8-K - KRNY - Equibles

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

_____________________________

FORM 8-K

_____________________________

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): July 25, 2024

_____________________________

KEARNY FINANCIAL CORP.

(Exact name of Registrant as Specified in Its Charter)

_____________________________

Maryland	001-37399	30-0870244
(State or Other Jurisdiction<br><br>of Incorporation)	(Commission File Number)	(IRS Employer<br><br>Identification No.)
120 Passaic Avenue Fairfield, New Jersey		07004
(Address of Principal Executive Offices)		(Zip Code)

Registrant’s Telephone Number, Including Area Code: (973) 244-4500

(Former Name or Former Address, if Changed Since Last Report)

_____________________________

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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, $0.01 par value	KRNY	The NASDAQ Stock Market LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operation and Financial Condition

On July 25, 2024, Kearny Financial Corp. (the “Company”), the holding company for Kearny Bank, issued a press release reporting its financial results for the period ended June 30, 2024.

A copy of the press release announcing the results is included as Exhibit 99.1 to this Current Report on Form 8-K and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933.

Item 7.01 Regulation FD Disclosure

On July 25, 2024, the Company released a slide presentation that will be used in upcoming meetings with potential investors and current shareholders of the Company.

A copy of the slide presentation that will be used in the Company’s presentation is filed as Exhibit 99.2 to this Current Report on Form 8-K. The information included in this Current Report pursuant to this Item 7.01 is being furnished to, and not filed with, the Securities and Exchange Commission and shall not be deemed to be incorporated by reference in any filing under the Securities Act of 1933.

Item 8.01 Other Events

On July 25, 2024, the Company’s Board of Directors announced a quarterly cash dividend of $0.11 per share, payable on August 26, 2024, to stockholders of record as of August 12, 2024.

Item 9.01 Financial Statements and Exhibits

(a)Financial Statements of Business Acquired. Not applicable.

(b)Pro Forma Financial Information. Not applicable.

(c)Shell Company Transaction. Not applicable.

(d)Exhibits.

Exhibit Number	Description
99.1	Press release dated July 25, 2024.
99.2	Kearny Financial Corp. investor presentation dated July 25, 2024.
104	Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	KEARNY FINANCIAL CORP.
Date: July 25, 2024	By:	/s/ Keith Suchodolski
		Keith Suchodolski
		Senior Executive Vice President and Chief Operating Officer

Document

Exhibit 99.1

FOR IMMEDIATE RELEASE

July 25, 2024

For further information contact:

Keith Suchodolski, Senior Executive Vice President and Chief Operating Officer, or

Sean Byrnes, Executive Vice President and Chief Financial Officer

Kearny Financial Corp.

(973) 244-4500

KEARNY FINANCIAL CORP. ANNOUNCES FOURTH QUARTER AND FISCAL YEAR END 2024 RESULTS

AND DECLARATION OF $0.11 PER SHARE CASH DIVIDEND

Fairfield, N.J., July 25, 2024 – Kearny Financial Corp. (NASDAQ GS: KRNY) (the “Company”), the holding company of Kearny Bank (the “Bank”), reported a GAAP net loss for the quarter ended June 30, 2024 of $90.1 million, or $1.45 per diluted share, attributable to a non-cash, after-tax, goodwill impairment of $95.3 million. Excluding the impact of the goodwill impairment and other non-recurring transactions, adjusted net income for the quarter ended June 30, 2024 was $5.6 million, or $0.09 per diluted share, as compared to net income of $7.4 million, or $0.12 per diluted share, for the quarter ended March 31, 2024.

“Goodwill impairment in no way affects our ongoing strategy or our ability to serve the banking needs of our clients,” said Craig L. Montanaro, President & Chief Executive Officer. “It also has no impact on our financial condition, robust liquidity position, or peer-leading regulatory capital ratios. This impairment simply reflects the impact of the current interest rate environment on bank stock prices, including our own.”

For the fiscal year ended June 30, 2024, the Company reported a GAAP net loss of $86.7 million, or $1.39 per diluted share, compared to GAAP net income of $40.8 million, or $0.63 per diluted share, for the fiscal year ended June 30, 2023, primarily attributable to the non-cash goodwill impairment mentioned above. Excluding the impact of the goodwill impairment and other non-recurring transactions, adjusted net income for the fiscal year ended June 30, 2024 was $28.2 million, or $0.45 per diluted share, as compared to adjusted net income of $50.6 million, or $0.78 per diluted share, for the fiscal year ended June 30, 2023.

The Company also announced that its Board of Directors has declared a quarterly cash dividend of $0.11 per share, payable on August 26, 2024, to stockholders of record as of August 12, 2024.

“Despite the challenging interest rate environment we have plenty of positive news to report this quarter,” Mr. Montanaro said. “The performance of our commercial real estate and multifamily portfolios continues to be outstanding, with non-performing assets having improved by $15.7 million, or 0.17% of assets, from June 30, 2023. Our deposit origination efforts, including those via our digital channel, have continued to gain traction with non interest-bearing deposits growing $12.3 million, or 2.1%, quarter-over-quarter. In addition, we now anticipate a net interest margin inflection in the near-term, as our retail time deposit portfolio has repriced above 4.00% and non-maturity deposit disintermediation has meaningfully slowed.”

Mr. Montanaro concluded by noting, “As described in greater detail later in this release, we fully charged-off a $3.3 million non-performing commercial & industrial lending relationship this quarter. We do not view this charge-off as a reflection of any broader weakness in our loan portfolio, but rather a borrower-specific event.”

Balance Sheet

•Total assets were $7.68 billion at June 30, 2024, a decrease of $158.5 million, or 2.0%, from March 31, 2024 and a decrease of $381.4 million, or 4.7%, from June 30, 2023.

•Investment securities totaled $1.21 billion at June 30, 2024, a decrease of $29.7 million, or 2.4%, from March 31, 2024 and a decrease of $165.6 million, or 12.1%, from June 30, 2023. The decrease for the year was largely driven by the sale of available-for-sale securities, which was part of the investment securities portfolio repositioning executed in December 2023.

•Loans receivable totaled $5.73 billion at June 30, 2024, a decrease of $25.5 million, or 0.4%, from March 31, 2024 and a decrease of $96.6 million, or 1.7%, from June 30, 2023. The decrease for the year was largely driven by multi-family and nonresidential mortgage loans.

•Deposits were $5.16 billion at June 30, 2024, a decrease of $50.9 million, or 1.0%, from March 31, 2024 and a decrease of $471.1 million, or 8.4%, from June 30, 2023. The decrease from March 31, 2024 was driven by a $40.1 million decline in interest bearing government deposits and a $36.1 million decline in retail certificates of deposits (“CDs”), partially offset by growth in non-interest bearing and consumer savings deposits. Excluding brokered CDs, deposits decreased $238.8 million, or 4.8%, from June 30, 2023, driven by a $177.9 million decline in retail CDs and a $105.2 million decline in consumer savings deposits, partially offset by growth in other deposit categories.

•Borrowings were $1.71 billion at June 30, 2024, a decrease of $12.4 million, or 0.7%, from March 31, 2024 and an increase of $203.0 million, or 13.5%, from June 30, 2023.

•At June 30, 2024, the Company maintained available secured borrowing capacity of $1.82 billion, of which $1.44 billion was immediately accessible via in-place collateral and $381.4 million represented the market value of unpledged securities.

•Goodwill was $113.5 million at June 30, 2024, a decrease of $97.4 million, or 46.2%, from March 31, 2024 and June 30, 2023. The Company recognized a non-cash goodwill impairment, as noted above.

Earnings

Net Interest Income and Net Interest Margin

•Net interest margin contracted five basis points to 1.84% for the quarter ended June 30, 2024 and 40 basis points to 1.94% for the year ended June 30, 2024. The decreases for the quarter and the year were driven by increases in the cost of interest-bearing liabilities, increases in the average balances of interest-bearing borrowings and decreases in the average balances of interest-earning assets, partially offset by higher yields on interest-earning assets and decreases in the average balances of interest-bearing deposits.

•For the quarter ended June 30, 2024, net interest income decreased $1.0 million to $33.3 million from $34.3 million for the quarter ended March 31, 2024. Included in net interest income for the quarters ended June 30, 2024 and March 31, 2024, respectively, was purchase accounting accretion of $612,000 and $734,000, and loan prepayment penalty income of $366,000 and $61,000.

•For the year ended June 30, 2024, net interest income decreased $33.3 million to $142.6 million from $175.9 million for the year ended June 30, 2023. Included in net interest income for the years ended June 30, 2024 and 2023, respectively, was purchase accounting accretion of $2.6 million and $5.3 million, and loan prepayment penalty income of $879,000 and $895,000.

Non-Interest Income

•For the quarter ended June 30, 2024, non-interest income increased $1.6 million to income of $5.8 million from income of $4.2 million for the quarter ended March 31, 2024. Non-interest income for the quarter ended June 30, 2024 included a contract renewal bonus of $750,000 related to a licensing agreement with a third-party vendor. Included in other income for the quarter ended March 31, 2024 was an $884,000 non-recurring loss attributable to the sale of three related nonperforming commercial real estate loans held-for-sale. No such losses were recorded during the quarter ended June 30, 2024.

•Income from BOLI increased $170,000 to $3.2 million for the quarter ended June 30, 2024 from $3.0 million for the quarter ended March 31, 2024. BOLI income included a total of $1.1 million in non-recurring payments on two life insurance policies in the current period, partially offset by a $392,000 non-recurring exchange charge related to the December 2023 BOLI restructure. For the quarter ended March 31, 2024, BOLI income included a $631,000 non-recurring payment on one life insurance policy.

•For the year ended June 30, 2024, non-interest income decreased $4.7 million to a loss of $2.0 million. The decrease was primarily attributable to a pre-tax loss of $18.1 million related to the investment securities portfolio repositioning executed during December 2023 compared to a pre-tax loss of $15.2 million on the sale of securities in the prior year period. Included in other income for the year ended June 30, 2023 was a nonrecurring gain of $2.9 million attributable to the sale of a former branch location. No such gains were recorded during the year ended June 30, 2024.

