AXOS FINANCIAL, INC., 10-K filed on 9/8/2022
Annual Report
v3.22.2.2
Cover Page - USD ($)
 12 Months Ended
Jun. 30, 2022
Aug. 23, 2022
Dec. 31, 2021
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Jun. 30, 2022    
Current Fiscal Year End Date --06-30    
Document Transition Report false    
Entity File Number 001-37709    
Entity Registrant Name AXOS FINANCIAL, INC.    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 33-0867444    
Entity Address, Address Line One 9205 West Russell Road, Suite 400,    
Entity Address, City or Town Las Vegas,    
Entity Address, State or Province NV    
Entity Address, Postal Zip Code 89148    
City Area Code 858    
Local Phone Number 649-2218    
Title of 12(b) Security Common stock, $.01 par value    
Trading Symbol AX    
Security Exchange Name NYSE    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Entity Shell Company false    
Entity Public Float     $ 2,687,522,806
Entity Common Stock, Shares Outstanding   59,970,728  
Documents Incorporated by Reference Portions of the registrant’s definitive Proxy Statement for the registrant’s 2022 Annual Meeting of Stockholders are incorporated by reference into Part III.    
Entity Central Index Key 0001299709    
Document Fiscal Year Focus 2022    
Document Fiscal Period Focus FY    
Amendment Flag false    
v3.22.2.2
Audit Information
 12 Months Ended
Jun. 30, 2022
Audit Information [Abstract]  
Auditor Firm ID 243
Auditor Name BDO USA, LLP
Auditor Location San Diego, CA
v3.22.2.2
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
ASSETS    
Cash and cash equivalents $ 1,202,587 $ 715,624
Cash segregated for regulatory purposes 372,112 322,153
Total cash, cash equivalents, cash segregated 1,574,699 1,037,777
Securities:    
Trading 1,758 1,983
Available-for-sale 262,518 187,335
Stock of regulatory agencies 20,368 19,995
Loans held for sale, carried at fair value 4,973 29,768
Loans held for sale, lower of cost or fair value 10,938 12,294
Loans—net of allowance for credit losses of $148,617 as of June 2022 and $132,958 as of June 2021 14,091,061 11,414,814
Mortgage servicing rights, carried at fair value 25,213 17,911
Other real estate owned and repossessed vehicles 798 6,782
Securities borrowed 338,980 619,088
Customer, broker-dealer and clearing receivables 417,417 369,815
Goodwill and other intangible assets—net 156,405 115,972
Other assets 496,037 432,031
TOTAL ASSETS 17,401,165 14,265,565
Deposits:    
Non-interest bearing 5,033,970 2,474,424
Interest bearing 8,912,452 8,341,373
Total deposits 13,946,422 10,815,797
Advances from the Federal Home Loan Bank 117,500 353,500
Borrowings, subordinated notes and debentures 445,244 221,358
Securities loaned 474,400 728,988
Customer, broker-dealer and clearing payables 511,654 535,425
Accounts payable, accrued liabilities and other liabilities 262,972 209,561
Total liabilities 15,758,192 12,864,629
COMMITMENTS AND CONTINGENCIES (Note 18)
STOCKHOLDERS’ EQUITY:    
Preferred stock—$0.01 par value; 1,000,000 shares authorized; 0 shares issued and outstanding as of June 2022 and June 2021, respectively 0 0
Common stock—$0.01 par value; 150,000,000 shares authorized, 68,859,722 shares issued and 59,777,949 shares outstanding as of June 2022; 68,069,321 shares issued and 59,317,944 shares outstanding as of June 2021 689 681
Additional paid-in capital 453,784 432,550
Accumulated other comprehensive income (loss)—net of tax (2,933) 2,507
Retained earnings 1,428,444 1,187,728
Treasury stock, at cost; 9,081,773 shares as of June 2022 and 8,751,377 shares as of June 2021 (237,011) (222,530)
Total stockholders’ equity 1,642,973 1,400,936
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY $ 17,401,165 $ 14,265,565
v3.22.2.2
CONSOLIDATED BALANCE SHEETS (PARENTHETICAL) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Assets:    
Allowance for Credit Losses - Loans $ 148,617 $ 132,958
STOCKHOLDERS’ EQUITY:    
Preferred stock, par value (in dollars per share) $ 0.01 $ 0.01
Preferred stock, shares authorized (in shares) 1,000,000 1,000,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 150,000,000 150,000,000
Common stock, shares, issued (in shares) 68,859,722 68,069,321
Common stock, shares outstanding (in shares) 59,777,949 59,317,944
Treasury stock, shares (in shares) 9,081,773 8,751,377
v3.22.2.2
CONSOLIDATED STATEMENTS OF INCOME - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
INTEREST AND DIVIDEND INCOME:      
Loans, including fees $ 626,628 $ 584,410 $ 582,748
Securities borrowed and customer receivables 20,512 20,466 16,585
Investments 12,588 12,987 23,506
Total interest and dividend income 659,728 617,863 622,839
INTEREST EXPENSE:      
Deposits 33,620 60,529 126,916
Advances from the Federal Home Loan Bank 4,625 4,672 11,988
Securities loaned 1,124 1,496 679
Other borrowings 13,201 12,424 5,645
Total interest expense 52,570 79,121 145,228
Net interest income 607,158 538,742 477,611
Provision for credit losses 18,500 23,750 42,200
Net interest income, after provision for credit losses 588,658 514,992 435,411
NON-INTEREST INCOME:      
Prepayment penalty fee income 13,303 7,166 5,993
Gain on sale - other 165 491 6,871
Mortgage banking income 19,033 42,150 20,646
Advisory fee income 29,230 0 0
Broker-dealer fee income 22,880 26,317 23,210
Banking and service fees 28,752 29,137 46,267
Total non-interest income 113,363 105,261 102,987
NON-INTEREST EXPENSE:      
Salaries and related costs 167,390 152,576 144,341
Data processing 50,159 40,719 30,671
Depreciation and amortization 24,596 24,124 24,443
Professional services 22,482 22,241 11,095
Advertising and promotional 13,580 14,212 14,523
Occupancy and equipment 13,745 13,402 12,059
Broker-dealer clearing charges 15,184 11,152 8,210
FDIC and regulatory fees 11,823 10,603 5,538
General and administrative expense 43,103 25,481 24,886
Total non-interest expense 362,062 314,510 275,766
Income (Loss) before income taxes 339,959 305,743 262,632
INCOME TAXES 99,243 90,036 79,194
NET INCOME 240,716 215,707 183,438
NET INCOME ATTRIBUTABLE TO COMMON STOCK 240,716 215,518 183,129
COMPREHENSIVE INCOME $ 235,276 $ 219,151 $ 182,485
Basic earnings per share (in dollars per share) $ 4.04 $ 3.64 $ 3.01
Diluted earnings per share (in dollars per share) $ 3.97 $ 3.56 $ 2.98
v3.22.2.2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Statement of Comprehensive Income [Abstract]      
NET INCOME $ 240,716 $ 215,707 $ 183,438
Net unrealized gain (loss) from available-for-sale securities, net of tax expense (benefit) of $(2,416), $1,495, and $(381) for the years ended June 30, 2022, 2021 and 2020, respectively. (5,440) 3,444 (953)
Other comprehensive income (loss) (5,440) 3,444 (953)
COMPREHENSIVE INCOME $ 235,276 $ 219,151 $ 182,485
v3.22.2.2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (PARENTHETICAL) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Statement of Comprehensive Income [Abstract]      
Net tax expense (benefit) for net unrealized gain (loss) from available-for-sale securities $ (2,416) $ 1,495 $ (381)
v3.22.2.2
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)
$ in Thousands
Total
Impact of ASC 326 Adoption
Preferred Stock
Common Stock
Treasury
Additional Paid-in Capital
Retained Earnings
Retained Earnings
Impact of ASC 326 Adoption
Accumulated Other Comprehensive Income (Loss), Net of Income Tax
Preferred stock, beginning balance (in shares) at Jun. 30, 2019     515            
Stockholders' equity, beginning balance at Jun. 30, 2019 $ 1,073,050   $ 5,063 $ 666 $ (148,810) $ 389,945 $ 826,170   $ 16
Common stock, issued, beginning balance (in shares) at Jun. 30, 2019       66,563,922          
Common stock, treasury, beginning balance (in shares) at Jun. 30, 2019         (5,435,105)        
Common stock, treasury and outstanding, beginning balance (in shares) at Jun. 30, 2019       61,128,817          
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net income 183,438           183,438    
Other comprehensive income (loss) (953)               (953)
Cash dividends on preferred stock (309)           (309)    
Purchase of treasury stock, outstanding (in shares)       (1,970,464) (1,970,464)        
Purchase of treasury stock (38,858)       $ (38,858)        
Stock-based compensation expense and restricted stock unit vesting, issued (in shares)       759,131          
Stock-based compensation expense and restricted stock unit vesting, treasury (in shares)         (304,849)        
Stock-based compensation expense and restricted stock unit vesting, outstanding (in shares)       454,282          
Stock-based compensation expense and restricted stock unit vesting 14,478     $ 7 $ (7,457) 21,928      
Preferred stock, ending balance (in shares) at Jun. 30, 2020     515            
Stockholders' equity, ending balance at Jun. 30, 2020 $ 1,230,846 $ (37,088) $ 5,063 $ 673 $ (195,125) 411,873 1,009,299 $ (37,088) (937)
Common stock, issued, ending balance (in shares) at Jun. 30, 2020       67,323,053          
Common stock, treasury, ending balance (in shares) at Jun. 30, 2020         (7,710,418)        
Common stock, treasury and outstanding, ending balance (in shares) at Jun. 30, 2020       59,612,635          
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Cumulative effect of change in accounting principle net of tax, adoption of ASU No. 2016-13 Accounting Standards Update 2016-13 [Member]                
Net income $ 215,707           215,707    
Other comprehensive income (loss) 3,444               3,444
Cash dividends on preferred stock (103)           (103)    
Preferred stock - Series A redemption (in shares)     (515)            
Preferred stock - Series A redemption (5,150)   $ (5,063)       (87)    
Purchase of treasury stock, outstanding (in shares)       (753,597) (753,597)        
Purchase of treasury stock (16,757)       $ (16,757)        
Stock-based compensation expense and restricted stock unit vesting, issued (in shares)       746,268          
Stock-based compensation expense and restricted stock unit vesting, treasury (in shares)         (287,362)        
Stock-based compensation expense and restricted stock unit vesting, outstanding (in shares)       458,906          
Stock-based compensation expense and restricted stock unit vesting $ 10,037     $ 8 $ (10,648) 20,677      
Preferred stock, ending balance (in shares) at Jun. 30, 2021 0   0            
Stockholders' equity, ending balance at Jun. 30, 2021 $ 1,400,936   $ 0 $ 681 $ (222,530) 432,550 1,187,728   2,507
Common stock, issued, ending balance (in shares) at Jun. 30, 2021 68,069,321     68,069,321          
Common stock, treasury, ending balance (in shares) at Jun. 30, 2021 (8,751,377)       (8,751,377)        
Common stock, treasury and outstanding, ending balance (in shares) at Jun. 30, 2021 59,317,944     59,317,944          
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Cumulative effect of change in accounting principle net of tax, adoption of ASU No. 2016-13 Accounting Standards Update 2016-13 [Member]                
Net income $ 240,716           240,716    
Other comprehensive income (loss) (5,440)               (5,440)
Stock-based compensation expense and restricted stock unit vesting, issued (in shares)       790,401          
Stock-based compensation expense and restricted stock unit vesting, treasury (in shares)         (330,396)        
Stock-based compensation expense and restricted stock unit vesting, outstanding (in shares)       460,005          
Stock-based compensation expense and restricted stock unit vesting $ 6,761     $ 8 $ (14,481) 21,234      
Preferred stock, ending balance (in shares) at Jun. 30, 2022 0   0            
Stockholders' equity, ending balance at Jun. 30, 2022 $ 1,642,973   $ 0 $ 689 $ (237,011) $ 453,784 $ 1,428,444   $ (2,933)
Common stock, issued, ending balance (in shares) at Jun. 30, 2022 68,859,722     68,859,722          
Common stock, treasury, ending balance (in shares) at Jun. 30, 2022 (9,081,773)       (9,081,773)        
Common stock, treasury and outstanding, ending balance (in shares) at Jun. 30, 2022 59,777,949     59,777,949          
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Cumulative effect of change in accounting principle net of tax, adoption of ASU No. 2016-13 Accounting Standards Update 2016-13 [Member]                
v3.22.2.2
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
CASH FLOWS FROM OPERATING ACTIVITIES:      
Net income $ 240,716 $ 215,707 $ 183,438
Adjustments to reconcile net income to net cash provided by (used in) operating activities:      
Accretion and amortization on securities, net (423) (365) 291
Net accretion of discounts on loans (7,249) (7,050) (35,493)
Amortization of borrowing costs 706 1,569 208
Amortization of operating lease right of use asset 10,899 10,598 10,543
Stock-based compensation expense 21,242 20,685 21,935
Net change in trading activity 225 (1,878) 1,217
Provision for credit losses 18,500 23,750 42,200
Deferred income taxes (9,400) (8,828) (6,551)
Origination of loans held for sale (656,487) (1,608,700) (1,601,579)
Unrealized (gain) loss on loans held for sale 733 1,469 (1,360)
Gain on sales of loans held for sale (16,970) (42,641) (27,517)
Proceeds from sale of loans held for sale 689,530 1,671,515 1,614,379
Amortization and change in fair value of mortgage servicing rights (2,228) 6,319 5,806
(Gain) loss on sale of other real estate and foreclosed assets (458) (201) (449)
Depreciation and amortization 24,596 24,124 24,443
Increase in cash surrender value of BOLI (4,220) (175) (174)
Net changes in assets and liabilities which provide (use) cash:      
Securities borrowed 280,108 (396,720) (77,662)
Customer, broker-dealer and clearing receivables (43,925) (149,549) (17,074)
Other assets (102,636) (7,084) (36,805)
Securities loaned (254,588) 473,043 57,589
Customer, broker-dealer and clearing payables (23,771) 187,811 109,010
Accounts payable and other liabilities 45,382 (817) 17,723
Net cash provided by operating activities 210,282 412,582 284,118
CASH FLOWS FROM INVESTING ACTIVITIES:      
Purchases of investment securities (143,733) (122,338) (304,930)
Proceeds from sales of securities 70,751 0 0
Proceeds from repayment of securities 61,117 74,667 325,704
Purchase of stock of regulatory agencies (54,350) (305) (55,870)
Proceeds from redemption of stock of regulatory agencies 54,350 920 55,536
Origination of loans held for investment (10,325,104) (5,761,303) (6,573,568)
Proceeds from sale of loans held for investment 106,324 80,049 37,300
Mortgage warehouse loans activity, net 333,562    
Mortgage warehouse loans activity, net   (139,806) (172,319)
Purchases of loans, net of discounts and premiums (33,085) (3,619) 0
Principal repayments on loans 7,220,931 5,013,817 5,349,800
Proceeds from sales of other real estate owned and repossessed assets 8,654 1,586 2,241
Acquisition of business activity, net of cash acquired (54,597) 0 0
Purchases of furniture, equipment, software and intangibles (21,504) (10,437) (12,333)
Net cash used in investing activities (2,776,684) (866,769) (1,348,439)
CASH FLOWS FROM FINANCING ACTIVITIES:      
Net increase (decrease) in deposits 3,130,625 (520,897) 2,353,521
Proceeds from the Federal Home Loan Bank term advances 0 0 65,000
Repayments of the Federal Home Loan Bank term advances (50,000) (70,000) (55,000)
Net (repayment) proceeds of Federal Home Loan Bank other advances (186,000) 181,000 (226,000)
Net (repayment) proceeds of other borrowings 75,300 14,700 (85,300)
Redemption of subordinated notes 0 (51,000) 0
Repayment of Paycheck Protection Program Liquidity Facility advances 0 (151,952) 0
Proceeds from Paycheck Protection Program Liquidity Facility advances 0 0 151,952
Tax payments related to settlement of restricted stock units (14,481) (10,648) (7,457)
Repurchase of treasury stock 0 (16,757) (38,858)
Redemption of preferred stock, Series A 0 (5,150) 0
Cash dividends paid on preferred stock 0 (103) (386)
Payment of debt issuance costs (2,120) (2,748) 0
Proceeds from issuance of subordinated notes 150,000 175,000 0
Net cash provided by (used in) financing activities 3,103,324 (458,555) 2,157,472
NET CHANGE IN CASH AND CASH EQUIVALENTS 536,922 (912,742) 1,093,151
CASH AND CASH EQUIVALENTS—Beginning of year 1,037,777 1,950,519 857,368
CASH AND CASH EQUIVALENTS—End of year 1,574,699 1,037,777 1,950,519
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:      
Interest paid on interest-bearing liabilities 50,269 77,995 145,452
Income taxes paid 99,701 92,506 80,430
Transfers from loans held for investment to other real estate and repossessed vehicles 2,134 1,903 1,315
Transfers from loans held for investment to loans held for sale 105,884 71,136 141,849
Transfers from loans held for sale to loans held for investment 3,098 29,616 0
Loans held for investment sold, cash not received 0 0 61,029
Securities transferred from available-for-sale portfolio to other assets 0 70,751 17,482
Impact of adoption of ASC 326 on retained earnings 0 37,088 0
Operating lease liabilities for obtaining right of use assets $ 6,876 $ 0 $ 82,950
Cumulative effect of change in accounting principle net of tax, adoption of ASU No. 2016-13 Accounting Standards Update 2016-13 [Member] Accounting Standards Update 2016-13 [Member] Accounting Standards Update 2016-13 [Member]
v3.22.2.2
ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 12 Months Ended
Jun. 30, 2022
Accounting Policies [Abstract]  
ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation and Consolidation. The Consolidated Financial Statements include the accounts of Axos Financial, Inc. (“Axos”) and its wholly owned subsidiaries, Axos Bank (the “Bank”) and Axos Nevada Holding, LLC (“Axos Nevada Holding” and collectively, the “Company”). Axos Nevada Holding, LLC wholly owns the companies constituting the Securities Business segment. All significant intercompany balances and transactions have been eliminated in consolidation.
Axos Financial, Inc. was incorporated in the State of Delaware on July 6, 1999 for the purpose of organizing and launching an internet-based savings bank. The Bank, which opened for business over the internet on July 4, 2000, is subject to regulation and examination by the Office of the Comptroller of the Currency (“OCC”), its primary regulator. The Federal Deposit Insurance Corporation (“FDIC”) insures the Bank’s deposit accounts up to the maximum allowable amount. Axos Clearing LLC, a clearing broker dealer, is regulated by the SEC and FINRA. Axos Invest, a platform through which digital investment advisory services are offered to retail investors, is regulated by the SEC and FINRA.
Business. The Company provides banking and securities products and services to its customers through its online and low-cost distribution channels and affinity partners. The Bank’s deposit products are demand accounts, savings and money market accounts, and time deposits marketed to consumers and businesses located in all fifty states. The Bank’s lending products include residential single family mortgage, multifamily mortgage, and commercial mortgage loans. Additionally, the Bank also originates loans secured by commercial real estate properties (“CRE”), loans secured by commercial assets and non-bank lenders (Commercial & Industrial - Non-Real Estate), auto and unsecured loans and other loans. The Bank’s business is primarily concentrated in the State of California and is subject to the general economic conditions of that state. Securities products and services generate interest and fee income by providing comprehensive securities clearing and custody services to introducing broker-dealers and registered investment advisor correspondents and digital investment advisory services to retail investors, respectively.
Use of Estimates. In preparing the Consolidated Financial Statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for credit losses, credit losses on available for sale debt securities and the fair value of certain financial instruments.
Revenue Recognition. The Company accounts for certain revenue streams under Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers (“ASC 606”), which provides that an entity shall recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. Certain non-interest income, such as deposit service fees, advisory fee income and broker-dealer clearing fees, are within the scope of ASC 606.
Advisory Fee Income - Asset-Based Custody Fees and Asset-Based Fund Fees. Asset based custody fees consist of custody fees, and other ancillary fees. Custody fees vary based on a percentage of average customer assets under custody. Other ancillary fees may be charged based on average customer assets or based on specific activity. Revenue is recognized over the period where assets are held as the customer simultaneously receives and consumes the benefits. Asset based fund fees consist of 12b-1 and mutual fund shareholder services fees. Asset based fund fees are charged based on a percentage of client assets invested in certain funds. Revenue is calculated each month based on the average daily assets invested in particular funds. Revenue is recognized over the period where assets are invested in certain funds. The performance obligations relates to directing the assets to certain funds and revenue recognition is constrained until the amount of average assets invested in each fund is known.
Broker Dealer Clearing Fees. The Company earns revenues for executing, settling and clearing securities transactions for other broker-dealers on a fully disclosed basis. Trade execution and clearing services, when provided together, represent a single performance obligation as the services are not separately identifiable in the context of the contract. Revenues associated with combined trade execution and clearing services, as well as trade execution services on a standalone basis, are recognized at a point in time on trade-date. The Company believes that the performance obligation is satisfied on the trade date because that is when the underlying security or purchaser is identified, the pricing is agreed upon and the risks and rewards of ownership have been transferred to/from the customer. The Company also earns revenues for services which are separately identifiable and represent a distinct performance obligation which is recognized over time as the customer simultaneously receives and
consumes the benefits. Certain clearing or other related fees represent a modification of the original contract as they are distinct services. All trade and execution services are priced at their standalone selling price. Clearing and other fees are generally deducted from the introducing brokers’ commissions on a monthly basis.
Deposit Service Fees. Service charges on deposit accounts consist of account analysis fees (i.e., net fees earned on analyzed business and public checking accounts), monthly service fees, check orders, and other deposit account related fees. The Company’s performance obligation for account analysis fees and monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. Check orders and other deposit account related fees are largely transactional based, and therefore, the Company’s performance obligation is satisfied and related revenue recognized, when incurred. Payment for service charges on deposit accounts is primarily received immediately or in the following month through a direct charge to customers’ accounts.
Card Fees. Fees, exchange, and other service charges are primarily comprised of debit and credit card income, ATM fees, merchant services income, and other service charges. Debit and credit card income is primarily comprised of interchange fees earned whenever the Company’s debit and credit cards are processed through card payment networks such as Visa. ATM fees are primarily generated when a Company cardholder uses a non-Company ATM or a non-Company cardholder uses a Company ATM. Merchant services income mainly represents fees charged to merchants to process their debit and credit card transactions, in addition to account management fees. Other service charges include revenue from processing wire transfers, bill pay service, cashier’s checks, and other services. The Company’s performance obligation for fees, exchange, and other service charges are largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month.
Bankruptcy Trustee and Fiduciary Service Fees. Bankruptcy Trustee and Fiduciary Service income is primarily comprised of fees earned from the Monthly Basis Point Fee and Bank Account Service Charge. The products and services provided to the Trustee also indirectly provide additional deposits to the other banks. One of the uses of the increased deposits by the other banks is to fund the fees paid. The performance obligation is satisfied when the deposits are increased (or decreased) at the end of each month. The expected value method will be used to calculate and record the estimated revenue at the beginning of each month with a subsequent reconciliation to actual at the end of each month.
The following presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606 for the periods indicated:
 Year Ended June 30,
(Dollars in thousands)202220212020
Advisory fee income$28,309 $— $— 
Broker-dealer clearing fees19,754 22,156 16,265 
Deposit service fees4,508 4,173 4,240 
Card fees3,764 3,625 5,040 
Bankruptcy trustee and fiduciary service fees3,099 1,380 1,272 
    Non-interest income (in-scope Topic 606)59,434 31,334 26,817 
    Non-interest income (out-of-scope Topic 606)53,929 73,927 76,170 
    Total non-interest income$113,363 $105,261 $102,987 
Contract Balances. A contract asset or receivable is recognized if the Company performs a service or transfers a good in advance of receiving consideration. A contract liability is recognized if the Company receives consideration (or has the unconditional right to receive consideration) in advance of performance. As of June 30, 2022 and 2021, respectively, the Company’s contract assets and liabilities were not considered material.
Other. Income from bank owned life insurance is accounted for in accordance with ASC 325, Investments - Other. Increases in the net cash surrender value of the policies, as well as insurance proceeds received, are recorded in non-interest income and are not subject to income taxes. Lending related income includes fees earned from gains or losses on the sale of loans, SBA income, and letter of credit fees. Gains and losses on the sale of loans and Small Business Administration (“SBA”) income are recognized pursuant to ASC 860, Transfers and Servicing. Gain or loss on the sale of financial assets is measured as the net assets received from the sale less the carrying amount of the loan sold. The net assets received from the sale represent the fair value of any assets obtained or liabilities incurred as part of the transaction, including but not limited to cash, servicing assets, retained securitization investments and recourse obligations. Fees related to standby letters of credit are accounted for in accordance with ASC 440, Commitments. Net gain or loss on sales / valuations of repossessed and other assets is presented as a component of non-interest expense but may also be presented as a component of non-interest income in the event that a net gain
is recognized. Net gain or loss on sales of repossessed and other assets are accounted for in accordance with ASC 610, Other Income - Gains and Losses from the Derecognition of Nonfinancial Assets.
Cash and Cash Equivalents. The Bank’s cash, due from banks, money market mutual funds and federal funds sold, all of which have original maturities within 90 days, consist of cash and cash equivalents. Net cash flows are reported for customer deposit transactions.
Cash segregated for regulatory purposes. The Board of Governors of the Federal Reserve System (“the Federal Reserve”) regulations require depository institutions to maintain certain minimum reserve balances. Included within this are cash balances required by the Federal Reserve Bank of San Francisco (“FRBSF”) of the Bank. In addition, this line item includes qualified deposits in special reserve bank accounts for the exclusive benefit of Axos Clearing customers in accordance with Rule 15c3-3 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and other regulations.
Securities. The Company classifies securities at the time of purchase depending on intent. Debt securities are classified as held-to-maturity and carried at amortized cost when management has both the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Securities available-for-sale are reported at estimated fair value, with unrealized gains and losses, net of the related tax effects, excluded from operations and reported as a separate component of “Accumulated other comprehensive income or loss” on the Consolidated Balance Sheets. Trading securities refer to certain types of assets that banks hold for resale at a profit or when the Company elects to account for certain securities at fair value. Increases or decreases in the fair value of trading securities are recognized in earnings as they occur.
Gains and losses on securities sales are based on a comparison of sales proceeds and the amortized cost of the security sold using the specific identification method. Purchases and sales are recognized on the trade date. Interest income includes amortization of purchase premiums or discounts. Premiums and discounts on securities are amortized or accreted using the level-yield method without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income. For available-for-sale debt securities that do not meet the aforementioned criteria, the Company evaluates at the individual security level whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. The remaining change in fair value is recognized in “Other comprehensive income” on the Consolidated Statements of Comprehensive Income. Changes in the allowance for credit losses, if any, are recorded as a provision for (or reversal of) credit losses. Losses are charged against the allowance when management believes the available-for-sale investment security is confirmed as uncollectible or when either of the criteria regarding intent or requirement to sell is met.
Loans. Loans that are held for investment are loans that management has the intent and ability to hold for the foreseeable future or until maturity are reported at the principal balance outstanding, net of unearned interest, deferred purchase premiums and discounts, deferred loan origination fees and costs, and an allowance for credit loss - loans. Interest income is accrued on the unpaid principal balance. Premiums and discounts on loans purchased as well as loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the level-yield method.
As a result of the change from adopting Accounting Standards Update (“ASU”) 2016-13, “Measurement of Credit Losses on Financial Instruments” and all subsequent amendments that modified ASU 2016-13 (collectively, “ASC 326”) on July 1, 2020, the Company updated categorization of the loan portfolio.
Single Family - Mortgage & Warehouse. The Single Family Real Estate portfolio primarily consists of two loan types: single family mortgage loans and single family warehouse lines of credit. The single family mortgage loans consist of fixed-rate and adjustable-rate loans secured by one-to-four family residences located in the U.S. The Company’s lending policies generally limit the maximum LTV ratio on one-to-four family loans to 80% of the lesser of the appraised value or the purchase price, plus pledged collateral. Terms of maturity typically range from 15 to 30 years. The Company attempts to mitigate residential lending risks by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of the borrower. The Company also originates home equity lines of credit and second mortgage loans. Single family warehouse lines of credit consist of short-term, secured advances to mortgage bankers on a revolving basis. These facilities enable the mortgage originators to close loans in their own names and temporarily finance inventories of closed mortgage loans until they can be sold to an
approved investor. Mortgage loans aged on a mortgage banking customer’s line longer than 60 days are investigated by the Bank, which can require the borrower to pay down the line. The Company attempts to mitigate residential lending risks by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of the borrower.
Multifamily and Commercial Mortgage. The Company originates loans secured by multifamily real estate (more than four units) and commercial real estate (typically from $0.5 million to $10 million). These loans involve a greater degree of risk than one-to-four family residential mortgage loans as these loans can be greater in amount, dependent on the cash flow capacity of the project, and may be more difficult to evaluate and monitor. Repayment of loans secured by properties frequently depends on the successful operation and management of the properties. Consequently, repayment of such loans may be affected by adverse conditions in the real estate market or economy. The Company attempts to mitigate these risks by monitoring the LTV and minimum debt service coverage ratios, in addition to thoroughly evaluating the global financial condition of the borrower, the management experience of the borrower, and the quality of the collateral property securing the loan.
Commercial Real Estate. The Company originates loans across the U.S. secured by commercial real estate properties (“CRE”) under a variety of structures that it classifies as commercial real estate. A few examples are as follows: Commercial Bridge to Sale, Commercial Bridge to Construction, Commercial Bridge to Refinance and Acquisition, Development, and Construction. CRE Loans are originated to businesses secured by first liens on single family, multifamily, condominium, office, retail, mixed-use, hospitality, undeveloped or to-be-redeveloped land or small business loans. Repayment of CRE loans depends on the successful completion of the real estate transition project and permanent take-out. The Company attempts to mitigate risk by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of borrowers and guarantors.
Commercial & Industrial - Non-Real Estate (Non-RE). Comprising the majority of this portfolio are commercial and industrial non-real estate, asset-backed loans, lines of credit and term loans made to commercial borrowers secured by commercial assets, including, but not limited to, receivables, inventory and equipment. The Company typically reduces it exposure in these loans by entering into a structured facility, under which the Company takes a senior lien position collateralized by the underlying assets at advance rates well inside the collateral value. Commercial and industrial leases comprise the remainder of this portfolio and are primarily made based on the operating cash flows of the borrower or conversion of working capital assets to cash and secondarily on the underlying collateral provided by the borrower. The Company assesses whether each lease arrangement qualifies as a sale under ASC 606. The Company has determined that the equipment financing lease arrangements do not qualify as a sale as the buyer lessors do not obtain control of the assets in the Company’s ongoing sale leaseback arrangements. Therefore, the leased equipment is not capitalized on the balance sheet. Although commercial and industrial loans and leases are often collateralized directly or indirectly by equipment, inventory, accounts or loans receivable or other business assets, the liquidation of collateral in the event of a borrower default may be an insufficient source of repayment because accounts or loans receivable may be uncollectible and inventories and equipment may be obsolete or of limited use. The Company attempts to mitigate these risks through the structuring of these lending products, adhering to its underwriting policies in evaluating the management of the business and the credit-worthiness of borrowers and guarantors.
Auto and Consumer. This segment consists of the following distinct classes:
Auto. The Company originates prime loans to customers secured by new and used vehicles. The Company holds all of the auto loans originated and performs loan servicing functions for these loans. Auto loans carry a fixed interest rate and have terms that range from two to eight years. The Company attempts to mitigate auto lending risks by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of the borrower.
Consumer Unsecured Lending. The Company originates fixed rate unsecured loans to individual borrowers in all fifty states. Loans are normally in the range between $5,000 and $50,000 with terms that range between twelve and seventy-two months to well-qualified borrowers. The minimum credit score is 700. All applicants apply digitally and are required to supply proof of income, identity, and bank account documentation. The Company attempts to mitigate risks by using seasoned underwriters to review each loan, leveraging customer interviews and data analytics in the underwriting process.
Other. The Company originates other loans, which include structured settlements, SBA consumer loans and refund advance loans. Structured settlements are originated through the wholesale and retail purchase of state lottery prize and structured settlement annuities. These annuities are high credit quality deferred payment receivables having a state lottery commission or primarily highly rated insurance company payor. Purchases of state lottery prize or structured settlement annuities are governed by specific state statutes requiring judicial approval of each transaction. No transaction is funded before an order approving such transaction has been entered by a court of competent jurisdiction. The Company attempts to mitigate these risks by adhering to its underwriting policies in evaluating the credit-worthiness of the state or insurer. Federal Paycheck Protection Program (“PPP”) loans made by the Bank under the Federal Coronavirus Aid, Relief and Economic Security Act (“CARES”) Act are guaranteed by the SBA and, if the loan funds are used by the borrower for specific purposes as provided under the PPP, may be fully or partially forgiven by the SBA at which time, the Bank will receive funds related to the PPP loan
forgiveness directly from the SBA. Because of the underwriting policies and SBA guarantee, the Company does not expect any probable incurred credit losses and has provided a de minimis amount of allowance for credit losses.
Recognition of interest income on all portfolio segments is generally discontinued at the time the loan is 90 days delinquent unless the loan is well secured and in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not received for loans placed on nonaccrual, is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost recovery method, until qualifying for return to accrual status. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured.
Loans Held for Sale. Loans held for sale includes agency loans and non-agency loans held for sale. Agency loans originated and intended for sale in the secondary market are carried at fair value. Net unrealized gains and losses are recognized through mortgage banking income in the income statement. The Bank sells its mortgage loans with either servicing released or servicing retained depending upon market pricing. Gains and losses on loan sales are recorded as mortgage banking income, based on the difference between sales proceeds and carrying value. Non-agency loans held for sale are carried at the lower of cost or fair value. The Company has elected the fair value option for Agency loans held for sale. These loans are intended for sale and the Company believes that the fair value is the best indicator of the resolution of these loans. Interest income is recorded based on the contractual terms of the loan and in accordance with the Company’s policy on loans held for investment.
Loans that were originated with the intent and ability to hold for the foreseeable future (loans held for investment), but which have been subsequently designated as being held for sale for risk management or liquidity needs are carried at the lower of cost or fair value calculated using pools of loans with similar characteristics.
There may be times when loans have been classified as held for sale and cannot be sold. Loans transferred to a long-term investment classification from held-for-sale are transferred at the lower of cost or fair value on the transfer date. Any difference between the carrying amount of the loan and its outstanding principal balance is recognized as an adjustment to yield by the interest method. A loan cannot be classified as a long-term investment unless the Bank has both the ability and the intent to hold the loan for the foreseeable future or until maturity.
Allowance for Credit Losses. The allowance for credit losses (“ACL”) is a valuation account that offsets the amortized cost basis of loans and net investment in leases. Under ASC 326, amortized cost is the basis on which the ACL is determined. Amortized cost is principal outstanding, net of any purchase premiums and discounts and net of any deferred loan fees and costs.
Credit losses are charged off when the Company believes that collectability of at least some portion of outstanding principal is unlikely. These charge-offs are recorded as a reversal, thereby reducing, the allowance for credit losses. Recoveries on loans previously charged off are recorded as an increase to the allowance for credit losses. The allowance for credit losses is maintained at a level needed to absorb expected credit losses over the contractual life, considering the effects of prepayments, of the loan portfolio as of the reporting date. Determining the adequacy of the allowance for credit losses is complex and requires judgment by Management about the effect of matters that are inherently uncertain. As such, a future assessment of current conditions may require material adjustments to the allowance.
The Company’s process for determining expected life-time credit losses entails a portfolio, model-based approach utilizing loan level detail and requires consideration of a broad range of relevant information relating to historical loss experience, current economic conditions and reasonable and supportable forecasts.
A credit loss is estimated for all loans. Consequently, the Company stratifies the full loan population into segments sharing similar characteristics to perform the evaluation of the credit loss collectively.
The Company defines a segment as the level at which the Company develops a systematic methodology to determine the allowance. Additionally, the Company can further stratify loans of similar type, risk attributes and methods for monitoring credit risk. The Company categorizes the loan portfolio into six segments: Single Family - Mortgage & Warehouse, Multifamily and Commercial Mortgage, Commercial Real Estate, Commercial & Industrial - Non Real Estate, Auto & Consumer and Other. Refer to detail above within this Note under Loans.
The method for estimating expected life-time credit losses includes, among other things, the following main components: 1) The use of a probability of default (“PD”)/loss given default (“LGD”) model; 2) defining a number of economic scenarios across the benign to adverse spectrum; 3) a reasonable forecast period of 24 months for all loan segments; and 4) a reversion period of 12 months using a linear transition to historical loss rates for each loan pool. After the reversion period, the historical loss rate is applied over the remaining contractual life of loan. Reasonable forecast periods and reversion periods are
subject to periodic review and may be adjusted based on the Company’s view of current economic conditions. The results of the estimate are calculated for several scenarios across the benign to adverse spectrum for each of the Company’s loan portfolio segments. The weighting of scenarios is subject to periodic review and may be adjusted based on the Company’s view of current economic conditions.
Given the inherent limitations of a solely quantitative model, qualitative adjustments are included to arrive at the ending calculated loss amount in order to account for data points not captured from quantitative inputs alone.
Qualitative criteria we consider includes, among other things, the following:
•Regulatory and Legal - matters that may impact the timeliness and/or amounts of repayments;
•Concentration - portfolio composition and loan concentration;
•Collateral Dependency - changes in collateral values;
•Lending/Underwriting Standards - current lending policies and the effects of any new policies;
•Nature and Volume - loan production volume and mix;
•Macroeconomic Environment - considerations not reflected in the data utilized in the model; and
•Loan Trends - credit performance trends, including a borrower’s financial condition and credit rating.
Specifically, Management reviews whether the model reflects the appropriate level of PD and LGD, given the macroeconomic forecasts used as compared to the Company’s loan portfolio. Management determines the adequacy of the allowance for credit losses based on reviews of individual loans, recent loss experience, current economic conditions, expectations about future economic conditions, the risk characteristics of the various categories of loans and other pertinent factors. If, based on Management’s evaluation, macroeconomic factors do not capture Management’s assumption regarding collateral values (LGD) and defaults (PD), Management will apply additional qualitative overlays to the loan portfolio. This evaluation is inherently subjective and requires estimates that are susceptible to significant revision as more information becomes available.
Prior to July 1, 2020, the entire allowance for credit losses for each portfolio class was a valuation allowance for probable losses existing in the loan portfolio. Under the prior methodology, the quantitative analysis determined was based on the Bank’s actual annual historic charge-off rates for the previous three fiscal years and applies the average historic rates to the outstanding loan and lease balances in each pool, the product of which is the general reserve amount. The qualitative analysis considered one or more of the following factors: changes in lending policies and procedures, changes in economic conditions, changes in the content of the portfolio, changes in lending management, changes in the volume of delinquency rates, changes to the scope of the loan and lease review system, changes in the underlying collateral of the loans and leases, changes in credit concentrations and any changes in the requirements to the credit loss calculations. When specific loan impairment analysis is performed under ASC 310-10, the impairment was either recorded as a charge-off to the loan allowance or, if such loan was a troubled debt restructuring (“TDR”), the impairment is recorded as a specific loan loss allowance.
Accrued Interest. Accrued interest receivable is excluded from amortized cost and is presented separately in “Other Assets” on the Consolidated Balance Sheets. Additionally, the Company does not estimate an allowance for credit losses on accrued interest receivable as the Company has a policy to charge off accrued interest deemed uncollectible in a timely manner. When a loan is placed on non-accrual status, which occurs when a borrower becomes delinquent by 90 days, interest previously accrued but not collected is reversed against current period interest income.
Individually Assessed Loans. Credit loss is estimated for any individual loan on a collective basis, unless an individual loan’s credit characteristics has deteriorated below a range of the overall group, in which case the loan would then be individually assessed. Individually assessed loans are measured for credit loss based on present value of future expected cash flows, discounted at the loan’s effective interest rate or the fair value of the collateral, less estimated selling costs, if the loan is collateral-dependent.
Loan Commitments. Loans commitments not unconditionally cancellable are subject to an estimate of credit loss under a current expected credit loss model. The Company’s process for determining the estimate of credit loss on loan commitments is the same as it is on loans. Refer to detail of Allowance on Credit Losses above. Allowance on Credit Losses of off-balance sheet commitments is presented separately in “Accounts payable, accrued liabilities and other liabilities” on the Consolidated Balance Sheets.
Leases. The Company leases office space under operating lease agreements scheduled to expire at various dates. The Company accounts for leases under ASC 842, Leases. At lease commencement, lease liabilities are recognized based on the present value of the remaining lease payments and discounted using the Company’s incremental borrowing rate, which is a blended rate comprised of the FHLB term rate and the Company’s subordinated debt rate. Right-of-use assets initially equal the lease liability, adjusted for any lease payments made prior to lease commencement and for any lease incentives.
Lessor Arrangements. The Company provides equipment financing to its customers through a variety of lessor arrangements. Direct financing leases and sales-type leases are carried at the aggregate of lease payments receivable plus the estimated residual value of the leased property less unearned income, which is accreted to interest income over the lease terms using methods that approximate the interest method. Operating lease income is recognized on a straight-line basis. Leases generally do not contain non-lease components.
Lessee Arrangements. Substantially all of the Company’s lessee arrangements are operating leases. Under these arrangements, the Company records right-of-use assets and lease liabilities at lease commencement. Right-of-use assets are reported in “Other assets” on the Consolidated Balance Sheets, and the related lease liabilities are reported in “Accounts payable, accrued liabilities and other liabilities”. All leases are recorded on the Consolidated Balance Sheets, except leases with an initial term less than 12 months for which the Company made the short-term lease election. Lease expense is recognized on a straight-line basis over the lease term and is recorded in “Occupancy and equipment” expense in the Consolidated Statements of Income.
Mortgage Servicing Rights. Mortgage servicing assets are recognized when rights are retained upon sale of loans. The Company measures its servicing asset using the fair value method. Under the fair value method, the servicing rights are included on the Consolidated Balance Sheets at fair value. The changes in fair value are reported in earnings in the period in which the changes occur and the adjustments are included in “Mortgage banking income”, a component of non-interest income in the Consolidated Statements of Income.
Mortgage Banking Derivatives. Commitments to fund mortgage loans (interest rate locks) to be sold into the secondary market and forward commitments for the future delivery of these mortgage loans are accounted for as free standing derivatives. Fair values of these mortgage derivatives are estimated based on changes in mortgage interest rates from the date the interest on the loan is locked. The Company enters into forward commitments for the future delivery of mortgage loans when interest rate locks are entered into, in order to economically hedge the change in interest rates resulting from its commitments to fund the loans. Changes in the fair values of these derivatives are included in “Mortgage banking income” on the Consolidated Statements of Income.
Furniture, Equipment and Software. Fixed assets are stated at cost less accumulated depreciation and amortization computed primarily using the straight-line method over the estimated useful lives of the assets, which are three to seven years and recorded within “Depreciation and amortization”, which is a component of non-interest expense on the Consolidated Statements of Income. Leasehold improvements are amortized over the lesser of the assets’ useful lives or the lease term. Furniture, equipment and software are included in “Other assets” on the Consolidated Balance Sheets.
Income Taxes. Income tax expense is the total of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred income tax assets and liabilities are determined using the asset and liability method. Under this method, the net deferred tax asset or liability is determined based on the tax effects of the temporary differences between the book and tax bases of the various assets and liabilities on the Consolidated Balance Sheets and gives current recognition to changes in tax rates and laws. The Company records a valuation allowance when management believes it is more likely than not that deferred tax assets will not be realized. An income tax position will be recognized as a benefit only if it is more likely than not that it will be sustained upon examination by the Internal Revenue Service, based upon its technical merits. Once that status is met, the amount recorded will be the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement. The Company recognizes interest and/or penalties related to income tax matters in income tax expense.
Securities Borrowed and Securities Loaned. Securities borrowed and securities loaned transactions are reported as collateralized financings and recorded at the amount of cash collateral advanced or received. Securities borrowed transactions require the Company to deposit cash with the lender. With respect to securities loaned, the Company receives collateral in the form of cash in an amount in excess of the fair value of securities loaned. The Company monitors the fair value of securities borrowed and loaned on a daily basis, with additional collateral obtained or refunded, as necessary.
Customer, Broker-Dealer and Clearing Receivables and Payables. Customer, broker-dealer and clearing receivables include receivables of the Company’s broker-dealer subsidiaries, which represent amounts due on cash and margin transactions and are generally collateralized by securities owned by clients. These receivables primarily consist of floating-rate loans collateralized by customer-owned securities. The receivables are reported at their outstanding principal balance net of allowance for doubtful accounts. When a receivable is considered to be impaired, and impairment charge is recorded based on the current estimate of credit loss for the receivable, which is measured based on current prices from independent sources, such as listed market prices or broker-dealer price quotations. Securities owned by customers, including those that collateralize margin or other similar transactions, are not reflected on the Consolidated Balance Sheets. Also included in these accounts are receivables and payables from brokers and dealers and clearing organizations as well as securities failed to deliver and receive.
Business Combinations. Mergers and acquisitions are accounted for using the acquisition method of accounting. Assets and liabilities acquired and assumed are recorded at their fair values as of the date of the transaction. The excess of purchase price over the fair value of assets acquired and liabilities assumed is recorded as goodwill. Significant estimates and judgments are involved in the fair valuation and purchase price allocation process.
Goodwill and Other Intangible Assets. Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired. Other intangible assets represent purchased assets that lack physical substance but can be distinguished from goodwill because of contractual or other legal rights. Intangible assets that have finite lives, such as core deposit intangibles, are amortized over their estimated useful lives and subject to periodic impairment testing. Intangible assets (other than goodwill) are amortized to “Depreciation and amortization”, a component of non-interest expense on the Consolidated Statements of Income, using accelerated or straight-line methods over their respective estimated useful lives.
Goodwill is subject to impairment testing at the reporting unit level, which is conducted at least annually. The Company performs impairment testing during the third quarter of each year or when events or changes in circumstances indicate the assets might be impaired.
The Company performs a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing updated qualitative factors, the Company determines it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, it does perform a quantitative goodwill impairment test. Determining the fair value of a reporting unit is judgmental and often involves the use of significant estimates and assumptions. Similarly, estimates and assumptions are used in determining the fair value of other intangible assets. Estimates of fair value are primarily determined using discounted cash flows, market comparisons and recent transactions. These approaches use significant estimates and assumptions including projected future cash flows, discount rates reflecting the market rate of return, projected growth rates and determination and evaluation of appropriate market comparable.
Earnings per Common Share. Earnings per common share (“EPS”) are presented under two formats: basic EPS and diluted EPS. Basic EPS is computed by dividing the net income attributable to common stock (net income after deducting dividends on preferred stock) by the sum of the weighted-average number of common shares outstanding during the year and the unvested average of participating restricted stock units (“RSU”). Diluted EPS is computed by dividing the sum of net income attributable to common stock and dividends on diluted preferred stock by the sum of the weighted-average number of common shares outstanding during the year and the impact of dilutive potential common shares, such as nonparticipating RSUs and convertible preferred stock.
The Company accounts for unvested stock-based compensation awards containing non-forfeitable rights to dividends or dividend equivalents (collectively, “dividends”) as participating securities and includes the awards in the EPS calculation using the two-class method. Under the two class method, all earnings (distributed and undistributed) are allocated to each class of common stock and participating securities, based on their respective rights to receive dividends. Under the Amended and Restated 2014 Stock Incentive Plan (the “2014 Plan”), restricted stock units have no shareholder rights, meaning they are not entitled to dividends and are considered nonparticipating. These nonparticipating restricted stock units are not included in the basic earnings per common share calculation and are included in the diluted earnings per common share calculation using the treasury stock method.
Stock-Based Compensation. Compensation cost is recognized for restricted stock unit awards issued to employees, based on the fair value of these awards at the date of grant. Market price of the Company’s common stock at the date of grant is used for restricted stock unit awards. The Company has certain share awards that include market conditions that affect vesting. The fair value of these awards is estimated using a Monte Carlo simulation. Compensation cost is recognized over the required service period, generally defined as the vesting period. For awards with only a service condition that have a graded vesting schedule, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award. For awards that contain a market condition and have a graded vesting schedule compensation cost is recognized using an accelerated attribution method over the requisite service period for the awards. The Company accounts for forfeitures by recognizing forfeitures when they occur.
Stock of Regulatory Agencies. The Bank is a member of the Federal Home Loan Bank (“FHLB”) system. Members are required to own a certain amount of FHLB stock based on the level of borrowings and other factors. FHLB stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Axos Securities, LLC is a member of the Depository Trust & Clearing Corporation (“DTCC”), a financial services company providing clearing and settlement services to the financial markets. Members are required to own a certain amount of DTCC stock based on the clearing levels and other factors. DTCC stock is carried at fair value, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value.
Low Income Housing Tax Credits (“LIHTC”). The Company invests as a limited partner in LIHTC partnerships that operate qualified affordable housing projects which generate tax benefits for investors through the realization of tax credits and deductions, which may be subject to recapture by taxing authorities if compliance requirements are not met. We amortize the investment in proportion to the allocated tax benefits using the proportional amortization method of accounting and record such benefits net of investment amortization in income taxes on the consolidated statements of income. The investment is included within “Other assets” on the Consolidated Balance Sheets.
Cash Surrender Value of Life Insurance. The Bank has purchased life insurance policies on certain key executives. Bank owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other amounts due that are probable at settlement. Cash surrender value of life insurance is included in the other assets line on the consolidated balance sheet. Changes to the cash surrender value are recorded within “Banking and service fees”, which is a component of non-interest income on the Consolidated Statements of Income.
Comprehensive Income. Comprehensive income consists of net income and other comprehensive income. Other comprehensive income includes unrealized gains and losses on securities available-for-sale, which are also recognized as separate components of equity. The method for determining the cost basis of securities sold or reclassed out of other comprehensive income into earnings is based on the value of the specific security and any previously recognized gain or loss associated with that specific security.
New Accounting Standards
Accounting Standards Issued But Not Yet Adopted
In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848)—Facilitation of the Effects of Reference Rate Reform on Financial Reporting, and the subsequent January 2021 clarification ASU 2021-04, Reference Rate Reform (Topic 848)—Scope, provide guidance to alleviate the burden in accounting for reference rate reform by allowing certain expedients and exceptions in applying generally accepted accounting principles to contracts, hedging relationships, and other transactions impacted by reference rate reform. The provisions apply only to those transactions that reference LIBOR or another reference rate expected to be discontinued due to reference rate reform. Adoption of the provisions are optional and are effective from March 12, 2020 through December 31, 2022. The Company is evaluating the impact on the Company’s Consolidated Financial Statements, but it does not expect the adoption to have a material impact.
In March 2022, the FASB issued ASU 2022-02, Financial Instruments-Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures. ASU 2022-02 addresses areas identified by the FASB as part of its post-implementation review of the credit losses standard (ASU 2016-13) that introduced the CECL model. The amendments eliminate the accounting guidance for troubled debt restructurings by creditors that have adopted the CECL model and enhance the disclosure requirements for loan refinancings and restructurings made with borrowers experiencing financial difficulty. In addition, the amendments require a public business entity to disclose current-period gross write-offs for financing receivables and net investment in leases by year of origination in the vintage disclosures. The amendment would become effective for the Company on July 1, 2023. Early adoption is permitted. The Company is evaluating the impact of ASU 2022-02 on the Company’s Consolidated Financial Statements, but it does not expect the adoption to have a material impact. The Company will be required to update certain disclosures around financing receivables and net investment in leases.
v3.22.2.2
ACQUISITIONS
 12 Months Ended
Jun. 30, 2022
Business Combination and Asset Acquisition [Abstract]  
ACQUISITIONS ACQUISITIONS
On August 2, 2021, the Company’s subsidiary, Axos Clearing, LLC, acquired certain assets and liabilities of E*TRADE Advisor Services (“EAS”), the registered investment advisor custody business of Morgan Stanley. This business was rebranded as Axos Advisor Services (“AAS”). AAS adds incremental fee income, a turnkey technology platform used by independent registered investment advisors for trading and custody services, and low cost deposits that can be used to generate fee income from other bank partners or to fund loan growth at Axos Bank. The purchase price of $54.8 million consisted entirely of cash consideration paid upon acquisition and working capital adjustments. Non-interest income of $30.2 million was recognized in the year ended June 30, 2022 in the Consolidated Statements of Income for operating results from the date of acquisition.
The Company incurred acquisition-related costs totaling $0.04 million for the year ended June 30, 2022. These costs are recognized in general and administrative expenses in the Consolidated Statements of Income.
The acquisition is accounted for as a business combination under the acquisition method of accounting. Accordingly, tangible and intangible assets acquired (and liabilities assumed) are recorded at their estimated fair values as of the date of acquisition. The estimated fair values of the acquired assets and assumed liabilities are subject to refinement as additional information relative to closing date fair values becomes available. Any subsequent measurement period adjustments to the fair
values of acquired assets and liabilities assumed, identifiable intangible assets, or other purchase accounting adjustments will result in adjustments to goodwill no later than within the first 12 months following the closing date of acquisition.
The preliminary allocation of the $54.6 million purchase price consisted of $14.4 million of fair value of tangible assets acquired, which included $7.8 million of a right-of-use lease asset, $11.3 million of liabilities assumed, which included $7.8 million of a lease liabilty, $27.1 million of identifiable intangible assets and $24.4 million of goodwill, all of which is expected to be deductible for tax purposes. In December 2021, the Company made a $0.2 million true-up payment based on working capital adjustments, which was recorded as an increase in the purchase price up to $54.8 million with no impact on goodwill or identifiable intangible assets. After the working capital true-up, the fair value of tangible assets acquired is $14.2 million and the fair value of liabilities acquired is $10.9 million. Identifiable intangible assets with a finite useful are amortized on a straight-line basis. Goodwill was calculated as the excess of consideration exchanged over the fair value of identifiable net assets acquired. The goodwill includes synergies expected to result from combining the acquired assets and liabilities with existing operations, coupling its custody platform with the Company existing product offerings and leveraging customer relationships through RIAs. The following table summarizes the fair value and useful life of each intangible asset acquired as of the acquisition date:
(Dollars in thousands)Fair ValueUseful Lives (Years)
Trade Name$290 0.16
Proprietary Technology10,990 7
Customer Relationships15,650 14
Non-Compete Agreements130 1
Total$27,060 
The following table presents the results of operations of AAS for the years ended June 30, 2022 and 2021 on an unaudited pro forma basis, as if the acquisition of the entity that was rebranded to AAS had been consummated on July 1, 2020 through the periods shown below. The unaudited pro forma financial information is provided for informational purposes only and is not necessarily indicative of what the Company’s results of operations would have been if the acquisition of EAS had occurred as of July 1, 2020, or the results of operations for any future periods. Additionally, the information presented as follows does not reflect any synergies or other strategic benefits as a result of acquisition.
Pro Forma
 Year Ended June 30,
(Dollars in thousands)20222021
Non-interest income$32,949 $30,395 
It is not practical to disclose net income on a pro forma basis as the assets and liabilities acquired are a component of a business.
v3.22.2.2
FAIR VALUE
 12 Months Ended
Jun. 30, 2022
Fair Value Disclosures [Abstract]  
FAIR VALUE FAIR VALUE
Fair value is defined as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC Topic 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:
Level 1: Quoted prices in active markets for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.
Level 2: 
Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets include securities with quoted prices that are traded less frequently than exchange-traded instruments and whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data.
Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models such as discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation.
When available, the Company generally uses quoted market prices to determine fair value. In some cases where a market price is available, the Company will make use of acceptable practical expedients (such as matrix pricing) to calculate fair value, in which case the items are classified in Level 2.
The Company considers relevant and observable market prices in its valuations where possible. The frequency of transactions, the size of the bid-ask spread and the nature of the participants are some of the factors the Company uses to help determine whether a market is active and orderly or inactive and not orderly. Price quotes based upon transactions that are not orderly are not considered to be determinative of fair value and are given little, if any, weight in measuring fair value.
If quoted market prices are not available, fair value is based upon internally developed valuation techniques that use, where possible, current market-based or independently sourced market parameters, such as interest rates, credit spreads, housing value forecasts, etc. Items valued using such internally generated valuation techniques are classified according to the lowest level input or value driver that is significant to the valuation. Thus, an item may be classified in Level 3 even though there may be some significant inputs that are readily observable.
The following section describes the valuation methodologies used by the Company to measure various financial instruments at fair value, including an indication of the level in the fair-value hierarchy in which each instrument is generally classified:
Securities—trading and available-for-sale. Trading securities are recorded at fair value. Available-for-sale securities are recorded at fair value and consist of mortgage-backed securities (“MBS”) issued by U.S. government-backed, including Ginne Mae, or government-sponsored enterprises including Fannie Mae and Freddie Mac (“agency”), MBS issued by non-agencies, municipal securities as well as other Non-MBS securities. Fair value for agency securities and municipal securities are generally based on quoted market prices of similar securities used to form a dealer quote or a pricing matrix. These securities are classified in Level 2. There continues to be significant illiquidity in the market for MBS issued by non-agencies, impacting the availability and reliability of transparent pricing. As orderly quoted market prices are not available, the Level 3 fair values for these securities are determined by the Company utilizing industry-standard tools to calculate the net present value of the expected cash flows available to the securities from the underlying mortgage assets. The Company computes Level 3 fair values for each non-agency MBS in the same manner (as described below) whether available-for-sale or held-to-maturity.
To determine the performance of the underlying mortgage loan pools, the Company estimates prepayments, defaults, and loss severities based on a number of macroeconomic factors, including housing price changes, unemployment rates, interest rates and borrower attributes such as credit score and loan documentation at the time of origination. The Company inputs for each security a projection of monthly default rates, loss severity rates and voluntary prepayment rates for the underlying mortgages for the remaining life of the security to determine the expected cash flows. The projections of default rates are derived by the Company from the historic default rate observed in the pool of loans collateralizing the security, increased by and decreased by the forecasted increase or decrease in the national unemployment rate. The projections of loss severity rates are derived by the Company from the historic loss severity rate observed in the pool of loans, increased by or decreased by the forecasted increase or decrease in the national home price appreciation (“HPA”) index. The largest factors influencing the
Company’s modeling of the monthly default rate are unemployment and HPA, as a strong correlation exists. The most updated unemployment rate reported in June 2022 was 3.6%. Consensus estimates for unemployment are that the rate will continue to decrease. The Company agrees with consensus estimates and thus is projecting lower monthly default rates. The Company projects that severities will continue to improve as HPA improves.
To determine the discount rates used to compute the present value of the expected cash flows for these non-agency MBS securities, the Company separates the securities by the borrower characteristics in the underlying pool. Specifically, “prime” securities generally have borrowers with higher FICO scores and better documentation of income. “Alt-A” securities generally have borrowers with a lower FICO and less documentation of income. “Pay-option ARMs” are Alt-A securities with borrowers that tend to pay the least amount of principal (or increase their loan balance through negative amortization). The Company calculates separate discount rates for prime, Alt-A and Pay-option ARM non-agency MBS securities using market-participant assumptions for risk, capital and return on equity. The default rates and the severities are projected for every non-agency MBS security held by the Company and will vary monthly based upon the actual performance of the security and the macroeconomic factors discussed above. Based upon the actual performance of the underlying collateral, the securities’ credit enhancement will be impacted. The range of existing credit enhancement is from 0.0% to 96.5%, with a weighted average credit enhancement 19.7%. The Company applies its discount rates to the projected monthly cash flows, which already reflect the full impact of all forecasted losses using the assumptions described above. When calculating present value of the expected cash flows at June 30, 2022, the Company computed its discount rates as a spread between 273 and 928 basis points over the LIBOR Index using the LIBOR forward curve.
The Bank’s estimate of fair value for non-agency securities using Level 3 pricing is highly subjective and is based on the Bank’s estimate of voluntary prepayments, default rates, severities and discount margins, which are forecasted monthly over the remaining life of each security.  Changes in one or more of these assumptions can cause a significant change in the estimated fair value.  For further details see the table later in this note that summarizes quantitative information about level 3 fair value measurements.
Loans Held for Sale. Loans held for sale at fair value are primarily single-family residential loans. The fair value of residential loans held for sale is determined by pricing for comparable assets or by existing forward sales commitment prices with investors. These loans held for sale are classified under Level 2.
Other Real Estate Owned and Repossessed Vehicles. Fair values are generally based on third party appraisals of the property, resulting in a Level 3 classification. In cases where the carrying amount exceeds the fair value, less costs to sell, an impairment loss is recognized.
Mortgage Servicing Rights. Fair value is derived from market-driven valuation changes as well as modeled amortization involving the run-off of value that occurs due to the passage of time as individual loans are paid by borrowers. Market expectations about loan duration, and correspondingly the expected term of future servicing cash flows, may vary from time to time due to changes in expected prepayment activity, especially when interest rates rise or fall. Market expectations of increased loan prepayment speeds may negatively impact the fair value of the single family MSRs. Fair value is also dependent on the discount rate used in calculating present value, which is input from observable market activity, market participants, and results in Level 3 classification. Management reviews and adjusts the discount rate on an ongoing basis. An increase in the discount rate would reduce the estimated fair value of the MSRs asset.
Mortgage Banking Derivatives. The fair value of interest rate locks is estimated based on changes in to be announced (“TBA”) values which are based upon mortgage interest rates from the date the interest on the loan is locked, adjusted for items such as estimated fallout and costs to originate the loan. These are classified under level 3.
The fair value of forward sale commitments is based upon prices in active secondary markets for identical securities or based on quoted market prices of similar assets used to form a dealer quote or a pricing matrix. If no such quoted price exists, the fair value of a commitment is determined by quoted prices for a similar commitment or commitments, adjusted for the specific attributes of each commitment. These are classified under level 3.
FAIR VALUE - RECURRING BASIS
The following table sets forth the Company’s financial assets and liabilities measured at fair value on a recurring basis. Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement:
 June 30, 2022
(Dollars in thousands)Quoted Prices in
Active Markets for
Identical Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Total
ASSETS:
Securities—Trading: Municipal$— $1,758 $— $1,758 
Securities—Available-for-Sale:
Agency MBS1
— 25,325 — 25,325 
Non-Agency MBS2
— — 186,814 186,814 
Municipal— 3,248 — 3,248 
Asset-backed securities and structured notes— 47,131 — 47,131 
Total—Securities—Available-for-Sale$— $75,704 $186,814 $262,518 
Loans Held for Sale$— $4,973 $— $4,973 
Mortgage servicing rights$— $— $25,213 $25,213 
Other assets—Derivative instruments$— $— $464 $464 
LIABILITIES:
Other liabilities—Derivative instruments$— $— $— $— 
  June 30, 2021
(Dollars in thousands)Quoted Prices in
Active Markets for
Identical Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Total
ASSETS:
Securities—Trading: Municipal$— $1,983 $— $1,983 
Securities—Available-for-Sale:
Agency MBS1
$— $23,913 $— $23,913 
Non-Agency MBS2
— — 67,615 67,615 
Municipal— 3,565 — 3,565 
Asset-backed securities and structured notes— 92,242 — 92,242 
Total—Securities—Available-for-Sale$— $119,720 $67,615 $187,335 
Loans Held for Sale$— $29,768 $— $29,768 
Mortgage servicing rights$— $— $17,911 $17,911 
Other assets—Derivative Instruments$— $— $2,280 $2,280 
LIABILITIES:
Other liabilities—Derivative instruments$— $— $75 $75 
1Includes securities guaranteed by Ginnie Mae, a U.S. government agency, and the government sponsored enterprises Fannie Mae and Freddie Mac.
2Private sponsors of securities collateralized primarily by first - lien mortgage loans on commercial properties or by pools of 1-4 family residential first mortgages. Primarily super senior securities secured by Alt-A or pay-option ARM mortgages.
The following tables present additional information about assets measured at fair value on a recurring basis and for which the Company has utilized Level 3 inputs to determine fair value:
 Year Ended June 30, 2022
(Dollars in thousands)Securities-
Available-for-
Sale: Non-
Agency MBS
Mortgage Servicing Rights1
Derivative Instruments, netTotal
Assets:
Opening Balance$67,615 $17,911 $2,205 $87,731 
Transfers into Level 3— — — — 
Transfers out of Level 3— — — — 
Total gains or losses for the period:
Included in earnings—Mortgage banking income— 2,278 (1,741)537 
Included in other comprehensive income(3,244)— — (3,244)
Purchases, retentions, issues, sales and settlements:
Purchases/Retentions131,446 5,024 — 136,470 
Settlements(9,003)— — (9,003)
Closing balance$186,814 $25,213 $464 $212,491 
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period$— $2,278 $(1,741)$537 
1 Earnings from mortgage servicing rights were attributable to: Time and payoffs, representing a decrease in MSR value due to passage of time, including the impact from both regularly scheduled loan principal payments and loans that were paid down or paid off during the period of $4.1 million, and an increase in MSR value resulting from market-driven changes in interest rates of $6.4 million. Additions to mortgage servicing rights were retained upon sale of loans held for sale.
 Year Ended June 30, 2021
(Dollars in thousands)Securities-
Available-for-
Sale: Non-
Agency MBS
Mortgage Servicing Rights1
Derivative Instruments, netTotal
Assets:
Opening Balance$18,332 $10,675 $7,416 $36,423 
Transfers into Level 3— — — — 
Transfers out of Level 3— — — — 
Total gains or losses for the period:
Included in earnings—Mortgage banking income— (6,319)(5,211)(11,530)
Included in other comprehensive income2,289 — — 2,289 
Purchases, retentions, issues, sales and settlements:
Purchases/Retentions49,245 13,555 — 62,800 
Settlements(2,251)— — (2,251)
Closing balance$67,615 $17,911 $2,205 $87,731 
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period$— $(6,319)$(5,211)$(11,530)
1 Earnings from mortgage servicing rights were attributable to: Time and payoffs, representing a decrease in MSR value due to passage of time, including the impact from both regularly scheduled loan principal payments and loans that were paid down or paid off during the period of $7.2 million, and an increase in MSR value resulting from market-driven changes in interest rates of $0.9 million. Additions to mortgage servicing rights were retained upon sale of loans held for sale.
The table below summarizes the quantitative information about Level 3 fair value measurements as of the dates indicated:
June 30, 2022
(Dollars in thousands)Fair ValueValuation TechniqueUnobservable InputsRange and Weighted Average
Securities – Non-agency MBS$186,814 Discounted Cash FlowProjected Constant Prepayment Rate,
Projected Constant Default Rate,
Projected Loss Severity,
Discount Rate over LIBOR
0.0 to 30.0% (21.4%)
0.0 to 7.9% (2.2%)
0.0 to 68.4% (26.7%)
2.7 to 9.3% (2.8%)
Mortgage Servicing Rights$25,213 Discounted Cash FlowProjected Constant Prepayment Rate,
Life (in years),
Discount Rate
7.9 to 56.3% (11.0%)
1.2 to 9.9 (8.4)
9.5 to 11.5% (9.5%)
Derivative Instruments$464 Sales Comparison ApproachProjected Sales Profit of Underlying Loans
-3.1 to 0.8% (-1.2%)



June 30, 2021
(Dollars in thousands)Fair ValueValuation TechniqueUnobservable InputsRange and Weighted Average
Securities – Non-agency MBS$67,615 Discounted Cash FlowProjected Constant Prepayment Rate,
Projected Constant Default Rate,
Projected Loss Severity,
Discount Rate over LIBOR
0.0 to 25.0% (2.7%)
0.0 to 5.6% (0.6%)
0.0 to 100.0% (19.4%)
2.7 to 7.2% (3.1%)
Mortgage Servicing Rights$17,911 Discounted Cash FlowProjected Constant Prepayment Rate,
Life (in years),
Discount Rate
7.5 to 37.4% (11.5%)
1.7 to 7.5 (6.4)
9.5 to 13.0% (9.6%)
Derivative Instruments$2,205 Sales Comparison ApproachProjected Sales Profit of Underlying Loans
0.2 to 0.5% (0.3%)
The significant unobservable inputs used in the fair value measurement of the Company’s mortgage-backed securities are projected prepayment rates, probability of default, and projected loss severity in the event of default. Significant increases (decreases) in any of those inputs in isolation would result in a significantly lower (higher) fair value measurement. Generally, a change in the assumption used for the probability of default is accompanied by a directionally similar change in the assumption used for the projected loss severity and a directionally opposite change in the assumption used for projected prepayment rates.
The table below summarizes the fair value of assets measured for impairment on a non-recurring basis:
 June 30, 2022
(Dollars in thousands)Quoted Prices in
Active Markets for
Identical Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable Inputs
(Level 3)		Balance
Other real estate owned and foreclosed assets:
Autos & RVs$— $— $798 $798 
Total$— $— $798 $798 
 June 30, 2021
(Dollars in thousands)Quoted Prices in
Active Markets for
Identical Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable Inputs
(Level 3)		Balance
Other real estate owned and foreclosed assets:
Single family real estate$— $— $6,547 $6,547 
Autos & RVs— — 235 235 
Total$— $— $6,782 $6,782 
Other real estate owned and foreclosed assets, which are measured at the lower of carrying value or fair value less costs to sell, had a net carrying amount of $0.8 million after charge-offs of $0.1 million at June 30, 2022. Our other real estate owned and foreclosed assets had a net carrying amount was $6.8 million after charge-offs of $0.1 million during the year ended June 30, 2021.
The aggregate fair value, contractual balance (including accrued interest), and unrealized gain for loans held for sale was as follows:
At June 30,
(Dollars in thousands)202220212020
Aggregate fair value$4,973 $29,768 $51,995 
Contractual balance4,881 28,940 49,700 
Unrealized gain $92 $828 $2,295 
The total amount of gains and losses from changes in fair value included in earnings for the period indicated below for loans held for sale were:
At June 30,
(Dollars in thousands)202220212020
Interest income$739 $1,411 $1,113 
Change in fair value(2,474)(6,680)7,531 
Total$(1,735)$(5,269)$8,644 
The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at the periods indicated:
June 30, 2022
(Dollars in thousands)Fair ValueValuation TechniqueUnobservable Input
Range (Weighted Average)1
Other real estate owned and foreclosed assets:
Autos and RVs$798 Sales comparison approachAdjustment for differences between the comparable sales
-17.2 to 4.6% (-7.5%)
1 For other real estate owned and foreclosed assets, the ranges shown may vary positively or negatively based on the comparable sales reported in the current appraisal. In certain instances, the range can be significant due to small sample sizes and in some cases the property being valued having limited comparable sales with similar characteristics at the time the current appraisal is conducted.
June 30, 2021
(Dollars in thousands)Fair ValueValuation TechniqueUnobservable Input
Range (Weighted Average)1
Other real estate owned and foreclosed assets:
Single family real estate$6,547 Sales comparison approachAdjustment for differences between the comparable sales
-1.5 to 6.1% (2.0%)
Autos & RVs$235 Sales comparison approachAdjustment for differences between the comparable sales
-2.1 to 14.7% (-2.1%)
1 For other real estate owned and foreclosed assets, the ranges shown may vary positively or negatively based on the comparable sales reported in the current appraisal. In certain instances, the range can be significant due to small sample sizes and in some cases the property being valued having limited comparable sales with similar characteristics at the time the current appraisal is conducted.
FAIR VALUE OF FINANCIAL INSTRUMENTS
The carrying amount and estimated fair values of financial instruments at year-end were as follows:
June 30, 2022
(Dollars in thousands)Carrying
Amount		Level 1Level 2Level 3Total Fair Value
Financial assets:
Cash, cash equivalents, cash segregated, and federal funds sold$1,574,699 $1,574,699 $— $— $1,574,699 
Securities trading1,758 — 1,758 — 1,758 
Securities available-for-sale262,518 — 75,704 186,814 262,518 
Loans held for sale, at fair value4,973 — 4,973 — 4,973 
Loans held for sale, at lower of cost or fair value10,938 — — 10,985 10,985 
Loans held for investment—net14,091,061 — — 14,015,157 14,015,157 
Securities borrowed338,980 — — 329,963 329,963 
Customer, broker-dealer and clearing receivables417,417 — — 414,383 414,383 
Mortgage servicing rights25,213 — — 25,213 25,213 
Financial liabilities:
Total deposits13,946,422 — 12,812,512 — 12,812,512 
Advances from the Federal Home Loan Bank117,500 — 117,500 — 117,500 
Borrowings, subordinated notes and debentures445,244 — 416,947 — 416,947 
Securities loaned474,400 — — 473,831 473,831 
Customer, broker-dealer and clearing payables511,654 — — 471,859 471,859 
June 30, 2021
(Dollars in thousands)Carrying
Amount		Level 1Level 2Level 3Total Fair Value
Financial assets:
Cash, cash equivalents, cash segregated, and federal funds sold$1,037,777 $1,037,777 $— $— $1,037,777 
Securities trading1,983 — 1,983 — 1,983 
Securities available-for-sale187,335 — 119,720 67,615 187,335 
Loans held for sale, at fair value29,768 — 29,768 — 29,768 
Loans held for sale, at lower of cost or fair value12,294 — — 12,336 12,336 
Loans and leases held for investment—net
11,414,814 — — 11,833,102 11,833,102 
Securities borrowed619,088 — — 619,274 619,274 
Customer, broker-dealer and clearing receivables369,815 — — 369,815 369,815 
Mortgage servicing rights17,911 — — 17,911 17,911 
Financial liabilities:
Total deposits10,815,797 — 10,297,450 — 10,297,450 
Advances from the Federal Home Loan Bank353,500 — 353,500 — 353,500 
Borrowings, subordinated notes and debentures221,358 — 210,196 — 210,196 
Securities loaned728,988 — — 731,467 731,467 
Customer, broker-dealer and clearing payables535,425 — — 535,425 535,425 
The methods and assumptions, not previously presented, used to estimate fair value are described as follows: Carrying amount is the estimated fair value for cash and cash equivalents, interest bearing deposits, accrued interest receivable and payable, demand deposits, short-term debt, and variable rate loans or deposits that reprice frequently and fully. For fixed rate loans, deposits, borrowings or subordinated debt and for variable rate loans, deposits, borrowings or subordinated debt with infrequent repricing or repricing limits, fair value is based on discounted cash flows using current market rates applied to the estimated life and credit risk. A discussion of the methods of valuing trading securities, available for sale securities and loans held for sale can be found earlier in this footnote. The carrying amount of stock of regulatory agencies approximates the estimated fair value of this investment. The fair value of off-balance sheet items is not considered material.
v3.22.2.2
SECURITIES
 12 Months Ended
Jun. 30, 2022
Investments, Debt and Equity Securities [Abstract]  
SECURITIES SECURITIES
The amortized cost, carrying amount and fair value for the securities available-for-sale for the following periods were:
June 30, 2022
 TradingAvailable-for-sale
(Dollars in thousands)Fair
Value		Amortized
Cost		Unrealized
Gains		Unrealized
Losses		Fair
Value
Mortgage-backed securities (MBS):
Agencies1
$— $27,722 $9 $(2,406)$25,325 
Non-agency2
— 187,616 1,832 (2,634)186,814 
Total mortgage-backed securities— 215,338 1,841 (5,040)212,139 
Non-MBS:
Municipal1,758 3,529 — (281)3,248 
Asset-backed securities and structured notes— 47,000 131 — 47,131 
Total Non-MBS1,758 50,529 131 (281)50,379 
Total debt securities$1,758 $265,867 $1,972 $(5,321)$262,518 
  June 30, 2021
TradingAvailable-for-sale
(Dollars in thousands)Fair
Value		Amortized
Cost		Unrealized
Gains		Unrealized
Losses		Fair
Value
Mortgage-backed securities (MBS):
Agencies1
$— $23,639 $420 $(146)$23,913 
Non-agency2
— 65,174 2,862 (421)67,615 
Total mortgage-backed securities— 88,813 3,282 (567)91,528 
Non-MBS:
Municipal1,983 3,466 99 — 3,565 
Asset-backed securities and structured notes— 90,549 1,693 — 92,242 
Total Non-MBS1,983 94,015 1,792 — 95,807 
Total debt securities$1,983 $182,828 $5,074 $(567)$187,335 
1 Includes securities guaranteed by Ginnie Mae, a U.S. government agency, and the government sponsored enterprises Fannie Mae and Freddie Mac.
2 Private sponsors of securities collateralized primarily by first-lien mortgage loans on commercial properties or by pools of 1-4 family residential first mortgages. Primarily super senior securities secured by prime, Alt-A or pay-option ARM mortgages.
No credit losses were recognized on available-for-sale securities in the years ended June 30, 2022 and June 30, 2021. There was no amount in the allowance for credit losses-available-for-sale debt securities at June 30, 2022 and June 30, 2021. The Company has no allowance for the available-for-sale debt securities in an unrealized loss position based on an analysis of: (1) the credit characteristics of the securities, such as the forecasted cash flows, credit ratings, credit enhancement, and external government backing as applicable, and (2) whether the Company is intending to sell or is required to sell any securities before recovering the amortized cost basis of the securities.
The Company’s non-agency MBS available-for-sale portfolio with a total fair value of $186.8 million at June 30, 2022 consists of seventeen different issues of senior and super senior securities.
The face amounts of debt securities available-for-sale that were pledged to secure borrowings at June 30, 2022 and 2021 were $1.2 million and $1.4 million respectively.
The securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position were as follows:
June 30, 2022
 Available-for-sale securities in loss position for
 Less Than 12
Months		More Than 12
Months		Total
(Dollars in thousands)Fair
Value		Gross Unrealized LossesFair
Value		Gross Unrealized LossesFair
Value		Gross Unrealized Losses
MBS:
Agencies$16,446 $(1,338)$8,097 $(1,068)$24,543 $(2,406)
Non-agency92,796 (2,204)4,751 (430)97,547 (2,634)
Total MBS securities109,242 (3,542)12,848 (1,498)122,090 (5,040)
Non-MBS:
Municipal debt3,248 (281)— — 3,248 (281)
Total Non-MBS3,248 (281)— — 3,248 (281)
Total debt securities$112,490 $(3,823)$12,848 $(1,498)$125,338 $(5,321)
 June 30, 2021
Available-for-sale securities in loss position for
Less Than 12
Months		More Than 12
Months		Total
(Dollars in thousands)Fair
Value		Gross Unrealized LossesFair
Value		Gross Unrealized LossesFair
Value		Gross Unrealized Losses
MBS:
Agencies$10,001 $(146)$— $— $10,001 $(146)
Non-agency— — 6,018 (421)6,018 (421)
Total MBS securities10,001 (146)6,018 (421)16,019 (567)
Non-MBS:
Municipal debt— — — — — — 
Asset-backed securities and structured notes— — — — — — 
Total Non-MBS— — — — — — 
Total debt securities$10,001 $(146)$6,018 $(421)$16,019 $(567)
There were fourteen securities that were in a continuous loss position at June 30, 2022 for a period of more than 12 months. There were twenty-five securities that were in a continuous loss position at June 30, 2022 for a period of less than 12 months. There were seven securities that were in a continuous loss position at June 30, 2021 for a period of more than 12 months. There were seven securities that were in a continuous loss position at June 30, 2021 for a period of less than 12 months.
During the fiscal years ended June 30, 2022 and 2021, there were no sales of securities that realized any gain or loss. Sales of securities occurred in the year ended June 30, 2021 in the amount of $70.8 million with no realized gain or loss, for which cash was collected in the year ended June 30, 2022.
The components of the Company’s accumulated other comprehensive income (loss) are as follows:
At June 30,
(Dollars in thousands)20222021
Available-for-sale debt securities—net unrealized gains (losses)$(3,349)$4,507 
Available-for-sale debt securities—non-credit related(845)(845)
Subtotal(4,194)3,662 
Tax (provision) benefit1,261 (1,155)
Net unrealized gain (loss) on investment securities in accumulated other comprehensive loss$(2,933)$2,507 
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS
 12 Months Ended
Jun. 30, 2022
Receivables [Abstract]  
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS
In conjunction with the adoption of ASC 326 on July 1, 2020, the Company updated categorization of the loan portfolio. The Company categorizes the loan portfolio into six segments: Single Family - Mortgage & Warehouse, Multifamily and Commercial Mortgage, Commercial Real Estate, Commercial & Industrial - Non Real Estate, Auto & Consumer and Other (for further detail of the change in accounting principle and detail of the segments and classes within of the Company’s loan portfolio, refer to Note 1 - “Summary of Significant Accounting Policies”).
The following table sets forth the composition of the loan portfolio as of the dates indicated:
At June 30,
(Dollars in thousands)20222021
Single Family - Mortgage & Warehouse$3,988,462 $4,359,472 
Multifamily and Commercial Mortgage2,877,680 2,470,454 
Commercial Real Estate4,781,044 3,180,453 
Commercial & Industrial - Non-RE2,028,128 1,123,869 
Auto & Consumer567,228 362,180 
Other11,134 58,316 
  Total gross loans14,253,676 11,554,744 
Allowance for credit losses - loans(148,617)(132,958)
Unaccreted premiums (discounts) and loan fees(13,998)(6,972)
  Total net loans$14,091,061 $11,414,814 
The following table summarizes activity in the allowance for credit losses - loans for the periods indicated:
At June 30,
(Dollars in thousands)202220212020
Balance—beginning of period$132,958 $75,807 $57,085 
Effect of Adoption of ASC 326— 47,300 — 
Provision for loan and lease loss18,500 23,750 42,200 
Charged off(4,428)(16,558)(25,833)
Recoveries1,587 2,659 2,355 
Balance—end of period$148,617 $132,958 $75,807 
In the ordinary course of business, the Company has granted related party loans collateralized by real property to certain executive officers, directors and their affiliates. There were no refinances of related party loans in the fiscal year ended June 30, 2022. There was one refinance of a related party loan in the amount of $1.4 million during the fiscal year ended June 30, 2021. There were no new loans originated for related parties during the fiscal year ended June 30, 2022. There were four new loans originated for related parties in the amount of $10.0 million during the fiscal year ended June 30, 2021. Total principal payments on related party loans were $3.0 million and $7.0 million during the years ended June 30, 2022 and 2021, respectively. At June 30, 2022 and 2021, these loans amounted to $25.6 million and $23.8 million, respectively, and are included in loans held for investment. Interest earned on these loans was $0.1 million and $0.1 million during the years ended June 30, 2022 and 2021, respectively.
