Kearny Financial Corp. has recently released its 10-K report, providing a detailed overview of its financial performance and operations. Kearny Financial Corp. is the holding company for Kearny Bank, offering various banking products and services in the United States. The company's offerings include deposit products, loans, and investment activities. Kearny Financial Corp. was founded in 1884 and is headquartered in Fairfield, New Jersey.
In the 10-K report, the management's discussion and analysis of financial condition and results of operations highlighted critical accounting policies and estimates. The report emphasized the determination of the allowance for credit losses (ACL) as a critical accounting estimate. The ACL totaled $44.9 million at June 30, 2024, with $29.7 million allocated to collectively evaluated multi-family and nonresidential mortgage loans. The report also detailed a hypothetical sensitivity analysis to understand the impact of a change in a key input on the ACL, demonstrating the potential effects of economic changes on the company's financial position.
The financial overview section of the 10-K report provided key financial data for the years ended June 30, 2024, 2023, and 2022. It included balance sheet data, summary of operations, per share data, performance ratios, asset quality ratios, and capital ratios. Notably, the company reported a net loss of $86.7 million for the year ended June 30, 2024, compared to net income of $40.8 million and $67.5 million for the previous two years, respectively.
The comparison of financial condition at June 30, 2024, and June 30, 2023, revealed a decrease in total assets, primarily driven by decreases in investment securities, net loans receivable, and goodwill. Additionally, the report highlighted changes in investment securities, loans held-for-sale, net loans receivable, nonperforming loans, and the allowance for credit losses. The company's financial performance was also reflected in various ratios, including return on average assets, return on average equity, net interest rate spread, and efficiency ratio.
As a result of these announcements, the company's shares have moved 8.0% on the market, and are now trading at a price of $6.88. Check out the company's full 10-K submission here.
