Canada Markets closed

FFW Corporation Announces Earnings for the Quarter Ended September 30, 2021

  • Oops!
    Something went wrong.
    Please try again later.
·7 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.

WABASH, Ind., Oct. 27, 2021 (GLOBE NEWSWIRE) -- FFW Corporation (the “Corporation”) (OTC PINK: FFWC) (10/26/2021 Close: $47.50), parent corporation of Crossroads Bank (the “Bank”), announced earnings for the quarter ended September 30, 2021.

For the three months ended September 30, 2021, the Corporation reported net income of $1,471,000 or $1.28 per common share compared to $1,748,000 or $1.53 per common share for the three months ended September 30, 2020. Net interest income for the three months ended September 30, 2021 was $3,813,000 compared to $3,706,000 for the three months ended September 30, 2020. The provision for loan losses was $50,000 for the three months ended September 30, 2021 and $165,000 for the three months ended September 30, 2020. Total noninterest income was $1,213,000 for the three months ended September 30, 2021 compared to $1,982,000 for the three months ended September 30, 2020. Noninterest expense was $3,209,000 for the three months ended September 30, 2021 and $3,426,000 for the three months ended September 30, 2020.

The three months ended September 30, 2021 represented a return on average common equity of 10.72% compared to 13.71% for the three months ended September 30, 2020. The three months ended September 30, 2021 represented a return on average assets of 1.17% compared to 1.48% for the three months ended September 30, 2020.

The allowance for loan losses as a percentage of gross loans receivable was 1.37% at September 30, 2021 compared to 1.43% at June 30, 2021. Nonperforming assets were $3,229,000 at September 30, 2021 compared to $3,242,000 at June 30, 2021.

As of September 30, 2021, FFWC’s equity-to-assets ratio was 10.75% compared to 10.89% at June 30, 2021. Total assets at September 30, 2021 were $500,042,000 compared to $486,442,000 at June 30, 2021. Shareholders’ equity was $53,760,000 at September 30, 2021 compared to $52,954,000 at June 30, 2021. Crossroads Bank exceeds all applicable regulatory requirements to be considered “well capitalized.”

Forward Looking Statements

This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include expressions such as “expects,” “intends,” “believes,” and “should,” which are necessarily statements of belief as to the expected outcomes of future events. Actual results could materially differ from those presented. The Corporation's ability to predict future results involves a number of risks and uncertainties. The Corporation undertakes no obligation to release revisions to these forward-looking statements or reflect events or circumstances after the date of this release.

Crossroads Bank is a wholly owned subsidiary of FFW Corporation providing an extensive array of banking services and a wide range of investments and securities products through its main office in Wabash and twelve Indiana banking centers located in Columbia City, North Manchester, Peru, South Whitley, Syracuse and Warsaw. The Bank also provides leasing services at each of its banking centers. Insurance products are offered through an affiliated company, Insurance 1 Services, Inc. The Corporation’s stock is traded on the OTC Markets under the symbol “FFWC.” Our website address is www.crossroadsbanking.com. Crossroads Bank, Member FDIC.


FFW Corporation
Selected Financial Information

Consolidated Balance Sheet

September 30

June 30

2021

2021

Unaudited

Assets

Cash and due from financial institutions

$

6,567,703

$

4,779,188

Interest-bearing deposits in other financial institutions

48,015,361

51,646,720

Cash and cash equivalents

54,583,064

56,425,908

Securities available for sale

116,500,686

116,335,455

Loans receivable, net of allowance for loan losses of $4,204,048 at

September 30, 2021 and $4,168,689 at June 30, 2021

302,895,512

285,643,064

Loans held for sale

562,044

2,613,987

Federal Home Loan Bank stock, at cost

1,462,500

1,462,500

Accrued interest receivable

2,082,763

2,131,744

Premises and equipment, net

8,793,695

8,949,842

Mortgage servicing rights

1,035,531

1,011,046

Cash surrender value of life insurance

9,536,111

9,459,746

Goodwill

1,213,898

1,213,898

Repossessed Assets

178,839

148,621

Other assets

1,197,152

1,045,876

Total assets

$

500,041,795

$

486,441,687

Liabilities and shareholders' equity

Deposits

Noninterest-bearing

$

58,004,539

$

49,510,375

Interest-bearing

384,368,074

380,084,790

Total deposits

442,372,613

429,595,165

Accrued expenses and other liabilities

3,908,786

3,892,719

Total liabilities

446,281,399

433,487,884

Shareholders' equity

Common stock, $.01 par; 2,000,000 shares authorized;

Issued: 1,836,328; outstanding: 1,143,377 - September 30, 2021 and 1,141,190 - June 30, 2021

18,363

18,363

Additional paid-in capital

9,780,934

9,809,754

Retained earnings

53,025,460

51,852,194

Accumulated other comprehensive income

2,762,749

3,058,832

Treasury stock, at cost: 692,951 shares at September 30, 2021 and 695,138 shares at June 30, 2021

(11,827,110

)

(11,785,340

)

Total shareholders' equity

53,760,396

52,953,803

Total liabilities and shareholders' equity

$

500,041,795

$

486,441,687


FFW Corporation
Selected Financial Information

Consolidated Statement of Income

Three Months Ended September 30

2021

2020

Unaudited

Unaudited

Interest and dividend income:

Loans, including fees

$

3,392,516

$

3,604,316

Taxable securities

354,571

333,193

Tax exempt securities

414,258

372,271

Other

18,753

7,781

Total interest and dividend income

4,180,098

4,317,561

Interest expense:

Deposits

366,671

611,385

Total interest expense

366,671

611,385

Net interest income

3,813,427

3,706,176

Provision for loan losses

50,000

165,000

Net interest income after provision for

loan losses

3,763,427

3,541,176

Noninterest income:

Net gains on sales of securities

-

98,467

Net gains on sales of loans

282,663

1,195,486

Net gains (losses) on sales of REO

(7,016

)

(6,535

)

Commission income

322,604

290,078

Service charges and fees

263,230

95,419

Earnings on life insurance

76,365

74,441

Other

275,308

234,343

Total noninterest income

1,213,154

1,981,699

Noninterest expense:

Salaries and benefits

1,712,210

1,761,064

Occupancy and equipment

326,016

343,094

Professional

118,919

60,586

Marketing

112,368

113,941

Deposit insurance premium

33,000

33,000

Regulatory assessment

9,360

9,301

Correspondent bank charges

19,524

17,517

Data processing

419,272

420,582

Printing, postage and supplies

72,284

95,412

Expense on life insurance

21,432

15,849

Contribution expense

21,014

15,388

Expense on REO

(3,936

)

4,781

Other

347,038

535,313

Total noninterest expense

3,208,501

3,425,828

Income before income taxes

1,768,080

2,097,047

Income tax expense

297,536

349,517

Net income

$

1,470,544

$

1,747,530


FFW Corporation
Selected Financial Information

Key Balances and Ratios

Three Months Ended September 30

2021

2020

Unaudited

Unaudited

Per common share data:

Earnings

$

1.28

$

1.53

Diluted earnings

$

1.28

$

1.53

Dividends paid

$

0.26

$

0.25

Average shares issued and outstanding

1,145,204

1,142,690

Shares outstanding end of period

1,143,377

1,142,690

Supplemental data:

Net interest margin **

3.23

%

3.38

%

Return on average assets ***

1.17

%

1.48

%

Return on average common equity ***

10.72

%

13.71

%

September 30

June 30

2021

2021

Nonperforming assets *

$

3,229,370

$

3,241,581

Repossessed assets

$

178,839

$

148,621

*

Includes non-accruing loans, accruing loans delinquent more than 90 days and repossessed assets

**

Yields reflected have not been computed on a tax equivalent basis

***

Annualized


FOR MORE INFORMATION Contact: Kirsten Pendarvis, Treasurer, at (260) 563-3185


Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting