Form 8-K

8-K — TFS Financial CORP

Accession: 0001381668-26-000021

Filed: 2026-04-30

Period: 2026-04-30

CIK: 0001381668

SIC: 6035 (SAVINGS INSTITUTION, FEDERALLY CHARTERED)

Item: Results of Operations and Financial Condition

Item: Financial Statements and Exhibits

Documents

8-K — tfsl-20260430.htm (Primary)

EX-99.1 (tfslfy26mar8kexhibits.htm)

XML — IDEA: XBRL DOCUMENT (R1.htm)

8-K

8-K (Primary)

Filename: tfsl-20260430.htm · Sequence: 1

tfsl-20260430

0001381668FALSE00013816682025-10-302025-10-30

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported) April 30, 2026

TFS FINANCIAL CORPORATION

(Exact name of registrant as specified in its charter)

United States of America 001-33390 52-2054948

(State or other jurisdiction

of incorporation) (Commission

File Number) (IRS Employer

Identification No.)

7007 Broadway Ave., Cleveland, Ohio 44105

(Address of principle executive offices) (Zip Code)

Registrant's telephone number, including area code (216) 441-6000

Not applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act

Title of each class Trading Symbol(s) Name of each exchange in which registered

Common Stock, par value $0.01 per share TFSL The NASDAQ Stock Market, LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging Growth Company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Item 2.02 Results of Operations and Financial Condition.

On April 30, 2026, TFS Financial Corporation (the "Company”), the holding company for Third Federal Savings and Loan Association of Cleveland (the "Association"), issued a press release announcing its operating results for the three and six months ended March 31, 2026. A copy of the press release is attached as Exhibit 99.1 to this Report.

The information contained in this Item 2.02 and in the accompanying exhibit 99.1 shall not be incorporated by reference into any filing of the Company, whether made before or after the date hereof. The information in this report, including the exhibit hereto, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section or Sections 11 and 12(a)(2) of the Securities Act of 1933, as amended.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

99.1 Press Release dated April 30, 2026

104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

TFS FINANCIAL CORPORATION

(Registrant)

Date: April 30, 2026 By: /s/ Meredith S. Weil

Meredith S. Weil

Chief Financial Officer

EX-99.1

Filename: tfslfy26mar8kexhibits.htm · Sequence: 2

Document

Contact: Jennifer Rosa (216) 429-5037 Exhibit 99.1

For release April 30, 2026

TFS Financial Reports Results for Second Quarter Fiscal 2026

(Cleveland, OH - April 30, 2026) - TFS Financial Corporation (NASDAQ: TFSL) (the "Company", "we", "our"), the holding company for Third Federal Savings and Loan Association of Cleveland (the "Association"), today announced results for the quarter and six months ended March 31, 2026.

"During the quarter, we had a 4% increase in net income and a record $77.8 million in net interest income,” said Chairman and CEO Marc A. Stefanski. “Our results were driven primarily by increasing yields from Smart Rate ARMs resetting and our prudent management of deposit costs,” he said. “The upcoming purchase season, and the opportunity for mortgage growth, gives us even more optimism for the fiscal year. Our Tier I capital ratio of 10.75% exceeds the amount considered to be well-capitalized, allowing us more opportunities for growth, dividends, and strategic buybacks.”

Operating Results for the Quarter Ended March 31, 2026 compared to the Quarter Ended December 31, 2025

Net income rose $0.9 million, or 4.0%, to $23.2 million for the quarter ended March 31, 2026, from $22.3 million in the prior quarter. This increase reflected higher net interest income and a reduction in non-interest expenses, partially offset by an increase in the provision for credit losses and a decrease in non-interest income.

Net interest income increased $2.1 million, or 2.8%, to $77.8 million for the quarter ended March 31, 2026 from $75.7 million for the quarter ended December 31, 2025. This increase was primarily attributable to a 12 basis point decrease in the cost of interest-bearing liabilities. The average balance and cost of certificates of deposit ("CDs") decreased $609.7 million and 19 basis points, respectively, while savings accounts experienced increases in both average balances ($461.4 million) and cost (56 basis points). The Company offers certain CD products that transition into liquid savings accounts at maturity. This feature has facilitated the movement of funds from CDs to savings accounts. Loan yields decreased by three basis points, reflecting the full quarterly impact of two 25 basis point reductions, during our first fiscal quarter of 2026, in the Wall Street Journal Prime Rate which serves as the index for our home equity lines of credit. The interest rate spread improved by seven basis points to 1.54%, while the net interest margin increased five basis points to 1.84%.

