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Malaga Financial Corporation Reports Earnings for the First Nine Months of 2025
Malaga Financial Corporation Reports Earnings for the First Nine Months of 2025.
About this update from Malaga Financial Corp.
[{"type":"text","content":"\r\n\r\n \r\n \r\n Malaga Financial Corporation Reports Earnings for the First Nine Months of 2025\r\n \r\n \r\n\r\n\r\nMalaga Financial Corporation Reports Earnings for the First Nine Months of 2025\r\n\r\n\r\n\r\n\r\n\r\nPALOS VERDES ESTATES, Calif., Oct. 09, 2025 (GLOBE NEWSWIRE) -- Malaga Financial Corporation “Company” (OTCIQ:MLGF), the parent company of Malaga Bank FSB, today reported that net income for the nine months ended September 30, 2025 was $16,431,000 ($1.74 basic and fully diluted earnings per share) compared to $17,339,000 ($1.84 basic and fully diluted earnings per share, as adjusted for the stock dividend declared on November 15, 2024) for the same period ended September 30, 2024, a decrease of $908,000 or 5%. This decrease was in part a result of the one-time Employment Retention Credit (ERC) credit of $500,000 reported as non-operating income in 2024. Net income for the quarter ended September 30, 2025, was $5,481,000 ($0.58 basic and fully diluted earnings per share), a decrease of $67,000 or 1% from net income of $5,548,000 ($0.59 basic and fully diluted earnings per share, as adjusted for the stock dividend declared on November 15, 2024) for the quarter ended September 30, 2024. For the first nine months of 2025, the Company’s annualized return on average equity was 10.15% and the annualized return on average assets was 1.57%. Net interest income totaled $10,929,000 in the third quarter of 2025, a decrease of $115,000 or 1% from the same period in 2024. This resulted primarily from a decrease in the interest rate spread from 2.95% to 2.88%, offset partially by an increase in excess of interest-earning assets over interest-bearing liabilities of $18.2 million. The decrease in the interest rate spread is primarily attributable to an increase of 0.10% in rate paid on average interest-bearing liabilities offset by an increase of 0.03% in yield on average interest-earning assets. Other operating income increased $1,000 in the third quarter of 2025 to $218,000 from $217,000 for the same period in 2024. In the third quarter of 2025, the Company collected IRS refund of $930,000 related to the 2024 ERC and recorded $145,000 in related net interest income. Operating expenses increased 1% in the third quarter of 2025 to $3,445,000 from $3,427,000 in the third quarter of 2024. The increase is pri...