Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2017 | Sep. 28, 2017 | Dec. 31, 2016 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | Community Savings Bancorp, Inc. | ||
Entity Central Index Key | 1,682,593 | ||
Trading Symbol | csb | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Current Fiscal Year End Date | --06-30 | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding | 441,290 | ||
Entity Public Float | $ 5.7 | ||
Document Type | 10-K | ||
Document Period End Date | Jun. 30, 2017 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Assets | ||
Cash and due from banks | $ 2,647 | $ 1,969 |
Interest-earning demand deposits in other financial institutions | 6,052 | 1,215 |
Cash and cash equivalents | 8,699 | 3,184 |
Interest-earning time deposits in other financial institutions | 4,580 | 5,567 |
Investment securities available-for-sale, at fair value | 8,798 | 11,097 |
Other investment securities | 940 | 940 |
Loans | 31,953 | 32,882 |
Less: allowance for loan losses | (253) | (253) |
Loans, net | 31,700 | 32,629 |
Premises and equipment, net | 458 | 452 |
Foreclosed assets, net | 17 | 34 |
Accrued interest receivable | 152 | 185 |
Other assets | 265 | 191 |
Total assets | 55,609 | 54,279 |
Deposits | ||
Demand | 9,907 | 9,058 |
Savings and money market | 23,477 | 23,127 |
Time | 8,135 | 7,917 |
Total deposits | 41,519 | 40,102 |
Federal Home Loan Bank advances | 4,500 | 7,250 |
Payments by borrowers for taxes and insurance | 88 | 82 |
Other liabilities | 109 | 190 |
Total liabilities | 46,216 | 47,624 |
Shareholders' Equity | ||
Preferred stock - par value $0.01 per share, 5,000,000 shares authorized, none issued | 0 | 0 |
Common stock - par value $0.01 per share, 50,000,000 shares authorized, 441,290 shares issued and outstanding at June 30, 2017 | 4 | |
Additional paid in capital | 3,258 | |
Unearned employee stock ownership plan (ESOP) shares | (327) | |
Retained earnings | 6,433 | 6,567 |
Accumulated other comprehensive income | 25 | 88 |
Total shareholders' equity | 9,393 | 6,655 |
Total liabilities and shareholders' equity | $ 55,609 | $ 54,279 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2017 | Jun. 30, 2016 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, shares, issued | 441,290 | |
Common stock, shares, outstanding | 441,290 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Interest Income | ||
Loans, including fees | $ 1,400 | $ 1,394 |
Taxable securities | 147 | 183 |
Tax exempt securities | 51 | 84 |
Interest-earning deposits | 138 | 133 |
Total interest income | 1,736 | 1,794 |
Interest Expense | ||
Deposits | 125 | 134 |
Federal Home Loan Bank advances | 87 | 80 |
Total interest expense | 212 | 214 |
Net Interest Income | 1,524 | 1,580 |
Provision for Loan Losses | 0 | 0 |
Net Interest Income After Provision for Loan Losses | 1,524 | 1,580 |
Noninterest Income | ||
Service charges and fees | 250 | 278 |
Gain on sale of foreclosed assets, net | 29 | 1 |
Gain on sale of branch offices | 810 | |
Other income | 15 | 9 |
Total noninterest income | 294 | 1,098 |
Noninterest Expense | ||
Salaries, employee benefits, and directors fees | 842 | 784 |
Occupancy and equipment | 101 | 117 |
Data processing | 325 | 315 |
Correspondent bank service charges | 232 | 185 |
Franchise taxes | 47 | 50 |
FDIC insurance premiums | 15 | 47 |
Professional services | 191 | 172 |
Advertising | 13 | 9 |
Office supplies | 76 | 73 |
Impairment loss on foreclosed assets | 2 | 26 |
Other expense | 196 | 199 |
Total noninterest expense | 2,040 | 1,977 |
Income (Loss) Before Federal Income Tax (Benefit) | (222) | 701 |
Federal Income Tax Expense (Benefit) | (88) | 22 |
Net Income (Loss) | $ (134) | $ 679 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Statement of Comprehensive Income [Abstract] | ||
Net income (loss) | $ (134) | $ 679 |
Other comprehensive income (loss): | ||
Unrealized holding gains (losses) on securities available-for-sale | (96) | 300 |
Tax effect | 33 | (102) |
Total other comprehensive income (loss) | (63) | 198 |
Comprehensive income (loss) | $ (197) | $ 877 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Preferred Stock | Common Stock | Additional Paid in Capital | Unearned ESOP Shares | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total |
Balance at Jun. 30, 2015 | $ 5,888 | $ (110) | $ 5,778 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income (loss) | 679 | 679 | |||||
Other comprehensive income (loss): | 198 | 198 | |||||
Balance at Jun. 30, 2016 | 6,567 | 88 | 6,655 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income (loss) | (134) | (134) | |||||
Proceeds from issuance of common stock | $ 4 | $ 3,258 | $ (327) | 2,935 | |||
Other comprehensive income (loss): | (63) | (63) | |||||
Balance at Jun. 30, 2017 | $ 4 | $ 3,258 | $ (327) | $ 6,433 | $ 25 | $ 9,393 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Cash Flows from Operating Activities | ||
Net income (loss) | $ (134) | $ 679 |
Adjustments to reconcile net income (loss) to net cash from operating activities: | ||
Depreciation and amortization | 66 | 64 |
Deferred income tax expense | (88) | 22 |
Amortization of premiums and discounts, net | 204 | 233 |
Gain on sale of foreclosed assets | (29) | (1) |
Impairment loss on foreclosed assets | 2 | 26 |
Gain on sale of branch offices | (810) | |
Net changes in: | ||
Accrued interest receivable | 33 | 36 |
Other assets | (20) | 6 |
Other liabilities | (14) | (119) |
Net cash provided by operating activities | 20 | 136 |
Cash Flows from Investing Activities | ||
Net change in interest-earning time deposits | 987 | 234 |
Purchases of available-for-sale securities | (1,799) | (656) |
Proceeds from maturities of available-for-sale securities | 2,346 | 5,438 |
Proceeds from sale of available-for-sale securities | 500 | |
Principal repayments of available-for-sale mortgage-backed securities | 1,509 | |
Purchase of loans | (3,742) | |
Net change in loans | 872 | 49 |
Purchase of premises and equipment | (72) | (36) |
Proceeds from sale of foreclosed assets | 44 | 41 |
Cash paid in sale of branch offices | (12,568) | |
Net cash provided by (used in) investing activities | 3,887 | (10,740) |
Cash Flows from Financing Activities | ||
Net change in deposits | 1,417 | (2,637) |
Proceeds from Federal Home Loan Bank advances | 1,700 | 12,750 |
Repayment of Federal Home Loan Bank advances | (4,450) | (6,500) |
Payments by borrowers for taxes and insurance | 6 | 27 |
Proceeds from sale of common stock | 2,935 | |
Net cash provided by financing activities | 1,608 | 3,640 |
Net Change in Cash and Cash Equivalents | 5,515 | (6,964) |
Beginning Cash and Cash Equivalents | 3,184 | 10,148 |
Ending Cash and Cash Equivalents | 8,699 | 3,184 |
Cash paid during the year for: | ||
Interest on deposits and borrowings | $ 212 | 214 |
Supplemental Disclosure of Noncash Investing Activities | ||
Transfers from loans to foreclosed assets | 29 | |
Loan originated upon sale of foreclosed assets | $ 3 |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies | 12 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Nature of Operations and Summary of Significant Accounting Policies | Note 1: Nature of Operations and Summary of Significant Accounting Policies Nature of Operations Community Savings Bancorp, Inc. (the “Company”), headquartered in Caldwell, Ohio, was formed to serve as the stock holding company for Community Savings (the “Bank”) following its mutual-to-stock conversion. The conversion was completed effective January 10, 2017. The Company issued 441,290 shares at an offering price of $10.00 per share. The Bank conducts a general banking business in eastern Ohio which primarily consists of attracting deposits from the general public and applying those funds to the origination of loans for residential, consumer and nonresidential purposes. The Bank’s profitability is significantly dependent on its net interest income, which is the difference between interest income generated from interest-earning assets (i.e. loans and investments) and the interest expense paid on interest-bearing liabilities (i.e. deposits and borrowed funds). Net interest income is affected by the relative amount of interest-earning assets and interest bearing-liabilities and the interest received or paid on those balances. The level of interest rates paid or received by the Bank can be significantly influenced by a number of environmental factors, such as governmental monetary policy, that are outside management’s control. In July 2015, the Bank finalized a transaction whereby two branch offices were sold to another financial institution. The sale included the buildings, fixtures, and deposits of those locations. The assets and deposits sold totaled $1.7 million and $15.1 million, respectively, and the Bank realized a gain on the sale of $810,000. Principles of Consolidation The consolidated financial statements as of and for the year ended June 30, 2017, include Community Savings Bancorp, Inc. and its wholly-owned subsidiary, Community Savings (the “Bank”), together referred to as the “Company.” Intercompany transactions and balances have been eliminated in consolidation. The financial statements as of and for the year ended June 30, 2016 represent the Bank only, as the conversion to stock form, including the formation of Community Savings Bancorp, Inc., was completed on January 10, 2017. References herein to the “Company” for periods prior to the completion of the stock conversion should be deemed to refer to the “Bank.” Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses, valuation of real estate acquired in connection with foreclosures or in satisfaction of loans, valuation of deferred tax assets, and fair values of financial instruments. Cash and Cash Equivalents For purposes of reporting cash flows, cash and cash equivalents are defined as cash and due from banks and interest-earning demand deposits with original terms to maturity of less than ninety days. Net cash flows are reported for customer loan and deposit transactions and interest-earning time deposits in other financial institutions. From time to time, the Company’s interest-earning cash accounts may exceed the FDIC’s insured limit of $250,000. Management considers the risk of loss to be low based upon the quality of the institutions where the amounts are maintained. Interest-Earning Time Deposits in Other Financial Institutions Interest-earning time deposits in other financial institutions mature through fiscal year 2028 and are carried at cost. Securities Certain debt securities that management has the positive intent and ability to hold to maturity are classified as “held to maturity” and recorded at amortized cost. Securities not classified as held to maturity, including equity securities with readily determinable fair values, are classified as “available-for-sale” and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income, net of tax. Interest income includes amortization of purchase premium or discount. Premiums and discounts on securities are recognized in interest income using the level-yield method over the terms of the securities, without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific identification method. Management evaluates securities for other-than-temporary impairment (“OTTI”) on at least a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the statements of operations and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, when the Company does not expect the fair value of the security to fully recover, the security is deemed other-than-temporarily impaired. The Company recognizes an impairment loss when the impairment is deemed other than temporary even if a decision to sell has not been made. Other investment securities consist of stock in the Federal Home Loan Bank of Cincinnati (“FHLB”) and a required investment in the stock of the Company’s data processing service provider. FHLB stock is a required investment, based on a predetermined formula, for institutions that are members of the FHLB system. The investment in both common stocks is carried at cost, classified as restricted securities, and evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at their outstanding principal balances adjusted for unamortized premiums on loans purchased and any unamortized deferred fees or costs on originated loans, less the allowance for loan losses. Interest income is accrued based on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and amortized as a level-yield adjustment over the respective term of the loan without anticipating prepayments. Premiums and discounts on the purchase of loans are recognized in interest income using the level-yield method over the terms of the loan without anticipating prepayments. For all loan classes, the accrual of interest is discontinued at the time the loan is 90 days past due unless the credit is well-secured and in process of collection. Past due status is based on contractual terms of the loan. For all loan classes, the entire balance of the loan is considered past due if the minimum payment contractually required to be paid is not received by the contractual due date. For all loan classes, loans are placed on nonaccrual or charged off at an earlier date if collection of principal or interest is considered doubtful. Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. For all loan classes, all interest accrued but not collected for loans that are placed on nonaccrual or charged off is reversed against interest income. The interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Company requires a period of satisfactory performance of not less than six months before returning a nonaccrual loan to accrual status. When cash interest payments are received on impaired loans in each loan class, the Company records the payment as interest income unless collection of the remaining recorded principal amount is doubtful, at which time payments are used to reduce the principal balance of the loan. Concentration of Credit Risk Most of the Company’s business activity is with customers located within Noble County, Ohio. Therefore, the Company’s exposure to credit risk is significantly affected by changes in the economy in the Noble County area. Allowance for Loan Losses The allowance for loan losses is a valuation allowance for probable incurred credit losses. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged off. The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans for which the terms have been modified resulting in a concession, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings and classified as impaired. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Commercial real estate loans are individually evaluated for impairment. If a loan is impaired, a portion of the allowance is allocated so that the loan is reported at the present value of estimated future cash flows using the loan’s existing rate or at the fair value of collateral if repayment is expected solely from the collateral. Large groups of smaller balance homogeneous loans, such as consumer and residential real estate loans, are collectively evaluated for impairment, and accordingly, they are not separately identified for impairment disclosures. Troubled debt restructurings are separately identified for impairment disclosures and are measured at the present value of estimated future cash flows using the loan’s effective rate at inception. If a troubled debt restructuring is considered to be a collateral dependent loan, the loan is reported at the fair value of the collateral. For troubled debt restructurings that subsequently default, the Company determines the amount of reserve in accordance with the accounting policy for the allowance for loan losses. The general component covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company over the most recent twelve quarters. All periods are evenly weighted within the twelve quarter loss history. The methodology used in calculation of loss factors is consistently applied to all loan segments. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when the assets have been isolated from the Company, the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. Premises and Equipment Land is carried at cost. Depreciable assets are stated at cost, less accumulated depreciation. Depreciation is charged to expense using the straight-line method over the estimated useful lives of the assets. The estimated useful lives of depreciable assets is 40 – 50 years for buildings, 7 – 20 years for building improvements, and 3 – 10 years for furniture, fixtures and equipment. Maintenance and repairs are expensed and major improvements are capitalized. Foreclosed Assets Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less cost to sell at the date of foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management primarily through an independent appraisal or valuation and the assets are carried at the lower of carrying amount or fair value less cost to sell. If fair value declines subsequent to foreclosure, a valuation allowance is recorded through expense. Operating costs after acquisition are expensed. Income Taxes The Company accounts for income taxes in accordance with income tax accounting guidance (ASC 740, Income Taxes Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. Uncertain tax positions are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term more likely than not means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more likely than not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more likely than not recognition threshold considers the facts, circumstances, and information available at the reporting date and is subject to management’s judgment. The Company is no longer subject to tax examinations by tax authorities for years before 2014. As of June 30, 2017, the Company had no material uncertain tax positions. The Company recognizes interest and/or penalties related to income tax matters in income tax expense. Comprehensive Income (Loss) Comprehensive income (loss) consists of net income (loss) and other comprehensive income, net of applicable income taxes. Other comprehensive income includes unrealized appreciation (depreciation) on available-for-sale securities. Fair Value of Financial Instruments Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in a separate note. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of broad markets for particular items. Changes in assumptions or in market conditions could significantly affect these estimates. Loss Contingencies Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there are such matters that will have a material effect on the financial statements. Loan Commitments and Related Financial Instruments Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. Earnings Per Share Earnings per share is not meaningful for the year ended June 30, 2017 and not applicable to the year ended June 30, 2016, as the Company completed its conversion to stock form in January 2017. |
