Exhibit 99.1 News Release Broadway Financial Corporation Announces Results of Operations for Second Quarter 2025 LOS ANGELES, CA – (PRNEWSWIRE) – July 31, 2025 – Broadway Financial Corporation ("Broadway", "we", or the "Company") (NASDAQ: BYFC), parent company of City First Bank, National Association (the "Bank", and collectively, with the Company, "City First Broadway"), reported consolidated net income before preferred dividends of $603 thousand, or $0.07 per diluted share, for the second quarter of 2025, ...

Core Insights - Broadway Financial Corporation reported a consolidated net income before preferred dividends of $603 thousand for Q2 2025, an increase from $269 thousand in Q2 2024, but a net loss attributable to common stockholders of $147 thousand in Q2 2025 compared to a net income of $269 thousand in Q2 2024 [1][2][4] Financial Performance - For the first six months of 2025, the company reported a consolidated net loss before preferred dividends of $1.3 million, a decline from a net income of $105 thousand in the same period of 2024 [2][11] - Net interest income before provision for credit losses for Q2 2025 was $7.8 million, a decrease of 2.1% from $7.9 million in Q2 2024, primarily due to a $1.3 million decrease in interest income [5][6] - The net interest margin increased to 2.63% in Q2 2025 from 2.41% in Q2 2024, driven by an increase in the average rate earned on interest-earning assets [5][9] Expense Management - Non-interest expense for Q2 2025 was $7.5 million, an increase of 3.3% from $7.3 million in Q2 2024, mainly due to higher professional services and operational losses [8][11] - The company achieved a reduction in non-interest expenses by 26.23% or $2.7 million since the last quarter, largely due to the operational loss from a fraudulent wire [4][11] Asset Quality and Capital - The allowance for credit losses increased to $8.6 million as of June 30, 2025, compared to $8.1 million at the end of 2024, with non-accrual loans at 0.42% of total loans [8][16] - Total assets decreased by $76.3 million to $1.227 billion as of June 30, 2025, reflecting decreases in cash, securities, and net loans [16][19] - Stockholders' equity was $285.5 million, representing 23.3% of total assets, with a Community Bank Leverage Ratio of 15.69% [16][19] Deposits and Borrowings - Total deposits increased by $53.5 million, or 7.2%, to $798.9 million as of June 30, 2025, attributed to an increase in certificates of deposit [9][16] - Total borrowings decreased significantly by $126.3 million to $69.2 million as of June 30, 2025, improving the cost of funds [9][16]

Core Viewpoint - Broadway Financial Corporation reported revised financial results for the first quarter of 2025, indicating a significant net loss compared to the previous year, primarily due to operational challenges and increased expenses related to fraud and credit losses [1][2][4]. Financial Performance - The company reported a consolidated net loss before preferred dividends of $1.9 million, or ($0.21) per diluted share, for Q1 2025, compared to a net loss of $164 thousand, or ($0.02) per diluted share, for Q1 2024 [2]. - Net loss attributable to common stockholders was $2.6 million in Q1 2025 after deducting preferred dividends of $750 thousand, compared to a net loss of $164 thousand in Q1 2024 [2]. - The diluted loss per common share was ($0.30) for Q1 2025, compared to ($0.02) for Q1 2024 [2]. Income and Expenses - Net interest income increased by $521 thousand, or 6.9%, to $8.0 million in Q1 2025 compared to Q1 2024, driven by lower interest expenses on borrowings and increased interest and fees on loans [3][5]. - Non-interest expenses rose by $2.4 million, or 30.6%, to $10.2 million in Q1 2025, primarily due to a $1.9 million loss from wire fraud and increased compensation and benefits expenses [11]. - The provision for credit losses increased to $689 thousand in Q1 2025 from $260 thousand in Q1 2024, mainly due to one new non-accrual loan [8]. Deposits and Borrowings - Total deposits grew by $31.1 million, or 4.2%, to $776.5 million at March 31, 2025, compared to $745.4 million at December 31, 2024 [14]. - Total borrowings decreased by $93.9 million to $168.2 million at March 31, 2025, primarily due to a reduction in FHLB advances [15]. Capital and Asset Quality - Stockholders' equity was $284.6 million, or 23.0% of total assets, at March 31, 2025, compared to $285.2 million, or 21.9% of total assets, at December 31, 2024 [16]. - The company maintained strong capital ratios, with a Community Bank Leverage Ratio of 15.24% at March 31, 2025, up from 13.96% at December 31, 2024 [9][16]. - Non-accrual loans to total loans stood at 0.09%, and non-performing loans to total assets were at 0.07% as of March 31, 2025, indicating strong credit quality despite the addition of non-accrual loans [10][9]. Strategic Initiatives - The company executed an ECIP Securities Purchase Option Agreement with the U.S. Treasury, allowing for the potential repurchase of Series C Preferred Stock at a favorable price upon meeting certain conditions [4]. - The CEO expressed optimism about the company's ability to achieve strategic goals and improve profitability while serving low-to-moderate income communities [4].

[PART I. FINANCIAL STATEMENTS](index=3&type=section&id=PART%20I.%20FINANCIAL%20STATEMENTS) This section presents the unaudited consolidated financial statements for Broadway Financial Corporation, including detailed notes and management's discussion [Consolidated Financial Statements (Unaudited)](index=3&type=section&id=Item%201.%20Consolidated%20Financial%20Statements%20(Unaudited)) This section presents the unaudited consolidated financial statements for Broadway Financial Corporation as of March 31, 2025, and for the three-month period then ended [Consolidated Statements of Financial Condition](index=3&type=section&id=Consolidated%20Statements%20of%20Financial%20Condition) The company's total assets decreased to **$1.24 billion** as of March 31, 2025, mainly due to a **$45.6 million** reduction in cash and cash equivalents Consolidated Statements of Financial Condition (Unaudited) | (In thousands) | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$1,238,019** | **$1,303,711** | | Cash and cash equivalents | $15,794 | $61,365 | | Loans receivable, net | $971,231 | $968,861 | | Securities available-for-sale | $185,938 | $203,862 | | **Total Liabilities** | **$953,222** | **$1,018,335** | | Deposits | $776,543 | $745,399 | | Borrowings | $87,415 | $195,532 | | **Total Equity** | **$284,797** | **$285,376** | [Consolidated Statements of Operations and Comprehensive Income (Loss)](index=4&type=section&id=Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Income%20(Loss)) For Q1 2025, the company reported a net loss attributable to common stockholders of **$2.61 million**, primarily due to a **$1.94 million** operational loss and higher expenses Q1 2025 vs. Q1 2024 Operating Results (In thousands, except per share amounts) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net Interest Income | $8,045 | $7,524 | | Provision for credit losses | $689 | $260 | | Total Non-interest Expense | $10,197 | $7,810 | | Net Loss | $(1,861) | $(183) | | Net Loss Attributable to Common Stockholders | $(2,608) | $(164) | | Loss per Common Share (basic & diluted) | $(0.30) | $(0.02) | [Consolidated Statements of Cash Flows](index=5&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Cash and cash equivalents decreased by **$45.6 million** in Q1 2025, primarily due to **$63.6 million** net cash used in financing activities, partially offset by **$22.3 million** from investing activities Cash Flow Summary for Three Months Ended March 31 (In thousands) | Activity | 2025 | 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | $(4,348) | $(11,664) | | Net cash provided by (used in) investing activities | $22,332 | $(23,439) | | Net cash used in financing activities | $(63,555) | $(2,970) | | **Net change in cash and cash equivalents** | **$(45,571)** | **$(38,073)** | [Notes to Unaudited Consolidated Financial Statements](index=7&type=section&id=Notes%20to%20Unaudited%20Consolidated%20Financial%20Statements) The notes detail the **$150 million** Series C Preferred Stock, an increased Allowance for Credit Losses to **$8.8 million**, and the Bank's 'well capitalized' status - The company began paying quarterly dividends of **$750 thousand** on its Series C Preferred Stock in 2024, with a current dividend rate of **2.0%**[32](index=32&type=chunk) - The Allowance for Credit Losses (ACL) for loans increased to **$8.77 million** at March 31, 2025, from **$8.10 million** at year-end 2024, with a provision of **$671 thousand** recorded in Q1 2025[41](index=41&type=chunk) - Non-accrual loans increased to **$860 thousand** as of March 31, 2025, up from **$264 thousand** at December 31, 2024[48](index=48&type=chunk) - The Bank's Community Bank Leverage Ratio was **15.24%** as of March 31, 2025, significantly exceeding the **9.00%** minimum required to be considered 'well capitalized'[87](index=87&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=25&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's financial performance, highlighting a net loss of **$2.6 million** for common stockholders in Q1 2025, offset by improved net interest income and margin [Results of Operations](index=27&type=section&id=Results%20of%20Operations) In Q1 2025, net interest income rose **6.9%** to **$8.0 million**, but non-interest expense surged **30.6%** to **$10.2 million** due to a **$1.9 million** wire fraud loss and higher compensation costs Key Performance Metrics (Q1 2025 vs Q1 2024) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net Interest Income | $8.0M | $7.5M | | Net Interest Margin | 2.70% | 2.27% | | Provision for Credit Losses | $689K | $260K | | Non-interest Expense | $10.2M | $7.8M | - The increase in non-interest expense was primarily driven by a **$1.9 million** loss from wire fraud and a **$1.0 million** increase in compensation and benefits expense[110](index=110&type=chunk) [Financial Condition](index=28&type=section&id=Financial%20Condition) Total assets decreased by **$65.7 million** in Q1 2025, while net loans grew slightly by **$2.4 million** and deposits increased by **$31.1 million**, with tangible book value per share at **$11.59** - Total assets decreased by **$65.7 million**, while net loans increased by **$2.4 million** in Q1 2025[112](index=112&type=chunk)[116](index=116&type=chunk) - Deposits increased by **$31.1 million** (**4.2%**), driven by a **$53.4 million** increase in certificates of deposit[129](index=129&type=chunk) - Total liabilities decreased by **$65.1 million**, mainly due to a **$117.5 million** decrease in FHLB advances[128](index=128&type=chunk) Tangible Book Value per Common Share | (In thousands, except per share) | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Common book value | $134,581 | $135,157 | | Less: Goodwill & Intangibles | $27,554 | $27,633 | | **Tangible book value** | **$107,027** | **$107,524** | | **Tangible book value per share** | **$11.59** | **$11.79** | [Liquidity and Capital Resources](index=33&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains a solid liquidity position with **$15.8 million** in cash and access to an additional **$279.5 million** in FHLB borrowing capacity, remaining 'well capitalized' - The Bank had access to an additional **$279.5 million** from the FHLB of Atlanta as of March 31, 2025[142](index=142&type=chunk) - The Bank is subject to concentration risk, with five customers accounting for **21%** of total deposits and one customer accounting for **90%** of securities sold under agreements to repurchase[145](index=145&type=chunk) - The Bank exceeded all capital adequacy requirements and qualifies as 'well capitalized' as of March 31, 2025[149](index=149&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=35&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company has indicated that this section is not applicable for the current reporting period - Not Applicable[150](index=150&type=chunk) [Controls and Procedures](index=35&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were ineffective as of March 31, 2025, due to a material weakness in internal control over financial reporting - A material weakness was identified in the Company's internal control over financial reporting[151](index=151&type=chunk) - The weakness pertains to the lack of controls to identify and account for unusual or infrequent equity-related contracts[151](index=151&type=chunk) - As a result, management concluded that disclosure controls and procedures were ineffective as of March 31, 2025[150](index=150&type=chunk) [PART II. OTHER INFORMATION](index=36&type=section&id=PART%20II.%20OTHER%20INFORMATION) This section covers legal proceedings, risk factors, unregistered sales of equity securities, and exhibits [Legal Proceedings](index=36&type=section&id=Item%201.%20Legal%20Proceedings) The company reported that there were no legal proceedings during the period - None[155](index=155&type=chunk) [Risk Factors](index=36&type=section&id=Item%201A.%20Risk%20Factors) Management highlights two key risks: a recently identified material weakness in internal controls and uncertainty regarding the repurchase of Series C Preferred Stock - The company has identified a material weakness in its internal control over financial reporting, which could adversely affect its stock price and investor confidence[156](index=156&type=chunk)[157](index=157&type=chunk) - There is a risk that the company may not meet the lending and other requirements to exercise its option to repurchase the **$150 million** Series C Preferred Stock from the U.S. Treasury, potentially at a substantial discount[158](index=158&type=chunk)[159](index=159&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=36&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities or use of proceeds for this period - None[160](index=160&type=chunk) [Exhibits](index=36&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the Form 10-Q, including corporate governance documents and certifications by the CEO and CFO - The filing includes certifications from the Chief Executive Officer and Chief Financial Officer pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act[160](index=160&type=chunk)[161](index=161&type=chunk)

Core Viewpoint - Broadway Financial Corporation has received a notice from Nasdaq indicating non-compliance with listing rules due to the late filing of its Quarterly Report on Form 10-Q for the quarter ended March 31, 2025 [1][2]. Group 1: Compliance and Filing Issues - The Company was unable to file the Form 10-Q on time due to the need for additional time to assess the value of a Securities Purchase Option Agreement related to its Series C Preferred Stock issued to the U.S. Treasury [3]. - The Company also requires more time to address fair value measurements disclosure and its independent accounting firm, Crowe LLP, needs additional time to complete review procedures related to the Form 10-Q [3]. - Nasdaq has granted the Company 60 calendar days from May 28, 2025, to submit a plan for regaining compliance, with a potential extension of up to 180 days for filing the Form 10-Q if the plan is accepted [4]. Group 2: Company Overview - Broadway Financial Corporation operates through its wholly-owned subsidiary, City First Bank, which serves low-to-moderate income communities in Southern California and Washington, D.C. [5]. - The Company offers a range of residential and commercial real estate loan products, as well as various deposit products including checking, savings, and retirement accounts [5].

Financial Performance - Consolidated net loss before preferred dividends for Q1 2025 was $451 thousand, or ($0.05) per diluted share, compared to a net loss of $164 thousand, or ($0.02) per diluted share in Q1 2024[1]. - The net loss attributable to common stockholders for the three months ended March 31, 2025, was $1,201,000, compared to a loss of $164,000 in the prior year[28]. - The return on average assets declined to (0.39)% from (0.05)% year-over-year[23]. Interest Income and Margin - Net interest income increased by $521 thousand, or 6.9%, to $8.0 million in Q1 2025, driven by lower interest expense on borrowings and increased interest and fees on loans receivable[2]. - Net interest income for the three months ended March 31, 2025, was $8,045,000, compared to $7,524,000 for the same period in 2024[28]. - The net interest margin improved by 43 basis points to 2.70% in Q1 2025, up from 2.27% in Q1 2024, due to an increase in the yield on average loan balances[4]. - The net interest margin improved to 2.70% from 2.27% year-over-year[23]. - Net interest income for the period was $8,045 thousand, resulting in a net interest rate spread of 2.15%, up from 1.43% in the previous year[29]. - The average yield on loans receivable increased to 5.29% from 4.89% year-over-year, indicating improved loan performance[29]. - The average interest rate on interest-bearing liabilities was 2.67%, compared to 3.02% in the prior year, reflecting a decrease in borrowing costs[29]. Credit Losses and Asset Quality - Provision for credit losses increased to $689 thousand in Q1 2025 from $260 thousand in Q1 2024, primarily due to one new non-accrual loan[9]. - The provision for credit losses increased to $689,000 from $260,000, reflecting higher expected credit losses[28]. - The allowance for credit losses increased to $8.8 million as of March 31, 2025, compared to $8.1 million as of December 31, 2024[9]. - Non-accrual loans increased to $860,000, up from $264,000, indicating a rise in asset quality concerns[23]. Deposits and Assets - Total deposits grew by $31.1 million, or 4.2%, to $776.5 million at March 31, 2025, compared to $745.4 million at December 31, 2024[4]. - Total deposits rose to $746,004 thousand, a significant increase from $575,380 thousand, representing a growth of approximately 30%[29]. - Total assets decreased to $1,230,013,000 from $1,303,711,000[26]. - Total interest-earning assets decreased to $1,208,984 thousand for the three months ended March 31, 2025, compared to $1,328,416 thousand for the same period in 2024, reflecting a decline of approximately 9%[29]. Expenses and Equity - Total non-interest expense rose by $444 thousand, or 5.7%, to $8.3 million in Q1 2025, mainly due to a $1.0 million increase in compensation and benefits expense[10]. - Stockholders' equity was $286.0 million, or 23.3% of total assets, at March 31, 2025, compared to $285.2 million, or 21.9% of total assets, at December 31, 2024[16]. - Stockholders' equity increased to $286,645 thousand, up from $281,662 thousand, showing a modest growth[29]. - The equity to total assets ratio improved to 23.27% from 21.87%[23]. - Capital ratios remain strong with a Community Bank Leverage Ratio of 15.36% at March 31, 2025, compared to 13.96% at December 31, 2024[4]. Borrowings and Liabilities - Total borrowings decreased by $103.4 million to $158.8 million at March 31, 2025, primarily due to a $117.5 million decrease in FHLB advances[15]. - Total liabilities decreased to $943,809,000 from $1,018,335,000[26]. Future Outlook - The company did not report any new product launches or significant market expansions during this period[29]. - Future outlook remains cautious due to market conditions, with no specific guidance provided for upcoming quarters[29].

Core Insights - Broadway Financial Corporation reported a consolidated net loss before preferred dividends of $451 thousand, or ($0.05) per diluted share, for Q1 2025, compared to a net loss of $164 thousand, or ($0.02) per diluted share, for Q1 2024 [1][2] - The net loss attributable to common stockholders was $1.2 million in Q1 2025 after deducting preferred dividends of $750 thousand, compared to a net loss of $164 thousand in Q1 2024 [1][2] - The company experienced a 6.9% increase in net interest income, totaling $8.0 million in Q1 2025, driven by lower interest expenses on borrowings and increased interest and fees on loans [2][5] Financial Performance - Net interest income before provision for credit losses increased by $521 thousand, or 6.9%, from $7.5 million in Q1 2024 to $8.0 million in Q1 2025 [5][9] - The net interest margin improved to 2.70% in Q1 2025, up 43 basis points from 2.27% in Q1 2024, due to an increase in the average rate earned on interest-earning assets [7][9] - Total deposits grew by $31.1 million, or 4.2%, to $776.5 million at March 31, 2025, compared to $745.4 million at December 31, 2024 [4][15] Credit Quality - The provision for credit losses increased to $689 thousand in Q1 2025 from $260 thousand in Q1 2024, primarily due to one new non-accrual loan [10][12] - Non-accrual loans to total assets stood at 0.09%, and non-performing loans to total assets were at 0.07% as of March 31, 2025, indicating strong credit quality [10][12] Non-Interest Expense - Total non-interest expense rose by $444 thousand, or 5.7%, to $8.3 million in Q1 2025, mainly due to a $1.0 million increase in compensation and benefits expense [11][12] - The increase in compensation and benefits was attributed to the addition of full-time employees to enhance operational capabilities [11][12] Tax and Capital - The company recorded an income tax benefit of $156 thousand for Q1 2025, compared to $57 thousand for Q1 2024, reflecting a decrease in pre-tax income [12][17] - Stockholders' equity was $286.0 million, or 23.3% of total assets, at March 31, 2025, compared to $285.2 million, or 21.9% of total assets, at December 31, 2024 [17][18]

Stock Split and Share Repurchase - On October 31, 2023, the Company executed a 1-for-8 reverse stock split, reducing the number of outstanding shares accordingly[17] - The Company repurchased 244,771 shares of Class A Common Stock at a price of $7.2760 per share, representing just under 4.0% of total voting shares prior to the purchase[18] Loan Portfolio Composition - As of December 31, 2024, the net loan portfolio totaled $968.9 million, accounting for 74.3% of total assets[24] - The loan portfolio composition includes 64.94% multi-family loans, 16.01% commercial real estate loans, and 2.42% single-family loans as of December 31, 2024[28] - More than 84% of the loans in the portfolio have adjustable-rate features, reducing exposure to interest rate risk[25] - The total loans held for investment as of December 31, 2024, were $968.861 million, reflecting a significant increase from previous years[28] Loan Originations and Repayments - Total loans originated in 2024 amounted to $157.7 million, a decrease of 3.5% from $162.1 million in 2023[56] - Multi-family loan originations were $80.9 million in 2024, up 2.6% from $78.9 million in 2023[56] - Commercial real estate loans originated increased significantly to $50.8 million in 2024 from $28.3 million in 2023, representing an 80% increase[56] - Principal repayments for 2024 totaled $69.1 million, an increase of 46.5% compared to $47.2 million in 2023[56] Non-Performing Assets and Credit Losses - Non-performing assets (NPAs) stood at $264,000 as of December 31, 2024, compared to no NPAs in 2023[60] - Total criticized loans increased to $150.3 million at December 31, 2024, from $130.0 million at December 31, 2023, marking a 15.5% rise[65] - Substandard loans rose to $59.6 million in 2024, up from $21.7 million in 2023, indicating a significant increase of 174%[65] - The Company reported an Allowance for Credit Losses (ACL) of $8.1 million, or 0.83% of gross loans held for investment, as of December 31, 2024, unchanged from the previous year[75] Securities and Investments - The Company’s securities portfolio totaled $203.9 million, representing 15.6% of total assets as of December 31, 2024[84] - As of December 31, 2024, total securities amounted to $219.7 million, an increase from $203.9 million in 2023, reflecting a growth of approximately 7.5%[89] - No ACL was required for available-for-sale investment securities as of December 31, 2024, due to declines in fair value being related to interest rates rather than credit[87] Deposits and Funding - The company’s total deposits reached $589.6 million in 2024, up from $577.3 million in 2023, marking a growth of 2%[98] - The weighted average yield on total deposits for 2024 was 2.24%, up from 1.30% in 2023, indicating a significant increase in funding costs[98] - The company had $145.8 million in deposits through the CDARS program as of December 31, 2024, compared to $114.8 million in 2023, representing a growth of 27%[93] Regulatory and Compliance - The Company is regulated by the Federal Reserve System, and its deposits are insured by the FDIC[19] - The Company is subject to restrictions on capital distributions, including dividends, if it falls within any undercapitalized categories[141] - The Company must notify the OCC at least 30 days prior to declaring any capital distribution, allowing the OCC to object if deemed inadvisable[142] Economic and Market Conditions - The macroeconomic environment poses significant challenges, with inflation impacting business customers through loss of purchasing power and increased costs[150] - The Federal Reserve raised interest rates seven times in 2022 and four times in 2023, increasing interest rate risk for the Company[151] - A downturn in the real estate market could impair the company's loan portfolio, leading to increased loan delinquencies and defaults, which would likely cause the company to suffer losses[154] Competition and Market Position - The Bank faces significant competition in its market areas from larger financial institutions, including mortgage banking companies and commercial banks[105] - The company faces strong competition in the Washington, D.C. and Los Angeles metropolitan areas from various financial institutions, which may adversely affect its financial condition and results of operations[153] Operational Risks - Systems failures and cybersecurity breaches could have a material adverse effect on the company's operations and financial condition[171] - The financial services industry is experiencing rapid technological changes, which may lead to operational challenges and increased costs for the company[173] - The company has implemented a layered cybersecurity approach to manage risks, although threats remain high due to evolving attack methods[184]

Core Points - Broadway Financial Corporation announced the appointment of Mary Hentges to its board of directors, effective March 5, 2025, increasing the board size to ten directors [1] - Ms. Hentges will serve on multiple committees including the Audit Committee, Risk and Compliance Committee, and Internal Asset Review Committee [1] - The appointment was recommended by the Corporate Governance Committee after a thorough review of candidates [2] Company Overview - Broadway Financial Corporation operates through its wholly-owned banking subsidiary, City First Bank, which focuses on serving low-to-moderate income communities in Southern California and Washington, D.C. [4] - City First Bank provides various commercial real estate loan products and services aimed at supporting affordable housing, small businesses, and nonprofit community facilities [5] Ms. Hentges' Background - Ms. Hentges has extensive experience in financial roles, including serving as CFO for companies such as PayPal, CBS Interactive, and Yapstone [3] - She has been an advisor for Jiko Group, Inc. since 2019 and has held interim CFO positions at Noom, Inc. and ShotSpotter [3] - Ms. Hentges holds a B.S. in Accounting from Arizona State University and currently serves on the boards of several organizations [3]

Financial Performance - Net income attributable to Broadway for Q4 2024 was $1.3 million, a decrease of 50% from $2.6 million in Q4 2023[1] - Non-interest income for Q4 2024 totaled $560 thousand, a significant decrease from $4.5 million in Q4 2023, primarily due to the absence of a $3.7 million grant received in the prior year[12] - Total non-interest income for the year ended December 31, 2024, was $1,554 thousand, down from $5,357 thousand in 2023, a decline of about 71.0%[39] - The company reported a comprehensive loss of $1,395 thousand for the three months ended December 31, 2024, compared to a comprehensive income of $8,408 thousand for the same period in 2023[39] - Earnings per common share-basic decreased to $0.06 for the three months ended December 31, 2024, compared to $0.31 for the same period in 2023, a decline of approximately 80.6%[39] Interest Income and Margin - Net interest income for Q4 2024 increased by $850 thousand, or 11.9%, to $8.0 million compared to $7.1 million in Q4 2023[2] - Net interest income for the year ended December 31, 2024, was $62,209 thousand, compared to $47,228 thousand in 2023, reflecting a year-over-year increase of 31.69%[43] - The average yield on loans receivable was 5.17% in Q4 2024, up from 4.76% in Q4 2023, indicating improved loan profitability[41] - The net interest rate margin improved to 2.42% in Q4 2024, compared to 2.40% in Q4 2023, indicating a slight enhancement in profitability[41] - The net interest rate spread decreased to 1.55% in Q4 2024 from 1.67% in Q4 2023, reflecting a narrowing of the margin between interest income and interest expense[41] Assets and Liabilities - Total assets decreased by $71.7 million at December 31, 2024, primarily due to a decrease in securities available-for-sale[17] - Total assets decreased to $1,303.7 million at December 31, 2024, from $1,375.4 million at December 31, 2023[31] - Total liabilities decreased from $1,093,307 thousand on December 31, 2023, to $1,018,335 thousand on December 31, 2024, a reduction of about 6.9%[36] - Total borrowings decreased by $134.7 million to $262.1 million at December 31, 2024, primarily due to the payoff of a $100.0 million loan under the Federal Reserve's Bank Term Funding Program[21] Loans and Credit Losses - Total gross loans receivable increased by $89.2 million, or 10.0%, to $977.0 million at December 31, 2024, from $887.8 million at December 31, 2023[5] - The allowance for credit losses increased to $8.1 million as of December 31, 2024, compared to $7.3 million as of December 31, 2023[11] - The Company recorded a recovery of credit losses of $489 thousand in Q4 2024, compared to a provision for credit losses of $125 thousand in Q4 2023[10] - The allowance for credit losses increased to $8,103 thousand as of December 31, 2024, from $7,348 thousand as of December 31, 2023, reflecting a rise of approximately 10.3%[36] Deposits and Equity - Deposits increased by $62.8 million to $745.4 million at December 31, 2024, from $682.6 million at December 31, 2023, with a notable increase in Insured Cash Sweep deposits by $61.2 million[20] - Stockholders' equity rose to $285.2 million, or 21.9% of total assets, at December 31, 2024, compared to $281.9 million, or 20.5% of total assets, at December 31, 2023[23] - Stockholders' equity increased to $285,775 thousand in Q4 2024, compared to $278,339 thousand in Q4 2023, showing a growth of 2.61%[41] Performance Ratios - Return on average assets for the twelve months ended December 31, 2024, was 0.14%, down from 0.37% in 2023[32] - Return on average equity for the twelve months ended December 31, 2024, was 0.69%, compared to 1.62% in 2023[32] - Non-accrual loans amounted to $264, representing a non-performing assets ratio of 0.02% of total assets[31] - The Bank's uninsured deposits represented 32% of total deposits as of December 31, 2024, down from 37% as of December 31, 2023[20]