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Axos Q4 Fiscal 2025 Earnings Supplement July 30, 2025 NYSE: AX
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2 Loan Growth by Category $ Millions SF Warehouse Lending Multifamily Small Balance Commercial Jumbo Mortgage Asset-Based and Cash Flow Lending Lender Finance Non-RE Capital Call Facilities Auto Unsecured/OD Single Family Mortgage & Warehouse Multifamily & Commercial Mortgage Commercial Real Estate Commercial & Industrial Non-RE Loans Q4 FY25 Q3 FY25 Inc (Mar) $ 3,786 $ 3,697 $ 89 609 498 111 1,729 2,059 (330) 1,212 1,281 (69) 5,713 5,371 342 1,224 985 239 2,567 2,519 48 2,633 2,317 316 1,596 1,555 41 430 400 30 52 46 6 1 1 — $ 21,552 $ 20,729 $ 823 Lender Finance RE CRE Specialty Other Auto & Consumer
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3 Diversified Deposit Gathering Approximately 90% of deposits are FDIC-insured or collateralized Deposit balances as of June 30, 2025 Note 1: Excludes approximately $450 million of off-balance sheet deposits › Serves approximately 40% of U.S. Chapter 7 bankruptcy trustees in exclusive relationship › Software allows servicing of SEC receivers and non-chapter 7 cases › Full service digital banking, wealth management, and securities trading › White-label banking › Business banking with simple suite of cash management services › 1031 exchange firms › Title and escrow companies › HOA and property management › Business management and entertainment › Broker-dealer client cash › Broker-dealer reserve accounts › Full service treasury/cash management › Team enhancements and geographic expansion › Bank and securities cross-sell Fiduciary Services $1.1B Consumer Direct $11.6B Specialty Deposits $2.2B Distribution Partners $0.4B Axos Securities1 $1.0B Small Business Banking $0.6B Commercial & Treasury Management $3.9B Diversified Deposit Gathering Business Lines
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4 280.0 1.0 (3.1) 290.014.0 18.0 10.9 ACL UCL March 31, 2025Gross Charge- offs Gross RecoveriesProvision for Credit Losses June 30, 2025 160 180 200 220 240 260 280 300 320 Change in Allowance for Credit Losses (ACL) & Unfunded Loan Commitments Reserve (UCL) ($ in millions) ACL + UCL ACL + UCL (9.0)
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5 Allowance for Credit Losses (ACL) by Loan Category as of June 30, 2025 $ Millions Loan Balance ACL ACL %1 $ 4,395 $ 12 0.3 % 2,941 26 0.9 % 6,937 114 1.6 % 6,796 122 1.8 % 483 16 3.3 % $ 21,552 $ 290 1.3 % Single Family Mortgage & Warehouse Multifamily & Commercial Mortgage Commercial Real Estate Commercial & Industrial Non-RE Auto & Consumer Loans Note 1: ACL % is based on gross unpaid principal balance
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6 Credit Quality ($ millions) June 30, 2025 Loans O/S Non-Accrual Loans % Single Family-Mortgage & Warehouse $ 4,395 $ 44 1.00 % Multifamily and Commercial Mortgage 2,941 33 1.12 Commercial Real Estate 6,937 29 0.42 Commercial & Industrial - Non-RE 6,796 62 0.91 Auto & Consumer 483 2 0.41 Total $ 21,552 $ 170 0.79 % March 31, 2025 Loans O/S Non-Accrual Loans % Single Family-Mortgage & Warehouse $ 4,195 $ 44 1.05 % Multifamily and Commercial Mortgage 3,341 34 1.02 Commercial Real Estate 6,356 34 0.53 Commercial & Industrial - Non-RE 6,390 71 1.11 Auto & Consumer 447 2 0.45 Total $ 20,729 $ 185 0.89 % June 30, 2024 Loans O/S Non-Accrual Loans % Single Family-Mortgage & Warehouse $ 4,179 $ 46 1.10 % Multifamily and Commercial Mortgage 3,862 35 0.91 Commercial Real Estate 6,089 26 0.43 Commercial & Industrial - Non-RE 5,241 4 0.08 Auto & Consumer 432 2 0.47 Total $ 19,803 $ 113 0.57 %
