Axos Financial Inc (NYSE: AX) is a financial services holding company that operates a federally chartered bank, Axos Bank, alongside a securities clearing and advisory business. It earns money primarily through net interest income, the spread between interest earned on loans and investments and interest paid on deposits and borrowings, with additional fee income from its securities segment. As of June 30, 2025, the company operated two reportable segments: a Banking Business Segment and a Securities Business Segment, the latter serving 327 financial organizations including correspondent broker-dealers and registered investment advisors (RIAs) through Axos Clearing and its Axos Advisor Services (AAS) division. For FY2025, the net interest margin was 4.90% and return on average assets was 1.82%. CEO Gregory Garrabrants serves as President and Chief Executive Officer, with CFO Derrick K. Walsh. The company files with the SEC and its fiscal year ends June 30.
- Revenue model
- Net interest income from loans and deposits is the primary revenue source, generated by the spread between yields on interest-earning assets (loans, securities, interest-earning deposits) and the cost of interest-bearing liabilities (deposits, FHLB advances, borrowings). The Securities Business Segment generates fee and transaction income from clearing services, margin lending, securities lending, and technology platform services for broker-dealers and RIAs.
- Products and services
- Banking segment products include commercial real estate loans, construction loans, commercial and industrial non-real estate loans (including leveraged cash flow loans), auto loans (prime credit, fixed rate, three to eight year terms, sourced through indirect channels), and consumer loans. The bank also holds available-for-sale securities including agency mortgage-backed obligations for liquidity and interest rate risk management. Securities segment products include fully disclosed clearing services for FINRA and SEC registered broker-dealers, back-office recordkeeping and trade reporting, margin loans collateralized by securities or cash, securities borrowing and lending, and a proprietary turnkey technology platform for RIAs through AAS.
- Customers and end markets
- Banking customers include commercial real estate borrowers, construction project sponsors, commercial and industrial borrowers, and prime-credit auto loan borrowers sourced through indirect channels. Securities segment customers are institutional: 327 financial organizations as of June 30, 2025, including correspondent broker-dealers and RIAs who custody client accounts at Axos.
- Value-chain role
- Axos operates as a direct lender and deposit-taker through Axos Bank, and as a clearing intermediary and technology platform provider to broker-dealers and RIAs through Axos Clearing and AAS. In lending, it originates, retains, and services loans, taking senior lien positions in structured commercial facilities. In securities, it sits between introducing broker-dealers and end markets, handling trade execution, clearance, recordkeeping, and margin financing.
- Geographic exposure
- The filing does not specify a geographic revenue breakdown. Operations are conducted through a federally chartered bank, suggesting U.S.-focused activity.
