FALSE000161724200016172422025-01-302025-01-30

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
_____________________________
FORM 8-K
_____________________________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): January 30, 2025
_____________________________
KEARNY FINANCIAL CORP.
(Exact name of Registrant as Specified in Its Charter)
_____________________________
Maryland001-3739930-0870244
(State or Other Jurisdiction
of Incorporation)
(Commission File Number)
(IRS Employer
Identification No.)
120 Passaic Avenue Fairfield, New Jersey
07004
(Address of Principal Executive Offices)
(Zip Code)
Registrant’s Telephone Number, Including Area Code: (973) 244-4500
(Former Name or Former Address, if Changed Since Last Report)
_____________________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):
☐    Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐    Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐    Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, $0.01 par valueKRNYThe NASDAQ Stock Market LLC
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐


Item 2.02    Results of Operation and Financial Condition
On January 30, 2025, Kearny Financial Corp. (the “Company”), the holding company for Kearny Bank, issued a press release reporting its financial results for the period ended December 31, 2024.
A copy of the press release announcing the results is included as Exhibit 99.1 to this Current Report on Form 8-K and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933.
Item 7.01    Regulation FD Disclosure
On January 30, 2025, the Company released a slide presentation that will be used in upcoming meetings with potential investors and current shareholders of the Company.
A copy of the slide presentation that will be used in the Company’s presentation is included as Exhibit 99.2 to this Current Report on Form 8-K and is incorporated herein by reference. The information included in this Current Report pursuant to this Item 7.01 is being furnished to, and not filed with, the Securities and Exchange Commission.
Item 8.01    Other Events
On January 30, 2025, the Company’s Board of Directors announced a quarterly cash dividend of $0.11 per share, payable on February 26, 2025 to stockholders of record as of February 12, 2025.
Item 9.01    Financial Statements and Exhibits
(a)Financial Statements of Business Acquired. Not applicable.
(b)Pro Forma Financial Information. Not applicable.
(c)Shell Company Transaction. Not applicable.
(d)Exhibits.
Exhibit NumberDescription
99.1
99.2
104Cover Page Interactive Data File (embedded within the Inline XBRL document).


SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
KEARNY FINANCIAL CORP.
Date: January 30, 2025
By:/s/ Sean Byrnes
Sean Byrnes
Executive Vice President and Chief Financial Officer


Exhibit 99.1
FOR IMMEDIATE RELEASE
January 30, 2025
For further information contact:
Keith Suchodolski, Senior Executive Vice President and Chief Operating Officer, or
Sean Byrnes, Executive Vice President and Chief Financial Officer
Kearny Financial Corp.
(973) 244-4500
KEARNY FINANCIAL CORP. ANNOUNCES SECOND QUARTER FISCAL 2025 RESULTS
AND DECLARATION OF CASH DIVIDEND

Fairfield, N.J., January 30, 2025 – Kearny Financial Corp. (NASDAQ GS: KRNY) (the “Company”), the holding company of Kearny Bank (the “Bank”), reported net income for the quarter ended December 31, 2024 of $6.6 million, compared to $6.1 million for the quarter ended September 30, 2024.

Earnings per basic and diluted share were $0.11 and $0.10, respectively, for the quarter ended December 31, 2024. This compares to earnings per basic and diluted share of $0.10 for the quarter ended September 30, 2024.

The Company also announced that its Board of Directors has declared a quarterly cash dividend of $0.11 per share, payable on February 26, 2025, to stockholders of record as of February 12, 2025.

Craig L. Montanaro, President and Chief Executive Officer, commented, “As anticipated, this quarter reflected the early stages of growth in net interest income and expansion of net interest margin. We are pleased to report growth in deposits of 3.7% from September 30, 2024, reflecting robust performance from our branch network, digital channels and commercial lending relationships. This growth allowed us to shrink the balance of outstanding borrowings while reducing our cost of funds by nine basis points quarter-over-quarter.”

Mr. Montanaro continued, “Although market expectations for fed funds rate cuts have moderated, the continuation of positive deposit trends coupled with the reinvestment of low-coupon cash flows from our loan and securities portfolio should serve as earnings tailwinds in the coming quarters.”

Balance Sheet
•Total assets were $7.73 billion at December 31, 2024, a decrease of $41.0 million, or 0.5%, from September 30, 2024.
•Investment securities totaled $1.15 billion at December 31, 2024, a decrease of $57.5 million, or 4.8%, from September 30, 2024.
•Loans receivable totaled $5.79 billion at December 31, 2024, an increase of $7.5 million, or 0.1%, from September 30, 2024.
•Deposits were $5.67 billion at December 31, 2024, an increase of $200.5 million, or 3.7%, from September 30, 2024. This increase was primarily driven by increases in interest and non-interest bearing demand deposits of $142.1 million, and an increase of $60.6 million in consumer savings deposits.
•Borrowings were $1.26 billion at December 31, 2024, a decrease of $220.9 million, or 14.9%, from September 30, 2024, reflecting reductions in Federal Home Loan Bank (“FHLB”) and other borrowings.
•At December 31, 2024, the Company maintained available secured borrowing capacity with the FHLB and the Federal Reserve Discount Window of $2.32 billion, an increase of $256.0 million from September 30, 2024, representing 30.0% of total assets.
1

Earnings
Net Interest Income and Net Interest Margin
•Net interest margin expanded two basis points from the quarter ended September 30, 2024 to 1.82% for the quarter ended December 31, 2024. The increase for the quarter was driven by the replacement of borrowings with relatively lower cost deposits and broad based decreases in deposit rates, partially offset by higher costs and average balances of brokered certificates of deposit (“CDs”), along with reduced average balances and yields on interest-earning assets.
•For the quarter ended December 31, 2024, net interest income increased $166,000 to $32.6 million from $32.4 million for the quarter ended September 30, 2024. Included in net interest income for the quarters ended December 31, 2024 and September 30, 2024, respectively, was purchase accounting accretion of $685,000 and $649,000, and loan prepayment penalty income of $288,000 and $52,000.
Non-Interest Income
•Non-interest income increased $247,000 to $4.9 million for the quarter ended December 31, 2024, from $4.6 million for the quarter ended September 30, 2024. This increase was primarily driven by a $104,000 larger gain on the sale of loans held-for-sale compared to the prior comparative period and a $102,000 increase in electronic banking fees and charges.
Non-Interest Expense
•For the quarter ended December 31, 2024, non-interest expense decreased $225,000, or 0.8%, to $29.6 million from $29.8 million for the quarter ended September 30, 2024. This decrease was primarily driven by a decrease in other expense, partially offset by an increase in salary and benefits expense.
•Salary and benefits expense increased $81,000 primarily driven by the absence of a non-recurring decrease in stock-based compensation recorded in the prior comparative period, partially offset by a decrease in payroll taxes.
•Other expense decreased $280,000 primarily driven by a reversal of $116,000 for credit losses related to off balance sheet commitments compared to a provision for credit losses on off balance sheet commitments of $274,000 recorded in the prior comparative period. The remaining changes in the other components of non-interest expense between comparative periods generally reflected normal operating fluctuations within those line items.
Income Taxes
•Income tax expense totaled $1.3 million for the quarter ended December 31, 2024 compared to $1.1 million for the quarter ended September 30, 2024, resulting in an effective tax rate of 16.0% and 15.1%, respectively. The increase in income tax expense was primarily due to higher pre-tax income in the current quarter.
Asset Quality
•The balance of non-performing assets decreased $2.2 million to $37.7 million, or 0.49% of total assets, at December 31, 2024, from $39.9 million, or 0.51% of total assets, at September 30, 2024, respectively.
•Net charge-offs totaled $573,000, or 0.04% of average loans, on an annualized basis, for the quarter ended December 31, 2024, compared to $124,000, or 0.01% of average loans, on an annualized basis, for the quarter ended September 30, 2024. The net charge-offs recorded for the quarter ended December 31, 2024 had previously been individually reserved for within the allowance for credit losses (“ACL”).
•For the quarter ended December 31, 2024, the Company recorded a provision for credit losses of $107,000, compared to $108,000 for the quarter ended September 30, 2024. The provision for credit loss expense for the quarter ended December 31, 2024 was primarily driven by loan growth.
•The ACL was $44.5 million, or 0.77% of total loans, at December 31, 2024, a decrease of $466,000 from $44.9 million, or 0.78% of total loans, at September 30, 2024. The decrease in the ACL from September 30, 2024 was largely attributable to a reduction in reserves for individually evaluated loans, resulting from the charge-offs noted above.
Capital
•For the quarter ended December 31, 2024, book value per share decreased $0.11, or 0.9%, to $11.53 while tangible book value per share decreased $0.10, or 1.0%, to $9.75. These decreases were driven by a $7.4 million larger accumulated
2

other comprehensive loss due primarily to a decrease in the fair value of the Company’s available for sale securities, partially offset by an increase in the fair value of the Company’s derivatives portfolio.
•At December 31, 2024, total stockholders’ equity included after-tax net unrealized losses on securities available for sale of $89.8 million, partially offset by after-tax unrealized gains on derivatives of $17.4 million. After-tax net unrecognized losses on securities held to maturity of $11.3 million were not reflected in total stockholders’ equity.
•At December 31, 2024, the Company’s tangible equity to tangible assets ratio equaled 8.27% and the regulatory capital ratios of both the Company and the Bank were in excess of the levels required by federal banking regulators to be classified as “well-capitalized” under regulatory guidelines.

This earnings release should be read in conjunction with Kearny Financial Corp.’s Q2 2025 Investor Presentation, a copy of which is available through the Investor Relations link located at the bottom of the page of our website at www.kearnybank.com and via a Current Report on Form 8-K on the website of the Securities and Exchange Commission at www.sec.gov.
Statements contained in this news release that are not historical facts are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties which could cause actual results to differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, factors discussed in documents filed by the Company with the Securities and Exchange Commission from time to time. The Company does not undertake and specifically disclaims any obligation to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company.
Category: Earnings
3

Linked-Quarter Comparative Financial Analysis
Kearny Financial Corp.
Consolidated Balance Sheets
(Unaudited)
(Dollars and Shares in Thousands,
Except Per Share Data)		December 31,
2024		September 30,
2024		Variance
or Change		Variance
or Change Pct.
Assets
Cash and cash equivalents$141,554 $155,574 $(14,020)-9.0 %
Securities available for sale1,018,279 1,070,811 (52,532)-4.9 %
Securities held to maturity127,266 132,256 (4,990)-3.8 %
Loans held-for-sale5,695 8,866 (3,171)-35.8 %
Loans receivable5,791,758 5,784,246 7,512 0.1 %
Less: allowance for credit losses on loans(44,457)(44,923)(466)-1.0 %
Net loans receivable5,747,301 5,739,323 7,978 0.1 %
Premises and equipment45,127 45,189 (62)-0.1 %
Federal Home Loan Bank stock64,443 57,706 6,737 11.7 %
Accrued interest receivable27,772 29,467 (1,695)-5.8 %
Goodwill113,525 113,525 — — %
Core deposit intangible1,679 1,805 (126)-7.0 %
Bank owned life insurance301,339 300,186 1,153 0.4 %
Deferred income taxes, net53,325 50,131 3,194 6.4 %
Other assets84,080 67,540 16,540 24.5 %
Total assets $7,731,385 $7,772,379 $(40,994)-0.5 %
Liabilities
Deposits:
Non-interest-bearing $601,510 $592,099 $9,411 1.6 %
Interest-bearing5,069,550 4,878,413 191,137 3.9 %
Total deposits5,671,060 5,470,512 200,548 3.7 %
Borrowings1,258,949 1,479,888 (220,939)-14.9 %
Advance payments by borrowers for taxes17,986 17,824 162 0.9 %
Other liabilities38,537 52,618 (14,081)-26.8 %
Total liabilities6,986,532 7,020,842 (34,310)-0.5 %
Stockholders' Equity
Common stock646 646 — — %
Paid-in capital494,092 493,523 569 0.1 %
Retained earnings342,155 342,522 (367)-0.1 %
Unearned ESOP shares(19,943)(20,430)487 2.4 %
Accumulated other comprehensive loss(72,097)(64,724)(7,373)-11.4 %
Total stockholders' equity744,853 751,537 (6,684)-0.9 %
Total liabilities and stockholders' equity$7,731,385 $7,772,379 $(40,994)-0.5 %
Consolidated capital ratios
Equity to assets9.63 %9.67 %-0.04 %
Tangible equity to tangible assets (1)
8.27 %8.31 %-0.04 %
Share data
Outstanding shares64,58064,580—— %
Book value per share$11.53 $11.64 $(0.11)-0.9 %
Tangible book value per share (2)
$9.75 $9.85 $(0.10)-1.0 %
_________________________
(1)Tangible equity equals total stockholders' equity reduced by goodwill and core deposit intangible assets. Tangible assets equals total assets reduced by goodwill and core deposit intangible assets.
(2)Tangible book value equals total stockholders' equity reduced by goodwill and core deposit intangible assets.
4

Kearny Financial Corp.
Consolidated Statements of Income
(Unaudited)
(Dollars and Shares in Thousands,
Except Per Share Data)		Three Months EndedVariance
or Change		Variance
or Change Pct.
December 31,
2024		September 30,
2024
Interest income
Loans$65,408 $66,331 $(923)-1.4 %
Taxable investment securities13,803 14,384 (581)-4.0 %
Tax-exempt investment securities59 71 (12)-16.9 %
Other interest-earning assets2,215 2,466 (251)-10.2 %
Total interest income81,485 83,252 (1,767)-2.1 %
Interest expense
Deposits36,721 35,018 1,703 4.9 %
Borrowings12,152 15,788 (3,636)-23.0 %
Total interest expense48,873 50,806 (1,933)-3.8 %
Net interest income32,612 32,446 166 0.5 %
Provision for credit losses 107 108 (1)-0.9 %
Net interest income after provision for credit losses32,505 32,338 167 0.5 %
Non-interest income
Fees and service charges627 635 (8)-1.3 %
Gain on sale of loans304 200 104 52.0 %
Income from bank owned life insurance2,619 2,567 52 2.0 %
Electronic banking fees and charges493 391 102 26.1 %
Other income830 833 (3)-0.4 %
Total non-interest income4,873 4,626 247 5.3 %
Non-interest expense
Salaries and employee benefits17,579 17,498 81 0.5 %
Net occupancy expense of premises2,831 2,798 33 1.2 %
Equipment and systems3,892 3,860 32 0.8 %
Advertising and marketing311 342 (31)-9.1 %
Federal deposit insurance premium1,503 1,563 (60)-3.8 %
Directors' compensation361 361 — — %
Other expense3,084 3,364 (280)-8.3 %
Total non-interest expense29,561 29,786 (225)-0.8 %
Income before income taxes7,817 7,178 639 8.9 %
Income taxes1,251 1,086 165 15.2 %
Net income$6,566 $6,092 $474 7.8 %
Net income per common share (EPS)
Basic$0.11 $0.10 $0.01 
Diluted$0.10 $0.10 $— 
Dividends declared
Cash dividends declared per common share$0.11 $0.11 $— 
Cash dividends declared$6,933 $6,896 $37 
Dividend payout ratio105.6 %113.2 %-7.6 %
Weighted average number of common shares outstanding
Basic62,44362,38954
Diluted62,57662,420156
5

Kearny Financial Corp.
Average Balance Sheet Data
(Unaudited)
(Dollars in Thousands)Three Months EndedVariance
or Change		Variance
or Change Pct.
December 31,
2024		September 30,
2024
Assets
Interest-earning assets:
Loans receivable, including loans held for sale$5,762,053 $5,761,593 $460 — %
Taxable investment securities1,285,800 1,314,945 (29,145)-2.2 %
Tax-exempt investment securities9,711 12,244 (2,533)-20.7 %
Other interest-earning assets116,354 131,981 (15,627)-11.8 %
Total interest-earning assets7,173,918 7,220,763 (46,845)-0.6 %
Non-interest-earning assets459,982 467,670 (7,688)-1.6 %
Total assets $7,633,900 $7,688,433 $(54,533)-0.7 %
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand$2,314,378 $2,282,608 $31,770 1.4 %
Savings711,801 668,240 43,561 6.5 %
Certificates of deposit (retail)1,211,985 1,203,770 8,215 0.7 %
Certificates of deposit (brokered and listing service)735,736 551,819 183,917 33.3 %
Total interest-bearing deposits4,973,900 4,706,437 267,463 5.7 %
Borrowings:
Federal Home Loan Bank advances1,085,455 1,325,583 (240,128)-18.1 %
Other borrowings156,522 237,011 (80,489)-34.0 %
Total borrowings1,241,977 1,562,594 (320,617)-20.5 %
Total interest-bearing liabilities6,215,877 6,269,031 (53,154)-0.8 %
Non-interest-bearing liabilities:
Non-interest-bearing deposits604,915 599,095 5,820 1.0 %
Other non-interest-bearing liabilities65,258 69,629 (4,371)-6.3 %
Total non-interest-bearing liabilities670,173 668,724 1,449 0.2 %
Total liabilities6,886,050 6,937,755 (51,705)-0.7 %
Stockholders' equity747,850 750,678 (2,828)-0.4 %
Total liabilities and stockholders' equity$7,633,900 $7,688,433 $(54,533)-0.7 %
Average interest-earning assets to average interest-bearing liabilities115.41 %115.18 %0.23 %0.2 %
6

Kearny Financial Corp.
Performance Ratio Highlights
(Unaudited)
Three Months EndedVariance
or Change
December 31,
2024		September 30,
2024
Average yield on interest-earning assets:
Loans receivable, including loans held for sale4.54 %4.61 %-0.07 %
Taxable investment securities4.29 %4.38 %-0.09 %
Tax-exempt investment securities (1)
2.42 %2.32 %0.10 %
Other interest-earning assets7.62 %7.47 %0.15 %
Total interest-earning assets 4.54 %4.61 %-0.07 %
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand2.96 %3.13 %-0.17 %
Savings 1.29 %1.05 %0.24 %
Certificates of deposit (retail)4.06 %4.12 %-0.06 %
Certificates of deposit (brokered and listing service)2.71 %2.18 %0.53 %
Total interest-bearing deposits2.95 %2.98 %-0.03 %
Borrowings:
Federal Home Loan Bank advances3.78 %3.82 %-0.04 %
Other borrowings4.88 %5.28 %-0.40 %
Total borrowings3.91 %4.04 %-0.13 %
Total interest-bearing liabilities3.15 %3.24 %-0.09 %
Interest rate spread (2)
1.39 %1.37 %0.02 %
Net interest margin (3)
1.82 %1.80 %0.02 %
Non-interest income to average assets (annualized)0.26 %0.24 %0.02 %
Non-interest expense to average assets (annualized)1.55 %1.55 %— %
Efficiency ratio (4)
78.86 %80.35 %-1.49 %
Return on average assets (annualized)0.34 %0.32 %0.02 %
Return on average equity (annualized)3.51 %3.25 %0.26 %
Return on average tangible equity (annualized) (5)
4.21 %3.89 %0.32 %
_________________________
(1)The yield on tax-exempt investment securities has not been adjusted to reflect their tax-effective yield.
(2)Interest income divided by average interest-earning assets less interest expense divided by average interest-bearing liabilities.
(3)Net interest income divided by average interest-earning assets.
(4)Non-interest expense divided by the sum of net interest income and non-interest income.
(5)Average tangible equity equals total average stockholders’ equity reduced by average goodwill and average core deposit intangible assets.
7


Five-Quarter Financial Trend Analysis
Kearny Financial Corp.
Consolidated Balance Sheets
(Dollars and Shares in Thousands,
Except Per Share Data)		December 31,
2024		September 30,
2024		June 30,
2024		March 31,
2024		December 31,
2023
(Unaudited)(Unaudited)(Unaudited)(Unaudited)
Assets
Cash and cash equivalents$141,554 $155,574 $63,864 $71,027 $73,860 
Securities available for sale1,018,279 1,070,811 1,072,833 1,098,655 1,144,175 
Securities held to maturity127,266 132,256 135,742 139,643 141,959 
Loans held-for-sale5,695 8,866 6,036 4,117 14,030 
Loans receivable5,791,758 5,784,246 5,732,787 5,758,336 5,745,629 
Less: allowance for credit losses on loans(44,457)(44,923)(44,939)(44,930)(44,867)
Net loans receivable5,747,301 5,739,323 5,687,848 5,713,406 5,700,762 
Premises and equipment45,127 45,189 44,940 45,053 45,928 
Federal Home Loan Bank stock64,443 57,706 80,300 81,347 83,372 
Accrued interest receivable27,772 29,467 29,521 31,065 30,258 
Goodwill113,525 113,525 113,525 210,895 210,895 
Core deposit intangible1,679 1,805 1,931 2,057 2,189 
Bank owned life insurance301,339 300,186 297,874 296,493 256,064 
Deferred income taxes, net53,325 50,131 50,339 47,225 46,116 
Other real estate owned— — — — 11,982 
Other assets84,080 67,540 98,708 100,989 136,242 
Total assets $7,731,385 $7,772,379 $7,683,461 $7,841,972 $7,897,832 
Liabilities
Deposits:
Non-interest-bearing $601,510 $592,099 $598,366 $586,089 $584,130 
Interest-bearing5,069,550 4,878,413 4,559,757 4,622,961 4,735,500 
Total deposits5,671,060 5,470,512 5,158,123 5,209,050 5,319,630 
Borrowings1,258,949 1,479,888 1,709,789 1,722,178 1,667,055 
Advance payments by borrowers for taxes17,986 17,824 17,409 17,387 16,742 
Other liabilities38,537 52,618 44,569 44,279 46,427 
Total liabilities6,986,532 7,020,842 6,929,890 6,992,894 7,049,854 
Stockholders' Equity
Common stock646 646 644 644 645 
Paid-in capital494,092 493,523 493,680 493,187 493,297 
Retained earnings342,155 342,522 343,326 440,308 439,755 
Unearned ESOP shares(19,943)(20,430)(20,916)(21,402)(21,889)
Accumulated other comprehensive loss(72,097)(64,724)(63,163)(63,659)(63,830)
Total stockholders' equity744,853 751,537 753,571 849,078 847,978 
Total liabilities and stockholders' equity$7,731,385 $7,772,379 $7,683,461 $7,841,972 $7,897,832 
Consolidated capital ratios
Equity to assets9.63 %9.67 %9.81 %10.83 %10.74 %
Tangible equity to tangible assets (1)
8.27 %8.31 %8.43 %8.34 %8.26 %
Share data
Outstanding shares 64,58064,58064,43464,43764,445
Book value per share$11.53 $11.64 $11.70 $13.18 $13.16 
Tangible book value per share (2)
$9.75 $9.85 $9.90 $9.87 $9.85 
_________________________
(1)Tangible equity equals total stockholders' equity reduced by goodwill and core deposit intangible assets. Tangible assets equals total assets reduced by goodwill and core deposit intangible assets.
(2)Tangible book value equals total stockholders' equity reduced by goodwill and core deposit intangible assets.
8

Kearny Financial Corp.
Supplemental Balance Sheet Highlights
(Unaudited)
(Dollars in Thousands)December 31,
2024		September 30,
2024		June 30,
2024		March 31,
2024		December 31,
2023
Loan portfolio composition:
Commercial loans:
Multi-family mortgage$2,722,623 $2,646,187 $2,645,851 $2,645,195 $2,651,274 
Nonresidential mortgage950,194 950,771 948,075 965,539 947,287 
Commercial business135,740 145,984 142,747 147,326 144,134 
Construction176,704 227,327 209,237 229,457 221,933 
Total commercial loans3,985,261 3,970,269 3,945,910 3,987,517 3,964,628 
One- to four-family residential mortgage1,765,160 1,768,230 1,756,051 1,741,644 1,746,065 
Consumer loans:
Home equity loans47,101 44,741 44,104 42,731 43,517 
Other consumer2,778 2,965 2,685 3,198 2,728 
Total consumer loans49,879 47,706 46,789 45,929 46,245 
Total loans, excluding yield adjustments5,800,300 5,786,205 5,748,750 5,775,090 5,756,938 
Unaccreted yield adjustments(8,542)(1,959)(15,963)(16,754)(11,309)
Loans receivable, net of yield adjustments5,791,758 5,784,246 5,732,787 5,758,336 5,745,629 
Less: allowance for credit losses on loans(44,457)(44,923)(44,939)(44,930)(44,867)
Net loans receivable$5,747,301 $5,739,323 $5,687,848 $5,713,406 $5,700,762 
Asset quality:
Nonperforming assets:
Accruing loans - 90 days and over past due$— $— $— $— $— 
Nonaccrual loans37,697 39,854 39,882 39,546 28,089 
Total nonperforming loans37,697 39,854 39,882 39,546 28,089 
Nonaccrual loans held-for-sale— — — — 9,700 
Other real estate owned— — — — 11,982 
Total nonperforming assets$37,697 $39,854 $39,882 $39,546 $49,771 
Nonperforming loans (% total loans)0.65 %0.69 %0.70 %0.69 %0.49 %
Nonperforming assets (% total assets)0.49 %0.51 %0.52 %0.50 %0.63 %
Classified loans$132,216 $119,534 $118,700 $115,772 $94,676 
Allowance for credit losses on loans (ACL):
ACL to total loans0.77 %0.78 %0.78 %0.78 %0.78 %
ACL to nonperforming loans117.93 %112.72 %112.68 %113.61 %159.73 %
Net charge-offs $573 $124 $3,518 $286 $4,110 
Average net charge-off rate (annualized)0.04 %0.01 %0.25 %0.02 %0.29 %

9

Kearny Financial Corp.
Supplemental Balance Sheet Highlights
(Unaudited)
(Dollars in Thousands)December 31,
2024		September 30,
2024		June 30,
2024		March 31,
2024		December 31,
2023
Funding composition:
Deposits:
Non-interest-bearing deposits$601,510 $592,099 $598,367 $586,089 $584,130 
Interest-bearing demand2,380,408 2,247,685 2,308,915 2,349,032 2,347,262 
Savings 742,266 681,709 643,481 630,456 646,182 
Certificates of deposit (retail)1,194,865 1,215,746 1,199,127 1,235,261 1,283,676 
Certificates of deposit (brokered and listing service)752,011 733,273 408,234 408,212 458,380 
Interest-bearing deposits5,069,550 4,878,413 4,559,757 4,622,961 4,735,500 
Total deposits5,671,060 5,470,512 5,158,124 5,209,050 5,319,630 
Borrowings:
Federal Home Loan Bank advances1,028,949 1,209,888 1,534,789 1,457,178 1,432,055 
Overnight borrowings230,000 270,000 175,000 265,000 235,000 
Total borrowings1,258,949 1,479,888 1,709,789 1,722,178 1,667,055 
Total funding$6,930,009 $6,950,400 $6,867,913 $6,931,228 $6,986,685 
Loans as a % of deposits101.4 %105.1 %110.4 %109.8 %107.4 %
Deposits as a % of total funding81.8 %78.7 %75.1 %75.2 %76.1 %
Borrowings as a % of total funding18.2 %21.3 %24.9 %24.8 %23.9 %
Uninsured deposits:
Uninsured deposits (reported) (1)
$1,935,607 $1,799,726 $1,772,623 $1,760,740 $1,813,122 
Uninsured deposits (adjusted) (2)
$797,721 $773,375 $764,447 $718,026 $694,510 
_________________________
(1)Uninsured deposits of Kearny Bank.
(2)Uninsured deposits of Kearny Bank adjusted to exclude deposits of its wholly-owned subsidiary and holding company and collateralized deposits of state and local governments.
10

Kearny Financial Corp.
Consolidated Statements of Income (Loss)
(Unaudited)
Three Months Ended
(Dollars and Shares in Thousands,
Except Per Share Data)		December 31,
2024		September 30,
2024		June 30,
2024		March 31,
2024		December 31,
2023
Interest income
Loans$65,408 $66,331 $65,819 $64,035 $63,384 
Taxable investment securities13,803 14,384 14,802 15,490 16,756 
Tax-exempt investment securities59 71 80 85 84 
Other interest-earning assets2,215 2,466 2,289 2,475 2,401 
Total interest income81,485 83,252 82,990 82,085 82,625 
Interest expense
Deposits36,721 35,018 32,187 32,320 30,340 
Borrowings12,152 15,788 17,527 15,446 16,446 
Total interest expense48,873 50,806 49,714 47,766 46,786 
Net interest income32,612 32,446 33,276 34,319 35,839 
Provision for credit losses 107 108 3,527 349 2,105 
Net interest income after provision for credit losses32,505 32,338 29,749 33,970 33,734 
Non-interest income
Fees and service charges627 635 580 657 624 
Loss on sale and call of securities— — — — (18,135)
Gain (loss) on sale of loans304 200 111 (712)104 
Loss on sale of other real estate owned— — — — (974)
Income from bank owned life insurance2,619 2,567 3,209 3,039 1,162 
Electronic banking fees and charges493 391 1,130 464 396 
Other income830 833 776 755 811 
Total non-interest income4,873 4,626 5,806 4,203 (16,012)
Non-interest expense
Salaries and employee benefits17,579 17,498 17,266 16,911 17,282 
Net occupancy expense of premises2,831 2,798 2,738 2,863 2,674 
Equipment and systems3,892 3,860 3,785 3,823 3,814 
Advertising and marketing311 342 480 387 301 
Federal deposit insurance premium1,503 1,563 1,532 1,429 1,495 
Directors' compensation361 361 360 360 393 
Goodwill impairment— — 97,370 — — 
Other expense3,084 3,364 3,020 3,286 3,808 
Total non-interest expense29,561 29,786 126,551 29,059 29,767 
Income (loss) before income taxes7,817 7,178 (90,996)9,114 (12,045)
Income taxes1,251 1,086 (917)1,717 1,782 
Net income (loss)$6,566 $6,092 $(90,079)$7,397 $(13,827)
Net income (loss) per common share (EPS)
Basic$0.11 $0.10 $(1.45)$0.12 $(0.22)
Diluted$0.10 $0.10 $(1.45)$0.12 $(0.22)
Dividends declared
Cash dividends declared per common share$0.11 $0.11 $0.11 $0.11 $0.11 
Cash dividends declared$6,933 $6,896 $6,903 $6,844 $6,882 
Dividend payout ratio105.6 %113.2 %-7.7 %92.5 %-49.8 %
Weighted average number of common shares outstanding
Basic62,44362,38962,25462,20562,299
Diluted62,57662,42062,25462,21162,299
11

Kearny Financial Corp.
Average Balance Sheet Data
(Unaudited)
Three Months Ended
(Dollars in Thousands)December 31,
2024		September 30,
2024		June 30,
2024		March 31,
2024		December 31,
2023
Assets
Interest-earning assets:
Loans receivable, including loans held-for-sale$5,762,053 $5,761,593 $5,743,008 $5,752,477 $5,726,321 
Taxable investment securities1,285,800 1,314,945 1,343,541 1,382,064 1,509,165 
Tax-exempt investment securities9,711 12,244 13,737 14,614 15,025 
Other interest-earning assets116,354 131,981 128,257 125,155 139,740 
Total interest-earning assets7,173,918 7,220,763 7,228,543 7,274,310 7,390,251 
Non-interest-earning assets459,982 467,670 466,537 577,411 554,335 
Total assets $7,633,900 $7,688,433 $7,695,080 $7,851,721 $7,944,586 
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Interest-bearing demand$2,314,378 $2,282,608 $2,310,521 $2,378,831 $2,301,169 
Savings 711,801 668,240 631,622 635,226 664,926 
Certificates of deposit (retail)1,211,985 1,203,770 1,208,101 1,257,362 1,292,837 
Certificates of deposit (brokered and listing service)735,736 551,819 405,697 448,151 531,479 
Total interest-bearing deposits4,973,900 4,706,437 4,555,941 4,719,570 4,790,411 
Borrowings:
Federal Home Loan Bank advances1,085,455 1,325,583 1,507,192 1,428,801 1,513,497 
Other borrowings156,522 237,011 228,461 210,989 142,283 
Total borrowings1,241,977 1,562,594 1,735,653 1,639,790 1,655,780 
Total interest-bearing liabilities6,215,877 6,269,031 6,291,594 6,359,360 6,446,191 
Non-interest-bearing liabilities:
Non-interest-bearing deposits604,915 599,095 589,438 581,870 597,294 
Other non-interest-bearing liabilities65,258 69,629 62,978 65,709 62,387 
Total non-interest-bearing liabilities670,173 668,724 652,416 647,579 659,681 
Total liabilities6,886,050 6,937,755 6,944,010 7,006,939 7,105,872 
Stockholders' equity747,850 750,678 751,070 844,782 838,714 
Total liabilities and stockholders' equity$7,633,900 $7,688,433 $7,695,080 $7,851,721 $7,944,586 
Average interest-earning assets to average
 interest-bearing liabilities
115.41 %115.18 %114.89 %114.39 %114.65 %
12

Kearny Financial Corp.
Performance Ratio Highlights
Three Months Ended
December 31,
2024		September 30,
2024		June 30,
2024		March 31,
2024		December 31,
2023
Average yield on interest-earning assets:
Loans receivable, including loans held-for-sale4.54 %4.61 %4.58 %4.45 %4.43 %
Taxable investment securities4.29 %4.38 %4.41 %4.48 %4.44 %
Tax-exempt investment securities (1)
2.42 %2.32 %2.32 %2.32 %2.25 %
Other interest-earning assets7.62 %7.47 %7.14 %7.91 %6.87 %
Total interest-earning assets4.54 %4.61 %4.59 %4.51 %4.47 %
Average cost of interest-bearing liabilities:
Deposits:
Interest-bearing demand2.96 %3.13 %3.06 %3.08 %2.91 %
Savings 1.29 %1.05 %0.63 %0.46 %0.44 %
Certificates of deposit (retail)4.06 %4.12 %3.95 %3.52 %3.06 %
Certificates of deposit (brokered and listing service)2.71 %2.18 %1.59 %1.97 %2.24 %
Total interest-bearing deposits2.95 %2.98 %2.83 %2.74 %2.53 %
Borrowings:
Federal Home Loan Bank advances3.78 %3.82 %3.86 %3.55 %3.82 %
Other borrowings4.88 %5.28 %5.24 %5.22 %5.65 %
Total borrowings3.91 %4.04 %4.04 %3.77 %3.97 %
Total interest-bearing liabilities3.15 %3.24 %3.16 %3.00 %2.90 %
Interest rate spread (2)
1.39 %1.37 %1.43 %1.51 %1.57 %
Net interest margin (3)
1.82 %1.80 %1.84 %1.89 %1.94 %
Non-interest income to average assets (annualized)0.26 %0.24 %0.30 %0.21 %-0.81 %
Non-interest expense to average assets (annualized)1.55 %1.55 %6.58 %1.48 %1.50 %
Efficiency ratio (4)
78.86 %80.35 %323.81 %75.43 %150.13 %
Return on average assets (annualized)0.34 %0.32 %-4.68 %0.38 %-0.70 %
Return on average equity (annualized)3.51 %3.25 %-47.97 %3.50 %-6.59 %
Return on average tangible equity (annualized) (5)
4.21 %3.89 %3.33 %4.68 %-8.84 %
_________________________
(1)The yield on tax-exempt investment securities has not been adjusted to reflect their tax-effective yield.
(2)Interest income divided by average interest-earning assets less interest expense divided by average interest-bearing liabilities.
(3)Net interest income divided by average interest-earning assets.
(4)Non-interest expense divided by the sum of net interest income and non-interest income.
(5)Average tangible equity equals total average stockholders’ equity reduced by average goodwill and average core deposit intangible assets.
13

The following tables provide a reconciliation of certain financial measures calculated in accordance with Generally Accepted Accounting Principles (“GAAP”) (as reported) and non-GAAP measures. These non-GAAP measures provide additional information which allow readers to evaluate the ongoing performance of the Company. They are not a substitute for GAAP measures; they should be read and used in conjunction with the Company’s GAAP financial information. In all cases, it should be understood that non-GAAP per share measures do not depict amounts that accrue directly to the benefit of shareholders.
Kearny Financial Corp.
Reconciliation of GAAP to Non-GAAP
(Unaudited)
Three Months Ended
(Dollars and Shares in Thousands,
Except Per Share Data)		December 31,
2024		September 30,
2024		June 30,
2024		March 31,
2024		December 31,
2023
Adjusted net income:
Net income (loss) (GAAP)$6,566 $6,092 $(90,079)$7,397 $(13,827)
Non-recurring transactions - net of tax:
Net effect of sale and call of securities— — — — 12,876 
Net effect of bank-owned life insurance restructure— — 392 — 6,286 
Goodwill impairment— — 95,283 — — 
Adjusted net income$6,566 $6,092 $5,596 $7,397 $5,335 
Calculation of pre-tax, pre-provision net revenue:
Net income (loss) (GAAP)$6,566 $6,092 $(90,079)$7,397 $(13,827)
Adjustments to net income (GAAP):
Provision for income taxes1,251 1,086 (917)1,717 1,782 
Provision for credit losses107 108 3,527 349 2,105 
Pre-tax, pre-provision net revenue (non-GAAP)$7,924 $7,286 $(87,469)$9,463 $(9,940)
Adjusted earnings per share:
Weighted average common shares - basic62,44362,38962,25462,20562,299
Weighted average common shares - diluted62,57662,42062,33062,21162,367
Earnings per share - basic (GAAP)$0.11 $0.10 $(1.45)$0.12 $(0.22)
Earnings per share - diluted (GAAP)$0.10 $0.10 $(1.45)$0.12 $(0.22)
Adjusted earnings per share - basic (non-GAAP)$0.11 $0.10 $0.09 $0.12 $0.09 
Adjusted earnings per share - diluted (non-GAAP)$0.10 $0.10 $0.09 $0.12 $0.09 
Pre-tax, pre-provision net revenue per share:
Pre-tax, pre-provision net revenue per share - basic
  (non-GAAP)
$0.13 $0.12 $(1.41)$0.15 $(0.16)
Pre-tax, pre-provision net revenue per share - diluted
  (non-GAAP)
$0.13 $0.12 $(1.41)$0.15 $(0.16)
Adjusted return on average assets:
Total average assets$7,633,900 $7,688,433 $7,695,080 $7,851,721 $7,944,586 
Return on average assets (GAAP)0.34 %0.32 %-4.68 %0.38 %-0.70 %
Adjusted return on average assets (non-GAAP)0.34 %0.32 %0.29 %0.38 %0.27 %
Adjusted return on average equity:
Total average equity$747,850 $750,678 $751,070 $844,782 $838,714 
Return on average equity (GAAP)3.51 %3.25 %-47.97 %3.50 %-6.59 %
Adjusted return on average equity (non-GAAP)3.51 %3.25 %2.98 %3.50 %2.54 %
14

Kearny Financial Corp.
Reconciliation of GAAP to Non-GAAP
(Unaudited)
Three Months Ended
(Dollars and Shares in Thousands,
Except Per Share Data)		December 31,
2024		September 30,
2024		June 30,
2024		March 31,
2024		December 31,
2023
Adjusted return on average tangible equity:
Total average equity$747,850 $750,678 $751,070 $844,782 $838,714 
Less: average goodwill(113,525)(113,525)(113,525)(210,895)(210,895)
Less: average other intangible assets(1,761)(1,886)(2,006)(2,138)(2,277)
Total average tangible equity$632,564 $635,267 $635,539 $631,749 $625,542 
Return on average tangible equity (non-GAAP)4.21 %3.89 %3.33 %4.68 %-8.84 %
Adjusted return on average tangible equity (non-GAAP)4.21 %3.89 %3.58 %4.68 %3.41 %
Adjusted non-interest expense ratio:
Non-interest expense (GAAP)$29,561 $29,786 $126,551 $29,059 $29,767 
Non-recurring transactions:
Goodwill impairment— — (97,370)— — 
Non-interest expense (non-GAAP)$29,561 $29,786 $29,181 $29,059 $29,767 
Non-interest expense ratio (GAAP)1.55 %1.55 %6.58 %1.48 %1.50 %
Adjusted non-interest expense ratio (non-GAAP)1.55 %1.55 %1.52 %1.48 %1.50 %
Adjusted efficiency ratio:
Non-interest expense (non-GAAP)$29,561 $29,786 $29,181 $29,059 $29,767 
Net interest income (GAAP)$32,612 $32,446 $33,276 $34,319 $35,839 
Total non-interest income (GAAP)4,873 4,626 5,806 4,203 (16,012)
Non-recurring transactions:
Net effect of sale and call of securities— — — — 18,135 
Net effect of bank-owned life insurance restructure— — 392 — 573 
Total revenue (non-GAAP)$37,485 $37,072 $39,474 $38,522 $38,535 
Efficiency ratio (GAAP)78.86 %80.35 %323.81 %75.43 %150.13 %
Adjusted efficiency ratio (non-GAAP)78.86 %80.35 %73.92 %75.43 %77.25 %

15
JANUARY 30, 2025 I N V E S T O R P R E S E N T A T I O N S E C O N D Q U A R T E R F I S C A L 2 0 2 5 Exhibit 99.2

 
Forward Looking Statements & Financial Measures 2 This presentation may include certain “forward-looking statements,” which are made in good faith by Kearny Financial Corp. (the “Company”) pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties, such as statements of the Company’s plans, objectives, expectations, estimates and intentions that are subject to change based on various important factors (some of which are beyond the Company’s control). In addition to the factors described under Item 1A. Risk Factors in the Company’s Annual Report on Form 10-K, and subsequent filings with the Securities and Exchange Commission, the following factors, among others, could cause the Company’s financial performance to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements: • the strength of the United States economy in general and the strength of the local economy in which the Company conducts operations, • the effects of, and changes in, trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System, inflation, interest rates, market and monetary fluctuations, • the impact of changes in laws, regulations and government policies regarding financial institutions (including laws concerning taxation, banking, securities and insurance), • changes in accounting policies and practices, as may be adopted by regulatory agencies, the Financial Accounting Standards Board (“FASB”) or the Public Company Accounting Oversight Board, • technological changes, • competition among financial services providers, and • the success of the Company at managing the risks involved in the foregoing and managing its business. The Company cautions that the foregoing list of important factors is not exhaustive. Readers should not place any undue reliance on any forward looking statements, which speak only as of the date made. The Company does not undertake any obligation to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company. This presentation contains financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Management uses these “non-GAAP” measures in its analysis of the Company’s performance. Management believes these non-GAAP financial measures allow for better comparability of period to period operating performance. Additionally, the Company believes this information is utilized by regulators and market analysts to evaluate a company’s financial condition and therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. A reconciliation of the non-GAAP measures used in this presentation to the most directly comparable GAAP measures is provided in the Appendix to this presentation.

 
Kearny Financial Corp. Company Overview NASDAQ: KRNY Founded: 1884 Assets: $7.7 billion Loans $5.8 billion Deposits $5.7 billion TBV Per Share: $9.75 Market Cap: $457.2 million1 1 As of June 30, 2024 2 As of June 30, 2024 Source: S&P Global Market Intelligence & Company Filings 3 Branch/Office Footprint Company Profile Top 10 New Jersey-based financial institution by assets & deposits 43 full-service branches in 12 counties throughout New Jersey and New York City Active acquirer, having completed 7 whole-bank acquisitions since 1999 Focus is on helping our clients achieve their financial goals for today and aspirations for tomorrow – creating communities that thrive Source: Company Filings 1 As of December 31, 2024. 3

 
4 Founded Kearny, NJ 1884 Obtained Federal Charter 1941 South Bergen Savings Bank Acquired 1999 Pulaski Bancorp Acquired 2003 West Essex Bank Acquired 2004 Completed First-Step Mutual Conversion & IPO of $218.2M 2005 Central Jersey Bancorp Acquired 2011 Atlas Bank Acquired 2014 Formed the KearnyBank foundation funded with $10M 2015 Completed Second-Step Conversion and $717.5M Stock Offering 2015 Converted to NJ State - Chartered Savings Bank 2017 Clifton Bancorp Acquired 2018 MSB Financial Corp. Acquired 2020 Introduced Private Client Services 2021 Established Kearny Investment Services 2022 141 Years: Franchise Milestones “Serving our Communities and Clients” 4

 
2Q25 Financial Highlights 1 GAAP to Adjusted reconciliation on page 19. 2 Excludes Yield Adjustments. Source: Company Filings. 5 Net Income GAAP Adjusted1 $6.6 million $6.6 million Basic/Diluted EPS GAAP Adjusted1 $0.11/$0.10 $0.11/$0.10 Net Interest Income CET-1 Ratio $32.6 million 14.59% Total Assets $7.7 billion Total Deposits Total Loans2 $5.7 billion $5.8 billion ASSET QUALITY Strong asset quality as non-performing assets improved to 0.49% of total assets compared to 0.51% in the quarter ended September 30, 2024. Net charge-offs totaled $573,000, or 0.04% of average loans, on an annualized basis, for the quarter ended December 31, 2024, which remains relatively low compared to our peers. EARNINGS Reported net income of $6.6 million for the quarter ended December 31, 2024, compared to $6.1 million for the quarter ended September 30, 2024. Earnings per basic and diluted share were $0.11 and $0.10, respectively, for the quarter ended December 31, 2024. For the quarter ending December 31, 2024, the net interest margin increased by two basis points to 1.82%, demonstrating sequential monthly growth throughout the period. BALANCE SHEET Total assets were $7.7 billion at December 31, 2024, a decrease of $41.0 million, or 0.5%, from September 30, 2024 primarily due to decrease in investment securities of $57.5 million. Deposits of $5.7 billion increased $200.5 million, driven by strong momentum across all deposit types. The increase in deposits has improved the Loan to Deposit ratio from 105.9% at September 30, 2024 to 101.4%, at December 31, 2024. Borrowings of $1.26 billion decreased $220.9 million, as result of deposit growth mentioned above. CAPITAL Capital ratios continue to remain well above regulatory minimums and peer comparisons with Common Equity Tier 1 Capital ratio of 14.59%, as of December 31, 2024.

 
Capital Strength Equity Capitalization Level 1 Kearny Financial Corp. (NASDAQ: KRNY) Regulatory Capital Ratios as of December 31, 2024 are preliminary. 2 Equity to Asset ratio, for June 30, 2024 going forward, was impacted by previously disclosed goodwill impairment. Source: Company Filings. 6 Regulatory Capital Ratios1,2 8.26% 8.34% 8.43% 8.31% 8.27% 10.74% 10.83% 9.81% 9.67% 9.63% 2Q24 3Q24 4Q24 1Q25 2Q25 Tangible Common Equity / Tangible Assets Equity / Assets 2 9.22% 14.59% 14.59% 15.43% 5.00% 6.50% 8.00% 10.00% Tier 1 Leverage Common Equity Tier 1 Tier 1 Risk-Based Capital Total Risk-Based Capital KRNY Well Capitalized Regulatory Minimum

 
Track Record of Strong Credit Performance 1 Data provided by Federal Reserve Bank of St. Louis. Source: Company Filings. 7 From 2006 to 2024, inclusive of the Global Financial Crisis and the COVID-19 Pandemic, KRNY’s net charge-offs to average total loans totaled 9 bps per year compared to 48 bps for all commercial banks (US Banks not among the top 100)1. Net Charge-offs to Average Total Loans 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2Q25 Commercial Banks (not among top 100) KRNY Global Financial Crisis Hurricane Sandy COVID-19 PandemicCumulative charge-offs for KRNY between 2006 and 2Q25 were minimal, totaling $39.3 million.

 
Diversified Loan Portfolio Loan Composition1 Geographic Distribution1 Loan Trend 1 As of December 31, 2024. Source: S&P Global Market Intelligence & Company Filings. 8 ($ millions) 1-4 Family 30.4% Home Equity 0.8% Multi-family 46.9% CRE 16.4% Construction 3.1% C&I 2.3%QTD Yield on Loans 4.54% New York 33.0% New Jersey 55.8% Pennsylvania 6.2% Other 5.0% LTV 60.9% $1,746 $1,742 $1,756 $1,768 $1,765 $2,651 $2,645 $2,646 $2,646 $2,723 $947 $966 $948 $951 $950 $5,757 $5,775 $5,749 $5,786 $5,800 2Q24 3Q24 4Q24 1Q25 2Q25 1-4 Family Home Equity Multi-family CRE Construction C&I

 
Multifamily Loan Portfolio Multifamily Loan Portfolio Composition1 New York City (“NYC”) Multifamily1 Source: Company Filings 1 As of December 31, 2024. 9 Outstanding asset quality over multiple credit cycles Less than half of our Multifamily portfolio is collateralized by properties in NYC Only 5.4% of our Multifamily portfolio is collateralized by majority or fully rent-regulated NYC properties Approx. 11% of maturing or repricing NYC Multifamily loans in calendar 2025 65% of the Company’s NYC Multifamily portfolio is located in Brooklyn, NY Observations Majority NYC Free Market 39.5% Outside NYC 55.1% Fully NYC Rent Regulated 2.0% Majority NYC Rent Regulated 3.4% Total MF $2.7B NYC Multifamily Portfolio: $1.2 billion Average Loan Balance: $3.46 million Weighted Average LTV: 61.8% Nonperforming Loans / Total MF Loans: 0.93% Calendar Year 2025 Maturity & Repricing: $139.3 million Loan Value % Brooklyn $814 65.1% Queens 160 12.8% Manhattan 141 11.3% Bronx 135 10.8% Total NYC MF Loan Portfolio $1,250 100.0% $ in millions NYC Multifamily Loan Portfolio by Location

 
CRE Loan Detail Source: Company Filings. 1 As of December 31, 2024. 10 CRE Portfolio by Collateral Type1 CRE Loan Geographic Distribution1 New Jersey 56.7% Brooklyn 9.0% New York (Ex. Brooklyn) 24.9% Pennsylvania 4.8% Other 4.6% Retail 31.1% Mixed Use 27.3% Office 11.1% Industrial 19.5% Specialty & Other 6.7% Medical 4.3% Total CRE $950M LTV 50.6%

 
Office Portfolio 1 As of December 31, 2024. Source: Company Filings. 11 Office Portfolio by Contractual Maturity1 Office Portfolio Profile 11.1% of total CRE portfolio or $106 million Average loan size of $1.6 million ($ millions) Office Loan Geographic Distribution1 Manhattan 21.7% New York (Excl. Manhattan) 6.1% New Jersey 69.2% Other 2.9% LTV 47.7% DSCR 1.9x Total Office $106M $4 $9 $35 $17 $9 $32 2025 2026 2027 2028 2029 2030+

 
Asset Quality Metrics Non-Performing Assets / Total Assets Allowance for Credit Losses 1 As of December 30, 2024; amounts shown in millions. Source: Company Filings. 12 Net Charge-Offs / Average Loans Increase driven by a single commercial real estate relationship Increase driven by a single C&I relationship 0.29% 0.02% 0.25% 0.01% 0.04% 2Q24 3Q24 4Q24 1Q25 2Q25 0.63% 0.50% 0.52% 0.51% 0.49% 2Q24 3Q24 4Q24 1Q25 2Q25 $44.7 $44.7 $44.1 $44.2 $44.3 $0.2 $0.2 $0.9 $0.8 $0.2 0.78% 0.78% 0.78% 0.78% 0.77% 2Q24 3Q24 4Q24 1Q25 2Q25 ACL Balance - Collectively Evaluated ACL Balance - Individually Analyzed ACL to Total Loans Receivable Non-Performing Loans1 $ in millions Multi-family $25.3 CRE $6.5 C&I $0.5 1-4 Family $5.3 NPL’s $37.7M

 
$1,284 $1,235 $1,199 $1,216 $1,195 $457 $408 $408 $733 $752 $646 $630 $643 $682 $742 $2,347 $2,349 $2,310 $2,248 $2,380 $584 $586 $598 $592 $602 $5,320 $5,209 $5,158 $5,471 $5,671 2Q24 3Q24 4Q24 1Q25 2Q25 Retail CDs Wholesale CDs Savings Interest Bearing DDA Non-interest Bearing DDA Granular Deposit Franchise 1 As of December 31, 2024. Source: Company Filings. 13 Deposit Trend Non-Maturity Deposit Mix1 ($ millions) 21.1% 13.2% 13.1% 42.0% 10.6% Deposit Composition Consumer 64.5% Commercial 20.7% Government 14.8%

 
Retail Deposit Detail 1 As of December 31, 2024. 2 Excludes brokered, listing services and state & local government deposits. Source: Company Filings. 14 Retail Time Deposit Maturities Retail Deposit Segmentation1,2 ($ millions) Over the next 12 months, $1.1 billion of Retail CDs will mature and rollover at lower rates, further expanding net interest margin. $402 $318 $181 $162 $132 4.26% 3.93% 4.01% 3.66% 2.94% 1Q25 2Q25 3Q25 4Q25 1Q26 & Beyond Maturities Weighted Avg Yield Product # of Accounts Balance ($ millions) Average Balance per Account Checking 52,784 $ 2,431 $ 46,063 Savings 30,802 741 24,070 CDs 24,346 1,192 48,948 Total Retail Deposits 107,932 $ 4,364 $ 40,437

 
Liquidity Available for Uninsured Deposits Estimated Uninsured Deposits Analysis1,2 1 Estimated amount of uninsured deposits reported in December 31, 2024 Call Report. 2 As of December 31, 2024. 15 Available liquidity is 2.9x greater than estimated uninsured deposits (excluding items above) Total available capacity increased by $256 million from September 30, 2024 and represents 30% of total assets. Liquidity Capacity2 1 Estimated Uninsured Deposit Analysis ($ millions) Estimated Uninsured Deposits 1,936$ Less: Collateralized State & Local Government Deposits (539) Less: Bank's wholly-owned subsidiary & Holding Company Deposits (599) Estimated uninsured deposits excluding items above: 798$ Total Deposits 5,671$ Estimated uninsured deposits, excluding items above, as a % of Total Deposits 14.1% Sources of Liquidity ($ millions) Liquidity Capacity Funding Utilized Available Capacity Internal Sources: Free Securities and other 96$ -$ 96$ External Sources: FRB 1,605 - 1,605 FHLB 1,885 1,270 615 Total Liquidity 3,586$ 1,270$ 2,316$

 
Investment Securities 1 As of December 31, 2024. 2 Comprised entirely of securitized federal education loans with 97% U.S. government guarantees. 3 Assumes 29% marginal tax rate. Source: Company Filings. 16 Securities Composition1 Securities Average Balance & Yield Trend At December 31, 2024, the after-tax net unrecognized loss on securities held-to-maturity was $11.3 million, or 1.79% of tangible equity3 AFS/HTM & Effective Duration Corporate Bonds 12.0% CLO 29.1% ABS Student Loans 6.3% Agency MBS 51.8% Municipal Bonds 0.8% ($ millions) 2 $1,524 $1,397 $1,357 $1,327 $1,296 4.42% 4.46% 4.39% 4.36% 4.28% 2Q24 3Q24 4Q24 1Q25 2Q25 Securities Portfolio Yield on Investments AFS 88.9% HTM 11.1% Total Effective Duration ≈ 3.4 years Floating rate securities ≈ 34.4%

 
Best-in-Class Operating Efficiency 1 Adjusted for non-routine transactions. GAAP to Adjusted reconciliation on page 19 Source: S&P Global Market Intelligence & Company Filings. 17 Adjusted Non-interest Expense to Average Assets1 Deposits per Branch 1.76% 1.73% 1.61% 1.55% 1.62% 1.69% 1.51% 1.50% 1.55% 2017 2018 2019 2020 2021 2022 2023 2024 2Q25 $68 $74 $75 $96 $114 $130 $131 $120 $132 1 21 41 61 81 101 121 2017 2018 2019 2020 2021 2022 2023 2024 2Q25 1.9x ($ millions)

 
18 Conservative Underwriting Culture Comprehensive CRE / Multifamily Underwriting Highly disciplined LTV and DSCR standards Interest rates stressed at origination DSCR based on in-place rents, not projections, with conservative allowances for vacancy NOI underwritten to include forecasted expense increases and full taxes (where a tax abatement exists) Approval Authority & Underwriting Consistency Lending authority aggregated by borrower/group of related borrowers Technology ensures consistent and efficient underwriting and risk rating process Multi-faceted Loan Review & Stress Testing Semi-annual third-party loan-level stress testing and annual capital-based stress testing Quarterly third-party portfolio loan review with 65% of total portfolio reviewed on an annual basis Annual internal loan reviews on all commercial loans with balances of $2.5 million or greater Proactive Workout Process Dedicated team of portfolio managers and loan workout specialists Weekly meetings comprised of loan officers, credit personnel and special assets group to pre-emptively address delinquencies or problem credits Philosophy of aggressively addressing impaired assets in a timely fashion Senior Credit Officer Approval Management Loan Committee Approval Board Loan Committee Approval

 
Non-GAAP Reconciliation 19 Reconciliation of GAAP to Non-GAAP For the quarter ended For the quarter ended For the quarter ended For the quarter ended For the quarter ended (Dollars and Shares in Thousands, Except Per Share Data) December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 December 31, 2023 Adjusted net income: Net income (loss) (GAAP) $6,566 $6,092 ($90,079) $7,397 ($13,827) Non-recurring transactions - net of tax: Net effect of sale and call of securities - - - - 12,876 Net effect of bank-owned life insurance restructure - - 392 - 6,286 Goodwill impairment - - 95,283 - - Adjusted net income $6,566 $6,092 $5,596 $7,397 $5,335 Calculation of pre-tax, pre-provision net revenue: Net income (loss) (GAAP) $6,566 $6,092 ($90,079) $7,397 ($13,827) Adjustments to net income (GAAP): Provision for income taxes $1,251 $1,086 ($917) $1,717 $1,782 Provision for (reversal of) credit losses $107 $108 $3,527 $349 $2,105 Pre-tax, pre-provision net revenue (non-GAAP) $7,924 $7,286 ($87,469) $9,463 ($9,940) Adjusted earnings per share: Weighted average common shares - basic 62,443 62,389 62,254 62,205 62,299 Weighted average common shares - diluted 62,576 62,420 62,330 62,211 62,367 Earnings per share - basic (GAAP) $0.11 $0.10 ($1.45) $0.12 ($0.22) Earnings per share - diluted (GAAP) $0.10 $0.10 ($1.45) $0.12 ($0.22) Adjusted earnings per share - basic (non-GAAP) $0.11 $0.10 $0.09 $0.12 $0.09 Adjusted earnings per share - diluted (non-GAAP) $0.10 $0.10 $0.09 $0.12 $0.09 Pre-tax, pre-provision net revenue per share: Pre-tax, pre-provision net revenue per share - basic (non-GAAP) $0.13 $0.12 ($1.41) $0.15 ($0.16) Pre-tax, pre-provision net revenue per share - diluted (non-GAAP) $0.13 $0.12 ($1.41) $0.15 ($0.16) Adjusted return on average assets: Total average assets $7,633,900 $7,688,433 $7,695,080 $7,851,721 $7,944,586 Return on average assets (GAAP) 0.34% 0.32% -4.68% 0.38% -0.70% Adjusted return on average assets (non-GAAP) 0.34% 0.32% 0.29% 0.38% 0.27% Adjusted return on average equity: Total average equity $747,850 $750,678 $751,070 $844,782 $838,714 Return on average equity (GAAP) 3.51% 3.25% -47.97% 3.50% -6.59% Adjusted return on average equity (non-GAAP) 3.51% 3.25% 2.98% 3.50% 2.54%

 
v3.24.4
Cover
Jan. 30, 2025
Cover [Abstract]  
Document Type 8-K
Document Period End Date Jan. 30, 2025
Entity Incorporation, State or Country Code MD
Entity File Number 001-37399
Entity Tax Identification Number 30-0870244
Entity Address, Address Line One 120 Passaic Avenue
Entity Address, City or Town Fairfield
Entity Address, State or Province NJ
Entity Address, Postal Zip Code 07004
City Area Code (973)
Local Phone Number 244-4500
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(g) Security Common Stock, $0.01 par value
Trading Symbol KRNY
Security Exchange Name NASDAQ
Entity Emerging Growth Company false
Amendment Flag false
Entity Central Index Key 0001617242
Entity Registrant Name KEARNY FINANCIAL CORP.
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