FFBW announced it’s 12-31-22 results on it’s investor relations website yesterday. Here is a link –
The outstanding share count was 5,515,641 at 12-31-22, down just over 50,000 from 9-30-22.
They announced repurchases of 315,000 shares under the current repurchase authorization that began 9-1-22, and indicated that the current shares outstanding (as of 3-13-23) totaled 5,331,000 shares, so that’s down another 184,000 since 12-31-22.
Also note that unrealized losses on securities reported in equity amounted to just $3.1 million, or 4.0% of total equity. So nothing like what SVB had on its balance sheet.
Nice to see them continue to repurchase stock. I wonder if it’s hoping for too much to see them announce a 5% authorization when they get done with this 7%.
Share Repurchase Programs
On September 1, 2022, the Company announced it had adopted a program to repurchase up to 400,000 shares of its common stock. As of May 5, 2023, all 400,000 shares have been repurchased, completing the program and reducing the number of shares outstanding to 5,247,000. The Company has also received approval to repurchase an additional 170,000 shares under a new repurchase program which will begin following the issuance of this earnings release. [Looks like a ~3% repurchase authorization?]
Financial Highlights at March 31, 2023
At March 31, 2023, the Company’s tangible book value per share was $14.36.
At March 31, 2023, the Bank’s leverage ratio was 21.7%.
Edward H. Schaefer, President and CEO, stated, “Our quarterly earnings trailed last year’s due to an additional provision needed to support our loan growth which will provide revenue growth for the remainder of the year. These are demanding times in the financial services industry; our strong capital position and diversified loan portfolio and deposit mix should allow us to continue to profitably grow our franchise value.”
I was impressed to see share count down almost 20% since 1Q 2022. Hopefully the low stock price will encourage more of the same beyond the 3% already approved.
Vince
Great to see them announce another authorization and also not to feel bound by the “5% rule,” where most thrift banks seem to see that as a minimum amount for an announcement. It looks like they’re scraping for every penny to buy back stock. Equity/assets at 22.6% – laughably overcapitalized (still).