wfsl-20250116

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): January 16, 2025

____________________________________

WAFD, INC.

(Exact name of registrant as specified in its charter)

____________________________________

Washington

001-34654

91-1661606

(State or other jurisdiction of incorporation or organization)

(Commission File Number)

(I.R.S. Employer Identification No.)

425 Pike Street

Seattle

Washington

98101

(Address of Principal Executive Offices)

(Zip Code)

Registrant’s telephone number, including area code (206) 624-7930

Not Applicable

(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 Instruction 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

Name of each exchange on which registered

Common Stock, $1.00 par value per share

WAFD

NASDAQ Stock Market

Depositary Shares, Each Representing a 1/40th Interest in a Share of 4.875% Fixed Rate Series A Non-Cumulative Perpetual Preferred Stock

WAFDP

NASDAQ Stock Market

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. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No x


Item 2.02			Results of Operations and Financial Condition

On January 16, 2025, WaFd, Inc. (the "Company") announced by press release its earnings for the quarter ended December 31, 2024. A copy of the press release is attached to this filing as Exhibit 99.1. A copy of the December 31, 2024 Fact Sheet, which presents certain detailed financial information about the Company, is attached as Exhibit 99.2. This information is being furnished under Item 2.02 (Results of Operations and Financial Condition) of Form 8-K.


Item 5.02			Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers

Effective January 16, 2025, Mr. James Endrizzi, Executive Vice President and Chief Commercial Banker of WaFd, Inc. and its banking subsidiary, WaFd Bank, will be transitioning to a new role as the Senior Vice President and Regional Director of Commercial Real Estate Banking for Utah and Idaho, where he will focus on commercial real estate lending in the Utah and Idaho regions. In connection with this change, Mr. Endrizzi will no longer sit on the Executive Management Committee of the Company and will no longer be an executive officer. Mr. Endrizzi’s duties as Chief Commercial Banker have been reassigned to other officers of the Bank.

In connection with Mr. Endrizzi’s change in duties, and pursuant to a Transition Agreement entered into by Mr. Endrizzi and the Company, he will no longer be a participant in the short-term or long-term incentive plans applicable to executive officers. Mr. Endrizzi will additionally forfeit his right to receive any bonus payout under the short-term incentive plan applicable to executive officers for fiscal 2025, and will forfeit unvested awards of 37,841 shares of restricted stock and performance shares granted under the Company’s 2020 Incentive Plan. Mr. Endrizzi’s Change in Control Agreement with the Company and his Indemnification Agreements with the Company and WaFd Bank have also been terminated. Mr. Endrizzi will remain a participant in the WaFd Bank Supplemental Executive Retirement Plan (“SERP”) and continue to hold the units previously awarded to him under the SERP, subject to the vesting and other requirements of the SERP. In connection with his new role, Mr. Endrizzi’s base salary will be adjusted to be consistent with other non-executives in similar positions at the Bank, and he will be entitled to participate in the same benefit programs as are available to other non-executives of the Company.

The foregoing description of the Transition Agreement is qualified in its entirety by reference to the full text of the Transition Agreement, a copy of which is filed herewith as Exhibit 10.1 and is incorporated herein by reference.


Item 7.01			Regulation FD Disclosure

As described in the Company’s January 16, 2025 press release, the Company announced that its wholly owned banking subsidiary Washington Federal Bank (the “Bank”) will no longer originate single family mortgages and home equity lines of credit (“HELOCs”). The Bank will continue to hold its existing single family mortgages and HELOCs. The information set forth in this Item 7.01 and in the press release is deemed to be “furnished” and shall not be deemed to be “filed” for purposes of the Securities Exchange Act of 1934, as amended.


Item 9.01			Financial Statements and Exhibits


10.1						Transition Agreement and General Release
99.1						Press release dated January 16, 2025
99.2						Fact Sheet as of December 31, 2024

Important Cautionary Statements

The foregoing information should be read in conjunction with the financial statements, notes and other information contained in the Company’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.

This press release contains statements about the Company’s future that are not statements of historical or current fact. These statements are “forward-looking statements” for purposes of applicable securities laws and are based on current information and/or management's good faith belief as to future events. Words such as “expects,” “anticipates,” “believes,” “estimates,” “intends,” “forecasts,” “may,” “potential,” “projects,” and other similar expressions or future or conditional verbs such as “will,” “should,” “would,” and “could” are intended to help identify such forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although the Company believes any such statements are based on reasonable assumptions, forward-looking statements should not be read as a guarantee of future performance, and you are cautioned not to place undue reliance on any forward-looking statements. The Company undertakes no obligation to update or revise any forward-looking statement.

By their nature, forward-looking statements involve inherent risk and uncertainties including the following risks and uncertainties, and those risks and uncertainties more fully discussed under “Risk Factors” in the Company’s September 30, 2024 10-K, and Quarterly Reports on Form 10-Q which could cause actual performance to differ materially from that anticipated by any forward-looking statements. Forward-looking statements relating to our financial condition or operations are subject to risks and uncertainties related to (i) fluctuations in interest rate risk and market interest rates, including the effect on our net interest income and net interest margin; (ii) current and future economic conditions, including the effects of declines in the real estate market, high unemployment rates, inflationary pressures, a potential recession, the monetary policies of the Federal Reserve, and slowdowns in economic growth either nationally or locally in some or all of the areas in which we conduct business; (iii) financial stress on borrowers (consumers and businesses) as a result of higher interest rates or an uncertain economic environment; (iv) changes in deposit flows or loan demands; (v) our ability to identify and address cyber-security risks, including security breaches, "denial of service attacks," "hacking" and identity theft; (vi) the Company's exit from the mortgage lending business; (vii) the effects of natural or man-made disasters, calamities, or conflicts, including terrorist events and pandemics (such as the COVID-19 pandemic) and the resulting governmental and societal responses; (viii) the results of examinations by regulatory authorities, including a "Needs to Improve" CRA rating, which may impose restrictions or penalties on the Company's activities; (ix) expectations regarding key growth initiatives and strategic priorities; (x) global economic trends, including developments related to Ukraine and Russia, and the evolving conflict in the Middle East, and related negative financial impacts on our borrowers; (xi) litigation risks resulting in significant expenses, losses and reputational damage; (xii) the impact of bank failures or adverse developments at other banks and related negative press about regional banks and the banking industry in general; and (xiii) other economic, competitive, governmental, environmental, regulatory, and technological factors affecting our operations, pricing, products and services.

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.

January 17, 2024

WAFD, INC.

By:

/s/ KELLI J. HOLZ

Kelli J. Holz

Executive Vice President
and Chief Financial Officer

Transition Agreement Employee’s Initials __JE_______ Page 1 of 3 TRANSITION AGREEMENT AND GENERAL RELEASE This Transition Agreement and General Release (“Agreement”) is between James Endrizzi (“Employee”), Washington Federal Bank dba WaFd Bank (the “Bank”) and WaFd, Inc. (the Bank and WaFd., Inc. are collectively referred to as the “Company”). Employee and the Company are collectively referred to as the “Parties”. • Employee is the Company’s Executive Vice President and Chief Commercial Banker. • Company and Employee have determined it is in the best interests of the Parties for Employee to voluntarily transition to the non-executive role with the Company (the “Transition”). • Employee wishes to continue his employment with the Company and Company wishes to retain Employee in a non-executive role with different responsibilities. • Both Employee and the Company desire to resolve all matters, known or unknown, arising out of the Transition according to the terms, conditions and consideration included in the Agreement. • This Agreement is dated January 16, 2025. Agreement Now, therefore, in consideration of the mutual promises, obligations, covenants and benefits herein contained, and intending to be legally bound by the terms of this Agreement, the Parties agree as follows: 1.1 Recitals. The Recitals set forth above are true and correct, incorporated as part of this Agreement, and shall be binding on the Parties upon mutual execution of this Agreement. 1.2. Transition. The Parties have agreed that Employee will transition to a new non-executive role of Senior Vice President and Senior Managing Director of Commercial Real Estate Banking for Utah and Idaho, (the “Position”) effective January 16, 2024 (the “Transition Date”). The terms of Employee’s employment in the Position, including compensation and benefits, will be set forth in a separate offer of employment letter delivered to Employee by Company. 1.3. Supplemental Executive Retirement Plan (“SERP”). For so long as Employee remains in the Position or is otherwise employed by the Company, Employee shall remain a participant in the Company’s SERP subject to the terms and conditions of the SERP plan document in effect as of the effective date of this Agreement. 1.4. Forfeiture of Unvested Stock. Employee will forfeit 15,191 shares of unvested Company restricted stock and 22,652 shares of unvested restricted performance stock grants. 1.5. Cancellation of Change in Control Agreement. Effective January 16, 2025, the Parties agree to mutually terminate and cancel Employee’s Change in Control Agreement with the Company, which will be of no further force or effect, and the rights and obligations of each of the Parties thereunder shall terminate. Employee acknowledges and agrees that neither the Transition nor the Position do not

Transition Agreement Employee’s Initials __JE_______ Page 2 of 3 constitute a termination for “Good Reason” or a termination without “Cause” and/or any other term with any similar meaning or import under the Employee’s Change in Control Agreement. 1.6. Cancellation of Indemnification Agreements. Effective, January 16, 2025, the Parties agree to mutually terminate and cancel the Indemnification Agreements between the Employee and the Company, which will be of no further force or effect, and the rights and obligations of each of the Parties thereunder shall terminate. 1.7. Employee’s Waiver and General Release. (a) Employee hereby releases and forever discharges any and all of the “Released Parties” (defined below) from any and all claims of any kind, known or unknown, which arose on or before the date that he signed the Agreement, to the fullest extent allowed by law, including, without limitation, claims for: • wrongful termination or constructive discharge, including claims based on violation of public policy or an implied covenant of good faith and fair dealing; promissory estoppel or detrimental reliance; breach of fiduciary duty; breach of agreements, representations, policies or practices related to Employee’s relationship with any Released Party or based on any legal obligation owed by any Released Party; • violation of federal, state, or local laws, ordinances, or executive orders prohibiting discrimination, harassment or retaliation, or requiring accommodation, on the basis of any legally protected characteristic or activity; • compensation of any kind whatsoever, including, but not limited to, claims for salary, wages, overtime, bonuses, commissions, incentive compensation, severance, sick or other leave, vacation, or other paid time off; • monetary or equitable relief; • violations of all federal, state and local laws. (b) “Released Party” or “Released Parties” means Washington Federal Bank, dba WaFd Bank, and WaFd, Inc., any partnerships or joint ventures of such entities; the benefit plans of each such entities; and with respect to each such entity, all past, present and future employees, managers, supervisors, fiduciaries, directors, trustees, officers, owners, shareholders, partners, members, representatives, agents, contractors, attorneys, successors, assigns, insurers, whether acting in their individual or official capacities, and any other persons acting by, through, under, or in concert with any of the persons or entities listed in this paragraph; and with respect to each such entity and individual, all predecessors, successors and assigns. 1.8. Non-Admission. This Agreement shall not be construed as an admission by Employee or any Released Party of any liability, breach of any agreement, or violation of any statute, law, or regulation, nor shall it be construed as an admission of any deficient performance or breach of any professional obligation. 1.9. Governing Law. The Agreement is governed by the laws of the State of Idaho, without giving effect to the rules governing the conflicts of laws, and without the aid of any canon, custom, or rule of law requiring construction against the drafter.

Transition Agreement Employee’s Initials __JE_______ Page 3 of 3 1.10. Headings Not Controlling. The headings in the Agreement are for convenience only and shall not affect the meaning of the terms as set out in the text. 1.11. Attorney’s Fees. In any dispute involving the Agreement, each Party shall be responsible for their own attorney’s fees and costs. 1.12 Severability. It is further understood and agreed that if any of the provisions of the Agreement are held to be invalid or unenforceable, the remaining provisions shall nevertheless continue to be valid and enforceable. 1.13. Complete Agreement. This Agreement represents and contains the entire understanding between the Parties in connection with the subject matter of this Agreement. It is expressly acknowledged and recognized by all Parties that there are no oral or written collateral agreements, understandings or representations between the Parties other than as contained in this document. Any modifications to the Agreement must be in writing and signed by both Parties to be effective. 1.14. Counterparts & E-Signature. This Agreement may be executed in one or more counterparts, each of which is deemed an original and equally admissible in evidence. All counterparts may be consolidated into one agreement, binding on all parties. If any party is signing this document electronically via DocuSign, or other mutually secure document-signing software, the Parties agree that each such electronic signature is intended to have the same force and effect as if it was hand-written and signed in ink. Agreed by: WASHINGTON FEDERAL BANK; WAFD, INC. /s/ Brent Beardall Brent J. Beardall President & CEO Date: 1/16/2025 EMPLOYEE /s/ James Endrizzi James Endrizzi Date: 1/16/2025

Exhibit 99.1


			Thursday, January 16, 2025 FOR IMMEDIATE RELEASE

WaFd Announces Quarterly Earnings Per Share Of $0.54

Q1 Highlights

$47 Million

$0.54

0.69%

6.42%

Net Income

Diluted Earnings per Common Share

Return on Average Assets

Return on Average Common Equity

Net Interest Income and NIM

■$155 million net interest income for the quarter compared to $173 million in Q4 FY24.

■Net interest margin at 2.39% for the quarter compared to 2.62% for Q4 FY24.

Credit Quality

■Non-performing assets at 0.3% of total assets - similar to prior quarter.

■No provision booked for the quarter and NCOs were minimal.

Non-Interest Income and Expense

■Non-interest expense up due to $5.4 million in one-time restructuring charges, partially offset by lower FDIC insurance premiums due to a smaller balance sheet.

Shareholder Returns and Stock Activity

■On December 6, 2024, the Company paid a cash dividend of $0.26 per share, 167th consecutive quarterly dividend paid.

SEATTLE, WASHINGTON – WaFd, Inc. (Nasdaq: WAFD) (the "Company"), parent company of Washington Federal Bank ("WaFd Bank" or the "Bank"), today announced quarterly earnings of $47,267,000 for the quarter ended December 31, 2024, a decrease of 23% from net earnings of $61,140,000 for the quarter ended September 30, 2024 and a decrease of 19% from net earnings of $58,453,000 for the quarter ended December 31, 2023. After the effect of dividends on preferred stock, net income available for common shareholders was $0.54 per diluted share for the quarter ended December 31, 2024, compared to $0.71 per diluted share for the quarter ended September 30, 2024, a $0.17 or 24% decrease, and $0.85 per diluted share for the quarter ended December 31, 2023, a $0.31 or 36% decrease in fully diluted earnings per common share. The current quarter results reflect one-time charges of $5,390,000 as a result of restructuring activities described below. After adjusting for these charges and other non-operating items, earnings per share for the quarter was $0.62 per diluted share. For a reconciliation, see the Non-GAAP Financial Measures section below.



In the first quarter of fiscal 2025 our results were impacted by greater than expected margin compression. On a linked quarter basis our margin contracted from 2.62% to 2.39%. Excluding a valuation adjustment to hedges obtained in the Luther Burbank acquisition, the Q1 margin would have been 2.45%. The Federal Reserve started reducing interest rates with a 50 basis point cut on September 18, 2024, followed by two 25 basis point cuts in October and December. With each cut, our variable rate assets (loans and investments) repriced quickly, while the repricing of our liabilities has lagged, causing margin compression. On a linked quarter basis, the yield on earning assets declined by 36 basis points, while the yield on paying liabilities decreased by only 14 basis points. We are pleased to report that credit quality remains strong with minimal net charge-offs and delinquencies of only 0.30%. Capital has grown nicely over the last three quarters, with tangible common equity to tangible assets increasing from 8.31% to 9.45% since our acquisition in March of last year.


			Quarterly Earnings Release Q1 2025			1

WaFd Inc. Announces First Quarter Results

Today we are announcing a significant shift in focus for our business model. After over 100 years of making home loans, we are exiting the single-family mortgage lending market and have recorded a restructuring expense of $5.4 million this quarter. As a result, by the end of June 2025, we anticipate annual expense savings of approximately $17 million. Importantly, we will retain all existing home loans and HELOC’s on our books, ensuring no disruption for our current customers. We have come to this conclusion after thoughtful deliberation for two primary reasons. First, home loans are seen as a commodity with nearly 70% of originations sold to US government sponsored enterprises like Freddie Mac and Fannie Mae, which has caused profitability to decrease and credit risk to increase. Second, technology has made it easy for consumers to refinance (which is a good thing for homeowners), but it increases the interest rate risk for banks that hold mortgages. Our aim is to always offer products and services to our customers where WaFd Bank can add value, and we have concluded that we no longer do so in the mortgage sector. Exiting mortgage lending and right sizing other support areas will result in an 8% reduction in our workforce.

