TFS Financial Corp Files 10-Q for Period Ending December 31, 2023

TL;DR

<b>TFS Financial Corp has filed its quarterly report (10-Q) for the period ending December 31, 2023, detailing its financial performance and position.</b>

AI Summary

TFS Financial CORP (TFSL) filed a Quarterly Report (10-Q) with the SEC on February 8, 2024. TFS Financial Corp filed a 10-Q report for the period ending December 31, 2023. The filing covers the first quarter of fiscal year 2024. The company's fiscal year ends on September 30th. The filing was made on February 8, 2024. TFS Financial Corp is classified under SIC code 6035 (Savings Institution, Federally Chartered).

Why It Matters

For investors and stakeholders tracking TFS Financial CORP, this filing contains several important signals. This 10-Q filing provides investors with an updated view of TFS Financial Corp's financial health and operational performance for the most recent quarter. Understanding the details within this report is crucial for assessing the company's current standing and future prospects in the savings institution sector.

Risk Assessment

Risk Level: low — TFS Financial CORP shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain immediate red flags or significant deviations from typical reporting for a company of this nature.

Analyst Insight

Review the detailed financial statements and management's discussion and analysis within the 10-Q to understand the company's performance trends and outlook.

Key Numbers

• 2023-12-31 — Period End Date (Quarterly report period)
• 2024-02-08 — Filing Date (Date the 10-Q was filed)
• 0930 — Fiscal Year End (Company's fiscal year end month and day)
• 6035 — SIC Code (Standard Industrial Classification for Savings Institution)

Key Players & Entities

• TFS Financial Corp (company) — Filer name
• 2023-12-31 (date) — Period of report
• 2024-02-08 (date) — Filing date
• 6035 (industry_code) — Standard Industrial Classification
• CLEVELAND (location) — Business address city
• OH (location) — Business address state
• DE (location) — State of incorporation

FAQ

Industry Context

TFS Financial Corp operates as a savings institution, a type of financial institution focused on accepting savings deposits and providing mortgage and other loans.

Regulatory Implications

As a federally chartered savings institution, TFS Financial Corp is subject to regulations from federal banking agencies, such as the Office of the Comptroller of the Currency (OCC) and the Federal Reserve.

What Investors Should Do

1. Analyze the balance sheet for changes in assets, liabilities, and equity.
2. Review the income statement for revenue and expense trends.
3. Examine any disclosures related to loan portfolios and interest rate sensitivity.

Key Dates

• 2023-12-31: Quarter End — End of the reporting period for the 10-Q filing.
• 2024-02-08: Filing Date — Date the 10-Q was officially submitted to the SEC.

Year-Over-Year Comparison

This is the initial filing for the period ending December 31, 2023. Comparative data from previous periods will be found within the document itself.

Key Financial Figures

• $0.01 — ich registered Common Stock, par value $0.01 per share TFSL The NASDAQ Stock Market,

Filing Documents

• tfsl-20231231.htm (10-Q) — 2849KB
• tfslfy24decex311.htm (EX-31.1) — 11KB
• tfslfy24decex312.htm (EX-31.2) — 11KB
• tfslfy24decex32.htm (EX-32) — 9KB
• 0001381668-24-000018.txt (&nbsp;) — 14151KB
• tfsl-20231231.xsd (EX-101.SCH) — 58KB
• tfsl-20231231_cal.xml (EX-101.CAL) — 97KB
• tfsl-20231231_def.xml (EX-101.DEF) — 648KB
• tfsl-20231231_lab.xml (EX-101.LAB) — 917KB
• tfsl-20231231_pre.xml (EX-101.PRE) — 785KB
• tfsl-20231231_htm.xml (XML) — 2792KB

Financial Statements (unaudited)

Item 1. Financial Statements (unaudited) Consolidated Statements of Condition December 31, 2023 and September 30, 2023 4 Consolidated Statements of Income Three Months Ended December 31, 2023 and 2022 5 Consolidated Statements of Comprehensive Income Three Months Ended December 31, 2023 and 2022 6 Consolidated Statements of Shareholders' Equity Three Months Ended December 31, 2023 and 2022 7 Consolidated Statements of Cash Flows Three Months Ended December 31, 2023 and 2022 8 Notes to Unaudited Interim Consolidated Financial Statements 9

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 33

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 58

Controls and Procedures

Item 4. Controls and Procedures 61

— OTHER INFORMATION

Part II — OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 61

Risk Factors

Item 1A. Risk Factors 61

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 62

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 62

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 62

Other Information

Item 5. Other Information 62

Exhibits

Item 6. Exhibits 62

SIGNATURES

SIGNATURES 64 2 Table of Contents GLOSSARY OF TERMS TFS Financial Corporation provides the following list of acronyms and defined terms as a tool for the reader. The acronyms and defined terms identified below are used throughout the document. ACL: Allowance for Credit Losses FICO: Fair Isaac Corporation ACT: Tax Cuts and Jobs Act FRB-Cleveland: Federal Reserve Bank of Cleveland AOCI: Accumulated Other Comprehensive Income Freddie Mac: Federal Home Loan Mortgage Corporation ARM: Adjustable Rate Mortgage FRS: Board of Governors of the Federal Reserve System ASC: Accounting Standards Codification GAAP: Generally Accepted Accounting Principles ASU: Accounting Standards Update Ginnie Mae: Government National Mortgage Association Association: Third Federal Savings and Loan GVA: General Valuation Allowances Association of Cleveland HPI: Home Price Index BOLI: Bank Owned Life Insurance IRR: Interest Rate Risk BTFP: Bank Term Funding Program IRS: Internal Revenue Service CDs: Certificates of Deposit IVA: Individual Valuation Allowance CECL: Current Expected Credit Losses LIBOR: London Interbank Offer Rate CET1: Common Equity Tier 1 LIHTC: Low Income Housing Tax Credit CFPB: Consumer Financial Protection Bureau LIP: Loans-in-Process CLTV: Combined Loan-to-Value LTV: Loan-to-Value Company: TFS Financial Corporation and its MMK: Money Market Account subsidiaries OCC: Office of the Comptroller of the Currency DFA: Dodd-Frank Wall Street Reform and Consumer OCI: Other Comprehensive Income Protection Act OTS: Office of Thrift Supervision DIF: Deposit Insurance Fund PCAOB: Public Company Accounting Oversight Board EaR: Earnings at Risk PMI: Private Mortgage Insurance EPS: Earnings per Share PMIC: PMI Mortgage Insurance Co. ESOP: Third Federal Employee (Associate) Stock QTL: Qualified Thrift Lender EVE: Economic Value of Equity REO: Real Est

Financial Statements

Item 1. Financial Statements TFS FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CONDITION (unaudited) (In thousands, except share data) December 31, 2023 September 30, 2023 ASSETS Cash and due from banks $ 45,858 $ 29,134 Other interest-earning cash equivalents 505,910 437,612 Cash and cash equivalents 551,768 466,746 Investment securities available for sale (amortized cost $ 563,451 and $ 561,715 , respectively) 525,175 508,324 Mortgage loans held for sale ($ 0 and $ 3,260 measured at fair value, respectively) 1,095 3,260 Loans held for investment, net: Mortgage loans 15,210,653 15,177,844 Other loans 4,811 4,411 Deferred loan expenses, net 60,862 60,807 Allowance for credit losses on loans ( 69,084 ) ( 77,315 ) Loans, net 15,207,242 15,165,747 Mortgage loan servicing rights, net 7,634 7,400 Federal Home Loan Bank stock, at cost 254,700 247,098 Real estate owned, net 1,070 1,444 Premises, equipment, and software, net 34,209 34,708 Accrued interest receivable 55,614 53,910 Bank owned life insurance contracts 311,848 312,072 Other assets 103,436 117,270 TOTAL ASSETS $ 17,053,791 $ 16,917,979 LIABILITIES AND SHAREHOLDERS' EQUITY Deposits $ 9,921,056 $ 9,449,820 Borrowed funds 5,030,561 5,273,637 Borrowers' advances for insurance and taxes 109,093 124,417 Principal, interest, and related escrow owed on loans serviced 29,204 29,811 Accrued expenses and other liabilities 97,150 112,933 Total liabilities 15,187,064 14,990,618 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; 280,710,854 and 280,359,173 outstanding at December 31, 2023 and September 30, 2023, respectively 3,323 3,323 Paid-in capital 1,750,440 1,755,027 Treasury stock, at cost; 51,607,896 and 51,959,577 shares at December 31, 2023 and September 30, 2023, respectively ( 77

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View this 10-Q filing on SEC EDGAR