Provident Financial Holdings Reports Fourth Quarter and Fiscal Year 2024 Results
Rhea-AI Summary
Provident Financial Holdings (NASDAQ: PROV) reported net income of $1.95 million, or $0.28 per diluted share, for Q4 2024, up 8% from $1.81 million a year ago. The increase was primarily due to lower non-interest expenses and higher non-interest income, partially offset by decreased net interest income. For fiscal year 2024, net income decreased 14% to $7.35 million. Key metrics include:
- Net interest margin: 2.74% in Q4 2024
- Loans held for investment: $1.05 billion at June 30, 2024, down 2% YoY
- Total deposits: $888.3 million at June 30, 2024, down 7% YoY
- Non-performing assets to total assets ratio: 0.20% at June 30, 2024
The company remains committed to prudent expense management, strong risk practices, and maintaining a sound balance sheet while continuing cash dividends and stock repurchases.
Positive
- Net income increased 8% year-over-year in Q4 2024
- Non-interest expenses decreased by $435,000
- Non-interest income increased by $332,000
- Efficiency ratio improved to 72.31% from 73.36% year-over-year
- Low non-performing assets to total assets ratio of 0.20%
Negative
- Net interest income decreased by $783,000 or 8% year-over-year in Q4
- Net income for fiscal year 2024 decreased 14% to $7.35 million
- Loans held for investment decreased 2% year-over-year
- Total deposits decreased 7% year-over-year
- Average balance of interest-earning assets decreased 4% year-over-year
News Market Reaction
On the day this news was published, PROV gained 4.21%, reflecting a moderate positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Net Income of
Net Interest Margin of
Loans Held for Investment of
Total Deposits of
Non-Performing Assets to Total Assets Ratio of
Non-Interest Expenses Remain Well Controlled
RIVERSIDE, Calif., July 29, 2024 (GLOBE NEWSWIRE) -- Provident Financial Holdings, Inc. (“Company”), NASDAQ GS: PROV, the holding company for Provident Savings Bank, F.S.B. (“Bank”), today announced earnings for the fourth quarter and fiscal year ended June 30, 2024.
The Company reported net income of
"I am excited to begin our new fiscal year, especially with indications that the Federal Open Market Committee is nearing a decision to lower the targeted federal funds rate. If looser monetary policy is implemented, we anticipate the currently elevated interest rates and the inverted yield curve would begin to reverse course. This shift would enable us to gradually transition back to less restrictive operating strategies and resume growing our loan portfolio at a reasonable pace,” stated Donavon P. Ternes, President and Chief Executive Officer of the Company. “In any event, we remain committed to prudently managing operating expenses, maintaining strong credit and interest rate risk management practices, and ensuring a sound balance sheet. Additionally, we expect to continue to declare cash dividends and execute our common stock repurchase program consistent with the Company’s business plan," concluded Ternes.
On a sequential quarter basis, the
Return on average assets was 0.62 percent for the fourth quarter of fiscal 2024, compared to 0.47 percent in the third quarter of fiscal 2024 and 0.55 percent for the fourth quarter of fiscal 2023. Return on average stockholders’ equity for the fourth quarter of fiscal 2024 was 5.96 percent, compared to 4.57 percent for the third quarter of fiscal 2024 and 5.52 percent for the fourth quarter of fiscal 2023.
For the fiscal year ended June 30, 2024, net income decreased
In the fourth quarter of fiscal 2024, net interest income decreased
Interest income on loans receivable increased
Interest income from investment securities decreased
In the fourth quarter of fiscal 2024, the Federal Home Loan Bank – San Francisco (“FHLB”) distributed
Interest income from interest-earning deposits, primarily cash deposited at the Federal Reserve Bank of San Francisco, was
Interest expense on deposits for the fourth quarter of fiscal 2024 was
Transaction account balances or “core deposits” decreased
Interest expense on borrowings, consisting of FHLB advances, for the fourth quarter of fiscal 2024 increased
At June 30, 2024, the Bank had approximately
The Bank continues to work with both the FHLB and Federal Reserve Bank of San Francisco to ensure that its borrowing capacity is continuously reviewed and updated in order to be accessed seamlessly should the need arise.
During the fourth quarter of fiscal 2024, the Company recorded a recovery of credit losses of
Non-performing assets, comprised solely of non-accrual loans with underlying collateral located in California, increased
Classified assets were
The allowance for credit losses on gross loans held for investment was
Non-interest income increased by
Non-interest expense decreased
The Company’s efficiency ratio, defined as non-interest expense divided by the sum of net interest income and non-interest income, in the fourth quarter of fiscal 2024 was 72.31 percent, improved from 73.36 percent in the same quarter last year and 76.20 percent in the third quarter of fiscal 2024 (sequential quarter). The improvement in the efficiency ratio during the current quarter in comparison to the comparable quarter last year was due to lower non-interest expense and higher non-interest income, partly offset by lower net interest income.
The Company’s provision for income taxes was
The Company repurchased 48,476 shares of its common stock pursuant to its current stock repurchase program at an average cost of
The Bank currently operates 13 retail/business banking offices in Riverside County and San Bernardino County (Inland Empire).
