WSFS Reports 4Q 2025 EPS of $1.34 and ROA of 1.33% Results Driven by Loan and Deposit Growth 2025 Full-Year EPS of $5.09 and ROA of 1.36%
WSFS Financial Corporation (Nasdaq: WSFS), the parent company of WSFS Bank, today announced its financial results for the full year and fourth quarter of 2025.
Selected financial results and metrics are as follows:
(Dollars in millions, except per share data) | 4Q 2025 | 3Q 2025 | 4Q 2024 | 2025 | 2024 | |||||||||||||||
Net interest income | $ | 187.4 | $ | 184.0 | $ | 178.2 | $ | 726.1 | $ | 705.4 | ||||||||||
Fee revenue | 84.5 | 86.5 | 83.3 | 339.9 | 340.9 | |||||||||||||||
Total net revenue | 271.9 | 270.5 | 261.5 | 1,066.0 | 1,046.4 | |||||||||||||||
Provision for credit losses | 12.7 | 6.6 | 8.0 | 49.2 | 61.4 | |||||||||||||||
Noninterest expense | 162.0 | 163.1 | 169.1 | 636.2 | 637.7 | |||||||||||||||
Net income attributable to WSFS | 72.7 | 76.4 | 64.2 | 287.3 | 263.7 | |||||||||||||||
Pre-provision net revenue (PPNR) (1) | 109.9 | 107.4 | 92.4 | 429.8 | 408.7 | |||||||||||||||
Earnings per share (EPS) (diluted) | 1.34 | 1.37 | 1.09 | 5.09 | 4.41 | |||||||||||||||
Return on average assets (ROA) (a) | 1.33 | % | 1.44 | % | 1.21 | % | 1.36 | % | 1.27 | % | ||||||||||
Return on average equity (ROE) (a) | 10.5 | 11.3 | 9.7 | 10.7 | 10.4 | |||||||||||||||
Fee revenue as % of total net revenue | 31.0 | 31.9 | 31.8 | 31.8 | 32.5 | |||||||||||||||
Efficiency ratio | 59.5 | 60.2 | 64.6 | 59.6 | 60.9 | |||||||||||||||
See “Notes” |
GAAP results for the periods shown include items that are excluded from core results. Below is a summary of the financial effects of these items. In 4Q 2025, these items include an unrealized write-down of an equity investment, an increase to our Visa B derivative liability, and early extinguishment of senior debt. For additional detail, refer to the Non-GAAP Reconciliation in the back of this earnings release.
4Q 2025 | 3Q 2025 | 4Q 2024 | 2025 | 2024 | ||||||||||||||||||||||||||||||||||
(Dollars in millions, except per share data) | Total (pre-tax) | Per share (after-tax) | Total (pre-tax) | Per share (after-tax) | Total (pre-tax) | Per share (after-tax) | Total (pre-tax) | Per share (after-tax) | Total (pre-tax) | Per share (after-tax) | ||||||||||||||||||||||||||||
Fee revenue | $ | (5.6 | ) | $ | (0.08 | ) | $ | (1.5 | ) | $ | (0.02 | ) | $ | 0.1 | $ | — | $ | (7.0 | ) | $ | (0.10 | ) | $ | 5.1 | $ | 0.06 | ||||||||||||
Noninterest expense | 1.1 | 0.02 | 0.9 | 0.01 | 2.1 | 0.03 | 2.0 | 0.03 | 3.4 | 0.04 | ||||||||||||||||||||||||||||
Income tax impacts | (1.6 | ) | (0.03 | ) | (0.6 | ) | (0.01 | ) | (0.4 | ) | (0.01 | ) | (2.1 | ) | (0.04 | ) | 0.5 | 0.01 | ||||||||||||||||||||
(1) As used in this press release, PPNR is a non-GAAP financial measure that adjusts net income determined in accordance with GAAP to exclude the impacts of (i) income tax provision and (ii) provision for credit losses. For a reconciliation of this and other non-GAAP financial measures to their most directly comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release. |
CEO Commentary
Rodger Levenson, Chairman, CEO and President, said, "2025 was a very successful year for WSFS. Tangible book value per share (2) increased 21% to $33.11, full-year core EPS (2) of $5.21 represented a 19% increase from the prior year, and core ROA (2) of 1.39% increased 13bps when compared with 2024. These results reflect growth across all of our businesses, underscoring our diversified business model.
"Our fourth quarter results were strong, with a core EPS of $1.43, reflecting 29% year-over-year growth and a core ROA of 1.42%, an increase of 18bps year-over-year.
"These quarterly results were driven by strong performance in our fee-based businesses, led by 13% year-over-year growth in Wealth and Trust. In addition, we had the highest quarterly Commercial loan funding in over two years, led by C&I as we continue to take market share and support ongoing client investment.
"Overall, WSFS enters 2026 with positive momentum as we move into the second year of our Strategic Plan. Finally, a special thank you to our over 2,300 highly talented Associates for their commitment and dedication this past year, delivering on our Mission and Strategy of 'We Stand for Service'."
(2) As used in this press release, core EPS, core ROA, and tangible book value per share are non-GAAP financial measures. These non-GAAP financial measures exclude certain pre-tax adjustments and the tax impact of such adjustments. For a reconciliation of non-GAAP financial measures to their most directly comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release. |
Highlights for 4Q 2025:
- Core EPS of $1.43 compared to $1.40 for 3Q 2025, and $1.11 for 4Q 2024, reflecting a year-over-year increase of 29%.
- Core ROA of 1.42% compared to 1.48% for 3Q 2025 and 1.24% for 4Q 2024, reflecting a year-over-year increase of 18bps.
- Wealth and Trust continued to deliver double-digit (13%) year-over-year growth.
- WSFS Institutional Services ® ended 2025 as the securitization industry's fourth most active trustee for U.S. ABS and MBS according to Asset-Backed Alert's ABS Database.
- Broad-based 2% quarter-over-quarter loan growth, led by 4% growth in C&I and continued momentum in WSFS-originated consumer loans and residential mortgage which grew 5%.
- 2% quarter-over-quarter growth in client deposits with strong noninterest demand growth of 6% due to WSFS Institutional Services ® and Private Wealth Management.
- Issued $200 million of Fixed-to-Floating Senior Notes due 2035, with a fixed interest rate of 5.375% for the first five years. The proceeds from this issuance were concurrently used to redeem $150 million of Fixed-to-Floating Senior Notes due 2030 (3 Month Term SOFR + 248bps).
- Repurchased $109.3 million of common stock (3.7% of outstanding shares (3) ) and paid quarterly dividends of $9.2 million, for a total capital return of $118.5 million.
(3) 4Q 2025 repurchases represent 3.7% of outstanding shares as of September 30, 2025. |
Fourth Quarter 2025 Discussion of Financial Results
Balance Sheet
The following table summarizes loan and lease balances and composition at December 31, 2025 compared to September 30, 2025 and December 31, 2024:
Loans and Leases | |||||||||||||||||||||
(Dollars in millions) | December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||||||||||||||
Commercial & industrial (C&I) (4) | $ | 4,766 | 36 | % | $ | 4,587 | 36 | % | $ | 4,652 | 36 | % | |||||||||
Commercial mortgage | 3,916 | 30 | 3,856 | 30 | 4,031 | 31 | |||||||||||||||
Construction | 1,024 | 7 | 1,004 | 7 | 832 | 6 | |||||||||||||||
Commercial small business leases | 603 | 5 | 617 | 5 | 648 | 5 | |||||||||||||||
Total commercial loans and leases | 10,309 | 78 | 10,064 | 78 | 10,163 | 78 | |||||||||||||||
Residential mortgage | 1,120 | 9 | 1,062 | 8 | 992 | 8 | |||||||||||||||
Consumer | 1,894 | 14 | 1,897 | 15 | 2,086 | 16 | |||||||||||||||
Gross loans and leases | 13,323 | 101 | % | 13,023 | 101 | % | 13,241 | 102 | % | ||||||||||||
Allowance for Credit Losses (ACL) | (179 | ) | (1 | ) | (183 | ) | (1 | ) | (195 | ) | (2 | ) | |||||||||
Net loans and leases | $ | 13,144 | 100 | % | $ | 12,840 | 100 | % | $ | 13,046 | 100 | % |
At December 31, 2025, WSFS’ gross loan and lease portfolio increased $299.6 million, or 2% (not annualized), when compared with September 30, 2025. The increase was driven by growth in C&I (4%), commercial mortgage (2%), residential mortgage (5%), and the WSFS-originated consumer loan portfolio (5%) which was offset by continued runoff of the Spring EQ loans.
