FALSE000161724200016172422023-07-272023-07-27

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 27, 2023

_____________________________

KEARNY FINANCIAL CORP.

(Exact name of Registrant as Specified in Its Charter)

_____________________________

Maryland			001-37399			30-0870244
(State or Other Jurisdiction of Incorporation)			(Commission File Number)			(IRS Employer 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. ☐

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Item 2.02    Results of Operation and Financial Condition

On July 27, 2023, 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, 2023.

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 27, 2023, 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 27, 2023, the Company’s Board of Directors announced a quarterly cash dividend of $0.11 per share, payable on August 23, 2023 to stockholders of record as of August 9, 2023.

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 27, 2023.
99.2						Kearny Financial Corp. investor presentation dated July 27, 2023.
104						Cover Page Interactive Data File (embedded within the Inline XBRL document).

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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 27, 2023			By:			/s/ Keith Suchodolski
						Keith Suchodolski
						Senior Executive Vice President and Chief Financial Officer

Exhibit 99.1

FOR IMMEDIATE RELEASE

July 27, 2023

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 2023 RESULTS

AND DECLARATION OF CASH DIVIDEND

Fairfield, N.J., July 27, 2023 – 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, 2023 of $12.0 million, or $0.19 per diluted share, compared to $10.3 million, or $0.16 per diluted share, for the quarter ended March 31, 2023.

For the fiscal year ended June 30, 2023, the Company reported net income of $40.8 million, or $0.63 per diluted share, compared to $67.5 million, or $0.95 per diluted share, for the fiscal year ended June 30, 2022. Net income for the years ended June 30, 2023 and June 30, 2022 was impacted by various non-recurring items, as described in further detail below.

The Company also announced that its Board of Directors has declared a quarterly cash dividend of $0.11 per share, payable on August 23, 2023 to stockholders of record as of August 9, 2023.

Craig L. Montanaro, President and Chief Executive Officer, commented, “The current operating environment for community banks remains challenging. An inverted yield curve, intense competition for deposits and slowing demand for loans all present near-term earnings headwinds for our industry. Despite these challenges I am pleased to report our success on several fronts.”

Mr. Montanaro continued, “As expected, the rate of our net interest margin compression slowed, declining nine basis points quarter-over-quarter. Our operating efficiency initiative continues to gain traction, with adjusted non-interest expense down 2.7% from the prior quarter and 9.8% from our December 2022 non-interest expense run rate. We improved our capital position, increasing tangible common equity by 33 basis points from the prior quarter, while continuing to reduce outstanding shares via our repurchase program. Finally, our loan charge-off rate remains industry-leading, with full fiscal year 2023 net charge-offs of $810,000, or 0.01% of average loans.”

Mr. Montanaro concluded, “While it remains to be seen how long this current environment persists, our balance sheet and risk profile position us well for long-term success. In the meantime, we remain committed to serving our clients and our communities, while continuing to build franchise and shareholder value.”

Balance Sheet

•Total assets were $8.06 billion at June 30, 2023, a decrease of $284.5 million, or 3.4%, from March 31, 2023 and an increase of $344.9 million, or 4.5%, from June 30, 2022.

•Cash and cash equivalents totaled $70.5 million at June 30, 2023, a decrease of $124.1 million, or 63.8%, from March 31, 2023 and a decrease of $31.1 million, or 30.6%, from June 30, 2022.

•Investment securities totaled $1.37 billion at June 30, 2023, a decrease of $42.6 million, or 3.0%, from March 31, 2023 and a decrease of $88.2 million, or 6.0%, from June 30, 2022.

•Loans receivable totaled $5.83 billion at June 30, 2023, a decrease of $136.9 million, or 2.3%, from March 31, 2023 and an increase of $411.6 million, or 7.6%, from June 30, 2022. The decrease for the quarter and the increase for the year were largely driven by multi-family and nonresidential mortgage loans.

•Deposits were $5.63 billion at June 30, 2023, a decrease of $174.2 million, or 3.0%, from March 31, 2023 and a decrease of $233.1 million, or 4.0%, from June 30, 2022. Excluding brokered certificates of deposit (“CDs”), deposits decreased $53.7 million, or 1.1%, from March 31, 2023 and $100.1 million, or 2.0%, from June 30, 2022. Excluding brokered CDs, the decrease for both the quarter and the year were largely driven by a decline in savings deposits, partially offset by growth in retail CDs.

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•The aggregate amount of uninsured deposits was $1.77 billion at June 30, 2023. Excluding collateralized deposits of state and local governments, and deposits of the Bank’s wholly-owned subsidiary and holding company, the aggregate amount of uninsured deposits was $710.4 million, or 12.6% of total deposits.

•Borrowings were $1.51 billion at June 30, 2023, a decrease of $104.9 million, or 6.5%, from March 31, 2023 and an increase of $605.5 million, or 67.2%, from June 30, 2022. At June 30, 2023, borrowings comprised $1.41 billion of advances from the Federal Home Loan Bank of New York and $100.0 million from unsecured fed funds lines of credit.

•At June 30, 2023, the Company maintained available secured borrowing capacity of $2.44 billion, of which $1.96 billion was immediately accessible via in-place collateral and $477.0 million represented the market value of unpledged securities.

Earnings

Performance Highlights

•Return on average assets was 0.59% and 0.50% for the quarters ended June 30, 2023 and March 31, 2023, respectively, and 0.51% and 0.93% for the years ended June 30, 2023 and 2022, respectively.

•Return on average equity was 5.58% and 4.69% for the quarters ended June 30, 2023 and March 31, 2023, respectively, and 4.66% and 6.86% for the years ended June 30, 2023 and 2022, respectively.

•Return on average tangible equity was 7.41% and 6.20% for the quarters ended June 30, 2023 and March 31, 2023, respectively, and 6.17% and 8.77% for the years ended June 30, 2023 and 2022, respectively.

Net Interest Income and Net Interest Margin

•Net interest margin contracted nine basis points to 2.11% for the quarter ended June 30, 2023 and 60 basis points to 2.34% for the year ended June 30, 2023. The decrease for the quarter was due largely to an increase in the cost of interest-bearing deposits, partially offset by an increase in the yield on interest-earning assets. The decrease for the year was due largely to increases in the cost and average balance of interest-earning liabilities, partially offset by increases in yield on and average balance of interest-earning assets.

•For the quarter ended June 30, 2023, net interest income decreased $2.2 million to $40.2 million from $42.4 million for the quarter ended March 31, 2023. Included in net interest income for the quarters ended June 30, 2023 and March 31, 2023, respectively, was purchase accounting accretion of $887,000 and $711,000, and loan prepayment penalty income of $185,000 and $103,000.

•For the year ended June 30, 2023, net interest income decreased $20.7 million to $175.9 million from $196.6 million for the year ended June 30, 2022. Included in net interest income for the years ended June 30, 2023 and 2022, respectively, was purchase accounting accretion of $5.3 million and $9.0 million, and loan prepayment penalty income of $895,000 and $5.4 million.

Non-Interest Income

•For the quarter ended June 30, 2023, non-interest income increased $2.0 million to $3.7 million. The increase was primarily attributable to a loss on sale of loans of $2.4 million during the quarter ended March 31, 2023.

•For the year ended June 30, 2023, non-interest income decreased $11.2 million to $2.8 million. The decrease was primarily attributable to a loss of $15.2 million on the sale of securities during the current year, partially offset by a non-recurring gain of $2.9 million attributable to the sale of a former branch location.

Non-Interest Expense

•For the quarter ended June 30, 2023, non-interest expense decreased $1.6 million, or 5.2%, to $28.8 million from $30.4 million for the quarter ended March 31, 2023. The decrease was primarily attributable to branch consolidation expense recorded in the comparative period and a decrease in salaries and benefits expense.

•For the year ended June 30, 2022, non-interest expense decreased $2.0 million to $123.8 million from $125.7 million for the year ended June 30, 2022. The decrease was primarily attributable to decreases in occupancy, equipment and systems, directors’ compensation and salaries and benefits expenses, partially offset by an increase in federal deposit insurance premiums.

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•For the year ended June 30, 2023, the Company recorded $800,000 of branch consolidation expense, of which $250,000 was recorded in occupancy expense and $550,000 was recorded in other expense, and $757,000 of severance expense from a workforce realignment. For the year ended June 30, 2022, the Company recorded $1.9 million of branch consolidation expense and impairment charges, of which $1.5 million was recorded in occupancy expense and $420,000 was recorded in other expense, and $800,000 of expense from the early termination of a contract with a service provider.

•The efficiency and non-interest expense ratios were 65.60% and 1.41%, respectively, for the quarter ended June 30, 2023, as compared to 68.96% and 1.47%, respectively, for the quarter ended March 31, 2023. The efficiency and non-interest expense ratios were 69.28% and 1.53%, respectively, for the year ended June 30, 2023, as compared to 59.71% and 1.73%, respectively, for the year ended June 30, 2022.

Income Taxes

•Income tax expense totaled $3.4 million for the quarter ended June 30, 2023 compared to $2.9 million for the quarter ended March 31, 2023, resulting in an effective tax rate of 21.9% and 22.0%, respectively. Income tax expense totaled $11.6 million for the year ended June 30, 2023 compared to $24.8 million for the year ended June 30, 2022, resulting in an effective tax rate of 22.1% and 26.9%, respectively.

Asset Quality

•The balance of non-performing assets decreased $1.9 million to $55.6 million, or 0.69% of total assets, at June 30, 2023, from $57.4 million, or 0.69% of total assets, at March 31, 2023. The balance of non-performing assets was $92.2 million, or 1.19% of total assets, at June 30, 2022.

•Net charge-offs totaled $82,000, or 0.01% of average loans, on an annualized basis, for the quarter ended June 30, 2023, compared to $206,000, or 0.01% of average loans, on an annualized basis, for the quarter ended March 31, 2023. For the year ended June 30, 2023, net charge-offs totaled $810,000, or 0.01% of average loans, compared to $3.6 million, or 0.07% of average loans, for the year ended June 30, 2022.

•For the quarter ended June 30, 2023, the Company recorded a reversal of credit losses of $306,000, compared to a provision for credit losses of $451,000 for the quarter ended March 31, 2023. The reversal for the quarter ended June 30, 2023 was largely driven by a decrease in the balance of loans receivable, partially offset by a net increase in reserves on loans individually analyzed for impairment. For the years ended June 30, 2023 and 2022, the Company recorded a provision for credit losses of $2.5 million and a reversal of credit losses of $7.5 million, respectively.

•The allowance for credit losses was $48.7 million, or 0.83% of total loans, at June 30, 2023, compared to $49.1 million, or 0.82% of total loans, at March 31, 2023 and $47.1 million, or 0.87% of total loans, at June 30, 2022.

Capital

•For the quarter ended June 30, 2023, book value per share increased $0.21, or 1.6%, to $13.20 while tangible book value per share increased $0.17, or 1.7%, to $9.96. For the year ended June 30, 2023, book value per share increased $0.18, or 1.4%, to $13.20 while tangible book value per share increased $0.06, or 0.6%, to $9.96.

•During the quarter and year ended June 30, 2023, the Company repurchased 812,506 and 2,820,398 shares of common stock at a cost of $6.4 million and $27.4 million, or $7.83 and $9.73 per share, respectively.

•At June 30, 2023, total stockholders’ equity included after-tax net unrealized losses on securities available for sale of $111.1 million, partially offset by after-tax unrealized gains on derivatives of $41.5 million. After-tax net unrecognized losses on securities held to maturity of $10.9 million were not reflected in total stockholders’ equity.

•At June 30, 2023, the Company’s tangible equity to tangible assets ratio equaled 8.35% 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.

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This earnings release should be read in conjunction with Kearny Financial Corp.’s Q4 2023 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

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Linked-Quarter Comparative Financial Analysis

Kearny Financial Corp.

Consolidated Balance Sheets

(Unaudited)

(Dollars and Shares in Thousands, Except Per Share Data)			June 30, 2023			March 31, 2023			Variance or Change			Variance or Change Pct.
Assets
Cash and cash equivalents			$	70,515		$	194,568		$	(124,053)		-63.8		%
Securities available for sale			1,227,729			1,267,066			(39,337)			-3.1		%
Securities held to maturity			146,465			149,764			(3,299)			-2.2		%
Loans held-for-sale			9,591			5,401			4,190			77.6		%
Loans receivable			5,829,421			5,966,325			(136,904)			-2.3		%
Less: allowance for credit losses on loans			(48,734)			(49,122)			(388)			-0.8		%
Net loans receivable			5,780,687			5,917,203			(136,516)			-2.3		%
Premises and equipment			48,309			49,589			(1,280)			-2.6		%
Federal Home Loan Bank stock			71,734			76,319			(4,585)			-6.0		%
Accrued interest receivable			28,133			28,794			(661)			-2.3		%
Goodwill			210,895			210,895			—			—		%
Core deposit intangible			2,457			2,590			(133)			-5.1		%
Bank owned life insurance			292,825			291,220			1,605			0.6		%
Deferred income taxes, net			51,973			53,151			(1,178)			-2.2		%
Other real estate owned			12,956			13,410			(454)			-3.4		%
Other assets			110,546			89,366			21,180			23.7		%
Total assets			$	8,064,815		$	8,349,336		$	(284,521)		-3.4		%
Liabilities
Deposits:
Non-interest-bearing			$	609,999		$	617,778		$	(7,779)		-1.3		%
Interest-bearing			5,019,184			5,185,626			(166,442)			-3.2		%
Total deposits			5,629,183			5,803,404			(174,221)			-3.0		%
Borrowings			1,506,812			1,611,692			(104,880)			-6.5		%
Advance payments by borrowers for taxes			18,338			18,706			(368)			-2.0		%
Other liabilities			41,198			49,304			(8,106)			-16.4		%
Total liabilities			7,195,531			7,483,106			(287,575)			-3.8		%
Stockholders' Equity
Common stock			659			667			(8)			-1.2		%
Paid-in capital			503,332			509,359			(6,027)			-1.2		%
Retained earnings			457,611			452,605			5,006			1.1		%
Unearned ESOP shares			(22,862)			(23,348)			486			2.1		%
Accumulated other comprehensive loss			(69,456)			(73,053)			3,597			4.9		%
Total stockholders' equity			869,284			866,230			3,054			0.4		%
Total liabilities and stockholders' equity			$	8,064,815		$	8,349,336		$	(284,521)		-3.4		%
Consolidated capital ratios
Equity to assets			10.78		%	10.37		%	0.41		%
Tangible equity to tangible assets (1)			8.35		%	8.02		%	0.33		%
Share data
Outstanding shares			65,864			66,680			(816)			-1.2		%
Book value per share			$	13.20		$	12.99		$	0.21		1.6		%
Tangible book value per share (2)			$	9.96		$	9.79		$	0.17		1.7		%

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(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.

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Kearny Financial Corp.

