Friendly Hills Bancorp Stock Price, News & Analysis

Friendly Hills Bancorp (OTC Pink: FHLB) reported robust Q3 2022 results, showcasing a significant loan portfolio growth of 99% year-over-year, totaling $177 million. The company also successfully completed a private placement of common stock, raising $14.1 million, primarily in Q3. Total assets increased to $329 million, with noninterest-bearing deposits comprising 47% of deposits. Net interest margin improved to 3.36%, and net loss decreased to $165 thousand from $477 thousand in Q2. The company's strategy focuses on small business banking, with a strong loan pipeline anticipated for Q4.

Friendly Hills Bancorp (OTC Pink: FHLB) has announced the election of three new independent directors to its Board, effective July 19, 2022. The new members, Kim Buttemer, David P. Harris, and Alex Sun, bring extensive banking and professional experience. Former directors Mercedes Broening, Christopher Naghibi, Sara Nofeliyan, and Rich Casford have retired, with the Company thanking them for their contributions. This leadership change aims to enhance the strategic direction of the Company and its subsidiary, Friendly Hills Bank, which serves the Southern California market.

Friendly Hills Bancorp (OTC Pink: FHLB) reported its second quarter 2022 results, highlighting substantial growth. Total assets increased to $306 million, and total loans surged by $50 million (56%) to $138 million since year-end 2021. Despite a net loss of $477 thousand, net interest income rose 21% due to strong loan growth. The bank maintained a solid risk-based capital ratio of 10.94%, considered ‘well-capitalized’. The loan portfolio remains diversified, with significant contributions from commercial and residential loans.

Friendly Hills Bank has expanded its operations by opening a new full-service branch and regional office in San Diego, California. This strategic move aims to enhance service for local businesses and professionals. The new branch will be led by seasoned banking professionals, including Marie Crivello and Josh Mello, both with significant industry experience. Company President Nathan Rogge expressed optimism about growth opportunities in the region, emphasizing the Bank's commitment to supporting San Diego's business community. With this addition, Friendly Hills Bank now operates in four major metropolitan areas in Southern California.

Friendly Hills Bank has launched a specialty lending group to support financing for commercial trucks and vehicles. This group offers fast capital for purchasing and refinancing medium and heavy-duty vehicles, benefiting California vendors and small fleet owners. Credit applications up to $250,000 are being accepted. Led by experienced bankers, the initiative aims to serve the underserved market in Southern California, enhancing banking support for small-to-medium sized businesses. This move aligns with the bank's strategic plan to expand its services and impact.

Friendly Hills Bank announced significant changes to its Executive Leadership Team on May 17, 2022, designed to strengthen its infrastructure for future growth. The new team, led by Nathan Rogge, includes:

• Elizabeth M. Buckingham, COO, with over 35 years of experience.
• James Burgess, CFO, a CPA with 38 years in finance.
• Robert A. Marshall, Chief Credit Officer, a veteran with 30 years in community banking.
• Azim Sheikh, CTO, an expert in IT risk management.
• Paulette Silva, Chief Administration Officer, with over 40 years in local banking.

The leadership changes aim to enhance customer and shareholder value.

Friendly Hills Bancorp (OTC Pink: FHLB) reported its first quarter 2022 results, showing a net loss of $130,000 compared to a net income of $240,000 in Q1 2021. Total assets fell to $282 million, down $11 million from the previous quarter, while total loans rose 12% to $100 million. Total deposits increased slightly to $258 million, with noninterest-bearing deposits at 51% of total deposits. The bank achieved a risk-based capital ratio of 14.7%, qualifying as 'well-capitalized'. The company is implementing a strategic plan aimed at loan portfolio growth and expansion in the San Diego market.

Friendly Hills Bancorp (FHLB) announced the appointment of Nathan Rogge as President and CEO. The restructuring also led to a reformed Board of Directors, now comprising nine members. Frank Kavanaugh, a shareholder, has withdrawn all legal actions against the Company and the Bank as part of a Settlement Agreement. Rogge, who previously led Bank of Southern California, aims to enhance the bank's reputation as a business-friendly institution, focusing on growth and community services.

Frank Kavanaugh, a major shareholder of Friendly Hills Bank (OTCBB: FHLB), expressed dissatisfaction with the bank's management and board in a letter dated November 22, 2021. Representing over 25% of outstanding shares, Kavanaugh criticized recent management decisions, including a merger that cost shareholders $0.66 per share, poor returns on assets, and excessive executive compensation. He advocates for new independent board members to enhance shareholder value and encourages fellow shareholders to wait for proxy materials before responding to company solicitations.