For the quarter ended March 31, 2026, the Company did not record a provision for credit losses whereas a $1.0 million release of provision was recorded for the quarter ended December 31, 2025. The total allowance for credit losses increased $0.8 million during the quarter to $104.9 million, or 0.67% of total loans receivable, from $104.1 million, or 0.66% of total loans receivable, at December 31, 2025. The allowance for unfunded commitments, included in other liabilities, increased $0.9 million due to a $104.8 million increase in commitments to originate loans and had a balance of $30.0 million at March 31, 2026 compared to $29.1 million at December 31, 2025. Net recoveries were $0.8 million for the quarter ended March 31, 2026 compared to $0.7 million for the previous quarter. Total loan delinquencies increased $1.5 million to $38.4 million, or 0.24% of total loans receivable, at March 31, 2026 from $36.9 million, or 0.23% of total loans receivable, at December 31, 2025.

Total non-interest income decreased $0.6 million, or 7.5%, to $7.4 million for the quarter ended March 31, 2026 from $8.0 million for the quarter ended December 31, 2025, primarily due to a $0.6 million decrease in net gain on the sale of loans.

Total non-interest expense decreased $0.8 million, or 1.4%, to $55.4 million for the quarter ended March 31, 2026 from $56.2 million for the quarter ended December 31, 2025. Marketing expenses decreased $2.2 million due to reduced media costs, while federal insurance premium and assessments increased $0.4 million and other operating expenses increased $1.2 million. An increase in third-party costs related to residential loan applications not yet converted to funded loans drove the increase in other operating expenses.

Financial Condition at March 31, 2026 compared to December 31, 2025

Total assets decreased $19.0 million to $17.48 billion at March 31, 2026 from $17.50 billion at December 31, 2025, mainly due to a decrease in cash and cash equivalents.

Cash and cash equivalents decreased $19.4 million, or 4.3%, to $437.3 million at March 31, 2026 from $456.7 million at December 31, 2025, due to normal fluctuations and liquidity management.

Loans held for investment, net of allowance and deferred loan expenses, increased $0.7 million, or less than 1%, remaining at $15.74 billion at March 31, 2026. During the quarter ended March 31, 2026, the combined balances of home equity loans and lines of credit increased $188.4 million to $5.24 billion and residential core mortgage loans decreased $185.9 million to $10.46 billion. Loans held for sale decreased $9.3 million to $5.1 million at March 31, 2026, from $14.4 million at December 31, 2025.

Deposits decreased $184.7 million, or less than 1%, to $10.19 billion at March 31, 2026, compared to $10.37 billion at December 31, 2025, consisting of decreases of $471.0 million in CDs, $9.5 million in money market deposit accounts and $18.9 million in checking accounts, partially offset by an increase of $311.5 million in savings accounts.

Borrowed funds increased $202.6 million, or 4%, to $5.14 billion at March 31, 2026, compared to $4.94 billion at December 31, 2025. The increase in borrowed funds was entirely due to an increase in utilization of advances from the Federal Home Loan Bank ("FHLB") of Cincinnati.

Operating Results for the Six Months Ended March 31, 2026 compared to the Six Months Ended March 31, 2025

The Company reported net income of $45.5 million for the six months ended March 31, 2026, an increase of $2.1 million, or 4.8%, compared to net income of $43.4 million for the six months ended March 31, 2025. The increase was primarily driven by increases in net interest income and non-interest income along with a lower provision for credit losses, partially offset by an increase in non-interest expenses.

Net interest income increased $13.1 million, or 9.3%, to $153.5 million for the six months ended March 31, 2026 compared to $140.4 million for the six months ended March 31, 2025. The yield on interest-earning assets for the six months ended March 31, 2026 rose by 14 basis points compared to the prior year period, as lower-rate residential mortgages were replaced with higher-yielding mortgage loans and home equity products. The cost of interest-bearing liabilities increased by two basis points. The interest rate spread was 1.51% for the six months ended March 31, 2026 compared to 1.39% for the six months ended March 31, 2025. The net interest margin was 1.82% for the six months ended March 31, 2026 and 1.70% for the six months ended March 31, 2025.

During the six months ended March 31, 2026, there was a $1.0 million release of provision for credit losses compared to no provision for the six months ended March 31, 2025. Net loan recoveries totaled $1.5 million for the six months ended March 31, 2026 and $2.1 million for the same period of the prior year.

The total allowance for credit losses increased $0.5 million to $104.9 million, or 0.67% of total loans receivable, from $104.4 million, or 0.67% of total loans receivable, at September 30, 2025 and increased $4.9 million from $99.9 million, or 0.65% of total loans receivable at March 31, 2025. The increases were primarily related to increases in the home equity loan and lines of credit portfolios. The allowance for credit losses included $30.0 million, $30.1 million and $29.4 million in liabilities for unfunded commitments at March 31, 2026, September 30, 2025 and March 31, 2025, respectively. Total loan delinquencies increased $3.7 million to $38.4 million, or 0.24% of total loans receivable, at March 31, 2026 from $34.7 million, or 0.22% of total loans receivable, at September 30, 2025 and increased $6.8 million from $31.6 million, or 0.20% of total loans receivable, at March 31, 2025. Non-accrual loans totaled $37.1 million, or 0.23% of total loans receivable, at March 31, 2026, compared to $38.7 million, or 0.25% of total loans receivable, at September 30, 2025 and $37.0 million, or 0.24% of total loans receivable at March 31, 2025.

