Pathward Financial (CASH) Q4 2025 earnings summary

Executive summary

• Fiscal year 2025 net income was $185.9 million, up 1% year-over-year, with diluted EPS of $7.87, up 9% from FY 2024.

• Completed key divestitures, including the sale of insurance premium finance and transportation portfolios, and hired a new Chief People and Culture Officer.

• Maintained a diversified business model with strong fee and interest income streams across consumer and commercial segments.

• Record of strong earnings growth and profitability above industry averages, with a 16% EPS CAGR since 2022.

• Repurchased 180,740 shares in Q4 2025, with 4.94 million shares remaining authorized for repurchase.

Financial highlights

• Total revenue for FY 2025 reached $840 million, up from $797 million in FY 2024.

• Earnings per diluted share for the year reached $7.87, up 9% year-over-year and above guidance.

• Net interest margin for the year was 7.34%, with adjusted net interest margin at 5.92%.

• Return on average assets was 2.46%, and return on average tangible equity was 38.75%.

• Q4 2025 net income was $38.8 million ($1.69/share), up 16% year-over-year; noninterest income up 13%.

Outlook and guidance

• Fiscal year 2026 EPS guidance is $8.25–$8.75, assuming no rate cuts, an 18%-22% tax rate, and continued share repurchases.

• Guidance reflects expected downward pressure on pre-tax income and net interest margin from the sale of the consumer portfolio.

• Historic mid-single-digit growth expected in the tax business, with a solid year anticipated due to tax law changes.

• Management expressed confidence in continued execution of strategic initiatives and growth in net income and EPS.