Non-Interest Expense

•For the quarter ended June 30, 2024, non-interest expense increased $97.5 million, or 335.5%, to $126.6 million from $29.1 million for the quarter ended March 31, 2024, driven by a non-cash goodwill impairment recognized in the current quarter. Excluding the goodwill impairment, adjusted non-interest expense increased $122,000, or 0.4%, to $29.2 million from $29.1 million in the prior quarter, driven primarily by a nonrecurring increase in post-retirement benefits expense.

•For the year ended June 30, 2024, non-interest expense increased $91.4 million, or 73.9%, to $215.2 million from $123.8 million for the year ended June 30, 2023, driven by non-cash goodwill impairment, as noted above. Excluding the goodwill impairment, adjusted non-interest expense decreased $4.4 million, or 3.6%, to $117.8 million from $122.2 million in the prior year period. The decrease was primarily attributable to decreases in salary and employee benefits expenses, occupancy, advertising and other expenses, which resulted from a continued execution of the company-wide operating efficiency initiative previously announced in December 2022.

•Salaries and employee benefits decreased $6.4 million, or 8.4%, for the year ended June 30, 2024 reflecting lower average headcount and a decrease in incentive payments tied to origination volume, partially offset by annual merit increases. Included in salaries and employee benefits for the year ended June 30, 2023 was $757,000 of severance expense from a workforce realignment.

•For the year ended June 30, 2023, the Company recorded $800,000 in branch consolidation expense, of which $250,000 was recorded in occupancy expense and $550,000 was recorded in other expense. No such expenses were recorded during the year ended June 30, 2024.

Income Taxes

•Income tax expense was reduced by $917,000 for the quarter ended June 30, 2024 compared to an expense of $1.7 million for the quarter ended March 31, 2024. The decrease in income tax expense for the quarter was mainly attributable to a partial reversal of the deferred tax liability associated with the goodwill impairment, as discussed above.

•Income tax expense totaled $5.9 million for the fiscal year ended June 30, 2024 compared to $11.6 million for the fiscal year ended June 30, 2023. The decrease in income tax expense was due to lower pre-tax income, partially offset by $5.7 million of tax expense related to the surrender of BOLI policies during the fiscal year ended June 30, 2024.

Asset Quality

•The balance of non-performing assets increased $336,000 to $39.9 million, or 0.52% of total assets, at June 30, 2024, from $39.5 million, or 0.50% of total assets, at March 31, 2024. The balance of non-performing assets was $55.6 million, or 0.69% of total assets, at June 30, 2023. The decrease from June 30, 2023 was primarily driven by the January 2024 sales of three related non-performing commercial real estate loans held-for-sale and the Company’s sole Other Real Estate Owned asset.

•Net charge-offs totaled $3.5 million, or 0.25% of average loans, on an annualized basis, for the quarter ended June 30, 2024, compared to $286,000, or 0.02% of average loans, on an annualized basis, for the quarter ended March 31, 2024. For the year ended June 30, 2024, net charge-offs totaled $10.0 million, or 0.17% of average loans, compared to $810,000, or 0.01% of average loans, for the year ended June 30, 2023.

•The charge-offs recorded during the quarter ended June 30, 2024 were primarily driven by a $3.3 million non-performing commercial and industrial loan relationship with a masonry and concrete business (the “borrower”). This relationship was originated in 2021 and is secured by the borrower’s business assets and receivables, as well as the personal guarantee of the principal. The borrower had made consistent and timely payments on these loans until recently, when the business ceased operations due to operating losses and litigation. The Company is currently pursuing all available remedies against the borrower and guarantor.

•For the quarter ended June 30, 2024, the Company recorded a provision for credit losses of $3.5 million, compared to $349,000 for the quarter ended March 31, 2024. The provision for credit loss expense for the quarter ended June 30, 2024 was primarily driven by the charge-offs described above. For the years ended June 30, 2024 and 2023, the Company recorded a provision for credit losses of $6.2 million and $2.5 million, respectively.

•The allowance for credit losses (“ACL”) was $44.9 million, or 0.78% of total loans, at June 30, 2024, unchanged from March 31, 2024, and a decrease of $3.8 million from $48.7 million, or 0.83% of total loans, at June 30, 2023. The decrease in the ACL from June 30, 2023 was largely attributable to a reduction in reserves for individually evaluated loans, resulting from the charge-offs noted above.

Capital

•At June 30, 2024 the Company's tangible equity to tangible assets ratio increased to 8.43% while the Company's Common Equity Tier 1 Capital Ratio increased to 14.79%. All of the Company's capital ratios remained strong and were significantly in excess of regulatory well-capitalized standards.

•At June 30, 2024, book value per share totaled $11.70 while tangible book value per share totaled $9.90.

•At June 30, 2024, total stockholders’ equity included after-tax net unrealized losses on securities available for sale of $93.0 million, partially offset by after-tax unrealized gains on derivatives of $29.6 million. After-tax net unrecognized losses on securities held to maturity of $11.7 million were not reflected in total stockholders’ equity.

This earnings release should be read in conjunction with Kearny Financial Corp.’s Q4 2024 Investor Presentation, a copy of which is available through the Investor Relations link located at the bottom of the page of our website at www.kearnybank.com and via a Current Report on Form 8-K on the website of the Securities and Exchange Commission at www.sec.gov.

Statements contained in this news release that are not historical facts are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties which could cause actual results to differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, factors discussed in documents filed by the Company with the Securities and Exchange Commission from time to time. The Company does not undertake and specifically disclaims any obligation to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company.

Category: Earnings

Linked-Quarter Comparative Financial Analysis

Kearny Financial Corp.

Consolidated Balance Sheets

(Unaudited)

(Dollars and Shares in Thousands,<br>Except Per Share Data)	June 30,<br>2024			March 31,<br>2024			Variance <br>or Change			Variance <br>or Change Pct.
Assets
Cash and cash equivalents	$	63,864		$	71,027		$	(7,163)		-10.1	%
Securities available for sale	1,072,833			1,098,655			(25,822)			-2.4	%
Securities held to maturity	135,742			139,643			(3,901)			-2.8	%
Loans held-for-sale	6,036			4,117			1,919			46.6	%
Loans receivable	5,732,787			5,758,336			(25,549)			-0.4	%
Less: allowance for credit losses on loans	(44,939)			(44,930)			9			—	%
Net loans receivable	5,687,848			5,713,406			(25,558)			-0.4	%
Premises and equipment	44,940			45,053			(113)			-0.3	%
Federal Home Loan Bank stock	80,300			81,347			(1,047)			-1.3	%
Accrued interest receivable	29,521			31,065			(1,544)			-5.0	%
Goodwill	113,525			210,895			(97,370)			-46.2	%
Core deposit intangible	1,931			2,057			(126)			-6.1	%
Bank owned life insurance	297,874			296,493			1,381			0.5	%
Deferred income taxes, net	50,339			47,225			3,114			6.6	%
Other assets	98,708			100,989			(2,281)			-2.3	%
Total assets	$	7,683,461		$	7,841,972		$	(158,511)		-2.0	%
Liabilities
Deposits:
Non-interest-bearing	$	598,366		$	586,089		$	12,277		2.1	%
Interest-bearing	4,559,757			4,622,961			(63,204)			-1.4	%
Total deposits	5,158,123			5,209,050			(50,927)			-1.0	%
Borrowings	1,709,789			1,722,178			(12,389)			-0.7	%
Advance payments by borrowers for taxes	17,409			17,387			22			0.1	%
Other liabilities	44,569			44,279			290			0.7	%
Total liabilities	6,929,890			6,992,894			(63,004)			-0.9	%
Stockholders' Equity
Common stock	644			644			—			—	%
Paid-in capital	493,680			493,187			493			0.1	%
Retained earnings	343,326			440,308			(96,982)			-22.0	%
Unearned ESOP shares	(20,916)			(21,402)			486			2.3	%
Accumulated other comprehensive loss	(63,163)			(63,659)			496			0.8	%
Total stockholders' equity	753,571			849,078			(95,507)			-11.2	%
Total liabilities and stockholders' equity	$	7,683,461		$	7,841,972		$	(158,511)		-2.0	%
Consolidated capital ratios
Equity to assets	9.81		%	10.83		%	-1.02		%
Tangible equity to tangible assets (1)	8.43		%	8.34		%	0.09		%
Share data
Outstanding shares	64,434			64,437			(3)			—	%
Book value per share	$	11.70		$	13.18		$	(1.48)		-11.2	%
Tangible book value per share (2)	$	9.90		$	9.87		$	0.03		0.3	%

_________________________

(1)Tangible equity equals total stockholders' equity reduced by goodwill and core deposit intangible assets. Tangible assets equals total assets reduced by goodwill and core deposit intangible assets.

(2)Tangible book value equals total stockholders' equity reduced by goodwill and core deposit intangible assets.

Kearny Financial Corp.

Consolidated Statements of Income (Loss)

(Unaudited)

(Dollars and Shares in Thousands,<br>Except Per Share Data)		Three Months Ended						Variance <br>or Change			Variance <br>or Change Pct.
	June 30,<br>2024		March 31,<br>2024
Interest income
Loans		$	65,819		$	64,035		$	1,784		2.8	%
Taxable investment securities		14,802			15,490			(688)			-4.4	%
Tax-exempt investment securities		80			85			(5)			-5.9	%
Other interest-earning assets		2,289			2,475			(186)			-7.5	%
Total interest income		82,990			82,085			905			1.1	%
Interest expense
Deposits		32,187			32,320			(133)			-0.4	%
Borrowings		17,527			15,446			2,081			13.5	%
Total interest expense		49,714			47,766			1,948			4.1	%
Net interest income		33,276			34,319			(1,043)			-3.0	%
Provision for credit losses		3,527			349			3,178			910.6	%
Net interest income after provision for credit losses		29,749			33,970			(4,221)			-12.4	%
Non-interest income
Fees and service charges		580			657			(77)			-11.7	%
Gain (loss) on sale of loans		111			(712)			823			-115.6	%
Income from bank owned life insurance		3,209			3,039			170			5.6	%
Electronic banking fees and charges		1,130			464			666			143.5	%
Other income		776			755			21			2.8	%
Total non-interest income		5,806			4,203			1,603			-38.1	%
Non-interest expense
Salaries and employee benefits		17,266			16,911			355			2.1	%
Net occupancy expense of premises		2,738			2,863			(125)			-4.4	%
Equipment and systems		3,785			3,823			(38)			-1.0	%
Advertising and marketing		480			387			93			24.0	%
Federal deposit insurance premium		1,532			1,429			103			7.2	%
Directors' compensation		360			360			—			—	%
Goodwill impairment		97,370			—			97,370			—	%
Other expense		3,020			3,286			(266)			-8.1	%
Total non-interest expense		126,551			29,059			97,492			335.5	%
(Loss) income before income taxes		(90,996)			9,114			(100,110)			1098.4	%
Income taxes		(917)			1,717			(2,634)			-153.4	%
Net (loss) income		$	(90,079)		$	7,397		$	(97,476)		1317.8	%
Net (loss) income per common share (EPS)
Basic		$	(1.45)		$	0.12		$	(1.57)
Diluted		$	(1.45)		$	0.12		$	(1.57)
Dividends declared
Cash dividends declared per common share		$	0.11		$	0.11		$	—
Cash dividends declared		$	6,903		$	6,844		$	59
Dividend payout ratio		-7.7		%	92.5		%	-100.2		%
Weighted average number of common shares outstanding
Basic		62,254			62,205			49
Diluted		62,254			62,211			43

Kearny Financial Corp.

