WABASH, Ind., Aug. 21, 2024 (GLOBE NEWSWIRE) -- FFW Corporation (the “Corporation”) (OTC PINK: FFWC) (8/20/24 Close: $34.50), parent corporation of Crossroads Bank (the “Bank”), announced earnings for the fiscal year ended June 30, 2024.
For the three months ended June 30, 2024, the Corporation reported net income of $1,118,000 or $0.99 per common share compared to $1,343,000 or $1.19 per common share for the three months ended June 30, 2023. Net interest income for the three months ended June 30, 2024 was $3,664,000 compared to $3,800,000 for the three months ended June 30, 2023. Credit loss expense was $0 for the three months ended June 30, 2024 and $75,000 for the three months ended June 30, 2023. Total noninterest income was $1,137,000 for the three months ended June 30, 2024 compared to $1,030,000 for the three months ended June 30, 2023. Noninterest expense was $3,641,000 for the three months ended June 30, 2024 and $3,349,000 for the three months ended June 30, 2023.
For the twelve months ended June 30, 2024, the Corporation reported net income of $4,089,000 or $3.63 per common share compared to $5,698,000 or $5.03 per common share for the twelve months ended June 30, 2023. Net interest income for the twelve months ended June 30, 2024 was $14,477,000 compared to $16,399,000 for the twelve months ended June 30, 2023. The Company recognized credit loss expense of $0 for the twelve months ended June 30, 2024 and $550,000 for the twelve months ended June 30, 2023. Total noninterest income was $4,144,000 for the twelve months ended June 30, 2024 compared to $4,005,000 for the twelve months ended June 30, 2023. Noninterest expense was $14,225,000 for the twelve months ended June 30, 2024 and $13,433,000 for the twelve months ended June 30, 2023.
The three and twelve months ended June 30, 2024 represented a return on average common equity of 9.41% and 8.78%, respectively, compared to 11.30% and 12.26% for the three and twelve month periods ended June 30, 2023. The three and twelve months ended June 30, 2024 represented a return on average assets of 0.80% and 0.74%, respectively, compared to 0.99% and 1.07% for the three and twelve month periods ended June 30, 2023.
The allowance for credit losses as a percentage of gross loans receivable was 1.33% at June 30, 2024 compared to 1.23% at June 30, 2023. Nonperforming assets were $4,044,000 at June 30, 2024 compared to $2,065,000 at June 30, 2023.
As of June 30, 2024, FFWC’s equity-to-assets ratio was 8.55% compared to 8.54% at June 30, 2023. Total assets at June 30, 2024 were $567,363,000 compared to $543,245,000 at June 30, 2023. Shareholders’ equity was $48,515,000 at June 30, 2024 compared to $46,385,000 at June 30, 2023. Crossroads Bank exceeds all applicable regulatory requirements to be considered “well capitalized.”
Forward Looking Statements
This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include expressions such as “expects,” “intends,” “believes,” and “should,” which are necessarily statements of belief as to the expected outcomes of future events. Actual results could materially differ from those presented. The Corporation's ability to predict future results involves a number of risks and uncertainties. The Corporation undertakes no obligation to release revisions to these forward-looking statements or reflect events or circumstances after the date of this release.
Crossroads Bank is a wholly owned subsidiary of FFW Corporation providing an extensive array of banking services and a wide range of investments and securities products through its main office in Wabash and six Indiana banking centers located in Columbia City, North Manchester, Peru, South Whitley, Syracuse and Warsaw. The Bank also provides leasing services at each of its banking centers. Insurance products are offered through an affiliated company, Insurance 1 Services, Inc. The Corporation’s stock is traded on the OTC Markets under the symbol “FFWC.” Our website address is www.crossroadsbanking.com. Crossroads Bank, Member FDIC.
FFW Corporation Selected Financial Information
Consolidated Balance Sheet
June 30
June 30
2024
2023
Unaudited
Assets
Cash and due from financial institutions
$
5,202,224
$
8,686,057
Interest-bearing deposits in other financial institutions
11,717,782
4,668,889
Cash and cash equivalents
16,920,006
13,354,946
Securities available for sale
106,179,450
110,063,452
Loans held for sale
559,830
80,000
Loans receivable, net of allowance for credit losses of $5,564,436
June 30, 2024 and $4,852,745 at June 30, 2023
411,841,368
390,544,236
Federal Home Loan Bank stock, at cost
1,289,700
1,289,700
Accrued interest receivable
3,016,660
2,648,368
Premises and equipment, net
7,614,589
8,121,511
Mortgage servicing rights
1,086,587
1,128,019
Cash surrender value of life insurance
12,725,890
10,086,476
Goodwill
1,213,898
1,213,898
Repossessed Assets
1,250
109,596
Other assets
4,913,693
4,604,551
Total assets
$
567,362,921
$
543,244,753
Liabilities and shareholders' equity
Deposits
Noninterest-bearing
$
47,530,618
$
53,267,081
Interest-bearing
466,891,628
437,700,301
Total deposits
514,422,246
490,967,382
Borrowings
-
2,100,000
Accrued expenses and other liabilities
4,425,736
3,792,808
Total liabilities
518,847,982
496,860,190
Shareholders' equity
Common stock, $.01 par; 2,000,000 shares authorized;
Issued: 1,836,328; outstanding: 1,126,243 - June 30, 2024 and 1,126,357 - June 30, 2023
18,363
18,363
Additional paid-in capital
10,266,257
10,150,145
Retained earnings
61,694,919
59,406,634
Accumulated other comprehensive income (loss)
(10,795,929
)
(10,588,876
)
Treasury stock, at cost: 710,085 at June 30, 2024 and 709,971 shares at June 30, 2023
(12,668,671
)
(12,601,703
)
Total shareholders' equity
48,514,939
46,384,563
Total liabilities and shareholders' equity
$
567,362,921
$
543,244,753
FFW Corporation Selected Financial Information
Consolidated Statement of Income
Three Months Ended June 30
Twelve Months Ended June 30
2024
2023
2024
2023
Unaudited
Unaudited
Interest and dividend income:
Loans, including fees
$
5,561,214
$
4,797,377
$
21,249,360
$
17,404,248
Taxable securities
538,577
483,668
2,031,617
1,864,881
Tax exempt securities
406,253
426,926
1,656,939
1,804,825
Other
119,404
188,303
309,304
548,886
Total interest and dividend income
6,625,448
5,896,274
25,247,220
21,622,840
Interest expense:
Deposits
2,933,414
2,095,131
10,613,939
5,216,815
Borrowings
27,627
1,059
155,984
7,096
Total interest expense
2,961,041
2,096,190
10,769,923
5,223,911
Net interest income
3,664,407
3,800,084
14,477,297
16,398,929
Credit loss expense
-
75,000
-
550,000
Net interest income after credit loss expense
3,664,407
3,725,084
14,477,297
15,848,929
Noninterest income:
Net gains (losses) on sales of securities
-
-
-
(3,633
)
Net gains on sales of loans
113,780
15,397
185,535
166,999
Net gains (losses) on fixed assets
-
-
-
(20,533
)
Net gains (losses) on sales of REO
-
18,039
(37,006
)
21,105
Commission income
395,409
374,866
1,429,640
1,298,105
Service charges and fees
219,733
248,318
998,995
1,052,670
Earnings on life insurance
106,082
80,596
389,414
318,684
Other
302,374
292,868
1,177,332
1,171,991
Total noninterest income
1,137,378
1,030,084
4,143,910
4,005,388
Noninterest expense:
Salaries and benefits
1,990,109
1,789,700
7,716,276
7,341,502
Occupancy and equipment
320,824
314,274
1,270,996
1,247,099
Professional
122,245
146,533
482,039
473,020
Marketing
96,753
83,207
378,547
364,422
Deposit insurance premium
73,000
82,000
280,666
201,968
Regulatory assessment
10,344
8,090
41,379
32,780
Correspondent bank charges
23,388
21,641
93,273
87,714
Data processing
482,683
419,607
1,866,798
1,655,966
Printing, postage and supplies
65,701
57,018
285,133
278,285
Expense on life insurance
41,149
21,785
129,934
87,767
Contribution expense
9,501
8,876
50,382
49,000
Expense on REO
(139
)
2,837
5,683
9,377
Other
405,714
393,378
1,623,675
1,603,767
Total noninterest expense
3,641,272
3,348,946
14,224,781
13,432,667
Income before income taxes
1,160,513
1,406,222
4,396,426
6,421,650
Income tax expense
42,948
63,249
306,949
723,754
Net income
$
1,117,565
$
1,342,973
$
4,089,477
$
5,697,896
FFW Corporation Selected Financial Information
Key Balances and Ratios
Three Months Ended June 30
Twelve Months Ended June 30
2024
2023
2024
2023
Unaudited
Unaudited
Per common share data:
Earnings
$
0.99
$
1.19
$
3.63
$
5.03
Diluted earnings
$
0.99
$
1.19
$
3.63
$
5.03
Dividends paid
$
0.29
$
1.53
$
1.16
$
2.37
Average shares issued and outstanding
1,126,520
1,126,522
1,126,879
1,131,761
Shares outstanding end of period
1,126,243
1,126,357
1,126,243
1,126,357
Supplemental data:
Net interest margin **
2.66
%
2.85
%
2.69
%
3.15
%
Return on average assets ***
0.80
%
0.99
%
0.74
%
1.07
%
Return on average common equity ***
9.41
%
11.30
%
8.78
%
12.26
%
June 30
June 30
2024
2023
Nonperforming assets *
$
4,044,082
$
2,065,381
Repossessed assets
$
1,250
$
109,596
* Includes non-accruing loans, accruing loans delinquent more than 90 days and repossessed assets ** Yields reflected have not been computed on a tax equivalent basis *** Annualized
FOR MORE INFORMATION Contact: Kirsten Pendarvis, Treasurer, at (260) 563-3185