BV Financial, Inc. Announces Financial Results

Rhea-AI Summary

BV Financial, Inc. (OTC PINK:BVFL) reported a net income of $1.9 million ($0.27 per diluted share) for Q2 2021, a decline from $3.8 million ($0.53 per diluted share) in Q2 2020. For the first half of 2021, net income rose to $4.6 million ($0.65 per diluted share) from $4.4 million ($0.63 per diluted share) in H1 2020. Non-performing assets totaled $8.3 million as of June 30, 2021, slightly down from $8.4 million at year-end 2020. Total assets were $807.6 million, with a Tier 1 leverage capital ratio of 11.17%, still above regulatory standards.

Positive

• Net income for H1 2021 increased to $4.6 million from $4.4 million in H1 2020.
• Non-performing assets decreased to $8.3 million from $8.4 million at year-end 2020.
• Tier 1 leverage capital ratio of 11.17% exceeds regulatory standards.

Negative

• Net income for Q2 2021 decreased to $1.9 million from $3.8 million in Q2 2020.
• Total assets declined to $807.6 million from $815.6 million at December 31, 2020.

BALTIMORE, MD / ACCESSWIRE / July 23, 2021 / BV Financial, Inc. (OTC PINK:BVFL), the holding company for BayVanguard Bank (the "Bank"), today reported net income of $1.9 million, or $0.27 per diluted share, for the quarter ended June 30, 2021 compared to net income of $3.8 million, or $0.53 per diluted share, for the quarter ended June 30, 2020. Net income for the six-month period ended June 30, 2021 was $4.6 million or $0.65 per diluted share compared to net income of $4.4 million or $0.63 per diluted share in the six-month period ended June 30, 2020. The prior three and six months results include a $3.3 million gain from bargain purchase that resulted from the acquisition of MB Bancorp and its subsidiary, Madison Bank of Maryland on February 29, 2020.

Non-performing assets at June 30, 2021 totaled $8.3 million consisting of $6.5 million in nonperforming loans and $1.8 million in other real estate owned, compared to $8.4 million at December 31, 2020, consisting of $5.6 million in non-performing loans and $2.8 million in other real estate owned. At June 30 2021, the loan loss allowance was $2.1 million, which represented 0.35% of total loans and 32.9% of non-performing loans compared to $1.8 million at December 31, 2020, which represented 0.30% of total loans and 32.5% of non-performing loans. In addition, at June 30, 2021, the Bank had a credit impairment valuation allowance of $6.0 million that is not included in the Bank's allowance for loan loss estimate which is in accordance with U.S. Generally Accepted Accounting Principles ("GAAP"). The credit impairment allowances were established for loans acquired in the Delmarva Bancshares, MB Bancorp, Kopernik and Vigilant mergers.

At June 30, 2021, BV Financial, Inc. had total assets of $807.6 million, net loans of $600.5 million, deposits of $676.4 million and total stockholders' equity of $78.5 million compared to $815.6 million, $607.1 million, $675.1 million and $74.0 million at December 31, 2020, respectively.

BayVanguard's Tier 1 leverage capital ratio was 11.17% at June 30, 2021 compared to 12.97% at December 31, 2020. This ratio and the Bank's other capital measurements continue to exceed all regulatory standards for "well-capitalized" financial institutions.

This press release may contain certain forward-looking statements that are based on management's current expectations regarding economic, legislative and regulatory issues that may impact the Company's earnings in future periods. Factors that could cause future results to vary materially from current management expectations include, but are not limited to, general economic conditions, changes in interest rates, deposit flows, real estate values and competition, changes in accounting principles, policies or guidelines, changes in legislation or regulation and other economic, competitive, governmental, regulatory and technological factors affecting the Company's operations, pricing, products and services.

BV Financial, Inc. is the parent company of BayVanguard Bank. BayVanguard Bank is headquartered in Edgemere, Maryland with ten branches in the Baltimore metropolitan area. The Bank is a full-service community-oriented financial institution dedicated to serving the financial service needs of consumers and businesses within its market area.

Contact:

Michael J. Dee
Chief Financial Officer
(410) 477- 5000

BV Financial, Inc.
Consolidated Financial Highlights
(In thousands, except per share data)

		6/30/2021				12/31/2020
Selected Balance Sheet Data:
Total Assets		$	807,595			$	815,565
Investment securities			39,289				39,929
Loans receivable, net			600,547				607,073
Total Deposits			676,377				675,096
Borrowings			36,722				54,655
Stockholders' Equity			78,511				74,021
Three Months Ended June 30,
Operating results:		2021				2020
Interest Income		$	7,067			$	4,024
Interest Expense			1,013				639
Net Interest income			6,054				3,385
Provision for Loan Losses			90				158
Net Interest Income after provision			5,964				3,227
Non-Interest Income			547				255
Bargain Pruchase Gain			-				3,285
Non-Interest expense			3,631				2,651
Income before taxes			2,880				4,116
Income taxes			935				364
Net Income		$	1,945			$	3,752
Diluted Income per share		$	0.27			$	0.53
Six Months Ended June 30,
Operating results:		2021				2020
Interest Income		$	14,410			$	7,531
Interest Expense			1,910				1,222
Net Interest income			12,500				6,309
Provision for Loan Losses			180				233
Net Interest Income after provision			12,320				6,076
Non-Interest Income			1,305				441
Bargain Purchase Gain			-				3,285
Non-Interest expense			6,984				4,794
Income before taxes			6,641				5,008
Income taxes			2,013				586
Net Income		$	4,628			$	4,422
Diluted Income per share		$	0.65			$	0.63

SOURCE: BV Financial, Inc.

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FAQ

What was BV Financial's net income for Q2 2021?

BV Financial reported a net income of $1.9 million for Q2 2021.

How did BV Financial's earnings for H1 2021 compare to H1 2020?

For H1 2021, BV Financial's net income was $4.6 million compared to $4.4 million in H1 2020.

What were the non-performing assets for BV Financial as of June 30, 2021?

As of June 30, 2021, BV Financial had non-performing assets totaling $8.3 million.

What is BV Financial's Tier 1 leverage capital ratio?

BV Financial's Tier 1 leverage capital ratio was 11.17% at June 30, 2021.

Did BV Financial experience an increase or decrease in total assets?

BV Financial's total assets decreased to $807.6 million from $815.6 million at December 31, 2020.