FFD Financial Corp. (FFDF, Financial) filed Quarterly Report for the period ended 2009-03-31.
FFD Financial Corporation is a savings and loan holding company which owns all of the issued and outstanding common shares of First Federal Savings Bank of Dover now known as First Federal Community Bank a federal savings bank. FFD Financial Corp. has a market cap of $11.1 million; its shares were traded at around $11 with a P/E ratio of 11.9 and P/S ratio of 0.9. The dividend yield of FFD Financial Corp. stocks is 6.2%. FFD Financial Corp. had an annual average earning growth of 11.8% over the past 5 years.
Shareholders equity totaled $17.8 million at March 31, 2009, a decrease of $356,000, or 2.0%, over June 30, 2008. The decrease was due primarily the purchase of 65,833 treasury shares for $794,000 and dividends paid of $531,000, which were partially offset by period net earnings of $735,000, a decrease in the unrealized loss on securities designated as available for sale of $83,000, the return of previously paid recognition and retention plan dividends of $65,000 to retained earnings, and $49,000 from the exercise of stock options.
Total interest income decreased by $1.1 million, or 11.8%, to $7.9 million for the nine months ended March 31, 2009, compared to the same period in 2008. Interest income on loans decreased by $1.0 million, or 11.8%, due to a 93 basis point decrease in yield, which was partially offset by an increase of $1.8 million, or 1.1%, in the average loan portfolio balance outstanding. Interest income on investment securities increased by $69,000, or 52.7%, due to a $2.1 million, or 58.5%, increase in the average balance outstanding, which was partially offset by a 17 basis point decrease in yield. Interest-bearing deposits and other decreased by $106,000, or 47.1%, to a total of $119,000, due to a $723,000, or 10.5%, decrease in the average balance outstanding and a 226 basis point decrease in yield.
General, administrative and other expense totaled $3.7 million for the nine months ended March 31, 2009, an increase of $261,000, or 7.6%, compared to the same period in 2008. The increase in general, administrative and other expense includes increases of $113,000, or 7.4%, in employee compensation and benefits, $91,000, or 758.3%, in FDIC insurance premium expense, $82,000, or 20.8%, in other operating expense, $7,000, or 3.6%, in professional and consulting fees, $6,000, or 2.3%, in data processing, $3,000, or 2.4%, in postage and stationary supplies, and $1,000, or 0.6%, in checking account maintenance expense, which were partially offset by decreases of $30,000, or 24.6%, in advertising, $7,000, or 6.7%, in ATM processing, and $5,000, or 1.4%, in occupancy and equipment expense. The increase in employee compensation and benefits was the result of growth in the number of employees year over year and a slight increase in wage rates, offset by a decrease in bonus compensation. The increase in other noninterest expense was the result of increases in internet banking expense. The FDIC insurance premium increase was the result of generally increased FDIC premiums and the depletion in the fourth quarter of fiscal 2008 of the FDIC credit related to the FDIC Reform Act of 2005.
Total interest income decreased by $363,000, or 12.5%, to $2.5 million for the three months ended March 31, 2009, compared to the same period in 2008. Interest income on loans decreased by $340,000, or 12.2%, due to a 92 basis point decrease in yield, which was partially offset by an increase of $1.9 million, or 1.2%, in the average loan portfolio balance outstanding. Interest income on investment securities increased by $11,000, or 23.4%, due to a $1.8 million, or 44.5%, increase in the average balance outstanding, which was partially offset by a 71 basis point decrease in yield. Interest income on interest bearing deposits and other decreased by $32,000, or 51.6%, to a total of $30,000, due to a 224 basis point decrease in the yield, which was partially offset by a $1.9 million, or 27.0%, increase in the average balance outstanding.
General, administrative and other expense totaled $1.3 million for the three months ended March 31, 2009, an increase of $101,000, or 8.8%, compared to the same period in 2008. The increase in general, administrative and other expense includes increases of $49,000, or 38.3%, in other operating expense, $42,000 in FDIC insurance premium expense, $38,000, or 7.3%, in employee compensation and benefits, $4,000, or 7.4%, in checking account maintenance expense, and $1,000 in occupancy and equipment, franchise tax, and postage and stationary supplies, which were partially offset by decreases of $18,000, or 26.1%, in professional and consulting fees, $10,000, or 32.3%, in advertising, $5,000, or 5.6% in data processing, and $2,000, or 6.3% in ATM processing. The increase in employee compensation and benefits was the result of growth in the number of employees period over period and a slight increase in wage rates, offset by a decrease in bonus compensation. The FDIC insurance premium increase was the result of generally increased FDIC premiums and the depletion in the fourth quarter of fiscal 2008 the FDIC credit related to the FDIC Reform Act of 2005.
Read the The complete Report
FFD Financial Corporation is a savings and loan holding company which owns all of the issued and outstanding common shares of First Federal Savings Bank of Dover now known as First Federal Community Bank a federal savings bank. FFD Financial Corp. has a market cap of $11.1 million; its shares were traded at around $11 with a P/E ratio of 11.9 and P/S ratio of 0.9. The dividend yield of FFD Financial Corp. stocks is 6.2%. FFD Financial Corp. had an annual average earning growth of 11.8% over the past 5 years.
Highlight of Business Operations:
Loans receivable totaled $159.9 million at March 31, 2009, an increase of $3.6 million, or 2.3%, from the June 30, 2008 total. During the period, the Corporation originated $58.1 million of loans, which were substantially offset by principal repayments of $53.9 million. During the nine-month period ended March 31, 2009, loan originations were comprised of $39.1 million of one- to four-family residential real estate loans, $14.1 million of nonresidential real estate loans, $2.3 million of consumer loans, $2.2 million of commercial loans, and $500,000 of multifamily real estate loans. Residential loan demand during the quarter ended March 31, 2009, remained strong due to relatively low interest rates. Nonresidential real estate and commercial lending have historically demonstrated a higher degree of risk than one- to four-family residential real estate lending due to the relatively larger loan amounts and the effects of general economic conditions on the successful operation of income-producing properties and businesses. The Corporation endeavors to reduce this risk by evaluating the credit history and past performance of the borrower, the location of the real estate, the quality of the management operating the property or business, the debt service ratio, the quality and characteristics of the income stream generated by the property or business and appraisals supporting the real estate or collateral valuation. To further reduce risk, First Federal has not and does not originate sub-prime real estate loans.Shareholders equity totaled $17.8 million at March 31, 2009, a decrease of $356,000, or 2.0%, over June 30, 2008. The decrease was due primarily the purchase of 65,833 treasury shares for $794,000 and dividends paid of $531,000, which were partially offset by period net earnings of $735,000, a decrease in the unrealized loss on securities designated as available for sale of $83,000, the return of previously paid recognition and retention plan dividends of $65,000 to retained earnings, and $49,000 from the exercise of stock options.
Total interest income decreased by $1.1 million, or 11.8%, to $7.9 million for the nine months ended March 31, 2009, compared to the same period in 2008. Interest income on loans decreased by $1.0 million, or 11.8%, due to a 93 basis point decrease in yield, which was partially offset by an increase of $1.8 million, or 1.1%, in the average loan portfolio balance outstanding. Interest income on investment securities increased by $69,000, or 52.7%, due to a $2.1 million, or 58.5%, increase in the average balance outstanding, which was partially offset by a 17 basis point decrease in yield. Interest-bearing deposits and other decreased by $106,000, or 47.1%, to a total of $119,000, due to a $723,000, or 10.5%, decrease in the average balance outstanding and a 226 basis point decrease in yield.
General, administrative and other expense totaled $3.7 million for the nine months ended March 31, 2009, an increase of $261,000, or 7.6%, compared to the same period in 2008. The increase in general, administrative and other expense includes increases of $113,000, or 7.4%, in employee compensation and benefits, $91,000, or 758.3%, in FDIC insurance premium expense, $82,000, or 20.8%, in other operating expense, $7,000, or 3.6%, in professional and consulting fees, $6,000, or 2.3%, in data processing, $3,000, or 2.4%, in postage and stationary supplies, and $1,000, or 0.6%, in checking account maintenance expense, which were partially offset by decreases of $30,000, or 24.6%, in advertising, $7,000, or 6.7%, in ATM processing, and $5,000, or 1.4%, in occupancy and equipment expense. The increase in employee compensation and benefits was the result of growth in the number of employees year over year and a slight increase in wage rates, offset by a decrease in bonus compensation. The increase in other noninterest expense was the result of increases in internet banking expense. The FDIC insurance premium increase was the result of generally increased FDIC premiums and the depletion in the fourth quarter of fiscal 2008 of the FDIC credit related to the FDIC Reform Act of 2005.
Total interest income decreased by $363,000, or 12.5%, to $2.5 million for the three months ended March 31, 2009, compared to the same period in 2008. Interest income on loans decreased by $340,000, or 12.2%, due to a 92 basis point decrease in yield, which was partially offset by an increase of $1.9 million, or 1.2%, in the average loan portfolio balance outstanding. Interest income on investment securities increased by $11,000, or 23.4%, due to a $1.8 million, or 44.5%, increase in the average balance outstanding, which was partially offset by a 71 basis point decrease in yield. Interest income on interest bearing deposits and other decreased by $32,000, or 51.6%, to a total of $30,000, due to a 224 basis point decrease in the yield, which was partially offset by a $1.9 million, or 27.0%, increase in the average balance outstanding.
General, administrative and other expense totaled $1.3 million for the three months ended March 31, 2009, an increase of $101,000, or 8.8%, compared to the same period in 2008. The increase in general, administrative and other expense includes increases of $49,000, or 38.3%, in other operating expense, $42,000 in FDIC insurance premium expense, $38,000, or 7.3%, in employee compensation and benefits, $4,000, or 7.4%, in checking account maintenance expense, and $1,000 in occupancy and equipment, franchise tax, and postage and stationary supplies, which were partially offset by decreases of $18,000, or 26.1%, in professional and consulting fees, $10,000, or 32.3%, in advertising, $5,000, or 5.6% in data processing, and $2,000, or 6.3% in ATM processing. The increase in employee compensation and benefits was the result of growth in the number of employees period over period and a slight increase in wage rates, offset by a decrease in bonus compensation. The FDIC insurance premium increase was the result of generally increased FDIC premiums and the depletion in the fourth quarter of fiscal 2008 the FDIC credit related to the FDIC Reform Act of 2005.
Read the The complete Report
