PONCE FINANCIAL GROUP INC Stock Price, News & Analysis

PDL Community Bancorp (PDLB) has received a letter from the U.S. Department of the Treasury indicating its eligibility to participate in the Emergency Capital Investment Program (ECIP). The Company may receive an investment of up to $185.6 million in exchange for the issuance of senior perpetual noncumulative preferred stock, pending the completion of its conversion and reorganization process. However, PDLB cannot guarantee participation or the specific terms of any potential investment.

PDL Community Bancorp (NASDAQ: PDLB) announced that the Federal Reserve has approved Ponce Financial to proceed with its stock offering during the conversion from Ponce Bank Mutual Holding Company. The offering will sell between 8,925,000 and 13,886,250 shares at $10.00 each, representing approximately 55.1% of PDL's ownership. Shareholders' existing PDL shares will convert to shares of Ponce Financial based on a predetermined exchange ratio. The offering will expire on December 14, 2021, subject to certain approvals.

PDL Community Bancorp (NASDAQ: PDLB) reported a net income of $2.1 million for Q3 2021, down from $5.9 million in Q2 2021 and $4.0 million in Q3 2020. Net interest income rose 12.4% from the previous quarter to $15.4 million, and increased 42.3% year-over-year. Non-interest income fell by $5.1 million due to reduced gains from property sales. Deposits climbed 21.3% to $1.25 billion since the end of 2020. Total assets reached $1.56 billion while equity grew to $173.9 million. The efficiency ratio worsened to 78.89%, indicating a higher expense burden.

On August 30, 2021, PFS Service Corp., a subsidiary of PDL Community Bancorp, agreed to sell its property at 2244 Westchester Avenue, Bronx, for $16.1 million. The company will enter a 17-year lease for the property, paying an initial annual rent of approximately $926,100, with annual increases of 1.75%. CEO Carlos P. Naudon expressed enthusiasm over this deal, highlighting a commitment to enhancing stakeholder value while providing ongoing services in the area.

PDL Community Bancorp (NASDAQ: PDLB) reported a net income of $5.9 million, or $0.35 per share, for Q2 2021, a significant rise from $2.5 million in Q1 2021 and a loss of $571,000 in Q2 2020. Net interest income increased 6.5% from the previous quarter and 44.2% year-over-year, totaling $13.7 million. Non-performing loans decreased to $9.0 million, equating to 0.66% of total loans. Total assets grew to $1.55 billion, with deposits rising to $1.24 billion, showcasing solid financial health and a promising growth trajectory.

PDL Community Bancorp announced that its subsidiary, Ponce Bank, will receive $1,826,265 in federal Economic Relief Funds for Small Businesses. This funding comes from the U.S. Department of the Treasury’s CDFI Rapid Response Program, aimed at supporting Community Development Financial Institutions in underserved areas affected by COVID-19. Ponce Bank targets small businesses, especially those owned by people of color, which have been disproportionately impacted by the pandemic. The funds will enhance lending programs to assist these businesses within 60 to 90 days.

PDL Community Bancorp announced the sale of real property located at 5560 Broadway, Bronx, New York, for $5.7 million, realizing a pre-tax gain of approximately $4.2 million. The net book value of the property was $1.1 million as of April 30, 2021. Concurrently, Ponce Bank, a subsidiary of the Company, entered into a 15-year lease agreement to lease back the property at an initial annual rent of $281,000, with annual increases of 1.75%. The Company aims to enhance stakeholder value while investing in its organization and communities in 2021.

On May 25, 2021, PDL Community Bancorp (NASDAQ: PDLB) announced a unanimous decision by its Board of Directors to initiate a Plan of Conversion and Reorganization. This plan involves converting the existing mutual holding company structure into a fully-converted stock holding company, named PDL Community Financial Corp. As part of this conversion, a second-step stock offering will take place, providing depositors and others with subscription rights. The transition is aimed at supporting growth plans and includes a significant contribution to the Ponce De Leon Foundation.

PDL Community Bancorp (NASDAQ: PDLB) reported a net income of $2.5 million for Q1 2021, up from $1.6 million in Q4 2020 and a net loss of $(1.2 million) in Q1 2020. The net interest income rose by 10.4% from the previous quarter to $12.9 million, reflecting a 29.9% increase year-over-year. Deposits increased 10.6% to $1.14 billion, while total assets reached $1.43 billion, up 5.8%. The efficiency ratio improved to 76.94%, down from 84.71% in Q4 2020. Non-performing loans increased to $12.3 million, equating to 0.99% of total loans.