-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, JjCYD6zsSEN3A230wWymvQzXwJR0m/Vh7449Rd5VIswll+tT24RWpt7nRKXGwc1b YRGFxlNoJzRnvE3DfawWHg== 0000936528-06-000005.txt : 20060717 0000936528-06-000005.hdr.sgml : 20060717 20060714183437 ACCESSION NUMBER: 0000936528-06-000005 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20060714 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20060717 DATE AS OF CHANGE: 20060714 FILER: COMPANY DATA: COMPANY CONFORMED NAME: WASHINGTON FEDERAL INC CENTRAL INDEX KEY: 0000936528 STANDARD INDUSTRIAL CLASSIFICATION: SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035] IRS NUMBER: 911661606 STATE OF INCORPORATION: WA FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-25454 FILM NUMBER: 06963483 BUSINESS ADDRESS: STREET 1: 425 PIKE STREET CITY: SEATTLE STATE: WA ZIP: 98101 BUSINESS PHONE: 2066247930 MAIL ADDRESS: STREET 1: 425 PIKE ST CITY: SEATTLE STATE: WA ZIP: 98101 8-K 1 jul14_8k.txt JULY 14 2006 FORM 8-K 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) July 14, 2006 ------------------------------ Washington Federal, Inc. - ------------------------------------------------------------------------------ (Exact name of registrant as specified in its charter) Washington 0-25454 91-1661606 - ------------------------------------------------------------------------------ (State or other jurisdiction (Commission File Number) (IRS Employer of incorporation) Identification No.) 425 Pike Street, Seattle, Washington 98101 - ------------------------------------------------------------------------------ (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code (206) 624-7930 ---------------------------- Not Applicable - ------------------------------------------------------------------------------ (Former name, former address and former fiscal year, 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: [ ] 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)) Item 2.02. Results of Operations and Financial Condition ------------- On July 14, 2006, Washington Federal, Inc. (the "Company") announced by press release its earnings for the quarter ended June 30, 2006. A copy of the press release is attached hereto as Exhibit 99.1. A copy of the June 30, 2006 Fact Sheet which presents certain detailed financial information about the Company is attached hereto as Exhibit 99.2. Item 7.01. Regulation FD Disclosure ------------- A copy of the June 30, 2006 Fact Sheet which presents certain detailed financial information about the Company is attached hereto as Exhibit 99.2. Item 9.01. Financial Statements and Exhibits ------------- (a) Not applicable. (b) Not applicable. (c) Exhibits: 99.1 Press release dated July 14, 2006. 99.2 Fact Sheet as of June 30, 2006. 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 hereunto duly authorized. WASHINGTON FEDERAL, INC. Dated: July 14, 2006 By: /s/ Brent J. Beardall --------------------- Brent J. Beardall Senior Vice President and Chief Financial Officer EX-99 2 jul14_x991.txt JULY 14 2006 FORM 8-K EXHIBIT 99.1 1 Washington Federal, Inc. 425 Pike Street Seattle, WA 98101 Contact: Cathy Cooper (206) 777-8246 Friday, July 14, 2006 FOR IMMEDIATE RELEASE Washington Federal Reports 3rd Quarter Earnings SEATTLE - Washington Federal, Inc. (Nasdaq: WFSL), parent company of Washington Federal Savings, today announced earnings of $35,337,000 or $.40 per diluted share for the quarter ended June 30, 2006, compared to $34,281,000 or $.39 per diluted share for the quarter ended June 30, 2005, a 3.1% increase. For the nine months ended June 30, 2006 earnings were $107,823,000 or $1.23 per diluted share, compared to $111,500,000 or $1.28 per diluted share for the nine months ended June 30, 2005, a 3.3% decrease. Chief Executive Officer Roy M. Whitehead commented, "We are very pleased that the company was able to report an increase in quarterly profits over the same period last year, despite a fifty-four percent increase in deposit costs and a softer housing market." The third fiscal quarter produced a return on assets of 1.63%, while return on equity amounted to 11.57% for the quarter. Year-to-date, return on assets measured 1.70% and return on equity was 11.89%. As announced on June 19, 2006, the Board of Directors of the Company declared a 2.50% increase in the Company's quarterly cash dividend to 20.5 cents per share from 20 cents per share. The dividend will be payable today July 14, 2006 to common stockholders of record on June 30, 2006. This will be Washington Federal's 94th consecutive quarterly cash dividend and represents the 41st increase since Washington Federal began publicly trading in 1982. Washington Federal Savings, with headquarters in Seattle, Washington, has 122 offices in seven western states. -1- 2 WASHINGTON FEDERAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED)
June 30, 2006 September 30, 2005 -------------- ------------------ (In thousands, except per share data) ASSETS Cash and cash equivalents ......................................... $ 65,741 $ 637,791 Available-for-sale securities, including mortgage-backed securities of $1,189,121 ....................................... 1,423,234 1,077,856 Held-to-maturity securities, including mortgage-backed securities of $155,251 ......................................... 190,283 212,479 Loans receivable, net ............................................. 6,815,713 6,008,932 Interest receivable ............................................... 39,396 34,048 Premises and equipment, net ....................................... 64,074 63,287 Real estate held for sale ......................................... 4,921 5,631 FHLB stock ........................................................ 129,453 129,453 Intangible assets, net ............................................ 56,491 57,259 Other assets ...................................................... 13,829 7,714 ----------- ----------- $ 8,803,135 $ 8,234,450 =========== =========== LIABILITIES AND STOCKHOLDERS' EQUITY LIABILITIES Customer accounts Savings and demand accounts .................................... $ 5,255,882 $ 5,002,172 Repurchase agreements with customers ........................... 28,077 29,333 ----------- ----------- 5,283,959 5,031,505 FHLB advances ..................................................... 1,500,000 1,230,000 Other borrowings................................................... 700,000 655,000 Advance payments by borrowers for taxes and insurance ............. 17,637 27,533 Federal and state income taxes .................................... 28,655 44,617 Accrued expenses and other liabilities ............................ 53,659 58,487 ----------- ----------- 7,583,910 7,047,142 STOCKHOLDERS' EQUITY Common stock, $1.00 par value, 300,000,000 shares authorized; 104,404,861 and 104,140,966 shares issued; 87,255,600 and 86,933,294 shares outstanding .................................. 104,405 104,141 Paid-in capital ................................................... 1,244,133 1,240,310 Accumulated other comprehensive loss, net of taxes ................ (29,877) (704) Treasury stock, at cost; 17,149,261 and 17,207,672 shares ......... (205,178) (205,874) Retained earnings ................................................. 105,742 49,435 ----------- ----------- 1,219,225 1,187,308 ----------- ----------- $ 8,803,135 $ 8,234,450 =========== =========== CONSOLIDATED FINANCIAL HIGHLIGHTS Stockholders' equity per share .................................... $ 13.97 $ 13.66 Stockholders' equity to total assets .............................. 13.85% 14.42% Weighted average rates at period end Loans and mortgage-backed securities* ........................... 6.41% 6.19% Investment securities** ......................................... 4.17 3.74 Combined loans, mortgage-backed securities and investment securities .................................... 6.30 5.91 Customer accounts ............................................... 3.78 2.94 Borrowings ...................................................... 4.50 4.51 Combined cost of customer accounts and borrowings ............... 3.99 3.37 Interest rate spread ............................................ 2.31 2.54
* Includes securitized assets subject to repurchase **Includes municipal bonds at tax equivalent yields and cash equivalents -2- 3 WASHINGTON FEDERAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
Quarter Ended June 30, Nine Months Ended June 30, ----------------------- -------------------------- 2006 2005 2006 2005 -------- -------- --------- --------- (In thousands, except per share data) INTEREST INCOME Loans ...................................................... $ 112,325 $ 94,206 $ 321,004 $ 271,412 Mortgage-backed securities ................................. 17,312 12,244 47,405 48,646 Investment securities and cash equivalents ................. 5,245 7,552 19,694 23,667 -------- -------- -------- -------- 134,882 114,002 388,103 343,725 INTEREST EXPENSE Customer accounts .......................................... 47,236 30,593 127,544 81,107 FHLB advances and other borrowings ......................... 24,040 20,655 67,415 57,850 -------- -------- -------- -------- 71,276 51,248 194,959 138,957 -------- -------- -------- -------- NET INTEREST INCOME ........................................ 63,606 62,754 193,144 204,768 Provision for loan losses .................................. 100 (134) 185 (134) -------- -------- -------- -------- NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES ........ 63,506 62,888 192,959 204,902 OTHER INCOME Gain (loss) on securities, net ............................. - (121) - (3,534) Other ...................................................... 4,002 2,687 10,798 8,948 -------- -------- -------- -------- 4,002 2,566 10,798 5,414 OTHER EXPENSE Compensation and fringe benefits ........................... 9,841 8,694 27,115 25,761 Occupancy .................................................. 2,030 1,912 5,959 6,872 Other ...................................................... 1,925 2,163 6,908 6,077 -------- -------- -------- -------- 13,796 12,769 39,982 38,710 Gain on real estate acquired through foreclosure, net ...... 39 464 184 1,263 -------- -------- -------- -------- Income before income taxes ................................. 53,751 53,149 163,959 172,869 Income taxes ............................................... 18,414 18,868 56,136 61,369 -------- -------- -------- -------- NET INCOME ................................................. $ 35,337 $ 34,281 $107,823 $111,500 ======== ======== ======== ======== PER SHARE DATA Basic earnings ............................................. $ .41 $ .40 $ 1.24 $ 1.29 Diluted earnings ........................................... .40 .39 1.23 1.28 Cash dividends ............................................. .205 .20 .605 .58 Weighted average number of shares outstanding, including dilutive stock options ........................ 87,502,860 87,464,631 87,428,766 87,455,443 PERFORMANCE RATIOS Return on average assets ................................... 1.63% 1.76% 1.70% 1.96% Return on average stockholders' equity ..................... 11.57% 11.82% 11.89% 12.97% Net interest margin ........................................ 3.00% 3.32% 3.12% 3.71%
-3- EX-99 3 jul14_x992.txt JULY 14 2006 FORM 8-K EXHIBIT 99.2 1 Washington Federal, Inc. Fact Sheet June 30, 2006 ($ in Thousands) 12/05 QTR 3/06 QTR 6/06 QTR -------- -------- --------- Loan Loss Reserve - Total $ 24,736 $ 24,810 $ 24,910 - General 24,410 24,484 24,584 - Specific 326 326 326 Net Charge-offs (Recoveries) for the Qtr 20 12 - Nonperforming Assets - Total 7,779 6,957 6,243 - REO 410 0 502 - Nonaccrual 7,369 6,957 5,741 Troubled Debt Restructuring 281 284 295 Regulatory Capital Ratios - Tangible 1,144,708 13.86% 1,166,993 13.65% 1,187,086 13.51% - Core 1,144,708 13.86 1,166,993 13.65 1,187,086 13.51 - Risk Based 1,163,041 25.65 1,184,961 25.21 1,205,414 24.87 12/05 QTR 3/06 QTR 3/06 YTD 6/06 QTR 6/06 YTD -------- -------- -------- -------- -------- Loan Originations - Total $ 597,101 $ 561,884 $1,158,985 $ 630,376 $1,789,361 - Single-Family 297,693 221,636 519,329 280,121 799,450 - Multi-Family 32,792 37,965 70,757 35,466 106,223 - Land 91,146 108,073 199,219 134,101 333,320 - Construction 175,470 194,210 369,680 180,688 550,368 12/05 QTR 3/06 QTR 3/06 YTD 6/06 QTR 6/06 YTD -------- -------- -------- -------- -------- Loan Servicing Fee Income $ 1,722 $ 1,362 $ 3,084 $ 1,644 $ 4,728 Other Fee Income 221 220 441 236 677 -------- -------- -------- -------- -------- Total Fee Income $ 1,943 $ 1,582 $ 3,525 $ 1,880 5,405 ======== ======== ======== ======== ======== 12/05 QTR 3/06 QTR 3/06 YTD 6/06 QTR 6/06 YTD ------ -------- -------- -------- -------- Average Loans $6,146,050 $6,362,119 $6,252,897 $6,661,569 $6,389,121 Average Earning Assets 8,077,990 8,225,619 8,150,993 8,473,548 8,258,512 Average Assets 8,270,494 8,412,784 8,346,830 8,670,617 8,452,272 Average Paying Liabilities 6,890,433 7,056,452 6,972,530 7,329,227 7,091,429 Operating Expenses/Average Assets 0.61% 0.64% 0.63% 0.64% 0.63% Efficiency Ratio 18.78 19.62 19.21 20.41 19.60 Amortization of Intangibles $ 269 $ 256 $ 525 244 769 Repayments 12/05 QTR 3/06 QTR 3/06 YTD 6/06 QTR 6/06 YTD - ---------- --------- --------- -------- -------- -------- Loans $ 467,061 $ 402,335 $ 869,396 $ 431,941 $1,301,337 MBS 54,625 42,979 97,604 46,246 143,850 EOP Numbers 12/05 QTR 3/06 QTR 6/06 QTR - ----------- -------- -------- --------- Shares Issued and Outstanding 87,017,789 87,187,699 87,255,600 Share repurchase information 12/05 QTR 3/06 QTR 3/06 YTD 6/06 QTR 6/06 YTD - ---------------------------- -------- -------- -------- -------- -------- Remaining shares auth. for repurchase 3,310,014 3,310,014 3,310,014 3,310,014 3,310,014 Shares repurchased - - - - - Average share repurchase price $ - $ - $ - $ - $ - -1- 2 Tangible Book Value 12/05 QTR 3/06 QTR 6/06 QTR - ------------------- --------- -------- -------- $ Amount $1,141,648 $1,158,706 $1,162,734 Per Share 13.12 13.29 13.33 # of Employees 751 751 761 Tax Rate - Going Forward 35.50% 34.25% 35.50% AS OF 12/31/05 AS OF 3/31/06 AS OF 6/30/06 ---------------- ---------------- ---------------- Loan Portfolio by Category AMOUNT % AMOUNT % AMOUNT % - -------------------------- ------ - ------ - ------ - Single-Family Residential $4,840,030 70.7% $5,049,936 70.6% $5,234,829 70.5% Multi-Family 506,939 7.4 515,310 7.2 519,567 7.0 Construction 1,042,005 15.2 1,077,605 15.1 1,121,661 15.1 Land 460,326 6.7 505,063 7.1 552,933 7.4 ---------- ---- ---------- ---- ---------- ---- Gross Loans (before ALL/Deferrals/LIP) $6,849,300 100% $7,147,914 100% $7,428,990 100% ========== ==== ========== ==== ========== ==== AS OF 12/31/05 AS OF 3/31/06 AS OF 6/30/06 ----------------------- ----------------------- ----------------------- Deposits by State AMOUNT % # AMOUNT % # AMOUNT % # - ----------------- ------ - - ------ - - ------ - - WA $2,380,167 46.8% 43 $2,382,201 46.1% 43 $2,423,204 45.9% 43 ID 524,886 10.3 16 532,071 10.3 16 541,506 10.2 16 OR 913,637 18.0 27 947,706 18.4 27 1,001,512 19.0 27 UT 299,433 5.9 10 302,450 5.9 10 312,931 5.9 10 NV 136,666 2.7 3 134,579 2.6 3 126,773 2.4 3 TX 57,496 1.1 3 62,984 1.2 3 59,970 1.1 3 AZ 775,042 15.2 20 798,391 15.5 20 818,063 15.5 20 ---------- ---- --- ---------- ---- --- ---------- ---- --- Total $5,087,327 100% 122 $5,160,382 100% 122 $5,283,959 100% 122 ========== ==== === ========== ==== === ========== ==== === 12/05 QTR 3/06 QTR 6/06 QTR ---------------- ---------------- ---------------- Deposits by Type AMOUNT % AMOUNT % AMOUNT % - ---------------- ------ - ------ - ------ - Checking (noninterest) $ 29,306 0.6% $ 26,690 0.5% $ 30,195 0.6% NOW (interest) 175,067 3.4 184,743 3.6 192,604 3.6 Savings (passbook/stmt) 187,034 3.7 176,654 3.4 167,128 3.2 Money Market 886,032 17.4 851,140 16.5 785,306 14.9 CD's 3,809,888 74.9 3,921,155 76.0 4,108,726 77.7 ---------- ---- ---------- ---- ---------- ---- Total $5,087,327 100% $5,160,382 100% $5,283,959 100% ========== ==== ========== ==== ========== ==== Deposits greater than $100,000 - EOP $1,412,390 $1,426,877 $1,435,791 Brokered Deposits $ --- $ --- $ --- -2-
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