NewtekOne Q1 Earnings Surpass Estimates, EPS Reaches $0.35

NewtekOne, Inc. reported strong first quarter 2025 financial results, posting diluted earnings per share (EPS) of $0.35, which exceeded company guidance and most analyst expectations, though it narrowly missed a single consensus estimate. The company's revenue for the quarter also surpassed expectations, reaching $66.33 million, while key metrics like pre-provision net revenue and total assets showed significant year-over-year growth. NewtekOne maintained its full-year EPS guidance and highlighted the scalability of its business model, with efficient expense control and a rapidly growing and diversified loan portfolio. Despite these operational strengths and consistent earnings surprises over the past four quarters, the stock has underperformed the broader market, declining over 22% year-to-date. Analyst recommendations currently rate the stock as a 'Hold,' but price targets and fair value estimates suggest potential upside from current levels. NewtekOne's strategic focus on alternative lending and asset-light financial services is expected to support continued long-term profitability and growth.