XML 59 R15.htm IDEA: XBRL DOCUMENT
v3.25.3

ALLOWANCE FOR LOAN LOSSES | 12 Months Ended
--- | ---
Sep. 30, 2025
Receivables [Abstract] |
ALLOWANCE FOR LOAN LOSSES | ALLOWANCE FOR LOAN LOSSES For a detailed discussion of loans and credit quality, including accounting policies and the CECL methodology used to estimate the allowance for credit losses, see Note A, "Summary of Significant Accounting Policies." The following tables summarize the activity in the allowance for loan losses by loan portfolio segment and class.
Twelve Months Ended September 30, 2025 | Beginning Allowance |  | Charge-offs |  | Recoveries |  | Provision & Transfers |  | Ending Allowance
| (In thousands)
Commercial loans |  |  |  |  |  |  |  |  |
Multi-family | $25,248 |  | $(555) |  | $— |  | $1,260 |  | $25,953
Commercial real estate | 39,210 |  | (9,652) |  | 169 |  | 12,261 |  | 41,988
Commercial & industrial | 58,748 |  | (1,291) |  | 252 |  | 1,454 |  | 59,163
Construction | 22,267 |  | — |  | — |  | (4,131) |  | 18,136
Land - acquisition & development | 7,900 |  | — |  | 33 |  | (1,039) |  | 6,894
Total commercial loans | 153,373 |  | (11,498) |  | 454 |  | 9,805 |  | 152,134
Consumer loans |  |  |  |  |  |  |  |  |
Single-family residential | 40,523 |  | (338) |  | 572 |  | (1,877) |  | 38,880
Construction - custom | 1,427 |  | — |  | 4 |  | (821) |  | 610
Land - consumer lot loans | 2,564 |  | — |  | — |  | (460) |  | 2,104
HELOC | 3,049 |  | — |  | 3 |  | 17 |  | 3,069
Consumer | 2,817 |  | (1,334) |  | 354 |  | 1,086 |  | 2,923
Total consumer loans | 50,380 |  | (1,672) |  | 933 |  | (2,055) |  | 47,586
| $203,753 |  | $(13,170) |  | $1,387 |  | $7,750 |  | $199,720
Twelve Months Ended September 30, 2024 | Beginning Allowance |  | Charge-offs |  | Recoveries |  | Provision & Transfers 1 |  | Ending Allowance
| (In thousands)
Commercial loans |  |  |  |  |  |  |  |  |
Multi-family | $13,155 |  | $— |  | $— |  | $12,093 |  | $25,248
Commercial real estate | 28,842 |  | (203) |  | 4 |  | 10,567 |  | $39,210
Commercial & industrial | 58,773 |  | (2,611) |  | 1,069 |  | 1,517 |  | $58,748
Construction | 29,408 |  | — |  | — |  | (7,141) |  | $22,267
Land - acquisition & development | 7,016 |  | (149) |  | 105 |  | 928 |  | $7,900
Total commercial loans | 137,194 |  | (2,963) |  | 1,178 |  | 17,964 |  | 153,373
Consumer loans |  |  |  |  |  |  |  |  |
Single-family residential | 28,029 |  | (144) |  | 381 |  | 12,257 |  | 40,523
Construction - custom | 2,781 |  | — |  | 1 |  | (1,355) |  | 1,427
Land - consumer lot loans | 3,512 |  | — |  | 58 |  | (1,006) |  | 2,564
HELOC | 2,859 |  | — |  | 4 |  | 186 |  | 3,049
Consumer | 2,832 |  | (518) |  | 647 |  | (144) |  | 2,817
Total consumer loans | 40,013 |  | (662) |  | 1,091 |  | 9,938 |  | 50,380
| $177,207 |  | $(3,625) |  | $2,269 |  | $27,902 |  | $203,753
1 Provision & transfer amounts within the table include the $16,000,000 initial provision related to non-PCD loans acquired during the year and the $7,403,000 PCD ACL amount included in the Merger purchase price allocation but do not reflect a provision recapture from unfunded commitments of $3,000,000.
