Flagstar Q2 FY26 net income rises to $34 million; net interest income slips to $440 million
FLG•Balance sheet update
Deposits increased 2.31% to $67.52 billion since Dec. 31, 2025; loans held for investment rose to $60.99 billion.
Quarterly earnings and revenue trends
Flagstar Bank posted net income of $34 million for the quarter ended June 30, 2026, up 61.9% from the prior quarter.
Net interest income slipped 0.7% to $440 million; net interest margin narrowed 0.02 percentage points to 2.13%.
Non-interest income, expenses and credit losses
Non-interest income climbed 38.18% to $76 million, while non-interest expense fell 3.43% to $450 million.
Provision for credit losses rose to $18 million from no provision in the prior quarter, citing NYC rent-freeze impacts and higher charge-offs.
