Company says asset resolution plan is expected to strengthen balance sheet for future periods
BayFirst says it remains focused on profitability and serving local markets
Company continues to invest in community banking initiatives despite near-term conditions
Q2 results
US community bank holding company reported Q2 net loss widened due to asset resolution plan costs
Net interest income and margin declined yr/yr as loan interest income fell
Loans and deposits both fell in Q2, reflecting discontinued SBA 7(a) lending and lower high-rate deposits
Key details
Metric
Actual
Q2 Loss Per Share
$8.05
Q2 Net Loss
$32.67 mln
Q2 Net Interest Margin
3.48%
Result drivers
Asset resolution plan - Co said $41.5 mln in expenses from asset resolution plan, including provision expense, loan write-downs, and impairments, drove Q2 net loss
Noninterest income drop - Co attributed negative noninterest income to lower gains on government guaranteed loans and losses on nonmarketable securities, much of which was tied to the asset resolution plan
Noninterest expenses - Higher noninterest expenses reflected asset resolution plan costs and one-time charges from winding down national lending and digital account opening businesses
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