Pathward Fin | 10-Q: FY2026 Q2 Revenue: USD 276.3 M

Revenue: As of FY2026 Q2, the actual value is USD 276.3 M.EPS: As of FY2026 Q2, the actual value is USD 3.35, beating the estimate of USD 3.3467.EBIT: As of FY2026 Q2, the actual value is USD -37.89 M.Consolidated Financial Performance (Six Months Ended March 31)Net Income Attributable to Parent: $108,076 thousand in 2026, compared to $104,923 thousand in 2025.Net Income Before Noncontrolling Interest: $108,526 thousand in 2026, compared to $105,359 thousand in 2025.Provision for Credit Loss: $48,846 thousand in 2026, compared to $53,927 thousand in 2025.Total Noninterest Expense: $270,669 thousand in 2026, compared to $275,973 thousand in 2025.Income Before Income Tax Expense: $129,890 thousand in 2026, compared to $127,530 thousand in 2025.Income Tax Expense: $21,364 thousand in 2026, compared to $22,171 thousand in 2025.Effective Tax Rate: 16.5% in 2026, compared to 17.4% in 2025.Cash Flow from Operating Activities (Six Months Ended March 31)Net Cash Provided by Operating Activities: $341,252 thousand in 2026, significantly up from $116,593 thousand in 2025.Segment Performance (Six Months Ended March 31, 2026 vs. 2025)Consumer SegmentNet Interest Income: $137,075 thousand in 2026, down from $156,694 thousand in 2025.Provision for Credit Loss: $23,439 thousand in 2026, down from $31,993 thousand in 2025.Net Interest Income After Provision for Credit Loss: $113,636 thousand in 2026, down from $124,701 thousand in 2025.Total Noninterest Income: $163,332 thousand in 2026, up from $147,629 thousand in 2025.Refund Transfer Product Fees: $35,144 thousand in 2026, up from $33,073 thousand in 2025.Refund Advance and Other Tax Fee Income: $57,645 thousand in 2026, up from $49,110 thousand in 2025.Card and Deposit Fees: $67,279 thousand in 2026, up from $59,411 thousand in 2025.Secondary Market Revenue: $0 thousand in 2026, compared to $15 thousand in 2025.Other Income: $3,264 thousand in 2026, down from $6,020 thousand in 2025.Revenue (Total): $300,407 thousand in 2026, down from $304,323 thousand in 2025.Noninterest Expense (Selected Categories):Compensation and Benefits: $17,046 thousand in 2026, up from $15,860 thousand in 2025.Building and Software: $5,913 thousand in 2026, up from $4,858 thousand in 2025.Rate Related Card Expenses: $49,271 thousand in 2026, down from $56,411 thousand in 2025.Other Card Expenses: $16,087 thousand in 2026, up from $15,692 thousand in 2025.Tax Product Expenses: $10,617 thousand in 2026, up from $9,848 thousand in 2025.Income (Loss) Before Income Tax Expense: $108,091 thousand in 2026, down from $105,744 thousand in 2025.Commercial SegmentNet Interest Income: $95,195 thousand in 2026, up from $85,280 thousand in 2025.Provision for Credit Loss: $25,408 thousand in 2026, up from $11,164 thousand in 2025.Net Interest Income After Provision for Credit Loss: $69,787 thousand in 2026, down from $74,116 thousand in 2025.Total Noninterest Income: $39,251 thousand in 2026, down from $39,357 thousand in 2025.Card and Deposit Fees: $369 thousand in 2026, down from $434 thousand in 2025.Rental Income: $22,088 thousand in 2026, down from $26,498 thousand in 2025.Secondary Market Revenue: $7,731 thousand in 2026, up from $6,412 thousand in 2025.Gain on Sale of Other: $1,371 thousand in 2026, up from $1,158 thousand in 2025.Other Income: $7,692 thousand in 2026, up from $4,855 thousand in 2025.Revenue (Total): $134,446 thousand in 2026, up from $124,637 thousand in 2025.Noninterest Expense (Selected Categories):Compensation and Benefits: $20,601 thousand in 2026, up from $24,417 thousand in 2025.Building and Software: $4,686 thousand in 2026, up from $4,706 thousand in 2025.Operating Lease Equipment Depreciation: $19,070 thousand in 2026, down from $23,206 thousand in 2025.Income (Loss) Before Income Tax Expense: $58,358 thousand in 2026, down from $53,090 thousand in 2025.Corporate Services/Other SegmentNet Interest Income: $12,192 thousand in 2026, down from $19,554 thousand in 2025.Provision for Credit Loss: - $1 thousand in 2026, compared to $1 thousand in 2025.Net Interest Income After Provision for Credit Loss: $12,193 thousand in 2026, down from $19,553 thousand in 2025.Total Noninterest Income: $2,360 thousand in 2026, down from $8,916 thousand in 2025.Card and Deposit Fees: $18 thousand in 2026, up from $14 thousand in 2025.Rental Income: $479 thousand in 2026, up from $410 thousand in 2025.Loss on Sale of Securities: $0 thousand in 2026, compared to - $22,899 thousand in 2025.Gain on Divestitures: $0 thousand in 2026, compared to $15,044 thousand in 2025.Secondary Market Revenue: $0 thousand in 2026, compared to $13,328 thousand in 2025.Gain on Sale of Other: $0 thousand in 2026, compared to $456 thousand in 2025.Other Income: $1,863 thousand in 2026, down from $2,563 thousand in 2025.Revenue (Total): $14,552 thousand in 2026, down from $28,470 thousand in 2025.Noninterest Expense (Selected Categories):Compensation and Benefits: $70,242 thousand in 2026, up from $60,770 thousand in 2025.Building and Software: $14,182 thousand in 2026, up from $10,449 thousand in 2025.Income (Loss) Before Income Tax Expense: - $36,560 thousand in 2026, up from - $31,304 thousand in 2025.Loans and Leases (as of March 31, 2026 vs. September 30, 2025)Total Gross Loans and Leases: $4,867,165 thousand as of March 31, 2026, up from $4,664,908 thousand as of September 30, 2025.Term Lending: $2,501,855 thousand as of March 31, 2026, up from $2,302,540 thousand as of September 30, 2025.Asset-based Lending: $660,220 thousand as of March 31, 2026, up from $593,265 thousand as of September 30, 2025.Factoring: $213,269 thousand as of March 31, 2026, down from $217,501 thousand as of September 30, 2025.Lease Financing: $126,902 thousand as of March 31, 2026, down from $149,236 thousand as of September 30, 2025.SBA/USDA: $536,637 thousand as of March 31, 2026, up from $511,488 thousand as of September 30, 2025.Other Commercial Finance: $73,694 thousand as of March 31, 2026, down from $149,939 thousand as of September 30, 2025.Consumer Finance: $90,912 thousand as of March 31, 2026, down from $93,319 thousand as of September 30, 2025.Tax Services: $60,191 thousand as of March 31, 2026, significantly up from $2,532 thousand as of September 30, 2025.Warehouse Finance: $604,642 thousand as of March 31, 2026, down from $645,186 thousand as of September 30, 2025.Allowance for Credit Losses (ACL): $98,279 thousand as of March 31, 2026, up from $53,319 thousand as of September 30, 2025.Total Loans and Leases, Net: $4,768,886 thousand as of March 31, 2026, up from $4,611,589 thousand as of September 30, 2025.Nonaccrual Loans and Leases: $91,446 thousand as of March 31, 2026, up from $81,416 thousand as of September 30, 2025.Loans 90 Days or More Delinquent and Accruing: $26,267 thousand as of March 31, 2026, up from $16,203 thousand as of September 30, 2025.Intangible Assets (as of March 31, 2026)Goodwill: $297.9 million.Total Intangible Assets: $10,813 thousand.Trademark: $4,798 thousand.Customer Relationships: $3,234 thousand.All Others: $2,781 thousand.Total Anticipated Intangible Amortization (Remaining in 2026): $1,414 thousand.Outlook/GuidancePathward Financial, Inc. is evaluating the potential impact of new accounting standard updates with effective dates ranging from fiscal year 2027 to 2029. The Company’s future effective tax rate will depend partly on actual investment tax credits generated from qualified renewable energy property. Management continues to monitor economic uncertainty, inflation, geopolitical conflict, and increased interest rates to assess their impact on the loan and lease portfolio and customer businesses.