Axos Financial FY2026 10-K: Net Income $490M, Assets Hit $30B, Verdant and Jenius Acquisitions Closed
AX sits 28% above its 52-week low of $74.89.
Summary
Axos Financial's FY2026 10-K shows 13% net income growth to $490M, $30B in assets, and completion of the Verdant and Jenius acquisitions, alongside a pending $3.2B Capital One deposit deal and a $49M FINRA arbitration award.
Key Events · Earnings and Guidance · AX
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FY2026 Net Income $490M, EPS $8.48
Net income rose 13.3% to $490.4 million from $432.9 million; diluted EPS increased to $8.48 from $7.43. Total assets grew 20.9% to $30.0 billion.
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Verdant and Jenius Acquisitions Closed
Verdant Commercial Capital (Sept 30, 2025) added ~$1.2B loans/leases; Jenius Bank deposits (May 2, 2026) added $2.3B. Pending Capital One IRA deposit acquisition of ~$3.2B approved by OCC June 8, 2026.
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FINRA Arbitration Award $49M
A FINRA panel awarded ~$49M against Axos Clearing; company accrued $21M liability and filed petition to vacate. Outcome uncertain.
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Unrecognized Tax Benefits Jump to $97.4M
Unrecognized tax benefits increased from $19.6M to $97.4M, primarily from current-year additions of $95.6M. If recognized, would favorably impact effective tax rate.
Analysis · AX · Finance
Axos Financial's annual report confirms a year of aggressive expansion. Net income rose 13% to $490.4 million, diluted EPS reached $8.48, and total assets grew 21% to $30.0 billion. The company closed two major acquisitions — Verdant Commercial Capital ($1.2B loans/leases) and Jenius Bank deposits ($2.3B) — and has a third pending: $3.2B of Capital One IRA deposits approved by the OCC. The balance sheet is well-capitalized with all regulatory ratios above 'well capitalized' minimums. However, the filing also discloses a $49M FINRA arbitration award against Axos Clearing (with $21M accrued) and a sharp rise in unrecognized tax benefits to $97.4M, which could pressure future earnings if resolved unfavorably.
At the time of this filing, AX was trading at $95.96 on NYSE in the Finance sector, with a market capitalization of approximately $5.5B. The 52-week trading range was $74.89 to $105.74. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.