Exhibit 99.2
BANKFINANCIAL CORPORATION
SECOND QUARTER 2010
QUARTERLY FINANCIAL AND STATISTICAL SUPPLEMENT
FOR THE LATEST FIVE QUARTERS
Note: Certain reclassifications have been made in the prior period’s financial statements and reflected in the Selected Quarterly Financial and Statistical Data tables to conform with the current period’s presentation.
The information and statistical data contained herein have been prepared by BankFinancial Corporation and have been derived or calculated from selected quarterly and period-end historical financial statements prepared in accordance with accounting principles generally accepted in the United States. BankFinancial Corporation is under no obligation to update, keep current or continue to provide the information contained herein. This information is provided solely for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any securities or establish any business relationships with BankFinancial Corporation or its subsidiary.
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters
(Dollars in thousands; except per share) – (Unaudited)
| | | | | | | | | | | | | | | | | | | | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
PERFORMANCE MEASUREMENTS: | | | | | | | | | | | | | | | | | | | | |
Return on assets (ratio of net income (loss) to average total assets) (1) | | | (0.07 | )% | | | 0.18 | % | | | (0.41 | )% | | | 0.35 | % | | | (0.17 | )% |
Return on equity (ratio of net income (loss) to average equity) (1) | | | (0.44 | ) | | | 1.08 | | | | (2.40 | ) | | | 2.02 | | | | (1.00 | ) |
Net interest rate spread (1) | | | 3.30 | | | | 3.48 | | | | 3.38 | | | | 3.43 | | | | 3.27 | |
Net interest margin (1) | | | 3.53 | | | | 3.73 | | | | 3.67 | | | | 3.74 | | | | 3.61 | |
Efficiency ratio | | | 84.81 | | | | 86.42 | | | | 89.95 | | | | 82.06 | | | | 86.89 | |
Noninterest expense to average total assets (1) | | | 3.14 | | | | 3.25 | | | | 3.57 | | | | 3.21 | | | | 3.29 | |
Average interest-earning assets to average interest-bearing liabilities | | | 122.10 | | | | 122.57 | | | | 123.82 | | | | 123.69 | | | | 122.73 | |
Number of full service offices | | | 18 | | | | 18 | | | | 18 | | | | 18 | | | | 18 | |
Employees (full time equivalents) | | | 338 | | | | 352 | | | | 372 | | | | 374 | | | | 379 | |
| | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
SUMMARY STATEMENT OF OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
Total interest income | | $ | 16,451 | | | $ | 17,145 | | | $ | 17,980 | | | $ | 18,510 | | | $ | 18,713 | |
Total interest expense | | | 3,677 | | | | 3,929 | | | | 4,483 | | | | 4,838 | | | | 5,500 | |
| | | | | | | | | | | | | | | | | | | | |
Net interest income before provision | | | 12,774 | | | | 13,216 | | | | 13,497 | | | | 13,672 | | | | 13,213 | |
Provision for loan losses | | | 2,665 | | | | 851 | | | | 4,193 | | | | 427 | | | | 2,847 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Net interest income | | | 10,109 | | | | 12,365 | | | | 9,304 | | | | 13,245 | | | | 10,366 | |
Noninterest income | | | 1,812 | | | | 1,455 | | | | 2,135 | | | | 1,660 | | | | 1,802 | |
Noninterest expense | | | 12,370 | | | | 12,678 | | | | 14,061 | | | | 12,581 | | | | 13,047 | |
| | | | | | | | | | | | | | | | | | | | |
Income (loss) before income tax | | | (449 | ) | | | 1,142 | | | | (2,622 | ) | | | 2,324 | | | | (879 | ) |
Income tax expense (benefit) | | | (161 | ) | | | 426 | | | | (1,026 | ) | | | 973 | | | | (214 | ) |
| | | | | | | | | | | | | | | | | | | | |
Net income (loss) | | $ | (288 | ) | | $ | 716 | | | $ | (1,596 | ) | | $ | 1,351 | | | $ | (665 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Basic earnings (loss) per common share | | $ | (0.01 | ) | | $ | 0.04 | | | $ | (0.08 | ) | | $ | 0.07 | | | $ | (0.03 | ) |
| | | | | | | | | | | | | | | | | | | | |
Diluted earnings (loss) per common share | | $ | (0.01 | ) | | $ | 0.04 | | | $ | (0.08 | ) | | $ | 0.07 | | | $ | (0.03 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
NONINTEREST INCOME AND EXPENSE: | | | | | | | | | | | | | | | | | | | | |
Noninterest Income: | | | | | | | | | | | | | | | | | | | | |
Deposit service charges and fees | | $ | 792 | | | $ | 773 | | | $ | 869 | | | $ | 904 | | | $ | 796 | |
Other fee income | | | 500 | | | | 434 | | | | 450 | | | | 442 | | | | 496 | |
Insurance commissions and annuities income | | | 179 | | | | 135 | | | | 234 | | | | 193 | | | | 111 | |
Gain on sales of loans, net | | | 68 | | | | 47 | | | | 175 | | | | 88 | | | | 180 | |
Gain (loss) on sales of securities | | | 31 | | | | — | | | | (988 | ) | | | — | | | | — | |
Loss on disposition of premises and equipment | | | (17 | ) | | | — | | | | (35 | ) | | | (1 | ) | | | — | |
Loan servicing fees | | | 154 | | | | 170 | | | | 162 | | | | 155 | | | | 161 | |
Amortization and impairment of servicing assets | | | (78 | ) | | | (243 | ) | | | (17 | ) | | | (182 | ) | | | (25 | ) |
Earnings (loss) on bank owned life insurance | | | 92 | | | | 79 | | | | 60 | | | | 12 | | | | (33 | ) |
Other | | | 91 | | | | 60 | | | | 1,225 | | | | 49 | | | | 116 | |
| | | | | | | | | | | | | | | | | | | | |
Total noninterest income | | $ | 1,812 | | | $ | 1,455 | | | $ | 2,135 | | | $ | 1,660 | | | $ | 1,802 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Noninterest Expense: | | | | | | | | | | | | | | | | | | | | |
Compensation and benefits | | $ | 6,552 | | | $ | 7,211 | | | $ | 7,285 | | | $ | 6,948 | | | $ | 6,948 | |
Office occupancy and equipment | | | 1,609 | | | | 1,801 | | | | 1,845 | | | | 1,567 | | | | 1,666 | |
Advertising and public relations | | | 303 | | | | 216 | | | | 399 | | | | 239 | | | | 317 | |
Information technology | | | 961 | | | | 921 | | | | 915 | | | | 848 | | | | 866 | |
Supplies, telephone, and postage | | | 406 | | | | 361 | | | | 453 | | | | 483 | | | | 459 | |
Amortization of intangibles | | | 399 | | | | 405 | | | | 417 | | | | 422 | | | | 422 | |
Operations of real estate owned | | | 500 | | | | 134 | | | | 788 | | | | 149 | | | | 83 | |
Loss on impairment of securities | | | — | | | | — | | | | — | | | | 401 | | | | — | |
FDIC insurance premiums | | | 532 | | | | 555 | | | | 461 | | | | 499 | | | | 1,216 | |
Other | | | 1,108 | | | | 1,074 | | | | 1,498 | | | | 1,025 | | | | 1,070 | |
| | | | | | | | | | | | | | | | | | | | |
Total noninterest expenses | | $ | 12,370 | | | $ | 12,678 | | | $ | 14,061 | | | $ | 12,581 | | | $ | 13,047 | |
| | | | | | | | | | | | | | | | | | | | |
Page 1
BANKFNANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters
(Dollars in thousands) – (Unaudited)
| | | | | | | | | | | | | | | |
| | 2010 | | 2009 |
| | IIQ | | IQ | | IVQ | | IIIQ | | IIQ |
SUMMARY STATEMENT OF FINANCIAL CONDITION | | | | | | | | | |
| | | | | |
ASSETS: | | | | | | | | | | | | | | | |
Cash and due from other financial institutions | | $ | 13,618 | | $ | 13,934 | | $ | 20,355 | | $ | 16,617 | | $ | 17,667 |
Interest-bearing deposits in other financial institutions | | | 205,666 | | | 161,897 | | | 87,843 | | | 85,281 | | | 42,250 |
Securities, at fair value | | | 84,688 | | | 94,447 | | | 102,126 | | | 109,213 | | | 112,468 |
Loans held-for-sale | | | 212 | | | — | | | — | | | 1,812 | | | 2,194 |
Loans receivable, net | | | 1,123,949 | | | 1,152,385 | | | 1,218,540 | | | 1,233,199 | | | 1,268,771 |
Real estate owned | | | 7,509 | | | 6,882 | | | 4,084 | | | 1,756 | | | 977 |
Stock in Federal Home Loan Bank, at cost | | | 15,598 | | | 15,598 | | | 15,598 | | | 15,598 | | | 15,598 |
Premises and equipment, net | | | 33,575 | | | 34,305 | | | 34,614 | | | 34,771 | | | 34,974 |
Intangible assets | | | 26,057 | | | 26,456 | | | 26,861 | | | 27,278 | | | 27,700 |
Bank owned life insurance | | | 20,322 | | | 20,230 | | | 20,151 | | | 20,091 | | | 20,079 |
FDIC prepaid expense | | | 5,785 | | | 6,268 | | | 6,777 | | | — | | | — |
Income tax receivable | | | 9,057 | | | 9,108 | | | 11,729 | | | 486 | | | 394 |
Other assets | | | 19,603 | | | 17,144 | | | 18,285 | | | 28,477 | | | 29,925 |
| | | | | | | | | | | | | | | |
Total assets | | $ | 1,565,639 | | $ | 1,558,654 | | $ | 1,566,963 | | $ | 1,574,579 | | $ | 1,572,997 |
| | | | | | | | | | | | | | | |
| | | | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY: | | | | | | | | | | | | | | | |
Deposits | | $ | 1,253,259 | | $ | 1,231,971 | | $ | 1,233,395 | | $ | 1,211,838 | | $ | 1,211,756 |
Borrowings | | | 35,566 | | | 48,092 | | | 50,784 | | | 74,648 | | | 78,819 |
Other liabilities | | | 17,417 | | | 14,882 | | | 19,181 | | | 21,799 | | | 18,146 |
| | | | | | | | | | | | | | | |
Total liabilities | | | 1,306,242 | | | 1,294,945 | | | 1,303,360 | | | 1,308,285 | | | 1,308,721 |
Stockholders’ equity | | | 259,397 | | | 263,709 | | | 263,603 | | | 266,294 | | | 264,276 |
| | | | | | | | | | | | | | | |
Total liabilities and stockholders’ equity | | $ | 1,565,639 | | $ | 1,558,654 | | $ | 1,566,963 | | $ | 1,574,579 | | $ | 1,572,997 |
| | | | | | | | | | | | | | | |
| | |
| | 2010 | | 2009 |
| | IIQ | | IQ | | IVQ | | IIIQ | | IIQ |
DEPOSITS: | | | | | | | | | | | | | | | |
Non-interest-bearing demand | | $ | 103,602 | | $ | 101,284 | | $ | 108,308 | | $ | 110,697 | | $ | 107,649 |
Savings deposits | | | 97,907 | | | 99,107 | | | 96,107 | | | 96,372 | | | 98,327 |
Money market accounts | | | 357,078 | | | 336,089 | | | 322,126 | | | 296,824 | | | 271,982 |
Interest-bearing NOW accounts | | | 294,157 | | | 290,929 | | | 303,219 | | | 290,607 | | | 282,484 |
Certificates of deposit - Retail | | | 390,635 | | | 390,587 | | | 388,871 | | | 402,305 | | | 429,457 |
Certificates of deposit - Wholesale | | | 9,880 | | | 13,975 | | | 14,764 | | | 15,033 | | | 21,857 |
| | | | | | | | | | | | | | | |
Total certificates of deposit | | | 400,515 | | | 404,562 | | | 403,635 | | | 417,338 | | | 451,314 |
| | | | | | | | | | | | | | | |
| | | | | |
Total deposits | | $ | 1,253,259 | | $ | 1,231,971 | | $ | 1,233,395 | | $ | 1,211,838 | | $ | 1,211,756 |
| | | | | | | | | | | | | | | |
Page 2
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters
(Dollars in thousands) – (Unaudited)
| | | | | | | | | | | | | | | | | | | | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
LOANS: | | | | | | | | | | | | | | | | | | | | |
One-to-four family residential real estate loans | | $ | 276,440 | | | $ | 283,556 | | | $ | 289,623 | | | $ | 293,927 | | | $ | 301,167 | |
Multi-family mortgage loans | | | 305,519 | | | | 308,268 | | | | 329,227 | | | | 329,934 | | | | 331,258 | |
Nonresidential real estate loans | | | 306,993 | | | | 307,816 | | | | 316,607 | | | | 324,428 | | | | 338,050 | |
Construction and land loans | | | 18,477 | | | | 26,186 | | | | 32,577 | | | | 39,042 | | | | 42,384 | |
Commercial loans | | | 72,716 | | | | 70,420 | | | | 88,067 | | | | 74,567 | | | | 88,853 | |
Commercial leases | | | 158,990 | | | | 169,633 | | | | 176,821 | | | | 183,841 | | | | 179,804 | |
Consumer loans | | | 2,263 | | | | 2,394 | | | | 2,539 | | | | 2,565 | | | | 2,495 | |
| | | | | | | | | | | | | | | | | | | | |
Total loans | | | 1,141,398 | | | | 1,168,273 | | | | 1,235,461 | | | | 1,248,304 | | | | 1,284,011 | |
Net deferred loan origination costs | | | 1,520 | | | | 1,628 | | | | 1,701 | | | | 1,818 | | | | 1,898 | |
Allowance for loan losses | | | (18,969 | ) | | | (17,516 | ) | | | (18,622 | ) | | | (16,923 | ) | | | (17,138 | ) |
| | | | | | | | | | | | | | | | | | | | |
Loans, net | | $ | 1,123,949 | | | $ | 1,152,385 | | | $ | 1,218,540 | | | $ | 1,233,199 | | | $ | 1,268,771 | |
| | | | | | | | | | | | | | | | | | | | |
| | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
CREDIT QUALITY RATIOS: | | | | | | | | | | | | | | | | | | | | |
Nonperforming Assets: | | | | | | | | | | | | | | | | | | | | |
| | | | | |
Nonaccrual loans: | | | | | | | | | | | | | | | | | | | | |
One-to-four family residential real estate loans | | $ | 10,788 | | | $ | 9,064 | | | $ | 11,453 | | | $ | 9,248 | | | $ | 4,984 | |
Multi-family mortgage loans | | | 16,405 | | | | 13,033 | | | | 13,961 | | | | 8,196 | | | | 9,085 | |
Nonresidential real estate loans | | | 9,511 | | | | 10,810 | | | | 11,074 | | | | 9,172 | | | | 8,955 | |
Construction and land loans | | | 6,948 | | | | 6,948 | | | | 8,841 | | | | 11,082 | | | | 12,726 | |
Commercial loans | | | 4,508 | | | | 4,110 | | | | 4,160 | | | | 2,340 | | | | 2,963 | |
Commercial leases | | | — | | | | — | | | | — | | | | — | | | | 105 | |
Consumer loans | | | 3 | | | | — | | | | — | | | | — | | | | 8 | |
| | | | | | | | | | | | | | | | | | | | |
Nonaccrual loans | | | 48,163 | | | | 43,965 | | | | 49,489 | | | | 40,038 | | | | 38,826 | |
Real estate owned: | | | | | | | | | | | | | | | | | | | | |
One-to-four family residential real estate | | | 1,462 | | | | 1,254 | | | | 601 | | | | 816 | | | | 844 | |
Multi-family real estate | | | 2,649 | | | | 1,958 | | | | 976 | | | | 45 | | | | 133 | |
Nonresidential real estate | | | 1,815 | | | | 2,056 | | | | 1,416 | | | | 600 | | | | — | |
Construction projects and land | | | 1,583 | | | | 1,614 | | | | 1,091 | | | | 295 | | | | — | |
| | | | | | | | | | | | | | | | | | | | |
Real estate owned | | | 7,509 | | | | 6,882 | | | | 4,084 | | | | 1,756 | | | | 977 | |
| | | | | | | | | | | | | | | | | | | | |
Nonperforming assets | | $ | 55,672 | | | $ | 50,847 | | | $ | 53,573 | | | $ | 41,794 | | | $ | 39,803 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Asset Quality Ratios: | | | | | | | | | | | | | | | | | | | | |
Nonperforming assets to total assets | | | 3.56 | % | | | 3.26 | % | | | 3.42 | % | | | 2.65 | % | | | 2.53 | % |
Nonaccrual loans to total loans | | | 4.22 | | | | 3.76 | | | | 4.01 | | | | 3.21 | | | | 3.02 | |
Allowance for loan losses to nonaccrual loans | | | 39.39 | | | | 39.84 | | | | 37.63 | | | | 42.27 | | | | 44.14 | |
Allowance for loan losses to total loans | | | 1.66 | | | | 1.50 | | | | 1.51 | | | | 1.36 | | | | 1.33 | |
Net charge-off ratio(1) | | | 0.42 | | | | 0.66 | | | | 0.80 | | | | 0.20 | | | | 0.08 | |
| | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
ALLOWANCE FOR LOAN LOSSES: | | | | | | | | | | | | | | | | | | | | |
Beginning balance | | $ | 17,516 | | | $ | 18,622 | | | $ | 16,923 | | | $ | 17,138 | | | $ | 14,558 | |
Provision for loan losses | | | 2,665 | | | | 851 | | | | 4,193 | | | | 427 | | | | 2,847 | |
Loans charged off | | | (1,241 | ) | | | (1,974 | ) | | | (2,573 | ) | | | (660 | ) | | | (296 | ) |
Recoveries | | | 29 | | | | 17 | | | | 79 | | | | 18 | | | | 29 | |
| | | | | | | | | | | | | | | | | | | | |
Ending balance | | $ | 18,969 | | | $ | 17,516 | | | $ | 18,622 | | | $ | 16,923 | | | $ | 17,138 | |
| | | | | | | | | | | | | | | | | | | | |
Page 3
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters
(Dollars in thousands) – (Unaudited)
| | | | | | | | | | | | | | | | | | | | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
SELECTED AVERAGE BALANCES: | |
Total average assets | | $ | 1,574,013 | | | $ | 1,559,221 | | | $ | 1,573,800 | | | $ | 1,566,127 | | | $ | 1,584,397 | |
Total average interest-earning assets | | | 1,452,835 | | | | 1,437,236 | | | | 1,458,026 | | | | 1,452,054 | | | | 1,467,900 | |
Average loans | | | 1,153,960 | | | | 1,194,313 | | | | 1,245,601 | | | | 1,267,148 | | | | 1,286,698 | |
Average securities | | | 88,017 | | | | 96,778 | | | | 103,141 | | | | 108,759 | | | | 115,667 | |
Average stock in FHLB | | | 15,598 | | | | 15,598 | | | | 15,598 | | | | 15,598 | | | | 15,598 | |
Average other interest-earning assets | | | 195,260 | | | | 130,547 | | | | 93,686 | | | | 60,549 | | | | 49,937 | |
Total average interest-bearing liabilities | | | 1,189,847 | | | | 1,172,612 | | | | 1,177,492 | | | | 1,173,970 | | | | 1,196,029 | |
Average interest-bearing deposits | | | 1,146,869 | | | | 1,122,434 | | | | 1,109,892 | | | | 1,097,285 | | | | 1,079,094 | |
Average borrowings | | | 42,978 | | | | 50,178 | | | | 67,600 | | | | 76,685 | | | | 116,935 | |
Average stockholders’ equity | | | 264,043 | | | | 264,739 | | | | 266,542 | | | | 267,166 | | | | 266,647 | |
| | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
SELECTED YIELDS AND COST OF FUNDS(1): | |
Total average interest-earning assets | | | 4.54 | % | | | 4.84 | % | | | 4.89 | % | | | 5.06 | % | | | 5.11 | % |
Average loans | | | 5.36 | | | | 5.45 | | | | 5.36 | | | | 5.43 | | | | 5.44 | |
Average securities | | | 4.15 | | | | 4.22 | | | | 4.22 | | | | 4.15 | | | | 4.29 | |
Average other interest-earning assets | | | 0.25 | | | | 0.25 | | | | 0.25 | | | | 0.24 | | | | 0.22 | |
| | | | | |
Total average interest-bearing liabilities | | | 1.24 | | | | 1.36 | | | | 1.51 | | | | 1.63 | | | | 1.84 | |
Average interest-bearing deposits | | | 1.20 | | | | 1.31 | | | | 1.46 | | | | 1.58 | | | | 1.83 | |
Average borrowings | | | 2.27 | | | | 2.42 | | | | 2.41 | | | | 2.46 | | | | 1.93 | |
| | | | | |
Net interest rate spread | | | 3.30 | | | | 3.48 | | | | 3.38 | | | | 3.43 | | | | 3.27 | |
Net interest margin | | | 3.53 | | | | 3.73 | | | | 3.67 | | | | 3.74 | | | | 3.61 | |
Page 4
BANKFINANCIAL CORPORATION
SELECTED QUARTERLY FINANCIAL AND STATISTICAL DATA
Latest Five Quarters
(Dollars in thousands; except per share) – (Unaudited)
| | | | | | | | | | | | | | | | | | | | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
CAPITAL RATIOS: | | | | | | | | | | | | | | | | | | | | |
| | | | | |
BankFinancial Corporation: | | | | | | | | | | | | | | | | | | | | |
Equity to total assets (end of period) | | | 16.57 | % | | | 16.92 | % | | | 16.82 | % | | | 16.91 | % | | | 16.80 | % |
Tangible equity to tangible total assets (end of period) | | | 15.15 | | | | 15.40 | | | | 15.26 | | | | 15.56 | | | | 15.43 | |
| | | | | |
Risk-based total capital ratio | | | 21.44 | | | | 21.10 | | | | 20.06 | | | | 19.55 | | | | 19.07 | |
Risk-based tier 1 capital ratio | | | 20.31 | | | | 20.00 | | | | 18.97 | | | | 18.57 | | | | 18.07 | |
Tier 1 leverage ratio | | | 15.16 | | | | 15.41 | | | | 15.27 | | | | 15.17 | | | | 15.14 | |
| | | | | |
BankFinancial FSB: | | | | | | | | | | | | | | | | | | | | |
Risk-based total capital ratio | | | 18.06 | | | | 17.41 | | | | 16.40 | | | | 15.98 | | | | 15.48 | |
Risk-based tier 1 capital ratio | | | 16.94 | | | | 16.32 | | | | 15.31 | | | | 15.00 | | | | 14.48 | |
Tier 1 leverage ratio | | | 12.74 | | | | 12.67 | | | | 12.44 | | | | 12.25 | | | | 12.12 | |
| | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
COMMON STOCK AND DIVIDENDS: | | | | | | | | | | | | | | | | | | | | |
Stock Prices: | | | | | | | | | | | | | | | | | | | | |
Close | | $ | 8.31 | | | $ | 9.17 | | | $ | 9.90 | | | $ | 9.60 | | | $ | 8.86 | |
High | | | 9.99 | | | | 10.16 | | | | 10.40 | | | | 11.04 | | | | 11.10 | |
Low | | | 8.28 | | | | 9.01 | | | | 9.07 | | | | 8.75 | | | | 8.07 | |
| | | | | |
Book value per share | | $ | 12.32 | | | $ | 12.31 | | | $ | 12.31 | | | $ | 12.43 | | | $ | 12.34 | |
Tangible book value per share | | $ | 11.08 | | | $ | 11.08 | | | $ | 11.05 | | | $ | 11.16 | | | $ | 11.05 | |
| | | | | |
Cash dividends declared and paid on common stock | | $ | 0.07 | | | $ | 0.07 | | | $ | 0.07 | | | $ | 0.07 | | | $ | 0.07 | |
| | | | | |
Stock repurchases | | $ | 3,125 | | | $ | — | | | $ | — | | | $ | — | | | $ | 691 | |
Stock repurchases – shares | | | 356,411 | | | | — | | | | — | | | | — | | | | 70,000 | |
| | |
| | 2010 | | | 2009 | |
| | IQ | | | IVQ | | | IIIQ | | | IIQ | | | IQ | |
EARNINGS PER SHARE COMPUTATIONS: | | | | | | | | | | | | | | | | | | | | |
Net income (loss) | | $ | (288 | ) | | $ | 716 | | | $ | (1,596 | ) | | $ | 1,351 | | | $ | (665 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Average common shares outstanding | | | 21,301,212 | | | | 21,416,377 | | | | 21,416,377 | | | | 21,416,377 | | | | 21,437,970 | |
Less: Unearned ESOP shares | | | (1,457,047 | ) | | | (1,488,018 | ) | | | (1,512,499 | ) | | | (1,549,780 | ) | | | (1,574,268 | ) |
Unvested restricted stock shares | | | (106,850 | ) | | | (108,650 | ) | | | (197,672 | ) | | | (217,850 | ) | | | (220,652 | ) |
| | | | | | | | | | | | | | | | | | | | |
Weighted average common shares outstanding | | | 19,737,315 | | | | 19,819,709 | | | | 19,706,206 | | | | 19,648,747 | | | | 19,643,050 | |
Plus: Dilutive common shares equivalents | | | — | | | | — | | | | — | | | | — | | | | — | |
| | | | | | | | | | | | | | | | | | | | |
Weighted average dilutive common shares outstanding | | | 19,737,315 | | | | 19,819,709 | | | | 19,706,206 | | | | 19,648,747 | | | | 19,643,050 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Number of anti-dilutive stock options excluded from the diluted earnings per share calculation | | | 2,320,803 | | | | 2,322,603 | | | | 2,322,603 | | | | 2,322,603 | | | | 2,322,603 | |
Weighted average exercise price of anti-dilutive option shares | | $ | 16.51 | | | $ | 16.51 | | | $ | 16.51 | | | $ | 16.51 | | | $ | 16.51 | |
| | | | | |
Basic earnings (loss) per common share | | $ | (0.01 | ) | | $ | 0.04 | | | $ | (0.08 | ) | | $ | 0.07 | | | $ | (0.03 | ) |
| | | | | | | | | | | | | | | | | | | | |
Diluted earnings (loss) per common share | | $ | (0.01 | ) | | $ | 0.04 | | | $ | (0.08 | ) | | $ | 0.07 | | | $ | (0.03 | ) |
| | | | | | | | | | | | | | | | | | | | |
Page 5
BANKFINANCIAL CORPORATION
NON-GAAP FINANCIAL MEASURES
BankFinancial Corporation, a Maryland corporation (“the Company”) utilizes a number of different financial measures, both GAAP and non-GAAP, in making operating, budgeting and planning decisions for future periods. Generally, a non-GAAP financial measure is a numerical measure of a company’s performance, financial position or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with generally accepted accounting principles in the United States, or GAAP. The Company believes that the use of the non-GAAP financial measures described below provides the Board of Directors and management, and may provide some investors, with a more complete understanding of the Company’s operating results and trends, and facilitate comparisons to historical and peer performance. The Company’s non-GAAP financial measures should be considered supplemental in nature and should not be considered in isolation, or as superior to or a substitute for, financial measures that are prepared in accordance with GAAP. In addition, the Company’s non-GAAP financial measures may differ from similar non-GAAP financial measures that are used by other companies, thus limiting their usefulness as a comparative tool.
These measures include core return on assets, core return on equity, core dilutive earnings (loss) per share, core operating expense to average total assets, and core efficiency ratio. Management also believes that by excluding equity-based compensation expense, amortization of intangibles expenses, loss on sale of our Freddie Mac preferred stocks, loss on impairment of securities, gain on sale of merchant processing operations, and the FDIC special assessment from other noninterest income and expense, these ratios and earnings (loss) per share better reflect our core operating performance.
Page 6
BANKFINANCIAL CORPORATION
NON-GAAP FINANCIAL MEASURES
(Dollars in thousands; except per share) – (Unaudited)
FOR THE QUARTERS AND SIX MONTH PERIODS
ENDED JUNE 30, 2010 AND 2009
| | | | | | | | | | | | | | | | |
| | Three months ended June 30, | | | Six months ended June 30, | |
| | 2010 | | | 2009 | | | 2010 | | | 2009 | |
| | | | |
Core operating income (loss): | | | | | | | | | | | | | | | | |
Net income (loss) | | $ | (288 | ) | | $ | (665 | ) | | $ | 428 | | | $ | (493 | ) |
| | | | |
Adjustments: | | | | | | | | | | | | | | | | |
Equity-based compensation | | | 595 | | | | 604 | | | | 1,227 | | | | 1,664 | |
Amortization of intangibles | | | 399 | | | | 422 | | | | 804 | | | | 851 | |
FDIC special assessment | | | — | | | | 700 | | | | — | | | | 700 | |
Tax effect on adjustments assuming 39.745% tax rate | | | (395 | ) | | | (686 | ) | | | (807 | ) | | | (1,278 | ) |
| | | | | | | | | | | | | | | | |
Core operating income | | $ | 311 | | | $ | 375 | | | $ | 1,652 | | | $ | 1,444 | |
| | | | | | | | | | | | | | | | |
| | | | |
Return on assets (ratio of net income to average total assets) (1) | | | (0.07 | )% | | | (0.17 | )% | | | 0.05 | | | | (0.06 | )% |
Core return on assets (ratio of core operating income to average total assets) (1) | | | 0.08 | % | | | 0.09 | % | | | 0.21 | % | | | 0.18 | % |
| | | | |
Return on equity (ratio of net income to average equity) (1) | | | (0.44 | )% | | | (1.00 | )% | | | 0.32 | % | | | (0.37 | )% |
Core return on equity (ratio of core operating income to average equity)(1) | | | 0.47 | % | | | 0.56 | % | | | 1.25 | % | | | 1.08 | % |
| | | | |
Diluted earnings per common share | | $ | (0.01 | ) | | $ | (0.03 | ) | | $ | 0.02 | | | $ | (0.03 | ) |
Core dilutive earnings per common share | | $ | 0.02 | | | $ | 0.02 | | | $ | 0.08 | | | $ | 0.07 | |
| | | | |
Core operating expenses: | | | | | | | | | | | | | | | | |
Noninterest expenses | | $ | 12,370 | | | $ | 13,047 | | | $ | 25,048 | | | $ | 26,089 | |
Adjustments: | | | | | | | | | | | | | | | | |
Equity-based compensation | | | (595 | ) | | | (604 | ) | | | (1,227 | ) | | | (1,664 | ) |
Amortization of intangibles | | | (399 | ) | | | (422 | ) | | | (804 | ) | | | (851 | ) |
FDIC special assessment | | | — | | | | (700 | ) | | | — | | | | (700 | ) |
| | | | | | | | | | | | | | | | |
Core operating expenses | | $ | 11,376 | | | $ | 11,321 | | | $ | 23,017 | | | $ | 22,874 | |
| | | | | | | | | | | | | | | | |
| | | | |
Noninterest expense to average total assets (1) | | | 3.14 | % | | | 3.29 | % | | | 3.20 | % | | | 3.34 | % |
Core operating expense to average total assets (1) | | | 2.89 | % | | | 2.86 | % | | | 2.94 | % | | | 2.92 | % |
| | | | |
Efficiency ratio (ratio of noninterest expense to net interest income plus noninterest income) | | | 84.81 | % | | | 86.89 | % | | | 85.61 | % | | | 87.47 | % |
Core efficiency ratio (ratio of core operating expense to net interest income plus core noninterest income) | | | 77.99 | % | | | 75.40 | % | | | 78.67 | % | | | 76.69 | % |
(1) | Annualized for the three-month periods. |
Page 7
BANKFINANCIAL CORPORATION
NON-GAAP FINANCIAL MEASURES
