8-K

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 28, 2022

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		07004
Fairfield, New Jersey<br><br>(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 28, 2022, 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, 2022.

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 28, 2022, 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 and is incorporated herein by reference. 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.

Item 8.01 Other Events

On July 28, 2022, the Company’s Board of Directors announced a quarterly cash dividend of $0.11 per share, payable on August 24, 2022 to stockholders of record as of August 10, 2022.

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 28, 2022.
99.2	Kearny Financial Corp. presentation dated July 28, 2022
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 28, 2022	By:	/s/ Keith Suchodolski
		Keith Suchodolski
		Senior Executive Vice President and Chief Financial Officer

EX-99.1

Exhibit 99.1

FOR IMMEDIATE RELEASE

July 28, 2022

For further information contact:

Craig L. Montanaro, President and Chief Executive Officer, or

Keith Suchodolski, Senior Executive Vice President and Chief Financial Officer

Kearny Financial Corp.

(973) 244-4500

KEARNY FINANCIAL CORP. ANNOUNCES FOURTH QUARTER AND FISCAL YEAR END 2022 RESULTS

AND DECLARATION OF CASH DIVIDEND

Fairfield, N.J., July 28, 2022 – Kearny Financial Corp. (NASDAQ GS: KRNY) (the “Company”), the holding company of Kearny Bank (the “Bank”), reported net income for the quarter ended June 30, 2022 of $11.4 million, or $0.17 per diluted share, compared to $17.7 million, or $0.25 per diluted share, for the quarter ended March 31, 2022. The decrease in net income and earnings per share for the quarter was largely attributable to a pre-tax increase of $8.1 million in provision for credit losses, as well as the recognition of a number of non-recurring expenses, as described in further detail below.

For the fiscal year ended June 30, 2022, the Company reported net income of $67.5 million, or $0.95 per diluted share, compared to $63.2 million, or $0.77 per diluted share, for the fiscal year ended June 30, 2021.

The Company also announced that its Board of Directors has declared a quarterly cash dividend of $0.11 per share, payable on August 24, 2022 to stockholders of record as of August 10, 2022.

Craig L. Montanaro, President and Chief Executive Officer, commented, “I am very proud of our fiscal 2022 performance which reflected record net income and earnings per share, continued margin expansion and double-digit annual growth in loans and core deposits. In addition, late this fiscal year we introduced Kearny Investment Services, the Company’s investment management division, with the goal of further diversifying our product set and revenue streams. By fiscal year end, this division was fully staffed with financial advisors and was generating a monthly after-tax net profit, which we anticipate will support future growth in non-interest income.”

Mr. Montanaro further noted, “Looking ahead to fiscal 2023, our most critical initiative is the acceleration of our digital strategy, spearheaded by the adoption of a cloud-based, best-in-breed digital banking platform. Complementing this technology enhancement will be the expansion of our data analytics, artificial intelligence and digital marketing capabilities.” Mr. Montanaro continued, “We believe that our strategic focus on digital client engagement is the ideal complement to the exceptional service that our team provides within the communities where we maintain a physical presence. This omnichannel approach allows us to further strengthen our existing client relationships while expanding our products and services into new markets in an efficient and cost-effective manner.”

Fiscal Year 2022 Highlights

• Earnings per share increased 23.4% to $0.95 per diluted share, while net income increased 6.8% to $67.5 million.

• Net interest margin increased 14 basis points to 2.94%, while net interest income increased 4.4% to $196.6 million.

• Loans receivable increased $566.5 million, or 11.7%.

• Core non-maturity deposits grew $365.1 million, or 10.1%, including growth of 10.1% in non-interest-bearing deposits.

Balance Sheet

• Total assets were $7.72 billion at June 30, 2022, an increase of $330.0 million, or 4.5%, from March 31, 2022 and an increase of $436.1 million, or 6.0%, from June 30, 2021.

• Loans receivable totaled $5.42 billion at June 30, 2022, an increase of $414.6 million, or 8.3%, from March 31, 2022 and an increase of $566.5 million, or 11.7%, from June 30, 2021.

• Deposits totaled $5.86 billion at June 30, 2022, an increase of $333.6 million, or 6.0%, from March 31, 2022 and an increase of $377.0 million, or 6.9%, from June 30, 2021.

• Investment securities totaled $1.46 billion at June 30, 2022, a decrease of $185.6 million, or 11.3%, from March 31, 2022 and a decrease of $252.6 million, or 14.7%, from June 30, 2021.

• Borrowings totaled $901.3 million at June 30, 2022, an increase of $50.1 million, or 5.9%, from March 31, 2022 and an increase of $215.5 million, or 31.4%, from June 30, 2021.

Earnings

Performance Highlights

• Return on average assets was 0.61% and 0.98% for the quarters ended June 30, 2022 and March 31, 2022, respectively, and 0.93% and 0.86% for the years ended June 30, 2022 and 2021, respectively.

• Return on average equity was 4.92% and 7.24% for the quarters ended June 30, 2022 and March 31, 2022, respectively, and 6.86% and 5.79% for the years ended June 30, 2022 and 2021, respectively.

• Return on average tangible equity was 6.40% and 9.27% for the quarters ended June 30, 2022 and March 31, 2022, respectively, and 8.77% and 7.22% for the years ended June 30, 2022 and 2021, respectively.

Net Interest Income and Net Interest Margin

• Net interest margin expanded three basis points to 2.92% for the quarter ended June 30, 2022 and 14 basis points to 2.94% for the year ended June 30, 2022. The increase for the quarter was due largely to an increase in the average balance of loans receivable and an increase in the yield on taxable investment securities, partially offset by an increase in the average balance of borrowings. The increase for the year was due largely to decreases in the cost and average balance of interest-bearing liabilities, partially offset by a decrease in the yield on interest-earning assets.

• For the quarter ended June 30, 2022, net interest income increased $2.9 million to $50.6 million from $47.7 million for the quarter ended March 31, 2022. Included in net interest income for the quarters ended June 30, 2022 and March 31, 2022, respectively, was purchase accounting accretion of $1.6 million and $1.9 million, and loan prepayment penalty income of $869,000 and $1.3 million.

• For the year ended June 30, 2022, net interest income increased $8.4 million to $196.6 million from $188.2 million for the year ended June 30, 2021. Included in net interest income for the years ended June 30, 2022 and 2021, respectively, was purchase accounting accretion of $9.0 million and $16.6 million, and loan prepayment penalty income of $5.4 million and $3.7 million.

Non-Interest Income

• Non-interest income decreased $381,000 to $2.8 million for the quarter ended June 30, 2022, from $3.2 million for the quarter ended March 31, 2022. The decrease was largely attributable to a loss of $563,000 on the sale of securities.

• Non-interest income decreased $7.1 million to $13.9 million for the year ended June 30, 2022, from $21.0 million for the year ended June 30, 2021. The decrease was largely attributable to a decrease of $3.0 million in gain on sale of loans, as well as a bargain purchase gain of $3.1 million recognized in the prior year.

• Included in other income for the quarter and year ended June 30, 2022 was $380,000 of income from the investment services division that began operations during the current quarter.

Non-Interest Expense

• Non-interest expense increased $3.0 million to $33.6 million for the quarter ended June 30, 2022, from $30.6 million for the quarter ended March 31, 2022. The increase was partially attributable to a $1.2 million increase in salaries and employee benefits driven by higher loan origination-based incentive payments as a result of record-high quarterly loan origination volume. In addition, the Company recorded $1.0 million of non-recurring expense which consisted of $800,000 from the early termination of a contract with a service provider and an impairment of $200,000 related to an equity investment in a start-up financial technology company whose remaining book value was $0 at June 30, 2022.

• Non-interest expense decreased $177,000 to $125.7 million for the year ended June 30, 2022, from $125.9 million for the year ended June 30, 2021. The decrease was largely attributable to a decline in non-recurring expenses, as described in further detail below, and a decrease in the provision for credit losses on unfunded commitments, partially offset by an increase in salaries and employee benefits.

• For the year ended June 30, 2022, the Company recorded $1.5 million of branch consolidation expenses within occupancy expenses and $420,000 of impairment charges within other expenses. For the year ended June 30, 2021, $4.3 million of merger-related expenses, $2.0 million of branch consolidation expenses and impairment charges and $796,000 of debt extinguishment expenses were recorded.

• The provision for credit losses on unfunded commitments, included in other expense, decreased $1.8 million for the year ended June 30, 2022.

• Salaries and employee benefits increased $7.5 million, or 10.8%, for the year ended June 30, 2022 primarily due to staff additions, annual merit increases and an increase in incentive payments tied to record-high annual loan origination volume.

• The efficiency and non-interest expense ratios were 62.93% and 1.79%, respectively, for the quarter ended June 30, 2022, as compared to 60.14% and 1.70%, respectively, for the quarter ended March 31, 2022. The efficiency and non-interest expense ratios were 59.71% and 1.73%, respectively, for the year ended June 30, 2022, as compared to 60.16% and 1.72%, respectively, for the year ended June 30, 2021.

Income Taxes

• Income tax expense totaled $4.2 million for the quarter ended June 30, 2022 compared to $6.5 million for the quarter ended March 31, 2022, resulting in effective tax rates of 27.0% and 26.9%, respectively. For the year ended June 30, 2022, income tax expense was $24.8 million compared to $21.3 million for the year ended June 30, 2021, resulting in effective tax rates of 26.9% and 25.2% respectively.

Asset Quality

• The balance of non-performing assets increased $11.2 million to $92.2 million, or 1.19% of total assets, at June 30, 2022, from $81.0 million, or 1.10% of total assets, at March 31, 2022. The balance of non-performing assets was $79.9 million, or 1.10% of total assets, at June 30, 2021. The increase in non-performing assets was primarily attributable to one relationship comprised of three individual loans located in Queens, NY which became non-performing during the quarter. Included in the balance of non-performing assets at June 30, 2022 was $21.7 million of nonaccrual loans held for sale.

• Net charge-offs totaled $1.0 million, or 0.08% of average loans, on an annualized basis, for the quarter ended June 30, 2022, compared to $436,000, or 0.04% of average loans, on an annualized basis, for the quarter ended March 31, 2022. For the year ended June 30, 2022, net charge-offs totaled $3.6 million, or 0.07% of average loans, compared to $1.6 million, or 0.03% of average loans, for the year ended June 30, 2021.

• For the quarter ended June 30, 2022, the Company recorded a provision for credit losses of $4.2 million, compared to a provision for credit losses reversal of $3.9 million for the quarter ended March 31, 2022. The provision for the quarter ended June 30, 2022 was driven by loan growth of $414.6 million in the quarter, coupled with a net increase in reserves on individually analyzed loans primarily related to lower collateral values for one relationship, as noted above. These increases to the provision were partially offset by both quantitative and qualitative improvements in the collectively evaluated loan portfolio. For the years ended June 30, 2022 and 2021, the Company recorded provision for credit losses reversals of $7.5 million and $1.1 million, respectively.

• The allowance for credit losses was $47.1 million, or 0.87% of total loans, at June 30, 2022, compared to $43.9 million, or 0.87% of total loans, at March 31, 2022 and $58.2 million, or 1.19% of total loans, at June 30, 2021.

Capital

• For the quarter ended June 30, 2022, book value per share decreased $0.35, or 2.6%, to $13.02 and tangible book value per share decreased $0.48, or 4.6%, to $9.90. For the year ended June 30, 2022, book value per share decreased $0.19, or 1.4%, to $13.02 and tangible book value per share decreased $0.59, or 5.6%, to $9.90. These decreases were largely driven by a decline in accumulated other comprehensive income (loss).

• During the quarter and year ended June 30, 2022, the Company repurchased 2,754,575 and 10,221,525 shares of common stock at a cost of $33.6 million and $129.5 million, or $12.18 and $12.67 per share, respectively.

• At June 30, 2022, the Company’s tangible equity to tangible assets ratio equaled 9.1% and the regulatory capital ratios of both the Company and the Bank were in excess of the levels required by federal banking regulators to be classified as “well-capitalized” under regulatory guidelines.

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.

In addition, the COVID-19 pandemic has had, and may continue to have, an adverse impact on the Company, its clients and the communities it serves. Given its ongoing and dynamic nature, it is difficult to predict the full impact of the COVID-19 pandemic on our business.

Category: Earnings

Linked-Quarter Comparative Financial Analysis
Kearny Financial Corp.
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Consolidated Balance Sheets
(Unaudited)
(Dollars and Shares in Thousands,	June 30,			March 31,			Variance			Variance
Except Per Share Data)	2022			2022			or Change			or Change Pct.
Assets
Cash and cash equivalents	$	101,615		$	62,379		$	39,236			62.9	%
Securities available for sale		1,344,093			1,526,086			(181,993	)		-11.9	%
Securities held to maturity		118,291			121,853			(3,562	)		-2.9	%
Loans held-for-sale		28,874			2,822			26,052			923.2	%
Loans receivable		5,417,845			5,003,201			414,644			8.3	%
Less: allowance for credit losses on loans		(47,058	)		(43,860	)		3,198			7.3	%
Net loans receivable		5,370,787			4,959,341			411,446			8.3	%
Premises and equipment		53,281			53,727			(446	)		-0.8	%
Federal Home Loan Bank stock		47,144			30,997			16,147			52.1	%
Accrued interest receivable		20,466			19,517			949			4.9	%
Goodwill		210,895			210,895			-			0.0	%
Core deposit intangible		3,020			3,166			(146	)		-4.6	%
Bank owned life insurance		289,177			287,644			1,533			0.5	%
Deferred income taxes, net		49,350			34,349			15,001			43.7	%
Other real estate owned		178			401			(223	)		-55.6	%
Other assets		82,712			76,714			5,998			7.8	%
Total assets	$	7,719,883		$	7,389,891		$	329,992			4.5	%
Liabilities
Deposits:
Non-interest-bearing	$	653,899		$	621,954		$	31,945			5.1	%
Interest-bearing		5,208,357			4,906,708			301,649			6.1	%
Total deposits		5,862,256			5,528,662			333,594			6.0	%
Borrowings		901,337			851,220			50,117			5.9	%
Advance payments by borrowers for taxes		16,746			16,979			(233	)		-1.4	%
Other liabilities		45,544			37,861			7,683			20.3	%
Total liabilities		6,825,883			6,434,722			391,161			6.1	%
Stockholders' Equity
Common stock		687			714			(27	)		-3.8	%
Paid-in capital		528,396			561,176			(32,780	)		-5.8	%
Retained earnings		445,451			441,522			3,929			0.9	%
Unearned ESOP shares		(24,807	)		(25,294	)		487			-1.9	%
Accumulated other comprehensive loss		(55,727	)		(22,949	)		(32,778	)		142.8	%
Total stockholders' equity		894,000			955,169			(61,169	)		-6.4	%
Total liabilities and stockholders' equity	$	7,719,883		$	7,389,891		$	329,992			4.5	%
Consolidated capital ratios
Equity to assets		11.58	%		12.93	%		-1.35	%
Tangible equity to tangible assets (1)		9.06	%		10.33	%		-1.27	%
Share data
Outstanding shares		68,666			71,424			(2,758	)		-3.9	%
Book value per share	$	13.02		$	13.37		$	(0.35	)		-2.6	%
Tangible book value per share (2)	$	9.90		$	10.38		$	(0.48	)		-4.6	%

(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
(Unaudited)
	Three Months Ended
(Dollars and Shares in Thousands,	June 30,			March 31,			Variance			Variance
Except Per Share Data)	2022			2022			or Change			or Change Pct.
Interest income
Loans	$	48,869		$	45,846		$	3,023			6.6	%
Taxable investment securities		8,915			8,024			891			11.1	%
Tax-exempt investment securities		297			316			(19	)		-6.0	%
Other interest-earning assets		472			415			57			13.7	%
Total interest income		58,553			54,601			3,952			7.2	%
Interest expense
Deposits		3,915			3,565			350			9.8	%
Borrowings		4,039			3,309			730			22.1	%
Total interest expense		7,954			6,874			1,080			15.7	%
Net interest income		50,599			47,727			2,872			6.0	%
Provision for (reversal of) credit losses		4,222			(3,920	)		8,142			-207.7	%
Net interest income after provision for<br> (reversal of) credit losses		46,377			51,647			(5,270	)		-10.2	%
Non-interest income
Fees and service charges		658			617			41			6.6	%
(Loss) gain on sale and call of securities		(563	)		3			(566	)		-18866.7	%
Gain on sale of loans		187			376			(189	)		-50.3	%
(Loss) gain on sale of other real estate owned		(9	)		14			(23	)		-164.3	%
Income from bank owned life insurance		1,533			1,511			22			1.5	%
Electronic banking fees and charges		366			432			(66	)		-15.3	%
Other income		638			238			400			168.1	%
Total non-interest income		2,810			3,191			(381	)		-11.9	%
Non-interest expense
Salaries and employee benefits		20,367			19,184			1,183			6.2	%
Net occupancy expense of premises		3,188			3,223			(35	)		-1.1	%
Equipment and systems		4,516			3,822			694			18.2	%
Advertising and marketing		703			516			187			36.2	%
Federal deposit insurance premium		762			480			282			58.8	%
Directors' compensation		340			340			-			0.0	%
Other expense		3,736			3,058			678			22.2	%
Total non-interest expense		33,612			30,623			2,989			9.8	%
Income before income taxes		15,575			24,215			(8,640	)		-35.7	%
Income taxes		4,205			6,522			(2,317	)		-35.5	%
Net income	$	11,370		$	17,693		$	(6,323	)		-35.7	%
Net income per common share (EPS)
Basic	$	0.17		$	0.25		$	(0.08	)
Diluted	$	0.17		$	0.25		$	(0.08	)
Dividends declared
Cash dividends declared per common share	$	0.11		$	0.11		$	-
Cash dividends declared	$	7,441		$	7,720		$	(279	)
Dividend payout ratio		65.4	%		43.6	%		21.8	%
Weighted average number of common<br> shares outstanding
Basic		67,240			69,790			(2,550	)
Diluted		67,276			69,817			(2,541	)
Kearny Financial Corp.
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Average Balance Sheet Data
(Unaudited)
	Three Months Ended
	June 30,			March 31,			Variance			Variance
(Dollars in Thousands)	2022			2022			or Change			or Change Pct.
Assets
Interest-earning assets:
Loans receivable, including loans held for sale	$	5,181,983		$	4,850,236		$	331,747			6.8	%
Taxable investment securities		1,608,372			1,620,996			(12,624	)		-0.8	%
Tax-exempt investment securities		51,672			55,390			(3,718	)		-6.7	%
Other interest-earning assets		87,990			79,644			8,346			10.5	%
Total interest-earning assets		6,930,017			6,606,266			323,751			4.9	%
Non-interest-earning assets		564,734			601,684			(36,950	)		-6.1	%
Total assets	$	7,494,751		$	7,207,950		$	286,801			4.0	%
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand	$	2,155,946		$	2,133,977		$	21,969			1.0	%
Savings		1,077,631			1,088,351			(10,720	)		-1.0	%
Certificates of deposit		1,701,725			1,650,048			51,677			3.1	%
Total interest-bearing deposits		4,935,302			4,872,376			62,926			1.3	%
Borrowings:
Federal Home Loan Bank advances		752,579			632,811			119,768			18.9	%
Other borrowings		185,901			51,667			134,234			259.8	%
Total borrowings		938,480			684,478			254,002			37.1	%
Total interest-bearing liabilities		5,873,782			5,556,854			316,928			5.7	%
Non-interest-bearing liabilities:
Non-interest-bearing deposits		640,200			624,152			16,048			2.6	%
Other non-interest-bearing liabilities		56,636			49,455			7,181			14.5	%
Total non-interest-bearing liabilities		696,836			673,607			23,229			3.4	%
Total liabilities		6,570,618			6,230,461			340,157			5.5	%
Stockholders' equity		924,133			977,489			(53,356	)		-5.5	%
Total liabilities and stockholders' equity	$	7,494,751		$	7,207,950		$	286,801			4.0	%
Average interest-earning assets to average<br> interest-bearing liabilities		117.98	%		118.89	%		-0.91	%		-0.8	%
Kearny Financial Corp.
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Performance Ratio Highlights
(Unaudited)
	Three Months Ended
	June 30,			March 31,			Variance
	2022			2022			or Change
Average yield on interest-earning assets:
Loans receivable, including loans held for sale		3.77	%		3.78	%		-0.01	%
Taxable investment securities		2.22	%		1.98	%		0.24	%
Tax-exempt investment securities (1)		2.30	%		2.28	%		0.02	%
Other interest-earning assets		2.15	%		2.08	%		0.07	%
Total interest-earning assets		3.38	%		3.31	%		0.07	%
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand		0.31	%		0.22	%		0.09	%
Savings		0.11	%		0.10	%		0.01	%
Certificates of deposit		0.46	%		0.52	%		-0.06	%
Total interest-bearing deposits		0.32	%		0.29	%		0.03	%
Borrowings:
Federal Home Loan Bank advances		1.96	%		2.08	%		-0.12	%
Other borrowings		0.77	%		0.17	%		0.60	%
Total borrowings		1.72	%		1.93	%		-0.21	%
Total interest-bearing liabilities		0.54	%		0.49	%		0.05	%
Interest rate spread (2)		2.84	%		2.82	%		0.02	%
Net interest margin (3)		2.92	%		2.89	%		0.03	%
Non-interest income to average assets<br> (annualized)		0.15	%		0.18	%		-0.03	%
Non-interest expense to average assets<br> (annualized)		1.79	%		1.70	%		0.09	%
Efficiency ratio (4)		62.93	%		60.14	%		2.79	%
Return on average assets (annualized)		0.61	%		0.98	%		-0.37	%
Return on average equity (annualized)		4.92	%		7.24	%		-2.32	%
Return on average tangible equity (annualized) (5)		6.40	%		9.27	%		-2.87	%

(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,	June 30,			June 30,			Variance			Variance
Except Per Share Data)	2022			2021			or Change			or Change Pct.
	(Unaudited)			(Audited)
Assets
Cash and cash equivalents	$	101,615		$	67,855		$	33,760			49.8	%
Securities available for sale		1,344,093			1,676,864			(332,771	)		-19.8	%
Securities held to maturity		118,291			38,138			80,153			210.2	%
Loans held-for-sale		28,874			16,492			12,382			75.1	%
Loans receivable, including yield adjustments		5,417,845			4,851,394			566,451			11.7	%
Less: allowance for credit losses on loans		(47,058	)		(58,165	)		(11,107	)		-19.1	%
Net loans receivable		5,370,787			4,793,229			577,558			12.0	%
Premises and equipment		53,281			56,338			(3,057	)		-5.4	%
Federal Home Loan Bank of New York stock		47,144			36,615			10,529			28.8	%
Accrued interest receivable		20,466			19,362			1,104			5.7	%
Goodwill		210,895			210,895			-			0.0	%
Core deposit intangible		3,020			3,705			(685	)		-18.5	%
Bank owned life insurance		289,177			283,310			5,867			2.1	%
Deferred income tax assets, net		49,350			29,323			20,027			68.3	%
Other real estate owned		178			178			-			0.0	%
Other assets		82,712			51,431			31,281			60.8	%
Total assets	$	7,719,883		$	7,283,735		$	436,148			6.0	%
Liabilities
Deposits:
Non-interest-bearing	$	653,899		$	593,718		$	60,181			10.1	%
Interest-bearing		5,208,357			4,891,588			316,769			6.5	%
Total deposits		5,862,256			5,485,306			376,950			6.9	%
Borrowings		901,337			685,876			215,461			31.4	%
Advance payments by borrowers for taxes		16,746			15,752			994			6.3	%
Other liabilities		45,544			53,857			(8,313	)		-15.4	%
Total liabilities		6,825,883			6,240,791			585,092			9.4	%
Stockholders' Equity
Common stock	$	687		$	790		$	(103	)		-13.0	%
Paid-in capital		528,396			654,396			(126,000	)		-19.3	%
Retained earnings		445,451			408,367			37,084			9.1	%
Unearned ESOP shares		(24,807	)		(26,753	)		1,946			-7.3	%
Accumulated other comprehensive (loss) income		(55,727	)		6,144			(61,871	)		-1007.0	%
Total stockholders' equity		894,000			1,042,944			(148,944	)		-14.3	%
Total liabilities and stockholders' equity	$	7,719,883		$	7,283,735		$	436,148			6.0	%
Consolidated capital ratios
Equity to assets		11.58	%		14.32	%		-2.74	%
Tangible equity to tangible assets (1)		9.06	%		11.72	%		-2.66	%
Share data
Outstanding shares		68,666			78,965			(10,299	)		-13.0	%
Book value per share	$	13.02		$	13.21		$	(0.19	)		-1.4	%
Tangible book value per share (2)	$	9.90		$	10.49		$	(0.59	)		-5.6	%

(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
(Unaudited)
	Year Ended
(Dollars and Shares in Thousands,	June 30,			June 30,			Variance			Variance
Except Per Share Data)	2022			2021			or Change			or Change Pct.
Interest income
Loans (1)	$	190,520		$	202,240		$	(11,720	)		-5.8	%
Taxable investment securities		32,746			31,238			1,508			4.8	%
Tax-exempt investment securities		1,273			1,652			(379	)		-22.9	%
Other interest-earning assets		1,733			2,955			(1,222	)		-41.4	%
Total Interest Income		226,272			238,085			(11,813	)		-5.0	%
Interest expense
Deposits		15,208			31,535			(16,327	)		-51.8	%
Borrowings		14,461			18,316			(3,855	)		-21.0	%
Total interest expense		29,669			49,851			(20,182	)		-40.5	%
Net interest income		196,603			188,234			8,369			4.4	%
Reversal of provision for credit losses		(7,518	)		(1,121	)		(6,397	)		570.7	%
Net interest income after reversal of provision for<br>  credit losses		204,121			189,355			14,766			7.8	%
Non-interest income
Fees and service charges (1)		2,580			1,897			683			36.0	%
(Loss) gain on sale and call of securities		(559	)		767			(1,326	)		-172.9	%
Gain on sale of loans		2,539			5,574			(3,035	)		-54.4	%
Gain on sale of real estate owned		5			-			5			0.0	%
Income from bank owned life insurance		6,167			6,267			(100	)		-1.6	%
Electronic banking fees and charges		1,626			1,717			(91	)		-5.3	%
Bargain purchase gain		-			3,053			(3,053	)		-100.0	%
Other income		1,576			1,751			(175	)		-10.0	%
Total non-interest income		13,934			21,026			(7,092	)		-33.7	%
Non-interest expense
Salaries and employee benefits		76,264			68,800			7,464			10.8	%
Net occupancy expense of premises		14,114			12,673			1,441			11.4	%
Equipment and systems		15,886			14,870			1,016			6.8	%
Advertising and marketing		2,059			2,161			(102	)		-4.7	%
Federal deposit insurance premium		2,455			1,940			515			26.5	%
Directors' compensation		2,132			2,993			(861	)		-28.8	%
Merger-related expenses		-			4,349			(4,349	)		-100.0	%
Debt extinguishment expenses		-			796			(796	)		-100.0	%
Other expense		12,798			17,303			(4,505	)		-26.0	%
Total non-interest expense		125,708			125,885			(177	)		-0.1	%
Income before income taxes		92,347			84,496			7,851			9.3	%
Income taxes		24,800			21,263			3,537			16.6	%
Net income	$	67,547		$	63,233		$	4,314			6.8	%
Net income per common share (EPS)
Basic	$	0.95		$	0.77		$	0.18
Diluted	$	0.95		$	0.77		$	0.18
Dividends declared
Cash dividends declared per common share	$	0.43		$	0.35		$	0.08
Cash dividends declared	$	30,463		$	28,538		$	1,925
Dividend payout ratio		45.1	%		45.1	%		0.0	%
Weighted average number of common shares outstanding
Basic		70,911			82,387			(11,476	)
Diluted		70,933			82,391			(11,458	)

(1) Effective July 1, 2021, loan prepayment penalty income is recorded as a component of interest income on loans. Previously, loan prepayment penalty income was recorded within non-interest income. Amounts shown for the year ended June 30, 2021 have been adjusted to reflect this change. Loan prepayment penalty income for the year ended June 30, 2021 was $3.7 million.

Kearny Financial Corp.
Average Balance Sheet Data
(Unaudited)
	Year Ended
	June 30,			June 30,			Variance			Variance
(Dollars in Thousands)	2022			2021			or Change			or Change Pct.
Assets
Interest-earning assets:
Loans receivable, including loans held for sale	$	4,922,400		$	4,866,436		$	55,964			1.1	%
Taxable investment securities		1,622,475			1,571,452			51,023			3.2	%
Tax-exempt investment securities		55,981			74,604			(18,623	)		-25.0	%
Other interest-earning assets		82,802			200,435			(117,633	)		-58.7	%
Total interest-earning assets		6,683,658			6,712,927			(29,269	)		-0.4	%
Non-interest-earning assets		598,712			620,934			(22,222	)		-3.6	%
Total assets	$	7,282,370		$	7,333,861		$	(51,491	)		-0.7	%
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand	$	2,067,200		$	1,726,190		$	341,010			19.8	%
Savings		1,088,971			1,066,794			22,177			2.1	%
Certificates of deposit		1,711,276			1,931,887			(220,611	)		-11.4	%
Total interest-bearing deposits		4,867,447			4,724,871			142,576			3.0	%
Borrowings:
Federal Home Loan Bank Advances		679,388			931,148			(251,760	)		-27.0	%
Other borrowings		72,841			2,563			70,278			2742.0	%
Total borrowings		752,229			933,711			(181,482	)		-19.4	%
Total interest-bearing liabilities		5,619,676			5,658,582			(38,906	)		-0.7	%
Non-interest-bearing liabilities:
Non-interest-bearing deposits		624,666			518,149			106,517			20.6	%
Other non-interest-bearing liabilities		53,477			65,737			(12,260	)		-18.7	%
Total non-interest-bearing liabilities		678,143			583,886			94,257			16.1	%
Total liabilities		6,297,819			6,242,468			55,351			0.9	%
Stockholders' equity		984,551			1,091,393			(106,842	)		-9.8	%
Total liabilities and stockholders' equity	$	7,282,370		$	7,333,861		$	(51,491	)		-0.7	%
Average interest-earning assets to average<br> interest-bearing liabilities		118.93	%		118.63	%		0.30	%		0.3	%
Kearny Financial Corp.
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Performance Ratio Highlights
	Year Ended
	June 30,			June 30,			Variance
	2022			2021			or Change
Average yield on interest-earning assets:
Loans receivable, including loans held for sale (1)		3.87	%		4.16	%		-0.29	%
Taxable investment securities		2.02	%		1.99	%		0.03	%
Tax-exempt investment securities (2)		2.27	%		2.21	%		0.06	%
Other interest-earning assets		2.09	%		1.47	%		0.62	%
Total interest-earning assets (1)		3.39	%		3.55	%		-0.16	%
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand		0.25	%		0.41	%		-0.16	%
Savings		0.11	%		0.31	%		-0.20	%
Certificates of deposit		0.52	%		1.10	%		-0.58	%
Total interest-bearing deposits		0.31	%		0.67	%		-0.36	%
Borrowings:
Federal Home Loan Bank Advances		2.07	%		1.97	%		0.10	%
Other borrowings		0.54	%		0.06	%		0.48	%
Total borrowings		1.92	%		1.96	%		-0.04	%
Total interest-bearing liabilities		0.53	%		0.88	%		-0.35	%
Interest rate spread (1)(3)		2.86	%		2.67	%		0.19	%
Net interest margin (1)(4)		2.94	%		2.80	%		0.14	%
Non-interest income to average assets (1)		0.19	%		0.29	%		-0.10	%
Non-interest expense to average assets		1.73	%		1.72	%		0.01	%
Efficiency ratio (5)		59.71	%		60.16	%		-0.45	%
Return on average assets		0.93	%		0.86	%		0.07	%
Return on average equity		6.86	%		5.79	%		1.07	%
Return on average tangible equity (6)		8.77	%		7.22	%		1.55	%

(1) Effective July 1, 2021, loan prepayment penalty income is recorded as a component of interest income on loans. Previously, loan prepayment penalty income was recorded within non-interest income. Amounts shown for the year ended June 30, 2021 have been adjusted to reflect this change. Loan prepayment penalty income for the year ended June 30, 2021 was $3.7 million.

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

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

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

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

(6) 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>2022			March 31,<br>2022			December 31,<br>2021			September 30,<br>2021			June 30,<br>2021
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)			(Audited)
Assets
Cash and cash equivalents	$	101,615		$	62,379		$	60,452		$	54,070		$	67,855
Securities available for sale		1,344,093			1,526,086			1,591,066			1,651,156			1,676,864
Securities held to maturity		118,291			121,853			53,142			37,497			38,138
Loans held-for-sale		28,874			2,822			12,549			12,884			16,492
Loans receivable		5,417,845			5,003,201			4,826,404			4,789,339			4,851,394
Less: allowance for credit losses on loans		(47,058	)		(43,860	)		(48,216	)		(51,785	)		(58,165	)
Net loans receivable		5,370,787			4,959,341			4,778,188			4,737,554			4,793,229
Premises and equipment		53,281			53,727			54,067			55,236			56,338
Federal Home Loan Bank stock		47,144			30,997			36,622			36,615			36,615
Accrued interest receivable		20,466			19,517			18,495			19,541			19,362
Goodwill		210,895			210,895			210,895			210,895			210,895
Core deposit intangible		3,020			3,166			3,344			3,524			3,705
Bank owned life insurance		289,177			287,644			286,433			284,871			283,310
Deferred income taxes, net		49,350			34,349			25,709			27,771			29,323
Other real estate owned		178			401			658			178			178
Other assets		82,712			76,714			54,603			51,896			51,431
Total assets	$	7,719,883		$	7,389,891		$	7,186,223		$	7,183,688		$	7,283,735
Liabilities
Deposits:
Non-interest-bearing	$	653,899		$	621,954		$	604,805		$	631,344		$	593,718
Interest-bearing		5,208,357			4,906,708			4,849,220			4,763,795			4,891,588
Total deposits		5,862,256			5,528,662			5,454,025			5,395,139			5,485,306
Borrowings		901,337			851,220			686,105			720,990			685,876
Advance payments by borrowers for taxes		16,746			16,979			16,772			16,222			15,752
Other liabilities		45,544			37,861			33,851			36,914			53,857
Total liabilities		6,825,883			6,434,722			6,190,753			6,169,265			6,240,791
Stockholders' Equity
Common stock		687			714			735			758			790
Paid-in capital		528,396			561,176			587,392			616,894			654,396
Retained earnings		445,451			441,522			431,549			420,701			408,367
Unearned ESOP shares		(24,807	)		(25,294	)		(25,780	)		(26,266	)		(26,753	)
Accumulated other comprehensive (loss) income		(55,727	)		(22,949	)		1,574			2,336			6,144
Total stockholders' equity		894,000			955,169			995,470			1,014,423			1,042,944
Total liabilities and stockholders' equity	$	7,719,883		$	7,389,891		$	7,186,223		$	7,183,688		$	7,283,735
Consolidated capital ratios
Equity to assets		11.58	%		12.93	%		13.85	%		14.12	%		14.32	%
Tangible equity to tangible assets (1)		9.06	%		10.33	%		11.21	%		11.48	%		11.72	%
Share data
Outstanding shares		68,666			71,424			73,453			75,800			78,965
Book value per share	$	13.02		$	13.37		$	13.55		$	13.38		$	13.21
Tangible book value per share (2)	$	9.90		$	10.38		$	10.64		$	10.55		$	10.49

(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.
Supplemental Balance Sheet Highlights
(Unaudited)
(Dollars in Thousands)	June 30,<br>2022			March 31,<br>2022			December 31,<br>2021			September 30,<br>2021			June 30,<br>2021
Loan portfolio composition:
Commercial loans:
Multi-family mortgage	$	2,409,090		$	2,076,003		$	2,007,431		$	1,978,681		$	2,039,260
Nonresidential mortgage		1,019,838			1,085,988			1,026,447			1,023,391			1,079,444
Commercial business		176,807			169,551			180,429			169,392			168,951
Construction		140,131			121,137			110,703			112,226			93,804
Total commercial loans		3,745,866			3,452,679			3,325,010			3,283,690			3,381,459
One- to four-family residential mortgage		1,645,816			1,527,980			1,477,267			1,483,106			1,447,721
Consumer loans:
Home equity loans		42,028			41,501			43,934			44,912			47,871
Other consumer		2,866			2,755			3,040			3,020			3,259
Total consumer loans		44,894			44,256			46,974			47,932			51,130
Total loans, excluding yield adjustments		5,436,576			5,024,915			4,849,251			4,814,728			4,880,310
Unaccreted yield adjustments		(18,731	)		(21,714	)		(22,847	)		(25,389	)		(28,916	)
Loans receivable, net of yield adjustments		5,417,845			5,003,201			4,826,404			4,789,339			4,851,394
Less: allowance for credit losses on loans		(47,058	)		(43,860	)		(48,216	)		(51,785	)		(58,165	)
Net loans receivable	$	5,370,787		$	4,959,341		$	4,778,188		$	4,737,554		$	4,793,229
Loan portfolio allocation:
Commercial loans:
Multi-family mortgage		44.3	%		41.3	%		41.4	%		41.1	%		41.8	%
Nonresidential mortgage		18.8	%		21.6	%		21.2	%		21.3	%		22.1	%
Commercial business		3.2	%		3.4	%		3.7	%		3.5	%		3.5	%
Construction		2.6	%		2.4	%		2.3	%		2.3	%		1.9	%
Total commercial loans		68.9	%		68.7	%		68.6	%		68.2	%		69.3	%
One- to four-family residential mortgage		30.3	%		30.4	%		30.5	%		30.8	%		29.7	%
Consumer loans:
Home equity loans		0.8	%		0.8	%		0.9	%		0.9	%		0.9	%
Other consumer		0.0	%		0.1	%		0.0	%		0.1	%		0.1	%
Total consumer loans		0.8	%		0.9	%		0.9	%		1.0	%		1.0	%
Total loans, excluding yield adjustments		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%
Asset quality:
Nonperforming assets:
Accruing loans - 90 days and over past due	$	-		$	-		$	-		$	-		$	-
Nonaccrual loans		70,321			80,595			72,138			72,945			79,767
Total nonperforming loans		70,321			80,595			72,138			72,945			79,767
Nonaccrual loans held-for-sale		21,745			-			-			-			-
Other real estate owned		178			401			658			178			178
Total nonperforming assets	$	92,244		$	80,996		$	72,796		$	73,123		$	79,945
Nonperforming loans (% total loans)		1.30	%		1.61	%		1.49	%		1.52	%		1.64	%
Nonperforming assets (% total assets)		1.19	%		1.10	%		1.01	%		1.02	%		1.10	%
Allowance for credit losses on loans (ACL):
ACL to total loans		0.87	%		0.87	%		0.99	%		1.08	%		1.19	%
ACL to nonperforming loans		66.92	%		54.42	%		66.84	%		70.99	%		72.92	%
Net charge-offs	$	1,024		$	436		$	1,149		$	980		$	656
Average net charge-off rate (annualized)		0.08	%		0.04	%		0.10	%		0.08	%		0.05	%
Kearny Financial Corp.
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Supplemental Balance Sheet Highlights
(Unaudited)
(Dollars in Thousands)	June 30,<br>2022			March 31,<br>2022			December 31,<br>2021			September 30,<br>2021			June 30,<br>2021
Funding by type:
Deposits:
Non-interest-bearing deposits	$	653,899		$	621,954		$	604,805		$	631,344		$	593,718
Interest-bearing demand		2,265,597			2,154,488			2,106,693			1,937,661			1,902,478
Savings		1,053,198			1,088,974			1,087,740			1,089,699			1,111,364
Certificates of deposit		1,889,562			1,663,246			1,654,787			1,736,435			1,877,746
Interest-bearing deposits		5,208,357			4,906,708			4,849,220			4,763,795			4,891,588
Total deposits		5,862,256			5,528,662			5,454,025			5,395,139			5,485,306
Borrowings:
Federal Home Loan Bank advances		651,337			541,220			666,105			665,990			665,876
Overnight borrowings		250,000			310,000			20,000			55,000			20,000
Total borrowings		901,337			851,220			686,105			720,990			685,876
Total funding	$	6,763,593		$	6,379,882		$	6,140,130		$	6,116,129		$	6,171,182
Loans as a % of deposits		92.1	%		89.8	%		87.8	%		88.1	%		87.7	%
Deposits as a % of total funding		86.7	%		86.7	%		88.8	%		88.2	%		88.9	%
Borrowings as a % of total funding		13.3	%		13.3	%		11.2	%		11.8	%		11.1	%
Funding by source:
Retail deposits:
Non-interest-bearing deposits	$	653,899		$	621,954		$	604,805		$	631,344		$	593,718
Interest-bearing demand		2,265,597			2,154,488			2,106,693			1,937,661			1,902,478
Savings		1,053,198			1,088,974			1,087,740			1,089,699			1,111,364
Certificates of deposit		1,116,035			1,122,228			1,184,530			1,264,016			1,398,808
Total retail deposits		5,088,729			4,987,644			4,983,768			4,922,720			5,006,368
Wholesale funding:
Certificates of deposit (listing service)	$	11,665		$	9,981		$	11,622		$	13,817		$	20,322
Certificates of deposit (brokered)		761,862			531,037			458,635			458,602			458,616
Total wholesale deposits		773,527			541,018			470,257			472,419			478,938
FHLB advances		651,337			541,220			666,105			665,990			665,876
Overnight borrowings		250,000			310,000			20,000			55,000			20,000
Total wholesale funding		1,674,864			1,392,238			1,156,362			1,193,409			1,164,814
Total funding	$	6,763,593		$	6,379,882		$	6,140,130		$	6,116,129		$	6,171,182
Retail funding as a % of total funding		75.2	%		78.2	%		81.2	%		80.5	%		81.1	%
Wholesale funding as a % of total funding		24.8	%		21.8	%		18.8	%		19.5	%		18.9	%
Kearny Financial Corp.
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Consolidated Statements of Income
(Unaudited)
	Three Months Ended
(Dollars and Shares in Thousands,<br>Except Per Share Data)	June 30,<br>2022			March 31,<br>2022			December 31,<br>2021			September 30,<br>2021			June 30,<br>2021
Interest income
Loans (1)	$	48,869		$	45,846		$	47,575		$	48,230		$	48,464
Taxable investment securities		8,915			8,024			7,595			8,212			8,304
Tax-exempt investment securities		297			316			327			333			355
Other interest-earning assets		472			415			415			431			549
Total interest income		58,553			54,601			55,912			57,206			57,672
Interest expense
Deposits		3,915			3,565			3,663			4,065			5,156
Borrowings		4,039			3,309			3,562			3,551			3,451
Total interest expense		7,954			6,874			7,225			7,616			8,607
Net interest income		50,599			47,727			48,687			49,590			49,065
Provision for (reversal of) credit losses		4,222			(3,920	)		(2,420	)		(5,400	)		(4,941	)
Net interest income after provision for<br> (reversal of) credit losses		46,377			51,647			51,107			54,990			54,006
Non-interest income
Fees and service charges (1)		658			617			698			607			423
(Loss) gain on sale and call of securities		(563	)		3			-			1			313
Gain on sale of loans		187			376			970			1,006			363
(Loss) gain on sale of other real estate owned		(9	)		14			-			-			-
Income from bank owned life insurance		1,533			1,511			1,562			1,561			1,545
Electronic banking fees and charges		366			432			421			407			452
Other income		638			238			482			218			400
Total non-interest income		2,810			3,191			4,133			3,800			3,496
Non-interest expense
Salaries and employee benefits		20,367			19,184			18,096			18,617			17,777
Net occupancy expense of premises		3,188			3,223			3,156			4,547			2,998
Equipment and systems		4,516			3,822			3,723			3,825			3,575
Advertising and marketing		703			516			448			392			581
Federal deposit insurance premium		762			480			721			492			490
Directors' compensation		340			340			649			803			749
Other expense		3,736			3,058			2,877			3,127			5,816
Total non-interest expense		33,612			30,623			29,670			31,803			31,986
Income before income taxes		15,575			24,215			25,570			26,987			25,516
Income taxes		4,205			6,522			6,801			7,272			7,033
Net income	$	11,370		$	17,693		$	18,769		$	19,715		$	18,483
Net income per common share (EPS)
Basic	$	0.17		$	0.25		$	0.26		$	0.26		$	0.24
Diluted	$	0.17		$	0.25		$	0.26		$	0.26		$	0.24
Dividends declared
Cash dividends declared per common share	$	0.11		$	0.11		$	0.11		$	0.10		$	0.10
Cash dividends declared	$	7,441		$	7,720		$	7,921		$	7,381		$	7,710
Dividend payout ratio		65.4	%		43.6	%		42.2	%		37.4	%		41.7	%
Weighted average number of common<br> shares outstanding
Basic		67,240			69,790			72,011			74,537			77,658
Diluted		67,276			69,817			72,037			74,556			77,680

(1) Effective July 1, 2021, loan prepayment penalty income is recorded as a component of interest income on loans. Previously, loan prepayment penalty income was recorded within non-interest income. Periods prior to the quarter ended September 30, 2021 have been adjusted to reflect this change. Loan prepayment penalty income for the quarter ended June 30, 2021 was $902,000.

Kearny Financial Corp.
Average Balance Sheet Data
(Unaudited)
	Three Months Ended
(Dollars in Thousands)	June 30,<br>2022			March 31,<br>2022			December 31,<br>2021			September 30,<br>2021			June 30,<br>2021
Assets
Interest-earning assets:
Loans receivable, including loans held-for-sale	$	5,181,983		$	4,850,236		$	4,822,959		$	4,835,676		$	4,817,980
Taxable investment securities		1,608,372			1,620,996			1,610,395			1,649,953			1,720,838
Tax-exempt investment securities		51,672			55,390			57,686			59,115			63,047
Other interest-earning assets		87,990			79,644			77,811			85,749			117,212
Total interest-earning assets		6,930,017			6,606,266			6,568,851			6,630,493			6,719,077
Non-interest-earning assets		564,734			601,684			611,390			616,735			609,762
Total assets	$	7,494,751		$	7,207,950		$	7,180,241		$	7,247,228		$	7,328,839
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand	$	2,155,946		$	2,133,977		$	2,027,021		$	1,954,271		$	1,930,193
Savings		1,077,631			1,088,351			1,086,903			1,102,865			1,118,402
Certificates of deposit		1,701,725			1,650,048			1,693,423			1,798,473			1,934,650
Total interest-bearing deposits		4,935,302			4,872,376			4,807,347			4,855,609			4,983,245
Borrowings:
Federal Home Loan Bank advances		752,579			632,811			666,029			665,915			665,802
Other borrowings		185,901			51,667			26,033			28,532			6,670
Total borrowings		938,480			684,478			692,062			694,447			672,472
Total interest-bearing liabilities		5,873,782			5,556,854			5,499,409			5,550,056			5,655,717
Non-interest-bearing liabilities:
Non-interest-bearing deposits		640,200			624,152			624,200			610,271			566,632
Other non-interest-bearing liabilities		56,636			49,455			50,870			56,893			52,292
Total non-interest-bearing liabilities		696,836			673,607			675,070			667,164			618,924
Total liabilities		6,570,618			6,230,461			6,174,479			6,217,220			6,274,641
Stockholders' equity		924,133			977,489			1,005,762			1,030,008			1,054,198
Total liabilities and stockholders' equity	$	7,494,751		$	7,207,950		$	7,180,241		$	7,247,228		$	7,328,839
Average interest-earning assets to average<br> interest-bearing liabilities		117.98	%		118.89	%		119.45	%		119.47	%		118.80	%
Kearny Financial Corp.
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Performance Ratio Highlights
	Three Months Ended
	June 30,<br>2022			March 31,<br>2022			December 31,<br>2021			September 30,<br>2021			June 30,<br>2021
Average yield on interest-earning assets:
Loans receivable, including loans held-for-<br> sale (1)		3.77	%		3.78	%		3.95	%		3.99	%		4.02	%
Taxable investment securities		2.22	%		1.98	%		1.89	%		1.99	%		1.93	%
Tax-exempt investment securities (2)		2.30	%		2.28	%		2.26	%		2.25	%		2.25	%
Other interest-earning assets		2.15	%		2.08	%		2.13	%		2.01	%		1.87	%
Total interest-earning assets (1)		3.38	%		3.31	%		3.40	%		3.45	%		3.43	%
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand		0.31	%		0.22	%		0.22	%		0.23	%		0.27	%
Savings		0.11	%		0.10	%		0.11	%		0.12	%		0.15	%
Certificates of deposit		0.46	%		0.52	%		0.53	%		0.57	%		0.71	%
Total interest-bearing deposits		0.32	%		0.29	%		0.30	%		0.33	%		0.41	%
Borrowings:
Federal Home Loan Bank advances		1.96	%		2.08	%		2.14	%		2.13	%		2.07	%
Other borrowings		0.77	%		0.17	%		0.09	%		0.10	%		0.07	%
Total borrowings		1.72	%		1.93	%		2.06	%		2.05	%		2.05	%
Total interest-bearing liabilities		0.54	%		0.49	%		0.53	%		0.55	%		0.61	%
Interest rate spread (1) (3)		2.84	%		2.82	%		2.87	%		2.90	%		2.82	%
Net interest margin (1) (4)		2.92	%		2.89	%		2.96	%		2.99	%		2.92	%
Non-interest income to average assets<br> (annualized) (1)		0.15	%		0.18	%		0.23	%		0.21	%		0.19	%
Non-interest expense to average assets<br> (annualized)		1.79	%		1.70	%		1.65	%		1.76	%		1.75	%
Efficiency ratio (5)		62.93	%		60.14	%		56.17	%		59.57	%		60.86	%
Return on average assets (annualized)		0.61	%		0.98	%		1.05	%		1.09	%		1.01	%
Return on average equity (annualized)		4.92	%		7.24	%		7.46	%		7.66	%		7.01	%
Return on average tangible equity (annualized) (6)		6.40	%		9.27	%		9.49	%		9.67	%		8.81	%

(1) Effective July 1, 2021, loan prepayment penalty income is recorded as a component of interest income on loans. Previously, loan prepayment penalty income was recorded within non-interest income. Periods prior to the quarter ended September 30, 2021 have been adjusted to reflect this change. Loan prepayment penalty income for the quarter ended June 30, 2021 was $902,000.