Average Balance Sheet Data

(Unaudited)

(Dollars in Thousands)		Three Months Ended						Variance <br>or Change			Variance <br>or Change Pct.
	June 30,<br>2024		March 31,<br>2024
Assets
Interest-earning assets:
Loans receivable, including loans held for sale		$	5,743,008		$	5,752,477		$	(9,469)		-0.2	%
Taxable investment securities		1,343,541			1,382,064			(38,523)			-2.8	%
Tax-exempt investment securities		13,737			14,614			(877)			-6.0	%
Other interest-earning assets		128,257			125,155			3,102			2.5	%
Total interest-earning assets		7,228,543			7,274,310			(45,767)			-0.6	%
Non-interest-earning assets		466,537			577,411			(110,874)			-19.2	%
Total assets		$	7,695,080		$	7,851,721		$	(156,641)		-2.0	%
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand		$	2,310,521		$	2,378,831		$	(68,310)		-2.9	%
Savings		631,622			635,226			(3,604)			-0.6	%
Certificates of deposit		1,613,798			1,705,513			(91,715)			-5.4	%
Total interest-bearing deposits		4,555,941			4,719,570			(163,629)			-3.5	%
Borrowings:
Federal Home Loan Bank advances		1,507,192			1,428,801			78,391			5.5	%
Other borrowings		228,461			210,989			17,472			8.3	%
Total borrowings		1,735,653			1,639,790			95,863			5.8	%
Total interest-bearing liabilities		6,291,594			6,359,360			(67,766)			-1.1	%
Non-interest-bearing liabilities:
Non-interest-bearing deposits		589,438			581,870			7,568			1.3	%
Other non-interest-bearing liabilities		62,978			65,709			(2,731)			-4.2	%
Total non-interest-bearing liabilities		652,416			647,579			4,837			0.7	%
Total liabilities		6,944,010			7,006,939			(62,929)			-0.9	%
Stockholders' equity		751,070			844,782			(93,712)			-11.1	%
Total liabilities and stockholders' equity		$	7,695,080		$	7,851,721		$	(156,641)		-2.0	%
Average interest-earning assets to average interest-bearing liabilities		114.89		%	114.39		%	0.50		%	0.4	%

Kearny Financial Corp.

Performance Ratio Highlights

(Unaudited)

	Three Months Ended				Variance <br>or Change
	June 30,<br>2024		March 31,<br>2024
Average yield on interest-earning assets:
Loans receivable, including loans held for sale	4.58	%	4.45	%	0.13	%
Taxable investment securities	4.41	%	4.48	%	-0.07	%
Tax-exempt investment securities (1)	2.32	%	2.32	%	—	%
Other interest-earning assets	7.14	%	7.91	%	-0.77	%
Total interest-earning assets	4.59	%	4.51	%	0.08	%
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand	3.06	%	3.08	%	-0.02	%
Savings	0.63	%	0.46	%	0.17	%
Certificates of deposit	3.35	%	3.11	%	0.24	%
Total interest-bearing deposits	2.83	%	2.74	%	0.09	%
Borrowings:
Federal Home Loan Bank advances	3.86	%	3.55	%	0.31	%
Other borrowings	5.24	%	5.22	%	0.02	%
Total borrowings	4.04	%	3.77	%	0.27	%
Total interest-bearing liabilities	3.16	%	3.00	%	0.16	%
Interest rate spread (2)	1.43	%	1.51	%	-0.08	%
Net interest margin (3)	1.84	%	1.89	%	-0.05	%
Non-interest income to average assets (annualized)	0.30	%	0.21	%	0.09	%
Non-interest expense to average assets (annualized)	6.58	%	1.48	%	5.10	%
Efficiency ratio (4)	323.81	%	75.43	%	248.38	%
Return on average assets (annualized)	-4.68	%	0.38	%	-5.06	%
Return on average equity (annualized)	-47.97	%	3.50	%	-51.47	%
Return on average tangible equity (annualized) (5)	-56.69	%	4.68	%	-61.37	%

_________________________

(1)The yield on tax-exempt investment securities has not been adjusted to reflect their tax-effective yield.

(2)Interest income divided by average interest-earning assets less interest expense divided by average interest-bearing liabilities.

(3)Net interest income divided by average interest-earning assets.

(4)Non-interest expense divided by the sum of net interest income and non-interest income.

(5)Average tangible equity equals total average stockholders’ equity reduced by average goodwill and average core deposit intangible assets.

Year-to-Year Comparative Financial Analysis

Kearny Financial Corp.

Consolidated Balance Sheets

(Dollars and Shares in Thousands, <br>Except Per Share Data)	June 30,<br>2024			June 30,<br>2023			Variance<br>or Change			Variance <br>or Change Pct.
	(Unaudited)			(Audited)
Assets
Cash and cash equivalents	$	63,864		$	70,515		$	(6,651)		-9.4	%
Securities available for sale	1,072,833			1,227,729			(154,896)			-12.6	%
Securities held to maturity	135,742			146,465			(10,723)			-7.3	%
Loans held-for-sale	6,036			9,591			(3,555)			-37.1	%
Loans receivable	5,732,787			5,829,421			(96,634)			-1.7	%
Less: allowance for credit losses on loans	(44,939)			(48,734)			(3,795)			-7.8	%
Net loans receivable	5,687,848			5,780,687			(92,839)			-1.6	%
Premises and equipment	44,940			48,309			(3,369)			-7.0	%
Federal Home Loan Bank of New York stock	80,300			71,734			8,566			11.9	%
Accrued interest receivable	29,521			28,133			1,388			4.9	%
Goodwill	113,525			210,895			(97,370)			-46.2	%
Core deposit intangible	1,931			2,457			(526)			-21.4	%
Bank owned life insurance	297,874			292,825			5,049			1.7	%
Deferred income tax assets, net	50,339			51,973			(1,634)			-3.1	%
Other real estate owned	—			12,956			(12,956)			-100.0	%
Other assets	98,708			110,546			(11,838)			-10.7	%
Total assets	$	7,683,461		$	8,064,815		$	(381,354)		-4.7	%
Liabilities
Deposits:
Non-interest-bearing	$	598,366		$	609,999		$	(11,633)		-1.9	%
Interest-bearing	4,559,757			5,019,184			(459,427)			-9.2	%
Total deposits	5,158,123			5,629,183			(471,060)			-8.4	%
Borrowings	1,709,789			1,506,812			202,977			13.5	%
Advance payments by borrowers for taxes	17,409			18,338			(929)			(5.1)	%
Other liabilities	44,569			41,198			3,371			8.2	%
Total liabilities	6,929,890			7,195,531			(265,641)			(3.7)	%
Stockholders' Equity
Common stock	644			659			(15)			-2.3	%
Paid-in capital	493,680			503,332			(9,652)			-1.9	%
Retained earnings	343,326			457,611			(114,285)			-25.0	%
Unearned ESOP shares	(20,916)			(22,862)			1,946			-8.5	%
Accumulated other comprehensive loss	(63,163)			(69,456)			6,293			-9.1	%
Total stockholders' equity	753,571			869,284			(115,713)			-13.3	%
Total liabilities and stockholders' equity	$	7,683,461		$	8,064,815		$	(381,354)		-4.7	%
Consolidated capital ratios
Equity to assets	9.81		%	10.78		%	-0.97		%
Tangible equity to tangible assets (1)	8.43		%	8.35		%	0.08		%
Share data
Outstanding shares	64,434			65,864			(1,430)			-2.2	%
Book value per share	$	11.70		$	13.20		$	(1.50)		-11.4	%
Tangible book value per share (2)	$	9.90		$	9.96		$	(0.06)		-0.6	%

_________________________

(2)Tangible book value equals total stockholders' equity reduced by goodwill and core deposit intangible assets.

Kearny Financial Corp.

Consolidated Statements of Income

	Year Ended
(Dollars and Shares in Thousands, <br>Except Per Share Data)	June 30,<br>2024			June 30,<br>2023			Variance<br>or Change			Variance<br>or Change Pct.
	(Unaudited)			(Audited)
Interest income
Loans	$	256,007		$	233,147		$	22,860		9.8	%
Taxable investment securities	63,313			54,855			8,458			15.4	%
Tax-exempt investment securities	336			694			(358)			-51.6	%
Other interest-earning assets	9,212			5,028			4,184			83.2	%
Total interest income	328,868			293,724			35,144			12.0	%
Interest expense
Deposits	122,414			78,163			44,251			56.6	%
Borrowings	63,860			39,696			24,164			60.9	%
Total interest expense	186,274			117,859			68,415			58.0	%
Net interest income	142,594			175,865			(33,271)			-18.9	%
Provision for credit losses	6,226			2,486			3,740			150.4	%
Net interest income after provision for credit losses	136,368			173,379			(37,011)			-21.3	%
Non-interest income
Fees and service charges	2,609			3,106			(497)			-16.0	%
Loss on sale and call of securities	(18,135)			(15,227)			(2,908)			19.1	%
Loss on sale of loans	(282)			(1,645)			1,363			-82.9	%
Loss on sale of real estate owned	(974)			(139)			(835)			600.7	%
Income from bank owned life insurance	9,076			8,645			431			5.0	%
Electronic banking fees and charges	2,357			1,759			598			34.0	%
Other income	3,356			6,252			(2,896)			-46.3	%
Total non-interest income	(1,993)			2,751			(4,744)			-172.4	%
Non-interest expense
Salaries and employee benefits	69,220			75,589			(6,369)			-8.4	%
Net occupancy expense of premises	11,033			12,036			(1,003)			-8.3	%
Equipment and systems	15,223			14,577			646			4.4	%
Advertising and marketing	1,396			2,122			(726)			-34.2	%
Federal deposit insurance premium	5,980			5,133			847			16.5	%
Directors' compensation	1,506			1,364			142			10.4	%
Goodwill impairment	97,370			—			97,370			—	%
Other expense	13,423			12,930			493			3.8	%
Total non-interest expense	215,151			123,751			91,400			73.9	%
(Loss) income before income taxes	(80,776)			52,379			(133,155)			-254.2	%
Income taxes	5,891			11,568			(5,677)			-49.1	%
Net (loss) income	$	(86,667)		$	40,811		$	(127,478)		-312.4	%
Net (loss) income per common share (EPS)
Basic	$	(1.39)		$	0.63		$	(2.02)
Diluted	$	(1.39)		$	0.63		$	(2.02)
Dividends declared
Cash dividends declared per common share	$	0.44		$	0.44		$	—
Cash dividends declared	$	27,618		$	28,651		$	(1,033)
Dividend payout ratio	(31.9)		%	70.2		%	(102.1)		%
Weighted average number of common shares outstanding
Basic	62,444			64,804			(2,360)
Diluted	62,444			64,804			(2,360)

Kearny Financial Corp.

Average Balance Sheet Data

(Unaudited)

	Year Ended
(Dollars in Thousands)	June 30,<br>2024			June 30,<br>2023			Variance<br>or Change			Variance<br>or Change Pct.
Assets
Interest-earning assets:
Loans receivable, including loans held for sale	$	5,752,496		$	5,827,123		$	(74,627)		-1.3	%
Taxable investment securities	1,438,200			1,532,961			(94,761)			-6.2	%
Tax-exempt investment securities	14,718			30,332			(15,614)			-51.5	%
Other interest-earning assets	131,019			115,390			15,629			13.5	%
Total interest-earning assets	7,336,433			7,505,806			(169,373)			-2.3	%
Non-interest-earning assets	541,859			563,131			(21,272)			-3.8	%
Total assets	$	7,878,292		$	8,068,937		$	(190,645)		-2.4	%
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand	$	2,308,893		$	2,349,802		$	(40,909)		-1.7	%
Savings	662,981			896,651			(233,670)			-26.1	%
Certificates of deposit	1,778,682			2,083,864			(305,182)			-14.6	%
Total interest-bearing deposits	4,750,556			5,330,317			(579,761)			-10.9	%
Borrowings:
Federal Home Loan Bank Advances	1,458,941			1,101,658			357,283			32.4	%
Other borrowings	184,768			57,468			127,300			221.5	%
Total borrowings	1,643,709			1,159,126			484,583			41.8	%
Total interest-bearing liabilities	6,394,265			6,489,443			(95,178)			-1.5	%
Non-interest-bearing liabilities:
Non-interest-bearing deposits	595,266			644,543			(49,277)			-7.6	%
Other non-interest-bearing liabilities	64,444			59,593			4,851			8.1	%
Total non-interest-bearing liabilities	659,710			704,136			(44,426)			-6.3	%
Total liabilities	7,053,975			7,193,579			(139,604)			-1.9	%
Stockholders' equity	824,317			875,358			(51,041)			-5.8	%
Total liabilities and stockholders' equity	$	7,878,292		$	8,068,937		$	(190,645)		-2.4	%
Average interest-earning assets to average interest-bearing liabilities	114.73		%	115.66		%	(0.93)		%	-0.8	%

Kearny Financial Corp.

Performance Ratio Highlights

(Unaudited)

	Year Ended
	June 30,<br>2024		June 30,<br>2023		Variance<br>or Change
Average yield on interest-earning assets:
Loans receivable, including loans held for sale	4.45	%	4.00	%	0.45	%
Taxable investment securities	4.40	%	3.58	%	0.82	%
Tax-exempt investment securities (1)	2.28	%	2.29	%	-0.01	%
Other interest-earning assets	7.03	%	4.36	%	2.67	%
Total interest-earning assets	4.48	%	3.91	%	0.57	%
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand	2.91	%	1.73	%	1.18	%
Savings	0.50	%	0.37	%	0.13	%
Certificates of deposit	2.92	%	1.64	%	1.28	%
Total interest-bearing deposits	2.58	%	1.47	%	1.11	%
Borrowings:
Federal Home Loan Bank Advances	3.70	%	3.43	%	0.27	%
Other borrowings	5.36	%	3.41	%	1.95	%
Total borrowings	3.89	%	3.42	%	0.47	%
Total interest-bearing liabilities	2.91	%	1.82	%	1.09	%
Interest rate spread (2)	1.57	%	2.09	%	-0.52	%
Net interest margin (3)	1.94	%	2.34	%	-0.40	%
Non-interest income to average assets	(0.03)	%	0.03	%	-0.06	%
Non-interest expense to average assets	2.73	%	1.53	%	1.20	%
Efficiency ratio (4)	153.02	%	69.28	%	83.74	%
Return on average assets	(1.10)	%	0.51	%	-1.61	%
Return on average equity	(10.51)	%	4.66	%	-15.17	%
Return on average tangible equity (5)	(13.64)	%	6.17	%	-19.81	%

_________________________

(1)The yield on tax-exempt investment securities has not been adjusted to reflect their tax-effective yield.

(2)Interest income divided by average interest-earning assets less interest expense divided by average interest-bearing liabilities.

(3)Net interest income divided by average interest-earning assets.

(4)Non-interest expense divided by the sum of net interest income and non-interest income.

(5)Average tangible equity equals total average stockholders’ equity reduced by average goodwill and average core deposit intangible assets.

Five-Quarter Financial Trend Analysis

Kearny Financial Corp.

Consolidated Balance Sheets

(Dollars and Shares in Thousands,<br>Except Per Share Data)	June 30,<br>2024			March 31,<br>2024			December 31,<br>2023			September 30,<br>2023			June 30,<br>2023
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)			(Audited)
Assets
Cash and cash equivalents	$	63,864		$	71,027		$	73,860		$	57,219		$	70,515
Securities available for sale	1,072,833			1,098,655			1,144,175			1,215,633			1,227,729
Securities held to maturity	135,742			139,643			141,959			143,730			146,465
Loans held-for-sale	6,036			4,117			14,030			3,934			9,591
Loans receivable	5,732,787			5,758,336			5,745,629			5,736,049			5,829,421
Less: allowance for credit losses on loans	(44,939)			(44,930)			(44,867)			(46,872)			(48,734)
Net loans receivable	5,687,848			5,713,406			5,700,762			5,689,177			5,780,687
Premises and equipment	44,940			45,053			45,928			46,868			48,309
Federal Home Loan Bank stock	80,300			81,347			83,372			81,509			71,734
Accrued interest receivable	29,521			31,065			30,258			29,766			28,133
Goodwill	113,525			210,895			210,895			210,895			210,895
Core deposit intangible	1,931			2,057			2,189			2,323			2,457
Bank owned life insurance	297,874			296,493			256,064			294,491			292,825
Deferred income taxes, net	50,339			47,225			46,116			56,500			51,973
Other real estate owned	—			—			11,982			12,956			12,956
Other assets	98,708			100,989			136,242			129,865			110,546
Total assets	$	7,683,461		$	7,841,972		$	7,897,832		$	7,974,866		$	8,064,815
Liabilities
Deposits:
Non-interest-bearing	$	598,366		$	586,089		$	584,130		$	595,141		$	609,999
Interest-bearing	4,559,757			4,622,961			4,735,500			4,839,027			5,019,184
Total deposits	5,158,123			5,209,050			5,319,630			5,434,168			5,629,183
Borrowings	1,709,789			1,722,178			1,667,055			1,626,933			1,506,812
Advance payments by borrowers for taxes	17,409			17,387			16,742			16,907			18,338
Other liabilities	44,569			44,279			46,427			47,324			41,198
Total liabilities	6,929,890			6,992,894			7,049,854			7,125,332			7,195,531
Stockholders' Equity
Common stock	644			644			645			652			659
Paid-in capital	493,680			493,187			493,297			497,269			503,332
Retained earnings	343,326			440,308			439,755			460,464			457,611
Unearned ESOP shares	(20,916)			(21,402)			(21,889)			(22,375)			(22,862)
Accumulated other comprehensive loss	(63,163)			(63,659)			(63,830)			(86,476)			(69,456)
Total stockholders' equity	753,571			849,078			847,978			849,534			869,284
Total liabilities and stockholders' equity	$	7,683,461		$	7,841,972		$	7,897,832		$	7,974,866		$	8,064,815
Consolidated capital ratios
Equity to assets	9.81		%	10.83		%	10.74		%	10.65		%	10.78		%
Tangible equity to tangible assets (1)	8.43		%	8.34		%	8.26		%	8.20		%	8.35		%
Share data
Outstanding shares	64,434			64,437			64,445			65,132			65,864
Book value per share	$	11.70		$	13.18		$	13.16		$	13.04		$	13.20
Tangible book value per share (2)	$	9.90		$	9.87		$	9.85		$	9.77		$	9.96

_________________________

(2)Tangible book value equals total stockholders' equity reduced by goodwill and core deposit intangible assets.

Kearny Financial Corp.