While not the primary factor, but certainly a contributing factor, the regulatory burden associated with mortgage lending also played a role in our decision. Recently we were notified that WaFd Bank has received an overall “Needs to Improve” rating regarding our Community Reinvestment Act (“CRA”) compliance because we did not make enough loans to low and moderate income ("LMI") borrowers and communities. For the individual components of the exam, we received a “High Satisfactory” rating in both the investment and service tests, and a “Needs to Improve” on the lending test. We are committed to serving all of our communities and have done so as a portfolio lender since 1917. Today, we compete against government-sponsored financing programs with less stringent underwriting than we are comfortable offering as a lender that retains all loans on our balance sheet. For example, there are multiple government programs that require no down payment, and our performance is being compared to lenders who offer these programs and originate to sell. We strongly disagree with this rating and plan to appeal this conclusion.

Through our involvement in the PPP program during the Pandemic, we have seen just how important small business is to us, and to the communities we serve, and how underserved many small businesses are when it comes to their banking needs. Technology is excellent and abundant; what small businesses need is a trusted advisor to help them navigate complex financial matters and exercise professional skepticism. We aim to fill that need. Going forward, in addition to serving consumers, WaFd will concentrate its focus, offerings and efforts on business banking and commercial real estate lending. We will also begin offering SBA lending products that will allow us to broaden our offerings for small businesses.

We have also re-aligned our management structure. On the executive team, Cathy Cooper will transition to the role of Chief Experience Officer, responsible for enhancing overall client experience through digital channels and in person processes. James Endrizzi will step aside from his current role and will assume leadership responsibility for Commercial Real Estate in both Utah and Nevada in a non-executive role. The Business Bank Division will be led by Michelle Coons, Dan LaCoste and Doron Joseph. The Commercial Real Estate Division will be led by Tony Barnard and Tom Pozarycki. All five of these leaders have been promoted to the role of Executive Director but are not deemed executive officers under SEC rules.

Here at WaFd, we strive to be a bank with heart. That does not mean we ignore issues or avoid difficult decisions. We firmly believe the actions being announced today will position us to better serve our clients and deliver solid returns to our shareholders for years to come."

Brent Beardall

President and CEO of WaFd Bank

The Company acquired Luther Burbank Corporation ("LBC") on February 29, 2024. As such, the Company's financial results are not directly comparable to the results of periods prior to that date. The following table provides the Company's financial scorecard for the last five quarters:


			Quarterly Earnings Release Q1 2025			2

WaFd Inc. Announces First Quarter Results


	As of
(In thousands, except share and ratio data)	December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024			December 31, 2023
BALANCE SHEET
Cash	$	1,507,735		$	2,381,102		$	2,492,504		$	1,505,771		$	1,144,774
Loans receivable, net	21,060,501			20,916,354			20,873,919			20,795,259			17,584,622
Allowance for credit losses ("ACL")	225,022			225,253			225,324			225,077			201,820
Loans held for sale	—			—			468,527			2,993,658			—
Available-for-sale securities, at fair value	2,743,731			2,572,709			2,428,768			2,438,114			2,018,445
Held-to-maturity securities, at amortized cost	537,348			436,972			447,638			457,882			415,079
Total investments	3,281,079			3,009,681			2,876,406			2,895,996			2,433,524
Total assets	27,684,454			28,060,330			28,580,800			30,140,288			22,640,122
Transaction deposits	11,853,859			11,817,185			11,929,005			12,338,862			10,658,064
Time deposits	9,584,918			9,556,785			9,255,760			9,000,911			5,380,723
Total deposits	21,438,777			21,373,970			21,184,765			21,339,773			16,038,787
Borrowings	2,914,627			3,318,307			4,079,360			5,489,501			3,875,000
Total shareholders' equity	3,021,636			3,000,300			2,958,339			2,921,906			2,452,004
Loans to customer deposits2	98.24		%	97.86		%	98.53		%	97.45		%	109.64		%

PROFITABILITY
Net income	$	47,267		$	61,140		$	64,560		$	15,888		$	58,453
Net income to common shareholders	43,611			57,484			60,904			12,232			54,797
Earnings per common share	0.54			0.71			0.75			0.17			0.85
Return on tangible common equity1	7.69		%	10.24		%	11.10		%	2.47		%	11.93		%
Return on tangible assets1	0.70		%	0.89		%	0.88		%	0.26		%	1.06		%
Net interest margin	2.39		%	2.62		%	2.56		%	2.73		%	2.91		%
Efficiency ratio	65.04		%	57.21		%	56.61		%	77.74		%	58.02		%

FINANCIAL HIGHLIGHTS
Common shareholders' equity per share	$	33.45		$	33.25		$	32.76		$	32.21		$	33.49
Tangible common shareholders' equity per share1	27.93			27.73			27.18			26.64			28.65
Shareholders' equity to total assets	10.91		%	10.69		%	10.35		%	9.69		%	10.83		%
Tangible shareholders' equity to tangible assets1	9.45		%	9.24		%	8.91		%	8.31		%	9.59		%
Common shares outstanding	81,373,760			81,220,269			81,157,173			81,405,391			64,254,700
Preferred shares outstanding	300,000			300,000			300,000			300,000			300,000

CREDIT QUALITY2
ACL to gross loans	1.00		%	1.01		%	1.00		%	1.00		%	1.04		%
Non-accrual loans to net loans	0.34		%	0.33		%	0.29		%	0.29		%	0.26		%
Delinquencies to net loans	0.30		%	0.25		%	0.22		%	0.36		%	0.33		%
Non-performing assets to total assets	0.29		%	0.28		%	0.24		%	0.23		%	0.24		%

Criticized loans to net loans	2.54		%	2.41		%	3.01		%	2.59		%	2.27		%

Substandard loans to net loans	1.96		%	2.04		%	1.84		%	1.48		%	1.74		%

(1)Metric is a non-GAAP Financial Measure. See page 10 for additional information on our use of non-GAAP Financial Measures.

(2)Metrics include only loans held for investment. Loans held for sale are not included.


			Quarterly Earnings Release Q1 2025			3

WaFd Inc. Announces First Quarter Results

Balance Sheet Total assets were $27.7 billion as of December 31, 2024, compared to $28.1 billion at September 30, 2024, primarily due to cash used to reduce borrowings during the quarter. Net loans increased by $144 million, or 0.7%, and cash decreased $873 million, or 36.7%. Investment securities increased by $271 million, or 9.0%, during the quarter.

Customer deposits totaled $21.4 billion as of December 31, 2024, largely unchanged from September 30, 2024. Transaction accounts increased by $37 million or 0.3% during the quarter, while time deposits increased $28 million, also 0.3%. As of December 31, 2024, 55.3% of the Company’s deposits were transaction accounts, unchanged from September 30, 2024. Core deposits, defined as all transaction accounts and time deposits less than $250,000, totaled 78.3% of deposits at December 31, 2024. Deposits that are uninsured or not collateralized were 24.8% as of December 31, 2024, a slight increase from 24.0% as of September 30, 2024.

Borrowings totaled $2.9 billion as of December 31, 2024, down from $3.3 billion at September 30, 2024. The effective weighted average interest rate of borrowings was 3.62% as of December 31, 2024, compared to 3.93% at September 30, 2024.

Loan originations totaled $0.9 billion for the first fiscal quarter of 2025, compared to $0.9 billion of originations in the same quarter one year ago. Offsetting loan originations in each of these quarters were loan repayments of $1.0 billion and $1.2 billion, respectively. The Bank had intentionally slowed new loan production to temper net loan growth. Commercial loans represented 68% of all loan originations during the first fiscal quarter of 2025 and consumer loans accounted for the remaining 32%. Commercial loans are viewed by the Bank as preferable as they generally have floating interest rates and shorter durations. The period end interest yield on the loan portfolio was 5.44% as of December 31, 2024, a decrease from 5.62% as of September 30, 2024.

