per ended Axos year-over-year I'd welcome We XX, in and delivered digit XXXX. Good thank quarter growth joining for double share, for earnings to Financial's for balances. you book Financial I and fiscal the and like value ending Johnny. Bank. share, per and afternoon, Axos thank interest you you, in call loan conference your Thank March to third everyone deposit everyone, us. Axos
based digit noninterest net approximately broad grew in were results an double deposits with strong from income custody margins and consistently deposits despite year-over-year business. sorting our and normalization interest stable expected XX% Our cash income growth. by We net
optionality of deposits. franchise in is of growth XX, a income maintain XX% We ended and and March a XX%, net our allow million that net highly margin of $X.XX us diversity three reported the will The competitive and year-over-year differentiator for months deposit strong for market valuable of per respectively. representing interest a share earnings $XX XXXX, to
value the following March XXXX. XX% Our clients. Ending deposits. consumer was took share linked at quarter this book per new $XX.XX XX, and following. bank quarter for marketplace in anxiety the of advantage XX, highlights the by approximately banking by in include three $X We billion increased up added from driven failures primarily deposits and XXXX, commercial consumer The March March
commercial from reduction the bearing prior of ending deposits, flat noninterest Service of deposits were quarter. Axos the and period the Excluding consumer end Advisory
Net or quarter single our for pullback investment XXXX, approximately accounted impact of $XX.X XX, margin. net multifamily deliberate in growth net small the The XXXX. for X.XX% ended March growth X.XX% third points from interest loans, interest points were Ending basis quarter seven in declined excess quarter liquidity and billion, linked the annualized. C&I X% from broad and basis up down seven in basis five points XX the margin the X% on in by auto, in offset with quarter, ended X.XX% December of based our XX, CRE net and loans partially balances margin mortgage, balance, Loan up was was for leasing. family interest
the in liquidity. March ended quarter net Securities, client banking holding $X.X fees Broker-dealer margin Higher costs the loan due and Quarterly rates improved to and compared from for negative December XX% year-over-year quarter income our our to business excess XXX% custody increased X.XX% linked and positive the X.X%, X.XX% interest funding impact to the business, in clearing XX, offset million. and to contributions Axos activity. our yields business partially higher ended linked fee and income. primarily made increased for securities interest quarter quarter comprised XX, XXXX. and was increased pretax Net XXXX million by $XX.X of
four charge-offs quarter to Our third points remains in with strong, basis fiscal credit quality of five versus basis average net the annualized loans of points XXXX.
in from subject the to and in were XX% auto income this basis Double quarter, per return subsequent loans four March a of covered three return basis charge-offs insurance diluted net are XX, increase digit X.XX% generated recovery. interest net We that points and by income and a for share. assets year-over-year earnings policies X.X% equity on Of our points in resulted be XXXX. noninterest will the ended on quarter a growth
X We approximately in take third further price Bank the Tier at ratio reaction capital leverage the of the our of our levels stock repurchased common at both decline requirements. strong with the regulatory million in the banking quarter Company, in advantage XX.X% X.X% unwarranted above Our industry. improved to to well share turmoil $XX and Holding of the in
are different since spend makes believe and Axos stability banking transpired some industry March, I'd a we from has to in why what time like position and discussing operating we strength. Given of what early the
FDIC had from quarter portfolio, of the loan our net of deposits of past losses $X.X collateralized. less unrealized cash cash liquidity Federal From on cash a no of billion capacity we undrawn equal undrawn losses this of or combined de for from with uncollateralized our the to of from We outstanding represents XXX% And discount stronger. borrowing bank of the funding Loan deposits. at million billion turmoil at was Fed $X shareholder X/XX/XXXX, end, of by and undrawn to equal other from points window. million we at borrowings we or end no the their emerged and XXXX. equity securities XXXX, Home of billion, $X window Bank uninsured had security million available $X on minimis third basis program. with a a X/XX/ billion unrealized immediately The We liquidity uninsured many We XX, banks available significant end, $X.X insured being $XXX as at our unrealized We our of had FHLB capital with $X.X billion XXX% at as deposits. March quarter had the and equivalents loss quarter. approximately overnight the our even capacity Unlike term discount billion of had sale $X.X XX% to and $XX.X than deposits increased the and XX available quarter the perspective, total portfolio of our and
at Additionally, $XX the the fair value our end quarter. a was of million the held positive of loans for investment
that deposit say Another on you would entire to securities portfolio our base, increase. exclude for is this the held positive way if our our mark loans and and equity entire mark entirely sale
when to loan to Our were liquidity securities our near variable rates portfolio position loan of family loans and zero. mortgage and favorable loans maturity reposition not capital multifamily to single and and or is from interest rate commercial extend hybrid, industrial mix our result deliberate our in the decision
risk appropriate have fee rate, with and commensurate We policy of our objectives. disciplined structure maintained pricing with and return always a our the terms loans
we events our or can quickly establish par should also adverse any channels sell We proactively a pledge as at above contingency where loans plan or unexpected arise.
Fed's Shifting continue the and the rate aggressive rate to average deposit grow margin and deposits net by to risk interest outflows for industry. management, interest we above generate an increase banking
was margin holding X.X%. while excess margin and consolidated interest AAS our liquidity our the We a margin quarter, interest net sweep net despite bank interest during strong us only X.XX%, in decline This the deposits quarter. maintained net was
C&I businesses businesses lending added and increased rates acquired and processes operational in zero management We maintain lending to scaled near over have deposit a of at lows. interest we historical time and a Over were and time, We margin the or when above to custody The franchises over talents built were ability decade. past net from than range are we risk cyclical result and infrastructure been. ever they've more is aligned our integrated our and grow margin built sales compliance and relationships, place. diverse and processes, our and Our deposits the loan robust, clearing, profitably. we the and the verticals diverse and these ensure deposit deposit and net the near function appropriate much to organically a perspective is franchises balances marketing had bankruptcy systems duration and them
than having an the loan and two average estate, our real years, XX% the of the approximately XX% portfolios and fiscal loans the up loans specialty prior the with points was lender years duration was X.X of a At X% of rate, quarter, majority third investment basis yield quarter. and hybrid our X.XX% ARM of contractual multifamily were floating quarter, less years with loans were loans the finance three commercial for vast portfolio on end held were in in our from XX The fixed. X/X our of duration X.XX% average average maturity of
mortgages for New single for family multifamily, for auto, commercial for X.X% were and loan XX.X% industrial. jumbo and X.X% yields X.X%
our with loan many see secure feel risk return and and businesses terms portfolio our ability requirements. nonbank good to competitors that and lending continue bank about and our pricing a we meet our in grow We way back pull of to in
represented diversity and Fiduciary The with X% management of cost and of institutional, Our given single mix portfolios, total small quarter more hybrid our were deposits our the custody specialty, XX% in of loans of representing prepayments to our net which money our Axos adjustable CDs comprised CDs. with deposits treasury X%, and Services, at deposits, and and diversified is commercial XX%, slowdown and distribution duration X%, business, consumer We savings to partners particularly and quarter and in duration and granularity X%. flexibility remain well family market market balances our the XX% XX% representing business demand loan money and to a from provide align representing us the clearing, issued duration savings in XX% the deposits. our and cost Axos and accounts, of end Commercial multifamily growth deposits, and and another representing the perspective Securities, match the of loans. funding tremendous our this representing consumer
stabilized cash bearing, almost Ending Axos Services approximately with entirely excluding period has billion at balance the AAS flat. deposits declined AAS, bottom, of noninterest pipeline or historical off believe of reflecting assets deposit Advisory and at the pace million of of We down reduction Services X% cash sheet, ending Axos the healthy the on and quarter. quarter, flat cash. specialty assets at while growing clients deals to the new range under March under to a were the noninterest deposits the the in by December XX fluctuations Advisory from including Total X%. of in of those $X.X to compared million custody X.X% near were with approximately advisory that new end the $XXX XX sorting AAS representing signed to balance commercial has balances custody with bearing Axos $XXX XX this a ending combined billion approximately $X quarter, at balances in and
had of addition In deposits clients banks other Zenith $XXX our balance we in partner million our deposits Business approximately at off Axos banks $X.X software at and held balance the sheet on billion to by of Management Securities vertical. deposits sheet,
businesses, have accounts across CDs, banking including product market March, ICS the Security. new to increased each with treasury aggressively across of and our add of to consumer management, prospective every clients experience Axos deposit Treasury AFS, and and checking, and money offerings. early and failure vertical. outreach deposit consumer our the our a set competitive Since IntraFi in continue commercial savings, With We existing we Management
who a to lot seeing moving clients deposits are from us. We are of interest
to from Our low continues philosophy value us perspective. based loan a to well credit asset lending serve
XX% of and total jumbo weighted outstanding family to have and XX% the loan loans, multifamily a the at our of XX%, XX% end respectively. value Our loans single average quarter, and mortgages of which represent
family four are housing markets The the mortgages and where mortgages are Our continue than family loss on to mortgages inventories in one originated jumbo single point, constrained. jumbo less and respectively. lifetime our concentrated points basis single coast basis along be multifamily
Of and by lending lenders in secured lending and commercial to low billion well commercial locations. of sponsors, real the of and LTV business, multifamily estate is estate real Our capitalized nonbank single $X family, properties attractive comprised commercial office outstanding with estate the XX%, hotel, X% was at and end of respectively. representing and the total segment representing XX% specialty real loans, of quarter, single the family loans representing multifamily retail XX% largest condominiums XX%
specialty included consolidated slide loans for commercial weighted our was detailing estate XX%. nonperforming supplement a real commercial portfolio. portfolio value and a to in basis, loan of loan earnings We our values the average On balances real our estate the to
to For commercial A specialty partners the loan subordination city. recourse by the to value real and is releases one strong cash isn't the building funding loan retail leasing, real notes One the almost million commercial ratio. office significant parry preleased This respectively. and SL XX% conditional in flow certain office to segment an XX% Grain a value average at other from is quarter, Madison weighted was has milestones. book, or estate subject XX% of The that of office structures properties $XXX New of a with York, and are on the for entirely and resulting Of office the guarantee secured lenders with end from A loan partner loans exposure in XX% in fund estate participation XX% note-on-note mezzanine based our XX% note buildings the and the best
million $XX repaid book the real commercial XX the quarter. of Approximately the end after estate office of March specialty
our in book. losses commercial real loan lifetime specialty entire no have We estate
is XX%. accounting finance non-bank to lines lender accounting the lender for portfolio $X.X The of lender with total lenders. finance estate credit XX% finance Our other was and of of lending approximately outstanding the lender quarter finance comprised estate lender real finance the end of billion non-real total for the book at
that to a lost the with We've the in value position average withstand finance our the and We portfolio our portfolio. lender finance fund flow finance confidence actively stress monitor portfolio lender The and structure in weighted loan We lender finance lender money loan credit lender not and and material bank. have senior the never XX%. in in a can payment for to the cash us was performance loss the provides waterfall result any and direct of borrowers. our finance significant business
million direct Our prime super auto ending loans total of $XXX had comprised lenders the of to end representing at X% lending our an and indirect lending and business outstanding. quarter only of prime the of balance
the outlook resulting broader million originations economy perform auto secured the our believe of lending some our values in the our overwhelming due form used have auto total We reduced quarter the falling meaningfully collateral, approximately net well $XX third to on and loan in cautious by of loans through in balances an cycle. outstanding being of XXXX. With majority we by credit will car
reporting, custody or wealth to platform front trading, for way RIAs. securities, that provides consumers the grow digitally, lending the back and back marketing we safe and a and One access a all and secure of independent key differentiators and that service trading convenient allows Whether loans deposit, our to based revenue functions and management services our and proprietary is office that universal nationwide. that bank, for clients mobile through operate software it's us end earnings touch digital simplifies online model way consistent a in and high platform
Each customers fee change. subject and a their underwriting and efficiently infrastructure our in conditions resources a shift members vertical and and by expertise functions. deposit, certain countercyclicality business when onboard with in the and allow us businesses capital The and economic instances of and quickly business diversity is management acquire lending robust service based competitive matter supported risk of team efficiently. We dedicated to
distress particularly industry on is as pivot great have our such to demonstrated a highly we such periods significant pandemic, able crisis throughout and most and quickly history, COVID bust, competitive being the market in cyclical during banking. especially as of boom financial dislocations the recently capitalize advantage, As the.com to
our the businesses. initiatives I'm have we across strategic about excited
and pricing manual the lending will economy categories lower products others to initiatives, liquidity capital, people operational further, allows in low execute continue expand while as improved see and back. offshoring, process rates maintain in will tasks. offset continue strong and business value technology, various and to investments automation, pull rise Our we efficiency including some We decelerates to demand profitability loan that help
We hire businesses talented significant existing new individuals help businesses. or teams to to incubate augment have succeeded already and opportunities us
or and noncore shrink purchase balance to or from opportunities institutions to and loans reviewed assets, well their also to have capitalized exit businesses We businesses looking failed less sheet.
of Lastly, undervalued. to buybacks we'll stock opportunities our return capital becomes shareholders irrationally advantage through to take when share
Derrick the And call I'll turn over now. to