Total non-interest income increased $1.9 million, or 14.0%, to $15.5 million for the six months ended March 31, 2026, from $13.6 million for the six months ended March 31, 2025, primarily due to a $1.8 million increase in net gain on the sale of loans. During the six months ended March 31, 2026 and 2025, there were $204.1 million and $147.2 million of loans sold with net gains on the sale of loans totaling $4.1 million and $2.3 million, respectively.

Total non-interest expense for the six months ended March 31, 2026 increased $12.6 million, or 12.7%, to $111.6 million from $99.0 million for the six months ended March 31, 2025. There were increases of $6.4 million in salaries and employee benefits, $2.0 million in marketing services, $1.2 million in office property, equipment and software expenses and $3.5 million in other expenses, partially offset by a decrease of $0.5 million in federal insurance premium and assessments. The increase in salaries and benefits was mainly the result of a one-time after-tax bonus of $1,500 provided to all associates in December 2025, totaling $2.2 million, as well as higher staffing levels and stock-based compensation expenses, partially offset by an increase in capitalized payroll costs related to the implementation of a new core banking system. Other expenses rose due to an increase in third party expenses related to a higher volume of loan applications not yet converted to funded loans, increased down payment assistance and additional postage expenses. Additionally, pension benefits arising from actuarial adjustments were lower during the most recent period.

Financial Condition at March 31, 2026 compared to September 30, 2025

Total assets increased $23.4 million, or less than 1%, to $17.48 billion at March 31, 2026 from $17.46 billion at September 30, 2025. The increase was mainly the result of increases in loans held for investment and other assets, partially offset by decreases in loans held for sale and investment securities available for sale.

Investment securities available for sale decreased $66.1 million, or 12.69%, to $454.6 million at March 31, 2026 from $520.7 million at September 30, 2025. This decrease was mainly due to the combined effect of cash flows from security repayments and maturities. During the six months ended March 31, 2026, a $50.0 million treasury security matured and was not replaced.

Loans held for investment, net of allowance and deferred loan expenses, increased $79.0 million, or 0.5%, to $15.74 billion at March 31, 2026 from $15.66 billion at September 30, 2025. The increase was offset by a $52.6 million decrease in loans held for sale, which totaled $5.1 million at March 31, 2026. Home equity loans and lines of credit increased $424.4 million to $5.24 billion and the residential core mortgage loan portfolio decreased $339.8 million to $10.46 billion.

The changes in loans held for sale and loans held for investment were affected by the volume of loans originated, acquired and sold. During the six months ended March 31, 2026, residential mortgage loan origination and acquisitions were $567.1 million compared to $376.0 million for the six months ended March 31, 2025. Of total residential mortgage loans originated and acquired during the most recent period, 80% were purchase transactions. Commitments originated for home equity loans and lines of credit were $1.10 billion for the six months ended March 31, 2026 compared to $1.19 billion for the six months ended March 31, 2025.

Other assets increased $41.2 million, or 36.9%, to $152.9 million at March 31, 2026 from $111.7 million at September 30, 2025. The increase largely stemmed from a $47.9 million increase in the margin requirement on swap contracts following the maturity of an investment security previously posted as collateral. This was partially offset by a $3.5 million decrease in deferred income tax assets and a $4.0 million decrease in interest receivables on swap contracts.

Deposits decreased $259.6 million, or 2.5%, to $10.19 billion at March 31, 2026 from $10.45 billion at September 30, 2025. The decrease was the result of a $965.2 million decrease in CDs and a $19.4 million decrease in money market deposit accounts, partially offset by increases of $711.2 million in savings accounts and $8.7 million in checking accounts. The decrease in total CDs included a $926.7 million decrease in retail CDs, the majority of which moved into savings accounts, and a $38.5 million decrease in brokered CD accounts. There were $862.4 million in brokered certificates of deposit at March 31, 2026 compared to $900.9 million at September 30, 2025.

Borrowed funds increased $272.2 million, or 5.6%, to $5.14 billion at March 31, 2026 from $4.87 billion at September 30, 2025. The balance of borrowed funds at March 31, 2026, all from the FHLB of Cincinnati, included $624.0 million of overnight advances, $1.53 billion of term advances with a weighted average maturity of approximately 1.5 years and $2.98 billion of term advances, aligned with interest rate swap contracts, with a remaining weighted average effective maturity of approximately 2.8 years.

Total shareholders' equity increased $28.5 million, or 1.5%, to $1.92 billion at March 31, 2026 from $1.89 billion at September 30, 2025. Activity reflects $45.5 million of net income, dividends paid of $30.1 million, $4.0 million in repurchases of the Company's common stock, a $12.4 million net decrease in accumulated other comprehensive loss and net positive adjustments of $4.7 million related to our stock compensation and employee stock ownership plans. The change in accumulated other comprehensive income was primarily due to a net decrease in unrealized losses on swap contracts. During the six months ended March 31, 2026, a total of 288,196 shares of the Company's common stock were repurchased at an average cost of $13.86 per share. The Company's eighth stock repurchase program, authorized by the Board of Directors in October 2016, allows for a total of 10,000,000 shares to be repurchased, with 4,655,890 remaining shares authorized for repurchase at March 31, 2026.

The Company declared and paid a quarterly dividend of $0.2825 per share during each of the first two fiscal quarters of 2026. As a result of a mutual member vote, Third Federal Savings and Loan Association of Cleveland, MHC (the "MHC"), the mutual holding company that owns approximately 81% of the outstanding stock of the Company, was able to waive its receipt of its share of the dividends paid. Under Federal Reserve regulations, the MHC is required to obtain the approval of its members every 12 months for the MHC to waive its right to receive dividends. As a result of a July 8, 2025 member vote and subsequent non-objection of the Federal Reserve, the MHC has the approval to waive receipt of up to $1.13 per share of possible dividends to be declared on the Company’s common stock during the twelve months subsequent to the members’ approval (i.e., through July 8, 2026), including a total of up to $0.2825 remaining. The MHC has conducted the member vote to approve the dividend waiver each of the past twelve years under Federal Reserve regulations and for each of those twelve years, approximately 97% of the votes cast were in favor of the waiver.

The Company operates under the capital requirements for the standardized approach of the Basel III capital framework

for U.S. banking organizations (“Basel III Rules”). At March 31, 2026 all of the Company's capital ratios exceed the amounts required for the Company to be considered "well capitalized" for regulatory capital purposes. The Company's Tier 1 leverage ratio was 10.77%, its Common Equity Tier 1 and Tier 1 ratios were each 17.22% and its total capital ratio was 18.18%.

Presentation slides as of March 31, 2026 will be available on the Company's website, thirdfederal.com, under the Investor Relations link under the "Presentations" menu, beginning May 1, 2026. The Company will not be hosting a conference call to discuss its operating results.

Third Federal Savings and Loan Association is a leading provider of savings and mortgage products, and operates under the values of love, trust, respect, a commitment to excellence and fun. Founded in Cleveland in 1938 as a mutual association by Ben and Gerome Stefanski, Third Federal’s mission is to help people achieve the dream of home ownership and financial security while creating value for our customers, communities, associates and shareholders. It became part of a public company in 2007 and celebrated its 85th anniversary in May 2023. Third Federal, which lends in 28 states and the District of Columbia, is dedicated to serving consumers with competitive rates and outstanding service. Third Federal, an equal housing lender, has 21 full service branches in Northeast Ohio, two lending offices in Central and Southern Ohio, and 15 full service branches throughout Florida. As of March 31, 2026, the Company’s assets totaled $17.48 billion.

Forward Looking Statements

This report contains forward-looking statements, which can be identified by the use of such words as estimate, project, believe, intend, anticipate, plan, seek, expect and similar expressions. These forward-looking statements include, among other things:

● statements of our goals, intentions and expectations;

● statements regarding our business plans and prospects and growth and operating strategies;

●

statements concerning trends in our provision for credit losses and charge-offs on loans and off-balance sheet exposures;

● statements regarding the trends in factors affecting our financial condition and results of operations, including credit quality of our loan and investment portfolios; and

● estimates of our risks and future costs and benefits.

These forward-looking statements are subject to significant risks, assumptions and uncertainties, including, among other things, the following important factors that could affect the actual outcome of future events:

● significantly increased competition among depository and other financial institutions, including with respect to our ability to charge overdraft fees;

● inflation and changes in the interest rate environment that reduce our interest margins or reduce the fair value of financial instruments, or our ability to originate loans;

● general economic conditions, either globally, nationally or in our market areas, including employment prospects, real estate values and conditions that are worse than expected;

●

the strength or weakness of the real estate markets and of the consumer and commercial credit sectors and its impact on the credit quality of our loans and other assets, and changes in estimates of the allowance for credit losses;

● decreased demand for our products and services and lower revenue and earnings because of a recession or other events;

● changes in consumer spending, borrowing and savings habits, including repayment speeds on loans;

● adverse changes and volatility in the securities markets, credit markets or real estate markets;

● our ability to manage market risk, credit risk, liquidity risk, reputational risk, regulatory risk and compliance risk;

● our ability to access cost-effective funding;

● legislative or regulatory changes that adversely affect our business, including changes in regulatory costs and capital requirements and changes related to our ability to pay dividends and the ability of Third Federal Savings, MHC to waive dividends;

● changes in accounting policies and practices, as may be adopted by the bank regulatory agencies, the FASB or the PCAOB;

● the adoption of implementing regulations by a number of different regulatory bodies, and uncertainty in the exact nature, extent and timing of such regulations and the impact they will have on us;

● our ability to enter new markets successfully and take advantage of growth opportunities;

● future adverse developments concerning Fannie Mae or Freddie Mac;

● changes in monetary and fiscal policy of the U.S. Government, including policies of the U.S. Treasury, the Federal Reserve System, Federal Housing Finance Agency, the OCC, FDIC, and others, and the effects of tariffs and retaliatory actions;