Consolidated Statements of Income

(Unaudited)

(Dollars and Shares in Thousands, Except Per Share Data)			Three Months Ended						Variance or Change			Variance or Change Pct.
			June 30, 2023			March 31, 2023
Interest income
Loans			$	62,044		$	60,172		$	1,872		3.1		%
Taxable investment securities			15,736			15,459			277			1.8		%
Tax-exempt investment securities			91			99			(8)			-8.1		%
Other interest-earning assets			1,821			1,441			380			26.4		%
Total interest income			79,692			77,171			2,521			3.3		%
Interest expense
Deposits			26,226			22,246			3,980			17.9		%
Borrowings			13,286			12,554			732			5.8		%
Total interest expense			39,512			34,800			4,712			13.5		%
Net interest income			40,180			42,371			(2,191)			-5.2		%
(Reversal of) provision for credit losses			(306)			451			(757)			-167.8		%
Net interest income after (reversal of) provision for credit losses			40,486			41,920			(1,434)			-3.4		%
Non-interest income
Fees and service charges			699			910			(211)			-23.2		%
Gain (loss) on sale of loans			199			(2,373)			2,572			-108.4		%
Loss on sale of other real estate owned			(139)			—			(139)			—		%
Income from bank owned life insurance			1,605			1,581			24			1.5		%
Electronic banking fees and charges			399			457			(58)			-12.7		%
Other income			903			1,071			(168)			-15.7		%
Total non-interest income			3,666			1,646			2,020			122.7		%
Non-interest expense
Salaries and employee benefits			17,315			18,005			(690)			-3.8		%
Net occupancy expense of premises			2,862			3,097			(235)			-7.6		%
Equipment and systems			3,511			3,537			(26)			-0.7		%
Advertising and marketing			231			413			(182)			-44.1		%
Federal deposit insurance premium			1,455			1,546			(91)			-5.9		%
Directors' compensation			345			340			5			1.5		%
Other expense			3,042			3,414			(372)			-10.9		%
Total non-interest expense			28,761			30,352			(1,591)			-5.2		%
Income before income taxes			15,391			13,214			2,177			16.5		%
Income taxes			3,378			2,902			476			16.4		%
Net income			$	12,013		$	10,312		$	1,701		16.5		%
Net income per common share (EPS)
Basic			$	0.19		$	0.16		$	0.03
Diluted			$	0.19		$	0.16		$	0.03
Dividends declared
Cash dividends declared per common share			$	0.11		$	0.11		$	—
Cash dividends declared			$	7,007		$	7,196		$	(189)
Dividend payout ratio			58.3		%	69.8		%	(11.5)		%
Weighted average number of common shares outstanding
Basic			63,667			64,769			(1,102)
Diluted			63,667			64,783			(1,116)

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Kearny Financial Corp.

Average Balance Sheet Data

(Unaudited)

(Dollars in Thousands)			Three Months Ended						Variance or Change			Variance or Change Pct.
			June 30, 2023			March 31, 2023
Assets
Interest-earning assets:
Loans receivable, including loans held for sale			$	5,932,541		$	5,986,669		$	(54,128)		-0.9		%
Taxable investment securities			1,529,582			1,558,222			(28,640)			-1.8		%
Tax-exempt investment securities			16,346			17,663			(1,317)			-7.5		%
Other interest-earning assets			128,158			131,682			(3,524)			-2.7		%
Total interest-earning assets			7,606,627			7,694,236			(87,609)			-1.1		%
Non-interest-earning assets			556,962			575,009			(18,047)			-3.1		%
Total assets			$	8,163,589		$	8,269,245		$	(105,656)		-1.3		%
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand			$	2,321,120		$	2,363,762		$	(42,642)		-1.8		%
Savings			774,854			858,673			(83,819)			-9.8		%
Certificates of deposit			2,057,818			2,069,396			(11,578)			-0.6		%
Total interest-bearing deposits			5,153,792			5,291,831			(138,039)			-2.6		%
Borrowings:
Federal Home Loan Bank advances			1,374,316			1,402,269			(27,953)			-2.0		%
Other borrowings			100,055			1,611			98,444			6110.7		%
Total borrowings			1,474,371			1,403,880			70,491			5.0		%
Total interest-bearing liabilities			6,628,163			6,695,711			(67,548)			-1.0		%
Non-interest-bearing liabilities:
Non-interest-bearing deposits			608,765			634,324			(25,559)			-4.0		%
Other non-interest-bearing liabilities			64,970			60,327			4,643			7.7		%
Total non-interest-bearing liabilities			673,735			694,651			(20,916)			-3.0		%
Total liabilities			7,301,898			7,390,362			(88,464)			-1.2		%
Stockholders' equity			861,691			878,883			(17,192)			-2.0		%
Total liabilities and stockholders' equity			$	8,163,589		$	8,269,245		$	(105,656)		-1.3		%
Average interest-earning assets to average interest-bearing liabilities			114.76		%	114.91		%	-0.15		%	-0.1		%

7

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Kearny Financial Corp.

Performance Ratio Highlights

(Unaudited)

			Three Months Ended						Variance or Change
			June 30, 2023			March 31, 2023
Average yield on interest-earning assets:
Loans receivable, including loans held for sale			4.18		%	4.02		%	0.16		%
Taxable investment securities			4.12		%	3.97		%	0.15		%
Tax-exempt investment securities (1)			2.23		%	2.23		%	—		%
Other interest-earning assets			5.68		%	4.38		%	1.30		%
Total interest-earning assets			4.19		%	4.01		%	0.18		%
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand			2.38		%	2.01		%	0.37		%
Savings			0.48		%	0.41		%	0.07		%
Certificates of deposit			2.24		%	1.84		%	0.40		%
Total interest-bearing deposits			2.04		%	1.68		%	0.36		%
Borrowings:
Federal Home Loan Bank advances			3.51		%	3.58		%	-0.07		%
Other borrowings			4.89		%	5.15		%	-0.26		%
Total borrowings			3.60		%	3.58		%	0.02		%
Total interest-bearing liabilities			2.38		%	2.08		%	0.30		%
Interest rate spread (2)			1.81		%	1.93		%	-0.12		%
Net interest margin (3)			2.11		%	2.20		%	-0.09		%
Non-interest income to average assets (annualized)			0.18		%	0.08		%	0.10		%
Non-interest expense to average assets (annualized)			1.41		%	1.47		%	-0.06		%
Efficiency ratio (4)			65.60		%	68.96		%	-3.36		%
Return on average assets (annualized)			0.59		%	0.50		%	0.09		%
Return on average equity (annualized)			5.58		%	4.69		%	0.89		%
Return on average tangible equity (annualized) (5)			7.41		%	6.20		%	1.21		%

_________________________

(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.

8

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Year-to-Year Comparative Financial Analysis

Kearny Financial Corp.

Consolidated Balance Sheets

(Dollars and Shares in Thousands, Except Per Share Data)			June 30, 2023			June 30, 2022			Variance or Change			Variance or Change Pct.
			(Unaudited)			(Audited)
Assets
Cash and cash equivalents			$	70,515		$	101,615		$	(31,100)		-30.6		%
Securities available for sale			1,227,729			1,344,093			(116,364)			-8.7		%
Securities held to maturity			146,465			118,291			28,174			23.8		%
Loans held-for-sale			9,591			28,874			(19,283)			-66.8		%
Loans receivable, including yield adjustments			5,829,421			5,417,845			411,576			7.6		%
Less: allowance for credit losses on loans			(48,734)			(47,058)			1,676			3.6		%
Net loans receivable			5,780,687			5,370,787			409,900			7.6		%
Premises and equipment			48,309			53,281			(4,972)			-9.3		%
Federal Home Loan Bank of New York stock			71,734			47,144			24,590			52.2		%
Accrued interest receivable			28,133			20,466			7,667			37.5		%
Goodwill			210,895			210,895			—			0.0		%
Core deposit intangible			2,457			3,020			(563)			-18.6		%
Bank owned life insurance			292,825			289,177			3,648			1.3		%
Deferred income tax assets, net			51,973			49,350			2,623			5.3		%
Other real estate owned			12,956			178			12,778			7178.7		%
Other assets			110,546			82,712			27,834			33.7		%
Total assets			$	8,064,815		$	7,719,883		$	344,932		4.5		%
Liabilities
Deposits:
Non-interest-bearing			$	609,999		$	653,899		$	(43,900)		-6.7		%
Interest-bearing			5,019,184			5,208,357			(189,173)			-3.6		%
Total deposits			5,629,183			5,862,256			(233,073)			-4.0		%
Borrowings			1,506,812			901,337			605,475			67.2		%
Advance payments by borrowers for taxes			18,338			16,746			1,592			9.5		%
Other liabilities			41,198			45,544			(4,346)			-9.5		%
Total liabilities			7,195,531			6,825,883			369,648			5.4		%
Stockholders' Equity
Common stock			$	659		$	687		$	(28)		-4.1		%
Paid-in capital			503,332			528,396			(25,064)			-4.7		%
Retained earnings			457,611			445,451			12,160			2.7		%
Unearned ESOP shares			(22,862)			(24,807)			1,945			-7.8		%
Accumulated other comprehensive loss			(69,456)			(55,727)			(13,729)			24.6		%
Total stockholders' equity			869,284			894,000			(24,716)			-2.8		%
Total liabilities and stockholders' equity			$	8,064,815		$	7,719,883		$	344,932		4.5		%
Consolidated capital ratios
Equity to assets			10.78		%	11.58		%	-0.80		%
Tangible equity to tangible assets (1)			8.35		%	9.06		%	-0.71		%
Share data
Outstanding shares			65,864			68,666			(2,802)			-4.1		%
Book value per share			$	13.20		$	13.02		$	0.18		1.4		%
Tangible book value per share (2)			$	9.96		$	9.90		$	0.06		0.6		%

_________________________

(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.

