COLUMBUS, Ohio, April 8, 2024 /PRNewswire/ -- CF Bankshares Inc. (NASDAQ: CFBK) (the "Company"), the parent of CFBank, NA, today announced that the Board of Directors of the Company declared a $0.06 per share quarterly cash dividend on its common stock and a corresponding $6.00 per share quarterly cash dividend on its Series D preferred stock.  Each share of Series D preferred stock is convertible into 100 shares of common stock.  The dividends are payable on April 29, 2024 to shareholders of record as of t ...

57 The critical audit matter communicated below is a matter arising from the current-period audit of the consolidated financial statements that was communicated or required to be communicated to the audit committee and that: (1) relates to accounts or disclosures that are material to the consolidated financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of the critical audit matter does not alter in any way our opinion on the consolidated finan ...

COLUMBUS, Ohio, Feb. 7, 2024 /PRNewswire/ -- CF Bankshares Inc. (NASDAQ: CFBK) (the "Company"), the parent of CFBank, National Association ("CFBank"), today announced financial results for the fourth quarter and the full year ended December 31, 2023. Fourth Quarter and Full Year 2023 Highlights Net Income was $4.2 million ($0.65 per diluted common share) for the fourth quarter and $16.9 million ($2.63 per diluted common share) for the year ended December 31, 2023.   Pre-provision, pre-tax net revenue ("PPN ...

The carrying amounts and estimated fair values of financial instruments at December 31, 2022 were as follows: 2003 Subordinated debentures: 2018 Fixed-to-floating rate subordinated notes: The subordinated notes initially bear interest at 7.00%, from and including December 20, 2018, to but excluding December 30, 2023, payable semi-annually in arrears on June 30 and December 30 of each year. From and including December 30, 2023, to but excluding December 30, 2028 or the earlier redemption of the notes, the in ...

Financial Performance - Interest income for the six months ended June 30, 2023, totaled $50.4 million, an increase of $22.5 million, or 80.9%, compared to $27.9 million for the same period in 2022[122]. - Interest expense for the six months ended June 30, 2023, totaled $26.2 million, an increase of $20.6 million, or 372.8%, compared to $5.5 million for the same period in 2022[123]. - Noninterest income for the six months ended June 30, 2023, totaled $1.7 million, a decrease of $157,000, or 8.5%, compared to $1.9 million for the same period in 2022[124]. - Net income for the three months ended June 30, 2023, totaled $4.2 million, a decrease of $503,000, or 10.6%, compared to $4.7 million for the same period in 2022[141]. - Net interest income for the quarter ended June 30, 2023, totaled $11.5 million, a decrease of $59,000, or 0.5%, compared to the same quarter in 2022[142]. - The net interest margin for the quarter ended June 30, 2023, was 2.52%, a decrease of 52 basis points compared to 3.04% for the same quarter in 2022[142]. - Noninterest income for Q2 2023 totaled $978,000, an increase of $170,000 or 21.0% compared to $808,000 in Q2 2022[147]. - Noninterest expense for Q2 2023 was $7.2 million, up $701,000 or 10.8% from $6.5 million in Q2 2022, primarily due to a $292,000 increase in FDIC premiums and a $200,000 increase in salaries and employee benefits[147]. - Income tax expense for Q2 2023 was $1.1 million, a decrease of $99,000 from $1.2 million in Q2 2022, with an effective tax rate of approximately 20.0%[148]. Assets and Liabilities - Total assets as of June 30, 2023, were $1.909 billion, compared to $1.597 billion as of June 30, 2022[155]. - Total liabilities as of June 30, 2023, were $1.764 billion, up from $1.468 billion in the previous year[155]. - Total interest-earning assets for Q2 2023 were $1.817 billion, with interest earned of $26.225 million and an average yield of 5.76%[155]. - The average outstanding balance of loans and leases for Q2 2023 was $1.628 billion, with interest earned of $23.684 million and an average yield of 5.82%[155]. - Total interest-earning assets increased to $1,776,957 thousand in June 2023, up from $1,447,152 thousand in June 2022, representing a growth of 22.7%[157]. - Total assets reached $1,867,082 thousand as of June 30, 2023, up from $1,526,465 thousand in June 2022, marking an increase of 22.4%[157]. - Total liabilities increased to $1,723,393 thousand in June 2023, compared to $1,398,654 thousand in June 2022, reflecting a growth of 23.2%[157]. Equity and Capital - Stockholders' equity increased to $147.3 million at June 30, 2023, an increase of $8.1 million, or 5.8%, from $139.2 million at December 31, 2022[139]. - Equity increased to $143,689 thousand in June 2023, up from $127,811 thousand in June 2022, representing a growth of 12.4%[157]. - Cash, unpledged securities, and deposits in other financial institutions increased by $78.7 million, or 50.9%, to $233.1 million at June 30, 2023, compared to $154.4 million at December 31, 2022[169]. - Additional borrowing capacity at the FHLB increased by $18.3 million, or 9.8%, to $206.2 million at June 30, 2023, from $187.9 million at December 31, 2022[170]. - Additional borrowing capacity at the FRB rose by $28.9 million, or 27.5%, to $134.0 million at June 30, 2023, compared to $105.1 million at December 31, 2022[171]. Risk and Compliance - Management believes there has been no material change in the Company's market risk as of June 30, 2023[180]. - The Company maintains effective disclosure controls and procedures as of the quarter ended June 30, 2023[187]. - There are various legal proceedings involving CFBank, but management does not believe any pending legal proceedings would materially affect financial condition[189]. - The Company has not made any changes in internal controls over financial reporting that materially affect its reporting[187]. - Risks and uncertainties could cause actual results to differ materially from anticipated results, as detailed in the risk factors section of the Annual Report[190]. Other Information - The company recorded a net current-period other comprehensive loss of $148,000 for Q2 2023, compared to a loss of $217,000 in Q2 2022[151]. - The company completed the sale of its Worthington headquarters building in May 2023, which was initially contracted for $2.010 million[152]. - Annual debt service on the subordinated debentures is approximately $413,000, with a total rate of 8.01% in effect at June 30, 2023[176]. - The annual debt service on the Company's $10 million of fixed-to-floating rate subordinated notes is $700,000, with a fixed rate of 7.00% until December 2023[177]. - The FDIC provides deposit insurance coverage up to $250,000 per depositor, which supports CFBank's deposit retention strategy[174]. - CFBank had $65.0 million of availability in unused lines of credit with two commercial banks as of June 30, 2023[172].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (Mark one) Or Commission File Number 0-25045 Delaware 34-1877137 (State or other jurisdiction of (IRS Employer incorporation or organization) Identification No.) Title of each class Trading Symbol(s) Name of each exchange on which registered (Voting) Common Stock, $.01 par value CFBK The NASDAQ Capital Market Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted p ...

Loan Portfolio and Performance - The allowance for loan and lease losses (ALLL) totaled $16.1 million at December 31, 2022, an increase of $554,000, or 3.6%, from $15.5 million at December 31, 2021[140]. - The ratio of ALLL to total loans was 1.01% at December 31, 2022, compared to 1.26% at December 31, 2021[140]. - Gross loans receivable increased approximately $358.7 million, or 29.2%, to $1.6 billion at December 31, 2022, from $1.2 billion at December 31, 2021[153]. - Commercial, commercial real estate, and multi-family mortgage loans totaled $1.1 billion, representing 66.9% of the gross loan portfolio at December 31, 2022[153]. - Nonperforming loans decreased by $236,000 in 2022 compared to 2021, primarily due to two nonaccrual consumer loans paying off[135]. - The amount of additional interest income that would have been recognized on nonaccrual loans was approximately $47,000 if they had continued to perform according to their contractual terms[136]. - Nonaccrual loans included $80,000 in troubled debt restructurings (TDRs) at December 31, 2022, down from $147,000 at December 31, 2021[137]. - Total loans receivable as of December 31, 2022, amounted to $1,588.3 million, with real estate mortgage loans at $1,024.9 million and commercial loans at $338.7 million[156]. - Commercial loan balances increased by $90.5 million, or 26.9%, to $427.4 million at year-end 2022[169]. - Commercial real estate and multi-family residential mortgage loan balances increased by $42.9 million to $479.2 million at December 31, 2022, representing a 9.8% increase from $436.3 million in 2021[165]. - Portfolio single-family mortgage loans originated by the company totaled $146.1 million, or 9.2% of total loans, with ARM loans totaling $56.5 million, or 12.2% of the single-family mortgage loan portfolio[163]. Strategic Business Changes - The company strategically repositioned its Residential Mortgage Business, exiting the direct-to-consumer mortgage business in favor of regional lending[152]. - The company exited the direct-to-consumer mortgage business in favor of lending in regional markets due to a shift in the mortgage industry[162]. Interest Rate Risk and Market Conditions - The company has utilized interest-rate swaps to protect fixed-rate loans from changes in value due to interest rate fluctuations[157]. - The company's market risk primarily arises from interest rate risk, with a hedging policy allowing activities up to a notional amount of 10% of total assets and a value at risk of 10% of core capital[502]. - At December 31, 2022, the economic value ratio (EVE) under various interest rate shocks shows a range from 8.1% with a +400 bps rise to 12.4% with a -400 bps decline[504]. - Changes in market interest rates could materially affect net interest income, loan volume, asset quality, and overall profitability[505]. - Rising interest rates are generally associated with lower residential mortgage loan origination volumes, while falling rates typically lead to higher origination volumes[506]. - The company originates various types of loans, many of which have adjustable interest rates, which can mitigate the adverse effects of rising rates[506]. - In a rising interest rate environment, increased payments on adjustable-rate loans could lead to higher delinquencies and defaults[506]. - Cash flows are influenced by market interest rates, with prepayment rates likely declining in rising rate environments and increasing in falling rate environments[507]. Credit Quality Monitoring - The company continues to monitor credit quality and may need to increase the ALLL based on economic conditions and credit quality factors[142]. Loan Origination and Offerings - Single-family mortgage loans originated for sale in 2022 totaled $97.3 million, a decrease of $2.3 billion, or 95.9%, compared to $2.4 billion in 2021[162]. - The company offers both fixed-rate and adjustable-rate loans, with fixed-rate loans typically limited to terms of three to five years[169]. - The company participates in various loan programs offered by the Small Business Administration, enabling access to funding for small business owners[157]. Stock Options and Equity Compensation - As of December 31, 2022, the company has 11,089 common shares subject to outstanding stock option awards, with a weighted-average exercise price of $7.63 and 115,818 shares remaining available for future issuance under equity compensation plans[174].

Financial Performance - Net income for the three months ended September 30, 2022, totaled $4.2 million, an increase of $173,000, or 4.2%, compared to $4.1 million for the same period in 2021[202]. - Net income for the nine months ended September 30, 2022 was $13.5 million, a decrease of $493,000, or 3.5%, compared to $14.0 million for the same period in 2021[213]. - Net interest income for the quarter ended September 30, 2022, totaled $13.3 million, an increase of $2.9 million, or 27.9%, compared to $10.4 million for the same quarter in 2021[203]. - Net interest income for the nine months ended September 30, 2022 was $35.6 million, an increase of $4.5 million, or 14.7%, compared to $31.1 million for the same period in 2021[215]. - Noninterest income for Q3 2022 was $705,000, a decrease of $1.4 million, or 66.1%, from $2.1 million in Q3 2021, primarily due to a $1.9 million decrease in gain on sale of deposits[209]. Asset and Liability Management - Total assets increased to $1.8 billion as of September 30, 2022, representing an 18.0% increase from $1.5 billion at December 31, 2021[173]. - Total liabilities rose to $1,527,385 thousand in 2022, up from $1,257,855 thousand in 2021, indicating a growth of approximately 21%[226]. - Deposits totaled $1.5 billion at September 30, 2022, an increase of $243.6 million, or 19.6%, compared to $1.2 billion at December 31, 2021[193]. - Total criticized and classified loans decreased by $2.8 million, or 44.8%, during the nine months ended September 30, 2022[186]. - Total past due loans decreased by $2.3 million, totaling $1.3 million at September 30, 2022, compared to $3.6 million at December 31, 2021[188]. Loan and Lease Performance - Net loans and leases reached $1.5 billion, up $259.7 million or 21.4% from $1.2 billion at December 31, 2021, driven by increases in various loan categories[175]. - The allowance for loan and lease losses (ALLL) totaled $15.7 million, a slight increase of $179,000 or 1.2% from $15.5 million at December 31, 2021[177]. - Nonperforming loans totaled $1.0 million, with a ratio of 0.07% to total loans, compared to 0.08% at December 31, 2021[181]. - Individually evaluated impaired loans decreased to $203,000, down $2.8 million or 93.2% from $3.0 million at December 31, 2021[179]. - Interest income increased by $5.3 million, or 41.7%, totaling $18.0 million for the quarter ended September 30, 2022, compared to $12.7 million for the same period in 2021[204]. Capital and Equity - Stockholders' equity increased by $9.6 million, or 7.6%, totaling $134.9 million at September 30, 2022, compared to $125.3 million at December 31, 2021[199]. - The average yield on loans and leases was 4.74% in 2022, up from 4.05% in 2021, indicating an increase of 69 basis points[226]. - The net interest margin for the nine months ended September 30, 2022 was 3.17%, an increase of 23 basis points from 2.94% in 2021[215]. - Net interest margin improved to 3.36% in 2022, compared to 3.21% in 2021, showing an increase of 15 basis points[226]. Operational Changes and Strategy - The company exited the direct-to-consumer mortgage business in favor of portfolio lending, which has become the primary driver of earnings[170]. - CFBank originated approximately $126 million in Paycheck Protection Program (PPP) loans during Q2 2020, benefiting over 550 borrowers[168]. - The company opened two new banking offices in Ohio City (Cleveland) and Red Bank (Cincinnati) in October 2022, expanding its market presence[167]. Liquidity and Funding - Total cash available from liquid assets and borrowing capacity was $534.7 million at September 30, 2022, compared to $419.2 million at December 31, 2021[242]. - Additional borrowing capacity at the FHLB increased by $49.0 million, or 43.3%, to $162.1 million at September 30, 2022, compared to $113.1 million at December 31, 2021[243]. - CFBank's liquidity management is a daily and long-term responsibility, adjusting investments based on expected loan demand and deposit flows[239]. - The Holding Company had adequate funds and sources of liquidity at September 30, 2022, to meet current and anticipated operating needs[247]. Regulatory and Compliance - The principal executive officer and principal financial officer concluded that the disclosure controls and procedures were effective as of the quarter ended September 30, 2022[257]. - No changes were made in internal controls over financial reporting in Q3 2022 that materially affected the internal control over financial reporting[257]. - The company is not involved in any pending legal proceedings that management believes would have a material adverse effect on its financial condition or results of operations[260].

Financial Performance - Net income for the three months ended June 30, 2022, totaled $4.7 million, an increase of $1.2 million, or 35.5%, compared to $3.5 million for the same period in 2021[196]. - Net income for the six months ended June 30, 2022, totaled $9.2 million, a decrease of $666,000, or 6.7%, compared to $9.9 million for the same period in 2021[208]. - Noninterest income for the six months ended June 30, 2022, totaled $1.9 million, a decrease of $6.3 million, or 77.3%, compared to $8.2 million for the same period in 2021[215]. - Noninterest expense for the six months ended June 30, 2022, was $12.7 million, a decrease of $5.5 million, or 30.1%, compared to $18.2 million for the same period in 2021[216]. - The provision for loan and lease losses for the six months ended June 30, 2022, was zero, compared to a negative provision of $1.6 million for the same period in 2021[213]. - Income tax expense for the six months ended June 30, 2022, was $2.2 million, a decrease of $112,000 compared to $2.3 million for the same period in 2021[218]. - The effective tax rate for the six months ended June 30, 2022, was approximately 19.1%, compared to approximately 18.8% for the same period in 2021[218]. Assets and Liabilities - Total assets increased by $123.9 million, or 8.3%, to $1.6 billion as of June 30, 2022, compared to $1.5 billion at December 31, 2021[167]. - Total liabilities amounted to $1,398,654 thousand, with noninterest-bearing liabilities at $268,594 thousand[224]. - Total criticized and classified loans decreased by $2.9 million, or 47.7%, during the six months ended June 30, 2022[180]. - Total past due loans decreased by $2.8 million, totaling $716,000 at June 30, 2022, compared to $3.6 million at December 31, 2021, representing 0.1% of the loan portfolio[182]. - CFBank's total cash available from liquid assets and borrowing capacity was $473.9 million at June 30, 2022, compared to $419.2 million at December 31, 2021[238]. Loans and Leases - Net loans and leases rose by $164.1 million, or 13.5%, totaling $1.4 billion at June 30, 2022, driven by increases in commercial loans, single-family residential loans, and construction loans[169]. - The allowance for loan and lease losses (ALLL) was $15.5 million at June 30, 2022, with a ratio of ALLL to total loans at 1.11%, down from 1.26% at December 31, 2021[170]. - Individually evaluated impaired loans decreased by $2.8 million, or 92.7%, to $216,000 at June 30, 2022, primarily due to payoffs of three impaired loans[174]. - Nonperforming loans totaled $921,000 at June 30, 2022, a decrease of $76,000 from $997,000 at December 31, 2021, with a nonperforming loan ratio of 0.07%[175]. Income and Expenses - Net interest income for the quarter ended June 30, 2022, totaled $11.5 million, an increase of $505,000, or 4.6%, compared to $11.0 million for the same quarter in 2021[198]. - Interest income increased by $1.0 million, or 7.6%, totaling $14.7 million for the quarter ended June 30, 2022, compared to $13.7 million for the same quarter in 2021[198]. - Net interest income for the six months ended June 30, 2022, was $22.3 million, an increase of $1.6 million, or 8.1%, compared to $20.7 million for the same period in 2021[209]. - Interest expense for the quarter ended June 30, 2022, totaled $3.2 million, an increase of $539,000, or 20.6%, compared to $2.6 million for the same quarter in 2021[199]. - Interest expense for the six months ended June 30, 2022, was $5.5 million, a decrease of $323,000, or 5.5%, compared to $5.9 million for the same period in 2021[211]. Deposits and Equity - Deposits totaled $1.4 billion at June 30, 2022, an increase of $131.1 million, or 10.5%, compared to $1.2 billion at December 31, 2021[187]. - Stockholders' equity increased by $7.4 million, or 5.9%, totaling $132.7 million at June 30, 2022, compared to $125.3 million at December 31, 2021[191]. Strategic Initiatives - The company exited the saleable-to-investors mortgage business in favor of portfolio lending with servicing retained, reflecting a strategic repositioning of its residential mortgage business model[164]. - The company continues to focus on serving closely held businesses and entrepreneurs, providing comprehensive commercial, retail, and mortgage lending services[160]. Regulatory and Compliance - The Holding Company is subject to various legal and regulatory policies impacting its ability to pay dividends on its stock[248]. - Management has concluded that the disclosure controls and procedures were effective as of the quarter ended June 30, 2022[253]. - No changes were made in internal controls over financial reporting in Q2 2022 that materially affected the internal control[253]. - The Company is not involved in any pending legal proceedings that would materially adversely affect its financial condition or results of operations[256].

Financial Position - Total assets increased by $48.6 million, or 3.3%, to $1.5 billion at March 31, 2022, compared to December 31, 2021[162]. - Cash and cash equivalents increased by $1.7 million, or 1.0%, to $168.3 million at March 31, 2022, attributed to net deposit balances and security maturities[162]. - Securities available for sale decreased by $3.3 million, or 20.5%, to $13.0 million at March 31, 2022, due to principal maturities[163]. - Total assets as of March 31, 2022, were $1,456.0 million, a decrease from $1,507.4 million in the same period of 2021[203]. - CFBank's cash, unpledged securities, and deposits in other financial institutions increased by $928,000, or 0.55%, to $169.9 million as of March 31, 2022, compared to $169.0 million at December 31, 2021[217]. Loan and Lease Performance - Net loans and leases rose by $67.2 million, or 5.5%, to $1.3 billion at March 31, 2022, driven by increases in single-family residential, commercial, and construction loan balances[164]. - The allowance for loan and lease losses (ALLL) was $15.5 million at March 31, 2022, with a ratio of ALLL to total loans at 1.20%, down from 1.26% at December 31, 2021[165]. - Individually evaluated impaired loans decreased by $2.0 million, or 65.9%, to $1.0 million at March 31, 2022, primarily due to the payoff of two impaired loans[169]. - Nonperforming loans totaled $1.0 million at March 31, 2022, with a ratio of nonperforming loans to total loans remaining stable at 0.08%[170]. - Total criticized and classified loans decreased by $2.0 million, or 32.7%, during the three months ended March 31, 2022[175]. - Total past due loans decreased by $2.6 million, totaling $946,000 at March 31, 2022, compared to $3.6 million at December 31, 2021[177]. Income and Expenses - Net income for the three months ended March 31, 2022, totaled $4.5 million, a decrease of $1.9 million, or 29.6%, compared to $6.4 million for the same period in 2021[190]. - Net interest income increased by $1.2 million, or 12.0%, totaling $10.8 million for the quarter ended March 31, 2022[192]. - Interest income increased by $295,000, or 2.3%, totaling $13.2 million for the quarter ended March 31, 2022[192]. - Interest expense decreased by $862,000, or 26.6%, totaling $2.4 million for the quarter ended March 31, 2022[193]. - Noninterest income decreased by $6.2 million, or 85.5%, to $1.0 million for the quarter ended March 31, 2022, primarily due to a $5.8 million decrease in net gain on the sale of residential mortgage loans[197]. - Noninterest expense for the quarter ended March 31, 2022, totaled $6.3 million, a decrease of $2.7 million, or 30.0%, compared to $9.0 million for the same quarter in 2021[198]. - Income tax expense was $1.0 million for the quarter ended March 31, 2022, a decrease of $432,000 compared to $1.5 million for the same quarter in 2021, with an effective tax rate of approximately 18.5%[199]. Deposits and Equity - Deposits totaled $1.3 billion at March 31, 2022, an increase of $52.4 million, or 4.2%, compared to $1.2 billion at December 31, 2021[182]. - Stockholders' equity increased by $3.0 million, or 2.4%, totaling $128.3 million at March 31, 2022[186]. - FHLB advances and other debt decreased by $6.5 million, or 7.2%, totaling $83.2 million at March 31, 2022[183]. Strategic Changes - The company strategically repositioned its Residential Mortgage Business, exiting the saleable-to-investors mortgage business in favor of portfolio lending[159]. - The company strategically scaled down its residential mortgage lending business in response to shifts in the mortgage industry, impacting both income and expenses[197][198]. Liquidity and Borrowing Capacity - Additional borrowing capacity at the FHLB increased by $14.9 million, or 13.2%, to $128.0 million at March 31, 2022, from $113.1 million at December 31, 2021[218]. - Additional borrowing capacity at the FRB increased by $17.2 million, or 23.8%, to $89.4 million at March 31, 2022, from $72.2 million at December 31, 2021[218]. - CFBank had $65.0 million of availability in unused lines of credit with two commercial banks as of March 31, 2022, unchanged from December 31, 2021[219]. - The Holding Company had an outstanding balance of $24.3 million on a $35.0 million credit facility as of March 31, 2022, which is revolving until May 21, 2024[225]. - Management believes that the Holding Company had adequate funds and sources of liquidity at March 31, 2022, to meet its current and anticipated operating needs[222]. - CFBank's liquidity management involves adjusting investments in liquid assets based on expected loan demand and deposit flows[214]. Regulatory and Compliance - The Holding Company is subject to various legal and regulatory policies impacting its ability to pay dividends on its stock, which depend on cash and liquidity available at the Holding Company level[227]. - Federal income tax laws provided deductions totaling $2.3 million for thrift bad debt reserves established before 1988, which could create a tax liability if certain conditions are met[228]. - The company maintains effective disclosure controls and procedures as of March 31, 2022[232]. - No changes were made to internal controls over financial reporting in Q1 2022 that materially affected the reporting[232]. - The company is not involved in any pending legal proceedings that would materially adversely affect its financial condition or results of operations[235].