Wed, Sep 18, 8:32 PM (175 days ago)
CFSB Bancorp, Inc. reported a significant decline in net income to $33,000 for the fiscal year ending June 30, 2024, down from $1.4 million in the previous year, primarily due to a $2.1 million decrease in net interest income. Total assets rose 4.1% to $363.4 million, driven by a 292.9% increase in cash and cash equivalents. Loans decreased by 3.1% to $170.4 million, with notable declines in commercial and residential real estate loans. The allowance for credit losses stood at $1.6 million, representing 0.90% of total loans. Deposits increased by 2.8% to $270.8 million, attributed to growth in interest-bearing accounts. CFSB's capital ratios remain strong, exceeding regulatory requirements. The bank faces risks from economic conditions, interest rate fluctuations, and competition, particularly in its primary markets of Norfolk and Plymouth Counties, Massachusetts. The adoption of the CECL standard in July 2023 marked a significant accounting change, influencing credit loss estimations. The future outlook emphasizes growth in core deposits and prudent loan origination strategies.