- Adjusted EPS of $0.51, up $0.06 from the prior quarter, with adjusted return on tangible common equity increasing by 135 basis points to 15%.
- Adjusted expenses increased by $45 million, primarily due to higher personnel costs, project expenses, technology, risk, and a $20 million contribution to the First Horizon Foundation.
- Common Equity Tier 1 (CET1) capital ratio remained flat at 11%, with a near-term target of 10.75% following annual stress testing.
- Deposit balances decreased by $52 million, driven by a $652 million decline in brokered CDs, offset by growth in index and promotional deposits and a $131 million increase in noninterest-bearing deposits.
- Fee income increased by $26 million excluding deferred compensation, driven by higher fixed income fees and mortgage servicing rights sales.
- Loan balances were slightly down, with mortgage company loans decreasing seasonally by $132 million, while C&I loans grew by $174 million quarter-over-quarter.
- Net charge-offs decreased by $7 million to $26 million, with a net charge-off ratio of 17 basis points and a loan loss provision credit of $5 million.
- Net interest income grew by $33 million with a 15 basis point expansion in net interest margin to 3.55%, aided by loan balance growth and Main Street lending accretion.
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- Adjusted net operating income was $180 million in Q2 2025, up 6% year-over-year.
- Consolidated insurance and other operating expenses increased 8% year-over-year to $154 million.
- Diluted adjusted operating EPS increased 10% to $5.46.
- Investment and Savings Product (ISP) segment revenues increased 14% to $298 million with pretax income up 6% to $79 million.
- Mortgage business showed strong growth with U.S. closed loan volume up 33% and Canadian referral volume up 30%.
- Term Life segment revenues rose 3% to $442 million with pretax income up 5% to $155 million.
- Total sales in ISP segment grew 15% to $3.5 billion, with net inflows of $487 million versus $227 million prior year.
- Adjusted diluted EPS was $0.04.
- Adjusted EBITDA was $172 million, representing a 13% margin.
- Adjusted revenue reached $1.34 billion, above the high end of guidance, representing 9% year-over-year growth.
- Gain on sale margin for Q2 was 280 basis points, consistent with the 12-month average.
- Held $6 billion in available cash and $7.6 billion in mortgage servicing rights, totaling $13.6 billion in balance sheet value.
- Home equity loan volume nearly doubled year-over-year, hitting new records for units and volume.
- Net rate lock volume increased by 13% year-over-year, exceeding $28 billion.
- Redfin's financials were not included in Q2 results as the acquisition closed on July 1.
- Served over 100,000 origination clients, a 19% year-over-year increase, driven by home equity loan growth.
- Total liquidity stood at $9.1 billion, including cash, undrawn lines of credit, and MSR credit facilities.
- Operating earnings of $106 million, a record for the company, representing a $0.03 linked quarter increase.
- First $100 million operating net income quarter in company history.
- Share repurchases of 522,000 shares at an average price of $16.9, with ongoing capital return strategy.
- Distributable earnings (DE) were $0.24 per share, negatively impacted by $0.10 per share in credit losses on fair value loans, higher than Q1 by $0.06 per share.
- Economic book value declined modestly by 1% to $13.69 per share, while GAAP book value was $13.12 per share, also down about 1%.
- Excluding credit losses, DE would have been $0.35 per share, nearly covering the common dividend of $0.36 per share.
- G&A expenses declined to $29.9 million from $33.5 million in Q1, including $1.2 million in severance and transition costs related to expense reduction initiatives.
- MFA Financial reported GAAP earnings of $33.2 million or $0.22 per share in Q2 2025, driven by growth in net interest income to $61.3 million and modest net mark-to-market gains.
- MFA paid a common dividend of $0.36 per share for the quarter and delivered a total economic return of 1.5% for Q2 and 3.4% year-to-date.
- Food and beverage revenues increased 9% and other revenues increased 3% in the second quarter.
- Occupancy declined less than 0.5% to 78%, representing the second highest nominal occupancy in the past five years.
- Operating expenses increased only 1.5% year-over-year or 2% on a per occupied room basis, limiting EBITDA margin contraction to 160 basis points year-over-year.
- Same-store RevPAR declined 3.6% year-over-year, driven by a 3.3% decline in average daily rate and a 125 basis point headwind from special events in the prior year.
- Second quarter adjusted EBITDA was $50.9 million and adjusted FFO was $32.7 million or $0.27 per share, benefiting from lower interest expense and accretive share repurchases.
- Credit quality remained solid with nonaccruing loans at 51 basis points and past due loans at 27 basis points; provision for credit losses was $600,000 and net charge-offs were $647,000.
- In-market deposits increased 1% quarter-over-quarter and 9% year-over-year, while brokered deposits declined $25 million and FHLB borrowings rose $151 million.
- Net income for Q2 2025 was $13.2 million or $0.68 per share, up from $12.2 million and $0.63 per share in Q1 2025.
- Net interest income increased 2% quarter-over-quarter to $37.2 million with a margin of 2.36%, up 7 basis points.
- Noninterest income was $17.1 million, excluding a $7 million sale leaseback gain in Q1, adjusted noninterest income rose 9%.
- Total loans grew by $44 million (1%), with commercial loans up 2% and residential loans down 1%.
- Wealth management revenue increased 2% to $10.1 million, mortgage banking revenue rose 32% to $3 million.
Dafinchi