Supplemental Balance Sheet Highlights

(Unaudited)

(Dollars in Thousands)	June 30,<br>2024			March 31,<br>2024			December 31,<br>2023			September 30,<br>2023			June 30,<br>2023
Loan portfolio composition:
Commercial loans:
Multi-family mortgage	$	2,645,851		$	2,645,195		$	2,651,274		$	2,699,151		$	2,761,775
Nonresidential mortgage	948,075			965,539			947,287			946,801			968,574
Commercial business	142,747			147,326			144,134			149,229			146,861
Construction	209,237			229,457			221,933			230,703			226,609
Total commercial loans	3,945,910			3,987,517			3,964,628			4,025,884			4,103,819
One- to four-family residential mortgage	1,756,051			1,741,644			1,746,065			1,689,051			1,700,559
Consumer loans:
Home equity loans	44,104			42,731			43,517			42,896			43,549
Other consumer	2,685			3,198			2,728			2,644			2,549
Total consumer loans	46,789			45,929			46,245			45,540			46,098
Total loans, excluding yield adjustments	5,748,750			5,775,090			5,756,938			5,760,475			5,850,476
Unaccreted yield adjustments	(15,963)			(16,754)			(11,309)			(24,426)			(21,055)
Loans receivable, net of yield adjustments	5,732,787			5,758,336			5,745,629			5,736,049			5,829,421
Less: allowance for credit losses on loans	(44,939)			(44,930)			(44,867)			(46,872)			(48,734)
Net loans receivable	$	5,687,848		$	5,713,406		$	5,700,762		$	5,689,177		$	5,780,687
Asset quality:
Nonperforming assets:
Accruing loans - 90 days and over past due	$	—		$	—		$	—		$	—		$	—
Nonaccrual loans	39,882			39,546			28,089			37,912			42,627
Total nonperforming loans	39,882			39,546			28,089			37,912			42,627
Nonaccrual loans held-for-sale	—			—			9,700			—			—
Other real estate owned	—			—			11,982			12,956			12,956
Total nonperforming assets	$	39,882		$	39,546		$	49,771		$	50,868		$	55,583
Nonperforming loans (% total loans)	0.70		%	0.69		%	0.49		%	0.66		%	0.73		%
Nonperforming assets (% total assets)	0.52		%	0.50		%	0.63		%	0.64		%	0.69		%
Classified loans	$	118,700		$	115,772		$	94,676		$	98,616		$	93,526
Allowance for credit losses on loans (ACL):
ACL to total loans	0.78		%	0.78		%	0.78		%	0.81		%	0.83		%
ACL to nonperforming loans	112.68		%	113.61		%	159.73		%	123.63		%	114.33		%
Net charge-offs	$	3,518		$	286		$	4,110		$	2,107		$	82
Average net charge-off rate (annualized)	0.25		%	0.02		%	0.29		%	0.15		%	0.01		%

Kearny Financial Corp.

Supplemental Balance Sheet Highlights

(Unaudited)

(Dollars in Thousands)	June 30,<br>2024			March 31,<br>2024			December 31,<br>2023			September 30,<br>2023			June 30,<br>2023
Funding composition:
Deposits:
Non-interest-bearing deposits	$	598,367		$	586,089		$	584,130		$	595,141		$	609,999
Interest-bearing demand	2,308,915			2,349,032			2,347,262			2,236,573			2,252,912
Savings	643,481			630,456			646,182			689,163			748,721
Certificates of deposit (retail)	1,199,127			1,235,261			1,283,676			1,300,382			1,377,028
Certificates of deposit (brokered and listing service)	408,234			408,212			458,380			612,909			640,523
Interest-bearing deposits	4,559,757			4,622,961			4,735,500			4,839,027			5,019,184
Total deposits	5,158,124			5,209,050			5,319,630			5,434,168			5,629,183
Borrowings:
Federal Home Loan Bank advances	1,534,789			1,457,178			1,432,055			1,456,933			1,281,812
Overnight borrowings	175,000			265,000			235,000			170,000			225,000
Total borrowings	1,709,789			1,722,178			1,667,055			1,626,933			1,506,812
Total funding	$	6,867,913		$	6,931,228		$	6,986,685		$	7,061,101		$	7,135,995
Loans as a % of deposits	110.4		%	109.8		%	107.4		%	104.8		%	102.9		%
Deposits as a % of total funding	75.1		%	75.2		%	76.1		%	77.0		%	78.9		%
Borrowings as a % of total funding	24.9		%	24.8		%	23.9		%	23.0		%	21.1		%
Uninsured deposits:
Uninsured deposits (reported) (1)	$	1,772,623		$	1,760,740		$	1,813,122		$	1,734,288		$	1,771,416
Uninsured deposits (adjusted) (2)	$	764,447		$	718,026		$	694,510		$	683,265		$	710,377

_________________________

(1)Uninsured deposits of Kearny Bank.

(2)Uninsured deposits of Kearny Bank adjusted to exclude deposits of its wholly-owned subsidiary and holding company and collateralized deposits of state and local governments.

Kearny Financial Corp.

Consolidated Statements of Income (Loss)

(Unaudited)

	Three Months Ended
(Dollars and Shares in Thousands,<br>Except Per Share Data)	June 30,<br>2024			March 31,<br>2024			December 31,<br>2023			September 30,<br>2023			June 30,<br>2023
Interest income
Loans	$	65,819		$	64,035		$	63,384		$	62,769		$	62,044
Taxable investment securities	14,802			15,490			16,756			16,265			15,736
Tax-exempt investment securities	80			85			84			87			91
Other interest-earning assets	2,289			2,475			2,401			2,047			1,821
Total interest income	82,990			82,085			82,625			81,168			79,692
Interest expense
Deposits	32,187			32,320			30,340			27,567			26,226
Borrowings	17,527			15,446			16,446			14,441			13,286
Total interest expense	49,714			47,766			46,786			42,008			39,512
Net interest income	33,276			34,319			35,839			39,160			40,180
Provision for (reversal of) credit losses	3,527			349			2,105			245			(306)
Net interest income after provision for (reversal of) credit losses	29,749			33,970			33,734			38,915			40,486
Non-interest income
Fees and service charges	580			657			624			748			699
Loss on sale and call of securities	—			—			(18,135)			—			—
Gain (loss) on sale of loans	111			(712)			104			215			199
Loss on sale of other real estate owned	—			—			(974)			—			(139)
Income from bank owned life insurance	3,209			3,039			1,162			1,666			1,605
Electronic banking fees and charges	1,130			464			396			367			399
Other income	776			755			811			1,014			903
Total non-interest income	5,806			4,203			(16,012)			4,010			3,666
Non-interest expense
Salaries and employee benefits	17,266			16,911			17,282			17,761			17,315
Net occupancy expense of premises	2,738			2,863			2,674			2,758			2,862
Equipment and systems	3,785			3,823			3,814			3,801			3,511
Advertising and marketing	480			387			301			228			231
Federal deposit insurance premium	1,532			1,429			1,495			1,524			1,455
Directors' compensation	360			360			393			393			345
Goodwill impairment	97,370			—			—			—			—
Other expense	3,020			3,286			3,808			3,309			3,042
Total non-interest expense	126,551			29,059			29,767			29,774			28,761
(Loss) income before income taxes	(90,996)			9,114			(12,045)			13,151			15,391
Income taxes	(917)			1,717			1,782			3,309			3,378
Net (loss) income	$	(90,079)		$	7,397		$	(13,827)		$	9,842		$	12,013
Net (loss) income per common share (EPS)
Basic	$	(1.45)		$	0.12		$	(0.22)		$	0.16		$	0.19
Diluted	$	(1.45)		$	0.12		$	(0.22)		$	0.16		$	0.19
Dividends declared
Cash dividends declared per common share	$	0.11		$	0.11		$	0.11		$	0.11		$	0.11
Cash dividends declared	$	6,903		$	6,844		$	6,882		$	6,989		$	7,007
Dividend payout ratio	-7.7		%	92.5		%	-49.8		%	71.0		%	58.3		%
Weighted average number of common shares outstanding
Basic	62,254			62,205			62,299			63,014			63,667
Diluted	62,254			62,211			62,299			63,061			63,667

Kearny Financial Corp.

Average Balance Sheet Data

(Unaudited)

	Three Months Ended
(Dollars in Thousands)	June 30,<br>2024			March 31,<br>2024			December 31,<br>2023			September 30,<br>2023			June 30,<br>2023
Assets
Interest-earning assets:
Loans receivable, including loans held-for-sale	$	5,743,008		$	5,752,477		$	5,726,321		$	5,788,074		$	5,932,541
Taxable investment securities	1,343,541			1,382,064			1,509,165			1,516,393			1,529,582
Tax-exempt investment securities	13,737			14,614			15,025			15,483			16,346
Other interest-earning assets	128,257			125,155			139,740			130,829			128,158
Total interest-earning assets	7,228,543			7,274,310			7,390,251			7,450,779			7,606,627
Non-interest-earning assets	466,537			577,411			554,335			568,723			556,962
Total assets	$	7,695,080		$	7,851,721		$	7,944,586		$	8,019,502		$	8,163,589
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand	$	2,310,521		$	2,378,831		$	2,301,169		$	2,245,831		$	2,321,120
Savings	631,622			635,226			664,926			719,508			774,854
Certificates of deposit	1,613,798			1,705,513			1,824,316			1,968,512			2,057,818
Total interest-bearing deposits	4,555,941			4,719,570			4,790,411			4,933,851			5,153,792
Borrowings:
Federal Home Loan Bank advances	1,507,192			1,428,801			1,513,497			1,386,473			1,374,316
Other borrowings	228,461			210,989			142,283			158,098			100,055
Total borrowings	1,735,653			1,639,790			1,655,780			1,544,571			1,474,371
Total interest-bearing liabilities	6,291,594			6,359,360			6,446,191			6,478,422			6,628,163
Non-interest-bearing liabilities:
Non-interest-bearing deposits	589,438			581,870			597,294			612,251			608,765
Other non-interest-bearing liabilities	62,978			65,709			62,387			66,701			64,970
Total non-interest-bearing liabilities	652,416			647,579			659,681			678,952			673,735
Total liabilities	6,944,010			7,006,939			7,105,872			7,157,374			7,301,898
Stockholders' equity	751,070			844,782			838,714			862,128			861,691
Total liabilities and stockholders' equity	$	7,695,080		$	7,851,721		$	7,944,586		$	8,019,502		$	8,163,589
Average interest-earning assets to average<br>interest-bearing liabilities	114.89		%	114.39		%	114.65		%	115.01		%	114.76		%

Kearny Financial Corp.

Performance Ratio Highlights

	Three Months Ended
	June 30,<br>2024		March 31,<br>2024		December 31,<br>2023		September 30,<br>2023		June 30,<br>2023
Average yield on interest-earning assets:
Loans receivable, including loans held-for-sale	4.58	%	4.45	%	4.43	%	4.34	%	4.18	%
Taxable investment securities	4.41	%	4.48	%	4.44	%	4.29	%	4.12	%
Tax-exempt investment securities (1)	2.32	%	2.32	%	2.25	%	2.25	%	2.23	%
Other interest-earning assets	7.14	%	7.91	%	6.87	%	6.26	%	5.68	%
Total interest-earning assets	4.59	%	4.51	%	4.47	%	4.36	%	4.19	%
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand	3.06	%	3.08	%	2.91	%	2.58	%	2.38	%
Savings	0.63	%	0.46	%	0.44	%	0.47	%	0.48	%
Certificates of deposit	3.35	%	3.11	%	2.82	%	2.49	%	2.24	%
Total interest-bearing deposits	2.83	%	2.74	%	2.53	%	2.23	%	2.04	%
Borrowings:
Federal Home Loan Bank advances	3.86	%	3.55	%	3.82	%	3.54	%	3.51	%
Other borrowings	5.24	%	5.22	%	5.65	%	5.46	%	4.89	%
Total borrowings	4.04	%	3.77	%	3.97	%	3.74	%	3.60	%
Total interest-bearing liabilities	3.16	%	3.00	%	2.90	%	2.59	%	2.38	%
Interest rate spread (2)	1.43	%	1.51	%	1.57	%	1.77	%	1.81	%
Net interest margin (3)	1.84	%	1.89	%	1.94	%	2.10	%	2.11	%
Non-interest income to average assets (annualized)	0.30	%	0.21	%	-0.81	%	0.20	%	0.18	%
Non-interest expense to average assets (annualized)	6.58	%	1.48	%	1.50	%	1.49	%	1.41	%
Efficiency ratio (4)	323.81	%	75.43	%	150.13	%	68.97	%	65.60	%
Return on average assets (annualized)	-4.68	%	0.38	%	-0.70	%	0.49	%	0.59	%
Return on average equity (annualized)	-47.97	%	3.50	%	-6.59	%	4.57	%	5.58	%
Return on average tangible equity (annualized) (5)	-56.69	%	4.68	%	-8.84	%	6.07	%	7.41	%

_________________________

(1)The yield on tax-exempt investment securities has not been adjusted to reflect their tax-effective yield.

(2)Interest income divided by average interest-earning assets less interest expense divided by average interest-bearing liabilities.

(3)Net interest income divided by average interest-earning assets.

(4)Non-interest expense divided by the sum of net interest income and non-interest income.

(5)Average tangible equity equals total average stockholders’ equity reduced by average goodwill and average core deposit intangible assets.

The following tables provide a reconciliation of certain financial measures calculated in accordance with Generally Accepted Accounting Principles (“GAAP”) (as reported) and non-GAAP measures. These non-GAAP measures provide additional information which allow readers to evaluate the ongoing performance of the Company. They are not a substitute for GAAP measures; they should be read and used in conjunction with the Company’s GAAP financial information. In all cases, it should be understood that non-GAAP per share measures do not depict amounts that accrue directly to the benefit of shareholders.

Kearny Financial Corp.

Reconciliation of GAAP to Non-GAAP

(Unaudited)

	Three Months Ended
(Dollars and Shares in Thousands,<br>Except Per Share Data)	June 30,<br>2024			March 31,<br>2024			December 31,<br>2023			September 30,<br>2023			June 30,<br>2023
Adjusted net income:
Net (loss) income (GAAP)	$	(90,079)		$	7,397		$	(13,827)		$	9,842		$	12,013
Non-recurring transactions - net of tax:
Net effect of sale and call of securities	—			—			12,876			—			—
Net effect of bank-owned life insurance restructure	392			—			6,286			—			—
Goodwill impairment	95,283			—			—			—			—
Adjusted net income	$	5,596		$	7,397		$	5,335		$	9,842		$	12,013
Calculation of pre-tax, pre-provision net revenue:
Net (loss) income (GAAP)	$	(90,079)		$	7,397		$	(13,827)		$	9,842		$	12,013
Adjustments to net income (GAAP):
Provision for income taxes	(917)			1,717			1,782			3,309			3,378
Provision for (reversal of) credit losses	3,527			349			2,105			245			(306)
Pre-tax, pre-provision net revenue (non-GAAP)	$	(87,469)		$	9,463		$	(9,940)		$	13,396		$	15,085
Adjusted earnings per share:
Weighted average common shares - basic	62,254			62,205			62,299			63,014			63,667
Weighted average common shares - diluted	62,330			62,211			62,367			63,061			63,667
Earnings per share - basic (GAAP)	$	(1.45)		$	0.12		$	(0.22)		$	0.16		$	0.19
Earnings per share - diluted (GAAP)	$	(1.45)		$	0.12		$	(0.22)		$	0.16		$	0.19
Adjusted earnings per share - basic (non-GAAP)	$	0.09		$	0.12		$	0.09		$	0.16		$	0.19
Adjusted earnings per share - diluted (non-GAAP)	$	0.09		$	0.12		$	0.09		$	0.16		$	0.19
Pre-tax, pre-provision net revenue per share:
Pre-tax, pre-provision net revenue per share - basic<br>(non-GAAP)	$	(1.41)		$	0.15		$	(0.16)		$	0.21		$	0.24
Pre-tax, pre-provision net revenue per share - diluted<br>(non-GAAP)	$	(1.41)		$	0.15		$	(0.16)		$	0.21		$	0.24
Adjusted return on average assets:
Total average assets	$	7,695,080		$	7,851,721		$	7,944,586		$	8,019,502		$	8,163,589
Return on average assets (GAAP)	-4.68		%	0.38		%	-0.70		%	0.49		%	0.59		%
Adjusted return on average assets (non-GAAP)	0.29		%	0.38		%	0.27		%	0.49		%	0.59		%
Adjusted return on average equity:
Total average equity	$	751,070		$	844,782		$	838,714		$	862,128		$	861,691
Return on average equity (GAAP)	-47.97		%	3.50		%	-6.59		%	4.57		%	5.58		%
Adjusted return on average equity (non-GAAP)	2.98		%	3.50		%	2.54		%	4.57		%	5.58		%

Kearny Financial Corp.

Reconciliation of GAAP to Non-GAAP

(Unaudited)

	Three Months Ended
(Dollars and Shares in Thousands,<br>Except Per Share Data)	June 30,<br>2024			March 31,<br>2024			December 31,<br>2023			September 30,<br>2023			June 30,<br>2023
Adjusted return on average tangible equity:
Total average equity	$	751,070		$	844,782		$	838,714		$	862,128		$	861,691
Less: average goodwill	(113,525)			(210,895)			(210,895)			(210,895)			(210,895)
Less: average other intangible assets	(2,006)			(2,138)			(2,277)			(2,411)			(2,544)
Total average tangible equity	$	635,539		$	631,749		$	625,542		$	648,822		$	648,252
Return on average tangible equity (non-GAAP)	-56.69		%	4.68		%	-8.84		%	6.07		%	7.41		%
Adjusted return on average tangible equity (non-GAAP)	3.52		%	4.68		%	3.41		%	6.07		%	7.41		%
Adjusted non-interest expense ratio:
Non-interest expense (GAAP)	$	126,551		$	29,059		$	29,767		$	29,774		$	28,761
Non-recurring transactions:
Goodwill impairment	(97,370)			—			—			—			—
Non-interest expense (non-GAAP)	$	29,181		$	29,059		$	29,767		$	29,774		$	28,761
Non-interest expense ratio (GAAP)	6.58		%	1.48		%	1.50		%	1.49		%	1.41		%
Adjusted non-interest expense ratio (non-GAAP)	1.52		%	1.48		%	1.50		%	1.49		%	1.41		%
Adjusted efficiency ratio:
Non-interest expense (non-GAAP)	$	29,181		$	29,059		$	29,767		$	29,774		$	28,761
Net interest income (GAAP)	$	33,276		$	34,319		$	35,839		$	39,160		$	40,180
Total non-interest income (GAAP)	5,806			4,203			(16,012)			4,010			3,666
Non-recurring transactions:
Net effect of sale and call of securities	—			—			18,135			—			—
Net effect of bank-owned life insurance restructure	392			—			573			—			—
Total revenue (non-GAAP)	$	39,474		$	38,522		$	38,535		$	43,170		$	43,846
Efficiency ratio (GAAP)	323.81		%	75.43		%	150.13		%	68.97		%	65.60		%
Adjusted efficiency ratio (non-GAAP)	73.92		%	75.43		%	77.25		%	68.97		%	65.60		%

Kearny Financial Corp.

Reconciliation of GAAP to Non-GAAP

(Unaudited)

	Year Ended
(Dollars and Shares in Thousands,<br>Except Per Share Data)	June 30,<br>2024				June 30,<br>2023
Adjusted net income:
Net (loss) income (GAAP)	$	(86,667)			$	40,811
Non-recurring transactions - net of tax:
Branch consolidation expenses and impairment charges	—				568
Net effect of sale and call of securities	12,876				10,811
Net effect of sale of other assets	—				(2,081)
Severance expense from workforce realignment	—				538
Net effect of bank-owned life insurance contract restructure	6,678				—
Goodwill impairment	95,283			—	—
Adjusted net income	$	28,170			$	50,647
Calculation of pre-tax, pre-provision net revenue:
Net (loss) income (GAAP)	(86,667)				40,811
Adjustments to net income (GAAP):
Provision for income taxes	$	5,891			$	11,568
Provision for (reversal of) credit losses	6,226				2,486
Pre-tax, pre-provision net revenue (non-GAAP)	(74,550)				54,865
Adjusted earnings per share:
Weighted average common shares - basic	62,444				64,804
Weighted average common shares - diluted	62,444				64,804
Earnings per share - basic (GAAP)	$	(1.39)			$	0.63
Earnings per share - diluted (GAAP)	$	(1.39)			$	0.63
Adjusted earnings per share - basic (non-GAAP)	$	0.45			$	0.78
Adjusted earnings per share - diluted (non-GAAP)	$	0.45			$	0.78
Pre-tax, pre-provision net revenue per share:
Pre-tax, pre-provision net revenue per share - basic (non-GAAP)	$	(1.19)			$	0.85
Pre-tax, pre-provision net revenue per share - diluted (non-GAAP)	$	(1.19)			$	0.85
Adjusted return on average assets:
Total average assets	$	7,878,292			$	8,068,937
Return on average assets (GAAP)	-1.10		%		0.51		%
Adjusted return on average assets (non-GAAP)	0.36		%		0.63		%
Adjusted return on average equity:
Total average equity	$	824,317			$	875,358
Return on average equity (GAAP)	-10.51		%		4.66		%
Adjusted return on average equity (non-GAAP)	3.42		%		5.79		%
Adjusted return on average tangible equity:
Total average equity	$	824,317			$	875,358
Less: average goodwill	(186,685)				(210,895)
Less: average other intangible assets	(2,209)				(2,757)
Total average tangible equity	$	635,423			$	661,706
Return on average tangible equity (non-GAAP)	-13.64		%		6.17		%
Adjusted return on average tangible equity (non-GAAP)	4.43		%		7.65		%

Kearny Financial Corp.

