IF Bancorp(US:IROQ)2024-05-13 15:31Financial Performance - Net income for the nine months ended March 31, 2024, was $1.4 million, compared to $4.1 million for the same period in 2023[163]. - Net income decreased by $2.7 million to $1.4 million for the nine months ended March 31, 2024, compared to $4.1 million for the same period in 2023[181]. - Net income for the three months ended March 31, 2024, increased by $18,000 to $708,000 compared to $690,000 for the same period in 2023[193]. Assets and Loans - Total assets increased by $56.0 million, or 6.6%, to $905.0 million at March 31, 2024, from $849.0 million at June 30, 2023[172]. - Net loans receivable increased by $55.9 million, or 9.5%, to $643.3 million at March 31, 2024, primarily driven by a $38.1 million, or 42.5%, increase in multi-family loans[173]. - Total loans for the three months ended March 31, 2024, amounted to $661,492 thousand, generating interest income of $9,273 thousand with a yield of 5.61%, compared to $581,600 thousand in loans and $6,690 thousand in interest income at a yield of 4.60% for the same period in 2023[231]. Interest Income and Expense - Net interest income decreased to $13.2 million for the nine months ended March 31, 2024, from $17.3 million for the same period in 2023[161]. - Interest and dividend income increased by $6.9 million, or 29.7%, to $30.3 million for the nine months ended March 31, 2024, driven by a $6.8 million increase in interest on loans[184]. - Interest expense increased by $11.0 million, or 182.5%, to $17.1 million for the nine months ended March 31, 2024, primarily due to an $8.4 million increase in interest on deposits[185]. Credit Losses and Allowance - The allowance for credit losses is evaluated regularly and reflects significant judgments and assumptions regarding the collectability of the loan portfolio[168]. - Provision for credit losses totaled $196,000 for the nine months ended March 31, 2024, compared to $253,000 for the same period in 2023, with an allowance for credit losses at $7.7 million, or 1.19% of total loans[188]. - The company recorded a provision (credit) for credit losses of $(390,000) for the three months ended March 31, 2024, compared to a provision of $240,000 for the same period in 2023, reflecting a significant recovery in the loan portfolio[200]. Deposits and Equity - Deposits decreased by $53.5 million, or 7.3%, to $681.8 million at March 31, 2024, primarily due to a significant withdrawal from a public entity[178]. - Total equity increased by $631,000, or 0.9%, to $72.4 million as of March 31, 2024, from $71.8 million at June 30, 2023, primarily due to net income of $1.4 million[180]. Noninterest Income and Expense - Noninterest income increased by $155,000, or 5.1%, to $3.2 million for the nine months ended March 31, 2024, primarily due to gains on the sale of loans and securities[190]. - Noninterest expense decreased by $222,000, or 1.5%, to $14.4 million for the nine months ended March 31, 2024, with notable decreases in compensation and benefits[191]. - Noninterest income increased by $198,000, or 21.0%, to $1.1 million for the three months ended March 31, 2024, driven by increases in mortgage banking income, insurance commissions, and gains on loan sales[201]. Regulatory and Capital Ratios - As of March 31, 2024, the Community Bank Leverage Ratio was 9.03%, slightly down from 9.51% on June 30, 2023, and above the minimum requirement of 9.00%[229]. - The Association maintained a well-capitalized status under the regulatory framework for prompt corrective action, with no changes in conditions or events affecting this status[228]. Cash Flow and Commitments - Net cash provided by operating activities was $1.1 million for the nine months ended March 31, 2024, compared to $1.7 million for the same period in 2023[219]. - The company had commitments to fund loans of $9.1 million and lines of credit totaling $75.9 million as of March 31, 2024[221].