CF Bankshares Inc. reported its financial results for the third quarter and nine months ended September 30, 2024, showing a mixed performance compared to the previous fiscal period. Total assets increased slightly to $2.07 billion, up $7.9 million (0.4%) from $2.06 billion at the end of 2023. Cash and cash equivalents decreased by $28.1 million (10.7%) to $233.5 million, attributed to increased loans and leases.

The company experienced a notable rise in interest income, which reached $30.0 million for the third quarter, an increase of $1.8 million (6.5%) from $28.2 million in the same quarter of 2023. However, net interest income for the quarter fell to $11.5 million, down $207,000 (1.8%) from the previous year. The net interest margin also decreased to 2.38%, down 27 basis points from 2.65% in the prior year. For the nine months ended September 30, 2024, net interest income totaled $34.1 million, a decrease of $1.8 million (4.9%) from $35.9 million in 2023.

Net income for the third quarter was $4.2 million, or $0.65 per diluted common share, compared to $4.0 million, or $0.62 per diluted common share, in the same quarter of 2023. However, net income for the nine months decreased to $9.0 million from $12.7 million in the prior year. The provision for credit losses increased significantly to $5.4 million for the nine months, up from $1.4 million in 2023, reflecting a rise in net charge-offs to $5.4 million from $23,000.

The company’s loan portfolio showed mixed results, with total loans and leases increasing to $1.72 billion, driven by a $45.8 million increase in multi-family loans and a $14.8 million increase in commercial real estate loans. However, single-family residential loans decreased by $17.1 million. The allowance for credit losses on loans was $16.8 million, down slightly from $16.9 million at the end of 2023.

CF Bankshares also reported a slight increase in total deposits to $1.75 billion, up $1.5 million (0.1%) from the previous period. Noninterest income rose to $1.6 million for the third quarter, an increase of $305,000 (23.4%) from the same quarter in 2023. Noninterest expenses increased to $7.2 million, up $466,000 (6.9%).

Strategically, the company has focused on investing in joint ventures and low-income housing tax credits, aiming to allocate excess liquidity into higher-earning assets. The company also declared a cash dividend of $0.07 per share on common stock, reflecting its ongoing commitment to returning value to shareholders.