Broadway Finl Corp Del Stock Price, News & Analysis

Broadway Financial Corporation (NASDAQ: BYFC) reported a consolidated net earnings of $958,000 or $0.01 per diluted share for Q1 2022, a recovery from a net loss of $3.5 million or ($0.13) per share in Q1 2021. The positive results stem from a $4.3 million increase in net interest income and a $2.7 million reduction in non-interest expenses, influenced by the merger with CFBanc Corporation. Total assets surpassed $1.1 billion, with loan originations rising over 125% year-over-year. The company also simplified its capital structure by exchanging Series A Preferred Stock for Class A Common Stock, anticipating a $150 million issuance under the ECIP.

Broadway Financial Corporation (NASDAQ: BYFC) reported a consolidated net loss of $1.4 million for Q4 2021, an increase from a loss of $581 thousand in Q4 2020. This loss was attributed to a $2 million rise in non-interest expenses, including significant data processing costs related to their recent merger with CFBanc Corporation. For the full year 2021, the net loss was $4.1 million, up from $642 thousand in 2020. Total assets surged to $1.1 billion, driven by merger activities, while net interest income increased by 72.6% year-over-year, reflecting growth in interest-earning assets. Non-performing loans decreased to 0.06% of total assets.

Broadway Financial Corporation (BYFC) announced eligibility for a $142.5 million equity investment from the U.S. Treasury under the Emergency Capital Investment Program (ECIP). This initiative involves over $8.7 billion allocated to 186 Community Development Financial Institutions to enhance funding for underserved communities. The investment will take the form of Senior Perpetual Noncumulative Preferred Stock, with a dividend rate of 0.5% to 2%.

As of September 30, 2021, Broadway reported stockholders’ equity of $143.3 million.

Broadway Financial Corporation reported a net income of $182,000, or $0.00 per diluted share, for Q3 2021, a decrease from $701,000 in Q2 2021 and an increase from a net loss of $244,000 in Q3 2020. Net interest income rose by $2.2 million due to increased loan and grant income, but operating expenses rose by $1.7 million due to the merger with CFBanc Corporation. Total assets reached nearly $1.1 billion, with loans receivable growing to $642 million. For the first nine months of 2021, the company reported a net loss of $2.6 million, primarily due to merger-related costs.

Broadway Financial Corporation (BYFC) announced the resignation of Mr. Jack T. Thompson from its Board and the Board of its subsidiary, City First Bank, effective September 15, 2021. His resignation was due to personal professional reasons and not due to any disagreements with the company. Mr. Thompson has been influential in the company's operations since joining in January 2019, particularly in financing its recapitalization. The company plans to fill his vacancy following a thorough search process.

Broadway Financial Corporation (BYFC) reported a consolidated net income of $701,000, or $0.01 per diluted share, for Q2 2021. This contrasts with a net loss of $3.5 million in Q1 2021. The results reflect the merger with CFBanc Corporation, completed on April 1, 2021, which significantly boosted total assets to over $1 billion. The company raised $32.9 million through common stock sales, enhancing liquidity. However, a high tax rate of 71.3% affected the bottom line. Overall, Broadway's net interest income improved substantially, driven by a growing loan portfolio.

Broadway Financial Corporation (BYFC) reported a consolidated net loss of $3.5 million, or ($0.13) per share, for Q1 2021, contrasting with a minor loss of $33,000 in Q1 2020. The loss primarily stemmed from $5.4 million in merger-related expenses due to the recent merger with CFBanc Corporation on April 1, 2021. The merger led to a capital raise of $32.9 million through private placements, enhancing equity capitalization. Net interest income slightly declined to $2.8 million, reflecting decreased interest from loans and securities, although deposit interest expenses also fell sharply.

Broadway Financial Corporation (Nasdaq-CM: BYFC) announced the successful closure of its private placement, raising $32.88 million by issuing 18,474,000 shares of common stock. The funds will support loans for multifamily affordable housing and small businesses in low-to-moderate income areas, particularly in Southern California and the DC region. This influx will increase Broadway's total equity by 30%, enabling potential investments to rise up to eight times over time, according to President/CEO Brian E. Argrett.

Broadway Financial Corporation (Nasdaq-CM: BYFC) and CFBanc Corporation have successfully merged, creating CityFirstBroadway, the largest Black-led Minority Depository Institution in the U.S. with over $1 billion in assets. The merger, finalized today, enhances their commitment to financial underserved urban areas by providing comprehensive loan products aimed at affordable housing and small businesses. The merger's structure allows Broadway's shareholders to own approximately 52.5% and CFB's shareholders 47.5% of the combined entity, enhancing capital supporting community initiatives.