Securities
Securities | 12 Months Ended |
Jun. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Note 2: Securities The amortized cost and approximate fair values, together with gross unrealized gains and losses, of securities are as follows: Amortized Gross Gross Fair (In thousands) Available-for-sale Securities: June 30, 2017 Mortgage-backed securities of U.S. government sponsored entities – residential $ 5,595 $ 44 $ (26 ) $ 5,613 Collateralized mortgage obligations of government sponsored entities – residential 307 6 — 313 State and political subdivisions Taxable 1,393 8 (8 ) 1,393 Nontaxable 1,466 16 (3 ) 1,479 $ 8,761 $ 74 $ (37 ) $ 8,798 June 30, 2016 U.S. Government agency bonds $ 1,500 $ — $ (3 ) $ 1,497 Mortgage-backed securities of U.S. government sponsored 5,492 81 — 5,573 Collateralized mortgage obligations of government sponsored entities – residential 515 17 — 532 State and political subdivisions Taxable 1,425 20 (7 ) 1,438 Nontaxable 2,032 25 — 2,057 $ 10,964 $ 143 $ (10 ) $ 11,097 The amortized cost and fair value of available-for-sale securities at June 30, 2017, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. Amortized Fair (In thousands) Within one year $ — $ — One to five years 1,128 1,135 Five to ten years 292 293 Beyond ten years 1,439 1,444 2,859 2,872 Mortgage-backed securities of U.S. government sponsored entities – residential 5,595 5,613 Collateralized mortgage obligations of government sponsored entities – residential 307 313 Totals $ 8,761 $ 8,798 Proceeds from calls of investment securities totaled $2.3 million during the year ended June 30, 2017. The calls did not result in a realized gain or loss. Proceeds from sales of investment securities totaled $500,000 during the year ended June 30, 2016, resulting in no realized gain or loss. The Company has pledged certain of its investment securities with a carrying value of $2.6 million and $3.3 million at June 30, 2017 and 2016, respectively, and $885,000 and $110,000 of interest-earning time deposits at June 30, 2017 and 2016 respectively. The Company also had pledged $225,000 and $200,000 of interest-earning demand deposits at June 30, 2017 and 2016, respectively, primarily to secure public deposits. The Company’s other investment securities consists of $915,000 of stock in the FHLB and $25,000 of stock in the Company’s data service provider at both June 30, 2017 and 2016. The following table shows the Company’s investments’ gross unrealized losses and fair value of the Company’s investments with unrealized losses that are not deemed to be other-than-temporarily impaired, aggregated by investment class and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2017 and 2016: Less than 12 Months 12 Months or Longer Total Description of Securities Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) June 30, 2017 Available-for-sale Securities: Mortgage-backed securities of U.S. government sponsored entities – residential $ 2,161 $ (26 ) $ — $ — $ 2,161 $ (26 ) State and political subdivisions Taxable 256 (1 ) 258 (7 ) 514 (8 ) Nontaxable 383 (3 ) — — 383 (3 ) $ 2,800 $ (30 ) $ 258 $ (7 ) $ 3,058 $ (37 ) June 30, 2016 Available-for-sale Securities: U.S. Government agency bonds $ — $ — $ 997 $ (3 ) $ 997 $ (3 ) State and political subdivisions Taxable — — 263 (7 ) 263 (7 ) $ — $ — $ 1,260 $ (10 ) $ 1,260 $ (10 ) Other-than-temporary Impairment At June 30, 2017 and 2016, the decline in fair value of the Company’s investment securities is attributable to changes in interest rates and not credit quality. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the amortized cost bases of the investments. Because the Company does not have the intent to sell these securities and it is likely that it will not be required to sell the securities before recovery of their amortized cost bases, the Company does not consider these securities to be other-than-temporarily impaired at June 30, 2017 and 2016. |
Loans and Allowance for Loan Lo
Loans and Allowance for Loan Losses | 12 Months Ended |
Jun. 30, 2017 | |
Receivables [Abstract] | |
Loans and Allowance for Loan Losses | Note 3: Loans and Allowance for Loan Losses Loans at June 30, 2017 and 2016 include: 2017 2016 (In thousands) Real estate 1 – 4 family residential $ 23,600 $ 23,066 Home equity lines of credit 3,059 3,312 Commercial and multi-family 1,683 1,641 Consumer and other 3,611 4,863 Total loans 31,953 32,882 Allowance for loan losses (253 ) (253 ) Net loans $ 31,700 $ 32,629 The premium on loans purchased is included in the loan balances of consumer and other. The amounts of the premiums were $127,000 and $184,000 for the years ended June 30, 2017 and 2016, respectively. The risk characteristics applicable to each segment of the loan portfolio are described below: Residential Real Estate and Home Equity Lines of Credit Residential mortgage loans and home equity lines of credit are secured by one- to four-family residences and are comprised of owner-occupied and non-owner-occupied loans. Construction real estate loans (immaterial for the years presented) are usually based upon estimates of costs and estimated value of the completed project and include independent appraisal reviews and a financial analysis of the developers and property owners. Sources of repayment of these loans may include permanent loans, sales of developed property or an interim loan commitment from the Company until permanent financing is obtained. The Company generally establishes a maximum loan-to-value ratio and requires private mortgage insurance if that ratio is exceeded. Repayment of these loans is primarily dependent on the personal income of the borrowers, which can be impacted by economic conditions in their market areas, such as unemployment levels. Repayment can also be impacted by changes in property values or residential properties. Risk is mitigated by the fact that loans are of smaller individual amounts and spread over a large number of borrowers. Multi-family Residential Real Estate Multi-family real estate loans generally involve a greater degree of credit risk than one- to four-family residential mortgage loans and carry larger loan balances. This increased credit risk is a result of several factors, including the concentration of principal in a limited number of loans and borrowers, the effects of general economic conditions on income-producing properties, and the increased difficulty of evaluating and monitoring these types of loans. Furthermore, the repayment of loans secured by multi-family real estate is typically dependent upon the successful operation of the related real estate property. If the cash flow from the project is reduced, the borrower’s ability to repay the loan may be impaired. Commercial Real Estate Commercial real estate loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Commercial real estate lending typically involves higher loan principal amounts and the repayment of these loans is generally dependent on the successful operation of the property securing the loan or the business conducted on the property securing the loan. Commercial real estate loans may be more adversely affected by conditions in the real estate markets or in the general economy. The characteristics of properties securing the Company’s real estate portfolio are diverse, but with geographic location almost entirely in the Company’s market area. Management monitors and evaluates commercial real estate loans based on collateral, geography, and risk grade criteria. In general, the Company avoids financing single purpose projects unless other underwriting factors are present to help mitigate risk. Consumer Loans Consumer loans entail greater credit risk than residential mortgage loans, particularly in the case of consumer loans that are unsecured or secured by assets that depreciate rapidly, such as automobiles. In such cases, repossessed collateral for a defaulted consumer loan may not provide an adequate source of repayment for the outstanding loan and the remaining deficiency often does not warrant further substantial collection efforts against the borrower. In particular, amounts realizable on the sale of repossessed automobiles may be significantly reduced based upon the condition of the automobiles and the lack of demand for used automobiles. The following tables present by portfolio segment, the activity in the allowance for loan losses for the years ended June 30, 2017 and 2016, and the recorded investment in loans and impairment method as of June 30, 2017 and 2016: June 30, 2017 Real Estate 1 – 4 Family Residential Home Equity Lines of Credit Commercial and Multi-Family Consumer and Other Unallocated Total (In thousands) Allowance for loan losses: Balance, July 1, 2016 $ 161 $ 22 $ 10 $ 24 $ 36 $ 253 Provision for loan losses 1 (1 ) (2 ) (4 ) 6 — Charge-offs — — — — — — Recoveries — — — — — — Balance, June 30, 2017 $ 162 $ 21 $ 8 $ 20 $ 42 $ 253 Allowance for loan losses: Ending balance, individually evaluated for impairment $ 9 $ — $ — $ — $ — $ 9 Ending balance, collectively evaluated for impairment $ 153 $ 21 $ 8 $ 20 $ 42 $ 244 Loans: Ending balance $ 23,600 $ 3,059 $ 1,683 $ 3,611 $ 31,953 Ending balance; individually evaluated for impairment $ 411 $ 17 $ 13 $ 2 $ 443 Ending balance; collectively evaluated for impairment $ 23,189 $ 3,042 $ 1,670 $ 3,609 $ 31,510 June 30, 2016 Real Estate 1 – 4 Family Residential Home Equity Lines of Credit Commercial and Multi-Family Consumer and Other Unallocated Total (In thousands) Allowance for loan losses: Balance, July 1, 2015 $ 154 $ 21 $ 3 $ 8 $ 102 $ 288 Provision for loan losses 19 1 7 39 (66 ) — Charge-offs (13 ) — — (26 ) — (39 ) Recoveries 1 — — 3 — 4 Balance, June 30, 2016 $ 161 $ 22 $ 10 $ 24 $ 36 $ 253 Allowance for loan losses: Ending balance, individually evaluated for impairment $ 10 $ — $ — $ — $ — $ 10 Ending balance, collectively evaluated for impairment $ 151 $ 22 $ 10 $ 24 $ 36 $ 243 Loans: Ending balance $ 23,066 $ 3,312 $ 1,641 $ 4,863 $ 32,882 Ending balance; individually evaluated for impairment $ 406 $ 14 $ — $ — $ 420 Ending balance; collectively evaluated for impairment $ 22,660 $ 3,298 $ 1,641 $ 4,863 $ 32,462 Internal Risk Categories The Company has adopted a standard loan grading system for all loans. Loans are selected for a grading review based on certain characteristics, including concentrations of credit, subprime criteria, and upon delinquency of 90 days or more. Definitions are as follows: Pass: Special Mention: Substandard: Doubtful: Loss: The following table presents the credit risk profile of the Company’s loan portfolio based on internal rating category and payment activity as of June 30, 2017 and 2016: Real Estate 1 – 4 Family Residential Home Equity Lines of Credit Commercial and Multi-Family Consumer and Other Total (In thousands) June 30, 2017 Pass $ 22,824 $ 2,989 $ 1,670 $ 3,609 $ 31,092 Special mention — — — — — Substandard 776 70 13 2 861 Doubtful — — — — — Total $ 23,600 $ 3,059 $ 1,683 $ 3,611 $ 31,953 June 30, 2016 Pass $ 22,259 $ 3,238 $ 1,641 $ 4,863 $ 32,001 Special mention — — — — — Substandard 807 74 — — 881 Doubtful — — — — — Total $ 23,066 $ 3,312 $ 1,641 $ 4,863 $ 32,882 The Company evaluates the loan risk grading system definitions and allowance for loan losses methodology on an ongoing basis. No significant changes were made to either during the past year. The following table presents the Company’s loan portfolio aging analysis of the recorded investment in loans as of June 30, 2017 and 2016: 30 – 59 Days Past Due 60 – 89 Days Past Due Greater Than 90 Days Total Past Due Current Total Loans Receivable Total Loans > 90 Days & Accruing (In thousands) June 30, 2017 Real estate 1 – 4 family residential — $ 127 $ 65 $ 192 $ 23,408 $ 23,600 $ — Home equity lines of credit — 11 — 11 3,048 3,059 — Commercial and multi-family — — 13 13 1,670 1,683 — Consumer and other — — — — 3,611 3,611 — Total $ — $ 138 $ 78 $ 216 $ 31,737 $ 31,953 $ — June 30, 2016 Real estate 1 – 4 family residential $ 97 $ 97 $ 46 $ 240 $ 22,826 $ 23,066 $ — Home equity lines of credit — — — — 3,312 3,312 — Commercial and multi-family 15 — — 15 1,626 1,641 — Consumer and other — — — — 4,863 4,863 — Total $ 112 $ 97 $ 46 $ 255 $ 32,627 $ 32,882 $ — A loan is considered impaired, in accordance with the impairment accounting guidance (ASC 310-10-35-16), when based on current information and events, it is probable the Company will be unable to collect all amounts due from the borrower in accordance with the contractual terms of the loan. Impaired loans include nonperforming loans, but also include loans modified in troubled debt restructurings. The following table presents impaired loans as of and for the years ended June 30, 2017 and 2016: Recorded Investment Unpaid Principal Balance Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized (In thousands) June 30, 2017 Loans with no related allowance recorded: Real estate 1 – 4 family residential $ 319 $ 319 $ — $ 313 $ 1 Home equity lines of credit 17 17 — 19 — Commercial and multi-family 13 13 — 3 — Consumer and other 2 2 — — — Loans with an allowance recorded: Real estate 1 – 4 family residential 92 94 9 96 4 Home equity lines of credit — — — — — Commercial and multi-family — — — — — Consumer and other — — — — — Totals $ 443 $ 445 $ 9 $ 431 $ 5 June 30, 2016 Loans with no related allowance recorded: Real estate 1 – 4 family residential $ 306 $ 306 $ — $ 312 $ 12 Home equity lines of credit 14 14 — 16 1 Commercial and multi-family — — — — — Consumer and other — — — — — Loans with an allowance recorded: Real estate 1 – 4 family residential 100 102 10 102 — Home equity lines of credit — — — — — Commercial and multi-family — — — — — Consumer and other — — — — — Totals $ 420 $ 422 $ 10 $ 430 $ 13 The recorded investment in loans excludes accrued interest receivable and loan origination fees, net due to immateriality. For purposes of this disclosure, the unpaid principal balance is not reduced for partial charge-offs. Interest income recognized on a cash basis was not materially different than interest income recognized. The following table presents the Company’s nonaccrual loans at June 30, 2017 and 2016. The table excludes performing troubled debt restructurings. 2017 2016 (In thousands) Real estate 1 – 4 family residential $ 337 $ 310 Home equity lines of credit 17 14 Commercial and multi-family 13 — Consumer and other 2 — Total nonaccrual $ 369 $ 324 At June 30, 2017 and 2016, the Company had certain loans that were modified, in previous years, in troubled debt restructurings and impaired. The modification of terms of such loans included one or a combination of the following: an extension of maturity, a reduction of the stated interest rate, or a permanent reduction of the recorded investment in the loan. The Company had loans modified, in previous years, in a troubled debt restructuring totaling $85,000 and $92,000 at June 30, 2017 and 2016, respectively. Troubled debt restructured loans had specific allowances totaling $6,000 at June 30, 2017 and $7,000 at June 30, 2016. The Company had no commitments to lend additional funds on troubled debt restructured loans at June 30, 2017 and 2016. The Company did not modify or identify any loans as troubled debt restructurings during the years ended June 30, 2017 and 2016. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Jun. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Note 4: Premises and Equipment Major classifications of premises and equipment, stated at cost, are as follows: June 30, 2017 2016 (In thousands) Land $ 62 $ 62 Buildings and improvements 905 860 Furniture and equipment 336 389 1,303 1,311 Less accumulated depreciation 845 859 Net premises and equipment $ 458 $ 452 |
Foreclosed Assets
Foreclosed Assets | 12 Months Ended |
Jun. 30, 2017 | |
Repossessed Assets [Abstract] | |
Foreclosed Assets | Note 5: Foreclosed Assets Foreclosed assets activity for the years ended June 30, 2017 and 2016 was as follows: 2017 2016 (In thousands) Beginning balance $ 34 $ 74 Loans transferred to foreclosed assets — 29 Direct writedowns (2 ) (26 ) Basis of foreclosed assets sold (15 ) (43 ) Ending balance $ 17 $ 34 Expenses related to foreclosed assets for the years ended June 30, 2017 and 2016 include: Net gain on sales $ 29 $ 1 Provision for unrealized losses (2 ) (26 ) Operating expenses, net of rental income (12 ) (21 ) Expense from foreclosed assets, net $ 15 $ (46 ) The Company had a valuation allowance on foreclosed assets of $2,000 and $-0- at June 30, 2017 and 2016, respectively. |
Time Deposits
Time Deposits | 12 Months Ended |
Jun. 30, 2017 | |
Banking and Thrift [Abstract] | |
Time Deposits | Note 6: Time Deposits The Company had one time deposit of $250,000 or more at June 30, 2017, the balance of which was $504,000 and no time deposits in denominations of $250,000 or more at June 30, 2016. At June 30, 2017, the scheduled maturities of time deposits were as follows: June 30, 2017 (In thousands) One year or less $ 4,197 Over one year to two years 860 Over two years to three years 996 Over three years to four years 1,028 Over four years to five years 1,054 Thereafter — $ 8,135 Interest expense on deposits was as follows for the years ended June 30, 2017 and 2016: For the years ended 2017 2016 (In thousands) Interest-bearing demand $ 4 $ 5 Savings and money market 64 69 Time 57 60 $ 125 $ 134 |
Federal Home Loan Bank Advances
Federal Home Loan Bank Advances | 12 Months Ended |
Jun. 30, 2017 | |
Federal Home Loan Banks [Abstract] | |
Federal Home Loan Bank Advances | Note 7: Federal Home Loan Bank Advances Federal Home Loan Bank advances consisted of the following components at June 30, 2017 and 2016: June 30, Interest rate Stated Maturities 2017 2016 (In thousands) 0.45% – 1.20% One year or less $ 3,500 $ 2,750 0.57% – 4.12% Over one year to two years 1,000 3,500 4.12% Over two years to three years — 1,000 $ 4,500 $ 7,250 At June 30, 2017, the scheduled payments of advances were as follows: June 30, 2017 (In thousands) Payments due in years ending June 30, 2018 $ 3,500 2019 1,000 $ 4,500 The Company’s advances are at fixed and variable rates of interest. The advances are secured by a blanket pledge of the Company’s eligible mortgage loans, totaling $21.3 million at June 30, 2017, and the Company’s investment in FHLB stock. The advances are subject to restrictions or penalties in the event of prepayment. In addition, the Company has lines of credit arrangements with the FHLB, the Federal Reserve Bank, and Comerica Bank totaling $2.0 million, $745,000 and $300,000, respectively, at June 30, 2017, and $2.0 million, $774,000 and $300,000, respectively, at June 30, 2016. No borrowing was outstanding under these lines of credit at either June 30, 2017 or 2016. At June 30, 2017, the Company had the ability to borrow an additional $10.0 million of advances from the FHLB, including the $2.0 million line of credit. |
Income Taxes
Income Taxes | 12 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 8: Income Taxes Income tax expense (benefit) for the years ended June 30, 2017 and 2016 was as follows: Years Ended June 30, 2017 2016 (In thousands) Federal – current $ — $ — Federal – deferred (88 ) 207 Change in valuation allowance — (185 ) Total $ (88 ) $ 22 A reconciliation of the federal income tax expense (benefit) at the statutory rate to the Company’s actual income tax expense for the years ended June 30, 2017 and 2016 is shown below: Years Ended June 30, 2017 2016 (In thousands) Computed at statutory rate (34%) $ (75 ) $ 238 Increase (decrease) resulting from: Tax exempt interest (17 ) (29 ) Nondeductible expenses 2 2 Other 2 (4 ) Deferred tax asset valuation allowance — (185 ) Total income tax expense (benefit) $ (88 ) $ 22 Effective tax rate (39.6 )% 3.2 % The composition of the Company’s net deferred tax assets (liabilities) at June 30, 2017 and 2016 is as follows: June 30, 2017 2016 (In thousands) Deferred tax assets Allowance for loan losses $ 86 $ 86 Charitable contributions carryforward 6 4 Net operating loss carry forward 268 189 Total deferred tax assets 360 279 Deferred tax liabilities Federal Home Loan Bank stock dividends (209 ) (209 ) Book/tax depreciation differences (26 ) (30 ) Cash versus accrual basis of accounting (59 ) (62 ) Unrealized gains on available-for-sale securities (12 ) (45 ) Total deferred tax liabilities (306 ) (346 ) Net deferred tax assets (liabilities) before valuation allowance 54 (67 ) Valuation allowance Beginning balance — (185 ) (Increase) decrease — 185 Ending balance — — Net deferred tax assets (liabilities) $ 54 $ (67 ) The Company conducts a regular assessment of all available information when determining the amount of deferred tax assets that are more likely than not to be realized, and therefore recorded as a benefit. This information includes, but is not limited to, taxable income in prior periods, projected future income, and projected future reversals of deferred tax items. Based on these criteria, the Company determined that it was not necessary to maintain a valuation allowance against the deferred tax asset. The Company’s net operating loss, as of June 30, 2017, of approximately $787,000 will be carried forward to use against future taxable income. The net operating loss carryforwards begin to expire in the year ending 2034. In addition, the Company has charitable contribution carryovers of $19,000 that can be deducted against future taxable income. These carryover amounts begin to expire in the year ending 2020. Retained earnings at both June 30, 2017 and 2016, includes approximately $909,000 for which no deferred federal income tax liability has been recognized. This amount represents an allocation of income to bad debt deductions for tax purposes only. Reduction of amounts so allocated for purposes other than tax bad debt losses or adjustments arising from carryback of net operating losses would create income for tax purposes only, which would be subject to the then-current corporate income tax rate. The deferred income tax liability on the preceding amount that would have been recorded if it was expected to reverse into taxable income in the foreseeable future was approximately $309,000 at both June 30, 2017 and 2016. As of June 30, 2017 and 2016, the Company had no unrecognized tax benefits or accrued interest and penalties recorded. The Company does not expect the total amount of unrecognized tax benefits to significantly increase within the next twelve months. The Company will record interest and penalties as a component of income tax expense. The Company is subject to U.S. federal income tax and Ohio franchise tax. The Company is subject to tax in Ohio based on its net worth. The Company is no longer subject to examination by taxing authorities for fiscal years prior to 2014. |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Jun. 30, 2017 | |
Regulated Operations [Abstract] | |
Regulatory Matters | Note 9: Regulatory Matters The Bank is subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Furthermore, the Bank’s regulators could require adjustments to regulatory capital not reflected in these financial statements. Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios (set forth in the table below) of total capital, Tier I capital and common equity Tier 1 capital (as defined in the regulations) to risk-weighted assets (as defined), and of leverage capital to adjusted average total assets (as defined). Management believes, as of June 30, 2017 and 2016, that the Bank meets all capital adequacy requirements to which it is subject. Under Basel III, the Bank is required to maintain minimum amounts and ratios of common equity Tier 1 capital to risk-weighted assets, as defined in the regulation. Under the Basel III rules, in order to avoid limitations on capital distributions, including dividends, the Bank must hold a capital conservation buffer above the adequately capitalized common equity Tier 1 capital to risk-weighted assets ratio. The capital conservation buffer is being phased in from zero percent to 2.50 percent by 2019. Under Basel III, the Bank elected to opt-out of including accumulated other comprehensive income in regulatory capital. As of June 30, 2017 and 2016, the most recent notification categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Bank must maintain minimum total capital, Tier I capital, common equity Tier 1 capital and leverage capital ratios as set forth in the table. There are no conditions or events since that notification that management believes have changed the Bank’s category. The Company’s and the Bank’s actual capital amounts and ratios are presented in the following table: Actual For Capital To Be Well Capitalized Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of June 30, 2017 Total Capital (to Risk-Weighted Assets) Company $ 9,621 39.1 % $ 1,970 8.0 % N/A N/A Bank $ 8,560 34.8 % $ 1,970 8.0 % $ 2,463 10.0 % Tier I Capital (to Risk-Weighted Assets) Company $ 9,368 38.0 % $ 1,478 6.0 % N/A N/A Bank $ 8,307 33.7 % $ 1,478 6.0 % $ 1,970 8.0 % Common Equity Tier I Capital (to Risk-Weighted Assets) Company $ 9,368 38.0 % $ 1,108 4.5 % N/A N/A Bank $ 8,307 33.7 % $ 1,108 4.5 % $ 1,601 6.5 % Leverage Capital (to Adjusted Average Total Assets) Company $ 9,368 16.9 % $ 2,211 4.0 % N/A N/A Bank $ 8,307 15.0 % $ 2,211 4.0 % $ 2,764 5.0 % As of June 30, 2016 Total Capital (to Risk-Weighted Assets) Bank $ 6,820 27.7 % $ 1,969 8.0 % $ 2,462 10.0 % Tier I Capital (to Risk-Weighted Assets) Bank $ 6,567 26.7 % $ 1,477 6.0 % $ 1,969 8.0 % Common Equity Tier I Capital (to Risk-Weighted Assets) Bank $ 6,567 26.7 % $ 1,108 4.5 % $ 1,600 6.5 % Leverage Capital (to Adjusted Average Total Assets) Bank $ 6,567 11.9 % $ 2,205 4.0 % $ 2,756 5.0 % The Bank is subject to certain restrictions on the amounts of dividends that it may declare without prior regulatory approval. Generally, the Bank’s payment of dividends is limited to net income for the current year plus the two preceding calendar years, less capital distributions paid over the comparable time period. At June 30, 2017, $233,000 was available for dividend declaration by the Bank without prior regulatory approval as long as the equity capital is not reduced to a balance below the required liquidation account amount. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Jun. 30, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 10: Related Party Transactions At June 30, 2017 and 2016, the Company had loans outstanding to executive officers, directors and their affiliates (related parties), in the amount of approximately $27,000 and $31,000, respectively. During the year ended June 30, 2017, no loans were originated to related parties and principal repayments from related parties totaled $4,000. At June 30, 2017 and 2016, the Company had deposits from certain officers, directors and other related interests totaling approximately $427,000 and $584,000, respectively. |
Benefit Plans and Employment Ag
Benefit Plans and Employment Agreement | 12 Months Ended |
Jun. 30, 2017 | |
Retirement Benefits [Abstract] | |
Benefit Plans and Employment Agreement | Note 11: Benefit Plans and Employment Agreement Employment Agreement. The Bank entered into an employment agreement with the President and Chief Executive Officer, under which, upon consummation of the conversion, Community Savings Bancorp, Inc. acts as a guarantor. The employment agreement has an initial term of three years. Commencing as of January 1, 2018, and as of each subsequent January 1 thereafter, the board of directors may renew the agreement for an additional year so that the remaining term will again become three years. In addition to a base salary, the agreement provides for, among other things, participation in bonus programs and other benefit plans and arrangements applicable to executive and other employees. Additionally, the employment agreement provides for certain educational expenses incurred in an amount not to exceed $30,000. The Bank may terminate employment for cause at any time, in which event the Officer would have no right to receive compensation or other benefits for any period after his termination of employment. However, certain events resulting in the Officer’s termination or resignation entitle him to payments of severance benefits, such as a cash lump sum equal to the base salary and bonuses he would have earned for the remaining unexpired term of the employment agreement, as well as continual coverage of certain employee benefits for the remaining unexpired term of the employment agreement. The maximum potential amount of severance benefits that the Bank would be required to pay out in the event of the Officer’s termination or resignation cannot be determined at this time due to unknown factors related to future bonuses and employee benefits, however the minimum potential pay out based on the Officer’s base salary is estimated to be $360,000 at June 30, 2017. The Company has a 401(k) Profit Sharing Plan covering substantially all employees. Employees attain eligibility in the 401(k) plan upon completing one year of service and being 21 years of age or older. Employees may contribute up to 15% of their compensation. After a Plan amendment effective January 1, 2017, the Company matches 100% of the first 3% and 50% of the next 3% contributed by the employee, while the Company matched 50% of the first 6% contributed by the employee for the year ended June 30, 2016. Expense recognized in connection with the plan totaled approximately $11,000 and $8,000 for the years ended June 30, 2017 and 2016, respectively. The Company participates in the Pentegra Defined Benefit Plan for Financial Institutions Retirement Fund (the “Pentegra DB Plan”), a tax qualified multi-employer pension plan. The Pentegra DB Plan provides defined benefits to substantially all of the Company’s employees. The Pentegra DB Plan’s Employer Identification Number is 13-5645888 and the Plan number is 333. The Pentegra DB Plan operates a multi-employer plan under the Employee Retirement Income Security Act of 1974 and the Internal Revenue Code (“IRC”). There are no collective bargaining agreements in place which require contributions to the Pentegra DB Plan. The Pentegra DB Plan is a single plan under IRC Section 413 (c) and, as a result, all of the assets stand behind all of the liabilities. Accordingly, under the Pentegra DB Plan contributions, made by a participating employer may be used to provide benefits to participants of other participating employers. The funded status (fair value of the Pentegra DB Plan assets divided by the funding target) based on an actuarial valuation report was 93.8% and 97.5% as of June 30, 2017 and 2016, respectively. The Company’s contributions to the Pentegra DB Plan are not more than 5% of the total contributions to the Pentegra DB Plan. The Company recognized $103,000 and $60,000 in pension expense for the years ended June 30, 2017 and 2016, respectively. The Company made $119,000 and $68,000 in contributions to the Pentegra DB Plan for the years ended June 30, 2017 and 2016, respectively. The Bank intends to withdraw as a participant from the Pension Plan. The administrator of the Pension Plan has estimated that as of March 2016, the expense associated with withdrawal from the Pension Plan would be approximately $1.6 million. However, the actual cost could be significantly higher since the actual cost is primarily dependent on the value of the Pension Plan’s assets and interest rates at the time of termination. |
Employee Stock Ownership Plan (
Employee Stock Ownership Plan (ESOP) | 12 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Employee Stock Ownership Plan (ESOP) | Note 12: Employee Stock Ownership Plan (ESOP) As part of the Company’s stock conversion completed on January 10, 2017, 32,688 shares of common stock were purchased by the Community Savings Employee Stock Ownership Plan (ESOP) with a loan from Community Savings Bancorp, Inc., which will be repaid principally through Plan contributions and dividends payable on common stock held by the Plan over the anticipated 20-year term of the loan at the prime interest rate published in The Wall Street Journal adjusted the first day of each calendar year, 3.75% at June 30, 2017. All employees of the Bank who have attained age 21 and have completed one year of service are eligible to participate in the ESOP. A year of service is generally a twelve-month period in which an employee works at least 1,000 hours. The purchased shares have been placed in an unallocated suspense account, and will be released from the suspense account on a pro-rata basis as the loan is repaid. The released shares will be allocated among participants on the basis of each participant’s proportional share of compensation relative to all participants. A participant will become vested in his or her account balance at a rate of 20% per year over a 5-year period. No shares were allocated to ESOP plan participants during the year ended June 30, 2017. Under applicable accounting requirements, the Bank records a compensation expense for the ESOP at the fair market value of the shares as they are committed to be released from the unallocated suspense account to the participants’ accounts, which may be more or less than the original issue price. The compensation expense resulting from the release of the common stock from the suspense account and allocation to plan participants will result in a corresponding reduction in earnings of Company. ESOP expense for the year ending June 30, 2017 was $11,000. The stock price at the formation date was $10.00 per share. The aggregate fair value of the 32,688 unallocated shares was $458,000 based on the $14.00 per share closing price of our common stock on June 30, 2017. |
Commitments and Credit Risk
Commitments and Credit Risk | 12 Months Ended |
Jun. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Credit Risk | Note 13: Commitments and Credit Risk Commitments to Originate Loans Commitments to originate loans are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since a portion of the commitments may expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Each customer’s creditworthiness is evaluated on a case-by-case basis. The amount of collateral obtained, if deemed necessary, is based on management’s credit evaluation of the counterparty. Collateral held varies, but may include accounts receivable, inventory, property, plant and equipment, commercial real estate, and residential real estate. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit is represented by the contractual notional amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations, including receipt of collateral, as those utilized for on-balance sheet instruments. At June 30, 2017, the Company had outstanding commitments to originate loans aggregating approximately $104,000, comprised of fixed-rate loans with interest rates ranging from 3.63% to 8.85%. In addition, at June 30, 2017, the Company had commitments under undisbursed construction loans totaling $323,000 and commitments under home equity lines of credit totaling $2.0 million. At June 30, 2016, the Company had outstanding commitments to originate loans aggregating approximately $295,000, comprised of $187,000 of fixed-rate loans, with interest rates ranging from 3.38% to 3.75%, and $108,000 of variable-rate loans. In addition, at June 30, 2016, the Company had commitments under undisbursed construction loans totaling $576,000 and commitments under home equity lines of credit totaling $2.8 million. |
Disclosures about Fair Value of
Disclosures about Fair Value of Assets and Liabilities | 12 Months Ended |
Jun. 30, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Disclosures about Fair Value of Assets and Liabilities | Note 14: Disclosures about Fair Value of Assets and Liabilities Fair value is the exchange price that would be received to sell an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Fair value measurements must maximize the use of observable inputs and minimize the use of unobservable inputs. There is a hierarchy of three levels of inputs that may be used to measure fair value: Level 1 Level 2 Level 3 Recurring Measurements The following table presents the fair value measurement of assets recognized in the accompanying consolidated balance sheets measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at June 30, 2017 and 2016: Fair Value Measurement Using Fair Value Quoted Prices in Significant Other Significant (In thousands) June 30, 2017 Available-for-sale securities: Mortgage-backed securities of U.S. government sponsored entities – residential $ 5,613 $ — $ 5,613 $ — Collateralized mortgage obligations of government sponsored entities – residential 313 — 313 — State and political subdivisions Taxable 1,393 — 1,393 — Nontaxable 1,479 — 1,479 — $ 8,798 $ — $ 8,798 $ — June 30, 2016 Available-for-sale securities: U. S. Government agency bonds $ 1,497 $ — $ 1,497 $ — Mortgage-backed securities of U.S. government sponsored entities – residential 5,573 — 5,573 — Collateralized mortgage obligations of government sponsored entities – residential 532 — 532 — State and political subdivisions Taxable 1,438 — 1,438 — Nontaxable 2,057 — 2,057 — $ 11,097 $ — $ 11,097 $ — Following is a description of the valuation methodologies and inputs used for assets measured at fair value on a recurring basis and recognized in the accompanying consolidated balance sheets, as well as the general classification of such assets pursuant to the valuation hierarchy. There were no assets classified within Level 3 of the fair value hierarchy measured on a recurring basis. There were no transfers between Level 1 and Level 2 during the years ended June 30, 2017 and 2016. Available-for-sale Securities Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted prices are not available, then fair values are estimated by using quoted prices of securities with similar characteristics or independent asset pricing services and pricing models, the inputs of which are market-based or independently sourced market parameters, including, but not limited to, yield curves, interest rates, volatilities, prepayments, defaults, cumulative loss projections, and cash flow. Such securities are classified within Level 2 of the valuation hierarchy. Nonrecurring Measurements The following table presents fair value measurements of assets measured at fair value on a non-recurring basis and the level within the fair value hierarchy in which fair value measurements fall at June 30, 2017 and 2016: Fair Value Measurement Using Fair Value Quoted Prices in Significant Other Significant (In thousands) June 30, 2017 Impaired loans Real estate 1 – 4 family residential $ 83 $ — $ — $ 83 Foreclosed assets Residential real estate $ 17 $ — $ — $ 17 June 30, 2016 Impaired loans Real estate 1 – 4 family residential $ 90 $ — $ — $ 90 Following is a description of the valuation methodologies and inputs used for assets measured at fair value on a non-recurring basis and recognized in the accompanying consolidated balance sheets, as well as the general classification of such assets pursuant to the valuation hierarchy. For assets classified within Level 3 of the fair value hierarchy, the process used to develop the reported fair value is described below. Impaired Loans (Collateral Dependent) The fair value of impaired loans with specific allocations of the allowance for loan losses is generally based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the borrower and borrower’s business, resulting in a Level 3 fair value classification. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted accordingly. Foreclosed Assets Assets acquired through or instead of loan foreclosure are initially recorded at fair value less cost to sell when acquired, establishing a new cost basis. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. Fair value is commonly based on recent real estate appraisals which are updated to less frequently than annually. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. Real estate owned properties are evaluated on a quarterly basis for additional impairment and adjusted accordingly. Appraisals for both collateral-dependent impaired loans and real estate owned are performed by certified general appraisers (for commercial properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by the Company. Once received, a member of management reviews the assumptions and approaches utilized in the appraisal as well as the overall resulting fair value in comparison with independent data sources such as recent market data or industry-wide statistics. The Company has determined that a discount of 10% should be applied to the appraisal value, to cover estimated selling costs, to arrive at fair value of the properties. Unobservable (Level 3) Inputs The following table presents quantitative information about unobservable inputs used in nonrecurring Level 3 fair value measurements: Fair Value Valuation Technique Unobservable Inputs Range (In thousands) June 30, 2017 Impaired loans (collateral $83 Sales comparison Adjustment for differences 10% Foreclosed assets – residential $17 Sales comparison Adjustment for differences 10% June 30, 2016 Impaired loans (collateral $90 Sales comparison Adjustment for differences 10% Fair Value of Financial Instruments The following table presents the carrying amount and estimated fair values of the Company’s financial instruments not carried at fair value and the level within the fair value hierarchy in which the fair value measurements fall at June 30, 2017 and 2016. Fair Value Measurement Using Carrying Quoted Prices in Significant Significant Total (In thousands) June 30, 2017 Financial assets Cash and cash equivalents $ 8,699 $ 8,699 $ — $ — $ 8,699 Interest-earning time deposits 4,580 4,580 — — 4,580 Other investment securities 940 — — 940 940 Loans, net 31,700 — — 32,869 32,869 Accrued interest receivable 152 — 152 — 152 Financial liabilities Deposits 41,519 33,384 8,014 — 41,398 Federal Home Loan Bank advances 4,500 — 4,536 — 4,536 Payments by borrowers for taxes and insurance 88 — 88 — 88 June 30, 2016 Financial assets Cash and cash equivalents $ 3,184 $ 3,184 $ — $ — $ 3,184 Interest-earning time deposits 5,567 5,567 — — 5,567 Other investment securities 940 — — 940 940 Loans, net 32,629 — — 34,368 34,368 Accrued interest receivable 185 — 185 — 185 Financial liabilities Deposits 40,102 32,185 7,932 — 40,117 Federal Home Loan Bank advances 7,250 — 7,316 — 7,316 Payments by borrowers for taxes and insurance 82 — 82 — 82 The following methods were used to estimate the fair value of all other financial instruments recognized in the accompanying consolidated balance sheets at amounts other than fair value. Cash and Cash Equivalents The carrying amount of cash and short-term instruments approximate fair value and are classified as Level 1. Interest-earning Time Deposits The carrying amount of interest-earning time deposits approximate fair value and are classified as Level 1. Other Investment Securities Due to restrictions placed on their transferability, the FHLB and COCC stock are carried at cost, which approximates fair value based on redemption provisions resulting in a Level 3 classification. Loans Fair values of loans are estimated as follows: For variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values resulting in a Level 3 classification. Fair values for other loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality resulting in a Level 3 classification. Impaired loans are valued at the lower of cost or fair value of collateral as described previously. The methods utilized to estimate the fair value of loans do not necessarily represent an exit price. Accrued Interest Receivable and Payable The carrying amounts of accrued interest approximate fair value resulting in a Level 2 classification. Deposits The fair values disclosed for demand deposits (e.g., interest and non-interest checking, passbook savings, and certain types of money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amount) resulting in a Level 1 classification. The carrying amounts of variable rate, fixed-term money market accounts and certificates of deposit approximate their fair values at the reporting date resulting in a Level 2 classification. Fair values for fixed rate certificates of deposit are estimated using a discounted cash flows calculation that applies interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities on time deposits resulting in a Level 2 classification. Federal Home Loan Bank Advances The fair values of FHLB advances are estimated using discounted cash flow analyses based on the current borrowing rates for similar types of borrowing arrangements resulting in a Level 2 classification. Payments by Borrowers for Taxes and Insurance The fair value of escrow accounts is estimated to approximate the carrying amount resulting in a Level 2 classification. Off-Balance Sheet Instruments Fair values for off-balance sheet, credit-related financial instruments are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties’ credit standing. The fair value of commitments is not material. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Jun. 30, 2017 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Accumulated Other Comprehensive Income(Loss) | Note 15: Accumulated Other Comprehensive Income (Loss) Changes in accumulated other comprehensive income (loss) by component, net of tax, for the years ended June 30, 2017 and 2016, are as follows: Year Ended June 30, 2017 2016 (In thousands) Beginning balance $ 88 $ (110 ) Other comprehensive income (loss) before tax effect (96 ) 300 Tax effect 33 (102 ) Net current period other comprehensive income (loss) (63 ) 198 Ending balance $ 25 $ 88 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Jun. 30, 2017 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Note 16: Recent Accounting Pronouncements FASB ASU 2014-09, Revenue from Contracts with Customers In May 2014, the Financial Accounting Standards Board (“FASB”) issued amended guidance on revenue recognition from contracts with customers. The standard outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most contract revenue recognition guidance, including industry-specific guidance. The core principle of the amended guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Accounting Standards Update (“ASU”) No. 2015-14, Revenue from Contracts with Customers FASB ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities For public business entities, the amendments in this update are effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Early adoption of the amendments in this update is not permitted, except that early application by public business entities to financial statements of fiscal years or interim periods that have not yet been issued or, by all other entities, that have not yet been made available for issuance are permitted as of the beginning of the fiscal year of adoption for the following amendment: An entity should present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk if the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. An entity should apply the amendments to this update by means of a cumulative-effect adjustment to the balance sheet as of the beginning of the fiscal year of adoption. Management is currently evaluating the impact of adopting this guidance on the Company’s financial statements. FASB ASU 2016-02, Leases In February 2016, the FASB issued ASU 2016-02, Leases • A lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and • A right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. Certain targeted improvements were made to align, where necessary, lessor accounting with the lessee accounting model and Topic 606, Revenue from Contracts with Customers The new lease guidance simplified the accounting for sale and leaseback transactions primarily because lessees must recognize lease assets and lease liabilities. Lessees will no longer be provided with a source of off-balance sheet financing. Public business entities should apply the amendments in ASU 2016-02 for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years (i.e., January 1, 2019, for a calendar year entity). Early application is permitted for all public business entities upon issuance. Lessees (for capital and operating leases) and lessors (for sales-type, direct financing, and operating leases) must apply a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The modified retrospective approach would not require any transition accounting for leases that expired before the earliest comparative period presented. Lessees and lessors may not apply a full retrospective transition approach. Management is currently evaluating the impact of adopting this guidance on the Company’s financial statements. FASB ASU 2016-13, Financial Instruments — Credit Losses In June 2016, FASB issued ASU 2016-13, Financial Instruments — Credit Losses FASB ASU 2017-08, Receivables — Nonrefundable Fees and Other Costs In March 2017, the FASB issued ASU 2017-08, Receivables — Nonrefundable Fees and Other Costs Premium Amortization on Purchased Callable Debt Securities |
Change in Corporate Form
Change in Corporate Form | 12 Months Ended |
Jun. 30, 2017 | |
Change In Corporate Form [Abstract] | |
Change in Corporate Form | Note 17: Change in Corporate Form On August 25, 2016, the Board of Directors adopted a Plan of Conversion (the “Plan”) to convert from a federal mutual savings bank to a federal stock savings bank (the “Conversion”). A new Maryland-chartered corporation, Community Savings Bancorp, Inc. (the “Company”), was formed in August 2016, which, upon consummation of the Conversion and offering, became the savings and loan holding company of Community Savings (the “Bank”). The Plan was subject to approval of the members of the Bank, which approval was received at a Special Meeting of Members on December 21, 2016. Additionally, the Plan was subject to the final approval of the Office of the Comptroller of the Currency (“OCC”) and the formation of the Company as the holding company of the Bank, upon consummation of the Conversion, was subject to the approval of the Board of Governors of the Federal Reserve System (“FRB”). As part of the Conversion and offering, the Company filed a registration statement with the U.S. Securities and Exchange Commission. Upon receipt of the final approval of the OCC and the FRB and the consummation of the Conversion and offering, the Bank became the wholly owned subsidiary of the Company, and the Company issued and sold shares of its capital stock to eligible depositors and borrowers of the Bank and the public pursuant to an independent valuation appraisal of the Bank and the Company on a converted basis that has been conducted by an independent appraisal firm that is experienced in appraising financial institutions in connection with mutual to stock conversions. The Conversion was completed on January 10, 2017 and resulted in the issuance of 441,290 common shares by the Company. The cost of the Conversion and issuing the capital stock totaled $1.15 million and was deducted from the proceeds of the offering, resulting in net offering proceeds of $3.26 million. In accordance with OCC regulations, at the time of the Conversion, the Bank substantially restricted retained earnings by establishing a liquidation account. The liquidation account will be maintained for the benefit of eligible account holders who continue to maintain their accounts at the Bank after the Conversion. The liquidation account will be reduced annually to the extent that eligible account holders have reduced their qualifying deposits. Subsequent increases will not restore an eligible account holder’s interest in the liquidation account. In the event of a complete liquidation of the Bank, and only in such event, each eligible account holder will be entitled to receive a distribution from the liquidation account in an amount proportionate to the adjusted qualifying account balances then held. The Bank may not pay dividends if those dividends would reduce equity capital below the required liquidation account amount. |
