 | |||||||||||||||||||||||||||||||||||||||||||||||
Liabilities and Stockholders’ Equity: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing demand and savings | $ | 7,204,698 | $ | 29,031 | 0.40 | % | $ | 4,844,700 | $ | 66,883 | 1.38 | % | $ | 3,906,833 | $ | 61,391 | 1.57 | % | |||||||||||||||||||||||||||||||||||
Time deposits | 1,825,795 | 31,498 | 1.73 | % | 2,482,151 | 60,033 | 2.42 | % | 2,322,039 | 55,689 | 2.40 | % | |||||||||||||||||||||||||||||||||||||||||
Securities loaned | 412,385 | 1,496 | 0.36 | % | 247,420 | 679 | 0.27 | % | 221,469 | 748 | 0.34 | % | |||||||||||||||||||||||||||||||||||||||||
Advances from the FHLB | 211,077 | 4,672 | 2.21 | % | 747,358 | 11,988 | 1.60 | % | 1,397,460 | 32,834 | 2.35 | % | |||||||||||||||||||||||||||||||||||||||||
Borrowings, subordinated notes and debentures | 340,699 | 12,424 | 3.65 | % | 103,652 | 5,645 | 5.45 | % | 104,287 | 5,620 | 5.39 | % | |||||||||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities | 9,994,654 | 79,121 | 0.79 | % | 8,425,281 | 145,228 | 1.72 | % | 7,952,088 | 156,282 | 1.97 | % | |||||||||||||||||||||||||||||||||||||||||
Non-interest-bearing demand deposits | 2,182,009 | 1,990,005 | 1,227,285 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other non-interest-bearing liabilities | 671,581 | 397,506 | 76,651 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders’ equity | 1,305,415 | 1,174,913 | 1,010,113 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 14,153,659 | $ | 11,987,705 | $ | 10,266,137 | |||||||||||||||||||||||||||||||||||||||||||||||
Net interest income | $ | 538,742 | $ | 477,611 | $ | 408,605 | |||||||||||||||||||||||||||||||||||||||||||||||
Interest rate spread4
|
3.70 | % | 3.65 | % | 3.66 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Net interest margin5
|
3.92 | % | 4.12 | % | 4.07 | % |
Fiscal Year Ended June 30, 2021 vs 2020 | |||||||||||||||||||||||
Increase (Decrease) Due to | |||||||||||||||||||||||
(Dollars in thousands) | Volume | Rate |
Total
Increase (Decrease) |
||||||||||||||||||||
Increase (decrease) in interest income: | |||||||||||||||||||||||
Loans | $ | 63,934 | $ | (62,272) | $ | 1,662 | |||||||||||||||||
Interest-earning deposits in other financial institutions | 5,473 | (14,194) | (8,721) | ||||||||||||||||||||
Investment securities | (1,265) | (236) | (1,501) | ||||||||||||||||||||
Securities borrowed and margin lending | 9,287 | (5,406) | 3,881 | ||||||||||||||||||||
Stock of the regulatory agencies | (476) | 179 | (297) | ||||||||||||||||||||
Total increase (decrease) in interest income | $ | 76,953 | $ | (81,929) | $ | (4,976) | |||||||||||||||||
Increase (decrease) in interest expense: | |||||||||||||||||||||||
Interest-bearing demand and savings | $ | 23,234 | $ | (61,086) | $ | (37,852) | |||||||||||||||||
Time deposits | (13,730) | (14,805) | (28,535) | ||||||||||||||||||||
Securities loaned | 544 | 273 | 817 | ||||||||||||||||||||
Advances from the FHLB | (10,732) | 3,416 | (7,316) | ||||||||||||||||||||
Other borrowings | 9,184 | (2,405) | 6,779 | ||||||||||||||||||||
Total increase (decrease) in interest expense | $ | 8,500 | $ | (74,607) | $ | (66,107) |
For the Fiscal Year Ended June 30, | |||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||
Prepayment penalty fee income | 7,166 | 5,993 | |||||||||
Gain on sale – other | 491 | 6,871 | |||||||||
Mortgage banking income | 42,150 | 20,646 | |||||||||
Broker-dealer fee income | 26,317 | 23,210 | |||||||||
Banking and service fees | 29,137 | 46,267 | |||||||||
Total non-interest income | $ | 105,261 | $ | 102,987 |
For the Fiscal Year Ended June 30, | |||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||
Salaries and related costs | $ | 152,576 | $ | 144,341 | |||||||
Data processing | 40,719 | 30,671 | |||||||||
Depreciation and amortization | 24,124 | 24,443 | |||||||||
Advertising and promotional | 14,212 | 14,523 | |||||||||
Occupancy and equipment | 13,402 | 12,059 | |||||||||
Professional services | 22,241 | 11,095 | |||||||||
Broker-dealer clearing charges | 11,152 | 8,210 | |||||||||
FDIC and regulator fees | 10,603 | 5,538 | |||||||||
General and administrative expenses | 25,481 | 24,886 | |||||||||
Total non-interest expense | $ | 314,510 | $ | 275,766 |
Fiscal Year Ended June 30, 2021 | |||||||||||||||||||||||
(Dollars in thousands) | Banking Business | Securities Business | Corporate/Eliminations | Axos Consolidated | |||||||||||||||||||
Net interest income | $ | 527,760 | $ | 18,746 | $ | (7,764) | $ | 538,742 | |||||||||||||||
Provision for loan losses | 23,750 | — | — | 23,750 | |||||||||||||||||||
Non-interest income | 79,150 | 27,627 | (1,516) | 105,261 | |||||||||||||||||||
Non-interest expense | 254,596 | 48,095 | 11,819 | 314,510 | |||||||||||||||||||
Income (loss) before taxes | $ | 328,564 | $ | (1,722) | $ | (21,099) | $ | 305,743 | |||||||||||||||
Fiscal Year Ended June 30, 2020 | |||||||||||||||||||||||
(Dollars in thousands) | Banking Business | Securities Business | Corporate/Eliminations | Axos Consolidated | |||||||||||||||||||
Net interest income | $ | 464,448 | $ | 16,630 | $ | (3,467) | $ | 477,611 | |||||||||||||||
Provision for loan losses | 42,200 | — | — | 42,200 | |||||||||||||||||||
Non-interest income | 80,374 | 24,817 | (2,204) | 102,987 | |||||||||||||||||||
Non-interest expense | 216,895 | 43,525 | 15,346 | 275,766 | |||||||||||||||||||
Income (loss) before taxes | $ | 285,727 | $ | (2,078) | $ | (21,017) | $ | 262,632 | |||||||||||||||
Fiscal Year Ended | |||||||||||||||||||||||
June 30, 2021 | June 30, 2020 | ||||||||||||||||||||||
Efficiency ratio | 41.95 | % | 39.81 | % | |||||||||||||||||||
Return on average assets | 1.76 | % | 1.78 | % | |||||||||||||||||||
Interest rate spread | 3.92 | % | 3.72 | % | |||||||||||||||||||
Net interest margin | 4.11 | % | 4.19 | % |
For the Fiscal Years Ended June 30, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||||||||||||||
(Dollars in thousands) |
Average Balance1
|
Interest Income/ Expense | Average Yields Earned/Rates Paid |
Average Balance1
|
Interest Income/Expense | Average Yields Earned/Rates Paid | |||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||
Loans2,3
|
$ | 11,287,008 | $ | 581,504 | 5.15 | % | $ | 10,122,818 | $ | 581,518 | 5.74 | % | |||||||||||||||||||||||
Interest-earning deposits in other financial institutions | 1,329,029 | 1,359 | 0.10 | % | 700,659 | 8,839 | 1.26 | % | |||||||||||||||||||||||||||
Investment securities3
|
221,213 | 10,166 | 4.60 | % | 235,893 | 11,661 | 4.94 | % | |||||||||||||||||||||||||||
Stock of the regulatory agencies, at cost | 17,250 | 932 | 5.40 | % | 25,696 | 1,532 | 5.96 | % | |||||||||||||||||||||||||||
Total interest-earning assets | 12,854,500 | 593,961 | 4.62 | % | 11,085,066 | 603,550 | 5.44 | % | |||||||||||||||||||||||||||
Non-interest-earning assets | 172,712 | 188,625 | |||||||||||||||||||||||||||||||||
Total Assets | $ | 13,027,212 | $ | 11,273,691 | |||||||||||||||||||||||||||||||
Liabilities and Stockholder's Equity: | |||||||||||||||||||||||||||||||||||
Interest-bearing demand and savings | $ | 7,324,855 | $ | 29,626 | 0.40 | % | $ | 4,864,591 | $ | 67,070 | 1.38 | % | |||||||||||||||||||||||
Time deposits | 1,825,795 | 31,498 | 1.73 | % | 2,482,151 | 60,033 | 2.42 | % | |||||||||||||||||||||||||||
Advances from the FHLB | 211,077 | 4,672 | 2.21 | % | 747,358 | 11,988 | 1.60 | % | |||||||||||||||||||||||||||
Borrowings, subordinated notes and debentures | 116,255 | 406 | 0.35 | % | 3,092 | 11 | 0.36 | % | |||||||||||||||||||||||||||
Total interest-bearing liabilities | $ | 9,477,982 | $ | 66,202 | 0.70 | % | $ | 8,097,192 | $ | 139,102 | 1.72 | % | |||||||||||||||||||||||
Non-interest-bearing demand deposits | 2,209,932 | 2,000,755 | |||||||||||||||||||||||||||||||||
Other non-interest-bearing liabilities | 121,545 | 85,951 | |||||||||||||||||||||||||||||||||
Stockholder's equity | 1,217,753 | 1,089,793 | |||||||||||||||||||||||||||||||||
Total Liabilities and Stockholders' Equity | $ | 13,027,212 | $ | 11,273,691 | |||||||||||||||||||||||||||||||
Net interest income | $ | 527,759 | $ | 464,448 | |||||||||||||||||||||||||||||||
Interest rate spread4
|
3.92 | % | 3.72 | % | |||||||||||||||||||||||||||||||
Net interest margin5
|
4.11 | % | 4.19 | % |
Fiscal Year Ended June 30, 2021 vs 2020 | |||||||||||||||||||||||
Increase (Decrease) Due to | |||||||||||||||||||||||
(Dollars in thousands) | Volume | Rate |
Total
Increase (Decrease) |
||||||||||||||||||||
Increase (decrease) in interest income: | |||||||||||||||||||||||
Loans and leases | $ | 63,068 | $ | (63,082) | $ | (14) | |||||||||||||||||
Interest-earning deposits in other financial institutions | 4,330 | (11,810) | (7,480) | ||||||||||||||||||||
Investment securities | (710) | (785) | (1,495) | ||||||||||||||||||||
Stock of the regulatory agencies | (466) | (134) | (600) | ||||||||||||||||||||
Total increase (decrease) in interest income | $ | 66,222 | $ | (75,811) | $ | (9,589) | |||||||||||||||||
Increase (decrease) in interest expense: | |||||||||||||||||||||||
Interest-bearing demand and savings | $ | 24,084 | $ | (61,528) | $ | (37,444) | |||||||||||||||||
Time deposits | (13,730) | (14,805) | (28,535) | ||||||||||||||||||||
Advances from the FHLB | (10,732) | 3,416 | (7,316) | ||||||||||||||||||||
Other borrowings | 395 | — | 395 | ||||||||||||||||||||
Total increase (decrease) in interest expense | $ | 17 | $ | (72,917) | $ | (72,900) |
For the Fiscal Year Ended June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||||||||
Net interest income | $ | 18,746 | $ | 16,630 | |||||||||||||
Non-interest income | 27,627 | 24,817 | |||||||||||||||
Non-interest expense | 48,095 | 43,525 | |||||||||||||||
Income (Loss) before taxes | $ | (1,722) | $ | (2,078) |
June 30, | |||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||
Compensation as a % of net revenue | 32.4 | % | 39.2 | % | |||||||
FDIC insured program balances (end of period) | $ | 730,248 | $ | 450,251 | |||||||
Customer margin balances (end of period) | $ | 327,148 | $ | 206,702 | |||||||
Customer funds on deposit, including short credits (end of period) | $ | 322,153 | $ | 194,042 | |||||||
Clearing: | |||||||||||
Total tickets | 2,053,362 | 1,228,635 | |||||||||
Correspondents (end of period) | 69 | 61 | |||||||||
Securities lending: | |||||||||||
Interest-earning assets – stock borrowed (end of period) | $ | 619,088 | $ | 222,368 | |||||||
Interest-bearing liabilities – stock loaned (end of period) | $ | 728,988 | $ | 255,945 |
Fiscal Year Ended June 30, 2020 vs 2019 | |||||||||||||||||||||||
Increase (Decrease) Due to | |||||||||||||||||||||||
(Dollars in thousands) | Volume | Rate |
Total
Increase (Decrease) |
||||||||||||||||||||
Increase (decrease) in interest income: | |||||||||||||||||||||||
Loan and Leases | $ | 67,483 | $ | (10,052) | $ | 57,431 | |||||||||||||||||
Interest-earning deposits in other financial institutions | 3,570 | (6,159) | (2,589) | ||||||||||||||||||||
Investment securities | 476 | (3,358) | (2,882) | ||||||||||||||||||||
Securities borrowed and margin lending | 8,686 | (847) | 7,839 | ||||||||||||||||||||
Stock of the regulatory agencies | (851) | (996) | (1,847) | ||||||||||||||||||||
Total increase (decrease) in interest income | $ | 79,364 | $ | (21,412) | $ | 57,952 | |||||||||||||||||
Increase (decrease) in interest expense: | |||||||||||||||||||||||
Interest-bearing demand and savings | $ | 13,522 | $ | (8,030) | $ | 5,492 | |||||||||||||||||
Time deposits | 3,876 | 468 | 4,344 | ||||||||||||||||||||
Securities loaned | 87 | (156) | (69) | ||||||||||||||||||||
Advances from the FHLB | (12,364) | (8,482) | (20,846) | ||||||||||||||||||||
Other borrowings | (35) | 60 | 25 | ||||||||||||||||||||
Total increase/(decrease) in interest expense | $ | 5,086 | $ | (16,140) | $ | (11,054) |
For the Fiscal Year Ended June 30, | |||||||||||
(Dollars in thousands) | 2020 | 2019 | |||||||||
Realized gain on securities: | $ | — | $ | 709 | |||||||
Unrealized loss on securities: | |||||||||||
Total impairment losses | — | (1,666) | |||||||||
Loss (gain) recognized in other comprehensive income | — | 845 | |||||||||
Total unrealized loss on securities | $ | — | $ | (821) | |||||||
Prepayment penalty fee income | 5,993 | 5,851 | |||||||||
Gain on sale-other | 6,871 | 6,160 | |||||||||
Mortgage banking income | 20,646 | 5,267 | |||||||||
Broker-dealer fee income | 23,210 | 11,737 | |||||||||
Banking and service fees | 46,267 | 53,854 | |||||||||
Total non-interest income | $ | 102,987 | $ | 82,757 |
For the Fiscal Year Ended June 30, | |||||||||||
(Dollars in thousands) | 2020 | 2019 | |||||||||
Salaries and related costs | $ | 144,341 | $ | 127,433 | |||||||
Data processing and internet | 30,671 | 24,150 | |||||||||
Depreciation and amortization | 24,443 | 16,471 | |||||||||
Advertising and promotional | 14,523 | 14,710 | |||||||||
Occupancy and equipment | 12,059 | 8,571 | |||||||||
Professional services | 11,095 | 11,916 | |||||||||
Broker-dealer clearing charges | 8,210 | 2,822 | |||||||||
FDIC and regulator fees | 5,538 | 9,005 | |||||||||
General and administrative | 24,886 | 36,128 | |||||||||
Total non-interest expense | $ | 275,766 | $ | 251,206 |
Fiscal Year Ended June 30, 2020 | |||||||||||||||||||||||
(Dollars in thousands) | Banking Business | Securities Business | Corporate/Eliminations | Axos Consolidated | |||||||||||||||||||
Net interest income | $ | 464,448 | $ | 16,630 | $ | (3,467) | $ | 477,611 | |||||||||||||||
Provision for loan losses | 42,200 | — | — | 42,200 | |||||||||||||||||||
Non-interest income | 80,374 | 24,817 | (2,204) | 102,987 | |||||||||||||||||||
Non-interest expense | 216,895 | 43,525 | 15,346 | 275,766 | |||||||||||||||||||
Income before taxes | $ | 285,727 | $ | (2,078) | $ | (21,017) | $ | 262,632 | |||||||||||||||
Fiscal Year Ended June 30, 2019 | |||||||||||||||||||||||
(Dollars in thousands) | Banking Business | Securities Business | Corporate/Eliminations | Axos Consolidated | |||||||||||||||||||
Net interest income | $ | 404,500 | $ | 7,564 | $ | (3,459) | $ | 408,605 | |||||||||||||||
Provision for loan losses | 27,350 | — | — | 27,350 | |||||||||||||||||||
Non-interest income | 70,917 | 12,071 | (231) | 82,757 | |||||||||||||||||||
Non-interest expense | 192,588 | 34,430 | 24,188 | 251,206 | |||||||||||||||||||
Income before taxes | $ | 255,479 | $ | (14,795) | $ | (27,878) | $ | 212,806 | |||||||||||||||