Credit Quality Credit quality continues to be monitored closely in light of the shifting economic and monetary environment. As of December 31, 2024, non-performing assets increased slightly to $79 million, or 0.3% of total assets, from $77 million, or 0.3%, at September 30, 2024. The change fiscal year to date is due primarily to non-accrual loans increasing by $2.9 million, or 4%, since September 30, 2024. Delinquent loans were slightly increased at 0.30% of total loans at December 31, 2024, compared to 0.25% at September 30, 2024. The allowance for credit losses (including the reserve for unfunded commitments) totaled $225 million as of December 31, 2024, and was 1.00% of gross loans outstanding, as compared to $225 million, or 1.01% of gross loans outstanding, as of September 30, 2024. Net charge-offs were $231,000 for the first fiscal quarter of 2025, compared to $70,000 for the prior quarter.

Profitability Net interest income was $155 million for the first fiscal quarter of 2025, a decrease of $17.4 million or 10% from the prior quarter. The decrease in net interest income was primarily due to a 36 basis point decrease in the rate earned on interest earning assets offset by a smaller 14 basis point decrease in the average rate paid on interest bearing liabilities. Interest income was also affected by a valuation adjustment to hedges obtained in the Luther Burbank acquisition resulting in a reduction of $3.9 million. Net interest margin was 2.39% in the first fiscal quarter of 2025 compared to 2.62% for the quarter ended September 30, 2024.

Total non-interest income was $15.7 million for the first fiscal quarter of 2025 compared to $15.9 million the prior quarter. The small decrease in other income compared to prior quarter was primarily due to slightly decreased commission income from the Bank's insurance subsidiary.

Total non-interest expense was $111.3 million in the first fiscal quarter of 2025, an increase of $3.4 million, or 3.1%, from the prior quarter. The overall increase is the result of the $5.4 million of restructuring costs incurred in the quarter offset by a decrease in FDIC premiums of $2.0 million in the same period. Increased expenses combined with decreased net interest income resulted in an increase in the Company’s efficiency ratio in the first fiscal quarter of 2025 to 65.0%, compared to 57.2% in the prior quarter.

The Company is also in the process of restarting its wholly owned technology subsidiary Pike Street Labs and will bring back in-house its custom online, mobile and digital account opening technology and teams from Archway Software. We anticipate this transition will aid us in becoming more efficient over time.

The Company did not record a provision for credit losses in the first fiscal quarter of 2025, consistent with the prior quarter. The lack of provision for loan losses in the quarter ended December 31, 2024 was primarily due to a stable loans receivable balance and stable credit performance.

Return on common shareholders' equity for the quarter ended December 31, 2024 was 6.42% compared to 8.53% for the quarter ended September 30, 2024. Adjusted for certain non-operating items relating to the merger and restructuring, return on equity for the quarter is 7.45% compared to adjusted return on equity of 8.18% the prior quarter. Return on


			Quarterly Earnings Release Q1 2025			4

WaFd Inc. Announces First Quarter Results

assets for the quarter ended December 31, 2024 was 0.7% compared to 0.9% for the previous quarter. Adjusted for certain non-operating items relating to the merger and restructuring, return on assets for the quarter is 0.8% compared to adjusted return on equity of 0.8% the prior quarter. For a reconciliation of these adjusted ratios, see the Non-GAAP Financial Measures section below.

Income tax expense totaled $13.0 million the first fiscal quarter of 2025, as compared to $13.2 million for the prior year same quarter. The effective tax rate for the quarter ended December 31, 2024 was 21.55% compared to 24.21% for the quarter ended September 30, 2024. The Company’s effective tax rate may vary from the statutory rate mainly due to state taxes, tax-exempt income and tax-credit investments.

WaFd Bank is headquartered in Seattle, Washington, and has 210 branches in nine western states. To find out more about WaFd Bank, please visit our website www.wafdbank.com. The Company uses its website to distribute financial and other material information about the Company.

# # #


			Quarterly Earnings Release Q1 2025			5


	December 31, 2024			September 30, 2024
	(In thousands, except share and ratio data)
ASSETS
Cash and cash equivalents		$	1,507,735		$	2,381,102
Available-for-sale securities, at fair value		2,743,731			2,572,709
Held-to-maturity securities, at amortized cost		537,348			436,972
Loans receivable, net of allowance for loan losses of $204,522 and $203,753		21,060,501			20,916,354
Interest receivable		103,147			102,827
Premises and equipment, net		248,924			247,901
Real estate owned		3,316			4,567
FHLB stock		128,396			95,617
Bank owned life insurance		269,473			267,633
Intangible assets, including goodwill of $414,722 and $411,360		449,213			448,425
Deferred tax assets, net		111,830			119,248
Other assets		520,840			466,975
		$	27,684,454		$	28,060,330
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities
Transaction deposits		$	11,853,859		$	11,817,185
Time deposits		9,584,918			9,556,785
Total customer deposits		21,438,777			21,373,970
Borrowings		2,863,675			3,267,589
Junior subordinated debentures		50,952			50,718
Advance payments by borrowers for taxes and insurance		20,188			61,330

Accrued expenses and other liabilities		289,226			306,423
		24,662,818			25,060,030
Shareholders’ equity
Preferred stock, $1.00 par value, 5,000,000 shares authorized; 300,000 and 300,000 shares issued; 300,000 and 300,000 shares outstanding		300,000			300,000
Common stock, $1.00 par value, 300,000,000 shares authorized; 154,247,734 and 154,007,429 shares issued; 81,373,760 and 81,220,269 shares outstanding		154,248			154,007
Additional paid-in capital		2,154,929			2,150,675
Accumulated other comprehensive income (loss), net of taxes		53,353			55,851
Treasury stock, at cost; 72,873,974 and 72,787,160 shares		(1,642,480)			(1,639,131)
Retained earnings		2,001,586			1,978,898
		3,021,636			3,000,300
		$	27,684,454		$	28,060,330










Yield and margin as of period end
Loans receivable1	5.44	%	5.62	%
Mortgage-backed securities	4.12		4.00
Combined cash, investments and FHLB stock	4.77		5.10
Interest-earning assets	5.26		5.44
Interest-bearing customer accounts	3.30		3.50
Borrowings1	3.62		3.93
Interest-bearing liabilities	3.34		3.56
Net interest spread	1.92		1.88
Net interest margin	2.45		2.44

1Accretion and amortization assumed to be same as prior quarter. Also includes the impact of derivatives.


			Quarterly Earnings Release Q1 2025			6

WAFD, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)


	Three Months Ended December 31,
	2024			2023
	(In thousands, except share and ratio data)
INTEREST INCOME
Loans receivable		$	286,597		$	245,792
Mortgage-backed securities		18,337			11,266
Investment securities and cash equivalents		40,183			29,788
		345,117			286,846
INTEREST EXPENSE
Customer accounts		162,150			96,671
Borrowings and junior subordinated debentures		27,536			37,938
		189,686			134,609
Net interest income		155,431			152,237
Provision (release) for credit losses		—			—
Net interest income after provision (release)		155,431			152,237
NON-INTEREST INCOME
Gain (loss) on sale of investment securities		20			81
Gain (loss) on termination of hedging derivatives		5			109

Loan fee income		1,345			844
Deposit fee income		7,046			6,802
Other income		7,286			6,331
Total non-interest income		15,702			14,167
NON-INTEREST EXPENSE
Compensation and benefits		59,927			49,841
Occupancy		10,788			9,371
FDIC insurance premiums		4,850			6,570
Product delivery		5,785			6,009
Information technology		14,192			12,866
Other expense		15,769			11,883
Total non-interest expense		111,311			96,540
Gain (loss) on real estate owned, net		429			1,826
Income before income taxes		60,251			71,690
Income tax provision		12,984			13,237
Net income		47,267			58,453
Dividends on preferred stock		3,656			3,656
Net income available to common shareholders		$	43,611		$	54,797





PER SHARE DATA
Basic earnings per common share	$	0.54		$	0.85
Diluted earnings per common share	0.54			0.85
Cash dividends per common share	0.26			0.25
Basic weighted average shares outstanding	81,294,227			64,297,499
Diluted weighted average shares outstanding	81,401,599			64,312,110
PERFORMANCE RATIOS
Return on average assets	0.69		%	1.04		%
Return on average common equity	6.42		%	10.21		%


			Quarterly Earnings Release Q1 2025			7

WAFD, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)