Condensed Financial Information
Condensed Financial Information - Parent Company Only | 12 Months Ended |
Jun. 30, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Financial Information - Parent Company Only | Note 18: Condensed Financial Information — Parent Company Only The following are condensed parent company only financial statements for Community Savings Bancorp, Inc. Since the formation of Community Savings Bancorp, Inc. was completed on January 10, 2017, the financial information is as of June 30, 2017 and for the period January 10, 2017 to June 30, 2017. CONDENSED BALANCE SHEETS June 30, 2017 Assets Cash and due from banks (all from subsidiary) $ 735 Investment in subsidiary (equity basis) 8,331 Loan to subsidiary receivable 327 Total assets $ 9,393 Liabilities and shareholders’ equity Total liabilities $ — Total shareholders’ equity 9,393 Total liabilities and shareholders’ equity $ 9,393 CONDENSED STATEMENTS OF OPERATIONS For Period Total income $ — Total expenses $ — Income before income tax expense and equity in undistributed earnings of subsidiary — Income tax expense — Income before equity in undistributed earnings of subsidiary — Equity in undistributed earnings (loss) of subsidiary (134 ) Net income (loss) $ (134 ) CONDENSED STATEMENTS OF CASH FLOWS For Period Cash flows from operating activities Net income (loss) $ (134 ) Adjustments to reconcile net income (loss) to net cash from operating activities Equity in undistributed (earnings) loss of subsidiary 134 (Increase) decrease in loan to subsidiary receivable (327 ) Net cash flows used in operating activities (327 ) Cash flows from investing activities Investment in subsidiary (2,200 ) Net cash used in investing activities (2,200 ) Cash flows from financing activities Proceeds from sale of common stock 2,935 Proceeds from sale of common stock – ESOP 327 Net cash flows provided by financing activities 3,262 Net increase in cash and cash equivalents 735 Cash and cash equivalents at beginning of period — Cash and cash equivalents at end of period $ 735 |
Summary of Significant Accounti
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements as of and for the year ended June 30, 2017, include Community Savings Bancorp, Inc. and its wholly-owned subsidiary, Community Savings (the “Bank”), together referred to as the “Company.” Intercompany transactions and balances have been eliminated in consolidation. The financial statements as of and for the year ended June 30, 2016 represent the Bank only, as the conversion to stock form, including the formation of Community Savings Bancorp, Inc., was completed on January 10, 2017. References herein to the “Company” for periods prior to the completion of the stock conversion should be deemed to refer to the “Bank.” |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses, valuation of real estate acquired in connection with foreclosures or in satisfaction of loans, valuation of deferred tax assets, and fair values of financial instruments. |
Cash and Cash Equivalents | Cash and Cash Equivalents For purposes of reporting cash flows, cash and cash equivalents are defined as cash and due from banks and interest-earning demand deposits with original terms to maturity of less than ninety days. Net cash flows are reported for customer loan and deposit transactions and interest-earning time deposits in other financial institutions. From time to time, the Company’s interest-earning cash accounts may exceed the FDIC’s insured limit of $250,000. Management considers the risk of loss to be low based upon the quality of the institutions where the amounts are maintained. |
Interest-Earning Time Deposits in Other Financial Institutions | Interest-Earning Time Deposits in Other Financial Institutions Interest-earning time deposits in other financial institutions mature through fiscal year 2028 and are carried at cost. |
Securities | Securities Certain debt securities that management has the positive intent and ability to hold to maturity are classified as “held to maturity” and recorded at amortized cost. Securities not classified as held to maturity, including equity securities with readily determinable fair values, are classified as “available-for-sale” and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income, net of tax. Interest income includes amortization of purchase premium or discount. Premiums and discounts on securities are recognized in interest income using the level-yield method over the terms of the securities, without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific identification method. Management evaluates securities for other-than-temporary impairment (“OTTI”) on at least a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the statements of operations and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, when the Company does not expect the fair value of the security to fully recover, the security is deemed other-than-temporarily impaired. The Company recognizes an impairment loss when the impairment is deemed other than temporary even if a decision to sell has not been made. Other investment securities consist of stock in the Federal Home Loan Bank of Cincinnati (“FHLB”) and a required investment in the stock of the Company’s data processing service provider. FHLB stock is a required investment, based on a predetermined formula, for institutions that are members of the FHLB system. The investment in both common stocks is carried at cost, classified as restricted securities, and evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. |
Loans | Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at their outstanding principal balances adjusted for unamortized premiums on loans purchased and any unamortized deferred fees or costs on originated loans, less the allowance for loan losses. Interest income is accrued based on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and amortized as a level-yield adjustment over the respective term of the loan without anticipating prepayments. Premiums and discounts on the purchase of loans are recognized in interest income using the level-yield method over the terms of the loan without anticipating prepayments. For all loan classes, the accrual of interest is discontinued at the time the loan is 90 days past due unless the credit is well-secured and in process of collection. Past due status is based on contractual terms of the loan. For all loan classes, the entire balance of the loan is considered past due if the minimum payment contractually required to be paid is not received by the contractual due date. For all loan classes, loans are placed on nonaccrual or charged off at an earlier date if collection of principal or interest is considered doubtful. Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. For all loan classes, all interest accrued but not collected for loans that are placed on nonaccrual or charged off is reversed against interest income. The interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Company requires a period of satisfactory performance of not less than six months before returning a nonaccrual loan to accrual status. When cash interest payments are received on impaired loans in each loan class, the Company records the payment as interest income unless collection of the remaining recorded principal amount is doubtful, at which time payments are used to reduce the principal balance of the loan. |
Concentration of Credit Risk | Concentration of Credit Risk Most of the Company’s business activity is with customers located within Noble County, Ohio. Therefore, the Company’s exposure to credit risk is significantly affected by changes in the economy in the Noble County area. |
Allowance for Loan Losses | Allowance for Loan Losses The allowance for loan losses is a valuation allowance for probable incurred credit losses. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged off. The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans for which the terms have been modified resulting in a concession, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings and classified as impaired. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Commercial real estate loans are individually evaluated for impairment. If a loan is impaired, a portion of the allowance is allocated so that the loan is reported at the present value of estimated future cash flows using the loan’s existing rate or at the fair value of collateral if repayment is expected solely from the collateral. Large groups of smaller balance homogeneous loans, such as consumer and residential real estate loans, are collectively evaluated for impairment, and accordingly, they are not separately identified for impairment disclosures. Troubled debt restructurings are separately identified for impairment disclosures and are measured at the present value of estimated future cash flows using the loan’s effective rate at inception. If a troubled debt restructuring is considered to be a collateral dependent loan, the loan is reported at the fair value of the collateral. For troubled debt restructurings that subsequently default, the Company determines the amount of reserve in accordance with the accounting policy for the allowance for loan losses. The general component covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company over the most recent twelve quarters. All periods are evenly weighted within the twelve quarter loss history. The methodology used in calculation of loss factors is consistently applied to all loan segments. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. |
Transfers of Financial Assets | Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when the assets have been isolated from the Company, the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. |
Premises and Equipment | Premises and Equipment Land is carried at cost. Depreciable assets are stated at cost, less accumulated depreciation. Depreciation is charged to expense using the straight-line method over the estimated useful lives of the assets. The estimated useful lives of depreciable assets is 40 – 50 years for buildings, 7 – 20 years for building improvements, and 3 – 10 years for furniture, fixtures and equipment. Maintenance and repairs are expensed and major improvements are capitalized. |
Foreclosed Assets | Foreclosed Assets Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less cost to sell at the date of foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management primarily through an independent appraisal or valuation and the assets are carried at the lower of carrying amount or fair value less cost to sell. If fair value declines subsequent to foreclosure, a valuation allowance is recorded through expense. Operating costs after acquisition are expensed. |
Income Taxes | Income Taxes The Company accounts for income taxes in accordance with income tax accounting guidance (ASC 740, Income Taxes Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. Uncertain tax positions are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term more likely than not means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more likely than not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more likely than not recognition threshold considers the facts, circumstances, and information available at the reporting date and is subject to management’s judgment. The Company is no longer subject to tax examinations by tax authorities for years before 2014. As of June 30, 2017, the Company had no material uncertain tax positions. The Company recognizes interest and/or penalties related to income tax matters in income tax expense. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) Comprehensive income (loss) consists of net income (loss) and other comprehensive income, net of applicable income taxes. Other comprehensive income includes unrealized appreciation (depreciation) on available-for-sale securities. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in a separate note. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of broad markets for particular items. Changes in assumptions or in market conditions could significantly affect these estimates. |
Loss Contingencies | Loss Contingencies Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there are such matters that will have a material effect on the financial statements. |
Loan Commitments and Related Financial Instruments | Loan Commitments and Related Financial Instruments Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. |
Earnings Per Share | Earnings Per Share Earnings per share is not meaningful for the year ended June 30, 2017 and not applicable to the year ended June 30, 2016, as the Company completed its conversion to stock form in January 2017. |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost and approximate fair values, together with gross unrealized gains and losses | Amortized Gross Gross Fair (In thousands) Available-for-sale Securities: June 30, 2017 Mortgage-backed securities of U.S. government sponsored entities – residential $ 5,595 $ 44 $ (26 ) $ 5,613 Collateralized mortgage obligations of government sponsored entities – residential 307 6 — 313 State and political subdivisions Taxable 1,393 8 (8 ) 1,393 Nontaxable 1,466 16 (3 ) 1,479 $ 8,761 $ 74 $ (37 ) $ 8,798 June 30, 2016 U.S. Government agency bonds $ 1,500 $ — $ (3 ) $ 1,497 Mortgage-backed securities of U.S. government sponsored 5,492 81 — 5,573 Collateralized mortgage obligations of government sponsored entities – residential 515 17 — 532 State and political subdivisions Taxable 1,425 20 (7 ) 1,438 Nontaxable 2,032 25 — 2,057 $ 10,964 $ 143 $ (10 ) $ 11,097 |
Schedule of amortized cost and fair value of available-for-sale securities | Amortized Fair (In thousands) Within one year $ — $ — One to five years 1,128 1,135 Five to ten years 292 293 Beyond ten years 1,439 1,444 2,859 2,872 Mortgage-backed securities of U.S. government sponsored entities – residential 5,595 5,613 Collateralized mortgage obligations of government sponsored entities – residential 307 313 Totals $ 8,761 $ 8,798 |
Schedule of gross unrealized losses and fair value | Less than 12 Months 12 Months or Longer Total Description of Securities Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) June 30, 2017 Available-for-sale Securities: Mortgage-backed securities of U.S. government sponsored entities – residential $ 2,161 $ (26 ) $ — $ — $ 2,161 $ (26 ) State and political subdivisions Taxable 256 (1 ) 258 (7 ) 514 (8 ) Nontaxable 383 (3 ) — — 383 (3 ) $ 2,800 $ (30 ) $ 258 $ (7 ) $ 3,058 $ (37 ) June 30, 2016 Available-for-sale Securities: U.S. Government agency bonds $ — $ — $ 997 $ (3 ) $ 997 $ (3 ) State and political subdivisions Taxable — — 263 (7 ) 263 (7 ) $ — $ — $ 1,260 $ (10 ) $ 1,260 $ (10 ) |
Loans and Allowance for Loan 28
Loans and Allowance for Loan Losses (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Receivables [Abstract] | |
Schedule of loan components | 2017 2016 (In thousands) Real estate 1 – 4 family residential $ 23,600 $ 23,066 Home equity lines of credit 3,059 3,312 Commercial and multi-family 1,683 1,641 Consumer and other 3,611 4,863 Total loans 31,953 32,882 Allowance for loan losses (253 ) (253 ) Net loans $ 31,700 $ 32,629 |
Schedule of allowance for loan losses recorded investment in loans and impairment method | June 30, 2017 Real Estate 1 – 4 Family Home Equity Commercial and Consumer Unallocated Total (In thousands) Allowance for loan losses: Balance, July 1, 2016 $ 161 $ 22 $ 10 $ 24 $ 36 $ 253 Provision for loan losses 1 (1 ) (2 ) (4 ) 6 — Charge-offs — — — — — — Recoveries — — — — — — Balance, June 30, 2017 $ 162 $ 21 $ 8 $ 20 $ 42 $ 253 Allowance for loan losses: Ending balance, individually evaluated for impairment $ 9 $ — $ — $ — $ — $ 9 Ending balance, collectively evaluated for impairment $ 153 $ 21 $ 8 $ 20 $ 42 $ 244 Loans: Ending balance $ 23,600 $ 3,059 $ 1,683 $ 3,611 $ 31,953 Ending balance; individually evaluated for impairment $ 411 $ 17 $ 13 $ 2 $ 443 Ending balance; collectively evaluated for impairment $ 23,189 $ 3,042 $ 1,670 $ 3,609 $ 31,510 June 30, 2016 Real Estate 1 – 4 Family Home Equity Commercial and Consumer Unallocated Total (In thousands) Allowance for loan losses: Balance, July 1, 2015 $ 154 $ 21 $ 3 $ 8 $ 102 $ 288 Provision for loan losses 19 1 7 39 (66 ) — Charge-offs (13 ) — — (26 ) — (39 ) Recoveries 1 — — 3 — 4 Balance, June 30, 2016 $ 161 $ 22 $ 10 $ 24 $ 36 $ 253 Allowance for loan losses: Ending balance, individually evaluated for impairment $ 10 $ — $ — $ — $ — $ 10 Ending balance, collectively evaluated for impairment $ 151 $ 22 $ 10 $ 24 $ 36 $ 243 Loans: Ending balance $ 23,066 $ 3,312 $ 1,641 $ 4,863 $ 32,882 Ending balance; individually evaluated for impairment $ 406 $ 14 $ — $ — $ 420 Ending balance; collectively evaluated for impairment $ 22,660 $ 3,298 $ 1,641 $ 4,863 $ 32,462 |
Schedule of credit risk profile based on internal rating category | Real Estate 1 – 4 Family Home Equity Commercial and Consumer Total (In thousands) June 30, 2017 Pass $ 22,824 $ 2,989 $ 1,670 $ 3,609 $ 31,092 Special mention — — — — — Substandard 776 70 13 2 861 Doubtful — — — — — Total $ 23,600 $ 3,059 $ 1,683 $ 3,611 $ 31,953 June 30, 2016 Pass $ 22,259 $ 3,238 $ 1,641 $ 4,863 $ 32,001 Special mention — — — — — Substandard 807 74 — — 881 Doubtful — — — — — Total $ 23,066 $ 3,312 $ 1,641 $ 4,863 $ 32,882 |
Schedule of loan portfolio aging analysis of the recorded investment in loans | 30 – 59 60 – 89 Greater Total Current Total Loans Total Loans > (In thousands) June 30, 2017 Real estate 1 – 4 family residential — $ 127 $ 65 $ 192 $ 23,408 $ 23,600 $ — Home equity lines of credit — 11 — 11 3,048 3,059 — Commercial and multi-family — — 13 13 1,670 1,683 — Consumer and other — — — — 3,611 3,611 — Total $ — $ 138 $ 78 $ 216 $ 31,737 $ 31,953 $ — June 30, 2016 Real estate 1 – 4 family residential $ 97 $ 97 $ 46 $ 240 $ 22,826 $ 23,066 $ — Home equity lines of credit — — — — 3,312 3,312 — Commercial and multi-family 15 — — 15 1,626 1,641 — Consumer and other — — — — 4,863 4,863 — Total $ 112 $ 97 $ 46 $ 255 $ 32,627 $ 32,882 $ — |
Schedule of impaired loan information | Recorded Unpaid Allowance Average Interest (In thousands) June 30, 2017 Loans with no related allowance recorded: Real estate 1 – 4 family residential $ 319 $ 319 $ — $ 313 $ 1 Home equity lines of credit 17 17 — 19 — Commercial and multi-family 13 13 — 3 — Consumer and other 2 2 — — — Loans with an allowance recorded: Real estate 1 – 4 family residential 92 94 9 96 4 Home equity lines of credit — — — — Commercial and multi-family — — — — — Consumer and other — — — — — Totals $ 443 $ 445 $ 9 $ 431 $ 5 June 30, 2016 Loans with no related allowance recorded: Real estate 1 – 4 family residential $ 306 $ 306 $ — $ 312 $ 12 Home equity lines of credit 14 14 — 16 1 Commercial and multi-family — — — — — Consumer and other — — — — — Loans with an allowance recorded: Real estate 1 – 4 family residential 100 102 10 102 — Home equity lines of credit — — — — — Commercial and multi-family — — — — — Consumer and other — — — — — Totals $ 420 $ 422 $ 10 $ 430 $ 13 |
Schedule of nonaccrual loans | 2017 2016 (In thousands) Real estate 1 – 4 family residential $ 337 $ 310 Home equity lines of credit 17 14 Commercial and multi-family 13 — Consumer and other 2 — Total nonaccrual $ 369 $ 324 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Schedule of major classifications of premises and equipment | June 30, 2017 2016 (In thousands) Land $ 62 $ 62 Buildings and improvements 905 860 Furniture and equipment 336 389 1,303 1,311 Less accumulated depreciation 845 859 Net premises and equipment $ 458 $ 452 |
Foreclosed Assets (Tables)
Foreclosed Assets (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Repossessed Assets [Abstract] | |
Schedule of foreclosed assets | 2017 2016 (In thousands) Beginning balance $ 34 $ 74 Loans transferred to foreclosed assets — 29 Direct writedowns (2 ) (26 ) Basis of foreclosed assets sold (15 ) (43 ) Ending balance $ 17 $ 34 Expenses related to foreclosed assets for the years ended June 30, 2017 and 2016 include: Net gain on sales $ 29 $ 1 Provision for unrealized losses (2 ) (26 ) Operating expenses, net of rental income (12 ) (21 ) Expense from foreclosed assets, net $ 15 $ (46 ) |
Time Deposits (Tables)
Time Deposits (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Banking and Thrift [Abstract] | |
Scheduled of maturities of time deposits | June 30, 2017 (In thousands) One year or less $ 4,197 Over one year to two years 860 Over two years to three years 996 Over three years to four years 1,028 Over four years to five years 1,054 Thereafter — $ 8,135 |
Schedule of Interest expense on deposits. | For the years ended 2017 2016 (In thousands) Interest-bearing demand $ 4 $ 5 Savings and money market 64 69 Time 57 60 $ 125 $ 134 |
Federal Home Loan Bank Advanc32
Federal Home Loan Bank Advances (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Federal Home Loan Banks [Abstract] | |
Schedule of Federal home loan Bank advances | June 30, Interest rate Stated Maturities 2017 2016 (In thousands) 0.45% – 1.20% One year or less $ 3,500 $ 2,750 0.57% – 4.12% Over one year to two years 1,000 3,500 4.12% Over two years to three years — 1,000 $ 4,500 $ 7,250 |
Scheduled payments of advances | June 30, 2017 (In thousands) Payments due in years ending June 30, 2018 $ 3,500 2019 1,000 $ 4,500 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income tax expense (benefit) | Years Ended June 30, 2017 2016 (In thousands) Federal – current $ — $ — Federal – deferred (88 ) 207 Change in valuation allowance — (185 ) Total $ (88 ) $ 22 |
Schedule of reconciliation of the federal income tax expense (benefit) | Years Ended June 30, 2017 2016 (In thousands) Computed at statutory rate (34%) $ (75 ) $ 238 Increase (decrease) resulting from: Tax exempt interest (17 ) (29 ) Nondeductible expenses 2 2 Other 2 (4 ) Deferred tax asset valuation allowance — (185 ) Total income tax expense (benefit) $ (88 ) $ 22 Effective tax rate (39.6 )% 3.2 % |
Schedule of Deferred Tax Assets and Liabilities | June 30, 2017 2016 (In thousands) Deferred tax assets Allowance for loan losses $ 86 $ 86 Charitable contributions carryforward 6 4 Net operating loss carry forward 268 189 Total deferred tax assets 360 279 Deferred tax liabilities Federal Home Loan Bank stock dividends (209 ) (209 ) Book/tax depreciation differences (26 ) (30 ) Cash versus accrual basis of accounting (59 ) (62 ) Unrealized gains on available-for-sale securities (12 ) (45 ) Total deferred tax liabilities (306 ) (346 ) Net deferred tax assets (liabilities) before valuation allowance 54 (67 ) Valuation allowance Beginning balance — (185 ) (Increase) decrease — 185 Ending balance — — Net deferred tax assets (liabilities) $ 54 $ (67 ) |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Regulated Operations [Abstract] | |
Schedule of regulatory matters | Actual For Capital To Be Well Capitalized Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of June 30, 2017 Total Capital (to Risk-Weighted Assets) Company $ 9,621 39.1 % $ 1,970 8.0 % N/A N/A Bank $ 8,560 34.8 % $ 1,970 8.0 % $ 2,463 10.0 % Tier I Capital (to Risk-Weighted Assets) Company $ 9,368 38.0 % $ 1,478 6.0 % N/A N/A Bank $ 8,307 33.7 % $ 1,478 6.0 % $ 1,970 8.0 % Common Equity Tier I Capital (to Risk-Weighted Assets) Company $ 9,368 38.0 % $ 1,108 4.5 % N/A N/A Bank $ 8,307 33.7 % $ 1,108 4.5 % $ 1,601 6.5 % Leverage Capital (to Adjusted Average Total Assets) Company $ 9,368 16.9 % $ 2,211 4.0 % N/A N/A Bank $ 8,307 15.0 % $ 2,211 4.0 % $ 2,764 5.0 % As of June 30, 2016 Total Capital (to Risk-Weighted Assets) Bank $ 6,820 27.7 % $ 1,969 8.0 % $ 2,462 10.0 % Tier I Capital (to Risk-Weighted Assets) Bank $ 6,567 26.7 % $ 1,477 6.0 % $ 1,969 8.0 % Common Equity Tier I Capital (to Risk-Weighted Assets) Bank $ 6,567 26.7 % $ 1,108 4.5 % $ 1,600 6.5 % Leverage Capital (to Adjusted Average Total Assets) Bank $ 6,567 11.9 % $ 2,205 4.0 % $ 2,756 5.0 % |
Disclosures about Fair Value 35
Disclosures about Fair Value of Assets and Liabilities (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of fair value on a recurring basis | Fair Value Measurement Using Fair Value Quoted Prices in Significant Other Significant (In thousands) June 30, 2017 Available-for-sale securities: Mortgage-backed securities of U.S. government sponsored entities – residential $ 5,613 $ — $ 5,613 $ — Collateralized mortgage obligations of government sponsored entities – residential 313 — 313 — State and political subdivisions Taxable 1,393 — 1,393 — Nontaxable 1,479 — 1,479 — $ 8,798 $ — $ 8,798 $ — June 30, 2016 Available-for-sale securities: U. S. Government agency bonds $ 1,497 $ — $ 1,497 $ — Mortgage-backed securities of U.S. government sponsored entities – residential 5,573 — 5,573 — Collateralized mortgage obligations of government sponsored entities – residential 532 — 532 — State and political subdivisions Taxable 1,438 — 1,438 — Nontaxable 2,057 — 2,057 — $ 11,097 $ — $ 11,097 $ — |
Schedule of fair value on a non-recurring | Fair Value Measurement Using Fair Value Quoted Prices in Significant Other Significant (In thousands) June 30, 2017 Impaired loans Real estate 1 – 4 family residential $ 83 $ — $ — $ 83 Foreclosed assets Residential real estate $ 17 $ — $ — $ 17 June 30, 2016 Impaired loans Real estate 1 – 4 family residential $ 90 $ — $ — $ 90 |
Schedule of quantitative information about unobservable inputs used in nonrecurring Level 3 | Fair Value Valuation Technique Unobservable Inputs Range (In thousands) June 30, 2017 Impaired loans (collateral $83 Sales comparison Adjustment for differences 10% Foreclosed assets – residential $17 Sales comparison Adjustment for differences 10% June 30, 2016 Impaired loans (collateral $90 Sales comparison Adjustment for differences 10% |
Schedule of fair value and the level within the fair value hierarchy in which the fair value measurement | Fair Value Measurement Using Carrying Quoted Prices in Significant Significant Total (In thousands) June 30, 2017 Financial assets Cash and cash equivalents $ 8,699 $ 8,699 $ — $ — $ 8,699 Interest-earning time deposits 4,580 4,580 — — 4,580 Other investment securities 940 — — 940 940 Loans, net 31,700 — — 32,869 32,869 Accrued interest receivable 152 — 152 — 152 Financial liabilities Deposits 41,519 33,384 8,014 — 41,398 Federal Home Loan Bank advances 4,500 — 4,536 — 4,536 Payments by borrowers for taxes and insurance 88 — 88 — 88 June 30, 2016 Financial assets Cash and cash equivalents $ 3,184 $ 3,184 $ — $ — $ 3,184 Interest-earning time deposits 5,567 5,567 — — 5,567 Other investment securities 940 — — 940 940 Loans, net 32,629 — — 34,368 34,368 Accrued interest receivable 185 — 185 — 185 Financial liabilities Deposits 40,102 32,185 7,932 — 40,117 Federal Home Loan Bank advances 7,250 — 7,316 — 7,316 Payments by borrowers for taxes and insurance 82 — 82 — 82 |
Accumulated Other Comprehensi36
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Schedule of changes in accumulated other comprehensive income (loss) by component, net of tax | Year Ended June 30, 2017 2016 (In thousands) Beginning balance $ 88 $ (110 ) Other comprehensive income (loss) before tax effect (96 ) 300 Tax effect 33 (102 ) Net current period other comprehensive income (loss) (63 ) 198 Ending balance $ 25 $ 88 |
Condensed Financial Informati37
Condensed Financial Information - Parent Company Only (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Schedule of Condensed balance sheets | CONDENSED BALANCE SHEETS June 30, 2017 Assets Cash and due from banks (all from subsidiary) $ 735 Investment in subsidiary (equity basis) 8,331 Loan to subsidiary receivable 327 Total assets $ 9,393 Liabilities and shareholders’ equity Total liabilities $ — Total shareholders’ equity 9,393 Total liabilities and shareholders’ equity $ 9,393 |
Schedule of Condensed statements of operations | CONDENSED STATEMENTS OF OPERATIONS (In thousands) For Period January 10 to June 30, 2017 Total income $ — Total expenses $ — Income before income tax expense and equity in undistributed earnings of subsidiary — Income tax expense — Income before equity in undistributed earnings of subsidiary — Equity in undistributed earnings (loss) of subsidiary (134 ) Net income (loss) $ (134 ) |
Schedule of Condensed statements of cash flows | CONDENSED STATEMENTS OF CASH FLOWS For Period Cash flows from operating activities Net income (loss) $ (134 ) Adjustments to reconcile net income (loss) to net cash from operating activities Equity in undistributed (earnings) loss of subsidiary 134 (Increase) decrease in loan to subsidiary receivable (327 ) Net cash flows used in operating activities (327 ) Cash flows from investing activities Investment in subsidiary (2,200 ) Net cash used in investing activities (2,200 ) Cash flows from financing activities Proceeds from sale of common stock 2,935 Proceeds from sale of common stock – ESOP 327 Net cash flows provided by financing activities 3,262 Net increase in cash and cash equivalents 735 Cash and cash equivalents at beginning of period — Cash and cash equivalents at end of period $ 735 |
Nature of Operations and Summ38
Nature of Operations and Summary of Significant Accounting Policies (Detail Textuals) | Jan. 10, 2017$ / sharesshares | Jul. 31, 2015USD ($)Office | Jun. 30, 2017USD ($) |
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Number of shares issued during mutual-to-stock conversion | shares | 441,290 | ||
Offering price per share (in dollars per share) | $ / shares | $ 10 | ||
Number of branch office | Office | 2 | ||
Proceeds from sale of assets | $ 1,700,000 | ||
Proceeds from sale of deposits | 15,100,000 | ||
Realized gain on sale | $ 810,000 | ||
FDIC's insured limit | $ 250,000 | ||
Building | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 40 - 50 years | ||
Building improvements | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 7 - 20 years | ||
Furniture, fixtures and equipment | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 3 - 10 years |
Securities - Summary of amortiz
Securities - Summary of amortized cost and fair values with gross unrealized gains and losses of securities (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Available for sale: | ||
Amortized Cost | $ 8,761 | $ 10,964 |
Gross Unrealized Gains | 74 | 143 |
Gross Unrealized Losses | (37) | (10) |
Fair Value | 8,798 | 11,097 |
U. S. Government agency bonds | ||
Available for sale: | ||
Amortized Cost | 1,500 | |
Gross Unrealized Losses | (3) | |
Fair Value | 1,497 | |
Mortgage-backed securities of U.S. government sponsored entities - residential | ||
Available for sale: | ||
Amortized Cost | 5,595 | 5,492 |
Gross Unrealized Gains | 44 | 81 |
Gross Unrealized Losses | (26) | |
Fair Value | 5,613 | 5,573 |
Collateralized mortgage obligations of government sponsored entities - residential | ||
Available for sale: | ||
Amortized Cost | 307 | 515 |
Gross Unrealized Gains | 6 | 17 |
Fair Value | 313 | 532 |
State and political subdivisions Taxable | ||
Available for sale: | ||
Amortized Cost | 1,393 | 1,425 |
Gross Unrealized Gains | 8 | 20 |
Gross Unrealized Losses | (8) | (7) |
Fair Value | 1,393 | 1,438 |
State and political subdivisions Nontaxable | ||
Available for sale: | ||
Amortized Cost | 1,466 | 2,032 |
Gross Unrealized Gains | 16 | 25 |
Gross Unrealized Losses | (3) | |
Fair Value | $ 1,479 | $ 2,057 |
Securities - Summary of amort40
Securities - Summary of amortized cost and fair value of available-for-sale securities (Details 1) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Amortized Cost, Available for sale: | ||
Within one year | $ 0 | |
One to five years | 1,128 | |
Five to ten years | 292 | |
Beyond ten years | 1,439 | |
Available for sale securities, Amortized Cost | 2,859 | |
Total Amortized Cost | 8,761 | $ 10,964 |
Fair Value, Available for sale: | ||
Within one year | 0 | |
One to five years | 1,135 | |
Five to ten years | 293 | |
Beyond ten years | 1,444 | |
Available for sale securities, Fair Value | 2,872 | |
Total Fair Value | 8,798 | 11,097 |
Mortgage-backed securities of U.S. government sponsored entities - residential | ||
Amortized Cost, Available for sale: | ||
Total Amortized Cost | 5,595 | 5,492 |
Fair Value, Available for sale: | ||
Total Fair Value | 5,613 | 5,573 |
Collateralized mortgage obligations of government sponsored entities - residential | ||
Amortized Cost, Available for sale: | ||
Total Amortized Cost | 307 | 515 |
Fair Value, Available for sale: | ||
Total Fair Value | $ 313 | $ 532 |
Securities - Summary of investm
Securities - Summary of investments' gross unrealized losses and fair value (Details 2) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Available for sale: | ||
Less than 12 Months Fair Value | $ 2,800 | |
Less than 12 Months Unrealized Losses | (30) | |
12 Months or Longer Fair Value | 258 | $ 1,260 |
12 Months or Longer Unrealized Losses | (7) | (10) |
Total Fair Value | 3,058 | 1,260 |
Total Unrealized Losses | (37) | (10) |
U. S. Government agency bonds | ||
Available for sale: | ||
12 Months or Longer Fair Value | 997 | |
12 Months or Longer Unrealized Losses | (3) | |
Total Fair Value | 997 | |
Total Unrealized Losses | (3) | |
Mortgage-backed securities of U.S. government sponsored entities - residential | ||
Available for sale: | ||
Less than 12 Months Fair Value | 2,161 | |
Less than 12 Months Unrealized Losses | (26) | |
Total Fair Value | 2,161 | |
Total Unrealized Losses | (26) | |
State and political subdivisions Taxable | ||
Available for sale: | ||
Less than 12 Months Fair Value | 256 | |
Less than 12 Months Unrealized Losses | (1) | |
12 Months or Longer Fair Value | 258 | 263 |
12 Months or Longer Unrealized Losses | (7) | (7) |
Total Fair Value | 514 | 263 |
Total Unrealized Losses | (8) | $ (7) |
State and political subdivisions Nontaxable | ||
Available for sale: | ||
Less than 12 Months Fair Value | 383 | |
Less than 12 Months Unrealized Losses | (3) | |
Total Fair Value | 383 | |
Total Unrealized Losses | $ (3) |
Securities (Detail Textuals)
Securities (Detail Textuals) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Gross proceeds from calls of investment securities | $ 2,300,000 | |
Gross proceeds from investment securities | $ 500,000 | |
Carrying value of pledged securities | 2,600,000 | 3,300,000 |
Amount of interest earned through time deposit | 885,000 | 110,000 |
Amount of interest earned through demand deposit | 225,000 | 200,000 |
Federal Home Loan Bank | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amount of other investment security in stock | 915,000 | 915,000 |
Data Service Provider | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amount of other investment security in stock | $ 25,000 | $ 25,000 |
Loans and Allowance for Loan 43
Loans and Allowance for Loan Losses - Summary of loan receivables (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 |
Loans and Leases Receivable Disclosure [Line Items] | |||
Total loans | $ 31,953 | $ 32,882 | |
Allowance for loan losses | (253) | (253) | $ (288) |
Loans, net | 31,700 | 32,629 | |
Real estate | 1-4 family residential | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Total loans | 23,600 | 23,066 | |
Allowance for loan losses | (162) | (161) | (154) |
Real estate | Home equity lines of credit | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Total loans | 3,059 | 3,312 | |
Allowance for loan losses | (21) | (22) | (21) |
Real estate | Commercial and multi-family | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Total loans | 1,683 | 1,641 | |
Allowance for loan losses | (8) | (10) | (3) |
Consumer and other | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Total loans | 3,611 | 4,863 | |
Allowance for loan losses | $ (20) | $ (24) | $ (8) |
Loans and Allowance for Loan 44
Loans and Allowance for Loan Losses - Summary of allowance for loan losses by portfolio segment with recorded investment in loans and impairment method (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Allowance for loan losses: | ||
Balance | $ 253 | $ 288 |
Charge-offs | (39) | |
Recoveries | 4 | |
Balance | 253 | 253 |
Allowance for loan losses: | ||
Ending balance, individually evaluated for impairment | 9 | 10 |
Ending balance, collectively evaluated for impairment | 244 | 243 |
Loans: | ||
Ending balance | 31,953 | 32,882 |
Ending balance; individually evaluated for impairment | 443 | 420 |
Ending balance; collectively evaluated for impairment | 31,510 | 32,462 |
Real Estate | 1-4 Family Residential | ||
Allowance for loan losses: | ||
Balance | 161 | 154 |
Provision for loan losses | 1 | 19 |
Charge-offs | (13) | |
Recoveries | 1 | |
Balance | 162 | 161 |
Allowance for loan losses: | ||
Ending balance, individually evaluated for impairment | 9 | 10 |
Ending balance, collectively evaluated for impairment | 153 | 151 |
Loans: | ||
Ending balance | 23,600 | 23,066 |
Ending balance; individually evaluated for impairment | 411 | 406 |
Ending balance; collectively evaluated for impairment | 23,189 | 22,660 |
Real Estate | Home Equity Lines of Credit | ||
Allowance for loan losses: | ||
Balance | 22 | 21 |
Provision for loan losses | (1) | 1 |
Balance | 21 | 22 |
Allowance for loan losses: | ||
Ending balance, collectively evaluated for impairment | 21 | 22 |
Loans: | ||
Ending balance | 3,059 | 3,312 |
Ending balance; individually evaluated for impairment | 17 | 14 |
Ending balance; collectively evaluated for impairment | 3,042 | 3,298 |
Real Estate | Commercial and Multi-Family | ||
Allowance for loan losses: | ||
Balance | 10 | 3 |
Provision for loan losses | (2) | 7 |
Balance | 8 | 10 |
Allowance for loan losses: | ||
Ending balance, collectively evaluated for impairment | 8 | 10 |
Loans: | ||
Ending balance | 1,683 | 1,641 |
Ending balance; individually evaluated for impairment | 13 | |
Ending balance; collectively evaluated for impairment | 1,670 | 1,641 |
Consumer and Other | ||
Allowance for loan losses: | ||
Balance | 24 | 8 |
Provision for loan losses | (4) | 39 |
Charge-offs | (26) | |
Recoveries | 3 | |
Balance | 20 | 24 |
Allowance for loan losses: | ||
Ending balance, collectively evaluated for impairment | 20 | 24 |
Loans: | ||
Ending balance | 3,611 | 4,863 |
Ending balance; individually evaluated for impairment | 2 | |
Ending balance; collectively evaluated for impairment | 3,609 | 4,863 |
Unallocated | ||
Allowance for loan losses: | ||
Balance | 36 | 102 |
Provision for loan losses | 6 | (66) |
Balance | 42 | 36 |
Allowance for loan losses: | ||
Ending balance, collectively evaluated for impairment | $ 42 | $ 36 |
Loans and Allowance for Loan 45
Loans and Allowance for Loan Losses - Summary of credit risk profile of loan portfolio based on internal rating category and payment activity(Details 2) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total | $ 31,953 | $ 32,882 |
Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 31,092 | 32,001 |
Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 861 | 881 |
Real Estate | 1-4 family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 23,600 | 23,066 |
Real Estate | 1-4 family residential | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 22,824 | 22,259 |
Real Estate | 1-4 family residential | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 776 | 807 |
Real Estate | Home Equity Lines of Credit | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 3,059 | 3,312 |
Real Estate | Home Equity Lines of Credit | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 2,989 | 3,238 |
Real Estate | Home Equity Lines of Credit | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 70 | 74 |
Real Estate | Commercial and Multi-Family | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,683 | 1,641 |
Real Estate | Commercial and Multi-Family | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,670 | 1,641 |
Real Estate | Commercial and Multi-Family | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 13 | |
Consumer and Other | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 3,611 | 4,863 |
Consumer and Other | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 3,609 | $ 4,863 |
Consumer and Other | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | $ 2 |
Loans and Allowance for Loan 46
Loans and Allowance for Loan Losses - Summary of loan portfolio aging analysis of recorded investment in loans (Details 3) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 216 | $ 255 |
Current | 31,737 | 32,627 |
Total Loans Receivable | 31,953 | 32,882 |
Total Loans > 90 Days & Accruing | 0 | 0 |
30-59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 112 | |
60-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 138 | 97 |
Greater Than 90 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 78 | 46 |
Real estate | 1-4 family residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 192 | 240 |
Current | 23,408 | 22,826 |
Total Loans Receivable | 23,600 | 23,066 |
Real estate | 1-4 family residential | 30-59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 97 | |
Real estate | 1-4 family residential | 60-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 127 | 97 |
Real estate | 1-4 family residential | Greater Than 90 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 65 | 46 |
Real estate | Home equity lines of credit | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 11 | |
Current | 3,048 | 3,312 |
Total Loans Receivable | 3,059 | 3,312 |
Real estate | Home equity lines of credit | 60-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 11 | |
Real estate | Commercial and multi-family | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 13 | 15 |
Current | 1,670 | 1,626 |
Total Loans Receivable | 1,683 | 1,641 |
Real estate | Commercial and multi-family | 30-59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 15 | |
Real estate | Commercial and multi-family | Greater Than 90 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 13 | |
Consumer and other | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 3,611 | 4,863 |
Total Loans Receivable | $ 3,611 | $ 4,863 |
Loans and Allowance for Loan 47
Loans and Allowance for Loan Losses - Summary of impaired loan information (Details 4) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Loans with an allowance recorded: | ||
Recorded Investment | $ 443 | $ 420 |
Unpaid Principal Balance | 445 | 422 |
Allowance for Loan Losses Allocated | 9 | 10 |
Average Recorded Investment | 431 | 430 |
Interest Income Recognized | 5 | 13 |
Real estate | 1-4 family residential | ||
Loans with no related allowance recorded: | ||
Recorded Investment | 319 | 306 |
Unpaid Principal Balance | 319 | 306 |
Average Recorded Investment | 313 | 312 |
Interest Income Recognized | 1 | 12 |
Loans with an allowance recorded: | ||
Recorded Investment | 92 | 100 |
Unpaid Principal Balance | 94 | 102 |
Allowance for Loan Losses Allocated | 9 | 10 |
Average Recorded Investment | 96 | 102 |
Interest Income Recognized | 4 | |
Real estate | Home Equity Lines of Credit | ||
Loans with no related allowance recorded: | ||
Recorded Investment | 17 | 14 |
Unpaid Principal Balance | 17 | 14 |
Average Recorded Investment | 19 | 16 |
Interest Income Recognized | $ 1 | |
Real estate | Commercial and multi-family | ||
Loans with no related allowance recorded: | ||
Recorded Investment | 13 | |
Unpaid Principal Balance | 13 | |
Average Recorded Investment | 3 | |
Consumer and other | ||
Loans with no related allowance recorded: | ||
Recorded Investment | 2 | |
Unpaid Principal Balance | $ 2 |
Loans and Allowance for Loan 48
Loans and Allowance for Loan Losses - Summary of nonaccrual loans excludes performing troubled debt restructurings (Details 5) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Financing Receivable, Modifications [Line Items] | ||
Total nonaccrual | $ 369 | $ 324 |
Real estate | 1-4 family residential | ||
Financing Receivable, Modifications [Line Items] | ||
Total nonaccrual | 337 | 310 |
Real estate | Home equity lines of credit | ||
Financing Receivable, Modifications [Line Items] | ||
Total nonaccrual | 17 | $ 14 |
Real estate | Commercial and multi-family | ||
Financing Receivable, Modifications [Line Items] | ||
Total nonaccrual | 13 | |
Consumer and other | ||
Financing Receivable, Modifications [Line Items] | ||
Total nonaccrual | $ 2 |
Loans and Allowance for Loan 49
Loans and Allowance for Loan Losses (Detail Textuals) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Receivables [Abstract] | ||
Amount of premium on loans purchased | $ 127,000 | $ 184,000 |
Loans modified under troubled debt restructuring in previous years | 85,000 | 92,000 |
Troubled debt restructured loans, specific allowances | $ 6,000 | $ 7,000 |
Premises and Equipment (Details
Premises and Equipment (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Property, Plant and Equipment [Line Items] | ||
Gross premises and equipment | $ 1,303 | $ 1,311 |
Less accumulated depreciation | 845 | 859 |
Net premises and equipment | 458 | 452 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Gross premises and equipment | 62 | 62 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Gross premises and equipment | 905 | 860 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Gross premises and equipment | $ 336 | $ 389 |
Foreclosed Assets (Details)
Foreclosed Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Real Estate Acquired Through Foreclosure [Roll Forward] | ||
Beginning balance | $ 34 | $ 74 |
Loans transferred to foreclosed assets | 29 | |
Direct writedowns | (2) | (26) |
Basis of foreclosed assets sold | (15) | (43) |
Ending balance | $ 17 | $ 34 |
Foreclosed Assets (Details 1)
Foreclosed Assets (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Repossessed Assets [Abstract] | ||
Net gain on sales | $ 29 | $ 1 |
Provision for unrealized losses | (2) | (26) |
Operating expenses, net of rental income | (12) | (21) |
Expense from foreclosed assets, net | $ 15 | $ (46) |
Foreclosed Assets (Detail Textu
Foreclosed Assets (Detail Textuals) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Repossessed Assets [Abstract] | ||
Amount of valuation allowance on foreclosed assets | $ 2,000 | $ 0 |
Time Deposits (Details)
Time Deposits (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Banking and Thrift [Abstract] | ||
One year or less | $ 4,197 | |
Over one year to two years | 860 | |
Over two years to three years | 996 | |
Over three years to four years | 1,028 | |
Over four years to five years | 1,054 | |
Thereafter | 0 | |
Total Time Deposits | $ 8,135 | $ 7,917 |
Time Deposits (Details 1)
Time Deposits (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Banking and Thrift [Abstract] | ||
Interest-bearing demand | $ 4 | $ 5 |
Savings and money market | 64 | 69 |
Time | 57 | 60 |
Total Deposits | $ 125 | $ 134 |
Time Deposits (Detail Textuals)
Time Deposits (Detail Textuals) | Jun. 30, 2017USD ($) |
Banking and Thrift [Abstract] | |
Time deposit of $250,000 | $ 504,000 |
Federal Home Loan Bank Advanc57
Federal Home Loan Bank Advances (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Federal Home Loan Bank, Advances [Line Items] | ||
One year or less | $ 3,500 | $ 2,750 |
Over one year to two years | 1,000 | 3,500 |
Over two years to three years | 0 | 1,000 |
Federal Home Loan Bank advances | $ 4,500 | $ 7,250 |
Over two years to three years, Interest rate | 4.12% | 4.12% |
Minimum | ||
Federal Home Loan Bank, Advances [Line Items] | ||
One year or less, Interest rate | 0.45% | 0.45% |
Over one year to two years, Interest rate | 0.57% | 0.57% |
Maximum | ||
Federal Home Loan Bank, Advances [Line Items] | ||
One year or less, Interest rate | 1.20% | 1.20% |
Over one year to two years, Interest rate | 4.12% | 4.12% |
Federal Home Loan Bank Advanc58
Federal Home Loan Bank Advances (Details 1) $ in Thousands | 12 Months Ended |
Jun. 30, 2017USD ($) | |
Federal Home Loan Banks [Abstract] | |
2,018 | $ 3,500 |
2,019 | 1,000 |
Total payment due for Federal Home Loan Bank advances | $ 4,500 |
Federal Home Loan Bank Advanc59
Federal Home Loan Bank Advances (Detail Textuals) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 |
Federal Home Loan Bank, Advances [Line Items] | ||
Value of collateral pledged | $ 21,300,000 | |
FHLB | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Amount of lines of credit | 2,000,000 | $ 2,000,000 |
Maximum amount available | 10,000,000 | |
Federal Reserve Bank | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Amount of lines of credit | 745,000 | 774,000 |
Comerica Bank | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Amount of lines of credit | 300,000 | $ 300,000 |
Line of credit | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maximum amount available | $ 2,000,000 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | ||
Federal - current | $ 0 | $ 0 |
Federal - deferred | (88) | 207 |
Change in valuation allowance | 0 | (185) |
Total | $ (88) | $ 22 |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | ||
Computed at statutory rate (34%) | $ (75) | $ 238 |
Increase (decrease) resulting from: | ||
Tax exempt interest | (17) | (29) |
Nondeductible expenses | 2 | 2 |
Other | 2 | (4) |
Deferred tax asset valuation allowance | (185) | |
Total income tax expense (benefit) | $ (88) | $ 22 |
Effective tax rate | (39.60%) | 3.20% |
Income Taxes (Details 2)
Income Taxes (Details 2) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Deferred tax assets | ||
Allowance for loan losses | $ 86 | $ 86 |
Charitable contributions carryforward | 6 | 4 |
Net operating loss carry forward | 268 | 189 |
Total deferred tax assets | 360 | 279 |
Deferred tax liabilities | ||
Federal Home Loan Bank stock dividends | (209) | (209) |
Book/tax depreciation differences | (26) | (30) |
Cash versus accrual basis of accounting | (59) | (62) |
Unrealized gains on available-for-sale securities | (12) | (45) |
Total deferred tax liabilities | (306) | (346) |
Net deferred tax assets (liabilities) before valuation allowance | 54 | (67) |
Valuation allowance | ||
Beginning balance | 0 | (185) |
(Increase) decrease | 0 | 185 |
Ending balance | 0 | 0 |
Net deferred tax assets (liabilities) | $ 54 | $ (67) |
Income Taxes (Detail Textuals)
Income Taxes (Detail Textuals) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | ||
Net operating loss carryforwards | $ 787,000 | |
Net operating loss carryforwards, expiration date | Jun. 30, 2034 | |
Charitable contribution carryovers | $ 19,000 | |
Charitable contribution carryovers, expiration date | Jun. 30, 2020 | |
Deferred federal income tax liability, not recognized in retained earnings | $ 909,000 | $ 909,000 |
Deferred income tax liability expected to reverse into taxable income | $ 309,000 | $ 309,000 |
Regulatory Matters - Summary of
Regulatory Matters - Summary of actual capital amounts and ratios (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to Risk-Weighted Assets) Actual, Amount | $ 9,621 | |
Total Capital (to Risk-Weighted Assets) Actual, Ratio | 39.10% | |
Total Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Amount | $ 1,970 | |
Total Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Ratio | 8.00% | |
Tier I Capital (to Risk-Weighted Assets) Actual, Amount | $ 9,368 | |
Tier I Capital (to Risk-Weighted Assets) Actual, Ratio | 38.00% | |
Tier I Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Amount | $ 1,478 | |