Fiscal Year Ended | |||||||||||||||||||||||
June 30, 2020 | June 30, 2019 | ||||||||||||||||||||||
Efficiency ratio | 39.81 | % | 40.51 | % | |||||||||||||||||||
Return on average assets | 1.78 | % | 1.83 | % | |||||||||||||||||||
Interest rate spread | 3.72 | % | 3.72 | % | |||||||||||||||||||
Net interest margin | 4.19 | % | 4.14 | % |
For the Fiscal Years Ended June 30, | |||||||||||||||||||||||||||||||||||
2020 | 2019 | ||||||||||||||||||||||||||||||||||
(Dollars in thousands) |
Average Balance1
|
Interest Income/ Expense | Average Yields Earned/Rates Paid |
Average Balance1
|
Interest Income/Expense | Average Yields Earned/Rates Paid | |||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||
Loans and Leases2,3
|
$ | 10,122,818 | $ | 581,518 | 5.74 | % | $ | 8,974,624 | $ | 525,307 | 5.85 | % | |||||||||||||||||||||||
Interest-earning deposits in other financial institutions | 700,659 | 8,839 | 1.26 | % | 540,047 | 12,285 | 2.27 | % | |||||||||||||||||||||||||||
Investment securities3
|
235,893 | 11,661 | 4.94 | % | 208,234 | 13,929 | 6.69 | % | |||||||||||||||||||||||||||
Stock of the regulatory agencies, at cost | 25,696 | 1,532 | 5.96 | % | 40,000 | 3,378 | 8.45 | % | |||||||||||||||||||||||||||
Total interest-earning assets | $ | 11,085,066 | $ | 603,550 | 5.44 | % | $ | 9,762,905 | $ | 554,899 | 5.68 | % | |||||||||||||||||||||||
Non-interest-earning assets | 188,625 | 189,802 | |||||||||||||||||||||||||||||||||
Total Assets | $ | 11,273,691 | $ | 9,952,707 | |||||||||||||||||||||||||||||||
Liabilities and Stockholder's Equity: | |||||||||||||||||||||||||||||||||||
Interest-bearing demand and savings | $ | 4,864,591 | $ | 67,070 | 1.38 | % | $ | 3,964,429 | $ | 61,845 | 1.56 | % | |||||||||||||||||||||||
Time deposits | 2,482,151 | 60,033 | 2.42 | % | 2,322,039 | 55,689 | 2.40 | % | |||||||||||||||||||||||||||
Advances from the FHLB | 747,358 | 11,988 | 1.60 | % | 1,397,460 | 32,834 | 2.35 | % | |||||||||||||||||||||||||||
Borrowings, subordinated notes and debentures | 3,092 | 11 | 0.36 | % | 1,112 | 31 | 2.70 | % | |||||||||||||||||||||||||||
Total interest-bearing liabilities | $ | 8,097,192 | $ | 139,102 | 1.72 | % | $ | 7,685,040 | $ | 150,399 | 1.96 | % | |||||||||||||||||||||||
Non-interest-bearing demand deposits | 2,000,755 | 1,236,508 | |||||||||||||||||||||||||||||||||
Other non-interest-bearing liabilities | 85,951 | 58,004 | |||||||||||||||||||||||||||||||||
Stockholder's equity | $ | 1,089,793 | $ | 973,155 | |||||||||||||||||||||||||||||||
Total Liabilities and Stockholders' Equity | $ | 11,273,691 | $ | 9,952,707 | |||||||||||||||||||||||||||||||
Net interest income | $ | 464,448 | $ | 404,500 | |||||||||||||||||||||||||||||||
Interest rate spread4
|
3.72 | % | 3.72 | % | |||||||||||||||||||||||||||||||
Net interest margin5
|
4.19 | % | 4.14 | % |
Fiscal Year Ended June 30, 2020 vs 2019 | |||||||||||||||||||||||
Increase (Decrease) Due to | |||||||||||||||||||||||
(Dollars in thousands) | Volume | Rate |
Total
Increase (Decrease) |
||||||||||||||||||||
Increase (decrease) in interest income: | |||||||||||||||||||||||
Loans and leases | $ | 66,222 | $ | (10,011) | $ | 56,211 | |||||||||||||||||
Interest-earning deposits in other financial institutions | 2,990 | (6,436) | (3,446) | ||||||||||||||||||||
Investment securities | 1,690 | (3,958) | (2,268) | ||||||||||||||||||||
Stock of the regulatory agencies | (1,012) | (834) | (1,846) | ||||||||||||||||||||
Total increase (decrease) in interest income | $ | 69,890 | $ | (21,239) | $ | 48,651 | |||||||||||||||||
Increase (decrease) in interest expense: | |||||||||||||||||||||||
Interest-bearing demand and savings | $ | 12,928 | $ | (7,703) | $ | 5,225 | |||||||||||||||||
Time deposits | 3,876 | 468 | 4,344 | ||||||||||||||||||||
Advances from the FHLB | (12,364) | (8,482) | (20,846) | ||||||||||||||||||||
Other borrowings | 21 | (41) | (20) | ||||||||||||||||||||
Total increase (decrease) in interest expense | $ | 4,461 | $ | (15,758) | $ | (11,297) |
Fiscal Year Ended | ||||||||
(Dollars in thousands) | June 30, 2020 | June 30, 2019 | ||||||
Net interest income | $ | 16,630 | $ | 7,564 | ||||
Non-interest income | 24,817 | 12,071 | ||||||
Non-interest expense | 43,525 | 34,430 | ||||||
Income (Loss) before income taxes | $ | (2,078) | $ | (14,795) |
Fiscal Year Ended | ||||||||
(Dollars in thousands) | June 30, 2020 | June 30, 2019 | ||||||
Compensation as a % of net revenue | 39.2 | % | 35.0 | % | ||||
FDIC insured program balances (end of period) | $ | 450,251 | $ | 341,576 | ||||
Customer margin balances (end of period) | $ | 206,702 | $ | 189,193 | ||||
Customer funds on deposit, including short credits (end of period) | $ | 194,042 | $ | 206,469 | ||||
Clearing: | ||||||||
Total tickets | 1,228,635 | 595,962 | ||||||
Correspondents (end of period) | 61 | 62 | ||||||
Securities lending: | ||||||||
Interest-earning assets – stock borrowed (end of period) | $ | 222,368 | $ | 144,706 | ||||
Interest-bearing liabilities – stock loaned (end of period) | $ | 255,945 | $ | 198,356 |
At June 30, | |||||||||||||||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | 2018 | 2017 | ||||||||||||||||||||||||
Non-performing assets: | |||||||||||||||||||||||||||||
Non-accrual loans and leases: | |||||||||||||||||||||||||||||
Single Family - Mortgage & Warehouse | $ | 105,708 | $ | 84,030 | $ | 46,005 | $ | 28,462 | $ | 23,393 | |||||||||||||||||||
Multifamily and Commercial Mortgage | 20,428 | 3,425 | 2,108 | 232 | 4,255 | ||||||||||||||||||||||||
Commercial Real Estate | 15,839 | — | — | — | — | ||||||||||||||||||||||||
Total non-accrual loans secured by real estate | 141,975 | 87,455 | 48,113 | 28,694 | 27,648 | ||||||||||||||||||||||||
Commercial & Industrial - Non-RE | 2,942 | 213 | — | 2,361 | 588 | ||||||||||||||||||||||||
Auto & Consumer | 278 | 273 | 331 | 171 | 157 | ||||||||||||||||||||||||
Other | — | ||||||||||||||||||||||||||||
Total non-performing loans and leases | 145,195 | 87,941 | 48,444 | 31,226 | 28,393 | ||||||||||||||||||||||||
Foreclosed real estate | 6,547 | 6,114 | 7,449 | 9,385 | 1,353 | ||||||||||||||||||||||||
Repossessed vehicles | 235 | 294 | 36 | 206 | 60 | ||||||||||||||||||||||||
Total non-performing assets | $ | 151,977 | $ | 94,349 | $ | 55,929 | $ | 40,817 | $ | 29,806 | |||||||||||||||||||
Total non-performing loans and leases as a percentage of total loans and leases | 1.26 | % | 0.82 | % | 0.51 | % | 0.37 | % | 0.38 | % | |||||||||||||||||||
Total non-performing assets as a percentage of total assets | 1.10 | % | 0.68 | % | 0.50 | % | 0.43 | % | 0.35 | % |
(Dollars in thousands) | Single Family - Mortgage & Warehouse | Multifamily and Commercial Mortgage | Commercial Real Estate | Auto & Consumer | Commercial & Industrial - Non-RE | Other | Total |
Total Allowance
as a % of Total Loans |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2016 | $ | 19,350 | $ | 4,309 | $ | 3,922 | $ | 1,669 | $ | 6,235 | $ | 341 | $ | 35,826 | 0.56 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | 2,233 | (224) | 2,108 | 1,330 | 300 | 5,314 | 11,061 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-offs | (1,138) | (23) | — | (433) | — | (3,502) | (5,096) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Transfers to held for sale | — | — | — | — | — | (1,828) | (1,828) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | 138 | 416 | — | — | 207 | 108 | 869 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2017 | 20,583 | 4,478 | 6,030 | 2,566 | 6,742 | 433 | 40,832 | 0.55 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision for loan and lease losses | 832 | (424) | 3,172 | 2,152 | 3,696 | 16,372 | 25,800 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-offs | (559) | — | — | (803) | — | (14,617) | (15,979) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Transfers to held for sale | — | — | — | — | — | (2,307) | (2,307) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | 49 | — | — | 212 | — | 544 | 805 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2018 | 20,905 | 4,054 | 9,202 | 4,127 | 10,438 | 425 | 49,151 | 0.58 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision for loan and lease losses | 1,777 | (356) | 5,430 | 5,731 | 255 | 14,513 | 27,350 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-offs | (799) | — | — | (3,752) | (1,149) | (13,963) | (19,663) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Transfers to held for sale | — | — | — | — | — | (2,356) | (2,356) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | 407 | 109 | — | 233 | — | 1,854 | 2,603 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2019 | 22,290 | 3,807 | 14,632 | 6,339 | 9,544 | 473 | 57,085 | 0.60 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision for loan and lease losses | 3,546 | 793 | 6,420 | 7,429 | 4,542 | 19,470 | 42,200 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-offs | (203) | — | — | (5,047) | (4,132) | (16,451) | (25,833) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | 266 | 119 | — | 741 | — | 1,229 | 2,355 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2020 | 25,899 | 4,719 | 21,052 | 9,462 | 9,954 | 4,721 | 75,807 | 0.71 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Effect of Adoption of ASC 326 | 6,318 | 7,408 | 25,893 | 610 | 7,042 | 29 | 47,300 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision for loan and lease losses | (3,242) | 1,196 | 11,238 | (1,354) | 14,251 | 1,661 | 23,750 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-offs | (2,502) | (177) | (255) | (3,517) | (2,833) | (7,274) | (16,558) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | 131 | — | — | 1,318 | 46 | 1,164 | 2,659 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2021 | $ | 26,604 | $ | 13,146 | $ | 57,928 | $ | 6,519 | $ | 28,460 | $ | 301 | $ | 132,958 | 1.15 | % |
At June 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2021 | 2020 | 2019 | 2018 | 2017 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) |
Amount of
Allowance |
Loan
Category as a % of Total Loans |
Amount of
Allowance |
Loan
Category as a % of Total Loans |
Amount of
Allowance |
Loan
Category as a % of Total Loans |
Amount of
Allowance |
Loan
Category as a % of Total Loans |
Amount of
Allowance |
Loan
Category as a % of Total Loans |
|||||||||||||||||||||||||||||||||||||||||||||||||
Single Family - Mortgage & Warehouse | $ | 26,604 | 37.8 | % | $ | 25,899 | 44.1 | % | $ | 22,290 | 39.0 | % | $ | 20,905 | 42.5 | % | $ | 20,583 | 50.4 | % | |||||||||||||||||||||||||||||||||||||||
Multifamily and Commercial Mortgage | 13,146 | 21.4 | % | 4,719 | 21.1 | % | 3,807 | 6.7 | % | 4,054 | 8.2 | % | 4,478 | 11.0 | % | ||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | 57,928 | 27.5 | % | 21,052 | 21.5 | % | 14,632 | 25.6 | % | 9,202 | 18.7 | % | 6,030 | 14.8 | % | ||||||||||||||||||||||||||||||||||||||||||||
Commercial & Industrial - Non-RE | 28,460 | 9.7 | % | 9,954 | 8.3 | % | 9,544 | 16.7 | % | 10,438 | 21.2 | % | 6,742 | 16.5 | % | ||||||||||||||||||||||||||||||||||||||||||||
Auto & Consumer | 6,519 | 3.1 | % | 9,462 | 3.2 | % | 6,339 | 11.1 | % | 4,127 | 8.4 | % | 2,566 | 6.3 | % | ||||||||||||||||||||||||||||||||||||||||||||
Other | 301 | 0.5 | % | 4,721 | 1.8 | % | 473 | 0.8 | % | 425 | 0.9 | % | 433 | 1.1 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 132,958 | 100.0 | % | $ | 75,807 | 100.0 | % | $ | 57,085 | 100.0 | % | $ | 49,151 | 100.0 | % | $ | 40,832 | 100.0 | % | |||||||||||||||||||||||||||||||||||||||
At June 30, 2021 | |||||||||||||||||||||||||||||
Payments Due by Period | |||||||||||||||||||||||||||||
(Dollars in thousands) | Total |
Less than
One Year |
One to
Three Years |
Three to
Five Years |
More than
Five Years |
||||||||||||||||||||||||
Long-term debt obligations1, 2
|
$ | 635,455 | $ | 291,934 | $ | 49,241 | $ | 50,219 | $ | 244,061 | |||||||||||||||||||
Other obligations3
|
15,090 | 7,716 | 5,925 | 348 | 1,101 | ||||||||||||||||||||||||
Time deposits2
|
1,534,801 | 1,032,195 | 350,124 | 152,482 | — | ||||||||||||||||||||||||
Operating lease obligations4
|
79,549 | 9,548 | 19,242 | 16,822 | 33,937 | ||||||||||||||||||||||||
Total | $ | 2,264,895 | $ | 1,341,393 | $ | 424,532 | $ | 219,871 | $ | 279,099 |
Axos Financial, Inc. | Axos Bank |
“Well
Capitalized” Ratio |
Minimum Capital
Ratio |
||||||||||||||||||||||||||||||||
(Dollars in thousands) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||||||||||||||
Regulatory Capital: | |||||||||||||||||||||||||||||||||||
Tier 1 | $ | 1,309,496 | $ | 1,106,393 | $ | 1,262,885 | $ | 1,080,455 | |||||||||||||||||||||||||||
Common equity tier 1 | $ | 1,309,496 | $ | 1,101,330 | $ | 1,262,885 | $ | 1,080,455 | |||||||||||||||||||||||||||
Total capital (to risk-weighted assets) | $ | 1,587,625 | $ | 1,240,923 | $ | 1,358,430 | $ | 1,156,401 | |||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||
Average adjusted | $ | 14,851,462 | $ | 12,333,030 | $ | 13,359,578 | $ | 11,679,819 | |||||||||||||||||||||||||||
Total risk-weighted | $ | 11,522,645 | $ | 9,817,374 | $ | 10,283,135 | $ | 9,160,365 | |||||||||||||||||||||||||||
Regulatory Capital Ratios: | |||||||||||||||||||||||||||||||||||
Tier 1 leverage (core) capital to adjusted average assets | 8.82 | % | 8.97 | % | 9.45 | % | 9.25 | % | 5.00 | % | 4.00 | % | |||||||||||||||||||||||
Common equity tier 1 capital (to risk-weighted assets) | 11.36 | % | 11.22 | % | 12.28 | % | 11.79 | % | 6.50 | % | 4.50 | % | |||||||||||||||||||||||
Tier 1 capital (to risk-weighted assets) | 11.36 | % | 11.27 | % | 12.28 | % | 11.79 | % | 8.00 | % | 6.00 | % | |||||||||||||||||||||||
Total capital (to risk-weighted assets) | 13.78 | % | 12.64 | % | 13.21 | % | 12.62 | % | 10.00 | % | 8.00 | % |
(Dollars in thousands) | June 30, 2021 | June 30, 2020 | |||||||||
Net capital | $ | 35,950 | $ | 34,022 | |||||||
Less: required net capital | 8,046 | 4,572 | |||||||||
Excess capital | $ | 27,904 | $ | 29,450 | |||||||
Net capital as a percentage of aggregate debit items | 8.94 | % | 14.88 | % | |||||||
Net capital in excess of 5% aggregate debit items | $ | 15,836 | $ | 22,593 |
Term to Repricing, Repayment, or Maturity at
|
|||||||||||||||||||||||||||||
June 30, 2021 | |||||||||||||||||||||||||||||
(Dollars in thousands) | Six Months or Less |
Over Six
Months Through One Year |
Over One
Year through Five Years |
Over Five
