Washington Federal (WAFD) 8-K Washington Federal Announces Quarterly Earnings Per Share Of $0.46

Washington Federal, Inc.

Fact Sheet

June 30, 2020

($ in Thousands)

													Exhibit 99.2
	As of 12/19						As of 03/20						As of 06/20
Allowance for Credit Losses (ACL) - Total	$	165,763					$	175,751					$	184,849
ACL - Loans	147,513						157,101						165,349
ACL Unfunded Commitments	18,250						18,650						19,500
Total ACL as a % of Gross Loans	1.24		%				1.31		%				1.29		%
	12/19 QTR			12/19 YTD			03/20 QTR			03/20 YTD			06/20 QTR			06/20 YTD
Loan Originations - Total	$	1,371,315		$	1,371,315		$	1,236,664		$	2,607,979		$	2,117,035		$	4,725,014
Multi-Family	86,729			86,729			127,289			214,018			118,060			332,078
Commercial Real Estate	73,027			73,027			106,906			179,933			55,845			235,778
Commercial & Industrial	413,615			413,615			347,969			761,584			1,143,166			1,904,750
Construction	432,444			432,444			338,748			771,192			294,063			1,065,255
Land - Acquisition & Development	40,692			40,692			12,796			53,488			14,695			68,183
Single-Family Residential	167,144			167,144			149,076			316,220			308,571			624,791
Construction - Custom	123,986			123,986			117,313			241,299			149,265			390,564
Land - Consumer Lot Loans	11,015			11,015			10,771			21,786			12,768			34,554
HELOC	22,111			22,111			24,864			46,975			20,190			67,165
Consumer	552			552			932			1,484			412			1,896
Purchased Loans (including acquisitions)	$	—		$	—		$	—		$	—		$	15,456		$	15,456
Net Loan Fee and Discount Accretion	$	4,925		$	4,925		$	4,918		$	9,843		$	7,204		$	17,047
Repayments
Loans	$	1,301,419		$	1,301,419		$	1,203,182		$	2,504,601		$	1,248,747		$	3,753,348
MBS	142,509			142,509			120,852			263,361			179,121			442,482
MBS Premium Amortization	$	2,535		$	2,535		$	2,292		$	4,827		$	3,250		$	8,077
Efficiency
Operating Expenses/Average Assets	2.02		%	2.02		%	1.94		%	1.98		%	1.68		%	1.87		%
Efficiency Ratio (%) (a)	57.05		%	57.05		%	59.34		%	58.19		%	57.65		%	58.02		%
Amortization of Intangibles	$	495		$	495		$	552		$	1,047		$	552		$	1,599
(a) Efficiency ratio for the three months ended December 31, 2019 and nine months ended June 30, 2020 excludes the impact of $31.6 million gain on sales of fixed assets and $5.9 million impairment charge on computer hardware and software.
EOP Numbers
Shares Issued and Outstanding	78,107,870						75,706,100						75,706,026
Share repurchase information
Remaining shares authorized for repurchase	7,052,600						4,628,987						4,627,393
Shares repurchased	914,161			914,161			2,423,613			3,337,774			1,594			3,339,368
Average share repurchase price	$	36.62		$	36.62		$	32.43		$	33.58		$	24.90		$	33.58

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Washington Federal, Inc.

Fact Sheet

June 30, 2020

($ in Thousands)

Tangible Common Book Value	As of 12/19			As of 03/20			As of 06/20
$ Amount	$	1,720,650		$	1,653,635		$	1,680,051
Per Share	22.03			21.84			22.19
# of Employees	2,001			2,060			2,062
Investments
Available-for-sale:
Agency MBS	$	928,934		$	1,073,165		$	1,034,014
Other	566,652			619,882			1,029,946
	$	1,495,586		$	1,693,047		$	2,063,960
Held-to-maturity:
Agency MBS	$	1,360,693		$	920,255		$	827,316
	$	1,360,693		$	920,255		$	827,316
	As of 12/19			As of 03/20			As of 06/20
Loans Receivable by Category	AMOUNT		%	AMOUNT		%	AMOUNT		%
Multi-Family	$	1,436,715	10.7%	$	1,467,231	10.9%	$	1,510,099	10.6%
Commercial Real Estate	1,643,099		12.3	1,717,535		12.8	1,707,893		11.9
Commercial & Industrial	1,352,738		10.1	1,371,128		10.2	2,158,000		15.1
Construction	2,174,313		16.2	2,204,283		16.4	2,328,987		16.3
Land - Acquisition & Development	203,043		1.5	197,010		1.5	195,212		1.4
Single-Family Residential	5,702,071		42.5	5,582,244		41.5	5,461,605		38.2
Construction - Custom	538,234		4.0	547,731		4.1	607,329		4.2
Land - Consumer Lot Loans	97,097		0.7	96,579		0.7	100,102		0.7
HELOC	141,274		1.1	145,761		1.1	140,636		1.0
Consumer	115,829		0.9	105,147		0.8	91,495		0.6
	13,404,413		100%	13,434,649		100%	14,301,358		100%
Less:
Allowance for Credit Losses (ACL)	147,513			157,101			165,349
Loans in Process	1,312,282			1,289,812			1,353,774
Net Deferred Fees, Costs and Discounts	54,757			31,095			48,809
Sub-Total	1,514,552			1,478,008			1,567,932
	$	11,889,861		$	11,956,641		$	12,733,426
Net Loan Portfolio by Category	AMOUNT		%	AMOUNT		%	AMOUNT		%
Multi-Family	$	1,423,706	12.0%	$	1,455,688	12.2%	$	1,497,749	11.7%
Commercial Real Estate	1,638,178		13.8	1,707,894		14.3	1,684,761		13.2
Commercial & Industrial	1,307,375		11.0	1,321,271		11.0	2,095,768		16.5
Construction	1,162,125		9.8	1,206,794		10.1	1,309,255		10.3
Land - Acquisition & Development	142,819		1.2	141,519		1.2	141,592		1.1
Singe-Family Residential	5,618,716		47.2	5,522,027		46.2	5,405,783		42.4
Construction - Custom	251,347		2.1	262,381		2.2	274,846		2.2
Land - Consumer Lot Loans	93,807		0.8	93,251		0.8	96,584		0.8
HELOC	139,762		1.2	144,036		1.2	138,578		1.1
Consumer	112,026		0.9	101,780		0.8	88,510		0.7
	$	11,889,861	100%	$	11,956,641	100%	$	12,733,426	100%

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Washington Federal, Inc.

Fact Sheet

June 30, 2020

($ in Thousands)

	As of 12/19									As of 03/20								As of 06/20
Deposits by State	AMOUNT			%		#	AMOUNT			%		#	AMOUNT			%		#
Washington	$	5,438,457		45.6	%	80	$	5,418,762		44.8	%	80	$	5,789,748		44.2	%	80
Idaho	862,667			7.2		24	873,164			7.2		24	918,614			7.0		24
Oregon	2,356,456			19.7		46	2,436,763			20.2		46	2,591,126			19.8		46
Utah	350,825			2.9		10	318,227			2.6		10	576,795			4.4		10
Nevada	390,282			3.3		11	399,659			3.3		11	440,065			3.4		11
Texas	165,717			1.4		6	174,066			1.5		6	220,979			1.6		6
Arizona	1,331,320			11.2		31	1,401,451			11.6		31	1,429,184			10.9		31
New Mexico	1,036,414			8.7		26	1,066,328			8.8		26	1,143,083			8.7		26
Total	$	11,932,138		100%		234	$	12,088,420		100%		234	$	13,109,594		100%		234
Deposits by Type	AMOUNT			%			AMOUNT			%			AMOUNT			%
Non-Interest Checking	$	1,593,392		13.4	%		$	1,664,707		13.8	%		$	2,235,689		17.1	%
Interest Checking	2,125,878			17.8			2,210,387			18.3			2,410,041			18.4
Savings	748,505			6.3			759,604			6.3			832,383			6.3
Money Market	2,847,346			23.8			3,029,341			25.0			3,422,335			26.1
Time Deposits	4,617,017			38.7			4,424,381			36.6			4,209,146			32.1
Total	$	11,932,138		100%			$	12,088,420		100%			$	13,109,594		100%
Deposits greater than $250,000 - EOP	$	3,746,958					$	3,953,908					$	4,781,447
Time Deposit Repricing	Amount			Rate			Amount			Rate			Amount			Rate
Within 3 months	$	930,883		1.88	%		$	925,549		1.79	%		$	925,920		1.78	%
From 4 to 6 months	936,979			1.79	%		927,835			1.79	%		1,192,090			1.29	%
From 7 to 9 months	715,509			2.00	%		875,111			1.61	%		919,329			1.47	%
From 10 to 12 months	794,676			1.68	%		809,660			1.61	%		262,359			0.95	%
Non-Performing Assets	AMOUNT			%			AMOUNT			%			AMOUNT			%
Non-accrual loans:
Multi-Family	$	—		—%			$	—		—%			$	224		0.6%
Commercial Real Estate	5,557			18.5			4,374			13.4			3,416			9.7
Commercial & Industrial	467			1.5			470			1.4			1,847			5.3
Construction	—			—			3,353			10.3			3,353			9.6
Land - Acquisition & Development	86			0.3			82			0.3			78			0.2
Single-Family Residential	23,014			76.5			22,859			70.1			24,876			71.1
Construction - Custom	—			—			—			—			—			—
Land - Consumer Lot Loans	334			1.1			408			1.2			277			0.8
HELOC	630			2.1			1,064			3.3			866			2.5
Consumer	1			—			—			—			64			0.2
Total non-accrual loans	30,089			100%			32,610			100%			35,001			100%
Real Estate Owned	6,339						5,463						5,956
Other Property Owned	3,314						3,314						3,673
Total non-performing assets	$	39,742					$	41,387					$	44,630
Non-accrual loans as % of total net loans	0.25		%				0.27		%				0.27		%
Non-performing assets as % of total assets	0.24		%				0.24		%				0.25		%

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Washington Federal, Inc.

Fact Sheet

June 30, 2020

($ in Thousands)

	As of 12/19						As of 03/20						As of 06/20
	AMOUNT		%		AMOUNT		%		AMOUNT		%
Troubled debt restructure ("TDR") loans:
Multi-Family	$	380	0.3%		$	316	0.3%		$	310	0.3%
Commercial Real Estate	3,238		2.9		1,883		1.8		1,849		1.9
Commercial & Industrial	411		0.4		396		0.4		433		0.4
Construction	—		—		—		—		—		—
Land - Acquisition & Development	86		0.1		82		0.1		78		0.1
Single-Family Residential	102,164		92.2		97,025		93.2		91,290		93.1
Construction - Custom	—		—		—		—		—		—
Land - Consumer Lot Loans	3,556		3.2		3,418		3.3		3,206		3.3
HELOC	942		0.8		843		0.8		835		0.8
Consumer	58		0.1		56		0.1		55		0.1
Total TDR loans	$	110,835	100%		$	104,019	100%		$	98,056	100%
TDRs were as follows:
Performing	$	106,380	96.0%		$	101,076	97.2%		$	95,093	97.0%
Non-performing (b)	4,455		4.0		2,943		2.8		2,963		3.0
Total TDR loans	$	110,835	100%		$	104,019	100%		$	98,056	100%
(b) Included in "Total non-accrual loans" above.
	AMOUNT		CO % (c)		AMOUNT		CO % (c)		AMOUNT		CO % (c)
Net Charge-offs (Recoveries) by Category
Multi-Family	$	(498)	(0.14)%		$	—	—%		$	—	—%
Commercial Real Estate	(270)		(0.07)		(1,007)		(0.23)		(193)		(0.05)
Commercial & Industrial	(94)		(0.03)		72		0.02		2,860		0.53
Construction	(54)		(0.01)		(5)		—		—		—
Land - Acquisition & Development	(1,449)		(2.85)		(126)		(0.26)		(433)		(0.89)
Single-Family Residential	(246)		(0.02)		(192)		(0.01)		(377)		(0.03)
Construction - Custom	—		—		—		—		—		—
Land - Consumer Lot Loans	60		0.25		(399)		(1.65)		(17)		(0.07)
HELOC	(93)		(0.26)		(1)		—		(1)		—
Consumer	65		0.22		(130)		(0.49)		(137)		(0.60)
Total net charge-offs (recoveries)	$	(2,579)	(0.08)%		$	(1,788)	(0.05)%		$	1,702	0.05%
(c) Annualized Net Charge-offs (recoveries) divided by Gross Balance
Interest Rate Risk
NPV post 200 bps shock (d)			13.9	%			12.1	%			14.8	%
Change in NII after 200 bps shock (d)			0.7	%			1.9	%			3.0	%
(d) Assumes no balance sheet management actions taken.

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Washington Federal, Inc.

Fact Sheet

June 30, 2020

($ in Thousands)

Historical CPR Rates (e)
	WAFD		WAFD
Average for Quarter Ended:	SFR Mortgages		GSE MBS
6/30/2018	13.0	%	12.0	%
9/30/2018	12.3	%	12.0	%
12/31/2018	10.4	%	10.3	%
3/31/2019	9.3	%	9.4	%
6/30/2019	13.8	%	11.4	%
9/30/2019	18.2	%	16.9	%
12/31/2019	22.0	%	21.7	%
3/31/2020	19.8	%	19.7	%
6/30/2020	28.1	%	30.3	%
(e) The CPR Rate (conditional payment rate) is the rate that is equal to the proportion of the principal of a pool of loans that is paid off prematurely in each period.

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Washington Federal, Inc.

Fact Sheet

June 30, 2020

Average Balance Sheet

($ in Thousands)

	Quarter Ended
	December 31, 2019										March 31, 2020								June 30, 2020
	Average				Average		Average				Average		Average				Average
	Balance		Interest		Rate		Balance		Interest		Rate		Balance		Interest		Rate
Assets
Loans receivable	$	11,924,778	$	142,146	4.73	%	$	11,890,545	$	138,549	4.67	%	$	12,470,824	$	132,847	4.27	%
Mortgage-backed securities	2,360,374		15,612		2.62		2,194,479		14,341		2.62		1,931,826		10,843		2.25
Cash & investments	776,633		5,425		2.77		951,719		5,281		2.23		2,093,966		4,697		0.90
FHLB & FRB Stock	124,568		1,641		5.23		122,320		1,447		4.74		152,122		1,322		3.49
Total interest-earning assets	15,186,353		164,824		4.31	%	15,159,063		159,618		4.22	%	16,648,738		149,709		3.61	%
Other assets	1,189,996						1,204,060						1,294,675
Total assets	$	16,376,349					$	16,363,123					$	17,943,413
Liabilities and Equity
Customer accounts	$	11,888,167	31,481		1.05	%	$	11,919,451	28,638		0.96	%	$	12,738,002	21,393		0.67	%
FHLB advances	2,264,457		13,658		2.39		2,208,242		13,368		2.43		2,953,297		10,938		1.49
Other borrowings	—		—		—		77		—		—		—		—		—
Total interest-bearing liabilities	14,152,624		45,139		1.27	%	14,127,770		42,006		1.19	%	15,691,299		32,331		0.83	%
Other liabilities	206,876						212,129						262,108
Total liabilities	14,359,500						14,339,899						15,953,407
Stockholders’ equity	2,016,849						2,023,224						1,990,006
Total liabilities and equity	$	16,376,349					$	16,363,123					$	17,943,413
Net interest income			$	119,685					$	117,612					$	117,378
Net interest margin (1)					3.15	%					3.10	%					2.82	%
(1) Annualized net interest income divided by average interest-earning assets

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Washington Federal, Inc.

Fact Sheet

June 30, 2020

Delinquency Summary

($ in Thousands)

TYPE OF LOANS					# OF LOANS										% based	% based
	#LOANS	AVG Size	LOANS AMORTIZED COST		30	60	90	Total	on #		$ Delinquent		on $
June 30, 2020
Multi-Family	1,091	1,384	$	1,509,837	—	—	1	1	0.09	%	$	224	0.01	%
Commercial Real Estate	1,101	1,545	1,700,568		1	1	6	8	0.73		3,266		0.19
Commercial & Industrial (1)	8,524	251	2,138,462		—	7	11	18	0.21		3,736		0.17
Construction	556	2,401	1,334,948		—	—	2	2	0.36		3,353		0.25
Land - Acquisition & Development	118	1,290	152,234		—	—	—	—	—		—		—
Single-Family Residential	22,746	240	5,452,424		27	25	93	145	0.64		29,122		0.53
Construction - Custom	1,069	260	278,182		—	—	—	—	—		—		—
Land - Consumer Lot Loans	1,117	89	99,255		3	2	5	10	0.90		482		0.49
HELOC	3,042	46	141,165		4	1	12	17	0.56		720		0.51
Consumer	2,952	31	91,700		23	25	13	61	2.07		702		0.77
	42,316	305	$	12,898,775	58	61	143	262	0.62	%	$	41,605	0.32	%
March 31, 2020
Multi-Family	1,103	1,330	$	1,467,430	1	—	—	1	0.09	%	$	356	0.02	%
Commercial Real Estate	1,107	1,556	1,722,533		2	3	5	10	0.90		4,642		0.27
Commercial & Industrial	1,824	746	1,359,847		16	—	7	23	1.26		2,273		0.17
Construction	529	2,325	1,230,142		—	—	2	2	0.38		3,353		0.27
Land - Acquisition & Development	115	1,321	151,919		1	—	—	1	0.87		394		0.26
Single-Family Residential	23,347	239	5,568,843		40	20	74	134	0.57		26,182		0.47
Construction - Custom	993	267	265,556		—	—	—	—	—		—		—
Land - Consumer Lot Loans	1,109	86	95,829		2	2	6	10	0.90		777		0.81
HELOC	3,086	47	146,282		4	2	10	16	0.52		1,052		0.72
Consumer	3,133	34	105,361		42	65	13	120	3.83		630		0.60
	36,346	333	$	12,113,742	108	92	117	317	0.87	%	$	39,659	0.33	%
December 31, 2019
Multi-Family	1,106	1,297	$	1,434,212	1	—	—	1	0.09	%	$	137	0.01	%
Commercial Real Estate	1,114	1,482	1,651,245		1	1	5	7	0.63		4,693		0.28
Commercial & Industrial	1,783	752	1,341,052		16	2	6	24	1.35		267		0.02
Construction	507	2,335	1,184,044		—	1	—	1	0.20		1,415		0.12
Land - Acquisition & Development	132	1,161	153,232		2	1	—	3	2.27		888		0.58
Single-Family Residential	23,784	238	5,665,070		44	8	81	133	0.56		26,363		0.47
Construction - Custom	1,018	250	254,277		—	—	—	—	—		—		—
Land - Consumer Lot Loans	1,135	85	96,374		4	—	9	13	1.15		454		0.47
HELOC	3,049	47	141,797		10	2	9	21	0.69		1,382		0.97
Consumer	3,336	35	116,071		33	19	16	68	2.04		620		0.53
	36,964	326	$	12,037,374	111	34	126	271	0.73	%	$	36,219	0.30	%

(1) Includes 6,425 of SBA PPP loans with a balance of $739,473, all of which are current.

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