Tier I Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Ratio | 6.00% | |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) Actual, Amount | $ 9,368 | |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) Actual, Ratio | 38.00% | |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Amount | $ 1,108 | |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Ratio | 4.50% | |
Leverage Capital (to Adjusted Average Total Assets) Actual, Amount | $ 9,368 | |
Leverage Capital (to Adjusted Average Total Assets) Actual, Ratio | 16.90% | |
Leverage Capital (to Adjusted Average Total Assets) For Capital Adequacy Purposes, Amount | $ 2,211 | |
Leverage Capital (to Adjusted Average Total Assets) For Capital Adequacy Purposes, Ratio | 4.00% | |
Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to Risk-Weighted Assets) Actual, Amount | $ 8,560 | $ 6,820 |
Total Capital (to Risk-Weighted Assets) Actual, Ratio | 34.80% | 27.70% |
Total Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Amount | $ 1,970 | $ 1,969 |
Total Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Total Capital (to Risk-Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 2,463 | $ 2,462 |
Total Capital (to Risk-Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 10.00% | 10.00% |
Tier I Capital (to Risk-Weighted Assets) Actual, Amount | $ 8,307 | $ 6,567 |
Tier I Capital (to Risk-Weighted Assets) Actual, Ratio | 33.70% | 26.70% |
Tier I Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Amount | $ 1,478 | $ 1,477 |
Tier I Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Ratio | 6.00% | 6.00% |
Tier I Capital (to Risk-Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 1,970 | $ 1,969 |
Tier I Capital (to Risk-Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 8.00% | 8.00% |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) Actual, Amount | $ 8,307 | $ 6,567 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) Actual, Ratio | 33.70% | 26.70% |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Amount | $ 1,108 | $ 1,108 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) For Capital Adequacy Purposes, Ratio | 4.50% | 4.50% |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 1,601 | $ 1,600 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 6.50% | 6.50% |
Leverage Capital (to Adjusted Average Total Assets) Actual, Amount | $ 8,307 | $ 6,567 |
Leverage Capital (to Adjusted Average Total Assets) Actual, Ratio | 15.00% | 11.90% |
Leverage Capital (to Adjusted Average Total Assets) For Capital Adequacy Purposes, Amount | $ 2,211 | $ 2,205 |
Leverage Capital (to Adjusted Average Total Assets) For Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
Leverage Capital (to Adjusted Average Total Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 2,764 | $ 2,756 |
Leverage Capital (to Adjusted Average Total Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 5.00% | 5.00% |
Regulatory Matters (Detail Text
Regulatory Matters (Detail Textuals) $ in Thousands | 12 Months Ended |
Jun. 30, 2017USD ($) | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |
Amount available for dividend declaration | $ 233,000 |
Minimum | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |
Common equity Tier 1 Capital conservation buffer of risk weighted assets | 0.00% |
Maximum | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |
Common equity Tier 1 Capital conservation buffer of risk weighted assets | 2.50% |
Related Party Transactions (Det
Related Party Transactions (Detail Textuals) - Executive officers, directors and affiliates - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Related Party Transaction [Line Items] | ||
Related party loan | $ 27,000 | $ 31,000 |
Principal repayments from related parties | 4,000 | |
Related party deposit liabilities | $ 427,000 | $ 584,000 |
Benefit Plans and Employment 67
Benefit Plans and Employment Agreement (Detail Textuals) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Benefit Plans And Employment Agreement [Line Items] | ||
Maximum educational expenses under agreement | $ 30,000 | |
Officers compensation | $ 360,000 | |
401(k) Profit Sharing Plan, description | The Company has a 401(k) Profit Sharing Plan covering substantially all employees. Employees attain eligibility in the 401(k) plan upon completing one year of service and being 21 years of age or older. Employees may contribute up to 15% of their compensation. After a Plan amendment effective January 1, 2017, the Company matches 100% of the first 3% and 50% of the next 3% contributed by the employee, while the Company matched 50% of the first 6% contributed by the employee for the year ended June 30, 2016. | |
401(k) Profit Sharing Plan expense recognized | $ 11,000 | $ 8,000 |
Pentegra DB Plan | ||
Benefit Plans And Employment Agreement [Line Items] | ||
Fund status | 93.80% | 97.50% |
Maximum contribution of company towards benefit plan | 5.00% | |
Pension expense | $ 103,000 | $ 60,000 |
Contributions by employer towards benefit plan | 119,000 | $ 68,000 |
Withdrawal expense of pension plan | $ 1,600,000 |
Employee Stock Ownership Plan68
Employee Stock Ownership Plan (ESOP) (Detail Textuals) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jan. 10, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Common stock shares purchased | 32,688 | |
Debt term | 20 years | |
Award vesting percentage | 20.00% | |
Award vesting period | 5 years | |
Compensation expense related to the ESOP | $ 11,000 | |
Stock price of ESOP at the formation date | $ 10 | |
Number of unallocated shares | 32,688 | |
Aggregate fair value of unallocated shares | $ 458,000 | |
Closing price of common stock | $ 14 | |
Prime rate | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Interest rate | 3.75% |
Commitments and Credit Risk (De
Commitments and Credit Risk (Detail Textuals) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 |
Long Term Loans Commitment [Line Items] | ||
Total long term loans | $ 104,000 | $ 295,000 |
Amount of fixed rate of interest | 187,000 | |
Amount of variable rate of interest | $ 108,000 | |
Minimum | ||
Long Term Loans Commitment [Line Items] | ||
Percentage of fixed rate of interest | 3.63% | 3.38% |
Maximum | ||
Long Term Loans Commitment [Line Items] | ||
Percentage of fixed rate of interest | 8.85% | 3.75% |
Construction Loans | ||
Long Term Loans Commitment [Line Items] | ||
Commitments under undisbursed construction loans | $ 323,000 | $ 576,000 |
Home equity lines of credit | ||
Long Term Loans Commitment [Line Items] | ||
Commitments under home equity lines of credit | $ 2,000,000 | $ 2,800,000 |
Disclosures about Fair Value 70
Disclosures about Fair Value of Assets and Liabilities - Summary of fair value measurement of assets recognized (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Available-for-sale securities: | ||
Available-for-sale Securities | $ 8,798 | $ 11,097 |
Fair Value Measurements Recurring | Fair Value | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 8,798 | 11,097 |
Fair Value Measurements Recurring | Fair Value | U. S. Government agency bonds | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 1,497 | |
Fair Value Measurements Recurring | Fair Value | Mortgage-backed securities of U.S. government sponsored entities - residential | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 5,613 | 5,573 |
Fair Value Measurements Recurring | Fair Value | Collateralized mortgage obligations of government sponsored entities - residential | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 313 | 532 |
Fair Value Measurements Recurring | Fair Value | State and political subdivisions Taxable | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 1,393 | 1,438 |
Fair Value Measurements Recurring | Fair Value | State and political subdivisions Nontaxable | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 1,479 | 2,057 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 8,798 | 11,097 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | U. S. Government agency bonds | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 1,497 | |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | Mortgage-backed securities of U.S. government sponsored entities - residential | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 5,613 | 5,573 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | Collateralized mortgage obligations of government sponsored entities - residential | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 313 | 532 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | State and political subdivisions Taxable | ||
Available-for-sale securities: | ||
Available-for-sale Securities | 1,393 | 1,438 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | State and political subdivisions Nontaxable | ||
Available-for-sale securities: | ||
Available-for-sale Securities | $ 1,479 | $ 2,057 |
Disclosures about Fair Value 71
Disclosures about Fair Value of Assets and Liabilities - Summary of fair value measurements of assets measured at fair value on non-recurring basis (Details 1) - Fair Value, Measurements, Nonrecurring - Fair Value - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Real estate | 1-4 family residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 83 | $ 90 |
Foreclosed assets | Residential real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 17 | |
Significant Unobservable Inputs (Level 3) | Real estate | 1-4 family residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 83 | $ 90 |
Significant Unobservable Inputs (Level 3) | Foreclosed assets | Residential real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 17 |
Disclosures about Fair Value 72
Disclosures about Fair Value of Assets and Liabilities - Summary of unobservable inputs used in nonrecurring Level 3 fair value measurements (Details 2) - Fair Value, Measurements, Nonrecurring - Level 3 - Fair Value - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Weighted Average | Foreclosed assets | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Range (Weighted Average) | 10.00% | |
Residential real estate | Weighted Average | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Range (Weighted Average) | 10.00% | 10.00% |
Sales comparison approach | Foreclosed assets | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Impaired loans | $ 17 | |
Valuation Technique | Sales comparison approach | |
Unobservable Inputs | Adjustment for differences between the comparable real estate sales | |
Sales comparison approach | Residential real estate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Impaired loans | $ 83 | $ 90 |
Valuation Technique | Sales comparison approach | Sales comparison approach |
Unobservable Inputs | Adjustment for differences between the comparable real estate sales | Adjustment for differences between the comparable real estate sales |
Disclosures about Fair Value 73
Disclosures about Fair Value of Assets and Liabilities - Summary of Summary of carrying amount and estimated fair values of financial instruments (Details 3) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 |
Financial assets | |||
Cash and cash equivalents | $ 8,699 | $ 3,184 | $ 10,148 |
Interest-earning time deposits | 4,580 | 5,567 | |
Other investment securities | 940 | 940 | |
Loans, net | 31,700 | 32,629 | |
Accrued interest receivable | 152 | 185 | |
Financial liabilities | |||
Deposits | 41,519 | 40,102 | |
Payments by borrowers for taxes and insurance | 88 | 82 | |
Carrying Amount | |||
Financial assets | |||
Cash and cash equivalents | 8,699 | 3,184 | |
Interest-earning time deposits | 4,580 | 5,567 | |
Other investment securities | 940 | 940 | |
Loans, net | 31,700 | 32,629 | |
Accrued interest receivable | 152 | 185 | |
Financial liabilities | |||
Deposits | 41,519 | 40,102 | |
Federal Home Loan Bank advances | 4,500 | 7,250 | |
Payments by borrowers for taxes and insurance | 88 | 82 | |
Fair Value | |||
Financial assets | |||
Cash and cash equivalents | 8,699 | 3,184 | |
Interest-earning time deposits | 4,580 | 5,567 | |
Other investment securities | 940 | 940 | |
Loans, net | 32,869 | 34,368 | |
Accrued interest receivable | 152 | 185 | |
Financial liabilities | |||
Deposits | 41,398 | 40,117 | |
Federal Home Loan Bank advances | 4,536 | 7,316 | |
Payments by borrowers for taxes and insurance | 88 | 82 | |
Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Financial assets | |||
Cash and cash equivalents | 8,699 | 3,184 | |
Interest-earning time deposits | 4,580 | 5,567 | |
Financial liabilities | |||
Deposits | 33,384 | 32,185 | |
Fair Value | Significant Other Observable Inputs (Level 2) | |||
Financial assets | |||
Accrued interest receivable | 152 | 185 | |
Financial liabilities | |||
Deposits | 8,014 | 7,932 | |
Federal Home Loan Bank advances | 4,536 | 7,316 | |
Payments by borrowers for taxes and insurance | 88 | 82 | |
Fair Value | Significant Unobservable Inputs (Level 3) | |||
Financial assets | |||
Other investment securities | 940 | 940 | |
Loans, net | $ 32,869 | $ 34,368 |
Disclosures about Fair Value 74
Disclosures about Fair Value of Assets and Liabilities (Detail Textuals) | 12 Months Ended |
Jun. 30, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Percentage of discount applied to the appraisal value to cover estimated selling costs | 10.00% |
Accumulated Other Comprehensi75
Accumulated Other Comprehensive Income (Loss) - Summary of changes in accumulated other comprehensive loss (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | $ 88 | $ (110) |
Other comprehensive income (loss) before tax effect | (96) | 300 |
Tax effect | 33 | (102) |
Net current period other comprehensive income (loss) | (63) | 198 |
Ending balance | $ 25 | $ 88 |
Change in Corporate Form (Detai
Change in Corporate Form (Detail Textuals) - USD ($) $ in Thousands | Jan. 10, 2017 | Jun. 30, 2017 |
Change In Corporate Form [Abstract] | ||
Number of shares issued during mutual-to-stock conversion | 441,290 | |
Cost of conversion and issuing capital stock | $ 1,150 | |
Proceeds from issuance of common stock | $ 3,260 | $ 2,935 |
Condensed Financial Informati77
Condensed Financial Information - Parent Company Only - CONDENSED BALANCE SHEETS (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 |
Assets | |||
Cash and due from banks (all from subsidiary) | $ 2,647 | $ 1,969 | |
Loan to subsidiary receivable | 31,700 | 32,629 | |
Total assets | 55,609 | 54,279 | |
Liabilities and shareholders' equity | |||
Total liabilities | 46,216 | 47,624 | |
Total shareholders' equity | 9,393 | 6,655 | $ 5,778 |
Total liabilities and shareholders' equity | 55,609 | $ 54,279 | |
Parent Company | |||
Assets | |||
Cash and due from banks (all from subsidiary) | 735 | ||
Investment in subsidiary (equity basis) | 8,331 | ||
Loan to subsidiary receivable | 327 | ||
Total assets | 9,393 | ||
Liabilities and shareholders' equity | |||
Total liabilities | |||
Total shareholders' equity | 9,393 | ||
Total liabilities and shareholders' equity | $ 9,393 |
Condensed Financial Informati78
Condensed Financial Information - Parent Company Only - CONDENSED STATEMENTS OF OPERATIONS (Details 1) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | |
Condensed Financial Statements, Captions [Line Items] | |||
Income tax expense | $ (88) | $ 22 | |
Net income (loss) | $ (134) | $ 679 | |
Parent Company | |||
Condensed Financial Statements, Captions [Line Items] | |||
Total income | |||
Total expenses | |||
Income before income tax expense and equity in undistributed earnings of subsidiary | |||
Income tax expense | |||
Income before equity in undistributed earnings of subsidiary | |||
Equity in undistributed earnings (loss) of subsidiary | (134) | ||
Net income (loss) | $ (134) |
Condensed Financial Informati79
Condensed Financial Information - Parent Company Only - CONDENSED STATEMENTS OF CASH FLOWS (Details 2) - USD ($) $ in Thousands | Jan. 10, 2017 | Jun. 30, 2017 | Jun. 30, 2017 | Jun. 30, 2016 |
Cash flows from operating activities | ||||
Net income (loss) | $ (134) | $ 679 | ||
Adjustments to reconcile net income (loss) to net cash from operating activities | ||||
Net cash flows used in operating activities | 20 | 136 | ||
Cash flows from investing activities | ||||
Net cash used in investing activities | 3,887 | (10,740) | ||
Cash flows from financing activities | ||||
Proceeds from sale of common stock | $ 3,260 | 2,935 | ||
Net cash flows provided by financing activities | 1,608 | 3,640 | ||
Net increase in cash and cash equivalents | 5,515 | (6,964) | ||
Beginning Cash and Cash Equivalents | 3,184 | 10,148 | ||
Ending Cash and Cash Equivalents | $ 8,699 | 8,699 | $ 3,184 | |
Parent Company | ||||
Cash flows from operating activities | ||||
Net income (loss) | (134) | |||
Adjustments to reconcile net income (loss) to net cash from operating activities | ||||
Equity in undistributed (earnings) loss of subsidiary | 134 | |||
(Increase) decrease in loan to subsidiary receivable | (327) | |||
Net cash flows used in operating activities | (327) | |||
Cash flows from investing activities | ||||
Investment in subsidiary | (2,200) | |||
Net cash used in investing activities | (2,200) | |||
Cash flows from financing activities | ||||
Proceeds from sale of common stock | 2,935 | |||
Proceeds from sale of common stock - ESOP | 327 | |||
Net cash flows provided by financing activities | 3,262 | |||
Net increase in cash and cash equivalents | 735 | |||
Beginning Cash and Cash Equivalents | ||||
Ending Cash and Cash Equivalents | $ 735 | $ 735 |