Years |
Total | ||||||||||||||||||||||||
Interest-earning assets: | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 694,717 | $ | — | $ | — | $ | — | $ | 694,717 | |||||||||||||||||||
Mortgage-backed and other investment securities1
|
185,094 | 1,378 | 10,416 | 16,320 | 213,208 | ||||||||||||||||||||||||
Stock of the FHLB, at cost | 17,250 | — | — | — | 17,250 | ||||||||||||||||||||||||
Loans, net of allowance for loan and lease losses2
|
7,215,162 | 1,418,651 | 2,835,817 | 37,622 | 11,507,252 | ||||||||||||||||||||||||
Loans held for sale | 42,062 | — | — | — | 42,062 | ||||||||||||||||||||||||
Total interest-earning assets | 8,154,285 | 1,420,029 | 2,846,233 | 53,942 | 12,474,489 | ||||||||||||||||||||||||
Non-interest-earning assets | — | — | — | — | 270,540 | ||||||||||||||||||||||||
Total assets | $ | 8,154,285 | $ | 1,420,029 | $ | 2,846,233 | $ | 53,942 | $ | 12,745,029 | |||||||||||||||||||
Interest-bearing liabilities: | |||||||||||||||||||||||||||||
Interest-bearing deposits3
|
$ | 6,175,706 | $ | 1,774,197 | $ | 491,319 | $ | 448 | $ | 8,441,670 | |||||||||||||||||||
Advances from the FHLB | 196,000 | 40,000 | 57,500 | 60,000 | 353,500 | ||||||||||||||||||||||||
Other borrowings | 110,947 | — | — | 14,000 | 124,947 | ||||||||||||||||||||||||
Total interest-bearing liabilities | 6,482,653 | 1,814,197 | 548,819 | 74,448 | 8,920,117 | ||||||||||||||||||||||||
Other non-interest-bearing liabilities | — | — | — | — | 2,525,001 | ||||||||||||||||||||||||
Stockholders’ equity | — | — | — | — | 1,299,911 | ||||||||||||||||||||||||
Total liabilities and equity | $ | 6,482,653 | $ | 1,814,197 | $ | 548,819 | $ | 74,448 | $ | 12,745,029 | |||||||||||||||||||
Net interest rate sensitivity gap | $ | 1,671,632 | $ | (394,168) | $ | 2,297,414 | $ | (20,506) | $ | 3,554,372 | |||||||||||||||||||
Cumulative gap | $ | 1,671,632 | $ | 1,277,464 | $ | 3,574,878 | $ | 3,554,372 | $ | 3,554,372 | |||||||||||||||||||
Net interest rate sensitivity gap—as a % of interest-earning assets | 13.40 | % | (3.16) | % | 18.42 | % | (0.16) | % | 28.49 | % | |||||||||||||||||||
Cumulative gap—as a % of cumulative interest-earning assets | 13.40 | % | 10.24 | % | 28.66 | % | 28.49 | % | 28.49 | % |
DESCRIPTION | PAGE | |||||||
Reports of Independent Registered Public Accounting Firms |
F-1
|
|||||||
Consolidated Balance Sheets at June 30, 2021 and 2020 |
F-3
|
|||||||
Consolidated Statements of Income for the years ended June 30, 2021, 2020 and 2019 |
F-4
|
|||||||
Consolidated Statements of Comprehensive Income for the years ended June 30, 2021, 2020 and 2019 |
F-5
|
|||||||
Consolidated Statements of Stockholders’ Equity for the years ended June 30, 2021, 2020 and 2019 |
F-6
|
|||||||
Consolidated Statements of Cash Flows for the years ended June 30, 2021, 2020 and 2019 |
F-7
|
|||||||
Notes to Consolidated Financial Statements |
F-8
|
(a)(1). | Financial Statements: See Part II, Item 8—Financial Statements and Supplementary data. | ||||
(a)(2). | Financial Statement Schedules: All financial statement schedules have been omitted as they are either not required, not applicable, or the information is otherwise included. | ||||
(a)(3). | Exhibits: |
Exhibit
Number |
Description | Incorporated By Reference to | |||||||||
2.1 | Agreement and Plan of Merger, by and among Axos Clearing, LLC, Axos Clarity MergeCo., Inc., Cor Securities Holdings, Inc., the Seller Parties thereto and the Holder Representative, dated September 28, 2018 | ||||||||||
3.1 | Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on July 6, 1999 | ||||||||||
3.1.1 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on August 19, 1999 | ||||||||||
3.1.2 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on February 25, 2003 | ||||||||||
3.1.3 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on January 25, 2005 | ||||||||||
3.1.4 | Certificate Eliminating Reference to a Series of Shares from the Certificate of Incorporation of the Company | ||||||||||
3.1.5 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on October 25, 2013 | ||||||||||
3.1.6 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on November 5, 2015 | ||||||||||
3.1.7 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on September 11, 2018 | ||||||||||
3.1.8 | Certificate of Elimination relating to the Series A - 6% Cumulative Nonparticipating Perpetual Preferred Stock Convertible through January 2009, filed with the Delaware Secretary of State on January 25, 2021. | ||||||||||
3.2 | Amended and Restated By-laws | ||||||||||
4.1 | Form of Common Stock Certificate of the Company | ||||||||||
4.2 | Description of Securities Registered Pursuant to Section 12 of the Securities Exchange Act of 1934 | ||||||||||
4.3 | Indenture for Subordinated Debt Securities, dated as of March 3, 2016, between Axos Financial, Inc. and U.S. Bank National Association, as trustee | ||||||||||
4.4 |
Second Supplemental Indenture, dated as of September 18, 2020, between Axos Financial, Inc. and U.S. Bank
National Association, as trustee |
Exhibit
Number |
Description | Incorporated By Reference to | |||||||||
4.5 | Form of Global Note to represent the 4.875% Fixed-to-Floating Rate Subordinated Notes due 2030 of Axos Financial, Inc. | ||||||||||
10.1 | Form of Indemnification Agreement between the Company and each of its executive officers and directors | ||||||||||
10.2* | Amended and Restated 1999 Stock Option Plan, as amended | ||||||||||
10.3* | 2004 Stock Incentive Plan, as amended November 20, 2007 | ||||||||||
10.4* | 2004 Employee Stock Purchase Plan, including forms of agreements thereunder | ||||||||||
10.5* | First Amended Employment Agreement, dated April 22, 2010, between Bank of Internet USA and Andrew J. Micheletti. | ||||||||||
10.6 | Amended and Restated Declaration of Trust of BofI Trust I dated December 16, 2004 | ||||||||||
10.7* | Amended and Restated Employment Agreement, dated May 26, 2011, between the Company and subsidiaries, and Gregory Garrabrants | ||||||||||
10.7.1* | Second Amended and Restated Employment Agreement, dated June 30, 2017, between the Company and subsidiaries, and Gregory Garrabrants | ||||||||||
10.8 | Lease Agreement dated December 5, 2011 between La Jolla Village, LLC and the Company | ||||||||||
10.9* | BofI Holding, Inc. 2014 Stock Incentive Plan | ||||||||||
10.10* | Amendment to BofI Holding, Inc. 2014 Stock Incentive Plan | ||||||||||
10.11* | Description of Amendment to Employment Letter between Eshel Bar-Adon and BofI Federal Bank | ||||||||||
10.12* | Description of Amendment to Employment Letter between Brian Swanson and BofI Federal Bank | ||||||||||
10.12.1* | Description of Amendment to Employment Letter between Brian Swanson and BofI Federal Bank | ||||||||||
10.13 | Office Space Lease Between Pacifica Tower LLC and BofI Holding, Inc. | ||||||||||
10.14 | Sixth Amendment to Office Space Lease Between 4350 La Jolla Village LLC and BofI Holding, Inc. | ||||||||||
10.15 | Guaranty of Payment and Performance of Agreement and Plan of Merger, executed by the Company in favor of Cor Securities Holdings, Inc. on September 28, 2018 | ||||||||||
10.16* | Amended and Restated to BofI Holding, Inc. 2014 Stock Incentive Plan | ||||||||||
10.17* | Description of Amendment to Employment Letter between Raymond Matsumoto and Axos Financial, Inc. |
Exhibit
Number |
Description | Incorporated By Reference to | |||||||||
21.1 | Subsidiaries of the Company consist of Axos Bank (federal charter), BofI Trust I (Delaware charter), Axos Clearing LLC (Delaware), Axos Invest, Inc. (Delaware), and Axos Invest LLC (Delaware) | ||||||||||
23.1 | Consent of BDO USA, LLP, Independent Registered Public Accounting Firm | ||||||||||
24.1 | Power of Attorney, incorporated by reference to the signature page to this report. | Signature page to this report. | |||||||||
31.1 | Chief Executive Officer Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | ||||||||||
31.2 | Chief Financial Officer Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | ||||||||||
32.1 | Chief Executive Officer Certification Pursuant to 18 U.S.C. Section 1350, As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | ||||||||||
32.2 | Chief Financial Officer Certification Pursuant to 18 U.S.C. Section 1350, As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | ||||||||||
101.SCH** | Inline XBRL Taxonomy Extension Schema Document | Filed herewith. | |||||||||
101.CAL** | Inline XBRL Taxonomy Calculation Linkbase Document | Filed herewith. | |||||||||
101.LAB** | Inline XBRL Taxonomy Label Linkbase Document | Filed herewith. | |||||||||
101.PRE** | Inline XBRL Taxonomy Presentation Linkbase Document | Filed herewith. | |||||||||
101.DEF** | Inline XBRL Taxonomy Definition Document | Filed herewith. | |||||||||
101.INS** | Inline XBRL Instance Document | The instance document does not appear in the interactive data file because its XBRL tags are embedded within the inline XBRL document. | |||||||||
104** | Cover Page Interactive Data File | Formatted as Inline XBRL and contained in Exhibit 101 |
AXOS FINANCIAL, INC. | ||||||||||||||
Date: | August 25, 2021 | By: | /s/ Gregory Garrabrants | |||||||||||
Gregory Garrabrants
President and Chief Executive Officer |
Signature | Title | |||||||
/s/ Gregory Garrabrants | Chief Executive Officer (Principal Executive Officer), Director | |||||||
Gregory Garrabrants | ||||||||
/s/ Andrew J. Micheletti | Chief Financial Officer (Principal Financial Officer) | |||||||
Andrew J. Micheletti | ||||||||
/s/ Derrick K. Walsh | Chief Accounting Officer (Principal Accounting Officer) | |||||||
Derrick K. Walsh | ||||||||
/s/ Paul Grinberg | Chairman | |||||||
Paul Grinberg | ||||||||
/s/ Nicholas A. Mosich | Vice Chairman | |||||||
Nicholas A. Mosich | ||||||||
/s/ James S. Argalas | Director | |||||||
James S. Argalas | ||||||||
/s/ J. Brandon Black | Director | |||||||
J. Brandon Black | ||||||||
/s/ Tamra Bohlig | Director | |||||||
Tamra Bohlig | ||||||||
/s/ James Court | Director | |||||||
James Court | ||||||||
/s/ Edward J. Ratinoff | Director | |||||||
Edward J. Ratinoff | ||||||||
/s/ Uzair Dada | Director | |||||||
Uzair Dada | ||||||||
DESCRIPTION | PAGE | |||||||
Report of Independent Registered Public Accounting Firm |
F-1
|
|||||||
Consolidated Balance Sheets at June 30, 2021 and 2020 |
F-3
|
|||||||
Consolidated Statements of Income for the years ended June 30, 2021, 2020 and 2019 |
F-4
|
|||||||
Consolidated Statements of Comprehensive Income for the years ended June 30, 2021, 2020 and 2019 |
F-5
|
|||||||
Consolidated Statements of Stockholders’ Equity for the years ended June 30, 2021, 2020 and 2019 |
F-6
|
|||||||
Consolidated Statements of Cash Flows for the years ended June 30, 2021, 2020 and 2019 |
F-7
|
|||||||
Notes to Consolidated Financial Statements |
F-9
|
Year Ended June 30, | |||||||||||||||||
(Dollars in thousands, except earnings per share) | 2021 | 2020 | 2019 | ||||||||||||||
INTEREST AND DIVIDEND INCOME: | |||||||||||||||||
Loans, including fees | $ | 584,410 | $ | 582,748 | $ | 525,317 | |||||||||||
Securities borrowed and customer receivables | 20,466 | 16,585 | 8,746 | ||||||||||||||
Investments | 12,987 | 23,506 | 30,824 | ||||||||||||||
Total interest and dividend income | 617,863 | 622,839 | 564,887 | ||||||||||||||
INTEREST EXPENSE: | |||||||||||||||||
Deposits | 60,529 | 126,916 | 117,080 | ||||||||||||||
Advances from the Federal Home Loan Bank | 4,672 | 11,988 | 32,834 | ||||||||||||||
Securities loaned | 1,496 | 679 | 748 | ||||||||||||||
Other borrowings | 12,424 | 5,645 | 5,620 | ||||||||||||||
Total interest expense | 79,121 | 145,228 | 156,282 | ||||||||||||||
Net interest income | 538,742 | 477,611 | 408,605 | ||||||||||||||
Provision for credit losses | 23,750 | 42,200 | 27,350 | ||||||||||||||
Net interest income, after provision for credit losses | 514,992 | 435,411 | 381,255 | ||||||||||||||
NON-INTEREST INCOME: | |||||||||||||||||
Realized gain on sale of securities | — | — | 709 | ||||||||||||||
Other-than-temporary loss on securities: | |||||||||||||||||
Other-than-temporary loss on securities: | — | — | (1,666) | ||||||||||||||
Less: Portion of other temporary impairment losses recognized in OCI | — | — | 845 | ||||||||||||||
Change to net impairment losses recognized in earnings on securities | — | — | (821) | ||||||||||||||
Total unrealized loss on securities | — | — | (821) | ||||||||||||||
Prepayment penalty fee income | 7,166 | 5,993 | 5,851 | ||||||||||||||
Gain on sale - other | 491 | 6,871 | 6,160 | ||||||||||||||
Mortgage banking income | 42,150 | 20,646 | 5,267 | ||||||||||||||
Broker-dealer fee income | 26,317 | 23,210 | 11,737 | ||||||||||||||
Banking and service fees | 29,137 | 46,267 | 53,854 | ||||||||||||||
Total non-interest income | 105,261 | 102,987 | 82,757 | ||||||||||||||
NON-INTEREST EXPENSE: | |||||||||||||||||
Salaries and related costs | 152,576 | 144,341 | 127,433 | ||||||||||||||
Data processing | 40,719 | 30,671 | 24,150 | ||||||||||||||
Depreciation and amortization | 24,124 | 24,443 | 16,471 | ||||||||||||||
Professional services | 22,241 | 11,095 | 11,916 | ||||||||||||||
Advertising and promotional | 14,212 | 14,523 | 14,710 | ||||||||||||||
Occupancy and equipment | 13,402 | 12,059 | 8,571 | ||||||||||||||
Broker-dealer clearing charges | 11,152 | 8,210 | 2,822 | ||||||||||||||
FDIC and regulatory fees | 10,603 | 5,538 | 9,005 | ||||||||||||||
General and administrative expense | 25,481 | 24,886 | 36,128 | ||||||||||||||
Total non-interest expense | 314,510 | 275,766 | 251,206 | ||||||||||||||
INCOME BEFORE INCOME TAXES | 305,743 | 262,632 | 212,806 | ||||||||||||||
INCOME TAXES | 90,036 | 79,194 | 57,675 | ||||||||||||||
NET INCOME | $ | 215,707 | $ | 183,438 | $ | 155,131 | |||||||||||
NET INCOME ATTRIBUTABLE TO COMMON STOCK | $ | 215,518 | $ | 183,129 | $ | 154,822 | |||||||||||
COMPREHENSIVE INCOME | $ | 219,151 | $ | 182,485 | $ | 155,760 | |||||||||||
Basic earnings per share | $ | 3.64 | $ | 3.01 | $ | 2.50 | |||||||||||
Diluted earnings per share | $ | 3.56 | $ | 2.98 | $ | 2.48 |
Year Ended June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
NET INCOME | $ | 215,707 | $ | 183,438 | $ | 155,131 | |||||||||||
Net unrealized gain (loss) from available-for-sale securities, net of tax expense (benefit) of $1,495, $(381), and $562 for the years ended June 30, 2021, 2020 and 2019, respectively.