	Three Months Ended
	December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024			December 31, 2023
		(In thousands, except share and ratio data)
INTEREST INCOME
Loans receivable		$	286,597		$	308,598		$	337,118		$	274,341		$	245,792
Mortgage-backed securities		18,337			18,088			17,523			12,905			11,266
Investment securities and cash equivalents		40,183			47,411			37,300			31,580			29,788
		345,117			374,097			391,941			318,826			286,846
INTEREST EXPENSE
Customer accounts		162,150			165,240			154,359			116,164			96,671
Borrowings, senior debt and junior subordinated debentures		27,536			36,045			60,396			44,065			37,938
		189,686			201,285			214,755			160,229			134,609
Net interest income		155,431			172,812			177,186			158,597			152,237
Provision for credit losses		—			—			1,500			16,000			—
Net interest income after provision		155,431			172,812			175,686			142,597			152,237
NON-INTEREST INCOME
Gain on sale of investment securities		20			91			80			90			81
Gain on termination of hedging derivatives		5			72			54			6			109

Loan fee income		1,345			757			594			550			844
Deposit fee income		7,046			7,047			6,960			6,698			6,802
Other income		7,286			7,911			9,567			6,048			6,331
Total non-interest income		15,702			15,878			17,255			13,392			14,167
NON-INTEREST EXPENSE
Compensation and benefits		59,927			53,983			57,169			73,155			49,841
Occupancy		10,788			10,843			10,904			10,918			9,371
FDIC insurance premiums		4,850			6,800			7,600			7,900			6,570
Product delivery		5,785			6,306			6,090			5,581			6,009
Information technology		14,192			14,129			13,428			12,883			12,866
Other expense		15,769			15,880			14,888			23,275			11,883
Total non-interest expense		111,311			107,941			110,079			133,712			96,540
Gain (loss) on real estate owned, net		429			(83)			(124)			(1,315)			1,826
Income before income taxes		60,251			80,666			82,738			20,962			71,690
Income tax provision		12,984			19,526			18,178			5,074			13,237
Net income		47,267			61,140			64,560			15,888			58,453
Dividends on preferred stock		3,656			3,656			3,656			3,656			3,656
Net income available to common shareholders		$	43,611		$	57,484		$	60,904		$	12,232		$	54,797


			Quarterly Earnings Release Q1 2025			8

WAFD, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)


	Three Months Ended
	December 31, 2024				September 30, 2024				June 30, 2024				March 31, 2024				December 31, 2023
		(In thousands, except share and ratio data)
PER SHARE DATA
Basic earnings per common share		$	0.54			$	0.71			$	0.75			$	0.17			$	0.85
Diluted earnings per common share		0.54				0.71				0.75				0.17				0.85
Cash dividends per common share		0.26				0.26				0.26				0.26				0.25
Basic weighted average shares outstanding		81,294,227				81,208,683				81,374,811				70,129,072				64,297,499
Diluted weighted average shares outstanding		81,401,599				81,353,644				81,393,708				70,164,558				64,312,110
PERFORMANCE RATIOS
Return on average assets		0.69		%		0.87		%		0.87		%		0.26		%		1.04		%
Return on average common equity		6.42				8.53				9.20				2.09				10.21
Net interest margin		2.39				2.62				2.56				2.73				2.91
Efficiency ratio		65.04				57.21				56.61				77.74				58.02


			Quarterly Earnings Release Q1 2025			9

WAFD, INC. AND SUBSIDIARIES
NON-GAAP MEASURES
(UNAUDITED)

Non-GAAP Financial Measures

The Company has presented certain non-GAAP measures within this document to remove the effect of certain income and expenses to provide investors with information useful in understanding our financial performance. The Company considers these items to be non-operating in nature as they are items that management does not consider indicative of the Company's on-going financial performance. We believe that the tables presented reflect our on-going performance in the periods presented and, accordingly, are useful to consider in addition to our GAAP financial results. These measures should not be considered a substitution for GAAP basis disclosures.

Other companies may use similarly titled non-GAAP financial measures that are calculated differently from the way they are calculated herein. Because of this, our non-GAAP financial measures may not be comparable to similar measures used by others. We caution investors not to place undue reliance on such measures. See the following unaudited tables for reconciliations of our non-GAAP measures to the most directly comparable GAAP financial measures.


Tangible Measures	December 31, 2024				September 30, 2024				June 30, 2024			March 31, 2024				December 31, 2023
	(Unaudited - In thousands, except for ratio data)
Shareholders equity - GAAP		$	3,021,636			$	3,000,300		$	2,958,339			$	2,921,906			$	2,452,004
Less intangible assets - GAAP		449,213				448,425			452,255				453,539				311,103
Tangible shareholders' equity		$	2,572,423			$	2,551,875		$	2,506,084			$	2,468,367			$	2,140,901
Less preferred stock - GAAP		300,000				300,000			300,000				300,000				300,000
Tangible common shareholders' equity		$	2,272,423			$	2,251,875		$	2,206,084			$	2,168,367			$	1,840,901

Total assets - GAAP		$	27,684,454			$	28,060,330		$	28,580,800			$	30,140,288			$	22,640,122
Less intangible assets - GAAP		449,213				448,425			452,255				453,539				311,103
Tangible assets		$	27,235,241			$	27,611,905		$	28,128,545			$	29,686,749			$	22,329,019

Tangible Metrics
Common shares outstanding - GAAP		81,373,760				81,220,269			81,157,173				81,405,391				64,254,700
Tangible common equity per share		$	27.93			$	27.73		$	27.18			$	26.64			$	28.65
Tangible equity to tangible assets		9.45		%		9.24		%	8.91		%		8.31		%		9.59		%


			Quarterly Earnings Release Q1 2025			10

WAFD, INC. AND SUBSIDIARIES
NON-GAAP MEASURES
(UNAUDITED)


		Three Months Ended
Average Tangible Measures	December 31, 2024				September 30, 2024				June 30, 2024			March 31, 2024				December 31, 2023
		(Unaudited - In thousands, except for ratio data)
Average shareholders equity - GAAP		$	3,015,197			$	2,996,093		$	2,947,056			$	2,638,483			$	2,447,580
Less average preferred stock - GAAP		300,000				300,000			300,000				300,000				300,000
Less average intangible assets - GAAP		447,754				451,204			453,142				360,251				311,022
Average tangible common equity		$	2,267,443			$	2,244,889		$	2,193,914			$	1,978,232			$	1,836,558

Average Assets - GAAP		$	27,504,576			$	28,000,482		$	29,703,337			$	24,907,376			$	22,381,459
Less average intangible assets - GAAP		447,754				451,204			453,142				360,251				311,022
Average tangible assets		$	27,056,822			$	27,549,278		$	29,250,195			$	24,547,125			$	22,070,437

Average Tangible Metrics
Net income - GAAP		47,267				61,140			64,560				15,888				58,453
Net income available to common shareholders - GAAP		43,611				57,484			60,904				12,232				54,797
Return on tangible common equity		7.69		%		10.24		%	11.10		%		2.47		%		11.93		%
Return on tangible assets		0.70		%		0.89		%	0.88		%		0.26		%		1.06		%


			Quarterly Earnings Release Q1 2025			11

WAFD, INC. AND SUBSIDIARIES
NON-GAAP MEASURES
(UNAUDITED)


		Three Months Ended
Net Income Adjusted for Acquisition Expenses and Other Non-Operating Items	December 31, 2024			September 30, 2024			June 30, 2024		March 31, 2024			December 31, 2023
		(Unaudited - In thousands, except for ratio data)
Interest income
LBC Hedge Valuation Adj		$	3,933		$	—	$	—		$	—		$	—

Non-interest income adjustments
Distribution received on LBC equity method investment		$	(279)		$	(288)	$	(299)		$	(287)		$	—
(Gain)Loss on WaFd Bank equity method investment		48			(896)		(748)			2,195			693
Total non-interest income adjustments		$	(231)		$	(1,184)	$	(1,047)		$	1,908		$	693

Non-interest expense adjustments
Acquisition-related expenses		$	239		$	(1,602)	$	2,285		$	25,120		$	516
Non-operating expenses:
Restructuring Charges		5,390			—		—			—			—
FDIC Special Assessment		—			(216)		—			1,800			500
Legal and Compliance Accruals		—			(182)		—			3,000			—
Charitable Donation		—			—		—			2,000			—
		5,390			(398)		—			6,800			500
Total non-interest expense adjustments		$	5,629		$	(2,000)	$	2,285		$	31,920		$	1,016