(Dollars in thousands; except per share) – (Unaudited)
| | | | | | | | | | | | | | | | | | | | |
| | 2010 | | | 2009 | |
| | IIQ | | | IQ | | | IVQ | | | IIIQ | | | IIQ | |
FOR THE LATEST FIVE QUARTERS | | | | | | | | | | | | | | | | | | | | |
Core operating income (loss) | | | | | | | | | | | | | | | | | | | | |
Net income (loss) | | $ | (288 | ) | | $ | 716 | | | $ | (1,596 | ) | | $ | 1,351 | | | $ | (665 | ) |
Adjustments: | | | | | | | | | | | | | | | | | | | | |
Equity-based compensation | | | 595 | | | | 632 | | | | 681 | | | | 691 | | | | 604 | |
Amortization of intangibles | | | 399 | | | | 405 | | | | 417 | | | | 422 | | | | 422 | |
Loss on sales of Freddie Mac preferred stocks | | | — | | | | — | | | | 988 | | | | — | | | | — | |
Loss on impairment of securities | | | — | | | | — | | | | — | | | | 401 | | | | — | |
Gain on sale of merchant processing operations | | | — | | | | — | | | | (1,300 | ) | | | — | | | | — | |
FDIC special assessment | | | — | | | | — | | | | — | | | | — | | | | 700 | |
Tax effect on adjustments assuming 39.745% tax rate | | | (395 | ) | | | (412 | ) | | | (312 | ) | | | (602 | ) | | | (686 | ) |
| | | | | | | | | | | | | | | | | | | | |
Core operating income (loss) | | $ | 311 | | | $ | 1,341 | | | $ | (1,122 | ) | | $ | 2,263 | | | $ | 375 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Return on assets (ratio of net income (loss) to average total assets) (1) | | | (0.07 | )% | | | 0.18 | % | | | (0.41 | )% | | | 0.35 | % | | | (0.17 | )% |
Core return on assets (ratio of core operating income (loss) to average total assets) (1) | | | 0.08 | % | | | 0.34 | % | | | (0.29 | )% | | | 0.58 | % | | | 0.09 | % |
| | | | | |
Return on equity (ratio of net income (loss) to average equity) (1) | | | (0.44 | )% | | | 1.08 | % | | | (2.40 | )% | | | 2.02 | % | | | (1.00 | )% |
Core return on equity (ratio of core operating income (loss) to average equity) (1) | | | 0.47 | % | | | 2.03 | % | | | (1.68 | )% | | | 3.39 | % | | | 0.56 | % |
| | | | | |
Diluted earnings (loss) per common share | | $ | (0.01 | ) | | $ | 0.04 | | | $ | (0.08 | ) | | $ | 0.07 | | | $ | (0.03 | ) |
Core diluted earnings (loss) per common share | | $ | 0.02 | | | $ | 0.07 | | | $ | (0.06 | ) | | $ | 0.12 | | | $ | 0.02 | |
| | | | | |
Core operating expense: | | | | | | | | | | | | | | | | | | | | |
Noninterest expense | | $ | 12,370 | | | $ | 12,678 | | | $ | 14,061 | | | $ | 12,581 | | | $ | 13,047 | |
Adjustments: | | | | | | | | | | | | | | | | | | | | |
Equity-based compensation | | | (595 | ) | | | (632 | ) | | | (681 | ) | | | (691 | ) | | | (604 | ) |
Amortization of intangibles | | | (399 | ) | | | (405 | ) | | | (417 | ) | | | (422 | ) | | | (422 | ) |
Loss on impairment of securities | | | — | | | | — | | | | — | | | | (401 | ) | | | — | |
FDIC special assessment | | | — | | | | — | | | | — | | | | — | | | | (700 | ) |
| | | | | | | | | | | | | | | | | | | | |
Core operating expense | | $ | 11,376 | | | $ | 11,641 | | | $ | 12,963 | | | $ | 11,067 | | | $ | 11,321 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Noninterest expense to average total assets (1) | | | 3.14 | % | | | 3.25 | % | | | 3.57 | % | | | 3.21 | % | | | 3.29 | % |
Core operating expense to average total assets (1) | | | 2.89 | % | | | 2.99 | % | | | 3.30 | % | | | 2.83 | % | | | 2.86 | % |
| | | | | |
Efficiency ratio (ratio of noninterest expense to net interest income plus noninterest income) | | | 84.81 | % | | | 86.42 | % | | | 89.95 | % | | | 82.06 | % | | | 86.89 | % |
Core efficiency ratio (ratio of core operating expense to net interest income plus core noninterest income) | | | 77.99 | % | | | 79.35 | % | | | 84.61 | % | | | 73.68 | % | | | 75.40 | % |
(1) | Annualized for the three-month periods. |
Page 8