NewtekOne, Inc.

https://investor.newtekbusinessservices.com/sec-filings

NewtekOne, Inc. is a financial holding company dedicated to providing state-of-the-art financial and business solutions to small to medium-sized businesses (SMBs) and independent business owners across the United States. Founded in 1998, the company's mission is to help clients enhance revenues, reduce expenses, and mitigate risk. Its corporate headquarters are located in Boca Raton, Florida.

The company offers a comprehensive suite of services under the Newtek brand, including banking through its nationally chartered digital institution, Newtek Bank, N.A. Key offerings encompass various lending solutions such as SBA 7(a) and 504 loans, commercial and industrial loans, and commercial real estate loans. Additionally, NewtekOne provides electronic payment processing, accounts receivable and inventory financing, a range of insurance solutions (commercial, personal, health, employee benefits, and life insurance), payroll and benefits solutions, and technology services like cloud computing, data backup, IT consulting, and web services. These services are delivered with an emphasis on technology-driven solutions and real-time payment capabilities, targeting SMBs in all 50 states.

Led by President, CEO, and founder Barry R. Sloane, NewtekOne reported strong first-quarter 2026 financial results, with earnings per share surpassing expectations. The company has demonstrated significant growth, with total assets reaching approximately $2.9 billion and deposits exceeding $2 billion, nearly doubling year-over-year. NewtekOne transitioned to a financial holding company in January 2023, following the acquisition of National Bank of New York City, now Newtek Bank, N.A. The company continues to focus on leveraging technology for efficient client service and cost management, including a strategic shift towards a remote workforce, and has recently paid off and plans to terminate revolving lines of credit at a subsidiary, with Newtek Bank now originating and funding C&I LA loans with deposits.

Latest updates

NewtekOne's Deposit Surge Masks Slowing SBA Lending Growth

Event summary

  • NewtekOne reported 1Q26 EPS of $0.43, a 19.4% increase YoY.
  • Business deposits grew 66% YoY to $1.9 billion, while consumer deposits increased 88% YoY.
  • SBA 7(a) loan origination decreased from $213 million in 1Q25 to $202 million in 1Q26, with $96 million sold.
  • The company retired $95 million of fixed-rate senior unsecured notes.

The big picture

NewtekOne's strong deposit growth highlights the success of its digital-first banking strategy, but the slowdown in SBA lending raises questions about its ability to diversify its loan portfolio and maintain revenue momentum. The company's shift to funding C&I LA loans through deposits represents a significant operational change, potentially reducing funding costs but also increasing reliance on deposit stability. The overall picture suggests a transition from a primarily SBA-focused lender to a broader, technology-enabled financial institution, but execution risk remains a key factor.

What we're watching

Lending Diversification
The shift towards C&I LA Loans and away from SBA 7(a) loans, while boosting margins, could expose NewtekOne to higher credit risk if broader economic conditions deteriorate.
Deposit Retention
The sustainability of Newtek Bank’s deposit growth, fueled by competitive interest rates and the Newtek Advantage® portal, will be critical to funding future loan growth and maintaining profitability.
Efficiency Gains
The impact of AI-driven process improvements on loan origination volumes and operating efficiency needs to be sustained to justify the initial investment and drive long-term profitability.

NewtekOne Eliminates Revolving Credit, Shifts Funding to Bank Subsidiary

Event summary

  • Newtek ALP Holdings has paid off approximately $185 million in revolving credit facilities from Capital One and Deutsche Bank.
  • The debt was extinguished through proceeds from the NALP Business Loan Trust 2026-1 securitization, NewtekOne’s 17th and largest rated securitization.
  • Newtek Bank, N.A. will now originate C&I LA loans and fund them with deposits, replacing the previous funding model.
  • The company intends to continue securitizing C&I LA loans from the Bank’s balance sheet.

The big picture

NewtekOne’s decision to eliminate its revolving credit facilities and transition to deposit funding represents a significant maturation of its C&I LA loan business. This move reduces financial risk by eliminating reliance on external credit lines and suggests increased confidence in the bank’s ability to fund its loan portfolio. The company's continued reliance on securitization indicates a desire to manage balance sheet size and maintain financial flexibility, but also exposes it to potential market volatility in the ABS market.

What we're watching

Funding Transition
The shift to deposit funding for C&I LA loans will be critical; NewtekOne must demonstrate its ability to attract and retain sufficient deposits to support loan growth without impacting margins.
Securitization Pace
The frequency and size of future C&I LA loan securitizations will signal NewtekOne’s appetite for growth and its ability to manage asset-liability mismatches.
Bank Performance
Newtek Bank’s performance, particularly its net interest margin and asset quality, will be a key indicator of the success of the new funding model and the overall C&I LA loan strategy.

NewtekOne Loan Originations Surge as AI Integration Accelerates Growth

Event summary

  • NewtekOne originated a record 961 loans in 1Q26, a 40% increase year-over-year.
  • Loan origination dollar volume reached $391 million in 1Q26, up from $366 million in 1Q25.
  • March 2026 saw 500 loan units originated, a 74% increase compared to March 2025.
  • The 'Newtek Seven Day Business Loan™' contributed to the accelerated origination volume, particularly in the second half of the quarter.

The big picture

NewtekOne's accelerated loan origination growth, driven by AI integration, suggests a successful strategy to streamline operations and capture market share in the competitive small business lending space. The company's focus on speed and efficiency aligns with the increasing demand for rapid access to capital among small business owners. The ability to simultaneously support deposit gathering and lending through AI represents a potentially significant efficiency gain, but also introduces operational dependencies.

What we're watching

Credit Quality
While management expresses optimism regarding credit quality, the rapid increase in loan volume warrants close monitoring for potential deterioration, especially given the focus on speed to close.
AI Scalability
The success of the AI-driven origination process hinges on its ability to scale efficiently and maintain accuracy as loan volume continues to grow, avoiding potential bottlenecks or errors.
Competitive Response
The 'Newtek Seven Day Business Loan™' represents a significant competitive advantage; however, other lenders may attempt to replicate this offering, potentially eroding NewtekOne’s market share gains.

NewtekOne Schedules Q1 2026 Earnings Call, Focus on Diversified Financial Solutions

Event summary

  • NewtekOne (NEWT) will report its first quarter 2026 financial results after market close on Thursday, April 30, 2026.
  • A conference call will be held at 4:30 pm ET on April 30, 2026, hosted by CEO Barry Sloane and CFO Frank DeMaria.
  • Registration for the conference call and access to the earnings presentation are available online starting March 30, 2026.
  • NewtekOne provides a range of business and financial solutions including banking, lending, payment processing, and technology services.

The big picture

NewtekOne operates as a financial holding company providing a broad suite of business and financial solutions. The company's strategy of offering a 'one-stop shop' for small business owners presents both opportunities for cross-selling and challenges in managing diverse operations. The upcoming earnings call will provide insight into the effectiveness of this strategy and the company’s ability to navigate a competitive landscape.

What we're watching

Profitability
The company's diverse product offerings may create operational complexity; investors should assess whether NewtekOne can maintain or improve margins across its various business lines.
SBA Lending
Given the cyclical nature of SBA lending, the pace of loan originations and the quality of the loan portfolio will be key indicators of future performance.
Technology Integration
The effectiveness of integrating Intelligent Protection Management Corp.'s technology solutions into NewtekOne’s core offerings will influence its ability to compete and retain clients.

Newtek Bank Accelerates Loan Approvals with AI, Targets MCA Alternatives

Event summary

  • Newtek Bank, a subsidiary of NewtekOne, Inc. (NEWT), launched the ‘Newtek Seven Day Business Loan’ offering loans up to $350,000 within seven days.
  • The loan program utilizes Newtek’s internally developed AI-powered ‘NewTracker’ system for loan processing.
  • NewtekOne claims the loan’s total borrowing cost is more favorable than merchant cash advances (MCAs).
  • The company has tripled the number of loans closed over the last three years without increasing loan closing staff headcount.
  • Newtek Bank has opened 35,000 total depository accounts, including 9,000 in Q4 2025.

The big picture

NewtekOne is positioning itself as a technology-driven lender targeting small business owners seeking alternatives to expensive short-term financing options like merchant cash advances. The company's aggressive adoption of AI to streamline loan processing and reduce costs represents a strategic shift towards operational efficiency and a potential competitive advantage, but also introduces new risks related to credit quality and regulatory scrutiny. This move reflects a broader trend of fintech companies leveraging AI to disrupt traditional banking models and capture market share.

What we're watching

Competitive Response
Other lenders will likely observe Newtek’s accelerated approval times and cost advantages, potentially triggering a price war or similar AI-driven initiatives to retain market share.
Credit Quality
The reliance on AI for underwriting raises questions about the long-term credit quality of the loan portfolio; monitoring default rates will be crucial to assess the efficacy of the AI models.
Scalability Limits
While headcount growth has been contained, the AI-driven process may encounter scalability limits as loan volume and complexity increase, potentially impacting processing times and accuracy.

Newtek Bank Awards Highlight SBA Lending Transition, Deposit Growth

Event summary

  • Newtek Bank, a subsidiary of NewtekOne, Inc. (NEWT), received the ‘SBA Bank Lender of the Year’ award from The Coleman Report.
  • NerdWallet recognized Newtek Bank for having the ‘Best Savings Account 2026’ after evaluating over 100 financial institutions.
  • NewtekOne acquired Newtek Bank in 2023, transitioning its SBA lending operations into the bank.
  • Newtek Bank currently holds a 4.6 rating on Trustpilot.

The big picture

The awards highlight NewtekOne’s strategic shift to leverage its banking subsidiary for both SBA lending and deposit acquisition. This transition, completed in 2023, allows NewtekOne to offer a more comprehensive suite of financial services. The NerdWallet recognition underscores the growing importance of digital banking and competitive rates in attracting retail deposits, a crucial element for bank profitability and lending capacity.

What we're watching

Deposit Retention
Whether Newtek Bank can maintain its competitive interest rates and digital experience to retain customers attracted by the NerdWallet recognition, especially given broader market pressures on deposit pricing.
SBA Compliance
The ongoing regulatory scrutiny of SBA lending practices and Newtek Bank’s ability to maintain compliance while scaling its lending operations post-acquisition.
Trustpilot Sentiment
How Newtek Bank’s Trustpilot score evolves as it expands its product offerings and customer base, and whether negative feedback could impact its reputation and deposit growth.

NewtekOne Completes Debt Retirement, Signals BDC Transition

Event summary

  • NewtekOne retired $95 million of 5-year senior unsecured notes (ticker: NEWTZ) that matured on February 1, 2026.
  • The repayment was funded by $87.1 million of working capital and a debt exchange for $7.9 million of NEWTO notes.
  • Since 2018, NewtekOne has redeemed a total of $294 million in senior notes.
  • The retired notes represent the last remnant of debt issued during NewtekOne’s time as a Business Development Company (BDC).

The big picture

NewtekOne’s debt retirement marks a significant step in its ongoing transition from a BDC to a technology-enabled financial holding company, a shift announced in 2023. The company has aggressively reduced its outstanding debt over the past several years, demonstrating a commitment to strengthening its balance sheet. This move signals a desire to shed the constraints and investor base associated with BDC structures, potentially opening up new avenues for capital raising and strategic flexibility.

What we're watching

Capital Structure
The company's continued ability to generate working capital to fund debt retirements will be crucial as it navigates its transition away from the BDC model and seeks to reinvest in its core business lines.
BDC Legacy
The full impact of shedding the BDC structure and associated debt profile on NewtekOne's cost of capital and access to funding remains to be seen, particularly as interest rates remain elevated.
Growth Strategy
How NewtekOne leverages its remaining capital and newly issued NEWTO notes to drive organic growth and expand its suite of business solutions will be a key indicator of the success of its strategic shift.

NewtekOne to Detail Securitization Impact in Upcoming Earnings Call

Event summary

  • NewtekOne will release Q4 2025 and full-year 2025 financial results on January 29, 2026, after market close.
  • A conference call with CEO Barry Sloane and CFO Frank DeMaria is scheduled for January 29, 2026, at 4:30 pm ET.
  • The company recently closed its 17th and largest Asset-Backed Securitization (ALP).
  • Topics to be discussed include those previously presented at the January 8th Investor Day.

The big picture

NewtekOne's reliance on asset-backed securitizations to fund its diverse range of business and financial solutions exposes it to interest rate risk and potential market volatility. The company’s ability to consistently execute these securitizations, as evidenced by this latest deal, is crucial for maintaining its growth trajectory and competitive position within the fragmented small business services sector. The upcoming earnings call will provide insight into the sustainability of this strategy.

What we're watching

Securitization Impact
The success of the latest securitization, touted as the largest yet, will be a key indicator of NewtekOne’s ability to manage liquidity and access capital markets, and its impact on overall profitability needs close scrutiny.
Investor Day Follow-Through
Management’s commentary on topics discussed at the Investor Day will reveal the extent to which previously outlined strategic initiatives are translating into tangible results.
Regulatory Landscape
Given NewtekOne’s diverse financial solutions offerings, changes in banking and lending regulations could significantly impact its business model and require adjustments to its operational strategies.

NewtekOne Securitizes $295 Million in ALP Loans, Tightening Spreads

Event summary

  • NewtekOne, Inc. completed a $295 million asset-backed securitization (NALP Business Loan Trust 2026-1) backed by $342 million of Alternative Loan Program (ALP) loans.
  • The securitization included $251.9 million of Class A notes (rated A(low)(sf)), $35.9 million of Class B notes (BBB(sf)), and $6.8 million of Class C notes (BB(sf)).
  • The weighted average spread over the Treasury benchmark improved to 243 basis points, down from 271 basis points in the prior securitization.
  • The company originated roughly $850 million of ALP loans since 2019, experiencing only six defaults and one charge-off of $6 million.

The big picture

NewtekOne’s continued reliance on asset-backed securitizations to fund its ALP loan program highlights the company’s strategy of providing longer-term financing to small businesses. The tightening of spreads suggests a favorable market environment for these types of transactions, but also indicates potential competitive pressures. The company's strategy of using excess spread to retire debt demonstrates a focus on managing its capital structure and improving book values.

What we're watching

Spread Dynamics
Continued compression of spreads on future securitizations could indicate increased investor confidence or heightened competition, impacting NewtekOne’s profitability.
Loan Performance
Whether the low default rate on ALP loans can be sustained as macroeconomic conditions potentially deteriorate warrants close monitoring.
Funding Strategy
The pace at which NewtekOne retires securitization debt using excess spread will influence its capital structure and overall financial leverage.

NewtekOne Sets January Earnings Call, Focus on Diversified Business Solutions

Event summary

  • NewtekOne, Inc. (NEWT) will report fourth-quarter 2025 results on January 29, 2026.
  • A conference call will be held at 4:30 pm ET on January 29, 2026, led by CEO Barry Sloane and CFO Frank DeMaria.
  • Pre-registration is required for the conference call and webcast, ending 15 minutes prior to the call.
  • An earnings presentation will be posted on NewtekOne’s investor relations website concurrent with the results release.

The big picture

NewtekOne operates as a financial holding company providing a wide range of business solutions to independent business owners. The upcoming earnings call will provide insight into the performance of this diversified model, which spans banking, lending, payment processing, and technology services. The company's success hinges on its ability to manage the complexities of a broad portfolio and adapt to evolving market demands within the small business sector.

What we're watching

Profitability
Given the breadth of NewtekOne’s offerings, the company’s ability to achieve consistent profitability across its diverse business lines will be a key indicator of operational efficiency and strategic focus.
SBA Lending
The volume and performance of NewtekOne’s SBA lending solutions will likely be impacted by broader macroeconomic conditions and government policy, requiring close monitoring of loan portfolio quality.
Technology Integration
The effectiveness of integrating Intelligent Protection Management Corp.'s technology solutions into NewtekOne’s core offerings will influence the company’s ability to enhance client value and maintain a competitive edge.

NewtekOne Extends Exchange Offer as 2026 Notes Approach Maturity

Event summary

  • NewtekOne has extended the expiration date of its exchange offer from January 15, 2026, to January 23, 2026.
  • The offer involves exchanging 5.50% Notes due 2026 for newly issued 8.50% Fixed Rate Senior Notes due 2031.
  • The settlement date for the exchange is expected to be January 28, 2026.
  • The interest payment on the Old Notes will be paid prior to the maturity date of February 1, 2026, and the first interest payment on the New Notes will be net of the Old Notes interest.

The big picture

NewtekOne's extension of the exchange offer indicates a desire to push out its debt maturity and secure more favorable terms. The increased interest rate suggests a higher perceived risk profile for the company, potentially reflecting broader concerns about the performance of smaller financial holding companies. This restructuring aims to alleviate immediate refinancing pressure as the 2026 notes approach maturity, but the higher interest rate will impact future profitability.

What we're watching

Participation Rate
The ultimate success of the exchange hinges on sufficient participation from Old Note holders; a low rate could signal broader concerns about NewtekOne’s financial health and ability to service debt.
Cost of Capital
The move to an 8.50% coupon reflects a higher cost of capital for NewtekOne, suggesting increased investor risk perception or a less favorable market environment.
Financial Health
NewtekOne’s ability to manage its debt obligations and maintain financial stability will be crucial, particularly as the company navigates a potentially challenging economic landscape.

NewtekOne Sets 2026 EPS Guidance Amid Banking Transition

Event summary

  • NewtekOne held an Investor Day on January 8, 2026, featuring presentations from key executives including Barry Sloane, Frank DeMaria, Peter Downs, and Andrew Kaplan.
  • The event marks the three-year anniversary of NewtekOne's acquisition of Newtek Bank, N.A.
  • NewtekOne is transitioning to a technology-enabled financial holding company with depository capabilities.
  • The company issued EPS guidance for 2026, projecting a range of $2.15 - $2.55.

The big picture

NewtekOne's strategic shift towards a technology-enabled financial holding company reflects the broader trend of fintech disruption within the banking sector. The company's focus on frictionless deposit acquisition and lending, coupled with its reliance on securitizations, positions it as a hybrid player attempting to bridge traditional banking with modern fintech solutions. The 2026 EPS guidance provides a near-term benchmark for assessing the success of this transition.

What we're watching

Deposit Acquisition
The success of NewtekOne’s technology-driven approach to deposit acquisition will be critical to sustaining profitability, given the competitive landscape for business banking clients.
Securitization Risk
The company's reliance on securitizations exposes it to potential risks related to interest rate fluctuations and credit market conditions, which could impact the EPS guidance.
Execution Risk
The integration of Newtek Bank and the ongoing technological advancements require careful execution to realize the anticipated efficiencies and avoid operational disruptions.

NewtekOne to Host Investor Day Amidst Evolving Business Solutions Landscape

Event summary

  • NewtekOne, Inc. will host an Investor/Analyst Day on January 8, 2026, at its Boca Raton headquarters.
  • The event will be webcast for remote participants, with a replay available for 90 days.
  • Management will host an optional lunch for in-person attendees starting at 12:00 PM.
  • Bryce Rowe is the designated contact for in-person attendance inquiries.

The big picture

NewtekOne operates in a fragmented market providing business and financial solutions to independent business owners. The Investor Day signals an effort to increase transparency and potentially attract further investment as the company navigates a complex regulatory environment and seeks to differentiate itself through its broad service offering. The event provides an opportunity to assess the company's strategic direction and financial performance in a competitive landscape.

What we're watching

Growth Strategy
The company's presentation will likely detail its strategy for expanding its suite of business and financial solutions, and investors should assess the viability of these initiatives given the competitive landscape.
Regulatory Headwinds
As a financial holding company, NewtekOne faces ongoing regulatory scrutiny; the Investor Day may shed light on how the company is adapting to evolving compliance requirements.
Execution Risk
NewtekOne's diverse range of services introduces execution risk; the company's ability to effectively integrate and manage these offerings will be crucial for sustained growth.
CID: 526