Capitol Federal Financial Q2 prelim net income steady QoQ, margin rises

Capitol Federal Financial

29/04/2026 14:12

Overview

US regional bank's preliminary fiscal Q2 net income was $20.1 mln, EPS $0.16

Net interest margin rose to 2.24%, marking seventh straight quarter of growth

Company repurchased $22.4 mln in shares during the quarter

Outlook

Company expects commercial loan growth of about 6% in the June 2026 qtr

Capitol Federal anticipates overall net commercial loan growth of about 20% for fiscal 2026

Company intends to continue regular quarterly cash dividend of $0.085 per share for remainder of fiscal 2026

Result Drivers

CREDIT LOSS PROVISION - Higher provision for credit losses, mainly due to a $4 mln specific allowance for a nonaccrual commercial loan, weighed on net income

NET INTEREST MARGIN - Net interest margin rose to 2.24%, mainly due to a reduction in borrowings

COMMERCIAL LOAN GROWTH - Growth in the commercial loan portfolio, funded by repayments from other loan categories, supported interest income

Company press release: ID:nPn5t5Vqya

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 EPS
$0.16
Q2 Net Income
$20.1 mln
Q2 Credit Loss Provision
$2.4 mln
Q2 Net Interest Margin
2.24%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the banks peer group is "buy."

Wall Street's median 12-month price target for Capitol Federal Financial Inc is $7.75, about 1.6% below its April 28 closing price of $7.88

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)