Executive Summary & Q3 FY2024 Highlights [Q3 FY2024 Financial Performance Overview](index=1&type=section&id=Q3%20FY2024%20Financial%20Performance%20Overview) Kearny Financial Corp. reported **net income of $7.4 million** ($0.12 diluted EPS) in Q3 FY2024, reversing a prior quarter **$13.8 million net loss** Q3 FY2024 vs. Q2 FY2023 Net Income & EPS | Metric | Q3 FY2024 | Q2 FY2023 | | :---------------- | :-------- | :-------- | | Net Income | $7.4 million | $(13.8) million | | Diluted EPS | $0.12 | $(0.22) | [Dividend Declaration](index=1&type=section&id=Dividend%20Declaration) The Board of Directors declared a quarterly cash dividend of $0.11 per share, payable on May 22, 2024 - Quarterly cash dividend declared: **$0.11 per share**[2](index=2&type=chunk) [CEO Commentary & Strategic Focus](index=1&type=section&id=CEO%20Commentary%20%26%20Strategic%20Focus) CEO Craig L. Montanaro emphasized prudent risk management, strong credit performance, and peer-leading capital levels amidst market uncertainty - Company maintains a low loan-to-value, low-vacancy, well-diversified commercial loan portfolio with outstanding credit performance[3](index=3&type=chunk) - Common Equity Tier 1 capital ratio: **14.7%**[3](index=3&type=chunk) Q3 FY2024 Financial Review [Balance Sheet Highlights](index=1&type=section&id=Balance%20Sheet%20Highlights) Total assets decreased slightly to **$7.84 billion**, with loan growth offset by declines in investment securities and deposits, while BOLI significantly increased Key Balance Sheet Changes (QoQ) | Metric | March 31, 2024 | Change from Dec 31, 2023 | Change Pct. | | :-------------------------- | :------------- | :----------------------- | :---------- | | Total assets | $7.84 billion | $(55.9) million | -0.7% | | Investment securities | $1.24 billion | $(47.8) million | -3.7% | | Loans receivable | $5.76 billion | $12.7 million | 0.2% | | Bank-owned life insurance (BOLI) | $296.5 million | $40.4 million | 15.8% | | Deposits | $5.21 billion | $(110.6) million | -2.1% | | Borrowings | $1.72 billion | $55.1 million | 3.3% | - Decrease in non-brokered deposits was driven by a **$48.4 million decline** in retail certificates of deposits and a **$15.7 million decline** in consumer savings deposits[5](index=5&type=chunk) - Available secured borrowing capacity: **$1.81 billion**, of which **$1.47 billion** was immediately accessible[5](index=5&type=chunk) [Earnings Highlights](index=2&type=section&id=Earnings%20Highlights) Net interest income decreased due to a contracted net interest margin, but non-interest income significantly increased, primarily due to the absence of prior period's investment securities portfolio repositioning losses and higher BOLI income [Net Interest Income and Net Interest Margin](index=2&type=section&id=Net%20Interest%20Income%20and%20Net%20Interest%20Margin) Net interest income decreased by **$1.5 million** to **$34.3 million**, with the net interest margin contracting by **5 basis points** to **1.89%** Net Interest Income and Margin (QoQ) | Metric | Q3 FY2024 | Q2 FY2023 | Change | | :------------------ | :-------- | :-------- | :----- | | Net Interest Income | $34.3 million | $35.8 million | $(1.5) million | | Net Interest Margin | 1.89% | 1.94% | -5 bps | - Decrease in net interest margin driven by an increase in the cost of interest-bearing deposits and a decrease in the average balance of interest-earning assets, partially offset by a higher yield on interest-earning assets and a decrease in the cost of interest-bearing borrowings[9](index=9&type=chunk) [Non-Interest Income](index=2&type=section&id=Non-Interest%20Income) Total non-interest income significantly increased by **$20.2 million** to **$4.2 million**, primarily due to the absence of prior period's investment securities portfolio repositioning losses Non-Interest Income (QoQ) | Metric | Q3 FY2024 | Q2 FY2023 | Change | | :-------------------------- | :-------- | :-------- | :------- | | Total Non-Interest Income | $4.2 million | $(16.0) million | $20.2 million | | Income from BOLI | $3.0 million | $1.2 million | $1.8 million | | Loss on sale of loans | $(712,000) | $104,000 | $(816,000) | - Increase in non-interest income primarily