Keeley Adams
May 03, 2024 - 04:05

First Central Savings Bank Reports Q1 2024 Net Income $1.2 Million, Non-Interest Income, Stable Asset Quality

First Central Savings Bank reports positive earnings despite higher interest rates, with focus on loan growth and asset quality. #Banking #Finance

On April 30, 2024, Joseph Pistilli, Chairman of the Board of First Central Savings Bank (FCSB), shared the Bank's performance achievements for the quarter ending March 31, 2024.

Cash earnings for the quarter were $1.7 million, or $0.16 per share, a decrease of 29.9% from the same quarter in 2023. On a GAAP basis, net income was $1.2 million, or $0.12 per share, compared to $1.8 million, or $0.17 per share, in 2023.

Pistilli highlighted the Bank's ability to generate positive earnings despite challenges like higher interest rates, leading to an increase in book value from $7.44 per share in 2023 to $7.95 in 2024. Concerns about inflation, interest rates, and credit quality persist, but FCSB remains optimistic about its loan portfolio's performance.

Paul Hagan, President and COO, acknowledged the pressure on net interest income due to elevated interest rates but emphasized the Bank's focus on managing expenses and income. Total assets grew by $6.0 million year-over-year, driven by loan originations and non-conforming loan sales.

Deposits increased by $35.9 million, with non-interest-bearing deposits totaling $108.8 million. The Bank's cost of funds rose to 3.58%, impacting short-term earnings, but strategic initiatives aim to enhance future earnings when rates decline.

The loan portfolio expanded by $28.3 million, primarily in non-conforming residential loans, contributing to additional income through loan sales. Asset quality ratios remained strong, with non-performing loans at 0.59% of total loans.

First Central Savings Bank, with assets of $962.3 million, focuses on personalized services and products tailored to local needs. The Bank offers a range of consumer and commercial banking products, supported by advanced technology. Mobile banking and money transfer products are part of the Bank's commitment to modern financial services.

As a member of the FDIC and an Equal Housing/Equal Opportunity Lender, First Central Savings Bank continues to serve the metro-New York area with integrity and innovation. For more information, visit www.myfcsb.com.