Net Income - GAAP		$	47,267		$	61,140	$	64,560		$	15,888		$	58,453
Preliminary ACL provision on LBC loans		—			—		—			16,000			—
Interest income adjustments		3,933			—		—			—			—
Non-interest income adjustments		(231)			(1,184)		(1,047)			1,908			693
Non-interest expense adjustments		5,629			(2,000)		2,285			31,920			1,016
REO adjustments		(429)			83		124			1,315			(1,826)
Income tax adjustment		(1,918)			751		(299)			(12,274)			22
Net Income - non-GAAP		$	54,251		$	58,790	$	65,623		$	54,757		$	58,358

Dividend on preferred stock		3,656			3,656		3,656			3,656			3,656
Net Income available to common shareholders - non-GAAP		$	50,595		$	55,134	$	61,967		$	51,101		$	54,702

Basic weighted average number of shares outstanding - GAAP		81,294,227			81,208,683		81,374,811			70,129,072			64,297,499
Diluted weighted average number of shares outstanding - GAAP		81,401,599			81,353,644		81,393,708			70,164,558			64,312,110

Basic EPS - non-GAAP		$	0.62		$	0.68	$	0.76		$	0.73		$	0.84
Diluted EPS - non-GAAP		0.62			0.68		0.76			0.73			0.84


			Quarterly Earnings Release Q1 2025			12

WAFD, INC. AND SUBSIDIARIES
NON-GAAP MEASURES
(UNAUDITED)


		Three Months Ended
Adjusted Efficiency Ratio	December 31, 2024				September 30, 2024				June 30, 2024			March 31, 2024				December 31, 2023
		(Unaudited - In thousands, except for ratio data)
Efficiency ratio - GAAP		65.0		%		57.2		%	56.6		%		77.7		%		58.0		%

Net interest income - GAAP		$	155,431			$	172,812		$	177,186			$	158,597			$	152,237
Total interest income adjustments		3,933				—			—				—				—
Net interest income - non-GAAP		$	159,364			$	172,812		$	177,186			$	158,597			$	152,237

Non-interest expense - GAAP		$	111,311			$	107,941		$	110,079			$	133,712			$	96,540
Less merger related expenses		239				(1,602)			2,285				25,120				516
Less non-operating expenses		5,390				(398)			—				6,800				500
Non-interest Expenses - non-GAAP		$	105,682			$	109,941		$	107,794			$	101,792			$	95,524

Non-interest income - GAAP		$	15,702			$	15,878		$	17,255			$	13,392			$	14,167
Total other income adjustments		(231)				(1,184)			(1,047)				1,908				693
Non-interest income - non-GAAP		$	15,471			$	14,694		$	16,208			$	15,300			$	14,860

Net Interest Income - non-GAAP		$	159,364			$	172,812		$	177,186			$	158,597			$	152,237
Non-interest income - non-GAAP		15,471				14,694			16,208				15,300				14,860
Total Income - non-GAAP		$	174,835			$	187,506		$	193,394			$	173,897			$	167,097

Adjusted Efficiency Ratio		60.4		%		58.6		%	55.7		%		58.5		%		57.2		%


			Quarterly Earnings Release Q1 2025			13

WAFD, INC. AND SUBSIDIARIES
NON-GAAP MEASURES
(UNAUDITED)


		Three Months Ended
Adjusted ROA and ROE	December 31, 2024				September 30, 2024				June 30, 2024			March 31, 2024				December 31, 2023
		(Unaudited - In thousands, except for ratio data)
Reported:
Net Income - GAAP		$	47,267			$	61,140		$	64,560			$	15,888			$	58,453
Net income available to common shareholders - GAAP		$	43,611			$	57,484		$	60,904			$	12,232			$	54,797

Average Assets		27,504,576				28,000,482			29,703,337				24,907,376				22,381,459
Return on Assets		0.69		%		0.87		%	0.87		%		0.26		%		1.04		%

Average Common Equity		$	2,715,197			$	2,696,093		$	2,647,056			$	2,338,483			$	2,147,580
Return on common equity		6.42		%		8.53		%	9.20		%		2.09		%		10.21		%

Adjusted:
Net Income - non-GAAP		$	54,251			$	58,790		$	65,623			$	54,757			$	58,358
Net income available to common shareholders - non-GAAP		$	50,595			$	55,134		$	61,967			$	51,101			$	54,702

Average Assets		27,504,576				28,000,482			29,703,337				24,907,376				22,381,459
Adjusted Return on Assets		0.79		%		0.84		%	0.88		%		0.88		%		1.04		%

Average Common Equity		2,715,197				2,696,093			2,647,056				2,338,483				2,147,580
Adjusted Return on common equity		7.45		%		8.18		%	9.36		%		8.74		%		10.19		%


			Quarterly Earnings Release Q1 2025			14

Important Cautionary Statements

# # #

CONTACT:
WaFd, Inc.
425 Pike Street, Seattle, WA 98101
Brad Goode, SVP, Chief Marketing Officer
206-626-8178
[email protected]


			Quarterly Earnings Release Q1 2025			15

WaFd Inc. Announces First Quarter 2025 Results

WaFd, Inc.

Fact Sheet

December 31, 2024

($ in Thousands)

Exhibit 99.2


	As of 06/24						As of 09/24						As of 12/24
Allowance for Credit Losses (ACL) - Total	$	225,324					$	225,253					$	225,022
ACL - Loans	203,824						203,753						204,522
ACL - Unfunded Commitments	21,500						21,500						20,500
Total ACL as a % of Gross Loans	1.00		%				1.01		%				1.00		%







	06/24 QTR			06/24 YTD			09/24 QTR			09/24 YTD			12/24 QTR			12/24 YTD
Loan Originations - Total	$	972,500		$	2,669,679		$	962,393		$	3,632,072		$	930,789		$	930,789
Multi-Family	8,523			58,733			1,997			60,730			6,388			6,388
Commercial Real Estate	57,956			203,206			43,724			246,930			47,826			47,826
Commercial & Industrial	456,351			1,245,873			431,498			1,677,371			405,877			405,877
Construction	124,978			411,993			191,837			603,829			162,662			162,662
Land - Acquisition & Development	6,099			30,131			15,275			45,406			7,934			7,934
Single-Family Residential	141,018			292,038			138,234			430,272			156,117			156,117
Construction - Custom	58,490			155,732			54,049			209,781			51,009			51,009
Land - Consumer Lot Loans	6,478			14,241			6,946			21,187			4,968			4,968
HELOC	46,246			119,101			42,816			161,917			43,030			43,030
Consumer	66,361			138,631			36,017			174,648			44,978			44,978

Purchased Loans (including acquisitions)	$	—		$	6,207,393		$	—		$	6,207,393		$	102,016		$	102,016

Net Loan Fee and Discount Accretion	$	14,807		$	26,547		$	10,942		$	37,489		$	10,000		$	10,000

Repayments
Loans	$	1,035,515		$	3,172,373		$	1,129,986		$	4,302,359		$	981,574		$	981,574
MBS	58,582			130,946			64,885			195,831			68,287			68,287

MBS Net Premium Amortization	$	561		$	657		$	403		$	1,060		$	434		$	434

Efficiency
Operating Expenses/Average Assets	1.48		%	1.77		%	1.54		%	1.71		%	1.62		%	1.62		%
Efficiency Ratio (%)	56.61		%	63.87		%	57.21		%	62.13		%	65.04		%	65.04		%
Amortization of Intangibles	$	3,197		$	4,766		$	2,977		$	7,743		$	2,755		$	2,755

EOP Numbers
Shares Issued and Outstanding	81,157,173						81,220,269						81,373,760

Share repurchase information
Remaining shares authorized for repurchase	11,501,005						11,501,005						11,501,005
Shares repurchased	357,303			1,063,033			7,174			1,070,207			89,528			89,528
Average share repurchase price	$	26.63		$	25.23		$	34.82		$	25.29		$	38.09		$	38.09


			WaFd Fact Sheet Q1 2025			1

WaFd Inc. Announces First Quarter 2025 Results

WaFd, Inc.

Fact Sheet

December 31, 2024

($ in Thousands)


Tangible Common Shareholders' Book Value	As of 06/24				As of 09/24				As of 12/24
$ Amount	$	2,206,084			$	2,251,875			$	2,272,423
Per Share	27.18				27.73				27.93

# of Employees	2,204				2,208				2,175

Investments
Available-for-sale:
Agency MBS	$	1,351,997			$	1,387,025			$	1,600,089
Other	1,076,771				1,185,684				1,143,642
	$	2,428,768			$	2,572,709			$	2,743,731
Held-to-maturity:
Agency MBS	$	447,638			$	436,972			$	537,348
	$	447,638			$	436,972			$	537,348

	As of 06/24				As of 09/24				As of 12/24
Loans Receivable by Category1	Amount		%		Amount		%		Amount		%
Multi-Family	$	4,616,359	20.5	%	$	4,658,119	20.8	%	$	4,829,736	21.5	%
Commercial Real Estate	3,781,247		16.8		3,757,040		16.8		3,637,986		16.2
Commercial & Industrial	2,394,978		10.7		2,337,139		10.5		2,408,693		10.6
Construction	2,247,530		9.9		2,174,254		9.7		2,062,116		9.2
Land - Acquisition & Development	195,796		0.9		200,713		0.9		178,687		0.8
Single-Family Residential	8,364,415		37.2		8,399,030		37.6		8,520,833		38.0
Construction - Custom	414,483		1.8		384,161		1.7		335,715		1.5
Land - Consumer Lot Loans	112,317		0.5		108,791		0.6		107,205		0.5
HELOC	255,271		1.1		266,151		1.2		275,132		1.2
Consumer	84,445		0.4		73,998		0.3		75,933		0.3
	22,466,841		100	%	22,359,396		100	%	22,432,036		100	%
Less:
Allowance for Credit Losses (ACL)	203,824				203,753				204,522
Loans in Process	1,094,956				1,009,798				903,253
Net Deferred Fees, Costs and Discounts	294,142				229,491				263,760

Sub-Total	1,592,922				1,443,042				1,371,535
	$	20,873,919			$	20,916,354			$	21,060,501

Net Loan Portfolio by Category1	Amount		%		Amount		%		Amount		%
Multi-Family	$	4,488,124	21.5	%	$	4,530,951	21.7	%	$	4,714,800	22.4	%
Commercial Real Estate	3,707,189		17.8		3,692,946		17.7		3,572,885		17.0
Commercial & Industrial	2,331,403		11.2		2,273,984		10.9		2,343,246		11.1
Construction	1,417,444		6.8		1,401,748		6.7		1,362,145		6.5
Land - Acquisition & Development	148,724		0.7		152,416		0.7		139,388		0.7
Single-Family Residential	8,146,045		39.0		8,239,778		39.4		8,320,765		39.5
Construction - Custom	188,940		0.9		180,988		0.9		154,495		0.7
Land - Consumer Lot Loans	108,927		0.5		105,496		0.5		103,961		0.4
HELOC	255,908		1.2		266,808		1.3		275,880		1.3
Consumer	81,215		0.4		71,239		0.3		72,936		0.3
	$	20,873,919	100	%	$	20,916,354	100	%	$	21,060,501	100	%
1These loan disclosures are specific to those loans held for investment and exclude loans held for sale.


			WaFd Fact Sheet Q1 2025			2

WaFd Inc. Announces First Quarter 2025 Results

WaFd, Inc.

Fact Sheet

December 31, 2024

($ in Thousands)


	As of 06/24					As of 09/24					As of 12/24
Loans by State1	Amount			%		Amount			%		Amount			%
Washington	$	5,771,422		27.4	%	$	5,771,729		27.3	%	$	5,857,840		27.5	%
Idaho	917,733			4.4		924,573			4.4		940,094			4.4
Oregon	2,486,762			11.8		2,463,530			11.7		2,477,443			11.7
Utah	2,084,601			9.9		2,085,051			9.9		2,114,388			9.9
Nevada	776,656			3.7		783,600			3.7		773,271			3.5
Texas	2,526,689			12.0		2,495,541			11.8		2,500,824			11.8
Arizona	2,314,192			11.0		2,319,106			11.0		2,333,725			11.0
New Mexico	750,935			3.7		761,853			3.6		766,170			3.6
California	3,027,699			14.4		3,037,606			14.4		3,037,930			14.3
Other	421,054			2.0		477,518			2.3		463,337			2.2
Total	$	21,077,743		100	%	$	21,120,107		100	%	$	21,265,022		100	%

Non-Performing Assets	Amount			%		Amount			%		Amount			%
Non-accrual loans1:
Multi-Family	$	9,984		16.3	%	$	18,743		27.0	%	$	24,077		33.2	%
Commercial Real Estate	26,408			43.1		26,362			37.9		26,292			36.3
Commercial & Industrial	2,138			3.5		—			—		1,963			2.7
Construction	1,120			1.8		1,120			1.6		624			0.9
Land - Acquisition & Development	74			0.1		74			0.1		—			—
Single-Family Residential	20,422			33.2		21,488			30.9		17,440			24.1
Construction - Custom	88			0.1		848			1.1		848			1.2
Land - Consumer Lot Loans	236			0.4		—			—		8			—
HELOC	758			1.2		596			0.9		786			1.1
Consumer	40			0.1		310			0.3		449			0.6
Total non-accrual loans	61,268			100	%	69,541			100	%	72,487			100	%
Real Estate Owned	4,209					4,567					3,316
Other Property Owned	3,310					3,310					3,310
Total non-performing assets	$	68,787				$	77,418				$	79,113

Non-accrual loans as % of total net loans	0.29		%			0.33		%			0.34		%
Non-performing assets as % of total assets	0.24		%			0.28		%			0.29		%

Net Charge-offs (Recoveries) by Category	06/24 QTR			CO % (a)		09/24 QTR			CO % (a)		12/24 QTR			CO % (a)
Multi-Family	$	—		—	%	$	—		—	%	$	—		—	%
Commercial Real Estate	201			0.02		—			—		163			0.02
Commercial & Industrial	1,343			0.22		136			0.02		353			0.06
Construction	—			—		—			—		—			—
Land - Acquisition & Development	(17)			(0.03)		114			0.23		(12)			(0.03)
Single-Family Residential	(105)			(0.01)		(88)			—		(456)			(0.02)
Construction - Custom	—			—		(1)			—		—			—
Land - Consumer Lot Loans	(2)			(0.01)		(1)			—		—			—
HELOC	(1)			—		(1)			—		(1)			—
Consumer	(166)			(0.79)		(89)			(0.48)		184			0.97
Total net charge-offs (recoveries)	$	1,253		0.02	%	$	70		—	%	$	231		—	%

(a)Annualized Net Charge-offs (recoveries) divided by Gross Balance

1These loan disclosures are specific to those loans held for investment and exclude loans held for sale.


			WaFd Fact Sheet Q1 2025			3

WaFd Inc. Announces First Quarter 2025 Results

WaFd, Inc.

Fact Sheet

December 31, 2024

($ in Thousands)


	As of 06/24					As of 09/24					As of 12/24
Deposits & Branches by State	Amount		%		#	Amount		%		#	Amount		%		#
Washington	$	8,302,664	39.2	%	73	$	8,528,608	39.9	%	73	$	8,589,398	40.1	%	73
Idaho	922,547		4.4		22	949,025		4.4		22	946,554		4.4		22
Oregon	2,711,175		12.8		36	2,696,243		12.6		36	2,704,966		12.6		36
Utah	549,876		2.6		9	584,001		2.7		9	573,469		2.7		9
Nevada	508,648		2.4		8	527,704		2.5		8	531,383		2.5		8
Texas	371,539		1.7		5	398,736		1.9		5	683,513		3.2		5
Arizona	1,610,523		7.6		28	1,619,101		7.6		28	1,628,742		7.6		28
New Mexico	1,555,373		7.3		19	1,622,534		7.6		19	1,568,788		7.3		19
California	4,652,420		22.0		10	4,448,018		20.8		10	4,211,964		19.6		10
Total	$	21,184,765	100	%	210	$	21,373,970	100	%	210	$	21,438,777	100	%	210

Deposits by Type	Amount		%			Amount		%			Amount		%
Non-Interest Checking	$	2,514,310	11.9	%		$	2,500,467	11.7	%		$	2,489,394	11.6	%
Interest Checking	4,481,465		21.2			4,486,444		21.0			4,554,922		21.2
Savings	733,973		3.5			718,560		3.4			714,755		3.4
Money Market	4,199,257		19.8			4,111,714		19.2			4,094,788		19.1
Time Deposits	9,255,760		43.7			9,556,785		44.7			9,584,918		44.7
Total	$	21,184,765	100	%		$	21,373,970	100	%		$	21,438,777	100	%

Deposits Uninsured & Non-collateralized - EOP	$	5,238,217	24.7	%		$	5,134,192	24.0	%		$	5,317,511	24.8	%

Time Deposit Repricing	Amount		Rate			Amount		Rate			Amount		Rate
Within 3 months	$	2,300,304	4.37	%		$	2,923,299	4.72	%		$	3,744,158	4.59	%
From 4 to 6 months	2,586,273		4.76	%		3,140,278		4.65	%		2,655,054		4.38	%
From 7 to 9 months	1,953,833		4.63	%		1,236,201		4.49	%		1,538,725		4.49	%
From 10 to 12 months	1,071,346		4.26	%		1,307,000		4.37	%		836,930		3.41	%

Borrowings (Effective Maturity)	Amount		Rate			Amount		Rate			Amount		Rate
Within 1 year	$	3,036,283	5.01	%		$	2,274,067	5.00	%		$	1,850,825	4.84	%
1 to 3 years	192,425		3.13	%		193,355		3.17	%		194,284		3.14	%
3 to 5 years	—		—	%		—		—	%		18,400		—	%
More than 5 years	850,652		1.04	%		850,885		1.23	%		851,118		1.15	%
Total	$	4,079,360				$	3,318,307				$	2,914,627

Interest Rate Risk(b)

NPV post up 100 bps shock			8.9	%				8.7	%				9.5	%
NPV post down 100 bps shock			10.7	%				10.2	%				11.6	%
Change in NII after up 100 bps shock			3.0	%				0.2	%				1.3	%
Change in NII after down 100 bps shock			1.6	%				0.4	%				2.0	%

(b)Assumes no balance sheet management actions taken.


			WaFd Fact Sheet Q1 2025			4

WaFd Inc. Announces First Quarter 2025 Results

WaFd, Inc.

Fact Sheet

December 31, 2024

($ in Thousands)


Historical CPR Rates (c)
Average for Quarter Ended:	WAFD SFR Mortgages		WAFD GSE MBS
12/31/2022	6.3	%	12.6	%
3/31/2023	5.8	%	8.9	%
6/30/2023	7.9	%	11.8	%
9/30/2023	7.0	%	14.5	%
12/31/2023	6.6	%	9.7	%
3/31/2024	4.8	%	8.7	%
6/30/2024	6.6	%	12.0	%
9/30/2024	8.6	%	12.9	%
12/31/2024	8.1	%	12.7	%

(c)The CPR Rate (conditional payment rate) is the rate that is equal to the proportion of the principal of a pool of loans that is paid off prematurely in each period.


			WaFd Fact Sheet Q1 2025			5

WaFd Inc. Announces First Quarter 2025 Results

WaFd, Inc.

Fact Sheet

December 31, 2024

Average Balance Sheet

($ in Thousands)


	Quarter Ended
	June 30, 2024						September 30, 2024						December 31, 2024
	Average Balance		Interest		Average Rate		Average Balance		Interest		Average Rate		Average Balance		Interest		Average Rate
Assets
Loans receivable	$	23,536,530	$	337,118	5.76	%	$	21,258,400	$	308,598	5.78	%	$	20,954,663	$	286,597	5.43	%
Mortgage-backed securities	1,765,314		17,523		3.99		1,817,639		18,088		3.96		1,882,688		18,337		3.86
Cash & investments	2,386,434		33,693		5.68		3,061,063		43,661		5.67		2,855,030		37,941		5.27
FHLB Stock	164,018		3,608		8.85		99,195		3,750		15.04		106,062		2,242		8.39

Total interest-earning assets	27,852,296		391,942		5.66	%	26,236,297		374,097		5.67	%	25,798,443		345,117		5.31	%
Other assets	1,851,041						1,764,185						1,706,133
Total assets	$	29,703,337					$	28,000,482					$	27,504,576

Liabilities and Shareholders' Equity
Interest-bearing customer accounts	$	18,398,704	154,359		3.37	%	$	18,590,638	165,240		3.54	%	$	18,743,048	162,150		3.43	%
Borrowings	5,406,585		60,397		4.49		3,535,015		36,045		4.05		2,899,012		27,536		3.77


Total interest-bearing liabilities	23,805,289		214,756		3.63	%	22,125,653		201,285		3.62	%	21,642,060		189,686		3.48	%
Noninterest-bearing customer accounts	2,593,381						2,588,528						2,523,510
Other liabilities	357,611						290,208						323,809
Total liabilities	26,756,281						25,004,389						24,489,379
Stockholders’ equity	2,947,056						2,996,093						3,015,197
Total liabilities and equity	$	29,703,337					$	28,000,482					$	27,504,576

Net interest income/interest rate spread			$	177,186	2.03	%			$	172,812	2.05	%			$	155,431	1.83	%

Net interest margin(1)					2.56	%					2.62	%					2.39	%

(1)Annualized net interest income divided by average interest-earning assets


			WaFd Fact Sheet Q1 2025			6

WaFd Inc. Announces First Quarter 2025 Results

WaFd, Inc.

Fact Sheet

December 31, 2024

Delinquency Summary

($ in Thousands)


						# of Loans
Type of Loans	#Loans	AVG Size	Loans Amortized Cost			30	60	90	Total	% Based on #		$ Delinquent			% Based on #
December 31, 2024
Multi-Family	1,922	2,467		$	4,740,797	10	3	10	23	1.20	%		$	23,504	0.50	%
Commercial Real Estate	1,282	2,817		3,610,758		1	1	3	5	0.39			670		0.02
Commercial & Industrial	1,792	1,341		2,403,719		12	5	9	26	1.45			2,246		0.09
Construction	389	3,555		1,383,048		2	1	2	5	1.29			4,495		0.33
Land - Acquisition & Development	78	1,880		146,609		—	—	—	—	—			—		—
Single-Family Residential	21,643	386		8,362,881		34	17	59	110	0.51			29,597		0.35
Construction - Custom	308	506		155,714		—	—	2	2	0.65			848		0.54
Land - Consumer Lot Loans	998	107		106,489		2	—	2	4	0.40			333		0.31
HELOC	4,466	62		279,039		9		10	22	0.49			2,037		0.73
Consumer	7,947	10		75,969		16	15	70	101	1.27			712		0.94
	40,825	521		$	21,265,023	86	45	167	298	0.73	%		$	64,442	0.30	%

September 30, 2024
Multi-Family	1,938	2,351		$	4,556,200	—	3	5	8	0.41	%		$	14,673	0.32	%
Commercial Real Estate	1,295	2,882		3,732,155		1	—	3	4	0.31			661		0.02
Commercial & Industrial	1,827	1,277		2,332,732		1	4	8	13	0.71			2,046		0.09
Construction	406	3,507		1,424,016		1	—	3	4	0.99			2,050		0.14
Land - Acquisition & Development	81	1,979		160,317		—	—	2	2	2.47			74		0.05
Single-Family Residential	22,141	374		8,280,300		28	19	52	99	0.45			29,711		0.36
Construction - Custom	364	501		182,415		—	—	2	2	0.55			848		0.46
Land - Consumer Lot Loans	1,017	106		108,060		—	—	1	1	0.10			—		—
HELOC	4,400	61		269,857		13	6	6	25	0.57			2,510		0.93
Consumer	7,677	10		74,055		35	27	64	126	1.64			765		1.03
	41,146	513		$	21,120,107	79	59	146	284	0.69	%		$	53,338	0.25	%

June 30, 2024
Multi-Family	1,951	2,313		$	4,513,323	—	1	2	3	0.15	%		$	6,612	0.15	%
Commercial Real Estate	1,302	2,878		3,746,945		—	2	2	4	0.31			589		0.02
Commercial & Industrial	1,871	1,277		2,389,236		2	—	9	11	0.59			2,138		0.09
Construction	404	3,565		1,440,152		—	1	2	3	0.74			1,120		0.08
Land - Acquisition & Development	82	1,908		156,424		—	—	2	2	2.44			74		0.05
Single-Family Residential	21,789	376		8,186,361		35	16	56	107	0.49			32,111		0.39
Construction - Custom	400	476		190,433		1	—	1	2	0.50			848		0.45
Land - Consumer Lot Loans	1,037	108		111,574		2	1	4	7	0.68			703		0.63
HELOC	4,360	59		258,833		10	3	5	18	0.41			2,251		0.87
Consumer	7,110	12		84,462		32	17	48	97	1.36			275		0.33
	40,306	523		$	21,077,743	82	41	131	254	0.63	%		$	46,721	0.22	%


			WaFd Fact Sheet Q1 2025			7