$WSBF

Waterstone Financial, Inc.

CIK:0001569994|SEC Filings

Consolidated Statements of Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Loans	$ 26,610	$ 25,875	$ 52,561	$ 50,953
Mortgage-related securities	1,479	1,253	2,933	2,444
Debt securities, federal funds sold and short-term investments	1,497	1,557	3,107	3,043
Total interest income	29,586	28,685	58,601	56,440
Interest expense:
Deposits	10,035	10,967	20,408	22,299
Borrowings	3,541	4,010	6,720	7,857
Total interest expense	13,576	14,977	27,128	30,156
Net interest income	16,010	13,708	31,473	26,284
Provision (credit) for credit losses	236	(9)	500	(567)
Net interest income after provision (credit) for credit losses	15,774	13,717	30,973	26,851
Noninterest income:
Service charges on loans and deposits	463	413	837	1,006
Increase in cash surrender value of life insurance	1,135	1,014	1,684	1,495
Mortgage banking income	22,144	22,559	41,094	38,287
Other	498	343	853	638
Total noninterest income	24,240	24,329	44,468	41,426
Noninterest expenses:
Compensation, payroll taxes, and other employee benefits	21,974	21,121	41,816	38,168
Occupancy, office furniture, and equipment	1,570	1,753	3,536	3,682
Advertising	727	746	1,344	1,469
Data processing	1,279	1,313	2,537	2,525
Communications	226	257	484	492
Professional fees	300	500	683	2,236
Real estate owned	27	(8)	29	(18)
Loan processing expense	817	817	1,846	1,737
Other	2,459	1,878	4,979	4,436
Total noninterest expenses	29,379	28,377	57,254	54,727
Income before income taxes	10,635	9,669	18,187	13,550
Income tax expense	2,173	1,942	3,728	2,787
Net income	$ 8,462	$ 7,727	$ 14,459	$ 10,763
Income per share:
Basic earnings per share (in dollars per share)	$ 0.49	$ 0.43	$ 0.84	$ 0.59
Diluted earnings per share (in dollars per share)	$ 0.49	$ 0.43	$ 0.84	$ 0.59
Weighted average shares outstanding:
Basic (in shares)	17,114	17,989	17,243	18,127
Diluted (in shares)	17,184	18,004	17,308	18,143

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Operating activities:
Net income	$ 14,459	$ 10,763
Adjustments to reconcile net income to net cash provided by operating activities:
Provision (credit) for credit losses	500	(567)
Depreciation, amortization, accretion	1,716	1,271
Deferred taxes	(363)	473
Stock based compensation	302	188
Origination of mortgage servicing rights	(295)	(306)
Gain on sale of loans held for sale	(40,452)	(37,907)
Loans originated for sale	(1,120,188)	(976,701)
Proceeds on sales of loans originated for sale	1,154,009	988,691
Decrease in accrued interest receivable	180	243
Increase in cash surrender value of life insurance	(1,684)	(1,495)
(Increase) decrease in derivative assets	(1,188)	3,486
Increase in accrued interest on deposits and borrowings	549	773
Increase in accrued taxes	827	1,239
Decrease (increase) in derivative liabilities	827	(2,970)
(Increase) decrease in other assets	(2,751)	90
Increase in other liabilities	2,408	1,024
Net cash provided by (used in) operating activities	8,856	(11,705)
Investing activities:
Net (increase) decrease in loans receivable	(8,301)	16,375
Debt securities	(5,673)	(4,856)
Mortgage related securities	(14,241)	(18,423)
Bank Owned Life Insurance	(180)	(180)
FHLB stock	(1,795)	(2,105)
Premises and equipment	(1,127)	(324)
Principal repayments on mortgage-related securities	13,875	12,307
Maturities of debt securities	585	5,595
Sales of FHLB Stock	2,373	2,051
Net cash (used in) provided by investing activities	(14,484)	10,440
Financing activities:
Net (decrease) increase in deposits	(16,291)	24,810
Net change in short-term borrowings	(23,230)	(40,793)
Repayment of long-term debt	(80,000)	(40,000)
Proceeds from long-term debt	102,972	100,000
Net change in advance payments by borrowers for taxes	1,840	1,284
Cash dividends on common stock	(5,520)	(5,472)
Purchase of common stock returned to authorized but unissued	(8,076)	(9,667)
Proceeds from stock option exercises	1,027	2,265
Net cash (used in) provided by financing activities	(27,278)	32,427
(Decrease) increase in cash and cash equivalents	(32,906)	31,162
Cash and cash equivalents at beginning of period	71,107	39,761
Cash and cash equivalents at end of period	38,201	70,923
Supplemental information:
Income tax payments	2,989	1,075
Interest payments	26,579	30,929
Dividends declared but not paid in other liabilities	$ 3,144	$ 2,903

Consolidated Statements of Financial Condition (Current Period Unaudited) - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Cash	$ 32,749	$ 63,560
Federal funds sold	5,159	7,255
Interest-earning deposits in other financial institutions and other short term investments	293	292
Cash and cash equivalents	38,201	71,107
Securities available for sale, at fair value (cost: 2026—$254,538; 2025—$246,579)	237,348	230,848
Loans held for sale, at fair value	151,688	145,057
Loans receivable	1,683,881	1,675,552
Less: Allowance for credit losses ("ACL") - loans	17,884	17,478
Loans receivable, net	1,665,997	1,658,074
Office properties and equipment, net	18,900	18,855
Federal Home Loan Bank stock, at cost	19,226	19,804
Cash surrender value of life insurance	79,217	77,353
Real estate owned, net	318	424
Prepaid expenses and other assets	41,864	37,985
Total assets	2,252,759	2,259,507
Liabilities:
Demand deposits	182,023	175,595
Money market and savings deposits	343,530	329,031
Time deposits	895,428	932,646
Total deposits	1,420,981	1,437,272
Borrowings	412,000	412,258
Advance payments by borrowers for taxes	18,772	2,996
Other liabilities	49,877	57,589
Total liabilities	1,901,630	1,910,115
Commitments and contingencies (Note 8)
Shareholders’ equity:
Preferred stock (par value $.01 per share) authorized - 50,000,000 shares at June 30, 2026 and at December 31, 2025, no shares issued	0	0
Common stock (par value $.01 per share) authorized - 100,000,000 shares at June 30, 2026 and at December 31, 2025, issued and outstanding - 17,975,028 at June 30, 2026 and 18,359,717 at December 31, 2025	180	184
Additional paid-in capital	71,637	78,014
Retained earnings	301,620	292,957
Unearned ESOP shares	(8,902)	(9,496)
Accumulated other comprehensive loss, net of taxes	(13,406)	(12,267)
Total shareholders’ equity	351,129	349,392
Total liabilities and shareholders’ equity	$ 2,252,759	$ 2,259,507