9

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Kearny Financial Corp.

Consolidated Statements of Income

			Year Ended
(Dollars and Shares in Thousands, Except Per Share Data)			June 30, 2023			June 30, 2022			Variance or Change			Variance or Change Pct.
			(Unaudited)			(Audited)
Interest income
Loans			$	233,147		$	190,520		$	42,627		22.4		%
Taxable investment securities			54,855			32,746			22,109			67.5		%
Tax-exempt investment securities			694			1,273			(579)			-45.5		%
Other interest-earning assets			5,028			1,733			3,295			190.1		%
Total Interest Income			293,724			226,272			67,452			29.8		%
Interest expense
Deposits			78,163			15,208			62,955			414.0		%
Borrowings			39,696			14,461			25,235			174.5		%
Total interest expense			117,859			29,669			88,190			297.2		%
Net interest income			175,865			196,603			(20,738)			-10.5		%
Provision for (reversal of) credit losses			2,486			(7,518)			10,004			-133.1		%
Net interest income after provision for (reversal of) credit losses			173,379			204,121			(30,742)			-15.1		%
Non-interest income
Fees and service charges			3,106			2,580			526			20.4		%
Loss on sale and call of securities			(15,227)			(559)			(14,668)			2624.0		%
(Loss) gain on sale of loans			(1,645)			2,539			(4,184)			-164.8		%
(Loss) gain on sale of real estate owned			(139)			5			(144)			-2880.0		%
Income from bank owned life insurance			8,645			6,167			2,478			40.2		%
Electronic banking fees and charges			1,759			1,626			133			8.2		%
Other income			6,252			1,576			4,676			296.7		%
Total non-interest income			2,751			13,934			(11,183)			-80.3		%
Non-interest expense
Salaries and employee benefits			75,589			76,264			(675)			-0.9		%
Net occupancy expense of premises			12,036			14,114			(2,078)			-14.7		%
Equipment and systems			14,577			15,886			(1,309)			-8.2		%
Advertising and marketing			2,122			2,059			63			3.1		%
Federal deposit insurance premium			5,133			2,455			2,678			109.1		%
Directors' compensation			1,364			2,132			(768)			-36.0		%
Other expense			12,930			12,798			132			1.0		%
Total non-interest expense			123,751			125,708			(1,957)			-1.6		%
Income before income taxes			52,379			92,347			(39,968)			-43.3		%
Income taxes			11,568			24,800			(13,232)			-53.4		%
Net income			$	40,811		$	67,547		$	(26,736)		-39.6		%
Net income per common share (EPS)
Basic			$	0.63		$	0.95		$	(0.32)
Diluted			$	0.63		$	0.95		$	(0.32)
Dividends declared
Cash dividends declared per common share			$	0.44		$	0.43		$	0.01
Cash dividends declared			$	28,651		$	30,463		$	(1,812)
Dividend payout ratio			70.2		%	45.1		%	25.1		%
Weighted average number of common shares outstanding
Basic			64,804			70,911			(6,107)
Diluted			64,804			70,933			(6,129)

10

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Kearny Financial Corp.

Average Balance Sheet Data

(Unaudited)

			Year Ended
(Dollars in Thousands)			June 30, 2023			June 30, 2022			Variance or Change			Variance or Change Pct.
Assets
Interest-earning assets:
Loans receivable, including loans held for sale			$	5,827,123		$	4,922,400		$	904,723		18.4		%
Taxable investment securities			1,532,961			1,622,475			(89,514)			-5.5		%
Tax-exempt investment securities			30,332			55,981			(25,649)			-45.8		%
Other interest-earning assets			115,390			82,802			32,588			39.4		%
Total interest-earning assets			7,505,806			6,683,658			822,148			12.3		%
Non-interest-earning assets			563,131			598,712			(35,581)			-5.9		%
Total assets			$	8,068,937		$	7,282,370		$	786,567		10.8		%
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand			$	2,349,802		$	2,067,200		$	282,602		13.7		%
Savings			896,651			1,088,971			(192,320)			-17.7		%
Certificates of deposit			2,083,864			1,711,276			372,588			21.8		%
Total interest-bearing deposits			5,330,317			4,867,447			462,870			9.5		%
Borrowings:
Federal Home Loan Bank Advances			1,101,658			679,388			422,270			62.2		%
Other borrowings			57,468			72,841			(15,373)			-21.1		%
Total borrowings			1,159,126			752,229			406,897			54.1		%
Total interest-bearing liabilities			6,489,443			5,619,676			869,767			15.5		%
Non-interest-bearing liabilities:
Non-interest-bearing deposits			644,543			624,666			19,877			3.2		%
Other non-interest-bearing liabilities			59,593			53,477			6,116			11.4		%
Total non-interest-bearing liabilities			704,136			678,143			25,993			3.8		%
Total liabilities			7,193,579			6,297,819			895,760			14.2		%
Stockholders' equity			875,358			984,551			(109,193)			-11.1		%
Total liabilities and stockholders' equity			$	8,068,937		$	7,282,370		$	786,567		10.8		%
Average interest-earning assets to average interest-bearing liabilities			115.66		%	118.93		%	(3.27)		%	-2.8		%

11

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Kearny Financial Corp.

Performance Ratio Highlights

(Unaudited)

			Year Ended
			June 30, 2023			June 30, 2022			Variance or Change
Average yield on interest-earning assets:
Loans receivable, including loans held for sale			4.00		%	3.87		%	0.13		%
Taxable investment securities			3.58		%	2.02		%	1.56		%
Tax-exempt investment securities (1)			2.29		%	2.27		%	0.02		%
Other interest-earning assets			4.36		%	2.09		%	2.27		%
Total interest-earning assets			3.91		%	3.39		%	0.52		%
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand			1.73		%	0.25		%	1.48		%
Savings			0.37		%	0.11		%	0.26		%
Certificates of deposit			1.64		%	0.52		%	1.12		%
Total interest-bearing deposits			1.47		%	0.31		%	1.16		%
Borrowings:
Federal Home Loan Bank Advances			3.43		%	2.07		%	1.36		%
Other borrowings			3.41		%	0.54		%	2.87		%
Total borrowings			3.42		%	1.92		%	1.50		%
Total interest-bearing liabilities			1.82		%	0.53		%	1.29		%
Interest rate spread (2)			2.09		%	2.86		%	-0.77		%
Net interest margin (3)			2.34		%	2.94		%	-0.60		%
Non-interest income to average assets			0.03		%	0.19		%	-0.16		%
Non-interest expense to average assets			1.53		%	1.73		%	-0.20		%
Efficiency ratio (4)			69.28		%	59.71		%	9.57		%
Return on average assets			0.51		%	0.93		%	-0.42		%
Return on average equity			4.66		%	6.86		%	-2.20		%
Return on average tangible equity (5)			6.17		%	8.77		%	-2.60		%

_________________________

(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.

12

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Five-Quarter Financial Trend Analysis

Kearny Financial Corp.

Consolidated Balance Sheets

(Dollars and Shares in Thousands, Except Per Share Data)			June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
			(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)			(Audited)
Assets
Cash and cash equivalents			$	70,515		$	194,568		$	75,660		$	96,076		$	101,615
Securities available for sale			1,227,729			1,267,066			1,286,354			1,263,176			1,344,093
Securities held to maturity			146,465			149,764			153,786			115,943			118,291
Loans held-for-sale			9,591			5,401			12,940			12,936			28,874
Loans receivable			5,829,421			5,966,325			5,984,133			5,656,370			5,417,845
Less: allowance for credit losses on loans			(48,734)			(49,122)			(48,877)			(47,613)			(47,058)
Net loans receivable			5,780,687			5,917,203			5,935,256			5,608,757			5,370,787
Premises and equipment			48,309			49,589			50,953			52,642			53,281
Federal Home Loan Bank stock			71,734			76,319			69,022			44,957			47,144
Accrued interest receivable			28,133			28,794			27,368			23,817			20,466
Goodwill			210,895			210,895			210,895			210,895			210,895
Core deposit intangible			2,457			2,590			2,732			2,876			3,020
Bank owned life insurance			292,825			291,220			289,673			289,690			289,177
Deferred income taxes, net			51,973			53,151			51,107			54,278			49,350
Other real estate owned			12,956			13,410			13,410			178			178
Other assets			110,546			89,366			110,162			113,369			82,712
Total assets			$	8,064,815		$	8,349,336		$	8,289,318		$	7,889,590		$	7,719,883
Liabilities
Deposits:
Non-interest-bearing			$	609,999		$	617,778		$	650,950		$	683,406		$	653,899
Interest-bearing			5,019,184			5,185,626			5,320,421			5,424,872			5,208,357
Total deposits			5,629,183			5,803,404			5,971,371			6,108,278			5,862,256
Borrowings			1,506,812			1,611,692			1,383,573			851,454			901,337
Advance payments by borrowers for taxes			18,338			18,706			17,307			16,555			16,746
Other liabilities			41,198			49,304			44,427			38,329			45,544
Total liabilities			7,195,531			7,483,106			7,416,678			7,014,616			6,825,883
Stockholders' Equity
Common stock			659			667			674			680			687
Paid-in capital			503,332			509,359			515,332			520,245			528,396
Retained earnings			457,611			452,605			449,489			454,710			445,451
Unearned ESOP shares			(22,862)			(23,348)			(23,834)			(24,321)			(24,807)
Accumulated other comprehensive loss			(69,456)			(73,053)			(69,021)			(76,340)			(55,727)
Total stockholders' equity			869,284			866,230			872,640			874,974			894,000
Total liabilities and stockholders' equity			$	8,064,815		$	8,349,336		$	8,289,318		$	7,889,590		$	7,719,883
Consolidated capital ratios
Equity to assets			10.78		%	10.37		%	10.53		%	11.09		%	11.58		%
Tangible equity to tangible assets (1)			8.35		%	8.02		%	8.16		%	8.61		%	9.06		%
Share data
Outstanding shares			65,864			66,680			67,388			67,938			68,666
Book value per share			$	13.20		$	12.99		$	12.95		$	12.88		$	13.02
Tangible book value per share (2)			$	9.96		$	9.79		$	9.78		$	9.73		$	9.90

_________________________

(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.

13

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Kearny Financial Corp.

Supplemental Balance Sheet Highlights

(Unaudited)

(Dollars in Thousands)			June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
Loan portfolio composition:
Commercial loans:
Multi-family mortgage			$	2,761,775		$	2,835,852		$	2,851,721		$	2,570,297		$	2,409,090
Nonresidential mortgage			968,574			1,002,643			1,017,341			1,040,688			1,019,838
Commercial business			146,861			162,038			177,530			186,361			176,807
Construction			226,609			215,524			186,663			166,052			140,131
Total commercial loans			4,103,819			4,216,057			4,233,255			3,963,398			3,745,866
One- to four-family residential mortgage			1,700,559			1,713,343			1,719,514			1,666,730			1,645,816
Consumer loans:
Home equity loans			43,549			44,376			45,690			43,269			42,028
Other consumer			2,549			2,592			2,648			2,869			2,866
Total consumer loans			46,098			46,968			48,338			46,138			44,894
Total loans, excluding yield adjustments			5,850,476			5,976,368			6,001,107			5,676,266			5,436,576
Unaccreted yield adjustments			(21,055)			(10,043)			(16,974)			(19,896)			(18,731)
Loans receivable, net of yield adjustments			5,829,421			5,966,325			5,984,133			5,656,370			5,417,845
Less: allowance for credit losses on loans			(48,734)			(49,122)			(48,877)			(47,613)			(47,058)
Net loans receivable			$	5,780,687		$	5,917,203		$	5,935,256		$	5,608,757		$	5,370,787
Asset quality:
Nonperforming assets:
Accruing loans - 90 days and over past due			$	—		$	—		$	—		$	—		$	—
Nonaccrual loans			42,627			44,026			40,549			68,574			70,321
Total nonperforming loans			42,627			44,026			40,549			68,574			70,321
Nonaccrual loans held-for-sale			—			—			8,650			8,650			21,745
Other real estate owned			12,956			13,410			13,410			178			178
Total nonperforming assets			$	55,583		$	57,436		$	62,609		$	77,402		$	92,244
Nonperforming loans (% total loans)			0.73		%	0.74		%	0.68		%	1.21		%	1.30		%
Nonperforming assets (% total assets)			0.69		%	0.69		%	0.76		%	0.98		%	1.19		%
Classified loans			$	93,526		$	103,461		$	86,069		$	92,610		$	94,555
Allowance for credit losses on loans (ACL):
ACL to total loans			0.83		%	0.82		%	0.81		%	0.84		%	0.87		%
ACL to nonperforming loans			114.33		%	111.57		%	120.54		%	69.43		%	66.92		%
Net charge-offs			$	82		$	206		$	407		$	115		$	1,024
Average net charge-off rate (annualized)			0.01		%	0.01		%	0.03		%	0.01		%	0.08		%

14

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Kearny Financial Corp.

Supplemental Balance Sheet Highlights

(Unaudited)

(Dollars in Thousands)			June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
Funding composition:
Deposits:
Non-interest-bearing deposits			$	609,999		$	617,778		$	650,950		$	683,406		$	653,899
Interest-bearing demand			2,252,912			2,285,799			2,316,485			2,382,411			2,265,597
Savings			748,721			811,483			901,514			982,916			1,053,198
Certificates of deposit (retail)			1,377,028			1,327,343			1,354,907			1,263,124			1,116,035
Certificates of deposit (brokered and listing service)			640,523			761,001			747,515			796,421			773,527
Interest-bearing deposits			5,019,184			5,185,626			5,320,421			5,424,872			5,208,357
Total deposits			5,629,183			5,803,404			5,971,371			6,108,278			5,862,256
Borrowings:
Federal Home Loan Bank advances			1,281,812			1,156,692			1,256,573			796,454			651,337
Overnight borrowings			225,000			455,000			127,000			55,000			250,000
Total borrowings			1,506,812			1,611,692			1,383,573			851,454			901,337
Total funding			$	7,135,995		$	7,415,096		$	7,354,944		$	6,959,732		$	6,763,593
Loans as a % of deposits			102.9		%	102.1		%	99.6		%	92.0		%	92.1		%
Deposits as a % of total funding			78.9		%	78.3		%	81.2		%	87.8		%	86.7		%
Borrowings as a % of total funding			21.1		%	21.7		%	18.8		%	12.2		%	13.3		%
Uninsured deposits:
Uninsured deposits (reported) (1)			$	1,771,416		$	1,678,051		$	1,815,854		$	1,771,851		$	1,525,940
Uninsured deposits (adjusted) (2)			$	710,377		$	705,727		$	794,407		$	883,351		$	792,067

_________________________

(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.

15

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Kearny Financial Corp.