The Company’s loan portfolio consisted of approximately 9.4% fixed interest rate loans and 90.6% adjustable interest rate loans as of June 30, 2022. The Company’s adjustable rate loans are primarily based upon indices using LIBOR, SOFR and Ameribor.
The Company’s loan portfolio consisted of approximately 14.90% fixed interest rate loans and 85.10% adjustable interest rate loans as of June 30, 2021.
At June 30, 2022 and 2021, portfolio loans serviced by others were $37.3 million, or 0.26%, and $44.7 million, or 0.39%, respectively, of the loan portfolio.
As of June 30, 2022, the Company had $1,197.4 million of interest-only loans and $7.0 million of option adjustable-rate mortgage loans. Through June 30, 2022, the net amount of deferred interest on these loan types was not material to the
financial position or operating results of the Company. As of June 30, 2021, the Company had $1,074.3 million of interest-only loans and $0.9 million of option adjustable-rate mortgage loans. Through June 30, 2021, the net amount of deferred interest on these loan types was not material to the financial position or operating results of the Company.
The following tables summarize activity in the allowance for credit losses - loans by portfolio classes for the periods indicated:
June 30, 2022
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Balance at July 1, 2021$26,604 $13,146 $57,928 $28,460 $6,519 $301 $132,958 
Provision for credit losses - loans(7,009)1,332 11,411 2,544 10,492 (270)18,500 
Charge-offs(82)— — (322)(4,024)— (4,428)
Recoveries157 177 — 126 1,127 — 1,587 
Balance at June 30, 2022$19,670 $14,655 $69,339 $30,808 $14,114 $31 $148,617 
June 30, 2021
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Balance at July 1, 2020$25,899 $4,719 $21,052 $9,954 $9,462 $4,721 $75,807 
Effect of Adoption of ASC 3266,318 7,408 25,893 7,042 610 29 47,300 
Provision for credit losses - loans(3,242)1,196 11,238 14,251 (1,354)1,661 23,750 
Charge-offs(2,502)(177)(255)(2,833)(3,517)(7,274)(16,558)
Recoveries131 — — 46 1,318 1,164 2,659 
Balance at June 30, 2021$26,604 $13,146 $57,928 $28,460 $6,519 $301 $132,958 
June 30, 2020
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Balance at July 1, 2019$22,290 $3,807 $14,632 $9,544 $6,339 $473 $57,085 
Provision for credit losses - loans3,546 793 6,420 4,542 7,429 19,470 42,200 
Charge-offs(203)— — (4,132)(5,047)(16,451)(25,833)
Recoveries266 119 — — 741 1,229 2,355 
Balance at June 30, 2020$25,899 $4,719 $21,052 $9,954 $9,462 $4,721 $75,807 
Credit Quality Disclosure. Nonaccrual loans consisted of the following as of the dates indicated:
As of June 30, 2022
(Dollars in thousands)With AllowanceWith No AllowanceTotal
Single Family - Mortgage & Warehouse$66,424 $— $66,424 
Multifamily and Commercial Mortgage33,410 — 33,410 
Commercial Real Estate14,852 — 14,852 
Commercial & Industrial - Non-RE2,989 — 2,989 
Auto & Consumer439 — 439 
Other80 — 80 
     Total nonaccrual loans$118,194 $— $118,194 
Nonaccrual loans to total loans0.83 %
As of June 30, 2021
(Dollars in thousands)With AllowanceWith No AllowanceTotal
Single Family - Mortgage & Warehouse$45,951 $59,757 $105,708 
Multifamily and Commercial Mortgage2,916 17,512 20,428 
Commercial Real Estate15,839 — 15,839 
Commercial & Industrial - Non-RE2,942 — 2,942 
Auto & Consumer230 48 278 
     Total nonaccrual loans$67,878 $77,317 $145,195 
Nonaccrual loans to total loans1.26 %
Approximately 1.18% of our nonaccrual loans at June 30, 2022 were considered TDRs, compared to 0.55% at June 30, 2021. Borrowers who make timely payments after TDRs are considered non-performing for at least six months. Generally, after six months of timely payments, those TDRs are reclassified from the nonaccrual loan category to performing and return to accrual status. Approximately 56.20% of the Bank’s nonaccrual loans are single family first mortgages.
The following tables provide the outstanding unpaid balance of loans that are performing and nonaccrual by portfolio class as of the dates indicated:
June 30, 2022
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Performing$3,922,038 $2,844,270 $4,766,192 $2,025,139 $566,789 $11,054 $14,135,482 
Nonaccrual66,424 33,410 14,852 2,989 439 80 118,194 
Total$3,988,462 $2,877,680 $4,781,044 $2,028,128 $567,228 $11,134 $14,253,676 
June 30, 2021
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Performing$4,253,764 $2,450,026 $3,164,614 $1,120,927 $361,902 $58,316 $11,409,549 
Nonaccrual105,708 20,428 15,839 2,942 278 — 145,195 
Total$4,359,472 $2,470,454 $3,180,453 $1,123,869 $362,180 $58,316 $11,554,744 
There was no interest recognized on loans that were TDRs for the years ended June 30, 2022, 2021 and 2020 respectively. The average balances of nonaccrual loans was $136.4 million, $142.0 million and $60.6 million for the years ended June 30, 2022, 2021 and 2020, respectively. There was no amount in performing TDRs for each of the years ended June 30, 2022, 2021 and 2020. There was no interest income recognized on non-accrual loans for the years ended June 30, 2022, 2021 and 2020.
The Company had no TDRs classified as performing loans at June 30, 2022 or 2021.
Credit Quality Indicators. The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. The Company uses the following definitions for risk ratings.
Pass. Loans classified as pass are well protected by the current net worth and paying capacity of the obligor or by the fair value, less cost to acquire and sell, of any underlying collateral in a timely manner.
Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date.
Substandard. Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.
Doubtful. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.
The Company reviews and grades loans following a continuous loan review process, featuring coverage of all loan types and business lines at least quarterly. Continuous reviewing provides more effective risk monitoring because it immediately tests for potential impacts caused by changes in personnel, policy, products or underwriting standards.
The amortized cost basis by fiscal year of origination and credit quality indicator of the Company’s loan as of June 30, 2022 was as follows:
Loans Held for Investment Origination YearRevolving Loans Revolving Loans Converted to Loans HFITotal
(Dollars in thousands)20222021202020192018Prior
Single Family-Mortgage & Warehouse
Pass$1,484,027 $600,054 $402,712 $303,999 $279,248 $548,703$241,925 $—    $3,860,668
Special Mention——4,7902,5054,12510,97138,637—61,028
Substandard—2,2883,92818,4075,95536,188——66,766
Doubtful—————————
Total1,484,027602,342411,430324,911289,328595,862280,562—3,988,462
Multifamily and Commercial Mortgage
Pass999,819569,486429,247259,161219,548316,013——2,793,274
Special Mention1,200—534539—968——3,241
Substandard—5,77234,3439,6137,30824,129——81,165
Doubtful—————————
Total1,001,019575,258464,124269,313226,856341,110——2,877,680
Commercial Real Estate
Pass2,482,366990,887358,422186,80028,758—602,412—4,649,645
Special Mention—32,35112,13816,48715,000———75,976
Substandard——12,57518,04323,507—1,298—55,423
Doubtful—————————
Total2,482,3661,023,238383,135221,33067,265—603,710—4,781,044
Commercial & Industrial - Non-RE
Pass435,22866,22625,62961,9329,268—1,388,435—1,986,718
Special Mention13——186710———909
Substandard2,98828,3599,154—————40,501
Doubtful—————————
Total438,22994,58534,78362,1189,978—1,388,435—2,028,128
Auto & Consumer
Pass352,468107,88243,37737,00816,1478,891——565,773
Special Mention20418824110—1——527
Substandard157311224205256——928
Doubtful—————————
Total352,829108,38143,62537,32316,1728,898——567,228
Other
Pass3,0576,185——1,091721——11,054
Special Mention—————————
Substandard——46——34——80
Doubtful—————————
Total3,0576,18546—1,091755——11,134
Total
Pass5,756,9652,340,7201,259,387848,900554,060874,3282,232,772—13,867,132
Special Mention1,41732,53917,48619,82719,83511,94038,637—141,681
Substandard3,14536,73060,27046,26836,79560,3571,298—244,863
Doubtful—————————
Total$5,761,527 $2,409,989 $1,337,143 $914,995 $610,690 $946,625$2,272,707$—       $14,253,676
As a % of total gross loans40.42%16.91%9.38%6.42%4.28%6.64%15.95% —%100.0%
The Company considers the performance of the loan portfolio and its impact on the allowance for credit losses. The Company also evaluates credit quality based on the aging status of its loans. During the year, the Company holds certain short-term loans that do not have a fixed maturity date that are treated as delinquent if not paid in full 90 days after the origination date.
The Company took proactive measures to manage loans that became delinquent during the economic downturn as a result of the COVID-19 pandemic. As of June 30, 2022, no loans were on forbearance status for forbearance granted as a result of COVID-19. Any forbearance granted as a result of COVID-19 was for six months or less.
The following tables provide the outstanding unpaid balance of loans and leases that are past due 30 days or more by portfolio class as of the dates indicated:
 June 30, 2022
(Dollars in thousands)30-59 Days60-89 Days90+ DaysTotal
Single Family-Mortgage & Warehouse$5,167 $1,518 $63,286 $69,971 
Multifamily and Commercial Mortgage9,455 2,115 26,556 38,126 
Commercial Real Estate— 14,852 — 14,852 
Commercial & Industrial - Non-RE— — — — 
Auto & Consumer4,865 1,009 466 6,340 
Other413 — 193 606 
Total$19,900 $19,494 $90,501 $129,895 
As a % of gross loans0.14 %0.14 %0.63 %0.91 %
June 30, 2021
(Dollars in thousands)30-59 Days60-89 Days90+ DaysTotal
Single Family-Mortgage & Warehouse$24,150 $46,552 $69,169 $139,871 
Multifamily and Commercial Mortgage7,991 1,816 12,122 21,929 
Commercial Real Estate36,786 — — 36,786 
Commercial & Industrial - Non-RE— — 2,960 2,960 
Auto & Consumer601 306 235 1,142 
Other— — — — 
Total$69,528 $48,674 $84,486 $202,688 
As a % of gross loans0.60 %0.42 %0.73 %1.75 %
Loans reaching 90+ days past due are placed on non-accrual as required under Company policy. No loans 90+ days past due were still accruing interest as of June 30, 2022 and June 30, 2021.
Credit Risk Concentration
Concentrations of credit risk arise when a number of borrowers are engaged in similar business activities in the same geographic region, or when they have similar economic features that would cause their ability to meet contractual obligations to be similarly affected by changes in economic conditions.
Concentrations of 10% or more existed in the Single Family, Multifamily and Commercial Real Estate loan categories at June 30, 2022 and June 30, 2021.
At June 30, 2022, California accounted for 70.6% and New York accounted for 13.0% of loans in the Single Family loan category. California accounted for 68.3% and New York accounted for 18.8% of loans in the Multifamily loan category. California accounted for 11.9% and New York accounted for 40.5% of loans in the Commercial Real Estate loan category.
At June 30, 2021, California accounted for 72.4% and New York accounted for 12.8% of loans in the Single Family loan category. California accounted for 72.5% and New York accounted for 14.5% of loans in the Multifamily loan category. California accounted for 12.4% and New York accounted for 54.2% of loans in the Commercial Real Estate loan category.
Unfunded Loan Commitment Liabilities
Unfunded loan commitment liabilities are included in “Accounts payable, accrued liabilities and other liabilities” in the Consolidated Balance Sheets. Provisions for the unfunded loan commitments are included in the Consolidated Statements of Income in “General and administrative expenses”.
The following tables present a summary of the activity in the unfunded loan commitment liabilities for the periods indicated:
Year Ended June 30,
(Dollars in thousands)202220212020
BALANCE—beginning of year$5,723 $323 $227 
Effect of Adoption of ASC 326— 5,700 — 
Provision5,250 (300)96 
BALANCE—end of year$10,973 $5,723 $323 
v3.22.2.2
OFFSETTING OF SECURITIES FINANCING AGREEMENTS
 12 Months Ended
Jun. 30, 2022
Offsetting [Abstract]  
OFFSETTING OF SECURITIES FINANCING AGREEMENTS OFFSETTING OF SECURITIES FINANCING AGREEMENTS
The Company enters into securities borrowed and securities loaned transactions. The Company executes these transactions to facilitate customer match-book activity, cover short positions and customer securities lending. The Company manages credit exposure from certain transactions by entering into master securities lending agreements. The relevant agreements allow for the efficient closeout of transactions, liquidation and set-off of collateral against the net amount owed by the counterparty following a default. Default events generally include, among other things, failure to pay, insolvency or bankruptcy of a counterparty.
The following table presents information about the offsetting of these instruments and related collateral amounts as of:
June 30, 2022
(Dollars in thousands)Gross Assets / LiabilitiesAmounts OffsetNet Balance Sheet AmountFinancial CollateralNet Assets / Liabilities
Assets:
Securities borrowed$338,980 $— $338,980 $338,980 $— 
Liabilities:
Securities loaned$474,400 $— $474,400 $474,400 $— 
June 30, 2021
(Dollars in thousands)Gross Assets / LiabilitiesAmounts OffsetNet Balance Sheet AmountFinancial CollateralNet Assets / Liabilities
Assets:
Securities borrowed$619,088 $— $619,088 $619,088 $— 
Liabilities:
Securities loaned$728,988 $— $728,988 $728,988 $— 
The securities loaned transactions represent equities with an overnight and open maturity classification.
v3.22.2.2
CUSTOMER, BROKER-DEALER AND CLEARING RECEIVABLES AND PAYABLES
 12 Months Ended
Jun. 30, 2022
Broker-Dealer [Abstract]  
CUSTOMER, BROKER-DEALER AND CLEARING RECEIVABLES AND PAYABLES CUSTOMER, BROKER-DEALER AND CLEARING RECEIVABLES AND PAYABLESCustomer, broker-dealer and clearing receivables and payables consisted of the following at June 30, 2022:
At June 30,
(Dollars in thousands)20222021
Receivables:
Customers$309,216 $326,176 
Broker-dealer and clearing organizations:
Receivable from broker-dealers101,960 38,887 
Securities failed to deliver6,241 4,752 
Total customer, broker-dealer and clearing receivables$417,417 $369,815 
Payables:
Customers$486,625 $497,098 
Broker-dealer and clearing organizations:
Payable to broker-dealers18,601 31,203 
Securities failed to receive6,428 7,124 
Total customer, broker-dealer and clearing payables$511,654 $535,425 
.
v3.22.2.2
FURNITURE, EQUIPMENT AND SOFTWARE
 12 Months Ended
Jun. 30, 2022
Property, Plant and Equipment [Abstract]  
FURNITURE, EQUIPMENT AND SOFTWARE FURNITURE, EQUIPMENT AND SOFTWARE
A summary of the cost and accumulated depreciation and amortization for leasehold improvements, furniture, equipment and software is as follows:
At June 30,
(Dollars in thousands)20222021
Leasehold improvements$5,698 $5,556 
Furniture and fixtures10,608 7,793 
Computer hardware and equipment25,665 24,396 
Software78,848 60,086 
Total120,819 97,831 
Less accumulated depreciation and amortization(84,610)(71,535)
Furniture, equipment and software—net1
$36,209 $26,296 
1 Furniture, equipment and software are included in the other assets line on the consolidated balance sheet.
Depreciation and amortization expense in respect of leasehold improvements, furniture, equipment and software for the years ended June 30, 2022, 2021 and 2020 was $13.1 million, $14.4 million and $14.9 million, respectively.
v3.22.2.2
GOODWILL AND INTANGIBLE ASSETS
 12 Months Ended
Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND INTANGIBLE ASSETS GOODWILL AND INTANGIBLE ASSETS
The following table summarizes the activity in the Company’s goodwill balance as of the dates indicated:
(Dollars in thousands)Total
Balance as of June 30, 2020$71,222 
Goodwill from acquisitions— 
Balance as of June 30, 202171,222 
Goodwill from acquisitions24,452 
Balance as of June 30, 2022$95,674 
There was no goodwill impairment identified for the fiscal years ended June 30, 2022 and June 30, 2021.
The Company’s acquired intangible assets are summarized as follows as of the dates indicated:
June 30, 2022June 30, 2021
(Dollars in thousands)Gross Carrying AmountAccumulated AmortizationNet Carrying AmountGross Carrying AmountAccumulated AmortizationNet Carrying Amount
Covenant not to compete$1,060 $1,038 $22 $930 $756 $174 
Customer relationships46,960 10,654 36,306 31,310 7,110 24,200 
Customer deposit intangible13,545 7,655 5,890 13,545 5,829 7,716 
Developed technologies34,040 15,905 18,135 23,050 10,769 12,281 
Trademark378 — 378 378 — 378 
Trade name580 580 — 290 290 — 
Total intangible assets$96,563 $35,832 $60,731 $69,503 $24,754 $44,749 
The weighted-average useful lives remaining of intangible assets as of June 30, 2022 were as follows:
Weighted-Average
Useful Lives (Years)
Covenant not to compete0.17
Customer relationships11.41
Customer deposit intangible6.42
Developed technologies2.93
The amortization expense for intangible assets that are subject to amortization was $11.1 million and $9.8 million for the years ended June 30, 2022 and 2021, respectively. Each intangible asset subject to amortization is amortized using the straight-line method over the estimated useful life of the asset. Trademark is an indefinite life intangible. Estimated future amortization expense related to finite-lived intangible assets at June 30, 2022 is as follows:
(Dollars in thousands)Amortization Expense
For the fiscal year ending June 30,
2023$10,730 
202410,239 
20256,750 
20265,615 
20275,369 
Thereafter21,650 
Total$60,353 
v3.22.2.2
LEASES
 12 Months Ended
Jun. 30, 2022
Leases [Abstract]  
LEASES LEASES
The Company leases office space under operating lease agreements scheduled to expire at various dates. Operating lease expense for the years ended June 30, 2022, 2021 and 2020 was $10.8 million, $10.6 million, and $10.5 million, respectively.
Supplemental balance sheet information related to leases as follows:
Years End June 30,
(Dollars in thousands)20222021
Operating lease right-of-use assets$69,196 $64,077 
Operating lease liabilities74,878 70,119 
Weighted-average remaining lease term:
Operating leases7.53 years8.30 years
Weighted-average discount rate:
Operating leases2.79 %2.90 %
Supplemental cash flow information related to leases is as follows:
Years End June 30,
(Dollars in thousands)20222021
Cash paid for amounts included in the measurement of lease liabilities for operating leases:
Operating cash flows$9,888 $8,875 
Maturities of Operating Lease Liabilities. The Company leases office space under operating lease agreements scheduled to expire at various dates. The following table represents maturities of lease liabilities as of June 30, 2022:
(Dollars in thousands)
Within one year$10,509 
After one year and within two years10,914 
After two years and within three years11,104 
After three years and within four years10,806 
After four years and within five years10,865 
After five years29,356 
Total lease payments83,554 
Less: amount representing interest(8,676)
Total Lease Liability$74,878 
As of June 30, 2022, the Company is in compliance with all covenants contained in lease agreements.
v3.22.2.2
DEPOSITS
 12 Months Ended
Jun. 30, 2022
Deposits [Abstract]  
DEPOSITS DEPOSITS
Deposit accounts are summarized as follows:
At June 30,
 20222021
(Dollars in thousands)Amount
Rate1
Amount
Rate1
Non-interest bearing$5,033,970 — %$2,474,424 — %
Interest bearing:
Demand3,611,889 0.61 %3,369,845 0.15 %
Savings4,245,555 0.95 %3,458,687 0.21 %
7,857,444 0.79 %6,828,532 0.18 %
Time deposits:
$250 and under651,392 1.22 %1,070,139 1.30 %
Greater than $250403,616 1.41 %442,702 1.03 %
Total time deposits1,055,008 1.25 %1,512,841 1.22 %
Total interest bearing2
8,912,452 0.85 %8,341,373 0.37 %
Total deposits$13,946,422 0.54 %$10,815,797 0.29 %
1 Based on weighted-average stated interest rates at end of period.
2 The total interest-bearing includes brokered deposits of $1,032.7 million and $621.4 million as of June 30, 2022 and June 30, 2021, respectively, of which $250.0 million and $380.0 million, respectively, are time deposits classified as $250 and under.
At June 30, 2022, remaining maturities of uninsured time deposits greater than $250 were $29.6 million. Scheduled maturities of all time deposits are as follows:
(Dollars in thousands)June 30, 2022
Within 12 months$742,804 
13 to 24 months155,376 
25 to 36 months141,841 
37 to 48 months9,037 
49 to 60 months5,950 
Total$1,055,008 
At June 30, 2022 and 2021, the Company had deposits from certain executive officers, directors and their affiliates in the amount of $5.7 million and $3.2 million, respectively.
v3.22.2.2
ADVANCES FROM THE FEDERAL HOME LOAN BANK
 12 Months Ended
Jun. 30, 2022
Advance from Federal Home Loan Bank [Abstract]  
ADVANCES FROM THE FEDERAL HOME LOAN BANK ADVANCES FROM THE FEDERAL HOME LOAN BANK
At June 30, 2022 and 2021, the Company’s fixed-rate FHLB advances had interest rates that ranged from 1.68% to 2.82% with a weighted average of 2.26% and ranged from 0.15% to 2.86% with a weighted average of 1.18%, respectively.
Fixed-rate advances from FHLB are scheduled to mature as follows:
At June 30,
 20222021
(Dollars in thousands)AmountWeighted-
Average Rate		AmountWeighted-
Average Rate
Within one year1
$27,500 2.08 %$236,000 0.64 %
After one but within two years— — %27,500 2.08 %
After two but within three years30,000 2.82 %— — %
After three but within four years— — %30,000 2.82 %
After four but within five years— — %— — %
After five years60,000 2.07 %60,000 2.07 %
Total$117,500 2.26 %$353,500 1.18 %
1. Within one year category includes of term advances of $0 and $186,000 at June 30, 2022 and 2021, respectively.
The Company’s advances from the FHLB were collateralized by certain real estate loans with an aggregate unpaid balance of $3,823.1 million and $4,286.1 million at June 30, 2022 and 2021, respectively, by the Company’s investment in capital stock of the FHLB of San Francisco and by its investment in mortgage-backed securities. Generally, each advance carries a prepayment penalty and is payable in full at its maturity date.
The maximum amounts advanced at any month-end during the period from the FHLB were $1,360.5 million, $353.5 million, and $1,462.5 million during the years ended June 30, 2022, 2021, and 2020, respectively. At June 30, 2022, the Company had $2,014.2 million available immediately and $3,893.3 million available with additional collateral for advances from the FHLB for terms up to ten years.
v3.22.2.2
BORROWINGS, SUBORDINATED NOTES AND DEBENTURES
 12 Months Ended
Jun. 30, 2022
Debt Disclosure [Abstract]  
BORROWINGS, SUBORDINATED NOTES AND DEBENTURES BORROWINGS, SUBORDINATED NOTES AND DEBENTURES
The following table sets forth the composition of the borrowings, subordinated notes and debentures as of the dates indicated:
(Dollars in thousands)June 30, 2022June 30, 2021
Borrowings from other banks$111,500 $36,200 
Subordinated loans7,400 7,400 
Subordinated notes325,000 175,000 
Junior subordinated debentures5,155 5,155 
Less unamortized issuance costs(3,811)(2,397)
Total borrowings, subordinated notes and debentures$445,244 $221,358 
Borrowings from other banks. Axos Clearing has $150.0 million uncommitted secured lines of credit available for borrowing. As of June 30, 2022, there was $58.4 million outstanding. These credit facilities bear interest at rates based on the Federal Funds rate and borrowings are due upon demand. The weighted average interest rate on the borrowings at June 30, 2022 was 2.99%, a rate blending fixed and variable components.
Axos Clearing has a $75.0 million committed unsecured line of credit available for limited purpose borrowing. As of June 30, 2022, there was $53.1 million outstanding. This credit facility bears interest at rates based on the Federal Funds rate and is due upon demand. The unsecured line of credit requires Axos Clearing to operate in accordance of specific covenants surrounding capital and debt ratios. Axos Clearing was in compliance of all covenants as of June 30, 2022.
Subordinated Loans. The Company issued subordinated notes totaling $7.5 million on January 28, 2019, to the principal stockholders of COR Securities in an equal principal amount, with a maturity of 15 months, to serve as the sole source of payment of indemnification obligations of the principal stockholders of COR Securities under the Merger Agreement. Interest accrues at a rate of 6.25% per annum. During the fiscal year ended June 30, 2019, $0.1 million of subordinated loans were repaid. The Company is in the process of making an indemnification claim against the $7.4 million remaining.
Subordinated Notes. In September 2020, the Company completed the sale of $175.0 million aggregate principal amount of its 4.875% Fixed-to-Floating Rate Subordinated Notes due October 1, 2030 (the “Notes 2030”). The Notes 2030 mature on October 1, 2030 and accrue interest at a fixed rate per annum equal to 4.875%, payable semi-annually in arrears on April 1 and October 1 of each year, commencing on April 1, 2021. From and including October 1, 2025, to, but excluding October 1, 2030 or the date of early redemption, the Notes 2030 will bear interest at a floating rate per annum equal to a benchmark rate (which is expected to be the Three-Month Term Secured Overnight Financing Rate) plus a spread of 476 basis points, payable quarterly in arrears on January 1, April 1, July 1 and October 1 of each year, commencing on January 2026. The Notes 2030 may be redeemed on or after October 1, 2025, which date may be extended at the Company’s discretion, at a redemption price equal to principal plus accrued and unpaid interest, subject to certain conditions. Fees and costs incurred in connection with the debt offering amortize to interest expense over the term of the Notes 2030.
In February 2022, the Company completed the sale of $150.0 million aggregate principal amount of its 4.00% Fixed-to-Floating Rate Subordinated Notes (the “Notes”). The Notes are obligations only of Axos Financial, Inc. The Notes mature on March 1, 2032 and accrue interest at a fixed rate per annum equal to 4.00%, payable semi-annually in arrears on March 1 and September 1 of each year, commencing on September 1, 2022. From and including March 1, 2027, to, but excluding March 1, 2032 or the date of early redemption, the Notes will bear interest at a floating rate per annum equal to a benchmark rate of the Three-Month Term SOFR plus a spread of 227 basis points, payable quarterly in arrears on March 1, June 1, September 1 and December 1 of each year, commencing on June 1, 2027. The Notes may be redeemed on or after March 1, 2027, which date may be extended at the Company’s discretion, at a redemption price equal to principal plus accrued and unpaid interest, subject to certain conditions. Fees and costs incurred in connection with the debt offering amortize to interest expense over the term of the Notes.
Junior Subordinated Debentures. On December 13, 2004, the Company entered into an agreement to form an unconsolidated trust which issued $5.0 million of trust preferred securities in a transaction that closed on December 16, 2004. The net proceeds from the offering were used to purchase $5.2 million of junior subordinated debentures (“Debentures”) of the Company with a stated maturity date of February 23, 2035. The Debentures are the sole assets of the trust. The trust preferred securities are mandatorily redeemable upon maturity, or upon earlier redemption as provided in the indenture. The Company has the right to redeem the Debentures in whole (but not in part) on or after specific dates, at a redemption price specified in the indenture plus any accrued but unpaid interest through the redemption date. Interest accrues at the rate of three-month LIBOR plus 2.4% for a rate of 3.90% as of June 30, 2022, with interest paid quarterly starting February 16, 2005.
The Bank has the ability to borrow short-term from the FRBSF Discount Window. At June 30, 2022 and 2021 there were no amounts outstanding and the available borrowings from this source were $2,823.5 million and $2,091.3 million, respectively. The 2022 available borrowings would be collateralized by residential real estate loans and certain C&I loans. The Bank has additional unencumbered collateral that could be pledged to the FRBSF Discount Window to increase borrowing liquidity.
The Bank has federal funds lines of credit with two major banks totaling $175.0 million. At June 30, 2022 and 2021 the Bank had no outstanding balances on these lines.
v3.22.2.2
INCOME TAXES
 12 Months Ended
Jun. 30, 2022
Income Tax Disclosure [Abstract]  
INCOME TAXES INCOME TAXES
The provision for income taxes is as follows:
At June 30,
(Dollars in thousands)202220212020
Current:
Federal$64,800 $61,827 $51,893 
State43,843 37,037 33,852 
108,643 98,864 85,745 
Deferred:
Federal(5,600)(5,562)(3,814)
State(3,800)(3,266)(2,737)
(9,400)(8,828)(6,551)
Total$99,243 $90,036 $79,194 
The differences between the statutory federal income tax rate and the effective tax rates are summarized as follows:
At June 30,
202220212020
Statutory federal tax rate21.00 %21.00 %21.00 %
Increase (decrease) resulting from:
State taxes—net of federal tax benefit9.13 %8.70 %9.27 %
Cash surrender value(0.26)%(0.01)%(0.02)%
Deferred tax asset write-off— %— %0.77 %
Tax credits(0.44)%(0.59)%(0.77)%
Non-taxable income(0.09)%(0.09)%(0.10)%
Excess benefit RSU vesting(1.31)%(0.64)%(0.05)%
Other1.16 %1.08 %0.05 %
Effective tax rate29.19 %29.45 %30.15 %
The components of the net deferred tax asset are as follows:
At June 30,
(Dollars in thousands)20222021
Deferred tax assets:
Allowance for credit losses$59,045 $51,663 
State taxes949 903 
Stock-based compensation expense5,101 4,891 
Unrealized net losses on securities1,261 — 
Accrued compensation2,533 3,388 
Securities impaired270 266 
Non-accrual loan interest income2,608 4,182 
Lease liability24,626 22,730 
Net operating loss carryforward1,273 1,811 
Other liabilities – accruals3,116 — 
Total deferred tax assets100,782 89,834 
Deferred tax liabilities:
FHLB stock dividend(842)(830)
Other assets—prepaids(2,083)(2,717)
Depreciation and amortization(8,838)(9,998)
Operating lease right-of-use asset(22,757)(20,771)
Unrealized net gains on securities— (1,155)
Total deferred tax liabilities(34,520)(35,471)
Net deferred tax asset1
$66,262 $54,363 
1 Net deferred tax asset is included in the other assets line on the consolidated balance sheet.
The Company records deferred tax assets for net operating losses when the benefit is more likely than not to be realized. As of June 30, 2022, the Company had federal net operating loss carryforwards of approximately $5.1 million. The annual 382 limitation is approximately $2.3 million for federal purposes. The Company also had state net operating loss carryforwards of $1.7 million. Of this amount, $1.6 million is subject to an annual 382 limitation of approximately $0.1 million for state purposes. These carryforwards begin to expire in 2034 and 2035 for federal and state purposes, respectively.
The Company establishes a valuation allowance if, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized. As of June 30, 2022, relating to a $2.4 million state net operating loss, the Company recognized a tax effected valuation allowance of $0.2 million. As of June 30, 2022 and 2021, the Company forecasts sufficient future consolidated earnings to realize its remaining deferred tax asset and has not provided for an additional allowance.
The following is a reconciliation of the beginning and ending amount of unrecognized tax positions for the periods presented:
(Dollars in thousands)202220212020
Balance—beginning of period$3,369 $813 $1,084 
Additions—current year tax positions690 355 115 
Additions—prior year tax positions481 2,205 31 
Reductions—prior year tax positions(233)(4)(417)
Total liability for unrecognized tax positions—end of period$4,307 $3,369 $813 
The Company is subject to federal income tax and income tax of state taxing authorities. The Company’s federal income tax returns for the years ended June 30, 2019, 2020, and 2021 and its state taxing authorities income tax returns for the years ended June 30, 2018, 2019, 2020 and 2021 are open to audit under the statutes of limitations by the Internal Revenue Service and state taxing authorities.
The Company received federal and state tax credits for the years ended June 30, 2022, 2021, and 2020, respectively. These tax credits reduced the effective tax rate by approximately 0.44%, 0.59%, and 0.77% respectively.
v3.22.2.2
STOCKHOLDERS' EQUITY
 12 Months Ended
Jun. 30, 2022
Equity [Abstract]  
STOCKHOLDERS' EQUITY STOCKHOLDERS’ EQUITY
Common Stock Repurchases. On March 17, 2016, the Board of Directors of the Company (the “Board”), authorized a program to repurchase up to $100 million of common stock and extended the program by an additional $100 million on August 2, 2019. The Company may repurchase shares on the open market or through privately negotiated transactions at times and prices considered appropriate, at the discretion of the Company, and subject to its assessment of alternative uses of capital, stock trading price, general market conditions and regulatory factors. The repurchase program does not obligate the Company to acquire any specific number of shares. The share repurchase program will continue in effect until terminated by the Board. Under the August 2, 2019 authorization, the Company repurchased a total of $47.2 million, or 2,399,853 common shares at an average price of $19.68 per share and there remains $52.8 million under the plan. The Company did not repurchase common stock during the year ended June 30, 2022. During the year ended June 30, 2021, the Company repurchased a total of $16.8 million, or 753,597 common shares at an average price of $22.24 per share. The Company accounts for treasury stock using the cost method as a reduction of shareholders’ equity in the accompanying consolidated financial statements.
Preferred Stock. The Company redeemed for cash all 515 outstanding shares of Series A-6% Cumulative Nonparticipating Perpetual Preferred Stock on October 30, 2020, at the face value $10,000 liquidation price per share plus accrued dividends.
Dividends totaling $0.1 million were declared for the year ended June 30, 2021, an amount less than prior years as preferred stock was redeemed before the full year. The Company declared dividends to holders of its Series A preferred stock totaling $0.3 million for the year ended June 30, 2020.
v3.22.2.2
STOCK-BASED COMPENSATION
 12 Months Ended
Jun. 30, 2022
Share-Based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
The Company has an equity incentive plan, the 2014 Plan, which provides for the granting of non-qualified and incentive stock options, restricted stock and restricted stock units, stock appreciation rights and other awards to employees, directors and consultants. The Plan is designed to encourage selected employees and directors to improve operations and increase profits, and to accept or continue employment or association with the Company through participation in the growth in the value of the common stock. The Plan requires that option exercise prices be not less than fair market value per share of common stock on the option grant date for incentive and non-qualified options. The options issued under the Plans generally vest in between three and five years. Option expiration dates are established by the Plans’ administrator but may not be later than ten years after the date of the grant.
2014 Plan. In October 2021, the Company’s Board of Directors and stockholders, respectively, approved the 2014 Plan, as amended and restated. The number of shares authorized for issuance pursuant to awards under the 2014 Plan is 5,680,000, less restricted stock unit awards granted, plus any restricted stock units that become available upon the forfeiture, expiration, cancellation or settlement in cash awards outstanding under the 2014 Plan. At June 30, 2022, 1,883,720 shares of common stock remained available for issuance pursuant to grant awards under the 2014 Plan.
Effective July 1, 2017 the Company entered into an employment agreement with its Chief Executive Officer (the “Agreement”) that authorizes an award of restricted stock units (the “RSU award”). The RSU award is an equity-based award and carries a service condition and a market condition that incorporates a measurement of the Company’s total stock return to shareholders in comparison to the total stock return of the ABA Nasdaq Community Bank Index. The accounting grant date of the RSU award is July 1, 2017 and expensing of the RSU award began on this date at the fair value measurement amount as determined by the Company’s valuation process. The Company utilized a Monte Carlo simulation to estimate the value of path-dependent options and determined the fair value using an expected return based on the 5-year US Treasury constant maturity rate, an equity volatility based on 6-month and 1-year historical daily trading history, market capitalization, and stock price for the RSU award. On July 1, 2017, the estimated fair value of the RSU award was $20.5 million, which vests in five tranches over a total period of nine years. As of June 30, 2022, unrecognized stock compensation expense to be expensed over the remaining four years is $2.5 million.
Effective January 1, 2022 the “Agreement” for the RSU award automatically renewed for one additional fiscal year (the “Renewed RSU Award”) through June 2023. The accounting grant date of the Renewed RSU Award is January 1, 2022 and the charge related to the Renewed RSU Award was recorded over the period beginning on the grant date at fair value of the grant. The Company utilized a Monte Carlo simulation with key inputs of an expected return on the average of the 1 and 2 year US Treasury constant maturity rate, an equity volatility based on 1.5 year historical daily trading history, market capitalization, and stock price for the Renewed RSU Award. The estimated fair value of the Renewed RSU Award was $8.8 million, which vests over a total period of five years. Unrecognized compensation expense to be expensed over the remaining five years related to the Renewed RSU award is $7.6 million at June 30, 2022 and is included in the table below. The actual award will be determined by the actual performance of Company’s total stock return in comparison to the total stock return of the ABA Nasdaq Community Bank Index in the respective periods.
At June 30, 2022 unrecognized compensation expense related to non-vested awards aggregated to $38.1 million and is expected to be recognized in future periods as follows:
(Dollars in thousands)Stock Award
Compensation Expense
For the fiscal year ending June 30:
2023$18,300 
202413,081 
20255,313 
2026989 
2027400 
Total$38,083 
The following table presents the status and changes in restricted stock units for the periods indicated:
Restricted Stock
Units		Weighted-Average
Grant-Date Fair Value
Non-vested balance at June 30, 20211,220,470 $30.18 
Granted1,021,428 48.12 
Vested(745,584)
Forfeitures(145,551)
Non-vested balance at June 30, 20221,350,763 $41.16 
The total fair value of shares vested during the year ended June 30, 2022 was $33.3 million. The weighted-average contractual term for restricted stock units as of June 30, 2022 was 1.3 years. The Company provides an employer matching contribution of stock to the Company’s 401(k) plan, based on an employee’s designated deferral of their eligible compensation. The contribution made during the year ended June 30, 2022, was 44,817 shares with a fair market value of $2.5 million.
v3.22.2.2
EARNINGS PER COMMON SHARE
 12 Months Ended
Jun. 30, 2022
Earnings Per Share [Abstract]  
EARNINGS PER COMMON SHARE EARNINGS PER COMMON SHARE
The following table presents the calculation of basic and diluted EPS:
At June 30,
(Dollars in thousands, except per share data)202220212020
Earnings Per Common Share
Net income$240,716 $215,707 $183,438 
Preferred stock dividends— (103)(309)
Preferred stock redemption— $(86)— 
Net income attributable to common shareholders$240,716 $215,518 $183,129 
Average common shares issued and outstanding59,523,626 59,229,495 60,794,555 
Total qualifying shares59,523,626 59,229,495 60,794,555 
Earnings per common share $4.04 $3.64 $3.01 
Diluted Earnings Per Common Share
Dilutive net income attributable to common shareholders$240,716 $215,518 $183,129 
Average common shares issued and outstanding59,523,626 59,229,495 60,794,555 
Dilutive effect of average unvested RSUs1,087,328 1,290,116 643,080 
Total dilutive common shares outstanding60,610,954 60,519,611 61,437,635 
Diluted earnings per common share$3.97 $3.56 $2.98 
v3.22.2.2
COMMITMENTS, CONTINGENCIES, AND OFF-BALANCE-SHEET ACTIVITIES
 12 Months Ended
Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS, CONTINGENCIES, AND OFF-BALANCE-SHEET ACTIVITIES COMMITMENTS, CONTINGENCIES, AND OFF-BALANCE-SHEET ACTIVITIES
Credit-Related Financial Instruments. The Company is a party to credit-related financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments are commitments to extend credit. Such commitments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the unaudited condensed consolidated balance sheets.
The Company’s exposure to credit loss is represented by the contractual amount of these commitments. The Company follows the same credit policies in making commitments as it does for on-balance-sheet instruments.
At June 30, 2022, the Company had commitments to originate $184.5 million in fixed rate loans and $3,319.8 million in variable rate loans, totaling an aggregate outstanding principal balance of $3,504.3 million. For June 30, 2022, the Company’s fixed rate commitments to originate had a weighted-average rate of 5.75%. For June 30, 2021, the Company had commitments to originate $55.0 million in fixed rate loans and $653.5 million in variable rate loans, totaling an aggregate outstanding principal balance of $708.6 million. For June 30, 2021, the Company’s fixed rate commitments to originate had a weighted-average rate of 1.94%. At June 30, 2022, the Company also had fixed rate commitments to sell loans with an aggregate outstanding principal balance of $8.4 million. For June 30, 2021, the Company had fixed rate and variable rate commitments to sell of $55.9 million. At June 30, 2022 and 2021, 42.3% and 48.2% of the commitments to originate loans are matched with commitments to sell related to conforming single family loans classified as held for sale, respectively.
Commitments to extend credit are agreements to lend to a customer so long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The commitments for equity lines of credit may expire without being drawn upon. Therefore, the total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if it is deemed necessary by the Company, is based on management’s credit evaluation of the customer.
In addition, we invest in low income housing project partnerships, which provide income tax credits, and in small business investment companies that call for capital contributions up to an amount specified in the partnership agreements. As of June 30, 2022 and 2021, we had commitments to contribute capital to these entities totaling $28.1 million and $15.1 million.
In the normal course of business, Axos Clearing’s customer activities involve the execution, settlement, and financing of various customer securities transactions. These activities may expose Axos Clearing to off-balance-sheet risk in the event the customer or other broker is unable to fulfill its contracted obligations and Axos Clearing has to purchase or sell the financial instrument underlying the contract at a loss. Axos Clearing’s clearing agreements with broker-dealers for which it provides clearing services requires them to indemnify Axos Clearing if customers fail to satisfy their contractual obligation. As of June 30, 2022, non-customer and customer margin securities of approximately $324.9 million and stock borrowings of approximately $339.0 million were available to the Company to utilize as collateral on various borrowings or for other purposes. The Company utilized $474.4 million of these available securities as collateral for securities loaned, $186.6 million for bank loans, and $20.0 million for OCC margin requirements.
Litigation. On October 15, 2015, the Company, its Chief Executive Officer and its Chief Financial Officer were named defendants in a putative class action lawsuit styled Golden v. BofI Holding, Inc., et al, and brought in United States District Court for the Southern District of California (the “Golden Case”). On November 3, 2015, the Company, its Chief Executive Officer and its Chief Financial Officer were named defendants in a second putative class action lawsuit styled Hazan v. BofI Holding, Inc., et al, and also brought in the United States District Court for the Southern District of California (the “Hazan Case”). On February 1, 2016, the Golden Case and the Hazan Case were consolidated as In re BofI Holding, Inc. Securities Litigation, Case #: 3:15-cv-02324-GPC-KSC (the “Class Action”), and the Houston Municipal Employees Pension System was appointed lead plaintiff. The plaintiffs allege that the Company and other named defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, by failing to disclose wrongful conduct that was alleged in a complaint filed in connection with a wrongful termination of employment lawsuit filed on October 13, 2015 (the “Employment Matter”) and that as a result the Company’s statements regarding its internal controls, as well as portions of its financial statements, were false and misleading. On April 13, 2022, the parties executed a Stipulation and Agreement of Settlement. The Stipulation and Agreement of Settlement was submitted to the District Court for approval on April 15, 2022. On June 8, 2022, the court granted preliminary approval of the settlement and scheduled a hearing with respect to final approval of the settlement for October 7, 2022. There is no assurance that final court approval will be granted. The agreed to settlement amount is not material to the Consolidated Financial Statements, as of and for the year ended June 30, 2022.
On April 3, 2017, the Company, its Chief Executive Officer and its Chief Financial Officer were named defendants in a putative class action lawsuit styled Mandalevy v. BofI Holding, Inc., et al, and brought in United States District Court for the Southern District of California (the “Mandalevy Case”). The Mandalevy Case seeks monetary damages and other relief on behalf of a putative class that has not been certified by the Court. The complaint in the Mandalevy Case (the “Mandalevy Complaint”) alleges a class
period that differs from that alleged in the First Class Action, and that the Company and other named defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, by failing to disclose wrongful conduct that was alleged in a March 2017 media article. The Mandalevy Case has not been consolidated into the First Class Action. On December 7, 2018, the Court entered a final order granting the defendants’ motion and dismissing the Mandalevy Case with prejudice. Subsequently, the plaintiff filed a notice of appeal and the Court took the matter under advisement. On November 3, 2020, the Court issued a ruling affirming in part and reversing in part the District Court's Order dismissing the Class Action Second Amended Complaint. The defendants filed a petition for rehearing en banc on November 17, 2020, which petition was denied on December 16, 2020. The defendants filed a motion to dismiss the remanded complaint on February 19, 2021. On January 31, 2022, a Stipulation of Settlement was submitted to the District Court for approval. On May 17, 2022, the court granted preliminary approval of the settlement and scheduled a hearing with respect to final approval for September 23, 2022. There is no assurance that final court approval will be granted. The agreed to settlement amount is not material to the Consolidated Financial Statements, as of and for the year ended June 30, 2022.
The Company and the other named defendants dispute the allegations of wrongdoing advanced by the plaintiffs in the Class Action, the Mandalevy Case, and in the Employment Matter, as well as those plaintiffs’ statement of the underlying factual circumstances, and are vigorously defending each case subject to final court approval of the settlements.
In addition to the First Class Action and the Mandalevy Case, two separate shareholder derivative actions were filed in December, 2015, purportedly on behalf of the Company. The first derivative action, Calcaterra v. Garrabrants, et al, was filed in the United States District Court for the Southern District of California on December 3, 2015. The second derivative action, Dow v. Micheletti, et al, was filed in the San Diego County Superior Court on December 16, 2015. A third derivative action, DeYoung v. Garrabrants, et al, was filed in the United States District Court for the Southern District of California on January 22, 2016, a fourth derivative action, Yong v. Garrabrants, et al, was filed in the United States District Court for the Southern District of California on January 29, 2016, a fifth derivative action, Laborers Pension Trust Fund of Northern Nevada v. Allrich et al, was filed in the United States District Court for the Southern District of California on February 2, 2016, and a sixth derivative action, Garner v. Garrabrants, et al, was filed in the San Diego County Superior Court on August 10, 2017. Each of these six derivative actions names the Company as a nominal defendant, and certain of its officers and directors as defendants. Each complaint sets forth allegations of breaches of fiduciary duties, gross mismanagement, abuse of control, and unjust enrichment against the defendant officers and directors. The plaintiffs in these derivative actions seek damages in unspecified amounts on the Company’s behalf from the officer and director defendants, certain corporate governance actions, and an award of their costs and attorney’s fees.
The United States District Court for the Southern District of California ordered the six above-referenced derivative actions pending before it to be consolidated and appointed lead counsel in the consolidated action. On June 7, 2018, the Court entered an order granting defendant’s motion for judgment on the pleadings, but giving the plaintiffs limited leave to amend by June 28, 2018. The plaintiffs failed to file an amended complaint, and instead plaintiffs filed on June 28, 2018 a motion to stay the case pending resolution of the securities class action and Employment Matter. On August 10, 2018, defendants filed an opposition to plaintiffs’ motion. On September 11, 2018, the plaintiffs filed a second amended complaint. On October 16, 2018, defendants filed a motion to dismiss the second amended complaint. On October 16, 2018, defendants filed a motion to dismiss the second amended complaint. The Court dismissed the second amended complaint with prejudice on May 23, 2019. Subsequently, the plaintiff filed a notice of appeal and opening brief and the Company filed its answering brief. Oral argument was held September 2, 2020. On February 25, 2021, the Ninth Circuit issued a memorandum decision affirming the dismissal of the Calcaterra derivative action. However, the Ninth Circuit reversed the district court’s order denying a stay of the action and remanded to the district court to reconsider whether it should grant the plaintiff leave to amend. The Ninth Circuit issued its mandate to the district court on April 9, 2021, and the plaintiff has opted for a stay on remand rather than amending the complaint.
The two derivative actions pending before the San Diego County Superior Court have been consolidated and have been stayed by agreement of the parties.
The Company and the other named defendants dispute, and intend to vigorously defend against, the allegations raised in the consolidated action and the state court derivative actions.
In June 2022, the Company finalized a one-time resolution of a contractual claim in an amount of $9.5 million.
In view of the inherent difficulty of predicting the outcome of each legal action, particularly since claimants seek substantial or indeterminate damages, it is not possible to reasonably predict or estimate the eventual loss or range of loss, if any, related to each legal action, unless otherwise disclosed above.
v3.22.2.2
MINIMUM REGULATORY CAPITAL REQUIREMENTS
 12 Months Ended
Jun. 30, 2022
Banking Regulation, Minimum Regulatory Capital Requirements [Abstract]  
MINIMUM REGULATORY CAPITAL REQUIREMENTS MINIMUM REGULATORY CAPITAL REQUIREMENTS
Consolidated and Banking Business
The Company and Bank are subject to regulatory capital adequacy requirements promulgated by federal bank regulatory agencies. Failure by the Company or Bank to meet minimum capital requirements could result in certain mandatory and discretionary actions by regulators that could have a material adverse effect on the consolidated financial statements. The Federal Reserve establishes capital requirements for the Company and the OCC has similar requirements for the Bank. The following tables present regulatory capital information for the Company and Bank. Information presented for June 30, 2022, reflects the Basel III capital requirements for both the Company and Bank. Under these capital requirements and the regulatory framework for prompt corrective action, the Company and Bank must meet specific capital guidelines that involve quantitative measures of the Company and Bank’s assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting practices. The Company’s and Bank’s capital amounts and classifications are also subject to qualitative judgments by regulators about components, risk weightings and other factors.
Quantitative measures established by regulation require the Company and Bank to maintain certain minimum capital amounts and ratios. Federal bank regulators require the Company and Bank maintain minimum ratios of core capital to adjusted average assets of 4.0%, common equity tier 1 capital to risk-weighted assets of 4.5%, tier 1 capital to risk-weighted assets of 6.0% and total risk-based capital to risk-weighted assets of 8.0%. At June 30, 2022, the Company and Bank met all the capital adequacy requirements to which they were subject. At June 30, 2022, the Company and Bank were “well capitalized” under the regulatory framework for prompt corrective action. To be “well capitalized,” the Company and Bank must maintain minimum leverage, common equity tier 1 risk-based, tier 1 risk-based and total risk-based capital ratios of at least 5.0%, 6.5%, 8.0% and 10.0%, respectively. Management believes that no conditions or events have occurred since June 30, 2022 that would materially adversely change the Company’s and Bank’s capital classifications. From time to time, we may need to raise additional capital to support the Company’s and Bank’s further growth and to maintain their “well capitalized” status.
The Company’s and Bank’s capital amounts, capital ratios and capital requirements under Basel III were as follows:
 Axos Financial, Inc.Axos Bank“Well 
Capitalized”
Ratio		Minimum Capital
Ratio
(Dollars in thousands)June 30, 2022June 30, 2021June 30, 2022June 30, 2021
Regulatory Capital:
Tier 1$1,522,478 $1,309,496 $1,615,012 $1,262,885 
Common equity tier 1$1,522,478 $1,309,496 $1,615,012 $1,262,885 
Total capital (to risk-weighted assets)$1,965,578 $1,587,625 $1,725,528 $1,358,430 
Assets:
Average adjusted$16,460,684 $14,851,462 $15,164,797 $13,359,578 
Total risk-weighted$15,443,152 $11,522,645 $14,366,457 $10,283,135 
Regulatory Capital Ratios:
Tier 1 leverage (core) capital to adjusted average assets9.25 %8.82 %10.65 %9.45 %5.00 %4.00 %
Common equity tier 1 capital (to risk-weighted assets)9.86 %11.36 %11.24 %12.28 %6.50 %4.50 %
Tier 1 capital (to risk-weighted assets)9.86 %11.36 %11.24 %12.28 %8.00 %6.00 %
Total capital (to risk-weighted assets)12.73 %13.78 %12.01 %13.21 %10.00 %8.00 %
Under Basel III all banking organizations are required to maintain a capital conservation buffer above the minimum risk-based capital requirements in order to avoid certain limitations on capital distributions, stock repurchases and discretionary bonus payments to executive officers. The capital conservation buffer is exclusively composed of common equity tier 1 capital, and it applies to each of the three risk-based capital ratios but not the leverage ratio. At June 30, 2022, the Company and Bank were in compliance with the capital conservation buffer requirement. Inclusive of the fully phased-in capital conservation buffer, the common equity Tier 1 capital, Tier 1 risk-based capital and total risk-based capital ratio minimums are 7.0%, 8.5% and 10.5%, respectively. A banking organization with a buffer of less than the required amount is subject to increasingly
stringent limitations on such distributions and payments as the buffer approaches zero. In addition, these requirements also generally prohibit a banking organization from making such distributions or payments during any quarter if its eligible retained income is negative and its capital conservation buffer ratio was 2.5% or less at the end of the previous quarter. The eligible retained income of a banking organization is defined as its net income for the four calendar quarters preceding the current calendar quarter, based on the organization’s quarterly regulatory reports, net of any distributions and associated tax effects not already reflected in net income.
Securities Business
Pursuant to the net capital requirements of the Exchange Act, Axos Clearing is subject to the SEC Uniform Net Capital (Rule 15c3-1 of the Exchange Act). Under this rule, the Company has elected to operate under the alternate method and is required to maintain minimum net capital of $250,000 or 2% of aggregate debit balances arising from client transactions, as defined. Under the alternate method, Axos Clearing may not repay subordinated debt, pay cash distributions, or make any unsecured advances or loans to its parent or employees if such payment would result in net capital of less than 5% of aggregate debit balances or less than 120% of its minimum dollar requirement.
The net capital position of Axos Clearing was as follows:
(Dollars in thousands)June 30, 2022June 30, 2021
Net capital$38,915 $35,950 
Less: required net capital6,250 8,046 
Excess capital$32,665 $27,904 
Net capital as a percentage of aggregate debit items12.45 %8.94 %
Net capital in excess of 5% aggregate debit items$23,290 $15,836 
Axos Clearing as a clearing broker, is subject to SEC Customer Protection Rule (Rule 15c3-3 of the Exchange Act) which requires segregation of funds in a special reserve account for the benefit of customers. At June 30, 2022, the Company had a deposit requirement of $286.9 million and maintained a deposit of $335.8 million. On July 1, 2022, Axos Clearing did not have to make a deposit to satisfy the deposit requirement. At June 30, 2021, the Company had a deposit requirement of $258.1 million and maintained a deposit of $251.2 million. On July 1, 2021, Axos Clearing made a deposit to satisfy the deposit requirement.
Certain broker-dealers have chosen to maintain brokerage customer accounts at Axos Clearing. To allow these broker-dealers to classify their assets held by the Company as allowable assets in their computation of net capital, the Company computes a separate reserve requirement for Proprietary Accounts of Brokers (PAB). At June 30, 2022, the Company had a deposit requirement of $29.1 million and maintained a deposit of $36.3 million. On July 1, 2022, Axos Clearing did not have to make a deposit to satisfy the deposit requirement. At June 30, 2021, the Company had a deposit requirement of $73.6 million and maintained a deposit of $71.0 million. On July 1, 2021, Axos Clearing made a deposit to satisfy the deposit requirement.
v3.22.2.2
EMPLOYEE BENEFIT PLAN
 12 Months Ended
Jun. 30, 2022
Compensation Related Costs [Abstract]  
EMPLOYEE BENEFIT PLAN EMPLOYEE BENEFIT PLANThe Company has one 401(k) plan whereby substantially all of its employees may participate in the plan. Employees may contribute up to 100% of their compensation subject to certain limits based on federal tax laws. The Company provides an employer matching contribution to each of the 401(k) plans based on an employee’s designated deferral of their eligible compensation. For the fiscal years ended June 30, 2022, 2021, and 2020, expenses attributable to the plan amounted to $3.6 million, $2.4 million, and $2.4 million, respectively. These expenses are included in the Consolidated Statements of Income in “Salaries and related costs”.
v3.22.2.2
PARENT-ONLY CONDENSED FINANCIAL INFORMATION
 12 Months Ended
Jun. 30, 2022
Condensed Financial Information Disclosure [Abstract]  
PARENT-ONLY CONDENSED FINANCIAL INFORMATION PARENT-ONLY CONDENSED FINANCIAL INFORMATION
The following tables present Axos Financial, Inc. (Parent company only) financial information and should be read in conjunction with the consolidated financial statements of the Company and the other notes to the consolidated financial statements. Adjustments to investment in subsidiaries, stockholders’ equity and equity in undistributed earnings of subsidiaries have been made to eliminate an intercompany transaction between multiple subsidiaries and the Parent company.
CONDENSED BALANCE SHEETS
 At June 30,
(Dollars in thousands)20222021
ASSETS
Cash and due from banks$98,640 $126,409 
Investment securities14,486 14,985 
Other assets125,235 111,084 
Investment in subsidiaries1,821,818 1,411,950 
Total assets
$2,060,179 $1,664,428 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Borrowings, subordinated notes and debentures$333,744 $185,158 
Accounts payable and accrued liabilities and other liabilities83,462 78,334 
Total liabilities417,206 263,492 
Stockholders’ equity1,642,973 1,400,936 
Total liabilities and stockholders’ equity$2,060,179 $1,664,428 
CONDENSED STATEMENTS OF INCOME
 Year Ended June 30,
(Dollars in thousands)202220212020
Interest income$1,777 $1,262 $619 
Interest expense11,183 10,891 4,348 
Net interest (expense) income(9,406)(9,629)(3,729)
Net interest (expense) income, after provision for credit losses(9,406)(9,629)(3,729)
Non-interest income (loss)6,275 217 58 
Non-interest expense and tax benefit1
9,741 4,360 11,903 
Income (loss) before dividends from subsidiary and equity in undistributed income of subsidiaries(12,872)(13,772)(15,574)
Dividends from subsidiaries40,000 45,000 119,114 
Equity in undistributed earnings of subsidiaries213,588 184,479 79,898 
Net income$240,716 $215,707 $183,438 
Comprehensive income$235,276 $219,151 $182,485 
1 Includes tax benefits of $11,927, $8,967, and $5,152 for the years ended June 30, 2022, 2021, and 2020, respectively.
Axos Financial, Inc. (Parent Company Only)
STATEMENT OF CASH FLOWS
 Year Ended June 30,
(Dollars in thousands)202220212020
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income$240,716 $215,707 $183,438 
Adjustments to reconcile net income to net cash used in operating activities:
Accretion of discounts on securities50 48 26 
Amortization of borrowing costs706 1,569 208 
Accretion of discounts on loans56 — — 
Amortization of operating lease right of use asset10,124 9,197 9,079 
Stock-based compensation expense21,242 20,685 21,935 
Depreciation and amortization224 — — 
Equity in undistributed earnings of subsidiaries(213,588)(184,479)(79,898)
Decrease (increase) in other assets(5,231)(25,835)(79,227)
Increase (decrease) in other liabilities(11,564)(14,550)72,175 
Net cash provided by operating activities42,735 22,342 127,736 
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of investment securities— — (15,301)
Purchases of loans and leases, net of discounts and premiums— — (59,391)
Proceeds from principal repayments on loans— — 10 
Purchases of furniture, equipment, software and intangibles(817)(457)— 
Investment in subsidiaries(203,086)(7,200)(10,130)
Net cash used in investing activities(203,903)(7,657)(84,812)
CASH FLOWS FROM FINANCING ACTIVITIES:
Tax payments related to the settlement of restricted stock units(14,481)(10,648)(7,457)
Repurchase of treasury stock— (16,757)(38,858)
Net (repayment) proceeds of other borrowings— (51,000)— 
Payments of debt issuance costs(2,120)(2,748)— 
Proceeds from issuance of subordinated notes150,000 175,000 — 
Redemption of preferred stock, Series A— (5,150)— 
Cash dividends on preferred stock— (103)(386)
Net cash provided by (used in) financing activities133,399 88,594 (46,701)
NET CHANGE IN CASH AND CASH EQUIVALENTS(27,769)103,279 (3,777)
CASH AND CASH EQUIVALENTS—Beginning of year126,409 23,130 26,907 
CASH AND CASH EQUIVALENTS—End of year$98,640 $126,409 $23,130 
v3.22.2.2
BANK-OWNED LIFE INSURANCE
 12 Months Ended
Jun. 30, 2022
Investments, All Other Investments [Abstract]  
BANK-OWNED LIFE INSURANCE BANK-OWNED LIFE INSURANCE
The following table summarizes the activity in the Company’s bank-owned life insurance (“BOLI”) as of the dates indicated:
(Dollars in thousands)BOLI values
Balance as of June 30, 2019$6,969 
    Death benefits(763)
    Change in Contract Value174 
Balance as of June 30, 20206,380 
    Additions50,000 
    Change in Contract Value175 
Balance as of June 30, 202156,555 
    Additions100,000 
    Change in Contract Value4,220 
Balance as of June 30, 2022$160,775 
Bank-owned life insurance is included in the ‘Other assets’ line in the Consolidated Balance Sheets.
v3.22.2.2
SEGMENT REPORTING
 12 Months Ended
Jun. 30, 2022
Segment Reporting [Abstract]  
SEGMENT REPORTING SEGMENT REPORTING
The operating segments reported below are the segments of the Company for which separate financial information is available and for which segment results are evaluated regularly by the Chief Executive Officer in deciding how to allocate resources and in assessing performance. The operating segments and segment results of the Company are determined based upon the management reporting system, which assigns balance sheet and income statement items to each of the business segments and by which segment results are evaluated by the Chief Executive Officer in deciding how to allocate resources and in assessing performance.
The Company evaluates performance and allocates resources based on pre-tax profit or loss from operations. There are no material inter-segment sales or transfers. Certain corporate administration costs and income taxes have not been allocated to the reportable segments. Therefore, in order to reconcile the two segments to the consolidated totals, we include parent-only activities and intercompany eliminations.
The Company operates through two operating segments: Banking Business and Securities Business.
Banking Business. The Banking Business includes a broad range of banking services including online banking, concierge banking, prepaid card services, and mortgage, vehicle and unsecured lending through online and telephonic distribution channels to serve the needs of consumer and small businesses nationally. In addition, the Banking Business focuses on providing deposit products nationwide to industry verticals (e.g., Title and Escrow), cash management products to a variety of businesses, and commercial & industrial and commercial real estate lending to clients. The Banking Business also includes a bankruptcy trustee and fiduciary service that provides specialized software and consulting services to Chapter 7 bankruptcy and non-Chapter 7 trustees and fiduciaries.
Securities Business. The Securities Business consists of two sets of products and services, securities services provided to third-party securities firms and investment management provided to consumers.
Securities services includes fully disclosed clearing services through Axos Clearing to FINRA- and SEC-registered member firms for trade execution and clearance as well as back office services such as record keeping, trade reporting, accounting, general back-office support, securities and margin lending, reorganization assistance and custody of securities. Providing financing to our brokerage customers for their securities trading activities through margin loans that are collateralized by securities, cash, or other acceptable collateral. Securities lending activities that include borrowing and lending securities with other broker-dealers. These activities involve borrowing securities to cover short sales and to complete transactions in which clients have failed to deliver securities by the required settlement date, and lending securities to other broker dealers for similar purposes.
Investment management includes our digital investment management business, which provides our retail customers with investment management services through a comprehensive and flexible technology platform.
In order to reconcile the two segments to the consolidated totals, the Company includes parent-only activities and intercompany eliminations. The following tables present the operating results, goodwill, and assets of the segments:
Year Ended June 30, 2022
(Dollars in thousands)Banking BusinessSecurities BusinessCorporate/EliminationsAxos Consolidated
Net interest income$597,833 $17,580 $(8,255)$607,158 
Provision for credit losses18,500 — — 18,500 
Non-interest income60,881 64,069 (11,587)113,363 
Non-interest expense274,079 84,014 3,969 362,062 
Income (Loss) before income taxes$366,135 $(2,365)$(23,811)$339,959 
Year Ended June 30, 2021
(Dollars in thousands)Banking BusinessSecurities BusinessCorporate/EliminationsAxos Consolidated
Net interest income$527,760 $18,746 $(7,764)$538,742 
Provision for credit losses23,750 — — 23,750 
Non-interest income79,150 27,627 (1,516)105,261 
Non-interest expense254,596 48,095 11,819 314,510 
Income (Loss) before income taxes$328,564 $(1,722)$(21,099)$305,743 
As of June 30, 2022
(Dollars in thousands)Banking BusinessSecurities BusinessCorporate/EliminationsAxos Consolidated
Goodwill$35,721 $59,953 $— $95,674 
Total assets$16,002,714 $1,328,558 $69,893 $17,401,165 
As of June 30, 2021
(Dollars in thousands)Banking BusinessSecurities BusinessCorporate/EliminationsAxos Consolidated
Goodwill$35,721 $35,501 $— $71,222 
Total assets$12,745,029 $1,450,512 $70,024 $14,265,565 
v3.22.2.2
ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
 12 Months Ended
Jun. 30, 2022
Accounting Policies [Abstract]  
Basis of Presentation and Consolidation Basis of Presentation and Consolidation. The Consolidated Financial Statements include the accounts of Axos Financial, Inc. (“Axos”) and its wholly owned subsidiaries, Axos Bank (the “Bank”) and Axos Nevada Holding, LLC (“Axos Nevada Holding” and collectively, the “Company”). Axos Nevada Holding, LLC wholly owns the companies constituting the Securities Business segment. All significant intercompany balances and transactions have been eliminated in consolidation.
Use of Estimates Use of Estimates. In preparing the Consolidated Financial Statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for credit losses, credit losses on available for sale debt securities and the fair value of certain financial instruments.
Revenue Recognition
Revenue Recognition. The Company accounts for certain revenue streams under Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers (“ASC 606”), which provides that an entity shall recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. Certain non-interest income, such as deposit service fees, advisory fee income and broker-dealer clearing fees, are within the scope of ASC 606.
Advisory Fee Income - Asset-Based Custody Fees and Asset-Based Fund Fees. Asset based custody fees consist of custody fees, and other ancillary fees. Custody fees vary based on a percentage of average customer assets under custody. Other ancillary fees may be charged based on average customer assets or based on specific activity. Revenue is recognized over the period where assets are held as the customer simultaneously receives and consumes the benefits. Asset based fund fees consist of 12b-1 and mutual fund shareholder services fees. Asset based fund fees are charged based on a percentage of client assets invested in certain funds. Revenue is calculated each month based on the average daily assets invested in particular funds. Revenue is recognized over the period where assets are invested in certain funds. The performance obligations relates to directing the assets to certain funds and revenue recognition is constrained until the amount of average assets invested in each fund is known.
Broker Dealer Clearing Fees. The Company earns revenues for executing, settling and clearing securities transactions for other broker-dealers on a fully disclosed basis. Trade execution and clearing services, when provided together, represent a single performance obligation as the services are not separately identifiable in the context of the contract. Revenues associated with combined trade execution and clearing services, as well as trade execution services on a standalone basis, are recognized at a point in time on trade-date. The Company believes that the performance obligation is satisfied on the trade date because that is when the underlying security or purchaser is identified, the pricing is agreed upon and the risks and rewards of ownership have been transferred to/from the customer. The Company also earns revenues for services which are separately identifiable and represent a distinct performance obligation which is recognized over time as the customer simultaneously receives and
consumes the benefits. Certain clearing or other related fees represent a modification of the original contract as they are distinct services. All trade and execution services are priced at their standalone selling price. Clearing and other fees are generally deducted from the introducing brokers’ commissions on a monthly basis.
Deposit Service Fees. Service charges on deposit accounts consist of account analysis fees (i.e., net fees earned on analyzed business and public checking accounts), monthly service fees, check orders, and other deposit account related fees. The Company’s performance obligation for account analysis fees and monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. Check orders and other deposit account related fees are largely transactional based, and therefore, the Company’s performance obligation is satisfied and related revenue recognized, when incurred. Payment for service charges on deposit accounts is primarily received immediately or in the following month through a direct charge to customers’ accounts.
Card Fees. Fees, exchange, and other service charges are primarily comprised of debit and credit card income, ATM fees, merchant services income, and other service charges. Debit and credit card income is primarily comprised of interchange fees earned whenever the Company’s debit and credit cards are processed through card payment networks such as Visa. ATM fees are primarily generated when a Company cardholder uses a non-Company ATM or a non-Company cardholder uses a Company ATM. Merchant services income mainly represents fees charged to merchants to process their debit and credit card transactions, in addition to account management fees. Other service charges include revenue from processing wire transfers, bill pay service, cashier’s checks, and other services. The Company’s performance obligation for fees, exchange, and other service charges are largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month.
Bankruptcy Trustee and Fiduciary Service Fees. Bankruptcy Trustee and Fiduciary Service income is primarily comprised of fees earned from the Monthly Basis Point Fee and Bank Account Service Charge. The products and services provided to the Trustee also indirectly provide additional deposits to the other banks. One of the uses of the increased deposits by the other banks is to fund the fees paid. The performance obligation is satisfied when the deposits are increased (or decreased) at the end of each month. The expected value method will be used to calculate and record the estimated revenue at the beginning of each month with a subsequent reconciliation to actual at the end of each month.
The following presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606 for the periods indicated:
 Year Ended June 30,
(Dollars in thousands)202220212020
Advisory fee income$28,309 $— $— 
Broker-dealer clearing fees19,754 22,156 16,265 
Deposit service fees4,508 4,173 4,240 
Card fees3,764 3,625 5,040 
Bankruptcy trustee and fiduciary service fees3,099 1,380 1,272 
    Non-interest income (in-scope Topic 606)59,434 31,334 26,817 
    Non-interest income (out-of-scope Topic 606)53,929 73,927 76,170 
    Total non-interest income$113,363 $105,261 $102,987 
Contract Balances. A contract asset or receivable is recognized if the Company performs a service or transfers a good in advance of receiving consideration. A contract liability is recognized if the Company receives consideration (or has the unconditional right to receive consideration) in advance of performance. As of June 30, 2022 and 2021, respectively, the Company’s contract assets and liabilities were not considered material.
Other. Income from bank owned life insurance is accounted for in accordance with ASC 325, Investments - Other. Increases in the net cash surrender value of the policies, as well as insurance proceeds received, are recorded in non-interest income and are not subject to income taxes. Lending related income includes fees earned from gains or losses on the sale of loans, SBA income, and letter of credit fees. Gains and losses on the sale of loans and Small Business Administration (“SBA”) income are recognized pursuant to ASC 860, Transfers and Servicing. Gain or loss on the sale of financial assets is measured as the net assets received from the sale less the carrying amount of the loan sold. The net assets received from the sale represent the fair value of any assets obtained or liabilities incurred as part of the transaction, including but not limited to cash, servicing assets, retained securitization investments and recourse obligations. Fees related to standby letters of credit are accounted for in accordance with ASC 440, Commitments. Net gain or loss on sales / valuations of repossessed and other assets is presented as a component of non-interest expense but may also be presented as a component of non-interest income in the event that a net gain
is recognized. Net gain or loss on sales of repossessed and other assets are accounted for in accordance with ASC 610, Other Income - Gains and Losses from the Derecognition of Nonfinancial Assets.
Cash and Cash Equivalents and Cash segregated for regulatory purposes
Cash and Cash Equivalents. The Bank’s cash, due from banks, money market mutual funds and federal funds sold, all of which have original maturities within 90 days, consist of cash and cash equivalents. Net cash flows are reported for customer deposit transactions.
Cash segregated for regulatory purposes. The Board of Governors of the Federal Reserve System (“the Federal Reserve”) regulations require depository institutions to maintain certain minimum reserve balances. Included within this are cash balances required by the Federal Reserve Bank of San Francisco (“FRBSF”) of the Bank. In addition, this line item includes qualified deposits in special reserve bank accounts for the exclusive benefit of Axos Clearing customers in accordance with Rule 15c3-3 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and other regulations.
Securities
Securities. The Company classifies securities at the time of purchase depending on intent. Debt securities are classified as held-to-maturity and carried at amortized cost when management has both the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Securities available-for-sale are reported at estimated fair value, with unrealized gains and losses, net of the related tax effects, excluded from operations and reported as a separate component of “Accumulated other comprehensive income or loss” on the Consolidated Balance Sheets. Trading securities refer to certain types of assets that banks hold for resale at a profit or when the Company elects to account for certain securities at fair value. Increases or decreases in the fair value of trading securities are recognized in earnings as they occur.
Gains and losses on securities sales are based on a comparison of sales proceeds and the amortized cost of the security sold using the specific identification method. Purchases and sales are recognized on the trade date. Interest income includes amortization of purchase premiums or discounts. Premiums and discounts on securities are amortized or accreted using the level-yield method without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income. For available-for-sale debt securities that do not meet the aforementioned criteria, the Company evaluates at the individual security level whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. The remaining change in fair value is recognized in “Other comprehensive income” on the Consolidated Statements of Comprehensive Income. Changes in the allowance for credit losses, if any, are recorded as a provision for (or reversal of) credit losses. Losses are charged against the allowance when management believes the available-for-sale investment security is confirmed as uncollectible or when either of the criteria regarding intent or requirement to sell is met.
Loans
Loans. Loans that are held for investment are loans that management has the intent and ability to hold for the foreseeable future or until maturity are reported at the principal balance outstanding, net of unearned interest, deferred purchase premiums and discounts, deferred loan origination fees and costs, and an allowance for credit loss - loans. Interest income is accrued on the unpaid principal balance. Premiums and discounts on loans purchased as well as loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the level-yield method.
As a result of the change from adopting Accounting Standards Update (“ASU”) 2016-13, “Measurement of Credit Losses on Financial Instruments” and all subsequent amendments that modified ASU 2016-13 (collectively, “ASC 326”) on July 1, 2020, the Company updated categorization of the loan portfolio.
Single Family - Mortgage & Warehouse. The Single Family Real Estate portfolio primarily consists of two loan types: single family mortgage loans and single family warehouse lines of credit. The single family mortgage loans consist of fixed-rate and adjustable-rate loans secured by one-to-four family residences located in the U.S. The Company’s lending policies generally limit the maximum LTV ratio on one-to-four family loans to 80% of the lesser of the appraised value or the purchase price, plus pledged collateral. Terms of maturity typically range from 15 to 30 years. The Company attempts to mitigate residential lending risks by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of the borrower. The Company also originates home equity lines of credit and second mortgage loans. Single family warehouse lines of credit consist of short-term, secured advances to mortgage bankers on a revolving basis. These facilities enable the mortgage originators to close loans in their own names and temporarily finance inventories of closed mortgage loans until they can be sold to an
approved investor. Mortgage loans aged on a mortgage banking customer’s line longer than 60 days are investigated by the Bank, which can require the borrower to pay down the line. The Company attempts to mitigate residential lending risks by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of the borrower.
Multifamily and Commercial Mortgage. The Company originates loans secured by multifamily real estate (more than four units) and commercial real estate (typically from $0.5 million to $10 million). These loans involve a greater degree of risk than one-to-four family residential mortgage loans as these loans can be greater in amount, dependent on the cash flow capacity of the project, and may be more difficult to evaluate and monitor. Repayment of loans secured by properties frequently depends on the successful operation and management of the properties. Consequently, repayment of such loans may be affected by adverse conditions in the real estate market or economy. The Company attempts to mitigate these risks by monitoring the LTV and minimum debt service coverage ratios, in addition to thoroughly evaluating the global financial condition of the borrower, the management experience of the borrower, and the quality of the collateral property securing the loan.
Commercial Real Estate. The Company originates loans across the U.S. secured by commercial real estate properties (“CRE”) under a variety of structures that it classifies as commercial real estate. A few examples are as follows: Commercial Bridge to Sale, Commercial Bridge to Construction, Commercial Bridge to Refinance and Acquisition, Development, and Construction. CRE Loans are originated to businesses secured by first liens on single family, multifamily, condominium, office, retail, mixed-use, hospitality, undeveloped or to-be-redeveloped land or small business loans. Repayment of CRE loans depends on the successful completion of the real estate transition project and permanent take-out. The Company attempts to mitigate risk by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of borrowers and guarantors.
Commercial & Industrial - Non-Real Estate (Non-RE). Comprising the majority of this portfolio are commercial and industrial non-real estate, asset-backed loans, lines of credit and term loans made to commercial borrowers secured by commercial assets, including, but not limited to, receivables, inventory and equipment. The Company typically reduces it exposure in these loans by entering into a structured facility, under which the Company takes a senior lien position collateralized by the underlying assets at advance rates well inside the collateral value. Commercial and industrial leases comprise the remainder of this portfolio and are primarily made based on the operating cash flows of the borrower or conversion of working capital assets to cash and secondarily on the underlying collateral provided by the borrower. The Company assesses whether each lease arrangement qualifies as a sale under ASC 606. The Company has determined that the equipment financing lease arrangements do not qualify as a sale as the buyer lessors do not obtain control of the assets in the Company’s ongoing sale leaseback arrangements. Therefore, the leased equipment is not capitalized on the balance sheet. Although commercial and industrial loans and leases are often collateralized directly or indirectly by equipment, inventory, accounts or loans receivable or other business assets, the liquidation of collateral in the event of a borrower default may be an insufficient source of repayment because accounts or loans receivable may be uncollectible and inventories and equipment may be obsolete or of limited use. The Company attempts to mitigate these risks through the structuring of these lending products, adhering to its underwriting policies in evaluating the management of the business and the credit-worthiness of borrowers and guarantors.
Auto and Consumer. This segment consists of the following distinct classes:
Auto. The Company originates prime loans to customers secured by new and used vehicles. The Company holds all of the auto loans originated and performs loan servicing functions for these loans. Auto loans carry a fixed interest rate and have terms that range from two to eight years. The Company attempts to mitigate auto lending risks by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of the borrower.
Consumer Unsecured Lending. The Company originates fixed rate unsecured loans to individual borrowers in all fifty states. Loans are normally in the range between $5,000 and $50,000 with terms that range between twelve and seventy-two months to well-qualified borrowers. The minimum credit score is 700. All applicants apply digitally and are required to supply proof of income, identity, and bank account documentation. The Company attempts to mitigate risks by using seasoned underwriters to review each loan, leveraging customer interviews and data analytics in the underwriting process.
Other. The Company originates other loans, which include structured settlements, SBA consumer loans and refund advance loans. Structured settlements are originated through the wholesale and retail purchase of state lottery prize and structured settlement annuities. These annuities are high credit quality deferred payment receivables having a state lottery commission or primarily highly rated insurance company payor. Purchases of state lottery prize or structured settlement annuities are governed by specific state statutes requiring judicial approval of each transaction. No transaction is funded before an order approving such transaction has been entered by a court of competent jurisdiction. The Company attempts to mitigate these risks by adhering to its underwriting policies in evaluating the credit-worthiness of the state or insurer. Federal Paycheck Protection Program (“PPP”) loans made by the Bank under the Federal Coronavirus Aid, Relief and Economic Security Act (“CARES”) Act are guaranteed by the SBA and, if the loan funds are used by the borrower for specific purposes as provided under the PPP, may be fully or partially forgiven by the SBA at which time, the Bank will receive funds related to the PPP loan
forgiveness directly from the SBA. Because of the underwriting policies and SBA guarantee, the Company does not expect any probable incurred credit losses and has provided a de minimis amount of allowance for credit losses.
Recognition of interest income on all portfolio segments is generally discontinued at the time the loan is 90 days delinquent unless the loan is well secured and in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not received for loans placed on nonaccrual, is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost recovery method, until qualifying for return to accrual status. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured.
Loans Held for Sale
Loans Held for Sale. Loans held for sale includes agency loans and non-agency loans held for sale. Agency loans originated and intended for sale in the secondary market are carried at fair value. Net unrealized gains and losses are recognized through mortgage banking income in the income statement. The Bank sells its mortgage loans with either servicing released or servicing retained depending upon market pricing. Gains and losses on loan sales are recorded as mortgage banking income, based on the difference between sales proceeds and carrying value. Non-agency loans held for sale are carried at the lower of cost or fair value. The Company has elected the fair value option for Agency loans held for sale. These loans are intended for sale and the Company believes that the fair value is the best indicator of the resolution of these loans. Interest income is recorded based on the contractual terms of the loan and in accordance with the Company’s policy on loans held for investment.
Loans that were originated with the intent and ability to hold for the foreseeable future (loans held for investment), but which have been subsequently designated as being held for sale for risk management or liquidity needs are carried at the lower of cost or fair value calculated using pools of loans with similar characteristics.
There may be times when loans have been classified as held for sale and cannot be sold. Loans transferred to a long-term investment classification from held-for-sale are transferred at the lower of cost or fair value on the transfer date. Any difference between the carrying amount of the loan and its outstanding principal balance is recognized as an adjustment to yield by the interest method. A loan cannot be classified as a long-term investment unless the Bank has both the ability and the intent to hold the loan for the foreseeable future or until maturity.
Leases, Lessee Leases. The Company leases office space under operating lease agreements scheduled to expire at various dates. The Company accounts for leases under ASC 842, Leases. At lease commencement, lease liabilities are recognized based on the present value of the remaining lease payments and discounted using the Company’s incremental borrowing rate, which is a blended rate comprised of the FHLB term rate and the Company’s subordinated debt rate. Right-of-use assets initially equal the lease liability, adjusted for any lease payments made prior to lease commencement and for any lease incentives.Lessee Arrangements. Substantially all of the Company’s lessee arrangements are operating leases. Under these arrangements, the Company records right-of-use assets and lease liabilities at lease commencement. Right-of-use assets are reported in “Other assets” on the Consolidated Balance Sheets, and the related lease liabilities are reported in “Accounts payable, accrued liabilities and other liabilities”. All leases are recorded on the Consolidated Balance Sheets, except leases with an initial term less than 12 months for which the Company made the short-term lease election. Lease expense is recognized on a straight-line basis over the lease term and is recorded in “Occupancy and equipment” expense in the Consolidated Statements of Income.
Leases, Lessor Lessor Arrangements. The Company provides equipment financing to its customers through a variety of lessor arrangements. Direct financing leases and sales-type leases are carried at the aggregate of lease payments receivable plus the estimated residual value of the leased property less unearned income, which is accreted to interest income over the lease terms using methods that approximate the interest method. Operating lease income is recognized on a straight-line basis. Leases generally do not contain non-lease components.
Mortgage Servicing Rights Mortgage Servicing Rights. Mortgage servicing assets are recognized when rights are retained upon sale of loans. The Company measures its servicing asset using the fair value method. Under the fair value method, the servicing rights are included on the Consolidated Balance Sheets at fair value. The changes in fair value are reported in earnings in the period in which the changes occur and the adjustments are included in “Mortgage banking income”, a component of non-interest income in the Consolidated Statements of Income.
Mortgage Banking Derivatives Mortgage Banking Derivatives. Commitments to fund mortgage loans (interest rate locks) to be sold into the secondary market and forward commitments for the future delivery of these mortgage loans are accounted for as free standing derivatives. Fair values of these mortgage derivatives are estimated based on changes in mortgage interest rates from the date the interest on the loan is locked. The Company enters into forward commitments for the future delivery of mortgage loans when interest rate locks are entered into, in order to economically hedge the change in interest rates resulting from its commitments to fund the loans. Changes in the fair values of these derivatives are included in “Mortgage banking income” on the Consolidated Statements of Income.
Furniture, Equipment and Software Furniture, Equipment and Software. Fixed assets are stated at cost less accumulated depreciation and amortization computed primarily using the straight-line method over the estimated useful lives of the assets, which are three to seven years and recorded within “Depreciation and amortization”, which is a component of non-interest expense on the Consolidated Statements of Income. Leasehold improvements are amortized over the lesser of the assets’ useful lives or the lease term.
Income Taxes Income Taxes. Income tax expense is the total of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred income tax assets and liabilities are determined using the asset and liability method. Under this method, the net deferred tax asset or liability is determined based on the tax effects of the temporary differences between the book and tax bases of the various assets and liabilities on the Consolidated Balance Sheets and gives current recognition to changes in tax rates and laws. The Company records a valuation allowance when management believes it is more likely than not that deferred tax assets will not be realized. An income tax position will be recognized as a benefit only if it is more likely than not that it will be sustained upon examination by the Internal Revenue Service, based upon its technical merits. Once that status is met, the amount recorded will be the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement. The Company recognizes interest and/or penalties related to income tax matters in income tax expense.
Securities Borrowed and Securities Loaned Securities Borrowed and Securities Loaned. Securities borrowed and securities loaned transactions are reported as collateralized financings and recorded at the amount of cash collateral advanced or received. Securities borrowed transactions require the Company to deposit cash with the lender. With respect to securities loaned, the Company receives collateral in the form of cash in an amount in excess of the fair value of securities loaned. The Company monitors the fair value of securities borrowed and loaned on a daily basis, with additional collateral obtained or refunded, as necessary.
Customer, Broker-Dealer and Clearing Receivables and Payables Customer, Broker-Dealer and Clearing Receivables and Payables. Customer, broker-dealer and clearing receivables include receivables of the Company’s broker-dealer subsidiaries, which represent amounts due on cash and margin transactions and are generally collateralized by securities owned by clients. These receivables primarily consist of floating-rate loans collateralized by customer-owned securities. The receivables are reported at their outstanding principal balance net of allowance for doubtful accounts. When a receivable is considered to be impaired, and impairment charge is recorded based on the current estimate of credit loss for the receivable, which is measured based on current prices from independent sources, such as listed market prices or broker-dealer price quotations. Securities owned by customers, including those that collateralize margin or other similar transactions, are not reflected on the Consolidated Balance Sheets. Also included in these accounts are receivables and payables from brokers and dealers and clearing organizations as well as securities failed to deliver and receive.
Business Combinations Business Combinations. Mergers and acquisitions are accounted for using the acquisition method of accounting. Assets and liabilities acquired and assumed are recorded at their fair values as of the date of the transaction. The excess of purchase price over the fair value of assets acquired and liabilities assumed is recorded as goodwill. Significant estimates and judgments are involved in the fair valuation and purchase price allocation process.
Goodwill and Other Intangible Assets
Goodwill and Other Intangible Assets. Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired. Other intangible assets represent purchased assets that lack physical substance but can be distinguished from goodwill because of contractual or other legal rights. Intangible assets that have finite lives, such as core deposit intangibles, are amortized over their estimated useful lives and subject to periodic impairment testing. Intangible assets (other than goodwill) are amortized to “Depreciation and amortization”, a component of non-interest expense on the Consolidated Statements of Income, using accelerated or straight-line methods over their respective estimated useful lives.
Goodwill is subject to impairment testing at the reporting unit level, which is conducted at least annually. The Company performs impairment testing during the third quarter of each year or when events or changes in circumstances indicate the assets might be impaired.
The Company performs a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing updated qualitative factors, the Company determines it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, it does perform a quantitative goodwill impairment test. Determining the fair value of a reporting unit is judgmental and often involves the use of significant estimates and assumptions. Similarly, estimates and assumptions are used in determining the fair value of other intangible assets. Estimates of fair value are primarily determined using discounted cash flows, market comparisons and recent transactions. These approaches use significant estimates and assumptions including projected future cash flows, discount rates reflecting the market rate of return, projected growth rates and determination and evaluation of appropriate market comparable.
Earnings per Common Share
Earnings per Common Share. Earnings per common share (“EPS”) are presented under two formats: basic EPS and diluted EPS. Basic EPS is computed by dividing the net income attributable to common stock (net income after deducting dividends on preferred stock) by the sum of the weighted-average number of common shares outstanding during the year and the unvested average of participating restricted stock units (“RSU”). Diluted EPS is computed by dividing the sum of net income attributable to common stock and dividends on diluted preferred stock by the sum of the weighted-average number of common shares outstanding during the year and the impact of dilutive potential common shares, such as nonparticipating RSUs and convertible preferred stock.
The Company accounts for unvested stock-based compensation awards containing non-forfeitable rights to dividends or dividend equivalents (collectively, “dividends”) as participating securities and includes the awards in the EPS calculation using the two-class method. Under the two class method, all earnings (distributed and undistributed) are allocated to each class of common stock and participating securities, based on their respective rights to receive dividends. Under the Amended and Restated 2014 Stock Incentive Plan (the “2014 Plan”), restricted stock units have no shareholder rights, meaning they are not entitled to dividends and are considered nonparticipating. These nonparticipating restricted stock units are not included in the basic earnings per common share calculation and are included in the diluted earnings per common share calculation using the treasury stock method.
Stock-Based Compensation Stock-Based Compensation. Compensation cost is recognized for restricted stock unit awards issued to employees, based on the fair value of these awards at the date of grant. Market price of the Company’s common stock at the date of grant is used for restricted stock unit awards. The Company has certain share awards that include market conditions that affect vesting. The fair value of these awards is estimated using a Monte Carlo simulation. Compensation cost is recognized over the required service period, generally defined as the vesting period. For awards with only a service condition that have a graded vesting schedule, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award. For awards that contain a market condition and have a graded vesting schedule compensation cost is recognized using an accelerated attribution method over the requisite service period for the awards. The Company accounts for forfeitures by recognizing forfeitures when they occur.
Stock of Regulatory Agencies Stock of Regulatory Agencies. The Bank is a member of the Federal Home Loan Bank (“FHLB”) system. Members are required to own a certain amount of FHLB stock based on the level of borrowings and other factors. FHLB stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Axos Securities, LLC is a member of the Depository Trust & Clearing Corporation (“DTCC”), a financial services company providing clearing and settlement services to the financial markets. Members are required to own a certain amount of DTCC stock based on the clearing levels and other factors. DTCC stock is carried at fair value, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value.
Low Income Housing Tax Credits Low Income Housing Tax Credits (“LIHTC”). The Company invests as a limited partner in LIHTC partnerships that operate qualified affordable housing projects which generate tax benefits for investors through the realization of tax credits and deductions, which may be subject to recapture by taxing authorities if compliance requirements are not met. We amortize the investment in proportion to the allocated tax benefits using the proportional amortization method of accounting and record such benefits net of investment amortization in income taxes on the consolidated statements of income. The investment is included within “Other assets” on the Consolidated Balance Sheets.
Cash Surrender Value of Life Insurance Cash Surrender Value of Life Insurance. The Bank has purchased life insurance policies on certain key executives. Bank owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other amounts due that are probable at settlement. Cash surrender value of life insurance is included in the other assets line on the consolidated balance sheet. Changes to the cash surrender value are recorded within “Banking and service fees”, which is a component of non-interest income on the Consolidated Statements of Income.
Comprehensive Income Comprehensive Income. Comprehensive income consists of net income and other comprehensive income. Other comprehensive income includes unrealized gains and losses on securities available-for-sale, which are also recognized as separate components of equity. The method for determining the cost basis of securities sold or reclassed out of other comprehensive income into earnings is based on the value of the specific security and any previously recognized gain or loss associated with that specific security.
New Accounting Standards
New Accounting Standards
Accounting Standards Issued But Not Yet Adopted
In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848)—Facilitation of the Effects of Reference Rate Reform on Financial Reporting, and the subsequent January 2021 clarification ASU 2021-04, Reference Rate Reform (Topic 848)—Scope, provide guidance to alleviate the burden in accounting for reference rate reform by allowing certain expedients and exceptions in applying generally accepted accounting principles to contracts, hedging relationships, and other transactions impacted by reference rate reform. The provisions apply only to those transactions that reference LIBOR or another reference rate expected to be discontinued due to reference rate reform. Adoption of the provisions are optional and are effective from March 12, 2020 through December 31, 2022. The Company is evaluating the impact on the Company’s Consolidated Financial Statements, but it does not expect the adoption to have a material impact.
In March 2022, the FASB issued ASU 2022-02, Financial Instruments-Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures. ASU 2022-02 addresses areas identified by the FASB as part of its post-implementation review of the credit losses standard (ASU 2016-13) that introduced the CECL model. The amendments eliminate the accounting guidance for troubled debt restructurings by creditors that have adopted the CECL model and enhance the disclosure requirements for loan refinancings and restructurings made with borrowers experiencing financial difficulty. In addition, the amendments require a public business entity to disclose current-period gross write-offs for financing receivables and net investment in leases by year of origination in the vintage disclosures. The amendment would become effective for the Company on July 1, 2023. Early adoption is permitted. The Company is evaluating the impact of ASU 2022-02 on the Company’s Consolidated Financial Statements, but it does not expect the adoption to have a material impact. The Company will be required to update certain disclosures around financing receivables and net investment in leases.
Fair Value Measurement
Fair value is defined as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC Topic 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:
Level 1: Quoted prices in active markets for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.
Level 2: 
Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets include securities with quoted prices that are traded less frequently than exchange-traded instruments and whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data.
Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models such as discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation.
When available, the Company generally uses quoted market prices to determine fair value. In some cases where a market price is available, the Company will make use of acceptable practical expedients (such as matrix pricing) to calculate fair value, in which case the items are classified in Level 2.
The Company considers relevant and observable market prices in its valuations where possible. The frequency of transactions, the size of the bid-ask spread and the nature of the participants are some of the factors the Company uses to help determine whether a market is active and orderly or inactive and not orderly. Price quotes based upon transactions that are not orderly are not considered to be determinative of fair value and are given little, if any, weight in measuring fair value.
If quoted market prices are not available, fair value is based upon internally developed valuation techniques that use, where possible, current market-based or independently sourced market parameters, such as interest rates, credit spreads, housing value forecasts, etc. Items valued using such internally generated valuation techniques are classified according to the lowest level input or value driver that is significant to the valuation. Thus, an item may be classified in Level 3 even though there may be some significant inputs that are readily observable.
Fair Value of Financial Instruments
The following section describes the valuation methodologies used by the Company to measure various financial instruments at fair value, including an indication of the level in the fair-value hierarchy in which each instrument is generally classified:
Securities—trading and available-for-sale. Trading securities are recorded at fair value. Available-for-sale securities are recorded at fair value and consist of mortgage-backed securities (“MBS”) issued by U.S. government-backed, including Ginne Mae, or government-sponsored enterprises including Fannie Mae and Freddie Mac (“agency”), MBS issued by non-agencies, municipal securities as well as other Non-MBS securities. Fair value for agency securities and municipal securities are generally based on quoted market prices of similar securities used to form a dealer quote or a pricing matrix. These securities are classified in Level 2. There continues to be significant illiquidity in the market for MBS issued by non-agencies, impacting the availability and reliability of transparent pricing. As orderly quoted market prices are not available, the Level 3 fair values for these securities are determined by the Company utilizing industry-standard tools to calculate the net present value of the expected cash flows available to the securities from the underlying mortgage assets. The Company computes Level 3 fair values for each non-agency MBS in the same manner (as described below) whether available-for-sale or held-to-maturity.
To determine the performance of the underlying mortgage loan pools, the Company estimates prepayments, defaults, and loss severities based on a number of macroeconomic factors, including housing price changes, unemployment rates, interest rates and borrower attributes such as credit score and loan documentation at the time of origination. The Company inputs for each security a projection of monthly default rates, loss severity rates and voluntary prepayment rates for the underlying mortgages for the remaining life of the security to determine the expected cash flows. The projections of default rates are derived by the Company from the historic default rate observed in the pool of loans collateralizing the security, increased by and decreased by the forecasted increase or decrease in the national unemployment rate. The projections of loss severity rates are derived by the Company from the historic loss severity rate observed in the pool of loans, increased by or decreased by the forecasted increase or decrease in the national home price appreciation (“HPA”) index. The largest factors influencing the
Company’s modeling of the monthly default rate are unemployment and HPA, as a strong correlation exists. The most updated unemployment rate reported in June 2022 was 3.6%. Consensus estimates for unemployment are that the rate will continue to decrease. The Company agrees with consensus estimates and thus is projecting lower monthly default rates. The Company projects that severities will continue to improve as HPA improves.
To determine the discount rates used to compute the present value of the expected cash flows for these non-agency MBS securities, the Company separates the securities by the borrower characteristics in the underlying pool. Specifically, “prime” securities generally have borrowers with higher FICO scores and better documentation of income. “Alt-A” securities generally have borrowers with a lower FICO and less documentation of income. “Pay-option ARMs” are Alt-A securities with borrowers that tend to pay the least amount of principal (or increase their loan balance through negative amortization). The Company calculates separate discount rates for prime, Alt-A and Pay-option ARM non-agency MBS securities using market-participant assumptions for risk, capital and return on equity. The default rates and the severities are projected for every non-agency MBS security held by the Company and will vary monthly based upon the actual performance of the security and the macroeconomic factors discussed above. Based upon the actual performance of the underlying collateral, the securities’ credit enhancement will be impacted. The range of existing credit enhancement is from 0.0% to 96.5%, with a weighted average credit enhancement 19.7%. The Company applies its discount rates to the projected monthly cash flows, which already reflect the full impact of all forecasted losses using the assumptions described above. When calculating present value of the expected cash flows at June 30, 2022, the Company computed its discount rates as a spread between 273 and 928 basis points over the LIBOR Index using the LIBOR forward curve.
The Bank’s estimate of fair value for non-agency securities using Level 3 pricing is highly subjective and is based on the Bank’s estimate of voluntary prepayments, default rates, severities and discount margins, which are forecasted monthly over the remaining life of each security.  Changes in one or more of these assumptions can cause a significant change in the estimated fair value.  For further details see the table later in this note that summarizes quantitative information about level 3 fair value measurements.
Loans Held for Sale. Loans held for sale at fair value are primarily single-family residential loans. The fair value of residential loans held for sale is determined by pricing for comparable assets or by existing forward sales commitment prices with investors. These loans held for sale are classified under Level 2.
Other Real Estate Owned and Repossessed Vehicles. Fair values are generally based on third party appraisals of the property, resulting in a Level 3 classification. In cases where the carrying amount exceeds the fair value, less costs to sell, an impairment loss is recognized.
Mortgage Servicing Rights. Fair value is derived from market-driven valuation changes as well as modeled amortization involving the run-off of value that occurs due to the passage of time as individual loans are paid by borrowers. Market expectations about loan duration, and correspondingly the expected term of future servicing cash flows, may vary from time to time due to changes in expected prepayment activity, especially when interest rates rise or fall. Market expectations of increased loan prepayment speeds may negatively impact the fair value of the single family MSRs. Fair value is also dependent on the discount rate used in calculating present value, which is input from observable market activity, market participants, and results in Level 3 classification. Management reviews and adjusts the discount rate on an ongoing basis. An increase in the discount rate would reduce the estimated fair value of the MSRs asset.
Mortgage Banking Derivatives. The fair value of interest rate locks is estimated based on changes in to be announced (“TBA”) values which are based upon mortgage interest rates from the date the interest on the loan is locked, adjusted for items such as estimated fallout and costs to originate the loan. These are classified under level 3.
The fair value of forward sale commitments is based upon prices in active secondary markets for identical securities or based on quoted market prices of similar assets used to form a dealer quote or a pricing matrix. If no such quoted price exists, the fair value of a commitment is determined by quoted prices for a similar commitment or commitments, adjusted for the specific attributes of each commitment. These are classified under level 3.
Credit Quality Indicators
Credit Quality Indicators. The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. The Company uses the following definitions for risk ratings.
Pass. Loans classified as pass are well protected by the current net worth and paying capacity of the obligor or by the fair value, less cost to acquire and sell, of any underlying collateral in a timely manner.
Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date.
Substandard. Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.
Doubtful. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.
The Company reviews and grades loans following a continuous loan review process, featuring coverage of all loan types and business lines at least quarterly. Continuous reviewing provides more effective risk monitoring because it immediately tests for potential impacts caused by changes in personnel, policy, products or underwriting standards.
Financing Receivable
Allowance for Credit Losses. The allowance for credit losses (“ACL”) is a valuation account that offsets the amortized cost basis of loans and net investment in leases. Under ASC 326, amortized cost is the basis on which the ACL is determined. Amortized cost is principal outstanding, net of any purchase premiums and discounts and net of any deferred loan fees and costs.
Credit losses are charged off when the Company believes that collectability of at least some portion of outstanding principal is unlikely. These charge-offs are recorded as a reversal, thereby reducing, the allowance for credit losses. Recoveries on loans previously charged off are recorded as an increase to the allowance for credit losses. The allowance for credit losses is maintained at a level needed to absorb expected credit losses over the contractual life, considering the effects of prepayments, of the loan portfolio as of the reporting date. Determining the adequacy of the allowance for credit losses is complex and requires judgment by Management about the effect of matters that are inherently uncertain. As such, a future assessment of current conditions may require material adjustments to the allowance.
The Company’s process for determining expected life-time credit losses entails a portfolio, model-based approach utilizing loan level detail and requires consideration of a broad range of relevant information relating to historical loss experience, current economic conditions and reasonable and supportable forecasts.
A credit loss is estimated for all loans. Consequently, the Company stratifies the full loan population into segments sharing similar characteristics to perform the evaluation of the credit loss collectively.
The Company defines a segment as the level at which the Company develops a systematic methodology to determine the allowance. Additionally, the Company can further stratify loans of similar type, risk attributes and methods for monitoring credit risk. The Company categorizes the loan portfolio into six segments: Single Family - Mortgage & Warehouse, Multifamily and Commercial Mortgage, Commercial Real Estate, Commercial & Industrial - Non Real Estate, Auto & Consumer and Other. Refer to detail above within this Note under Loans.
The method for estimating expected life-time credit losses includes, among other things, the following main components: 1) The use of a probability of default (“PD”)/loss given default (“LGD”) model; 2) defining a number of economic scenarios across the benign to adverse spectrum; 3) a reasonable forecast period of 24 months for all loan segments; and 4) a reversion period of 12 months using a linear transition to historical loss rates for each loan pool. After the reversion period, the historical loss rate is applied over the remaining contractual life of loan. Reasonable forecast periods and reversion periods are
subject to periodic review and may be adjusted based on the Company’s view of current economic conditions. The results of the estimate are calculated for several scenarios across the benign to adverse spectrum for each of the Company’s loan portfolio segments. The weighting of scenarios is subject to periodic review and may be adjusted based on the Company’s view of current economic conditions.
Given the inherent limitations of a solely quantitative model, qualitative adjustments are included to arrive at the ending calculated loss amount in order to account for data points not captured from quantitative inputs alone.
Qualitative criteria we consider includes, among other things, the following:
•Regulatory and Legal - matters that may impact the timeliness and/or amounts of repayments;
•Concentration - portfolio composition and loan concentration;
•Collateral Dependency - changes in collateral values;
•Lending/Underwriting Standards - current lending policies and the effects of any new policies;
•Nature and Volume - loan production volume and mix;
•Macroeconomic Environment - considerations not reflected in the data utilized in the model; and
•Loan Trends - credit performance trends, including a borrower’s financial condition and credit rating.
Specifically, Management reviews whether the model reflects the appropriate level of PD and LGD, given the macroeconomic forecasts used as compared to the Company’s loan portfolio. Management determines the adequacy of the allowance for credit losses based on reviews of individual loans, recent loss experience, current economic conditions, expectations about future economic conditions, the risk characteristics of the various categories of loans and other pertinent factors. If, based on Management’s evaluation, macroeconomic factors do not capture Management’s assumption regarding collateral values (LGD) and defaults (PD), Management will apply additional qualitative overlays to the loan portfolio. This evaluation is inherently subjective and requires estimates that are susceptible to significant revision as more information becomes available.
Prior to July 1, 2020, the entire allowance for credit losses for each portfolio class was a valuation allowance for probable losses existing in the loan portfolio. Under the prior methodology, the quantitative analysis determined was based on the Bank’s actual annual historic charge-off rates for the previous three fiscal years and applies the average historic rates to the outstanding loan and lease balances in each pool, the product of which is the general reserve amount. The qualitative analysis considered one or more of the following factors: changes in lending policies and procedures, changes in economic conditions, changes in the content of the portfolio, changes in lending management, changes in the volume of delinquency rates, changes to the scope of the loan and lease review system, changes in the underlying collateral of the loans and leases, changes in credit concentrations and any changes in the requirements to the credit loss calculations. When specific loan impairment analysis is performed under ASC 310-10, the impairment was either recorded as a charge-off to the loan allowance or, if such loan was a troubled debt restructuring (“TDR”), the impairment is recorded as a specific loan loss allowance.
Accrued Interest. Accrued interest receivable is excluded from amortized cost and is presented separately in “Other Assets” on the Consolidated Balance Sheets. Additionally, the Company does not estimate an allowance for credit losses on accrued interest receivable as the Company has a policy to charge off accrued interest deemed uncollectible in a timely manner. When a loan is placed on non-accrual status, which occurs when a borrower becomes delinquent by 90 days, interest previously accrued but not collected is reversed against current period interest income.
Individually Assessed Loans. Credit loss is estimated for any individual loan on a collective basis, unless an individual loan’s credit characteristics has deteriorated below a range of the overall group, in which case the loan would then be individually assessed. Individually assessed loans are measured for credit loss based on present value of future expected cash flows, discounted at the loan’s effective interest rate or the fair value of the collateral, less estimated selling costs, if the loan is collateral-dependent.
Loan Commitments. Loans commitments not unconditionally cancellable are subject to an estimate of credit loss under a current expected credit loss model. The Company’s process for determining the estimate of credit loss on loan commitments is the same as it is on loans. Refer to detail of Allowance on Credit Losses above. Allowance on Credit Losses of off-balance sheet commitments is presented separately in “Accounts payable, accrued liabilities and other liabilities” on the Consolidated Balance Sheets.
v3.22.2.2
ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
 12 Months Ended
Jun. 30, 2022
Accounting Policies [Abstract]  
Schedule of Non-interest Income, Segregated by Revenue Streams
The following presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606 for the periods indicated:
 Year Ended June 30,
(Dollars in thousands)202220212020
Advisory fee income$28,309 $— $— 
Broker-dealer clearing fees19,754 22,156 16,265 
Deposit service fees4,508 4,173 4,240 
Card fees3,764 3,625 5,040 
Bankruptcy trustee and fiduciary service fees3,099 1,380 1,272 
    Non-interest income (in-scope Topic 606)59,434 31,334 26,817 
    Non-interest income (out-of-scope Topic 606)53,929 73,927 76,170 
    Total non-interest income$113,363 $105,261 $102,987 
Cash Surrender Value of Life Insurance Changes to the cash surrender value are recorded within “Banking and service fees”, which is a component of non-interest income on the Consolidated Statements of Income.
v3.22.2.2
ACQUISITIONS (Tables)
 12 Months Ended
Jun. 30, 2022
Business Combination and Asset Acquisition [Abstract]  
Schedule of Fair Value and Useful Life of Each Intangible Asset Acquired The following table summarizes the fair value and useful life of each intangible asset acquired as of the acquisition date:
(Dollars in thousands)Fair ValueUseful Lives (Years)
Trade Name$290 0.16
Proprietary Technology10,990 7
Customer Relationships15,650 14
Non-Compete Agreements130 1
Total$27,060 
Business Acquisition, Pro Forma Information
The following table presents the results of operations of AAS for the years ended June 30, 2022 and 2021 on an unaudited pro forma basis, as if the acquisition of the entity that was rebranded to AAS had been consummated on July 1, 2020 through the periods shown below. The unaudited pro forma financial information is provided for informational purposes only and is not necessarily indicative of what the Company’s results of operations would have been if the acquisition of EAS had occurred as of July 1, 2020, or the results of operations for any future periods. Additionally, the information presented as follows does not reflect any synergies or other strategic benefits as a result of acquisition.
Pro Forma
 Year Ended June 30,
(Dollars in thousands)20222021
Non-interest income$32,949 $30,395 
v3.22.2.2
FAIR VALUE (Tables)
 12 Months Ended
Jun. 30, 2022
Fair Value Disclosures [Abstract]  
Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis
The following table sets forth the Company’s financial assets and liabilities measured at fair value on a recurring basis. Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement:
 June 30, 2022
(Dollars in thousands)Quoted Prices in
Active Markets for
Identical Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Total
ASSETS:
Securities—Trading: Municipal$— $1,758 $— $1,758 
Securities—Available-for-Sale:
Agency MBS1
— 25,325 — 25,325 
Non-Agency MBS2
— — 186,814 186,814 
Municipal— 3,248 — 3,248 
Asset-backed securities and structured notes— 47,131 — 47,131 
Total—Securities—Available-for-Sale$— $75,704 $186,814 $262,518 
Loans Held for Sale$— $4,973 $— $4,973 
Mortgage servicing rights$— $— $25,213 $25,213 
Other assets—Derivative instruments$— $— $464 $464 
LIABILITIES:
Other liabilities—Derivative instruments$— $— $— $— 
  June 30, 2021
(Dollars in thousands)Quoted Prices in
Active Markets for
Identical Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Total
ASSETS:
Securities—Trading: Municipal$— $1,983 $— $1,983 
Securities—Available-for-Sale:
Agency MBS1
$— $23,913 $— $23,913 
Non-Agency MBS2
— — 67,615 67,615 
Municipal— 3,565 — 3,565 
Asset-backed securities and structured notes— 92,242 — 92,242 
Total—Securities—Available-for-Sale$— $119,720 $67,615 $187,335 
Loans Held for Sale$— $29,768 $— $29,768 
Mortgage servicing rights$— $— $17,911 $17,911 
Other assets—Derivative Instruments$— $— $2,280 $2,280 
LIABILITIES:
Other liabilities—Derivative instruments$— $— $75 $75 
1Includes securities guaranteed by Ginnie Mae, a U.S. government agency, and the government sponsored enterprises Fannie Mae and Freddie Mac.
2Private sponsors of securities collateralized primarily by first - lien mortgage loans on commercial properties or by pools of 1-4 family residential first mortgages. Primarily super senior securities secured by Alt-A or pay-option ARM mortgages.
Schedule of Additional Information About Assets Measured at Fair Value on a Recurring Basis and for which the Company has Utilized Level 3 Inputs to Determine Fair Value
The following tables present additional information about assets measured at fair value on a recurring basis and for which the Company has utilized Level 3 inputs to determine fair value:
 Year Ended June 30, 2022
(Dollars in thousands)Securities-
Available-for-
Sale: Non-
Agency MBS
Mortgage Servicing Rights1
Derivative Instruments, netTotal
Assets:
Opening Balance$67,615 $17,911 $2,205 $87,731 
Transfers into Level 3— — — — 
Transfers out of Level 3— — — — 
Total gains or losses for the period:
Included in earnings—Mortgage banking income— 2,278 (1,741)537 
Included in other comprehensive income(3,244)— — (3,244)
Purchases, retentions, issues, sales and settlements:
Purchases/Retentions131,446 5,024 — 136,470 
Settlements(9,003)— — (9,003)
Closing balance$186,814 $25,213 $464 $212,491 
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period$— $2,278 $(1,741)$537 
1 Earnings from mortgage servicing rights were attributable to: Time and payoffs, representing a decrease in MSR value due to passage of time, including the impact from both regularly scheduled loan principal payments and loans that were paid down or paid off during the period of $4.1 million, and an increase in MSR value resulting from market-driven changes in interest rates of $6.4 million. Additions to mortgage servicing rights were retained upon sale of loans held for sale.
 Year Ended June 30, 2021
(Dollars in thousands)Securities-
Available-for-
Sale: Non-
Agency MBS
Mortgage Servicing Rights1
Derivative Instruments, netTotal
Assets:
Opening Balance$18,332 $10,675 $7,416 $36,423 
Transfers into Level 3— — — — 
Transfers out of Level 3— — — — 
Total gains or losses for the period:
Included in earnings—Mortgage banking income— (6,319)(5,211)(11,530)
Included in other comprehensive income2,289 — — 2,289 
Purchases, retentions, issues, sales and settlements:
Purchases/Retentions49,245 13,555 — 62,800 
Settlements(2,251)— — (2,251)
Closing balance$67,615 $17,911 $2,205 $87,731 
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period$— $(6,319)$(5,211)$(11,530)
1 Earnings from mortgage servicing rights were attributable to: Time and payoffs, representing a decrease in MSR value due to passage of time, including the impact from both regularly scheduled loan principal payments and loans that were paid down or paid off during the period of $7.2 million, and an increase in MSR value resulting from market-driven changes in interest rates of $0.9 million. Additions to mortgage servicing rights were retained upon sale of loans held for sale.
Schedule of Quantitative Information About Level 3 Fair Value Measurements
The table below summarizes the quantitative information about Level 3 fair value measurements as of the dates indicated:
June 30, 2022
(Dollars in thousands)Fair ValueValuation TechniqueUnobservable InputsRange and Weighted Average
Securities – Non-agency MBS$186,814 Discounted Cash FlowProjected Constant Prepayment Rate,
Projected Constant Default Rate,
Projected Loss Severity,
Discount Rate over LIBOR
0.0 to 30.0% (21.4%)
0.0 to 7.9% (2.2%)
0.0 to 68.4% (26.7%)
2.7 to 9.3% (2.8%)
Mortgage Servicing Rights$25,213 Discounted Cash FlowProjected Constant Prepayment Rate,
Life (in years),
Discount Rate
7.9 to 56.3% (11.0%)
1.2 to 9.9 (8.4)
9.5 to 11.5% (9.5%)
Derivative Instruments$464 Sales Comparison ApproachProjected Sales Profit of Underlying Loans
-3.1 to 0.8% (-1.2%)



June 30, 2021
(Dollars in thousands)Fair ValueValuation TechniqueUnobservable InputsRange and Weighted Average
Securities – Non-agency MBS$67,615 Discounted Cash FlowProjected Constant Prepayment Rate,
Projected Constant Default Rate,
Projected Loss Severity,
Discount Rate over LIBOR
0.0 to 25.0% (2.7%)
0.0 to 5.6% (0.6%)
0.0 to 100.0% (19.4%)
2.7 to 7.2% (3.1%)
Mortgage Servicing Rights$17,911 Discounted Cash FlowProjected Constant Prepayment Rate,
Life (in years),
Discount Rate
7.5 to 37.4% (11.5%)
1.7 to 7.5 (6.4)
9.5 to 13.0% (9.6%)
Derivative Instruments$2,205 Sales Comparison ApproachProjected Sales Profit of Underlying Loans
0.2 to 0.5% (0.3%)
The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at the periods indicated:
June 30, 2022
(Dollars in thousands)Fair ValueValuation TechniqueUnobservable Input
Range (Weighted Average)1
Other real estate owned and foreclosed assets:
Autos and RVs$798 Sales comparison approachAdjustment for differences between the comparable sales
-17.2 to 4.6% (-7.5%)
1 For other real estate owned and foreclosed assets, the ranges shown may vary positively or negatively based on the comparable sales reported in the current appraisal. In certain instances, the range can be significant due to small sample sizes and in some cases the property being valued having limited comparable sales with similar characteristics at the time the current appraisal is conducted.
June 30, 2021
(Dollars in thousands)Fair ValueValuation TechniqueUnobservable Input
Range (Weighted Average)1
Other real estate owned and foreclosed assets:
Single family real estate$6,547 Sales comparison approachAdjustment for differences between the comparable sales
-1.5 to 6.1% (2.0%)
Autos & RVs$235 Sales comparison approachAdjustment for differences between the comparable sales
-2.1 to 14.7% (-2.1%)
1 For other real estate owned and foreclosed assets, the ranges shown may vary positively or negatively based on the comparable sales reported in the current appraisal. In certain instances, the range can be significant due to small sample sizes and in some cases the property being valued having limited comparable sales with similar characteristics at the time the current appraisal is conducted.
Schedule of Fair Value Assets Measured for Impairment on Nonrecurring Basis
The table below summarizes the fair value of assets measured for impairment on a non-recurring basis:
 June 30, 2022
(Dollars in thousands)Quoted Prices in
Active Markets for
Identical Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable Inputs
(Level 3)		Balance
Other real estate owned and foreclosed assets:
Autos & RVs$— $— $798 $798 
Total$— $— $798 $798 
 June 30, 2021
(Dollars in thousands)Quoted Prices in
Active Markets for
Identical Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable Inputs
(Level 3)		Balance
Other real estate owned and foreclosed assets:
Single family real estate$— $— $6,547 $6,547 
Autos & RVs— — 235 235 
Total$— $— $6,782 $6,782 
Schedule of Aggregate Fair Value, Contractual Balance, and Unrealized Gain of Loans Held For Sale
The aggregate fair value, contractual balance (including accrued interest), and unrealized gain for loans held for sale was as follows:
At June 30,
(Dollars in thousands)202220212020
Aggregate fair value$4,973 $29,768 $51,995 
Contractual balance4,881 28,940 49,700 
Unrealized gain $92 $828 $2,295 
The total amount of gains and losses from changes in fair value included in earnings for the period indicated below for loans held for sale were:
At June 30,
(Dollars in thousands)202220212020
Interest income$739 $1,411 $1,113 
Change in fair value(2,474)(6,680)7,531 
Total$(1,735)$(5,269)$8,644 
Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments at Year-end
The carrying amount and estimated fair values of financial instruments at year-end were as follows:
June 30, 2022
(Dollars in thousands)Carrying
Amount		Level 1Level 2Level 3Total Fair Value
Financial assets:
Cash, cash equivalents, cash segregated, and federal funds sold$1,574,699 $1,574,699 $— $— $1,574,699 
Securities trading1,758 — 1,758 — 1,758 
Securities available-for-sale262,518 — 75,704 186,814 262,518 
Loans held for sale, at fair value4,973 — 4,973 — 4,973 
Loans held for sale, at lower of cost or fair value10,938 — — 10,985 10,985 
Loans held for investment—net14,091,061 — — 14,015,157 14,015,157 
Securities borrowed338,980 — — 329,963 329,963 
Customer, broker-dealer and clearing receivables417,417 — — 414,383 414,383 
Mortgage servicing rights25,213 — — 25,213 25,213 
Financial liabilities:
Total deposits13,946,422 — 12,812,512 — 12,812,512 
Advances from the Federal Home Loan Bank117,500 — 117,500 — 117,500 
Borrowings, subordinated notes and debentures445,244 — 416,947 — 416,947 
Securities loaned474,400 — — 473,831 473,831 
Customer, broker-dealer and clearing payables511,654 — — 471,859 471,859 
June 30, 2021
(Dollars in thousands)Carrying
Amount		Level 1Level 2Level 3Total Fair Value
Financial assets:
Cash, cash equivalents, cash segregated, and federal funds sold$1,037,777 $1,037,777 $— $— $1,037,777 
Securities trading1,983 — 1,983 — 1,983 
Securities available-for-sale187,335 — 119,720 67,615 187,335 
Loans held for sale, at fair value29,768 — 29,768 — 29,768 
Loans held for sale, at lower of cost or fair value12,294 — — 12,336 12,336 
Loans and leases held for investment—net
11,414,814 — — 11,833,102 11,833,102 
Securities borrowed619,088 — — 619,274 619,274 
Customer, broker-dealer and clearing receivables369,815 — — 369,815 369,815 
Mortgage servicing rights17,911 — — 17,911 17,911 
Financial liabilities:
Total deposits10,815,797 — 10,297,450 — 10,297,450 
Advances from the Federal Home Loan Bank353,500 — 353,500 — 353,500 
Borrowings, subordinated notes and debentures221,358 — 210,196 — 210,196 
Securities loaned728,988 — — 731,467 731,467 
Customer, broker-dealer and clearing payables535,425 — — 535,425 535,425 
v3.22.2.2
SECURITIES (Tables)
 12 Months Ended
Jun. 30, 2022
Investments, Debt and Equity Securities [Abstract]  
Schedule of Amortized Cost, Carrying Amount and Fair Value of Available-for-sale Securities
The amortized cost, carrying amount and fair value for the securities available-for-sale for the following periods were:
June 30, 2022
 TradingAvailable-for-sale
(Dollars in thousands)Fair
Value		Amortized
Cost		Unrealized
Gains		Unrealized
Losses		Fair
Value
Mortgage-backed securities (MBS):
Agencies1
$— $27,722 $9 $(2,406)$25,325 
Non-agency2
— 187,616 1,832 (2,634)186,814 
Total mortgage-backed securities— 215,338 1,841 (5,040)212,139 
Non-MBS:
Municipal1,758 3,529 — (281)3,248 
Asset-backed securities and structured notes— 47,000 131 — 47,131 
Total Non-MBS1,758 50,529 131 (281)50,379 
Total debt securities$1,758 $265,867 $1,972 $(5,321)$262,518 
  June 30, 2021
TradingAvailable-for-sale
(Dollars in thousands)Fair
Value		Amortized
Cost		Unrealized
Gains		Unrealized
Losses		Fair
Value
Mortgage-backed securities (MBS):
Agencies1
$— $23,639 $420 $(146)$23,913 
Non-agency2
— 65,174 2,862 (421)67,615 
Total mortgage-backed securities— 88,813 3,282 (567)91,528 
Non-MBS:
Municipal1,983 3,466 99 — 3,565 
Asset-backed securities and structured notes— 90,549 1,693 — 92,242 
Total Non-MBS1,983 94,015 1,792 — 95,807 
Total debt securities$1,983 $182,828 $5,074 $(567)$187,335 
1 Includes securities guaranteed by Ginnie Mae, a U.S. government agency, and the government sponsored enterprises Fannie Mae and Freddie Mac.
2 Private sponsors of securities collateralized primarily by first-lien mortgage loans on commercial properties or by pools of 1-4 family residential first mortgages. Primarily super senior securities secured by prime, Alt-A or pay-option ARM mortgages.
Schedule of Securities in a Continuous Unrealized Loss Position
The securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position were as follows:
June 30, 2022
 Available-for-sale securities in loss position for
 Less Than 12
Months		More Than 12
Months		Total
(Dollars in thousands)Fair
Value		Gross Unrealized LossesFair
Value		Gross Unrealized LossesFair
Value		Gross Unrealized Losses
MBS:
Agencies$16,446 $(1,338)$8,097 $(1,068)$24,543 $(2,406)
Non-agency92,796 (2,204)4,751 (430)97,547 (2,634)
Total MBS securities109,242 (3,542)12,848 (1,498)122,090 (5,040)
Non-MBS:
Municipal debt3,248 (281)— — 3,248 (281)
Total Non-MBS3,248 (281)— — 3,248 (281)
Total debt securities$112,490 $(3,823)$12,848 $(1,498)$125,338 $(5,321)
 June 30, 2021
Available-for-sale securities in loss position for
Less Than 12
Months		More Than 12
Months		Total
(Dollars in thousands)Fair
Value		Gross Unrealized LossesFair
Value		Gross Unrealized LossesFair
Value		Gross Unrealized Losses
MBS:
Agencies$10,001 $(146)$— $— $10,001 $(146)
Non-agency— — 6,018 (421)6,018 (421)
Total MBS securities10,001 (146)6,018 (421)16,019 (567)
Non-MBS:
Municipal debt— — — — — — 
Asset-backed securities and structured notes— — — — — — 
Total Non-MBS— — — — — — 
Total debt securities$10,001 $(146)$6,018 $(421)$16,019 $(567)
Schedule of Unrealized Gain (Loss) on Securities in Accumulated Other Comprehensive Loss
The components of the Company’s accumulated other comprehensive income (loss) are as follows:
At June 30,
(Dollars in thousands)20222021
Available-for-sale debt securities—net unrealized gains (losses)$(3,349)$4,507 
Available-for-sale debt securities—non-credit related(845)(845)
Subtotal(4,194)3,662 
Tax (provision) benefit1,261 (1,155)
Net unrealized gain (loss) on investment securities in accumulated other comprehensive loss$(2,933)$2,507 
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS (Tables)
 12 Months Ended
Jun. 30, 2022
Receivables [Abstract]  
Schedule of Composition of the Loan Portfolio
The following table sets forth the composition of the loan portfolio as of the dates indicated:
At June 30,
(Dollars in thousands)20222021
Single Family - Mortgage & Warehouse$3,988,462 $4,359,472 
Multifamily and Commercial Mortgage2,877,680 2,470,454 
Commercial Real Estate4,781,044 3,180,453 
Commercial & Industrial - Non-RE2,028,128 1,123,869 
Auto & Consumer567,228 362,180 
Other11,134 58,316 
  Total gross loans14,253,676 11,554,744 
Allowance for credit losses - loans(148,617)(132,958)
Unaccreted premiums (discounts) and loan fees(13,998)(6,972)
  Total net loans$14,091,061 $11,414,814 
Schedule of Allowance for Credit Losses on Financing Receivables
The following table summarizes activity in the allowance for credit losses - loans for the periods indicated:
At June 30,
(Dollars in thousands)202220212020
Balance—beginning of period$132,958 $75,807 $57,085 
Effect of Adoption of ASC 326— 47,300 — 
Provision for loan and lease loss18,500 23,750 42,200 
Charged off(4,428)(16,558)(25,833)
Recoveries1,587 2,659 2,355 
Balance—end of period$148,617 $132,958 $75,807 
The following tables summarize activity in the allowance for credit losses - loans by portfolio classes for the periods indicated:
June 30, 2022
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Balance at July 1, 2021$26,604 $13,146 $57,928 $28,460 $6,519 $301 $132,958 
Provision for credit losses - loans(7,009)1,332 11,411 2,544 10,492 (270)18,500 
Charge-offs(82)— — (322)(4,024)— (4,428)
Recoveries157 177 — 126 1,127 — 1,587 
Balance at June 30, 2022$19,670 $14,655 $69,339 $30,808 $14,114 $31 $148,617 
June 30, 2021
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Balance at July 1, 2020$25,899 $4,719 $21,052 $9,954 $9,462 $4,721 $75,807 
Effect of Adoption of ASC 3266,318 7,408 25,893 7,042 610 29 47,300 
Provision for credit losses - loans(3,242)1,196 11,238 14,251 (1,354)1,661 23,750 
Charge-offs(2,502)(177)(255)(2,833)(3,517)(7,274)(16,558)
Recoveries131 — — 46 1,318 1,164 2,659 
Balance at June 30, 2021$26,604 $13,146 $57,928 $28,460 $6,519 $301 $132,958 
June 30, 2020
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Balance at July 1, 2019$22,290 $3,807 $14,632 $9,544 $6,339 $473 $57,085 
Provision for credit losses - loans3,546 793 6,420 4,542 7,429 19,470 42,200 
Charge-offs(203)— — (4,132)(5,047)(16,451)(25,833)
Recoveries266 119 — — 741 1,229 2,355 
Balance at June 30, 2020$25,899 $4,719 $21,052 $9,954 $9,462 $4,721 $75,807 
The following tables present a summary of the activity in the unfunded loan commitment liabilities for the periods indicated:
Year Ended June 30,
(Dollars in thousands)202220212020
BALANCE—beginning of year$5,723 $323 $227 
Effect of Adoption of ASC 326— 5,700 — 
Provision5,250 (300)96 
BALANCE—end of year$10,973 $5,723 $323 
Schedule of Nonaccrual Loans Nonaccrual loans consisted of the following as of the dates indicated:
As of June 30, 2022
(Dollars in thousands)With AllowanceWith No AllowanceTotal
Single Family - Mortgage & Warehouse$66,424 $— $66,424 
Multifamily and Commercial Mortgage33,410 — 33,410 
Commercial Real Estate14,852 — 14,852 
Commercial & Industrial - Non-RE2,989 — 2,989 
Auto & Consumer439 — 439 
Other80 — 80 
     Total nonaccrual loans$118,194 $— $118,194 
Nonaccrual loans to total loans0.83 %
As of June 30, 2021
(Dollars in thousands)With AllowanceWith No AllowanceTotal
Single Family - Mortgage & Warehouse$45,951 $59,757 $105,708 
Multifamily and Commercial Mortgage2,916 17,512 20,428 
Commercial Real Estate15,839 — 15,839 
Commercial & Industrial - Non-RE2,942 — 2,942 
Auto & Consumer230 48 278 
     Total nonaccrual loans$67,878 $77,317 $145,195 
Nonaccrual loans to total loans1.26 %
Schedule of Loans and Leases Performing and Nonaccrual
The following tables provide the outstanding unpaid balance of loans that are performing and nonaccrual by portfolio class as of the dates indicated:
June 30, 2022
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Performing$3,922,038 $2,844,270 $4,766,192 $2,025,139 $566,789 $11,054 $14,135,482 
Nonaccrual66,424 33,410 14,852 2,989 439 80 118,194 
Total$3,988,462 $2,877,680 $4,781,044 $2,028,128 $567,228 $11,134 $14,253,676 
June 30, 2021
(Dollars in thousands)Single Family - Mortgage & WarehouseMultifamily and Commercial MortgageCommercial Real EstateCommercial & Industrial - Non-REAuto & ConsumerOtherTotal
Performing$4,253,764 $2,450,026 $3,164,614 $1,120,927 $361,902 $58,316 $11,409,549 
Nonaccrual105,708 20,428 15,839 2,942 278 — 145,195 
Total$4,359,472 $2,470,454 $3,180,453 $1,123,869 $362,180 $58,316 $11,554,744 
Schedule of Composition of Loan and Lease Portfolio by Credit Quality Indicators
The amortized cost basis by fiscal year of origination and credit quality indicator of the Company’s loan as of June 30, 2022 was as follows:
Loans Held for Investment Origination YearRevolving Loans Revolving Loans Converted to Loans HFITotal
(Dollars in thousands)20222021202020192018Prior
Single Family-Mortgage & Warehouse
Pass$1,484,027 $600,054 $402,712 $303,999 $279,248 $548,703$241,925 $—    $3,860,668
Special Mention——4,7902,5054,12510,97138,637—61,028
Substandard—2,2883,92818,4075,95536,188——66,766
Doubtful—————————
Total1,484,027602,342411,430324,911289,328595,862280,562—3,988,462
Multifamily and Commercial Mortgage
Pass999,819569,486429,247259,161219,548316,013——2,793,274
Special Mention1,200—534539—968——3,241
Substandard—5,77234,3439,6137,30824,129——81,165
Doubtful—————————
Total1,001,019575,258464,124269,313226,856341,110——2,877,680
Commercial Real Estate
Pass2,482,366990,887358,422186,80028,758—602,412—4,649,645
Special Mention—32,35112,13816,48715,000———75,976
Substandard——12,57518,04323,507—1,298—55,423
Doubtful—————————
Total2,482,3661,023,238383,135221,33067,265—603,710—4,781,044
Commercial & Industrial - Non-RE
Pass435,22866,22625,62961,9329,268—1,388,435—1,986,718
Special Mention13——186710———909
Substandard2,98828,3599,154—————40,501
Doubtful—————————
Total438,22994,58534,78362,1189,978—1,388,435—2,028,128
Auto & Consumer
Pass352,468107,88243,37737,00816,1478,891——565,773
Special Mention20418824110—1——527
Substandard157311224205256——928
Doubtful—————————
Total352,829108,38143,62537,32316,1728,898——567,228
Other
Pass3,0576,185——1,091721——11,054
Special Mention—————————
Substandard——46——34——80
Doubtful—————————
Total3,0576,18546—1,091755——11,134
Total
Pass5,756,9652,340,7201,259,387848,900554,060874,3282,232,772—13,867,132
Special Mention1,41732,53917,48619,82719,83511,94038,637—141,681
Substandard3,14536,73060,27046,26836,79560,3571,298—244,863
Doubtful—————————
Total$5,761,527 $2,409,989 $1,337,143 $914,995 $610,690 $946,625$2,272,707$—       $14,253,676
As a % of total gross loans40.42%16.91%9.38%6.42%4.28%6.64%15.95% —%100.0%
Schedule of Past Due Loan and Leases
The following tables provide the outstanding unpaid balance of loans and leases that are past due 30 days or more by portfolio class as of the dates indicated:
 June 30, 2022
(Dollars in thousands)30-59 Days60-89 Days90+ DaysTotal
Single Family-Mortgage & Warehouse$5,167 $1,518 $63,286 $69,971 
Multifamily and Commercial Mortgage9,455 2,115 26,556 38,126 
Commercial Real Estate— 14,852 — 14,852 
Commercial & Industrial - Non-RE— — — — 
Auto & Consumer4,865 1,009 466 6,340 
Other413 — 193 606 
Total$19,900 $19,494 $90,501 $129,895 
As a % of gross loans0.14 %0.14 %0.63 %0.91 %
June 30, 2021
(Dollars in thousands)30-59 Days60-89 Days90+ DaysTotal
Single Family-Mortgage & Warehouse$24,150 $46,552 $69,169 $139,871 
Multifamily and Commercial Mortgage7,991 1,816 12,122 21,929 
Commercial Real Estate36,786 — — 36,786 
Commercial & Industrial - Non-RE— — 2,960 2,960 
Auto & Consumer601 306 235 1,142 
Other— — — — 
Total$69,528 $48,674 $84,486 $202,688 
As a % of gross loans0.60 %0.42 %0.73 %1.75 %
v3.22.2.2
OFFSETTING OF SECURITIES FINANCING AGREEMENTS (Tables)
 12 Months Ended
Jun. 30, 2022
Offsetting [Abstract]  
Schedule of Securities Financing Transactions - Assets
The following table presents information about the offsetting of these instruments and related collateral amounts as of:
June 30, 2022
(Dollars in thousands)Gross Assets / LiabilitiesAmounts OffsetNet Balance Sheet AmountFinancial CollateralNet Assets / Liabilities
Assets:
Securities borrowed$338,980 $— $338,980 $338,980 $— 
Liabilities:
Securities loaned$474,400 $— $474,400 $474,400 $— 
June 30, 2021
(Dollars in thousands)Gross Assets / LiabilitiesAmounts OffsetNet Balance Sheet AmountFinancial CollateralNet Assets / Liabilities
Assets:
Securities borrowed$619,088 $— $619,088 $619,088 $— 
Liabilities:
Securities loaned$728,988 $— $728,988 $728,988 $— 
Schedule of Securities Financing Transactions - Liabilities
The following table presents information about the offsetting of these instruments and related collateral amounts as of:
June 30, 2022
(Dollars in thousands)Gross Assets / LiabilitiesAmounts OffsetNet Balance Sheet AmountFinancial CollateralNet Assets / Liabilities
Assets:
Securities borrowed$338,980 $— $338,980 $338,980 $— 
Liabilities:
Securities loaned$474,400 $— $474,400 $474,400 $— 
June 30, 2021
(Dollars in thousands)Gross Assets / LiabilitiesAmounts OffsetNet Balance Sheet AmountFinancial CollateralNet Assets / Liabilities
Assets:
Securities borrowed$619,088 $— $619,088 $619,088 $— 
Liabilities:
Securities loaned$728,988 $— $728,988 $728,988 $— 
v3.22.2.2
CUSTOMER, BROKER-DEALER AND CLEARING RECEIVABLES AND PAYABLES (Tables)
 12 Months Ended
Jun. 30, 2022
Broker-Dealer [Abstract]  
Schedule of Due to (from) Broker-Dealers and Clearing Organizations Customer, broker-dealer and clearing receivables and payables consisted of the following at June 30, 2022:
At June 30,
(Dollars in thousands)20222021
Receivables:
Customers$309,216 $326,176 
Broker-dealer and clearing organizations:
Receivable from broker-dealers101,960 38,887 
Securities failed to deliver6,241 4,752 
Total customer, broker-dealer and clearing receivables$417,417 $369,815 
Payables:
Customers$486,625 $497,098 
Broker-dealer and clearing organizations:
Payable to broker-dealers18,601 31,203 
Securities failed to receive6,428 7,124 
Total customer, broker-dealer and clearing payables$511,654 $535,425 
.
v3.22.2.2
FURNITURE, EQUIPMENT AND SOFTWARE (Tables)
 12 Months Ended
Jun. 30, 2022
Property, Plant and Equipment [Abstract]  
Schedule of Property, Plant and Equipment
A summary of the cost and accumulated depreciation and amortization for leasehold improvements, furniture, equipment and software is as follows:
At June 30,
(Dollars in thousands)20222021
Leasehold improvements$5,698 $5,556 
Furniture and fixtures10,608 7,793 
Computer hardware and equipment25,665 24,396 
Software78,848 60,086 
Total120,819 97,831 
Less accumulated depreciation and amortization(84,610)(71,535)
Furniture, equipment and software—net1
$36,209 $26,296 
1 Furniture, equipment and software are included in the other assets line on the consolidated balance sheet.
v3.22.2.2
GOODWILL AND INTANGIBLE ASSETS (Tables)
 12 Months Ended
Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Activity in the Company's Goodwill Balance
The following table summarizes the activity in the Company’s goodwill balance as of the dates indicated:
(Dollars in thousands)Total
Balance as of June 30, 2020$71,222 
Goodwill from acquisitions— 
Balance as of June 30, 202171,222 
Goodwill from acquisitions24,452 
Balance as of June 30, 2022$95,674 
Schedule of Company's Acquired Intangible Assets
The Company’s acquired intangible assets are summarized as follows as of the dates indicated:
June 30, 2022June 30, 2021
(Dollars in thousands)Gross Carrying AmountAccumulated AmortizationNet Carrying AmountGross Carrying AmountAccumulated AmortizationNet Carrying Amount
Covenant not to compete$1,060 $1,038 $22 $930 $756 $174 
Customer relationships46,960 10,654 36,306 31,310 7,110 24,200 
Customer deposit intangible13,545 7,655 5,890 13,545 5,829 7,716 
Developed technologies34,040 15,905 18,135 23,050 10,769 12,281 
Trademark378 — 378 378 — 378 
Trade name580 580 — 290 290 — 
Total intangible assets$96,563 $35,832 $60,731 $69,503 $24,754 $44,749 
Schedule of Company's Acquired Intangible Assets
The Company’s acquired intangible assets are summarized as follows as of the dates indicated:
June 30, 2022June 30, 2021
(Dollars in thousands)Gross Carrying AmountAccumulated AmortizationNet Carrying AmountGross Carrying AmountAccumulated AmortizationNet Carrying Amount
Covenant not to compete$1,060 $1,038 $22 $930 $756 $174 
Customer relationships46,960 10,654 36,306 31,310 7,110 24,200 
Customer deposit intangible13,545 7,655 5,890 13,545 5,829 7,716 
Developed technologies34,040 15,905 18,135 23,050 10,769 12,281 
Trademark378 — 378 378 — 378 
Trade name580 580 — 290 290 — 
Total intangible assets$96,563 $35,832 $60,731 $69,503 $24,754 $44,749 
Schedule of Weighted Average Useful Life of Acquired Intangible Assets
The weighted-average useful lives remaining of intangible assets as of June 30, 2022 were as follows:
Weighted-Average
Useful Lives (Years)
Covenant not to compete0.17
Customer relationships11.41
Customer deposit intangible6.42
Developed technologies2.93
Schedule of Estimated Future Amortization Expense of Acquired Intangible Assets Estimated future amortization expense related to finite-lived intangible assets at June 30, 2022 is as follows:
(Dollars in thousands)Amortization Expense
For the fiscal year ending June 30,
2023$10,730 
202410,239 
20256,750 
20265,615 
20275,369 
Thereafter21,650 
Total$60,353 
v3.22.2.2
LEASES (Tables)
 12 Months Ended
Jun. 30, 2022
Leases [Abstract]  
Schedule of Supplemental Balance Sheet Information
Supplemental balance sheet information related to leases as follows:
Years End June 30,
(Dollars in thousands)20222021
Operating lease right-of-use assets$69,196 $64,077 
Operating lease liabilities74,878 70,119 
Weighted-average remaining lease term:
Operating leases7.53 years8.30 years
Weighted-average discount rate:
Operating leases2.79 %2.90 %
Schedule of Supplemental Cash Flow Information
Supplemental cash flow information related to leases is as follows:
Years End June 30,
(Dollars in thousands)20222021
Cash paid for amounts included in the measurement of lease liabilities for operating leases:
Operating cash flows$9,888 $8,875 
Schedule of Maturities of Operating Lease Liabilities
Maturities of Operating Lease Liabilities. The Company leases office space under operating lease agreements scheduled to expire at various dates. The following table represents maturities of lease liabilities as of June 30, 2022:
(Dollars in thousands)
Within one year$10,509 
After one year and within two years10,914 
After two years and within three years11,104 
After three years and within four years10,806 
After four years and within five years10,865 
After five years29,356 
Total lease payments83,554 
Less: amount representing interest(8,676)
Total Lease Liability$74,878 
v3.22.2.2
DEPOSITS (Tables)
 12 Months Ended
Jun. 30, 2022
Deposits [Abstract]  
Schedule of Deposits
Deposit accounts are summarized as follows:
At June 30,
 20222021
(Dollars in thousands)Amount
Rate1
Amount
Rate1
Non-interest bearing$5,033,970 — %$2,474,424 — %
Interest bearing:
Demand3,611,889 0.61 %3,369,845 0.15 %
Savings4,245,555 0.95 %3,458,687 0.21 %
7,857,444 0.79 %6,828,532 0.18 %
Time deposits:
$250 and under651,392 1.22 %1,070,139 1.30 %
Greater than $250403,616 1.41 %442,702 1.03 %
Total time deposits1,055,008 1.25 %1,512,841 1.22 %
Total interest bearing2
8,912,452 0.85 %8,341,373 0.37 %
Total deposits$13,946,422 0.54 %$10,815,797 0.29 %
1 Based on weighted-average stated interest rates at end of period.
2 The total interest-bearing includes brokered deposits of $1,032.7 million and $621.4 million as of June 30, 2022 and June 30, 2021, respectively, of which $250.0 million and $380.0 million, respectively, are time deposits classified as $250 and under.
Schedule of Maturities For Total Time Deposits Scheduled maturities of all time deposits are as follows:
(Dollars in thousands)June 30, 2022
Within 12 months$742,804 
13 to 24 months155,376 
25 to 36 months141,841 
37 to 48 months9,037 
49 to 60 months5,950 
Total$1,055,008 
v3.22.2.2
ADVANCES FROM THE FEDERAL HOME LOAN BANK (Tables)
 12 Months Ended
Jun. 30, 2022
Advance from Federal Home Loan Bank [Abstract]  
Schedule of Federal Home Loan Bank, Advances, by Maturity
Fixed-rate advances from FHLB are scheduled to mature as follows:
At June 30,
 20222021
(Dollars in thousands)AmountWeighted-
Average Rate		AmountWeighted-
Average Rate
Within one year1
$27,500 2.08 %$236,000 0.64 %
After one but within two years— — %27,500 2.08 %
After two but within three years30,000 2.82 %— — %
After three but within four years— — %30,000 2.82 %
After four but within five years— — %— — %
After five years60,000 2.07 %60,000 2.07 %
Total$117,500 2.26 %$353,500 1.18 %
1. Within one year category includes of term advances of $0 and $186,000 at June 30, 2022 and 2021, respectively.
v3.22.2.2
BORROWINGS, SUBORDINATED NOTES AND DEBENTURES (Tables)
 12 Months Ended
Jun. 30, 2022
Debt Disclosure [Abstract]  
Schedule of Borrowings, Subordinated Notes and Debentures
The following table sets forth the composition of the borrowings, subordinated notes and debentures as of the dates indicated:
(Dollars in thousands)June 30, 2022June 30, 2021
Borrowings from other banks$111,500 $36,200 
Subordinated loans7,400 7,400 
Subordinated notes325,000 175,000 
Junior subordinated debentures5,155 5,155 
Less unamortized issuance costs(3,811)(2,397)
Total borrowings, subordinated notes and debentures$445,244 $221,358 
v3.22.2.2
INCOME TAXES (Tables)
 12 Months Ended
Jun. 30, 2022
Income Tax Disclosure [Abstract]  
Schedule of Components of Provision for Income Taxes
The provision for income taxes is as follows:
At June 30,
(Dollars in thousands)202220212020
Current:
Federal$64,800 $61,827 $51,893 
State43,843 37,037 33,852 
108,643 98,864 85,745 
Deferred:
Federal(5,600)(5,562)(3,814)
State(3,800)(3,266)(2,737)
(9,400)(8,828)(6,551)
Total$99,243 $90,036 $79,194 
Schedule of Effective Income Tax Rate Reconciliation
The differences between the statutory federal income tax rate and the effective tax rates are summarized as follows:
At June 30,
202220212020
Statutory federal tax rate21.00 %21.00 %21.00 %
Increase (decrease) resulting from:
State taxes—net of federal tax benefit9.13 %8.70 %9.27 %
Cash surrender value(0.26)%(0.01)%(0.02)%
Deferred tax asset write-off— %— %0.77 %
Tax credits(0.44)%(0.59)%(0.77)%
Non-taxable income(0.09)%(0.09)%(0.10)%
Excess benefit RSU vesting(1.31)%(0.64)%(0.05)%
Other1.16 %1.08 %0.05 %
Effective tax rate29.19 %29.45 %30.15 %
Schedule of Net Deferred Tax Asset
The components of the net deferred tax asset are as follows:
At June 30,
(Dollars in thousands)20222021
Deferred tax assets:
Allowance for credit losses$59,045 $51,663 
State taxes949 903 
Stock-based compensation expense5,101 4,891 
Unrealized net losses on securities1,261 — 
Accrued compensation2,533 3,388 
Securities impaired270 266 
Non-accrual loan interest income2,608 4,182 
Lease liability24,626 22,730 
Net operating loss carryforward1,273 1,811 
Other liabilities – accruals3,116 — 
Total deferred tax assets100,782 89,834 
Deferred tax liabilities:
FHLB stock dividend(842)(830)
Other assets—prepaids(2,083)(2,717)
Depreciation and amortization(8,838)(9,998)
Operating lease right-of-use asset(22,757)(20,771)
Unrealized net gains on securities— (1,155)
Total deferred tax liabilities(34,520)(35,471)
Net deferred tax asset1
$66,262 $54,363 
1 Net deferred tax asset is included in the other assets line on the consolidated balance sheet.
Schedule of Unrecognized Tax Benefits Roll Forward
The following is a reconciliation of the beginning and ending amount of unrecognized tax positions for the periods presented:
(Dollars in thousands)202220212020
Balance—beginning of period$3,369 $813 $1,084 
Additions—current year tax positions690 355 115 
Additions—prior year tax positions481 2,205 31 
Reductions—prior year tax positions(233)(4)(417)
Total liability for unrecognized tax positions—end of period$4,307 $3,369 $813 
v3.22.2.2
STOCK-BASED COMPENSATION (Tables)
 12 Months Ended
Jun. 30, 2022
Share-Based Payment Arrangement [Abstract]  
Schedule of Unrecognized Compensation Cost, Nonvested Awards
At June 30, 2022 unrecognized compensation expense related to non-vested awards aggregated to $38.1 million and is expected to be recognized in future periods as follows:
(Dollars in thousands)Stock Award
Compensation Expense
For the fiscal year ending June 30:
2023$18,300 
202413,081 
20255,313 
2026989 
2027400 
Total$38,083 
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity
The following table presents the status and changes in restricted stock units for the periods indicated:
Restricted Stock
Units		Weighted-Average
Grant-Date Fair Value
Non-vested balance at June 30, 20211,220,470 $30.18 
Granted1,021,428 48.12 
Vested(745,584)
Forfeitures(145,551)
Non-vested balance at June 30, 20221,350,763 $41.16 
v3.22.2.2
EARNINGS PER COMMON SHARE (Tables)
 12 Months Ended
Jun. 30, 2022
Earnings Per Share [Abstract]  
Schedule of Calculation of Basic and Diluted EPS
The following table presents the calculation of basic and diluted EPS:
At June 30,
(Dollars in thousands, except per share data)202220212020
Earnings Per Common Share
Net income$240,716 $215,707 $183,438 
Preferred stock dividends— (103)(309)
Preferred stock redemption— $(86)— 
Net income attributable to common shareholders$240,716 $215,518 $183,129 
Average common shares issued and outstanding59,523,626 59,229,495 60,794,555 
Total qualifying shares59,523,626 59,229,495 60,794,555 
Earnings per common share $4.04 $3.64 $3.01 
Diluted Earnings Per Common Share
Dilutive net income attributable to common shareholders$240,716 $215,518 $183,129 
Average common shares issued and outstanding59,523,626 59,229,495 60,794,555 
Dilutive effect of average unvested RSUs1,087,328 1,290,116 643,080 
Total dilutive common shares outstanding60,610,954 60,519,611 61,437,635 
Diluted earnings per common share$3.97 $3.56 $2.98 
v3.22.2.2
MINIMUM REGULATORY CAPITAL REQUIREMENTS (Tables)
 12 Months Ended
Jun. 30, 2022
Banking Regulation, Minimum Regulatory Capital Requirements [Abstract]  
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations
The Company’s and Bank’s capital amounts, capital ratios and capital requirements under Basel III were as follows:
 Axos Financial, Inc.Axos Bank“Well 
Capitalized”
Ratio		Minimum Capital
Ratio
(Dollars in thousands)June 30, 2022June 30, 2021June 30, 2022June 30, 2021
Regulatory Capital:
Tier 1$1,522,478 $1,309,496 $1,615,012 $1,262,885 
Common equity tier 1$1,522,478 $1,309,496 $1,615,012 $1,262,885 
Total capital (to risk-weighted assets)$1,965,578 $1,587,625 $1,725,528 $1,358,430 
Assets:
Average adjusted$16,460,684 $14,851,462 $15,164,797 $13,359,578 
Total risk-weighted$15,443,152 $11,522,645 $14,366,457 $10,283,135 
Regulatory Capital Ratios:
Tier 1 leverage (core) capital to adjusted average assets9.25 %8.82 %10.65 %9.45 %5.00 %4.00 %
Common equity tier 1 capital (to risk-weighted assets)9.86 %11.36 %11.24 %12.28 %6.50 %4.50 %
Tier 1 capital (to risk-weighted assets)9.86 %11.36 %11.24 %12.28 %8.00 %6.00 %
Total capital (to risk-weighted assets)12.73 %13.78 %12.01 %13.21 %10.00 %8.00 %
The net capital position of Axos Clearing was as follows:
(Dollars in thousands)June 30, 2022June 30, 2021
Net capital$38,915 $35,950 
Less: required net capital6,250 8,046 
Excess capital$32,665 $27,904 
Net capital as a percentage of aggregate debit items12.45 %8.94 %
Net capital in excess of 5% aggregate debit items$23,290 $15,836 
v3.22.2.2
PARENT-ONLY CONDENSED FINANCIAL INFORMATION (Tables)
 12 Months Ended
Jun. 30, 2022
Condensed Financial Information Disclosure [Abstract]  
Condensed Balance Sheets
The following tables present Axos Financial, Inc. (Parent company only) financial information and should be read in conjunction with the consolidated financial statements of the Company and the other notes to the consolidated financial statements. Adjustments to investment in subsidiaries, stockholders’ equity and equity in undistributed earnings of subsidiaries have been made to eliminate an intercompany transaction between multiple subsidiaries and the Parent company.
CONDENSED BALANCE SHEETS
 At June 30,
(Dollars in thousands)20222021
ASSETS
Cash and due from banks$98,640 $126,409 
Investment securities14,486 14,985 
Other assets125,235 111,084 
Investment in subsidiaries1,821,818 1,411,950 
Total assets
$2,060,179 $1,664,428 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Borrowings, subordinated notes and debentures$333,744 $185,158 
Accounts payable and accrued liabilities and other liabilities83,462 78,334 
Total liabilities417,206 263,492 
Stockholders’ equity1,642,973 1,400,936 
Total liabilities and stockholders’ equity$2,060,179 $1,664,428 
Statements of Income
CONDENSED STATEMENTS OF INCOME
 Year Ended June 30,
(Dollars in thousands)202220212020
Interest income$1,777 $1,262 $619 
Interest expense11,183 10,891 4,348 
Net interest (expense) income(9,406)(9,629)(3,729)
Net interest (expense) income, after provision for credit losses(9,406)(9,629)(3,729)
Non-interest income (loss)6,275 217 58 
Non-interest expense and tax benefit1
9,741 4,360 11,903 
Income (loss) before dividends from subsidiary and equity in undistributed income of subsidiaries(12,872)(13,772)(15,574)
Dividends from subsidiaries40,000 45,000 119,114 
Equity in undistributed earnings of subsidiaries213,588 184,479 79,898 
Net income$240,716 $215,707 $183,438 
Comprehensive income$235,276 $219,151 $182,485 
1 Includes tax benefits of $11,927, $8,967, and $5,152 for the years ended June 30, 2022, 2021, and 2020, respectively.
Statements of Cash Flows
STATEMENT OF CASH FLOWS
 Year Ended June 30,
(Dollars in thousands)202220212020
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income$240,716 $215,707 $183,438 
Adjustments to reconcile net income to net cash used in operating activities:
Accretion of discounts on securities50 48 26 
Amortization of borrowing costs706 1,569 208 
Accretion of discounts on loans56 — — 
Amortization of operating lease right of use asset10,124 9,197 9,079 
Stock-based compensation expense21,242 20,685 21,935 
Depreciation and amortization224 — — 
Equity in undistributed earnings of subsidiaries(213,588)(184,479)(79,898)
Decrease (increase) in other assets(5,231)(25,835)(79,227)
Increase (decrease) in other liabilities(11,564)(14,550)72,175 
Net cash provided by operating activities42,735 22,342 127,736 
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of investment securities— — (15,301)
Purchases of loans and leases, net of discounts and premiums— — (59,391)
Proceeds from principal repayments on loans— — 10 
Purchases of furniture, equipment, software and intangibles(817)(457)— 
Investment in subsidiaries(203,086)(7,200)(10,130)
Net cash used in investing activities(203,903)(7,657)(84,812)
CASH FLOWS FROM FINANCING ACTIVITIES:
Tax payments related to the settlement of restricted stock units(14,481)(10,648)(7,457)
Repurchase of treasury stock— (16,757)(38,858)
Net (repayment) proceeds of other borrowings— (51,000)— 
Payments of debt issuance costs(2,120)(2,748)— 
Proceeds from issuance of subordinated notes150,000 175,000 — 
Redemption of preferred stock, Series A— (5,150)— 
Cash dividends on preferred stock— (103)(386)
Net cash provided by (used in) financing activities133,399 88,594 (46,701)
NET CHANGE IN CASH AND CASH EQUIVALENTS(27,769)103,279 (3,777)
CASH AND CASH EQUIVALENTS—Beginning of year126,409 23,130 26,907 
CASH AND CASH EQUIVALENTS—End of year$98,640 $126,409 $23,130 
v3.22.2.2
BANK-OWNED LIFE INSURANCE (Tables)
 12 Months Ended
Jun. 30, 2022
Investments, All Other Investments [Abstract]  
Schedule of Bank-Owned Life Insurance Activity
The following table summarizes the activity in the Company’s bank-owned life insurance (“BOLI”) as of the dates indicated:
(Dollars in thousands)BOLI values
Balance as of June 30, 2019$6,969 
    Death benefits(763)
    Change in Contract Value174 
Balance as of June 30, 20206,380 
    Additions50,000 
    Change in Contract Value175 
Balance as of June 30, 202156,555 
    Additions100,000 
    Change in Contract Value4,220 
Balance as of June 30, 2022$160,775 
v3.22.2.2
SEGMENT REPORTING (Tables)
 12 Months Ended
Jun. 30, 2022
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment The following tables present the operating results, goodwill, and assets of the segments:
Year Ended June 30, 2022
(Dollars in thousands)Banking BusinessSecurities BusinessCorporate/EliminationsAxos Consolidated
Net interest income$597,833 $17,580 $(8,255)$607,158 
Provision for credit losses18,500 — — 18,500 
Non-interest income60,881 64,069 (11,587)113,363 
Non-interest expense274,079 84,014 3,969 362,062 
Income (Loss) before income taxes$366,135 $(2,365)$(23,811)$339,959 
Year Ended June 30, 2021
(Dollars in thousands)Banking BusinessSecurities BusinessCorporate/EliminationsAxos Consolidated
Net interest income$527,760 $18,746 $(7,764)$538,742 
Provision for credit losses23,750 — — 23,750 
Non-interest income79,150 27,627 (1,516)105,261 
Non-interest expense254,596 48,095 11,819 314,510 
Income (Loss) before income taxes$328,564 $(1,722)$(21,099)$305,743 
As of June 30, 2022
(Dollars in thousands)Banking BusinessSecurities BusinessCorporate/EliminationsAxos Consolidated
Goodwill$35,721 $59,953 $— $95,674 
Total assets$16,002,714 $1,328,558 $69,893 $17,401,165 
As of June 30, 2021
(Dollars in thousands)Banking BusinessSecurities BusinessCorporate/EliminationsAxos Consolidated
Goodwill$35,721 $35,501 $— $71,222 
Total assets$12,745,029 $1,450,512 $70,024 $14,265,565 
v3.22.2.2
ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - NARRATIVE (Details)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
USD ($)
creditScore
segment
state
Jun. 30, 2021
USD ($)
Concentration Risk [Line Items]    
Number of states in which the bank operates | state 50  
Total gross loans $ 14,253,676 $ 11,554,744
Number of loan portfolio segments | segment 6  
Single Family - Mortgage & Warehouse    
Concentration Risk [Line Items]    
Total gross loans $ 3,988,462 4,359,472
Multifamily and Commercial Mortgage    
Concentration Risk [Line Items]    
Total gross loans 2,877,680 2,470,454
Auto & Consumer    
Concentration Risk [Line Items]    
Total gross loans $ 567,228 $ 362,180
Single Family Mortgage Secured    
Concentration Risk [Line Items]    
Maximum loan to value ratio 80.00%  
Consumer Unsecured Lending | Auto & Consumer    
Concentration Risk [Line Items]    
Minimum credit score | creditScore 700  
Minimum    
Concentration Risk [Line Items]    
Fixed assets, estimated useful lives (in years) 3 years  
Minimum | Multifamily and Commercial Mortgage    
Concentration Risk [Line Items]    
Total gross loans $ 500  
Minimum | Single Family Mortgage Secured | Single Family - Mortgage & Warehouse    
Concentration Risk [Line Items]    
Maturity term (in years and in months) 15 years  
Minimum | Auto | Auto & Consumer    
Concentration Risk [Line Items]    
Maturity term (in years and in months) 2 years  
Minimum | Consumer Unsecured Lending | Auto & Consumer    
Concentration Risk [Line Items]    
Maturity term (in years and in months) 12 months  
Total gross loans $ 5  
Maximum    
Concentration Risk [Line Items]    
Fixed assets, estimated useful lives (in years) 7 years  
Maximum | Multifamily and Commercial Mortgage    
Concentration Risk [Line Items]    
Total gross loans $ 10,000  
Maximum | Single Family Mortgage Secured | Single Family - Mortgage & Warehouse    
Concentration Risk [Line Items]    
Maturity term (in years and in months) 30 years  
Maximum | Auto | Auto & Consumer    
Concentration Risk [Line Items]    
Maturity term (in years and in months) 8 years  
Maximum | Consumer Unsecured Lending | Auto & Consumer    
Concentration Risk [Line Items]    
Maturity term (in years and in months) 72 months  
Total gross loans $ 50  
v3.22.2.2
ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - SCHEDULE OF NON-INTEREST INCOME, SEGREGATED BY REVENUE STREAM (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Disaggregation of Revenue [Line Items]      
Non-interest income (in-scope of Topic 606) $ 59,434 $ 31,334 $ 26,817
Non-interest income (out-of-scope Topic 606) 53,929 73,927 76,170
Total non-interest income 113,363 105,261 102,987
Advisory fee income      
Disaggregation of Revenue [Line Items]      
Non-interest income (in-scope of Topic 606) 28,309 0 0
Broker-dealer clearing fees      
Disaggregation of Revenue [Line Items]      
Non-interest income (in-scope of Topic 606) 19,754 22,156 16,265
Deposit service fees      
Disaggregation of Revenue [Line Items]      
Non-interest income (in-scope of Topic 606) 4,508 4,173 4,240
Card fees      
Disaggregation of Revenue [Line Items]      
Non-interest income (in-scope of Topic 606) 3,764 3,625 5,040
Bankruptcy trustee and fiduciary service fees      
Disaggregation of Revenue [Line Items]      
Non-interest income (in-scope of Topic 606) $ 3,099 $ 1,380 $ 1,272
v3.22.2.2
ACQUISITIONS - NARRATIVE (Details) - USD ($)
$ in Thousands
 1 Months Ended 12 Months Ended
Aug. 02, 2021
Dec. 31, 2021
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Business Acquisition [Line Items]          
Goodwill     $ 95,674 $ 71,222 $ 71,222
E*TRADE Advisor Services          
Business Acquisition [Line Items]          
Cash consideration $ 54,600 $ 54,800      
Revenue since date of acquisition     30,200    
Acquisition-related costs     $ 40    
Tangible assets acquired 14,400 14,200      
Right-of-use lease asset 7,800        
Liabilities assumed 11,300 10,900      
Lease liabilty 7,800        
Fair Value 27,060        
Goodwill $ 24,400        
True-up payment based on working capital adjustment   $ 200      
v3.22.2.2
ACQUISITIONS - FAIR VALUE OF ASSETS ACQUIRED (Details) - USD ($)
$ in Thousands
 12 Months Ended
Aug. 02, 2021
Jun. 30, 2022
Non-Compete Agreements    
Business Acquisition [Line Items]    
Weighted-Average Useful Lives (Years)   2 months 1 day
E*TRADE Advisor Services    
Business Acquisition [Line Items]    
Fair Value $ 27,060  
E*TRADE Advisor Services | Trade Name    
Business Acquisition [Line Items]    
Fair Value $ 290  
Weighted-Average Useful Lives (Years) 1 month 28 days  
E*TRADE Advisor Services | Proprietary Technology    
Business Acquisition [Line Items]    
Fair Value $ 10,990  
Weighted-Average Useful Lives (Years) 7 years  
E*TRADE Advisor Services | Customer Relationships    
Business Acquisition [Line Items]    
Fair Value $ 15,650  
Weighted-Average Useful Lives (Years) 14 years  
E*TRADE Advisor Services | Non-Compete Agreements    
Business Acquisition [Line Items]    
Fair Value $ 130  
Weighted-Average Useful Lives (Years) 1 year  
v3.22.2.2
ACQUISITIONS - UNAUDITED PRO FORMA BASIS (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
E*TRADE Advisor Services    
Business Acquisition [Line Items]    
Non-interest income $ 32,949 $ 30,395
v3.22.2.2
FAIR VALUE - NARRATIVE (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Nonrecurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value $ 798 $ 6,782
Significant Unobservable Inputs (Level 3) | Nonrecurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value $ 798 6,782
Securities – Non-agency MBS | Significant Unobservable Inputs (Level 3)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Unemployment rate 3.60%  
Securities – Non-agency MBS | Existing credit enhancement | Minimum | Significant Unobservable Inputs (Level 3)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available-for-sale securities, measurement input 0.000  
Securities – Non-agency MBS | Existing credit enhancement | Maximum | Significant Unobservable Inputs (Level 3)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available-for-sale securities, measurement input 0.965  
Securities – Non-agency MBS | Existing credit enhancement | Weighted Average | Significant Unobservable Inputs (Level 3)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available-for-sale securities, measurement input 0.197  
Securities – Non-agency MBS | Discount Rate | Minimum    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available-for-sale securities, measurement input 0.0273  
Securities – Non-agency MBS | Discount Rate | Maximum    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available-for-sale securities, measurement input 0.0928  
Other real estate owned    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned, valuation allowance $ 100 100
Other real estate owned | Carrying Amount | Nonrecurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value $ 800 $ 6,800
v3.22.2.2
FAIR VALUE - ASSETS AND LIABILITIES MEASURED ON RECURRING BASIS (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading $ 1,758 $ 1,983  
Available-for-sale 262,518 187,335  
Loans Held for Sale $ 4,973 $ 29,768 $ 51,995
Derivative Asset, Statement of Financial Position [Extensible Enumeration] Other assets Other assets  
Derivative Liability, Statement of Financial Position [Extensible Enumeration] Accounts payable, accrued liabilities and other liabilities Accounts payable, accrued liabilities and other liabilities  
Municipal      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading $ 1,758 $ 1,983  
Available-for-sale 3,248 3,565  
Agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 0 0  
Available-for-sale 25,325 23,913  
Securities – Non-agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 0 0  
Available-for-sale 186,814 67,615  
Asset-backed securities and structured notes      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 0 0  
Available-for-sale 47,131 92,242  
Quoted Prices in Active Markets for Identical Assets (Level 1)      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 0 0  
Available-for-sale 0 0  
Loans Held for Sale 0 0  
Mortgage servicing rights 0 0  
Significant Other Observable Inputs (Level 2)      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 1,758 1,983  
Available-for-sale 75,704 119,720  
Loans Held for Sale 4,973 29,768  
Mortgage servicing rights 0 0  
Significant Unobservable Inputs (Level 3)      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 0 0  
Available-for-sale 186,814 67,615  
Loans Held for Sale 0 0  
Mortgage servicing rights 25,213 17,911  
Fair Value, Measurements, Recurring      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 262,518 187,335  
Loans Held for Sale 4,973 29,768  
Mortgage servicing rights 25,213 17,911  
Other assets—Derivative instruments 464 2,280  
Other liabilities—Derivative instruments 0 75  
Fair Value, Measurements, Recurring | Municipal      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 1,758    
Available-for-sale 3,248 3,565  
Fair Value, Measurements, Recurring | Collateralized Debt Obligations      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading   1,983  
Fair Value, Measurements, Recurring | Agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 25,325 23,913  
Fair Value, Measurements, Recurring | Securities – Non-agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 186,814 67,615  
Fair Value, Measurements, Recurring | Asset-backed securities and structured notes      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 47,131 92,242  
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1)      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 0 0  
Loans Held for Sale 0 0  
Mortgage servicing rights 0 0  
Other assets—Derivative instruments 0 0  
Other liabilities—Derivative instruments 0 0  
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 0    
Available-for-sale 0 0  
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateralized Debt Obligations      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading   0  
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 0 0  
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Securities – Non-agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 0 0  
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed securities and structured notes      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 0 0  
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2)      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 75,704 119,720  
Loans Held for Sale 4,973 29,768  
Mortgage servicing rights 0 0  
Other assets—Derivative instruments 0 0  
Other liabilities—Derivative instruments 0 0  
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Municipal      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 1,758    
Available-for-sale 3,248 3,565  
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Collateralized Debt Obligations      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading   1,983  
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 25,325 23,913  
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Securities – Non-agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 0 0  
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Asset-backed securities and structured notes      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 47,131 92,242  
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3)      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 186,814 67,615  
Loans Held for Sale 0 0  
Mortgage servicing rights 25,213 17,911  
Other assets—Derivative instruments 464 2,280  
Other liabilities—Derivative instruments 0 75  
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Municipal      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading 0    
Available-for-sale 0 0  
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Collateralized Debt Obligations      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities—Trading   0  
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 0 0  
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Securities – Non-agency MBS      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale 186,814 67,615  
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Asset-backed securities and structured notes      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Available-for-sale $ 0 $ 0  
v3.22.2.2
FAIR VALUE - LEVEL 3 ASSETS MEASURED ON RECURRING BASIS (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Fair Value, Asset, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Mortgage banking income Mortgage banking income
Fair Value, Asset, Recurring Basis, Unobservable Input Reconciliation, Asset, Gain (Loss), Statement of Other Comprehensive Income or Comprehensive Income [Extensible Enumeration] Other comprehensive income (loss) Other comprehensive income (loss)
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3)    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Opening Balance $ 87,731 $ 36,423
Transfers into Level 3 0 0
Transfers out of Level 3 0 0
Total gains or losses for the period - Included in earnings 537 (11,530)
Total gains or losses for the period - Included in other comprehensive income (3,244) 2,289
Purchases, retentions, issues, sales and settlements:    
Purchases/Retentions 136,470 62,800
Settlements (9,003) (2,251)
Closing balance 212,491 87,731
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period 537 (11,530)
Principal payments and loans that were paid down or paid off 4,100 7,200
Market-driven changes in interest rates 6,400 900
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Securities- Available-for- Sale: Non- Agency MBS    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Opening Balance 67,615 18,332
Transfers into Level 3 0 0
Transfers out of Level 3 0 0
Total gains or losses for the period - Included in earnings 0 0
Total gains or losses for the period - Included in other comprehensive income (3,244) 2,289
Purchases, retentions, issues, sales and settlements:    
Purchases/Retentions 131,446 49,245
Settlements (9,003) (2,251)
Closing balance 186,814 67,615
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period 0 0
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Mortgage Servicing Rights    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Opening Balance 17,911 10,675
Transfers into Level 3 0 0
Transfers out of Level 3 0 0
Total gains or losses for the period - Included in earnings 2,278 (6,319)
Total gains or losses for the period - Included in other comprehensive income 0 0
Purchases, retentions, issues, sales and settlements:    
Purchases/Retentions 5,024 13,555
Settlements 0 0
Closing balance 25,213 17,911
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period 2,278 (6,319)
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Derivative Instruments, net    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Opening Balance 2,205 7,416
Transfers into Level 3 0 0
Transfers out of Level 3 0 0
Total gains or losses for the period - Included in earnings (1,741) (5,211)
Total gains or losses for the period - Included in other comprehensive income 0 0
Purchases, retentions, issues, sales and settlements:    
Purchases/Retentions 0 0
Settlements 0 0
Closing balance 464 2,205
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period $ (1,741) $ (5,211)
v3.22.2.2
FAIR VALUE - QUANTITATIVE INFORMATION FOR LEVEL 3 FAIR VALUE MEASURMENTS (RECURRING) (Details)
$ in Thousands
Jun. 30, 2022
USD ($)
Jun. 30, 2021
USD ($)
Fair Value, Option, Quantitative Disclosures [Line Items]    
Fair Value $ 262,518 $ 187,335
Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Fair Value $ 186,814 67,615
Discount Rate | Minimum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.0273  
Discount Rate | Maximum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.0928  
Level 3    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Fair Value $ 186,814 67,615
Mortgage servicing rights, Fair Value 25,213 17,911
Fair Value, Measurements, Recurring    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Fair Value 262,518 187,335
Mortgage servicing rights, Fair Value 25,213 17,911
Fair Value, Measurements, Recurring | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Fair Value 186,814 67,615
Fair Value, Measurements, Recurring | Level 3    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Fair Value 186,814 67,615
Mortgage servicing rights, Fair Value 25,213 17,911
Fair Value, Measurements, Recurring | Level 3 | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Fair Value 186,814 67,615
Fair Value, Measurements, Recurring | Level 3 | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Mortgage servicing rights, Fair Value 25,213 17,911
Fair Value, Measurements, Recurring | Level 3 | Derivative Instruments, net    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Derivative assets, Fair Value $ 464 $ 2,205
Fair Value, Measurements, Recurring | Level 3 | Projected Constant Prepayment Rate | Minimum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.0 0.000
Fair Value, Measurements, Recurring | Level 3 | Projected Constant Prepayment Rate | Minimum | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Servicing asset, measurement input 0.079 0.075
Fair Value, Measurements, Recurring | Level 3 | Projected Constant Prepayment Rate | Maximum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.300 0.250
Fair Value, Measurements, Recurring | Level 3 | Projected Constant Prepayment Rate | Maximum | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Servicing asset, measurement input 0.563 0.374
Fair Value, Measurements, Recurring | Level 3 | Projected Constant Prepayment Rate | Weighted Average | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.214 0.027
Fair Value, Measurements, Recurring | Level 3 | Projected Constant Prepayment Rate | Weighted Average | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Servicing asset, measurement input 0.110 0.115
Fair Value, Measurements, Recurring | Level 3 | Projected Constant Default Rate | Minimum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.0 0.000
Fair Value, Measurements, Recurring | Level 3 | Projected Constant Default Rate | Maximum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.079 0.056
Fair Value, Measurements, Recurring | Level 3 | Projected Constant Default Rate | Weighted Average | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.022 0.006
Fair Value, Measurements, Recurring | Level 3 | Projected Loss Severity | Minimum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.0 0.000
Fair Value, Measurements, Recurring | Level 3 | Projected Loss Severity | Maximum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.684 1.000
Fair Value, Measurements, Recurring | Level 3 | Projected Loss Severity | Weighted Average | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.267 0.194
Fair Value, Measurements, Recurring | Level 3 | Discount Rate | Minimum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.027 0.027
Fair Value, Measurements, Recurring | Level 3 | Discount Rate | Minimum | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Servicing asset, measurement input 0.095 0.095
Fair Value, Measurements, Recurring | Level 3 | Discount Rate | Maximum | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.093 0.072
Fair Value, Measurements, Recurring | Level 3 | Discount Rate | Maximum | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Servicing asset, measurement input 0.115 0.130
Fair Value, Measurements, Recurring | Level 3 | Discount Rate | Weighted Average | Securities – Non-agency MBS    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Available-for-sale securities, measurement input 0.028 0.031
Fair Value, Measurements, Recurring | Level 3 | Discount Rate | Weighted Average | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Servicing asset, measurement input 0.095 0.096
Fair Value, Measurements, Recurring | Level 3 | Life (in years) | Minimum | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Servicing asset, measurement input 1.2 1.7
Fair Value, Measurements, Recurring | Level 3 | Life (in years) | Maximum | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Servicing asset, measurement input 9.9 7.5
Fair Value, Measurements, Recurring | Level 3 | Life (in years) | Weighted Average | Mortgage Servicing Rights    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Servicing asset, measurement input 8.4 6.4
Fair Value, Measurements, Recurring | Level 3 | Projected Sales Profit of Underlying Loans | Minimum | Derivative Instruments, net    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Derivative asset, net, measurement input (0.031) 0.002
Fair Value, Measurements, Recurring | Level 3 | Projected Sales Profit of Underlying Loans | Maximum | Derivative Instruments, net    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Derivative asset, net, measurement input 0.008 0.005
Fair Value, Measurements, Recurring | Level 3 | Projected Sales Profit of Underlying Loans | Weighted Average | Derivative Instruments, net    
Fair Value, Option, Quantitative Disclosures [Line Items]    
Derivative asset, net, measurement input (0.012) 0.003
v3.22.2.2
FAIR VALUE - ASSETS MEASURED FOR IMPAIRMENT ON NONRECURRING BASIS (Details) - Nonrecurring - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value $ 798 $ 6,782
Single family real estate    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value   6,547
Autos & RVs    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value 798 235
Quoted Prices in Active Markets for Identical Assets (Level 1)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value 0 0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Single family real estate    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value   0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Autos & RVs    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value 0 0
Significant Other Observable Inputs (Level 2)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value 0 0
Significant Other Observable Inputs (Level 2) | Single family real estate    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value   0
Significant Other Observable Inputs (Level 2) | Autos & RVs    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value 0 0
Significant Unobservable Inputs (Level 3)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value 798 6,782
Significant Unobservable Inputs (Level 3) | Single family real estate    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value   6,547
Significant Unobservable Inputs (Level 3) | Autos & RVs    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Other real estate owned and foreclosed assets, fair value $ 798 $ 235
v3.22.2.2
FAIR VALUE - LOANS HELD-FOR-SALE (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Fair Value Disclosures [Abstract]      
Aggregate fair value $ 4,973 $ 29,768 $ 51,995
Contractual balance 4,881 28,940 49,700
Unrealized gain 92 828 2,295
Interest income 739 1,411 1,113
Change in fair value (2,474) (6,680) 7,531
Total $ (1,735) $ (5,269) $ 8,644
v3.22.2.2
FAIR VALUE - QUANTITATIVE INFORMATION FOR LEVEL 3 FAIR VALUE MEASURMENTS (NONRECURRING) (Details) - Nonrecurring
$ in Thousands
Jun. 30, 2022
USD ($)
Jun. 30, 2021
USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other real estate owned and foreclosed assets, fair value $ 798 $ 6,782
Single family real estate    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other real estate owned and foreclosed assets, fair value   6,547
Autos & RVs    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other real estate owned and foreclosed assets, fair value 798 235
Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other real estate owned and foreclosed assets, fair value 798 6,782
Level 3 | Single family real estate    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other real estate owned and foreclosed assets, fair value   $ 6,547
Level 3 | Single family real estate | Adjustment for differences between the comparable sales | Minimum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other real estate owned, measurement input   (0.015)
Level 3 | Single family real estate | Adjustment for differences between the comparable sales | Maximum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other real estate owned, measurement input   0.061
Level 3 | Single family real estate | Adjustment for differences between the comparable sales | Weighted Average    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other real estate owned, measurement input   0.020
Level 3 | Autos & RVs    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other real estate owned and foreclosed assets, fair value $ 798 $ 235
Level 3 | Autos & RVs | Adjustment for differences between the comparable sales | Minimum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other repossessed assets, measurement input (0.172) (0.021)
Level 3 | Autos & RVs | Adjustment for differences between the comparable sales | Maximum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other repossessed assets, measurement input 0.046 0.147
Level 3 | Autos & RVs | Adjustment for differences between the comparable sales | Weighted Average    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Other repossessed assets, measurement input (0.075) (0.021)
v3.22.2.2
FAIR VALUE - FAIR VALUE BY BALANCE SHEET GROUPING (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Financial assets:      
Securities—Trading $ 1,758 $ 1,983  
Available-for-sale 262,518 187,335  
Loans held for sale, carried at fair value 4,973 29,768 $ 51,995
Loans held for sale, lower of cost or fair value 10,938 12,294  
Securities borrowed 338,980 619,088  
Financial liabilities:      
Securities loaned 474,400 728,988  
Level 1      
Financial assets:      
Cash, cash equivalents, cash segregated, and federal funds sold 1,574,699 1,037,777  
Securities—Trading 0 0  
Available-for-sale 0 0  
Loans held for sale, carried at fair value 0 0  
Loans held for sale, lower of cost or fair value 0 0  
Loans held for investment—net 0 0  
Securities borrowed 0 0  
Customer, broker-dealer and clearing receivables 0 0  
Mortgage servicing rights 0 0  
Financial liabilities:      
Total deposits 0 0  
Advances from the Federal Home Loan Bank 0 0  
Borrowings, subordinated notes and debentures 0 0  
Securities loaned 0 0  
Customer, broker-dealer and clearing payables 0 0  
Level 2      
Financial assets:      
Cash, cash equivalents, cash segregated, and federal funds sold 0 0  
Securities—Trading 1,758 1,983  
Available-for-sale 75,704 119,720  
Loans held for sale, carried at fair value 4,973 29,768  
Loans held for sale, lower of cost or fair value 0 0  
Loans held for investment—net 0 0  
Securities borrowed 0 0  
Customer, broker-dealer and clearing receivables 0 0  
Mortgage servicing rights 0 0  
Financial liabilities:      
Total deposits 12,812,512 10,297,450  
Advances from the Federal Home Loan Bank 117,500 353,500  
Borrowings, subordinated notes and debentures 416,947 210,196  
Securities loaned 0 0  
Customer, broker-dealer and clearing payables 0 0  
Level 3      
Financial assets:      
Cash, cash equivalents, cash segregated, and federal funds sold 0 0  
Securities—Trading 0 0  
Available-for-sale 186,814 67,615  
Loans held for sale, carried at fair value 0 0  
Loans held for sale, lower of cost or fair value 10,985 12,336  
Loans held for investment—net 14,015,157 11,833,102  
Securities borrowed 329,963 619,274  
Customer, broker-dealer and clearing receivables 414,383 369,815  
Mortgage servicing rights 25,213 17,911  
Financial liabilities:      
Total deposits 0 0  
Advances from the Federal Home Loan Bank 0 0  
Borrowings, subordinated notes and debentures 0 0  
Securities loaned 473,831 731,467  
Customer, broker-dealer and clearing payables 471,859 535,425  
Carrying Amount      
Financial assets:      
Cash, cash equivalents, cash segregated, and federal funds sold 1,574,699 1,037,777  
Securities—Trading 1,758 1,983  
Available-for-sale 262,518 187,335  
Loans held for sale, carried at fair value 4,973 29,768  
Loans held for sale, lower of cost or fair value 10,938 12,294  
Loans held for investment—net 14,091,061 11,414,814  
Securities borrowed 338,980 619,088  
Customer, broker-dealer and clearing receivables 417,417 369,815  
Mortgage servicing rights 25,213 17,911  
Financial liabilities:      
Total deposits 13,946,422 10,815,797  
Advances from the Federal Home Loan Bank 117,500 353,500  
Borrowings, subordinated notes and debentures 445,244 221,358  
Securities loaned 474,400 728,988  
Customer, broker-dealer and clearing payables 511,654 535,425  
Total Fair Value      
Financial assets:      
Cash, cash equivalents, cash segregated, and federal funds sold 1,574,699 1,037,777  
Securities—Trading 1,758 1,983  
Available-for-sale 262,518 187,335  
Loans held for sale, carried at fair value 4,973 29,768  
Loans held for sale, lower of cost or fair value 10,985 12,336  
Loans held for investment—net 14,015,157 11,833,102  
Securities borrowed 329,963 619,274  
Customer, broker-dealer and clearing receivables 414,383 369,815  
Mortgage servicing rights 25,213 17,911  
Financial liabilities:      
Total deposits 12,812,512 10,297,450  
Advances from the Federal Home Loan Bank 117,500 353,500  
Borrowings, subordinated notes and debentures 416,947 210,196  
Securities loaned 473,831 731,467  
Customer, broker-dealer and clearing payables $ 471,859 $ 535,425  
v3.22.2.2
SECURITIES - CARRYING AMOUNT AND FAIR VALUE OF SECURITIES (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Debt Securities, Available-for-sale [Line Items]    
Trading $ 1,758 $ 1,983
Amortized Cost 265,867 182,828
Unrealized Gains 1,972 5,074
Unrealized Losses (5,321) (567)
Fair Value 262,518 187,335
Total mortgage-backed securities    
Debt Securities, Available-for-sale [Line Items]    
Trading 0 0
Amortized Cost 215,338 88,813
Unrealized Gains 1,841 3,282
Unrealized Losses (5,040) (567)
Fair Value 212,139 91,528
Agencies    
Debt Securities, Available-for-sale [Line Items]    
Trading 0 0
Amortized Cost 27,722 23,639
Unrealized Gains 9 420
Unrealized Losses (2,406) (146)
Fair Value 25,325 23,913
Securities – Non-agency MBS    
Debt Securities, Available-for-sale [Line Items]    
Trading 0 0
Amortized Cost 187,616 65,174
Unrealized Gains 1,832 2,862
Unrealized Losses (2,634) (421)
Fair Value 186,814 67,615
Total Non-MBS    
Debt Securities, Available-for-sale [Line Items]    
Trading 1,758 1,983
Amortized Cost 50,529 94,015
Unrealized Gains 131 1,792
Unrealized Losses (281) 0
Fair Value 50,379 95,807
Municipal    
Debt Securities, Available-for-sale [Line Items]    
Trading 1,758 1,983
Amortized Cost 3,529 3,466
Unrealized Gains 0 99
Unrealized Losses (281) 0
Fair Value 3,248 3,565
Asset-backed securities and structured notes    
Debt Securities, Available-for-sale [Line Items]    
Trading 0 0
Amortized Cost 47,000 90,549
Unrealized Gains 131 1,693
Unrealized Losses 0 0
Fair Value $ 47,131 $ 92,242
v3.22.2.2
SECURITIES - NARRATIVE (Details)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
USD ($)
security
Jun. 30, 2021
USD ($)
security
Marketable Securities [Line Items]    
Available-for-sale | $ $ 262,518 $ 187,335
Number of securities in a continuous loss position for a period of more than 12 months 14 7
Number of securities in a continuous loss position for a period of less than 12 months 25 7
Number of trading securities sold 0 0
Number of available-for-sale securities sold 0 0
Investment resolution, no realized gain or loss | $   $ 70,800
Asset Pledged as Collateral    
Marketable Securities [Line Items]    
Debt securities available-for-sale and held-to-maturity pledged to secure borrowings | $ $ 1,200 1,400
Securities – Non-agency MBS    
Marketable Securities [Line Items]    
Available-for-sale | $ $ 186,814 $ 67,615
RMBS, Super Senior Securities    
Marketable Securities [Line Items]    
Available-for-sale, number of securities 17  
v3.22.2.2
SECURITIES - SCHEDULE OF SECURITIES IN CONTINUOUS UNREALIZED LOSS POSITION (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Fair Value    
Less Than 12 Months $ 112,490 $ 10,001
More Than 12 Months 12,848 6,018
Total 125,338 16,019
Gross Unrealized Losses    
Less Than 12 Months (3,823) (146)
More Than 12 Months (1,498) (421)
Total (5,321) (567)
Total mortgage-backed securities    
Fair Value    
Less Than 12 Months 109,242 10,001
More Than 12 Months 12,848 6,018
Total 122,090 16,019
Gross Unrealized Losses    
Less Than 12 Months (3,542) (146)
More Than 12 Months (1,498) (421)
Total (5,040) (567)
Agencies    
Fair Value    
Less Than 12 Months 16,446 10,001
More Than 12 Months 8,097 0
Total 24,543 10,001
Gross Unrealized Losses    
Less Than 12 Months (1,338) (146)
More Than 12 Months (1,068) 0
Total (2,406) (146)
Securities- Available-for- Sale: Non- Agency MBS    
Fair Value    
Less Than 12 Months 92,796 0
More Than 12 Months 4,751 6,018
Total 97,547 6,018
Gross Unrealized Losses    
Less Than 12 Months (2,204) 0
More Than 12 Months (430) (421)
Total (2,634) (421)
Total Non-MBS    
Fair Value    
Less Than 12 Months 3,248 0
More Than 12 Months 0 0
Total 3,248 0
Gross Unrealized Losses    
Less Than 12 Months (281) 0
More Than 12 Months 0 0
Total (281) 0
Municipal    
Fair Value    
Less Than 12 Months 3,248 0
More Than 12 Months 0 0
Total 3,248 0
Gross Unrealized Losses    
Less Than 12 Months (281) 0
More Than 12 Months 0 0
Total $ (281) 0
Asset-backed securities and structured notes    
Fair Value    
Less Than 12 Months   0
More Than 12 Months   0
Total   0
Gross Unrealized Losses    
Less Than 12 Months   0
More Than 12 Months   0
Total   $ 0
v3.22.2.2
SECURITIES - UNREALIZED GAIN (LOSS) ON INVESTMENTS (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Investments, Debt and Equity Securities [Abstract]    
Available-for-sale debt securities—net unrealized gains (losses) $ (3,349) $ 4,507
Available-for-sale debt securities—non-credit related (845) (845)
Subtotal (4,194) 3,662
Tax (provision) benefit 1,261 (1,155)
Net unrealized gain (loss) on investment securities in accumulated other comprehensive loss $ (2,933) $ 2,507
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS - COMPOSITION OF LOAN PORTFOLIO (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Jun. 30, 2019
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Total gross loans $ 14,253,676 $ 11,554,744    
Allowance for credit losses - loans (148,617) (132,958) $ (75,807) $ (57,085)
Unaccreted premiums (discounts) and loan fees (13,998) (6,972)    
Total net loans 14,091,061 11,414,814    
Single Family - Mortgage & Warehouse        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Total gross loans 3,988,462 4,359,472    
Allowance for credit losses - loans (19,670) (26,604) (25,899) (22,290)
Multifamily and Commercial Mortgage        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Total gross loans 2,877,680 2,470,454    
Allowance for credit losses - loans (14,655) (13,146) (4,719) (3,807)
Commercial Real Estate        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Total gross loans 4,781,044 3,180,453    
Allowance for credit losses - loans (69,339) (57,928) (21,052) (14,632)
Commercial & Industrial - Non-RE        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Total gross loans 2,028,128 1,123,869    
Allowance for credit losses - loans (30,808) (28,460) (9,954) (9,544)
Auto & Consumer        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Total gross loans 567,228 362,180    
Allowance for credit losses - loans (14,114) (6,519) (9,462) (6,339)
Other        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Total gross loans 11,134 58,316    
Allowance for credit losses - loans $ (31) $ (301) $ (4,721) $ (473)
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS - ACTIVITY FOR ALLOWANCE FOR CREDIT LOSSES-LOANS (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period $ 132,958 $ 75,807 $ 57,085
Provision for credit losses 18,500 23,750 42,200
Charge-offs (4,428) (16,558) (25,833)
Recoveries 1,587 2,659 2,355
Balance, end of period 148,617 132,958 75,807
Impact of ASC 326 Adoption      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period $ 0 47,300 0
Balance, end of period   $ 0 $ 47,300
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS - NARRATIVE (Details)
 12 Months Ended
Jun. 30, 2022
USD ($)
loan
segment
Jun. 30, 2021
USD ($)
loan
Jun. 30, 2020
USD ($)
Financing Receivable, Impaired [Line Items]      
Number of loan portfolio segments | segment 6    
Number of new related party loans | loan 1 4  
Amount received from new related party loans $ 1,400,000 $ 10,000,000  
Principal payments received on related party loans 3,000,000 7,000,000  
Ending balance of related party loans 25,600,000 23,800,000  
Interest earned on related party loans 100,000 100,000  
Purchased loans serviced by others, amount $ 37,300,000 $ 44,700,000  
Purchased loans serviced by others, percent 0.26% 0.39%  
Interest recognized on performing loans temporarily modified as TDRs $ 0 $ 0 $ 0
Average balances of impaired loans and leases 136,400,000 142,000,000 60,600,000
Interest income recognized 0 $ 0 0
Loans granted forbearance or deferral $ 0    
Nonaccrual      
Financing Receivable, Impaired [Line Items]      
Ratio of nonaccrual loans and leases considered TDRs 1.18% 0.55%  
Period over which borrowers can make timely payments after TDR considered non-performing (in months) 6 months    
Performing      
Financing Receivable, Impaired [Line Items]      
Amount in performing TDRs $ 0 $ 0 $ 0
Number of TDRs classified as performing loans | loan 0 0  
Single Family - Mortgage & Warehouse      
Financing Receivable, Impaired [Line Items]      
Interest only loans $ 1,197,400,000 $ 1,074,300,000  
Option adjustable-rate mortgage loans $ 7,000,000 $ 900,000  
Single Family - Mortgage & Warehouse | Financing Receivable | Geographic concentration risk | California      
Financing Receivable, Impaired [Line Items]      
Concentration risk percentage 70.60% 72.40%  
Single Family - Mortgage & Warehouse | Financing Receivable | Geographic concentration risk | New York      
Financing Receivable, Impaired [Line Items]      
Concentration risk percentage 13.00% 12.80%  
Single Family - Mortgage & Warehouse | Nonaccrual      
Financing Receivable, Impaired [Line Items]      
Ratio of nonaccrual loans that are single family mortgage 56.20%    
Multifamily Loan Category | Financing Receivable | Geographic concentration risk | California      
Financing Receivable, Impaired [Line Items]      
Concentration risk percentage 68.30% 72.50%  
Multifamily Loan Category | Financing Receivable | Geographic concentration risk | New York      
Financing Receivable, Impaired [Line Items]      
Concentration risk percentage 18.80% 14.50%  
Commercial Real Estate | Financing Receivable | Geographic concentration risk | California      
Financing Receivable, Impaired [Line Items]      
Concentration risk percentage 11.90% 12.40%  
Commercial Real Estate | Financing Receivable | Geographic concentration risk | New York      
Financing Receivable, Impaired [Line Items]      
Concentration risk percentage 40.50% 54.20%  
Fixed Interest Rate      
Financing Receivable, Impaired [Line Items]      
Percent of loans by interest rate type 9.40% 14.90%  
Adjustable Interest Rate      
Financing Receivable, Impaired [Line Items]      
Percent of loans by interest rate type 90.60% 85.10%  
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS - ACTIVITY FOR ALLOWANCE FOR CREDIT LOSSES-LOANS BY PORTFOLIO CLASSES (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period $ 132,958 $ 75,807 $ 57,085
Provision for credit losses 18,500 23,750 42,200
Charge-offs (4,428) (16,558) (25,833)
Recoveries 1,587 2,659 2,355
Balance, end of period 148,617 132,958 75,807
Single Family - Mortgage & Warehouse      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period 26,604 25,899 22,290
Provision for credit losses (7,009) (3,242) 3,546
Charge-offs (82) (2,502) (203)
Recoveries 157 131 266
Balance, end of period 19,670 26,604 25,899
Multifamily and Commercial Mortgage      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period 13,146 4,719 3,807
Provision for credit losses 1,332 1,196 793
Charge-offs 0 (177) 0
Recoveries 177 0 119
Balance, end of period 14,655 13,146 4,719
Commercial Real Estate      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period 57,928 21,052 14,632
Provision for credit losses 11,411 11,238 6,420
Charge-offs 0 (255) 0
Recoveries 0 0 0
Balance, end of period 69,339 57,928 21,052
Commercial & Industrial - Non-RE      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period 28,460 9,954 9,544
Provision for credit losses 2,544 14,251 4,542
Charge-offs (322) (2,833) (4,132)
Recoveries 126 46 0
Balance, end of period 30,808 28,460 9,954
Auto & Consumer      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period 6,519 9,462 6,339
Provision for credit losses 10,492 (1,354) 7,429
Charge-offs (4,024) (3,517) (5,047)
Recoveries 1,127 1,318 741
Balance, end of period 14,114 6,519 9,462
Other      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period 301 4,721 473
Provision for credit losses (270) 1,661 19,470
Charge-offs 0 (7,274) (16,451)
Recoveries 0 1,164 1,229
Balance, end of period 31 301 4,721
Impact of ASC 326 Adoption      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period $ 0 47,300 0
Balance, end of period   0 47,300
Impact of ASC 326 Adoption | Single Family - Mortgage & Warehouse      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period   6,318  
Balance, end of period     6,318
Impact of ASC 326 Adoption | Multifamily and Commercial Mortgage      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period   7,408  
Balance, end of period     7,408
Impact of ASC 326 Adoption | Commercial Real Estate      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period   25,893  
Balance, end of period     25,893
Impact of ASC 326 Adoption | Commercial & Industrial - Non-RE      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period   7,042  
Balance, end of period     7,042
Impact of ASC 326 Adoption | Auto & Consumer      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period   610  
Balance, end of period     610
Impact of ASC 326 Adoption | Other      
Financing Receivable, Allowance for Credit Loss [Roll Forward]      
Balance, beginning of period   $ 29  
Balance, end of period     $ 29
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS - NONACCRUAL LOANS (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Financing Receivable, Nonaccrual [Line Items]    
With Allowance $ 118,194 $ 67,878
With No Allowance 0 77,317
Total $ 118,194 $ 145,195
Nonaccrual loans to total loans (as a percent) 0.83% 1.26%
Single Family - Mortgage & Warehouse    
Financing Receivable, Nonaccrual [Line Items]    
With Allowance $ 66,424 $ 45,951
With No Allowance 0 59,757
Total 66,424 105,708
Multifamily and Commercial Mortgage    
Financing Receivable, Nonaccrual [Line Items]    
With Allowance 33,410 2,916
With No Allowance 0 17,512
Total 33,410 20,428
Commercial Real Estate    
Financing Receivable, Nonaccrual [Line Items]    
With Allowance 14,852 15,839
With No Allowance 0 0
Total 14,852 15,839
Commercial & Industrial - Non-RE    
Financing Receivable, Nonaccrual [Line Items]    
With Allowance 2,989 2,942
With No Allowance 0 0
Total 2,989 2,942
Auto & Consumer    
Financing Receivable, Nonaccrual [Line Items]    
With Allowance 439 230
With No Allowance 0 48
Total 439 $ 278
Other    
Financing Receivable, Nonaccrual [Line Items]    
With Allowance 80  
With No Allowance 0  
Total $ 80  
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS - UNPAID PRINCIPAL BALANCE FOR PERFORMING AND NONACCRUAL (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Financing Receivable, Credit Quality Indicator [Line Items]    
Total $ 14,253,676 $ 11,554,744
Single Family - Mortgage & Warehouse    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 3,988,462 4,359,472
Multifamily and Commercial Mortgage    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 2,877,680 2,470,454
Commercial Real Estate    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 4,781,044 3,180,453
Commercial & Industrial - Non-RE    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 2,028,128 1,123,869
Auto & Consumer    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 567,228 362,180
Other    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 11,134 58,316
Performing    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 14,135,482 11,409,549
Performing | Single Family - Mortgage & Warehouse    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 3,922,038 4,253,764
Performing | Multifamily and Commercial Mortgage    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 2,844,270 2,450,026
Performing | Commercial Real Estate    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 4,766,192 3,164,614
Performing | Commercial & Industrial - Non-RE    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 2,025,139 1,120,927
Performing | Auto & Consumer    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 566,789 361,902
Performing | Other    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 11,054 58,316
Nonaccrual    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 118,194 145,195
Nonaccrual | Single Family - Mortgage & Warehouse    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 66,424 105,708
Nonaccrual | Multifamily and Commercial Mortgage    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 33,410 20,428
Nonaccrual | Commercial Real Estate    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 14,852 15,839
Nonaccrual | Commercial & Industrial - Non-RE    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 2,989 2,942
Nonaccrual | Auto & Consumer    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total 439 278
Nonaccrual | Other    
Financing Receivable, Credit Quality Indicator [Line Items]    
Total $ 80 $ 0
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS - LOANS BY AMORTIZED COST BASIS BY YEAR OF ORIGINATION AND CREDIT QUALITY INDICATOR (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 $ 5,761,527  
2021 2,409,989  
2020 1,337,143  
2019 914,995  
2018 610,690  
Prior 946,625  
Revolving Loans 2,272,707  
Revolving Loans Converted to Loans HFI 0  
Total $ 14,253,676 $ 11,554,744
As a % of total gross loans    
2022 40.42%  
2021 16.91%  
2020 9.38%  
2019 6.42%  
2018 4.28%  
Prior 6.64%  
Revolving Loans 15.95%  
Revolving Loans Converted to Loans HFI 0.00%  
Total 100.00%  
Single Family - Mortgage & Warehouse    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 $ 1,484,027  
2021 602,342  
2020 411,430  
2019 324,911  
2018 289,328  
Prior 595,862  
Revolving Loans 280,562  
Revolving Loans Converted to Loans HFI 0  
Total 3,988,462 4,359,472
Multifamily and Commercial Mortgage    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 1,001,019  
2021 575,258  
2020 464,124  
2019 269,313  
2018 226,856  
Prior 341,110  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 2,877,680 2,470,454
Commercial Real Estate    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 2,482,366  
2021 1,023,238  
2020 383,135  
2019 221,330  
2018 67,265  
Prior 0  
Revolving Loans 603,710  
Revolving Loans Converted to Loans HFI 0  
Total 4,781,044 3,180,453
Commercial & Industrial - Non-RE    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 438,229  
2021 94,585  
2020 34,783  
2019 62,118  
2018 9,978  
Prior 0  
Revolving Loans 1,388,435  
Revolving Loans Converted to Loans HFI 0  
Total 2,028,128 1,123,869
Auto & Consumer    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 352,829  
2021 108,381  
2020 43,625  
2019 37,323  
2018 16,172  
Prior 8,898  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 567,228 362,180
Other    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 3,057  
2021 6,185  
2020 46  
2019 0  
2018 1,091  
Prior 755  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 11,134 $ 58,316
Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 5,756,965  
2021 2,340,720  
2020 1,259,387  
2019 848,900  
2018 554,060  
Prior 874,328  
Revolving Loans 2,232,772  
Revolving Loans Converted to Loans HFI 0  
Total 13,867,132  
Pass | Single Family - Mortgage & Warehouse    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 1,484,027  
2021 600,054  
2020 402,712  
2019 303,999  
2018 279,248  
Prior 548,703  
Revolving Loans 241,925  
Revolving Loans Converted to Loans HFI 0  
Total 3,860,668  
Pass | Multifamily and Commercial Mortgage    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 999,819  
2021 569,486  
2020 429,247  
2019 259,161  
2018 219,548  
Prior 316,013  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 2,793,274  
Pass | Commercial Real Estate    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 2,482,366  
2021 990,887  
2020 358,422  
2019 186,800  
2018 28,758  
Prior 0  
Revolving Loans 602,412  
Revolving Loans Converted to Loans HFI 0  
Total 4,649,645  
Pass | Commercial & Industrial - Non-RE    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 435,228  
2021 66,226  
2020 25,629  
2019 61,932  
2018 9,268  
Prior 0  
Revolving Loans 1,388,435  
Revolving Loans Converted to Loans HFI 0  
Total 1,986,718  
Pass | Auto & Consumer    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 352,468  
2021 107,882  
2020 43,377  
2019 37,008  
2018 16,147  
Prior 8,891  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 565,773  
Pass | Other    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 3,057  
2021 6,185  
2020 0  
2019 0  
2018 1,091  
Prior 721  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 11,054  
Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 1,417  
2021 32,539  
2020 17,486  
2019 19,827  
2018 19,835  
Prior 11,940  
Revolving Loans 38,637  
Revolving Loans Converted to Loans HFI 0  
Total 141,681  
Special Mention | Single Family - Mortgage & Warehouse    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 4,790  
2019 2,505  
2018 4,125  
Prior 10,971  
Revolving Loans 38,637  
Revolving Loans Converted to Loans HFI 0  
Total 61,028  
Special Mention | Multifamily and Commercial Mortgage    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 1,200  
2021 0  
2020 534  
2019 539  
2018 0  
Prior 968  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 3,241  
Special Mention | Commercial Real Estate    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 32,351  
2020 12,138  
2019 16,487  
2018 15,000  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 75,976  
Special Mention | Commercial & Industrial - Non-RE    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 13  
2021 0  
2020 0  
2019 186  
2018 710  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 909  
Special Mention | Auto & Consumer    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 204  
2021 188  
2020 24  
2019 110  
2018 0  
Prior 1  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 527  
Special Mention | Other    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 0  
2019 0  
2018 0  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 0  
Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 3,145  
2021 36,730  
2020 60,270  
2019 46,268  
2018 36,795  
Prior 60,357  
Revolving Loans 1,298  
Revolving Loans Converted to Loans HFI 0  
Total 244,863  
Substandard | Single Family - Mortgage & Warehouse    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 2,288  
2020 3,928  
2019 18,407  
2018 5,955  
Prior 36,188  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 66,766  
Substandard | Multifamily and Commercial Mortgage    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 5,772  
2020 34,343  
2019 9,613  
2018 7,308  
Prior 24,129  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 81,165  
Substandard | Commercial Real Estate    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 12,575  
2019 18,043  
2018 23,507  
Prior 0  
Revolving Loans 1,298  
Revolving Loans Converted to Loans HFI 0  
Total 55,423  
Substandard | Commercial & Industrial - Non-RE    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 2,988  
2021 28,359  
2020 9,154  
2019 0  
2018 0  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 40,501  
Substandard | Auto & Consumer    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 157  
2021 311  
2020 224  
2019 205  
2018 25  
Prior 6  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 928  
Substandard | Other    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 46  
2019 0  
2018 0  
Prior 34  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 80  
Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 0  
2019 0  
2018 0  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 0  
Doubtful | Single Family - Mortgage & Warehouse    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 0  
2019 0  
2018 0  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 0  
Doubtful | Multifamily and Commercial Mortgage    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 0  
2019 0  
2018 0  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 0  
Doubtful | Commercial Real Estate    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 0  
2019 0  
2018 0  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 0  
Doubtful | Commercial & Industrial - Non-RE    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 0  
2019 0  
2018 0  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 0  
Doubtful | Auto & Consumer    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 0  
2019 0  
2018 0  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total 0  
Doubtful | Other    
Financing Receivable, Credit Quality Indicator [Line Items]    
2022 0  
2021 0  
2020 0  
2019 0  
2018 0  
Prior 0  
Revolving Loans 0  
Revolving Loans Converted to Loans HFI 0  
Total $ 0  
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS - PAST DUE LOANS AND LEASES (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Financing Receivable, Past Due [Line Items]    
Total $ 14,253,676 $ 11,554,744
Single Family - Mortgage & Warehouse    
Financing Receivable, Past Due [Line Items]    
Total 3,988,462 4,359,472
Multifamily and Commercial Mortgage    
Financing Receivable, Past Due [Line Items]    
Total 2,877,680 2,470,454
Commercial Real Estate    
Financing Receivable, Past Due [Line Items]    
Total 4,781,044 3,180,453
Commercial & Industrial - Non-RE    
Financing Receivable, Past Due [Line Items]    
Total 2,028,128 1,123,869
Auto & Consumer    
Financing Receivable, Past Due [Line Items]    
Total 567,228 362,180
Other    
Financing Receivable, Past Due [Line Items]    
Total 11,134 58,316
30-59 Days    
Financing Receivable, Past Due [Line Items]    
Total $ 19,900 $ 69,528
As a % of gross loans 0.14% 0.60%
30-59 Days | Single Family - Mortgage & Warehouse    
Financing Receivable, Past Due [Line Items]    
Total $ 5,167 $ 24,150
30-59 Days | Multifamily and Commercial Mortgage    
Financing Receivable, Past Due [Line Items]    
Total 9,455 7,991
30-59 Days | Commercial Real Estate    
Financing Receivable, Past Due [Line Items]    
Total 0 36,786
30-59 Days | Commercial & Industrial - Non-RE    
Financing Receivable, Past Due [Line Items]    
Total 0 0
30-59 Days | Auto & Consumer    
Financing Receivable, Past Due [Line Items]    
Total 4,865 601
30-59 Days | Other    
Financing Receivable, Past Due [Line Items]    
Total 413 0
60-89 Days    
Financing Receivable, Past Due [Line Items]    
Total $ 19,494 $ 48,674
As a % of gross loans 0.14% 0.42%
60-89 Days | Single Family - Mortgage & Warehouse    
Financing Receivable, Past Due [Line Items]    
Total $ 1,518 $ 46,552
60-89 Days | Multifamily and Commercial Mortgage    
Financing Receivable, Past Due [Line Items]    
Total 2,115 1,816
60-89 Days | Commercial Real Estate    
Financing Receivable, Past Due [Line Items]    
Total 14,852 0
60-89 Days | Commercial & Industrial - Non-RE    
Financing Receivable, Past Due [Line Items]    
Total 0 0
60-89 Days | Auto & Consumer    
Financing Receivable, Past Due [Line Items]    
Total 1,009 306
60-89 Days | Other    
Financing Receivable, Past Due [Line Items]    
Total 0 0
90+ Days    
Financing Receivable, Past Due [Line Items]    
Total $ 90,501 $ 84,486
As a % of gross loans 0.63% 0.73%
90+ Days | Single Family - Mortgage & Warehouse    
Financing Receivable, Past Due [Line Items]    
Total $ 63,286 $ 69,169
90+ Days | Multifamily and Commercial Mortgage    
Financing Receivable, Past Due [Line Items]    
Total 26,556 12,122
90+ Days | Commercial Real Estate    
Financing Receivable, Past Due [Line Items]    
Total 0 0
90+ Days | Commercial & Industrial - Non-RE    
Financing Receivable, Past Due [Line Items]    
Total 0 2,960
90+ Days | Auto & Consumer    
Financing Receivable, Past Due [Line Items]    
Total 466 235
90+ Days | Other    
Financing Receivable, Past Due [Line Items]    
Total 193 0
Total    
Financing Receivable, Past Due [Line Items]    
Total $ 129,895 $ 202,688
As a % of gross loans 0.91% 1.75%
Total | Single Family - Mortgage & Warehouse    
Financing Receivable, Past Due [Line Items]    
Total $ 69,971 $ 139,871
Total | Multifamily and Commercial Mortgage    
Financing Receivable, Past Due [Line Items]    
Total 38,126 21,929
Total | Commercial Real Estate    
Financing Receivable, Past Due [Line Items]    
Total 14,852 36,786
Total | Commercial & Industrial - Non-RE    
Financing Receivable, Past Due [Line Items]    
Total 0 2,960
Total | Auto & Consumer    
Financing Receivable, Past Due [Line Items]    
Total 6,340 1,142
Total | Other    
Financing Receivable, Past Due [Line Items]    
Total $ 606 $ 0
v3.22.2.2
LOANS & ALLOWANCE FOR CREDIT LOSSES-LOANS - ALLOWANCE FOR LOAN LOSS AND RESERVE FOR UNFUNDED LOAN COMMITMENTS (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Unfunded Loan Commitment Liabilities:      
Balance, beginning of period $ 5,723 $ 323 $ 227
Provision 5,250 (300) 96
Balance, end of period 10,973 5,723 323
Impact of ASC 326 Adoption      
Unfunded Loan Commitment Liabilities:      
Balance, beginning of period $ 0 5,700 0
Balance, end of period   $ 0 $ 5,700
v3.22.2.2
OFFSETTING OF SECURITIES FINANCING AGREEMENTS (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Assets:    
Securities borrowed, gross assets $ 338,980 $ 619,088
Securities borrowed, amounts offset 0 0
Securities borrowed, net balance sheet amount 338,980 619,088
Securities borrowed, financial collateral 338,980 619,088
Securities borrowed, net assets 0 0
Liabilities:    
Securities loaned, gross liabilities 474,400 728,988
Securities loaned, amounts offset 0 0
Securities loaned, net balance sheet amount 474,400 728,988
Securities loaned, financial collateral 474,400 728,988
Securities loaned, net liabilities $ 0 $ 0
v3.22.2.2
CUSTOMER, BROKER-DEALER AND CLEARING RECEIVABLES AND PAYABLES (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Receivables:    
Customers $ 309,216 $ 326,176
Receivable from broker-dealers 101,960 38,887
Securities failed to deliver 6,241 4,752
Total customer, broker-dealer and clearing receivables 417,417 369,815
Payables:    
Customers 486,625 497,098
Payable to broker-dealers 18,601 31,203
Securities failed to receive 6,428 7,124
Total customer, broker-dealer and clearing payables $ 511,654 $ 535,425
v3.22.2.2
FURNITURE, EQUIPMENT AND SOFTWARE (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Property, Plant and Equipment [Line Items]      
Furniture, equipment and software, gross $ 120,819 $ 97,831  
Less accumulated depreciation and amortization (84,610) (71,535)  
Furniture, equipment and software—net 36,209 26,296  
Depreciation and amortization 13,100 14,400 $ 14,900
Leasehold improvements      
Property, Plant and Equipment [Line Items]      
Furniture, equipment and software, gross 5,698 5,556  
Furniture and fixtures      
Property, Plant and Equipment [Line Items]      
Furniture, equipment and software, gross 10,608 7,793  
Computer hardware and equipment      
Property, Plant and Equipment [Line Items]      
Furniture, equipment and software, gross 25,665 24,396  
Software      
Property, Plant and Equipment [Line Items]      
Furniture, equipment and software, gross $ 78,848 $ 60,086  
v3.22.2.2
GOODWILL AND INTANGIBLE ASSETS - ACTIVITY IN GOODWILL BALANCE (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Goodwill [Roll Forward]    
Goodwill, beginning balance $ 71,222 $ 71,222
Goodwill from acquisitions 24,452 0
Goodwill, ending balance $ 95,674 $ 71,222
v3.22.2.2
GOODWILL AND INTANGIBLE ASSETS - SUMMARY OF ACQUIRED INTANGIBLE ASSETS (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Finite-Lived Intangible Assets [Line Items]    
Accumulated Amortization $ 35,832 $ 24,754
Net Carrying Amount 60,353  
Intangible Assets, Net (Excluding Goodwill) [Abstract]    
Gross Carrying Amount 96,563 69,503
Accumulated Amortization 35,832 24,754
Net Carrying Amount 60,731 44,749
Trademark    
Indefinite-lived Intangible Assets [Line Items]    
Gross Carrying Amount 378 378
Covenant not to compete    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 1,060 930
Accumulated Amortization 1,038 756
Net Carrying Amount 22 174
Intangible Assets, Net (Excluding Goodwill) [Abstract]    
Accumulated Amortization 1,038 756
Customer relationships    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 46,960 31,310
Accumulated Amortization 10,654 7,110
Net Carrying Amount 36,306 24,200
Intangible Assets, Net (Excluding Goodwill) [Abstract]    
Accumulated Amortization 10,654 7,110
Customer deposit intangible    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 13,545 13,545
Accumulated Amortization 7,655 5,829
Net Carrying Amount 5,890 7,716
Intangible Assets, Net (Excluding Goodwill) [Abstract]    
Accumulated Amortization 7,655 5,829
Developed technologies    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 34,040 23,050
Accumulated Amortization 15,905 10,769
Net Carrying Amount 18,135 12,281
Intangible Assets, Net (Excluding Goodwill) [Abstract]    
Accumulated Amortization 15,905 10,769
Trade name    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 580 290
Accumulated Amortization 580 290
Net Carrying Amount 0 0
Intangible Assets, Net (Excluding Goodwill) [Abstract]    
Accumulated Amortization $ 580 $ 290
v3.22.2.2
GOODWILL AND INTANGIBLE ASSETS - WEIGHTED AVERAGE USEFUL LIFE OF ACQUIRED INTANGIBLE ASSETS (Details)
 12 Months Ended
Jun. 30, 2022
Covenant not to compete  
Finite-Lived Intangible Assets [Line Items]  
Weighted-Average Useful Lives (Years) 2 months 1 day
Customer relationships  
Finite-Lived Intangible Assets [Line Items]  
Weighted-Average Useful Lives (Years) 11 years 4 months 28 days
Customer deposit intangible  
Finite-Lived Intangible Assets [Line Items]  
Weighted-Average Useful Lives (Years) 6 years 5 months 1 day
Developed technologies  
Finite-Lived Intangible Assets [Line Items]  
Weighted-Average Useful Lives (Years) 2 years 11 months 4 days
v3.22.2.2
GOODWILL AND INTANGIBLE ASSETS - ESTIMATED FUTURE AMORTIZATION EXPENSE OF ACQUIRED INTANGIBLE ASSETS (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]    
Amortization of expense of intangible assets $ 11,100 $ 9,800
For the fiscal year ending June 30,    
2023 10,730  
2024 10,239  
2025 6,750  
2026 5,615  
2027 5,369  
Thereafter 21,650  
Net Carrying Amount $ 60,353  
v3.22.2.2
LEASES - Narrative (Details) - USD ($)
$ in Millions
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Leases [Abstract]      
Operating lease expense $ 10.8 $ 10.6 $ 10.5
v3.22.2.2
LEASES - Supplemental Balance Sheet Information (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Leases [Abstract]    
Operating lease right-of-use assets $ 69,196 $ 64,077
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Other assets Other assets
Operating lease liabilities $ 74,878 $ 70,119
Operating Lease, Liability, Statement of Financial Position [Extensible List] Accounts Payable and Accrued Liabilities Accounts Payable and Accrued Liabilities
Weighted-average remaining lease term:    
Weighted- average remaining lease term, operating leases (in years) 7 years 6 months 10 days 8 years 3 months 18 days
Weighted-average discount rate:    
Weighted-average discount rate, operating leases 2.79% 2.90%
v3.22.2.2
LEASES - Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Cash paid for amounts included in the measurement of lease liabilities for operating leases:    
Operating cash flows $ 9,888 $ 8,875
v3.22.2.2
LEASES - Maturities of Lease Liabilities (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Operating Leases, After Adoption of 842:    
Within one year $ 10,509  
After one year and within two years 10,914  
After two years and within three years 11,104  
After three years and within four years 10,806  
After four years and within five years 10,865  
After five years 29,356  
Total lease payments 83,554  
Less: amount representing interest (8,676)  
Total Lease Liability $ 74,878 $ 70,119
Operating Lease, Liability, Statement of Financial Position [Extensible List] Accounts Payable and Accrued Liabilities Accounts Payable and Accrued Liabilities
v3.22.2.2
DEPOSITS - SUMMARY OF DEPOSIT ACCOUNTS (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Non-interest bearing    
Non-interest bearing, Amount $ 5,033,970 $ 2,474,424
Interest bearing:    
Demand, Amount $ 3,611,889 $ 3,369,845
Demand, Rate 0.61% 0.15%
Savings, Amount $ 4,245,555 $ 3,458,687
Savings, Rate 0.95% 0.21%
Total demand and savings, Amount $ 7,857,444 $ 6,828,532
Total demand and savings, Rate 0.79% 0.18%
Time deposits:    
$250 and under, Amount $ 651,392 $ 1,070,139
$250 and under, Rate 1.22% 1.30%
Greater than $250, Amount $ 403,616 $ 442,702
Greater than $250, Rate 1.41% 1.03%
Total time deposits, Amount $ 1,055,008 $ 1,512,841
Total time deposits, Rate 1.25% 1.22%
Total interest bearing, Amount $ 8,912,452 $ 8,341,373
Total interest bearing, Rate 0.85% 0.37%
Total deposits $ 13,946,422 $ 10,815,797
Total deposits, Rate 0.54% 0.29%
Time deposits acquired through broker relationships $ 1,032,700 $ 621,400
Time deposits acquired through broker relationships, $250,000 and under $ 250,000 $ 380,000
v3.22.2.2
DEPOSITS - SCHEDULED MATURITIES OF TIME DEPOSITS (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Deposits [Abstract]    
Time deposits greater than $250 $ 29,600  
Within 12 months 742,804  
13 to 24 months 155,376  
25 to 36 months 141,841  
37 to 48 months 9,037  
49 to 60 months 5,950  
Total time deposits, Amount 1,055,008 $ 1,512,841
Deposits from principal officers, directors and their affiliates $ 5,700 $ 3,200
v3.22.2.2
ADVANCES FROM THE FEDERAL HOME LOAN BANK - NARRATIVE (Details) - USD ($)
$ in Millions
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Federal Home Loan Bank, Advances [Line Items]      
Weighted average rate percentage 2.26% 1.18%  
Advances, collateral pledged $ 3,823.1 $ 4,286.1  
Advances, maximum amount 1,360.5 $ 353.5 $ 1,462.5
Advances, amount available immediately 2,014.2    
Advances, amount available with additional collateral $ 3,893.3    
Advances, amount available with additional collateral, term (in years) 10 years    
Minimum      
Federal Home Loan Bank, Advances [Line Items]      
Interest rate percentage 1.68% 0.15%  
Maximum      
Federal Home Loan Bank, Advances [Line Items]      
Interest rate percentage 2.82% 2.86%  
v3.22.2.2
ADVANCES FROM THE FEDERAL HOME LOAN BANK - SCHEDULED MATURITIES (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Amount    
Within one year $ 27,500 $ 236,000
After one but within two years 0 27,500
After two but within three years 30,000 0
After three but within four years 0 30,000
After four but within five years 0 0
After five years 60,000 60,000
Total $ 117,500 $ 353,500
Weighted-Average Rate    
Within one year 2.08% 0.64%
After one but within two years 0.00% 2.08%
After two but within three years 2.82% 0.00%
After three but within four years 0.00% 2.82%
After four but within five years 0.00% 0.00%
After five years 2.07% 2.07%
Total 2.26% 1.18%
Term advances $ 0 $ 186
v3.22.2.2
BORROWINGS, SUBORDINATED NOTES AND DEBENTURES - SCHEDULE OF BORROWINGS, SUBORDINATED NOTES AND DEBENTURES (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Debt Instrument [Line Items]    
Less unamortized issuance costs $ (3,811) $ (2,397)
Total borrowings, subordinated notes and debentures 445,244 221,358
Borrowings from other banks    
Debt Instrument [Line Items]    
Long-term debt 111,500 36,200
Subordinated loans    
Debt Instrument [Line Items]    
Long-term debt 7,400 7,400
Total borrowings, subordinated notes and debentures 7,400  
Subordinated notes    
Debt Instrument [Line Items]    
Long-term debt 325,000 175,000
Junior subordinated debentures    
Debt Instrument [Line Items]    
Long-term debt $ 5,155 $ 5,155
v3.22.2.2
BORROWINGS, SUBORDINATED NOTES AND DEBENTURES - NARRATIVE (Details)
 1 Months Ended 12 Months Ended
Jan. 28, 2019
USD ($)
Dec. 13, 2004
USD ($)
Feb. 28, 2022
USD ($)
Sep. 30, 2020
USD ($)
Jun. 30, 2022
USD ($)
bank
Jun. 30, 2021
USD ($)
Jun. 30, 2020
USD ($)
Jun. 30, 2019
USD ($)
Debt Instrument [Line Items]                
Borrowings, subordinated notes and debentures         $ 445,244,000 $ 221,358,000    
Repayment of subordinated loans         0 51,000,000 $ 0  
Borrowings from other banks                
Debt Instrument [Line Items]                
Maximum borrowing capacity         $ 175,000,000      
Federal funds lines of credit, number of banks | bank         2      
Credit line amount outstanding         $ 0 0    
Federal reserve bank advances                
Debt Instrument [Line Items]                
Short-term borrowings outstanding         0 0    
Maximum borrowing capacity         2,823,500,000 $ 2,091,300,000    
Secured lines of credit                
Debt Instrument [Line Items]                
Maximum borrowing capacity         150,000,000      
Borrowings, subordinated notes and debentures         $ 58,400,000      
Weighted average interest rate of borrowings (as percent)         2.99%      
Unsecured line of credit                
Debt Instrument [Line Items]                
Maximum borrowing capacity         $ 75,000,000      
Borrowings, subordinated notes and debentures         53,100,000      
Subordinated loans                
Debt Instrument [Line Items]                
Borrowings, subordinated notes and debentures         $ 7,400,000      
Debt issued principal amount $ 7,500,000              
Subordinated notes maturity (in months) 15 months              
Effective rate (as percent) 6.25%              
Repayment of subordinated loans               $ 100,000
Subordinated notes                
Debt Instrument [Line Items]                
Debt issued principal amount     $ 150,000,000 $ 175,000,000        
Effective rate (as percent)     4.00% 4.875%        
Basis spread on variable rate     227.00%          
Percentage of principal amount redeemed     4.00%          
Subordinated notes | Secured Overnight Financing Rate                
Debt Instrument [Line Items]                
Basis spread on variable rate       4.76%        
Junior subordinated debentures                
Debt Instrument [Line Items]                
Effective rate (as percent)         3.90%      
Basis spread on variable rate         2.40%      
Trust preferred securities   $ 5,000,000            
Borrowings, subordinated notes and debentures         $ 5,200,000      
Junior subordinated debentures | LIBOR                
Debt Instrument [Line Items]                
Description of variable rate basis         three-month LIBOR      
v3.22.2.2
INCOME TAXES - COMPONENTS OF INCOME TAXES (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Current:      
Federal $ 64,800 $ 61,827 $ 51,893
State 43,843 37,037 33,852
Current income taxes 108,643 98,864 85,745
Deferred:      
Federal (5,600) (5,562) (3,814)
State (3,800) (3,266) (2,737)
Deferred income taxes (9,400) (8,828) (6,551)
Total $ 99,243 $ 90,036 $ 79,194
v3.22.2.2
INCOME TAXES - EFFECTIVE INCOME TAX RATE RECONCILIATION (Details)
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Income Tax Disclosure [Abstract]      
Statutory federal tax rate 21.00% 21.00% 21.00%
Increase (decrease) resulting from:      
State taxes—net of federal tax benefit 9.13% 8.70% 9.27%
Cash surrender value (0.26%) (0.01%) (0.02%)
Deferred tax asset write-off 0.00% 0.00% 0.77%
Tax credits (0.44%) (0.59%) (0.77%)
Non-taxable income (0.09%) (0.09%) (0.10%)
Excess benefit RSU vesting (1.31%) (0.64%) (0.05%)
Other 1.16% 1.08% 0.05%
Effective tax rate 29.19% 29.45% 30.15%
v3.22.2.2
INCOME TAXES - NET DEFERRED TAX ASSET (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Deferred tax assets:    
Allowance for credit losses $ 59,045 $ 51,663
State taxes 949 903
Stock-based compensation expense 5,101 4,891
Unrealized net losses on securities 1,261 0
Accrued compensation 2,533 3,388
Securities impaired 270 266
Non-accrual loan interest income 2,608 4,182
Lease liability 24,626 22,730
Net operating loss carryforward 1,273 1,811
Other liabilities – accruals 3,116 0
Total deferred tax assets 100,782 89,834
Deferred tax liabilities:    
FHLB stock dividend (842) (830)
Other assets—prepaids (2,083) (2,717)
Depreciation and amortization (8,838) (9,998)
Operating lease right-of-use asset (22,757) (20,771)
Unrealized net gains on securities 0 (1,155)
Total deferred tax liabilities (34,520) (35,471)
Net deferred tax asset $ 66,262 $ 54,363
v3.22.2.2
INCOME TAXES - NARRATIVE (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Operating Loss Carryforwards [Line Items]      
Net operating loss carryforward $ 1,273 $ 1,811  
Reduction in effective tax rate for tax credits received (as percent) 0.44% 0.59% 0.77%
Federal      
Operating Loss Carryforwards [Line Items]      
Net operating loss carryforward $ 5,100    
Annual 382 limitation 2,300    
State      
Operating Loss Carryforwards [Line Items]      
Net operating loss carryforward 1,700    
Annual 382 limitation 100    
Operating loss carryfoward, subject to limitation 1,600    
Operating loss carryforward 2,400    
Valuation allowance $ 200    
v3.22.2.2
INCOME TAXES - UNRECOGNIZED TAX BENEFITS (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]      
Balance—beginning of period $ 3,369 $ 813 $ 1,084
Additions—current year tax positions 690 355 115
Additions—prior year tax positions 481 2,205 31
Reductions—prior year tax positions (233) (4) (417)
Total liability for unrecognized tax positions—end of period $ 4,307 $ 3,369 $ 813
v3.22.2.2
STOCKHOLDERS' EQUITY - NARRATIVE (Details) - USD ($)
 12 Months Ended
Oct. 30, 2020
Aug. 02, 2019
Jun. 30, 2021
Jun. 30, 2020
Jun. 30, 2022
Mar. 17, 2016
Class of Stock [Line Items]            
Share repurchased amount     $ 16,757,000 $ 38,858,000    
Preferred stock, par value (in dollars per share)     $ 0.01   $ 0.01  
Cash dividends on preferred stock     $ 103,000 309,000    
Common Stock            
Class of Stock [Line Items]            
Stock repurchased program, authorized amount   $ 100,000,000       $ 100,000,000
Share repurchased amount   $ 47,200,000 $ 16,800,000      
Purchase of treasury stock, outstanding (in shares)   2,399,853 753,597      
Average price of shares repurchased (in dollars per share)   $ 19.68 $ 22.24      
Remaining authorized repurchase amount         $ 52,800,000  
Series A Preferred Stock            
Class of Stock [Line Items]            
Preferred stock - Series A redemption (in shares) 515          
Preferred stock, dividend rate percent 6.00%          
Preferred stock, par value (in dollars per share) $ 10,000          
Cash dividends on preferred stock       $ 300,000    
v3.22.2.2
STOCK-BASED COMPENSATION - NARRATIVE (Details)
$ in Thousands
 12 Months Ended
Jul. 01, 2017
USD ($)
tranche
Jun. 30, 2022
USD ($)
shares
Jun. 30, 2021
USD ($)
Jun. 30, 2020
USD ($)
Jan. 01, 2022
USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
401(k) plan expense   $ 3,600 $ 2,400 $ 2,400  
Restricted Stock Units (RSUs)          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of shares available for issuance (in shares) | shares   44,817      
Unrecognized compensation expense related to non-vested awards   $ 38,083      
Total fair value of shares vested in the period   $ 33,300      
Weighted average contractual term   1 year 3 months 18 days      
401(k) plan expense   $ 2,500      
Restricted Stock Units (RSUs) | Chief Executive Officer          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Estimated fair value of non-vested awards $ 20,500        
Number of vesting tranches during requisite service period | tranche 5        
Requisite service period of equity-based award agreement based on service and market conditions (in years) 9 years        
Period for recognition of unrecognized compensation expense related to non-vested awards (in years)   4 years      
Unrecognized compensation expense related to non-vested awards   $ 2,500      
Restricted Stock Units (RSUs) | Chief Executive Officer | Year One          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Restricted shares grants, annual vesting percentage       25.00%  
Restricted Stock Units (RSUs) | Chief Executive Officer | Year Two          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Restricted shares grants, annual vesting percentage       25.00%  
Restricted Stock Units (RSUs) | Chief Executive Officer | Year Three          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Restricted shares grants, annual vesting percentage       25.00%  
Restricted Stock Units (RSUs) | Chief Executive Officer | Year Four          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Restricted shares grants, annual vesting percentage       25.00%  
Restricted Stock Units (RSUs) | Employees and Directors | Year One          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Restricted shares grants, annual vesting percentage   33.30% 33.30% 33.30%  
Restricted Stock Units (RSUs) | Employees and Directors | Year Two          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Restricted shares grants, annual vesting percentage   33.30% 33.30% 33.30%  
Restricted Stock Units (RSUs) | Employees and Directors | Year Three          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Restricted shares grants, annual vesting percentage   33.30% 33.30% 33.30%  
Renewed RSU | Chief Executive Officer          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Estimated fair value of non-vested awards         $ 8,800
Requisite service period of equity-based award agreement based on service and market conditions (in years)   5 years      
Period for recognition of unrecognized compensation expense related to non-vested awards (in years)   5 years      
Unrecognized compensation expense related to non-vested awards   $ 7,600      
Historical daily trading history term, equity volatility   1 year 6 months      
Plans          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Contractual term for options granted under the plan (in years)   10 years      
Plans | Minimum          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting period for options granted (in years)   3 years      
Plans | Maximum          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting period for options granted (in years)   5 years      
2014 Plan          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of shares authorized (in shares) | shares   5,680,000      
Number of shares available for issuance (in shares) | shares   1,883,720      
v3.22.2.2
STOCK-BASED COMPENSATION - UNRECOGNIZED COMPENSATION EXPENSE (Details) - Restricted Stock Units (RSUs)
$ in Thousands
Jun. 30, 2022
USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
2023 $ 18,300
2024 13,081
2025 5,313
2026 989
2027 400
Total $ 38,083
v3.22.2.2
STOCK-BASED COMPENSATION - STATUS OF CHANGE IN RESTRICTED STOCK GRANTS (Details) - Restricted Stock Units (RSUs)
 12 Months Ended
Jun. 30, 2022
$ / shares
shares
Number of Units  
Non-vested, beginning balance (in shares) | shares 1,220,470
Granted (in shares) | shares 1,021,428
Vested (in shares) | shares (745,584)
Forfeitures (in shares) | shares (145,551)
Non-vested, ending balance (in shares) | shares 1,350,763
Weighted-Average Grant-Date Fair Value  
Non-vested, beginning balance (in dollars per share) | $ / shares $ 30.18
Granted (in dollars per share) | $ / shares 48.12
Vested (in dollars per share) | $ / shares
Forfeitures (in dollars per share) | $ / shares
Non-vested, ending balance (in dollars per share) | $ / shares $ 41.16
v3.22.2.2
EARNINGS PER COMMON SHARE - CALCULATION OF BASIC AND DILUTED EPS (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Earnings Per Common Share      
Net income $ 240,716 $ 215,707 $ 183,438
Preferred stock dividends 0 (103) (309)
Preferred stock redemption 0 (86) 0
Net income attributable to common shareholders $ 240,716 $ 215,518 $ 183,129
Average common shares issued and outstanding (in shares) 59,523,626 59,229,495 60,794,555
Total qualifying shares (in shares) 59,523,626 59,229,495 60,794,555
Basic earnings per share (in dollars per share) $ 4.04 $ 3.64 $ 3.01
Diluted Earnings Per Common Share      
Dilutive net income attributable to common shareholders $ 240,716 $ 215,518 $ 183,129
Average common shares issued and outstanding (in shares) 59,523,626 59,229,495 60,794,555
Dilutive effect of stock options and average unvested RSUs (in shares) 1,087,328 1,290,116 643,080
Total dilutive common shares issued and outstanding (in shares) 60,610,954 60,519,611 61,437,635
Diluted earnings per share (in dollars per share) $ 3.97 $ 3.56 $ 2.98
v3.22.2.2
COMMITMENTS, CONTINGENCIES, AND OFF-BALANCE-SHEET ACTIVITIES - NARRATIVE (Details)
$ in Thousands
 1 Months Ended
Jun. 30, 2022
USD ($)
claim
Dec. 31, 2015
claim
Jun. 30, 2021
USD ($)
Aug. 10, 2017
claim
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet risk, ratio of commitments to originate loans to commitments to sell 42.30%   48.20%  
Margin deposits available as collateral $ 324,900      
Stock borrowings available as collateral 338,980   $ 619,088  
Available securities used as collateral for securities loaned 474,400   728,988  
Available securities used as collateral for bank loans 186,600      
Available securities used as collateral for OCC margin requirements $ 20,000      
Number of derivative actions filed | claim   2    
Number of derivative actions pending | claim       6
Number of consolidated cases | claim 6      
Payments for Legal Settlements $ 9,500      
Low income housing project partnerships        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Commitments to contribute capital 28,100   $ 15,100  
Loan origination commitments        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet, loan origination commitment 3,504,300      
Loan origination commitments | Sales commitment        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet, commitment 8,400      
Loan origination commitments | Fixed Interest Rate        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet, loan origination commitment $ 184,500      
Weighted average fixed interest rate on commitments to extend credit 5.75%   1.94%  
Loan origination commitments | Fixed Interest Rate | Sales commitment        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet, commitment     $ 55,900  
Loan origination commitments | Variable Interest Rate        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet, loan origination commitment $ 3,319,800      
Loan purchase and origination commitments        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet, commitment     708,600  
Loan purchase and origination commitments | Fixed Interest Rate        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet, loan origination commitment     55,000  
Loan purchase and origination commitments | Variable Interest Rate        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet, loan origination commitment     $ 653,500  
v3.22.2.2
MINIMUM REGULATORY CAPITAL REQUIREMENTS - NARRATIVE (Details)
Jun. 30, 2022
Banking Regulation, Minimum Regulatory Capital Requirements [Abstract]  
Tier 1 leverage (core) capital to adjusted average assets, Minimum Capital Ratio 0.0400
Common equity tier 1 capital (to risk-weighted assets), Minimum Capital Ratio 4.50%
Tier 1 capital (to risk-weighted assets), Minimum Capital Ratio 0.060
Total capital (to risk-weighted assets), Minimum Capital Ratio 0.080
Tier 1 leverage (core) capital to adjusted average assets, Well Capitalized Ratio 0.050
Common equity tier 1 capital (to risk-weighted assets), Well Capitalized Ratio 6.50%
Tier 1 capital (to risk-weighted assets), Well Capitalized Ratio 0.080
Total capital (to risk-weighted assets), Well Capitalized Ratio 0.1000
Common equity tier 1 capital (to risk-weighted assets), minimum capital ratio, inclusive of the capital conservation buffer requirement 7.00%
Tier 1 capital (to risk-weighted assets), minimum capital ratio, inclusive of the capital conservation buffer requirement 8.50%
Total capital (to risk-weighted assets), minimum capital ratio, inclusive of the capital conservation buffer requirement 10.50%
v3.22.2.2
MINIMUM REGULATORY CAPITAL REQUIREMENTS - CAPITAL AMOUNTS, RATIOS, AND REQUIREMENTS UNDER BASEL III (Details)
$ in Thousands
Jun. 30, 2022
USD ($)
Jun. 30, 2021
USD ($)
Regulatory Capital:    
Tier 1 $ 1,522,478 $ 1,309,496
Common equity tier 1 1,522,478 1,309,496
Total capital (to risk-weighted assets) 1,965,578 1,587,625
Assets:    
Average adjusted 16,460,684 14,851,462
Total risk-weighted $ 15,443,152 $ 11,522,645
Regulatory Capital Ratios:    
Tier 1 leverage (core) capital to adjusted average assets, Ratio 0.0925 0.0882
Tier 1 leverage (core) capital to adjusted average assets, Well Capitalized Ratio 0.050  
Tier 1 leverage (core) capital to adjusted average assets, Minimum Capital Ratio 0.0400  
Common equity tier 1 capital (to risk-weighted assets), Ratio 9.86% 11.36%
Common equity tier 1 capital (to risk-weighted assets), Well Capitalized Ratio 6.50%  
Common equity tier 1 capital (to risk-weighted assets), Minimum Capital Ratio 4.50%  
Tier 1 capital (to risk-weighted assets), Ratio 0.0986 0.1136
Tier 1 capital (to risk-weighted assets), Well Capitalized Ratio 0.080  
Tier 1 capital (to risk-weighted assets), Minimum Capital Ratio 0.060  
Total capital (to risk-weighted assets), Ratio 0.1273 0.1378
Total capital (to risk-weighted assets), Well Capitalized Ratio 0.1000  
Total capital (to risk-weighted assets), Minimum Capital Ratio 0.080  
Axos Bank    
Regulatory Capital:    
Tier 1 $ 1,615,012 $ 1,262,885
Common equity tier 1 1,615,012 1,262,885
Total capital (to risk-weighted assets) 1,725,528 1,358,430
Assets:    
Average adjusted 15,164,797 13,359,578
Total risk-weighted $ 14,366,457 $ 10,283,135
Regulatory Capital Ratios:    
Tier 1 leverage (core) capital to adjusted average assets, Ratio 0.1065 0.0945
Common equity tier 1 capital (to risk-weighted assets), Ratio 11.24% 12.28%
Tier 1 capital (to risk-weighted assets), Ratio 0.1124 0.1228
Total capital (to risk-weighted assets), Ratio 0.1201 0.1321
v3.22.2.2
MINIMUM REGULATORY CAPITAL REQUIREMENTS - NET CAPITAL POSITION (Details) - Axos Clearing - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]    
Net capital $ 38,915 $ 35,950
Less: required net capital 6,250 8,046
Excess capital $ 32,665 $ 27,904
Net capital as a percentage of aggregate debit items 12.45% 8.94%
Net capital in excess of 5% aggregate debit items $ 23,290 $ 15,836
v3.22.2.2
MINIMUM REGULATORY CAPITAL REQUIREMENTS - SECURITIES BUSINESS NARRATIVE (Details) - Axos Clearing, LLC - USD ($)
$ in Millions
Jun. 30, 2022
Jun. 30, 2021
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]    
Deposit requirement $ 286.9 $ 258.1
Deposit maintained 335.8 251.2
PAB    
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]    
Deposit requirement 29.1 73.6
Deposit maintained $ 36.3 $ 71.0
v3.22.2.2
EMPLOYEE BENEFIT PLAN (Details)
$ in Millions
 12 Months Ended
Jun. 30, 2022
USD ($)
plan
Jun. 30, 2021
USD ($)
Jun. 30, 2020
USD ($)
Compensation Related Costs [Abstract]      
401(k) plan, number of plans | plan 1    
401(k) plan, maximum employee annual contribution 100.00%    
401(k) plan expense | $ $ 3.6 $ 2.4 $ 2.4
v3.22.2.2
PARENT-ONLY CONDENSED FINANCIAL INFORMATION - CONDENSED BALANCE SHEETS (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Jun. 30, 2019
ASSETS        
Other assets $ 496,037 $ 432,031    
TOTAL ASSETS 17,401,165 14,265,565    
LIABILITIES AND STOCKHOLDERS’ EQUITY        
Borrowings, subordinated notes and debentures 445,244 221,358    
Accounts payable, accrued liabilities and other liabilities 262,972 209,561    
Total liabilities 15,758,192 12,864,629    
Stockholders’ equity 1,642,973 1,400,936 $ 1,230,846 $ 1,073,050
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY 17,401,165 14,265,565    
Parent        
ASSETS        
Cash and due from banks 98,640 126,409    
Investment securities 14,486 14,985    
Other assets 125,235 111,084    
Investment in subsidiaries 1,821,818 1,411,950    
TOTAL ASSETS 2,060,179 1,664,428    
LIABILITIES AND STOCKHOLDERS’ EQUITY        
Borrowings, subordinated notes and debentures 333,744 185,158    
Accounts payable, accrued liabilities and other liabilities 83,462 78,334    
Total liabilities 417,206 263,492    
Stockholders’ equity 1,642,973 1,400,936    
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY $ 2,060,179 $ 1,664,428    
v3.22.2.2
PARENT-ONLY CONDENSED FINANCIAL INFORMATION - STATEMENTS OF INCOME (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Condensed Financial Statements, Captions [Line Items]      
Interest expense $ 52,570 $ 79,121 $ 145,228
Net interest income 607,158 538,742 477,611
Net interest income, after provision for credit losses 588,658 514,992 435,411
Non-interest income (loss) 113,363 105,261 102,987
NET INCOME 240,716 215,707 183,438
Comprehensive income 235,276 219,151 182,485
Tax benefits (99,243) (90,036) (79,194)
Parent      
Condensed Financial Statements, Captions [Line Items]      
Interest income 1,777 1,262 619
Interest expense 11,183 10,891 4,348
Net interest income (9,406) (9,629) (3,729)
Net interest income, after provision for credit losses (9,406) (9,629) (3,729)
Non-interest income (loss) 6,275 217 58
Non-interest expense and tax benefit 9,741 4,360 11,903
Income (loss) before dividends from subsidiary and equity in undistributed income of subsidiaries (12,872) (13,772) (15,574)
Dividends from subsidiaries 40,000 45,000 119,114
Equity in undistributed earnings of subsidiaries 213,588 184,479 79,898
NET INCOME 240,716 215,707 183,438
Comprehensive income 235,276 219,151 182,485
Tax benefits $ 11,927 $ 8,967 $ 5,152
v3.22.2.2
PARENT-ONLY CONDENSED FINANCIAL INFORMATION - STATEMENT OF CASH FLOWS (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
CASH FLOWS FROM OPERATING ACTIVITIES:      
Net income $ 240,716 $ 215,707 $ 183,438
Adjustments to reconcile net income to net cash provided by (used in) operating activities:      
Accretion of discounts on securities (423) (365) 291
Amortization of borrowing costs 706 1,569 208
Accretion of discounts on loans 56 0 0
Amortization of operating lease right of use asset 10,899 10,598 10,543
Stock-based compensation expense 21,242 20,685 21,935
Decrease (increase) in other assets (102,636) (7,084) (36,805)
Net cash provided by operating activities 210,282 412,582 284,118
CASH FLOWS FROM INVESTING ACTIVITIES:      
Purchases of loans and leases, net of discounts and premiums (33,085) (3,619) 0
Proceeds from principal repayments on loans 7,220,931 5,013,817 5,349,800
Purchases of furniture, equipment, software and intangibles (21,504) (10,437) (12,333)
Net cash used in investing activities (2,776,684) (866,769) (1,348,439)
CASH FLOWS FROM FINANCING ACTIVITIES:      
Tax payments related to settlement of restricted stock units (14,481) (10,648) (7,457)
Repurchase of treasury stock 0 (16,757) (38,858)
Net (repayment) proceeds of other borrowings 75,300 14,700 (85,300)
Payment of debt issuance costs (2,120) (2,748) 0
Proceeds from issuance of subordinated notes 150,000 175,000 0
Redemption of preferred stock, Series A 0 (5,150) 0
Cash dividends on preferred stock 0 (103) (386)
Net cash provided by (used in) financing activities 3,103,324 (458,555) 2,157,472
NET CHANGE IN CASH AND CASH EQUIVALENTS 536,922 (912,742) 1,093,151
CASH AND CASH EQUIVALENTS—Beginning of year 1,037,777 1,950,519 857,368
CASH AND CASH EQUIVALENTS—End of year 1,574,699 1,037,777 1,950,519
Parent      
CASH FLOWS FROM OPERATING ACTIVITIES:      
Net income 240,716 215,707 183,438
Adjustments to reconcile net income to net cash provided by (used in) operating activities:      
Accretion of discounts on securities 50 48 26
Amortization of borrowing costs 706 1,569 208
Amortization of operating lease right of use asset 10,124 9,197 9,079
Stock-based compensation expense 21,242 20,685 21,935
Depreciation and amortization 224 0 0
Equity in undistributed earnings of subsidiaries (213,588) (184,479) (79,898)
Decrease (increase) in other assets (5,231) (25,835) (79,227)
Increase (decrease) in other liabilities (11,564) (14,550) 72,175
Net cash provided by operating activities 42,735 22,342 127,736
CASH FLOWS FROM INVESTING ACTIVITIES:      
Purchases of investment securities 0 0 (15,301)
Purchases of loans and leases, net of discounts and premiums 0 0 (59,391)
Proceeds from principal repayments on loans 0 0 10
Purchases of furniture, equipment, software and intangibles (817) (457) 0
Investment in subsidiaries (203,086) (7,200) (10,130)
Net cash used in investing activities (203,903) (7,657) (84,812)
CASH FLOWS FROM FINANCING ACTIVITIES:      
Tax payments related to settlement of restricted stock units (14,481) (10,648) (7,457)
Repurchase of treasury stock 0 (16,757) (38,858)
Net (repayment) proceeds of other borrowings 0 (51,000) 0
Payment of debt issuance costs (2,120) (2,748) 0
Proceeds from issuance of subordinated notes 150,000 175,000 0
Redemption of preferred stock, Series A 0 (5,150) 0
Cash dividends on preferred stock 0 (103) (386)
Net cash provided by (used in) financing activities 133,399 88,594 (46,701)
NET CHANGE IN CASH AND CASH EQUIVALENTS (27,769) 103,279 (3,777)
CASH AND CASH EQUIVALENTS—Beginning of year 126,409 23,130 26,907
CASH AND CASH EQUIVALENTS—End of year $ 98,640 $ 126,409 $ 23,130
v3.22.2.2
BANK-OWNED LIFE INSURANCE (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2020
Bank Owned Life Insurance [Roll Forward]      
Bank-owned life insurance, beginning balance $ 56,555 $ 6,380 $ 6,969
Death benefits     (763)
Additions 100,000 50,000  
Change in Contract Value 4,220 175 174
Bank-owned life insurance, ending balance $ 160,775 $ 56,555 $ 6,380
v3.22.2.2
SEGMENT REPORTING (Details)
$ in Thousands
 12 Months Ended
Jun. 30, 2022
USD ($)
Jun. 30, 2022
USD ($)
segment
Jun. 30, 2022
USD ($)
Jun. 30, 2021
USD ($)
Jun. 30, 2020
USD ($)
Segment Reporting [Abstract]          
Number of operating segments   2 2    
Segment Reporting Information [Line Items]          
Net interest income $ 607,158     $ 538,742 $ 477,611
Provision for credit losses 18,500     23,750 42,200
Non-interest income 113,363     105,261 102,987
Non-interest expense 362,062     314,510 275,766
Income (Loss) before income taxes 339,959     305,743 262,632
Goodwill 95,674 $ 95,674 $ 95,674 71,222 $ 71,222
Total assets 17,401,165 17,401,165 17,401,165 14,265,565  
Operating segments | Banking Business          
Segment Reporting Information [Line Items]          
Net interest income 597,833     527,760  
Provision for credit losses 18,500     23,750  
Non-interest income 60,881     79,150  
Non-interest expense 274,079     254,596  
Income (Loss) before income taxes 366,135     328,564  
Goodwill 35,721 35,721 35,721 35,721  
Total assets 16,002,714 16,002,714 16,002,714 12,745,029  
Operating segments | Securities Business          
Segment Reporting Information [Line Items]          
Net interest income 17,580     18,746  
Provision for credit losses 0     0  
Non-interest income 64,069     27,627  
Non-interest expense 84,014     48,095  
Income (Loss) before income taxes (2,365)     (1,722)  
Goodwill 59,953 59,953 59,953 35,501  
Total assets 1,328,558 1,328,558 1,328,558 1,450,512  
Corporate/Eliminations          
Segment Reporting Information [Line Items]          
Net interest income (8,255)     (7,764)  
Provision for credit losses 0     0  
Non-interest income (11,587)     (1,516)  
Non-interest expense 3,969     11,819  
Income (Loss) before income taxes (23,811)     (21,099)  
Goodwill 0 0 0 0  
Total assets $ 69,893 $ 69,893 $ 69,893 $ 70,024