M&F Bancorp, Inc. Announces Fourth Quarter 2017 Results
DURHAM, N.C.— M&F Bancorp, Inc. (“Company”) (OTCPink: MFBP), the parent company of M&F Bank (“Bank”), announced unaudited financial results for the fourth quarter of 2017 today.
James H. Sills, III, President and CEO of the Company, commented, “The Company experienced improvements in asset quality, fee income and controlling non-interest expenses. In the fourth quarter, we did experience our best quarter of the year in terms of generating new loan growth, which helped off-set some pay downs that occurred at the end of the year. However, for the second time in our 110 year history, the Company realized a year-end loss. For 2017 the loss totaled $2.6 million. During the fourth quarter, we had two events that impacted our profitability. First, we had a large shared national credit, which declared bankruptcy and resulted in a charge-off in the amount of $1.5 million and largely resulted in the provision for loan losses of $1.2 million. Second, the enactment of the new federal tax law, signed in late December 2017, negatively affected the net loss for the Company for the year. Many banks large and small were hit with this onetime charge that comes from revaluing net deferred tax assets as a result of a decrease in income tax rate to 21%. Beginning in 2018, income tax expense will be positively affected by the substantial reduction in the corporate tax rate. The Company will continue to focus on our strategic priorities with emphasis on increasing loan volume.” Read full press release