Gross loans and leases at December 31, 2025 increased 1% when compared with December 31, 2024. Excluding the impacts from the sale of the Upstart portfolio and runoff of Spring EQ, gross loans and leases increased 3%, with growth in construction loans (23%), C&I (2%), residential mortgage (13%), and WSFS-originated consumer loans (16%). These increases were partially offset by a 3% decline in commercial mortgage.
(4) Includes owner-occupied real estate. |
The following table summarizes client deposit balances and composition at December 31, 2025 compared to September 30, 2025 and December 31, 2024:
Client Deposits | ||||||||||||||||||
( Dollars in millions) | December 31, 2025 | September 30, 2025 | December 31, 2024 | |||||||||||||||
Noninterest demand | $ | 5,577 | 32 | % | $ | 5,237 | 31 | % | $ | 4,988 | 29 | % | ||||||
Interest-bearing demand | 2,884 | 16 | 2,966 | 17 | 2,973 | 17 | ||||||||||||
Savings | 1,410 | 8 | 1,408 | 8 | 1,466 | 9 | ||||||||||||
Money market | 5,762 | 33 | 5,536 | 32 | 5,472 | 32 | ||||||||||||
Total core deposits | 15,633 | 89 | 15,147 | 88 | 14,899 | 87 | ||||||||||||
Time deposits | 2,009 | 11 | 2,079 | 12 | 2,131 | 13 | ||||||||||||
Total client deposits | $ | 17,642 | 100 | % | $ | 17,226 | 100 | % | $ | 17,030 | 100 | % |
Total client deposits increased by $416.3 million, or 2% (not annualized), when compared with September 30, 2025, with growth in Trust, Private Wealth Management and Consumer, partially offset by seasonal outflows of municipal deposits. Noninterest demand deposits grew 6% and comprise over 30% of total client deposits.
Total client deposits increased by $612.7 million, or 4% from December 31, 2024, including noninterest demand deposit growth of 12%, both led by growth in Trust and Private Wealth Management.
The deposit base remains well-diversified, with 54% of quarterly average client deposits coming from the Commercial, Small Business, and Wealth and Trust businesses. No- and low-cost checking accounts represented 48% of average total client deposits with a weighted average cost of 32bps for the quarter. The loan-to-deposit ratio (5) was 74% at December 31, 2025, providing capacity to fund additional loan growth.
(5) Ratio of net loans and leases to total client deposits. |
Net Interest Income
Three Months Ending | ||||||||||||
( Dollars in millions) | December 31, 2025 | September 30, 2025 | December 31, 2024 | |||||||||
Net interest income before purchase accretion | $ | 186.0 | $ | 182.6 | $ | 175.8 | ||||||
Purchase accounting accretion | 1.4 | 1.4 | 2.4 | |||||||||
Net interest income | $ | 187.4 | $ | 184.0 | $ | 178.2 | ||||||
Net interest margin before purchase accretion | 3.80 | % | 3.88 | % | 3.75 | % | ||||||
Purchase accounting accretion | 0.03 | 0.03 | 0.05 | |||||||||
Net interest margin | 3.83 | % | 3.91 | % | 3.80 | % |
Net interest income increased $3.3 million, or 2% (not annualized), compared to 3Q 2025, primarily driven by lower deposit costs, higher cash balances from deposit growth, and loan growth.
Net interest income increased $9.1 million, or 5%, compared to 4Q 2024, driven by lower deposit costs as well as higher cash balances from growth in deposits. The increase was partially offset by lower loan yields and lower average loan balances driven by the Upstart loan sale and runoff of the Spring EQ portfolio.
Total loan yields were 6.40%, a decrease of 24bps when compared to 3Q 2025, driven by the impacts of rate cuts and a one-time prior-quarter interest recovery. Total client deposit costs were 1.45% and interest-bearing deposit costs were 2.17%, decreases of 17bps and 20bps, respectively, compared to the prior quarter, driven by deposit repricing actions.
Net interest margin of 3.83% decreased 8bps compared to 3Q 2025 primarily due to lower loan yields as described above. The decrease was partially offset by lower deposit costs, deposit mix, and loan growth. Net interest margin increased 3bps from 4Q 2024 due to lower deposit costs and higher cash balances, partially offset by lower loan balances and loan yields.
Asset Quality
(Dollars in millions) | December 31, 2025 | September 30, 2025 | December 31, 2024 | |||||||||
Problem assets (6) | $ | 535.9 | $ | 629.7 | $ | 645.0 | ||||||
Delinquencies (n) | 168.4 | 104.7 | 121.8 | |||||||||
Nonperforming assets (n) | 72.1 | 72.6 | 127.4 | |||||||||
Net charge-offs on loans and leases | 15.2 | 9.9 | 10.2 | |||||||||
Total net credit costs (r) | 12.0 | 8.4 | 8.7 | |||||||||
Problem assets to total Tier 1 capital plus ACL on loans and leases | 21.98 | % | 26.64 | % | 26.21 | % | ||||||
Classified assets to total Tier 1 capital plus ACL on loans and leases | 17.59 | 19.20 | 21.40 | |||||||||
Ratio of nonperforming assets to total assets (n) | 0.34 | 0.35 | 0.61 | |||||||||
Delinquencies (n) to gross loans (i) | 1.27 | 0.81 | 0.92 | |||||||||
Ratio of quarterly net charge-offs to average gross loans | 0.46 | 0.30 | 0.31 | |||||||||
Ratio of allowance for credit losses to total loans and leases (q) | 1.36 | 1.41 | 1.48 | |||||||||
Ratio of allowance for credit losses to nonaccruing loans (n) | 250 | 254 | 160 | |||||||||
See “Notes” |
Problem assets decreased by $93.8 million (4.66% of Tier 1 capital plus ACL on loans and leases), primarily due to favorable net migration, and ended the year at the lowest level in over two years. Nonperforming assets were essentially flat compared to September 30, 2025 and down approximately 40% compared to December 31, 2024.
Delinquencies increased $63.7 million (46bps of gross loans) compared to September 30, 2025 due to several previously identified problem assets moving to delinquent status in the quarter. Approximately $19 million of this increase relates to nonperforming loans. The remaining increase is primarily driven by three CRE loans which are well-secured.
Net charge-offs increased $5.3 million to $15.2 million, or 46bps (annualized) of average gross loans during the quarter, primarily due to the partial charge-off of a nonperforming land development loan. Excluding Upstart, which was largely divested in 3Q 2025, net charge-offs for the year were 40bps of average gross loans.
Total net credit costs of $12.0 million increased $3.6 million compared to 3Q 2025 as provision increased primarily due to net loan growth.
The ACL on loans and leases was $179.6 million as of December 31, 2025, a decrease of $3.6 million when compared to September 30, 2025, and the ACL coverage ratio decreased 5bps to 1.36%. These decreases were primarily due to the partial charge-off of a nonperforming loan as well as favorable payoffs and net migration.
(6) Problem assets includes all criticized, classified, and nonperforming loans as well as other real estate owned (OREO). |
Core Fee Revenue (7)
Core fee revenue (noninterest income) of $90.1 million increased $2.1 million, or 2% (not annualized), compared to 3Q 2025. The increase was driven by broad-based growth of 9% across Wealth and Trust in WSFS Institutional Services ® , Private Wealth Management, and the Bryn Mawr Trust Company of Delaware (BMT of DE). The increase was partially offset by a decline in Cash Connect ® , driven by lower volume and rates (which was more than offset in noninterest expense).
Core fee revenue increased $6.9 million, or 8%, compared to 4Q 2024. The increase is driven by double-digit growth across Wealth and Trust, Capital Markets, and WSFS Home Lending. These increases were partially offset by a $2.1 million decrease in Cash Connect ® , primarily due to lower volume and interest rates. For the full year 2025, Wealth and Trust delivered 16% year-over-year growth, with 35% in WSFS Institutional Services ® and 19% in BMT of DE.
For 4Q 2025, our core fee revenue ratio (7) was 32.4% compared to 32.3% in 3Q 2025 and 31.8% in 4Q 2024. Fee revenue diversification is a differentiator with further growth opportunities expected.