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

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

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

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

(6) 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>2022			March 31,<br>2022			December 31,<br>2021			September 30,<br>2021			June 30,<br>2021
Adjusted net income:
Net income (GAAP)	$	11,370		$	17,693		$	18,769		$	19,715		$	18,483
Non-recurring transactions - net of tax:
Early contract termination		568			-			-			-			-
Branch consolidation expenses and<br> impairment charges		-			-			132			1,209			870
Net effect of sale and call of securities		400			(2	)		-			(1	)		(220	)
Reversal of income tax valuation<br> allowance		-			-			-			-			(12	)
Net effect of sale of other assets		-			-			(251	)		-			(144	)
Adjusted net income	$	12,338		$	17,691		$	18,650		$	20,923		$	18,977
Calculation of pre-tax, pre-provision net<br> revenue:
Net income (GAAP)	$	11,370		$	17,693		$	18,769		$	19,715		$	18,483
Adjustments to net income (GAAP):
Provision for income taxes		4,205			6,522			6,801			7,272			7,033
Provision for (reversal of) credit losses		4,222			(3,920	)		(2,420	)		(5,400	)		(4,941	)
Pre-tax, pre-provision net revenue<br> (non-GAAP)	$	19,797		$	20,295		$	23,150		$	21,587		$	20,575
Adjusted earnings per share:
Weighted average common shares - basic		67,240			69,790			72,011			74,537			77,658
Weighted average common shares - diluted		67,276			69,817			72,037			74,556			77,680
Earnings per share - basic (GAAP)	$	0.17		$	0.25		$	0.26		$	0.26		$	0.24
Earnings per share - diluted (GAAP)	$	0.17		$	0.25		$	0.26		$	0.26		$	0.24
Adjusted earnings per share - basic<br> (non-GAAP)	$	0.18		$	0.25		$	0.26		$	0.28		$	0.24
Adjusted earnings per share - diluted<br> (non-GAAP)	$	0.18		$	0.25		$	0.26		$	0.28		$	0.24
Adjusted return on average assets:
Total average assets	$	7,494,751		$	7,207,950		$	7,180,241		$	7,247,228		$	7,328,839
Return on average assets (GAAP)		0.61	%		0.98	%		1.05	%		1.09	%		1.01	%
Adjusted return on average assets<br> (non-GAAP)		0.66	%		0.98	%		1.04	%		1.15	%		1.04	%
Adjusted return on average equity:
Total average equity	$	924,133		$	977,489		$	1,005,762		$	1,030,008		$	1,054,198
Return on average equity (GAAP)		4.92	%		7.24	%		7.46	%		7.66	%		7.01	%
Adjusted return on average equity<br> (non-GAAP)		5.34	%		7.24	%		7.42	%		8.13	%		7.20	%
Kearny Financial Corp.
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Reconciliation of GAAP to Non-GAAP
(Unaudited)
	Three Months Ended
(Dollars and Shares in Thousands,<br>Except Per Share Data)	June 30,<br>2022			March 31,<br>2022			December 31,<br>2021			September 30,<br>2021			June 30,<br>2021
Adjusted return on average tangible equity:
Total average equity	$	924,133		$	977,489		$	1,005,762		$	1,030,008		$	1,054,198
Less: average goodwill		(210,895	)		(210,895	)		(210,895	)		(210,895	)		(210,895	)
Less: average other intangible assets		(3,116	)		(3,282	)		(3,462	)		(3,641	)		(3,825	)
Total average tangible equity	$	710,122		$	763,312		$	791,405		$	815,472		$	839,478
Return on average tangible equity<br> (non-GAAP)		6.40	%		9.27	%		9.49	%		9.67	%		8.81	%
Adjusted return on average tangible equity<br> (non-GAAP)		6.95	%		9.27	%		9.43	%		10.26	%		9.04	%
Adjusted non-interest expense ratio:
Non-interest expense (GAAP)	$	33,612		$	30,623		$	29,670		$	31,803		$	31,986
Non-recurring transactions:
Early contract termination		(800	)		-			-			-			-
Branch consolidation expenses and<br> impairment charges		-			-			(187	)		(1,711	)		(1,239	)
Non-interest expense (non-GAAP)	$	32,812		$	30,623		$	29,483		$	30,092		$	30,747
Non-interest expense ratio (GAAP)		1.79	%		1.70	%		1.65	%		1.76	%		1.75	%
Adjusted non-interest expense ratio<br> (non-GAAP)		1.75	%		1.70	%		1.64	%		1.66	%		1.68	%
Adjusted efficiency ratio:
Non-interest expense (non-GAAP)	$	32,812		$	30,623		$	29,483		$	30,092		$	30,747
Net interest income (GAAP)	$	50,599		$	47,727		$	48,687		$	49,590		$	49,065
Total non-interest income (GAAP)		2,810			3,191			4,133			3,800			3,496
Non-recurring transactions:
Net effect of sale and call of securities		563			(3	)		-			(1	)		(313	)
Net effect of sale of other assets		-			-			(356	)		-			(205	)
Total revenue (non-GAAP)	$	53,972		$	50,915		$	52,464		$	53,389		$	52,043
Efficiency ratio (GAAP)		62.93	%		60.14	%		56.17	%		59.57	%		60.86	%
Adjusted efficiency ratio (non-GAAP)		60.79	%		60.15	%		56.20	%		56.36	%		59.08	%
Kearny Financial Corp.
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Reconciliation of GAAP to Non-GAAP
(Unaudited)
	Year Ended
(Dollars and Shares in Thousands,	June 30,			June 30,
Except Per Share Data)	2022			2021
Adjusted net income:
Net income (GAAP)	$	67,547		$	63,233
Non-recurring transactions - net of tax:
Early contract termination		568			-
Bargain purchase gain		-			(3,053	)
Provision for credit losses on non-PCD loans		-			3,563
Merger-related expenses		-			3,123
Branch consolidation expenses and impairment<br> charges		1,341			1,377
Net effect of sale and call of securities		397			(804	)
Debt extinguishment expenses		-			558
Reversal of income tax valuation allowance		-			(535	)
Net effect of sale of other assets		(251	)		(731	)
Adjusted net income	$	69,602		$	66,731
Calculation of pre-tax, pre-provision income:
Net income (GAAP)	$	67,547		$	63,233
Adjustments to net income (GAAP):
Provision for income taxes		24,800			21,263
Reversal of provision for credit losses		(7,518	)		(1,121	)
Pre-tax, pre-provision income	$	84,829		$	83,375
Adjusted earnings per share:
Weighted average common shares - basic		70,911			82,387
Weighted average common shares - diluted		70,933			82,391
Earnings per share - basic (GAAP)	$	0.95		$	0.77
Earnings per share - diluted (GAAP)	$	0.95		$	0.77
Adjusted earnings per share - basic (non-GAAP)	$	0.98		$	0.81
Adjusted earnings per share - diluted (non-GAAP)	$	0.98		$	0.81
Adjusted return on average assets:
Total average assets	$	7,282,370		$	7,333,861
Return on average assets (GAAP)		0.93	%		0.86	%
Adjusted return on average assets (non-GAAP)		0.96	%		0.91	%
Adjusted return on average equity:
Total average equity	$	984,551		$	1,091,393
Return on average equity (GAAP)		6.86	%		5.79	%
Adjusted return on average equity (non-GAAP)		7.07	%		6.11	%
Adjusted return on average tangible equity:
Total average equity	$	984,551		$	1,091,393
Less: average goodwill		(210,895	)		(210,895	)
Less: average other intangible assets		(3,377	)		(4,133	)
Total average tangible equity	$	770,279		$	876,365
Return on average tangible equity (non-GAAP)		8.77	%		7.22	%
Adjusted return on average tangible equity (non-GAAP)		9.04	%		7.61	%
Kearny Financial Corp.
---	---	---	---	---	---	---
Reconciliation of GAAP to Non-GAAP
(Unaudited)
	Year Ended
	June 30,			June 30,
(Dollars in Thousands)	2022			2021
Adjusted non-interest expense ratio:
Non-interest expense (GAAP)	$	125,708		$	125,885
Non-routine transactions:
Early contract termination		(800	)		-
Merger-related expenses		-			(4,349	)
Branch consolidation expenses and impairment<br> charges		(1,898	)		(1,961	)
Debt extinguishment expenses		-			(796	)
Non-interest expense (non-GAAP)	$	123,010		$	118,779
Non-interest expense ratio (GAAP)		1.73	%		1.72	%
Adjusted non-interest expense ratio (non-GAAP)		1.69	%		1.62	%
Adjusted efficiency ratio:
Non-interest expense (non-GAAP)	$	123,010		$	118,779
Net interest income (GAAP)	$	196,603		$	188,234
Total non-interest income (GAAP)		13,934			21,026
Non-routine transactions:
Net effect of sale and call of securities		559			(1,144	)
Bargain purchase gain		-			(3,053	)
Net effect of sale of other assets		(356	)		(1,042	)
Total revenue (non-GAAP)	$	210,740		$	204,021
Efficiency ratio (GAAP)		59.71	%		60.16	%
Adjusted efficiency ratio (non-GAAP)		58.37	%		58.22	%

Investor Presentation Fiscal Year Ended June 30, 2022 Exhibit 99.2

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, 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 COVID-19 on our business, financial condition or results of 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. Forward Looking Statements & Non-GAAP Financial Measures

NASDAQ: KRNY Market Cap: $791.7 million1 Founded in 1884 Top 10 New Jersey-based financial institution by assets 45 full-service branches2 in 12 counties throughout northern and central New Jersey and New York City Active acquirer, having completed 7 whole-bank acquisitions since 1999 1 As of July 25, 2022 2 As of June 30, 2022 Source: S&P Global Market Intelligence & Company Filings Corporate Headquarters Fairfield, NJ 07004 Existing Branch Locations PENNSYLVANIA NEW YORK CUMBERLAND CAPE MAY ATLANTIC BURLINGTON GLOUCESTER SALEM CAMDEN MERCER HUNTERDON SOMERSET WARREN SUSSEX PASSAIC MORRIS ESSEX UNION MONMOUTH OCEAN RICHMOND KINGS HUDSON BERGEN MIDDLESEX NEW JERSEY Company Overview

Financial Highlights Source: Company Filings 1 Non-interest expense divided by the sum of net interest income and non-interest income. Balance Sheet 2022FY 2021FY ($ in billions) Total Assets $7.72 $7.28 Total Loans $5.42 $4.85 Total Deposits $5.86 $5.49 Profitability and Performance Ratios 2022FY 2021FY ($ in millions, except per share data) Net Income $67.5 $63.2 Earnings per share $0.95 $0.77 Net Interest Income $196.6 $188.2 Net Interest Margin 2.94% 2.80% Return on Average Assets 0.93% 0.86% Return on Average Equity 6.86% 5.79% Return on Average Tangible Equity 8.77% 7.22%

Equity & Capitalization Equity Capitalization Level Regulatory Capital Ratios1,2 Regulatory Capital Ratios based on June 30, 2022 results. S&P U.S. Small Cap Banks Index comprised of 280 constituents, based on March 31, 2022 results. Source: Company Filings Normalizing capital ratios which continue to provide ample opportunity for growth and capital management activities 19.28% 16.99% 16.04% 14.32% 11.58% 16.53% 14.19% 13.29% 11.72% 9.06% 2018FY 2019FY 2020FY 2021FY 2022FY Tangible Common Equity / Tangible Assets Equity / Assets 10.14% 9.37% 14.55% 11.86% 14.55% 11.90% 15.14% 14.37% Tier 1 Common Equity Tier 1 Risk-Based Total Risk-Based Leverage Tier 1 Capital Capital KRNY S&P US Small Cap Banks

Capital Management Cumulative Capital Returned to Stockholders1 Source: Company Filings 1 Since conclusion of second step conversion in May 2015. Repurchased 10.2 million shares during Fiscal 2022 at an average price of $12.67 per share $327 $36 $291 $502 $69 $433 $596 $94 $502 $743 $122 $621 $903 $152 $751 2018FY 2019FY 2020FY 2021FY 2022FY Repurchase of Common Stock Dividends Paid ($ millions)

Earnings Performance Net Income & Return on Assets1 Earnings per Share1 1 Although management believes core net income, EPS and ROAA, which are non-GAAP measures, are useful to investors by providing a greater level of understanding of its business, they should not be considered a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP financial measures that may be presented by other companies. Core net income, EPS and ROAA exclude non-recurring income and expenses, including branch consolidation expenses and impairment charges. Refer to reconciliation of GAAP to non-GAAP at the end of this presentation. Source: S&P Global Market Intelligence & Company Filings Sustained growth trajectory in net income, earnings per share and return on assets Annual GAAP EPS for Fiscal 2022 represented a 23% increase from Fiscal 2021 $1.05 $0.98 $0.90 $0.95 $0.75 $0.81 $0.77 $0.60 $0.54 $0.55 $0.45 $0.47 $0.46 $0.30 $0.33 $0.24 $0.15 $0.00 2018FY 2019FY 2020FY 2021FY 2022FY Core EPS GAAP EPS ($ millions) $140 $120 $100 $80 $60 $40 $20 $0 $27.4 $19.6 $43.4 $42.1 $44.3 $45.0 $66.7 $63.2 $69.6 $67.5 1.05% 0.90% 0.75% 0.60% 0.45% 0.30% 0.15% 0.00% 0.52% 0.37% 0.65% 0.63% 0.66% 0.67% 0.91% 0.86% 0.96% 0.93% 2018FY 2019FY 2020FY 2021FY 2022FY Core Net Income Net Income Core ROAA ROAA ($ millions)

1 As of and for the quarter ended June 30, 2022 Source: S&P Global Market Intelligence & Company Filings Deposits Deposit Composition1 Deposit Growth ($ millions) Consolidated 25% of branches over a three-year period Core non-maturity deposits grew 10% from Fiscal 2021 13.2% 11.2% 19.0% 38.6% 18.0% QTD Cost of Deposits 0.28% ($ millions) $5,485 $5,862 $594 $654 $4,430 $4,074 $4,147 $419 $312 $309 $1,902 $2,266 $843 $1,264 $1,001 $791 $744 $1,111 $907 $1,053 $302 $189 $67 $479 $773 $1,828 $1,902 $1,773 $1,399 $1,116 2018FY 2019FY 2020FY 2021FY 2022FY Retail CDs Wholesale CDs Savings Interest bearing DDA Noninterest bearing DDA

Portfolio Lending Loan Composition1 Geographic Distribution2 1 As of and for the quarter ended June 30, 2022 2 As of June 30, 2022 Source: S&P Global Market Intelligence & Company Filings Loan-to-Value by Real Estate Secured Segment2 Strategy designed to grow and diversify the loan portfolio with a focus on increasing the allocation of C&I and construction credits Loans receivable increased 11% from Fiscal 2021 3.2% 2.6% 18.8% 30.3% QTD Yield on Loans 3.77% 0.8% 44.3% Balance Loan to Loan Type ($ millions) Value (LTV) 1-4 Family $1,646 62% Multifamily $2,409 64% CRE $1,020 54% Construction $140 61% Home Equity $42 46% Total $5,257 61% Other Pennsylvania 3.2% 5.1% New York 36.0% New Jersey 55.7% 1-4 Family Home Equity Multifamily CRE Construction Consumer Commercial

Asset Quality Net Charge-Offs / Average Loans Non-Performing Assets / Total Assets 1 As of June 30, 2022; amounts shown in millions 2 The Company adopted CECL methodology effective FY 2021 Q1 Source: S&P Global Market Intelligence & Company Filings Non-Performing Loans1 Allowance for Credit Losses on Loans (ACL)2 ($ millions) 0.10% 0.08% 0.06% 0.04% 0.02% 0.00% 0.07% 0.03% 0.03% 0.02% 0.00% 2018FY 2019FY 2020FY 2021FY 2022FY $1.6 $8.5 $1.4 $0.3 NPL’s $26.7 $70.3MM $31.8 Multi-family Non-Residential Commercial Construction Residential Home Equity 1.50% 1.25% 1.10% 1.19% 1.00% 0.75% 0.55% 0.50% 0.31% 0.27% 0.25% 0.00% 2018FY 2019FY 2020FY 2021FY 2022FY ($ millions) 100 1.40% 1.19% 80 1.20% 0.87% 0.82% 1.00% 60 $58.2 0.68% 0.70% $47.1 0.80% 0.60% 40 $37.3 $30.9 $33.3 0.40% 20 0.20% 0 0.00% 2018FY 2019FY 2020FY 2021FY 2022FY ACL Balance ACL to Total Loans Receivable

M&A History and Strategy Experienced acquirer and integrator, having successfully completed 7 whole-bank acquisitions over the past two decades Opportunistic acquisition strategy with an emphasis on: Low premium deals Similar or complementary business models Expansion in existing or contiguous markets Cultural compatibility Focus on limiting tangible book value dilution and earn-back periods while generating strong EPS accretion and operating leverage

Technology Roadmap Omni-channel sales and service model Traditional in-branch products available online and via mobile channels Adoption of Glia, a next-generation digital client service solution Partnered with Q2 Holdings to provide best-in-breed digital and mobile banking front-end solutions Streamline the client experience, improve operating efficiency and expand our knowledge of how to best serve our clients Automation of residential mortgage application process, workflow and pricing model Leverage data analytics, machine learning and artificial intelligence to aid in client retention and further grow wallet share Bank-wide cloud migration to accommodate scalable and rapidly upgradable technology systems Partnerships with FinTech firms, such as ZSuite Technologies, who provide innovative products and services which provide unique value to our clients

Non-GAAP Reconciliation Appendix A: Reconciliation of GAAP to Non-GAAP For the year ended For the year ended For the year ended For the year ended For the year ended (Dollars in Thousands, June 30, June 30, June 30, June 30, June 30, Except Per Share Data) 2022 2021 2020 2019 2018 Adjusted net income: Net Income (GAAP) $67,547 $63,233 $44,965 $42,142 $19,596 Non-recurring transactions - net of tax: Early contract termination 568 - - - - Bargain purchase gain - (3,053) - - - Provision for credit losses on non-PCD loans – 3,563 - - - Merger-related expenses – 3,123 878 – 5,105 One-time impact of Tax Cuts and Jobs Act of 2017 - - - - 2,717 Branch consolidation expenses and impairment charges 1,341 1,377 749 1,216 – Net effect of sales and calls of securities 397 (804) - - - Net effect of wholesale restructuring transaction - - (55) - - Debt extinguishment expenses – 558 - - - Reversal of income tax valuation allowance – (535) (591) - - Net effect of sales of other assets (251) (731) - - - Tax benefit arising from the adoption of the CARES Act provisions - - (1,624) - - Adjusted net income $69,602 $66,731 $44,322 $43,358 $27,418 Adjusted earnings per share: Weighted average common shares – basic 70,911 82,387 82,409 91,054 82,587 Weighted average common shares – diluted 70,933 82,391 82,430 91,100 82,643 Earnings per share – basic (GAAP) $0.95 $0.77 $0.55 $0.46 $0.24 Earnings per share – diluted (GAAP) $0.95 $0.77 $0.55 $0.46 $0.24 Adjusted earnings per share – basic (non-GAAP) $0.98 $0.81 $0.54 $0.47 $0.33 Adjusted earnings per share – diluted (non-GAAP) $0.98 $0.81 $0.54 $0.47 $0.33 Adjusted return on average assets: Total average assets $7,282,370 $7,333,861 $6,689,245 $6,659,693 $5,266,968 Return on average assets (GAAP) 0.93% 0.86% 0.67% 0.63% 0.37% Adjusted return on average assets (non-GAAP) 0.96% 0.91% 0.66% 0.65% 0.52%