PenFed Credit Union Builds Momentum Through the Second Quarter of 2026

Member-Focused Flywheel Accelerates as Mortgages, Consumer Lending, Support Services and Digital Banking Drive Continued Member Value

TYSONS, Va., July 29, 2026 /PRNewswire/ -- PenFed Credit Union, one of the nation's largest federal credit unions, reported strong year-to-date financial results through the second quarter of 2026, driven by the momentum of a member-focused flywheel of competitive rates, disciplined growth, exceptional service and continued digital innovation.

"PenFed's second quarter results show the power of our flywheel in action," said James Schenck, PenFed President and CEO. "When we deliver great rates, easy digital access, responsive service and responsible lending solutions, members respond, and that momentum strengthens our ability to serve even more members through every rate environment. PenFed has grown assets at a 9% compound annual growth rate from 2006 to 2026 while remaining focused on helping members achieve their financial dreams. Our mortgage and consumer lending continues to see accelerating volumes across all product lines on a year-over-year basis, while our support services teams on the phones and in branches continue to earn the highest consumer satisfaction scores. Our IT teams are also powering top-rated mobile and web experiences that process more than 13 million member interactions each month. I am incredibly proud of our employees and the momentum we have built through disciplined execution, thoughtful decision-making and an unwavering commitment to excellence."

PenFed's Q2 2026 Financial Highlights

Lending Momentum and Member Growth

• Accelerated year-to-date auto loan originations to $1.3 billion, (up 49% year-over-year), reflecting strong member demand and competitive pricing.
• Increased year-to-date home equity line of credit originations to $766 million, (up 16% year-over-year), reflecting PenFed's competitive home equity solutions.
• Increased year-to-date mortgage originations to $1.2 billion, (up 83% year-over-year), reflecting PenFed's streamlined, service-focused home-lending experience.
• Grew year-to-date consumer lending volumes by nearly $490 million across product lines (up 15% year-over-year), reflecting increased member engagement and the flywheel effect of strong value, trusted service and digital access.

Earnings Growth

• Reported year-to-date net income of $144 million, (up 73% year-over-year), supported operating discipline and credit performance.
• Increased year-to-date return on assets to 0.98%, (up 80% year-over-year), reflecting continued operating performance.

Capital and Liquidity Strength

• Increased net worth ratio to 10.72%, reflecting strong year-to-date earnings and disciplined balance sheet management.
• Increased capital in excess of required regulatory net worth to $1.1 billion, further strengthening PenFed's capital position.
• Maintained strong liquidity with total cash and investments at 17.0% of total assets, supporting member growth and continued financial strength.

Credit Quality and Risk Management

• Improved year-to-date loan loss rate to 1.28%, (down 27% year-over-year), reflecting continued credit discipline, proactive portfolio management and improving performance trends.
• Improved year-to-date total delinquencies to $251 million, (down 13% year-over-year).

Member Experience and Digital Engagement

• Support services teams on the phones and in branches continue to receive PenFed's highest consumer satisfaction scores. These results reflect the strength of PenFed's service culture and the commitment of employees who help members every day.
• PenFed's IT teams continue to deliver top-rated mobile and web experiences that process more than 13 million member interactions each month, helping members manage their financial lives with speed, confidence and convenience.

Community Impact

• Year to date, PenFed has contributed nearly $1 million in total community giving, supporting organizations and initiatives that advance financial well-being, military and veteran support, education, health and family services.
• PenFed sponsored and supported the Spring into Reading Book Fair at Children's National Hospital, helping bring joy, comfort and a sense of normalcy to patients and families during their healthcare journey. The PenFed executive leadership team and employees volunteered, welcoming more than 420 visitors and distributing 818 books, serving more than 250 patients and siblings.

About PenFed Credit Union
Established in 1935, Pentagon Federal Credit Union (PenFed) is one of America's largest federal credit unions, serving nearly 2.8 million members worldwide with $29 billion in assets. PenFed Credit Union offers market-leading certificates, checking, credit cards, personal loans, mortgages, auto loans, student loans, and a wide range of other financial services with members' interests always in mind. PenFed Credit Union is federally insured by the NCUA and is an Equal Housing Lender. To learn more about PenFed Credit Union, visit PenFed.org, like us on Facebook and follow us @PenFed on X. Interested in working for PenFed? Check us out on LinkedIn. We are proud to be an Equal Employment Opportunity Employer.

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SOURCE PenFed Credit Union