● the ability of the U.S. Government to remain open, function properly and manage federal debt limits;

● the continuing governmental efforts to restructure the U.S. financial and regulatory system;

● the effects of the current partial federal government shutdown;

● changes in policy and/or assessment rates of taxing authorities that adversely affect us or our customers;

● changes in accounting and tax estimates;

●

changes in our organization and changes in expense trends, including but not limited to trends affecting non-performing assets, charge-offs and provisions for credit losses;

● the inability of third-party providers to perform their obligations to us;

● changes in liquidity, including the size and composition of our deposit portfolio, and the percentage of uninsured deposits in the portfolio;

● the effects of global or national war, conflict or acts of terrorism;

● our ability to retain key associates;

●

civil unrest;

●

cyber-attacks, computer viruses and other technological risks that may breach the security of our websites or other systems to obtain unauthorized access to confidential information, destroy data or disable our systems; and

● the impact of a wide-spread pandemic, and related government action, on our business and the economy.

Because of these and other uncertainties, our actual future results may be materially different from the results indicated by any forward-looking statements. Any forward-looking statement made by us in this report speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise, except as may be required by law.

TFS FINANCIAL CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CONDITION (unaudited)

(In thousands, except share data)

March 31,

2026 September 30,

2025

ASSETS

Cash and due from banks $ 25,122 $ 24,176

Other interest-earning cash equivalents 412,159 405,263

Cash and cash equivalents 437,281 429,439

Investment securities available for sale 454,625 520,659

Mortgage loans held for sale 5,051 57,662

Loans held for investment, net:

Mortgage loans 15,738,734 15,659,460

Other loans 8,254 8,153

Deferred loan expenses, net 70,253 69,943

Allowance for credit losses on loans (74,900) (74,244)

Loans, net 15,742,341 15,663,312

Mortgage loan servicing rights, net 8,975 8,549

Federal Home Loan Bank stock, at cost 244,361 235,363

Real estate owned, net 1,383 1,921

Premises, equipment, and software, net 43,429 40,022

Accrued interest receivable 59,927 62,553

Bank owned life insurance contracts 329,360 325,149

Other assets 152,937 111,687

TOTAL ASSETS $ 17,479,670 $ 17,456,316

LIABILITIES AND SHAREHOLDERS’ EQUITY

Deposits $ 10,187,391 $ 10,446,968

Borrowed funds 5,142,391 4,870,219

Borrowers’ advances for insurance and taxes 96,518 113,168

Principal, interest, and related escrow owed on loans serviced 29,197 30,328

Accrued expenses and other liabilities 101,703 101,709

Total liabilities 15,557,200 15,562,392

Commitments and contingent liabilities

Preferred stock, $0.01 par value, 100,000,000 shares authorized, none issued and outstanding — —

Common stock, $0.01 par value, 700,000,000 shares authorized; 332,318,750 shares issued 3,323 3,323

Paid-in capital 1,758,387 1,757,813

Treasury stock, at cost (776,404) (774,340)

Unallocated ESOP shares (16,250) (18,417)

Retained earnings—substantially restricted 962,213 946,776

Accumulated other comprehensive income (loss) (8,799) (21,231)

Total shareholders’ equity 1,922,470 1,893,924

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 17,479,670 $ 17,456,316

TFS FINANCIAL CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME (unaudited)

(In thousands, except share and per share data)

For the Three Months Ended

March 31,

2026 December 31,

2025 September 30,

2025 June 30,

2025 March 31,

2025

INTEREST AND DIVIDEND INCOME:

Loans, including fees $ 183,515 $ 184,946 $ 185,332 $ 177,493 $ 171,506

Investment securities available for sale 3,985 4,241 4,708 4,816 4,755

Other interest and dividend earning assets 7,969 8,585 9,013 9,098 9,691

Total interest and dividend income 195,469 197,772 199,053 191,407 185,952

INTEREST EXPENSE:

Deposits 73,792 79,203 78,636 76,803 75,379

Borrowed funds 43,871 42,889 43,094 39,610 38,524

Total interest expense 117,663 122,092 121,730 116,413 113,903

NET INTEREST INCOME 77,806 75,680 77,323 74,994 72,049

PROVISION (RELEASE) FOR CREDIT LOSSES — (1,000) 1,000 1,500 1,500

NET INTEREST INCOME AFTER PROVISION (RELEASE) FOR CREDIT LOSSES 77,806 76,680 76,323 73,494 70,549

NON-INTEREST INCOME:

Fees and service charges, net of amortization 2,498 2,512 2,617 2,467 2,221

Net gain on the sale of loans 1,744 2,329 2,314 726 1,187

Increase in and death benefits from bank owned life insurance contracts 2,718 2,764 2,650 2,733 2,680

Other 477 443 580 1,122 980

Total non-interest income 7,437 8,048 8,161 7,048 7,068

NON-INTEREST EXPENSE:

