1. It's like a regional version of Wells Fargo, with a strong focus on residential mortgages and consumer savings accounts.

2. Think of it as a community bank, similar to a local branch of KeyBank or Huntington, but specialized in home loans and deposit products for residents in Ohio and Florida.

• Deposit Accounts: Offers various accounts for savings and managing funds, including checking, savings, money market, and certificates of deposit.
• Residential Mortgage Loans: Provides loans for purchasing, refinancing, and constructing residential properties.
• Home Equity Loans and Lines of Credit: Allows homeowners to borrow against their home's equity.
• Escrow and Settlement Services: Facilitates real estate transactions by managing funds and documents.

TFS Financial Corporation (TFSL) primarily sells its services to individuals rather than other companies. Based on the services described, its major customer categories include:

• Depositors and Savers: Individuals who open various deposit accounts such as savings, money market, checking, individual retirement accounts (IRAs), and certificates of deposit (CDs).
• Homeowners and Borrowers: Individuals seeking financing for residential real estate, including residential real estate mortgage loans, residential construction loans, home equity loans, and lines of credit, as well as those looking for purchase mortgages and first mortgage refinance loans.
• Real Estate Transactors: Individuals involved in property transactions who utilize the company's escrow and settlement services.

Marc A. Stefanski President and Chief Executive Officer

Marc A. Stefanski joined Third Federal Savings and Loan in 1982 and was appointed Chairman of the Board and Chief Executive Officer in 1987, succeeding his father in these positions. He was elected President of Third Federal Savings and Loan and the Company in 2000. His parents, Ben and Gerome Stefanski, founded Third Federal Savings and Loan in 1938.

Meredith S. Weil Chief Financial Officer

Meredith S. Weil joined Third Federal Savings and Loan in 1999. She was named Chief Financial Officer of Third Federal and TFS Financial Corporation in 2024. In her more than 25-year tenure with the company, she has held several key management roles, most recently as Chief Operating Officer from 2012-2023. Prior to that role, she served as Regional Manager of Retail Delivery Operations, as well as the head of Customer Service, Internet Services, and Marketing.

Andrew J. Rubino Chief Operating Officer

Andrew J. Rubino was appointed Chief Operating Officer effective September 1, 2025. He served as Chief Information Officer since 2021 and joined Third Federal Savings and Loan in 2000. During his tenure, Mr. Rubino has served as a manager in several strategic areas of the company, including Loan Production, Customer Care, Internet Services, Operations Support, and as Chief Marketing Officer.

Susanne N. Miller Chief Accounting Officer

Susanne N. Miller was named Chief Accounting Officer. She joined the Accounting Department as a manager in 2007, where she has overseen procedure implementation, corporate tax reporting, and financial statement preparation.

Cathy W. Zbanek Chief Synergy Officer

Cathy W. Zbanek joined the Association in 2001 and was named Chief Synergy Officer in 2020. She most recently served as Chief Marketing and Human Resources Officer since 2013. Prior to her executive team roles, Ms. Zbanek directed several of the company's key strategic business projects as well as systems design and development, and managed departments including Customer Service and Marketing.

The key risks for TFS Financial (TFSL) are primarily related to its unique corporate structure, sensitivity to interest rate fluctuations, and inherent lending risks coupled with geographic concentration.

1. Potential Dissolution of Mutual Holding Company Structure: The primary risk for TFS Financial is the potential dissolution of its mutual holding company structure, which currently underpins its high dividend yield. Should the company announce a "second-step conversion" or full dissolution of this structure, it could lead to a significant decline in the dividend yield and a subsequent sell-off of the stock.

2. Interest Rate Risk: TFS Financial has historically been exposed to interest rate risk due to its business model of originating long-term fixed-rate assets, such as residential real estate mortgage loans, which are funded by short-term liabilities. Fluctuations in interest rates, particularly changes in the shape of the yield curve and short-term rates, can adversely affect the company's net interest income. An environment with a flattening or inverted yield curve, or rapidly rising short-term rates, could increase funding costs faster than asset yields, impacting profitability.

3. Credit Risk and Regional Market Concentration: As a retail consumer banking service focused on mortgage lending, TFS Financial is inherently exposed to credit risk, which is the risk of borrowers failing to fulfill their financial obligations. Although the company has reported decent asset quality recently, concerns about loan quality and potential credit losses remain a significant risk for regional banks, especially during periods of economic uncertainty. This risk is amplified by TFS Financial's high concentration of its loan portfolio in specific states, namely Ohio and Florida, making the company particularly vulnerable to regional economic downturns or adverse property market fluctuations within these areas.

The rise of digital-first banks (neobanks) and financial technology (fintech) companies. These entities leverage technology to offer deposit products (savings, checking, money market) and lending products (including mortgages and home equity) with significantly lower operational overhead than traditional banks with extensive branch networks like TFS Financial. They often provide more competitive rates, superior user interfaces, and greater convenience, thereby attracting customers away from traditional institutions and threatening TFSL's ability to attract and retain deposits and loan customers, potentially squeezing its net interest margin and market share.

TFS Financial (TFSL) operates in addressable markets primarily within Ohio and Florida for its retail consumer banking services.

Deposit Products

• Ohio: The overall deposit market in Ohio was approximately $565.32 billion in 2025.
• Florida: Total bank deposits in Florida reached $831 billion in 2024.

Residential Real Estate Mortgage Loans

• Ohio: In 2024, more than 158,000 residential real estate loans were originated, totaling $38.9 billion.
• Florida: In 2024, the average home loan in Florida was $383,323. In February 2026, 25,724 homes were sold in Florida.

Residential Construction Loans

• United States: The volume of outstanding 1-4 family residential construction and land development loans was $90.0 billion in the first quarter of 2025.

Home Equity Loans and Lines of Credit

• United States: The home equity lending market size in the U.S. was $186.59 billion in 2026.

TFS Financial Corporation (TFSL) is expected to drive future revenue growth through several key strategies focused on its core banking operations and strategic investments over the next two to three years.

1. Expansion of Loan Portfolio
   The company anticipates revenue growth through the expansion of its loan portfolio, specifically in residential mortgage loans and home equity loans and lines of credit. TFS Financial has seen an increase in home equity loans and lines of credit, and residential mortgage loans are being replaced with higher-yielding alternatives as older, lower-rate loans amortize. This shift and overall growth in lending are primary drivers for increasing net interest income.
2. Improvement in Net Interest Margin (NIM)
   A continued focus on improving or managing the net interest margin (NIM) is a significant driver for future revenue. The company has demonstrated efforts to adapt to interest rate environments, with reported increases in net interest margin and interest rate spread in recent quarters. While recent rate cuts have presented some margin pressure, the company actively manages its loan portfolio and funding costs to optimize NIM.
3. Growth in Non-Interest Income
   TFS Financial aims to increase its non-interest income, which has been a contributing factor to overall revenue growth. This growth is primarily attributed to increases in fees and service charges, particularly from equity lines of credit, and net gains on the sale of loans.
4. Strong Retail Deposit Growth
   Maintaining and growing a strong retail deposit base is crucial for providing a stable and cost-effective funding source for the company's lending activities, indirectly supporting net interest income and overall revenue. TFS Financial reported a significant increase in retail deposits in fiscal year 2025.
5. Strategic Investments in Marketing and Technology
   Investments in marketing and technology are strategic initiatives designed to attract and retain deposit customers and enhance operational efficiency. While these investments initially increase non-interest expenses, they are intended to position the company for sustainable growth by expanding its customer base and improving service delivery, ultimately driving future revenue.

Share Repurchases

• TFS Financial has an eighth stock repurchase program in place, which authorizes the purchase of up to 10,000,000 shares of its outstanding common stock.
• As of September 30, 2025, there were 4,944,086 shares remaining authorized for repurchase under the eighth stock repurchase program.
• In fiscal year 2025 (ended September 30, 2025), the company repurchased 247,865 shares at an average cost of $13.05 per share. For the quarter ended December 31, 2025 (first quarter of fiscal year 2026), an additional 139,442 shares were repurchased at an average cost of $13.66 per share, amounting to $1.9 million.

Share Issuance

• As of December 31, 2025, TFS Financial had 700,000,000 shares of common stock authorized, with 332,318,750 shares issued. The available information does not indicate significant new share issuances for capital raising purposes within the last 3-5 years.