The Company will host a conference call for institutional investors and bank analysts on Tuesday, July 30, 2024 at 9:00 a.m. (Pacific) to discuss its financial results. The conference call can be accessed by dialing 1-800-715-9871 and referencing Conference ID number 7361828. An audio replay of the conference call will be available through Tuesday, August 6, 2024 by dialing 1-800-770-2030 and referencing Conference ID number 7361828.
For more financial information about the Company please visit the website at www.myprovident.com and click on the “Investor Relations” section.
Safe-Harbor Statement
This press release contains statements that the Company believes are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to the Company’s financial condition, liquidity, results of operations, plans, objectives, future performance or business. You should not place undue reliance on these statements as they are subject to various risks and uncertainties. When considering these forward-looking statements, you should keep in mind these risks and uncertainties, as well as any cautionary statements the Company may make. Moreover, you should treat these statements as speaking only as of the date they are made and based only on information then actually known to the Company. There are a number of important factors that could cause future results to differ materially from historical performance and these forward-looking statements. Factors which could cause actual results to differ materially from the results anticipated or implied by our forward-looking statements include, but are not limited to: potential adverse impacts to economic conditions in our local market areas, other markets where the Company has lending relationships, or other aspects of the Company's business operations or financial markets, including, without limitation, as a result of employment levels, labor shortages and the effects of inflation, a potential recession or slowed economic growth; changes in the interest rate environment, including the past increases in the Board of Governors of the Federal Reserve Board (the “Federal Reserve”) benchmark rate and duration at which such increased interest rate levels are maintained, which could adversely affect our revenues and expenses, the value of assets and obligations, and the availability and cost of capital and liquidity; the impact of continuing inflation and the current and future monetary policies of the Federal Reserve in response thereto; the effects of any federal government shutdown; increased competitive pressures; changes in the interest rate environment; changes in general economic conditions and conditions within the securities markets; fluctuations in deposits; liquidity issues, including our ability to borrow funds or raise additional capital, if necessary; expectations regarding key growth initiatives and strategic priorities; the impact of bank failures or adverse developments at other banks and related negative press about the banking industry in general on investor and depositor sentiment; legislative and regulatory changes, including changes in banking, securities and tax law, in regulatory policies and principles, or the interpretation of regulatory capital or other rules; disruptions, security breaches, or other adverse events, failures or interruptions in, or attacks on, our information technology systems or on the third-party vendors who perform several of our critical processing functions; environmental, social and governance goals; the effects of climate change, severe weather events, natural disasters, pandemics, epidemics and other public health crises, acts of war or terrorism, and other external events on our business; and other factors described in the Company’s latest Annual Report on Form 10-K and Quarterly Reports on Form 10-Q and other reports filed with and furnished to the Securities and Exchange Commission (“SEC”) - which are available on our website at www.myprovident.com and on the SEC’s website at www.sec.gov. We do not undertake and specifically disclaim any obligation to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements whether as a result of new information, future events or otherwise. These risks could cause our actual results for fiscal 2025 and beyond to differ materially from those expressed in any forward-looking statements by, or on behalf of us and could negatively affect our operating and stock price performance.
Contacts: | Donavon P. Ternes | Tam B. Nguyen | ||
| President and | Senior Vice President and | |||
| Chief Executive Officer | Chief Financial Officer | |||
| (951) 686-6060 | (951) 686-6060 | |||
| PROVIDENT FINANCIAL HOLDINGS, INC. | ||||||||||||||||||||
| Condensed Consolidated Statements of Financial Condition | ||||||||||||||||||||
| (Unaudited –In Thousands, Except Share and Per Share Information) | ||||||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||||||
| 2024 | 2024 | 2023 | 2023 | 2023 | ||||||||||||||||
| Assets | ||||||||||||||||||||
| Cash and cash equivalents | $ | 51,376 | $ | 51,731 | $ | 46,878 | $ | 57,978 | $ | 65,849 | ||||||||||
| Investment securities - held to maturity, at cost with no allowance for credit losses | 130,051 | 135,971 | 141,692 | 147,574 | 154,337 | |||||||||||||||
| Investment securities - available for sale, at fair value with no allowance for credit losses | 2,389 | 1,935 | 1,996 | 2,090 | 2,155 | |||||||||||||||
| Loans held for investment, net of allowance for credit losses of | 1,052,979 | 1,065,761 | 1,075,765 | 1,072,170 | 1,077,629 | |||||||||||||||
| Accrued interest receivable | 4,287 | 4,249 | 4,076 | 3,952 | 3,711 | |||||||||||||||
| FHLB – San Francisco stock | 9,568 | 9,505 | 9,505 | 9,505 | 9,505 | |||||||||||||||
| Premises and equipment, net | 9,313 | 9,637 | 9,598 | 9,426 | 9,231 | |||||||||||||||
| Prepaid expenses and other assets | 12,237 | 11,258 | 11,583 | 10,420 | 10,531 | |||||||||||||||
| Total assets | $ | 1,272,200 | $ | 1,290,047 | $ | 1,301,093 | $ | 1,313,115 | $ | 1,332,948 | ||||||||||
| Liabilities and Stockholders’ Equity | ||||||||||||||||||||
| Liabilities: | ||||||||||||||||||||
| Noninterest-bearing deposits | $ | 95,627 | $ | 91,708 | $ | 94,030 | $ | 105,944 | $ | 103,007 | ||||||||||
| Interest-bearing deposits | 792,721 | 816,414 | 817,950 | 825,187 | 847,564 | |||||||||||||||
| Total deposits | 888,348 | 908,122 | 911,980 | 931,131 | 950,571 | |||||||||||||||
| Borrowings | 238,500 | 235,000 | 242,500 | 235,009 | 235,009 | |||||||||||||||
| Accounts payable, accrued interest and other liabilities | 15,411 | 17,419 | 16,952 | 17,770 | 17,681 | |||||||||||||||
| Total liabilities | 1,142,259 | 1,160,541 | 1,171,432 | 1,183,910 | 1,203,261 | |||||||||||||||
| Stockholders’ equity: | ||||||||||||||||||||
| Preferred stock, $.01 par value (2,000,000 shares authorized; none issued and outstanding) | — | — | — | — | — | |||||||||||||||
| Common stock, $.01 par value; (40,000,000 shares authorized; 18,229,615, 18,229,615, 18,229,615, 18,229,615 and 18,229,615 shares issued respectively; 6,847,821, 6,896,297, 6,946,348, 7,007,058 and 7,043,170 shares outstanding, respectively) | 183 | 183 | 183 | 183 | 183 | |||||||||||||||
| Additional paid-in capital | 98,532 | 99,591 | 99,565 | 99,554 | 99,505 | |||||||||||||||
| Retained earnings | 209,914 | 208,923 | 208,396 | 207,231 | 207,274 | |||||||||||||||
| Treasury stock at cost (11,381,794, 11,333,318, 11,283,267, 11,222,557 and 11,186,445 shares, respectively) | (178,685 | ) | (179,183 | ) | (178,476 | ) | (177,732 | ) | (177,237 | ) | ||||||||||
| Accumulated other comprehensive loss, net of tax | (3 | ) | (8 | ) | (7 | ) | (31 | ) | (38 | ) | ||||||||||
| Total stockholders’ equity | 129,941 | 129,506 | 129,661 | 129,205 | 129,687 | |||||||||||||||
| Total liabilities and stockholders’ equity | $ | 1,272,200 | $ | 1,290,047 | $ | 1,301,093 | $ | 1,313,115 | $ | 1,332,948 | ||||||||||
| PROVIDENT FINANCIAL HOLDINGS, INC. | ||||||||||||||||
| Condensed Consolidated Statements of Operations | ||||||||||||||||
| (Unaudited - In Thousands, Except Per Share Information) | ||||||||||||||||
| Quarter Ended | Fiscal Year Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Interest income: | ||||||||||||||||
| Loans receivable, net | $ | 12,826 | $ | 11,826 | $ | 50,194 | $ | 42,191 | ||||||||
| Investment securities | 504 | 537 | 2,069 | 2,169 | ||||||||||||
| FHLB – San Francisco stock | 207 | 142 | 793 | 556 | ||||||||||||
| Interest-earning deposits | 379 | 410 | 1,674 | 1,076 | ||||||||||||
| Total interest income | 13,916 | 12,915 | 54,730 | 45,992 | ||||||||||||
| Interest expense: | ||||||||||||||||
| Checking and money market deposits | 71 | 50 | 290 | 227 | ||||||||||||
| Savings deposits | 105 | 38 | 313 | 168 | ||||||||||||
| Time deposits | 2,657 | 1,387 | 9,063 | 2,751 | ||||||||||||
| Borrowings | 2,632 | 2,206 | 10,141 | 5,861 | ||||||||||||
| Total interest expense | 5,465 | 3,681 | 19,807 | 9,007 | ||||||||||||
| Net interest income | 8,451 | 9,234 | 34,923 | 36,985 | ||||||||||||
| (Recovery of) provision for credit losses | (12 | ) | (56 | ) | (63 | ) | 374 | |||||||||
| Net interest income, after (recovery of) provision for credit losses | 8,463 | 9,290 | 34,986 | 36,611 | ||||||||||||
| Non-interest income: | ||||||||||||||||
| Loan servicing and other fees | 142 | 87 | 337 | 414 | ||||||||||||
| Deposit account fees | 278 | 298 | 1,154 | 1,296 | ||||||||||||
| Card and processing fees | 381 | 416 | 1,384 | 1,525 | ||||||||||||
| Other | 666 | 334 | 1,066 | 840 | ||||||||||||
| Total non-interest income | 1,467 | 1,135 | 3,941 | 4,075 | ||||||||||||
| Non-interest expense: | ||||||||||||||||
| Salaries and employee benefits | 4,419 | 4,855 | 17,642 | 17,737 | ||||||||||||
| Premises and occupancy | 945 | 947 | 3,586 | 3,447 | ||||||||||||
| Equipment | 347 | 304 | 1,309 | 1,152 | ||||||||||||
| Professional | 327 | 355 | 1,530 | 1,517 | ||||||||||||
| Sales and marketing | 193 | 118 | 709 | 622 | ||||||||||||
| Deposit insurance premiums and regulatory assessments | 184 | 192 | 780 | 657 | ||||||||||||
| Other | 757 | 836 | 2,984 | 3,138 | ||||||||||||
| Total non-interest expense | 7,172 | 7,607 | 28,540 | 28,270 | ||||||||||||
| Income before income taxes | 2,758 | 2,818 | 10,387 | 12,416 | ||||||||||||
| Provision for income taxes | 805 | 1,010 | 3,036 | 3,824 | ||||||||||||
| Net income | $ | 1,953 | $ | 1,808 | $ | 7,351 | $ | 8,592 | ||||||||
| Basic earnings per share | $ | 0.28 | $ | 0.26 | $ | 1.06 | $ | 1.20 | ||||||||
| Diluted earnings per share | $ | 0.28 | $ | 0.26 | $ | 1.06 | $ | 1.19 | ||||||||
| Cash dividends per share | $ | 0.14 | $ | 0.14 | $ | 0.56 | $ | 0.56 | ||||||||
| PROVIDENT FINANCIAL HOLDINGS, INC. | |||||||||||||||||||
| Condensed Consolidated Statements of Operations – Sequential Quarters | |||||||||||||||||||
| (Unaudited – In Thousands, Except Per Share Information) | |||||||||||||||||||
| Quarter Ended | |||||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | |||||||||||||||
| 2024 | 2024 | 2023 | 2023 | 2023 | |||||||||||||||
| Interest income: | |||||||||||||||||||
| Loans receivable, net | $ | 12,826 | $ | 12,683 | $ | 12,509 | $ | 12,176 | $ | 11,826 | |||||||||
| Investment securities | 504 | 517 | 524 | 524 | 537 | ||||||||||||||
| FHLB – San Francisco stock | 207 | 210 | 197 | 179 | 142 | ||||||||||||||
| Interest-earning deposits | 379 | 397 | 435 | 463 | 410 | ||||||||||||||
| Total interest income | 13,916 | 13,807 | 13,665 | 13,342 | 12,915 | ||||||||||||||
| Interest expense: | |||||||||||||||||||
| Checking and money market deposits | 71 | 90 | 72 | 57 | 50 | ||||||||||||||
| Savings deposits | 105 | 97 | 73 | 38 | 38 | ||||||||||||||
| Time deposits | 2,657 | 2,488 | 2,128 | 1,790 | 1,387 | ||||||||||||||
| Borrowings | 2,632 | 2,573 | 2,618 | 2,318 | 2,206 | ||||||||||||||
| Total interest expense | 5,465 | 5,248 | 4,891 | 4,203 | 3,681 | ||||||||||||||
| Net interest income | 8,451 | 8,559 | 8,774 | 9,139 | 9,234 | ||||||||||||||
| (Recovery of) provision for credit losses | (12 | ) | 124 | (720 | ) | 545 | (56 | ) | |||||||||||
| Net interest income, after (recovery of) provision for credit losses | 8,463 | 8,435 | 9,494 | 8,594 | 9,290 | ||||||||||||||
| Non-interest income: | |||||||||||||||||||
| Loan servicing and other fees | 142 | 92 | 124 | (21 | ) | 87 | |||||||||||||
| Deposit account fees | 278 | 289 | 299 | 288 | 298 | ||||||||||||||
| Card and processing fees | 381 | 317 | 333 | 353 | 416 | ||||||||||||||
| Other | 666 | 150 | 119 | 131 | 334 | ||||||||||||||
| Total non-interest income | 1,467 | 848 | 875 | 751 | 1,135 | ||||||||||||||
| Non-interest expense: | |||||||||||||||||||
| Salaries and employee benefits | 4,419 | 4,540 | 4,569 | 4,114 | 4,855 | ||||||||||||||
| Premises and occupancy | 945 | 835 | 903 | 903 | 947 | ||||||||||||||
| Equipment | 347 | 329 | 346 | 287 | 304 | ||||||||||||||
| Professional | 327 | 321 | 410 | 472 | 355 | ||||||||||||||
| Sales and marketing | 193 | 167 | 181 | 168 | 118 | ||||||||||||||
| Deposit insurance premiums and regulatory assessments | 184 | 190 | 209 | 197 | 192 | ||||||||||||||
| Other | 757 | 786 | 726 | 715 | 836 | ||||||||||||||
| Total non-interest expense | 7,172 | 7,168 | 7,344 | 6,856 | 7,607 | ||||||||||||||
| Income before income taxes | 2,758 | 2,115 | 3,025 | 2,489 | 2,818 | ||||||||||||||
| Provision for income taxes | 805 | 620 | 884 | 727 | 1,010 | ||||||||||||||
| Net income | $ | 1,953 | $ | 1,495 | $ | 2,141 | $ | 1,762 | $ | 1,808 | |||||||||
| Basic earnings per share | $ | 0.28 | $ | 0.22 | $ | 0.31 | $ | 0.25 | $ | 0.26 | |||||||||
| Diluted earnings per share | $ | 0.28 | $ | 0.22 | $ | 0.31 | $ | 0.25 | $ | 0.26 | |||||||||
| Cash dividends per share | $ | 0.14 | $ | 0.14 | $ | 0.14 | $ | 0.14 | $ | 0.14 | |||||||||
| PROVIDENT FINANCIAL HOLDINGS, INC. | ||||||||||||||||
| Financial Highlights | ||||||||||||||||
| (Unaudited - Dollars in Thousands, Except Share and Per Share Information) | ||||||||||||||||
| As of and For the | ||||||||||||||||
| Quarter Ended | Fiscal Year Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| SELECTED FINANCIAL RATIOS: | ||||||||||||||||
| Return on average assets | 0.62 | % | 0.55 | % | 0.57 | % | 0.68 | % | ||||||||
| Return on average stockholders' equity | 5.96 | % | 5.52 | % | 5.62 | % | 6.58 | % | ||||||||
| Stockholders’ equity to total assets | 10.21 | % | 9.73 | % | 10.21 | % | 9.73 | % | ||||||||
| Net interest spread | 2.54 | % | 2.76 | % | 2.62 | % | 2.92 | % | ||||||||
| Net interest margin | 2.74 | % | 2.88 | % | 2.78 | % | 2.99 | % | ||||||||
| Efficiency ratio | 72.31 | % | 73.36 | % | 73.44 | % | 68.85 | % | ||||||||
| Average interest-earning assets to average interest-bearing liabilities | 110.40 | % | 110.18 | % | 110.28 | % | 110.27 | % | ||||||||
| SELECTED FINANCIAL DATA: | ||||||||||||||||
| Basic earnings per share | $ | 0.28 | $ | 0.26 | $ | 1.06 | $ | 1.20 | ||||||||
| Diluted earnings per share | $ | 0.28 | $ | 0.26 | $ | 1.06 | $ | 1.19 | ||||||||
| Book value per share | $ | 18.98 | $ | 18.41 | $ | 18.98 | $ | 18.41 | ||||||||
| Shares used for basic EPS computation | 6,867,521 | 7,031,674 | 6,942,918 | 7,143,273 | ||||||||||||
| Shares used for diluted EPS computation | 6,893,813 | 7,071,644 | 6,959,143 | 7,191,685 | ||||||||||||
| Total shares issued and outstanding | 6,847,821 | 7,043,170 | 6,847,821 | 7,043,170 | ||||||||||||
| LOANS ORIGINATED FOR INVESTMENT: | ||||||||||||||||
| Mortgage loans: | ||||||||||||||||
| Single-family | $ | 10,862 | $ | 12,271 | $ | 40,920 | $ | 165,942 | ||||||||
| Multi-family | 4,526 | 6,804 | 22,112 | 50,323 | ||||||||||||
| Commercial real estate | 1,710 | 5,207 | 9,757 | 18,979 | ||||||||||||
| Construction | 1,480 | — | 1,480 | 1,648 | ||||||||||||
| Commercial business loans | — | — | 1,250 | 190 | ||||||||||||
| Total loans originated for investment | $ | 18,578 | $ | 24,282 | $ | 75,519 | $ | 237,082 | ||||||||
| PROVIDENT FINANCIAL HOLDINGS, INC. | ||||||||||||||||||||
| Financial Highlights | ||||||||||||||||||||
| (Unaudited - Dollars in Thousands, Except Share and Per Share Information) | ||||||||||||||||||||
| As of and For the | ||||||||||||||||||||
| Quarter | Quarter | Quarter | Quarter | Quarter | ||||||||||||||||
| Ended | Ended | Ended | Ended | Ended | ||||||||||||||||
| 06/30/24 | 03/31/24 | 12/31/23 | 09/30/23 | 06/30/23 | ||||||||||||||||
| SELECTED FINANCIAL RATIOS: | ||||||||||||||||||||
| Return on average assets | 0.62 | % | 0.47 | % | 0.66 | % | 0.54 | % | 0.55 | % | ||||||||||
| Return on average stockholders' equity | 5.96 | % | 4.57 | % | 6.56 | % | 5.40 | % | 5.52 | % | ||||||||||
| Stockholders’ equity to total assets | 10.21 | % | 10.04 | % | 9.97 | % | 9.84 | % | 9.73 | % | ||||||||||
| Net interest spread | 2.54 | % | 2.55 | % | 2.64 | % | 2.75 | % | 2.76 | % | ||||||||||
| Net interest margin | 2.74 | % | 2.74 | % | 2.78 | % | 2.88 | % | 2.88 | % | ||||||||||
| Efficiency ratio | 72.31 | % | 76.20 | % | 76.11 | % | 69.32 | % | 73.36 | % | ||||||||||
| Average interest-earning assets to average interest-bearing liabilities | 110.40 | % | 110.28 | % | 110.27 | % | 110.17 | % | 110.18 | % | ||||||||||
| SELECTED FINANCIAL DATA: | ||||||||||||||||||||
| Basic earnings per share | $ | 0.28 | $ | 0.22 | $ | 0.31 | $ | 0.25 | $ | 0.26 | ||||||||||
| Diluted earnings per share | $ | 0.28 | $ | 0.22 | $ | 0.31 | $ | 0.25 | $ | 0.26 | ||||||||||
| Book value per share | $ | 18.98 | $ | 18.78 | $ | 18.67 | $ | 18.44 | $ | 18.41 | ||||||||||
| Average shares used for basic EPS | 6,867,521 | 6,919,397 | 6,968,460 | 7,016,670 | 7,031,674 | |||||||||||||||
