Pathward Financial Q4 net interest income falls on lower credit sponsorship
CASH•Pathward Financial’s fiscal fourth-quarter net interest income fell 8% year over year to $117.6 million, while net income was $38.6 million and EPS was $1.85, both nearly flat year over year. Noninterest income rose 12% and noninterest expense fell 10%.
1. Quarterly results
Pathward Financial reported fiscal fourth-quarter net interest income of $117.6 million, down 8% year over year because of lower credit sponsorship and warehouse finance income. Net income was $38.6 million and EPS was $1.85, both nearly flat year over year.
2. Income and outlook
Noninterest income rose 12%, driven by higher card and deposit fee income, while noninterest expense fell 10% due to disciplined expense management. Strong structured finance originations drove higher commercial finance loan income. For fiscal 2027, the company sees revenue growth opportunities from its Payments Sponsorship pipeline and expects impacts from technology investments and improved data analytics; it also expects to focus on credit performance and nonperforming loan resolutions.
