Carver Bancorp, Inc. Interim CEO Craig C. MacKay Comments on the Bank's 2024 Fiscal Year-End Performance
Carver Bancorp, Inc. (Nasdaq: CARV) reported a 32% reduction in net loss to $3.0 million for the fiscal year ended March 31, 2024. The company achieved breakeven in the second half of the year, showing positive earnings momentum. While net interest income decreased by 1% to $22.6 million, non-interest income surged by 87% to $6.7 million. Key financial highlights include:
- Interest income up 23%
- Net interest margin improved by 28 bps to 3.31%
- Assets per employee up 1.9%
- Deposits increased by 7.8%
Carver's progress is supported by partnerships with major banks and new initiatives, including a $25 million credit facility for decarbonization projects and an enhanced loan application system. The bank maintains its commitment to serving underserved communities and has received 'Outstanding' CRA Ratings for over 20 consecutive years.
Carver Bancorp, Inc. (Nasdaq: CARV) ha riportato una riduzione del 32% nella perdita netta, scendendo a 3,0 milioni di dollari per l'anno fiscale concluso il 31 marzo 2024. L'azienda ha raggiunto il pareggio nella seconda metà dell'anno, mostrando un'inerzia positiva degli utili. Sebbene il reddito da interessi sia diminuito dell'1% a 22,6 milioni di dollari, il reddito non da interessi è aumentato dell'87% a 6,7 milioni di dollari. I principali risultati finanziari includono:
- Reddito da interessi aumentato del 23%
- Margine di interesse netto migliorato di 28 punti base a 3,31%
- Attività per dipendente aumentate dell'1,9%
- Depositi aumentati del 7,8%
I progressi di Carver sono supportati da partnership con banche importanti e nuove iniziative, tra cui una linea di credito di 25 milioni di dollari per progetti di decarbonizzazione e un sistema di richiesta di prestiti migliorato. La banca mantiene il proprio impegno nel servire comunità svantaggiate e ha ricevuto valutazioni 'Eccellenti' CRA per oltre 20 anni consecutivi.
Carver Bancorp, Inc. (Nasdaq: CARV) reportó una reducción del 32% en la pérdida neta, alcanzando los 3,0 millones de dólares para el año fiscal que terminó el 31 de marzo de 2024. La compañía logró equilibrar cuentas en la segunda mitad del año, mostrando un impulso positivo en las ganancias. Aunque los ingresos por intereses disminuyeron un 1% a 22,6 millones de dólares, los ingresos no relacionados con intereses aumentaron un 87% a 6,7 millones de dólares. Los aspectos financieros más destacados incluyen:
- Ingresos por intereses aumentados en un 23%
- Margen de interés neto mejorado en 28 puntos básicos al 3.31%
- Activos por empleado aumentados en un 1.9%
- Depósitos incrementados en un 7.8%
El progreso de Carver está respaldado por asociaciones con bancos importantes y nuevas iniciativas, incluido un financiamiento de 25 millones de dólares para proyectos de descarbonización y un sistema de solicitud de préstamos mejorado. El banco mantiene su compromiso de servir a comunidades desatendidas y ha recibido calificaciones 'Excepcionales' en la CRA durante más de 20 años consecutivos.
카버 뱅크코프, Inc. (Nasdaq: CARV)는 2024년 3월 31일로 종료된 회계 연도 동안 순손실이 32% 감소하여 300만 달러에 이르렀다고 보고했습니다. 이 회사는 회계 연도 후반에 손익 분기점을 달성하여 긍정적인 수익 추세를 보였습니다. 순이자 수익이 1% 감소하여 2260만 달러에 달했지만, 비이자 수익은 87% 증가하여 670만 달러에 이르렀습니다. 주요 재무 하이라이트는 다음과 같습니다:
- 이자 수익 23% 증가
- 순이자 마진 28bp 개선되어 3.31% 달성
- 직원당 자산 1.9% 증가
- 예금 7.8% 증가
카버의 성장은 주요 은행과의 파트너십 및 2500만 달러 규모의 탈탄소화 프로젝트에 대한 신용 시설 제공과 향상된 대출 신청 시스템과 같은 새로운 이니셔티브를 통해 지원받고 있습니다. 이 은행은 소외된 지역 사회를 지속적으로 지원할 것을 다짐하고 있으며, 20년 연속으로 '우수' CRA 평가를 받아왔습니다.
