FFW Corporation Announces Earnings for the Quarter and Year to Date Ended March 31, 2025

/EIN News/ -- WABASH, Ind., April 23, 2025 (GLOBE NEWSWIRE) -- FFW Corporation (the “Corporation”) (OTC PINK: FFWC) (4/22/2025 Close: $39.70), parent corporation of Crossroads Bank (the “Bank”), announced earnings for the quarter and year to date ended March 31, 2025.

For the three months ended March 31, 2025, the Corporation reported net income of $1,399,000 or $1.28 per common share compared to $920,000 or $0.82 per common share for the three months ended March 31, 2024. Net interest income for the three months ended March 31, 2025 was $4,119,000 compared to $3,536,000 for the three months ended March 31, 2024. The provision for credit losses was $50,000 for the three months ended March 31, 2025 and $0 for the three months ended March 31, 2024. Total noninterest income was $1,309,000 for the three months ended March 31, 2025 compared to $1,068,000 for the three months ended March 31, 2024. Noninterest expense was $3,827,000 for the three months ended March 31, 2025 and $3,609,000 for the three months ended March 31, 2024.

For the nine months ended March 31, 2025, the Corporation reported net income of $4,081,000 or $3.66 per common share compared to $2,972,000 or $2.64 per common share for the nine months ended March 31, 2024. Net interest income for the nine months ended March 31, 2025 was $11,894,000 compared to $10,813,000 for the nine months ended March 31, 2024. The Company recognized a provision for credit losses of $125,000 for the nine months ended March 31, 2025 and $0 for the nine months ended March 31, 2024. Total noninterest income was $3,849,000 for the nine months ended March 31, 2025 compared to $3,007,000 for the nine months ended March 31, 2024. Noninterest expense was $11,100,000 for the nine months ended March 31, 2025 and $10,584,000 for the nine months ended March 31, 2024.

The three and nine months ended March 31, 2025 represented a return on average common equity of 11.39% and 10.88%, respectively, compared to 7.67% and 8.56% for the three and nine month periods ended March 31, 2024. The three and nine months ended March 31, 2025 represented a return on average assets of 1.00% and 0.95%, respectively, compared to 0.66% and 0.72%, for the three and nine month periods ended March 31, 2024.

The allowance for credit losses as a percentage of gross loans receivable was 1.32% at March 31, 2025 compared to 1.33% at June 30, 2024. Nonperforming assets were $8,682,000 at March 31, 2025 compared to $4,044,000 at June 30, 2024.

As of March 31, 2025, FFWC’s equity-to-assets ratio was 8.73% compared to 8.55% at June 30, 2024. Total assets at March 31, 2025 were $571,925,000 compared to $567,363,000 at June 30, 2024. Shareholders’ equity was $49,958,000 at March 31, 2025 compared to $48,515,000 at June 30, 2024. Crossroads Bank exceeds all applicable regulatory requirements to be considered “well capitalized.”

The Corporation has an active share repurchase program. During the quarter ended March 31, 2025, the Corporation repurchased 13,708 shares at an average price of $39.98. Year to date the Corporation repurchased 53,178 shares at an average price of $39.40. For more information regarding the share repurchase program, please contact Roger Cromer, President, at (260) 563-3185. The Corporation may suspend or discontinue repurchases at any time.

Forward Looking Statements

This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include expressions such as “expects,” “intends,” “believes,” and “should,” which are necessarily statements of belief as to the expected outcomes of future events. Actual results could materially differ from those presented. The Corporation's ability to predict future results involves a number of risks and uncertainties. The Corporation undertakes no obligation to release revisions to these forward-looking statements or reflect events or circumstances after the date of this release.

Crossroads Bank is a wholly owned subsidiary of FFW Corporation providing an extensive array of banking services and a wide range of investments and securities products through its main office in Wabash and six Indiana banking centers located in Columbia City, North Manchester, Peru, South Whitley, Syracuse and Warsaw. The Bank also provides leasing services at each of its banking centers. Insurance products are offered through an affiliated company, Insurance 1 Services, Inc. The Corporation’s stock is traded on the OTC Markets under the symbol “FFWC.” Our website address is www.crossroadsbanking.com. Crossroads Bank, Member FDIC.

FFW Corporation Selected Financial Information
Consolidated Balance Sheet
		Mach 31				June 30
		2025					2024
		Unaudited
Assets
Cash and due from financial institutions		$	6,983,720			$	5,202,224
Interest-bearing deposits in other financial institutions			3,719,909				11,717,782
	Cash and cash equivalents		10,703,629				16,920,006
Securities available for sale			107,035,030				106,179,450
Loans held for sale			1,183,650				559,830
Loans receivable, net of allowance for credit losses of $5,627,164
	at March 31, 2024 and $5,564,436 at June 30, 2024		421,027,946				411,841,368
Federal Home Loan Bank stock, at cost			1,289,700				1,289,700
Accrued interest receivable			2,914,302				3,016,660
Premises and equipment, net			7,503,967				7,614,589
Mortgage servicing rights			1,093,572				1,086,587
Cash surrender value of life insurance			13,054,115				12,725,890
Goodwill			1,213,898				1,213,898
Repossessed Assets			-				1,250
Other assets			4,904,722				4,913,693
	Total assets	$	571,924,531			$	567,362,921
Liabilities and shareholders' equity
Deposits
	Noninterest-bearing	$	51,886,534			$	47,530,618
	Interest-bearing		448,895,881				466,891,628
	Total deposits		500,782,415				514,422,246
Borrowings			17,000,000				-
Accrued expenses and other liabilities			4,184,509				4,425,736
	Total liabilities		521,966,924				518,847,982
Shareholders' equity
Common stock, $.01 par; 2,000,000 shares authorized;
	Issued: 1,836,328; outstanding: 1,086,281 at March 31, 2025 and 1,126,243 at June 30, 2024		18,363				18,363
Additional paid-in capital			10,182,832				10,266,257
Retained earnings			64,774,708				61,694,919
Accumulated other comprehensive income (loss)			(10,489,806	)			(10,795,929	)
Treasury stock, at cost: 746,9325 at March 31, 2025 and
	710,085 at June 30, 2024		(14,528,490	)			(12,668,671	)
	Total shareholders' equity		49,957,607				48,514,939
	Total liabilities and shareholders' equity	$	571,924,531			$	567,362,921

FFW Corporation Selected Financial Information
Consolidated Statement of Income
			Three Months Ended March 31								Nine Months Ended March 31
			2025				2024				2025				2024
			Unaudited				Unaudited				Unaudited				Unaudited
Interest and dividend income:
	Loans, including fees		$	5,707,273			$	5,373,052			$	17,198,053			$	15,688,147
	Taxable securities			549,122				508,864				1,623,785				1,493,040
	Tax exempt securities			405,406				407,951				1,223,115				1,250,686
	Other			103,991				57,617				485,623				189,900
		Total interest and dividend income		6,765,792				6,347,484				20,530,576				18,621,773
Interest expense:
	Deposits			2,619,446				2,746,943				8,608,612				7,680,525
	Borrowings			27,799				64,888				27,813				128,357
		Total interest expense		2,647,245				2,811,831				8,636,425				7,808,882
Net interest income				4,118,547				3,535,653				11,894,151				10,812,891
Provision for credit losses				50,000				-				125,000				-
Net interest income after provision for				4,068,547				3,535,653				11,769,151				10,812,891
	credit losses
Noninterest income:
	Net gains on sales of loans			59,267				28,349				298,601				71,755
	Net gains (losses) on fixed assets			-				-				35,238				-
	Net gains (losses) on sales of REO			-				-				(684	)			(37,006	)
	Commission income			593,775				364,240				1,530,164				1,034,231
	Service charges and fees			245,619				276,777				711,137				779,262
	Earnings on life insurance			109,953				107,851				328,225				283,332
	Other			300,569				291,081				946,043				874,959
		Total noninterest income		1,309,183				1,068,298				3,848,724				3,006,533
Noninterest expense:
	Salaries and benefits			2,017,995				1,942,761				6,063,655				5,726,167
	Occupancy and equipment			333,088				323,582				966,545				950,172
	Professional			127,059				116,840				463,741				359,794
	Marketing			84,205				98,890				278,408				281,794
	Deposit insurance premium			84,423				69,000				246,684				207,666
	Regulatory assessment			11,921				10,345				31,203				31,035
	Correspondent bank charges			34,720				25,675				81,274				69,885
	Data processing			592,792				474,275				1,556,269				1,384,115
	Printing, postage and supplies			69,259				64,214				226,111				219,432
	Expense on life insurance			27,665				41,249				(19,889	)			88,785
	Contribution expense			18,286				20,946				37,388				40,881
	Expense on REO			-				-				-				5,822
	Other			425,132				421,267				1,168,598				1,217,962
		Total noninterest expense		3,826,545				3,609,044				11,099,987				10,583,510
Income before income taxes				1,551,185				994,907				4,517,888				3,235,914
Income tax expense				152,317				75,100				436,810				264,001
Net income			$	1,398,868			$	919,807			$	4,081,078			$	2,971,913

FFW Corporation Selected Financial Information
Key Balances and Ratios
		Three Months Ended March 31								Nine Months Ended March 31
		2025				2024				2025				2024
		Unaudited				Unaudited				Unaudited				Unaudited
Per common share data:
Earnings		$	1.28			$	0.82			$	3.66			$	2.64
Diluted earnings		$	1.28			$	0.82			$	3.66			$	2.64
Dividends paid		$	0.30			$	0.29			$	0.90			$	0.87
Average shares issued and outstanding			1,091,358				1,128,394				1,116,016				1,126,998
Shares outstanding end of period			1,086,281				1,126,843				1,086,281				1,126,843
Supplemental data:
Net interest margin **			3.00	%			2.66	%			2.84	%			2.70	%
Return on average assets ***			1.00	%			0.66	%			0.95	%			0.72	%
Return on average common equity ***			11.39	%			7.67	%			10.88	%			8.56	%
		March 31				June 30
		2025				2024
Nonperforming assets *		$	8,682,341			$	4,044,082
Repossessed assets		$	0			$	1,250
*	Includes non-accruing loans, accruing loans delinquent more than 90 days and repossessed assets
**	Yields reflected have not been computed on a tax equivalent basis
***	Annualized

Contact: Stacy Wiley, Treasurer, at (260) 563-3185