[PVF CAPITAL CORP. LOGO]
PRESS ANNOUNCEMENT
DATE: JANUARY 18, 2006
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 $1,027,000, or $0.13 basic earnings per share and $0.13
diluted earnings per share, for the quarter ended December 31, 2005 as compared
to earnings of $1,422,000, or $0.18 basic earnings per share and $0.18 diluted
earnings per share, for the prior year comparable period.
The decrease of $395,000 in earnings for the quarter ended December 31, 2005 was
attributable to the following activity. Net interest income increased as the
result of growth in both interest-earning assets and interest-bearing
liabilities in addition to an increase in the Company's interest rate spread
from the prior period. This increase was partially offset by an increase in the
provision for loan losses that resulted from an increase in loans receivable
along with increases in classified assets. In addition, Non-interest income
declined primarily because of a decrease in income from mortgage banking
activities. Operating expenses increased due to increases in compensation and
benefits, including the effect of a newly adopted accounting standard that
provides for the expensing of stock options. In addition, expenses for office
properties and equipment, outside services, and professional and legal costs
increased during the current period.
Earnings were $2,379,000, or $0.31 basic earnings per share and $0.30 diluted
earnings per share, for the six-month period ended December 31, 2005 as compared
to $2,690,000, or $0.35 basic earnings per share and $0.34 diluted earnings per
share, for the prior year comparable period.
As of December 31, 2005, PVF Capital Corp. reported assets of $876.8 million, an
increase of $52.9 million or 6.4% from the fiscal year ended June 30, 2005.
Total stockholders' equity of PVF Capital Corp. was $67.6 million at December
31, 2005. Annualized return on assets and return on equity were 0.56% and 7.09%,
respectively, for the six months ended December 31, 2005.
On December 20, 2005, 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 February 1, 2006
to the stockholders of record at the close of business on January 25, 2006.
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) DECEMBER 31, JUNE 30,
2005 2005
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ASSETS
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Cash and cash equivalents $ 24,486 $ 11,090
Investment securities 57,500 57,500
Loans receivable 700,928 660,494
Loans receivable held for sale 10,855 9,060
Mortgage-backed securities 28,443 31,720
Other assets 54,557 54,035
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Total Assets $876,769 $823,899
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LIABILITIES
- -----------
Deposits $605,193 $591,227
Borrowed money 177,962 146,413
Other liabilities 25,970 19,806
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Total Liabilities 809,125 757,446
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Total Stockholders' Equity 67,644 66,453
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Total Liabilities and Stockholders' Equity $876,769 $823,899
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CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
THREE MONTHS ENDED SIX MONTHS ENDED
(Dollars in thousands except per share data) DECEMBER 31, DECEMBER 31,
--------------------------------- -----------------------------------
2005 2004 2005 2004
Interest income $13,282 $10,519 $25,865 $20,553
Interest expense 6,676 4,737 12,724 9,161
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Net interest income 6,606 5,782 13,141 11,392
Provision for loan losses 257 0 294 136
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Net interest income after provision for loan losses 6,349 5,782 12,847 11,256
Total noninterest income 562 859 1,341 1,545
Total noninterest expense 5,443 4,577 10,817 8,901
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Income before federal income tax provision 1,468 2,064 3,371 3,900
Federal income tax provision 441 642 992 1,210
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Net income $ 1,027 $ 1,422 $ 2,379 $ 2,690
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BASIC EARNINGS PER SHARE $ 0.13 $ 0.18 $ 0.31 $ 0.35
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DILUTED EARNINGS PER SHARE $ 0.13 $ 0.18 $ 0.30 $ 0.34
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