Adjusted EPS was $4.66, up 5.7% from the prior year, supported by share repurchases and higher net income.
EBITDA for fiscal 2025 was $976 million, a 1.4% improvement over the prior year but within the outlook range.
Free cash flow generation was approximately $600 million, supporting strong liquidity and capital allocation.
H&R Block reported fiscal 2025 total revenue of $3.8 billion, a 4.2% increase year-over-year.
Net income from continuing operations was $609 million, with earnings per share (EPS) of $4.42, a 6.8% increase year-over-year.
Total operating expenses increased 4.6% to $2.9 billion, driven by higher tax professional wages, benefits, healthcare costs, legal fees, and severance charges.
Average loans decreased 1% to $17.7 billion due to macroeconomic challenges and elevated gross credit losses impacting loan growth.
Bread Financial reported adjusted net income of $149 million and adjusted EPS of $3.15 for Q2 2025, excluding $10 million post-tax debt repurchase expenses.
Credit reserve rate improved to 11.9%, a 30 basis point improvement year-over-year and sequentially.
Credit sales grew 4% year-over-year to $6.8 billion, driven by new partner growth and higher general purpose spending.
Delinquency rate improved to 5.7%, down 30 basis points year-over-year; net loss rate improved to 7.9%, down 70 basis points year-over-year despite hurricane impacts.
Direct-to-consumer deposits grew 12% year-over-year to $8.1 billion, accounting for 45% of average total funding, improving funding mix.
Net interest income decreased 1% year-over-year due to lower billed late fees and a shift in risk and product mix, partially offset by lower interest expense and pricing changes.
Net interest margin was 17.7%, down 30 basis points year-over-year, impacted by elevated cash mix and lower loan yields.
Noninterest income increased $3 million, mainly from paper statement pricing changes, offset by lower net interchange revenue.
Return on average tangible common equity was 22.7% for the quarter.
Revenue was $929 million, down 1% year-over-year, primarily due to lower finance charges and late fees, partially offset by lower interest expense.
Total noninterest expenses increased 3% year-over-year to $12 million higher, mainly due to $13 million debt extinguishment costs; adjusted expenses were nearly flat.
Capital levels remained strong and stable, with 41% of assets in cash or government-guaranteed investments and a healthy Mahan Ratio of 16.5%.
Credit metrics improved with past dues low at $13 million (11 basis points), new defaults down to 40, and nonaccrual loans trending down to $69 million (63 basis points).
Customer deposits grew 6% linked quarter and are approximately 20% higher than June 30, 2024, with noninterest-bearing checking balances up 36% year-to-date.
Gain on sale revenue totaled approximately $22 million from $322 million of guaranteed loan sales at a 7% average premium.
Loan originations reached $1.5 billion, the largest Q2 in bank history excluding PPP, driving 3% linked quarter loan growth and 19% year-over-year loan balance increase.
Net interest income increased $9 million or 9% linked quarter, with net interest margin expanding 8 basis points for the third consecutive quarter.
Noninterest expense was $89 million, including $3 million of one-time expenses, with core recurring expenses up 3% linked quarter primarily due to growth.
Q2 earnings per share of $0.51, a 22% linked quarter increase in core operating leverage, and a 20% year-over-year revenue growth highlight strong financial results.
Adjusted EBITDA was nearly $17 million with a 13% margin, expanding 723 basis points year-over-year, driven by lower personnel costs and disciplined spending.
Adjusted gross profit increased 23% year-over-year to $78 million with a margin of 61.1%, down from 63.5% due to business mix and FX losses.
GAAP net loss improved by $1.6 million year-over-year to $12 million, with a higher tax provision impacting the quarter.
Q2 2025 revenue less ancillary services was $127.5 million, representing 25% FX-neutral growth, exceeding guidance.
Sertifi contributed $12 million in Q2, adding approximately 12 points of growth.
Share repurchases totaled approximately $5 million in Q2, and the revolving credit facility was expanded to $300 million.
Classified and nonperforming loans increased due to 4 downgraded loans totaling $18 million, but no expected losses due to conservative underwriting and collateral.
Deposits increased at an 11% annual rate, with noninterest-bearing deposits up $41.9 million, comprising 27% of total deposits.
Home Bancorp reported Q2 2025 net income of $11.3 million or $1.45 per share, up $0.08 from Q1 and $0.43 from a year ago.
Loans grew by $17.3 million (3%) in Q2, impacted by slower commercial construction activity and paydowns of about $20 million.
Net charge-offs were low at $335,000 for the quarter, or 3 basis points year-to-date.
Net interest margin (NIM) expanded for the fifth consecutive quarter to 4.04%, driven by an 8 basis point increase in earning asset yields and stable deposit costs.
Noninterest income was $3.7 million, in line with expectations, while noninterest expenses increased to $22.4 million due to compensation and a $987,000 SBA receivables write-down.
Share repurchases totaled 147,000 shares at an average price of $43.72, with 391,000 shares remaining on the buyback plan.
Allowance for credit losses to total loans was 1.28%, consistent with prior periods, and allowance to nonperforming loans improved to 175% from 122%.
Effective tax rate was 14.6% for the quarter and 14.7% year-to-date.
Efficiency ratio improved to 64.5% from 64.9% in the linked quarter and 72.6% in Q2 2024.
Loan and lease portfolio grew at an annualized rate of 6.1%, with residential loans increasing by $42 million.
Loan-to-deposit ratio was 98.6%, higher than targeted, with plans to reduce it to 90%-95%.
Margin expanded by 13 basis points to 3.64% compared to the linked quarter.
Net income for Q2 2025 was $11 million or $0.71 per diluted share, a 56% increase over Q2 2024 and a $847,000 increase over the linked quarter.
Net interest income was $34.8 million, up 6.2% from the linked quarter, driven by a 13 basis point increase in earning asset yield to 5.84%.
Noninterest expense was $27.5 million, a 1.3% increase over the first quarter due to merit increases and salary adjustments, but declined 3.2% from Q2 2024 due to fewer FTEs and reduced equipment expense.
Noninterest income declined $1.3 million or 16.2% from the first quarter and $3.8 million from Q2 2024, mainly due to nonrecurring adjustments related to leasing operations.
Pre-provision net revenue increased by $3.3 million or 37.5% over Q2 2024 and $770,000 or 6.7% over the linked quarter.
Tier 1 leverage ratio was 8.8%, tangible common equity ratio was 6.7%, both improving post capital raise and acquisition.
Dafinchi