NEW YORK, May 09, 2022 (GLOBE NEWSWIRE) -- Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp (the “Company”) (NASDAQ: PDLB), the holding company for Ponce Bank (the “Bank”), reported a net loss of ($6.8 million), or ($0.31) per basic and diluted share, for the first quarter of 2022, compared to net income of $15.0 million, or $0.90 per basic and $0.89 per diluted share, for the prior quarter and net income of $2.5 million, or $0.15 per basic and diluted share, for the first quarter of 2021.
First Quarter Highlights
- Net interest income of $17.3 million for the first quarter increased $556,000, or 3.3%, from the prior quarter and $4.4 million, or 34.5%, from the same quarter last year.
- Loss before taxes was ($9.8 million) for the first quarter of 2022 as compared to income before taxes of $19.2 million for the prior quarter and $3.2 million for the same quarter last year. Included in the first quarter of 2022 is a net loss of ($8.1 million) resulting from a $6.3 million write-off and $1.7 million in additional reserves relating to the Bank’s lending relationship with Grain Technologies, Inc. (“Grain”). Included in the fourth quarter of 2021 was a net gain of $15.4 million resulting from the sale of real properties.
- Average cost of interest-bearing deposits was 0.49% for the first quarter, a decrease from 0.51% for the prior quarter and from 0.77% for the same quarter last year.
- Net interest margin was 4.68% for the first quarter, an increase from 4.51% for the prior quarter and from 4.00% for the same quarter last year.
- Net interest rate spread was 4.48% for the first quarter, an increase from 4.32% for the prior quarter and from 3.76% for the same quarter last year.
- Efficiency ratio was 143.50% for the first quarter compared to 44.10% for the prior quarter and 76.94% for the same quarter last year.
- Non-performing loans of $15.8 million as of March 31, 2022 increased $3.5 million year-over-year and was 1.20% of total gross loans receivable at March 31, 2022.
- Net loans receivable were $1.30 billion at March 31, 2022, a decrease of $4.6 million, or 0.4%, from December 31, 2021.
- Deposits were $1.18 billion at March 31, 2022, a decrease of $23.6 million, or 2.0%, from December 31, 2021.
- Mortgage World’s business is now conducted as a division of Ponce Bank.
President and Chief Executive Officer’s Comments
Carlos P. Naudon, President and CEO, stated that, “The reported net loss of $6.8 million for the first quarter of 2022, the beginning of our life as a fully publicly traded company, reflects $13.1 million in one-time pre-tax events; a $5.0 million contribution to the Ponce De Leon Foundation as part of our conversion and reorganization and an aggregate of $8.1 million write-off and write-down of the receivable due from Grain for microloans originated by Grain and put back to Grain due to fraud. Although we are confident that Grain will grow from a pre-profit startup to a solid company, the write-off and write-down reflect the current economic conditions and regulatory requirements, notwithstanding Grain’s success in raising capital and its targeting low and low-to-moderate income communities and underserved people. Additionally, we maintain an allowance for loan losses which at March 31, 2022 amounted to $1.5 million, or 4.8%, specifically for the $31.0 million microloans portfolio. We continue to view our microloan portfolio as important to our mission and are pleased that, as an MDI and CDFI, we have been able to provide over 54,000 new customers a reasonably priced alternative to otherwise high-cost, predatory lending options. We are also encouraged that our net interest income after provision for loan losses continues to improve quarter-over-quarter since the first quarter of 2021 and that, excluding the noted one-time events, our operating expenses remain consistent with our growth. From April 1, 2021 to March 31, 2022, we grew the Company by 11.2% while our capital increased by 85.8%, positioning us well for the challenges of tomorrow.”
Executive Chairman’s Comments
Steven A. Tsavaris, Executive Chairman, noted that “we are pleased that we have been able to offset the effects on our loan portfolio due to reductions in PPP loans as they are forgiven by increasing the origination of our traditional loans, augmented by increased lending in non-qualified mortgages – a clear benefit of our being a CDFI and MDI. We look forward to the closing of our announced ECIP capital funding from the U.S. Treasury.”
Results of Operations Summary
Net loss for the three months ended March 31, 2022 was ($6.8 million), compared to $15.0 million of net income for the three months ended December 31, 2021 and $2.5 million of net income for the three months ended March 31, 2021.
The ($6.8 million) net loss for the three months ended March 31, 2022 compared to $15.0 million of net income for the three months ended December 31, 2021 was attributable to a decrease of $16.9 million in non-interest income quarter to quarter and an increase of $12.2 million in non-interest expense quarter to quarter. The $12.2 million increase in non-interest expense was the result of the write-off and write-down related to Grain of $8.1 million and a contribution to the Ponce De Leon Foundation of $5.0 million, and an increase of $385,000 in provision for loan losses, offset by $3.0 million in benefit for income taxes, rather than a $4.2 million provision for income taxes quarter to quarter.
The ($6.8 million) net loss for the three months ended March 31, 2022 compared to $2.5 million of net income for the three months ended March 31, 2021 was due to an increase of $15.2 million in non-interest expense, a decrease of $1.7 million in non-interest income and an increase of $572,000 in provision for loan losses. The net loss was offset by increases of $4.4 million in net interest income and a $3.0 million benefit for income taxes, rather than a $732,000 provision for income taxes quarter to quarter.
Net interest income for the three months ended March 31, 2022 was $17.3 million, an increase of $556,000, or 3.3%, compared to the three months ended December 31, 2021 and an increase of $4.4 million, or 34.5%, compared to the three months ended March 31, 2021. The increase of $556,000 in net interest income for the three months ended March 31, 2022 compared to the three months ended December 31, 2021 was attributable to an increase of $366,000 in interest and dividend income and a decrease of $190,000 in interest expense. The increase of $4.4 million in net interest income for the three months ended March 31, 2022 compared to the three months ended March 31, 2021 was attributable to an increase of $3.8 million in interest and dividend income and a decrease of $605,000 in interest expense.
Net interest margin was 4.68% for the three months ended March 31, 2022, an increase of 17 basis points from 4.51% for the three months ended December 31, 2021 and an increase of 68 basis points from 4.00% for the three months ended March 31, 2021.