|
3,444 | (953) | 1,741 | ||||||||||||||
Other-than-temporary impairment on securities sold, reclassified in other comprehensive income, net of tax expense (benefit) of $0, $0, and $(251) for the years ended June 30, 2021, 2020 and 2019, respectively.
|
— | — | (594) | ||||||||||||||
Reclassification of net (gain) loss from available-for-sale securities included in income, net of tax expense (benefit) of $0, $0, and $191 for the years ended June 30, 2021, 2020 and 2019, respectively.
|
— | — | (518) | ||||||||||||||
Other comprehensive income (loss) | 3,444 | (953) | 629 | ||||||||||||||
COMPREHENSIVE INCOME | $ | 219,151 | $ | 182,485 | $ | 155,760 |
Preferred Stock | Common Stock |
Additional
Paid-in Capital |
Retained
Earnings |
Accumulated Other Comprehensive Income (Loss), Net of
Income Tax |
Treasury
Stock |
Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of Shares | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Shares | Amount | Issued | Treasury | Outstanding | Amount | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2018 | 515 | $ | 5,063 | 65,796,060 | (3,107,996) | 62,688,064 | $ | 658 | $ | 366,515 | $ | 671,348 | $ | (613) | $ | (82,458) | $ | 960,513 | |||||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | — | 155,131 | — | — | 155,131 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | — | — | — | — | — | 629 | — | 629 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends on preferred stock | — | — | — | — | — | — | — | (309) | — | — | (309) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchase of treasury stock | — | — | — | (2,009,352) | (2,009,352) | — | — | — | — | (56,437) | (56,437) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation expense and restricted stock unit vesting | — | — | 767,862 | (317,757) | 450,105 | 8 | 23,430 | — | — | (9,915) | 13,523 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2019 | 515 | $ | 5,063 | 66,563,922 | (5,435,105) | 61,128,817 | $ | 666 | $ | 389,945 | $ | 826,170 | $ | 16 | $ | (148,810) | $ | 1,073,050 | |||||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | — | 183,438 | — | — | 183,438 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | — | — | — | — | — | (953) | — | (953) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends on preferred stock | — | — | — | — | — | — | — | (309) | — | — | (309) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchase of treasury stock | — | — | — | (1,970,464) | (1,970,464) | — | — | — | — | (38,858) | (38,858) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation expense and restricted stock unit vesting | — | — | 759,131 | (304,849) | 454,282 | 7 | 21,928 | — | — | (7,457) | 14,478 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2020 | 515 | $ | 5,063 | 67,323,053 | (7,710,418) | 59,612,635 | $ | 673 | $ | 411,873 | $ | 1,009,299 | $ | (937) | $ | (195,125) | $ | 1,230,846 | |||||||||||||||||||||||||||||||||||||||||||||||
Cumulative effect of change in accounting principle net of tax, adoption of ASU No. 2016-13 | — | — | — | — | — | — | — | (37,088) | — | — | (37,088) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | — | 215,707 | — | — | 215,707 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | — | — | — | — | — | 3,444 | — | 3,444 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends on preferred stock | — | — | — | — | — | — | — | (103) | — | — | (103) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock - Series A redemption | (515) | (5,063) | — | — | — | — | — | (87) | — | — | (5,150) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchase of treasury stock | — | — | — | (753,597) | (753,597) | — | — | — | — | (16,757) | (16,757) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation expense and restricted stock unit vesting | — | — | 746,268 | (287,362) | 458,906 | 8 | 20,677 | — | — | (10,648) | 10,037 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2021 | — | $ | — | 68,069,321 | (8,751,377) | 59,317,944 | $ | 681 | $ | 432,550 | $ | 1,187,728 | $ | 2,507 | $ | (222,530) | $ | 1,400,936 |
Year Ended June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||
Net income | $ | 215,707 | $ | 183,438 | $ | 155,131 | |||||||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||||||||||||||
Accretion and amortization on securities, net | (365) | 291 | (264) | ||||||||||||||
Net accretion of discounts on loans | (7,050) | (35,493) | (30,176) | ||||||||||||||
Amortization of borrowing costs | 1,569 | 208 | 208 | ||||||||||||||
Amortization of operating lease right of use asset | 10,598 | 10,543 | — | ||||||||||||||
Stock-based compensation expense | 20,685 | 21,935 | 23,439 | ||||||||||||||
Trading activity | (1,878) | 1,217 | — | ||||||||||||||
Net (gain) loss on sale of investment securities | — | — | (709) | ||||||||||||||
Impairment charge on securities | — | — | 821 | ||||||||||||||
Provision for credit losses | 23,750 | 42,200 | 27,350 | ||||||||||||||
Broker-dealer reserve for bad debt | — | — | 15,298 | ||||||||||||||
Deferred income taxes | (8,828) | (6,551) | (8,686) | ||||||||||||||
Origination of loans held for sale | (1,608,700) | (1,601,579) | (1,471,906) | ||||||||||||||
Unrealized (gain) loss on loans held for sale | 1,469 | (1,360) | (252) | ||||||||||||||
Gain on sales of loans held for sale | (42,641) | (27,517) | (11,427) | ||||||||||||||
Proceeds from sale of loans held for sale | 1,671,515 | 1,614,379 | 1,481,911 | ||||||||||||||
Amortization and change in fair value of mortgage servicing rights | 6,319 | 5,806 | 3,362 | ||||||||||||||
(Gain) loss on sale of other real estate and foreclosed assets | (201) | (449) | (283) | ||||||||||||||
Depreciation and amortization | 24,124 | 24,443 | 16,471 | ||||||||||||||
Net changes in assets and liabilities which provide (use) cash: | |||||||||||||||||
Securities borrowed | (396,720) | (77,662) | 13,192 | ||||||||||||||
Customer, broker-dealer and clearing receivables | (149,549) | (17,074) | 13,684 | ||||||||||||||
Other assets | (7,259) | (36,979) | (27,564) | ||||||||||||||
Securities loaned | 473,043 | 57,589 | (4,685) | ||||||||||||||
Customer, broker-dealer and clearing payables | 187,811 | 109,010 | (1,506) | ||||||||||||||
Accounts payable and other liabilities | (817) | 17,723 | 11,012 | ||||||||||||||
Net cash provided by operating activities | 412,582 | 284,118 | 204,421 | ||||||||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||
Purchases of investment securities | (122,338) | (304,930) | (146,886) | ||||||||||||||
Proceeds from sales of securities | — | — | 15,863 | ||||||||||||||
Proceeds from repayment of securities | 74,667 | 325,704 | 93,779 | ||||||||||||||
Purchase of stock of regulatory agencies | (305) | (55,870) | (204,206) | ||||||||||||||
Proceeds from redemption of stock of regulatory agencies | 920 | 55,536 | 203,611 | ||||||||||||||
Origination of loans held for investment | (5,761,303) | (6,573,568) | (6,756,832) | ||||||||||||||
Proceeds from sale of loans held for investment | 80,049 | 37,300 | 119,881 | ||||||||||||||
Mortgage warehouse loans activity, net | (139,806) | (172,319) | (126,491) | ||||||||||||||
Purchases of loans, net of discounts and premiums | (3,619) | — | (11,525) | ||||||||||||||
Principal repayments on loans | 5,013,817 | 5,349,800 | 5,846,349 | ||||||||||||||
Proceeds from sales of other real estate owned and repossessed assets | 1,586 | 2,241 | 2,202 | ||||||||||||||
Cash paid for deposit acquisition | — | — | (14,747) | ||||||||||||||
Acquisition of business activity, net of cash paid | — | — | 67,343 | ||||||||||||||
Purchases of furniture, equipment, software and intangibles | (10,437) | (12,333) | (20,082) | ||||||||||||||
Net cash used in investing activities | (866,769) | (1,348,439) | (931,741) |
Year Ended June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||
Net increase (decrease) in deposits | (520,897) | 2,353,521 | 997,823 | ||||||||||||||
Proceeds from the Federal Home Loan Bank term advances | — | 65,000 | — | ||||||||||||||
Repayments of the Federal Home Loan Bank term advances | (70,000) | (55,000) | (147,500) | ||||||||||||||
Net (repayment) proceeds of Federal Home Loan Bank other advances | 181,000 | (226,000) | 149,000 | ||||||||||||||
Net (repayment) proceeds of other borrowings | 14,700 | (85,300) | 21,700 | ||||||||||||||
Redemption of subordinated notes | (51,000) | — | — | ||||||||||||||
Repayment of Paycheck Protection Program Liquidity Facility advances | (151,952) | — | — | ||||||||||||||
Proceeds from Paycheck Protection Program Liquidity Facility advances | — | 151,952 | — | ||||||||||||||
Tax payments related to settlement of restricted stock units | (10,648) | (7,457) | (9,916) | ||||||||||||||
Repurchase of treasury stock | (16,757) | (38,858) | (56,437) | ||||||||||||||
Redemption of preferred stock, Series A | (5,150) | — | — | ||||||||||||||
Cash dividends paid on preferred stock | (103) | (386) | (232) | ||||||||||||||
Payment of debt issuance costs | (2,748) | — | — | ||||||||||||||
Proceeds from issuance of subordinated notes | 175,000 | — | 7,400 | ||||||||||||||
Net cash provided by (used in) financing activities | (458,555) | 2,157,472 | 961,838 | ||||||||||||||
NET CHANGE IN CASH AND CASH EQUIVALENTS | (912,742) | 1,093,151 | 234,518 | ||||||||||||||
CASH AND CASH EQUIVALENTS—Beginning of year | $ | 1,950,519 | $ | 857,368 | $ | 622,850 | |||||||||||
CASH AND CASH EQUIVALENTS—End of year | $ | 1,037,777 | $ | 1,950,519 | $ | 857,368 | |||||||||||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | |||||||||||||||||
Interest paid on interest-bearing liabilities | $ | 77,995 | $ | 145,452 | $ | 152,756 | |||||||||||
Income taxes paid | 92,506 | 80,430 | 64,117 | ||||||||||||||
Transfers to other real estate and repossessed vehicles | 1,903 | 1,315 | 850 | ||||||||||||||
Transfers from loans held for investment to loans held for sale | 71,136 | 141,849 | 106,911 | ||||||||||||||
Transfers from loans held for sale to loans held for investment | 29,616 | — | 1,714 | ||||||||||||||
Loans held for investment sold, cash not received | — | 61,029 | — | ||||||||||||||
Securities transferred from available-for-sale portfolio to other assets | 70,751 | 17,482 | — | ||||||||||||||
Impact of adoption of ASC 326 on retained earnings | 37,088 | — | — | ||||||||||||||
Operating lease liabilities for obtaining right of use assets | — | 82,950 | — | ||||||||||||||
Preferred stock dividends declared but not paid | — | — | 77 |
July 1, 2020 | ||||||||||||||||||||
(Dollars in thousands) | Pre-ASC 326 Adoption | Impact of ASC 326 | Adoption Post-ASC 326 Adoption | |||||||||||||||||
Assets: | ||||||||||||||||||||
Allowance for Credit Losses - Loans | $ | (75,807) | $ | (47,300) | $ | (123,107) | ||||||||||||||
Deferred tax asset (Other Assets) | 30,749 | 15,912 | 46,661 | |||||||||||||||||
Liabilities: | ||||||||||||||||||||
Unfunded Loan Commitment Liabilities (Accounts payable and accrued liabilities and other liabilities) | (323) | (5,700) | (6,023) | |||||||||||||||||
Stockholder’s Equity: | ||||||||||||||||||||
Retained Earnings | $ | (1,009,299) | $ | 37,088 | $ | (972,211) |
Loans - Carrying Amount | |||||||||||||||||||||||||||||
(Dollars in thousands) | Single Family Real Estate Secured - Mortgage | Single Family Real Estate Secured - Warehouse | Single Family Real Estate Secured - Financing | Multifamily Real Estate Secured - Mortgage and Financing | Commercial Real Estate - Mortgage | Commercial & Industrial | Auto & RV - Secured | Other | Total | ||||||||||||||||||||
Balance July 1, 2020 Pre-ASC 326 Adoption | $4,244,563 | $474,318 | $682,477 | $2,303,216 | $371,176 | $2,094,322 | $291,452 | $241,918 | $10,703,442 | ||||||||||||||||||||
Commercial Real Estate - Mortgage to Multifamily and Commercial Mortgage | — | — | — | 371,176 | (371,176) | — | — | — | — | ||||||||||||||||||||
Multifamily and Single Family Financing loans to Commercial Real Estate | — | — | (679,054) | (411,338) | 1,090,392 | — | — | — | — | ||||||||||||||||||||
Real estate secured Commercial & Industrial to Commercial Real Estate | — | — | — | — | 1,207,528 | (1,207,528) | — | — | — | ||||||||||||||||||||
Unsecured Consumer loans to Auto & Consumer | — | — | — | — | — | — | 49,913 | (49,913) | — | ||||||||||||||||||||
Single Family Warehouse and Mortgage combined | 477,741 | (474,318) | (3,423) | — | — | — | — | — | — | ||||||||||||||||||||
Other reclassifications | — | — | — | — | — | (1,474) | — | 1,474 | — | ||||||||||||||||||||
Balance July 1, 2020 Post ASC 326 Adoption | $4,722,304 | $— | $— | $2,263,054 | $2,297,920 | $885,320 | $341,365 | $193,479 | $10,703,442 | ||||||||||||||||||||
Loan Category Post-ASC 326 Adoption | Single Family - Mortgage & Warehouse | N/A | N/A | Multifamily and Commercial Mortgage | Commercial Real Estate | Commercial & Industrial - Non RE | Auto & Consumer | Other | Total |
Allowance for Credit Losses - Loans | |||||||||||||||||||||||||||||
(Dollars in thousands) | Single Family Real Estate Secured - Mortgage | Single Family Real Estate Secured - Warehouse | Single Family Real Estate Secured - Financing | Multifamily Real Estate Secured - Mortgage and Financing | Commercial Real Estate - Mortgage | Commercial & Industrial | Auto & RV - Secured | Other | Total | ||||||||||||||||||||
Balance July 1, 2020 Pre-ASC 326 Adoption | $24,041 | $1,860 | $5,094 | $6,318 | $1,456 | $22,863 | $5,738 | $8,437 | $75,807 | ||||||||||||||||||||
Reclassification | 1,860 | (1,860) | (5,094) | (1,600) | 19,596 | (12,909) | 3,723 | (3,716) | — | ||||||||||||||||||||
Balance July 1, 2020 Post Reclassification | $25,901 | $— | $— | $4,718 | $21,052 | $9,954 | $9,461 | $4,721 | $75,807 | ||||||||||||||||||||
Loan Category Post-ASC 326 Adoption | Single Family - Mortgage & Warehouse | N/A | N/A | Multifamily and Commercial Mortgage | Commercial Real Estate | Commercial & Industrial - Non RE | Auto & Consumer | Other | Total |
(Dollars in thousands) | January 28, 2019 | ||||
ASSETS | |||||
Cash and due from banks | $ | 16,604 | |||
Cash segregated for regulatory purposes | 142,016 | ||||
Securities, available for sale | 9,585 | ||||
Stock of the regulatory agencies, at cost | 2,431 | ||||
Securities borrowed | 157,898 | ||||
Customer, broker-dealer and clearing receivables | 234,352 | ||||
Other assets | 5,487 | ||||
Total identifiable assets | $ | 568,373 | |||
LIABILITIES | |||||
Borrowings, subordinated notes and debentures | $ | 85,100 | |||
Securities loaned | 203,041 | ||||
Customer, broker-dealer and clearing payables | 240,110 | ||||
Accounts payable and accrued liabilities | 7,383 | ||||
Total identifiable liabilities | $ | 535,634 | |||
Net identifiable assets | $ | 32,739 | |||
Intangible assets | 20,120 | ||||
Goodwill | 35,501 | ||||
Total net assets acquired | $ | 88,360 | |||
Total cash paid | $ | 80,860 | |||
Borrowings, subordinated notes and debentures issued | 7,500 | ||||
Total fair value of consideration paid | $ | 88,360 |
Level 1: | Quoted prices in active markets for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. | |||||||
Level 2: |
Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets include securities with quoted prices that are traded less frequently than exchange-traded instruments and whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data.
|
|||||||
Level 3: | Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models such as discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. |
June 30, 2021 | |||||||||||||||||||||||
(Dollars in thousands) |
Quoted Prices in
Active Markets for Identical Assets (Level 1) |
Significant Other
Observable Inputs (Level 2) |
Significant
Unobservable Inputs (Level 3) |
Total | |||||||||||||||||||
ASSETS: | |||||||||||||||||||||||
Securities—Trading: Municipal | $ | — | $ | 1,983 | $ | — | $ | 1,983 | |||||||||||||||
Securities—Available-for-Sale: | |||||||||||||||||||||||
Agency Debt1
|
$ | — | $ | — | $ | — | $ | — | |||||||||||||||
Agency MBS1
|
— | 23,913 | — | 23,913 | |||||||||||||||||||
Non-Agency MBS2
|
— | — | 67,615 | 67,615 | |||||||||||||||||||
Municipal | — | 3,565 | — | 3,565 | |||||||||||||||||||
Asset-backed securities and structured notes | — | 92,242 | — | 92,242 | |||||||||||||||||||
Total—Securities—Available-for-Sale | $ | — | $ | 119,720 | $ | 67,615 | $ | 187,335 | |||||||||||||||
Loans Held for Sale | $ | — | $ | 29,768 | $ | — | $ | 29,768 | |||||||||||||||
Mortgage servicing rights | $ | — | $ | — | $ | 17,911 | $ | 17,911 | |||||||||||||||
Other assets—Derivative instruments | $ | — | $ | — | $ | 2,280 | $ | 2,280 | |||||||||||||||
LIABILITIES: | |||||||||||||||||||||||
Other liabilities—Derivative instruments | $ | — | $ | — | $ | 75 | $ | 75 | |||||||||||||||
June 30, 2020 | |||||||||||||||||||||||
(Dollars in thousands) |
Quoted Prices in
Active Markets for Identical Assets (Level 1) |
Significant Other
Observable Inputs (Level 2) |
Significant
Unobservable Inputs (Level 3) |
Total | |||||||||||||||||||
ASSETS: | |||||||||||||||||||||||
Securities—Trading: Collateralized Debt Obligations | $ | — | $ | 105 | $ | — | $ | 105 | |||||||||||||||
Securities—Available-for-Sale: | |||||||||||||||||||||||
Agency Debt1
|
— | 1,799 | — | 1,799 | |||||||||||||||||||
Agency MBS1
|
$ | — | $ | 16,826 | $ | — | $ | 16,826 | |||||||||||||||
Non-Agency MBS2
|
— | — | 18,332 | 18,332 | |||||||||||||||||||
Municipal | — | 10,400 | — | 10,400 | |||||||||||||||||||
Asset-backed securities and structured notes | — | 140,270 | — | 140,270 | |||||||||||||||||||
Total—Securities—Available-for-Sale | $ | — | $ | 169,295 | $ | 18,332 | $ | 187,627 | |||||||||||||||
Loans Held for Sale | $ | — | $ | 51,995 | $ | — | $ | 51,995 | |||||||||||||||
Mortgage servicing rights | $ | — | $ | — | $ | 10,675 | $ | 10,675 | |||||||||||||||
Other assets—Derivative Instruments | $ | — | $ | — | $ | 9,131 | $ | 9,131 | |||||||||||||||
LIABILITIES: | |||||||||||||||||||||||
Other liabilities—Derivative instruments | $ | — | $ | — | $ | 1,715 | $ | 1,715 | |||||||||||||||
Year Ended June 30, 2021 | |||||||||||||||||||||||||||||
(Dollars in thousands) |
Securities-
Available-for- Sale: Non- Agency MBS |
Mortgage Servicing Rights1
|
Derivative Instruments, net | Total | |||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||
Opening Balance | $ | 18,332 | $ | 10,675 | $ | 7,416 | $ | 36,423 | |||||||||||||||||||||
Transfers into Level 3 | — | — | — | — | |||||||||||||||||||||||||
Transfers out of Level 3 | — | — | — | — | |||||||||||||||||||||||||
Total gains or losses for the period: | |||||||||||||||||||||||||||||
Included in earnings—Mortgage banking income | — | (6,319) | (5,211) | (11,530) | |||||||||||||||||||||||||
Included in other comprehensive income | 2,289 | — | — | 2,289 | |||||||||||||||||||||||||
Purchases, retentions, issues, sales and settlements: | |||||||||||||||||||||||||||||
Purchases/Retentions | 49,245 | 13,555 | — | 62,800 | |||||||||||||||||||||||||
Issues | — | — | — | — | |||||||||||||||||||||||||
Sales | — | — | — | — | |||||||||||||||||||||||||
Settlements | (2,251) | — | — | (2,251) | |||||||||||||||||||||||||
Closing balance | $ | 67,615 | $ | 17,911 | $ | 2,205 | $ | 87,731 | |||||||||||||||||||||
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period | $ | — | $ | (6,319) | $ | (5,211) | $ | (11,530) |
Year Ended June 30, 2020 | |||||||||||||||||||||||||||||
(Dollars in thousands) |
Securities-
Available-for- Sale: Non- Agency MBS |
Mortgage Servicing Rights1
|
Derivative Instruments, net | Total | |||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||
Opening Balance | $ | 13,025 | $ | 9,784 | $ | 1,246 | $ | 24,055 | |||||||||||||||||||||
Transfers into Level 3 | — | — | — | — | |||||||||||||||||||||||||
Transfers out of Level 3 | — | — | — | — | |||||||||||||||||||||||||
Total gains or losses for the period: | |||||||||||||||||||||||||||||
Included in earnings—Mortgage banking income | — | (5,806) | 6,170 | 364 | |||||||||||||||||||||||||
Included in other comprehensive income | 617 | — | — | 617 | |||||||||||||||||||||||||
Purchases, retentions, issues, sales and settlements: | |||||||||||||||||||||||||||||
Purchases/Retentions | 7,000 | 6,697 | — | 13,697 | |||||||||||||||||||||||||
Issues | — | — | — | — | |||||||||||||||||||||||||
Sales | — | — | — | — | |||||||||||||||||||||||||
Settlements | (2,310) | — | — | (2,310) | |||||||||||||||||||||||||
Closing balance | $ | 18,332 | $ | 10,675 | $ | 7,416 | $ | 36,423 | |||||||||||||||||||||
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period | $ | — | $ | (5,806) | $ | 6,170 | $ | 364 |
June 30, 2021 | ||||||||||||||
(Dollars in thousands) | Fair Value | Valuation Technique | Unobservable Inputs | Range (Weighted Average) | ||||||||||
Securities – Non-agency MBS | $ | 67,615 | Discounted Cash Flow |
Projected Constant Prepayment Rate,
Projected Constant Default Rate, Projected Loss Severity, Discount Rate over LIBOR |
0.0 to 25.0% (2.7%)
0.0 to 5.6% (0.6%)
0.0 to 100.0% (19.4%)
2.7 to 7.2% (3.1%)
|
|||||||||
Mortgage Servicing Rights | $ | 17,911 | Discounted Cash Flow |
Projected Constant Prepayment Rate,
Life (in years), Discount Rate |
7.5 to 37.4% (11.5%)
1.7 to 7.5 (6.4)
9.5 to 13.0% (9.6%)
|
|||||||||
Derivative Instruments | $ | 2,205 | Sales Comparison Approach | Projected Sales Profit of Underlying Loans |
0.2 to 0.5% (0.3%)
|
June 30, 2020 | ||||||||||||||
(Dollars in thousands) | Fair Value | Valuation Technique | Unobservable Inputs | Range (Weighted Average) | ||||||||||
Securities – Non-agency MBS | $ | 18,332 | Discounted Cash Flow |
Projected Constant Prepayment Rate,
Projected Constant Default Rate, Projected Loss Severity, Discount Rate over LIBOR |
2.5 to 47.9% (26.1%)
0.5 to 4.5% (2.0%)
35.0 to 68.4% (50.1%)
2.9 to 9.4% (5.0%)
|
|||||||||
Mortgage Servicing Rights | $ | 10,675 | Discounted Cash Flow |
Projected Constant Prepayment Rate,
Life (in years), Discount Rate |
4.7 to 39.6% (11.4%)
1.6 to 7.7 (6.2)
9.5 to 14.0% (9.8%)
|
|||||||||
Derivative Instruments | $ | 7,416 | Sales Comparison Approach | Projected Sales Profit of Underlying Loans |
(0.3) to 0.8% (0.2%)
|
June 30, 2021 | |||||||||||||||||||||||
(Dollars in thousands) |
Quoted Prices in
Active Markets for Identical Assets (Level 1) |
Significant Other
Observable Inputs (Level 2) |
Significant
Unobservable Inputs (Level 3) |
Balance | |||||||||||||||||||
Other real estate owned and foreclosed assets: | |||||||||||||||||||||||
Single family real estate | $ | — | $ | — | $ | 6,547 | $ | 6,547 | |||||||||||||||
Autos & RVs | — | — | 235 | 235 | |||||||||||||||||||
Total | $ | — | $ | — | $ | 6,782 | $ | 6,782 | |||||||||||||||
June 30, 2020 | |||||||||||||||||||||||
(Dollars in thousands) |
Quoted Prices in
Active Markets for Identical Assets (Level 1) |
Significant Other
Observable Inputs (Level 2) |
Significant
Unobservable Inputs (Level 3) |
Balance | |||||||||||||||||||
Other real estate owned and foreclosed assets: | |||||||||||||||||||||||
Single family real estate | $ | — | $ | — | $ | 6,114 | $ | 6,114 | |||||||||||||||
Autos & RVs | — | — | 294 | 294 | |||||||||||||||||||
Total | $ | — | $ | — | $ | 6,408 | $ | 6,408 | |||||||||||||||
At June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
Aggregate fair value | $ | 29,768 | $ | 51,995 | $ | 33,260 | |||||||||||
Contractual balance | 28,940 | 49,700 | 32,342 | ||||||||||||||
Unrealized gain | $ | 828 | $ | 2,295 | $ | 918 |
At June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
Interest income | $ | 1,411 | $ | 1,113 | $ | 1,006 | |||||||||||
Change in fair value | (6,680) | 7,531 | 544 | ||||||||||||||
Total | $ | (5,269) | $ | 8,644 | $ | 1,550 |
June 30, 2020 | ||||||||||||||
(Dollars in thousands) | Fair Value | Valuation Technique | Unobservable Input |
Range (Weighted Average)1
|
||||||||||
Other real estate owned and foreclosed assets: | ||||||||||||||
Single family real estate | $ | 6,114 | Sales comparison approach | Adjustment for differences between the comparable sales |
18.7 to 18.7% (18.7%)
|
|||||||||
Autos & RVs | $ | 294 | Sales comparison approach | Adjustment for differences between the comparable sales |
(24.6) to 44.2% (2.8%)
|
|||||||||
June 30, 2021 | |||||||||||||||||||||||||||||
(Dollars in thousands) |
Carrying
Amount |
Level 1 | Level 2 | Level 3 | Total Fair Value | ||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||||||
Cash, cash equivalents, cash segregated, and federal funds sold | $ | 1,037,777 | $ | 1,037,777 | $ | — | $ | — | $ | 1,037,777 | |||||||||||||||||||
Securities trading | 1,983 | — | 1,983 | — | 1,983 | ||||||||||||||||||||||||
Securities available-for-sale | 187,335 | — | 119,720 | 67,615 | 187,335 | ||||||||||||||||||||||||
Loans held for sale, at fair value | 29,768 | — | 29,768 | — | 29,768 | ||||||||||||||||||||||||
Loans held for sale, at lower of cost or fair value | 12,294 | — | — | 12,336 | 12,336 | ||||||||||||||||||||||||
Loans and leases held for investment—net | 11,414,814 | — | — | 11,833,102 | 11,833,102 | ||||||||||||||||||||||||
Securities borrowed | 619,088 | — | — | 619,274 | 619,274 | ||||||||||||||||||||||||
Customer, broker-dealer and clearing receivables | 369,815 | — | — | 369,815 | 369,815 | ||||||||||||||||||||||||
Mortgage servicing rights | 17,911 | — | — | 17,911 | 17,911 | ||||||||||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||||||
Total deposits | 10,815,797 | — | 10,297,450 | — | 10,297,450 | ||||||||||||||||||||||||
Advances from the Federal Home Loan Bank | 353,500 | — | 353,500 | — | 353,500 | ||||||||||||||||||||||||
Borrowings, subordinated notes and debentures | 221,358 | — | 210,196 | — | 210,196 | ||||||||||||||||||||||||
Securities loaned | 728,988 | — | — | 731,467 | 731,467 | ||||||||||||||||||||||||
Customer, broker-dealer and clearing payables | 535,425 | — | — | 535,425 | 535,425 | ||||||||||||||||||||||||
June 30, 2020 | |||||||||||||||||||||||||||||
(Dollars in thousands) |
Carrying
Amount |
Level 1 | Level 2 | Level 3 | Total Fair Value | ||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||||||
Cash, cash equivalents, cash segregated, and federal funds sold | $ | 1,950,519 | $ | 1,950,519 | $ | — | $ | — | $ | 1,950,519 | |||||||||||||||||||
Securities trading | 105 | — | 105 | — | 105 | ||||||||||||||||||||||||
Securities available-for-sale | 187,627 | — | 169,295 | 18,332 | 187,627 | ||||||||||||||||||||||||
Loans held for sale, at fair value | 51,995 | — | 51,995 | — | 51,995 | ||||||||||||||||||||||||
Loans held for sale, at lower of cost or fair value | 44,565 | — | — | 44,625 | 44,625 | ||||||||||||||||||||||||
Loans and leases held for investment—net
|
10,631,349 | — | — | 11,138,255 | 11,138,255 | ||||||||||||||||||||||||
Securities borrowed | 222,368 | — | — | 222,613 | 222,613 | ||||||||||||||||||||||||
Customer, broker-dealer and clearing receivables | 220,266 | — | — | 220,464 | 220,464 | ||||||||||||||||||||||||
Mortgage servicing rights | 10,675 | — | — | 10,675 | 10,675 | ||||||||||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||||||
Total deposits | 11,336,694 | — | 11,088,447 | — | 11,088,447 | ||||||||||||||||||||||||
Advances from the Federal Home Loan Bank | 242,500 | — | 254,114 | — | 254,114 | ||||||||||||||||||||||||
Borrowings, subordinated notes and debentures | 235,789 | — | 234,445 | — | 234,445 | ||||||||||||||||||||||||
Securities loaned | 255,945 | — | — | 256,790 | 256,790 | ||||||||||||||||||||||||
Customer, broker-dealer and clearing payables | 347,614 | — | — | 347,614 | 347,614 | ||||||||||||||||||||||||
June 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Trading | Available-for-sale | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) |
Fair
Value |
Amortized
Cost |
Unrealized
Gains |
Unrealized
Losses |
Fair
Value |
||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities (MBS): | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agencies1
|
$ | — | $ | 23,639 | $ | 420 | $ | (146) | $ | 23,913 | |||||||||||||||||||||||||||||||||||||||||||
Non-agency2
|
— | 65,174 | 2,862 | (421) | 67,615 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total mortgage-backed securities | — | 88,813 | 3,282 | (567) | 91,528 | ||||||||||||||||||||||||||||||||||||||||||||||||
Non-MBS: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Municipal | 1,983 | 3,466 | 99 | — | 3,565 | ||||||||||||||||||||||||||||||||||||||||||||||||
Asset-backed securities and structured notes | — | 90,549 | 1,693 | — | 92,242 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total Non-MBS | 1,983 | 94,015 | 1,792 | — | 95,807 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total debt securities | $ | 1,983 | $ | 182,828 | $ | 5,074 | $ | (567) | $ | 187,335 | |||||||||||||||||||||||||||||||||||||||||||
June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Trading | Available-for-sale | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) |
Fair
Value |
Amortized
Cost |
Unrealized
Gains |
Unrealized
Losses |
Fair
Value |
||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities (MBS): | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agencies1
|
$ | — | $ | 16,192 | $ | 634 | $ | — | $ | 16,826 | |||||||||||||||||||||||||||||||||||||||||||
Non-agency2
|
— | 18,180 | 1,024 | (872) | 18,332 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total mortgage-backed securities | — | 34,372 | 1,658 | (872) | 35,158 | ||||||||||||||||||||||||||||||||||||||||||||||||
Non-MBS: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agencies1
|
— | 1,799 | — | — | 1,799 | ||||||||||||||||||||||||||||||||||||||||||||||||
Municipal | 105 | 10,550 | 44 | (194) | 10,400 | ||||||||||||||||||||||||||||||||||||||||||||||||
Asset-backed securities and structured notes | — | 141,338 | 1 | (1,069) | 140,270 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total Non-MBS | 105 | 153,687 | 45 | (1,263) | 152,469 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total debt securities | $ | 105 | $ | 188,059 | $ | 1,703 | $ | (2,135) | $ | 187,627 |
June 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Available-for-sale securities in loss position for | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Less Than 12
Months |
More Than 12
Months |
Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) |
Fair
Value |
Gross Unrealized Losses |
Fair
Value |
Gross Unrealized Losses |
Fair
Value |
Gross Unrealized Losses | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
MBS: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agencies | $ | 10,001 | $ | (146) | $ | — | $ | — | $ | 10,001 | $ | (146) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-agency | — | — | 6,018 | (421) | 6,018 | (421) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total MBS securities | 10,001 | (146) | 6,018 | (421) | 16,019 | (567) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-MBS: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Municipal debt | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Asset-backed securities and structured notes | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Non-MBS | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total debt securities | $ | 10,001 | $ | (146) | $ | 6,018 | $ | (421) | $ | 16,019 | $ | (567) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Available-for-sale securities in loss position for | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Less Than 12
Months |
More Than 12
Months |
Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) |
Fair
Value |
Gross Unrealized Losses |
Fair
Value |
Gross Unrealized Losses |
Fair
Value |
Gross Unrealized Losses | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
MBS: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agencies | $ | 85 | $ | — | $ | — | $ | — | $ | 85 | $ | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-agency | — | — | 6,978 | (872) | 6,978 | (872) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total MBS securities | 85 | — | 6,978 | (872) | 7,063 | (872) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-MBS: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Municipal debt | — | — | 2,002 | (194) | 2,002 | (194) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Asset-backed securities and structured notes | 139,883 | (1,069) | — | — | 139,883 | (1,069) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Non-MBS | 139,883 | (1,069) | 2,002 | (194) | 141,885 | (1,263) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total debt securities | $ | 139,968 | $ | (1,069) | $ | 8,980 | $ | (1,066) | $ | 148,948 | $ | (2,135) |
At June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
Proceeds | $ | — | $ | — | $ | 15,863 | |||||||||||
Gross realized gains | $ | — | $ | — | $ | 842 | |||||||||||
Gross realized loss | — | — | (133) | ||||||||||||||
Net gain on securities | $ | — | $ | — | $ | 709 |
At June 30, | |||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||
Available-for-sale debt securities—net unrealized gains | $ | 4,507 | $ | (432) | |||||||
Available-for-sale debt securities—non-credit related | (845) | (845) | |||||||||
Subtotal | 3,662 | (1,277) | |||||||||
Tax (provision) benefit | (1,155) | 340 | |||||||||
Net unrealized gain (loss) on investment securities in accumulated other comprehensive loss | $ | 2,507 | $ | (937) |
At June 30, | |||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||
Single Family - Mortgage & Warehouse | $ | 4,359,472 | $ | 4,722,304 | |||||||
Multifamily and Commercial Mortgage | 2,470,454 | 2,263,054 | |||||||||
Commercial Real Estate | 3,180,453 | 2,297,920 | |||||||||
Commercial & Industrial - Non-RE | 1,123,869 | 885,320 | |||||||||
Auto & Consumer | 362,180 | 341,365 | |||||||||
Other | 58,316 | 193,479 | |||||||||
Total gross loans | 11,554,744 | 10,703,442 | |||||||||
Allowance for credit losses - loans | (132,958) | (75,807) | |||||||||
Unaccreted premiums (discounts) and loan fees | (6,972) | 3,714 | |||||||||
Total net loans | $ | 11,414,814 | $ | 10,631,349 |
At June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
Balance—beginning of period | $ | 75,807 | $ | 57,085 | $ | 49,151 | |||||||||||
Effect of Adoption of ASC 326 | 47,300 | — | — | ||||||||||||||
Provision for loan and lease loss | 23,750 | 42,200 | 27,350 | ||||||||||||||
Charged off | (16,558) | (25,833) | (19,663) | ||||||||||||||
Transfers to held for sale | — | — | (2,356) | ||||||||||||||
Recoveries | 2,659 | 2,355 | 2,603 | ||||||||||||||
Balance—end of period | $ | 132,958 | $ | 75,807 | $ | 57,085 |
June 30, 2021 | |||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Single Family - Mortgage & Warehouse | Multifamily and Commercial Mortgage | Commercial Real Estate | Commercial & Industrial - Non-RE | Auto & Consumer | Other | Total | ||||||||||||||||||||||||||||||||||
Balance at July 1, 2020 | $ | 25,899 | $ | 4,719 | $ | 21,052 | $ | 9,954 | $ | 9,462 | $ | 4,721 | $ | 75,807 | |||||||||||||||||||||||||||
Effect of Adoption of ASC 326 | 6,318 | 7,408 | 25,893 | 7,042 | 610 | 29 | 47,300 | ||||||||||||||||||||||||||||||||||
Provision for credit losses - loans | (3,242) | 1,196 | 11,238 | 14,251 | (1,354) | 1,661 | 23,750 | ||||||||||||||||||||||||||||||||||
Charge-offs | (2,502) | (177) | (255) | (2,833) | (3,517) | (7,274) | (16,558) | ||||||||||||||||||||||||||||||||||
Recoveries | 131 | — | — | 46 | 1,318 | 1,164 | 2,659 | ||||||||||||||||||||||||||||||||||
Balance at June 30, 2021 | $ | 26,604 | $ | 13,146 | $ | 57,928 | $ | 28,460 | $ | 6,519 | $ | 301 | $ | 132,958 |
June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Single Family - Mortgage & Warehouse | Multifamily and Commercial Mortgage | Commercial Real Estate | Commercial & Industrial - Non-RE | Auto & Consumer | Other | Total | ||||||||||||||||||||||||||||||||||||||||
Balance at July 1, 2019 | $ | 22,290 | $ | 3,807 | $ | 14,632 | $ | 9,544 | $ | 6,339 | $ | 473 | $ | 57,085 | |||||||||||||||||||||||||||||||||
Provision for credit losses - loans | 3,546 | 793 | 6,420 | 4,542 | 7,429 | 19,470 | 42,200 | ||||||||||||||||||||||||||||||||||||||||
Charge-offs | (203) | — | — | (4,132) | (5,047) | (16,451) | (25,833) | ||||||||||||||||||||||||||||||||||||||||
Recoveries | 266 | 119 | — | — | 741 | 1,229 | 2,355 | ||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2020 | $ | 25,899 | $ | 4,719 | $ | 21,052 | $ | 9,954 | $ | 9,462 | $ | 4,721 | $ | 75,807 |
June 30, 2019 | |||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Single Family - Mortgage & Warehouse | Multifamily and Commercial Mortgage | Commercial Real Estate | Commercial & Industrial - Non-RE | Auto & Consumer | Other | Total | ||||||||||||||||||||||||||||||||||
Balance at July 1, 2018 | $ | 20,905 | $ | 4,054 | $ | 9,202 | $ | 10,438 | $ | 4,127 | $ | 425 | $ | 49,151 | |||||||||||||||||||||||||||
Provision for credit losses - loans | 1,777 | (356) | 5,430 | 255 | 5,731 | 14,513 | 27,350 | ||||||||||||||||||||||||||||||||||
Charge-offs | (799) | — | — | (1,149) | (3,752) | (13,963) | (19,663) | ||||||||||||||||||||||||||||||||||
Transfers to held for sale | — | — | — | — | — | (2,356) | (2,356) | ||||||||||||||||||||||||||||||||||
Recoveries | 407 | 109 | — | — | 233 | 1,854 | 2,603 | ||||||||||||||||||||||||||||||||||
Balance at June 30, 2019 | $ | 22,290 | $ | 3,807 | $ | 14,632 | $ | 9,544 | $ | 6,339 | $ | 473 | $ | 57,085 |
As of June 30, 2021 | |||||||||||||||||
(Dollars in thousands) | With Allowance | With No Allowance | Total | ||||||||||||||
Single Family - Mortgage & Warehouse | $ | 45,951 | $ | 59,757 | $ | 105,708 | |||||||||||
Multifamily and Commercial Mortgage | 2,916 | 17,512 | 20,428 | ||||||||||||||
Commercial Real Estate | 15,839 | — | 15,839 | ||||||||||||||
Commercial & Industrial - Non-RE | 2,942 | — | 2,942 | ||||||||||||||
Auto & Consumer | 230 | 48 | 278 | ||||||||||||||
Total nonaccrual loans | $ | 67,878 | $ | 77,317 | $ | 145,195 | |||||||||||
Nonaccrual loans to total loans | 1.26 | % |
June 30, 2021 | |||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Single Family - Mortgage & Warehouse | Multifamily and Commercial Mortgage | Commercial Real Estate | Commercial & Industrial - Non-RE | Auto & Consumer | Other | Total | ||||||||||||||||||||||||||||||||||
Performing | $ | 4,253,764 | $ | 2,450,026 | $ | 3,164,614 | $ | 1,120,927 | $ | 361,902 | $ | 58,316 | $ | 11,409,549 | |||||||||||||||||||||||||||
Nonaccrual | 105,708 | 20,428 | 15,839 | 2,942 | 278 | — | 145,195 | ||||||||||||||||||||||||||||||||||
Total | $ | 4,359,472 | $ | 2,470,454 | $ | 3,180,453 | $ | 1,123,869 | $ | 362,180 | $ | 58,316 | $ | 11,554,744 |
June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Single Family - Mortgage & Warehouse | Multifamily and Commercial Mortgage | Commercial Real Estate | Commercial & Industrial - Non-RE | Auto & Consumer | Other | Total | ||||||||||||||||||||||||||||||||||
Performing | $ | 4,638,274 | $ | 2,259,629 | $ | 2,297,920 | $ | 885,107 | $ | 341,092 | $ | 193,479 | $ | 10,615,501 | |||||||||||||||||||||||||||
Nonaccrual | 84,030 | 3,425 | — | 213 | 273 | — | 87,941 | ||||||||||||||||||||||||||||||||||
Total | $ | 4,722,304 | $ | 2,263,054 | $ | 2,297,920 | $ | 885,320 | $ | 341,365 | $ | 193,479 | $ | 10,703,442 |
Loans Held for Investment Origination Year | Revolving Loans | Revolving Loans Converted to Loans HFI | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | 2018 | 2017 | Prior | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Single Family-Mortgage & Warehouse | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | $962,787 | $726,941 | $492,421 | $470,287 | $351,274 | $576,197 | $585,785 | $— | $4,165,692 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | 79 | 9,972 | 7,102 | 4,093 | 6,434 | 18,347 | 28,339 | — | 74,366 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard | — | 32,363 | 16,386 | 17,624 | 15,032 | 38,009 | — | — | 119,414 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total | 962,866 | 769,276 | 515,909 | 492,004 | 372,740 | 632,553 | 614,124 | — | 4,359,472 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Multifamily and Commercial Mortgage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 636,870 | 571,530 | 357,900 | 288,698 | 195,257 | 340,553 | — | — | 2,390,808 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | — | 26,224 | 18,132 | 855 | 1,321 | 1,409 | — | — | 47,941 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard | 4,947 | 12,123 | 1,068 | 10,554 | 1,236 | 1,777 | — | — | 31,705 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total | 641,817 | 609,877 | 377,100 | 300,107 | 197,814 | 343,739 | — | — | 2,470,454 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 1,335,963 | 946,723 | 430,513 | 114,979 | — | 63,750 | 184,219 | — | 3,076,147 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | — | 9,359 | 15,487 | — | — | — | 1,993 | — | 26,839 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard | — | 24,842 | 36,786 | 15,839 | — | — | — | — | 77,467 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total | 1,335,963 | 980,924 | 482,786 | 130,818 | — | 63,750 | 186,212 | — | 3,180,453 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial & Industrial - Non-RE | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 45,396 | 80,139 | 16,842 | 24,210 | 8,679 | — | 927,449 | — | 1,102,715 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | — | 11,693 | 262 | 2,197 | — | — | — | — | 14,152 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard | 2,989 | 733 | 2,942 | 338 | — | — | — | — | 7,002 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total | 48,385 | 92,565 | 20,046 | 26,745 | 8,679 | — | 927,449 | — | 1,123,869 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Auto & Consumer | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 156,391 | 78,641 | 70,071 | 32,725 | 15,885 | 7,410 | — | — | 361,123 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | 30 | 144 | 62 | — | — | 31 | — | — | 267 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard | 61 | 181 | 396 | 59 | 76 | 17 | — | — | 790 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total | 156,482 | 78,966 | 70,529 | 32,784 | 15,961 | 7,458 | — | — | 362,180 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 17,078 | 37,909 | — | 1,663 | 649 | 1,017 | — | — | 58,316 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total | 17,078 | 37,909 | — | 1,663 | 649 | 1,017 | — | — | 58,316 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 3,154,485 | 2,441,883 | 1,367,747 | 932,562 | 571,744 | 988,927 | 1,697,453 | — | 11,154,801 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | 109 | 57,392 | 41,045 | 7,145 | 7,755 | 19,787 | 30,332 | — | 163,565 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard | 7,997 | 70,242 | 57,578 | 44,414 | 16,344 | 39,803 | — | — | 236,378 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $3,162,591 | $2,569,517 | $1,466,370 | $984,121 | $595,843 | $1,048,517 | $1,727,785 | $— | $11,554,744 | ||||||||||||||||||||||||||||||||||||||||||||||||||
As a % of total gross loans and leases | 27.37% | 22.24% | 12.69% | 8.52% | 5.16% | 9.07% | 14.95% | —% | 100.0% |
June 30, 2021 | |||||||||||||||||||||||
(Dollars in thousands) | 30-59 Days | 60-89 Days | 90+ Days | Total | |||||||||||||||||||
Single Family-Mortgage & Warehouse | $ | 24,150 | $ | 46,552 | $ | 69,169 | $ | 139,871 | |||||||||||||||
Multifamily and Commercial Mortgage | 7,991 | 1,816 | 12,122 | 21,929 | |||||||||||||||||||
Commercial Real Estate | 36,786 | — | — | 36,786 | |||||||||||||||||||
Commercial & Industrial - Non-RE | — | — | 2,960 | 2,960 | |||||||||||||||||||
Auto & Consumer | 601 | 306 | 235 | 1,142 | |||||||||||||||||||
Other | — | — | — | — | |||||||||||||||||||
Total | $ | 69,528 | $ | 48,674 | $ | 84,486 | $ | 202,688 | |||||||||||||||
As a % of gross loans and leases | 0.60 | % | 0.42 | % | 0.73 | % | 1.75 | % |
June 30, 2020 | |||||||||||||||||||||||
(Dollars in thousands) | 30-59 Days | 60-89 Days | 90+ Days | Total | |||||||||||||||||||
Single Family-Mortgage & Warehouse | $ | 17,931 | $ | 23,115 | $ | 66,813 | $ | 107,859 | |||||||||||||||
Multifamily and Commercial Mortgage | 7,744 | 5,287 | — | 13,031 | |||||||||||||||||||
Commercial Real Estate | — | — | — | — | |||||||||||||||||||
Commercial & Industrial - Non-RE | — | — | — | — | |||||||||||||||||||
Auto & Consumer | 973 | 166 | 326 | 1,465 | |||||||||||||||||||
Other | — | — | — | — | |||||||||||||||||||
Total | $ | 26,648 | $ | 28,568 | $ | 67,139 | $ | 122,355 | |||||||||||||||
As a % of gross loans and leases | 0.25 | % | 0.27 | % | 0.63 | % | 1.13 | % |
For the Year Ended June 30, 2021 | |||||||||||||||||
(Dollars in thousands) | Allowance for Credit Losses - Loans | Unfunded Loan Commitment Liabilities | Total Allowance for Credit Losses | ||||||||||||||
Balance at July 1, 2020 | $ | 75,807 | $ | 323 | $ | 76,130 | |||||||||||
Effect of Adoption of ASC 326 | 47,300 | 5,700 | 53,000 | ||||||||||||||
Provision for Credit Losses | 23,750 | (300) | 23,450 | ||||||||||||||
Charge-offs | (16,558) | — | (16,558) | ||||||||||||||
Recoveries | 2,659 | — | 2,659 | ||||||||||||||
Balance at June 30, 2021 | $ | 132,958 | $ | 5,723 | $ | 138,681 |
For the Year Ended June 30, 2020 | |||||||||||||||||
(Dollars in thousands) | Allowance for Credit Losses - Loans | Unfunded Loan Commitment Liabilities | Total Allowance for Credit Losses | ||||||||||||||
Balance at July 1, 2019 | $ | 57,085 | $ | 227 | $ | 57,312 | |||||||||||
Provision for Credit Losses | 42,200 | 96 | 42,296 | ||||||||||||||
Charge-offs | (25,833) | — | (25,833) | ||||||||||||||
Recoveries | 2,355 | — | 2,355 | ||||||||||||||
Balance at June 30, 2020 | $ | 75,807 | $ | 323 | $ | 76,130 |
June 30, 2021 | |||||||||||||||||||||||||||||
(Dollars in thousands) | Gross Assets / Liabilities | Amounts Offset | Net Balance Sheet Amount | Financial Collateral | Net Assets / Liabilities | ||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||
Securities borrowed | $ | 619,088 | $ | — | $ | 619,088 | $ | 619,088 | $ | — | |||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||
Securities loaned | $ | 728,988 | $ | — | $ | 728,988 | $ | 728,988 | $ | — |
June 30, 2020 | |||||||||||||||||||||||||||||
(Dollars in thousands) | Gross Assets / Liabilities | Amounts Offset | Net Balance Sheet Amount | Financial Collateral | Net Assets / Liabilities | ||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||
Securities borrowed | $ | 222,368 | $ | — | $ | 222,368 | $ | 222,368 | $ | — | |||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||
Securities loaned | $ | 255,945 | $ | — | $ | 255,945 | $ | 255,945 | $ | — |
At June 30, | |||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||
Receivables: | |||||||||||
Customers | $ | 326,176 | $ | 211,386 | |||||||
Broker-dealer and clearing organizations: | |||||||||||
Receivable from broker-dealers | 38,887 | 6,782 | |||||||||
Securities failed to deliver | 4,752 | 2,098 | |||||||||
Total customer, broker-dealer and clearing receivables | $ | 369,815 | $ | 220,266 | |||||||
Payables: | |||||||||||
Customers | $ | 497,098 | $ | 324,628 | |||||||
Broker-dealer and clearing organizations: | |||||||||||
Payable to broker-dealers | 31,203 | 20,382 | |||||||||
Securities failed to receive | 7,124 | 2,604 | |||||||||
Total customer, broker-dealer and clearing payables | $ | 535,425 | $ | 347,614 |
At June 30, | |||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||
Leasehold improvements | $ | 5,556 | $ | 5,434 | |||||||
Furniture and fixtures | 7,793 | 7,749 | |||||||||
Computer hardware and equipment | 24,396 | 22,932 | |||||||||
Software | 60,086 | 51,554 | |||||||||
Total | 97,831 | 87,669 | |||||||||
Less accumulated depreciation and amortization | (71,535) | (57,105) | |||||||||
Furniture, equipment and software—net1
|
$ | 26,296 | $ | 30,564 |
(Dollars in thousands) | Total | ||||
Balance as of July 1, 2019 | $ | 71,222 | |||
Goodwill from acquisitions | — | ||||
Balance as of July 1, 2020 | 71,222 | ||||
Goodwill from acquisitions | — | ||||
Balance as of June 30, 2021 | $ | 71,222 |
June 30, 2021 | June 30, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||||||||||||||||
Covenant not to compete | $ | 930 | $ | 756 | $ | 174 | $ | 930 | $ | 523 | $ | 407 | ||||||||||||||||||||||||||
Customer relationships | 31,310 | 7,110 | 24,200 | 31,310 | 4,498 | 26,812 | ||||||||||||||||||||||||||||||||
Customer deposit intangible | 13,545 | 5,829 | 7,716 | 13,545 | 3,756 | 9,789 | ||||||||||||||||||||||||||||||||
Developed technologies | 23,050 | 10,769 | 12,281 | 23,050 | 5,963 | 17,087 | ||||||||||||||||||||||||||||||||
Trademark | 378 | — | 378 | — | — | — | ||||||||||||||||||||||||||||||||
Trade name | 290 | 290 | — | 290 | 218 | 72 | ||||||||||||||||||||||||||||||||
Total intangible assets | $ | 69,503 | $ | 24,754 | $ | 44,749 | $ | 69,125 | $ | 14,958 | $ | 54,167 |
Weighted-Average
Useful Lives (Years) |
|||||
Covenant not to compete | 4 | ||||
Customer relationships | 12 | ||||
Customer deposit intangible | 10 | ||||
Developed technologies | 5 | ||||
Trade name | 3 |
(Dollars in thousands) | Amortization Expense | ||||
For the fiscal year ending June 30, | |||||
2022 | $ | 8,441 | |||
2023 | 8,020 | ||||
2024 | 7,551 | ||||
2025 | 4,061 | ||||
2026 | 2,927 | ||||
Thereafter | 13,371 | ||||
Total | $ | 44,371 |
Years End June 30, | ||||||||||||||
(Dollars in thousands) | 2021 | 2020 | ||||||||||||
Operating lease right-of-use assets | $ | 64,077 | $ | 73,014 | ||||||||||
Operating lease liabilities | 70,119 | 76,827 | ||||||||||||
Weighted-average remaining lease term: | ||||||||||||||
Operating leases | 8.30 years | 9.12 years | ||||||||||||
Weighted-average discount rate: | ||||||||||||||
Operating leases | 2.90 | % | 2.90 | % |
At June 30, | |||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
(Dollars in thousands) | Amount |
Rate1
|
Amount |
Rate1
|
|||||||||||||||||||
Non-interest bearing | $ | 2,474,424 | — | % | $ | 1,936,661 | — | % | |||||||||||||||
Interest bearing: | |||||||||||||||||||||||
Demand | 3,369,845 | 0.15 | % | 3,456,127 | 0.37 | % | |||||||||||||||||
Savings | 3,458,687 | 0.21 | % | 3,697,188 | 0.78 | % | |||||||||||||||||
6,828,532 | 0.18 | % | 7,153,315 | 0.58 | % | ||||||||||||||||||
Time deposits: | |||||||||||||||||||||||
$250 and under | 1,070,139 | 1.30 | % | 1,584,034 | 2.12 | % | |||||||||||||||||
Greater than $250 | 442,702 | 1.03 | % | 662,684 | 1.39 | % | |||||||||||||||||
Total time deposits | 1,512,841 | 1.22 | % | 2,246,718 | 1.91 | % | |||||||||||||||||
Total interest bearing2
|
8,341,373 | 0.37 | % | 9,400,033 | 0.90 | % | |||||||||||||||||
Total deposits | $ | 10,815,797 | 0.29 | % | $ | 11,336,694 | 0.75 | % |
(Dollars in thousands) | June 30, 2021 | ||||
Within 12 months | $ | 1,021,465 | |||
13 to 24 months | 214,232 | ||||
25 to 36 months | 125,943 | ||||
37 to 48 months | 138,485 | ||||
49 to 60 months | 12,716 | ||||
Thereafter | — | ||||
Total | $ | 1,512,841 |
At June 30, | |||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
(Dollars in thousands) | Amount |
Weighted-
Average Rate |
Amount |
Weighted-
Average Rate |
|||||||||||||||||||
Within one year1
|
$ | 236,000 | 0.64 | % | $ | 75,000 | 1.99 | % | |||||||||||||||
After one but within two years | 27,500 | 2.08 | % | 50,000 | 2.47 | % | |||||||||||||||||
After two but within three years | — | — | % | 27,500 | 2.08 | % | |||||||||||||||||
After three but within four years | 30,000 | 2.82 | % | — | — | % | |||||||||||||||||
After four but within five years | — | — | % | 30,000 | 2.82 | % | |||||||||||||||||
After five years | 60,000 | 2.07 | % | 60,000 | 2.07 | % | |||||||||||||||||
Total | $ | 353,500 | 1.18 | % | $ | 242,500 | 2.22 | % |
(Dollars in thousands) | June 30, 2021 | June 30, 2020 | |||||||||
Borrowings from other banks | $ | 36,200 | $ | 21,500 | |||||||
Paycheck protection program liquidity facility advances | — | 151,952 | |||||||||
Subordinated loans | 7,400 | 7,400 | |||||||||
Subordinated notes | 175,000 | 51,000 | |||||||||
Junior subordinated debentures | 5,155 | 5,155 | |||||||||
Less unamortized issuance costs | (2,397) | (1,218) | |||||||||
Total borrowings, subordinated notes and debentures | $ | 221,358 | $ | 235,789 |
At June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
Current: | |||||||||||||||||
Federal | $ | 61,827 | $ | 51,893 | $ | 42,065 | |||||||||||
State | 37,037 | 33,852 | 24,296 | ||||||||||||||
98,864 | 85,745 | 66,361 | |||||||||||||||
Deferred: | |||||||||||||||||
Federal | (5,562) | (3,814) | (5,483) | ||||||||||||||
State | (3,266) | (2,737) | (3,203) | ||||||||||||||
(8,828) | (6,551) | (8,686) | |||||||||||||||
Total | $ | 90,036 | $ | 79,194 | $ | 57,675 |
At June 30, | |||||||||||||||||
2021 | 2020 | 2019 | |||||||||||||||
Statutory federal tax rate | 21.00 | % | 21.00 | % | 21.00 | % | |||||||||||
Increase (decrease) resulting from: | |||||||||||||||||
State taxes—net of federal tax benefit | 8.70 | % | 9.27 | % | 8.66 | % | |||||||||||
Cash surrender value | (0.01) | % | (0.02) | % | (0.06) | % | |||||||||||
Deferred tax asset write-off | — | % | 0.77 | % | — | % | |||||||||||
Tax credits | (0.59) | % | (0.77) | % | (1.55) | % | |||||||||||
Non-taxable income | (0.09) | % | (0.10) | % | (0.15) | % | |||||||||||
Excess benefit RSU vesting | (0.64) | % | (0.05) | % | (0.95) | % | |||||||||||
Other | 1.08 | % | 0.05 | % | 0.15 | % | |||||||||||
Effective tax rate | 29.45 | % | 30.15 | % | 27.10 | % |
At June 30, | |||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||
Deferred tax assets: | |||||||||||
Allowance for loan and lease losses and charge-offs | $ | 51,663 | $ | 30,705 | |||||||
State taxes | 903 | 2,682 | |||||||||
Stock-based compensation expense | 4,891 | 4,249 | |||||||||
Unrealized net losses on securities | — | 1,135 | |||||||||
Deferred bonus / vacation | 3,388 | 2,385 | |||||||||
Securities impaired | 266 | 266 | |||||||||
Deferred loan fees | 4,182 | 2,900 | |||||||||
Lease liability | 1,959 | 1,236 | |||||||||
Net operating loss carryforward | 1,811 | 2,244 | |||||||||
Total deferred tax assets | 69,063 | 47,802 | |||||||||
Deferred tax liabilities: | |||||||||||
FHLB stock dividend | (830) | (830) | |||||||||
Other assets—prepaids | (2,717) | (2,095) | |||||||||
Depreciation and amortization | (9,998) | (13,111) | |||||||||
Unrealized net gains on securities | (1,155) | — | |||||||||
Total deferred tax liabilities | (14,700) | (16,036) | |||||||||
Net deferred tax asset1
|
$ | 54,363 | $ | 31,766 |
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
Balance—beginning of period | $ | 813 | $ | 1,084 | $ | 1,135 | |||||||||||
Additions—current year tax positions | 355 | 115 | 107 | ||||||||||||||
Additions—prior year tax positions1
|
2,205 | 31 | — | ||||||||||||||
Reductions—prior year tax positions | (4) | (417) | (158) | ||||||||||||||
Total liability for unrecognized tax positions—end of period | $ | 3,369 | $ | 813 | $ | 1,084 |
(Dollars in thousands) |
Stock Award
Compensation Expense |
||||
For the fiscal year ending June 30: | |||||
2022 | $ | 15,014 | |||
2023 | 9,350 | ||||
2024 | 3,309 | ||||
2025 | 331 | ||||
2026 | 101 | ||||
Total | $ | 28,105 |
Restricted Stock
Units |
Weighted-Average
Grant-Date Fair Value |
|||||||||||||
Non-vested balance at June 30, 2019 | 1,546,848 | $ | 30.73 | |||||||||||
Granted | 714,569 | 24.05 | ||||||||||||
Vested | (693,660) | 28.52 | ||||||||||||
Forfeitures | (122,217) | 29.10 | ||||||||||||
Non-vested balance at June 30, 2020 | 1,445,540 | $ | 28.62 | |||||||||||
Granted | 617,833 | 32.12 | ||||||||||||
Vested | (666,790) | 29.23 | ||||||||||||
Forfeitures | (176,113) | 27.42 | ||||||||||||
Non-vested balance at June 30, 2021 | 1,220,470 | $ | 30.18 |
At June 30, | |||||||||||||||||
(Dollars in thousands, except per share data) | 2021 | 2020 | 2019 | ||||||||||||||
Earnings Per Common Share | |||||||||||||||||
Net income | $ | 215,707 | $ | 183,438 | $ | 155,131 | |||||||||||
Preferred stock dividends | (103) | (309) | (309) | ||||||||||||||
Preferred stock redemption | (86) | — | — | ||||||||||||||
Net income attributable to common shareholders | $ | 215,518 | $ | 183,129 | $ | 154,822 | |||||||||||
Average common shares issued and outstanding | 59,229,495 | 60,794,555 | 61,898,447 | ||||||||||||||
Average unvested RSUs | — | — | — | ||||||||||||||
Total qualifying shares | 59,229,495 | 60,794,555 | 61,898,447 | ||||||||||||||
Earnings per common share | $ | 3.64 | $ | 3.01 | $ | 2.50 | |||||||||||
Diluted Earnings Per Common Share | |||||||||||||||||
Dilutive net income attributable to common shareholders | $ | 215,518 | $ | 183,129 | $ | 154,822 | |||||||||||
Average common shares issued and outstanding | 59,229,495 | 60,794,555 | 61,898,447 | ||||||||||||||
Dilutive effect of average unvested RSUs | 1,290,116 | 643,080 | 483,618 | ||||||||||||||
Total dilutive common shares outstanding | 60,519,611 | 61,437,635 | 62,382,065 | ||||||||||||||
Diluted earnings per common share | $ | 3.56 | $ | 2.98 | $ | 2.48 |
Axos Financial, Inc. | Axos Bank |
“Well
Capitalized” Ratio |
Minimum Capital
Ratio |
||||||||||||||||||||||||||||||||
(Dollars in thousands) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||||||||||||||
Regulatory Capital: | |||||||||||||||||||||||||||||||||||
Tier 1 | $ | 1,309,496 | $ | 1,106,393 | $ | 1,262,885 | $ | 1,080,455 | |||||||||||||||||||||||||||
Common equity tier 1 | $ | 1,309,496 | $ | 1,101,330 | $ | 1,262,885 | $ | 1,080,455 | |||||||||||||||||||||||||||
Total capital (to risk-weighted assets) | $ | 1,587,625 | $ | 1,240,923 | $ | 1,358,430 | $ | 1,156,401 | |||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||
Average adjusted | $ | 14,851,462 | $ | 12,333,030 | $ | 13,359,578 | $ | 11,679,819 | |||||||||||||||||||||||||||
Total risk-weighted | $ | 11,522,645 | $ | 9,817,374 | $ | 10,283,135 | $ | 9,160,365 | |||||||||||||||||||||||||||
Regulatory Capital Ratios: | |||||||||||||||||||||||||||||||||||
Tier 1 leverage (core) capital to adjusted average assets | 8.82 | % | 8.97 | % | 9.45 | % | 9.25 | % | 5.00 | % | 4.00 | % | |||||||||||||||||||||||
Common equity tier 1 capital (to risk-weighted assets) | 11.36 | % | 11.22 | % | 12.28 | % | 11.79 | % | 6.50 | % | 4.50 | % | |||||||||||||||||||||||
Tier 1 capital (to risk-weighted assets) | 11.36 | % | 11.27 | % | 12.28 | % | 11.79 | % | 8.00 | % | 6.00 | % | |||||||||||||||||||||||
Total capital (to risk-weighted assets) | 13.78 | % | 12.64 | % | 13.21 | % | 12.62 | % | 10.00 | % | 8.00 | % |
(Dollars in thousands) | June 30, 2021 | June 30, 2020 | |||||||||
Net capital | $ | 35,950 | $ | 34,022 | |||||||
Less: required net capital | 8,046 | 4,572 | |||||||||
Excess capital | $ | 27,904 | $ | 29,450 | |||||||
Net capital as a percentage of aggregate debit items | 8.94 | % | 14.88 | % | |||||||
Net capital in excess of 5% aggregate debit items | $ | 15,836 | $ | 22,593 |
At June 30, | |||||||||||
(Dollars in thousands) | 2021 | 2020 | |||||||||
ASSETS | |||||||||||
Cash and due from banks | $ | 126,409 | $ | 23,130 | |||||||
Investment securities | 14,985 | 14,038 | |||||||||
Other assets | 111,084 | 92,200 | |||||||||
Investment in subsidiary | 1,411,950 | 1,254,610 | |||||||||
Total assets
|
$ | 1,664,428 | $ | 1,383,978 | |||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
Borrowings, subordinated notes and debentures | $ | 185,158 | $ | 62,337 | |||||||
Accounts payable and accrued liabilities and other liabilities | 78,334 | 90,795 | |||||||||
Total liabilities | 263,492 | 153,132 | |||||||||
Stockholders’ equity | 1,400,936 | 1,230,846 | |||||||||
Total liabilities and stockholders’ equity | $ | 1,664,428 | $ | 1,383,978 |
Year Ended June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
Interest income | $ | 1,262 | $ | 619 | $ | 472 | |||||||||||
Interest expense | 10,891 | 4,348 | 3,931 | ||||||||||||||
Net interest (expense) income | (9,629) | (3,729) | (3,459) | ||||||||||||||
Net interest (expense) income, after provision for loan losses | (9,629) | (3,729) | (3,459) | ||||||||||||||
Non-interest income (loss) | 217 | 58 | — | ||||||||||||||
Non-interest expense and tax benefit1
|
4,360 | 11,903 | 15,143 | ||||||||||||||
Income (loss) before dividends from subsidiary and equity in undistributed income of subsidiary | (13,772) | (15,574) | (18,602) | ||||||||||||||
Dividends from subsidiary | 45,000 | 119,114 | 80,000 | ||||||||||||||
Equity in undistributed earnings of subsidiary | 184,479 | 79,898 | 93,733 | ||||||||||||||
Net income | $ | 215,707 | $ | 183,438 | $ | 155,131 | |||||||||||
Comprehensive income | $ | 219,151 | $ | 182,485 | $ | 155,760 |
Year Ended June 30, | |||||||||||||||||
(Dollars in thousands) | 2021 | 2020 | 2019 | ||||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||
Net income | $ | 215,707 | $ | 183,438 | $ | 155,131 | |||||||||||
Adjustments to reconcile net income to net cash used in operating activities: | |||||||||||||||||
Accretion of discounts on securities | 48 | 26 | — | ||||||||||||||
Amortization of borrowing costs | 1,569 | 208 | 208 | ||||||||||||||
Amortization of operating lease right of use asset | 9,197 | 9,079 | — | ||||||||||||||
Stock-based compensation expense | 20,685 | 21,935 | 23,439 | ||||||||||||||
Equity in undistributed earnings of subsidiary | (184,479) | (79,898) | (93,733) | ||||||||||||||
Decrease (increase) in other assets | (25,835) | (79,227) | (8,477) | ||||||||||||||
Increase (decrease) in other liabilities | (14,550) | 72,175 | 7,986 | ||||||||||||||
Net cash provided by operating activities | 22,342 | 127,736 | 84,554 | ||||||||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||
Purchases of investment securities | — | (15,301) | — | ||||||||||||||
Origination of loans and leases held for investment | — | — | (844) | ||||||||||||||
Purchases of loans and leases, net of discounts and premiums | — | (59,391) | — | ||||||||||||||
Proceeds from principal repayments on loans | — | 10 | 854 | ||||||||||||||
Purchases of furniture, equipment, software and intangibles | (457) | — | — | ||||||||||||||
Investment in subsidiary | (7,200) | (10,130) | (106,557) | ||||||||||||||
Net cash used in investing activities | (7,657) | (84,812) | (106,547) | ||||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||
Tax payments related to the settlement of restricted stock units | (10,648) | (7,457) | (9,916) | ||||||||||||||
Repurchase of treasury stock | (16,757) | (38,858) | (56,437) | ||||||||||||||
Net (repayment) proceeds of other borrowings | (51,000) | — | — | ||||||||||||||
Payments of debt issuance costs | (2,748) | — | — | ||||||||||||||
Proceeds from issuance of subordinated notes | 175,000 | — | 7,400 | ||||||||||||||
Redemption of preferred stock, Series A | (5,150) | — | — | ||||||||||||||
Cash dividends on preferred stock | (103) | (386) | (232) | ||||||||||||||
Net cash provided by (used in) financing activities | 88,594 | (46,701) | (59,185) | ||||||||||||||
NET CHANGE IN CASH AND CASH EQUIVALENTS | 103,279 | (3,777) | (81,178) | ||||||||||||||
CASH AND CASH EQUIVALENTS—Beginning of year | 23,130 | 26,907 | 108,085 | ||||||||||||||
CASH AND CASH EQUIVALENTS—End of year | $ | 126,409 | $ | 23,130 | $ | 26,907 |
Quarters Ended in Fiscal Year 2021 | |||||||||||||||||||||||
(Dollars in thousands, except per share data) | June 30, | March 31, | December 31, | September 30, | |||||||||||||||||||
Interest and dividend income | $ | 156,921 | $ | 155,674 | $ | 155,379 | $ | 149,889 | |||||||||||||||
Interest expense | 15,267 | 20,005 | 21,287 | 22,562 | |||||||||||||||||||
Net interest income | 141,654 | 135,669 | 134,092 | 127,327 | |||||||||||||||||||
Provision for loan and lease losses | 1,250 | 2,700 | 8,000 | 11,800 | |||||||||||||||||||
Net interest income after provision for loan and lease losses | 140,404 | 132,969 | 126,092 | 115,527 | |||||||||||||||||||
Non-interest income | 16,801 | 23,887 | 28,718 | 35,855 | |||||||||||||||||||
Non-interest expense | 81,860 | 80,807 | 76,297 | 75,546 | |||||||||||||||||||
Income before income tax expense | 75,345 | 76,049 | 78,513 | 75,836 | |||||||||||||||||||
Income tax expense | 21,090 | 22,404 | 23,728 | 22,814 | |||||||||||||||||||
Net income | $ | 54,255 | $ | 53,645 | $ | 54,785 | $ | 53,022 | |||||||||||||||
Net income attributable to common stock | $ | 54,255 | $ | 53,645 | $ | 54,672 | $ | 52,945 | |||||||||||||||
Basic earnings per share | $ | 0.92 | $ | 0.91 | $ | 0.93 | $ | 0.89 | |||||||||||||||
Diluted earnings per share | $ | 0.90 | $ | 0.89 | $ | 0.91 | $ | 0.88 |
Quarters Ended in Fiscal Year 2020 | |||||||||||||||||||||||
(Dollars in thousands, except per share data) | June 30, | March 31, | December 31, | September 30, | |||||||||||||||||||
Interest and dividend income | $ | 144,143 | $ | 185,063 | $ | 147,288 | $ | 146,345 | |||||||||||||||
Interest expense | 26,871 | 36,447 | 38,868 | 43,042 | |||||||||||||||||||
Net interest income | 117,272 | 148,616 | 108,420 | 103,303 | |||||||||||||||||||
Provision for loan and lease losses | 6,500 | 28,500 | 4,500 | 2,700 | |||||||||||||||||||
Net interest income after provision for loan and lease losses | 110,772 | 120,116 | 103,920 | 100,603 | |||||||||||||||||||
Non-interest income | 28,702 | 31,542 | 21,207 | 21,536 | |||||||||||||||||||
Non-interest expense | 71,544 | 71,790 | 66,965 | 65,467 | |||||||||||||||||||
Income before income tax expense | 67,930 | 79,868 | 58,162 | 56,672 | |||||||||||||||||||
Income tax expense | 22,630 | 23,811 | 16,867 | 15,886 | |||||||||||||||||||
Net income | $ | 45,300 | $ | 56,057 | $ | 41,295 | $ | 40,786 | |||||||||||||||
Net income attributable to common stock | $ | 45,223 | $ | 55,980 | $ | 41,217 | $ | 40,709 | |||||||||||||||
Basic earnings per share | $ | 0.76 | $ | 0.92 | $ | 0.67 | $ | 0.66 | |||||||||||||||
Diluted earnings per share | $ | 0.75 | $ | 0.91 | $ | 0.67 | $ | 0.66 |
Year Ended June 30, 2021 | |||||||||||||||||||||||
(Dollars in thousands) | Banking Business | Securities Business | Corporate/Eliminations | Axos Consolidated | |||||||||||||||||||
Net interest income | $ | 527,760 | $ | 18,746 | $ | (7,764) | $ | 538,742 | |||||||||||||||
Provision for loan losses | 23,750 | — | — | 23,750 | |||||||||||||||||||
Non-interest income | 79,150 | 27,627 | (1,516) | 105,261 | |||||||||||||||||||
Non-interest expense | 254,596 | 48,095 | 11,819 | 314,510 | |||||||||||||||||||
Income (Loss) before income taxes | $ | 328,564 | $ | (1,722) | $ | (21,099) | $ | 305,743 | |||||||||||||||
Year Ended June 30, 2020 | |||||||||||||||||||||||
(Dollars in thousands) | Banking Business | Securities Business | Corporate/Eliminations | Axos Consolidated | |||||||||||||||||||
Net interest income | $ | 464,448 | $ | 16,630 | $ | (3,467) | $ | 477,611 | |||||||||||||||
Provision for loan losses | 42,200 | — | — | 42,200 | |||||||||||||||||||
Non-interest income | 80,374 | 24,817 | (2,204) | 102,987 | |||||||||||||||||||
Non-interest expense | 216,895 | 43,525 | 15,346 | 275,766 | |||||||||||||||||||
Income (Loss) before income taxes | $ | 285,727 | $ | (2,078) | $ | (21,017) | $ | 262,632 | |||||||||||||||
As of June 30, 2021 | |||||||||||||||||||||||
(Dollars in thousands) | Banking Business | Securities Business | Corporate/Eliminations | Axos Consolidated | |||||||||||||||||||
Goodwill | $ | 35,721 | $ | 35,501 | $ | — | $ | 71,222 | |||||||||||||||
Total assets | $ | 12,745,029 | $ | 1,450,512 | $ | 70,024 | $ | 14,265,565 | |||||||||||||||
As of June 30, 2020 | |||||||||||||||||||||||
(Dollars in thousands) | Banking Business | Securities Business | Corporate/Eliminations | Axos Consolidated | |||||||||||||||||||
Goodwill | $ | 35,721 | $ | 35,501 | $ | — | $ | 71,222 | |||||||||||||||
Total assets | $ | 13,018,814 | $ | 737,419 | $ | 95,667 | $ | 13,851,900 | |||||||||||||||
Date: | August 25, 2021 | |||||||
/s/ GREGORY GARRABRANTS | ||||||||
GREGORY GARRABRANTS | ||||||||
President and Chief Executive Officer | ||||||||
(Principal Executive Officer) |
Date: | August 25, 2021 | |||||||
/s/ ANDREW J. MICHELETTI | ||||||||
ANDREW J. MICHELETTI | ||||||||
Executive Vice President and Chief Financial Officer | ||||||||
(Principal Financial Officer) |
(a) | the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
(b) | the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
Date: | August 25, 2021 | /s/ GREGORY GARRABRANTS | ||||||
GREGORY GARRABRANTS | ||||||||
President and Chief Executive Officer | ||||||||
(Principal Executive Officer) |
(a) | the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
(b) | the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
Date: | August 25, 2021 | |||||||
/s/ ANDREW J. MICHELETTI | ||||||||
ANDREW J. MICHELETTI | ||||||||
Executive Vice President and Chief Financial Officer | ||||||||
(Principal Financial Officer) |