attributable to the absence of a pre-tax loss of **$18.1 million** related to investment securities portfolio repositioning in the prior comparative period[9](index=9&type=chunk) - BOLI income included a **$631,000 non-recurring payment** in the current period and was reduced by **$573,000 non-recurring exchange charges** in the prior period, with underlying improvement from BOLI restructure[9](index=9&type=chunk) - Loss on sale of loans resulted from the sale of three related nonperforming commercial real estate loans held-for-sale[9](index=9&type=chunk) [Non-Interest Expense](index=2&type=section&id=Non-Interest%20Expense) Total non-interest expense decreased by **$708,000** to **$29.1 million**, driven by lower salary and benefits and other expenses Non-Interest Expense (QoQ) | Metric | Q3 FY2024 | Q2 FY2023 | Change | | :-------------------------- | :-------- | :-------- | :------- | | Total Non-Interest Expense | $29.1 million | $29.8 million | $(708,000) | | Salary and benefits expense | | | $(371,000) | | Other expense | | | $(522,000) | - Decrease in salary and benefits expense primarily attributable to a non-recurring decrease of **$679,000** in stock-based compensation, partially offset by an increase of **$374,000** in payroll taxes[9](index=9&type=chunk) - Decrease in other expense primarily driven by a **$637,000 decrease** in OREO expense following the sale of the Company's sole OREO asset[9](index=9&type=chunk) [Income Taxes](index=2&type=section&id=Income%20Taxes) Income tax expense decreased by **$0.1 million** to **$1.7 million**, largely due to discrete tax expense associated with BOLI restructure recognized in the prior period Income Tax Expense (QoQ) | Metric | Q3 FY2024 | Q2 FY2023 | Change | | :---------------- | :-------- | :-------- | :------- | | Income Tax Expense | $1.7 million | $1.8 million | $(0.1) million | - Decrease in income tax expense largely due to discrete tax expense associated with BOLI restructure recognized in the prior period, partially offset by higher pre-tax income[9](index=9&type=chunk) [Asset Quality Highlights](index=3&type=section&id=Asset%20Quality%20Highlights) Asset quality improved significantly, with non-performing assets decreasing by **$10.2 million** to **$39.5 million** (0.50% of total assets), driven by the sale of non-performing loans and OREO Asset Quality Metrics (QoQ) | Metric | March 31, 2024 | December 31, 2023 | Change | | :--------------------------------- | :------------- | :---------------- | :------- | | Non-performing assets | $39.5 million | $49.8 million | $(10.2) million | | Non-performing assets (% of total assets) | 0.50% | 0.63% | -0.13% | | Net charge-offs (annualized) | $286,000 (0.02%) | $4.1 million (0.29%) | $(3.8) million | | Provision for credit losses | $349,000 | $2.1 million | $(1.8) million | | Allowance for credit losses (ACL) | $44.9 million (0.78% of total loans) | $44.9 million (0.78% of total loans) | Unchanged | - Decrease in non-performing assets driven by the January 2024 sale of three related non-performing commercial real estate loans held-for-sale and the Company's sole OREO asset[14](index=14&type=chunk) - Provision for credit loss expense for Q3 FY2024 was primarily driven by loan growth[14](index=14&type=chunk) [Capital Highlights](index=3&type=section&id=Capital%20Highlights) Book value and tangible book value per share both increased by **$0.02** (0.2%), with the company maintaining strong regulatory capital ratios exceeding 'well-capitalized' levels Capital Metrics (QoQ) | Metric | March 31, 2024 | Change | | :--------------------------------- | :------------- | :------- | | Book value per share | $13.18 | $0.02 (0.2%) | | Tangible book value per share | $9.87 | $0.02 (0.2%) | | Tangible equity to tangible assets ratio | 8.34% | | - Total stockholders' equity included after-tax net unrealized losses on securities available for sale of **$95.0 million**, partially offset by after-tax unrealized gains on derivatives of **$31.3 million**[14](index=14&type=chunk) - 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'[14](index=14&type=chunk) [Forward-Looking Statements](index=3&type=section&id=Forward-Looking%20Statements) This