SOLON, Ohio, Jan. 23, 2009 (GLOBE NEWSWIRE) -- PVF Capital Corp. (Nasdaq:PVFC), the parent company of Park View Federal Savings Bank, announced a loss of $2,722,000, or $0.35 basic earnings per share and diluted earnings per share for the quarter ended December 31, 2008 as compared to earnings of $732,000, or $0.09 basic earnings per share and diluted earnings per share for the prior year comparable period. For the six-month period ended December 31, 2008, the Company reported a loss of $3,623,000, or $0.47 basic earnings per share and diluted earnings per share, as compared to earnings of $1,343,000, or $0.17 basic earnings per share and diluted earnings per share, for the prior year period.
Chairman John R. Male commented that, "Park View Federal continues to be well-capitalized in every respect. Deposit flows are strong as the Bank continues to attract new depositors. Notwithstanding the weak economy and the decline in home values, Park View remains committed to financing the needs of families right here in northeast Ohio and filling the roll of community banker that is so vitally needed in these challenging times." Looking ahead Mr. Male added that, "Our home lending activity is picking up dramatically and although we expect 2009 to present many challenges, we are optimistic about the opportunities that lie ahead."
The decline in earnings for the current three- and six-month periods was primarily attributable to a decrease in net interest income that resulted from an increase in nonperforming loans and an increase in the provision for loan losses in order to reflect current economic conditions. In addition, non-interest income for the current three-month period was impacted positively by gains on the sale of securities and for the current six-month period negatively by the impairment of the FHLMC and FNMA preferred stock. Lastly, the increase in non-interest expense for the three- and six-month periods was primarily the result of increases in a one-time severance accrual and other employee costs; an increase in the cost of FDIC insurance due to higher assessment rates charged on deposits; and, real estate owned expenses attributable to the maintenance and disposition of properties acquired through foreclosure.
As of December 31, 2008, PVF Capital Corp. reported assets of $903.1 million, an increase of $35.7 million, or 4.1%, from the prior fiscal year ended June 30, 2008. Total stockholders' equity of PVF Capital Corp. was $66.0 million at December 31, 2008.
Visit our web site at www.pvfsb.com.
This press release contains statements that are forward-looking, as that term is defined by the Private Securities Litigation Reform Act of 1995 or the Securities and Exchange Commission in its rules, regulations and releases. The Company intends that such forward-looking statements be subject to the safe harbors created thereby. All forward-looking statements are based on current expectation regarding important risk factors including, but not limited to, real estate values and the impact of interest rates on financing. Accordingly, actual results may differ from those expressed in the forward-looking statements, and the making of such statements should not be regarded as a representation by the Company or any other person that results expressed therein will be achieved.
PVF Capital Corp.'s common stock trades on the NASDAQ Capital Market under the symbol PVFC.
PVF CAPITAL CORP.
SUMMARY OF FINANCIAL HIGHLIGHTS
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Unaudited)
(Dollars in thousands) December 31, June 30,
2008 2008
----------- -----------
ASSETS
------
Cash and cash equivalents $33,340 $17,804
Investment securities 10,049 9,470
Loans receivable 722,056 714,492
Loans receivable held for sale 4,283 7,831
Mortgage-backed securities 57,441 55,151
Other assets 75,892 62,654
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Total Assets $903,061 $867,402
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LIABILITIES
-----------
Deposits $696,450 $659,386
Borrowed money 106,375 114,950
Other liabilities 34,282 23,991
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Total Liabilities 837,107 798,327
----------- -----------
Total Stockholders' Equity 65,954 69,075
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Total Liabilities and
Stockholders' Equity $903,061 $867,402
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CONSOLIDATED STATEMENT OF OPERATIONS
(Unaudited)
(Dollars in thousands Three Months Ended Six Months Ended
except per share data) December 31, December 31,
------------------ ------------------
2008 2007 2008 2007
Loans $10,928 $13,184 $22,341 $27,112
Mortgage-backed
securities 687 314 1,388 632
Investments 348 969 725 2,015
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Interest income 11,963 14,467 24,454 29,759
Deposits 6,250 7,411 12,192 14,727
Borrowings 1,260 1,790 2,505 3,909
------- ------- ------- -------
Interest expense 7,510 9,201 14,697 18,636
Net interest income 4,453 5,266 9,757 11,123
Provision for loan
losses 3,641 82 4,332 675
------- ------- ------- -------
Net interest income
after provision for
loan losses 812 5,184 5,425 10,448
Mortgage-banking
activities 420 326 878 726
Impairment of
securities (102) 0 (1,841) 0
Gain on sale of
securities 666 0 666 0
Other, net 196 508 435 906
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Total noninterest
income 1,180 834 138 1,632
Compensation and
benefits 3,016 2,630 5,574 5,594
Office occupancy and
equipment 699 813 1,406 1,615
Federal deposit
insurance premium 191 19 332 39
Real estate owned
expense 538 152 727 352
Other 1,571 1,411 2,912 2,711
------- ------- ------- -------
Total noninterest
expense 6,015 5,025 10,951 10,311
------- ------- ------- -------
Income before federal
income tax provision (4,023) 993 (5,388) 1,769
Federal income tax
provision (1,301) 261 (1,765) 426
------- ------- ------- -------
Net income ($2,722) $732 ($3,623) $1,343
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Basic earnings per
share ($0.35) $0.09 ($0.47) $0.17
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Diluted earnings per
share ($0.35) $0.09 ($0.47) $0.17
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