WORTHINGTON, Ohio, March 22, 2016 /PRNewswire/ -- Central Federal
Corporation (NASDAQ: CFBK) (the "Company") announced that net
income for the three months ended December
31, 2015 totaled $3.4 million
and increased $3.1 million, compared
to net income of $309,000 for the
three months ended December 31,
2014. The increase in net income was due to a $3.2 million credit to income tax expense as a
result of the reversal of a deferred tax valuation allowance, a
$25,000 decrease in provision
expense, and a $170,000 decrease in
noninterest expense, partially offset by a $238,000 decrease in noninterest income.
Net income attributable to common stockholders for the three
months ended December 31, 2015,
totaled $3.2 million, or $0.15 per diluted common share, and increased
$3.1 million, compared to net income
attributable to common stockholders of $121,000, or $0.01
per diluted common share, for the three months ended December 31, 2014. For the three months
ended December 31, 2015, preferred
dividends on the Series B Preferred Stock and accretion of discount
reduced net income attributable to common stockholders by
$214,000 compared to $188,000 for the three months ended December 31, 2014.
Net income for the twelve months ended December 31, 2015 totaled $4.5 million and increased $4.0 million compared to net income of
$479,000 for the twelve months ended
December 31, 2014. The increase
in net income was due to a $3.2
million credit to income tax expense as a result of the
reversal of a deferred tax valuation allowance, a $1.1 million increase in net interest income and
a $28,000 decrease in provision
expense, partially offset by a $144,000 decrease in noninterest income and a
$154,000 increase in noninterest
expenses.
Net income attributable to common stockholders totaled
$3.6 million, or $0.20 per diluted common share, for the year
ended December 31, 2015, compared to
net income attributable to common stockholders of $58,000, or $0.00
per diluted common share, for the year ended December 31, 2014. The dividend and
accretion of discount on the Series B preferred stock decreased the
net income attributable to the common stockholders by $857,000 for the year ended December 31, 2015 compared to $421,000 for the year ended December 31, 2014 (during which the Series B
Preferred Stock was outstanding for only approximately six
months).
Timothy T. O'Dell, CEO,
commented, "We are pleased with our results for the fourth quarter
and for the progress achieved in 2015, particularly with respect to
our earnings trajectory and improvements in credit quality, along
with loan and core deposit growth which compares favorably to
peers. Our business and loan pipelines are solid which we
believe should translate into continued quality loans and deposit
business along with revenue growth. We continue to progress
in our evolution into a full service Business and Commercial Bank
model. Our Business model which focuses on building long term
relationships with entrepreneurs and closely held businesses along
with providing direct access to decision makers has been well
received by business customers. We believe that we are well
positioned as we move forward to continue to attract quality
business and business customers."
Overview of Results
Net interest income. Net interest income
totaled $2.5 million for the quarter
ended December 31, 2015 and decreased
$30,000, or 1.2%, compared to
$2.5 million for the quarter ended
December 31, 2014. The decrease
in net interest income was primarily due to a $124,000, or 4.1%, increase in interest income,
offset by a $154,000, or 29.1%,
increase in interest expense. The increase in interest income
was primarily attributed to a $25.4
million, or 8.8%, increase in average interest-earning
assets outstanding, partially offset by a 18bps decrease in average
yield on interest-earning assets. The increase in interest
expense was primarily attributed to a $27.9
million, or 11.7%, increase in average interest-bearing
liabilities outstanding and a 14bps increase in the average cost of
funds on interest bearing liabilities. As a result, the net
interest margin of 3.13% for the quarter ended December 31, 2015 decreased 31bps compared to the
net interest margin of 3.44% for the quarter ended December 31, 2014.
Net interest income totaled $9.8
million for the year ended December
31, 2015 and increased $1.1
million, or 12.3%, compared to $8.7
million for the year ended December
31, 2014. The increase in net interest income was
primarily due to a $1.8 million, or
16.9%, increase in interest income, partially offset by a
$719,000, or 38.1%, increase in
interest expense. The increase in interest income was
primarily attributed to a $41.9
million, or 15.9%, increase in average interest-earnings
assets outstanding, and a 3bps increase in average yield on
interest-earning assets. The increase in interest expense was
attributed to a $39.0 million, or
17.7%, increase in average interest-bearing liabilities outstanding
and a 15bps increase in the average cost of funds on
interest-bearing liabilities. As a result, net interest
margin of 3.21% for the year ended December
31, 2015 decreased 10bps compared to the net interest margin
of 3.31% for the year ended December 31,
2014.
Robert E. Hoeweler, Chairman of
the Board, added "The fourth quarter of 2015, was our seventh
consecutive quarter of profitability since the recap was
accomplished. We feel extremely pleased with what our team
has been able to accomplish and look forward to capitalizing on the
business and growth opportunities ahead in 2016".
Provision for loan losses. The provision for
loan losses totaled $50,000 for the
quarter ended December 31, 2015 and
decreased $25,000, or 33.3%, compared
to $75,000 for the quarter ended
December 31, 2014. The decrease
in the provision for loan losses for the quarter ended December 31, 2015 was primarily due to a
continued decrease in historical loss rates, minimal charge-offs
for the quarter and continually improving coverage ratios.
Net recoveries for the quarter ended December 31, 2015 totaled $48,000 compared to net charge-offs of
$15,000 for the quarter ended
December 31, 2014. The ratio of
the ALLL to nonperforming loans improved to 464.6% as of
December 31, 2015.
The provision for loan losses totaled $250,000 for the twelve months ended December 31, 2015 and decreased $28,000, or 10.1%, compared to $278,000 for the twelve months ended December 31, 2014. The decrease in the
provision for loan losses for the year ended December 31, 2015 was primarily due to improved
credit quality, a continued decrease in historical loss rates, net
recoveries and improving coverage ratios. Net recoveries for
the year ended December 31, 2015
totaled $54,000 and decreased
$255,000 compared to net recoveries
of $309,000 for the year ended
December 31, 2014. The variance
in net recoveries is primarily due to a large commercial real
estate loan recovery in 2014.
Noninterest income. Noninterest income
for the quarter ended December 31,
2015 totaled $205,000 and
decreased $238,000, or 53.7%,
compared to $443,000 for the quarter
ended December 31, 2014. The decrease
was primarily due to a $212,000
decrease in net gains on sales of loans, partially offset by a
$28,000 increase in service charges
on deposit accounts. The decrease in the net gains on sales
of loans was primarily due to lower sales activity. The
increase in service charges on deposit accounts was related to
increased deposit growth and account relationships.
Noninterest income for the year ended December 31, 2015 totaled $1.3 million, and decreased $144,000, or 9.7%, compared to $1.5 million for the year ended December 31, 2014. The decrease was
primarily due to a $211,000 decrease
in net gains on sales of loans, partially offset by a $79,000 increase in service charges on deposit
accounts. The decrease in the net gains on sales of loans was
primarily due to lower sales activity. The increase in
service charges on deposit accounts was related to increased
deposit growth and account relationships.
Noninterest expense. Noninterest
expense decreased $170,000, or 6.7%,
and totaled $2.4 million for the
quarter ended December 31, 2015,
compared to $2.5 million for the
quarter ended December 31, 2014. The
decrease in noninterest expense during the three months ended
December 31, 2015 was primarily due
to a $66,000 decrease in professional
fees, a $50,000 decrease in
advertising and promotion expenses, and a $35,000 decrease in foreclosed asset related
expenses, partially offset by a $35,000 increase in salaries and benefit
expenses. The decrease in professional fees was due to lower
legal expenses incurred, and less reliance on consulting services
in the fourth quarter of 2015 since various projects had been
completed. Advertising and promotion expenses declined due to less
advertising incurred and the timing of promotional
activities. Foreclosed asset related expenses decreased
primarily due to higher costs during the fourth quarter of 2014 for
maintenance and light rehabilitation work. Salaries and
benefit expenses increased primarily due to an increase in
personnel in the credit administration and operations areas.
Noninterest expense for the year ended 2015 totaled $9.6 million and increased $154,000, or 1.6%, compared to the $9.5 million recognized in 2014. The
overall increase in operating expenses is primarily attributed to a
$308,000 increase in salaries and
employee benefits, a $157,000
increase in data processing expenses, and a $125,000 increase in loan expense, partially
offset by a $261,000 decrease in
professional fees and a $191,000
decrease in foreclosed asset related expenses. Salaries and benefit
expenses increased primarily due to an increase in personnel in the
credit administration, operations and treasury management
areas. The increase in data processing expenses was driven by
expanded information technology services associated with the
Company's growth and expansion, along with investments in our
infrastructure. The increase in loan expense was primarily
due to increased expenses incurred to obtain updated appraisals on
certain loans coupled with other related loan costs.
