EXHIBIT 99
For Immediate Release For Further Information:
Tuesday, April 18, 2000 Jeff Francis, President and CEO
Terri Liutkus, Treasurer and CFO
330/726-3396 - phone
330/758-1356 - fax
FFY Financial Corp. Reports 3rd Quarter Net Income and Regular Dividend
Youngstown, Ohio, April 18, 2000 - FFY Financial Corp. (NASDAQ: FFYF)
announced net income for its third fiscal quarter ended March 31, 2000 of
$2.0 million, or $.31 per diluted share. This compares to net income of
$2.1 million, or $.30 per diluted share for the same prior year quarter.
Current quarter return on equity was 12.50%, the Company's highest ever
reported and a 15% increase over the same prior year quarter.
Assets totaled $667.7 million at March 31, 2000, a decline of $8.0 million,
or 1% from $675.7 million at June 30, 1999. The decline in assets was the
result of a $30.1 million, or 16% decline in the securites portfolio from
maturities, sales proceeds and a decline in market value related to the
current interest rate environment. The securities portfolio totaled $160.2
million at March 31, 2000. Partially offsetting the decline in the
securities portfolio was a $24.2 million, or 5% increase in loans
receivable, which totaled $478.4 million, including $173,000 in loans
available for sale, at March 31, 2000.
Deposits declined $14.3 million, or 3% during the nine month period due to
a decline in certificate accounts, and totaled $443.0 million at March 31,
2000. The decline in deposits was funded by cash flows from the securities
portfolio and a $6.2 million increase in borrowed funds. Borrowed funds
totaled $89.0 million at March 31, 2000.
At its meeting on April 18, 2000 the Company's board of directors declared
its regular quarterly dividend of 12.5 cents per share to be paid on May
11, 2000 to shareholders of record on April 28, 2000.
Except for the historical information contained herein, the matters
discussed in this press release may be deemed to be forward-looking
statements that involve risks and uncertainties, including changes in
economic conditions in the Company's market area, changes in policies by
regulatory agencies, fluctuations in interest rates, demand for loans in
the Company's market area and competition, and other risks detailed from
time to time in the Company's SEC reports, including the report on Form 10-
K for the year ended June 30, 1999 and Form 10-Q for the quarters ended
September 30, 1999 and December 31, 1999. Actual strategies and results in
future periods may differ materially from those currently expected. These
forward-looking statements represent the Company's judgment as of the date
of this release. The Company disclaims, however, any intent or obligation
to update these forward-looking statements.
FFY FINANCIAL CORP. AND SUBSIDIARIES
(unaudited)
Selected Consolidated Financial Condition Data:
- ----------------------------------------------- March 31, June 30, %
($ in thousands) 2000 1999 Change
--------- -------- ------
Total assets $667,684 $675,691 -1%
Loans receivable, net 478,269 453,839 5%
Loans available for sale 173 442 NM
Allowance for loan losses 2,703 2,645 2%
Non-performing assets 3,172 2,356 35%
Securities available for sale 160,206 190,326 -16%
Deposits 443,020 457,343 -3%
Short-term repurchase agreements(1) 7,694 6,618 16%
Long-term repurchase agreements(1) 51,300 51,300 0%
Short-term borrowed funds 9,740 22,800 -57%
Long-term borrowed funds 79,280 60,000 32%
Stockholders' equity 65,062 70,117 -7%
Three months ended Nine months ended
March 31, March 31,
Selected Consolidated Operations Data: ------------------------------ ------------------------------
- -------------------------------------- % %
($ in thousands except per share amounts) 2000 1999 Change 2000 1999 Change
------- ------- ------ ------- ------- ------
Total interest income $12,488 $12,241 2% $37,172 $36,786 1%
Total interest expense 7,091 6,522 9% 20,738 19,975 4%
------------------- -------------------
Net interest income 5,397 5,719 -6% 16,434 16,811 -2%
Provision for loan losses 135 131 3% 341 381 -10%
------------------- -------------------
Net interest income after
provision for loan losses 5,262 5,588 -6% 16,093 16,430 -2%
Service charges 264 217 22% 807 633 27%
Gain on sale of securities 17 54 -69% 46 113 -59%
Gain on sale of loans 45 202 -78% 164 591 -72%
Other non-interest income 149 113 32% 472 550 -14%
Total non-interest expense (2,906) (3,048) -5% (9,340) (9,313) 0%
------------------- -------------------
Income before income taxes and
minority interest 2,831 3,126 -9% 8,242 9,004 -8%
Income tax expense 830 1,086 -24% 2,447 3,046 -20%
Minority interest in loss of consolidated subsidiaries (5) (106) NM (8) (106) NM
------------------- -------------------
Net income $ 2,006 $ 2,146 -7% $ 5,803 $ 6,064 -4%
=================== ===================
Basic earnings per share $ 0.32 $ 0.31 3% $ 0.90 $ 0.84 7%
=================== ===================
Diluted earnings per share $ 0.31 $ 0.30 3% $ 0.88 $ 0.81 9%
=================== ===================
Cash dividends declared per share $ 0.125 $0.1125 11% $ 0.375 $0.3375 11%
=================== ===================
<FN>
<F1> - Securities sold under agreements to repurchase.
<FNM> - Not a meaningful measure of performance.
</FN>
FFY FINANCIAL CORP. AND SUBSIDIARIES
(unaudited)
Three months ended Nine months ended
March 31, March 31,
------------------------- -------------------------
Selected Financial Ratios and Other Data: 2000 1999 2000 1999
- ----------------------------------------- ---------- ---------- ---------- ----------
Performance Ratios:
Return on average assets(1) 1.20%(7) 1.29%(7) 1.16%(7) 1.22%(7)
Return on average equity(2) 12.50%(7) 10.86%(7) 11.80%(7) 9.91%(7)
Interest rate spread information:
Average during period(3) 2.93%(7) 3.16%(7) 3.00%(7) 3.05%(7)
End of period(3) 2.86% 3.04% 2.86% 3.04%
Net interest margin(3)(4) 3.43%(7) 3.67%(7) 3.48%(7) 3.62%(7)
Operating expense to average assets 1.75%(7) 1.83%(7) 1.86%(7) 1.88%(7)
Efficiency ratio(5) 49.39% 47.80% 52.02% 49.76%
Dividend payout ratio(6) 40.32% 37.50% 42.61% 41.67%
Quality Ratios (end of period):
Non-performing assets to total assets 0.48% 0.55% 0.48% 0.55%
Allowance for loan losses to non-performing assets 85.21% 75.62% 85.21% 75.62%
Allowance for loan losses to gross loans outstanding 0.56% 0.59% 0.56% 0.59%
Capital Ratios:
Equity to total assets at end of period 9.74% 11.46% 9.74% 11.46%
Average equity to average assets 9.64% 11.86% 9.82% 12.34%
Book value per share $ 9.58 $10.29 $ 9.58 $10.29
Tangible book value per share $ 9.55 $10.26 $ 9.55 $10.26
Change in book value and tangible book value
per share due to SFAS No. 115 $(0.93) $ 0.04 $(0.93) $ 0.04
Ratio of average interest-earning assets to
average interest-bearing liabilities 1.10x 1.13x 1.10x 1.14x
<FN>
<F1> - Ratio of net income to average total assets.
<F2> - Ratio of net income to average equity.
<F3> - Ratio is presented on a fully taxable equivalent basis using the
company's federal statutory tax rate of 34%.
<F4> - Net interest income divided by average interest earning assets -
calculated without consideration of the unrealized gain/loss on
securities available for sale.
<F5> - Ratio is calculated without consideration to goodwill amortization
and gain on sale of securities.
<F6> - Cash dividends declared per share divided by diluted earnings per
share.
<F7> - Annualized.
</FN>