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KRNY

Kearny Financial Corp.

KRNY

Kearny Financial Corp. • NASDAQ
$6.87 ▼ -0.29% (-0.02)
Market Cap $431.65 M
52w High $8.30
52w Low $5.45
Dividend Yield 0.44%
P/E 14.62
Volume 62.83K
Outstanding Shares 62.83M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q1-2026 $88.355M ▲ $31.666M ▲ $9.506M ▲ 10.759% ▲ $0.15 ▲ $13.128M ▲
Q4-2025 $85.396M ▲ $30.893M ▲ $6.769M ▲ 7.927% ▲ $0.11 $9.353M ▲
Q3-2025 $83.896M ▼ $30.39M ▲ $6.648M ▲ 7.924% ▲ $0.11 $9.053M ▼
Q2-2025 $86.358M ▼ $29.561M ▼ $6.566M ▲ 7.603% ▲ $0.11 ▲ $9.062M ▲
Q1-2025 $87.878M $29.786M $6.092M 6.932% $0.098 $8.412M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q1-2026 $1.146B ▼ $7.648B ▼ $6.895B ▼ $753.204M ▲
Q4-2025 $1.18B ▲ $7.74B ▲ $6.994B ▲ $745.962M ▼
Q3-2025 $1.129B ▼ $7.733B ▲ $6.985B ▼ $748.113M ▲
Q2-2025 $1.16B ▼ $7.731B ▼ $6.987B ▼ $744.853M ▼
Q1-2025 $1.226B $7.772B $7.021B $751.537M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q1-2026 $9.506M ▲ $1.504M ▼ $62.265M ▲ $-100.899M ▼ $-37.13M ▼ $1.137M ▼
Q4-2025 $6.769M ▲ $8.088M ▼ $30.285M ▲ $2.801M ▲ $41.174M ▲ $7.302M ▼
Q3-2025 $6.648M ▲ $16.8M ▲ $-18.671M ▼ $-13.588M ▲ $-15.459M ▼ $16.655M ▲
Q2-2025 $6.566M ▲ $-2.656M ▼ $15.774M ▲ $-27.138M ▼ $-14.02M ▼ $-3.751M ▼
Q1-2025 $6.092M $2.539M $13.721M $75.45M $91.71M $1.183M

Revenue by Products

Product Q1-2021Q2-2021Q3-2021Q4-2021
Credit And Debit Card
Credit And Debit Card
 $0 ▲$0 ▲$0 ▲$0 ▲
Financial Service
Financial Service
 $0 ▲$0 ▲$0 ▲$0 ▲

Five-Year Company Overview

Income Statement

Income Statement Kearny’s income statement shows a story of gradual revenue growth but uneven profitability. Over the past few years, overall revenue has crept higher, which suggests the core franchise remains intact and can still generate business. However, earnings have been bumpy. After several years of solid profits, the bank posted a meaningful loss in a recent year, then moved back into the black afterward. That loss year stands out as an outlier, likely tied to margin pressure, higher funding costs, or credit costs during a tough rate environment. More recently, profitability has recovered, but earnings are still not far above what you would call “modest” for a bank of this size. The pattern points to a bank that can be profitable in normal conditions, but whose earnings are quite sensitive to interest rate swings and funding pressures. The improvement in the latest year is an encouraging sign, but the track record reminds you that results can change quickly in this business.

Balance Sheet

Balance Sheet The balance sheet looks relatively stable in terms of total size, with assets hovering in a fairly tight range over the last several years. That suggests Kearny is not pursuing aggressive, breakneck growth and is instead running a steady, measured book. Within that stability, the mix has shifted. Borrowings have climbed compared with earlier years, while shareholder equity has gradually edged down from prior peaks and then flattened out more recently. This combination effectively means the bank is operating with somewhat higher leverage than before, which can amplify both gains and losses. Cash on hand is a small slice of total assets, which is typical for a bank that deploys capital into loans and securities. The key questions for the balance sheet going forward are: how resilient the loan book remains if credit conditions weaken, and how effectively management manages its funding costs now that it relies more on debt than it did a few years ago.

Cash Flow

Cash Flow Cash flow from operations has been consistently positive, which is a basic but important sign of underlying health. The bank is generating cash from its core activities year after year, even through the period when it reported a loss. That said, operating cash flow has drifted down from its strongest levels in earlier years. Free cash flow closely tracks operating cash, as capital spending has been minimal. This means Kearny has not been heavily investing in physical infrastructure or large fixed assets; its spending is more likely running through operating expenses, such as technology and people, rather than big capital projects. Overall, the cash flow profile is steady rather than spectacular: money is coming in reliably from operations, but not surging. The main risk is that if margins are squeezed again, there is not a big buffer of extra cash generation to absorb prolonged stress without impacting growth or capital-return decisions.

Competitive Edge

Competitive Edge Kearny operates as a regional community bank focused mainly on New Jersey and New York, combining local relationship banking with a steadily improving digital offering. Its strengths lie in its long-standing presence in those markets, personalized service, and knowledge of local customers—especially higher-balance households and small to mid-sized businesses. The Private Client Group and dedicated services for professional firms give Kearny a more upscale, high-touch positioning than a typical community bank. Tailored products like escrow solutions, sweep accounts, and integrated payroll and HR services create stickier relationships and make it harder for clients to easily switch to a large national bank or a pure online competitor. On the other hand, Kearny is small relative to big regional and national banks, which can pressure pricing and marketing reach. It also faces intense competition from both fintechs and large banks with massive technology budgets. Its geographic concentration in the New York–New Jersey area adds some exposure to regional economic and commercial real estate conditions. In short, it has a defensible niche and loyal client base, but not an unassailable moat.

Innovation and R&D

Innovation and R&D For a community-oriented bank, Kearny is leaning meaningfully into technology and process improvement. Its partnership with a specialized automation and process firm, and its use of robotic process automation and AI, show a deliberate push to modernize operations and reduce manual work. Internal AI tools for staff and a virtual agent for customers are aimed at speeding service and cutting errors. On the customer side, the bank offers many of the digital features clients expect: mobile controls for cards, integrated credit monitoring, support for major digital wallets, and peer-to-peer payments. For business customers, its alliance with a payroll and HR provider extends Kearny’s reach beyond traditional banking into daily operational workflows, which can deepen relationships. These initiatives could improve efficiency, enhance the customer experience, and support an “offensive” growth strategy. The flip side is execution risk: technology projects often take longer and cost more than planned, and the benefits may be gradual rather than immediate. The bank’s modest size means it must be very disciplined about selecting and integrating these innovations so they truly improve returns, not just add complexity.

Summary

Kearny Financial today looks like a traditional regional bank in the middle of a strategic transition. Financially, it has shown that it can generate steady revenue and return to profitability after a difficult year, but its earnings profile is clearly sensitive to the interest-rate environment and funding costs. The balance sheet is stable in size but now uses more borrowings and somewhat less equity than a few years ago, which heightens the importance of careful risk and capital management. Strategically, the bank is trying to differentiate itself by pairing community-bank style relationships with a more modern digital and advisory offering. The focus on higher-balance households, professional firms, and integrated business services gives it a defined niche, while its technology and automation push aims to improve both efficiency and customer experience. The main opportunities lie in turning these investments into durable margin improvement and deeper client relationships. The main risks are further margin pressure from rates, potential credit issues (especially in commercial and local markets), and the challenge of keeping up with larger competitors’ technology spending. How well Kearny executes on its tech-driven “offensive” strategy, while preserving its conservative credit culture, will likely drive the quality and stability of its results over the next several years.

NEWS

October 23, 2025 · 8:30 AM UTC

Kearny Financial Corp. Announces First Quarter Fiscal 2026 Results and Declaration of Cash Dividend

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September 30, 2025 · 2:38 PM UTC

Kearny Financial Corp. Partners with The Lab Consulting to Accelerate Operational Efficiency and Drive Shareholder Value

Read more