Yahoo Finance Flushing Financial Corp (FFIC) (Q1 2024) Earnings Call Transcript Highlights: Key Financial ...
GAAP EPS: $0.12 for Q1 2024
Core EPS: $0.14 for Q1 2024
Net Charge-offs: $4,000 for the quarter, less than one basis point of loans
Nonperforming Assets: Flat quarter over quarter, totaling 53 basis points
Loan Delinquencies (30 to 89 days): 24 basis points
Criticized and Classified Loans: 87 basis points, down 23% quarter-over-quarter
Allowance for Credit Losses to Loans Ratio: Increased slightly to 60 basis points
Net Interest Margin: Declined 23 basis points to 2.06%
Average Deposits: Increased 4% year over year and 3% quarter over quarter
Loan-to-Deposit Ratio: Improved to 94% from 102% a year ago
CD Portfolio: Total CDs at $2.5 billion, 35% of total deposits at quarter end
Release Date: April 24, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Q & A Highlights
Q: What sort of initial yields are on the floating rate securities purchased this quarter? A: Susan Cullen, Senior Executive Vice President, Treasurer, Chief Financial Officer, mentioned that the floating rate securities have an initial yield of around 60 to 70 basis points.
Q: Can you provide the March net interest margin? A: Susan Cullen stated that they do have the March net interest margin figure, but she did not have it readily available during the call.
Q: Are you trying to shrink the rent-regulated multifamily portfolio? A: John Buran, President and CEO, explained that they are not specifically looking to shrink the portfolio but are focused on improving the spreads and maintaining excellent credit metrics. He emphasized the viability of continuing lending in this category while ensuring favorable spreads and reliable credit quality.
Q: With the stock trading at about 50% of book value, would it make sense to shrink the balance sheet and buy back a lot of stock? A: John Buran acknowledged the validity of focusing on stock buybacks given the current valuation but highlighted the ongoing strategy to maintain lending levels and manage credit quality effectively.
Q: What is the pace of swap activity and expectations for the upcoming quarters? A: Susan Cullen noted that the loan pipeline includes about 174 million, with 22% related to the swap program. She expects a normal pull-through rate of 70% to 80%.
Q: Can you provide more details on the opportunities arising from issues with a large competitor? A: John Buran mentioned that their pipeline has grown since the beginning of the year across various sectors, attributing some of this growth to the competitor's challenges. He emphasized maintaining strict credit criteria while seeking improved yields.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
This article first appeared on GuruFocus.