Reconciliation of GAAP to Non-GAAP

(Unaudited)

	Year Ended
(Dollars in Thousands)	June 30,<br>2024			June 30,<br>2023
Adjusted non-interest expense ratio:
Non-interest expense (GAAP)	$	215,151		$	123,751
Non-routine transactions:
Branch consolidation expenses and impairment charges	—			(800)
Severance expense from workforce realignment	—			(757)
Goodwill impairment	(97,370)			—
Non-interest expense (non-GAAP)	$	117,781		$	122,194
Non-interest expense ratio (GAAP)	2.73		%	1.53		%
Adjusted non-interest expense ratio (non-GAAP)	1.50		%	1.51		%
Adjusted efficiency ratio:
Non-interest expense (non-GAAP)	$	117,781		$	122,194
Net interest income (GAAP)	$	142,594		$	175,865
Total non-interest income (GAAP)	(1,993)			2,751
Non-routine transactions:
Net effect of sale and call of securities	18,135			15,227
Net effect of sale of other assets	—			(2,931)
Net effect of bank-owned life insurance contract restructure	965			—
Total revenue (non-GAAP)	$	159,701		$	190,912
Efficiency ratio (GAAP)	153.02		%	69.28		%
Adjusted efficiency ratio (non-GAAP)	73.75		%	64.01		%

krny-20240725xexx992xfin

JULY 25, 2024 I N V E S T O R P R E S E N T A T I O N F O U R T H Q U A R T E R F I S C A L 2 0 2 4 Exhibit 99.2

Forward Looking Statements & Financial Measures 2 This presentation may include certain “forward-looking statements,” which are made in good faith by Kearny Financial Corp. (the “Company”) pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties, such as statements of the Company’s plans, objectives, expectations, estimates and intentions that are subject to change based on various important factors (some of which are beyond the Company’s control). In addition to the factors described under Item 1A. Risk Factors in the Company’s Annual Report on Form 10-K, and subsequent filings with the Securities and Exchange Commission, the following factors, among others, could cause the Company’s financial performance to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements: • the strength of the United States economy in general and the strength of the local economy in which the Company conducts operations, • the effects of, and changes in, trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System, inflation, interest rates, market and monetary fluctuations, • the impact of changes in laws, regulations and government policies regarding financial institutions (including laws concerning taxation, banking, securities and insurance), • changes in accounting policies and practices, as may be adopted by regulatory agencies, the Financial Accounting Standards Board (“FASB”) or the Public Company Accounting Oversight Board, • technological changes, • competition among financial services providers, and • the success of the Company at managing the risks involved in the foregoing and managing its business. The Company cautions that the foregoing list of important factors is not exhaustive. Readers should not place any undue reliance on any forward looking statements, which speak only as of the date made. The Company does not undertake any obligation to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company. This presentation contains financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Management uses these “non-GAAP” measures in its analysis of the Company’s performance. Management believes these non-GAAP financial measures allow for better comparability of period to period operating performance. Additionally, the Company believes this information is utilized by regulators and market analysts to evaluate a company’s financial condition and therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. A reconciliation of the non-GAAP measures used in this presentation to the most directly comparable GAAP measures is provided in the Appendix to this presentation.

Kearny Financial Corp. NASDAQ: KRNY Headquartered in Fairfield, NJ 43 full-service branches1 in New Jersey and New York City Active acquirer, having completed 7 whole-bank acquisitions since 1999 1 As of June 30, 2024. Source: S&P Global Market Intelligence & Company Filings. 3

140 Years of Serving our Communities and Clients 4

4Q24 Financial Highlights 1 GAAP to Adjusted reconciliation on page 20. 2 Excludes Yield Adjustments. Source: Company Filings. 5 4Q24 Key Takeaways: Recognized non-cash, after-tax goodwill impairment of $95.3 million, which has no impact on our tangible book value, regulatory capital ratios, or liquidity position. Net interest margin compression continues to slow. The performance of our commercial real estate and multifamily portfolios continues to be outstanding, with nonperforming assets having improved by $15.7 million, or 0.17% of assets, from June 30, 2023. Deposit origination efforts including those via our digital channel, have continued to gain traction. Net Income (Loss) GAAP Adjusted1 $(90.1 million) $5.6 million Diluted EPS GAAP Adjusted1 $(1.45) $0.09 Net Interest Income CET-1 Ratio $33.3 million 14.79% Total Assets $7.7 billion Total Deposits Total Loans2 $5.2 billion $5.7 billion

Capital Strength Equity Capitalization Level 1 Kearny Financial Corp. (NASDAQ: KRNY) Regulatory Capital Ratios as of June 30, 2024 are preliminary. 2 S&P U.S. Small Cap Banks Index comprised of 241 constituents, based on March 31, 2024 results. 3 Equity to Asset ratio, as of June 30, 2024, was impacted by previously mentioned goodwill impairment. Source: Company Filings. 6 Regulatory Capital Ratios1,2 8.35% 8.20% 8.26% 8.34% 8.43% 10.78% 10.65% 10.74% 10.83% 9.81% 4Q23 1Q24 2Q24 3Q24 4Q24 Tangible Common Equity / Tangible Assets Equity / Assets 9.15% 14.79% 14.79% 15.57% 9.75% 11.68% 11.90% 14.35% Tier 1 Leverage Common Equity Tier 1 Tier 1 Risk-Based Capital Total Risk-Based Capital KRNY S&P US Small Cap Banks 3

7 Conservative Underwriting Culture Comprehensive CRE / Multifamily Underwriting Highly disciplined LTV and DSCR standards Interest rates stressed a minimum of +300bps at origination DSCR based on in-place rents, not projections, with conservative allowances for vacancy NOI underwritten to include forecasted expense increases and full taxes (where a tax abatement exists) Approval Authority & Underwriting Consistency Lending authority aggregated by borrower/group of related borrowers Technology ensures consistent and efficient underwriting and risk rating process Multi-faceted Loan Review & Stress Testing Semi-annual third-party loan-level stress testing and annual capital-based stress testing Quarterly third-party portfolio loan review with 65% of total portfolio reviewed on an annual basis Annual internal loan reviews on all commercial loans with balances of $2.5 million or greater Proactive Workout Process Dedicated team of portfolio managers and loan workout specialists Weekly meetings comprised of loan officers, credit personnel and special assets group to pre-emptively address delinquencies or problem credits Philosophy of aggressively addressing impaired assets in a timely fashion Senior Credit Officer Approval Management Loan Committee Approval Board Loan Committee Approval

Track Record of Strong Credit Performance 1 Data provided by Federal Reserve Bank of St. Louis. Source: Company Filings. 8 From 2006 to 2023, inclusive of the Global Financial Crisis and the COVID-19 Pandemic, KRNY’s net charge-offs to average total loans totaled 9 bps per year compared to 50 bps for all commercial banks (US Banks not among the top 100)1. Net Charge-offs to Average Total Loans 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 4Q24 Commercial Banks (not among top 100) KRNY Global Financial Crisis Hurricane Sandy COVID-19 Pandemic Cumulative charge-offs for KRNY between 2006 and 4Q24 were minimal, totaling $38.6 million.

Diversified Loan Portfolio Loan Composition1 Geographic Distribution2Loan Trend 1 For the quarter ended June 30, 2024. 2 As of June 30, 2024. Source: S&P Global Market Intelligence & Company Filings. 9 ($ millions) 1-4 Family 30.5% Home Equity 0.8% Multi-family 46.1% CRE 16.5% Construction 3.6% C&I 2.5% $1,701 $1,689 $1,746 $1,742 $1,756 $2,762 $2,699 $2,651 $2,645 $2,646 $969 $947 $947 $966 $948 $5,850 $5,760 $5,757 $5,775 $5,749 4Q23 1Q24 2Q24 3Q24 4Q24 1-4 Family Home Equity Multi-family CRE Construction C&I New York 33.8% New Jersey 55.4% Pennsylvania 5.9% Other 4.9% LTV 61.1% QTD Yield on Loans 4.58%

Multifamily Loan Portfolio Multifamily Loan Portfolio Composition1 New York City (“NYC”) Multifamily1 Source: Company Filings 1 As of June 30, 2024. 10 Outstanding asset quality over multiple credit cycles Less than half of our Multifamily portfolio is collateralized by properties in NYC Only 6% of our Multifamily portfolio is collateralized by majority or fully rent-regulated NYC properties There is a minimal amount of maturing or repricing NYC Multifamily loans in calendar 2024 and 2025 NYC Multifamily Portfolio: $1.2 billion Average Loan Balance: $3.48 million Weighted Average LTV: 62.4% Nonperforming Loans / Total MF Loans: 0.85% Jul to Dec 2024 Maturity & Repricing: $18.8 million Calendar Year 2025 Maturity & Repricing: $116.0 million Majority NYC Free Market 41.1% Outside NYC 53.3% 100% NYC Rent Regulated 2.2% Majority NYC Rent Regulated 3.4% Total MF $2.6B

