NewtekOne (NEWT) Earnings Date & Reports

Key Takeaways

• NewtekOne reported third quarter 2026 net income of $10.7 million, down from $17.9 million in the year-ago quarter.
• Basic and diluted earnings per share (EPS) were both $0.34, compared with $0.68 and $0.67, respectively, a year earlier.
• Total revenue came in near $71.8 million, below analyst consensus estimates of roughly $77.5 million.
• The company maintained its full-year 2026 EPS guidance of $1.70 to $1.80, reflecting a strategic shift toward holding more loans and earning interest income.
• Deposits more than doubled year over year to about $2.5 billion, while the provision for credit losses rose sharply.
• For more on NewtekOne, visit its Major News and Today's Price Move pages, review analyst Price Targets, and check the Forecast page.
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Earnings Context and Why It Matters

NewtekOne, Inc. (Nasdaq: NEWT) is a financial holding company that provides banking, lending, payments, payroll, and insurance services to small and medium-sized businesses. Its quarterly results are closely watched because the company has been repositioning its business model since acquiring Newtek Bank in early 2023. Management has deliberately shifted from selling the guaranteed portions of SBA 7(a) loans toward holding more of them on its balance sheet, which reduces near-term gain-on-sale income but builds recurring net interest income (NII), the earnings a bank generates from lending. This transition makes third quarter 2026 results a key checkpoint for investors evaluating the durability of NewtekOne's earnings as it matures as a bank holding company.

Reported Results

For the quarter ended September 30, 2026, NewtekOne reported net income of $10.7 million, down from $17.9 million a year earlier. Net income available to common stockholders was $9.6 million, resulting in basic and diluted EPS of $0.34, compared with $0.68 and $0.67, respectively, in the third quarter of 2025. Total revenue of approximately $71.8 million came in below the consensus estimate near $77.5 million, while EPS also missed analyst expectations of roughly $0.45.

The decline largely reflected the company's strategic repositioning. Gain on sale of loans fell to about $32,000 from $9.6 million a year ago, as NewtekOne held more guaranteed portions of SBA 7(a) loans rather than selling them. In contrast, net interest income rose 30% year over year to $18.9 million. The provision for credit losses climbed to $15.4 million from $7.7 million, and the non-GAAP efficiency ratio rose to 58.7% from 56.3%. Management maintained full-year 2026 EPS guidance of $1.70 to $1.80.

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Market Reaction and Investor Sentiment

Investor sentiment heading into the report had already been tempered by NewtekOne's August 2026 guidance revision, when management lowered its 2026 EPS outlook to $1.70–$1.80 from a prior range of $2.15–$2.55. The third quarter miss on both revenue and EPS, driven by reduced loan-sale gains and a higher credit loss provision, reinforced concerns about the near-term earnings impact of holding more loans. At the same time, the rapid growth in net interest income and the doubling of deposits were viewed as early validation of the company's shift toward recurring, deposit-funded income. The mixed picture likely kept the focus on management's execution and commentary around the sustainability of the strategy.

Forward Outlook and Key Factors to Monitor

Following the third quarter 2026 results, investors will be watching whether net interest income continues to expand as a share of total revenue. Management has said it expects NII to represent 30% or more of total revenue in the second half of 2026 through 2027, up from 22% in the first half of the year. Progress toward that target will be a central measure of whether the strategy is working.

Credit quality also remains a priority. The provision for credit losses increased meaningfully, and management has noted that the bank's loan portfolio is still seasoning. Any stabilization or deterioration in nonperforming loans and the allowance for credit losses will be closely scrutinized.

Finally, deposit growth is a key advantage to monitor. Total deposits surpassed $2.5 billion, more than double the prior-year level, and NewtekOne has indicated it is exploring strategic options, including licensing its lending and deposit-gathering platforms. How management balances growth, credit costs, and the timing of any strategic moves will shape the outlook for the coming quarters.

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