Capitol Federal Q3 Net Income Rises to $23.6M on Commercial Loan Growth
CFFN sits 55% above its 52-week low of $5.71.
Summary
Capitol Federal Financial reported preliminary fiscal Q3 net income of $23.6 million, or $0.19 per share, driven by higher-yielding commercial loans and reduced borrowings. Net interest margin expanded to 2.31%. The company also released $433,000 in credit loss provisions, mainly from updated models on commercial construction loans. Management expects net commercial loan balances to grow about 3% in the current quarter and approximately 20% for the full fiscal year. The bank repurchased $15.5 million in shares during the quarter and intends to maintain its $0.085 quarterly dividend. With the stock trading near its 52-week high, these results and the positive loan growth outlook could support further upside.
At the time of this announcement, CFFN was trading at $8.85 on NASDAQ in the Finance sector, with a market capitalization of approximately $1.1B. The 52-week trading range was $5.71 to $8.84. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Reuters.