NYC Multifamily Loan Portfolio 1 As of June 30, 2024. 2 Source: “New York City Multifamily In Review Report 2023” by Ariel Property Advisors; https://arielpa.nyc/investor-relations/research-reports 3 “New York City Multifamily In Review Report 2023” by Ariel Property Advisors; https://arielpa.nyc/insights/240206-how-low-can-it-go-finding-value-in-new-york-city-apartment-building-sales [arielpa.nyc] 11 Independent Market Research Report Data Industry Market Reports indicate that real estate prices in Brooklyn outperformed the other boroughs of NYC 66.4% of the Company’s NYC Multifamily portfolio is located in Brooklyn, NY Brooklyn 66.4% Queens 12.6% Manhattan 11.2% Bronx 9.5% Staten Island 0.4% Total NYC MF $1.2 B LTV 62.4% Rent Stabilized Location Building Value Change Bronx (29%) Brooklyn (7%) Manhattan (below 96th St) (37%) Northern Manhattan (above 96th St) (51%) Queens (22%) NYC Average (18%) Free Market Location Building Value Change Bronx 1% Brooklyn 1% Manhattan (below 96th St) (31%) Northern Manhattan (above 96th St) (25%) Queens 6% NYC Average (11%) Pricing Drop from Peak Pricing2 Free Market - Pricing Drop from Peak Pricing3

CRE Loan Detail Source: Company Filings. 1 As of June 30, 2024. 12 CRE Portfolio by Collateral Type1 CRE Loan Geographic Distribution1 Retail 34.7% Mixed Use 28.5% Office 11.2% Industrial 16.6% Specialty & Other 4.6% Medical 4.4% New Jersey 57.1% Brooklyn 9.2% New York (Ex. Brooklyn) 25.8% Pennsylvania 4.9% Other 3.0% Total CRE $0.9 B LTV 52%

Office Portfolio 1 As of June 30, 2024. Source: Company Filings. 13 Office Portfolio by Contractual Maturity1 Office Loan Geographic Distribution1 Office Portfolio Profile 11.2% of total CRE portfolio or $106 million Average loan size of $1.6 million ($ millions) $0 $3 $9 $36 $18 $9 $30 $0 $5 $10 $15 $20 $25 $30 $35 $40 2024 2025 2026 2027 2028 2029 2030+ Manhattan 21.9% New York (Ex. Manhattan) 6.2% New Jersey 69.0% Other 2.9% Total Office $106 M LTV 47.8% DSCR 1.9x

Asset Quality Metrics Non-Performing Assets / Total Assets Non-Performing Loans1 Allowance for Credit Losses 1 As of June 30, 2024; amounts shown in millions. Source: S&P Global Market Intelligence & Company Filings. 14 NPL's $39.5 MM 0.69% 0.64% 0.63% 0.50% 0.52% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 4Q23 1Q24 2Q24 3Q24 4Q24 Multi-family $22.7 CRE $9.8 C&I $0.7 1-4 Family $6.7 Net Charge-Offs / Average Loans 0.01% 0.15% 0.29% 0.02% 0.25% -0.10% 0.00% 0.10% 0.20% 0.30% 0.40% 4Q23 1Q24 2Q24 3Q24 4Q24 Increase driven by a single commercial real estate relationship Increase driven by a single C&I relationship $45.3 $45.0 $44.7 $44.7 $44.1 $3.4 $1.9 $0.2 $0.2 $0.9 0.83% 0.81% 0.78% 0.78% 0.78% 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% $0.0 $20.0 $40.0 $60.0 $80.0 $100.0 4Q23 1Q24 2Q24 3Q24 4Q24 ACL Balance - Collectively Evaluated ACL Balance - Individually Analyzed ACL to Total Loans Receivable NPL's $39.9 M $ in millions

Granular Deposit Franchise 1 For the quarter ended June 30, 2024. 2 As of June 30,2024; excludes wholesale and state & local government deposits. Source: S&P Global Market Intelligence & Company Filings. 15 Deposit Composition1 Deposit Trend Deposit Segmentation2Non-Maturity Deposit Mix Retail CDs 23.2% Wholesale CDs 7.9% Savings 12.5% Interest Bearing DDA 44.8% Non-interest Bearing DDA 11.6% ($ millions) Product # of Accounts Balance ($ millions) Average Balance per Account Checking 53,196 $ 2,387 $ 44,873 Savings 31,733 635 20,022 CD 25,406 1,196 47,076 Total Retail Deposits 110,335 $ 4,218 $ 38,233 QTD Cost of Deposits 2.83% $1,377 $1,300 $1,284 $1,235 $1,199 $640 $613 $458 $408 $408 $749 $689 $646 $630 $644 $2,253 $2,237 $2,348 $2,349 $2,309 $610 $595 $584 $586 $598 $5,629 $5,434 $5,320 $5,209 $5,158 4Q23 1Q24 2Q24 3Q24 4Q24 Retail CDs Wholesale CDs Savings Interest Bearing DDA Non-interest Bearing DDA Consumer 62.6% Commercial 22.5% Government 14.9%

Liquidity Available for Uninsured Deposits Estimated Uninsured Deposits Analysis2 1 Estimated amount of uninsured deposits reported in June 30, 2024 Call Report. 2 As of June 30, 2024. 16 Available liquidity is 2.4x greater than estimated uninsured deposits (excluding items above) Liquidity Capacity2 Estimated Uninsured Deposit Analysis ($ millions) Estimated Uninsured Deposits 1,772$ Less: Collateralized State & Local Government Deposits (480) Less: Bank's wholly-owned subsidiary & Holding Company Deposits (528) Estimated uninsured deposits excluding items above: 764$ Total Deposits 5,158$ Estimated uninsured deposits, excluding items above, as a % of Total Deposits 14.8% 1 Sources of Liquidity ($ millions) Liquidity Capacity Funding Utilized Available Capacity Internal Sources: Free Securities and other 381$ -$ 381$ External Sources: FRB 482 100 382 FHLB 2,669 1,610 1,059 Total Liquidity 3,532$ 1,710$ 1,822$

Investment Securities 1 As of June 30, 2024. 2 Comprised entirely of securitized federal education loans with 97% U.S. government guarantees. 3 Assumes 29% marginal tax rate. Source: S&P Global Market Intelligence & Company Filings. 17 Securities Composition1 Securities Average Balance & Yield TrendAFS/HTM & Effective Duration Total Effective Duration ≈ 3.2 years Floating rate securities ≈ 36.9% ($ millions) $1,546 $1,532 $1,524 $1,397 $1,357 4.10% 4.27% 4.42% 4.46% 4.39% 4Q23 1Q24 2Q24 3Q24 4Q24 Corporate Bonds 10.9% CLO 32.3% ABS Student Loans 6.6% Agency MBS 49.1% Municipal Bonds 1.1% 2 QTD Yield on Securities 4.39% AFS 88.8% HTM 11.2% At June 30, 2024, the after-tax net unrecognized loss on securities held-to-maturity was $11.7 million, or 1.84% of tangible equity3

Best-in-Class Operating Efficiency 1 Adjusted for non-routine transactions. GAAP to Adjusted reconciliation on page 20 Source: S&P Global Market Intelligence & Company Filings. 18 Adjusted Non-interest Expense to Average Assets1 ($ millions) $68 $74 $75 $96 $114 $130 $131 $120 1 21 41 61 81 101 121 2017 2018 2019 2020 2021 2022 2023 2024 1.8x Deposits per Branch 1.76% 1.73% 1.61% 1.55% 1.62% 1.69% 1.51% 1.50% 1.40% 1.50% 1.60% 1.70% 1.80% 1.90% 2.00% 2017 2018 2019 2020 2021 2022 2023 2024

Tech Forward Embedded Throughout the Organization 19

Non-GAAP Reconciliation 20 Reconciliation of GAAP to Non-GAAP For the quarter ended For the quarter ended For the quarter ended For the quarter ended For the quarter ended (Dollars and Shares in Thousands, Except Per Share Data) June 30, 2024 March 31, 2024 December 31, 2023 September 30, 2023 June 30, 2023 Adjusted net income: Net (loss) income (GAAP) ($90,079) $7,397 ($13,827) $9,842 $12,013 Non-recurring transactions - net of tax: Net effect of sale and call of securities - - 12,876 - - Net effect of bank-owned life insurance restructure 392 - 6,286 - - Goodwill impairment 95,283 - - - - Adjusted net income $5,596 $7,397 $5,335 $9,842 $12,013 Calculation of pre-tax, pre-provision net revenue: Net (loss) income (GAAP) ($90,079) $7,397 ($13,827) $9,842 $12,013 Adjustments to net income (GAAP): Provision for income taxes ($917) $1,717 $1,782 $3,309 $3,378 Provision for (reversal of) credit losses $3,527 $349 $2,105 $245 ($306) Pre-tax, pre-provision net revenue (non-GAAP) ($87,469) $9,463 ($9,940) $13,396 $15,085 Adjusted earnings per share: Weighted average common shares - basic 62,254 62,205 62,299 63,014 63,667 Weighted average common shares - diluted 62,330 62,211 62,367 63,061 63,667 Earnings per share - basic (GAAP) ($1.45) $0.12 ($0.22) $0.16 $0.19 Earnings per share - diluted (GAAP) ($1.45) $0.12 ($0.22) $0.16 $0.19 Adjusted earnings per share - basic (non-GAAP) $0.09 $0.12 $0.09 $0.16 $0.19 Adjusted earnings per share - diluted (non-GAAP) $0.09 $0.12 $0.09 $0.16 $0.19 Pre-tax, pre-provision net revenue per share: Pre-tax, pre-provision net revenue per share - basic (non-GAAP) ($1.41) $0.15 ($0.16) $0.21 $0.24 Pre-tax, pre-provision net revenue per share - diluted (non-GAAP) ($1.41) $0.15 ($0.16) $0.21 $0.24 Adjusted return on average assets: Total average assets $7,695,080 $7,851,721 $7,944,586 $8,019,502 $8,163,589 Return on average assets (GAAP) -4.68% 0.38% -0.70% 0.49% 0.59% Adjusted return on average assets (non-GAAP) 0.29% 0.38% 0.27% 0.49% 0.59% Adjusted return on average equity: Total average equity $751,070 $844,782 $838,714 $862,128 $861,691 Return on average equity (GAAP) -47.97% 3.50% -6.59% 4.57% 5.58% Adjusted return on average equity (non-GAAP) 2.98% 3.50% 2.54% 4.57% 5.58%