Company: AX
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0001299709-25-000087
Chunk: 127

Company: Axos Financial, Inc.
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 8
Chunk 127
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 2—“Fair Value.”The following table presents the notional amounts and fair values of the Company’s derivative instruments. While the notional amounts give an indication of the volume of the Company’s derivatives activity, the notional amounts significantly exceed, in the Company’s view, the possible losses that could arise from such transactions. For most derivative contracts, the notional amount is not exchanged, rather it is a reference amount used to calculate payments. As of June 30, 2024, there were no derivatives designated in hedge accounting relationships.March 31, 2025June 30, 2024Fair ValueFair Value(Dollars in thousands)Notional AmountDerivative AssetsDerivative LiabilitiesNotional AmountDerivative AssetsDerivative LiabilitiesDerivatives designated as hedging instrumentsInterest rate contracts$400,000 $3,790 $— $— $— $— Derivatives not designated as hedging instrumentsInterest rate contracts12,587,213 12,356 72,629 2,435,874 106,796 102,949 Foreign exchange contracts10,996 9 13 — — — Total derivatives$2,998,209 $16,155 $72,642 $2,435,874 $106,796 $102,949 1 Derivative assets are presented net of $63.2 million of variation margin on centrally-cleared derivatives as of March 31, 2025.

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Derivatives designated as hedging instrumentsThe following table presents pre-tax gains/(losses) on derivative instruments used in cash flow hedge accounting relationships.For the Three Months Ended March 31, For the Nine Months Ended March 31, (Dollars in thousands)2025202420252024Amounts recorded in OCI$(2,464)$— $6,162 $— Amounts reclassified from AOCI to income(1,130)— (2,608)— Total change in OCI for period$(3,594)$— $3,554 $— The Company did not experience any forecasted transactions that failed to occur during the three and nine months ended March 31, 2025 or 2024. There are no amounts excluded from the assessment of hedge effectiveness.As of March 31, 2025, the Company expects that approximately $2.7 million of pre-tax net gain related to cash flow hedges recorded in