Capitol Federal Financial (CFFN) investor relations material

Executive summary

• Net income for the quarter ended December 31, 2025 was $20.3 million ($0.16 per share), up from $15.4 million year-over-year and $18.8 million in the prior quarter, driven by higher net interest income and commercial loan growth.

• Total assets reached $9.78 billion, with stockholders’ equity at $1.04 billion; commercial loans and deposits saw strong growth, reflecting ongoing strategic initiatives.

• The company continues its transition to a full-service commercial bank, investing in technology, expanding product offerings, and deepening customer relationships.

• Loan portfolio reached $8.18 billion, up $64.8 million from September 30, 2025, with commercial loans growing $162.6 million and one- to four-family loans declining $98.6 million.

• Deposits increased $167.2 million to $6.76 billion, while borrowings decreased $120.9 million to $1.83 billion.

Financial highlights

• Net interest income for the quarter was $51.3 million, up from $42.2 million year-over-year.

• Net interest margin rose to 2.19% from 1.86% in the prior year quarter and 2.09% in the prior quarter, mainly due to higher-yielding commercial loans.

• Efficiency ratio improved to 53.66% from 57.86% year-over-year and 56.84% in the prior quarter.

• Non-interest income rose to $5.5 million, a 16.7% increase year-over-year, though down 5.4% sequentially.

• Non-interest expense increased 12.3% to $30.5 million, mainly from higher salaries, IT, and regulatory costs, but down 1.7% sequentially.

Outlook and guidance

• Management projects near-term commercial loan growth of 1% for the March 2026 quarter and 18% for fiscal 2026, with repayments from one- to four-family loans supporting this growth.

• The Board intends to maintain a regular quarterly dividend of $0.085 per share for the remainder of fiscal 2026 and pursue further share repurchases.

• Repayments from one- to four-family loans are expected to continue funding commercial loan expansion.