PRESS ANNOUNCEMENT
Date: April 21, 2004
Contact: C. Keith Swaney
(440) 248-7171
PVF Capital Corp. announces quarterly earnings and cash dividend.
PVF Capital Corp., the parent company of Park View Federal Savings Bank,
announced earnings of $1,186,000, or $0.19 basic earnings per share and $0.18
diluted earnings per share, for the quarter ended March 31, 2004 as compared to
earnings of $2,095,000, or $0.33 basic earnings per share and $0.32 diluted
earnings per share, for the prior year comparable period.
Chairman John R. Male commented that the reduction in earnings for the quarter
is attributable to an increase in the provision for loan losses, a decrease in
non-interest income and an increase in non-interest expense. Non-interest income
decreased by $760,000 primarily as a result of declining gains on the sale of
loans in the current period. Management does not expect to report significant
gains on the sale of loans for the remainder of the fiscal year due to a slow
down in refinancing activity. The increase of $312,000 in non-interest expense
is attributable to the opening of a new branch office, growth in staff and an
increase in compensation and benefits for the current period.
Earnings were $5,468,000, or $0.86 basic earnings per share and $0.84 diluted
earnings per share, for the nine-month period ended March 31, 2004 as compared
to $6,039,000, or $0.95 basic earnings per share and $0.93 diluted earnings per
share, for the prior year comparable period.
Chairman John R. Male commented that the reduction in earnings for the nine
months ended March 31, 2004 is the result of an increase in the provision for
loan losses, an increase in non-interest income and an increase in non-interest
expense. Non-interest income increased by $831,000 primarily as a result of
gains recorded on the sale of loans and real estate owned property in the first
quarter of our fiscal year. Gains recorded on the sale of loans have declined
during the last two quarters of our fiscal year. The increase of $996,000 in
non-interest expense is attributable to the opening of a new branch office, the
investment in new technology, growth in staff and an increase in compensation
and benefits for the nine-months ended March 31, 2004.
As of March 31, 2004, PVF Capital Corp. reported assets of $741.6 million, a
decrease of $1.8 million or 0.2% from the fiscal year ended June 30, 2003. Total
stockholders' equity of PVF Capital Corp. was $62.3 million at March 31, 2004.
Annualized return on assets and return on equity were 1.02% and 11.97%,
respectively, for the nine months ended March 31, 2004.
On March 23, 2004, the Board of Directors of PVF Capital Corp. declared a
quarterly cash dividend on the Company's outstanding common stock. The cash
dividend will be in the amount of $0.074 per share payable on May 10, 2004 to
the stockholders of record at the close of business on May 3, 2004.
This press release contains statements that are forward-looking, as that term is
defined by the Private Securities Litigation Act of 1995 or the Securities and
Exchange Commission in its rules, regulations, and releases. The Company intends
that such forward-looking statements be subject to the safe harbors created
thereby. All forward-looking statements are based on current expectation
regarding important risk factors including, but not limited to, real estate
values and the impact of interest rates on financing. Accordingly, actual
results may differ from those expressed in the forward-looking statements, and
the making of such statements should not be regarded as a representation by the
Company or any other person that results expressed therein will be achieved.
PVF Capital Corp.'s common stock trades on the NASDAQ Small-Cap market under the
symbol PVFC.
PVF CAPITAL CORP.
30000 Aurora Road
Solon, OH 44139
(440) 248-7171
Summary of Financial Highlights
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Unaudited)
(Dollars in thousands) March 31, June 30,
2004 2003
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ASSETS
Cash and cash equivalents $ 33,912 $ 96,751
Investment securities 10,002 33
Loans and mortgage backed securities 649,850 616,240
Other assets 47,824 30,380
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Total Assets $ 741,588 $ 743,404
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LIABILITIES
Deposits $536,720 $526,429
Borrowed money 122,552 125,938
Other liabilities 20,035 32,434
--------- ---------
Total Liabilities 679,307 684,801
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Total Stockholders' Equity 62,281 58,603
--------- ---------
Total Liabilities and Stockholders' Equity $ 741,588 $ 743,404
========= =========
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended Nine Months Ended
(Dollars in thousands except per share data) March 31, March 31,
-------------------------------- ------------------------------
2004 2003 2004 2003
Interest income $9,576 $10,415 $29,464 $33,119
Interest expense 4,097 4,740 12,485 15,882
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Net interest income 5,479 5,675 16,979 17,237
Provision for loan losses 140 0 432 0
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Net interest income after provision for loan losses 5,339 5,675 16,547 17,237
Total noninterest income 837 1,597 5,016 4,185
Total noninterest expense 4,425 4,113 13,324 12,328
------ ------- ------- -------
Income before federal income tax provision 1,751 3,159 8,239 9,094
Federal income tax provision 565 1,064 2,771 3,055
------ ------- ------- -------
Net income $1,186 $ 2,095 $ 5,468 $ 6,039
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Basic earnings per share $0.19 $0.33 $0.86 $0.95
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Diluted earnings per share $0.18 $0.32 $0.84 $0.93
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