Pathward Financial, Inc.

Banks - Regional • Financial Services • Sioux Falls, SD, United States • CASH (NMS)

877 497 7497 5501 South Broadband Lane, Sioux Falls, SD 57108, United States

Quarter: Q3 2025 Reported: September 2, 2025 Sentiment: Negative

Pathward Financial, Inc. operates as the bank holding company for Pathward, National Association that provides various banking products and services in the United States. It operates through three segments: Consumer, Commercial, and Corporate Services/Other. The company offers demand deposit accounts, savings accounts, and money market savings accounts. It also provides commercial finance product comprising term lending, asset-based lending, factoring, lease financing, insurance premium finance, government guaranteed lending, and other commercial finance products; installment and revolving consumer lending products; tax services, which includes short-term refund advance loans and short-term electronic return originator advance loans; and warehouse financing services. In addition, the company offers payment solutions, such as acceptance, processing, and settlement of credit card and debit card payments, financial processing services for freestanding ATMs; digital payments; and merchant services, as well as issues debit and prepaid cards. The company was formerly known as Meta Financial Group, Inc. and changed its name to Pathward Financial, Inc. in July 2022. Pathward Financial, Inc. was founded in 1954 and is based in Sioux Falls, South Dakota.

Analysis Summary

Pathward Financial, Inc. (CASH) is facing significant regulatory scrutiny from Nasdaq, having received a second notice of non-compliance with Listing Rule 5250(c)(1) due to its failure to timely file the Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2025 (Q3 2025). This follows an earlier notice for the March 31, 2025 (Q2 2025) 10-Q, for which the company had already been granted an extension until November 13, 2025, to regain compliance. The core issue driving these delays involves the need to restate certain financial statements within the Form 10-Q for the fiscal quarter ended December 31, 2024 (Q1 2025), and subsequently file the overdue Q2 and Q3 2025 10-Qs. The restatements specifically pertain to the "gross vs. net basis presentation and derivative accounting, and financial reporting, of certain third-party lending and servicing relationships within the Consumer Solutions business, within held-for-investment loan balances." The company has until September 10, 2025, to submit an updated plan to Nasdaq, with the November 13, 2025, deadline for full compliance being firm. While Pathward Financial has successfully filed its amended Form 10-K for the fiscal year ended September 30, 2024, on August 29, 2025, the ongoing delays in quarterly filings and the need for restatements signal internal control and reporting challenges. This report does not contain any Q3 2025 financial performance metrics such as revenue, earnings, or EPS, as the primary purpose of the 8-K is to disclose the Nasdaq non-compliance notice. The company's forward-looking statements acknowledge the risk of further delays and potential inability to meet Nasdaq's requirements, underscoring the seriousness of the situation.

Key Highlights

• Received second Nasdaq non-compliance notice for failure to timely file Q3 2025 Form 10-Q.
• Previously received notice for late Q2 2025 10-Q, with a compliance deadline of November 13, 2025.
• Delays and restatements are related to "gross vs. net basis presentation and derivative accounting" in the Consumer Solutions business.
• Company is in the process of amending Q1 2025 10-Q and filing Q2/Q3 2025 10-Qs.
• Amended Form 10-K for fiscal year ended September 30, 2024, was filed on August 29, 2025.
• Must submit an updated compliance plan by September 10, 2025, and achieve full compliance by November 13, 2025.
• This filing does not contain Q3 2025 financial results or guidance.

Financial Metrics

eps

N/A

YoY: Not provided in this filing, as it concerns a notice of non-compliance for late filings rather than an earnings report.

revenue

N/A N/A

YoY: Not provided in this filing, as it concerns a notice of non-compliance for late filings rather than an earnings report.

guidance

net income

N/A N/A

YoY: Not provided in this filing, as it concerns a notice of non-compliance for late filings rather than an earnings report.

Stock Performance (90 Days)

Data through Dec 26, 2025

Positive Signals

• Company "intends to take the necessary steps to regain compliance" as soon as practicable.
• Amended Form 10-K for the fiscal year ended September 30, 2024, has been successfully filed.
• Nasdaq has granted an extension until November 13, 2025, for compliance (though no further extensions will be given).
• The notice has "no immediate effect on the listing or trading" of the Company's common stock.

Risks & Concerns

— Risk of delisting from Nasdaq if compliance with listing rules is not regained by November 13, 2025.
— Risk that the completion and filing of delinquent Quarterly Reports on Form 10-Q and amendments will take longer than expected.
— Inability to meet Nasdaq's continued listing requirements.
— Potential negative impact on investor confidence and stock price due to ongoing reporting issues and restatements.
— Challenges related to the complexity of "gross vs. net basis presentation and derivative accounting" within the Consumer Solutions business.