Flushing Financial (US:FFIC)2025-11-05 20:43Financial Performance - Net interest income increased to $53,828 thousand for the three months ended September 30, 2025, compared to $45,603 thousand for the same period in 2024, reflecting a growth of 17.8%[11] - Net income for the three months ended September 30, 2025, was $10,447 thousand, an increase of 17.3% from $8,906 thousand in the same period of 2024[11] - Basic earnings per common share remained stable at $0.30 for both the three months ended September 30, 2025, and 2024[11] - Comprehensive net income for the three months ended September 30, 2025, was $11,753,000, compared to $7,423,000 in 2024, marking an increase of 58.5%[14] - For the nine months ended September 30, 2025, net income totaled $14,854,000, down from $17,912,000 in 2024, reflecting a decrease of 17.4%[14] - For the nine months ended September 30, 2025, net income attributable to common stock was $14,473, a decrease of 17.5% compared to $17,616 for the same period in 2024[30] - Basic earnings per common share for the nine months ended September 30, 2025, was $0.43, down from $0.60 in the same period of 2024, reflecting a decline of 28.3%[30] Asset and Liability Management - Total assets decreased to $8,871,991 thousand as of September 30, 2025, down from $9,038,972 thousand at December 31, 2024, representing a decline of 1.84%[8] - Total liabilities decreased to $8,160,765 thousand as of September 30, 2025, down from $8,314,433 thousand at December 31, 2024, a reduction of 1.85%[8] - The total due to depositors increased to $7,332,831 thousand as of September 30, 2025, from $7,125,851 thousand at December 31, 2024, reflecting a growth of 2.9%[8] - Total assets increased to $711,226,000 as of September 30, 2025, compared to $666,891,000 as of September 30, 2024, reflecting a growth of 6.6%[17] Credit Losses and Provisions - The allowance for credit losses increased to $41,837 thousand as of September 30, 2025, compared to $40,152 thousand at December 31, 2024, indicating a rise of 4.2%[8] - The company reported a provision for credit losses of $1,531 thousand for the three months ended September 30, 2025, compared to $1,727 thousand in the same period of 2024, a decrease of 11.3%[11] - The provision for credit losses for the nine months ended September 30, 2025, was $10,043,000, significantly higher than $3,128,000 in 2024, indicating an increase of 220.5%[20] - The allowance for credit losses (ACL) on loans totaled $41,800 thousand on September 30, 2025, representing 0.63% of gross loans, an increase from 0.60% on December 31, 2024[52] - The ACL on loans represented 93.3% of non-performing loans as of September 30, 2025, compared to 120.5% on December 31, 2024[52] Non-Interest Income and Expenses - Total non-interest income for the nine months ended September 30, 2025, was $20,097 thousand, up from $13,577 thousand in the same period of 2024, marking a significant increase of 48.0%[11] - Non-interest expense for the three months ended September 30, 2025, was $43,365 thousand, compared to $38,696 thousand for the same period in 2024, an increase of 12.0%[11] - Non-interest income for the three months ended September 30, 2025, was $4.7 million, down from $6.3 million in the same period of 2024[171] - Total non-interest expense increased to $43.4 million for the three months ended September 30, 2025, from $38.7 million in the same period of 2024[171] Loan Performance - Total loans, net of fees and costs, amounted to $6,670,333 thousand as of September 30, 2025, compared to $6,745,848 thousand on December 31, 2024, reflecting a decrease of 1.1%[46] - The total amount of loans past due (30-89 days) as of September 30, 2025, was $10,575,000, while loans greater than 90 days past due totaled $44,984,000, contributing to a total of $57,380,000 in past due loans[63] - Non-performing assets totaled $62.1 million at September 30, 2025, an increase of $10.8 million, or 21.1%, from December 31, 2024[198] - The total amount of Special Mention loans was $13,747 thousand, indicating potential risk[67] Capital and Regulatory Compliance - As of September 30, 2025, the Bank's Tier I (leverage) capital level was $895,465, representing 10.30% of assets, exceeding the well-capitalized requirement of 5.00% by $460,624[146] - The Common Equity Tier I risk-based capital level was $895,465, or 13.38% of assets, surpassing the well-capitalized requirement of 6.50% by $460,418[146] - The total risk-based capital level for the Bank was $938,033, or 14.02% of assets, exceeding the well-capitalized requirement of 10.00% by $268,730[146] - The Company continues to be categorized as "well-capitalized" under regulatory standards as of September 30, 2025[148] Shareholder Returns - The company declared dividends on common stock at $0.22 per share, totaling $7,586,000 for the three months ended September 30, 2025[17] - Cash dividends paid increased to $22,703 for the nine months ended September 30, 2025, compared to $19,582 in 2024, representing a rise of 10.9%[22] - Dividends per common share remained consistent at $0.22 for both the three months ended September 30, 2025, and 2024[171] Market and Investment Activities - The company sold available-for-sale securities totaling $80.7 million during the three months ended September 30, 2025, achieving an average yield of 5.29%[44] - The company reported a net cash provided by investing activities for the nine months ended September 30, 2025, was $150,678,000, a significant recovery from a net cash used of $652,676,000 in 2024[20] - The company has $647.3 million of interest rate swaps outstanding to mitigate exposure to rising interest rates on fixed-rate loans as of September 30, 2025[126]