section includes a standard disclaimer regarding forward-looking statements, noting that such statements are subject to risks and uncertainties that could cause actual results to differ materially - Statements contained in this news release that are not historical facts are forward-looking statements subject to risks and uncertainties[13](index=13&type=chunk) Linked-Quarter Comparative Financial Analysis [Consolidated Balance Sheets](index=4&type=section&id=Consolidated%20Balance%20Sheets) Total assets decreased slightly by **0.7%** to **$7.84 billion**, driven by lower investment securities and cash, partially offset by increased loans receivable and BOLI, while total liabilities decreased due to lower deposits Consolidated Balance Sheets (QoQ) | (Dollars and Shares in Thousands, Except Per Share Data) | March 31, 2024 | December 31, 2023 | Variance or Change | Variance or Change Pct. | | :------------------------------------------------------- | :------------- | :---------------- | :----------------- | :---------------------- | | Total assets | $7,841,972 | $7,897,832 | $(55,860) | -0.7% | | Loans receivable | $5,758,336 | $5,745,629 | $12,707 | 0.2% | | Bank owned life insurance | $296,493 | $256,064 | $40,429 | 15.8% | | Total deposits | $5,209,050 | $5,319,630 | $(110,580) | -2.1% | | Borrowings | $1,722,178 | $1,667,055 | $55,123 | 3.3% | | Total stockholders' equity | $849,078 | $847,978 | $1,100 | 0.1% | | Equity to assets | 10.83% | 10.74% | 0.09% | | | Tangible equity to tangible assets | 8.34% | 8.26% | 0.08% | | | Book value per share | $13.18 | $13.16 | $0.02 | 0.2% | | Tangible book value per share | $9.87 | $9.85 | $0.02 | 0.2% | [Consolidated Statements of Income (Loss)](index=6&type=section&id=Consolidated%20Statements%20of%20Income%20(Loss)) The company reported a **net income of $7.4 million** for Q3 FY2024, a significant improvement from a **net loss of $13.8 million** in the previous quarter, driven by increased non-interest income and decreased non-interest expense Consolidated Statements of Income (Loss) (QoQ) | (Dollars and Shares in Thousands, Except Per Share Data) | March 31, 2024 | December 31, 2023 | Variance or Change | Variance or Change Pct. | | :------------------------------------------------------- | :------------- | :---------------- | :----------------- | :---------------------- | | Total interest income | $82,085 | $82,625 | $(540) | -0.7% | | Total interest expense | $47,766 | $46,786 | $980 | 2.1% | | Net interest income | $34,319 | $35,839 | $(1,520) | -4.2% | | Provision for credit losses | $349 | $2,105 | $(1,756) | -83.4% | | Total non-interest income | $4,203 | $(16,012) | $20,215 | 126.2% | | Total non-interest expense | $29,059 | $29,767 | $(708) | -2.4% | | Income (loss) before income taxes | $9,114 | $(12,045) | $21,159 | 175.7% | | Net income (loss) | $7,397 | $(13,827) | $21,224 | 153.5% | | Diluted EPS | $0.12 | $(0.22) | $0.34 | | | Dividend payout ratio | 92.5% | -49.8% | 142.3% | | [Average Balance Sheet Data](index=8&type=section&id=Average%20Balance%20Sheet%20Data) Average interest-earning assets decreased by **1.6%** to **$7.27 billion**, while average interest-bearing liabilities decreased by **1.3%** to **$6.36 billion**, leading to a slight contraction in their ratio Average Balance Sheet Data (QoQ) | (Dollars in Thousands) | March 31, 2024 | December 31, 2023 | Variance or Change | Variance or Change Pct. | | :--------------------- | :------------- | :---------------- | :----------------- | :---------------------- | | Total interest-earning assets | $7,274,310 | $7,390,251 | $(115,941) | -1.6% | | Total interest-bearing deposits | $4,719,570 | $4,790,411 | $(70,841) | -1.5% | | Total borrowings | $1,639,790 | $1,655,780 | $(15,990) | -1.0% | | Total interest-bearing liabilities | $6,359,360 | $6,446,191 | $(86,831) | -1.3% | | Average interest-earning assets to average interest-bearing liabilities | 114.39% | 114.65% | -0.26% | -0.2% | [Performance Ratio Highlights](index=9&type=section&id=Performance%20Ratio%20Highlights) Net interest margin contracted to **1.89%**, but the efficiency ratio significantly improved to **75.43%** from **150.13%**, and returns on average assets and equity turned positive, reflecting improved net income Performance Ratio Highlights (QoQ) | Metric | March 31, 2024 | December 31, 2023 | Variance | | :--------------------------------- | :------------- | :---------------- | :------- | | Average yield on interest-earning assets | 4.51% | 4.47% | 0.04% | | Average cost of interest-bearing liabilities | 3.00% | 2.90% | 0.10% | | Interest rate spread | 1.51% | 1.57% | -0.06% | | Net interest margin | 1.89% | 1.94% | -0.05% | | Non-interest income to average assets (annualized) | 0.21% | -0.81% | 1.02% | | Non-interest expense to average assets (annualized) | 1.48% | 1.50% | -0.02% | | Efficiency ratio | 75.43% | 150.13% | -74.70% | | Return on average assets (annualized) | 0.38% | -0.70% | 1.08% | | Return on average equity (annualized) | 3.50% | -6.59% | 10.09% | | Return on average tangible equity (annualized) | 4.68% | -8.84% | 13.52% | Five-Quarter Financial Trend Analysis [Consolidated Balance Sheets](index=10&type=section&id=Consolidated%20Balance%20Sheets_5Q) Total assets have declined from **$8.35 billion** in March 2023 to **$7.84 billion** in March 2024, with loans receivable also decreasing, while deposits trended downwards and borrowings generally increased Consolidated Balance Sheets (Five-Quarter Trend) | (Dollars and Shares in Thousands, Except Per Share Data) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :------------------------------------------------------- | :------------- | :---------------- | :----------------- | :------------ | :------------- | | Total assets | $7,841,972 | $7,897,832 | $7,974,866 | $8,064,815 | $8,349,336 | | Loans receivable | $5,758,336 | $5,745,629 | $5,736,049 | $5,829,421 | $5,966,325 | | Total deposits | $5,209,050 | $5,319,630 | $5,434,168 | $5,629,183 | $5,803,404 | | Borrowings | $1,722,178 | $1,667,055 | $1,626,933 | $1,506,812 | $1,611,692 | | Total stockholders' equity | $849,078 | $847,978 | $849,534 | $869,284 | $866,230 | | Equity to assets | 10.83% | 10.74% | 10.65% | 10.78% | 10.37% | | Tangible equity to tangible assets | 8.34% | 8.26% | 8.20% | 8.35% | 8.02% | | Book value per share | $13.18 | $13.16 | $13.04 | $13.20 | $12.99 | | Tangible book value per share | $9.87 | $9.85 | $9.77 | $9.96 | $9.79 | [Supplemental Balance Sheet Highlights](index=12&type=section&id=Supplemental%20Balance%20Sheet%20Highlights) This section details the five-quarter trends in loan portfolio composition, asset quality, and funding, showing declining commercial loans and deposits, increasing borrowings, and improved non-performing assets [Loan Portfolio Composition and Asset Quality](index=12&type=section&id=Loan%20Portfolio%20Composition%20and%20Asset%20Quality) Multi-family mortgages, the largest segment of the loan portfolio, have shown a declining trend, while total non-performing assets have generally decreased over the five quarters Loan Portfolio Composition (Five-Quarter Trend) | (Dollars in Thousands) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :--------------------- | :------------- | :---------------- | :----------------- | :------------ | :------------- | | Multi-family mortgage | $2,645,195 | $2,651,274 | $2,699,151 | $2,761,775 | $2,835,852 | | Total commercial loans | $3,987,517 | $3,964,628 | $4,025,884 | $4,103,819 | $4,216,057 | | One- to four-family residential mortgage | $1,741,644 | $1,746,065 | $1,689,051 | $1,700,559 | $1,713,343 | | Total loans, excluding yield adjustments | $5,775,090 | $5,756,938 | $5,760,475 | $5,850,476 | $5,976,368 | Asset Quality (Five-Quarter Trend) | (Dollars in Thousands) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :--------------------- | :------------- | :---------------- | :----------------- | :------------ | :------------- | | Total nonperforming assets | $39,546 | $49,771 | $50,868 | $55,583 | $57,436 | | Nonperforming assets (% total assets) | 0.50% | 0.63% | 0.64% | 0.69% | 0.69% | | ACL to total loans | 0.78% | 0.78% | 0.81% | 0.83% | 0.82% | | Net charge-offs | $286 | $4,110 | $2,107 | $82 | $206 | [Funding Composition](index=13&type=section&id=Funding%20Composition) Total deposits have consistently declined over five quarters, while total borrowings have generally increased, leading to a higher loans-to-deposits ratio Funding Composition (Five-Quarter Trend) | (Dollars in Thousands) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :--------------------- | :------------- | :---------------- | :----------------- | :------------ | :------------- | | Total deposits | $5,209,050 | $5,319,630 | $5,434,168 | $5,629,183 | $5,803,404 | | Total borrowings | $1,722,178 | $1,667,055 | $1,626,933 | $1,506,812 | $1,611,692 | | Loans as a % of deposits | 109.8% | 107.4% | 104.8% | 102.9% | 102.1% | | Deposits as a % of total funding | 75.2% | 76.1% | 77.0% | 78.9% | 78.3% | | Uninsured deposits (reported) | $1,760,740 | $1,813,122 | $1,734,288 | $1,771,416 | $1,678,051 | [Consolidated Statements of Income (Loss)](index=14&type=section&id=Consolidated%20Statements%20of%20Income%20(Loss)_5Q) Net interest income has consistently declined over five quarters, from **$42.37 million** to **$34.32 million**, while net income fluctuated, with a significant loss in December 2023 followed by a strong recovery Consolidated Statements of Income (Loss) (Five-Quarter Trend) | (Dollars and Shares in Thousands, Except Per Share Data) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :------------------------------------------------------- | :------------- | :---------------- | :----------------- | :------------ | :------------- | | Net interest income | $34,319 | $35,839 | $39,160 | $40,180 | $42,371 | | Provision for (reversal of) credit losses | $349 | $2,105 | $245 | $(306) | $451 | | Total non-interest income | $4,203 | $(16,012) | $4,010 | $3,666 | $1,646 | | Total non-interest expense | $29,059 | $29,767 | $29,774 | $28,761 | $30,352 | | Net income (loss) | $7,397 | $(13,827) | $9,842 | $12,013 | $10,312 | | Diluted EPS | $0.12 | $(0.22) | $0.16 | $0.19 | $0.16 | | Dividend payout ratio | 92.5% | -49.8% | 71.0% | 58.3% | 69.8% | [Average Balance Sheet Data](index=16&type=section&id=Average%20Balance%20Sheet%20Data_5Q) Average interest-earning assets have steadily decreased over five quarters, from **$7.69 billion** to **$7.27 billion**, with a similar decline in average interest-bearing liabilities Average Balance Sheet Data (Five-Quarter Trend) | (Dollars in Thousands) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :--------------------- | :------------- | :---------------- | :----------------- | :------------ | :------------- | | Total interest-earning assets | $7,274,310 | $7,390,251 | $7,450,779 | $7,606,627 | $7,694,236 | | Total interest-bearing deposits | $4,719,570 | $4,790,411 | $4,933,851 | $5,153,792 | $5,291,831 | | Total borrowings | $1,639,790 | $1,655,780 | $1,544,571 | $1,474,371 | $1,403,880 | | Average interest-earning assets to average interest-bearing liabilities | 114.39% | 114.65% | 115.01% | 114.76% | 114.91% | [Performance Ratio Highlights](index=17&type=section&id=Performance%20Ratio%20Highlights_5Q) Net interest margin and interest rate spread have consistently declined over five quarters, while efficiency ratio and returns on assets and equity fluctuated, showing significant improvement in Q3 FY2024 after a prior dip Performance Ratio Highlights (Five-Quarter Trend) | Metric | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :--------------------------------- | :------------- | :---------------- | :----------------- | :------------ | :------------- | | Net interest margin | 1.89% | 1.94% | 2.10% | 2.11% | 2.20% | | Interest rate spread | 1.51% | 1.57% | 1.77% | 1.81% | 1.93% | | Efficiency ratio | 75.43% | 150.13% | 68.97% | 65.60% | 68.96% | | Return on average assets (annualized) | 0.38% | -0.70% | 0.49% | 0.59% | 0.50% | | Return on average equity (annualized) | 3.50% | -6.59% | 4.57% | 5.58% | 4.69% | | Return on average tangible equity (annualized) | 4.68% | -8.84% | 6.07% | 7.41% | 6.20% | Reconciliation of GAAP to Non-GAAP Measures [Adjusted Net Income and Pre-tax, Pre-provision Net Revenue](index=18&type=section&id=Adjusted%20Net%20Income%20and%20Pre-tax,%20Pre-provision%20Net%20Revenue) Adjusted net income for Q2 FY2023 significantly improved from a GAAP loss to a positive figure after accounting for non-recurring items, providing a clearer view of