| Average shares used for diluted EPS | 6,893,813 | 6,935,053 | 6,980,856 | 7,027,228 | 7,071,644 | |||||||||||||||
| Total shares issued and outstanding | 6,847,821 | 6,896,297 | 6,946,348 | 7,007,058 | 7,043,170 | |||||||||||||||
| LOANS ORIGINATED FOR INVESTMENT: | ||||||||||||||||||||
| Mortgage loans: | ||||||||||||||||||||
| Single-family | $ | 10,862 | $ | 8,946 | $ | 8,660 | $ | 12,452 | $ | 12,271 | ||||||||||
| Multi-family | 4,526 | 5,865 | 6,608 | 5,113 | 6,804 | |||||||||||||||
| Commercial real estate | 1,710 | 2,172 | 4,936 | 939 | 5,207 | |||||||||||||||
| Construction | 1,480 | — | — | — | — | |||||||||||||||
| Commercial business loans | — | 1,250 | — | — | — | |||||||||||||||
| Total loans originated for investment | $ | 18,578 | $ | 18,233 | $ | 20,204 | $ | 18,504 | $ | 24,282 | ||||||||||
| PROVIDENT FINANCIAL HOLDINGS, INC. | |||||||||||||||||||||
| Financial Highlights | |||||||||||||||||||||
| (Unaudited - Dollars in Thousands) | |||||||||||||||||||||
| As of | As of | As of | As of | As of | |||||||||||||||||
| 06/30/24 | 03/31/24 | 12/31/23 | 09/30/23 | 06/30/23 | |||||||||||||||||
| ASSET QUALITY RATIOS ANDDELINQUENT LOANS: | |||||||||||||||||||||
| Recourse reserve for loans sold | $ | 26 | $ | 31 | $ | 31 | $ | 33 | $ | 33 | |||||||||||
| Allowance for credit losses on loans held for investment | $ | 7,065 | $ | 7,108 | $ | 7,000 | $ | 7,679 | $ | 5,946 | |||||||||||
| Non-performing loans to loans held for investment, net | 0.25 | % | 0.21 | % | 0.16 | % | 0.13 | % | 0.12 | % | |||||||||||
| Non-performing assets to total assets | 0.20 | % | 0.17 | % | 0.13 | % | 0.10 | % | 0.10 | % | |||||||||||
| Allowance for credit losses on loans to gross loans held for investment | 0.67 | % | 0.67 | % | 0.65 | % | 0.72 | % | 0.55 | % | |||||||||||
| Net loan charge-offs (recoveries) to average loans receivable (annualized) | — | % | — | % | — | % | — | % | — | % | |||||||||||
| Non-performing loans | $ | 2,596 | $ | 2,246 | $ | 1,750 | $ | 1,361 | $ | 1,300 | |||||||||||
| Loans 30 to 89 days delinquent | $ | 1 | $ | 388 | $ | 340 | $ | 74 | $ | 1 | |||||||||||
| Quarter | Quarter | Quarter | Quarter | Quarter | ||||||||||||||||
| Ended | Ended | Ended | Ended | Ended | ||||||||||||||||
| 06/30/24 | 03/31/24 | 12/31/23 | 09/30/23 | 06/30/23 | ||||||||||||||||
| (Recovery) recourse provision for loans sold | $ | (5 | ) | $ | — | $ | (2 | ) | $ | — | $ | (127 | ) | |||||||
| (Recovery of) provision for credit losses | $ | (12 | ) | $ | 124 | $ | (720 | ) | $ | 545 | $ | (56 | ) | |||||||
| Net loan charge-offs (recoveries) | $ | — | $ | — | $ | — | $ | — | $ | (1 | ) | |||||||||
| As of | As of | As of | As of | As of | |||||||||||
| 06/30/2024 | 03/31/2024 | 12/31/2023 | 09/30/2023 | 06/30/2023 | |||||||||||
| REGULATORY CAPITAL RATIOS (BANK): | |||||||||||||||
| Tier 1 leverage ratio | 10.02 | % | 9.70 | % | 9.48 | % | 9.25 | % | 9.59 | % | |||||
| Common equity tier 1 capital ratio | 19.29 | % | 18.77 | % | 18.20 | % | 17.91 | % | 18.50 | % | |||||
| Tier 1 risk-based capital ratio | 19.29 | % | 18.77 | % | 18.20 | % | 17.91 | % | 18.50 | % | |||||
| Total risk-based capital ratio | 20.38 | % | 19.85 | % | 19.24 | % | 19.06 | % | 19.38 | % | |||||
| As of June 30, | ||||||||||||||
| 2024 | 2023 | |||||||||||||
| Balance | Rate(1) | Balance | Rate(1) | |||||||||||
| INVESTMENT SECURITIES: | ||||||||||||||
| Held to maturity (at cost): | ||||||||||||||
| U.S. SBA securities | $ | 455 | 5.85 | % | $ | 651 | 5.35 | % | ||||||
| U.S. government sponsored enterprise MBS | 125,883 | 1.55 | 149,803 | 1.46 | ||||||||||
| U.S. government sponsored enterprise CMO | 3,713 | 2.16 | 3,883 | 2.19 | ||||||||||
| Total investment securities held to maturity | $ | 130,051 | 1.58 | % | $ | 154,337 | 1.49 | % | ||||||
| Available for sale (at fair value): | ||||||||||||||
| U.S. government agency MBS | $ | 1,208 | 3.89 | % | $ | 1,370 | 2.90 | % | ||||||
| U.S. government sponsored enterprise MBS | 553 | 6.59 | 683 | 4.64 | ||||||||||
| Private issue CMO | 88 | 6.17 | 102 | 4.67 | ||||||||||
| Investment in equity security | 540 | — | — | — | ||||||||||
| Total investment securities available for sale | $ | 2,389 | 3.72 | % | $ | 2,155 | 3.54 | % | ||||||
| Total investment securities | $ | 132,440 | 1.62 | % | $ | 156,492 | 1.52 | % | ||||||
(1) Weighted-average yield earned on all instruments included in the balance of the respective line item.
| PROVIDENT FINANCIAL HOLDINGS, INC. | ||||||||||||||
| Financial Highlights | ||||||||||||||
| (Unaudited - Dollars in Thousands) | ||||||||||||||
| As of June 30, | ||||||||||||||
| 2024 | 2023 | |||||||||||||
| Balance | Rate(1) | Balance | Rate(1) | |||||||||||
| LOANS HELD FOR INVESTMENT: | ||||||||||||||
| Mortgage loans: | ||||||||||||||
| Single-family (1 to 4 units) | $ | 518,091 | 4.49 | % | $ | 518,821 | 4.12 | % | ||||||
| Multi-family (5 or more units) | 445,182 | 5.31 | 461,113 | 4.70 | ||||||||||
| Commercial real estate | 83,349 | 6.52 | 90,558 | 5.73 | ||||||||||
| Construction | 2,692 | 9.11 | 1,936 | 7.76 | ||||||||||
| Other | 95 | 5.25 | 106 | 5.25 | ||||||||||
| Commercial business loans | 1,372 | 10.50 | 1,565 | 10.24 | ||||||||||
| Consumer loans | 65 | 18.50 | 65 | 18.25 | ||||||||||
| Total loans held for investment | 1,050,846 | 5.02 | % | 1,074,164 | 4.52 | % | ||||||||
| Advance payments of escrows | 102 | 148 | ||||||||||||
| Deferred loan costs, net | 9,096 | 9,263 | ||||||||||||
| Allowance for credit losses on loans | (7,065 | ) | (5,946 | ) | ||||||||||
| Total loans held for investment, net | $ | 1,052,979 | $ | 1,077,629 | ||||||||||
| Purchased loans serviced by others included above | $ | 1,803 | 5.73 | % | $ | 10,561 | 4.67 | % | ||||||
(1) Weighted-average yield earned on all instruments included in the balance of the respective line item.
| As of June 30, | ||||||||||||||
| 2024 | 2023 | |||||||||||||
| Balance | Rate(1) | Balance | Rate(1) | |||||||||||
| DEPOSITS: | ||||||||||||||
| Checking accounts – noninterest-bearing | $ | 95,627 | — | % | $ | 103,006 | — | % | ||||||
| Checking accounts – interest-bearing | 254,624 | 0.04 | 302,872 | 0.04 | ||||||||||
| Savings accounts | 238,878 | 0.18 | 290,204 | 0.05 | ||||||||||
| Money market accounts | 25,324 | 0.50 | 33,551 | 0.23 | ||||||||||
| Time deposits | 273,895 | 3.93 | 220,938 | 2.98 | ||||||||||
| Total deposits(2)(3) | $ | 888,348 | 1.29 | % | $ | 950,571 | 0.73 | % | ||||||
| Brokered CDs included in time deposits above | $ | 131,800 | 5.18 | % | $ | 106,419 | 4.78 | % | ||||||
| BORROWINGS: | ||||||||||||||
| Overnight | $ | 20,000 | 5.65 | % | $ | — | — | % | ||||||
| Three months or less | 33,000 | 5.34 | 45,009 | 4.44 | ||||||||||
| Over three to six months | 30,000 | 5.22 | 25,000 | 5.30 | ||||||||||
| Over six months to one year | 62,500 | 4.05 | 80,000 | 4.29 | ||||||||||
| Over one year to two years | 68,000 | 5.11 | 70,000 | 3.99 | ||||||||||
| Over two years to three years | 10,000 | 5.03 | 10,000 | 4.42 | ||||||||||
| Over three years to four years | 5,000 | 4.22 | — | — | ||||||||||
| Over four years to five years | 10,000 | 4.51 | 5,000 | 4.22 | ||||||||||
| Over five years | — | — | — | — | ||||||||||
| Total borrowings(4) | $ | 238,500 | 4.88 | % | $ | 235,009 | 4.34 | % | ||||||
(1) Weighted-average rate paid on all instruments included in the balance of the respective line item.
(2) Includes uninsured deposits of approximately
(3) The average balance of deposit accounts was approximately
(4) The Bank had approximately
| PROVIDENT FINANCIAL HOLDINGS, INC. | ||||||||||||||||
| Financial Highlights | ||||||||||||||||
| (Unaudited - Dollars in Thousands) | ||||||||||||||||
| Quarter Ended | Quarter Ended | |||||||||||||||
| June 30, 2024 | June 30, 2023 | |||||||||||||||
| Balance | Rate(1) | Balance | Rate(1) | |||||||||||||
| SELECTED AVERAGE BALANCE SHEETS: | ||||||||||||||||
| Loans receivable, net | $ | 1,060,173 | 4.84 | % | $ | 1,080,440 | 4.38 | % | ||||||||
| Investment securities | 135,797 | 1.48 | 160,572 | 1.34 | ||||||||||||
| FHLB – San Francisco stock | 9,556 | 8.66 | 9,240 | 6.15 | ||||||||||||
| Interest-earning deposits | 27,826 | 5.39 | 32,395 | 5.01 | ||||||||||||
| Total interest-earning assets | $ | 1,233,352 | 4.51 | % | $ | 1,282,647 | 4.03 | % | ||||||||
| Total assets | $ | 1,263,935 | $ | 1,313,057 | ||||||||||||
| Deposits(2) | $ | 898,357 | 1.27 | % | $ | 956,701 | 0.62 | % | ||||||||
| Borrowings | 218,835 | 4.84 | 207,483 | 4.26 | ||||||||||||
| Total interest-bearing liabilities(2) | $ | 1,117,192 | 1.97 | % | $ | 1,164,184 | 1.27 | % | ||||||||
| Total stockholders’ equity | $ | 131,141 | $ | 131,085 | ||||||||||||
(1) Weighted-average yield earned or rate paid on all instruments included in the balance of the respective line item.
(2) Includes the average balance of noninterest-bearing checking accounts of
| Fiscal Year Ended | Fiscal Year Ended | ||||||||||||||
| June 30, 2024 | June 30, 2023 | ||||||||||||||
| Balance | Rate(1) | Balance | Rate(1) | ||||||||||||
| SELECTED AVERAGE BALANCE SHEETS: | |||||||||||||||
| Loans receivable, net | $ | 1,069,616 | 4.69 | % | $ | 1,029,000 | 4.10 | % | |||||||
| Investment securities | 144,549 | 1.43 | 172,005 | 1.26 | |||||||||||
| FHLB – San Francisco stock | 9,518 | 8.33 | 8,488 | 6.55 | |||||||||||
| Interest-earning deposits | 30,610 | 5.38 | 26,214 | 4.05 | |||||||||||
| Total interest-earning assets | $ | 1,254,293 | 4.36 | % | $ | 1,235,707 | 3.72 | % | |||||||
| Total assets | $ | 1,284,948 | $ | 1,268,470 | |||||||||||
| Deposits(2) | $ | 916,050 | 1.06 | % | $ | 960,860 | 0.33 | % | |||||||
| Borrowings | 221,368 | 4.58 | 159,742 | 3.67 | |||||||||||
| Total interest-bearing liabilities(2) | $ | 1,137,418 | 1.74 | % | $ | 1,120,602 | 0.80 | % | |||||||
| Total stockholders’ equity | $ | 130,799 | $ | 130,561 | |||||||||||
(1) Weighted-average yield earned or rate paid on all instruments included in the balance of the respective line item.
(2) Includes the average balance of noninterest-bearing checking accounts of
ASSET QUALITY:
| As of | As of | As of | As of | As of | ||||||||||||||||
| 06/30/24 | 03/31/24 | 12/31/23 | 09/30/23 | 06/30/23 | ||||||||||||||||
| Loans on non-accrual status | ||||||||||||||||||||
| Mortgage loans: | ||||||||||||||||||||
| Single-family | $ | 2,596 | $ | 2,246 | $ | 1,750 | $ | 1,361 | $ | 1,300 | ||||||||||
| Total | 2,596 | 2,246 | 1,750 | 1,361 | 1,300 | |||||||||||||||
| Accruing loans past due 90 days or more: | — | — | — | — | — | |||||||||||||||
| Total | — | — | — | — | — | |||||||||||||||
| Total non-performing loans(1) | 2,596 | 2,246 | 1,750 | 1,361 | 1,300 | |||||||||||||||
| Real estate owned, net | — | — | — | — | — | |||||||||||||||
| Total non-performing assets | $ | 2,596 | $ | 2,246 | $ | 1,750 | $ | 1,361 | $ | 1,300 | ||||||||||
(1) The non-performing loan balances are net of individually evaluated or collectively evaluated allowances, specifically attached to the individual loans.
FAQ
What was Provident Financial Holdings' (PROV) net income for Q4 2024?
How did PROV's Q4 2024 net income compare to the previous year?
What was PROV's net interest margin in Q4 2024?
How much were PROV's loans held for investment as of June 30, 2024?
What was PROV's total deposits as of June 30, 2024?
