Business
Broadway Financial Corporation Announces Results for 3rd Quarter 2019
LOS ANGELES--(BUSINESS WIRE)-- Broadway Financial Corporation (the “Company”) (The Nasdaq Stock Market LLC: BYFC), parent company of Broadway Federal Bank,
About this update from Broadway Financial Corporation
[{"type":"text","content":" LOS ANGELES--(BUSINESS WIRE)--\nBroadway Financial Corporation (the “Company”) (The Nasdaq Stock Market LLC: BYFC), parent company of Broadway Federal Bank, f.s.b. (the “Bank”), today reported a net loss of $279 thousand, or ($0.01) per diluted share, for the third quarter of 2019, compared to net income of $751 thousand, or $0.03 per diluted share, for the third quarter of 2018.\n\n\nResults declined primarily because of a change in the loan loss provision; during the third quarter of 2019 the Bank recorded a loan loss provision of $47 thousand whereas during the third quarter of 2018 the Bank recorded a loan loss provision recapture of $1.0 million. In addition, during the third quarter of 2019, the Company recorded an increase of $343 thousand in non-interest expense, primarily due to higher professional services fees and stock related compensation costs, and a decrease of $112 thousand in net interest income, primarily due to the flat yield curve, which compressed net interest margins. The effects of these changes were partially offset by a decrease of $508 thousand in income tax expense.\n\n\nFor the nine months ended September 30, 2019, the Company reported a net loss of $137 thousand, or ($0.01) per diluted share, compared to net income of $540 thousand, or $0.02 per diluted share, for the nine months ended September 30, 2018.\n\n\nThe results declined for the nine months ended September 30, 2019 primarily because of a decrease of $699 thousand in the loan loss provision recapture. Also, results for the nine months were impacted by an increase of $470 thousand in non-interest expense, and a decrease of $183 thousand in net interest income compared to the prior year period. The effects of these changes were partially offset by a decrease of $497 thousand in income tax expense. The increase in non-interest expense was primarily due to increases in professional services fees of $412 thousand, $360 thousand of which were related to non-recurring matters, and compensation costs of $256 thousand, primarily related to stock related compensation, offset by a decline in REO expense of $106 thousand, a decrease in marketing expense of $88 thousand, and a decline in other categories of expenses. The decrease in net interest income was primarily caused by the flat yield curve, which compressed margins.\n\n\nChief Executive Officer, ...