Salaries and employee benefits 30,184 30,488 27,579 27,651 27,666

Marketing services 4,026 6,239 4,537 5,810 4,632

Office property, equipment and software 7,932 7,756 7,236 7,653 7,617

Federal insurance premium and assessments 3,552 3,247 3,388 3,519 3,673

State franchise tax 1,146 1,067 1,117 1,204 1,199

Other expenses 8,559 7,433 8,188 7,348 6,301

Total non-interest expense 55,399 56,230 52,045 53,185 51,088

INCOME BEFORE INCOME TAXES 29,844 28,498 32,439 27,357 26,529

INCOME TAX EXPENSE 6,597 6,224 6,440 5,844 5,508

NET INCOME $ 23,247 $ 22,274 $ 25,999 $ 21,513 $ 21,021

Earnings per share - basic and diluted $ 0.08 $ 0.08 $ 0.09 $ 0.08 $ 0.07

Weighted average shares outstanding

Basic 278,858,428 278,754,792 278,764,271 278,832,875 278,729,388

Diluted 279,934,262 279,908,875 279,887,491 279,873,274 279,719,382

TFS FINANCIAL CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME (unaudited)

(In thousands, except share and per share data)

For the Six Months Ended

March 31,

2026 2025

INTEREST AND DIVIDEND INCOME:

Loans, including fees $ 368,461 $ 343,658

Investment securities available for sale 8,226 9,210

Other interest and dividend earning assets 16,554 19,852

Total interest and dividend income 393,241 372,720

INTEREST EXPENSE:

Deposits 152,995 153,321

Borrowed funds 86,760 79,022

Total interest expense 239,755 232,343

NET INTEREST INCOME 153,486 140,377

PROVISION (RELEASE) FOR CREDIT LOSSES (1,000) —

NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES 154,486 140,377

NON-INTEREST INCOME:

Fees and service charges, net of amortization 5,010 4,445

Net gain on the sale of loans 4,073 2,302

Increase in and death benefits from bank owned life insurance contracts 5,482 5,362

Other 920 1,462

Total non-interest income 15,485 13,571

NON-INTEREST EXPENSE:

Salaries and employee benefits 60,672 54,272

Marketing services 10,265 8,286

Office property, equipment and software 15,688 14,461

Federal insurance premium and assessments 6,799 7,258

State franchise tax 2,213 2,246

Other expenses 15,992 12,506

Total non-interest expense 111,629 99,029

INCOME BEFORE INCOME TAXES 58,342 54,919

INCOME TAX EXPENSE 12,821 11,472

NET INCOME $ 45,521 $ 43,447

Earnings per share

Basic $ 0.16 $ 0.15

Diluted $ 0.16 $ 0.15

Weighted average shares outstanding

Basic 278,806,040 278,632,698

Diluted 279,906,185 279,644,307

TFS FINANCIAL CORPORATION AND SUBSIDIARIES

AVERAGE BALANCES AND YIELDS (unaudited)

Three Months Ended Three Months Ended Three Months Ended

March 31, 2026 December 31, 2025 March 31, 2025

Average

Balance Interest

Income/

Expense Yield/

Cost (1) Average

Balance Interest

Income/

Expense Yield/

Cost (1) Average

Balance Interest

Income/

Expense Yield/

Cost (1)

(Dollars in thousands)

Interest-earning assets:

Interest-earning cash

equivalents $ 390,194 $ 3,561 3.65 % $ 386,878 $ 3,827 3.96 % $ 416,911 $ 4,578 4.39 %

Investment securities 3,948 11 1.11 % 20,064 194 3.87 % 54,105 552 4.08 %

Mortgage-backed securities 454,227 3,974 3.50 % 460,043 4,047 3.52 % 466,617 4,203 3.60 %

Loans (2) 15,800,101 183,515 4.65 % 15,793,474 184,946 4.68 % 15,351,040 171,506 4.47 %

Federal Home Loan Bank stock 239,292 4,408 7.37 % 233,298 4,758 8.16 % 219,813 5,113 9.30 %

Total interest-earning assets 16,887,762 195,469 4.63 % 16,893,757 197,772 4.68 % 16,508,486 185,952 4.51 %

Noninterest-earning assets 534,228 536,886 534,285

Total assets $ 17,421,990 $ 17,430,643 $ 17,042,771

Interest-bearing liabilities:

Checking accounts $ 791,919 39 0.02 % $ 790,898 70 0.04 % $ 822,059 89 0.04 %

Savings accounts 1,709,180 7,245 1.70 % 1,247,736 3,563 1.14 % 1,219,188 2,722 0.89 %

Certificates of deposit 7,750,278 66,508 3.43 % 8,359,946 75,570 3.62 % 8,292,210 72,568 3.50 %

Borrowed funds 5,001,235 43,871 3.51 % 4,827,275 42,889 3.55 % 4,542,318 38,524 3.39 %

Total interest-bearing liabilities 15,252,612 117,663 3.09 % 15,225,855 122,092 3.21 % 14,875,775 113,903 3.06 %

Noninterest-bearing liabilities 241,772 282,935 235,601

Total liabilities 15,494,384 15,508,790 15,111,376

Shareholders’ equity 1,927,606 1,921,853 1,931,395

Total liabilities and shareholders’ equity $ 17,421,990 $ 17,430,643 $ 17,042,771

Net interest income $ 77,806 $ 75,680 $ 72,049

Interest rate spread (1)(3) 1.54 % 1.47 % 1.45 %

Net interest-earning assets (4) $ 1,635,150 $ 1,667,902 $ 1,632,711

Net interest margin (1)(5) 1.84 % 1.79 % 1.75 %

Average interest-earning assets to average interest-bearing liabilities 110.72 % 110.95 % 110.98 %

Selected performance ratios:

Return on average assets (1) 0.53 % 0.51 % 0.49 %

Return on average equity (1) 4.82 % 4.64 % 4.35 %

Average equity to average assets 11.06 % 11.03 % 11.33 %

(1)Annualized.

(2)Loans include both mortgage loans held for sale and loans held for investment.

(3)Interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.

(4)Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.

(5)Net interest margin represents net interest income divided by total interest-earning assets.

TFS FINANCIAL CORPORATION AND SUBSIDIARIES

AVERAGE BALANCES AND YIELDS (unaudited)

Six Months Ended Six Months Ended

March 31, 2026 March 31, 2025

Average

Balance Interest

Income/

Expense Yield/

Cost (1) Average

Balance Interest

Income/

Expense Yield/

Cost (1)

(Dollars in thousands)

Interest-earning assets:

Interest-earning cash

equivalents $ 388,536 $ 7,388 3.80 % $ 420,511 $ 9,527 4.53 %

Investment securities 12,006 205 3.41 % 57,144 1,226 4.29 %

Mortgage-backed securities 457,135 8,021 3.51 % 460,475 7,984 3.47 %

Loans (2) 15,796,787 368,461 4.67 % 15,338,580 343,658 4.48 %

Federal Home Loan Bank stock 236,295 9,166 7.76 % 222,895 10,325 9.26 %

Total interest-earning assets 16,890,759 393,241 4.66 % 16,499,605 372,720 4.52 %

Noninterest-earning assets 535,558 529,459

Total assets $ 17,426,317 $ 17,029,064

Interest-bearing liabilities:

Checking accounts $ 791,409 109 0.03 % $ 824,221 179 0.04 %

Savings accounts 1,478,458 10,808 1.46 % 1,254,488 6,075 0.97 %

Certificates of deposit 8,055,112 142,078 3.53 % 8,175,475 147,067 3.60 %

Borrowed funds 4,914,255 86,760 3.53 % 4,597,823 79,022 3.44 %

Total interest-bearing liabilities 15,239,234 239,755 3.15 % 14,852,007 232,343 3.13 %

Noninterest-bearing liabilities 262,354 253,621

Total liabilities 15,501,588 15,105,628

Shareholders’ equity 1,924,729 1,923,436

Total liabilities and shareholders’ equity $ 17,426,317 $ 17,029,064

Net interest income $ 153,486 $ 140,377

Interest rate spread (1)(3) 1.51 % 1.39 %

Net interest-earning assets (4) $ 1,651,525 $ 1,647,598

Net interest margin (1)(5) 1.82 % 1.70 %

Average interest-earning assets to average interest-bearing liabilities 110.84 % 111.09 %

Selected performance ratios:

Return on average assets (1) 0.52 % 0.51 %

Return on average equity (1) 4.73 % 4.52 %

Average equity to average assets 11.04 % 11.30 %

(1)Annualized.

(2)Loans include both mortgage loans held for sale and loans held for investment.

(3)Interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.

(4)Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.

(5)Net interest margin represents net interest income divided by total interest-earning assets.

XML — IDEA: XBRL DOCUMENT

XML

Filename: R1.htm · Sequence: 7

v3.26.1

Document And Entity Information

Oct. 30, 2025

Cover [Abstract]

Document Period End Date

Apr. 30, 2026

Document Type

8-K

Entity Registrant Name

TFS FINANCIAL CORPORATION

Entity Incorporation, State or Country Code

Entity File Number

001-33390

Entity Tax Identification Number

52-2054948

Entity Address, Address Line One

7007 Broadway Ave.,

Entity Address, City or Town

Cleveland,

Entity Address, State or Province

Entity Address, Postal Zip Code

44105

City Area Code

(216)

Local Phone Number

441-6000

Written Communications

false

Soliciting Material

false

Pre-commencement Tender Offer

false

Pre-commencement Issuer Tender Offer

false

Entity Emerging Growth Company

false

Title of 12(b) Security

Common Stock, par value $0.01 per share

Trading Symbol

TFSL

Security Exchange Name

NASDAQ

Entity Central Index Key

0001381668

Amendment Flag

false

- Definition

Boolean flag that is true when the XBRL content amends previously-filed or accepted submission.

+ References

No definition available.

+ Details

Name:

dei_AmendmentFlag

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Area code of city

+ References

No definition available.

+ Details

Name:

dei_CityAreaCode

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Cover page.

+ References

No definition available.

+ Details

Name:

dei_CoverAbstract

Namespace Prefix:

dei_

Data Type:

xbrli:stringItemType

Balance Type:

Period Type:

duration

- Definition

For the EDGAR submission types of Form 8-K: the date of the report, the date of the earliest event reported; for the EDGAR submission types of Form N-1A: the filing date; for all other submission types: the end of the reporting or transition period. The format of the date is YYYY-MM-DD.

+ References

No definition available.

+ Details

Name:

dei_DocumentPeriodEndDate

Namespace Prefix:

dei_

Data Type:

xbrli:dateItemType

Balance Type:

Period Type:

duration

- Definition

The type of document being provided (such as 10-K, 10-Q, 485BPOS, etc). The document type is limited to the same value as the supporting SEC submission type, or the word 'Other'.

+ References

No definition available.

+ Details

Name:

dei_DocumentType

Namespace Prefix:

dei_

Data Type:

dei:submissionTypeItemType

Balance Type:

Period Type:

duration

- Definition

Address Line 1 such as Attn, Building Name, Street Name

+ References

No definition available.

+ Details

Name:

dei_EntityAddressAddressLine1

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Name of the City or Town

+ References

No definition available.

+ Details

Name:

dei_EntityAddressCityOrTown

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Code for the postal or zip code

+ References

No definition available.

+ Details

Name:

dei_EntityAddressPostalZipCode

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Name of the state or province.

+ References

No definition available.

+ Details

Name:

dei_EntityAddressStateOrProvince

Namespace Prefix:

dei_

Data Type:

dei:stateOrProvinceItemType

Balance Type:

Period Type:

duration

- Definition

A unique 10-digit SEC-issued value to identify entities that have filed disclosures with the SEC. It is commonly abbreviated as CIK.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b-2

+ Details

Name:

dei_EntityCentralIndexKey

Namespace Prefix:

dei_

Data Type:

dei:centralIndexKeyItemType

Balance Type:

Period Type:

duration

- Definition

Indicate if registrant meets the emerging growth company criteria.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b-2

+ Details

Name:

dei_EntityEmergingGrowthCompany

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Commission file number. The field allows up to 17 characters. The prefix may contain 1-3 digits, the sequence number may contain 1-8 digits, the optional suffix may contain 1-4 characters, and the fields are separated with a hyphen.

+ References

No definition available.

+ Details

Name:

dei_EntityFileNumber

Namespace Prefix:

dei_

Data Type:

dei:fileNumberItemType

Balance Type:

Period Type:

duration

- Definition

Two-character EDGAR code representing the state or country of incorporation.

+ References

No definition available.

+ Details

Name:

dei_EntityIncorporationStateCountryCode

Namespace Prefix:

dei_

Data Type:

dei:edgarStateCountryItemType

Balance Type:

Period Type:

duration

- Definition

The exact name of the entity filing the report as specified in its charter, which is required by forms filed with the SEC.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b-2

+ Details

Name:

dei_EntityRegistrantName

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

The Tax Identification Number (TIN), also known as an Employer Identification Number (EIN), is a unique 9-digit value assigned by the IRS.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b-2

+ Details

Name:

dei_EntityTaxIdentificationNumber

Namespace Prefix:

dei_

Data Type:

dei:employerIdItemType

Balance Type:

Period Type:

duration

- Definition

Local phone number for entity.

+ References

No definition available.

+ Details

Name:

dei_LocalPhoneNumber

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Boolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 13e

-Subsection 4c

+ Details

Name:

dei_PreCommencementIssuerTenderOffer

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Boolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 14d

-Subsection 2b

+ Details

Name:

dei_PreCommencementTenderOffer

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Title of a 12(b) registered security.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b

+ Details

Name:

dei_Security12bTitle

Namespace Prefix:

dei_

Data Type:

dei:securityTitleItemType

Balance Type:

Period Type:

duration

- Definition

Name of the Exchange on which a security is registered.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection d1-1

+ Details

Name:

dei_SecurityExchangeName

Namespace Prefix:

dei_

Data Type:

dei:edgarExchangeCodeItemType

Balance Type:

Period Type:

duration

- Definition

Boolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as soliciting material pursuant to Rule 14a-12 under the Exchange Act.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 14a

-Subsection 12

+ Details

Name:

dei_SolicitingMaterial

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Trading symbol of an instrument as listed on an exchange.

+ References

No definition available.

+ Details

Name:

dei_TradingSymbol

Namespace Prefix:

dei_

Data Type:

dei:tradingSymbolItemType

Balance Type:

Period Type:

duration

- Definition

Boolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as written communications pursuant to Rule 425 under the Securities Act.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Securities Act

-Number 230

-Section 425

+ Details

Name:

dei_WrittenCommunications

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration