Core Insights - Flagstar Bank reported a revenue of $557 million for the quarter ended December 2025, reflecting a year-over-year decline of 10.9% but exceeding the Zacks Consensus Estimate by 4.29% [1] - The earnings per share (EPS) was $0.06, a significant improvement from -$0.34 in the same quarter last year, resulting in an EPS surprise of 143.9% compared to the consensus estimate of $0.03 [1] Financial Performance Metrics - Net Interest Margin was reported at 2.1%, surpassing the six-analyst average estimate of 2% [4] - The Efficiency Ratio stood at 91.3%, higher than the five-analyst average estimate of 86% [4] - Book value per common share (GAAP) was $18.37, exceeding the average estimate of $17.07 based on five analysts [4] - Average Balances of Interest earning assets were $86.61 billion, slightly below the estimated $87.49 billion by four analysts [4] - Net charge-offs to average loans were 0.3%, better than the four-analyst average estimate of 0.4% [4] - Leverage Capital Ratio was reported at 9.2%, matching the average estimate based on two analysts [4] - Net Interest Income was $467 million, above the average estimate of $449.37 million from six analysts [4] - Total non-interest income was $90 million, exceeding the six-analyst average estimate of $84.31 million [4] - Fee income was $22 million, below the average estimate of $25.19 million from four analysts [4] - Bank-owned life insurance income was $17 million, significantly higher than the average estimate of $11.28 million [4] - Other non-interest income was $33 million, lower than the average estimate of $37.83 million from three analysts [4] - Net gain on loan sales and securitizations was $8 million, above the three-analyst average estimate of $6.8 million [4] Stock Performance - Flagstar Bank's shares have returned +7.6% over the past month, outperforming the Zacks S&P 500 composite's +0.9% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]
Flagstar Bank (FLG) Reports Q4 Earnings: What Key Metrics Have to Say