Company: NEWTP
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001628280-25-050582
Chunk: 109

Company: NewtekOne, Inc.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 1
Chunk 109
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 support income for the nine months ended September 30, 2025, due to the sale of NTS. Refer to NOTE 4—INVESTMENTS: Intelligent Protection Management Corp.

Other Noninterest Income

For the nine months ended September 30, 2025 and 2024, other noninterest income was related primarily to loan origination fees (legal and packaging) on loans sold or carried at fair value. Other items that contributed to the $4.4 million decrease included a decrease on prepayment and late fees earned from SBA 7(a) loans. The Company originated 1,589 of SBA 7(a) loans compared to 1,732 loans for the nine months ended September 30, 2025 and 2024, respectively. Adding to the decrease was $(0.7) million of net unrealized losses on joint ventures and other non-control investments for the nine months ended September 30, 2025 compared to none in the prior period.

Non-Interest Expense

Nine months ended September 30,2025/2024 Increase/(Decrease)20252024AmountPercentSalaries and employee benefits expense$64,424 $60,445 $3,979 6.6 %Technology services expense— 8,624 (8,624)(100.0)Electronic payment processing expense13,304 14,977 (1,673)(11.2)Professional services expense11,532 11,237 295 2.6 Other loan origination and maintenance expense14,468 9,391 5,077 54.1 Depreciation and amortization549 1,570 (1,021)(65.0)Loss on extinguishment of debt179 — 179 — Other general and administrative costs21,189 14,326 6,863 47.9 Total noninterest expense$125,645 $120,570 $5,075 4.2 %

Salaries and Employee Benefits Expense

The increase in salaries and employee benefits was primarily attributable to higher benefit costs, including medical and other insurance expenses, as well as an increase in stock-based compensation expense.

Technology Services Expense 

The $8.6 million decrease in technology services expenses for the nine months ended September 30, 2025 corresponded with the NTS Sale. Refer to NOTE 4—INVESTMENTS: Intelligent Protection Management Corp.

Other Loan Origination and Maintenance Expense