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Friday, May 22, 2026

Downey’s Profit Soars

The mortgage boom hasn’t busted yet at Downey Financial Corp.

The Newport Beach-based operator of Downey Savings & Loan said Tuesday third-quarter profit more than doubled from a year earlier on fees from loans and deposits.

Profit for the quarter rose 143% to $59.7 million. Net interest income was up 7% to $87.3 million.

But Downey actually did fewer loans in the quarter, including purchases. The thrift had $3.6 billion in loans, down 15% from a year ago.

Fees from loans and deposits drove Downey’s results. They came in at $32.3 million, double a year ago, with higher prepayment fees for loans with refinancings.

Deposits totaled $11.75 billion during the quarter, up 23% from a year ago.

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