underlying operational performance Adjusted Net Income and Pre-tax, Pre-provision Net Revenue (Five-Quarter Trend) | (Dollars and Shares in Thousands, Except Per Share Data) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :------------------------------------------------------- | :------------- | :---------------- | :----------------- | :------------ | :------------- | | Net income (loss) (GAAP) | $7,397 | $(13,827) | $9,842 | $12,013 | $10,312 | | Non-recurring transactions - net of tax: | | | | | | | Branch consolidation expenses | — | — | — | — | $568 | | Net effect of sale and call of securities | — | $12,876 | — | — | — | | Net effect of bank-owned life insurance restructure | — | $6,286 | — | — | — | | Adjusted net income | $7,397 | $5,335 | $9,842 | $12,013 | $10,880 | | Pre-tax, pre-provision net revenue (non-GAAP) | $9,463 | $(9,940) | $13,396 | $15,085 | $13,665 | | Earnings per share - diluted (GAAP) | $0.12 | $(0.22) | $0.16 | $0.19 | $0.16 | | Adjusted earnings per share - diluted (non-GAAP) | $0.12 | $0.09 | $0.16 | $0.19 | $0.17 | [Adjusted Returns and Efficiency Ratios](index=20&type=section&id=Adjusted%20Returns%20and%20Efficiency%20Ratios) Non-GAAP adjustments significantly transform Q2 FY2023's negative GAAP efficiency ratio and return on average tangible equity into positive adjusted figures, offering a clearer view of core operational performance Adjusted Returns and Efficiency Ratios (Five-Quarter Trend) | (Dollars and Shares in Thousands, Except Per Share Data) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :------------------------------------------------------- | :------------- | :---------------- | :----------------- | :------------ | :------------- | | Return on average tangible equity (non-GAAP) | 4.68% | -8.84% | 6.07% | 7.41% | 6.20% | | Adjusted return on average tangible equity (non-GAAP) | 4.68% | 3.41% | 6.07% | 7.41% | 6.54% | | Efficiency ratio (GAAP) | 75.43% | 150.13% | 68.97% | 65.60% | 68.96% | | Adjusted efficiency ratio (non-GAAP) | 75.43% | 77.25% | 68.97% | 65.60% | 67.14% |

FAIRFIELD, N.J., April 25, 2024 (GLOBE NEWSWIRE) -- Kearny Financial Corp. (NASDAQ GS: KRNY) (the "Company"), the holding company of Kearny Bank (the "Bank"), reported net income for the quarter ended March 31, 2024 of $7.4 million, or $0.12 per diluted share, compared to a net loss of $13.8 million, or $0.22 per diluted share, for the quarter ended December 31, 2023. The net loss for the quarter ended December 31, 2023 was impacted by various non-recurring items, as previously disclosed. The Company also a ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 __________________________________________ FORM 10-Q __________________________________________ (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 31, 2023 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________to Commission File Number 001-37399 _______ ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 __________________________________________ FORM 10-Q __________________________________________ (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________to Commission File Number 001-37399 ______ ...

(Mark One) x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ___________________________________________________ FORM 10-K ___________________________________________________ For the Fiscal Year Ended June 30, 2023 Or o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to Commission File Number: 001-37399 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 __________________________________________ FORM 10-Q __________________________________________ (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR (Exact name of registrant as specified in its charter) __________________________________________ (State or other jurisdiction of incorporation or organization) 120 Passaic Ave., Fairfield, New ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 __________________________________________ FORM 10-Q __________________________________________ (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 31, 2022 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________to Commission File Number 001-37399 _________________________ ...

