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false 0001303942 0001303942 2024-07-31 2024-07-31
 
 
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
 
 
FORM 8-K
 
CURRENT REPORT
 
PURSUANT TO SECTION 13 OR 15(D) OF
THE SECURITIES EXCHANGE ACT OF 1934
 
Date of Report (Date of earliest event reported):  July 31, 2024
 
 
 
BANKFINANCIAL CORPORATION
(Exact Name of Registrant as Specified in Charter)
 
 
 
Maryland
0-51331
75-3199276
(State or Other Jurisdiction
of Incorporation)
(Commission
File No.)
(I.R.S. Employer
Identification No.)
 
 
 
 
60 North Frontage Road, Burr Ridge, Illinois
(Address of Principal Executive Offices)
60527
(Zip Code)
 
 
Registrant’s telephone number, including area code: (800) 894-6900
 
Not Applicable
(Former name, former address and former fiscal year, if changed since last report) 
 
 
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
 
☐
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
Securities registered pursuant to Section 12(b) of the Act:
 
Title of each class
 
Trading
Symbol(s)
 
Name of each exchange on which registered
Common Stock, par value $0.01 per share
 
BFIN
 
The NASDAQ Stock Market LLC
 
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
 
Emerging growth company ☐
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
 
 
 
 
 
 
2.02 Results of Operations and Financial Condition.
 
BankFinancial Corporation (the “Company”) provides the following information with respect to operating results for the quarter ended June 30, 2024.
 
SECOND QUARTER 2024 OVERVIEW
 
We reported net income for the three months ended June 30, 2024 of $2.1 million, or $0.17 per common share. At June 30, 2024, we had total assets of $1.478 billion, total loans of $987.7 million, total deposits of $1.252 billion and stockholders' equity of $157 million.
 
In the second quarter of 2024, interest income increased by $310,000, primarily due to our investment of scheduled loan and lease portfolio payments into short-term liquidity investments, multi-family residential loans and commercial finance lines of credit.  Interest expense increased by $261,000, primarily due to higher interest rates paid on deposit accounts, as certain depositors sought to benefit from increases in short-term market rates.  Our tax-equivalent net interest margin increased to 3.67% from 3.59%.
 
Noninterest income decreased by $185,000,  primarily due to the reduction of seasonal captive insurance premium income and the absence of Subordinated Notes repurchases in the second quarter of 2024. This decrease was partially offset by increases in deposit fee income and trust department income.
 
Noninterest expense decreased by $631,000 due in part to decreases in compensation and benefits expense, office occupancy and equipment expenses.  Nonperforming assets expenses decreased by $332,000, partially offset by a $218,000 loss recorded on disposition of other foreclosed assets.
 
Cash & Cash Equivalent Assets
 
For the quarter ended June 30, 2024, cash and cash equivalent assets represented 10% of total assets, compared to 9% of total assets at March 31, 2024.
 
Investment Securities Portfolio
 
For the quarter ended June 30, 2024, total investment securities decreased by $16.6 million due to $27.4 million in maturities and redemptions of U.S. Treasury Notes and U.S. government-sponsored agency securities. The investment securities portfolio had a weighted-average term to maturity of 1.24 years as of June 30, 2024, with an after-tax unrealized loss of $1.7 million or 1.1% of Tier 1 capital.  We reinvested $10.0 million in new U.S. government-sponsored agency securities to improve our interest rate risk balance by reducing our exposure to declining interest rates over a 2-year time horizon. 
 
Loan Portfolio
 
Our loan portfolio declined by $20.2 million in the second quarter of 2024.  Multi-family residential loans increased by $1.5 million (0.3%) primarily due to higher loan originations.  Commercial finance balances increased by $6.0 million (6.9%) primarily due to higher line of credit utilization.  Equipment finance balances declined by $27.1 million (9.9%) primarily due to scheduled repayments, inclusive of $13.7 million of scheduled payments on federal, state and local government equipment finance transactions, partially offset by higher originations of corporate equipment finance transactions.  The average yield on our loan portfolio increased to 5.32% due to the scheduled repayments of lower-yielding equipment finance transactions during the quarter.
 
Asset Quality
 
The ratio of nonperforming assets to total assets remained at 1.54% at June 30, 2024 and March 31, 2024, inclusive of two U.S. Government equipment finance transactions totaling $18.9 million.  Excluding these two U.S. Government transactions, our ratio of nonperforming assets to total assets would have been 0.26% at June 30, 2024.  Past due trends improved, and nonperforming asset resolution activity continued to accelerate during the second quarter of 2024. 
 
Our allowance for credit losses increased to 0.82% of total loans at June 30, 2024, compared to 0.81% at March 31, 2024.
 
Deposit Portfolio
 
Total deposits decreased by $7.0 million (0.6%) primarily due to balance volatility involving certain higher-balance retail and commercial depositors, including public-funds depositors.  Our cost of total retail and commercial deposits increased to 1.87% during the second quarter of 2024 from 1.75% at March 31, 2024.  Core deposits represented 82% of total deposits, with noninterest-bearing demand deposits representing 21% of total deposits at June 30, 2024.  Total commercial deposits were 22% of total deposits at June 30, 2024 and March 31, 2024.  FDIC-insured deposits were 83.43% of total deposits and collateralized public funds deposits were 1.57% of total deposits as of June 30, 2024.
 
Capital Adequacy
 
The Company’s capital position remained strong, with a Tier 1 leverage ratio of 10.75% at June 30, 2024.  The book value of the Company’s common shares increased to $12.64 at June 30, 2024 from $12.52 at March 31, 2024.
 
 
Item 7.01. Regulation FD Disclosure.
 
The Company provides the following information with respect to projected operations for the remainder of the year ending December 31, 2024.
 
SECOND HALF 2024 OUTLOOK 
 
Cash & Cash Equivalent Assets
 
For the second half of 2024, we expect cash and cash equivalent assets to be between 8% and 12% of total assets. 
 
Investment Securities Portfolio
 
For the second half of 2024, we expect our investment securities portfolio balance to decline between 5% and 15% as we utilize maturing investment securities proceeds for commercial credit originations, commercial finance line utilization, maintaining short-term liquidity, funding deposit withdrawals or repayments of Federal Home Loan Bank advances.
 
 
 
 
 
 
 
 
Loan Portfolio
 
Based on current loan origination pipelines, scheduled repayments and expected market conditions, we expect our loan portfolio to increase between 1% and 6% during the second half of 2024; however, increases in prepayment rates on multi-family residential real estate loans or delays in new loan origination closings (particularly within the equipment finance transaction pipeline) could affect these expected results.  We will continue to focus on originating corporate and middle-market equipment finance transactions, commercial finance credit facilities, small business credit facilities and, to a lesser extent, multi-family residential and commercial real estate loans to improve the yield on the loan portfolio while maintaining an appropriate balance of liquidity and interest rate risk. 
 
Deposit Portfolio
 
For the second half of 2024, total deposit balances are expected to decline between 0% to 2% principally due to balance volatility by certain higher-balance commercial deposit customers and declines in public-fund deposit balances. We expect our cost of deposits to increase by 0.10% during the second half of 2024.   
 
Net Interest Income
 
For the second half of 2024, based on the expected activity in the loan, deposit and investment portfolios, we expect our net interest income before provision for credit losses to increase between 1% and 2% compared to the first half of 2024.
 
Noninterest Income
 
For the second half of 2024, we expect noninterest income to grow between 5% and 10% compared to the first half of 2024 due to higher revenues from retail deposit services, commercial/treasury services, trust services and bank-owned life insurance.
 
Noninterest Expense
 
For the second half of 2024, we expect noninterest expense to further decline between 3% and 6% compared to the first half of 2024 as we achieve additional operating efficiencies.
 
 
Item 8.01. Other Events.

On , the Company filed its Quarterly Report on Form 10-Q for the second quarter ended June 30, 2024 and issued the Quarterly Financial and Statistical Supplement for the latest five quarters. The Quarterly Financial and Statistical Supplement is included as Exhibit 99.1 to this report.
 
This current report includes “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. A variety of factors could cause BankFinancial’s actual results to differ from those expected at the time of this release. For a discussion of some of the factors that may cause actual results to differ from expectations, please refer to BankFinancial’s most recent Annual Report on Form 10-K as filed with the SEC, as supplemented by subsequent filings with the SEC. Investors are urged to review all information contained in these reports, including the risk factors discussed therein. Copies of these filings are available at no cost on the SEC's web site at www.sec.gov or on BankFinancial’s web site at www.bankfinancial.com. Forward-looking statements speak only as of the date they are made,  and we do not undertake to update them to reflect changes.
 
 
Item 9.01    Financial Statements and Exhibits.
 
 
(a)
Not Applicable.
 
(b)
Not Applicable.
 
(c)
Not Applicable.
 
(d)
Exhibits.
 
Exhibit No.
Description
 
Quarterly Financial and Statistical Supplement
  104 Cover Page Interactive Data File (embedded within the Inline XBRL document).
 
 
 
 
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, hereunto duly authorized.
 
 
 
 
BANKFINANCIAL CORPORATION
 
 
 
 
 
 
 
Dated:
 July 31, 2024
 
By:
/s/ F. Morgan Gasior
 
 
 
 
 
F. Morgan Gasior
 
 
 
 
 
Chairman of the Board, Chief Executive Officer and President
 
 
ex_676277.htm

Exhibit 99.1

 

 

 

BANKFINANCIAL CORPORATION

 

Second QUARTER 2024

 

QUARTERLY FINANCIAL AND STATISTICAL SUPPLEMENT

 

FOR THE LATEST FIVE QUARTERS

 

 

Note: Certain reclassifications have been made in the prior period’s financial statements and reflected in the Selected Quarterly Financial and Statistical Data tables to conform to the current period’s presentation.

 

The information and statistical data contained herein have been prepared by BankFinancial Corporation and have been derived or calculated from selected unaudited quarterly and period–end historical financial statements prepared in accordance with accounting principles generally accepted in the United States. BankFinancial Corporation is under no obligation to update, keep current, or continue to provide the information contained herein. This information is provided solely for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any securities or establish any business relationships with BankFinancial Corporation or its subsidiary.

 

 

 
 
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters
(Dollars in thousands; except per share) – (Unaudited)

 

 

    2024     2023  
   

IIQ

    

IQ

    

IVQ

    

IIIQ

    

IIQ

  

PERFORMANCE MEASUREMENTS

                                        

Return on assets (ratio of net income to average total assets) (1)

     0.58 %     0.46 %     0.56 %     0.63 %     0.61 %

Return on equity (ratio of net income to average equity) (1)

     5.44       4.38       5.37       6.16       6.02  

Net interest rate spread (1)

     3.11       3.07       3.01       3.16       3.23  

Net interest margin (TEB) (1) (2)

     3.67       3.59       3.48       3.57       3.58  

Efficiency ratio (3)

     80.39       84.11       77.39       76.02       79.11  

Noninterest expense to average total assets (1)

     3.03       3.17       2.92       2.86       2.94  

Average interest–earning assets to average interest–bearing liabilities

     134.44       135.89       136.25       136.78       136.86  

Number of full service offices

     18       18       18       18       18  

Employees (full time equivalents)

     206       217       205       200       198  
                                         

SUMMARY STATEMENT OF FINANCIAL CONDITION

                                        

ASSETS

                                        

Cash and due from other financial institutions

   $ 19,505     $ 18,533     $ 19,781     $ 19,691     $ 20,401  

Interest-bearing deposits in other financial institutions

     132,273       113,907       158,703       151,870       94,930  

Interest-bearing time deposits in other financial institutions

     34,913       30,748       29,513       2,725       2,977  

Securities, at fair value

     222,906       239,549       153,203       155,700       166,670  

Loans receivable, net

     987,745       1,007,980       1,050,761       1,105,604       1,170,767  

Foreclosed assets, net

     1,898       2,332       2,777       902       950  

Stock in Federal Home Loan Bank and Federal Reserve Bank, at cost

     7,490       7,490       7,490       7,490       7,490  

Premises held-for-sale

     —       —       523       540       540  

Premises and equipment, net

     22,765       22,614       22,950       22,914       22,957  

Bank-owned life insurance

     18,291       18,382       18,469       18,556       18,644  

Deferred taxes

     4,019       4,159       4,512       4,979       5,476  

Other assets

     25,885       14,364       18,702       14,483       14,894  

Total assets

   $ 1,477,690     $ 1,480,058     $ 1,487,384     $ 1,505,454     $ 1,526,696  
                                         

LIABILITIES AND STOCKHOLDERS’ EQUITY

                                        

Deposits

   $ 1,252,273     $ 1,259,286     $ 1,261,623     $ 1,275,828     $ 1,303,720  

Borrowings

     25,000       25,000       25,000       25,000       25,000  

Subordinated notes, net of unamortized issuance costs

     18,715       18,705       19,678       19,667       19,656  

Other liabilities

     24,224       21,036       25,700       31,204       26,017  

Total liabilities

     1,320,212       1,324,027       1,332,001       1,351,699       1,374,393  

Stockholders’ equity

     157,478       156,031       155,383       153,755       152,303  

Total liabilities and stockholders’ equity

   $ 1,477,690     $ 1,480,058     $ 1,487,384     $ 1,505,454     $ 1,526,696  

 

(1)

Annualized
(2) On a tax equivalent basis (“TEB”) assuming a federal income tax rate of 21% and an average state income tax rate of 9.5%.

(3)

The efficiency ratio represents noninterest expense, divided by the sum of net interest income and noninterest income.

 

 

 

Page 1
 
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters

(Dollars in thousands; except per share) – (Unaudited)

 

 

    2024     2023  
   

IIQ

    

IQ

    

IVQ

    

IIIQ

    

IIQ

  

SUMMARY STATEMENT OF OPERATIONS

                                        

Total interest income

   $ 17,655     $ 17,345     $ 16,923     $ 16,894     $ 16,178  

Total interest expense

     5,079       4,818       4,491       3,940       3,235  

Net interest income

     12,576       12,527       12,432       12,954       12,943  

Provision for (recovery of) credit losses

     (122 )     12       317       136       (188 )

Net interest income after provision for (recovery of) credit losses

     12,698       12,515       12,115       12,818       13,131  

Noninterest income

     1,276       1,461       1,625       1,240       1,239  

Noninterest expense

     11,135       11,766       10,879       10,790       11,220  

Income before income tax

     2,839       2,210       2,861       3,268       3,150  

Income tax expense

     705       500       782       899       838  

Net income

   $ 2,134     $ 1,710     $ 2,079     $ 2,369     $ 2,312  

Basic and diluted earnings per common share

   $ 0.17     $ 0.14     $ 0.17     $ 0.19     $ 0.18  
                                         

NONINTEREST INCOME AND EXPENSE

                                        

Noninterest Income

                                        

Deposit service charges and fees

   $ 834     $ 809     $ 836     $ 836     $ 830  

Loan servicing fees

     97       156       164       98       141  

Trust insurance commissions and annuities income

     349       450       347       290       276  

(Loss) gain on sale of premises and equipment

     (9 )     (75 )     —       —       13  

Valuation adjustment on bank premises held-for-sale

     —       —       (17 )     —       (32 )

Loss on bank-owned life insurance

     (91 )     (87 )     (87 )     (88 )     (87 )

Gain on repurchase of Subordinated notes

     —       107       —       —       —  

Other

     96       101       382       104       98  

Total noninterest income

   $ 1,276     $ 1,461     $ 1,625     $ 1,240     $ 1,239  
                                         

Noninterest Expense

                                        

Compensation and benefits

   $ 5,943     $ 6,052     $ 5,679     $ 5,369     $ 5,629  

Office occupancy and equipment

     1,861       2,241       1,937       2,046       2,031  

Advertising and public relations

     112       90       139       171       262  

Information technology

     1,049       1,002       974       944       965  

Professional fees

     382       454       292       366       355  

Supplies, telephone, and postage

     292       286       289       311       295  

FDIC insurance premiums

     144       161       207       222       282  

Other

     1,352       1,480       1,362       1,361       1,401  

Total noninterest expense

   $ 11,135     $ 11,766     $ 10,879     $ 10,790     $ 11,220  

 

 

Page 2
 
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters

(Dollars in thousands; except per share) – (Unaudited)

 

 

    2024     2023  
   

IIQ

    

IQ

    

IVQ

    

IIIQ

    

IIQ

  

LOANS

                                        

One–to–four family residential real estate

   $ 17,707     $ 18,247     $ 18,945     $ 19,233     $ 20,448  

Multi-family residential real estate

     527,542       526,087       527,460       528,251       542,165  

Nonresidential real estate

     109,635       110,319       118,016       117,641       120,505  

Commercial loans and leases

     339,216       360,328       393,321       447,687       495,520  

Consumer

     1,787       1,248       1,364       1,351       1,355  
      995,887       1,016,229       1,059,106       1,114,163       1,179,993  

Allowance for credit losses

     (8,142 )     (8,249 )     (8,345 )     (8,559 )     (9,226 )

Loans, net

   $ 987,745     $ 1,007,980     $ 1,050,761     $ 1,105,604     $ 1,170,767  
                                         

LOAN ORIGINATIONS (1)

                                        

One–to–four family residential real estate

   $ 268     $ 173     $ 758     $ 137     $ 128  

Multi-family residential real estate

     14,177       5,561       6,226       5,902       6,686  

Nonresidential real estate

     34       —       3,183       834       200  

Commercial loans

     171,430       158,172       145,930       172,081       157,704  

Equipment finance

     6,207       3,427       8,141       14,442       7,290  

Consumer

     1,184       471       617       514       539  
    $ 193,300     $ 167,804     $ 164,855     $ 193,910     $ 172,547  

Weighted average interest rate

     8.76 %     9.04 %     9.09 %     9.11 %     9.24 %
                                         

LOAN PAYMENTS and PAYOFFS (2)

                                        

One–to–four family residential real estate

   $ 823     $ 852     $ 1,049     $ 1,409     $ 1,139  

Multi-family residential real estate

     12,387       6,931       7,336       19,784       9,095  

Nonresidential real estate

     711       7,684       3,278       3,253       2,934  

Commercial loans

     165,347       161,429       148,964       176,493       169,402  

Equipment finance

     33,140       34,669       55,433       56,844       43,567  

Consumer

     682       612       565       529       675  
    $ 213,090     $ 212,177     $ 216,625     $ 258,312     $ 226,812  

Weighted average interest rate

     8.16 %     8.25 %     7.85 %     7.86 %     8.35 %

 

(1)

Loan originations include purchased loans, draws on revolving lines of credit and exclude loan renewals.

(2)

Loan payments and payoffs exclude loan renewals.

 

Page 3
 
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters

(Dollars in thousands; except per share) – (Unaudited)

 

 

    2024     2023  
   

IIQ

    

IQ

    

IVQ

    

IIIQ

    

IIQ

  

CREDIT QUALITY:

                                        

Nonperforming Assets:

                                        

Nonaccrual loans:

                                        

One–to–four family residential real estate

   $ 39     $ 34     $ 37     $ 40     $ 45  

Multi–family residential real estate

     —       —       —       —       148  

Nonresidential real estate

     380       —       —       —       —  

Equipment finance

     20,395       20,475       21,294       23,468       23,965  
      20,814       20,509       21,331       23,508       24,158  
                                         

Loans past due over 90 days still accruing

     —       —       1,007       6,245       —  
                                         

Foreclosed assets, net

                                        

Other real estate owned

     —       —       405       468       472  

Other foreclosed assets

     1,898       2,332       2,372       434       478  
      1,898       2,332       2,777       902       950  
                                         

Nonperforming assets

   $ 22,712     $ 22,841     $ 25,115     $ 30,655     $ 25,108  
                                         

Asset Quality Ratios

                                        

Nonperforming assets to total assets

     1.54 %     1.54 %     1.69 %     2.04 %     1.64 %

Nonperforming loans to total loans (1)

     2.09       2.02       2.11       2.67       2.05  

Nonperforming commercial-related loans to total commercial-related loans (2)

     2.13       2.05       2.15       2.72       2.08  

Nonperforming residential and consumer loans to total residential and consumer loans

     0.20       0.17       0.18       0.19       0.21  

Allowance for credit losses to nonperforming loans

     39.12       40.22       37.36       28.77       38.19  
                                         

Concentrations of Credit

                                        

Commercial real estate for FFIEC concentration limits

   $ 621,628     $ 620,694     $ 624,575     $ 624,469     $ 641,022  

% FFIEC total capital

     359.51 %     364.28 %     370.83 %     363.55 %     372.44 %
                                         

Multi–family mortgage loans - 50% risk based capital qualified (included above)

   $ 269,868     $ 297,958     $ 315,179     $ 248,128     $ 175,902  

% FFIEC total capital

     156.07 %     174.87 %     187.13 %     144.45 %     102.20 %
                                         

 

(1)

Nonperforming loans include nonaccrual loans and loans past due 90 days and still accruing. 

(2)

Commercial-related loans include multi-family mortgage, nonresidential real estate, and commercial loans and leases.

 

Page 4
 
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters

(Dollars in thousands; except per share) – (Unaudited)

 

 

    2024     2023  
   

IIQ

    

IQ

    

IVQ

    

IIIQ

    

IIQ

  

SUBSTANDARD PERFORMING LOANS

                                        

One–to–four family residential real estate

   $ 167     $ 204     $ 272     $ 282     $ 272  

Multi–family residential real estate

     1,421       —       —       —       —  

Nonresidential real estate

     457       465       —       —       —  

Commercial loans and leases

     3,154       3,606       4,056       5,685       3,759  

Consumer

     3       5       3       3       5  
    $ 5,202     $ 4,280     $ 4,331     $ 5,970     $ 4,036  
                                         

ALLOWANCE FOR CREDIT LOSSES

                                        

Beginning balance

   $ 8,249     $ 8,345     $ 8,559     $ 9,226     $ 10,032  

Charge–offs:

                                        

One-to-four family residential real estate

     —       —       (1 )     —       —  

Commercial loans and leases

     (10 )     (158 )     (570 )     (889 )     (638 )

Consumer

     (12 )     (13 )     (9 )     (14 )     (7 )
      (22 )     (171 )     (580 )     (903 )     (645 )

Recoveries:

                                        

One-to-four family residential real estate

     2       3       1       32       7  

Multi-family residential real estate

     4       6       5       4       6  

Commercial loans and leases

     7       5       50       20       6  
      13       14       56       56       19  
                                         

Net charge–offs

     (9 )     (157 )     (524 )     (847 )     (626 )

Provision for (recovery of) credit losses - loans

     (98 )     61       310       180       (180 )

Ending balance

   $ 8,142     $ 8,249     $ 8,345     $ 8,559     $ 9,226  
                                         

Allowance for credit losses to total loans

     0.82 %     0.81 %     0.79 %     0.77 %     0.78 %

Net charge–offs ratio (1)

     —       (0.06 )     (0.19 )     (0.30 )     (0.21 )

 

(1)

Annualized

 

Page 5
 
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters

(Dollars in thousands; except per share) – (Unaudited)

 

 

    2024     2023  
   

IIQ

    

IQ

    

IVQ

    

IIIQ

    

IIQ

  

DEPOSITS

                                        

Noninterest–bearing demand

   $ 262,585     $ 256,698     $ 260,851     $ 258,318     $ 278,170  

Interest–bearing NOW accounts

     287,668       297,010       306,548       326,874       349,374  

Money market accounts

     311,276       309,695       297,074       291,154       271,194  

Savings deposits

     167,250       171,521       174,759       178,318       190,277  

Certificates of deposit - retail

     223,494       224,362       222,391       220,915       214,456  

Certificates of deposit - wholesale

     —       —       —       249       249  
    $ 1,252,273     $ 1,259,286     $ 1,261,623     $ 1,275,828     $ 1,303,720  
                                         

SELECTED AVERAGE BALANCES

                                        

Total average assets

   $ 1,470,076     $ 1,484,332     $ 1,492,759     $ 1,511,422     $ 1,526,246  

Total average interest–earning assets

     1,399,280       1,415,175       1,425,504       1,444,259       1,459,369  

Average loans

     1,010,123       1,031,256       1,088,172       1,141,788       1,206,175  

Average securities

     242,591       186,339       161,772       167,046       173,350  

Average stock in FHLB & FRB

     7,490       7,490       7,490       7,490       7,490  

Average other interest–earning assets

     139,076       190,090       168,070       127,935       72,354  

Total average interest–bearing liabilities

     1,040,842       1,041,381       1,046,249       1,055,874       1,066,332  

Average interest–bearing deposits

     997,132       996,741       1,001,576       1,011,212       1,021,023  

Average borrowings and Subordinated notes

     43,710       44,640       44,673       44,662       45,309  

Average stockholders’ equity

     156,785       156,115       154,927       153,796       153,703  
                                         

SELECTED YIELDS AND COST OF FUNDS (1)

                                        

Total average interest–earning assets

     5.07 %     4.93 %     4.71 %     4.64 %     4.45 %

Average loans

     5.32       5.21       4.99       4.96       4.77  

Average securities (TEB) (2)

     4.09       2.96       2.12       1.95       2.03  

Average other interest–earning assets

     5.51       5.51       5.48       5.40       5.09  

Total average interest–bearing liabilities

     1.96       1.86       1.70       1.48       1.22  

Average interest–bearing deposits

     1.87       1.75       1.59       1.36       1.08  

Average cost of total deposits

     1.49       1.39       1.26       1.07       0.85  

Average cost of retail and commercial deposits

     1.87       1.75       1.59       1.36       1.08  

Average cost of wholesale deposits, borrowings and Subordinated notes

     4.19       4.34       4.18       4.18       4.21  

Average cost of funds

     1.58       1.49       1.36       1.18       0.96  

Net interest rate spread

     3.11       3.07       3.01       3.16       3.23  

Net interest margin (TEB) (2)

     3.67       3.59       3.48       3.57       3.58  

 

(1)

Annualized
(2) On a tax equivalent basis assuming a federal income tax rate of 21% and an average state income tax rate of 9.5%.

 

Page 6
 
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters

(Dollars in thousands; except per share) – (Unaudited)

 

 

    2024     2023  
   

IIQ

    

IQ

    

IVQ

    

IIIQ

    

IIQ

  

CAPITAL RATIOS

                                        

BankFinancial Corporation (1)

                                        

Equity to total assets (end of period)

     10.66 %     10.54 %     10.45 %     10.21 %     9.98 %

Risk–based total capital ratio

     20.52       20.73       20.70       19.13       17.75  

Common Tier 1 (CET1)

     17.60       17.75       17.66       16.30       15.05  

Risk–based tier 1 capital ratio

     17.60       17.75       17.66       16.30       15.05  

Tier 1 leverage ratio

     10.75       10.59       10.54       10.38       10.23  

Tier 1 capital

   $ 157,984     $ 157,062     $ 157,246     $ 156,780     $ 156,050  

BankFinancial, NA (2)

                                        

Risk–based total capital ratio

     19.31 %     19.30 %     18.96 %     17.90 %     16.64 %

Common Tier 1 (CET1)

     18.46       18.43       18.13       17.10       15.83  

Risk–based tier 1 capital ratio

     18.46       18.43       18.13       17.10       15.83  

Tier 1 leverage ratio

     11.32       11.03       10.85       10.93       10.80  

Tier 1 capital

   $ 165,368     $ 162,715     $ 161,037     $ 164,172     $ 163,806  
                                         

COMMON STOCK AND DIVIDENDS

                                        

Stock Prices:

                                        

Close

   $ 10.29     $ 10.50     $ 10.26     $ 8.62     $ 8.18  

High

     10.70       11.12       10.76       9.11       8.94  

Low

     9.60       9.65       8.31       7.98       7.17  

Common shares outstanding

     12,460,678       12,460,678       12,475,881       12,547,390       12,600,478  

Book value per share

   $ 12.64     $ 12.52     $ 12.45     $ 12.25     $ 12.09  

Cash dividends declared on common stock

   $ 0.10     $ 0.10     $ 0.10     $ 0.10     $ 0.10  

Dividend payout ratio

     58.39 %     72.94 %     60.33 %     53.16 %     54.88 %

Stock repurchases

   $ —     $ 156     $ 676     $ 471     $ 744  

Stock repurchases – shares

     —       15,203       71,509       53,088       93,515  
                                         

EARNINGS PER SHARE COMPUTATIONS

                                        

Net income

   $ 2,134     $ 1,710     $ 2,079     $ 2,369     $ 2,312  

Weighted average basic and dilutive common shares outstanding

     12,460,678       12,468,052       12,526,673       12,578,494       12,667,129  

Basic and diluted earnings per common share

   $ 0.17     $ 0.14     $ 0.17     $ 0.19     $ 0.18  

 

(1)

As a small bank holding company, the Company is exempt from the Federal Reserve Board's risk-based capital and leverage rules.  BankFinancial Corporation capital data is included for informational purposes only.  

(2)

As a qualifying community bank pursuant to Section 201 of the Economic Growth, Regulatory Relief and Consumer Protection Act of 2018, the Bank elected to adopt the Community Bank Leverage Ratio requirement in 2020. The Community Bank Leverage Ratio is equal to the Bank's Tier 1 Leverage Ratio.  Other BankFinancial, NA capital data is included for informational purposes only.  

 

Page 7