EXHIBIT 99
----------
April 27, 2007
FOR IMMEDIATE RELEASE:
CONTACT:
Trent Troyer, President
FFD Financial Corporation
321 North Wooster Avenue
Dover, Ohio 44622-0038
(330) 364-7777
FFD Financial Corporation Reports Increase in Net Earnings For The Three- and
Nine-Month Periods Ended March 31, 2007
DOVER, OHIO - FFD Financial Corporation, parent company of First Federal
Community Bank of Dover, Ohio, reported net earnings of $347,000, or diluted
earnings per share of $.31, for the three months ended March 31, 2007, compared
to the $278,000, or $.23 per diluted share, of net earnings reported for the
comparable three-month period in 2006. The $69,000, or 24.8%, increase in net
earnings resulted from increases of $91,000, or 6.0%, in net interest income
and $52,000, or 71.2%, in other income and a decrease of $17,000, or 1.5%, in
general, administrative and other expenses, which were partially offset by
increases of $55,000, or 137.5%, in the provision for losses on loans and
$36,000, or 24.8%, in the provision for federal income taxes.
Net earnings for the nine months ended March 31, 2007, were $1.2 million or
diluted earnings per share of $1.03, compared to the $878,000, or $.74 per
diluted share, of net earnings reported for the comparable nine-month period in
2006. The $310,000, or 35.3%, increase in net earnings resulted from increases
of $588,000, or 13.8%, in net interest income and $41,000, or 10.0%, in other
income, which were partially offset by increases of $162,000, or 35.6%, in the
provision for federal income taxes, $82,000, or 71.3%, in the provision for
losses on loans and $75,000, or 2.3%, in general, administrative and other
expenses.
The increase in net interest income was primarily due to increases in yields
and in average balances of loans receivable and other interest-earning assets,
which were partially offset by increases in average deposit balances and in the
cost of new and repricing deposits during the period. Borrowing costs decreased
period to period because the decrease in the average balance outweighed
increases in interest rates. The increase in general, administrative and other
expense was due primarily to growth in the Corporation's operations year over
year. The increase in other income was the result of an increase of $87,000 in
service charges and other fee income, which was partially offset by a $30,000
decrease in mortgage banking income and the absence of a $16,000 pre-tax gain
on the sale of an investment security. The increase in the provision for losses
on loans was due to a combination of loan portfolio growth, net charge-offs,
and management's assessment of current economic conditions applied to the
portfolio.
FFD Financial Corporation reported total assets of $169.5 million at March 31,
2007, an increase of 5.1% over the June 30, 2006 balance of $161.2 million.
Cash and cash equivalents increased by 32.1% from the June 30, 2006 balance of
$7.7 million to $10.2 million at March 31, 2007. Loans receivable increased by
3.9% from the June 30, 2006 balance of $144.6 million to $150.2 million at
March 31, 2007. Total liabilities increased by 6.3% from the June 30, 2006
balance of $142.9 million to $151.8 million at March 31, 2007, and included
deposits of $133.3 million, representing an increase of 9.3% over the June 30,
2006 balance of $121.9 million. Shareholders' equity amounted to $17.7 million
at March 31, 2007, a decrease from the $18.4 million total at June 30, 2006.
The reduction in shareholders' equity was primarily attributable to previously
announced share repurchases and payments of quarterly dividends, which were
partially offset by exercises of stock options, amortization of stock benefit
plans and net earnings of $1.2 million.
FFD Financial Corporation is traded on the NASDAQ Capital Market under the
symbol FFDF. First Federal Community Bank has full service offices in downtown
Dover, downtown New Philadelphia and on the Boulevard in Dover, and limited
service offices in Coshocton and Sugarcreek. The Corporation maintains an
interactive web site at www.onlinefirstfed.com.
FFD Financial Corporation
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(In thousands)
March 31, June 30,
ASSETS 2007 2006
(unaudited)
Cash and cash equivalents $ 10,162 $ 7,692
Investment securities 3,465 3,353
Mortgage-backed securities 378 561
Loans receivable 150,233 144,556
Other assets 5,291 5,071
-------- --------
Total assets $169,529 $161,233
======== ========
LIABILITIES AND SHAREHOLDERS' EQUITY
Deposits $133,268 $121,919
Borrowings 16,720 18,428
Other liabilities 1,835 2,523
-------- --------
Total liabilities 151,823 142,870
Shareholders' equity 17,706 18,363
-------- --------
Total liabilities and shareholders' equity $169,529 $161,233
======== ========
FFD Financial Corporation
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(In thousands, except share data)
Nine months ended Three months ended
March 31, March 31,
2007 2006 2007 2006
Total interest income $8,469 $6,920 $2,873 $2,417
Total interest expense 3,619 2,658 1,277 912
------ ------ ------ ------
Net interest income 4,850 4,262 1,596 1,505
Provision for losses on loans 197 115 95 40
------ ------ ------ ------
Net interest income after
provision for losses on loans 4,653 4,147 1,501 1,465
Other income 451 410 125 73
General, administrative and other expense 3,299 3,224 1,098 1,115
------ ------ ------ ------
Earnings before income taxes 1,805 1,333 528 423
Federal income taxes 617 455 181 145
------ ------ ------ ------
NET EARNINGS $1,188 $ 878 $ 347 $ 278
====== ====== ====== ======
EARNINGS PER SHARE
Basic $ 1.04 $ .75 $ .32 $ .24
====== ====== ====== ======
Diluted $ 1.03 $ .74 $ .31 $ .23
====== ====== ====== ======