(7) As used in this press release, core fee revenue and core fee revenue ratio are non-GAAP financial measures. These non-GAAP financial measures exclude certain pre-tax adjustments and the tax impact of such adjustments. For a reconciliation of these and other non-GAAP financial measures to their most directly comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release. |
Core Noninterest Expense (8)
Core noninterest expense of $160.9 million decreased $1.2 million, or 1% (not annualized), compared to 3Q 2025. The decrease is primarily due to lower commitment reserves and timing-related loan workout costs as well as a decrease in Cash Connect ® external funding costs due to lower rates and lower ATM volume. The decrease was partially offset by higher salaries and benefits, driven by higher performance-based incentive accruals.
Core noninterest expense decreased $6.1 million, or 4%, compared to 4Q 2024. The decrease was primarily driven by a $4.8 million decline in Cash Connect ® external funding costs due to lower volume and rates as well as $1.9 million of one-time expenses associated with a client termination in 4Q 2024.
Excluding the Cash Connect ® impacts, core noninterest expense increased $0.6 million, or less than 1%, compared to 4Q 2024, primarily due to higher salaries and benefits, mainly as a result of talent additions in key business areas and performance-based increases. The increase was partially offset by lower professional fees.
Our core efficiency ratio (8) was 57.9% in 4Q 2025, compared to 59.5% in 3Q 2025 and 63.8% in 4Q 2024, reflecting our focus on expense discipline while continuing to invest in the franchise.
Income Taxes
We recorded a $24.5 million income tax provision in 4Q 2025, compared to $24.4 million in 3Q 2025 and $20.2 million in 4Q 2024. The increase compared to 4Q 2024 was primarily due to higher income before taxes and certain tax credits recognized in 2024.
The effective tax rate was 25.2% in 4Q 2025 compared to 24.2% in 3Q 2025 and 23.9% in 4Q 2024. The increase in effective tax rate compared to 3Q 2025 is primarily due to higher nondeductible expenses and higher state taxes. The increase in effective tax rate compared to 4Q 2024 is attributable to lower tax credits in 2025.
(8) As used in this press release, core noninterest expense and core efficiency ratio are non-GAAP financial measures. These non-GAAP financial measures exclude certain pre-tax adjustments and the tax impact of such adjustments. For a reconciliation of these and other non-GAAP financial measures to their most directly comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release. |
Capital Management
Capital ratios remain strong and are all substantially in excess of the “well-capitalized” regulatory benchmarks at December 31, 2025, with a Common Equity Tier 1 capital ratio and Tier 1 capital ratio of 13.92%, Tier 1 leverage ratio of 10.59%, and Total Risk-based capital ratio of 15.67%.
WSFS’ total stockholders’ equity decreased $14.7 million, or 1% (not annualized), during 4Q 2025. The decrease was primarily due to capital returns to stockholders of $118.5 million (comprised of $109.3 million from share repurchases and $9.2 million from quarterly dividends), partially offset by quarterly earnings of $72.7 million and a decrease in accumulated other comprehensive loss of $29.1 million, driven by market-value increases on available-for-sale investment securities.
WSFS’ tangible common equity (9) decreased $11.0 million, or 1% (not annualized), compared to September 30, 2025, primarily due to the reasons described above. WSFS’ common equity to assets ratio decreased 36bps to 12.85% during the quarter, and our tangible common equity to tangible assets ratio (9) was 8.69% at December 31, 2025, a decrease of 27bps, compared to the prior quarter.
At December 31, 2025, book value per share was $51.27, an increase of $1.60, or 3% (not annualized), from September 30, 2025, and tangible book value per share was $33.11, an increase of $1.00, or 3% (not annualized), from September 30, 2025, primarily due to capital returns during the quarter. Book value per share increased $7.12, or 16%, and tangible book value per share increased $5.81, or 21%, compared to 4Q 2024.
During 4Q 2025, WSFS repurchased 2,029,468 shares of common stock for an aggregate of $109.3 million. As of December 31, 2025, WSFS has 3,621,207 shares, or approximately 7% of outstanding shares, available for repurchase under its current authorizations. Full-year total capital returned to stockholders through share repurchases and quarterly dividends was $324.7 million.
The Board of Directors approved a quarterly cash dividend of $0.17 per share of common stock. This dividend will be paid on February 27, 2026 to stockholders of record as of February 13, 2026.
(9) As used in this press release, tangible common equity and tangible common equity to tangible assets ratio are non-GAAP financial measures. These non-GAAP financial measures exclude goodwill and intangible assets and the related tax-effected amortization. For a reconciliation of these and other non-GAAP financial measures to their most directly comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release. |
Selected Business Segments (included in previous results):
Wealth and Trust
The Wealth and Trust segment provides a broad array of planning and advisory services, investment management, trust services, credit and deposit products to individual, corporate, and institutional Clients.
Selected quarterly performance results and metrics are as follows:
(Dollars in millions, except where otherwise noted) | December 31, 2025 | September 30, 2025 | December 31, 2024 | |||||||
Net interest income | $ | 27.2 | $ | 24.0 | $ | 23.1 | ||||
Provision for credit losses | 1.0 | (0.1 | ) | 0.4 | ||||||
Fee revenue (10) | 46.2 | 42.3 | 40.3 | |||||||
Noninterest expense (10) | 32.1 | 32.0 | 29.9 | |||||||
Pre-tax income | 40.2 | 34.4 | 33.1 | |||||||
Performance Metrics | ||||||||||
WSFS Institutional Services ® and BMT of DE fee revenue | $ | 31.3 | $ | 27.6 | $ | 24.1 | ||||
Private Wealth Management fee revenue | 15.5 | 14.8 | 15.8 | |||||||
AUM/AUA ( in billions) (11) | 97.4 | 93.4 | 89.4 |
Wealth and Trust pre-tax income was $40.2 million, which increased $5.8 million, or 17% (not annualized), compared to 3Q 2025, driven by increases in fee revenue of $3.9 million, or 9%, and net interest income of $3.2 million, or 13%.
The increase in fee revenue was due to higher transaction and agency fees across WSFS Institutional Services ® and BMT of DE, as well as higher AUM in Private Wealth Management. The increase in net interest income was due to higher deposit balances in Corporate Trust and Private Wealth Management.
Wealth and Trust pre-tax income increased $7.1 million, or 21%, compared to 4Q 2024, driven by increases in fee revenue of $5.9 million, or 15%, and net interest income of $4.2 million, or 18%. These increases were partially offset by an increase in noninterest expense of $2.3 million, or 8%.
The increase in fee revenue was driven by growth in WSFS Institutional Services ® and BMT of DE, the increase in net interest income was due to higher deposit balances in Corporate Trust and Private Wealth Management, and the increase in noninterest expense was primarily from performance-based incentives.
AUM/AUA increased to $97.4 billion at the end of 4Q 2025, representing growth of 4% quarter-over-quarter and 9% year-over-year, driven by Client and account growth as well as market appreciation.
(10) Includes intercompany allocation of revenue and expense. |
(11) Represents Assets Under Management and Assets Under Administration, in billions. |
Cash Connect ®
Cash Connect ® is a premier provider of ATM vault cash, smart safe and cash logistics services in the United States, servicing non-bank ATMs and smart safes nationwide and supporting ATMs for WSFS Bank Clients with one of the largest branded ATM networks in our region .
Selected quarterly financial results and metrics are as follows:
(Dollars in millions) | December 31, 2025 | September 30, 2025 | December 31, 2024 | |||||||||
Net revenue (12) | $ | 20.7 | $ | 22.0 | $ | 21.8 | ||||||
Noninterest expense (13) | 18.1 | 19.6 | 25.2 | |||||||||
Pre-tax income | 2.6 | 2.3 | (3.4 | ) | ||||||||
Performance Metrics | ||||||||||||
Average cash managed | $ | 1,292 | $ | 1,386 | $ | 1,585 | ||||||
Number of serviced non-bank ATMs and smart safes | 35,958 | 36,511 | 38,574 | |||||||||
Number of WSFS owned and branded ATMs | 488 | 524 | 567 | |||||||||
Net profit margin | 12.70 | % | 10.64 | % | (15.40 | )% | ||||||
ROA | 2.11 | % | 1.67 | % | (2.63 | )% |
Cash Connect ® net profit margin increased 206bps to 12.70% compared to 3Q 2025. When excluding the impacts from a nonrecurring client termination in 4Q 2024, net profit margin (14) increased 720bps year-over-year.
Pre-tax income of $2.6 million in 4Q 2025 increased $0.3 million, or 12% (not annualized), compared to 3Q 2025, driven by lower cost of non-earning cash. Net revenue decreased $1.3 million and noninterest expense decreased $1.6 million compared to 3Q 2025, both driven by lower volume and interest rates.
Excluding the previously mentioned client termination in 4Q 2024, pre-tax income (14) increased $1.3 million, net revenue (14) decreased by $3.9 million, and noninterest expense (14) decreased $5.2 million year-over-year. The increase in pretax income was driven by the impact of interest rates (lower revenues were more than offset by lower expenses), pricing initiatives (increased revenues), and expense optimization. These impacts were partially offset by lower ATM and managed services volume, which also resulted in lower revenues and noninterest expense.
(12) Includes intercompany allocation of income and net interest income. |
(13) Includes intercompany allocation of expense. |
| (14) As used in this press release, adjusted net profit margin, adjusted pre-tax income, adjusted net revenue, and adjusted noninterest expense are non-GAAP financial measures. These measures exclude the impact of a nonrecurring client termination in 4Q 2024. For a reconciliation of these and other non-GAAP financial measures to their most directly comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release. |
Fourth Quarter 2025 Earnings Release Conference Call
Management will conduct a conference call to review 4Q 2025 results at 1:00 p.m. Eastern Time (ET) on Tuesday, January 27, 2026. Interested parties may access the conference call live on our Investor Relations website ( https://investors.wsfsbank.com ). For those who cannot access the live conference call, a replay will be accessible shortly after the event concludes through our Investor Relations website.
About WSFS Financial Corporation
WSFS Financial Corporation is a multibillion-dollar financial services company. Its primary subsidiary, WSFS Bank, is the oldest and largest locally headquartered bank and wealth management franchise in the Greater Philadelphia and Delaware region. As of December 31, 2025, WSFS Financial Corporation had $21.3 billion in assets on its balance sheet and $97.4 billion in assets under management and administration. WSFS operates from 113 offices, 87 of which are banking offices, located in Pennsylvania (58), Delaware (37), New Jersey (14), Florida (2), Nevada (1) and Virginia (1) and provides comprehensive financial services including commercial banking, consumer banking, treasury management, and trust and wealth management. Other subsidiaries or divisions include Arrow Land Transfer, Bryn Mawr Trust Advisors, LLC, Bryn Mawr Trust ® , The Bryn Mawr Trust Company of Delaware, Cash Connect ® , NewLane Finance ® , WSFS Wealth ® Management, LLC, WSFS Institutional Services ® , WSFS Mortgage ® , and WSFS Wealth ® Investments. Serving the Greater Delaware Valley since 1832, WSFS Bank is one of the ten oldest banks in the United States continuously operating under the same name. For more information, please visit www.wsfsbank.com .
Forward-Looking Statements
This press release contains estimates, predictions, opinions, projections and other "forward-looking statements" as that phrase is defined in the Private Securities Litigation Reform Act of 1995. Such statements include, without limitation, references to the Company's predictions or expectations of future business or financial performance as well as its goals and objectives for future operations, financial and business trends, business prospects, and management's outlook or expectations for earnings, revenues, expenses, capital levels, liquidity levels, asset quality or other future financial or business performance, strategies or expectations. The words “believe,” “expect,” “anticipate,” “plan,” “estimate,” “target,” “project” and similar expressions, among others, generally identify forward-looking statements. Such forward-looking statements are based on various assumptions (some of which may be beyond the Company's control) and are subject to risks and uncertainties (which change over time) and other factors which could cause actual results to differ materially from those currently anticipated. Such risks and uncertainties include, but are not limited to, difficult market conditions and unfavorable economic trends in the United States generally and in financial markets, particularly in the markets in which the Company operates and in which its loans are concentrated, including difficult and unfavorable conditions and trends related to housing markets, costs of living, unemployment levels, interest rates, supply chain issues, inflation, and economic growth; possible additional loan losses and impairment of the collectability of loans; the Company's level of nonperforming assets and the costs associated with resolving problem loans including litigation and other costs and complying with government-imposed foreclosure moratoriums; the credit risk associated with the substantial amount of commercial real estate, commercial and industrial, and construction and land development loans in the Company's loan portfolio; changes in market interest rates, which may increase funding costs and reduce earning asset yields and thus reduce margin; the impact of changes in interest rates and changes in the credit quality and strength of underlying collateral and the effect of such changes on the market value of the Company's investment securities portfolio, which could impact market confidence in the Company's operations; the extensive federal and state regulation, supervision and examination governing almost every aspect of the Company's operations, and potential expenses associated with complying with such regulations; the Company's ability to comply with applicable capital and liquidity requirements, including its ability to generate liquidity internally or raise capital on favorable terms; the impacts related to or resulting from bank failures and other economic industry volatility, including potential increased regulatory requirements and costs and potential impacts to macroeconomic conditions; changes in trade, monetary and fiscal policies and stimulus programs, laws and regulations and other activities of governments, agencies, and similar organizations, and the uncertainty of the short- and long-term impacts of such changes; any impairments of the Company's goodwill or other intangible assets; the success of the Company's growth plans across our WSFS Bank, Cash Connect ® and/or Wealth and Trust segments; the Company's ability to successfully integrate and fully realize the cost savings and other benefits of its acquisitions, manage risks related to business disruption following those acquisitions, and post-acquisition Client acceptance of the Company's products and services and related Client disintermediation; negative perceptions or publicity with respect to the Company generally and, in particular, the Company's Wealth and Trust business; failure of the financial and/or operational controls of the Company's Cash Connect ® and/or Wealth and Trust segments; adverse judgments or other resolution of pending and future legal proceedings, and cost incurred in defending such proceedings; the Company's reliance on third parties for certain important functions, including the operation of its core systems, and any failures by such third parties; system failures or cybersecurity incidents or other breaches of the Company's network security, particularly given remote working arrangements; any actual or perceived failure or deficiency in the use of artificial intelligence by the Company or third-party vendors or service providers; the Company's ability to recruit and retain key Associates; the effects of weather, including climate change, and natural disasters such as floods, droughts, wind, tornadoes, wildfires and hurricanes as well as effects from geopolitical instability, armed conflicts, public health crises and man-made disasters including terrorist attacks; the effects of regional or national civil unrest (including any resulting branch or ATM closures or damage); possible changes in the speed of loan prepayments by the Company's Clients and loan origination or sales volumes; possible changes in market valuations and/or the speed of prepayments of mortgage-backed securities (MBS) due to changes in the interest rate environment, and the related acceleration of premium amortization on prepayments in the event that prepayments accelerate; regulatory limits on the Company's ability to receive dividends from its subsidiaries, and pay dividends to its stockholders; any reputation, credit, interest rate, market, operational, litigation, legal, liquidity, regulatory and compliance risk resulting from developments related to any of the risks discussed above; any compounding effects or unexpected interactions of the risks discussed above; and other risks and uncertainties, including those discussed in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 and other documents filed by the Company with the Securities and Exchange Commission from time to time.
The Company cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date they are made. The Company disclaims any duty to revise or update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company for any reason, except as specifically required by law. As used in this press release, the terms "WSFS," "the Company," "registrant," "we," "us," and "our" mean WSFS Financial Corporation and its subsidiaries, on a consolidated basis, unless the context indicates otherwise.
WSFS FINANCIAL CORPORATION | |||||||||||||||||||
FINANCIAL HIGHLIGHTS | |||||||||||||||||||
SUMMARY STATEMENTS OF INCOME (Unaudited) | |||||||||||||||||||
Three months ended | Twelve months ended | ||||||||||||||||||
(Dollars in thousands, except per share data) | December 31, 2025 | September 30, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | ||||||||||||||
Interest income: | |||||||||||||||||||
Interest and fees on loans | $ | 212,247 | $ | 218,250 | $ | 226,886 | $ | 863,254 | $ | 918,381 | |||||||||
Interest on mortgage-backed securities | 24,526 | 24,202 | 24,995 | 98,004 | 102,024 | ||||||||||||||
Interest and dividends on investment securities | 2,170 | 2,180 | 2,188 | 8,722 | 8,739 | ||||||||||||||
Other interest income | 18,256 | 13,789 | 9,270 | 49,708 | 34,438 | ||||||||||||||
257,199 | 258,421 | 263,339 | 1,019,688 | 1,063,582 | |||||||||||||||
Interest expense: | |||||||||||||||||||
Interest on deposits | 65,847 | 71,185 | 78,541 | 278,260 | 308,676 | ||||||||||||||
Interest on Federal Home Loan Bank advances | 980 | 586 | 828 | 3,453 | 2,967 | ||||||||||||||
Interest on senior and subordinated debt | 1,520 | 1,089 | 2,354 | 5,772 | 9,690 | ||||||||||||||
Interest on trust preferred borrowings | 1,483 | 1,524 | 1,655 | 6,048 | 6,910 | ||||||||||||||
Interest on other borrowings | 16 | 14 | 1,754 | 68 | 29,901 | ||||||||||||||
69,846 | 74,398 | 85,132 | 293,601 | 358,144 | |||||||||||||||
Net interest income | 187,353 | 184,023 | 178,207 | 726,087 | 705,438 | ||||||||||||||
Provision for credit losses | 12,669 | 6,566 | 8,036 | 49,206 | 61,410 | ||||||||||||||
Net interest income after provision for credit losses | 174,684 | 177,457 | 170,171 | 676,881 | 644,028 | ||||||||||||||
Noninterest income: | |||||||||||||||||||
Credit/debit card and ATM income | 16,804 | 18,487 | 20,545 | 72,343 | 88,710 | ||||||||||||||
Investment management and fiduciary revenue | 45,127 | 41,272 | 39,763 | 169,454 | 146,945 | ||||||||||||||
Deposit service charges | 6,972 | 7,001 | 6,844 | 27,528 | 26,664 | ||||||||||||||
Mortgage banking activities, net | 2,127 | 2,091 | 1,634 | 8,359 | 7,565 | ||||||||||||||
Loan and lease fee income | 2,084 | 2,089 | 1,939 | 7,068 | 6,681 | ||||||||||||||
Unrealized loss on equity investment, net | (4,057 | ) | — | — | (4,057 | ) | — | ||||||||||||
Realized gain on sale of equity investment, net | — | 939 | 123 | 957 | 2,309 | ||||||||||||||
Other income | 15,464 | 14,592 | 12,459 | 58,246 | 62,046 | ||||||||||||||
84,521 | 86,471 | 83,307 | 339,898 | 340,920 | |||||||||||||||
Noninterest expense: | |||||||||||||||||||
Salaries, benefits and other compensation | 93,548 | 91,661 | 87,503 | 356,831 | 332,682 | ||||||||||||||
Occupancy expense | 8,340 | 8,498 | 9,118 | 35,560 | 37,579 | ||||||||||||||
Equipment expense | 13,501 | 12,933 | 12,922 | 52,940 | 47,744 | ||||||||||||||
Data processing and operations expense | 5,195 | 5,045 | 4,829 | 19,945 | 18,281 | ||||||||||||||
Professional fees | 5,420 | 4,942 | 7,083 | 21,271 | 20,164 | ||||||||||||||
Marketing expense | 2,639 | 2,178 | 1,969 | 8,437 | 7,824 | ||||||||||||||
FDIC expenses | 2,544 | 2,739 | 2,912 | 10,294 | 12,166 | ||||||||||||||
Loss on debt extinguishment | 1,151 | 352 | — | 1,503 | — | ||||||||||||||
Loan workout and other credit costs | (696 | ) | 1,802 | 646 | 2,975 | 2,123 | |||||||||||||
Corporate development expense | 55 | 171 | 61 | (44 | ) | 473 | |||||||||||||
Restructuring expense | (126 | ) | 398 | 2,193 | 532 | 2,193 | |||||||||||||
Other operating expenses | 30,402 | 32,337 | 39,890 | 125,923 | 156,460 | ||||||||||||||
161,973 | 163,056 | 169,126 | 636,167 | 637,689 | |||||||||||||||
Income before taxes | 97,232 | 100,872 | 84,352 | 380,612 | 347,259 | ||||||||||||||
Income tax provision | 24,538 | 24,405 | 20,197 | 93,363 | 83,764 | ||||||||||||||
Net income | 72,694 | 76,467 | 64,155 | 287,249 | 263,495 | ||||||||||||||
Less: Net income (loss) attributable to noncontrolling interest | 16 | 18 | (47 | ) | (100 | ) | (176 | ) | |||||||||||
Net income attributable to WSFS | $ | 72,678 | $ | 76,449 | $ | 64,202 | $ | 287,349 | $ | 263,671 | |||||||||
Diluted earnings per share of common stock: | $ | 1.34 | $ | 1.37 | $ | 1.09 | $ | 5.09 | $ | 4.41 | |||||||||
Weighted average shares of common stock outstanding for fully diluted EPS | 54,369,944 | 55,960,833 | 59,078,572 | 56,471,144 | 59,738,889 | ||||||||||||||
See “Notes” |
WSFS FINANCIAL CORPORATION | |||||||||||||||
FINANCIAL HIGHLIGHTS | |||||||||||||||
SUMMARY STATEMENTS OF INCOME (Unaudited) - continued | |||||||||||||||
Three months ended | Twelve months ended | ||||||||||||||
December 31, 2025 | September 30, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | |||||||||||
Performance Ratios: | |||||||||||||||
Return on average assets (a) | 1.33 | % | 1.44 | % | 1.21 | % | 1.36 | % | 1.27 | % | |||||
Return on average equity (a) | 10.51 | 11.25 | 9.66 | 10.71 | 10.40 | ||||||||||
Return on average tangible common equity (a)(o) | 16.91 | 18.31 | 16.17 | 17.55 | 17.91 | ||||||||||
Net interest margin (a)(b) | 3.83 | 3.91 | 3.80 | 3.87 | 3.82 | ||||||||||
Efficiency ratio (c) | 59.46 | 60.17 | 64.57 | 59.57 | 60.85 | ||||||||||
Noninterest income as a percentage of total net revenue (b) | 31.03 | 31.91 | 31.80 | 31.83 | 32.53 | ||||||||||
See “Notes” |
WSFS FINANCIAL CORPORATION | ||||||||||||
FINANCIAL HIGHLIGHTS (Continued) | ||||||||||||
SUMMARY STATEMENTS OF FINANCIAL CONDITION (Unaudited) | ||||||||||||
(Dollars in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2024 | |||||||||
Assets: | ||||||||||||
Cash and due from banks | $ | 1,326,339 | $ | 1,199,540 | $ | 722,722 | ||||||
Cash in non-owned ATMs | 363,926 | 364,733 | 430,320 | |||||||||
Investment securities, available-for-sale | 3,542,246 | 3,502,159 | 3,510,648 | |||||||||
Investment securities, held-to-maturity | 968,331 | 979,698 | 1,015,161 | |||||||||
Other investments | 32,524 | 46,691 | 31,765 | |||||||||
Net loans and leases (e)(f)(l) | 13,143,600 | 12,840,383 | 13,045,917 | |||||||||
Goodwill and intangibles | 969,903 | 973,677 | 988,160 | |||||||||
Other assets | 967,207 | 933,534 | 1,069,610 | |||||||||
Total assets | $ | 21,314,076 | $ | 20,840,415 | $ | 20,814,303 | ||||||
Liabilities and Stockholders’ Equity: | ||||||||||||
Noninterest-bearing deposits | $ | 5,576,598 | $ | 5,236,956 | $ | 4,987,753 | ||||||
Interest-bearing deposits | 12,065,890 | 11,989,262 | 12,042,055 | |||||||||
Total client deposits | 17,642,488 | 17,226,218 | 17,029,808 | |||||||||
Federal Home Loan Bank advances | — | — | 51,040 | |||||||||
Other borrowings | 302,682 | 255,099 | 332,567 | |||||||||
Other liabilities | 640,831 | 616,317 | 821,512 | |||||||||
Total liabilities | 18,586,001 | 18,097,634 | 18,234,927 | |||||||||
Stockholders’ equity of WSFS | 2,738,545 | 2,753,273 | 2,589,752 | |||||||||
Noncontrolling interest | (10,470 | ) | (10,492 | ) | (10,376 | ) | ||||||
Total stockholders' equity | 2,728,075 | 2,742,781 | 2,579,376 | |||||||||
Total liabilities and stockholders' equity | $ | 21,314,076 | $ | 20,840,415 | $ | 20,814,303 | ||||||
Capital Ratios: | ||||||||||||
Equity to asset ratio | 12.85 | % | 13.21 | % | 12.44 | % | ||||||
Tangible common equity to tangible asset ratio (o) | 8.69 | 8.96 | 8.08 | |||||||||
Common equity Tier 1 capital (required: 4.5%; well capitalized: 6.5%) (g) | 13.92 | 14.39 | 13.81 | |||||||||
Tier 1 leverage (required: 4.00%; well-capitalized: 5.00%) (g) | 10.59 | 11.11 | 10.96 | |||||||||
Tier 1 risk-based capital (required: 6.00%; well-capitalized: 8.00%) (g) | 13.92 | 14.39 | 13.81 | |||||||||
Total risk-based capital (required: 8.00%; well-capitalized: 10.00%) (g) | 15.67 | 16.19 | 15.77 | |||||||||
Asset Quality Indicators: | ||||||||||||
Nonperforming assets: | ||||||||||||
Nonaccruing loans (t)(n) | $ | 71,898 | $ | 72,148 | $ | 122,181 | ||||||
Assets acquired through foreclosure | 200 | 439 | 5,204 | |||||||||
Total nonperforming assets | $ | 72,098 | $ | 72,587 | $ | 127,385 | ||||||
Past due loans (h)(n) | $ | 22,416 | $ | 14,295 | $ | 9,202 | ||||||
Troubled loans (u)(n) | 144,267 | 156,803 | 151,288 | |||||||||
Allowance for credit losses | 182,500 | 185,504 | 195,288 | |||||||||
Ratio of nonperforming assets to total assets (n) | 0.34 | % | 0.35 | % | 0.61 | % | ||||||
Ratio of allowance for credit losses to total loans and leases (q) | 1.36 | 1.41 | 1.48 | |||||||||
Ratio of allowance for credit losses to nonaccruing loans (n) | 250 | 254 | 160 | |||||||||
Ratio of quarterly net charge-offs to average gross loans (a)(e)(i) | 0.46 | 0.30 | 0.31 | |||||||||
Ratio of year-to-date net charge-offs to average gross loans (a)(e)(i) | 0.45 | 0.45 | 0.40 | |||||||||
See “Notes” |
WSFS FINANCIAL CORPORATION | ||||||||||||||||||||||||||||||
FINANCIAL HIGHLIGHTS (Continued) | ||||||||||||||||||||||||||||||
AVERAGE BALANCE SHEET (Unaudited) | ||||||||||||||||||||||||||||||
(Dollars in thousands) | Three months ended | |||||||||||||||||||||||||||||
December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||||||||||||||||||||||||
Average Balance | Interest & Dividends | Yield/ Rate (a)(b) | Average Balance | Interest & Dividends | Yield/ Rate (a)(b) | Average Balance | Interest & Dividends | Yield/ Rate (a)(b) | ||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||||||||||
Loans: (e) (j) | ||||||||||||||||||||||||||||||
Commercial loans and leases (p) | $ | 5,227,764 | $ | 85,605 | 6.51 | % | $ | 5,229,187 | $ | 87,722 | 6.67 | % | $ | 5,234,307 | $ | 89,784 | 6.84 | % | ||||||||||||
Commercial real estate loans (s) | 4,916,393 | 79,765 | 6.44 | 4,831,359 | 82,914 | 6.81 | 4,939,610 | 84,415 | 6.80 | |||||||||||||||||||||
Residential mortgage | 1,059,006 | 14,056 | 5.31 | 1,002,442 | 13,711 | 5.47 | 953,099 | 12,604 | 5.29 | |||||||||||||||||||||
Consumer loans | 1,896,878 | 31,498 | 6.59 | 1,908,700 | 32,548 | 6.77 | 2,112,283 | 39,039 | 7.35 | |||||||||||||||||||||
Loans held for sale | 69,230 | 1,323 | 7.58 | 75,418 | 1,355 | 7.13 | 49,455 | 1,044 | 8.40 | |||||||||||||||||||||
Total loans and leases | 13,169,271 | 212,247 | 6.40 | 13,047,106 | 218,250 | 6.64 | 13,288,754 | 226,886 | 6.80 | |||||||||||||||||||||
Mortgage-backed securities (d) | 4,136,381 | 24,526 | 2.37 | 4,090,178 | 24,202 | 2.37 | 4,295,179 | 24,995 | 2.33 | |||||||||||||||||||||
Investment securities (d) | 367,731 | 2,170 | 2.66 | 366,450 | 2,180 | 2.66 | 366,981 | 2,188 | 2.64 | |||||||||||||||||||||
Other interest-earning assets | 1,795,895 | 18,256 | 4.03 | 1,227,761 | 13,789 | 4.46 | 765,240 | 9,270 | 4.82 | |||||||||||||||||||||
Total interest-earning assets | $ | 19,469,278 | $ | 257,199 | 5.25 | % | $ | 18,731,495 | $ | 258,421 | 5.48 | % | $ | 18,716,154 | $ | 263,339 | 5.61 | % | ||||||||||||
Allowance for credit losses | (184,484 | ) | (190,837 | ) | (196,740 | ) | ||||||||||||||||||||||||
Cash and due from banks | 166,442 | 176,874 | 189,730 | |||||||||||||||||||||||||||
Cash in non-owned ATMs | 347,883 | 393,148 | 387,114 | |||||||||||||||||||||||||||
Bank owned life insurance | 36,946 | 36,553 | 36,350 | |||||||||||||||||||||||||||
Other noninterest-earning assets | 1,861,713 | 1,887,865 | 1,917,671 | |||||||||||||||||||||||||||
Total assets | $ | 21,697,778 | $ | 21,035,098 | $ | 21,050,279 | ||||||||||||||||||||||||
Liabilities and stockholders’ equity: | ||||||||||||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||||||||||
Interest-bearing deposits: | ||||||||||||||||||||||||||||||
Interest-bearing demand | $ | 2,861,099 | $ | 7,163 | 0.99 | % | $ | 2,825,284 | $ | 7,870 | 1.11 | % | $ | 2,843,613 | $ | 8,460 | 1.18 | % | ||||||||||||
Savings | 1,413,087 | 1,652 | 0.46 | 1,433,399 | 1,723 | 0.48 | 1,480,650 | 1,922 | 0.52 | |||||||||||||||||||||
Money market | 5,708,666 | 38,871 | 2.70 | 5,581,010 | 42,378 | 3.01 | 5,323,856 | 44,797 | 3.35 | |||||||||||||||||||||
Time deposits | 2,047,200 | 18,158 | 3.52 | 2,077,815 | 19,214 | 3.67 | 2,155,891 | 23,362 | 4.31 | |||||||||||||||||||||
Total interest-bearing client deposits | 12,030,052 | 65,844 | 2.17 | 11,917,508 | 71,185 | 2.37 | 11,804,010 | 78,541 | 2.65 | |||||||||||||||||||||
Brokered deposits | 315 | 3 | 3.78 | — | — | — | — | — | — | |||||||||||||||||||||
Total interest-bearing deposits | 12,030,367 | 65,847 | 2.17 | 11,917,508 | 71,185 | 2.37 | 11,804,010 | 78,541 | 2.65 | |||||||||||||||||||||
Federal Home Loan Bank advances | 86,957 | 980 | 4.47 | 50,215 | 586 | 4.63 | 71,331 | 828 | 4.62 | |||||||||||||||||||||
Trust preferred borrowings | 91,001 | 1,483 | 6.47 | 90,952 | 1,524 | 6.65 | 90,806 | 1,655 | 7.25 | |||||||||||||||||||||
Senior and subordinated debt | 159,787 | 1,520 | 3.81 | 148,766 | 1,089 | 2.93 | 218,593 | 2,354 | 4.31 | |||||||||||||||||||||
Other borrowed funds | 20,846 | 16 | 0.30 | 16,504 | 14 | 0.34 | 171,873 | 1,754 | 4.06 | |||||||||||||||||||||
Total interest-bearing liabilities | $ | 12,388,958 | $ | 69,846 | 2.24 | % | $ | 12,223,945 | $ | 74,398 | 2.41 | % | $ | 12,356,613 | $ | 85,132 | 2.74 | % | ||||||||||||
Noninterest-bearing demand deposits | 5,955,352 | 5,493,161 | 5,289,024 | |||||||||||||||||||||||||||
Other noninterest-bearing liabilities | 621,484 | 633,625 | 772,531 | |||||||||||||||||||||||||||
Stockholders’ equity of WSFS | 2,742,480 | 2,694,883 | 2,643,325 | |||||||||||||||||||||||||||
Noncontrolling interest | (10,496 | ) | (10,516 | ) | (11,214 | ) | ||||||||||||||||||||||||
Total liabilities and equity | $ | 21,697,778 | $ | 21,035,098 | $ | 21,050,279 | ||||||||||||||||||||||||
Excess of interest-earning assets over interest-bearing liabilities | $ | 7,080,320 | $ | 6,507,550 | $ | 6,359,541 | ||||||||||||||||||||||||
Net interest and dividend income | $ | 187,353 | $ | 184,023 | $ | 178,207 | ||||||||||||||||||||||||
Interest rate spread | 3.01 | % | 3.07 | % | 2.87 | % | ||||||||||||||||||||||||
Net interest margin | 3.83 | % | 3.91 | % | 3.80 | % | ||||||||||||||||||||||||
See “Notes” |
WSFS FINANCIAL CORPORATION | ||||||||||
FINANCIAL HIGHLIGHTS (Continued) | ||||||||||
(Unaudited) | ||||||||||
(Dollars in thousands, except per share data) | Three months ended | Twelve months ended | ||||||||
Stock Information: | December 31, 2025 | September 30, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | |||||
Market price of common stock: | ||||||||||
High | $58.86 | $59.67 | $62.75 | $59.67 | $62.75 | |||||
Low | 49.92 | 52.58 | 47.87 | 42.44 | 40.20 | |||||
Close | 55.24 | 53.93 | 53.13 | 55.24 | 53.13 | |||||
Book value per share of common stock | 51.27 | 49.67 | 44.15 | |||||||
Tangible common book value (TBV) per share of common stock (o) | 33.11 | 32.11 | 27.30 | |||||||
Number of shares of common stock outstanding (000s) | 53,410 | 55,427 | 58,657 | |||||||
Other Financial Data: | ||||||||||
One-year repricing gap to total assets (k) | 8.37% | 5.86% | 2.26% | |||||||
Weighted average duration of the MBS portfolio | 5.8 years | 6.0 years | 5.9 years | |||||||
Unrealized losses on securities available for sale, net of taxes | $(376,545) | $(400,669) | $(537,790) | |||||||
Number of Associates (FTEs) (m) | 2,335 | 2,338 | 2,309 | |||||||
Number of offices (branches, LPO’s, operations centers, etc.) | 113 | 114 | 114 | |||||||
Number of WSFS owned and branded ATMs | 488 | 524 | 567 |
| Notes: | ||
(a) | Annualized. | |
(b) | Computed on a fully tax-equivalent basis. | |
(c) | Noninterest expense divided by (tax-equivalent) net interest income and noninterest income. | |
(d) | Includes securities held-to-maturity (at amortized cost) and securities available-for-sale (at fair value). | |
(e) | Net of unearned income. | |
(f) | Net of allowance for credit losses. | |
(g) | Represents capital ratios of Wilmington Financial Corporation and subsidiaries. Capital Ratios for the current quarter are to be considered preliminary until the Call Reports are filed. | |
(h) | Accruing loans which are contractually past due 90 days or more as to principal or interest. Balance includes student loans, which are U.S. government guaranteed with little risk of credit loss. | |
(i) | Excludes loans held for sale and reverse mortgage loans. | |
(j) | Nonperforming loans are included in average balance computations. | |
(k) | The difference between projected amounts of interest-sensitive assets and interest-sensitive liabilities repricing within one year divided by total assets, based on a current interest rate scenario. | |
(l) | Includes loans held for sale and reverse mortgages. | |
(m) | Includes seasonal Associates, when applicable. | |
(n) | Includes loans held for sale. | |
(o) | The Company uses non-GAAP (United States Generally Accepted Accounting Principles) financial information in its analysis of the Company’s performance. The Company’s management believes that these non-GAAP financial measures provide a greater understanding of ongoing operations, enhance comparability of results of operations with prior periods and show the effects of significant gains and charges in the periods presented. The Company’s management believes that investors may use these non-GAAP financial measures to analyze the Company’s financial performance without the impact of unusual items or events that may obscure trends in the Company’s underlying performance. This non-GAAP data should be considered in addition to results prepared in accordance with GAAP, and is not a substitute for, or superior to, GAAP results. For a reconciliation of these and other non-GAAP financial measures to their most directly comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release. | |
(p) | Includes commercial & industrial loans and commercial small business leases. | |
(q) | Reflects allowance for credit losses on loans and leases over the amortized cost of the total portfolio. | |
(r) | Includes provision for credit losses, loan workout expenses, OREO expenses and other credit costs. | |
(s) | Includes commercial mortgage and commercial construction loans. | |
(t) | Includes nonaccruing troubled loans. | |
(u) | Represents loans modified in the form of principal forgiveness, interest rate reduction, an other-than-insignificant payment delay, or a term extension to borrowers experiencing financial difficulty. |
WSFS FINANCIAL CORPORATION | ||||||||||||||||||||
FINANCIAL HIGHLIGHTS (Continued) | ||||||||||||||||||||
(Dollars in thousands, except per share data) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Non-GAAP Reconciliation (o): | Three months ended | Twelve months ended | ||||||||||||||||||
December 31, 2025 | September 30, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | ||||||||||||||||
Net interest income (GAAP) | $ | 187,353 | $ | 184,023 | $ | 178,207 | $ | 726,087 | $ | 705,438 | ||||||||||
Core net interest income (non-GAAP) | 187,353 | 184,023 | 178,207 | 726,087 | 705,438 | |||||||||||||||
Noninterest income (GAAP) | 84,521 | 86,471 | 83,307 | 339,898 | 340,920 | |||||||||||||||
Plus: Unrealized loss on equity investments, net | (4,057 | ) | — | — | (4,057 | ) | — | |||||||||||||
Less: Realized gain on sale of equity investment, net | — | 939 | 123 | 957 | 2,309 | |||||||||||||||
(Plus)/less: Visa derivative valuation adjustment | (1,500 | ) | (2,429 | ) | — | (3,929 | ) | 2,829 | ||||||||||||
Core fee revenue (non-GAAP) | $ | 90,078 | $ | 87,961 | $ | 83,184 | $ | 346,927 | $ | 335,782 | ||||||||||
Core net revenue (non-GAAP) | $ | 277,431 | $ | 271,984 | $ | 261,391 | $ | 1,073,014 | $ | 1,041,220 | ||||||||||
Core net revenue (non-GAAP)(tax-equivalent) | $ | 277,957 | $ | 272,482 | $ | 261,811 | $ | 1,074,980 | $ | 1,042,785 | ||||||||||
Noninterest expense (GAAP) | $ | 161,973 | $ | 163,056 | $ | 169,126 | $ | 636,167 | $ | 637,689 | ||||||||||
Less: FDIC special assessment | — | — | — | — | 880 | |||||||||||||||
Less: Loss on debt extinguishment | 1,151 | 352 | — | 1,503 | — | |||||||||||||||
Less/(plus): Corporate development expense | 55 | 171 | 61 | (44 | ) | 473 | ||||||||||||||
(Plus)/less: Restructuring expense | (126 | ) | 398 | 2,193 | 532 | 2,193 | ||||||||||||||
Plus: Remeasurement of lease liability | — | — | (112 | ) | — | (112 | ) | |||||||||||||
Core noninterest expense (non-GAAP) | $ | 160,893 | $ | 162,135 | $ | 166,984 | $ | 634,176 | $ | 634,255 | ||||||||||
Core efficiency ratio (non-GAAP) | 57.9 | % | 59.5 | % | 63.8 | % | 59.0 | % | 60.8 | % | ||||||||||
Core fee revenue ratio (non-GAAP) (b) | 32.4 | % | 32.3 | % | 31.8 | % | 32.3 | % | 32.2 | % | ||||||||||
End of period | ||||||||||||||||||||
December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||||||||||||||
Total assets (GAAP) | $ | 21,314,076 | $ | 20,840,415 | $ | 20,814,303 | ||||||||||||||
Less: Goodwill and other intangible assets | 969,903 | 973,677 | 988,160 | |||||||||||||||||
Total tangible assets (non-GAAP) | $ | 20,344,173 | $ | 19,866,738 | $ | 19,826,143 | ||||||||||||||
Total stockholders’ equity of WSFS (GAAP) | $ | 2,738,545 | $ | 2,753,273 | $ | 2,589,752 | ||||||||||||||
Less: Goodwill and other intangible assets | 969,903 | 973,677 | 988,160 | |||||||||||||||||
Total tangible common equity (non-GAAP) | $ | 1,768,642 | $ | 1,779,596 | $ | 1,601,592 | ||||||||||||||
Tangible common book value (TBV) per share: | ||||||||||||||||||||
Book value per share (GAAP) | $ | 51.27 | $ | 49.67 | $ | 44.15 | ||||||||||||||
Tangible common book value per share (non-GAAP) | 33.11 | 32.11 | 27.30 | |||||||||||||||||
Tangible common equity to tangible assets: | ||||||||||||||||||||
Equity to asset ratio (GAAP) | 12.85 | % | 13.21 | % | 12.44 | % | ||||||||||||||
Tangible common equity to tangible assets ratio (non-GAAP) | 8.69 | 8.96 | 8.08 |
Non-GAAP Reconciliation - continued (o): | Three months ended | Twelve months ended | ||||||||||||||||||
December 31, 2025 | September 30, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | ||||||||||||||||
GAAP net income attributable to WSFS | $ | 72,678 | $ | 76,449 | $ | 64,202 | $ | 287,349 | $ | 263,671 | ||||||||||
Plus/(less): Pre-tax adjustments: Realized/unrealized gain (loss) on equity investments, net, Visa derivative valuation adjustment, FDIC special assessment, loss on debt extinguishment, corporate development and restructuring expense, and remeasurement of lease liability | 6,637 | 2,411 | 2,019 | 9,020 | (1,704 | ) | ||||||||||||||
(Less)/plus: Tax impact of pre-tax adjustments | (1,637 | ) | (589 | ) | (445 | ) | (2,097 | ) | 485 | |||||||||||
Adjusted net income (non-GAAP) attributable to WSFS | $ | 77,678 | $ | 78,271 | $ | 65,776 | $ | 294,272 | $ | 262,452 | ||||||||||
GAAP return on average assets (ROA) | 1.33 | % | 1.44 | % | 1.21 | % | 1.36 | % | 1.27 | % | ||||||||||
Plus/(less): Pre-tax adjustments: Realized/unrealized gain (loss) on equity investments, net, Visa derivative valuation adjustment, FDIC special assessment, loss on debt extinguishment, corporate development and restructuring expense, and remeasurement of lease liability | 0.12 | 0.05 | 0.04 | 0.04 | (0.01 | ) | ||||||||||||||
(Less)/plus: Tax impact of pre-tax adjustments | (0.03 | ) | (0.01 | ) | (0.01 | ) | (0.01 | ) | — | |||||||||||
Core ROA (non-GAAP) | 1.42 | % | 1.48 | % | 1.24 | % | 1.39 | % | 1.26 | % | ||||||||||
Earnings per share (diluted) (GAAP) | $ | 1.34 | $ | 1.37 | $ | 1.09 | $ | 5.09 | $ | 4.41 | ||||||||||
Plus/(less): Pre-tax adjustments: Realized/unrealized gain (loss) on equity investments, net, Visa derivative valuation adjustment, FDIC special assessment, loss on debt extinguishment, corporate development and restructuring expense, and remeasurement of lease liability | 0.12 | 0.04 | 0.03 | 0.16 | (0.03 | ) | ||||||||||||||
(Less)/plus: Tax impact of pre-tax adjustments | (0.03 | ) | (0.01 | ) | (0.01 | ) | (0.04 | ) | 0.01 | |||||||||||
Core earnings per share (non-GAAP) | $ | 1.43 | $ | 1.40 | $ | 1.11 | $ | 5.21 | $ | 4.39 | ||||||||||
Calculation of return on average tangible common equity: | ||||||||||||||||||||
GAAP net income attributable to WSFS | $ | 72,678 | $ | 76,449 | $ | 64,202 | $ | 287,349 | $ | 263,671 | ||||||||||
Plus: Tax effected amortization of intangible assets | 2,782 | 2,864 | 2,965 | 11,538 | 11,893 | |||||||||||||||
Net tangible income (non-GAAP) | $ | 75,460 | $ | 79,313 | $ | 67,167 | $ | 298,887 | $ | 275,564 | ||||||||||
Average stockholders’ equity of WSFS | $ | 2,742,480 | $ | 2,694,883 | $ | 2,643,325 | $ | 2,682,068 | $ | 2,535,737 | ||||||||||
Less: Average goodwill and intangible assets | 972,332 | 976,270 | 990,762 | 979,420 | 996,899 | |||||||||||||||
Net average tangible common equity | $ | 1,770,148 | $ | 1,718,613 | $ | 1,652,563 | $ | 1,702,648 | $ | 1,538,838 | ||||||||||
Return on average tangible common equity (non-GAAP) | 16.91 | % | 18.31 | % | 16.17 | % | 17.55 | % | 17.91 | % |
Non-GAAP Reconciliation - continued (o): | Three months ended | Twelve months ended | ||||||||||||||
December 31, 2025 | September 30, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | ||||||||||||
Calculation of PPNR: | ||||||||||||||||
Net income (GAAP) | $ | 72,694 | $ | 76,467 | $ | 64,155 | $ | 287,249 | $ | 263,495 | ||||||
Plus: Income tax provision | 24,538 | 24,405 | 20,197 | 93,363 | 83,764 | |||||||||||
Plus: Provision for credit losses | 12,669 | 6,566 | 8,036 | 49,206 | 61,410 | |||||||||||
PPNR (non-GAAP) | $ | 109,901 | $ | 107,438 | $ | 92,388 | $ | 429,818 | $ | 408,669 | ||||||
Plus/(less): Pre-tax adjustments: Realized/unrealized gain (loss) on equity investments, net, Visa derivative valuation adjustment, FDIC special assessment, loss on debt extinguishment, corporate development and restructuring expense, and remeasurement of lease liability | 6,637 | 2,411 | 2,019 | 9,020 | (1,704 | ) | ||||||||||
Core PPNR (non-GAAP) | $ | 116,538 | $ | 109,849 | $ | 94,407 | $ | 438,838 | $ | 406,965 |
Three months ended | |||||||||||
December 31, 2025 | September 30, 2025 | December 31, 2024 | |||||||||
Calculation of adjusted Cash Connect® net profit margin: | |||||||||||
Cash Connect® net revenue | $ | 20,735 | $ | 22,043 | $ | 21,823 | |||||
Plus: Impact of client termination | — | — | 2,818 | ||||||||
Adjusted Cash Connect® net revenue | $ | 20,735 | $ | 22,043 | $ | 24,641 | |||||
Cash Connect® noninterest expense | $ | 18,073 | $ | 19,637 | $ | 25,183 | |||||
Less: Client termination expense | — | — | (1,898 | ) | |||||||
Adjusted Cash Connect® noninterest expense | $ | 18,073 | $ | 19,637 | $ | 23,285 | |||||
Cash Connect® pre-tax income | $ | 2,634 | $ | 2,346 | $ | (3,360 | ) | ||||
Plus: Impact of client termination | — | — | 4,716 | ||||||||
Adjusted Cash Connect® pre-tax income | $ | 2,634 | $ | 2,346 | $ | 1,356 | |||||
GAAP Cash Connect® net profit margin | 12.70 | % | 10.64 | % | (15.40 | )% | |||||
Adjusted Cash Connect® net profit margin | 12.70 | % | 10.64 | % | 5.50 | % |
View source version on businesswire.com: https://www.businesswire.com/news/home/20260126944590/en/
Investor Relations Contact: Andrew Basile
(302) 504-9857; abasile@wsfsbank.com
Media Contact: Connor Peoples
(215) 864-5645; cpeoples@wsfsbank.com
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