Provident Financial reports Q4 EPS 24c vs. 28c last year

Net interest margin rose 20 basis points to 2.94% from 2.74% in the same quarter last year, reflecting higher yields on interest-earning assets and a slight decline in funding costs. “The operating environment for Provident has improved over the course of fiscal 2025, although an increase in loan prepayments during the June quarter interrupted two consecutive quarters of loan portfolio growth,” stated Donavon Ternes, President and Chief Executive Officer of the company. “Nonetheless, we have seen meaningful progress this year: our net interest margin has improved, deposit balances have stabilized, borrowings have declined for three consecutive quarters, and credit quality remains strong. We continue to actively repurchase shares under our stock buyback program and have maintained a consistent quarterly cash dividend. As we look ahead to the start of fiscal 2026, we are optimistic about the outlook and anticipate improving fundamentals, supported by stable general economic conditions and the potential return of an upwardly sloping yield curve,” concluded Ternes.