Consolidated Statements of Income

(Unaudited)

			Three Months Ended
(Dollars and Shares in Thousands, Except Per Share Data)			June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
Interest income
Loans			$	62,044		$	60,172		$	57,996		$	52,935		$	48,869
Taxable investment securities			15,736			15,459			13,221			10,439			8,915
Tax-exempt investment securities			91			99			219			285			297
Other interest-earning assets			1,821			1,441			1,005			761			472
Total interest income			79,692			77,171			72,441			64,420			58,553
Interest expense
Deposits			26,226			22,246			18,822			10,869			3,915
Borrowings			13,286			12,554			8,836			5,020			4,039
Total interest expense			39,512			34,800			27,658			15,889			7,954
Net interest income			40,180			42,371			44,783			48,531			50,599
(Reversal of) provision for credit losses			(306)			451			1,671			670			4,222
Net interest income after (reversal of) provision for credit losses			40,486			41,920			43,112			47,861			46,377
Non-interest income
Fees and service charges			699			910			734			763			658
Loss on sale and call of securities			—			—			(15,227)			—			(563)
Gain (loss) on sale of loans			199			(2,373)			134			395			187
Loss on sale of other real estate owned			(139)			—			—			—			(9)
Income from bank owned life insurance			1,605			1,581			1,761			3,698			1,533
Electronic banking fees and charges			399			457			397			506			366
Other income			903			1,071			3,723			555			638
Total non-interest income			3,666			1,646			(8,478)			5,917			2,810
Non-interest expense
Salaries and employee benefits			17,315			18,005			19,921			20,348			20,367
Net occupancy expense of premises			2,862			3,097			2,987			3,090			3,188
Equipment and systems			3,511			3,537			3,867			3,662			4,516
Advertising and marketing			231			413			731			747			703
Federal deposit insurance premium			1,455			1,546			1,226			906			762
Directors' compensation			345			340			339			340			340
Other expense			3,042			3,414			3,579			2,895			3,736
Total non-interest expense			28,761			30,352			32,650			31,988			33,612
Income before income taxes			15,391			13,214			1,984			21,790			15,575
Income taxes			3,378			2,902			33			5,255			4,205
Net income			$	12,013		$	10,312		$	1,951		$	16,535		$	11,370
Net income per common share (EPS)
Basic			$	0.19		$	0.16		$	0.03		$	0.25		$	0.17
Diluted			$	0.19		$	0.16		$	0.03		$	0.25		$	0.17
Dividends declared
Cash dividends declared per common share			$	0.11		$	0.11		$	0.11		$	0.11		$	0.11
Cash dividends declared			$	7,007		$	7,196		$	7,172		$	7,276		$	7,441
Dividend payout ratio			58.3		%	69.8		%	367.6		%	44.0		%	65.4		%
Weighted average number of common shares outstanding
Basic			63,667			64,769			65,030			65,737			67,240
Diluted			63,667			64,783			65,038			65,756			67,276

16

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Kearny Financial Corp.

Average Balance Sheet Data

(Unaudited)

			Three Months Ended
(Dollars in Thousands)			June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
Assets
Interest-earning assets:
Loans receivable, including loans held-for-sale			$	5,932,541		$	5,986,669		$	5,839,903		$	5,553,996		$	5,181,983
Taxable investment securities			1,529,582			1,558,222			1,527,578			1,516,974			1,608,372
Tax-exempt investment securities			16,346			17,663			37,917			48,973			51,672
Other interest-earning assets			128,158			131,682			114,175			88,038			87,990
Total interest-earning assets			7,606,627			7,694,236			7,519,573			7,207,981			6,930,017
Non-interest-earning assets			556,962			575,009			550,519			570,225			564,734
Total assets			$	8,163,589		$	8,269,245		$	8,070,092		$	7,778,206		$	7,494,751
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand			$	2,321,120		$	2,363,762		$	2,359,977		$	2,354,340		$	2,155,946
Savings			774,854			858,673			931,584			1,019,343			1,077,631
Certificates of deposit			2,057,818			2,069,396			2,192,722			2,014,922			1,701,725
Total interest-bearing deposits			5,153,792			5,291,831			5,484,283			5,388,605			4,935,302
Borrowings:
Federal Home Loan Bank advances			1,374,316			1,402,269			997,148			642,399			752,579
Other borrowings			100,055			1,611			—			127,456			185,901
Total borrowings			1,474,371			1,403,880			997,148			769,855			938,480
Total interest-bearing liabilities			6,628,163			6,695,711			6,481,431			6,158,460			5,873,782
Non-interest-bearing liabilities:
Non-interest-bearing deposits			608,765			634,324			666,846			667,624			640,200
Other non-interest-bearing liabilities			64,970			60,327			56,721			56,431			56,636
Total non-interest-bearing liabilities			673,735			694,651			723,567			724,055			696,836
Total liabilities			7,301,898			7,390,362			7,204,998			6,882,515			6,570,618
Stockholders' equity			861,691			878,883			865,094			895,691			924,133
Total liabilities and stockholders' equity			$	8,163,589		$	8,269,245		$	8,070,092		$	7,778,206		$	7,494,751
Average interest-earning assets to average  interest-bearing liabilities			114.76		%	114.91		%	116.02		%	117.04		%	117.98		%

17

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Kearny Financial Corp.

Performance Ratio Highlights

			Three Months Ended
			June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
Average yield on interest-earning assets:
Loans receivable, including loans held-for-sale			4.18		%	4.02		%	3.97		%	3.81		%	3.77		%
Taxable investment securities			4.12		%	3.97		%	3.46		%	2.75		%	2.22		%
Tax-exempt investment securities (1)			2.23		%	2.23		%	2.32		%	2.33		%	2.30		%
Other interest-earning assets			5.68		%	4.38		%	3.52		%	3.46		%	2.15		%
Total interest-earning assets			4.19		%	4.01		%	3.85		%	3.57		%	3.38		%
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand			2.38		%	2.01		%	1.63		%	0.92		%	0.31		%
Savings			0.48		%	0.41		%	0.41		%	0.23		%	0.11		%
Certificates of deposit			2.24		%	1.84		%	1.50		%	0.97		%	0.46		%
Total interest-bearing deposits			2.04		%	1.68		%	1.37		%	0.81		%	0.32		%
Borrowings:
Federal Home Loan Bank advances			3.51		%	3.58		%	3.54		%	2.68		%	1.96		%
Other borrowings			4.89		%	5.15		%	—		%	2.26		%	0.77		%
Total borrowings			3.60		%	3.58		%	3.54		%	2.61		%	1.72		%
Total interest-bearing liabilities			2.38		%	2.08		%	1.71		%	1.03		%	0.54		%
Interest rate spread (2)			1.81		%	1.93		%	2.14		%	2.54		%	2.84		%
Net interest margin (3)			2.11		%	2.20		%	2.38		%	2.69		%	2.92		%
Non-interest income to average assets (annualized)			0.18		%	0.08		%	-0.42		%	0.30		%	0.15		%
Non-interest expense to average assets (annualized)			1.41		%	1.47		%	1.62		%	1.65		%	1.79		%
Efficiency ratio (4)			65.60		%	68.96		%	89.93		%	58.75		%	62.93		%
Return on average assets (annualized)			0.59		%	0.50		%	0.10		%	0.85		%	0.61		%
Return on average equity (annualized)			5.58		%	4.69		%	0.90		%	7.38		%	4.92		%
Return on average tangible equity (annualized) (5)			7.41		%	6.20		%	1.20		%	9.70		%	6.40		%

_________________________

(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.

18

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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, Except Per Share Data)			June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
Adjusted net income:
Net income (GAAP)			$	12,013		$	10,312		$	1,951		$	16,535		$	11,370
Non-recurring transactions - net of tax:
Branch consolidation expenses			—			568			—			—			—
Net effect of sale and call of securities			—			—			10,811			—			400
Net effect of sale of other assets			—			—			(2,081)			—			—
Severance expense from workforce realignment			—			—			538			—			—
Early contract termination			—			—			—			—			568
Adjusted net income			$	12,013		$	10,880		$	11,219		$	16,535		$	12,338
Calculation of pre-tax, pre-provision net revenue:
Net income (GAAP)			$	12,013		$	10,312		$	1,951		$	16,535		$	11,370
Adjustments to net income (GAAP):
Provision for income taxes			3,378			2,902			33			5,255			4,205
(Reversal of) provision for credit losses			(306)			451			1,671			670			4,222
Pre-tax, pre-provision net revenue (non-GAAP)			$	15,085		$	13,665		$	3,655		$	22,460		$	19,797
Adjusted earnings per share:
Weighted average common shares - basic			63,667			64,769			65,030			65,737			67,240
Weighted average common shares - diluted			63,667			64,783			65,038			65,756			67,276
Earnings per share - basic (GAAP)			$	0.19		$	0.16		$	0.03		$	0.25		$	0.17
Earnings per share - diluted (GAAP)			$	0.19		$	0.16		$	0.03		$	0.25		$	0.17
Adjusted earnings per share - basic (non-GAAP)			$	0.19		$	0.17		$	0.17		$	0.25		$	0.18
Adjusted earnings per share - diluted (non-GAAP)			$	0.19		$	0.17		$	0.17		$	0.25		$	0.18
Pre-tax, pre-provision net revenue per share:
Pre-tax, pre-provision net revenue per share - basic   (non-GAAP)			$	0.24		$	0.21		$	0.06		$	0.34		$	0.29
Pre-tax, pre-provision net revenue per share - diluted   (non-GAAP)			$	0.24		$	0.21		$	0.06		$	0.34		$	0.29
Adjusted return on average assets:
Total average assets			$	8,163,589		$	8,269,245		$	8,070,092		$	7,778,206		$	7,494,751
Return on average assets (GAAP)			0.59		%	0.50		%	0.10		%	0.85		%	0.61		%
Adjusted return on average assets (non-GAAP)			0.59		%	0.53		%	0.56		%	0.85		%	0.66		%
Adjusted return on average equity:
Total average equity			$	861,691		$	878,883		$	865,094		$	895,691		$	924,133
Return on average equity (GAAP)			5.58		%	4.69		%	0.90		%	7.38		%	4.92		%
Adjusted return on average equity (non-GAAP)			5.58		%	4.95		%	5.19		%	7.38		%	5.34		%

19

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Kearny Financial Corp.

Reconciliation of GAAP to Non-GAAP

(Unaudited)

			Three Months Ended
(Dollars and Shares in Thousands, Except Per Share Data)			June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
Adjusted return on average tangible equity:
Total average equity			$	861,691		$	878,883		$	865,094		$	895,691		$	924,133
Less: average goodwill			(210,895)			(210,895)			(210,895)			(210,895)			(210,895)
Less: average other intangible assets			(2,544)			(2,683)			(2,826)			(2,971)			(3,116)
Total average tangible equity			$	648,252		$	665,305		$	651,373		$	681,825		$	710,122
Return on average tangible equity (non-GAAP)			7.41		%	6.20		%	1.20		%	9.70		%	6.40		%
Adjusted return on average tangible equity (non-GAAP)			7.41		%	6.54		%	6.89		%	9.70		%	6.95		%
Adjusted non-interest expense ratio:
Non-interest expense (GAAP)			$	28,761		$	30,352		$	32,650		$	31,988		$	33,612
Non-recurring transactions:
Branch consolidation expenses			—			(800)			—			—			—
Severance expense from workforce realignment			—			—			(757)			—			—
Early contract termination			—			—			—			—			(800)
Non-interest expense (non-GAAP)			$	28,761		$	29,552		$	31,893		$	31,988		$	32,812
Non-interest expense ratio (GAAP)			1.41		%	1.47		%	1.62		%	1.65		%	1.79		%
Adjusted non-interest expense ratio (non-GAAP)			1.41		%	1.43		%	1.58		%	1.65		%	1.75		%
Adjusted efficiency ratio:
Non-interest expense (non-GAAP)			$	28,761		$	29,552		$	31,893		$	31,988		$	32,812
Net interest income (GAAP)			$	40,180		$	42,371		$	44,783		$	48,531		$	50,599
Total non-interest income (GAAP)			3,666			1,646			(8,478)			5,917			2,810
Non-recurring transactions:
Net effect of sale and call of securities			—			—			15,227			—			563
Net effect of sale of other assets			—			—			(2,931)			—			—
Total revenue (non-GAAP)			$	43,846		$	44,017		$	48,601		$	54,448		$	53,972
Efficiency ratio (GAAP)			65.60		%	68.96		%	89.93		%	58.75		%	62.93		%
Adjusted efficiency ratio (non-GAAP)			65.60		%	67.14		%	65.62		%	58.75		%	60.79		%

20

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Kearny Financial Corp.

Reconciliation of GAAP to Non-GAAP

(Unaudited)

			Year Ended
(Dollars and Shares in Thousands, Except Per Share Data)			June 30, 2023						June 30, 2022
Adjusted net income:
Net income (GAAP)			$	40,811					$	67,547
Non-recurring transactions - net of tax:
Branch consolidation expenses and impairment charges			568						1,341
Net effect of sale and call of securities			10,811						397
Net effect of sale of other assets			(2,081)						(251)
Severance expense from workforce realignment			538						—
Early contract termination			—						568
Adjusted net income			$	50,647					$	69,602
Calculation of pre-tax, pre-provision net revenue:
Net income (GAAP)			$	40,811					$	67,547
Adjustments to net income (GAAP):
Provision for income taxes			11,568						24,800
Provision for (reversal of) credit losses			2,486						(7,518)
Pre-tax, pre-provision net revenue (non-GAAP)			$	54,865					$	84,829
Adjusted earnings per share:
Weighted average common shares - basic			64,804						70,911
Weighted average common shares - diluted			64,804						70,933
Earnings per share - basic (GAAP)			$	0.63					$	0.95
Earnings per share - diluted (GAAP)			$	0.63					$	0.95
Adjusted earnings per share - basic (non-GAAP)			$	0.78					$	0.98
Adjusted earnings per share - diluted (non-GAAP)			$	0.78					$	0.98
Pre-tax, pre-provision net revenue per share:
Pre-tax, pre-provision net revenue per share - basic (non-GAAP)			$	0.85					$	1.20
Pre-tax, pre-provision net revenue per share - diluted (non-GAAP)			$	0.85					$	1.20
Adjusted return on average assets:
Total average assets			$	8,068,937					$	7,282,370
Return on average assets (GAAP)			0.51		%				0.93		%
Adjusted return on average assets (non-GAAP)			0.63		%				0.96		%
Adjusted return on average equity:
Total average equity			$	875,358					$	984,551
Return on average equity (GAAP)			4.66		%				6.86		%
Adjusted return on average equity (non-GAAP)			5.79		%				7.07		%
Adjusted return on average tangible equity:
Total average equity			$	875,358					$	984,551
Less: average goodwill			(210,895)						(210,895)
Less: average other intangible assets			(2,757)						(3,377)
Total average tangible equity			$	661,706					$	770,279
Return on average tangible equity (non-GAAP)			6.17		%				8.77		%
Adjusted return on average tangible equity (non-GAAP)			7.65		%				9.04		%

21

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Kearny Financial Corp.

Reconciliation of GAAP to Non-GAAP

(Unaudited)

			Year Ended
(Dollars in Thousands)			June 30, 2023						June 30, 2022
Adjusted non-interest expense ratio:
Non-interest expense (GAAP)			$	123,751					$	125,708
Non-routine transactions:
Branch consolidation expenses and impairment charges			(800)						(1,898)
Severance expense from workforce realignment			(757)						—
Early contract termination			—						(800)
Non-interest expense (non-GAAP)			$	122,194					$	123,010
Non-interest expense ratio (GAAP)			1.53		%				1.73		%
Adjusted non-interest expense ratio (non-GAAP)			1.51		%				1.69		%
Adjusted efficiency ratio:
Non-interest expense (non-GAAP)			$	122,194					$	123,010
Net interest income (GAAP)			$	175,865					$	196,603
Total non-interest income (GAAP)			2,751						13,934
Non-routine transactions:
Net effect of sale and call of securities			15,227						559
Net effect of sale of other assets			(2,931)						(356)
Total revenue (non-GAAP)			$	190,912					$	210,740
Efficiency ratio (GAAP)			69.28		%				59.71		%
Adjusted efficiency ratio (non-GAAP)			64.01		%				58.37		%

22

JULY 27, 2023 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 3 Exhibit 99.2

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Forward Looking Statements 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 the recent turmoil in the banking industry, • 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.

