TFS Financial Q1 net income falls

TFS Financial

29/01/2026 21:17

Overview

Savings and mortgage provider's Q1 net income decreased compared to the previous quarter

Net interest income increased year-over-year, driven by higher balances and yields

Company maintained a strong Tier 1 capital ratio of 10.75%

Outlook

Company did not provide specific guidance for future financial metrics

Result Drivers

INTEREST RATE IMPACT - Decrease in net interest income due to lower yields on home equity lines of credit after recent rate cuts

EXPENSE INCREASE - Rise in non-interest expenses driven by higher salaries, marketing, and office costs

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Net Income
$22.3 mln
Q1 Net Interest Income
$75.7 mln
Q1 Net Interest Margin
1.79%


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 TFS Financial Corp is $14.50, about 2.5% above its January 28 closing price of $14.14

The stock recently traded at 39 times the next 12-month earnings vs. a P/E of 40 three months ago

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(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.)