# Kearny Financial Reports $10 Million Fiscal Q1 Profit, Declares $0.11 Dividend

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/39234
Published: 2026-10-23T19:10:04.000Z
Updated: 2026-10-23T19:10:04.000Z
Section: Business

> Net interest margin fell three basis points to 2.23% as funding repricing and lower purchase-accounting accretion and loan prepayment penalty income offset higher asset yields.

Kearny Financial Corp. (NASDAQ GS: KRNY), the holding company of Kearny Bank, posted $10.044 million in fiscal first-quarter net income and declared a $0.11 dividend for shareholders.

Net income for the three months ended Sept. 30 rose 40% from $7.172 million in the quarter ended June 30. Diluted earnings per share were $0.16, compared with $0.11 in the prior quarter.

Non-GAAP total revenue was $45.283 million, comprising $40.080 million in net interest income and $5.203 million in noninterest income. Net interest income declined $294,000 from the prior quarter, and net interest margin fell three basis points to 2.23%.

Higher average loan yields and loan balances contributed to a $2.2 million increase in total interest income. Repricing of the final remaining COVID-era wholesale funding position, along with lower purchase-accounting accretion and loan prepayment penalty income, offset the benefit from higher asset yields and contributed to the three-basis-point decline in net interest margin to 2.23%.

At Sept. 30, deposits totaled $5.833 billion, up $123.871 million, or 2.2%, from June 30. Loans totaled $5.980 billion, an increase of $105.073 million, or 1.8%.

The quarterly dividend is payable Nov. 18 to stockholders of record Nov. 4.