Net interest rate spread increased by 16 basis points to 4.48% for the three months ended March 31, 2022 from 4.32% for the three months ended December 31, 2021 and increased by 72 basis points from 3.76% for the three months ended March 31, 2021. The increase in the net interest rate spread for the three months ended March 31, 2022 compared to the three months ended December 31, 2021 was primarily due to an increase in the average yield on interest-earning assets of 13 basis points to 5.14% for the three months ended March 31, 2022 from 5.01% for the three months ended December 31, 2021, and a decrease in the average rate on interest-bearing liabilities of 3 basis points to 0.66% for the three months ended March 31, 2022 from 0.69% for the three months ended December 31, 2021. The increase in the net interest rate spread for the three months ended March 31, 2022 compared to the three months ended March 31, 2021 was primarily due to an increase in the average yield on interest-earning assets of 44 basis points to 5.14% for the three months ended March 31, 2022 from 4.70% for the three months ended March 31, 2021 and a decrease in the average rates on interest-bearing liabilities of 28 basis points to 0.66% for the three months ended March 31, 2022 from 0.94% for the three months ended March 31, 2021.
Non-interest income decreased $16.9 million to $2.2 million for the three months ended March 31, 2022 from $19.2 million for the three months ended December 31, 2021 and decreased $1.7 million from $3.9 million for the three months ended March 31, 2021. Excluding the $15.4 million gain, net of expense, from sale of real properties during the three months ended December 31, 2021, non-interest income decreased $1.5 million to $2.2 million for the three months ended March 31, 2022 compared to $3.7 million for the three months ended December 31, 2021.
The decrease of $16.9 million in non-interest income for the three months ended March 31, 2022 compared to the three months ended December 31, 2021 was due to the absence of the one-time $15.4 million in gain, net of expenses, from the sale of real properties recognized in the fourth quarter of 2021, and decreases of $876,000 in income on sale of mortgage loans, $425,000 in loan origination fees, $278,000 in late and prepayment charges, $63,000 in brokerage commissions and $28,000 in service charges and fees, offset by an increase of $158,000 in other non-interest income.
The decrease of $1.7 million in non-interest income for the three months ended March 31, 2022 compared to the three months ended March 31, 2021 was due to decreases of $1.1 million in income on sale of mortgage loans, $663,000, net of expenses, from the sale of real properties recognized in the first quarter of 2021, $186,000 in late and prepayment charges and $78,000 in loan origination fees, offset by increases of $124,000 in other non-interest income, $115,000 in brokerage commissions and $111,000 in service charges and fees.
Non-interest expense increased $12.2 million, or 77.1%, to $28.1 million for the three months ended March 31, 2022 from $15.9 million for the three months ended December 31, 2021 and increased $15.2 million, or 117.4%, from $12.9 million for the three months ended March 31, 2021.
The increase of $12.2 million in non-interest expense for the three months ended March 31, 2022, compared to the three months ended December 31, 2021, was attributable to an aggregate $8.1 million write-off and write down related to the receivable due from Grain for microloans originated by Grain and put back to Grain due to fraud, $5.0 million contribution to the Ponce De Leon Foundation in connection with the second-step conversion and reorganization, and increases of $185,000 in occupancy and equipment, $166,000 in compensation and benefits and $76,000 in data processing expenses, offset by decreases of $610,000 in other operating expenses, $366,000 in professional fees, $158,000 in direct loan expenses and $147,000 in office supplies, telephone and postage.
The increase of $15.2 million in non-interest expense for the three months ended March 31, 2022, compared to the three months ended March 31, 2021 was attributable to an aggregate $8.1 million in write-off and write-down related to the receivable due from Grain for microloans originated by Grain and put back to Grain due to fraud, $5.0 million in contribution to the Ponce De Leon Foundation in connection with the second-step conversion and reorganization, and increases of $1.5 million in compensation and benefits, $558,000 in occupancy and equipment, $253,000 in data processing expenses, $72,000 in professional fees and $33,000 in marketing and promotional expense, offset by decreases of $174,000 in other operating expenses and $135,000 in direct loan expenses.
Balance Sheet Summary
Total assets decreased $58.9 million, or 3.6%, to $1.59 billion at March 31, 2022 from $1.65 billion at December 31, 2021. The decrease in total assets is attributable to decreases of $84.6 million in cash and cash equivalents, $7.9 million in mortgage loans held for sale, at fair value, $6.4 million in other assets, $4.6 million in net loans receivable (inclusive of $50.8 million net decrease in PPP loans), $581,000 in FHLBNY stock and $338,000, net, in premises and equipment. The decrease in total assets was reduced by increases of $41.5 million in available-for-sale securities, $3.6 million in deferred tax assets and $437,000 in accrued interest receivable.
Total liabilities decreased $169.2 million, or 11.6%, to $1.30 billion at March 31, 2022 from $1.46 billion at December 31, 2021. The decrease in total liabilities was mainly attributable to decreases of $122.0 million in second-step liabilities held pending the closing of the conversion and reorganization on January 27, 2022, $23.6 million in deposits, $14.3 million in warehouse lines of credit and $12.9 million in advances from FHLBNY, offset by increases of $2.5 million in advance payments by borrowers for taxes and insurance and $1.0 million in other liabilities.
Total stockholders’ equity increased $110.3 million, or 58.3%, to $299.6 million at March 31, 2022 from $189.3 million at December 31, 2021. This increase in stockholders’ equity was mainly attributable to $118.0 million as a result of the sale of equity in the second-step conversion and reorganization, $4.0 million contribution to the Ponce De Leon Foundation, $366,000 in Employee Stock Ownership Plan shares committed to be released and $351,000 in share-based compensation offset by $6.8 million in net loss and $5.6 million in other comprehensive loss.
Pursuant to the conversion and reorganization, PDL Community Bancorp treasury stock was extinguished on January 27, 2022. Ponce Financial Group, Inc. currently has no treasury stock.
About Ponce Financial Group, Inc.
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, is the holding company for Ponce Bank. Ponce Bank is a Minority Depository Institution, a Community Development Financial Institution, and a certified Small Business Administration lender. The Bank’s business primarily consists of taking deposits from the general public and to a lesser extent alternative funding sources and investing those deposits, together with funds generated from operations and borrowings, in mortgage loans, consisting of 1-4 family residences (investor-owned and owner-occupied), multifamily residences, nonresidential properties and construction and land, and, to a lesser extent, in business and consumer loans. The Bank also invests in securities, which consist of U.S. Government and federal agency securities and securities issued by government-sponsored or government-owned enterprises, as well as, mortgage-backed securities, corporate bonds and obligations, and Federal Home Loan Bank stock.
