UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q

[X]   QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
      EXCHANGE ACT OF 1934

      For the quarterly period ended September 30, 2003

                                       or

[ ]   TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
      EXCHANGE ACT OF 1934

      For the transition period from ______ to ______

                         Commission File Number: 0-22444

                               WVS Financial Corp.
              ----------------------------------------------------
             (Exact name of registrant as specified in its charter)

            Pennsylvania                                      25-1710500
    ------------------------------                      ---------------------
   (State or other jurisdiction of                         (I.R.S. Employer
   incorporation or organization)                       Identification Number)

           9001 Perry Highway
        Pittsburgh, Pennsylvania                                15237
---------------------------------------                       ---------
(Address of principal executive offices)                      (Zip Code)

                                 (412) 364-1911
               --------------------------------------------------
              (Registrant's telephone number, including area code)

     Indicate  by check mark  whether the  registrant  (1) has filed all reports
required to be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of
1934  during  the  preceding  12 months  (or for such  shorter  period  that the
registrant was required to file such reports),  and (2) has been subject to such
filing requirement for the past 90 days.

YES  X  NO
    ---    ---
      Indicate by check mark whether the registrant is an accelerated filer (as
defined in Rule 12 b-2 of the Exchange Act).

YES     NO  X
    ---    ---
     Shares outstanding as of November 13, 2003: 2,571,777 shares Common Stock,
$.01 par value.

<PAGE>

                       WVS FINANCIAL CORP. AND SUBSIDIARY
                       ----------------------------------

                                      INDEX
                                      -----

PART I.   Financial Information                                         Page
-------   ---------------------                                         ----

Item 1.   Financial Statements

          Consolidated Balance Sheet as of
          September 30, 2003 and June 30, 2003
          (Unaudited)                                                     3

          Consolidated Statement of Income
          for the Three Months Ended
          September 30, 2003 and 2002 (Unaudited)                         4

          Consolidated Statement of Cash Flows
          for the Three Months Ended September 30,
          2003 and 2002 (Unaudited)                                       5

          Consolidated Statement of Changes in
          Stockholders' Equity for the Three Months
          Ended September 30, 2003 (Unaudited)                            7

          Notes to Unaudited Consolidated
          Financial Statements                                            8

Item 2.   Management's Discussion and Analysis of
          Financial Condition and Results of
          Operations for the Three Months
          Ended September 30, 2003                                       11

Item 3.   Quantitative and Qualitative Disclosures
          about Market Risk                                              17

Item 4.   Controls and Procedures                                        23

PART II.  Other Information                                             Page
--------  -----------------                                             ----

Item 1.   Legal Proceedings                                              24
Item 2.   Changes in Securities and Use of Proceeds                      24
Item 3.   Defaults upon Senior Securities                                24
Item 4.   Submission of Matters to a Vote of Security Holders            24
Item 5.   Other Information                                              24
Item 6.   Exhibits and Reports on Form 8-K                               24
          Signatures                                                     25


                                       2
<PAGE>

                       WVS FINANCIAL CORP. AND SUBSIDIARY
                           CONSOLIDATED BALANCE SHEET
                                   (UNAUDITED)
                                 (In thousands)

<TABLE>
<CAPTION>
                                                                   September 30, 2003       June 30, 2003
                                                                   ------------------       -------------
<S>                                                                     <C>                   <C>
          Assets
          ------
Cash and due from banks                                                 $     912             $     921
Interest-earning demand deposits                                            1,421                 1,894
Investment securities available-for-sale (amortized cost of
   $9,782 and $25,310)                                                     10,112                25,641
Investment securities held-to-maturity (market value of
   $204,899 and $126,036)                                                 201,695               121,841
Mortgage-backed securities available-for-sale (amortized cost of
   $3,940 and $4,219)                                                       4,092                 4,387
Mortgage-backed securities held-to-maturity (market value of
   $79,168 and $107,914)                                                   78,924               107,492
Federal Home Loan Bank stock, at cost                                       8,493                 7,797
Net loans receivable (allowance for loan losses of $2,397 and
   $2,530)                                                                 77,677                91,669
Accrued interest receivable                                                 2,351                 2,800
Premises and equipment                                                      1,185                 1,231
Other assets                                                                2,010                 1,515
                                                                        ---------             ---------
          TOTAL ASSETS                                                  $ 388,872             $ 367,188
                                                                        =========             =========

          Liabilities and Stockholders' Equity
          ------------------------------------
Liabilities:
Savings Deposits:
   Non-interest-bearing accounts                                        $  23,920             $  11,302
   NOW accounts                                                            17,994                19,215
   Savings accounts                                                        43,514                44,152
   Money market accounts                                                   13,473                14,691
   Certificates of deposit                                                 77,664                79,956
   Advance payments by borrowers for taxes and insurance                      372                 1,610
                                                                        ---------             ---------
    Total savings deposits                                                176,937               170,926
Federal Home Loan Bank advances                                           150,115               153,390
Other borrowings                                                           28,576                 9,453
Accrued interest payable                                                    1,470                 1,449
Other liabilities                                                           1,415                 1,352
                                                                        ---------             ---------
     TOTAL LIABILITIES                                                    358,513               336,570

Stockholders' equity:
Preferred stock:
   5,000,000 shares, no par value per share, authorized; none
   outstanding                                                                 --                    --
Common stock:
   10,000,000 shares, $.01 par value per share, authorized;
   3,736,810 and 3,736,750 shares issued                                       37                    37
Additional paid-in capital                                                 20,219                20,212
Treasury stock: 1,165,373 and 1,153,591 shares at cost,
    Respectively                                                          (16,967)              (16,767)
Retained earnings, substantially restricted                                26,799                26,857
Accumulated other comprehensive income                                        318                   329
Unallocated shares - Recognition and Retention Plans                          (47)                  (50)
                                                                        ---------             ---------
     TOTAL STOCKHOLDERS' EQUITY                                            30,359                30,618
                                                                        ---------             ---------
          TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                    $ 388,872             $ 367,188
                                                                        =========             =========
</TABLE>

     See accompanying notes to unaudited consolidated financial statements.


                                       3
<PAGE>

                       WVS FINANCIAL CORP. AND SUBSIDIARY
                        CONSOLIDATED STATEMENT OF INCOME
                                   (UNAUDITED)
                      (In thousands, except per share data)

<TABLE>
<CAPTION>
                                                                             Three Months Ended
                                                                                September 30,
                                                                      ----------------------------------
                                                                          2003                   2002
                                                                      -----------             ----------
<S>                                                                   <C>                     <C>
INTEREST AND DIVIDEND INCOME:
     Loans                                                            $     1,528             $    2,809
     Investment securities                                                  1,581                  1,742
     Mortgage-backed securities                                               656                    808
     Interest-earning deposits with other institutions                          5                      4
     Federal Home Loan Bank stock                                              41                     69
                                                                      -----------             ----------
          Total interest and dividend income                                3,811                  5,432
                                                                      -----------             ----------
INTEREST EXPENSE:
     Deposits                                                                 663                    959
     Borrowings                                                             2,102                  2,223
     Advance payments by borrowers for taxes and insurance                      4                      6
                                                                      -----------             ----------
          Total interest expense                                            2,769                  3,188
                                                                      -----------             ----------
NET INTEREST INCOME                                                         1,042                  2,244
PROVISION FOR LOAN LOSSES                                                    (133)                    18
                                                                      -----------             ----------
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES                         1,175                  2,226
                                                                      -----------             ----------
NON-INTEREST INCOME:
     Service charges on deposits                                              106                    100
     Gain on sale of investments                                               --                     64
     Other                                                                     88                     81
                                                                      -----------             ----------
          Total non-interest income                                           194                    245
                                                                      -----------             ----------
NON-INTEREST EXPENSE:
     Salaries and employee benefits                                           511                    601
     Occupancy and equipment                                                  105                     89
     Deposit insurance premium                                                  7                      7
     Data processing                                                           56                     49
     Correspondent bank service charges                                        38                     40
     Other                                                                    175                    336
                                                                      -----------             ----------
          Total non-interest expense                                          892                  1,122
                                                                      -----------             ----------
INCOME BEFORE INCOME TAXES                                                    477                  1,349
INCOME TAXES                                                                  125                    349
                                                                      -----------             ----------
NET INCOME                                                            $       352             $    1,000
                                                                      ===========             ==========

EARNINGS PER SHARE:
     Basic                                                            $      0.14             $     0.38
     Diluted                                                          $      0.14             $     0.37

AVERAGE SHARES OUTSTANDING:
     Basic                                                              2,575,242              2,661,933
     Diluted                                                            2,585,081              2,667,220
</TABLE>

     See accompanying notes to unaudited consolidated financial statements.


                                       4
<PAGE>

                       WVS FINANCIAL CORP. AND SUBSIDIARY
                      CONSOLIDATED STATEMENT OF CASH FLOWS
                                   (UNAUDITED)
                                 (In thousands)

<TABLE>
<CAPTION>
                                                                                           Three Months Ended
                                                                                              September 30,
                                                                                     ------------------------------
                                                                                        2003                 2002
                                                                                     ---------             --------
<S>                                                                                  <C>                   <C>
OPERATING ACTIVITIES

Net income                                                                           $     352             $  1,000
Adjustments to reconcile net income to cash provided by operating
 activities:
   Provision for loan losses                                                              (133)                  18
   Gain on sale of investments                                                              --                  (64)
   Depreciation and amortization, net                                                       46                   29
   Amortization of discounts, premiums and deferred loan fees                              488                  841
   Amortization of ESOP, RRP and deferred and unearned
      compensation                                                                           3                   10
   Decrease in accrued interest receivable                                                 449                  383
   Increase in accrued interest payable                                                     21                   47
   Increase in accrued and deferred taxes                                                   12                   66
   Other, net                                                                               63                   10
                                                                                     ---------             --------
         Net cash provided by operating activities                                       1,301                2,340
                                                                                     ---------             --------
INVESTING ACTIVITIES

Available-for-sale:
   Purchases of investments and mortgage-backed securities                             (20,290)              (1,381)
   Proceeds from repayments of investments and mortgage-backed securities               36,113                6,901
   Proceeds from sale of investments securities                                             --                  610
Held-to-maturity:
   Purchases of investments and mortgage-backed securities                            (159,770)             (24,030)
   Proceeds from repayments of investments and mortgage-backed securities              108,068               23,319
Decrease in net loans receivable                                                        13,537                9,209
Purchase of Federal Home Loan Bank stock                                                  (696)                (113)
Purchases of premises and equipment                                                         --                  (18)
Other, net                                                                                  --                  190
                                                                                     ---------             --------
         Net cash (used for) provided by investing activities                          (23,038)              14,687
                                                                                     ---------             --------
</TABLE>


                                       5
<PAGE>

                       WVS FINANCIAL CORP. AND SUBSIDIARY
                      CONSOLIDATED STATEMENT OF CASH FLOWS
                                   (UNAUDITED)
                                 (In thousands)

<TABLE>
<CAPTION>
                                                                                      Three Months Ended
                                                                                         September 30,
                                                                                 -----------------------------
                                                                                   2003                 2002
                                                                                 --------             --------
<S>                                                                              <C>                  <C>
FINANCING ACTIVITIES

Net increase in transaction and passbook accounts                                   9,540                1,165
Net decrease in certificates of deposit                                            (2,292)                (670)
Net decrease in FHLB short-term advances                                           (3,275)                  --
Net increase (decrease) in other borrowings                                        19,123              (14,592)
Net decrease in advance payments by borrowers for taxes and insurance              (1,238)              (2,073)
Net proceeds from issuance of common stock                                              7                    2
Funds used for purchase of treasury stock                                            (200)                (423)
Cash dividends paid                                                                  (410)                (426)
                                                                                 --------             --------
         Net cash provided by (used for) financing activities                      21,255              (17,017)
                                                                                 --------             --------
        (Decrease) increase in cash and cash equivalents                             (482)                  10

CASH AND CASH EQUIVALENTS AT BEGINNING OF THE PERIOD                                2,815                3,177
                                                                                 --------             --------
CASH AND CASH EQUIVALENTS AT END OF THE PERIOD                                   $  2,333             $  3,187
                                                                                 ========             ========

SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION

   Cash paid during the period for:
      Interest on deposits, escrows and borrowings                               $  2,748             $  3,141
      Income taxes                                                               $    107             $    320

   Non-cash item:
      Pennsylvania Education Tax Credit                                          $     --             $    100
      Mortgage Loan Transferred to Other Assets                                  $    500             $     --
</TABLE>

     See accompanying notes to unaudited consolidated financial statements.


                                       6
<PAGE>

                       WVS FINANCIAL CORP. AND SUBSIDIARY
           CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
                                   (UNAUDITED)
                                 (In thousands)

<TABLE>
<CAPTION>
                                                                                   Accumulated
                                                                       Retained       Other
                                            Additional                 Earnings      Compre-    Unallocated   Unallocated
                                 Common      Paid-In     Treasury   Substantially    hensive    Shares Held   Shares Held
                                  Stock      Capital      Stock       Restricted      Income      by ESOP        by RRP       Total
                                  -----      -------      -----       ----------   -----------    -------        ------       -----
<S>                              <C>         <C>        <C>            <C>           <C>          <C>           <C>         <C>
Balance at June 30, 2003         $   37      $20,212    $(16,767)      $26,857       $   329      $    --       $   (50)    $30,618

Comprehensive income:

   Net Income                                                              352                                                  352
   Other comprehensive
     income:
      Change in unrealized
          holding gains on
          securities, net of
          income tax effect of
          $6                                                                              11                                     11

                                                                                                                            -------
Comprehensive income                                                                                                            341

Purchase of shares for
   treasury stock                                           (200)                                                              (200)

Accrued compensation
   expense for Recognition
   and Retention Plans (RRP)                                                                                          3           3

Exercise of stock options                          7                                                                              7

Cash dividends declared                                                   (410)                                                (410)
   ($0.48 per share)
                                 ------      -------    --------       -------       -------      -------       -------     -------
Balance at Sept 30, 2003         $   37      $20,219    $(16,967)      $26,799       $   318      $    --       $   (47)    $30,359
                                 ======      =======    ========       =======       =======      =======       =======     =======
</TABLE>

     See accompanying notes to unaudited consolidated financial statements.


                                       7
<PAGE>

                       WVS FINANCIAL CORP. AND SUBSIDIARY
                       ----------------------------------

              NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

1.    BASIS OF PRESENTATION
      ---------------------

     The  accompanying  unaudited  consolidated  financial  statements have been
prepared in accordance with the  instructions for Form 10-Q and therefore do not
include  information  or  footnotes  necessary  for a complete  presentation  of
financial  condition,  results of operations,  and cash flows in conformity with
generally accepted accounting principles.  However, all adjustments  (consisting
only of normal recurring  adjustments) which, in the opinion of management,  are
necessary for a fair presentation have been included.  The results of operations
for the three months ended September 30, 2003, are not necessarily indicative of
the results which may be expected for the entire fiscal year.

2.    RECENT ACCOUNTING PRONOUNCEMENTS
      --------------------------------
     In January,  2003, the FASB issued  Interpretation No. 46, Consolidation of
Variable Interest Entities,  in an effort to expand upon and strengthen existing
accounting  guidance  that  addresses  when  a  company  should  include  in its
financial  statements the assets,  liabilities and activities of another entity.
The  objective  of this  interpretation  is not to restrict  the use of variable
interest entities but to improve financial  reporting by companies involved with
variable  interest  entities.  Until now,  one company  generally  has  included
another entity in its  consolidated  financial  statements only if it controlled
the  entity  through  voting  interests.  This  interpretation  changes  that by
requiring a variable  interest  entity to be  consolidated  by a company if that
company is subject to a majority of the risk of loss from the variable  interest
entity's  activities or entitled to receive a majority of the entity's  residual
returns or both. The  consolidation  requirements of this  interpretation  apply
immediately to variable  interest  entities  created after January 31, 2003. The
consolidation  requirements  apply to older entities in the first fiscal year or
interim  period  beginning  after  June  15,  2003.  Certain  of the  disclosure
requirements  apply in all financial  statements  issued after January 31, 2003,
regardless of when the variable interest entity was established. The adoption of
this interpretation has not and is not expected to have a material effect on the
Company's  financial  position or results of operations.  In October,  2003, the
FASB  decided  to  defer  to the  fourth  quarter  from the  third  quarter  the
implementation  date for  Interpretation  No. 46. This  deferral only applies to
variable interest entities that existed prior to February 1, 2003.

                                       8
<PAGE>

3.    EARNINGS PER SHARE
      ------------------

     The  following  table  sets  forth the  computation  of basic  and  diluted
earnings per share.

<TABLE>
<CAPTION>
                                                                               Three Months Ended
                                                                                  September 30,
                                                                       -----------------------------------
                                                                           2003                    2002
                                                                       -----------             -----------
<S>                                                                    <C>                     <C>
Weighted average common shares outstanding                               3,736,645               3,729,910
Average treasury stock shares                                           (1,161,403)             (1,067,977)
Average unearned ESOP shares                                                    --                      --
                                                                       -----------             -----------

Weighted average common shares and common stock equivalents
  used to calculate basic earnings per share                             2,575,242               2,661,933
Additional common stock equivalents (stock options) used to
  calculate diluted earnings per share                                       9,839                   5,287
                                                                       -----------             -----------

Weighted average common shares and common stock equivalents
  used to calculate diluted earnings per share                           2,585,081               2,667,220
                                                                       ===========             ===========

Net income                                                             $   351,865             $   999,845
                                                                       ===========             ===========

Earnings per share:
   Basic                                                               $      0.14             $      0.38
   Diluted                                                             $      0.14             $      0.37
</TABLE>

      All options at September 30, 2003 and September 30, 2002 were included in
the computation of diluted earnings per share.

4.    STOCK BASED COMPENSATION DISCLOSURE
      -----------------------------------

     Pro forma  information  regarding  net  income  and  earnings  per share as
required by FAS No. 123, has been determined as if the Company had accounted for
its stock  options  using  that  method.  The fair value for these  options  was
estimated  at the date of the  grants  using the  Black-Scholes  option  pricing
model.

     In  management's  opinion,  existing stock option  valuation  models do not
provide a reliable  single  measure of the fair value of employee  stock options
that have vesting  provisions  and are not  transferable.  In  addition,  option
valuation models require input of highly  subjective  assumptions  including the
expected stock price  volatility.  Because the Company's  employee stock options
have characteristics  significantly  different from those of traded options, and
because changes in the subjective  input  assumptions can materially  affect the
fair value estimate,  the existing models may not necessarily provide a reliable
single measure of the fair value of its employee stock options.

     For the purpose of pro forma  disclosures,  the estimated fair value of the
options is amortized to expense over the options vesting  period.  The following
table  represents  the  effect  on net  income  and  earnings  per share had the
stock-based employee compensation expense been recognized:


                                       9
<PAGE>

                                                      Three Months Ended
                                                         September 30,
                                                ------------------------------
                                                   2003                 2002
                                                ---------            ---------

Net income, as reported:                        $     352            $   1,000
Less proforma expense related
  to stock options                                     --                   --
                                                ---------            ---------
Proforma net income                             $     352            $   1,000
                                                =========            =========
Basic net income per common share:
     As reported                                $    0.14            $    0.38
     Pro forma                                       0.14                 0.38
Diluted net income per common share:
     As reported                                $    0.14            $    0.37
     Pro forma                                       0.14                 0.37

5.    COMPREHENSIVE INCOME
      --------------------

      Other comprehensive income primarily reflects changes in net unrealized
gains/losses on available-for-sale securities. Total comprehensive income is
summarized as follows (dollars in thousands):

                                          Three Months Ended September 30,
                                    -------------------------------------------
                                          2003                    2002
                                    ------------------    ---------------------

Net income                                     $  352                  $  1,000
Other comprehensive
(loss) income:
     Unrealized (losses)
     gains on available for
     sale securities             $    (17)                $   171

       Less:
        Reclassification
        adjustment for
        gain included in
        net income                     --                      64
                                 --------      ------     -------      --------
Other comprehensive
      (loss) income before
      tax                                         (17)                      107
Income tax (benefit)
      expense related to
      other comprehensive
      (loss) income                                (6)                       36
                                               ------                  --------
Other comprehensive
      (loss) income, net of
      tax                                         (11)                       71
                                               ------                  --------
Comprehensive income                           $  341                  $  1,071
                                               ======                  ========


                                       10
<PAGE>

ITEM 2.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2003

FORWARD LOOKING STATEMENTS

     When used in this Form  10-Q,  in future  filings by the  Company  with the
Securities  and Exchange  Commission,  in the Company's  press releases or other
public  or  shareholder  communications,  or in oral  statements  made  with the
approval of an authorized  executive officer,  the words or phrases "will likely
result",  "are expected to",  "will  continue",  "is  anticipated",  "estimate",
"project"  or similar  expressions  are  intended to identify  "forward  looking
statements" within the meaning of the Private  Securities  Litigation Reform Act
of 1995.  Such  statements  are  subject  to  certain  risks  and  uncertainties
including changes in economic  conditions in the Company's market area,  changes
in policies by regulatory  agencies,  fluctuations in interest rates, demand for
loans in the  Company's  market area and  competition  that could  cause  actual
results  to differ  materially  from  historical  earnings  and those  presently
anticipated  or projected.  The Company  wishes to caution  readers not to place
undue reliance on any such forward  looking  statements,  which speak only as of
the date made.  The Company  wishes to advise  readers  that the factors  listed
above  could  affect the  Company's  financial  performance  and could cause the
Company's  actual  results  for  future  periods to differ  materially  from any
opinions or statements  expressed  with respect to future periods in any current
statements.

     The Company does not undertake,  and specifically disclaims any obligation,
to  publicly  release the result of any  revisions  which may be made to forward
looking  statements  to  reflect  events  or  circumstances  after  the  date of
statements or to reflect the occurrence of anticipated or unanticipated events.

GENERAL

     WVS Financial Corp.  ("WVS" or the "Company") is the parent holding company
of West View Savings Bank ("West View" or the "Savings  Bank").  The Company was
organized in July 1993 as a Pennsylvania-chartered  unitary bank holding company
and acquired 100% of the common stock of the Savings Bank in November 1993.

     West View  Savings  Bank is a  Pennsylvania-chartered,  SAIF-insured  stock
savings bank conducting  business from six offices in the North Hills suburbs of
Pittsburgh.  The  Savings  Bank  converted  to the stock  form of  ownership  in
November 1993. The Savings Bank had no subsidiaries at September 30, 2003.

     The operating results of the Company depend primarily upon its net interest
income, which is determined by the difference between income on interest-earning
assets, principally loans, mortgage-backed securities and investment securities,
and interest expense on interest-bearing liabilities, which consist primarily of
deposits  and  borrowings.  The  Company's  net income is also  affected  by its
provision  for loan  losses,  as well as the level of its  non-interest  income,
including loan fees and service charges, and its non-interest expenses,  such as
compensation  and  employee  benefits,   income  taxes,  deposit  insurance  and
occupancy costs.

FINANCIAL CONDITION

     The  Company's  assets  totaled  $388.9  million at September  30, 2003, as
compared to $367.2  million at June 30, 2003. The $21.7 million or 5.9% increase
in total assets was primarily  comprised of a $65.0 million or 41.9% increase in
investment  securities and FHLB stock,  and a $495 thousand or 32.7% increase in
deferred taxes and other assets,  which were partially offset by a $28.9 million
or 25.8%  decrease in  mortgage-backed  securities  and a $14.0 million or 15.3%
decrease in net loans receivable.

     The Company's total  liabilities  increased $21.9 million or 6.5% to $358.5
million as of September 30, 2003,  from $336.6  million as of June 30, 2003. The
$21.9 million increase in total liabilities was primarily


                                       11
<PAGE>

comprised of a $19.1 million or 202.3% increase in other short-term  borrowings,
and a $7.2  million  or 4.3%  increase  in total  savings  deposits,  which were
partially offset by a $3.3 million or 2.1% decrease in FHLB advances, and a $1.2
million  or 76.9%  decrease  in  advance  payments  by  borrowers  for taxes and
insurance  due to the  seasonal  payment of local and school real estate  taxes.
During the three months ended September 30, 2003,  non-interest bearing accounts
increased  by $12.6  million due to seasonal  deposits by local tax  collectors.
Interest-bearing  transaction  and passbook  accounts  decreased  $3.1  million.
Management  believes that the decrease in transaction and savings  balances were
also   primarily   attributable   to  seasonal  real  estate  tax   withdrawals.
Certificates of deposit decreased $2.3 million.

     Total stockholders' equity decreased $259 thousand or 0.8% to $30.4 million
as of September 30, 2003, from approximately  $30.6 million as of June 30, 2003.
Capital  expenditures  for the  Company's  stock  repurchase  program  and  cash
dividends  totaled $200  thousand and $410  thousand,  respectively,  which were
partially  funded by net  income of $352  thousand  for the three  months  ended
September 30, 2003.

RESULTS OF OPERATIONS

     General. WVS reported net income of $352 thousand or $0.14 diluted earnings
per share for the three months ended September 30, 2003. Net income decreased by
$648 thousand or 64.8% and diluted  earnings per share  decreased $0.23 or 62.2%
for the three months ended  September 30, 2003, when compared to the same period
in 2002. The decrease in net income was primarily attributable to a $1.2 million
decrease in net  interest  income and a $51  thousand  decrease in  non-interest
income,  which were partially offset by a $230 thousand decrease in non-interest
expense,  a $224  thousand  decrease in income tax expense,  and a $151 thousand
decrease in provision for loan losses.

     Net Interest  Income.  The Company's net interest income  decreased by $1.2
million or 53.6% for the three months ended September 30, 2003, when compared to
the same period in 2002. The decrease in net interest income for the three month
period was principally  attributable to lower rates earned on Company assets due
to  historically  low market  interest  rates and lower average  balances of net
loans  receivable,  which were partially offset by lower rates paid on deposits,
lower average balances of borrowings outstanding, and increased average balances
of the Company's  mortgage-backed  and  investment  securities  portfolios.  The
Company  experienced  higher levels of  repayments on its loan  portfolio due to
refinancing activities for the three months ended September 30, 2003.

     Interest Income. Interest on net loans receivable decreased $1.3 million or
45.6% for the three months ended  September 30, 2003,  when compared to the same
period in 2002.  The decrease for the three months ended  September 30, 2003 was
attributable  to a decrease of $64.5 million in the average balance of net loans
receivable outstanding and a decrease of 36 basis points in the weighted average
yield earned on net loans  receivable  for the three months ended  September 30,
2003,  when  compared to the same period in 2002.  The  decreases in the average
loan balance  outstanding  for the three months ended  September 30, 2003,  were
primarily   attributable  to  increased  levels  of  mortgage   prepayments  and
refinancings   due  to  lower  market  rates  on  mortgages.   As  part  of  its
asset/liability  management strategy, the Company has limited its origination of
longer-term  fixed  rate  loans to  mitigate  its  exposure  to a rise in market
interest rates.  The Company will continue to originate  longer-term  fixed rate
loans for sale on a correspondent  basis to increase  non-interest income and to
contribute to net income.

     Interest on  mortgage-backed  securities ("MBS") decreased $152 thousand or
18.8% for the three months ended  September 30, 2003,  when compared to the same
period in 2002.  The decrease for the three months ended  September 30, 2003 was
primarily  attributable  to a 156 basis point  decrease in the weighted  average
yield earned on mortgage-backed  securities for the period,  which was partially
offset by a $23.9  million  increase in the average  balance of  mortgage-backed
securities  outstanding  for the three months  ended  September  30, 2003,  when
compared to the same period in 2002. The decrease in the weighted  average yield
earned on  mortgage-backed  securities was consistent with market conditions for
the three months ended September 30, 2003, and reflects the higher proportion of
floating  rate MBS in the  portfolio.  The  increase in the average  balances of
mortgage-backed securities during the three months ended


                                       12
<PAGE>

September 30, 2003 was primarily  attributable to the  reinvestment of a portion
of the Company's loan payment proceeds into floating rate MBS.

     Interest  and  dividend  income on  interest-bearing  deposits  with  other
institutions,   investment   securities   and  FHLB  stock  ("other   investment
securities")  decreased  by $188  thousand or 10.4% for the three  months  ended
September 30, 2003,  when compared to the same period in 2002.  The decrease was
principally  attributable  to a 92 basis point decrease in the weighted  average
yield earned on other investment securities for the three months ended September
30, 2003, when compared to the same period in 2002,  which was partially  offset
by a  $19.8  million  increase  in  the  average  balance  of  other  investment
securities outstanding when compared to the same period in 2002. The decrease in
the weighted average yield earned was consistent with market  conditions for the
three months ended  September 30, 2003.  The increase in the average  balance of
other investment securities  outstanding during the three months ended September
30, 2003, was principally  attributable to the  reinvestment of a portion of the
Company's  loan payment  proceeds  into callable  floating rate U.S.  government
sponsored agency bonds.

     Interest  Expense.  Interest expense on deposits and escrows decreased $298
thousand or 30.9% for the three months ended  September 30, 2003,  when compared
to the same period in 2002.  The  decrease in interest  expense on deposits  and
escrows for the three months ended  September 30, 2003,  was  attributable  to a
$6.8 million  decrease in the average balance of  interest-bearing  deposits and
escrows for the period,  and a 66 basis point  decrease in the weighted  average
yield paid on  interest-bearing  deposits and escrows for the three months ended
September 30, 2003,  when compared to the same period in 2002. The average yield
paid on interest-bearing  deposits was consistent with market conditions for the
three months ended  September 30, 2003.  The decrease in the average  balance of
interest-bearing  deposits and escrows for the three months ended  September 30,
2003 was primarily due to seasonal  withdrawals  of escrows for payment of local
and school taxes.

     Interest on FHLB advances and other  borrowings  decreased $121 thousand or
5.4% for the three months ended  September  30, 2003,  when compared to the same
period in 2002. The decrease for the three months ended  September 30, 2003, was
attributable to a $14.0 million decrease in the average balance of FHLB advances
and other  borrowings  for the period which was  partially  offset by a 11 basis
point  increase  in the  weighted  average  rate  paid on such  borrowings  when
compared  to the same period in 2002.  The  weighted  average  rate paid on FHLB
advances and other borrowings  declined less than the decline in market interest
rates due to longer average  maturity of the Company's  fixed-rate FHLB advances
outstanding and a higher proportion of long-term borrowings to total borrowings.

     Provision  for Loan  Losses.  A  provision  for loan  losses is  charged to
earnings to  maintain  the total  allowance  at a level  considered  adequate by
management  to  absorb   potential   losses  in  the   portfolio.   Management's
determination  of the adequacy of the allowance is based on an evaluation of the
portfolio  considering past experience,  current  economic  conditions,  volume,
growth and composition of the loan portfolio, and other relevant factors.

     The Company  reduced its provision for loan losses by $133 thousand for the
three months ended September 30, 2003, compared to an $18 thousand provision for
the same period in 2002. At September 30, 2003,  the Company's  total  allowance
for loan losses  amounted to $2.4  million or 3.0% of the  Company's  total loan
portfolio,  as compared  to $2.8  million or 1.9% at  September  30,  2002.  The
decrease in the  provision  for loan losses is  primarily  the result of reduced
levels of net loans receivable and collections on past due loans.

     Non-Interest Income. Non-interest income decreased by $51 thousand or 20.8%
for the three months ended  September 30, 2003, when compared to the same period
in 2002. The decrease was primarily  attributable to the absence of $64 thousand
in pre-tax gains  recognized in the 2002 quarter on the sale of investments from
the Company's investment portfolio,  which was partially offset by a $7 thousand
increase  in  correspondent  mortgage  application  fee income and a $6 thousand
increase in service charge income earned on deposits.

     Non-Interest Expense. Non-interest expense decreased $230 thousand or 20.5%
for the three months ended  September 30, 2003, when compared to the same period
in 2002. The decrease was


                                       13
<PAGE>

principally attributable to a $111 thousand decrease in charitable contributions
eligible for  Pennsylvania  Education  Tax Credits,  a $90 thousand  decrease in
payroll  related  costs and $41  thousand  decrease in legal  expenses and costs
associated  with the work-out of  non-performing  assets,  which were  partially
offset by a $16 thousand  increase in equipment  expense incurred to upgrade the
Savings Bank's technology platform, when compared to the same period on 2002.

LIQUIDITY AND CAPITAL RESOURCES

     Net cash provided by operating  activities  totaled $1.3 million during the
three months ended September 30, 2003. Net cash provided by operating activities
was primarily comprised of $488 thousand in amortization of discounts,  premiums
and  deferred  loan  fees,  a  $449  thousand   decrease  in  accrued   interest
receivables,  and $352 thousand of net income,  which were partially offset by a
$133 thousand decrease in provision for loan losses.

     Funds used for investing  activities totaled $23.0 million during the three
months ended  September 30, 2003.  Primary uses of funds during the three months
ended  September 30, 2003,  included  $180.8 million for purchases of investment
and mortgage-backed securities and including Federal Home Loan Bank stock, which
were  partially  offset by $144.2  million from  repayments  of  investment  and
mortgage-backed   securities,   and  a  $13.5  million  decrease  in  net  loans
receivable.

     Funds provided by financing  activities totaled $21.3 million for the three
months ended  September 30, 2003. The primary  sources  included a $19.1 million
increase in other short-term  borrowings and a $6.0 million increase in deposits
and escrows,  which were offset by a $3.3 million  decrease in  short-term  FHLB
advances, $410 thousand in cash dividends paid on the Company's common stock and
$200 thousand in purchased treasury stock. Management believes that it currently
is maintaining  adequate liquidity and continues to better match funding sources
with lending and investment opportunities.

     During  the  quarter  ended  September  30,  2003,  the  Company   incurred
approximately $12.2 million in various short-term  borrowings from the FHLB with
a  weighted  average  rate of  1.10%,  and  incurred  $108.2  million  in  other
short-term  borrowings with a weighted  average rate of 1.10%.  During the three
months ended  September  30, 2003,  the Company  repaid $15.5 million of various
short-term FHLB borrowings and $89.1 million of other short-term borrowings with
weighted average rates of 1.13% and 1.12%, respectively.

     The  Company's  primary  sources  of  funds  are  deposits,   amortization,
repayments  and  maturities of existing  loans,  mortgage-backed  securities and
investment  securities,  funds from operations,  and funds obtained through FHLB
advances and other  borrowings.  At September 30, 2003,  the total approved loan
commitments  outstanding amounted to $5.6 million. At the same date, commitments
under unused lines of credit amounted to $5.0 million, the unadvanced portion of
construction  loans  approximated  $9.2 million and commitments to fund security
purchases  totaled $2.0 million.  Certificates of deposit scheduled to mature in
one year or less at  September  30,  2003,  totaled  $55.3  million.  Management
believes  that a significant  portion of maturing  deposits will remain with the
Company.

     Historically,  the Company used its sources of funds  primarily to meet its
ongoing   commitments  to  pay  maturing   savings   certificates   and  savings
withdrawals,  fund loan  commitments  and  maintain a  substantial  portfolio of
investment  securities.  The Company has been able to generate  sufficient  cash
through the retail deposit market,  its traditional  funding source, and through
FHLB  advances and other  borrowings,  to provide the cash utilized in investing
activities.  The Company  also has access to the Federal  Reserve  Bank  Primary
Credit  Program.  Management  believes  that the Company  currently has adequate
liquidity available to respond to liquidity demands.

      On October 28, 2003, the Company's Board of Directors declared a cash
dividend of $0.16 per share payable November 20, 2003, to shareholders of record
at the close of business on November 10, 2003. Dividends are subject to
determination and declaration by the Board of Directors, which take into account
the Company's financial condition, statutory and regulatory restrictions,
general economic conditions and other


                                       14
<PAGE>


factors.  There can be no assurance  that  dividends will in fact be paid on the
Common Stock in future  periods or that,  if paid,  such  dividends  will not be
reduced or eliminated.

     As of September  30, 2003,  WVS  Financial  Corp.  exceeded all  regulatory
capital requirements and maintained Tier I and total risk-based capital equal to
$30.0  million  or 16.2% and $32.5  million  or  17.6%,  respectively,  of total
risk-weighted  assets,  and Tier I leverage capital of $30.0 million or 7.96% of
average quarterly assets.

     Nonperforming  assets consist of nonaccrual  loans and real estate owned. A
loan is placed on  nonaccrual  status when, in the judgment of  management,  the
probability of collection of interest is deemed  insufficient to warrant further
accrual.  When a loan is placed on  nonaccrual  status,  previously  accrued but
uncollected interest is deducted from interest income. The Company normally does
not accrue interest on loans past due 90 days or more, however,  interest may be
accrued if management believes that it will collect on the loan.

     The  Company's   nonperforming   assets  at  September  30,  2003,  totaled
approximately  $3.9 million or 1.00% of total assets as compared to $3.5 million
or 0.95% of total assets at June 30, 2003. Nonperforming assets at September 30,
2003, consisted of: four commercial real estate loans totaling $3.2 million, one
construction  and land  development  loan totaling $58 thousand,  one commercial
loan totaling $22 thousand,  two  single-family  real estate loans totaling $144
thousand,  two home equity lines of credit totaling $15 thousand, and one parcel
of commercial real estate owned totaling $500 thousand.

     The $368 thousand increase in nonperforming  assets during the three months
ended  September  30, 2003 was  primarily  attributable  to the  Savings  Bank's
purchase of certain nonperforming participating interests discussed below.

     As of September 30, 2003, the Company had four commercial real estate loans
classified as non-accrual loans.

     The Company has one non-accrual commercial real estate loan to a retirement
village  located in the North  Hills area.  The  outstanding  principal  balance
totaled $2.3 million at September 30, 2003.  During the quarter ended  September
30, 2003 the Savings Bank  purchased  approximately  $388  thousand of remaining
participating  bank  interests.  Payments  continue  to be  received on a timely
basis. The Company recorded  interest received on this credit on a cost recovery
basis.

     The Company has one non-accruing  commercial real estate loan relationship,
with a carrying value of approximately $1 million,  to a personal care home that
was originally part of the retirement  village loan discussed  above. Due to the
low  occupancy  of the  personal  care home,  and the related  cash drain on the
retirement  village,  the Savings Bank "carved out"  approximately $1 million of
loan debt from the retirement  village,  assigned that $1 million in debt to the
personal care home, and allowed one of the obligors - a geriatric physician - to
separately  own and operate the personal care home as a separate  facility.  The
borrower was in compliance with a written loan work-out agreement until February
2002.  Sporadic  payments  have been  received  since March 2002.  The  borrower
alleges  insufficient  operating cash,  along with the loss of other income,  to
service the debt.  The Savings Bank also holds three other loans,  totaling $363
thousand,  secured by pledges of various real estate and  chattel,  to this same
borrower  which were  non-accrual  as of September 30, 2002.  During the quarter
ended  December 31, 2002,  the obligor  filed for  bankruptcy  protection  under
Chapter 11 of the Federal  Bankruptcy  Code.  The Savings Bank obtained title to
the  personal  care home and related  real  property  during the  quarter  ended
September 30, 2003 and  anticipates  a sale of such  property  during the second
quarter of fiscal 2004, with estimated  proceeds of approximately $500 thousand.
The  Company  and its legal  counsel  are also  investigating  other  claims and
remedies against other properties pledged as collateral for these loans.

     As of September 30, 2003, the Company has one non-accruing  commercial real
estate loan,  secured by a small store front and three apartment  units,  with a
principal balance of $103 thousand. The obligors have filed for bankruptcy under
Chapter 7 of the Federal  Bankruptcy  Code. In January 2003 the Bankruptcy Court
entered an Order  authorizing the listing for sale of the real property securing
the loan, ordered interest only payments to begin in February 2003 and granted.



                                       15
<PAGE>

Relief from the Automatic Stay to  Foreclosure  effective June 2003. The Company
has collected  nominal rent on a sporadic  basis with a sheriff's sale scheduled
for the second quarter of fiscal 2004.

     During  the three  months  ended  September  30,  2003,  approximately  $58
thousand of interest income would have been recorded on loans accounted for on a
non-accrual  basis  and  troubled  debt  restructurings  if such  loans had been
current  according to the original loan agreements for the entire period.  These
amounts were not included in the Company's interest income for the quarter ended
September  30,  2003.  The Company  continues  to work with the  borrowers in an
attempt to cure the defaults and is also pursuing various legal avenues in order
to collect on these loans.


                                       16
<PAGE>

ITEM 3.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

ASSET AND LIABILITY MANAGEMENT

     The Company's  primary market risk exposure is interest rate risk and, to a
lesser extent, liquidity risk. All of the Company's transactions are denominated
in US dollars with no specific foreign exchange  exposure.  The Savings Bank has
no agricultural  loan assets and therefore would not have a specific exposure to
changes in commodity prices.  Any impacts that changes in foreign exchange rates
and  commodity  prices would have on interest  rates are assumed to be exogenous
and will be analyzed on an ex post basis.

     Interest  rate risk  ("IRR") is the  exposure  of a banking  organization's
financial condition to adverse movements in interest rates.  Accepting this risk
can be an important  source of  profitability  and shareholder  value,  however,
excessive levels of IRR can pose a significant  threat to the Company's earnings
and capital base.  Accordingly,  effective risk management that maintains IRR at
prudent levels is essential to the Company's safety and soundness.

     Evaluating a financial  institution's exposure to changes in interest rates
includes  assessing both the adequacy of the management  process used to control
IRR and the organization's  quantitative  level of exposure.  When assessing the
IRR management process,  the Company seeks to ensure that appropriate  policies,
procedures, management information systems and internal controls are in place to
maintain IRR at prudent levels with  consistency and continuity.  Evaluating the
quantitative  level of IRR exposure  requires the Company to assess the existing
and potential  future effects of changes in interest  rates on its  consolidated
financial condition, including capital adequacy, earnings, liquidity, and, where
appropriate, asset quality.

     Financial  institutions  derive their income  primarily  from the excess of
interest  collected  over interest  paid.  The rates of interest an  institution
earns  on its  assets  and owes on its  liabilities  generally  are  established
contractually  for a period of time.  Since  market  interest  rates change over
time, an institution is exposed to lower profit margins (or losses) if it cannot
adapt to interest-rate changes. For example, assume that an institution's assets
carry  intermediate-  or long-term fixed rates and that those assets were funded
with  short-term  liabilities.  If market  interest  rates  rise by the time the
short-term  liabilities  must be refinanced,  the increase in the  institution's
interest  expense on its liabilities  may not be  sufficiently  offset if assets
continue  to  earn  interest  at the  long-term  fixed  rates.  Accordingly,  an
institution's  profits could decrease on existing assets because the institution
will either have lower net interest income or, possibly,  net interest  expense.
Similar  risks  exist when  assets  are  subject  to  contractual  interest-rate
ceilings,  or rate  sensitive  assets  are  funded  by  longer-term,  fixed-rate
liabilities in a decreasing-rate environment.

     During the three  months  ended  September  30,  2003,  the level of market
interest rates  remained at relatively  low levels due to the Federal  Reserve's
accommodative monetary policy and the weakness in the national economy.

     Due to the rapid  and  sustained  decline  in market  interest  rates,  the
Company's loan, investment and mortgage-backed securities portfolios experienced
much higher than anticipated levels of prepayments.  Principal repayments on the
Company's loan,  investment and  mortgage-backed  securities  portfolios for the
three months ended September 30, 2003, totaled $20.3 million,  $82.9 million and
$61.2 million, respectively.

     In response to higher  levels of liquidity  the Company  began to rebalance
its loan, investment and mortgage-backed  securities portfolios.  Due to the low
level of market interest rates, the Company continued to reduce its originations
of long-term fixed rate mortgages while continuing to offer consumer home equity
and construction loans. The Company's  commercial loan exposure was also reduced
in  recognition  of the  weaknesses  in the  national and local  economies.  The
Company  purchased  callable  floating rate government agency bonds and floating
rate CMOs in order to provide current income and protection  against an eventual
rise in market interest rates. Each of the aforementioned strategies also helped
to improve the interest-rate


                                       17
<PAGE>

and liquidity  risks  associated  with the Savings Bank's  customers'  liquidity
preference for shorter term deposit products.

     The Company also makes available for origination residential mortgage loans
with  interest  rates which  adjust  pursuant to a  designated  index,  although
customer acceptance has been somewhat limited in the Savings Bank's market area.
The Company will continue to  selectively  offer  commercial  real estate,  land
acquisition and development,  and shorter-term  construction loans, primarily on
residential  properties,  to partially increase its loan asset sensitivity.  The
Company  intends to emphasize  higher  yielding  home equity and small  business
loans to existing customers and seasoned prospective customers.

     During the quarter ended September 30, 2003, principal investment purchases
were  comprised  of:  investment  grade  corporate  bonds - $2.1  million with a
weighted average yield of approximately 1.95%; callable floating rate government
agency bonds which will reprice quarterly within one year - $94.2 million with a
weighted average yield of approximately 2.83%; investment grade commercial paper
- $51.0  million  with a weighted  average  yield of  approximately  1.32%;  and
floating  rate  collateralized  mortgage  obligations  - $32.4  million  with an
original  weighted  average  yield  of  approximately  2.55%.  Major  investment
proceeds  received during the quarter ended September 30, 2003 were:  investment
grade  corporate  bonds  -  $16.3  million  with a  weighted  average  yield  of
approximately  3.31%;  investment  grade commercial paper - $65.6 million with a
weighted average yield of approximately 1.38%; and tax-free municipal commercial
paper - $1.0 million with a weighted average yield of approximately 1.24%.

     As of September 30, 2003, the  implementation  of these asset and liability
management initiatives resulted in the following:

     1)   the  Company's  liquidity  profile  remains  high with the  investment
          portfolio's  stated  final  maturities  as follows:  less than 1 year:
          $61.3 million or 20.8%;  1-3 years:  $1.1 million or 0.4%;  3-5 years:
          $24 thousand or 0.01%; over 5 years: $232.4 million or 78.8%;

     2)   $96.9  million  or  45.8%  of  the  Company's   investment   portfolio
          (including FHLB stock) was comprised of floating rate bonds which will
          reprice quarterly within one year;

     3)   $70.9 million or 85.4% of the Company's  portfolio of  mortgage-backed
          securities  (including  collateralized  mortgage obligations - "CMOs")
          were comprised of floating rate instruments;

     4)   the maturity  distribution of the Company's  borrowings is as follows:
          less than 1 year: $29.5 million or 16.5%; 1-3 years: $4.2 or 2.3%; 3-5
          years:  $3.0 million or 1.7%;  over 5 years:  $142.1 million or 79.5%;
          and

     5)   an  aggregate  of $32.2  million  or 41.5% of the  Company's  net loan
          portfolio had adjustable  interest rates or maturities of less than 12
          months.

     The effect of interest rate changes on a financial institution's assets and
liabilities may be analyzed by examining the "interest rate  sensitivity" of the
assets  and  liabilities  and  by  monitoring  an  institution's  interest  rate
sensitivity  "gap".  An asset or liability is said to be interest rate sensitive
within a specific  time period if it will mature or reprice  within a given time
period.  A gap is  considered  positive  (negative)  when  the  amount  of  rate
sensitive assets (liabilities)  exceeds the amount of rate sensitive liabilities
(assets).  During a period of falling  interest rates, a negative gap would tend
to result  in an  increase  in net  interest  income.  During a period of rising
interest  rates,  a  positive  gap would  tend to result in an  increase  in net
interest income.


                                       18
<PAGE>

     The following  table sets forth certain  information at the dates indicated
relating  to  the  Company's   interest-earning   assets  and   interest-bearing
liabilities which are estimated to mature or are scheduled to reprice within one
year.

<TABLE>
<CAPTION>
                                             September 30,        June 30,
                                             -------------   -----------------------
                                                  2003          2003          2002
                                             -------------   -----------------------
                                                     (Dollars in Thousands)
<S>                                          <C>               <C>         <C>
Interest-earning assets maturing or

   repricing within one year                 $  300,824        $262,782    $ 252,467
Interest-bearing liabilities maturing or
   repricing within one year                    169,628         133,418      142,823
                                             -----------     -----------  ----------

Interest sensitivity gap                     $  131,196        $129,364    $ 109,644
Interest sensitivity gap as a percentage of  ===========     ===========  ==========
   total assets                                    33.7%           35.2%        27.1%
Ratio of assets to liabilities
   maturing or repricing within one year          177.3%          197.0%       176.8%
</TABLE>



     During the quarter ended  September 30, 2003,  the Company  managed its one
year interest  sensitivity gap by: (1) purchasing  floating rate U.S. Government
Agency bonds which will reprice  quarterly  beginning  within one year;  and (2)
purchasing  floating  rate  CMO's  which  reprice  on a monthly  basis;  and (3)
generally limiting incremental  corporate bond purchases to those with repricing
dates within 3 months.


                                       19
<PAGE>

     The following table illustrates the Company's estimated stressed cumulative
repricing gap - the difference between the amount of interest-earning assets and
interest-bearing  liabilities  expected to reprice at a given point in time - at
September  30,  2003.  The table  estimates  the impact of an upward or downward
change in market interest rates of 100 and 200 basis points.



<TABLE>
<CAPTION>
                                                     Cumulative Stressed Repricing Gap
                                                     ---------------------------------



                     Month 3      Month 6      Month 12      Month 24      Month 36      Month 60        Long Term
                     -------      -------      --------      --------      --------      --------        ---------
                                                          (Dollars in Thousands)
<C>                    <C>           <C>         <C>            <C>           <C>           <C>              <C>

Base Case Up 200 bp
-------------------
Cummulative     Gap
($'s)                  19,518        36,266      124,676        141,680       126,497       130,204          27,983
% of Total
  Assets                  5.0%          9.3%        32.0%          36.4%         32.5%         33.4%            7.2%
Base Case Up 100 bp
-------------------
Cummulative     Gap
($'s)                  19,911        36,951      125,703        158,938       156,200       166,897          27,983
% of Total
  Assets                  5.1%          9.5%        32.3%          40.8%         40.1%         42.9%            7.2%
Base Case No Change
-------------------
Cummulative     Gap
($'s)                  21,720        40,104      131,196        170,691       169,831       174,923          27,983
% of Total
  Assets                  5.6%         10.3%        33.7%          43.8%         43.6%         44.9%            7.2%
Base Case Down 100 bp
---------------------
Cummulative     Gap
($'s)                  23,967        43,963      136,816        178,041       176,838       177,932          27,983
% of Total
  Assets                  6.2%         11.3%        35.1%          45.7%         45.4%         45.7%            7.2%
Base Case Down 200 bp
---------------------
Cummulative     Gap
($'s)                  25,768        46,887      145,573        187,096       184,197       183,080          27,983
% of Total
  Assets                  6.6%         12.0%        37.4%          48.0%         47.3%         47.0%            7.2%
</TABLE>


     Beginning in the third quarter of fiscal 2001, the Company began to utilize
an income  simulation model to measure interest rate risk and to manage interest
rate  sensitivity.  The Company  believes  that income  simulation  modeling may
enable the  Company to better  estimate  the  possible  effects on net  interest
income  due to  changing  market  interest  rates.  Other key  model  parameters
include:  estimated  prepayment  rates on the  Company's  loan,  mortgage-backed
securities and investment  portfolios;  savings decay rate assumptions;  and the
repayment terms and embedded options of the Company's borrowings.


                                       20
<PAGE>

     The following  table  presents the simulated  impact of a 100 and 200 basis
point upward or downward shift in market interest rates on net interest  income,
return on  average  equity,  return on average  assets  and the market  value of
portfolio equity at September 30, 2003.


<TABLE>
<CAPTION>

           Analysis of Sensitivity to Changes in Market Interest Rates
           -----------------------------------------------------------

                                                             Modeled Change in Market Interest Rates
                                             -------------------------------------------------------------------------
<S>                                           <C>             <C>           <C>            <C>            <C>
Estimated impact on:                         -200            -100           0             +100           +200
-------------------
   Change in net interest income             -56.7%          -50.0%         0.00%         45.4%          89.4%

   Return on average equity                  -1.36%          -0.50%         5.65%         10.95%         15.84%

   Return on average assets                  -0.10%          -0.04%         0.42%          0.83%         1.23%

   Market value of equity (in
      thousands)                             $15,209         $11,541        $18,621       $20,565        $21,159
</TABLE>


     The  table  below  provides  information  about the  Company's  anticipated
transactions comprised of firm loan commitments and other commitments, including
undisbursed  letters  and  lines  of  credit.  The  Company  used no  derivative
financial instruments to hedge such anticipated transactions as of September 30,
2003.

                            Anticipated Transactions
--------------------------------------------------------------------------------
                                                          (Dollars in Thousands)
Undisbursed construction and
    land development loans
      Fixed rate                                               $        332
                                                                       6.09%

      Adjustable rate                                          $      8,905
                                                                       5.09%

Undisbursed lines of credit
      Adjustable rate                                          $      6,567
                                                                       4.69%

Loan origination commitments
      Fixed rate                                               $      1,718
                                                                       5.56%

      Adjustable rate                                          $      3,846
                                                                       4.91%

Letters of credit
      Adjustable rate                                          $          5
                                                                       7.00%

Commitments to purchase mortgage-backed securities
      Adjustable rate                                          $      2,000
                                                                       2.62%
                                                               ------------
                                                               $     23,373
                                                               ============


                                       21
<PAGE>

     In the ordinary course of its construction  lending  business,  the Savings
Bank enters into performance standby letters of credit.  Typically,  the standby
letters of credit  are issued on behalf of a builder to a third  party to ensure
the timely  completion  of a certain  aspect of a  construction  project or land
development. At September 30, 2003, the Savings Bank had one performance standby
letter of credit outstanding totaling approximately $5 thousand. The performance
standby  letter of credit is secured by deposits with the Savings Bank, and will
mature within twelve months.  In the event that the obligor is unable to perform
its  obligations  as specified in the standby  letter of credit  agreement,  the
Savings Bank would be obligated to disburse funds up to the amount  specified in
the standby  letter of credit  agreement.  The Savings Bank  maintains  adequate
collateral that could be liquidated to fund this contingent obligation.


                                       22
<PAGE>

ITEM 4.

CONTROLS AND PROCEDURES

Our management evaluated,  with the participation of our Chief Executive Officer
and Chief Financial  Officer,  the effectiveness of our disclosure  controls and
procedures  (as defined in Rules  13a-15(e) and 15d-15(e)  under the  Securities
Exchange Act of 1934) as of September 30, 2003.  Based on such  evaluation,  our
Chief  Executive  Officer and Chief  Financial  Officer have  concluded that our
disclosure  controls  and  procedures  are  designed to ensure that  information
required to be  disclosed  by us in the reports that we file or submit under the
Securities Exchange Act of 1934 is recorded, processed,  summarized and reported
within the time  periods  specified in the SEC's rules and  regulations  and are
operating in an effective manner.

No change in our internal control over financial  reporting (as defined in Rules
13a-15(f) and  15(d)-15(f)  under the Securities  Exchange Act of 1934) occurred
during the first fiscal quarter of fiscal 2004 that has materially affected,  or
is reasonably likely to materially  affect,  our internal control over financial
reporting.


                                       23
<PAGE>

PART II - OTHER INFORMATION

ITEM 1. Legal Proceedings
        -----------------

        The Company is involved  with  various  legal  actions  arising in the
        ordinary course of business.  Management believes the outcome of these
        matters will have no material effect on the consolidated operations or
        consolidated financial condition of WVS Financial Corp.

ITEM 2. Changes in Securities and Use of Proceeds
        -----------------------------------------

        Not applicable.

ITEM 3. Defaults Upon Senior Securities
        -------------------------------

        Not applicable.

ITEM 4. Submission of Matters to a Vote of Security Holders
        ---------------------------------------------------

        Not applicable.

ITEM 5. Other Information
        -----------------

        Not applicable.

ITEM 6. Exhibits and Reports on Form 8-K
        --------------------------------

        (a)  The following  exhibits are filed as part of this Form 10-Q,  and
             this list includes the Exhibit Index.

<TABLE>
<CAPTION>
    Number      Description                                                          Page
    ------      ---------------------------------------------------------------      ----
<S>             <C>                                                                  <C>
     31.1       Rule 13a-14(a) / 15d-14(a) Certification of the Chief Executive      E-1
                Officer
     31.2       Rule 13a-14(a) / 15d-14(a) Certification of the Chief                E-2
                Accounting Officer
     32.1       Section 1350 Certification of the Chief Executive Officer            E-3
     32.2       Section 1350 Certification of the Chief Accounting Officer           E-4
      99        Independent Accountant's Report                                      E-5
</TABLE>

      (b)   The Company filed a Current Report on Form 8-K dated August 15,
            2003, reporting under Item 12 earnings for the three and twelve
            months ending June 30, 2003. The Company included as an exhibit to
            the Form 8-K the press release dated August 15, 2003.


                                       24
<PAGE>

                                   SIGNATURES

     Pursuant to the  requirements  of the Securities  Exchange Act of 1934, the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned, thereunto duly authorized.

                                          WVS FINANCIAL CORP.


      November 14, 2003               BY: /s/ David J. Bursic
      Date                                --------------------------------------
                                          David J. Bursic
                                          President and Chief Executive Officer
                                          (Principal Executive Officer)


      November 14, 2003               BY: /s/ Keith A. Simpson
      Date                                --------------------------------------
                                          Keith A. Simpson
                                          Vice-President, Treasurer and Chief
                                          Accounting Officer
                                          (Principal Accounting Officer)


                                       25