Magyar Bancorp(US:MGYR)2024-08-13 19:16Financial Performance - Net income decreased by $227 thousand, or 11.8%, to $1.7 million for the three-month period ended June 30, 2024, compared to $1.9 million for the same period in 2023[129]. - Net income decreased by $284 thousand, or 5.1%, to $5.2 million during the nine months ended June 30, 2024, compared to $5.5 million for the same period in 2023[142]. - Net interest and dividend income decreased by $106 thousand, or 1.5%, to $6.8 million for the three months ended June 30, 2024, from $6.9 million for the same period in 2023[131]. - Net interest and dividend income increased by $226 thousand, or 1.1%, to $21.0 million for the nine months ended June 30, 2024, from $20.7 million in the prior year[142]. - Other income decreased by $213 thousand, or 11.5%, to $1.6 million during the nine months ended June 30, 2024, compared to $1.9 million in the prior year[150]. Asset and Loan Growth - Total assets increased by $37.1 million, or 4.1%, to $944.4 million as of June 30, 2024, from $907.3 million at September 30, 2023[110]. - Total loans receivable rose by $62.2 million, or 8.9%, to $760.4 million at June 30, 2024, driven primarily by increases in commercial real estate loans[111]. - The average balance of loans receivable increased by $69.9 million to $744.9 million during the three months ended June 30, 2024, from $675.0 million during the same period in 2023[133]. - The average balance of loans receivable increased by $63.5 million to $724.8 million during the nine months ended June 30, 2024, from $661.3 million in the prior year[144]. - Total assets increased to $935.5 million as of June 30, 2024, compared to $827.9 million as of June 30, 2023[128]. Deposits and Equity - Total deposits increased by $33.7 million, or 4.5%, to $789.2 million at June 30, 2024, with significant inflows in certificates of deposit and interest-bearing checking accounts[120]. - Stockholders' equity grew by $4.2 million, or 4.1%, to $109.0 million at June 30, 2024, primarily due to net income of $5.2 million[123]. - The Company's Tier 1 capital as a percentage of total assets was 10.92% as of June 30, 2024[154]. Interest Income and Expense - Interest and dividend income increased by $2.5 million, or 26.1%, to $12.3 million for the three months ended June 30, 2024, compared to $9.8 million for the same period in 2023[132]. - Interest and dividend income increased by $8.3 million, or 30.4%, to $35.8 million for the nine months ended June 30, 2024, from $27.5 million in the same period in 2023[143]. - Interest expense increased by $2.6 million, or 92.0%, to $5.5 million for the three months ended June 30, 2024, compared to $2.9 million for the same period in 2023[135]. - Interest expense increased by $8.1 million, or 120.8%, to $14.9 million for the nine months ended June 30, 2024, compared to $6.7 million for the same period in 2023[146]. Credit Quality - The allowance for credit losses increased by $16 thousand to $8.3 million during the nine months ended June 30, 2024, with provisions for credit loss totaling $441 thousand[115]. - Non-performing loans decreased by $532 thousand, or 10.5%, to $4.6 million at June 30, 2024, resulting in a ratio of non-performing loans to total loans of 0.60%[114]. - The allowance for on-balance sheet loan losses as a percentage of total loans was 1.02% at June 30, 2024, compared to 1.19% at September 30, 2023[116]. - The Company's provision for credit losses was $441 thousand for the nine months ended June 30, 2024, compared with $432 thousand for the same period in 2023[149]. Share Repurchase - The company repurchased a total of 85,628 shares of its common stock during the nine months ended June 30, 2024[158]. - The weighted average price for shares repurchased was $12.40, with 509,269 shares held in treasury[158]. - The stock repurchase program allows for up to 5% of outstanding shares, equating to 337,146 shares, with 150,688 shares remaining subject to repurchase as of June 30, 2024[158]. - In the quarter ended June 30, 2024, a total of 13,883 shares were repurchased at an average price of $11.08 per share[160]. - The breakdown of shares repurchased in the quarter includes 8,579 shares in April, 3,444 shares in May, and 1,860 shares in June[160]. Investment Securities - Investment securities totaled $94.5 million at June 30, 2024, reflecting a decrease of $1.5 million, or 1.5%, from $96.0 million at September 30, 2023[117]. - Interest earned on investment securities increased by $606 thousand, or 85.8%, to $1.3 million for the three months ended June 30, 2024, from $706 thousand for the same period in 2023[134]. Interest-Earning Assets - The average yield on interest-earning assets increased by 59 basis points to 5.50% for the three months ended June 30, 2024, from 4.91% for the same period in 2023[132]. - The average balance of interest-earning deposits increased by $32.2 million during the same period[132]. - The net interest margin decreased by 44 basis points to 3.02% for the three months ended June 30, 2024, from 3.46% for the same period in 2023[131]. - The yield on loans receivable increased by 53 basis points to 5.90% for the three months ended June 30, 2024, from 5.37% for the same period in 2023[133].