Forward Looking Statements
Certain statements herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by words such as “believes,” “will,” “would,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements as a result of numerous factors. Factors that could cause such differences to exist include, but are not limited to, adverse conditions in the capital and debt markets and the impact of such conditions on business activities; changes in interest rates; competitive pressures from other financial institutions; the effects of general economic conditions on a national basis or in the local markets in which Ponce Bank operates, including changes that adversely affect borrowers’ ability to service and repay Ponce Bank’s loans; the anticipated impact of the COVID-19 pandemic and Ponce Bank’s attempts at mitigation; changes in the value of securities in the investment portfolio; changes in loan default and charge-off rates; fluctuations in real estate values; the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; operational risks including, but not limited to, cybersecurity, fraud and natural disasters; changes in government regulation; changes in accounting standards and practices; the risk that intangibles recorded in the financial statements will become impaired; demand for loans in Ponce Bank’s market area; Ponce Bank’s ability to attract and maintain deposits; risks related to the implementation of acquisitions, dispositions, and restructurings; the risk that Ponce Financial Group, Inc. may not be successful in the implementation of its business strategy; changes in assumptions used in making such forward-looking statements and the risk factors described in Ponce Financial Group, Inc.’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website, www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Ponce Financial Group, Inc. disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes, except as may be required by applicable law or regulation.
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Consolidated Statements of Financial Condition
(Dollars in thousands, except for share data)
| As of | |||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
| 2022 | 2021 | 2021 | 2021 | 2021 | |||||||||||||||
| ASSETS | |||||||||||||||||||
| Cash and due from banks: | |||||||||||||||||||
| Cash | $ | 32,168 | $ | 98,954 | $ | 29,365 | $ | 32,541 | $ | 13,551 | |||||||||
| Interest-bearing deposits in banks | 37,127 | 54,940 | 33,673 | 33,551 | 76,571 | ||||||||||||||
| Total cash and cash equivalents | 69,295 | 153,894 | 63,038 | 66,092 | 90,122 | ||||||||||||||
| Available-for-sale securities, at fair value | 154,799 | 113,346 | 104,358 | 48,536 | 30,929 | ||||||||||||||
| Held-to-maturity securities, at amortized cost | 927 | 934 | 1,437 | 1,720 | 1,732 | ||||||||||||||
| Placement with banks | 2,490 | 2,490 | 2,490 | 2,739 | 2,739 | ||||||||||||||
| Mortgage loans held for sale, at fair value | 7,972 | 15,836 | 13,930 | 15,308 | 13,725 | ||||||||||||||
| Loans receivable, net | 1,300,446 | 1,305,078 | 1,302,238 | 1,343,578 | 1,230,458 | ||||||||||||||
| Accrued interest receivable | 12,799 | 12,362 | 13,360 | 13,134 | 12,547 | ||||||||||||||
| Premises and equipment, net | 19,279 | 19,617 | 34,081 | 34,057 | 33,625 | ||||||||||||||
| Federal Home Loan Bank of New York stock (FHLBNY), at cost | 5,420 | 6,001 | 6,001 | 6,156 | 6,057 | ||||||||||||||
| Deferred tax assets | 7,440 | 3,820 | 4,826 | 5,493 | 4,569 | ||||||||||||||
| Other assets | 13,730 | 20,132 | 14,793 | 10,837 | 7,204 | ||||||||||||||
| Total assets | $ | 1,594,597 | $ | 1,653,510 | $ | 1,560,552 | $ | 1,547,650 | $ | 1,433,707 | |||||||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||||||||||||||
| Liabilities: | |||||||||||||||||||
| Deposits | $ | 1,181,165 | $ | 1,204,716 | $ | 1,249,261 | $ | 1,236,161 | $ | 1,138,546 | |||||||||
| Accrued interest payable | 223 | 228 | 238 | 55 | 66 | ||||||||||||||
| Advance payments by borrowers for taxes and insurance | 10,161 | 7,657 | 9,118 | 7,682 | 9,264 | ||||||||||||||
| Advances from the FHLBNY and others | 93,375 | 106,255 | 106,255 | 109,255 | 109,255 | ||||||||||||||
| Warehouse lines of credit | 753 | 15,090 | 11,261 | 13,084 | 11,664 | ||||||||||||||
| Mortgage loan fundings payable | — | — | 1,136 | 743 | 676 | ||||||||||||||
| Second-step liabilities | — | 122,000 | — | — | — | ||||||||||||||
| Other liabilities | 9,341 | 8,308 | 9,396 | 8,780 | 3,032 | ||||||||||||||
| Total liabilities | 1,295,018 | 1,464,254 | 1,386,665 | 1,375,760 | 1,272,503 | ||||||||||||||
| Commitments and contingencies | |||||||||||||||||||
| Stockholders' Equity: | |||||||||||||||||||
| Preferred stock, $0.01 par value; 100,000,000 shares authorized | — | — | — | — | — | ||||||||||||||
| Common stock, $0.01 par value; 200,000,000 shares authorized | 247 | 185 | 185 | 185 | 185 | ||||||||||||||
| Treasury stock, at cost | — | (13,687 | ) | (15,069 | ) | (15,069 | ) | (19,285 | ) | ||||||||||
| Additional paid-in-capital | 205,243 | 85,601 | 86,360 | 85,956 | 85,470 | ||||||||||||||
| Retained earnings | 116,136 | 122,956 | 107,977 | 105,925 | 99,993 | ||||||||||||||
| Accumulated other comprehensive income | (7,035 | ) | (1,456 | ) | (621 | ) | (41 | ) | 28 | ||||||||||
| Unearned compensation ─ ESOP | (15,012 | ) | (4,343 | ) | (4,945 | ) | (5,066 | ) | (5,187 | ) | |||||||||
| Total stockholders' equity | 299,579 | 189,256 | 173,887 | 171,890 | 161,204 | ||||||||||||||
| Total liabilities and stockholders' equity | $ | 1,594,597 | $ | 1,653,510 | $ | 1,560,552 | $ | 1,547,650 | $ | 1,433,707 | |||||||||
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Consolidated Statements of Operations
(Dollars in thousands, except per share data)
| Three Months Ended | |||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
| 2022 | 2021 | 2021 | 2021 | 2021 | |||||||||||||||
| Interest and dividend income: | |||||||||||||||||||
| Interest on loans receivable | $ | 18,200 | $ | 18,013 | $ | 16,991 | $ | 15,603 | $ | 14,925 | |||||||||
| Interest on deposits due from banks | 36 | 7 | 9 | 2 | 2 | ||||||||||||||
| Interest and dividend on securities and FHLBNY stock | 782 | 632 | 425 | 239 | 250 | ||||||||||||||
| Total interest and dividend income | 19,018 | 18,652 | 17,425 | 15,844 | 15,177 | ||||||||||||||
| Interest expense: | |||||||||||||||||||
| Interest on certificates of deposit | 803 | 907 | 1,010 | 1,108 | 1,219 | ||||||||||||||
| Interest on other deposits | 284 | 309 | 354 | 382 | 382 | ||||||||||||||
| Interest on borrowings | 593 | 654 | 621 | 622 | 684 | ||||||||||||||
| Total interest expense | 1,680 | 1,870 | 1,985 | 2,112 | 2,285 | ||||||||||||||
| Net interest income | 17,338 | 16,782 | 15,440 | 13,732 | 12,892 | ||||||||||||||
| Provision for loan losses | 1,258 | 873 | 572 | 586 | 686 | ||||||||||||||
| Net interest income after provision for loan losses | 16,080 | 15,909 | 14,868 | 13,146 | 12,206 | ||||||||||||||
| Non-interest income: | |||||||||||||||||||
| Service charges and fees | 440 | 468 | 494 | 366 | 329 | ||||||||||||||
| Brokerage commissions | 338 | 401 | 270 | 430 | 223 | ||||||||||||||
| Late and prepayment charges | 58 | 336 | 329 | 298 | 244 | ||||||||||||||
| Income on sale of mortgage loans | 418 | 1,294 | 1,175 | 1,288 | 1,508 | ||||||||||||||
| Loan origination | 461 | 886 | 625 | 971 | 539 | ||||||||||||||
| Gain on sale of real property | — | 15,431 | — | 4,176 | 663 | ||||||||||||||
| Other | 511 | 353 | 341 | 812 | 387 | ||||||||||||||
| Total non-interest income | 2,226 | 19,169 | 3,234 | 8,341 | 3,893 | ||||||||||||||
| Non-interest expense: | |||||||||||||||||||
| Compensation and benefits | 7,125 | 6,959 | 6,427 | 4,212 | 5,664 | ||||||||||||||
| Occupancy and equipment | 3,192 | 3,007 | 2,849 | 2,838 | 2,634 | ||||||||||||||
| Data processing expenses | 847 | 771 | 917 | 733 | 594 | ||||||||||||||
| Direct loan expenses | 874 | 1,032 | 696 | 1,151 | 1,009 | ||||||||||||||
| Insurance and surety bond premiums | 147 | 149 | 147 | 143 | 146 | ||||||||||||||
| Office supplies, telephone and postage | 405 | 552 | 626 | 467 | 409 | ||||||||||||||
| Professional fees | 1,334 | 1,700 | 1,765 | 2,902 | 1,262 | ||||||||||||||
| Contribution to the Ponce De Leon Foundation | 4,995 | — | — | — | — | ||||||||||||||
| Grain write-off and write-down | 8,074 | — | — | — | — | ||||||||||||||
| Marketing and promotional expenses | 71 | 69 | 51 | 48 | 38 | ||||||||||||||
| Directors fees | 71 | 80 | 67 | 69 | 69 | ||||||||||||||
| Regulatory dues | 83 | 69 | 74 | 120 | 60 | ||||||||||||||
| Other operating expenses | 856 | 1,466 | 1,113 | 958 | 1,030 | ||||||||||||||
| Total non-interest expense | 28,074 | 15,854 | 14,732 | 13,641 | 12,915 | ||||||||||||||
| (Loss) income before income taxes | (9,768 | ) | 19,224 | 3,370 | 7,846 | 3,184 | |||||||||||||
| (Benefit) provision for income taxes | (2,948 | ) | 4,245 | 1,318 | 1,914 | 732 | |||||||||||||
| Net (loss) income | $ | (6,820 | ) | $ | 14,979 | $ | 2,052 | $ | 5,932 | $ | 2,452 | ||||||||
| (Loss) earnings per share: | |||||||||||||||||||
| Basic | $ | (0.31 | ) | $ | 0.90 | $ | 0.12 | $ | 0.35 | $ | 0.15 | ||||||||
| Diluted | $ | (0.31 | ) | $ | 0.89 | $ | 0.12 | $ | 0.35 | $ | 0.15 | ||||||||
| Weighted average shares outstanding: | |||||||||||||||||||
| Basic | 21,721,113 | 16,864,929 | 16,823,731 | 16,737,037 | 16,548,196 | ||||||||||||||
| Diluted | 21,721,113 | 16,924,785 | 16,914,833 | 16,773,606 | 16,548,196 | ||||||||||||||
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Consolidated Statements of Operations
(Dollars in thousands, except per share data)
| Quarter Ended March 31, | ||||||||||||||||
| 2022 | 2021 | Variance $ | Variance % | |||||||||||||
| Interest and dividend income: | ||||||||||||||||
| Interest on loans receivable | $ | 18,200 | $ | 14,925 | $ | 3,275 | 21.94 | % | ||||||||
| Interest on deposits due from banks | 36 | 2 | 34 | * | ||||||||||||
| Interest and dividend on securities and FHLBNY stock | 782 | 250 | 532 | 212.80 | % | |||||||||||
| Total interest and dividend income | 19,018 | 15,177 | 3,841 | 25.31 | % | |||||||||||
| Interest expense: | ||||||||||||||||
| Interest on certificates of deposit | 803 | 1,219 | (416 | ) | (34.13 | %) | ||||||||||
| Interest on other deposits | 284 | 382 | (98 | ) | (25.65 | %) | ||||||||||
| Interest on borrowings | 593 | 684 | (91 | ) | (13.30 | %) | ||||||||||
| Total interest expense | 1,680 | 2,285 | (605 | ) | (26.48 | %) | ||||||||||
| Net interest income | 17,338 | 12,892 | 4,446 | 34.49 | % | |||||||||||
| Provision for loan losses | 1,258 | 686 | 572 | 83.38 | % | |||||||||||
| Net interest income after provision for loan losses | 16,080 | 12,206 | 3,874 | 31.74 | % | |||||||||||
| Non-interest income: | ||||||||||||||||
| Service charges and fees | 440 | 329 | 111 | 33.74 | % | |||||||||||
| Brokerage commissions | 338 | 223 | 115 | 51.57 | % | |||||||||||
| Late and prepayment charges | 58 | 244 | (186 | ) | (76.23 | %) | ||||||||||
| Income on sale of mortgage loans | 418 | 1,508 | (1,090 | ) | (72.28 | %) | ||||||||||
| Loan origination | 461 | 539 | (78 | ) | (14.47 | %) | ||||||||||
| Gain on sale of real property | — | 663 | (663 | ) | (100.00 | %) | ||||||||||
| Other | 511 | 387 | 124 | 32.04 | % | |||||||||||
| Total non-interest income | 2,226 | 3,893 | (1,667 | ) | (42.82 | %) | ||||||||||
| Non-interest expense: | ||||||||||||||||
| Compensation and benefits | 7,125 | 5,664 | 1,461 | 25.79 | % | |||||||||||
| Occupancy and equipment | 3,192 | 2,634 | 558 | 21.18 | % | |||||||||||
| Data processing expenses | 847 | 594 | 253 | 42.59 | % | |||||||||||
| Direct loan expenses | 874 | 1,009 | (135 | ) | (13.38 | %) | ||||||||||
| Insurance and surety bond premiums | 147 | 146 | 1 | 0.68 | % | |||||||||||
| Office supplies, telephone and postage | 405 | 409 | (4 | ) | (0.98 | %) | ||||||||||
| Professional fees | 1,334 | 1,262 | 72 | 5.71 | % | |||||||||||
| Contribution to the Ponce De Leon Foundation | 4,995 | — | 4,995 | — | % | |||||||||||
| Grain write-off and write-down | 8,074 | — | 8,074 | — | % | |||||||||||
| Marketing and promotional expenses | 71 | 38 | 33 | 86.84 | % | |||||||||||
| Directors fees | 71 | 69 | 2 | 2.90 | % | |||||||||||
| Regulatory dues | 83 | 60 | 23 | 38.33 | % | |||||||||||
| Other operating expenses | 856 | 1,030 | (174 | ) | (16.89 | %) | ||||||||||
| Total non-interest expense | 28,074 | 12,915 | 15,159 | 117.38 | % | |||||||||||
| (Loss) income before income taxes | (9,768 | ) | 3,184 | (12,952 | ) | (406.78 | %) | |||||||||
| (Benefit) provision for income taxes | (2,948 | ) | 732 | (3,680 | ) | * | ||||||||||
| Net (loss) income | $ | (6,820 | ) | $ | 2,452 | $ | (9,272 | ) | (378.14 | %) | ||||||
| (Loss) earnings per share: | ||||||||||||||||
| Basic | $ | (0.31 | ) | $ | 0.15 | N/A | N/A | |||||||||
| Diluted | $ | (0.31 | ) | $ | 0.15 | N/A | N/A | |||||||||
| Weighted average shares outstanding: | ||||||||||||||||
| Basic | 21,721,113 | 16,548,196 | N/A | N/A | ||||||||||||
| Diluted | 21,721,113 | 16,548,196 | N/A | N/A | ||||||||||||
* Represents more than 500%
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Key Metrics
| At or for the Three Months Ended | |||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
| 2022 | 2021 | 2021 | 2021 | 2021 | |||||||||||||||
| Performance Ratios: | |||||||||||||||||||
| Return on average assets (1) | (1.60 | %) | 3.69 | % | 0.52 | % | 1.59 | % | 0.72 | % | |||||||||
| Return on average equity (1) | (10.06 | %) | 31.46 | % | 4.59 | % | 13.95 | % | 6.16 | % | |||||||||
| Net interest rate spread (1) (2) | 4.48 | % | 4.32 | % | 3.92 | % | 3.60 | % | 3.76 | % | |||||||||
| Net interest margin (1) (3) | 4.68 | % | 4.51 | % | 4.13 | % | 3.84 | % | 4.00 | % | |||||||||
| Non-interest expense to average assets (1) | 6.59 | % | 3.90 | % | 3.72 | % | 3.65 | % | 3.82 | % | |||||||||
| Efficiency ratio (4) | 143.50 | % | 44.10 | % | 78.89 | % | 61.80 | % | 76.94 | % | |||||||||
| Average interest-earning assets to average interest- bearing liabilities | 145.54 | % | 138.10 | % | 138.89 | % | 140.13 | % | 133.25 | % | |||||||||
| Average equity to average assets | 15.92 | % | 11.71 | % | 11.27 | % | 11.37 | % | 11.77 | % | |||||||||
| Capital Ratios: | |||||||||||||||||||
| Total capital to risk weighted assets (bank only) | 23.27 | % | 17.23 | % | 16.15 | % | 16.08 | % | 15.80 | % | |||||||||
| Tier 1 capital to risk weighted assets (bank only) | 22.02 | % | 15.98 | % | 14.90 | % | 14.83 | % | 14.54 | % | |||||||||
| Common equity Tier 1 capital to risk-weighted assets (bank only) | 22.02 | % | 15.98 | % | 14.90 | % | 14.83 | % | 14.54 | % | |||||||||
| Tier 1 capital to average assets (bank only) | 14.88 | % | 10.95 | % | 9.98 | % | 10.22 | % | 10.78 | % | |||||||||
| Asset Quality Ratios: | |||||||||||||||||||
| Allowance for loan losses as a percentage of total loans | 1.28 | % | 1.24 | % | 1.21 | % | 1.16 | % | 1.24 | % | |||||||||
| Allowance for loan losses as a percentage of nonperforming loans | 106.84 | % | 142.90 | % | 157.17 | % | 175.63 | % | 126.07 | % | |||||||||
| Net (charge-offs) recoveries to average outstanding loans (1) | (0.22 | %) | (0.18 | %) | (0.13 | %) | (0.07 | %) | (0.02 | %) | |||||||||
| Non-performing loans as a percentage of total gross loans | 1.20 | % | 0.87 | % | 0.77 | % | 0.66 | % | 0.99 | % | |||||||||
| Non-performing loans as a percentage of total assets | 0.99 | % | 0.69 | % | 0.65 | % | 0.58 | % | 0.86 | % | |||||||||
| Total non-performing assets as a percentage of total assets | 0.99 | % | 0.69 | % | 0.65 | % | 0.58 | % | 0.86 | % | |||||||||
| Total non-performing assets, accruing loans past due 90 days or more, and accruing troubled debt restructured loans as a percentage of total assets | 1.32 | % | 1.07 | % | 1.05 | % | 1.01 | % | 1.32 | % | |||||||||
| Other: | |||||||||||||||||||
| Number of offices | 18 | 19 | 19 | 19 | 20 | ||||||||||||||
| Number of full-time equivalent employees | 223 | 217 | 230 | 231 | 236 | ||||||||||||||
(1) Annualized where appropriate.
(2) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities.
(3) Net interest margin represents net interest income divided by average total interest-earning assets.
(4) Efficiency ratio represents noninterest expense divided by the sum of net interest income and noninterest income.
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Loan Portfolio
| As of | ||||||||||||||||||||||||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | ||||||||||||||||||||||||||||||||||||
| 2022 | 2021 | 2021 | 2021 | 2021 | ||||||||||||||||||||||||||||||||||||
| Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | |||||||||||||||||||||||||||||||
| (Dollars in thousands) | ||||||||||||||||||||||||||||||||||||||||
| Mortgage loans: | ||||||||||||||||||||||||||||||||||||||||
| 1-4 family residential | ||||||||||||||||||||||||||||||||||||||||
| Investor Owned | $ | 323,442 | 24.59 | % | $ | 317,304 | 24.01 | % | $ | 319,346 | 24.14 | % | $ | 325,409 | 23.83 | % | $ | 317,895 | 25.51 | % | ||||||||||||||||||||
| Owner-Occupied | 95,234 | 7.24 | % | 96,947 | 7.33 | % | 97,493 | 7.37 | % | 98,839 | 7.24 | % | 99,985 | 8.02 | % | |||||||||||||||||||||||||
| Multifamily residential | 368,133 | 27.98 | % | 348,300 | 26.34 | % | 317,575 | 24.01 | % | 318,579 | 23.33 | % | 315,078 | 25.28 | % | |||||||||||||||||||||||||
| Nonresidential properties | 251,893 | 19.14 | % | 239,691 | 18.13 | % | 211,075 | 15.96 | % | 211,181 | 15.46 | % | 215,340 | 17.28 | % | |||||||||||||||||||||||||
| Construction and land | 144,881 | 11.01 | % | 134,651 | 10.19 | % | 133,130 | 10.07 | % | 125,265 | 9.17 | % | 119,339 | 9.57 | % | |||||||||||||||||||||||||
| Total mortgage loans | 1,183,583 | 89.96 | % | 1,136,893 | 86.00 | % | 1,078,619 | 81.55 | % | 1,079,273 | 79.02 | % | 1,067,637 | 85.66 | % | |||||||||||||||||||||||||
| Non-mortgage loans: | ||||||||||||||||||||||||||||||||||||||||
| Business loans (1) | 100,253 | 7.62 | % | 150,512 | 11.38 | % | 207,859 | 15.72 | % | 253,935 | 18.59 | % | 142,135 | 11.40 | % | |||||||||||||||||||||||||
| Consumer loans (2) | 31,899 | 2.42 | % | 34,693 | 2.62 | % | 36,095 | 2.73 | % | 32,576 | 2.39 | % | 36,706 | 2.94 | % | |||||||||||||||||||||||||
| Total non-mortgage loans | 132,152 | 10.04 | % | 185,205 | 14.00 | % | 243,954 | 18.45 | % | 286,511 | 20.98 | % | 178,841 | 14.34 | % | |||||||||||||||||||||||||
| Total loans, gross | 1,315,735 | 100.00 | % | 1,322,098 | 100.00 | % | 1,322,573 | 100.00 | % | 1,365,784 | 100.00 | % | 1,246,478 | 100.00 | % | |||||||||||||||||||||||||
| Net deferred loan origination costs | 1,604 | (668 | ) | (4,327 | ) | (6,331 | ) | (512 | ) | |||||||||||||||||||||||||||||||
| Allowance for losses on loans | (16,893 | ) | (16,352 | ) | (16,008 | ) | (15,875 | ) | (15,508 | ) | ||||||||||||||||||||||||||||||
| Loans, net | $ | 1,300,446 | $ | 1,305,078 | $ | 1,302,238 | $ | 1,343,578 | $ | 1,230,458 | ||||||||||||||||||||||||||||||
(1) As of March 31, 2022, December 31, 2021, September 30, 2021, June 30, 2021 and March 31, 2021, business loans include $86.0 million, $136.8 million, $195.9 million, $241.5 million, and $132.5 million, respectively, of PPP loans.
(2) As of March 31, 2022, December 31, 2021, September 30, 2021, June 30, 2021 and March 31, 2021, consumer loans include $31.0 million, $33.9 million, $35.5 million, $32.0 million and $35.9 million, respectively, of loans originated by the Bank pursuant to its arrangement with Grain.
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Allowance for Loan Losses
| For the Three Months Ended | ||||||||||||||||||||
| March | December | September | June | March | ||||||||||||||||
| 2022 | 2021 | 2021 | 2021 | 2021 | ||||||||||||||||
| (Dollars in thousands) | ||||||||||||||||||||
| Allowance for loan losses at beginning of the period | $ | 16,352 | $ | 16,008 | $ | 15,875 | $ | 15,508 | $ | 14,870 | ||||||||||
| Provision for loan losses | 1,258 | 873 | 572 | 586 | 686 | |||||||||||||||
| Charge-offs: | ||||||||||||||||||||
| Mortgage loans: | ||||||||||||||||||||
| 1-4 family residences | ||||||||||||||||||||
| Investor owned | — | — | — | — | — | |||||||||||||||
| Owner occupied | — | — | — | — | — | |||||||||||||||
| Multifamily residences | — | (38 | ) | — | — | — | ||||||||||||||
| Nonresidential properties | — | — | — | — | — | |||||||||||||||
| Construction and land | — | — | — | — | — | |||||||||||||||
| Non-mortgage loans: | ||||||||||||||||||||
| Business | — | — | — | — | — | |||||||||||||||
| Consumer | (751 | ) | (560 | ) | (510 | ) | (222 | ) | (50 | ) | ||||||||||
| Total charge-offs | (751 | ) | (598 | ) | (510 | ) | (222 | ) | (50 | ) | ||||||||||
| Recoveries: | ||||||||||||||||||||
| Mortgage loans: | ||||||||||||||||||||
| 1-4 family residences | ||||||||||||||||||||
| Investor owned | — | 8 | — | — | — | |||||||||||||||
| Owner occupied | — | 45 | — | — | — | |||||||||||||||
| Multifamily residences | — | — | — | — | — | |||||||||||||||
| Nonresidential properties | — | — | — | — | — | |||||||||||||||
| Construction and land | — | — | — | — | — | |||||||||||||||
| Non-mortgage loans: | ||||||||||||||||||||
| Business | 2 | 15 | 69 | — | — | |||||||||||||||
| Consumer | 32 | 1 | 2 | 3 | 2 | |||||||||||||||
| Total recoveries | 34 | 69 | 71 | 3 | 2 | |||||||||||||||
| Net (charge-offs) recoveries | (717 | ) | (529 | ) | (439 | ) | (219 | ) | (48 | ) | ||||||||||
| Allowance for loan losses at end of the period | $ | 16,893 | $ | 16,352 | $ | 16,008 | $ | 15,875 | $ | 15,508 | ||||||||||
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Deposits
| As of | ||||||||||||||||||||||||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | ||||||||||||||||||||||||||||||||||||
| 2022 | 2021 | 2021 | 2021 | 2021 | ||||||||||||||||||||||||||||||||||||
| Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | |||||||||||||||||||||||||||||||
| (Dollars in thousands) | ||||||||||||||||||||||||||||||||||||||||
| Demand (1) | $ | 281,132 | 23.81 | % | $ | 274,956 | 22.83 | % | $ | 297,777 | 23.85 | % | $ | 320,404 | 25.91 | % | $ | 242,255 | 21.28 | % | ||||||||||||||||||||
| Interest-bearing deposits: | ||||||||||||||||||||||||||||||||||||||||
| NOW/IOLA accounts | 33,010 | 2.79 | % | 35,280 | 2.93 | % | 28,025 | 2.24 | % | 28,996 | 2.35 | % | 32,235 | 2.83 | % | |||||||||||||||||||||||||
| Money market accounts | 169,847 | 14.38 | % | 186,893 | 15.51 | % | 199,758 | 15.99 | % | 172,925 | 13.99 | % | 157,271 | 13.81 | % | |||||||||||||||||||||||||
| Reciprocal deposits | 160,510 | 13.59 | % | 143,221 | 11.89 | % | 147,226 | 11.79 | % | 151,443 | 12.25 | % | 137,402 | 12.07 | % | |||||||||||||||||||||||||
| Savings accounts | 133,966 | 11.34 | % | 134,887 | 11.20 | % | 142,851 | 11.43 | % | 130,430 | 10.55 | % | 130,211 | 11.44 | % | |||||||||||||||||||||||||
| Total NOW, money market, reciprocal and savings accounts | 497,333 | 42.10 | % | 500,281 | 41.53 | % | 517,860 | 41.45 | % | 483,794 | 39.14 | % | 457,119 | 40.15 | % | |||||||||||||||||||||||||
| Certificates of deposit of $250K or more | 75,130 | 6.36 | % | 78,454 | 6.51 | % | 70,996 | 5.68 | % | 74,941 | 6.06 | % | 77,418 | 6.80 | % | |||||||||||||||||||||||||
| Brokered certificates of deposit (2) | 79,282 | 6.71 | % | 79,320 | 6.58 | % | 83,505 | 6.68 | % | 83,506 | 6.76 | % | 86,004 | 7.55 | % | |||||||||||||||||||||||||
| Listing service deposits (2) | 53,876 | 4.56 | % | 66,411 | 5.51 | % | 66,340 | 5.31 | % | 66,518 | 5.38 | % | 61,133 | 5.37 | % | |||||||||||||||||||||||||
| All other certificates of deposit less than $250K | 194,412 | 16.46 | % | 205,294 | 17.04 | % | 212,783 | 17.03 | % | 206,998 | 16.75 | % | 214,617 | 18.85 | % | |||||||||||||||||||||||||
| Total certificates of deposit | 402,700 | 34.09 | % | 429,479 | 35.64 | % | 433,624 | 34.70 | % | 431,963 | 34.95 | % | 439,172 | 38.57 | % | |||||||||||||||||||||||||
| Total interest-bearing deposits | 900,033 | 76.19 | % | 929,760 | 77.17 | % | 951,484 | 76.15 | % | 915,757 | 74.09 | % | 896,291 | 78.72 | % | |||||||||||||||||||||||||
| Total deposits | $ | 1,181,165 | 100.00 | % | $ | 1,204,716 | 100.00 | % | $ | 1,249,261 | 100.00 | % | $ | 1,236,161 | 100.00 | % | $ | 1,138,546 | 100.00 | % | ||||||||||||||||||||
(1) Included in demand deposits are deposits related to net PPP funding.
(2) As of March 31, 2022, December 31, 2021, September 30, 2021, June 30, 2021 and March 31, 2021, there were $19.0 million, $29.0 million, $28.9 million, $28.9 million and $28.8 million, respectively, in individual listing service deposits amounting to $250,000 or more. All brokered certificates of deposit individually amounted to less than $250,000.
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Nonperforming Assets
| As of Three Months Ended | |||||||||||||||||||
| March 31, | December 31, | September 31, | June 30, | March 31, | |||||||||||||||
| 2022 | 2021 | 2021 | 2021 | 2021 | |||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||
| Non-accrual loans: | |||||||||||||||||||
| Mortgage loans: | |||||||||||||||||||
| 1-4 family residential | |||||||||||||||||||
| Investor owned | $ | 3,596 | $ | 3,349 | $ | 1,669 | $ | 1,983 | $ | 2,907 | |||||||||
| Owner occupied | 962 | 1,284 | 1,090 | 1,593 | 1,585 | ||||||||||||||
| Multifamily residential | — | 1,200 | 2,577 | 955 | 946 | ||||||||||||||
| Nonresidential properties | 1,166 | 2,163 | 1,388 | 1,408 | 3,761 | ||||||||||||||
| Construction and land | 7,567 | 917 | 922 | — | — | ||||||||||||||
| Non-mortgage loans: | |||||||||||||||||||
| Business | — | — | — | — | — | ||||||||||||||
| Consumer | — | — | — | — | — | ||||||||||||||
| Total non-accrual loans (not including non-accruing troubled debt restructured loans) | $ | 13,291 | $ | 8,913 | $ | 7,646 | $ | 5,939 | $ | 9,199 | |||||||||
| Non-accruing troubled debt restructured loans: | |||||||||||||||||||
| Mortgage loans: | |||||||||||||||||||
| 1-4 family residential | |||||||||||||||||||
| Investor owned | $ | 230 | $ | 234 | $ | 238 | $ | 242 | $ | 246 | |||||||||
| Owner occupied | 2,192 | 2,196 | 2,200 | 2,199 | 2,195 | ||||||||||||||
| Multifamily residential | — | — | — | — | — | ||||||||||||||
| Nonresidential properties | 98 | 100 | 101 | 659 | 661 | ||||||||||||||
| Construction and land | — | — | — | — | — | ||||||||||||||
| Non-mortgage loans: | |||||||||||||||||||
| Business | — | — | — | — | — | ||||||||||||||
| Consumer | — | — | — | — | — | ||||||||||||||
| Total non-accruing troubled debt restructured loans | 2,520 | 2,530 | 2,539 | 3,100 | 3,102 | ||||||||||||||
| Total non-accrual loans | $ | 15,811 | $ | 11,443 | $ | 10,185 | $ | 9,039 | $ | 12,301 | |||||||||
| Accruing troubled debt restructured loans: | |||||||||||||||||||
| Mortgage loans: | |||||||||||||||||||
| 1-4 family residential | |||||||||||||||||||
| Investor owned | $ | 2,269 | $ | 3,089 | $ | 3,121 | $ | 3,347 | $ | 3,362 | |||||||||
| Owner occupied | 2,313 | 2,374 | 2,396 | 2,431 | 2,466 | ||||||||||||||
| Multifamily residential | — | — | — | — | — | ||||||||||||||
| Nonresidential properties | 726 | 732 | 738 | 755 | 750 | ||||||||||||||
| Construction and land | — | — | — | — | — | ||||||||||||||
| Non-mortgage loans: | |||||||||||||||||||
| Business | — | — | — | — | — | ||||||||||||||
| Consumer | — | — | — | — | — | ||||||||||||||
| Total accruing troubled debt restructured loans | $ | 5,308 | $ | 6,195 | $ | 6,255 | $ | 6,533 | $ | 6,578 | |||||||||
| Total non-performing assets and accruing troubled debt restructured loans | $ | 21,119 | $ | 17,638 | $ | 16,440 | $ | 15,572 | $ | 18,879 | |||||||||
| Total non-performing loans to total gross loans | 1.20 | % | 0.87 | % | 0.77 | % | 0.66 | % | 0.99 | % | |||||||||
| Total non-performing assets to total assets | 0.99 | % | 0.69 | % | 0.65 | % | 0.58 | % | 0.86 | % | |||||||||
| Total non-performing assets and accruing troubled debt restructured loans to total assets | 1.32 | % | 1.07 | % | 1.05 | % | 1.01 | % | 1.32 | % | |||||||||
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Average Balance Sheets
| For the Three Months Ended March 31, | ||||||||||||||||||||||||
| 2022 | 2021 | |||||||||||||||||||||||
| Average | Average | |||||||||||||||||||||||
| Outstanding | Average | Outstanding | Average | |||||||||||||||||||||
| Balance | Interest | Yield/Rate (1) | Balance | Interest | Yield/Rate (1) | |||||||||||||||||||
| (Dollars in thousands) | ||||||||||||||||||||||||
| Interest-earning assets: | ||||||||||||||||||||||||
| Loans (2) | $ | 1,325,433 | $ | 18,200 | 5.57 | % | $ | 1,239,127 | $ | 14,925 | 4.88 | % | ||||||||||||
| Securities (3) | 138,095 | 717 | 2.11 | % | 22,516 | 176 | 3.17 | % | ||||||||||||||||
| Other (4) | 38,253 | 101 | 1.07 | % | 46,581 | 76 | 0.66 | % | ||||||||||||||||
| Total interest-earning assets | 1,501,781 | 19,018 | 5.14 | % | 1,308,224 | 15,177 | 4.70 | % | ||||||||||||||||
| Non-interest-earning assets | 225,006 | 63,951 | ||||||||||||||||||||||
| Total assets | $ | 1,726,787 | $ | 1,372,175 | ||||||||||||||||||||
| Interest-bearing liabilities: | ||||||||||||||||||||||||
| NOW/IOLA | $ | 33,083 | $ | 16 | 0.20 | % | $ | 33,085 | $ | 38 | 0.47 | % | ||||||||||||
| Money market | 319,806 | 235 | 0.30 | % | 277,104 | 304 | 0.44 | % | ||||||||||||||||
| Savings | 135,404 | 32 | 0.10 | % | 126,961 | 39 | 0.12 | % | ||||||||||||||||
| Certificates of deposit | 419,104 | 803 | 0.78 | % | 405,980 | 1,219 | 1.22 | % | ||||||||||||||||
| Total deposits | 907,397 | 1,086 | 0.49 | % | 843,130 | 1,600 | 0.77 | % | ||||||||||||||||
| Advance payments by borrowers | 9,808 | 1 | 0.04 | % | 8,899 | 1 | 0.05 | % | ||||||||||||||||
| Borrowings | 114,688 | 593 | 2.10 | % | 129,755 | 684 | 2.14 | % | ||||||||||||||||
| Total interest-bearing liabilities | 1,031,893 | 1,680 | 0.66 | % | 981,784 | 2,285 | 0.94 | % | ||||||||||||||||
| Non-interest-bearing liabilities: | ||||||||||||||||||||||||
| Non-interest-bearing demand | 372,433 | — | 215,116 | — | ||||||||||||||||||||
| Other non-interest-bearing liabilities | 47,562 | — | 13,754 | — | ||||||||||||||||||||
| Total non-interest-bearing liabilities | 419,995 | — | 228,870 | — | ||||||||||||||||||||
| Total liabilities | 1,451,888 | 1,680 | 1,210,654 | 2,285 | ||||||||||||||||||||
| Total equity | 274,899 | 161,521 | ||||||||||||||||||||||
| Total liabilities and total equity | $ | 1,726,787 | 0.66 | % | $ | 1,372,175 | 0.94 | % | ||||||||||||||||
| Net interest income | $ | 17,338 | $ | 12,892 | ||||||||||||||||||||
| Net interest rate spread (5) | 4.48 | % | 3.76 | % | ||||||||||||||||||||
| Net interest-earning assets (6) | $ | 469,888 | $ | 326,440 | ||||||||||||||||||||
| Net interest margin (7) | 4.68 | % | 4.00 | % | ||||||||||||||||||||
| Average interest-earning assets to interest-bearing liabilities | 145.54 | % | 133.25 | % | ||||||||||||||||||||
(1) Annualized where appropriate.
(2) Loans include loans and mortgage loans held for sale, at fair value.
(3) Securities include available-for-sale securities and held-to-maturity securities.
(4) Includes FHLBNY demand account and FHLBNY stock dividends.
(5) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities.
(6) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.
(7) Net interest margin represents net interest income divided by average total interest-earning assets.
Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp, and Subsidiaries
Other Data
| As of | |||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
| 2022 | 2021 | 2021 | 2021 | 2021 | |||||||||||||||
| Other Data | |||||||||||||||||||
| Common shares issued | 24,724,274 | 18,463,028 | 18,463,028 | 18,463,028 | 18,463,028 | ||||||||||||||
| Less treasury shares | — | 1,037,041 | 1,132,086 | 1,135,086 | 1,444,776 | ||||||||||||||
| Common shares outstanding at end of period | 24,724,274 | 17,425,987 | 17,330,942 | 17,327,942 | 17,018,252 | ||||||||||||||
| Book value per share | $ | 12.12 | $ | 10.86 | $ | 10.03 | $ | 9.92 | $ | 9.47 | |||||||||
| Tangible book value per share | $ | 12.12 | $ | 10.86 | $ | 10.03 | $ | 9.92 | $ | 9.47 | |||||||||
Contact:
Frank Perez
frank.perez@poncebank.net
718-931-9000