The Company recorded a provision for credit losses of $7,750,000 in 2025, compared to a provision of $17,500,000 for 2024 which included the provision for the initial reserves for non-PCD loans acquired in the Merger. The decrease in the overall ACL during fiscal 2025 was the result of the decrease in net loan balances led by payoffs in single-family, commercial construction and land A&D. For the year ended September 30, 2025, net charge-offs were $11,783,000, compared to $1,356,000 in the prior year. A loan is charged-off when the loss is estimable and it is confirmed that the borrower is not expected to be able to meet its contractual obligations. Non-accrual loans increased to $128,628,000 as of September 30, 2025, from $69,541,000 as of September 30, 2024. Non- performing assets totaled $143,022,000, or 0.54% of total assets, at September 30, 2025, compared to $77,418,000, or 0.28% of total assets, as of September 30, 2024. As of September 30, 2025, the allowance for loan losses of $199,720,000 is for loans that are evaluated on a pooled basis, which was comprised of $131,652,000 related to the quantitative component and $68,068,000 related to management's qualitative overlays (including the forecast component of the reserve). The Company has an asset quality review function that analyzes its loan portfolio and reports the results of the review to its Board of Directors on a quarterly basis. The single-family residential, HELOC and consumer portfolios are evaluated based on their performance as a pool of loans, since no single loan is individually significant or judged by its risk rating, size or potential risk of loss. The construction, land, multi-family, commercial real estate and commercial and industrial loans are risk rated on a loan by loan basis to determine the relative risk inherent in specific borrowers or loans. Based on that risk rating, the loans are assigned a grade and classified as described in Note D "Loans Receivable." It is important to note, just because a loan is risk-rated below a "pass" rating, it does not necessarily indicate there will be future charge-offs on that loan. Loans are downgraded because of either borrower specific or industry-wide financial or operating stresses. The following tables provide the amortized cost of loans receivable based on risk rating categories (as previously defined).
September 30, 2025 | Internally Assigned Grade |  |
| Pass |  | Special mention |  | Substandard |  | Doubtful |  | Loss |  | Total
| (In thousands)
Loan type |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  |  |  |  |  |  |  |  |  |
Multi-family | $4,337,347 |  | $136,817 |  | $154,807 |  | $2,350 |  | $— |  | $4,631,321
Commercial real estate | 3,339,062 |  | 61,580 |  | 185,527 |  | 2,781 |  | — |  | 3,588,950
Commercial & industrial | 2,086,750 |  | 44,998 |  | 254,591 |  | — |  | 24 |  | 2,386,363
Construction | 1,091,682 |  | 4,435 |  | 8,984 |  | — |  | — |  | 1,105,101
Land - acquisition & development | 139,663 |  | — |  | 259 |  | — |  | — |  | 139,922
Total commercial loans | 10,994,504 |  | 247,830 |  | 604,168 |  | 5,131 |  | 24 |  | 11,851,657
Consumer loans |  |  |  |  |  |  |  |  |  |  |
Single-family residential | 7,913,120 |  | — |  | 23,811 |  | — |  | — |  | 7,936,931
Construction - custom | 77,483 |  | — |  | 760 |  | — |  | — |  | 78,243
Land - consumer lot loans | 88,613 |  | — |  | 83 |  | — |  | — |  | 88,696
HELOC | 270,874 |  | — |  | 412 |  | — |  | — |  | 271,286
Consumer | 61,406 |  | — |  | 119 |  | — |  | — |  | 61,525
Total consumer loans | 8,411,496 |  | — |  | 25,185 |  | — |  | — |  | 8,436,681
Total loans | $19,406,000 |  | $247,830 |  | $629,353 |  | $5,131 |  | $24 |  | $20,288,338
Total grade as a % of total loans | 95.7% |  | 1.2% |  | 3.1% |  | —% |  | —% |  |
September 30, 2024 | Internally Assigned Grade |  |
| Pass |  | Special mention |  | Substandard |  | Doubtful |  | Loss |  | Total Gross Loans
| (In thousands)
Loan type |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  |  |  |  |  |  |  |  |  |
Multi-family | $4,476,283 |  | $12,377 |  | $67,540 |  | $— |  | $— |  | $4,556,200
Commercial real estate | 3,587,682 |  | 40,297 |  | 104,176 |  | — |  | — |  | 3,732,155
Commercial & industrial | 2,107,780 |  | 21,264 |  | 203,688 |  | — |  | — |  | 2,332,732
Construction | 1,392,332 |  | 3,221 |  | 28,463 |  | — |  | — |  | 1,424,016
Land - acquisition & development | 159,919 |  | — |  | 398 |  | — |  | — |  | 160,317
Total commercial loans | 11,723,996 |  | 77,159 |  | 404,265 |  | — |  | — |  | 12,205,420
Consumer loans |  |  |  |  |  |  |  |  |  |  |
Single-family residential | 8,258,812 |  | — |  | 21,488 |  | — |  | — |  | 8,280,300
Construction - custom | 181,567 |  | — |  | 848 |  | — |  | — |  | 182,415
Land - consumer lot loans | 108,060 |  | — |  | — |  | — |  | — |  | 108,060
HELOC | 269,261 |  | — |  | 596 |  | — |  | — |  | 269,857
Consumer | 73,824 |  | — |  | 231 |  | — |  | — |  | 74,055
Total consumer loans | 8,891,524 |  | — |  | 23,163 |  | — |  | — |  | 8,914,687
Total gross loans | $20,615,520 |  | $77,159 |  | $427,428 |  | $— |  | $— |  | $21,120,107
Total grade as a % of total gross loans | 97.6% |  | 0.4% |  | 2.0% |  | —% |  | —% |  |
The following tables provide information on amortized cost of loans receivable based on borrower payment activity.
September 30, 2025 | Performing Loans |  | Non-Performing Loans
| Amount |  | % of Total Loans |  | Amount |  | % of Total Loans
| (In thousands) |  |  |  | (In thousands) |  |
Commercial loans |  |  |  |  |  |  |
Multi-family | $4,612,200 |  | 99.6% |  | $19,121 |  | 0.4%
Commercial real estate | 3,518,978 |  | 98.1 |  | 69,972 |  | 1.9
Commercial & industrial | 2,375,316 |  | 99.5 |  | 11,047 |  | 0.5
Construction | 1,101,701 |  | 99.7 |  | 3,400 |  | 0.3
Land - acquisition & development | 139,922 |  | 100.0 |  | — |  | —
Total commercial loans | 11,748,117 |  | 99.1 |  | 103,540 |  | 0.9
Consumer loans |  |  |  |  |  |  |
Single-family residential | 7,913,190 |  | 99.7 |  | 23,741 |  | 0.3
Construction - custom | 77,483 |  | 99.0 |  | 760 |  | 1.0
Land - consumer lot loans | 88,673 |  | 100.0 |  | 23 |  | —
HELOC | 270,874 |  | 99.8 |  | 412 |  | 0.2
Consumer | 61,373 |  | 99.8 |  | 152 |  | 0.2
Total consumer loans | 8,411,593 |  | 99.7 |  | 25,088 |  | 0.3
Total | $20,159,710 |  | 99.4% |  | $128,628 |  | 0.6%
September 30, 2024 | Performing Loans |  | Non-Performing Loans
| Amount |  | % of Total Loans |  | Amount |  | % of Total Loans
| (In thousands) |  |  |  | (In thousands) |  |
Commercial loans |  |  |  |  |  |  |
Multi-family | $4,537,457 |  | 99.6% |  | $18,743 |  | 0.4%
Commercial real estate | 3,705,793 |  | 99.3 |  | 26,362 |  | 0.7
Commercial & industrial | 2,332,732 |  | 100.0 |  | — |  | —
Construction | 1,422,896 |  | 99.9 |  | 1,120 |  | 0.1
Land - acquisition & development | 160,243 |  | 100.0 |  | 74 |  | —
Total commercial loans | 12,159,121 |  | 99.6 |  | 46,299 |  | 0.4
Consumer loans |  |  |  |  |  |  |
Single-family residential | 8,258,812 |  | 99.7 |  | 21,488 |  | 0.3
Construction - custom | 181,567 |  | 99.5 |  | 848 |  | 0.5
Land - consumer lot loans | 108,060 |  | 100.0 |  | — |  | —
HELOC | 269,261 |  | 99.8 |  | 596 |  | 0.2
Consumer | 73,745 |  | 99.6 |  | 310 |  | 0.4
Total consumer loans | 8,891,445 |  | 99.7 |  | 23,242 |  | 0.3
Total gross loans | $21,050,566 |  | 99.7% |  | $69,541 |  | 0.3%

X
- Definition The entire disclosure for allowance for credit losses. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 310 -Publisher FASB -URI https://asc.fasb.org/310/tableOfContent + Details
Name: | us-gaap_AllowanceForCreditLossesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_ReceivablesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration