FFW Corporation Announces Earnings for the Fiscal Year Ended June 30, 2025

Rhea-AI Summary

FFW Corporation (OTC PINK: FFWC), parent of Crossroads Bank, reported strong financial results for fiscal year 2025. The company achieved net income of $5.54 million ($5.01 per share) for the twelve months ended June 30, 2025, a significant increase from $4.09 million ($3.63 per share) in 2024.

Key financial metrics show improvement with net interest income rising to $16.28 million from $14.48 million year-over-year. The company's return on average assets increased to 0.97% from 0.74%, while return on average equity improved to 11.10% from 8.78%. Total assets stood at $570.11 million with an equity-to-assets ratio of 8.76%.

However, nonperforming assets doubled to $8.15 million from $4.04 million year-over-year. The company maintained an active share repurchase program, buying back 56,481 shares at an average price of $39.42 during the fiscal year.

Positive

• Net income increased 35.5% to $5.54 million in FY2025 from $4.09 million in FY2024
• Net interest income grew 12.4% to $16.28 million from $14.48 million year-over-year
• Return on average equity improved to 11.10% from 8.78%
• Return on average assets increased to 0.97% from 0.74%
• Equity-to-assets ratio strengthened to 8.76% from 8.55%

Negative

• Nonperforming assets doubled to $8.15 million from $4.04 million year-over-year
• Credit loss expense increased to $200,000 from $0 in the previous year
• Total deposits decreased to $506.13 million from $514.42 million

WABASH, Ind., Aug. 25, 2025 (GLOBE NEWSWIRE) -- FFW Corporation (the “Corporation”) (OTC PINK: FFWC) (8/22/25 Close: $41.00), parent corporation of Crossroads Bank (the “Bank”), announced earnings for the fiscal year ended June 30, 2025.

For the three months ended June 30, 2025, the Corporation reported net income of $1,461,000 or $1.35 per common share compared to $1,118,000 or $0.99 per common share for the three months ended June 30, 2024. Net interest income for the three months ended June 30, 2025 was $4,385,000 compared to $3,664,000 for the three months ended June 30, 2024. Credit loss expense was $75,000 for the three months ended June 30, 2025 and $0 for the three months ended June 30, 2024. Total noninterest income was $1,221,000 for the three months ended June 30, 2025 compared to $1,137,000 for the three months ended June 30, 2024. Noninterest expense was $3,906,000 for the three months ended June 30, 2025 and $3,641,000 for the three months ended June 30, 2024.

For the twelve months ended June 30, 2025, the Corporation reported net income of $5,542,000 or $5.01 per common share compared to $4,089,000 or $3.63 per common share for the twelve months ended June 30, 2024. Net interest income for the twelve months ended June 30, 2025 was $16,279,000 compared to $14,477,000 for the twelve months ended June 30, 2024. The Company recognized credit loss expense of $200,000 for the twelve months ended June 30, 2025 and $0 for the twelve months ended June 30, 2024. Total noninterest income was $5,070,000 for the twelve months ended June 30, 2025 compared to $4,144,000 for the twelve months ended June 30, 2024. Noninterest expense was $15,006,000 for the twelve months ended June 30, 2025 and $14,225,000 for the twelve months ended June 30, 2024.

The three and twelve months ended June 30, 2025 represented a return on average common equity of 11.77% and 11.10%, respectively, compared to 9.41% and 8.78% for the three and twelve month periods ended June 30, 2024. The three and twelve months ended June 30, 2025 represented a return on average assets of 1.03% and 0.97%, respectively, compared to 0.80% and 0.74% for the three and twelve month periods ended June 30, 2024.

The allowance for credit losses as a percentage of gross loans receivable was 1.35% at June 30, 2025 compared to 1.33% at June 30, 2024. Nonperforming assets were $8,147,000 at June 30, 2025 compared to $4,044,000 at June 30, 2024.

As of June 30, 2025, FFWC’s equity-to-assets ratio was 8.76% compared to 8.55% at June 30, 2024. Total assets at June 30, 2025 were $570,108,000 compared to $567,363,000 at June 30, 2024. Shareholders’ equity was $49,944,000 at June 30, 2025 compared to $48,515,000 at June 30, 2024. Crossroads Bank exceeds all applicable regulatory requirements to be considered “well capitalized.”

The Corporation has an active share repurchase program. During the quarter ended June 30, 2025, the Corporation repurchased 3,303 shares at an average price of $39.70. Year to date the Corporation repurchased 56,481 shares at an average price of $39.42. For more information regarding the share repurchase program, please contact Roger Cromer, President, at (260) 563-3185. The Corporation may suspend or discontinue repurchases at any time.

Forward Looking Statements

This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include expressions such as “expects,” “intends,” “believes,” and “should,” which are necessarily statements of belief as to the expected outcomes of future events. Actual results could materially differ from those presented. The Corporation's ability to predict future results involves a number of risks and uncertainties. The Corporation undertakes no obligation to release revisions to these forward-looking statements or reflect events or circumstances after the date of this release.

Crossroads Bank is a wholly owned subsidiary of FFW Corporation providing an extensive array of banking services and a wide range of investments and securities products through its main office in Wabash and six Indiana banking centers located in Columbia City, North Manchester, Peru, South Whitley, Syracuse and Warsaw. The Bank also provides leasing services at each of its banking centers. Insurance products are offered through an affiliated company, Insurance 1 Services, Inc. The Corporation’s stock is traded on the OTC Markets under the symbol “FFWC.” Our website address is www.crossroadsbanking.com. Crossroads Bank, Member FDIC.

FFW Corporation
Selected Financial Information
Consolidated Balance Sheet
		June 30			June 30
		2025			2024
		Unaudited
Assets
Cash and due from financial institutions		$	7,166,023		$	5,202,224
Interest-bearing deposits in other financial institutions			3,649,597			11,717,782
	Cash and cash equivalents		10,815,620			16,920,006
Securities available for sale			103,067,093			106,179,450
Loans held for sale			314,800			559,830
Loans receivable, net of allowance for credit losses of $5,703,128
	at June 30, 2024 and $5,564,436 at June 30, 2024		422,829,649			411,841,368
Federal Home Loan Bank stock, at cost			1,739,500			1,289,700
Accrued interest receivable			3,055,402			3,016,660
Premises and equipment, net			7,602,679			7,614,589
Mortgage servicing rights			1,072,056			1,086,587
Cash surrender value of life insurance			13,165,670			12,725,890
Goodwill			1,213,898			1,213,898
Repossessed Assets			38,560			1,250
Other assets			5,192,615			4,913,693
	Total assets	$	570,107,542		$	567,362,921
Liabilities and shareholders' equity
Deposits
	Noninterest-bearing	$	52,521,124		$	47,530,618
	Interest-bearing		453,607,241			466,891,628
	Total deposits		506,128,365			514,422,246
Borrowings			10,000,000			-
Accrued expenses and other liabilities			4,035,448			4,425,736
	Total liabilities		520,163,813			518,847,982
Shareholders' equity
Common stock, $.01 par; 2,000,000 shares authorized;
	Issued: 1,836,328; outstanding: 1,082,978 at June 30, 2025 and 1,126,243 at June 30, 2024		18,363			18,363
Additional paid-in capital			10,233,608			10,266,257
Retained earnings			65,911,649			61,694,919
Accumulated other comprehensive income (loss)			(11,560,272	)		(10,795,929	)
Treasury stock, at cost: 753,350 at June 30, 2025 and
	710,085 at June 30, 2024		(14,659,619	)		(12,668,671	)
	Total shareholders' equity		49,943,729			48,514,939
	Total liabilities and shareholders' equity	$	570,107,542		$	567,362,921

FFW Corporation
Selected Financial Information
Consolidated Statement of Income
			Three Months Ended June 30						Twelve Months Ended June 30
			2025			2024			2025			2024
			Unaudited			Unaudited			Unaudited			Unaudited
Interest and dividend income:
	Loans, including fees		$	5,985,759		$	5,561,214		$	23,183,812		$	21,249,360
	Taxable securities			563,907			538,577			2,187,692			2,031,617
	Tax exempt securities			402,708			406,253			1,625,823			1,656,939
	Other			78,596			119,404			564,219			309,304
		Total interest and dividend income		7,030,970			6,625,448			27,561,546			25,247,220
Interest expense:
	Deposits			2,469,399			2,933,414			11,078,011			10,613,939
	Borrowings			176,469			27,627			204,282			155,984
		Total interest expense		2,645,869			2,961,041			11,282,293			10,769,923
Net interest income				4,385,101			3,664,407			16,279,253			14,477,297
Provision for credit losses				75,000			-			200,000			-
Net interest income after provision for				4,310,101			3,664,407			16,079,253			14,477,297
	credit losses
Noninterest income:
	Net gains on sales of loans			181,575			113,780			480,176			185,535
	Net gains (losses) on fixed assets			(4,080	)		-			31,157			-
	Net gains (losses) on sales of REO			-			-			(684	)		(37,006	)
	Commission income			463,212			395,409			1,993,376			1,429,640
	Service charges and fees			157,836			219,733			868,973			998,995
	Earnings on life insurance			111,555			106,082			439,780			389,414
	Other			311,304			302,374			1,257,347			1,177,332
		Total noninterest income		1,221,401			1,137,378			5,070,125			4,143,910
Noninterest expense:
	Salaries and benefits			2,035,089			1,990,109			8,098,744			7,716,276
	Occupancy and equipment			333,493			320,824			1,300,038			1,270,996
	Professional			164,980			122,245			628,721			482,039
	Marketing			102,924			96,753			381,332			378,547
	Deposit insurance premium			102,000			73,000			348,684			280,666
	Regulatory assessment			11,569			10,344			42,772			41,379
	Correspondent bank charges			26,413			23,388			107,687			93,273
	Data processing			584,862			482,683			2,141,131			1,866,798
	Printing, postage and supplies			74,354			65,701			300,465			285,133
	Expense on life insurance			27,665			41,149			7,776			129,934
	Contribution expense			7,500			9,501			44,888			50,382
	Expense on REO			-			(139	)		-			5,683
	Other			434,848			405,714			1,603,446			1,623,675
		Total noninterest expense		3,905,699			3,641,272			15,005,684			14,224,781
Income before income taxes				1,625,803			1,160,513			6,143,694			4,396,426
Income tax expense				165,144			42,948			601,954			306,949
Net income			$	1,460,659		$	1,117,565		$	5,541,740		$	4,089,477

FFW Corporation
Selected Financial Information
Key Balances and Ratios
	Three Months Ended June 30				Twelve Months Ended June 30
	2025		2024		2025		2024
	Unaudited		Unaudited		Unaudited		Unaudited
Per common share data:
Earnings	$1.35		$0.99		$5.01		$3.63
Diluted earnings	$1.35		$0.99		$5.01		$3.63
Dividends paid	$0.30		$0.29		$1.20		$1.16
Average shares issued and outstanding	1,083,793		1,126,520		1,106,967		1,126,879
Shares outstanding end of period	1,082,978		1,126,243		1,082,978		1,126,243
Supplemental data:
Net interest margin **	3.16	%	2.66	%	2.92	%	2.69	%
Return on average assets ***	1.03	%	0.80	%	0.97	%	0.74	%
Return on average common equity ***	11.77	%	9.41	%	11.10	%	8.78	%
	June 30		June 30
	2025		2024
Nonperforming assets *	$8,147,342		$4,044,082
Repossessed assets	$38,560		$1,250
* Includes non-accruing loans, accruing loans delinquent more than 90 days and repossessed assets
** Yields reflected have not been computed on a tax equivalent basis
*** Annualized

FOR MORE INFORMATION Contact: Stacy Wiley, Treasurer, at (260) 563-3185

FAQ

What was FFW Corporation's net income for fiscal year 2025?

FFW Corporation reported net income of $5.54 million ($5.01 per share) for fiscal year 2025, compared to $4.09 million ($3.63 per share) in 2024.

How did FFWC's nonperforming assets change in fiscal year 2025?

FFWC's nonperforming assets increased significantly to $8.15 million as of June 30, 2025, compared to $4.04 million at June 30, 2024.

What was FFWC's return on equity for fiscal year 2025?

FFWC's return on average equity was 11.10% for fiscal year 2025, an improvement from 8.78% in fiscal year 2024.

How many shares did FFWC repurchase in fiscal year 2025?

FFWC repurchased 56,481 shares at an average price of $39.42 during fiscal year 2025.

What was FFWC's total asset value as of June 30, 2025?

FFWC's total assets were $570.11 million as of June 30, 2025, compared to $567.36 million at June 30, 2024.