Professional fees decreased due to lower consulting fees than the
prior year as various projects were completed, while the decrease
in foreclosed asset expense was a result of lower maintenance costs
required from the prior year.
Balance Sheet Activity
General. Assets totaled $351.3 million at December
31, 2015 and increased $35.7
million, or 11.3%, from $315.6
million at December 31,
2014. The increase was primarily due to a $40.0 million increase in net loan balances,
partially offset by a $2.6 million
decrease in loans held for sale and a $2.3
million decrease in cash and cash equivalents.
Cash and cash equivalents. Cash and
cash equivalents totaled $25.9
million at December 31, 2015,
and decreased $2.3 million, or 8.2%,
from $28.2 million at December 31, 2014. The decrease in cash and
cash equivalents was primarily due to funding loan growth.
Securities. Securities available for sale
totaled $9.4 million at December 31, 2015, and decreased $1.1 million, or 10.3%, compared to $10.4 million at December
31, 2014. The decrease was due to maturities,
repayments and an early redemption of a $885,000 municipal security.
Loans. Net loans totaled $297.1 million at December
31, 2015, and increased $40.0
million, or 15.6%, from $257.1
million at December 31, 2014.
The increase was primarily due to a $30.5
million increase in single-family loan balances, a
$5.4 million increase in commercial
real estate loan balances, a $4.9
million increase in home equity lines of credit balances,
and a $1.0 million increase in
construction loan balances, partially offset by a $2.8 million decrease in commercial loan
balances. The increase in single-family residential loan
balances was primarily attributed to an increase in balances
associated with our Northpointe mortgage program. The
increase in home equity lines of credit, construction loans and
multi-family loans was due to increased sales activity, coupled
with draws on existing lines or construction loans. The
decline in commercial loan balances was primarily due to loan
repayments.
Allowance for loan losses (ALLL). The
allowance for loan losses totaled $6.6
million at December 31, 2015,
and increased $304,000, or 4.8%, from
$6.3 million at December 31, 2014. The increase in the ALLL
is due to a combination of factors including a 15.3% increase in
overall loan balances and net recoveries during the twelve months
ended December 31, 2015, which was
partially offset by continued improvement in credit quality and a
8.0% decrease in nonperforming loans. The ratio of the ALLL
to total loans was 2.18% at December 31,
2015, compared to 2.39% at December
31, 2014. In addition, the ratio of the ALLL to
nonperforming loans improved to 464.6% at December 31, 2015, compared to 408.0% at
December 31, 2014.
Foreclosed assets. Foreclosed assets
totaled $1.6 million at December 31, 2015 and remained constant compared
to $1.6 million at December 31, 2014. Foreclosed assets at
December 31, 2015 and December 31, 2014 consisted of one multi-family
property in Mansfield, Ohio.
The level of foreclosed assets and charges to foreclosed assets
expense may increase in the future as we increase our workout
efforts related to foreclosed assets, nonperforming loans and other
loans with credit issues.
Deposits. Deposits totaled
$290.5 million at December 31, 2015, an increase of $32.2 million, or 12.4%, from $258.3 million at December
31, 2014. The increase is primarily attributed to a
$21.2 million increase in money
market account balances, a $5.8
million increase in certificate of deposit account balances,
a $5.9 million increase in
noninterest checking account balances, partially offset by a
$310,000 decrease in savings account
balances. The majority of the deposit increase was a result
of management's focused sales and marketing efforts to grow core
deposits to fund loan growth.
Stockholders' equity. Stockholders'
equity totaled $38.3 million at
December 31, 2015, an increase of
$3.8 million, or 11.0%, from
$34.5 million at December 31, 2014. The increase in total
stockholders' equity was primarily attributed to net income, which
was partially offset by the dividend paid on the Company's Series B
Preferred Stock.
About Central Federal Corporation and CFBank
Central Federal Corporation is the holding company for CFBank, a
federally chartered savings association formed in Ohio in 1892. CFBank has four
full-service banking offices in Fairlawn, Calcutta, Wellsville and Worthington, Ohio and a loan production office
in Woodmere, Ohio (Cuyahoga County). Additional information
about CFBank's banking services and the Company is available at
www.CFBankOnline.com
FORWARD LOOKING STATEMENTS
Statements in this earnings release that are not statements of
historical fact are forward-looking statements which are made in
good faith by us. Forward-looking statements include, but are not
limited to: (1) projections of revenues, income or loss, earnings
or loss per common share, capital structure and other financial
items; (2) plans and objectives of the management or Boards of
Directors of Central Federal Corporation (the Holding Company) or
CFBank; (3) statements regarding future events, actions or economic
performance; and (4) statements of assumptions underlying such
statements. Words such as "estimate," "strategy," "may,"
"believe," "anticipate," "expect," "predict," "will," "intend,"
"plan," "targeted," and the negative of these terms, or similar
expressions, are intended to identify forward-looking statements,
but are not the exclusive means of identifying such
statements. Various risks and uncertainties may cause actual
results to differ materially from those indicated by our
forward-looking statements. The following factors could cause
such differences:
- Changes in economic and political conditions could adversely
affect our earnings through declines in deposits, loan demand, the
ability of our customers to repay loans and the value of the
collateral securing our loans;
- changes in interest rates that may reduce net interest margin
and impact funding sources;
- the possibility that we will need to make increased provisions
for loan losses;
- our ability to maintain sufficient liquidity to continue to
fund our operations;
- our ability to reduce our high level of nonperforming assets
and the associated operating expenses;
- changes in market rates and prices, including real estate
values, which may adversely impact the value of financial products
including securities, loans and deposits;
- the possibility of other-than-temporary impairment of
securities held in our securities portfolio;
- results of examinations of the Holding Company and CFBank by
the regulators, including the possibility that the regulators may,
among other things, require CFBank to increase its allowance for
loan losses or write-down assets;
- our ability to continue to meet regulatory requirements and
guidelines to which we are subject;
- our ability to generate profits in the future;
- our ability to raise additional capital in the future, if
necessary;
- changes in tax laws, rules and regulations;
- increases in deposit insurance rates or premiums;
- further legislative and regulatory changes which may increase
compliance costs and burdens;
- unexpected losses of key management;
- various monetary and fiscal policies and regulations, including
those determined by the Board of Governors of the Federal Reserve
System, the Federal Deposit Insurance Corporation and the Office of
the Comptroller of the Currency;
- competition with other local and regional commercial banks,
savings banks, credit unions and other non-bank financial
institutions;
- our ability to grow our core businesses;
- our ability to effectively manage our growth;
- any failure, interruption or breach in security of our
communications and information systems;
- technological factors which may affect our operations, pricing,
products and services;
- unanticipated litigation, claims or assessments; and
- Management's ability to manage these and other risks.
Forward-looking statements are not guarantees of performance or
results. A forward-looking statement may include a statement
of the assumptions or bases underlying the forward-looking
statement. The Company believes it has chosen these
assumptions or bases in good faith and that they are
reasonable. We caution you, however, that assumptions or
bases almost always vary from actual results, and the differences
between assumptions or bases and actual results can be
material. The forward-looking statements included in this
report speak only as of the date of the report. We undertake
no obligation to publicly release revisions to any forward-looking
statements to reflect events or circumstances after the date of
such statements, except to the extent required by law.
Our filings with the Securities and Exchange Commission detail
other risks, all of which are difficult to predict and many of
which are beyond our control.
Consolidated
Statements of Operations
|
($ in thousands,
except share data)
|
(unaudited)
|
Three months
ended
|
|
|
|
Year
Ended
|
|
|
|
December
31,
|
|
|
|
December
31,
|
|
|
|
2015
|
|
2014
|
|
%
change
|
|
2015
|
|
2014
|
|
%
change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest
income
|
$
|
3,135
|
|
$
|
3,011
|
|
4%
|
|
$
|
12,405
|
|
$
|
10,611
|
|
17%
|
Total interest
expense
|
|
684
|
|
|
530
|
|
29%
|
|
|
2,608
|
|
|
1,889
|
|
38%
|
Net interest
income
|
|
2,451
|
|
|
2,481
|
|
-1%
|
|
|
9,797
|
|
|
8,722
|
|
12%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for loan
losses
|
|
50
|
|
|
75
|
|
-33%
|
|
|
250
|
|
|
278
|
|
-10%
|
Net interest income
after provision for loan losses
|
|
2,401
|
|
|
2,406
|
|
0%
|
|
|
9,547
|
|
|
8,444
|
|
13%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest
income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service
charges on deposit accounts
|
|
132
|
|
|
104
|
|
27%
|
|
|
491
|
|
|
412
|
|
19%
|
Net gain
on sales of loans
|
|
(32)
|
|
|
180
|
|
-118%
|
|
|
325
|
|
|
536
|
|
-39%
|
Net gain
on sale of securities
|
|
-
|
|
|
-
|
|
n/m
|
|
|
(12)
|
|
|
-
|
|
n/m
|
Other
|
|
105
|
|
|
159
|
|
-34%
|
|
|
544
|
|
|
544
|
|
0%
|
Noninterest
income
|
|
205
|
|
|
443
|
|
-54%
|
|
|
1,348
|
|
|
1,492
|
|
-10%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries
and employee benefits
|
|
1,149
|
|
|
1,114
|
|
3%
|
|
|
4,753
|
|
|
4,445
|
|
7%
|
Occupancy and equipment
|
|
131
|
|
|
140
|
|
-6%
|
|
|
533
|
|
|
571
|
|
-7%
|
Data
processing
|
|
268
|
|
|
243
|
|
10%
|
|
|
1,054
|
|
|
897
|
|
18%
|
Franchise and other taxes
|
|
78
|
|
|
64
|
|
22%
|
|
|
318
|
|
|
214
|
|
49%
|
Professional fees
|
|
280
|
|
|
346
|
|
-19%
|
|
|
956
|
|
|
1,217
|
|
-21%
|
Director
fees
|
|
51
|
|
|
58
|
|
-12%
|
|
|
150
|
|
|
122
|
|
23%
|
Postage,
printing and supplies
|
|
27
|
|
|
43
|
|
-37%
|
|
|
198
|
|
|
233
|
|
-15%
|
Advertising and promotion
|
|
20
|
|
|
70
|
|
-71%
|
|
|
145
|
|
|
110
|
|
32%
|
Telephone
|
|
33
|
|
|
29
|
|
14%
|
|
|
119
|
|
|
112
|
|
6%
|
Loan
expenses
|
|
54
|
|
|
55
|
|
-2%
|
|
|
207
|
|
|
82
|
|
152%
|
Foreclosed assets, net
|
|
45
|
|
|
80
|
|
-44%
|
|
|
137
|
|
|
328
|
|
-58%
|
Depreciation
|
|
54
|
|
|
53
|
|
2%
|
|
|
211
|
|
|
232
|
|
-9%
|
FDIC
premiums
|
|
108
|
|
|
115
|
|
-6%
|
|
|
421
|
|
|
384
|
|
10%
|
Regulatory assessment
|
|
3
|
|
|
47
|
|
-94%
|
|
|
131
|
|
|
167
|
|
-22%
|
Other
insurance
|
|
30
|
|
|
31
|
|
-3%
|
|
|
121
|
|
|
130
|
|
-7%
|
Other
|
|
39
|
|
|
52
|
|
-25%
|
|
|
157
|
|
|
213
|
|
-26%
|
Noninterest
expense
|
|
2,370
|
|
|
2,540
|
|
-7%
|
|
|
9,611
|
|
|
9,457
|
|
2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
|
236
|
|
|
309
|
|
-24%
|
|
|
1,284
|
|
|
479
|
|
168%
|
Income tax expense
(benefit)
|
|
(3,193)
|
|
|
-
|
|
n/m
|
|
|
(3,193)
|
|
|
-
|
|
n/m
|
Net Income
(loss)
|
$
|
3,429
|
|
$
|
309
|
|
1010%
|
|
$
|
4,477
|
|
$
|
479
|
|
835%
|
Dividends on Series B
preferred stock and accretion of discount
|
|
(214)
|
|
|
(188)
|
|
14%
|
|
|
(857)
|
|
|
(421)
|
|
104%
|
Earnings (loss)
attributable to common stockholders
|
$
|
3,215
|
|
$
|
121
|
|
2557%
|
|
$
|
3,620
|
|
$
|
58
|
|
6141%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share
Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings (loss)
per common share
|
$
|
0.20
|
|
$
|
0.01
|
|
|
|
$
|
0.23
|
|
$
|
0.00
|
|
|
Diluted earnings
(loss) per common share
|
$
|
0.15
|
|
$
|
0.01
|
|
|
|
$
|
0.20
|
|
$
|
0.00
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average common shares
outstanding - basic
|
|
15,957,377
|
|
|
15,823,710
|
|
|
|
|
15,857,127
|
|
|
15,823,710
|
|
|
Average common shares
outstanding - diluted
|
|
22,820,088
|
|
|
15,831,154
|
|
|
|
|
22,722,742
|
|
|
15,853,989
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
n/m - not
meaningful
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
Statements of Financial Condition
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At or for the
three months ended
|
($ in
thousands)
|
Dec
31,
|
|
Sept
30,
|
|
Jun
30,
|
|
Mar
31,
|
|
Dec
31,
|
(unaudited)
|
2015
|
|
2015
|
|
2015
|
|
2015
|
|
2014
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
$
|
25,895
|
|
$
|
20,101
|
|
$
|
28,293
|
|
$
|
23,894
|
|
$
|
28,207
|
Interest-bearing
deposits in other financial institutions
|
|
-
|
|
|
494
|
|
|
494
|
|
|
494
|
|
|
494
|
Securities available
for sale
|
|
9,368
|
|
|
11,573
|
|
|
9,135
|
|
|
9,385
|
|
|
10,445
|
Loans held for
sale
|
|
889
|
|
|
673
|
|
|
1,992
|
|
|
2,412
|
|
|
3,505
|
Loans
|
|
303,684
|
|
|
289,956
|
|
|
290,640
|
|
|
272,701
|
|
|
263,401
|
Less allowance
for loan losses
|
|
(6,620)
|
|
|
(6,522)
|
|
|
(6,480)
|
|
|
(6,442)
|
|
|
(6,316)
|
Loans, net
|
|
297,064
|
|
|
283,434
|
|
|
284,160
|
|
|
266,259
|
|
|
257,085
|
FHLB stock
|
|
1,942
|
|
|
1,942
|
|
|
1,942
|
|
|
1,942
|
|
|
1,942
|
Foreclosed assets,
net
|
|
1,636
|
|
|
1,636
|
|
|
1,636
|
|
|
1,636
|
|
|
1,636
|
Premises and
equipment, net
|
|
3,609
|
|
|
3,657
|
|
|
3,691
|
|
|
3,731
|
|
|
3,775
|
Bank owned life
insurance
|
|
4,797
|
|
|
4,763
|
|
|
4,730
|
|
|
4,697
|
|
|
4,665
|
Accrued interest
receivable and other assets
|
|
6,093
|
|
|
3,169
|
|
|
3,240
|
|
|
3,472
|
|
|
3,834
|
Total
assets
|
$
|
351,293
|
|
$
|
331,442
|
|
$
|
339,313
|
|
$
|
317,922
|
|
$
|
315,588
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Stockholders' Equity
|
Deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest
bearing
|
$
|
42,926
|
|
$
|
29,664
|
|
$
|
31,549
|
|
$
|
28,310
|
|
$
|
37,035
|
Interest bearing
|
|
247,541
|
|
|
244,150
|
|
|
250,500
|
|
|
232,428
|
|
|
221,280
|
Total deposits
|
|
290,467
|
|
|
273,814
|
|
|
282,049
|
|
|
260,738
|
|
|
258,315
|
Short-term Federal
Home Loan Bank advances
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FHLB
advances
|
|
14,500
|
|
|
14,500
|
|
|
14,500
|
|
|
14,500
|
|
|
14,500
|
Other secured
borrowings
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
Advances by borrowers
for taxes and insurance
|
|
656
|
|
|
311
|
|
|
280
|
|
|
301
|
|
|
401
|
Accrued interest
payable and other liabilities
|
|
2,203
|
|
|
2,537
|
|
|
2,383
|
|
|
2,574
|
|
|
2,708
|
Subordinated
debentures
|
|
5,155
|
|
|
5,155
|
|
|
5,155
|
|
|
5,155
|
|
|
5,155
|
Total liabilities
|
|
312,981
|
|
|
296,317
|
|
|
304,367
|
|
|
283,268
|
|
|
281,079
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity
|
|
38,312
|
|
|
35,125
|
|
|
34,946
|
|
|
34,654
|
|
|
34,509
|
Total liabilities and
stockholders' equity
|
$
|
351,293
|
|
$
|
331,442
|
|
$
|
339,313
|
|
$
|
317,922
|
|
$
|
315,588
|
Consolidated
Financial Highlights
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At or for the
three months ended
|
|
At or for the year
ended
|
($ in thousands
except per share data)
|
|
Dec
31,
|
|
Sept
30,
|
|
Jun
30,
|
|
Mar
31,
|
|
Dec
31,
|
|
|
December
31,
|
(unaudited)
|
|
2015
|
|
2015
|
|
2015
|
|
2015
|
|
2014
|
|
|
2015
|
|
|
2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings
(loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
2,451
|
|
$
|
2,454
|
|
$
|
2,456
|
|
$
|
2,436
|
|
$
|
2,481
|
|
$
|
9,797
|
|
$
|
8,722
|
Provision for loan
losses
|
|
$
|
50
|
|
$
|
50
|
|
$
|
75
|
|
$
|
75
|
|
$
|
75
|
|
$
|
250
|
|
$
|
278
|
Noninterest
income
|
|
$
|
205
|
|
$
|
324
|
|
$
|
464
|
|
$
|
355
|
|
$
|
443
|
|
$
|
1,348
|
|
$
|
1,492
|
Noninterest
expense
|
|
$
|
2,370
|
|
$
|
2,398
|
|
$
|
2,378
|
|
$
|
2,465
|
|
$
|
2,540
|
|
$
|
9,611
|
|
$
|
9,457
|
Net Income
(loss)
|
|
$
|
3,429
|
|
$
|
330
|
|
$
|
467
|
|
$
|
251
|
|
$
|
309
|
|
$
|
4,477
|
|
$
|
479
|
Dividends on Series B
preferred stock and accretion of discount
|
|
$
|
(214)
|
|
$
|
(214)
|
|
$
|
(215)
|
|
$
|
(214)
|
|
$
|
(188)
|
|
$
|
(857)
|
|
|
(421)
|
Earnings (loss)
available to common stockholders
|
|
$
|
3,215
|
|
$
|
116
|
|
$
|
252
|
|
$
|
37
|
|
$
|
121
|
|
$
|
3,620
|
|
$
|
58
|
Basic earnings (loss)
per common share
|
|
$
|
0.20
|
|
$
|
0.01
|
|
$
|
0.02
|
|
$
|
0.00
|
|
$
|
0.01
|
|
$
|
0.23
|
|
$
|
0.00
|
Diluted earnings
(loss) per common share
|
|
$
|
0.15
|
|
$
|
0.01
|
|
$
|
0.02
|
|
$
|
0.00
|
|
$
|
0.01
|
|
$
|
0.20
|
|
$
|
0.00
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Performance Ratios
(annualized)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
|
|
4.06%
|
|
|
0.40%
|
|
|
0.57%
|
|
|
0.32%
|
|
|
0.40%
|
|
|
1.36%
|
|
|
0.17%
|
Return on average
equity
|
|
|
39.05%
|
|
|
3.77%
|
|
|
5.37%
|
|
|
2.90%
|
|
|
3.59%
|
|
|
12.84%
|
|
|
1.67%
|
Average yield on
interest-earning assets
|
|
|
4.00%
|
|
|
4.06%
|
|
|
4.08%
|
|
|
4.13%
|
|
|
4.18%
|
|
|
4.06%
|
|
|
4.03%
|
Average rate paid on
interest-bearing liabilities
|
|
|
1.03%
|
|
|
1.03%
|
|
|
1.01%
|
|
|
0.94%
|
|
|
0.89%
|
|
|
1.00%
|
|
|
0.85%
|
Average interest rate
spread
|
|
|
2.97%
|
|
|
3.03%
|
|
|
3.07%
|
|
|
3.19%
|
|
|
3.29%
|
|
|
3.06%
|
|
|
3.18%
|
Net interest margin,
fully taxable equivalent
|
|
|
3.13%
|
|
|
3.17%
|
|
|
3.22%
|
|
|
3.33%
|
|
|
3.44%
|
|
|
3.21%
|
|
|
3.31%
|
Efficiency
ratio
|
|
|
89.23%
|
|
|
86.32%
|
|
|
81.44%
|
|
|
87.94%
|
|
|
86.87%
|
|
|
86.14%
|
|
|
92.59%
|
Noninterest expense
to average assets
|
|
|
2.80%
|
|
|
2.87%
|
|
|
2.89%
|
|
|
3.13%
|
|
|
3.26%
|
|
|
2.92%
|
|
|
3.31%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core capital ratio
(1)
|
|
|
11.12%
|
|
|
10.82%
|
|
|
10.85%
|
|
|
11.17%
|
|
|
11.03%
|
|
|
11.12%
|
|
|
11.03%
|
Total risk-based
capital ratio (1)
|
|
|
13.67%
|
|
|
13.77%
|
|
|
13.14%
|
|
|
13.49%
|
|
|
14.18%
|
|
|
13.67%
|
|
|
14.18%
|
Tier 1 risk-based
capital ratio (1)
|
|
|
12.40%
|
|
|
12.50%
|
|
|
11.88%
|
|
|
12.23%
|
|
|
12.92%
|
|
|
12.40%
|
|
|
12.92%
|
Common equity tier 1
capital to risk weighted assets (1)
|
|
|
12.40%
|
|
|
12.50%
|
|
|
11.88%
|
|
|
12.23%
|
|
|
N/A
|
|
|
12.40%
|
|
|
N/A
|
Equity to total
assets at end of period
|
|
|
10.91%
|
|
|
10.60%
|
|
|
10.30%
|
|
|
10.90%
|
|
|
10.93%
|
|
|
10.91%
|
|
|
10.93%
|
Book value per common
share
|
|
$
|
1.64
|
|
$
|
1.46
|
|
$
|
1.45
|
|
$
|
1.43
|
|
$
|
1.42
|
|
$
|
1.64
|
|
$
|
1.42
|
Tangible book value
per common share
|
|
$
|
1.64
|
|
$
|
1.46
|
|
$
|
1.45
|
|
$
|
1.43
|
|
$
|
1.42
|
|
$
|
1.64
|
|
$
|
1.42
|
Period-end market
value per common share
|
|
$
|
1.32
|
|
$
|
1.34
|
|
$
|
1.31
|
|
$
|
1.40
|
|
$
|
1.22
|
|
$
|
1.32
|
|
$
|
1.22
|
Period-end common
shares outstanding
|
|
|
16,024,210
|
|
|
15,823,710
|
|
|
15,823,710
|
|
|
15,823,710
|
|
|
15,823,710
|
|
|
16,024,210
|
|
|
15,823,710
|
Average basic common
shares outstanding
|
|
|
15,957,377
|
|
|
15,823,710
|
|
|
15,823,710
|
|
|
15,823,710
|
|
|
15,823,710
|
|
|
15,857,127
|
|
|
15,823,710
|
Average diluted
common shares outstanding
|
|
|
22,820,088
|
|
|
15,832,106
|
|
|
15,836,192
|
|
|
15,831,154
|
|
|
15,831,154
|
|
|
22,722,742
|
|
|
15,853,989
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset
Quality
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming
loans
|
|
$
|
1,425
|
|
$
|
1,492
|
|
$
|
1,538
|
|
$
|
2,007
|
|
$
|
1,548
|
|
$
|
1,425
|
|
$
|
1,548
|
Nonperforming loans
to total loans
|
|
|
0.47%
|
|
|
0.51%
|
|
|
0.53%
|
|
|
0.74%
|
|
|
0.59%
|
|
|
0.47%
|
|
|
0.59%
|
Nonperforming assets
to total assets
|
|
|
0.87%
|
|
|
0.94%
|
|
|
0.94%
|
|
|
1.15%
|
|
|
1.01%
|
|
|
0.87%
|
|
|
1.01%
|
Allowance for loan
losses to total loans
|
|
|
2.18%
|
|
|
2.25%
|
|
|
2.23%
|
|
|
2.36%
|
|
|
2.39%
|
|
|
2.18%
|
|
|
2.39%
|
Allowance for loan
losses to nonperforming loans
|
|
|
464.56%
|
|
|
437.13%
|
|
|
421.33%
|
|
|
320.98%
|
|
|
408.01%
|
|
|
464.56%
|
|
|
408.01%
|
Net charge-offs
(recoveries)
|
|
$
|
(48)
|
|
$
|
8
|
|
$
|
37
|
|
$
|
(51)
|
|
$
|
15
|
|
$
|
(54)
|
|
$
|
(309)
|
Annualized net
charge-offs (recoveries) to average loans
|
|
|
(0.07%)
|
|
|
0.01%
|
|
|
0.05%
|
|
|
(0.08%)
|
|
|
0.02%
|
|
|
(0.02%)
|
|
|
(0.13%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
Balances
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
|
$
|
280,169
|
|
$
|
280,710
|
|
$
|
276,731
|
|
$
|
262,753
|
|
$
|
251,369
|
|
$
|
275,091
|
|
$
|
235,971
|
Assets
|
|
$
|
338,095
|
|
$
|
334,067
|
|
$
|
329,230
|
|
$
|
315,345
|
|
$
|
311,491
|
|
$
|
329,184
|
|
$
|
285,726
|
Stockholders'
equity
|
|
$
|
35,127
|
|
$
|
35,018
|
|
$
|
34,781
|
|
$
|
34,586
|
|
$
|
34,465
|
|
$
|
34,878
|
|
$
|
28,706
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
Regulatory capital ratios of CFBank
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/central-federal-corporation-announces-4th-quarter-2015-net-income-and-2015-annual-operating-results-300239647.html
SOURCE Central Federal Corporation