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Allowance for Loan Losses
 12 Months Ended
Sep. 30, 2023
Receivables [Abstract]  
Allowance for Loan Losses ALLOWANCE FOR LOAN LOSSES
For a detailed discussion of loans and credit quality, including accounting policies and the CECL methodology used to estimate the allowance for credit losses, see Note A, "Summary of Significant Accounting Policies." The following tables summarize the activity in the allowance for loan losses by loan portfolio segment and class.  
Twelve Months Ended September 30, 2023Beginning
Allowance		Charge-offsRecoveriesProvision &
Transfers		Ending Allowance
 (In thousands)
Commercial loans
   Multi-family$12,013 $— $— $1,142 $13,155 
   Commercial real estate25,814 — 103 2,925 28,842 
   Commercial & industrial57,210 (45,856)93 47,326 58,773 
   Construction26,161 — — 3,247 29,408 
 Land - acquisition & development12,278 — 78 (5,340)7,016 
      Total commercial loans133,476 (45,856)274 49,300 137,194 
Consumer loans
   Single-family residential25,518 (34)568 1,977 28,029 
   Construction - custom3,410 — — (629)2,781 
   Land - consumer lot loans5,047 — 23 (1,558)3,512 
   HELOC2,482 — 2 375 2,859 
   Consumer2,875 (580)502 35 2,832 
      Total consumer loans39,332 (614)1,095 200 40,013 
$172,808 $(46,470)$1,369 $49,500 $177,207 
Twelve Months Ended September 30, 2022Beginning AllowanceCharge-offsRecoveriesProvision &
Transfers		Ending Allowance
(In thousands)
Commercial loans
   Multi-family$16,949 $— $— $(4,936)$12,013 
   Commercial real estate23,437 (529)984 1,922 $25,814 
   Commercial & industrial45,957 (1,202)73 12,382 $57,210 
   Construction25,585 — 2,179 (1,603)$26,161 
   Land - acquisition & development13,447 (11)70 (1,228)$12,278 
      Total commercial loans125,375 (1,742)3,306 6,537 133,476 
Consumer loans
   Single-family residential30,978 — 1,002 (6,462)25,518 
   Construction - custom4,907 — — (1,497)3,410 
   Land - consumer lot loans4,939 (27)48 87 5,047 
   HELOC2,390 — 351 (259)2,482 
   Consumer2,711 (370)940 (406)2,875 
      Total consumer loans45,925 (397)2,341 (8,537)39,332 
$171,300 $(2,139)$5,647 $(2,000)$172,808 
The Company recorded a provision for credit losses of $41,500,000 in 2023, compared to a provision of $3,000,000 for 2022. In 2023, provisioning was largely due to adjustments for one large charge-off taken, offset by reduced unfunded commitment balances. For the year ended September 30, 2023, net charge-offs were $45,101,000, compared to recoveries of $3,508,000 in the prior year. A loan is charged-off when the loss is estimable and it is confirmed that the borrower is not expected to be able to meet its contractual obligations.

Non-accrual loans increased to $50,422,000 as of September 30, 2023, from $34,534,000 as of September 30, 2022. Non-performing assets totaled $57,924,000, or 0.26% of total assets, at September 30, 2023, compared to $44,554,000, or 0.21% of total assets, as of September 30, 2022.

As of September 30, 2023, the allowance for loan losses of $177,207,000 is for loans that are evaluated on a pooled basis, which was comprised of $107,049,000 related to the quantitative component and $70,158,000 related to management's qualitative overlays (including the forecast component of the reserve).
The Company has an asset quality review function that analyzes its loan portfolio and reports the results of the review to its Board of Directors on a quarterly basis. The single-family residential, HELOC and consumer portfolios are evaluated based on their performance as a pool of loans, since no single loan is individually significant or judged by its risk rating, size or potential risk of loss. The construction, land, multi-family, commercial real estate and commercial and industrial loans are risk rated on a loan by loan basis to determine the relative risk inherent in specific borrowers or loans. Based on that risk rating, the loans are assigned a grade and classified as described in Note D "Loans Receivable."

The following tables provide the amortized cost of loans receivable based on risk rating categories (as previously defined).
 
September 30, 2023Internally Assigned Grade
 PassSpecial mentionSubstandardDoubtfulLossTotal
 (In thousands)
Loan type
Commercial loans
   Multi-family$2,772,538 $90,428 $23,628 $— $— $2,886,594 
   Commercial real estate3,207,596 4,847 97,658 — — 3,310,101 
   Commercial & industrial2,164,876 6,647 143,795 — — 2,315,318 
   Construction1,818,266 — 20,670 — — 1,838,936 
   Land - acquisition & development156,390 — 271 — — 156,661 
      Total commercial loans10,119,666 101,922 286,022 — — 10,507,610 
Consumer loans
   Single-family residential6,370,936 — 18,054 — — 6,388,990 
   Construction - custom324,363 — 88 — — 324,451 
   Land - consumer lot loans124,588 — 254 — — 124,842 
   HELOC237,018 — 736 — — 237,754 
   Consumer70,098 — 12 — — 70,110 
      Total consumer loans7,127,003 — 19,144 — — 7,146,147 
Total loans$17,246,669 $101,922 $305,166 $— $— $17,653,757 
Total grade as a % of total loans97.7 %0.6 %1.7 %— %— %
September 30, 2022Internally Assigned Grade
 PassSpecial mentionSubstandardDoubtfulLossTotal Gross Loans
 (In thousands)
Loan type
Commercial loans
   Multi-family$2,612,669 $— $13,810 $— $— $2,626,479 
   Commercial real estate3,054,241 1,594 55,277 — — 3,111,112 
   Commercial & industrial2,196,767 31,656 114,980 — — 2,343,403 
   Construction1,421,634 — 2,257 — — 1,423,891 
   Land - acquisition & development223,616 — — — — 223,616 
      Total commercial loans9,508,927 33,250 186,324 — — 9,728,501 
Consumer loans
   Single-family residential5,706,199 — 20,780 — — 5,726,979 
   Construction - custom396,908 — 435 — — 397,343 
   Land - consumer lot loans151,723 — 222 — — 151,945 
   HELOC205,800 — 233 — — 206,033 
   Consumer75,570 — 1 — — 75,571 
      Total consumer loans6,536,200 — 21,671 — — 6,557,871 
Total gross loans$16,045,127 $33,250 $207,995 $— $— $16,286,372 
Total grade as a % of total gross loans98.5 %0.2 %1.3 %— %— %
The following tables provide information on amortized cost of loans receivable based on borrower payment activity.
 
September 30, 2023Performing LoansNon-Performing Loans
 Amount% of Total LoansAmount% of Total Loans
 (In thousands)(In thousands)
Commercial loans
   Multi-family$2,881,467 99.8 %$5,127 0.2 %
   Commercial real estate3,286,666 99.3 23,435 0.7 
   Commercial & industrial2,309,236 99.7 6,082 0.3 
   Construction1,838,936 100.0 — — 
   Land - acquisition & development156,661 100.0 — — 
      Total commercial loans10,472,966 99.7 34,644 0.3 
Consumer loans
   Single-family residential6,374,072 99.8 14,918 0.2 
   Construction - custom324,363 100.0 88 — 
   Land - consumer lot loans124,833 100.0 9 — 
   HELOC237,018 99.7 736 0.3 
   Consumer70,083 100.0 27 — 
      Total consumer loans7,130,369 99.8 15,778 0.2 
Total$17,603,335 99.7 %$50,422 0.3 %

September 30, 2022Performing LoansNon-Performing Loans
 Amount% of Total LoansAmount% of Total Loans
 (In thousands)(In thousands)
Commercial loans
   Multi-family$2,620,567 99.8 %$5,912 0.2 %
   Commercial real estate3,106,421 99.8 4,691 0.2 
   Commercial & industrial2,337,710 99.8 5,693 0.2 
   Construction1,423,891 100.0 — — 
   Land - acquisition & development223,616 100.0 — — 
      Total commercial loans9,712,205 99.8 16,296 0.2 
Consumer loans
   Single-family residential5,709,529 99.7 17,450 0.3 
   Construction - custom396,908 99.9 435 0.1 
   Land - consumer lot loans151,861 99.9 84 0.1 
   HELOC205,800 99.9 233 0.1 
   Consumer75,535 100.0 36 — 
      Total consumer loans6,539,633 99.7 18,238 0.3 
Total gross loans$16,251,838 99.8 %$34,534 0.2 %