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Kearny Financial Corp. NASDAQ: KRNY Market Cap: $517.0 million1 Founded in 1884 Top 10 New Jersey-based financial institution by assets 43 full-service branches2 in 12 counties throughout New Jersey and New York City Active acquirer, having completed 7 whole-bank acquisitions since 1999 1 As of July 24, 2023 2 As of June 30, 2023 Source: S&P Global Market Intelligence & Company Filings 3

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139 Years of Serving our Communities and Clients 4

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Financial Highlights Source: Company Filings 5 4Q23 Highlights: Net Interest Margin - Compression slowed, declining nine basis points from the prior quarter Improved Capital Position - Increased Tangible Common Equity by 33 basis points from the prior quarter Disciplined Expense Management - Non-Interest Expense to Average Assets improved 38 basis points on a year-over-year basis Profitability and Performance Ratios ($ in millions, except per share data) 4Q23 3Q23 4Q22 Net Income $12.0 $10.3 $11.4 Earnings per share $0.19 $0.16 $0.17 Net Interest Income $40.2 $42.4 $50.6 Net Interest Margin 2.11% 2.20% 2.92% Non-interest Expense to Average Assets 1.41% 1.47% 1.79% Tangible Equity to Tangible Assets 8.35% 8.02% 9.06% Return on Average Assets 0.59% 0.50% 0.61% Return on Average Equity 5.58% 4.69% 4.92% Return on Average Tangible Equity 7.41% 6.20% 6.40% GAAP Reported

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Equity & Capitalization Equity Capitalization Level 1 Kearny Financial Corp. (NASDAQ: KRNY) Regulatory Capital Ratios as of June 30, 2023 are preliminary. 2 S&P U.S. Small Cap Banks Index comprised of 237 constituents, based on March 31, 2023 results. Source: Company Filings 6 Regulatory Capital Ratios1,2 9.06% 8.61% 8.16% 8.02% 8.35% 11.58% 11.09% 10.53% 10.37% 10.78% 4Q22 1Q23 2Q23 3Q23 4Q23 Tangible Common Equity / Tangible Assets Equity / Assets 9.07% 14.07% 14.07% 14.75% 9.60% 11.18% 11.32% 13.97% Tier 1 Leverage Common Equity Tier 1 Tier 1 Risk-Based Capital Total Risk-Based Capital KRNY S&P US Small Cap Banks

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Deposits 1 For the quarter ended June 30, 2023 2 For the quarter ended June 30, 2023; excludes Wholesale CDs Source: S&P Global Market Intelligence & Company Filings 7 Deposit Composition1 Deposit Trend Deposit Segmentation2 $1,116 $1,263 $1,355 $1,327 $1,377 $773 $797 $747 $761 $640 $1,053 $983 $902 $811 $749 $2,266 $2,382 $2,316 $2,286 $2,253 $654 $683 $651 $618 $610 $5,862 $6,108 $5,971 $5,803 $5,629 4Q22 1Q23 2Q23 3Q23 4Q23 Retail CDs Wholesale CDs Savings Interest Bearing DDA Non-interest Bearing DDA Consumer 61.0%Commercial 20.5% Government 18.5% Product # of Accounts Balance ($ millions) Average Balance per Account Checking 53,747 $ 2,863 $ 53,270 Savings 34,779 749 21,528 CD 29,375 1,377 46,876 Total Retail Deposits 117,901 $ 4,989 $ 42,313 Non-Maturity Account Deposit Mix QTD Cost of Deposits 2.04% Retail CDs 24.5% Wholesale CDs 11.4% Savings 13.3% Interest Bearing DDA 40.0% Non-interest Bearing DDA 10.8%

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Liquidity Available for Uninsured Deposits Estimated Uninsured Deposits Analysis2 1 Estimated amount of uninsured deposits reported in June 30, 2023 Call Report. 2 As of June 30, 2023 8 Estimated Uninsured Deposit Analysis ($ millions) Estimated Uninsured Deposits 1,771$ Less: Collateralized State & Local Government Deposits (650) Less: Bank's wholly-owned subsidiary & Holding Company Deposits (411) Estimated uninsured deposits excluding items above: 710$ Total Deposits 5,629$ Estimated uninsured deposits, excluding items above, as a % of Total Deposits 12.6% Available liquidity is 3.4x greater than estimated uninsured deposits (excluding items above) Liquidity Capacity2 Sources of Liquidity ($ millions) Liquidity Capacity Funding Utilized Available Capacity Internal Sources: Free Securities and other 477$ -$ 477$ External Sources: FRB 415 - 415 FHLB 2,957 1,407 1,550 Total Liquidity 3,849$ 1,407$ 2,442$ 1

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Investment Securities 1 For the quarter ended June 30, 2023 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 9 9.9% 27.4% 9.8% 51.7% 1.2% Corporate Bonds CLO ABS Student Loans Agency MBS Municipal Bonds 2 Securities Composition1 Securities Balance & Yield TrendAFS/HTM & Effective Duration At June 30, 2023, the after-tax net unrecognized loss on securities held-to maturity was $10.9 million, or 1.7% of tangible equity3 AFS 89.3% HTM 10.7% Total Effective Duration ≈ 3.4 years Floating rate securities ≈ 35.7% $1,462 $1,379 $1,440 $1,417 $1,374 2.22% 2.74% 3.43% 3.95% 4.10% 4Q22 1Q23 2Q23 3Q23 4Q23 ($ millions)

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Portfolio Lending Loan Composition1 Geographic Distribution2Loan Trend The weighted average loan-to-value ratio1 for our real estate secured loans was 61% 1 For the quarter ended June 30, 2023. 2 As of June 30, 2023. Source: S&P Global Market Intelligence & Company Filings 10 $1,688 $1,710 $1,765 $1,758 $1,744 $2,409 $2,570 $2,852 $2,836 $2,762 $1,020 $1,041 $1,017 $1,003 $969 $5,437 $5,676 $6,001 $5,976 $5,850 4Q22 1Q23 2Q23 3Q23 4Q23 1-4 Family Multifamily CRE C&D Other ($ millions) 1-4 Family 29.1% Home Equity 0.7% Multifamily 47.2% CRE 16.6% Construction 3.9% Commercial 2.5% QTD Yield on Loans 4.18% New York (Ex. Brooklyn) 17.0% Brooklyn 18.3% New Jersey 54.5% Pennsylvania 5.8% Other 4.4%

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CRE Lending 1 As of June 30, 2023 Source: Company Filings 11 CRE Portfolio by Collateral Type1 Retail 37.6% Mixed Use 27.5% Office 15.4% Industrial 14.9% Specialty & Other 4.6% CRE Loan Geographic Distribution1 Office Portfolio Profile 15.4% of total CRE portfolio or $149 million Average loan size of $1.6 million Weighted average LTV was 52% Total CRE $1.0 B New Jersey 56.2% Brooklyn 10.2% New York (Ex. Brooklyn) 27.2% Pennsylvania 3.9% Other 2.5% WA LTV 52%

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Asset Quality Net Charge-Offs / Average Loans Non-Performing Assets / Total Assets Non-Performing Loans1 Allowance for Credit Losses 1 As of June 30, 2023; amounts shown in millions. Source: S&P Global Market Intelligence & Company Filings 12 0.08% 0.01% 0.03% 0.01% 0.01% -0.05% 0.00% 0.05% 0.10% 0.15% 4Q22 1Q23 2Q23 3Q23 4Q23 1.19% 0.98% 0.76% 0.69% 0.69% 0.50% 0.75% 1.00% 1.25% 1.50% 4Q22 1Q23 2Q23 3Q23 4Q23 $19.1 $16.5 $0.2 $6.7 $0.1 Multi-family Non-Residential Commercial Construction Residential NPL's $42.6 MM $47.1 $47.6 $48.9 $49.1 $48.7 0.87% 0.84% 0.81% 0.82% 0.83% 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% $0.0 $20.0 $40.0 $60.0 $80.0 4Q22 1Q23 2Q23 3Q23 4Q23 ACL Balance ACL to Total Loans Receivable ($ millions)

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Select Technology Partners 13

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