Financial Performance - Net income for Q3 2022 was $16.5 million, a decrease of 16.2% from $19.7 million in Q3 2021[148]. - Net interest income decreased by $1.1 million to $48.5 million in Q3 2022, compared to $49.6 million in Q3 2021[149]. - Net interest margin decreased by 30 basis points to 2.69% in Q3 2022 from 2.99% in Q3 2021[150]. - Total non-interest income increased by $2.1 million to $5.9 million in Q3 2022[157]. - Total non-interest expense increased by $185,000 to $32.0 million in Q3 2022[159]. - Provision for income taxes decreased by $2.0 million to $5.3 million in Q3 2022 from $7.3 million in Q3 2021[162]. Asset and Liability Management - Total assets increased by $169.7 million to $7.89 billion at September 30, 2022, from $7.72 billion at June 30, 2022[128]. - Net loans receivable increased by $238.0 million, or 4.4%, to $5.61 billion at September 30, 2022, from $5.37 billion at June 30, 2022[132]. - Total deposits increased by $246.0 million, or 4.2%, to $6.11 billion at September 30, 2022, from $5.86 billion at June 30, 2022[142]. - Nonperforming assets decreased by $14.8 million to $77.4 million, or 0.98% of total assets, at September 30, 2022[136]. - The allowance for credit losses totaled $47.6 million, or 0.84% of total loans, reflecting an increase of $555,000 from $47.1 million at June 30, 2022[139]. - Investment securities available for sale decreased by $80.9 million to $1.26 billion at September 30, 2022[129]. Capital Management - Stockholders' equity decreased by $19.0 million to $875.0 million at September 30, 2022, from $894.0 million at June 30, 2022[145]. - Book value per share decreased by $0.14 to $12.88 at September 30, 2022[146]. - The company repurchased 759,806 shares of common stock at a cost of $8.7 million during the quarter ended September 30, 2022[147]. - Total capital to risk-weighted assets ratio was 12.67% as of September 30, 2022, exceeding the minimum regulatory requirement of 8.00%[169]. - Total capital to risk-weighted assets increased to $781,745 (14.49%) as of September 30, 2022, compared to $672,274 (13.10%) on June 30, 2022[170]. - Tier 1 capital to risk-weighted assets rose to $747,258 (13.85%) as of September 30, 2022, up from $642,336 (12.52%) on June 30, 2022[170]. - Common equity tier 1 capital to risk-weighted assets improved to $747,258 (13.85%) as of September 30, 2022, compared to $642,336 (12.52%) on June 30, 2022[170]. Interest Rate Risk - Economic Value of Equity (EVE) decreased by 19.96% to $971,747 under a +300 basis points interest rate scenario as of September 30, 2022[177]. - Net Interest Income (NII) decreased by 8.98% to $177,190 under a +300 basis points interest rate scenario as of September 30, 2022[177]. - The company adopted a five-year capital transition relief period for the implementation of CECL, with the two-year delay ending on June 30, 2022[170]. - Interest rate risk is managed through an Asset/Liability Management (ALM) program overseen by the Board of Directors[173]. - The company’s internal interest rate risk analysis measures the sensitivity of projected NII and EVE to interest rate changes[174]. - As of September 30, 2022, the company’s interest rate risk analysis included scenarios of immediate and permanent shifts in the yield curve up and down by 100, 200, and 300 basis points[176]. - The company's net interest income (NII) is projected to decrease by 15.37% to $1,089,795 thousand under a +300 bps interest rate scenario[178]. - Under a +200 bps scenario, NII is expected to decline by 10.21% to $1,156,219 thousand[178]. - A +100 bps change in interest rates would result in a NII decrease of 3.71%, bringing it to $1,239,935 thousand[178]. - The baseline NII at 0 bps is reported at $1,287,700 thousand, with no percentage change[178]. - A -100 bps scenario indicates a slight NII decrease of 1.20%, resulting in $1,272,203 thousand[178]. - The company's economic value of equity (EVE) is projected to decrease by 15.37% to $178,865 thousand under a +300 bps scenario[178]. - EVE is expected to decline by 10.21% to $187,601 thousand under a +200 bps scenario[178]. - The company acknowledges that future interest rates and their impact on NII are unpredictable and based on numerous assumptions[180]. - Changes in market interest rates can significantly alter projected cash flows of interest-earning assets and interest-costing liabilities[179]. - The company highlights that certain assets and liabilities may react differently to changes in market interest rates, affecting overall interest rate risk exposure[180].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended June 30, 2022 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-37399 KEARNY FINANCIAL CORP. (Exact name of Registrant as specified in its Charter) Maryland 30-0870244 (State or Other Jurisdiction of ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-37399 KEARNY FINANCIAL CORP. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporatio ...