What changed in this filing

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Item 1. Financial Statements

2026-08-06 compared with 2026-05-07 · 132 added, 134 removed, 1141 unchanged (19% of the section changed)

3 unchanged sentences

Condensed Consolidated Statements of Financial Condition

(Dollars in thousands, except per share data) March 31, 2026 September 30, 2025

(Dollars in thousands, except per share data) June 30, 2026 September 30, 2025

ASSETS (Unaudited) (Audited)

20 unchanged sentences

STOCKHOLDERS’ EQUITY

Preferred stock, 3,000,000 shares authorized, no shares issued, none outstanding at March 31, 2026 and September 30, 2025, respectively

Preferred stock, 3,000,000 shares authorized, no shares issued, none outstanding at June 30, 2026 and September 30, 2025, respectively

Common stock, $ 0.01 par value;

90,000,000 shares authorized, 21,378,602 and 22,842,785 shares issued, 21,327,534 and 22,772,570 shares outstanding at March 31, 2026 and September 30, 2025, respectively

90,000,000 shares authorized, 21,074,970 and 22,842,785 shares issued, 21,023,902 and 22,772,570 shares outstanding at June 30, 2026 and September 30, 2025, respectively

Common stock, Nonvoting, $ 0.01 par value;

3,000,000 shares authorized, no shares issued, none outstanding at March 31, 2026 and September 30, 2025, respectively

3,000,000 shares authorized, no shares issued, none outstanding at June 30, 2026 and September 30, 2025, respectively

Additional paid-in capital 657,682 648,330

1 unchanged sentence

Accumulated other comprehensive loss ( 142,706 ) ( 145,461 )

Treasury stock, at cost, 51,068 and 70,215 common shares at March 31, 2026 and September 30, 2025, respectively

Treasury stock, at cost, 51,068 and 70,215 common shares at June 30, 2026 and September 30, 2025, respectively

( 3,537 ) ( 4,882 )

7 unchanged sentences

Condensed Consolidated Statements of Operations (Unaudited)

Three Months Ended March 31, Six Months Ended March 31,

Three Months Ended June 30, Nine Months Ended June 30,

(Dollars in thousands, except per share data) 2026 2025 2026 2025

17 unchanged sentences

(Loss) on sale of securities — — — ( 22,899 )

Gain (loss) on divestitures — ( 1,360 ) — 15,044

Gain on divestitures — — — 15,044

Secondary market revenue 13,969 7,144 21,700 26,900

Gain on sale of other 883 627 1,371 1,614

Gain (loss) on sale of other ( 51 ) 394 1,320 2,007

Other income 6,731 5,496 19,550 18,934

24 unchanged sentences

Condensed Consolidated Statements of Comprehensive Income (Unaudited)

Three Months Ended March 31, Six Months Ended March 31,

Three Months Ended June 30, Nine Months Ended June 30,

(Dollars in thousands) 2026 2025 2026 2025

4 unchanged sentences

( 29 ) 6,028 6,254 ( 7,896 )

Unrealized (loss) on currency translation ( 1,145 ) ( 22 ) ( 353 ) ( 2,039 )

Unrealized gain (loss) on currency translation ( 1,672 ) 2,069 ( 2,025 ) 30

Deferred income tax effect ( 81 ) 1,495 1,474 ( 1,551 )

18 unchanged sentences

Stockholders’

Balance, December 31, 2025 $ 222 $ 651,199 $ 346,529 $ ( 134,996 ) $ ( 8,419 ) $ 854,535 $ ( 823 ) $ 853,712

Balance, March 31, 2026 $ 213 $ 655,128 $ 340,744 $ ( 141,086 ) $ ( 3,537 ) $ 851,462 $ ( 785 ) $ 850,677

Cash dividends declared on common stock ($ 0.05 per share)

1 unchanged sentence

Repurchases of common stock ( 3 ) 3 ( 28,279 ) — — ( 28,279 ) — ( 28,279 )

Retirement of treasury stock — — ( 4,882 ) — 4,882 — — —

Stock compensation — 2,551 — — — 2,551 — 2,551

Total other comprehensive loss — — — ( 1,620 ) — ( 1,620 ) — ( 1,620 )

Joint venture membership interest divestiture — — ( 1,123 ) — — ( 1,123 ) — ( 1,123 )

Net income — — 28,969 — — 28,969 183 29,152

Net distribution to noncontrolling interest — — — — — — ( 113 ) ( 113 )

Balance, March 31, 2026

Net investment by noncontrolling interest — — — — — — 847 847

Balance, June 30, 2026

$ 210 $ 657,682 $ 339,252 $ ( 142,706 ) $ ( 3,537 ) $ 850,901 $ 245 $ 851,146

Balance, December 31, 2024 $ 241 $ 640,422 $ 313,446 $ ( 190,917 ) $ ( 4,882 ) $ 758,310 $ ( 756 ) $ 757,554

Balance, March 31, 2025 $ 235 $ 643,888 $ 341,775 $ ( 166,311 ) $ ( 4,882 ) $ 814,705 $ ( 658 ) $ 814,047

Cash dividends declared on common stock ($ 0.05 per share)

2 unchanged sentences

Stock compensation — 2,151 — — — 2,151 — 2,151

Total other comprehensive income — — — 24,606 — 24,606 — 24,606

Total other comprehensive income (loss) — — — 6,602 — 6,602 — 6,602

Net income — — 42,147 — — 42,147 213 42,360

Net distribution to noncontrolling interest — — — — — — ( 411 ) ( 411 )

Balance, March 31, 2025

Balance, June 30, 2025

$ 230 $ 646,044 $ 337,321 $ ( 159,709 ) $ ( 4,882 ) $ 819,004 $ ( 856 ) $ 818,148

Six Months Ended

Nine Months Ended

(Dollars in thousands, except per share data) Common

17 unchanged sentences

Total other comprehensive income — — — 2,755 — 2,755 — 2,755

Joint venture membership interest divestiture — — ( 1,123 ) ( 1,123 ) ( 1,123 )

Net income — — 137,045 — — 137,045 633 137,678

Net distribution to noncontrolling interest — — — — — — ( 644 ) ( 644 )

Balance, March 31, 2026

Net investment by noncontrolling interest — — — — — — 203 203

Balance, June 30, 2026

$ 210 $ 657,682 $ 339,252 $ ( 142,706 ) $ ( 3,537 ) $ 850,901 $ 245 $ 851,146

8 unchanged sentences

Net distribution to noncontrolling interest — — — — — — ( 1,229 ) ( 1,229 )

Balance, March 31, 2025

Balance, June 30, 2025

$ 230 $ 646,044 $ 337,321 $ ( 159,709 ) $ ( 4,882 ) $ 819,004 $ ( 856 ) $ 818,148

3 unchanged sentences

Condensed Consolidated Statements of Cash Flows (Unaudited)

Six Months Ended March 31,

Nine Months Ended June 30,

(Dollars in thousands) 2026 2025

43 unchanged sentences

Investment by (distributions to) noncontrolling interest 203 ( 1,229 )

Net cash (used in) financing activities ( 144,711 ) ( 526,458 )

Net cash provided by (used in) financing activities 66,911 ( 272,435 )

Effect of exchange rate changes on cash ( 2,025 ) 30

5 unchanged sentences

Condensed Consolidated Statements of Cash Flows (Unaudited)

Six Months Ended March 31,

Nine Months Ended June 30,

(Dollars in thousands) 2026 2025

9 unchanged sentences

Rental equipment to loan and leases 90,607 83,309

Recognition of operating lease ROU assets, net of measurements 920 —

Joint venture membership interest divestiture 1,123 —

Retirement of treasury stock 4,882 —

9 unchanged sentences

Such information reflects all adjustments (consisting of normal recurring adjustments) that are, in the opinion of management, necessary for a fair presentation of the financial position and results of operations for the periods presented.

The results of the three and six months ended March 31, 2026 are not necessarily indicative of the results expected for the fiscal year ending September 30, 2026.

The results of the three and nine months ended June 30, 2026 are not necessarily indicative of the results expected for the fiscal year ending September 30, 2026.

Certain prior fiscal year amounts have been reclassified to conform to the current year financial statement presentation.

47 unchanged sentences

Debt Securities AFS

March 31, 2026

June 30, 2026

Corporate securities $ 25,000 $ — $ ( 1,875 ) $ 23,125

14 unchanged sentences

Debt Securities HTM

March 31, 2026

June 30, 2026

Non-bank qualified obligations of states and political subdivisions $ 25,564 $ — $ ( 3,632 ) $ 21,932

12 unchanged sentences

Debt Securities AFS

March 31, 2026

June 30, 2026

Corporate securities $ — $ — $ 23,125 $ ( 1,875 ) $ 23,125 $ ( 1,875 )

12 unchanged sentences

Debt Securities HTM

March 31, 2026

June 30, 2026

Non-bank qualified obligations of states and political subdivisions $ — $ — $ 21,932 $ ( 3,632 ) $ 21,932 $ ( 3,632 )

5 unchanged sentences

Total debt securities HTM $ — $ — $ 25,653 $ ( 3,655 ) $ 25,653 $ ( 3,655 )

The decrease in the fair value of investment securities balances when comparing March 31, 2026 to September 30, 2025 was primarily driven by principal pay downs during the six months.

At March 31, 2026, there were 146 debt securities AFS in an unrealized loss position.

The decrease in the fair value of investment securities balances when comparing June 30, 2026 to September 30, 2025 was primarily driven by principal pay downs during the nine months.

At June 30, 2026, there were 146 debt securities AFS in an unrealized loss position.

Management assessed each investment security with unrealized losses for credit loss by evaluating qualitative factors, including materiality of loss position as a percentage of book value, credit ratings, outstanding principal and interest payments, and changes in the underlying implicit or explicit guarantee of the security, and determined all unrealized losses on these securities were due to adverse market conditions and/or change in interest rates versus credit loss.

As part of that assessment, management evaluated and concluded that it is more-likely-than-not that the Company will not be required and does not intend to sell any of the securities prior to recovery of the amortized cost.

At March 31, 2026, there was no allowance for credit losses ("ACL") for debt securities AFS.

At June 30, 2026, there was no allowance for credit losses ("ACL") for debt securities AFS.

The amortized cost and fair value of debt securities by contractual maturity are shown below.

Certain securities have call features which allow the issuer to call the security prior to maturity.

Expected maturities may differ from contractual maturities in MBS because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

Expected maturities may differ from contractual maturities in mortgage-backed securities ("MBS") because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

Therefore, MBS are not included in the maturity categories in the following maturity summary.

1 unchanged sentence

However, certain prepayment penalties may apply.

(Dollars in thousands) March 31, 2026 September 30, 2025

(Dollars in thousands) June 30, 2026 September 30, 2025

Debt Securities AFS Amortized Cost Fair

15 unchanged sentences

One-half of the subscription is paid at time of application, and one-half is subject to call of the Board of Governors of the Federal Reserve System.

FRB of Minneapolis stock held by the Bank totaled $ 19.7 million at March 31, 2026 and September 30, 2025.

FRB of Minneapolis stock held by the Bank totaled $ 19.7 million at June 30, 2026 and September 30, 2025.

These equity securities are 'restricted' in that they can only be owned by member banks and can only be sold back to the institution from which they were acquired or another member institution at par.

6 unchanged sentences

The FHLB stock is carried at cost since it is generally redeemable at par value.

The carrying value of the stock held at the FHLB was $ 5.8 million and $ 5.0 million at March 31, 2026 and at September 30, 2025, respectively.

The carrying value of the stock held at the FHLB was $ 11.2 million and $ 5.0 million at June 30, 2026 and at September 30, 2025, respectively.

These equity securities are ‘restricted’ in that they can only be sold back to the institution from which they were acquired or another member institution at par.

1 unchanged sentence

Equity Securities.

The Company held $ 4.6 million and $ 3.8 million in marketable equity securities within other assets on the Condensed Consolidated Statements of Financial Condition at March 31, 2026 and September 30, 2025, respectively.

The Company recognized zero and $ 0.1 million in unrealized losses on marketable equity securities during the six months ended March 31, 2026 and 2025, respectively.

No such securities were sold during the six months ended March 31, 2026.

Non-marketable equity securities that are measured at fair value using net asset value ("NAV") as a practical expedient totaled $ 13.6 million and $ 13.2 million at March 31, 2026 and September 30, 2025, respectively.

The Company held $ 4.8 million and $ 3.8 million in marketable equity securities within other assets on the Condensed Consolidated Statements of Financial Condition at June 30, 2026 and September 30, 2025, respectively.

The Company recognized zero and $ 0.1 million in unrealized losses on marketable equity securities during the nine months ended June 30, 2026 and 2025, respectively.

No such securities were sold during the nine months ended June 30, 2026.

Non-marketable equity securities that are measured at fair value using net asset value ("NAV") as a practical expedient totaled $ 13.5 million and $ 13.2 million at June 30, 2026 and September 30, 2025, respectively.

These securities are held within other assets on the Condensed Consolidated Statements of Financial Condition.

The Company recognized zero and $ 0.8 million in unrealized gains during the six months ended March 31, 2026 and 2025, respectively.

No such securities were sold during the six months ended March 31, 2026.

Non-marketable equity securities without readily determinable fair value totaled $ 12.6 million and $ 12.0 million at March 31, 2026 and September 30, 2025, respectively, reflecting the Company's ownership interests in other entities through Pathward Venture Capital, LLC, a wholly-owned service corporation subsidiary of the Bank that was formed in 2017 for the purpose of making minority equity investments and other corporate investments.

The Company recognized a $ 0.4 million gain on Visa shares which were carried at a cost basis of $ 0 during the six months ended March 31, 2025.

The Company recognized $ 1.7 million and $ 1.1 million in unrealized gains during the nine months ended June 30, 2026 and 2025, respectively.

No such securities were sold during the nine months ended June 30, 2026.

Non-marketable equity securities without readily determinable fair value totaled $ 14.9 million and $ 12.0 million at June 30, 2026 and September 30, 2025, respectively, reflecting the Company's ownership interests in other entities through Pathward Venture Capital, LLC, a wholly-owned service corporation subsidiary of the Bank that was formed in 2017 for the purpose of making minority equity investments and other corporate investments.

The Company recognized a $ 0.4 million gain on Visa shares which were carried at a cost basis of $ 0 during the nine months ended June 30, 2025.

This gain was recognized within the gain on sale of other on the Condensed Consolidated Statements of Operations.

There were no additional such securities sold during the six months ended March 31, 2026.

There were no additional such securities sold during the nine months ended June 30, 2026.

Equity Securities Impairment.

1 unchanged sentence

All other equity investments, including those under the equity method, are reviewed for other-than-temporary impairment on at least a quarterly basis.

The Company recognized no impairment for such investments for the six months ended March 31, 2026 and 2025.

The Company recognized $ 0.2 million and no impairment for such investments for the nine months ended June 30, 2026 and 2025, respectively.

LOANS AND LEASES, NET

Loans and leases consist of the following:

(Dollars in thousands) March 31, 2026 September 30, 2025

(Dollars in thousands) June 30, 2026 September 30, 2025

Term lending $ 2,666,977 $ 2,302,540

13 unchanged sentences

Total loans and leases, net $ 4,998,061 $ 4,611,589

During the six months ended March 31, 2026 and 2025, the Company originated $ 1.80 billion and $ 1.38 billion of commercial finance and consumer finance as held for sale, respectively.

The Company sold held for sale loans resulting in proceeds of $ 1.96 billion and a $ 7.7 million gain on sale during the six months ended March 31, 2026.

The Company sold held for sale loans resulting in proceeds of $ 1.15 billion and a $ 19.8 million gain on sale during the six months ended March 31, 2025 .

During the nine months ended June 30, 2026 and 2025, the Company originated $ 2.75 billion and $ 1.93 billion of commercial finance and consumer finance as held for sale, respectively.

The Company sold held for sale loans resulting in proceeds of $ 2.91 billion and a $ 21.7 million gain on sale during the nine months ended June 30, 2026.

The Company sold held for sale loans resulting in proceeds of $ 2.16 billion and a $ 26.9 million gain on sale during the nine months ended June 30, 2025 .

Gains and losses from the sale of loans and leases are included in secondary market revenue on the Condensed Consolidated Statements of Operations.

Loans purchased and sold by portfolio segment, including participation interests, were as follows:

Three Months Ended March 31, Six Months Ended March 31,

Three Months Ended June 30, Nine Months Ended June 30,

(Dollars in thousands) 2026 2025 2026 2025

10 unchanged sentences

The net investment in direct financing and sales-type leases was comprised of the following:

(Dollars in thousands) March 31, 2026 September 30, 2025

(Dollars in thousands) June 30, 2026 September 30, 2025

Minimum lease payments receivable $ 125,185 $ 157,271

4 unchanged sentences

The components of total lease income were as follows:

Three Months Ended March 31, Six Months Ended March 31,

Three Months Ended June 30, Nine Months Ended June 30,

(Dollars in thousands) 2026 2025 2026 2025

7 unchanged sentences

(1) Other leasing and equipment finance noninterest income consists of gains (losses) on sales of leased equipment, fees and service charges on leases and gains (losses) on sales of leases.

Undiscounted future minimum lease payments receivable for direct financing and sales-type leases, and a reconciliation to the carrying amount recorded at March 31, 2026 were as follows:

Undiscounted future minimum lease payments receivable for direct financing and sales-type leases, and a reconciliation to the carrying amount recorded at June 30, 2026 were as follows:

(Dollars in thousands)

4 unchanged sentences

Total carrying amount of minimum lease payments for direct financing and sales-type leases $ 125,185

The Company did not record any contingent rental income from direct financing and sales-type leases in the six months ended March 31, 2026.

A number of factors that have affected the economic environment over the past few years have continued into 2026, including economic uncertainty, inflation, geopolitical conflict and tensions, and increased interest rates, with the Federal Reserve beginning to lower the target federal funds rate at the end of 2024.

The Company did not record any contingent rental income from direct financing and sales-type leases in the nine months ended June 30, 2026.

A number of factors that have affected the economic environment over the past few years have continued into 2026, including economic uncertainty, inflation, geopolitical conflict and tensions, and increased interest rates, with the Federal Reserve lowering the target federal funds rate at the end of 2024 and the end of 2025.

Since early 2025, global markets and the U.S.

4 unchanged sentences

(Dollars in thousands) Beginning Balance Provision (Reversal) Charge-offs Recoveries Ending Balance

Three Months Ended March 31, 2026

Three Months Ended June 30, 2026

Allowance for credit losses:

13 unchanged sentences

Total $ 99,465 $ 28,309 $ ( 18,712 ) $ 2,683 $ 111,745

Three Months Ended March 31, 2025

Three Months Ended June 30, 2025

Allowance for credit losses:

15 unchanged sentences

(Dollars in thousands) Beginning Balance Provision (Reversal) Charge-offs Recoveries Ending Balance

Six Months Ended March 31, 2026

Nine Months Ended June 30, 2026

Allowance for credit losses:

13 unchanged sentences

Total $ 54,243 $ 77,155 $ ( 38,886 ) $ 19,233 $ 111,745

Six Months Ended March 31, 2025

Nine Months Ended June 30, 2025

Allowance for credit losses:

16 unchanged sentences

Information on loans and leases that are deemed to be collateral dependent and are evaluated individually for the ACL was as follows:

(Dollars in thousands) March 31, 2026 September 30, 2025

(Dollars in thousands) June 30, 2026 September 30, 2025

Term lending $ 70,295 $ 33,042

3 unchanged sentences

SBA/USDA 3,860 6,147

Other commercial finance 414 —

Commercial finance (1)

4 unchanged sentences

Due to the nature of the transactions and significant cash collateral positions, these credits are evaluated individually.

The balance of these pass rated cash collateral loans totaled $ 98.0 million and $ 107.7 million at March 31, 2026 and at September 30, 2025, respectively.

The balance of these pass rated cash collateral loans totaled $ 92.4 million and $ 107.7 million at June 30, 2026 and at September 30, 2025, respectively.

Federal regulations provide for the classification of loans and other assets such as debt and equity securities considered by the Bank's primary regulator, the Office of the Comptroller of the Currency (the "OCC"), to be of lesser quality as “substandard,” “doubtful” or “loss.” The loan classification and risk rating definitions are as follows:

22 unchanged sentences

Due to the unique risks associated with these portfolios, the Company monitors other credit quality indicators in its evaluation of the appropriateness of the ACL on these portfolios, and as such, these loans are not included in the asset classification table below.

The outstanding balances of consumer finance loans and tax services loans were $ 90.9 million and $ 60.2 million at March 31, 2026, respectively, and $ 93.3 million and $ 2.5 million at September 30, 2025 , respectively.

The outstanding balances of consumer finance loans and tax services loans were $ 99.4 million and $ 34.8 million at June 30, 2026, respectively, and $ 93.3 million and $ 2.5 million at September 30, 2025 , respectively.

The amortized cost basis of loans and leases by asset classification and year of origination was as follows:

1 unchanged sentence

(Dollars in thousands) Term Loans and Leases by Origination Year Revolving Loans and Leases Total

March 31, 2026 2026 2025 2024 2023 2022 Prior

June 30, 2026 2026 2025 2024 2023 2022 Prior

Pass $ 824,199 $ 383,074 $ 186,282 $ 138,913 $ 66,517 $ 62,129 $ — $ 1,661,114

17 unchanged sentences

Substandard — — — — — — 18,127 18,127

Doubtful — — — — — — 1,357 1,357

Total — — — — — — 220,026 220,026

94 unchanged sentences

(Dollars in thousands) 30-59 Days Past Due 60-89 Days Past Due > 89 Days Past Due Total Past Due Current Total Loans and Leases Receivable > 89 Days Past Due and Accruing Nonaccrual Balance Total

March 31, 2026

June 30, 2026

Loans held for sale $ — $ 12,420 $ — $ 12,420 $ 84,868 $ 97,288 $ — $ — $ —

28 unchanged sentences

(Dollars in thousands) Term Loans and Leases by Origination Year Revolving Loans and Leases Total Nonaccrual with No ACL

March 31, 2026 2026 2025 2024 2023 2022 Prior

June 30, 2026 2026 2025 2024 2023 2022 Prior

Term lending $ — $ 119,502 $ 2,217 $ 51,824 $ 1,380 $ 14,936 $ — $ 189,859 $ 17,490

19 unchanged sentences

(Dollars in thousands) Term Loans and Leases by Origination Year Revolving Loans and Leases Total

March 31, 2026 2026 2025 2024 2023 2022 Prior

Loans held for sale $ — $ — $ — $ — $ — $ — $ — $ —

June 30, 2026 2026 2025 2024 2023 2022 Prior

Term lending $ — $ — $ 11,187 $ 1,553 $ — $ 888 $ — $ 13,628

18 unchanged sentences

The following table provides the average recorded investment in nonaccrual loans and leases:

Three Months Ended March 31, Six Months Ended March 31,

Three Months Ended June 30, Nine Months Ended June 30,

(Dollars in thousands) 2026 2025 2026 2025

7 unchanged sentences

Total loans and leases $ 144,294 $ 50,173 $ 109,828 $ 38,641

The recognized interest income on the Company's nonaccrual loans and leases for the three and six months ended March 31, 2026 and 2025 was not significant.

Modifications made to borrowers experiencing financial difficulty during the three and six months ended March 31, 2026 were $ 0.5 million and $ 3.0 million, respectively, in the commercial finance loan portfolio.

The recognized interest income on the Company's nonaccrual loans and leases for the three and nine months ended June 30, 2026 and 2025 was not significant.

Modifications made to borrowers experiencing financial difficulty during the three and nine months ended June 30, 2026 were none and $ 3.0 million, respectively, in the commercial finance loan portfolio.

The types of modifications granted were term extensions.

Modifications made to borrowers experiencing financial difficulty during the three and six months ended March 31, 2025 were $ 5.9 million and $ 9.1 million, respectively, in the commercial finance loan portfolio.

During the six months ended March 31, 2026, the Company had $ 2.1 million of commercial finance loans where a modification was granted in the previous 12 months in which there was a payment default.

As of March 31, 2026, $ 2.1 million of modifications granted during the current six month period were in the 30-59 days past due category.

During the six months ended March 31, 2025, the Company had $ 6.1 million of commercial finance loans where a modification was granted in the previous 12 months in which there was a payment default.

As of March 31, 2025, no modifications granted during the six months ended March 31, 2025 were in the 60-89 days past due category.

Modifications made to borrowers experiencing financial difficulty during the three and nine months ended June 30, 2025 were none and $ 9.1 million, respectively, in the commercial finance loan portfolio.

During the nine months ended June 30, 2026, the Company had $ 3.0 million of commercial finance loans where a modification was granted in the previous 12 months in which there was a payment default.

As of June 30, 2026, $ 0.5 million and $ 2.5 million of modifications granted during the current nine month period were in the 30-59 days past due category and the over 89 days past due category, respectively.

During the nine months ended June 30, 2025, the Company had $ 7.2 million of commercial finance loans where a modification was granted in the previous 12 months in which there was a payment default.

As of June 30, 2025, no modifications granted during the nine months ended June 30, 2025 were in the 60-89 days past due category.

EARNINGS PER COMMON SHARE ("EPS")

7 unchanged sentences

A reconciliation of net income and common stock share amounts used in the computation of basic and diluted earnings per share is presented below.

Three Months Ended March 31, Six Months Ended March 31,

Three Months Ended June 30, Nine Months Ended June 30,

(Dollars in thousands, except per share data) 2026 2025 2026 2025

17 unchanged sentences

(1) Represents the effect of the assumed vesting of PSUs and restricted stock, as applicable, utilizing the treasury stock method.

(2) Excluded from the computation of diluted earnings per share for the three months ended March 31, 2026 and 2025, respectively, were 20,794 and 83,665 weighted average shares of nonvested restricted stock because their inclusion would be anti-dilutive.

Excluded from the computation of diluted earnings per share for the six months ended March 31, 2026 and 2025, respectively, were 26,327 and 92,172 weighted average shares of nonvested restricted stock because their inclusion would be anti-dilutive.

(2) Excluded from the computation of diluted earnings per share for the three months ended June 30, 2026 and 2025, respectively, were 20,794 and 83,151 weighted average shares of nonvested restricted stock because their inclusion would be anti-dilutive.

Excluded from the computation of diluted earnings per share for the nine months ended June 30, 2026 and 2025, respectively, were 24,490 and 89,175 weighted average shares of nonvested restricted stock because their inclusion would be anti-dilutive.

RENTAL EQUIPMENT, NET

Rental equipment consists of the following:

(Dollars in thousands) March 31, 2026 September 30, 2025

(Dollars in thousands) June 30, 2026 September 30, 2025

Computers and IT networking equipment $ 5,062 $ 11,723

6 unchanged sentences

Net book value $ 152,451 $ 159,446

Future minimum lease payments expected to be received for operating leases at March 31, 2026 were as follows:

Future minimum lease payments expected to be received for operating leases at June 30, 2026 were as follows:

(Dollars in thousands)

3 unchanged sentences

GOODWILL AND INTANGIBLE ASSETS

The Company held a total of $ 297.9 million of goodwill at March 31, 2026.

The Company held a total of $ 297.9 million of goodwill at June 30, 2026.

The recorded goodwill is a result of multiple business combinations that occurred from 2015 to 2018.

There have been no changes to the carrying amount of goodwill during the six months ended March 31, 2026.

There have been no changes to the carrying amount of goodwill during the nine months ended June 30, 2026.

The changes in the carrying amount of the Company’s intangible assets were as follows:

4 unchanged sentences

Amortization during the period ( 822 ) ( 1,189 ) ( 396 ) ( 2,407 )

March 31, 2026 $ 4,798 $ 3,234 $ 2,781 $ 10,813

June 30, 2026 $ 4,524 $ 2,922 $ 2,649 $ 10,095

Gross carrying amount $ 13,774 $ 70,338 $ 7,732 $ 91,844

1 unchanged sentence

Accumulated impairment — ( 10,918 ) ( 153 ) ( 11,071 )

March 31, 2026 $ 4,798 $ 3,234 $ 2,781 $ 10,813

June 30, 2026 $ 4,524 $ 2,922 $ 2,649 $ 10,095

September 30, 2024 $ 6,422 $ 6,566 $ 3,601 $ 16,589

1 unchanged sentence

Write-offs and disposals during the period — ( 631 ) — ( 631 )

March 31, 2025 $ 5,884 $ 4,871 $ 3,309 $ 14,064

June 30, 2025 $ 5,616 $ 4,473 $ 3,176 $ 13,265

Gross carrying amount $ 13,774 $ 70,338 $ 7,732 $ 91,844

1 unchanged sentence

Accumulated impairment — ( 10,918 ) ( 153 ) ( 11,071 )

March 31, 2025 $ 5,884 $ 4,871 $ 3,309 $ 14,064

June 30, 2025 $ 5,616 $ 4,473 $ 3,176 $ 13,265

(1) Book amortization period of 5 - 15 years.

5 unchanged sentences

The estimated amortization expense of intangible assets assumes no activities, such as acquisitions, which would result in additional amortizable intangible assets.

Estimated amortization expense of intangible assets in the remaining six months of fiscal 2026 and subsequent fiscal years at March 31, 2026 was as follows:

Estimated amortization expense of intangible assets in the remaining three months of fiscal 2026 and subsequent fiscal years at June 30, 2026 was as follows:

(Dollars in thousands)

2 unchanged sentences

Total anticipated intangible amortization $ 10,095

There were no impairments to intangible assets during the six months ended March 31, 2026 and 2025.

There were no impairments to intangible assets during the nine months ended June 30, 2026 and 2025.

Intangible impairment expense is recorded within the impairment expense line of the Condensed Consolidated Statements of Operations.

OPERATING LEASE RIGHT-OF-USE ASSETS AND LIABILITIES

Operating lease right-of-use ("ROU") assets, included in other assets , were $ 21.9 million and $ 22.7 million at March 31, 2026 and September 30, 2025, respectively.

Operating lease liabilities, included in accrued expenses and other liabilities , were $ 23.2 million and $ 24.0 million at March 31, 2026 and September 30, 2025, respectively.

The decreases in lease ROU assets and liabilities relate to normal amortization and lease payments made during the six months ended March 31, 2026.

Undiscounted future minimum operating lease payments and a reconciliation to the amount recorded as operating lease liabilities at March 31, 2026 were as follows:

Operating lease right-of-use ("ROU") assets, included in other assets , were $ 21.4 million and $ 22.7 million at June 30, 2026 and September 30, 2025, respectively.

Operating lease liabilities, included in accrued expenses and other liabilities , were $ 22.7 million and $ 24.0 million at June 30, 2026 and September 30, 2025, respectively.

The decreases in operating lease ROU assets and liabilities relate to normal amortization and lease payments made during the nine months ended June 30, 2026.

Undiscounted future minimum operating lease payments and a reconciliation to the amount recorded as operating lease liabilities at June 30, 2026 were as follows:

(Dollars in thousands)

5 unchanged sentences

The weighted-average discount rate and remaining lease term for operating leases were as follows:

March 31, 2026 September 30, 2025

June 30, 2026 September 30, 2025

Weighted-average discount rate 2.33 % 2.65 %

1 unchanged sentence

The components of total lease costs for operating leases were as follows:

Three Months Ended March 31, Six Months Ended March 31,

Three Months Ended June 30, Nine Months Ended June 30,

(Dollars in thousands) 2026 2025 2026 2025

6 unchanged sentences

The Company's Board of Directors authorized a share repurchase program to repurchase up to 7,000,000 shares of the Company's outstanding common stock on or before September 30, 2028.

During the six months ended March 31, 2026 and 2025, the Company repurchased 1,507,005 and 1,277,664 shares, respectively, as part of the share repurchase program.

During the nine months ended June 30, 2026 and 2025, the Company repurchased 1,810,637 and 1,881,444 shares, respectively, as part of the share repurchase program.

Under the repurchase program, repurchased shares were retired and designated as authorized but unissued shares.

1 unchanged sentence

When the repurchase price is greater than the original issue proceeds, the excess is charged to retained earnings.

As of March 31, 2026, 3,430,811 shares of common stock remained available for repurchase.

For the six months ended March 31, 2026 and 2025, the Company also repurchased 51,068 and 66,446 shares, or $ 3.5 million and $ 4.6 million, of common stock, respectively, in settlement of employee tax withholding obligations due upon the vesting of restricted stock.

As of June 30, 2026, 3,127,179 shares of common stock remained available for repurchase.

For the nine months ended June 30, 2026 and 2025, the Company also repurchased 51,068 and 66,446 shares, or $ 3.5 million and $ 4.6 million, of common stock, respectively, in settlement of employee tax withholding obligations due upon the vesting of restricted stock.

Retirement of Treasury Stock.

1 unchanged sentence

When the repurchase price is greater than the original issue proceeds, the excess is charged to retained earnings.

The Company retired 70,215 and zero shares of common stock held in treasury during the six months ended March 31, 2026 and 2025, respectively.

The Company retired 70,215 and zero shares of common stock held in treasury during the nine months ended June 30, 2026 and 2025, respectively.

STOCK COMPENSATION

14 unchanged sentences

Finally, awards of shares or RSUs may be made at other times during the fiscal year for new hire, promotion, or retention awards.

The following tables show the activity of share awards (including shares of restricted stock subject to vesting, fully-vested restricted stock, RSUs and PSUs) granted, exercised or forfeited under all of the Company's incentive plans during the six months ended March 31, 2026.

Number of Shares Weighted Average Fair Value at Grant

4 unchanged sentences

Forfeited or expired — —

Nonvested shares outstanding, March 31, 2026 20,794 $ 51.51

Nonvested shares outstanding, June 30, 2026 20,794 $ 51.51

Nonvested shares outstanding, September 30, 2025 92,620 $ 79.19

2 unchanged sentences

Forfeited or expired ( 11,206 ) 73.42

Nonvested shares outstanding, March 31, 2026 179,042 $ 72.45

Nonvested shares outstanding, June 30, 2026 182,627 $ 72.81

PSUs outstanding, September 30, 2025 142,366 $ 52.59

3 unchanged sentences

Forfeited or expired — —

PSUs outstanding, March 31, 2026 136,149 $ 63.02

PSUs outstanding, June 30, 2026 136,149 $ 63.02

(1) The final performance was assessed after September 30, 2025, resulted in an achievement greater than target, and an additional 15,901 shares were allocated to the participants in the plan.

2 unchanged sentences

The Company has elected to record forfeitures as they occur.

The Company recognized total stock-based compensation expense of $ 6.8 million and $ 5.1 million for the six months ended March 31, 2026 and 2025, respectively.

The Company recognized total stock-based compensation expense of $ 9.3 million and $ 7.2 million for the nine months ended June 30, 2026 and 2025, respectively.

This expense is recorded primarily within compensation and benefits on the Condensed Consolidated Statements of Operations.

As of March 31, 2026, stock-based compensation expense not yet recognized in income totaled $ 14.2 million, which is expected to be recognized over a weighted average remaining period of 1.79 years.

The Company recorded an income tax expense of $ 21.4 million for the six months ended March 31, 2026, resulting in an effective tax rate of 16.5 %, compared to an income tax expense of $ 22.2 million, or an effective tax rate of 17.4 %, for the six months ended March 31, 2025.

As of June 30, 2026, stock-based compensation expense not yet recognized in income totaled $ 11.9 million, which is expected to be recognized over a weighted average remaining period of 1.64 years.

The Company recorded an income tax expense of $ 24.4 million for the nine months ended June 30, 2026, resulting in an effective tax rate of 15.1 %, compared to an income tax expense of $ 27.0 million, or an effective tax rate of 15.4 %, for the nine months ended June 30, 2025.

The Company’s effective tax rate was lower than the U.S.

2 unchanged sentences

The table below compares the income tax expense components for the periods presented.

Six Months Ended March 31,

Nine Months Ended June 30,

(Dollars in thousands) 2026 2025

15 unchanged sentences

(Dollars in thousands) Consumer Commercial Corporate Services/Other Consolidated Company

Three Months Ended March 31, 2026 2025 2026 2025 2026 2025 2026 2025

Net interest income (1)

Three Months Ended June 30, 2026 2025 2026 2025 2026 2025 2026 2025

Net interest income (expense) (1)

$ 61,876 $ 67,949 $ 52,191 $ 51,241 $ ( 1,154 ) $ 3,123 $ 112,913 $ 122,313

6 unchanged sentences

— — 9,363 12,681 244 232 9,607 12,913

(Loss) on sale of securities (1)

— — — — — ( 7,228 ) — ( 7,228 )

(Loss) on divestitures (1)

— — — — — ( 1,360 ) — ( 1,360 )

Secondary market revenue (1)

1 41 13,968 7,103 — — 13,969 7,144

Gain on sale of other (1)

Gain (loss) on sale of other (1)

— — ( 51 ) 330 — 64 ( 51 ) 394

3 unchanged sentences

Revenue $ 110,736 $ 117,697 $ 78,405 $ 73,543 $ 503 $ 4,515 $ 189,644 $ 195,755

Six Months Ended March 31,

Net interest income (expense) (1)

Nine Months Ended June 30,

Net interest income (1)

$ 198,951 $ 224,644 $ 147,386 $ 136,521 $ 11,038 $ 22,677 $ 357,375 $ 383,842

26 unchanged sentences

therefore, the Company measures progress in completing these services based upon the passage of time.

Revenue from contracts with customers did not generate significant contract assets and liabilities for the six months ended March 31, 2026.

Revenue from contracts with customers did not generate significant contract assets and liabilities for the nine months ended June 30, 2026.

Refund Transfer Product Fees.

41 unchanged sentences

(Dollars in thousands) Consumer Commercial Corporate Services/Other Total

Three Months Ended March 31, 2026 2025 2026 2025 2026 2025 2026 2025

Three Months Ended June 30, 2026 2025 2026 2025 2026 2025 2026 2025

Interest and dividend income $ 62,531 $ 69,620 $ 82,793 $ 76,738 $ ( 31,291 ) $ ( 22,766 ) $ 114,033 $ 123,592

Interest expense 655 1,671 30,602 25,497 ( 30,137 ) ( 25,889 ) 1,120 1,279

Net interest income 66,183 75,633 45,375 41,987 13,566 18,659 125,124 136,279

Net interest income (expense) 61,876 67,949 52,191 51,241 ( 1,154 ) 3,123 112,913 122,313

Provision for (reversal of) credit loss ( 6,407 ) ( 2,114 ) 34,673 11,371 43 21 28,309 9,278

18 unchanged sentences

Total deposits 5,720,403 5,823,684 177 87 229,729 181,475 5,950,309 6,005,246

Six Months Ended March 31,

Nine Months Ended June 30,

Interest and dividend income $ 212,144 $ 240,319 $ 248,091 $ 224,407 $ ( 94,104 ) $ ( 70,774 ) $ 366,131 $ 393,952

1 unchanged sentence

Net interest income 198,951 224,644 147,386 136,521 11,038 22,677 357,375 383,842

Provision for (reversal of) credit loss 25,888 42,463 22,999 11,339 ( 41 ) 125 48,846 53,927

Net interest income after provision for (reversal of) credit loss 111,187 114,231 72,196 73,941 12,233 19,429 195,616 207,601

Provision for credit loss 19,481 40,349 57,672 22,710 2 146 77,155 63,205

Net interest income after provision for credit loss 179,470 184,295 89,714 113,811 11,036 22,531 280,220 320,637

Noninterest income 212,192 197,376 65,465 61,659 4,017 10,309 281,674 269,344

16 unchanged sentences

Total deposits 5,720,403 5,823,684 177 87 229,729 181,475 5,950,309 6,005,246

Expenses included in the Other Expenses line represent insignificant expenses to the various operating segments such as marketing, data processing, meals and travel, communications, office supplies, seminars and training, dues and subscriptions, regulatory expense, bank service charges, fraud and program losses, charitable giving, and intangible amortization that are included in income (loss) before income tax expense.

Expenses included in the Other Expenses line represent expenses to the various operating segments such as marketing, data processing, meals and travel, communications, office supplies, seminars and training, dues and subscriptions, regulatory expense, bank service charges, fraud and program losses, charitable giving, and intangible amortization that are included in income (loss) before income tax expense.

In addition, interest expense includes intercompany interest paid through allocations to appropriately fund each of the operating segments.

22 unchanged sentences

The Company considers this derivative instrument to be within Level 3 of the fair value hierarchy, as it utilizes inputs from sales or securitization transactions involving similar loans.

As of March 31, 2026 and September 30, 2025, the Company determined the derivatives had no fair value, respectively, thus eliminating the need for further disclosures regarding Level 3 inputs as outlined in ASC 820.

As of June 30, 2026 and September 30, 2025, the Company determined the derivatives had no fair value, respectively, thus eliminating the need for further disclosures regarding Level 3 inputs as outlined in ASC 820.

The following table summarizes the fair values of debt securities AFS and equity securities as they are measured at fair value on a recurring basis.

(Dollars in thousands) Total Level 1 Level 2 Level 3

March 31, 2026

June 30, 2026

Debt securities AFS

23 unchanged sentences

$ 13,237 $ — $ — $ —

(1) Equity securities at fair value are included within other assets on the Condensed Consolidated Statements of Financial Condition at March 31, 2026 and September 30, 2025.

(1) Equity securities at fair value are included within other assets on the Condensed Consolidated Statements of Financial Condition at June 30, 2026 and September 30, 2025.

(2) Consists of certain non-marketable equity securities that are measured at fair value using NAV as a practical expedient and are excluded from the fair value hierarchy.

6 unchanged sentences

(Dollars in thousands) Total Level 1 Level 2 Level 3

March 31, 2026

June 30, 2026

Loans and leases, net individually evaluated for credit loss

9 unchanged sentences

(Dollars in thousands) Fair Value at

March 31, 2026

June 30, 2026

Fair Value at

5 unchanged sentences

Management discloses the estimated fair value of financial instruments, including assets and liabilities on and off the Condensed Consolidated Statements of Financial Condition, for which it is practicable to estimate fair value.

These fair value estimates were made at March 31, 2026 and September 30, 2025 based on relevant market information and information about financial instruments.

These fair value estimates were made at June 30, 2026 and September 30, 2025 based on relevant market information and information about financial instruments.

Fair value estimates are intended to represent the price at which an asset could be sold or a liability could be settled.

3 unchanged sentences

The following tables present the carrying amount and estimated fair value of the financial instruments held by the Company:

March 31, 2026

June 30, 2026

(Dollars in thousands) Carrying

18 unchanged sentences

Accrued interest payable 712 712 712 — —

(1) Equity securities at fair value are included within other assets on the Condensed Consolidated Statements of Financial Condition at March 31, 2026.

(1) Equity securities at fair value are included within other assets on the Condensed Consolidated Statements of Financial Condition at June 30, 2026.

(2) Includes certain non-marketable equity securities that are measured at fair value using NAV per share (or its equivalent) as a practical expedient and are excluded from the fair value hierarchy.

23 unchanged sentences

SUBSEQUENT EVENTS

Management has evaluated subsequent events that occurred after March 31, 2026.

During this period, up to the filing date of this Quarterly Report on Form 10-Q, management did not identify any material subsequent events that would require recognition or disclosure in our Condensed Consolidated Financial Statements as of or for the quarter ended March 31, 2026.

Management has evaluated subsequent events that occurred after June 30, 2026.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements