Flagstar Financial, Inc. (FLG) reported a first-quarter 2025 loss per share of 23 cents, narrower than the Zacks Consensus Estimate of a loss of 26 cents. It had incurred a loss of 75 cents in the year-ago quarter.The results were primarily affected by a decline in net interest income (NII), along with lower loan and deposit balances. However, a rise in fee income and lower expenses acted as a tailwind.The results excluded certain non-recurring items. After considering these, the net loss available to commo ...

Flagstar Financial (FLG) Q1 2025 Earnings Call April 25, 2025 06:19 PM ET Company Participants Salvatore DiMartino - Executive VP & Director of Investor Relations Joseph Otting - Executive Chairman, President & CEO Lee Smith - Senior Executive Vice President & CFO Mark Fitzgibbon - Head of FSG Research Jared Shaw - Managing Director Ben Gerlinger - Vice President of Equity Research Christopher Marinac - Director of Research Christopher Mcgratty - MD & Head of U.S. Bank Research Ebrahim Poonawala - Managing ...

First Quarter 2025 Results April 25, 2025 Our forward‐looking statements are subject to, among others, the following principal risks and uncertainties: general economic conditions and trends, either nationally or locally; conditions in the securities, credit and financial markets; changes in interest rates; changes in deposit flows, and in the demand for deposit, loan, and investment products and other financial services; changes in real estate values; changes in the quality or composition of our loan or in ...

For the quarter ended March 2025, Flagstar Financial (FLG) reported revenue of $490 million, down 22.6% over the same period last year. EPS came in at -$0.23, compared to -$0.75 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $518.85 million, representing a surprise of -5.56%. The company delivered an EPS surprise of +11.54%, with the consensus EPS estimate being -$0.26.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings - ...

102 Duffy Avenue, Hicksville, NY 11801 ● Phone: (516) 683-4420 ● flagstar.com FLAGSTAR FINANCIAL, INC. REPORTS FIRST QUARTER 2025 GAAP NET LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS OF $0.26 PER DILUTED SHARE AND NON-GAAP ADJUSTED NET LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS OF $0.23 PER DILUTED SHARE | | | First Quarter 2025 Summary | | --- | --- | --- | | | Asset Quality | Loans, Deposits, and Funding | | • | Total ACL of $1,215 million or 1.82% of total loans HFI | • Continue to reduce total CRE exposure | ...

Core Viewpoint - Flagstar Financial, Inc. reported a net loss of $100 million for Q1 2025, an improvement from previous quarters, indicating progress towards profitability and strategic transformation into a top-performing regional bank [1][2][6]. Asset Quality - Total allowance for credit losses (ACL) was $1,215 million, representing 1.82% of total loans held for investment (HFI), a slight decrease from 1.83% in the previous quarter [1][43]. - Criticized loans declined by $885 million or 6% compared to the prior quarter [1]. - Non-accrual loans held for investment increased to $3,280 million, up 25% from the previous quarter [37]. Loans, Deposits, and Funding - Total loans and leases held for investment decreased by $1.7 billion or 2% to $66.6 billion [8]. - Multi-family loans decreased by $656 million or 2% to $33.4 billion, while commercial real estate (CRE) loans decreased by $326 million or 3% to $11.5 billion [8]. - Total deposits were $73.9 billion, a decrease of $2.0 billion or 3% linked-quarter [13]. Capital - The Common Equity Tier 1 (CET1) capital ratio improved to 11.9%, exceeding peer group levels [1][45]. - Book value per common share was $18.43, and tangible book value per share was $17.33 [1]. Liquidity - The company maintained ample liquidity of $30 billion, representing 231% coverage on uninsured deposits [1][45]. - Available borrowing capacity was $18.1 billion, supported by high-quality liquid assets [1]. Earnings Summary - Net interest income for Q1 2025 was $410 million, down 11% from Q4 2024, primarily due to a smaller balance sheet [17]. - Non-interest income totaled $80 million, a significant decrease from $164 million in the previous quarter [29]. - Total revenues decreased by 22% to $490 million compared to the previous quarter [28]. Non-Interest Expense - Non-interest expense totaled $532 million, down 26% linked-quarter and 24% year-over-year [33]. - Adjusted non-interest expenses were $485 million, reflecting a 13% decrease linked-quarter [34]. Credit Quality - Net charge-offs for Q1 2025 totaled $115 million, down 48% from the previous quarter [27]. - The provision for credit losses decreased by $66 million compared to the previous quarter, attributed to lower net charge-offs [26]. Strategic Focus - The company aims to improve its earnings profile, manage commercial real estate exposure, and enhance credit quality [3][6]. - The addition of 15 bankers to the commercial lending team reflects ongoing efforts to strengthen the business [4].

Wall Street expects a year-over-year increase in earnings on lower revenues when Flagstar Financial (FLG) reports results for the quarter ended March 2025. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on April 25, 2025, might help the stock move higher if these key numbers are better than ...

Flagstar Financial, Inc. (NYSE: FLG ) is a stock that I began covering last June and again later in September . In both cases, I rated it a Buy on its discount to tangible book value per shareI analyze securities based on value investing, an owner's mindset, and a long-term horizon. I don't write sell articles as those are considered short theses, and I never recommend shorting.Former advisory representative at Fidelity. I do my own investing now and share my research here.Analyst’s Disclosure: I/we have no ...

HICKSVILLE, N.Y., April 2, 2025 /PRNewswire/ -- Flagstar Financial, Inc. (NYSE: FLG) (the "Company") today announced that it plans to issue results for the three months ended March 31, 2025 at approximately 6:00 a.m. Eastern Time (ET) on Friday, April 25, 2025. The earnings release and presentation will be posted to the Investor Relations portion of the Company's website, ir.flagstar.com shortly after issuance.  The Company will conduct a conference call at 8:00 a.m. (ET) on the same date, during which Chai ...

Loan and Credit Risk - As of December 31, 2024, the company's total loans and leases held for investment included $34.1 billion (49.9%) in multi-family loans and $8.7 billion (12.7%) in commercial real estate loans[163]. - The commercial real estate loan portfolio included $2.4 billion (27.7%) secured by office buildings, which may face future losses due to declining occupancy and rental rates[164]. - The concentration in multi-family and commercial real estate loans exposes the company to increased lending risks and potential loan losses[163]. - Economic weakness in the New York City metropolitan region could adversely impact the company's financial condition and results of operations[166]. - The company may need to increase its allowance for credit losses due to growth in the loan portfolio, which would reduce net income[163]. - Economic conditions could adversely affect the value of loans and securities, leading to increased loan delinquencies and potential losses[196]. Regulatory and Compliance Risks - Approximately 21.2% of the company's total deposits of $75.9 billion were not FDIC-insured as of December 31, 2024[173]. - The company is subject to comprehensive supervision and regulation by the FRB and OCC, which includes maintaining minimum capital requirements[180]. - Failure to meet capital requirements could result in limitations on the company's activities, including the ability to pay dividends and conduct business expansions[180]. - The company is classified as a Category IV banking organization, subject to enhanced liquidity risk management requirements[183]. - Non-compliance with the Bank Secrecy Act could result in significant civil monetary penalties and reputational damage[184]. - The company must comply with various consumer protection laws, including the Community Reinvestment Act, to avoid regulatory sanctions[190]. - Regulatory changes could impose additional capital or liquidity requirements, adversely affecting the company's operations and financial condition[180]. - The company is subject to regulatory capital requirements that may change, potentially leading to more stringent capital or liquidity requirements[198]. - The company faces risks related to credit loss provisions that may need to be adjusted based on regulatory reviews, potentially affecting financial results[162]. Dividend and Capital Management - The company is currently paying quarterly cash dividends at $0.01 per share, with potential regulatory changes posing risks to future dividend payments[175]. - The inability to receive dividends from the subsidiary bank could impact the company's ability to maintain or increase cash dividends to stockholders[176]. - Series B Preferred Stock dividends are payable at a rate of 13% per annum, payable quarterly and in arrears[178]. - Non-payment of dividends on Series A and Series B Preferred Stock could limit the company's ability to declare or pay dividends in the future[178]. - The company may need to raise additional capital in the future, which could dilute existing shareholders' ownership[200]. Operational and Strategic Risks - The company is undergoing significant changes in its Board of Directors and executive leadership, with multiple resignations and new appointments, which may create uncertainties for its business[213][214]. - The Board of Directors approved a new 2025-2027 Strategic Plan focused on transforming the Company into a top-tier regional bank, creating a customer-centric culture, and establishing effective risk management[215]. - The Company is pursuing a plan to diversify its loan portfolio by reducing its commercial real estate concentration, which may take considerable time and management attention[219]. - There are risks associated with the diversification process, including potential disruptions to business operations, loss of key employees, and failure to achieve anticipated benefits[220]. - The Company faces operational risks from reliance on third-party providers for key business functions, which could adversely impact service delivery and financial performance[209]. - The Company may experience challenges in integrating operations from recent acquisitions, which could hinder expected benefits[202]. Cybersecurity and Technology Risks - Cybersecurity risks have heightened, with potential breaches leading to increased expenses and reputational damage[205]. - The Company is exposed to cybersecurity risks and must maintain disclosure controls to notify investors of material incidents, which could have financial, legal, or reputational consequences[208]. - Compliance with evolving cybersecurity regulations may impose additional operational burdens and costs on the company[206]. - The Company could be adversely affected by extraordinary events beyond its control, such as natural disasters or geopolitical instabilities, impacting its financial condition and operations[225]. - The Company may face challenges in keeping pace with technological changes, which could impact its competitiveness in the market[210]. - The company's stress testing processes rely on potentially inadequate models, which could lead to unexpected losses[204]. Environmental, Social, and Governance (ESG) Risks - Increasing scrutiny on environmental, social, and governance (ESG) practices may lead to higher operational costs for the company[227]. - Failure to comply with ESG regulations could negatively impact the company's reputation and stock price[227]. - New government regulations may introduce more stringent ESG oversight and reporting requirements[227]. - Concerns over climate change may lead to changes in investor, consumer, and business behavior, affecting the company's operations[227]. - The company may face cost increases and asset value reductions due to climate change-related impacts[227]. - Creditworthiness of some customers may decline due to climate change considerations[227]. - Investors may choose not to invest in the company's securities based on climate change-related factors[227]. - The company's risk management efforts may not fully mitigate the impacts of new laws and regulations[227].