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7 June 30, 2025 March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 Selected Balance Sheet Data: Total assets $ 24,783,078 $ 23,981,154 $ 23,709,422 $ 23,569,084 $ 22,855,334 Loans—net of allowance for credit losses 21,049,610 20,193,630 19,486,727 19,280,609 19,231,385 Loans held for sale, carried at fair value 10,012 15,644 25,436 14,566 16,482 Allowance for credit losses 290,049 279,950 270,605 263,854 260,542 Securities—trading 649 346 241 594 353 Securities—available-for-sale 66,008 79,958 97,848 137,996 141,611 Securities borrowed 139,396 91,915 114,672 84,326 67,212 Customer, broker-dealer and clearing receivables 252,720 300,907 298,887 262,774 240,028 Total deposits 20,829,543 20,136,714 19,934,904 19,973,329 19,359,217 Advances from the FHLB 60,000 60,000 60,000 90,000 90,000 Borrowings, subordinated notes and debentures 312,671 377,427 358,692 313,519 325,679 Securities loaned 139,426 111,094 135,258 95,883 74,177 Customer, broker-dealer and clearing payables 350,606 314,399 309,593 315,985 301,127 Total stockholders’ equity $ 2,680,677 $ 2,603,900 $ 2,521,962 $ 2,405,728 $ 2,290,596 Common shares outstanding at end of period 56,483,617 56,865,524 57,097,632 57,092,216 56,894,565 Common shares issued at end of period 71,101,642 70,813,637 70,571,332 70,562,333 70,221,632 Per Common Share Data: Book value per common share $ 47.46 $ 45.79 $ 44.17 $ 42.14 $ 40.26 Tangible book value per common share (Non-GAAP)1 $ 44.60 $ 42.91 $ 41.27 $ 39.22 $ 37.26 Capital Ratios: Equity to assets at end of period 10.82 % 10.86 % 10.64 % 10.21 % 10.02 % Axos Financial, Inc.: Tier 1 leverage (to adjusted average assets) 10.72 % 10.45 % 10.02 % 9.78 % 9.43 % Common equity tier 1 capital (to risk-weighted assets) 12.51 % 12.39 % 12.42 % 12.44 % 12.01 % Tier 1 capital (to risk-weighted assets) 12.51 % 12.39 % 12.42 % 12.44 % 12.01 % Total capital (to risk-weighted assets) 15.39 % 15.21 % 15.23 % 15.29 % 14.84 % Axos Bank: Tier 1 leverage (to adjusted average assets) 10.24 % 10.14 % 9.85 % 9.82 % 9.74 % Common equity tier 1 capital (to risk-weighted assets) 12.45 % 12.31 % 12.67 % 12.87 % 12.74 % Tier 1 capital (to risk-weighted assets) 12.45 % 12.31 % 12.67 % 12.87 % 12.74 % Total capital (to risk-weighted assets) 13.74 % 13.49 % 13.86 % 14.06 % 13.81 % Axos Clearing LLC: Net capital $ 86,996 $ 79,264 $ 83,932 $ 85,292 $ 101,462 Excess capital $ 81,834 $ 73,172 $ 78,282 $ 80,081 $ 96,654 Net capital as a percentage of aggregate debit items 33.71 % 26.02 % 29.71 % 32.73 % 42.21 % Net capital in excess of 5% aggregate debit items $ 74,091 $ 64,035 $ 69,805 $ 72,264 $ 89,442 AXOS FINANCIAL, INC. SELECTED FINANCIAL INFORMATION (Unaudited – dollars in thousands)
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8 At or For The Three Months Ended June 30, 2025 March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 Selected Income Statement Data: Interest and dividend income $ 442,413 $ 432,722 $ 456,068 $ 484,262 $ 453,428 Interest expense 162,252 157,258 175,969 192,214 193,366 Net interest income 280,161 275,464 280,099 292,048 260,062 Provision for credit losses 14,997 14,500 12,248 14,000 6,000 Net interest income, after provision for credit losses 265,164 260,964 267,851 278,048 254,062 Non-interest income 41,285 33,373 27,799 28,609 30,861 Non-interest expense 150,652 146,261 145,320 147,465 140,535 Income before income taxes 155,797 148,076 150,330 159,192 144,388 Income taxes 45,122 42,870 45,643 46,852 39,516 Net income $ 110,675 $ 105,206 $ 104,687 $ 112,340 $ 104,872 Weighted average number of common shares outstanding: Basic 56,392,620 57,029,078 57,094,153 56,934,671 56,938,405 Diluted 57,558,280 58,174,696 58,226,006 58,168,468 58,164,623 Per Common Share Data: Net income: Basic $ 1.96 $ 1.84 $ 1.83 $ 1.97 $ 1.84 Diluted $ 1.92 $ 1.81 $ 1.80 $ 1.93 $ 1.80 Adjusted earnings per common share (Non-GAAP)1 $ 1.94 $ 1.81 $ 1.82 $ 1.96 $ 1.83 Performance Ratios and Other Data: Growth in loans held for investment, net $ 855,980 $ 706,903 $ 206,118 $ 49,224 $ 497,930 Loan originations for sale 42,487 20,962 66,826 69,570 52,574 Return on average assets 1.85 % 1.77 % 1.74 % 1.92 % 1.81 % Return on average common stockholders’ equity 16.85 % 16.44 % 16.97 % 19.12 % 18.81 % Interest rate spread2 3.97 % 3.91 % 3.91 % 4.13 % 3.63 % Net interest margin3 4.84 % 4.78 % 4.83 % 5.17 % 4.65 % Net interest margin3 – Banking Business Segment 4.88 % 4.83 % 4.87 % 5.21 % 4.68 % Efficiency ratio4 46.87 % 47.36 % 47.20 % 45.99 % 48.31 % Efficiency ratio4 – Banking Business Segment 42.63 % 41.53 % 40.95 % 39.83 % 41.39 % Asset Quality Ratios: Net annualized charge-offs to average loans 0.16 % 0.09 % 0.10 % 0.17 % 0.05 % Nonaccrual loans to total loans 0.79 % 0.89 % 1.26 % 0.89 % 0.57 % Non-performing assets to total assets 0.71 % 0.79 % 1.06 % 0.75 % 0.51 % Allowance for credit losses - loans to total loans held for investment 1.36 % 1.37 % 1.37 % 1.35 % 1.34 % Allowance for credit losses - loans to non-performing loans5 170.23 % 151.28 % 107.58 % 149.32 % 229.84 % 1 See “Use of Non-GAAP Financial Measures” herein. 2 Interest rate spread represents the difference between the annualized weighted average yield on interest-earning assets and the annualized weighted average rate paid on interest-bearing liabilities. 3 Net interest margin represents annualized net interest income as a percentage of average interest-earning assets. 4 Efficiency ratio represents non-interest expense as a percentage of the aggregate of net interest income and non-interest income. 5 The decrease in the Allowance for credit losses - loans to nonaccrual loans is primarily attributable to the change in nonaccrual loans. AXOS FINANCIAL, INC. SELECTED FINANCIAL INFORMATION (Unaudited – dollars in thousands)
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9 (Dollars in thousands, except per share amounts) June 30, 2025 March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 Net income $ 110,675 $ 105,206 $ 104,687 $ 112,340 $ 104,872 Acquisition-related costs 1,604 1,604 1,645 2,554 2,554 Other costs1 (1,879) — — — Income taxes (465) 80 (503) (752) (699) Adjusted earnings (non-GAAP) $ 111,814 $ 105,011 $ 105,829 $ 114,142 $ 106,727 Average dilutive common shares outstanding 57,558,280 58,174,696 58,226,006 58,168,468 58,164,623 Diluted EPS $ 1.92 $ 1.81 $ 1.80 $ 1.93 $ 1.80 Acquisition-related costs 0.03 0.03 0.03 0.04 0.04 Other costs1 — (0.03) — — — Income taxes (0.01) — (0.01) (0.01) (0.01) Adjusted EPS (Non-GAAP) $ 1.94 $ 1.81 $ 1.82 $ 1.96 $ 1.83 1 Other costs primarily reflects the payment of a legal judgment at an amount less than previously accrued. We define “tangible book value”, a non-GAAP financial measure, as book value adjusted for goodwill and other intangible assets. Tangible book value is calculated using common stockholders’ equity minus servicing rights, goodwill and other intangible assets. Tangible book value per common share, a non-GAAP financial measure, is calculated by dividing tangible book value by the common shares outstanding at the end of the period. We believe tangible book value per common share is useful in evaluating the Company’s capital strength, financial condition, and ability to manage potential losses. Below is a reconciliation of total stockholders’ equity, the nearest comparable GAAP measure, to tangible book value per common share (non-GAAP) as of the dates indicated: (Dollars in thousands, except per share amounts) June 30, 2025 March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 Common stockholders’ equity $ 2,680,677 $ 2,603,900 $ 2,521,962 $ 2,405,728 $ 2,290,596 Less: servicing rights, carried at fair value 27,218 27,585 28,045 27,335 28,924 Less: goodwill and intangible assets 134,502 135,966 137,570 139,215 141,769 Tangible common stockholders’ equity (Non-GAAP) $ 2,518,957 $ 2,440,349 $ 2,356,347 $ 2,239,178 $ 2,119,903 Common shares outstanding at end of period 56,483,617 56,865,524 57,097,632 57,092,216 56,894,565 Book value per common share $ 47.46 $ 45.79 $ 44.17 $ 42.14 $ 40.26 Less: servicing rights, carried at fair value per common share $ 0.48 $ 0.49 $ 0.49 $ 0.48 $ 0.51 Less: goodwill and other intangible assets per common share $ 2.38 $ 2.39 $ 2.41 $ 2.44 $ 2.49 Tangible book value per common share (Non-GAAP) $ 44.60 $ 42.91 $ 41.27 $ 39.22 $ 37.26 Use of Non-GAAP Financial Measures In addition to the results presented in accordance with GAAP, this earnings supplement includes non-GAAP financial measures such as adjusted earnings, adjusted earnings per diluted common share, and tangible book value per common share. Non-GAAP financial measures have inherent limitations, may not be comparable to similarly titled measures used by other companies and are not audited. Readers should be aware of these limitations and should be cautious as to their reliance on such measures. Although we believe the non-GAAP financial measures disclosed in this report enhance investors’ understanding of our business and performance, these non-GAAP measures should not be considered in isolation, or as a substitute for GAAP basis financial measures. We define “adjusted earnings”, a non-GAAP financial measure, as net income without the after-tax impact of non-recurring acquisition-related costs and other costs (unusual or non-recurring charges). Adjusted earnings per diluted common share (“adjusted EPS”), a non-GAAP financial measure, is calculated by dividing non-GAAP adjusted earnings by the average number of diluted common shares outstanding during the period. We believe the non-GAAP measures of adjusted earnings and adjusted EPS provide useful information about the Company’s operating performance. We believe excluding the non-recurring acquisition related costs and other costs (unusual or non-recurring) provides investors with an alternative understanding of Axos’ core business. Below is a reconciliation of net income, the nearest comparable GAAP measure, to adjusted earnings and adjusted EPS (Non-GAAP) for the periods shown:
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10 Greg Garrabrants, President and CEO Derrick Walsh, EVP and CFO investors@axosfinancial.com www.axosfinancial.com Johnny Lai, SVP Corporate Development and Investor Relations Phone: 858.649.2218 Mobile: 858.245.1442 jlai@axosfinancial.com Contact Information