Carver Bancorp, Inc. (Nasdaq: CARV) a déclaré une réduction de 32% de la perte nette, tombant à 3,0 millions de dollars pour l'exercice fiscal clos le 31 mars 2024. La société a atteint l'équilibre au cours de la deuxième moitié de l'année, montrant un élan positif des bénéfices. Bien que les revenus d'intérêts aient diminué de 1% à 22,6 millions de dollars, les revenus non liés aux intérêts ont bondi de 87% à 6,7 millions de dollars. Les principaux points financiers incluent :
- Les revenus d'intérêts ont augmenté de 23%
- La marge d'intérêt net s'est améliorée de 28 points de base pour atteindre 3,31%
- Les actifs par employé ont augmenté de 1,9%
- Les dépôts ont augmenté de 7,8%
Les progrès de Carver sont soutenus par des partenariats avec de grandes banques et de nouvelles initiatives, notamment une ligne de crédit de 25 millions de dollars pour des projets de décarbonisation et un système amélioré de demande de prêt. La banque reste engagée à servir les communautés défavorisées et a reçu une note 'Exceptionnelle' en CRA pendant plus de 20 années consécutives.
Carver Bancorp, Inc. (Nasdaq: CARV) berichtete von einer 32%igen Reduzierung des Nettoverlustes auf 3,0 Millionen Dollar für das am 31. März 2024 endende Geschäftsjahr. Das Unternehmen erreichte die Gewinnschwelle in der zweiten Jahreshälfte und zeigte somit einen positiven Ertragsmoment. Während die Nettozinseinnahmen um 1% auf 22,6 Millionen Dollar sanken, stiegen die nichtzinsbezogenen Einnahmen um 87% auf 6,7 Millionen Dollar. Zu den wichtigsten finanziellen Höhepunkten gehören:
- Zinseinnahmen stiegen um 23%
- Der Nettozinssatz verbesserte sich um 28 Basispunkte auf 3,31%
- Vermögenswerte pro Mitarbeiter stiegen um 1,9%
- Einlagen erhöhten sich um 7,8%
Der Fortschritt von Carver wird durch Partnerschaften mit großen Banken und neue Initiativen unterstützt, darunter eine Kreditlinie von 25 Millionen Dollar für Dekarbonisierungsprojekte und ein verbessertes Darlehensantragssystem. Die Bank bleibt ihrem Engagement zur Finanzierung unterversorgter Gemeinschaften verpflichtet und erhielt über 20 Jahre hinweg die Bewertung 'Herausragend' in der CRA.
- 32% reduction in net loss to $3.0 million for FY-2024
- Breakeven achieved in the second half of the fiscal year
- Non-interest income increased by 87% to $6.7 million
- Interest income up 23% due to portfolio diversification
- Net interest margin improved by 28 bps to 3.31%
- Deposits increased by 7.8%
- $25 million credit facility secured for decarbonization projects
- New partnerships and initiatives to support future growth
- Net interest income decreased by 1% to $22.6 million
- Overall net loss of $3.0 million for the fiscal year
Insights
Carver Bancorp's fiscal year 2024 results show promising signs of improvement, albeit with some challenges. The 32% reduction in net loss to
Key financial highlights include:
- Interest income up
23% - Non-interest income increased by
87% to$6.7 million - Net interest margin improved by 28 basis points to
3.31% - Assets grew by
4.6% to$757 million - Deposits increased by
7.8%
The bank's strategy of diversifying its loan portfolio and focusing on mission-aligned grant income opportunities appears to be paying off. The improved net interest margin, despite the challenging interest rate environment, is particularly noteworthy.
However, investors should be cautious. While the trend is positive, Carver Bancorp needs to demonstrate consistent profitability to be considered a stable investment. The bank's small size and focus on underserved communities may limit its growth potential but also provide unique opportunities in an increasingly diverse market.
Carver Bancorp's performance reflects the unique challenges and opportunities faced by Minority Depository Institutions (MDIs) and Community Development Financial Institutions (CDFIs). The bank's focus on underserved communities and its consistent "Outstanding" CRA ratings for over 20 years demonstrate its commitment to its mission.
The expansion of Carver's community definition to include diverse ethnicities is a strategic move that aligns with demographic shifts in its service areas. This adaptability could be a key factor in the bank's future growth and relevance.
Noteworthy initiatives include:
- A
$25 million credit facility for decarbonization projects - MWBE Vendor Supplier Program
- Enhanced technology implementation with Jack Henry
- Small Business Microloan program offering
$5,000 to$50,000 loans
These programs position Carver to address emerging needs in its communities, potentially leading to new revenue streams and increased customer loyalty. However, the success of these initiatives will depend on effective execution and risk management, particularly given the bank's resources compared to larger institutions.
Dear Carver Shareholders:
Carver Bancorp, Inc. ("Carver") reduced its net loss by
Underlying Carver's improved results were the achievement of greater mission-aligned grant income opportunities, increased loan diversification and greater pricing discipline in this "higher for longer" cost of funding environment for banks. Indeed, Carver increased net income in the 2nd half of the fiscal year, without a corresponding increase in non-interest expense.
FY-2024 Financial Highlights:
- Interest Income - up 23%; portfolio diversification from organic originations and participations in commercial mortgages, consumer, specialty finance and broadly syndicated loans are a result of Carver's increased commercial engagement with bank and fintech partners.
- Net Interest Margin -
3.31% ; improved by 28 bps over the prior quarter as increased origination volume and the net yield pick-up on newly booked loans has begun to offset the marginal rise in funding costs. - Assets per Employee – up
1.9% , driven by a4.6% increase in assets to$757 million - Deposits – up
7.8% , funded by continued growth in retail, institutional and DTC funding to support asset growth and bolster our liquidity.
The story underlying Carver's progress in FY-2024 would be incomplete without acknowledging long-standing mission-aligned partners, including Citigroup, J.P. Morgan and Wells Fargo, whose strategic fee-sharing, deposit gathering, and best practice-sharing have buttressed the Bank's ability to impact the communities we serve. FY-2025 should reveal the impact of new mission-aligned relationships, which include:
- New York Green Bank – Carver recently closed a
$25 million New York's urban communities. - MWBE Vendor Supplier Program – Bespoke corporate vendor financing program for MWBEs (primarily located in the Northeast), guaranteed by a Fortune 100 corporate partner.
- Jack Henry – Enhanced technology will provide an improved customer experience with the Fall 2025 roll-out of LoanVantage™, a core system solution designed to streamline our loan application/approval process.
Carver's journey underscores the systemic importance of mission-driven MDIs and CDFIs to the health and well-being of underserved communities. The Bank has a proud history of providing low-to-moderate income ("LMI") communities throughout
- Lending, depository and other banking services to tens of thousands of New Yorkers, and hundreds of houses of worship, non-profits, multifamily dwellings and small businesses.
- Sponsorship of financial education, wealth building skills and small business empowerment programs (e.g. seminars and one-on-one coaching to over 16,000 consumers and aspiring entrepreneurs).
- Contributions to local investment utilizing Federal and State grants to support non-profit organizations, provide workforce development and home ownership programs.
- Facilitating public/private business development (e.g. partnership with State agencies and corporate partners to provide contractor financing programs to MWBEs).
- Access to capital through Carver's Small Business Microloan program, which provides loans of
$5,000 $50,000 - Support of Historically Black Colleges and Universities.
Legacy notwithstanding, as the underbanked LMI neighborhoods in Carver's service footprint have expanded to include multiple ethnicities, so too has Carver's definition of community. Historically predominant African American and Caribbean-American neighborhoods in
In 1948, our founders endeavored to build a platform for savings and generational wealth creation for the underbanked. The confluence of Carver's recent investments in institutional and retail client business development, microlending, community development and fraud risk management talent have all significantly enhanced our ability to serve the underbanked.
We remain optimistic about the Bank's future and its ambition to continue the exploration and development of commercially sustainable products and services to grow with our community, including:
- Greenhouse gas reduction project financing
- Bespoke asset management and private wealth management services
- Earned wage advances for low-income workers
- Expanded MWBE grants and contractor financing initiatives
- Consumer lending (e.g. auto loans, personal loans)
- SBA Program business loans
- Millennial and Gen Z-focused financial education and investment incubator
Encouraged by our asset and depositor base expansion, enhanced green lending capabilities, and solid advance against our sustainable earnings objective, we look forward to reporting continued progress as FY-2025 unfolds.
Sincerely,
Craig C. MacKay
Interim President & CEO
Carver Bancorp, Inc.
About Carver Bancorp, Inc.
Carver Bancorp, Inc. (NASDAQ: CARV) is the holding company for Carver Federal Savings Bank, a federally chartered stock savings bank. Headquartered in
Certain statements in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from those included in these statements due to a variety of factors, risks, and uncertainties. More information about these factors, risks, and uncertainties is contained in our filings with the Securities and Exchange Commission.
Media:
Michael Herley for Carver
203.308.1409
mediainquiries@carverbank.com
Investors:
ir@carverbank.com
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SOURCE Carver Bancorp, Inc.
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