CF Bankshares Inc. Reports $4.4 Million Net Income for Q1 2025, Driven by 14.4% Rise in Net Interest Income

CF Bankshares Inc. reported a net income of $4.4 million for the first quarter of 2025, translating to earnings of $0.68 per diluted share, a significant increase from the $3.1 million, or $0.47 per diluted share, recorded in the same period last year. This growth in profitability was primarily driven by a 14.4% rise in net interest income, which reached $12.9 million, alongside a reduction in the provision for credit losses, which fell to $582,000 from $1.2 million in the prior year. The company’s total revenue for the quarter was $30.4 million, compared to $29.2 million in the first quarter of 2024.

Total assets for CF Bankshares increased to $2.09 billion as of March 31, 2025, reflecting a 1.4% rise from $2.07 billion at the end of 2024. This growth was largely attributed to a $28.1 million increase in net loans and leases, which totaled $1.75 billion. The company also reported a slight increase in cash and cash equivalents, which rose to $241.0 million, primarily due to the sale of a $5.0 million equity security. The allowance for credit losses on loans increased to $17.8 million, representing 1.01% of total loans, up from 1.00% at the end of 2024.

In terms of operational metrics, CF Bankshares saw a notable increase in its deposit base, which grew by $27.9 million, or 1.6%, to $1.78 billion. This increase was driven by a rise in both noninterest-bearing and interest-bearing deposits. The company’s nonperforming loans decreased to $14.6 million, down from $15.0 million at the end of 2024, indicating improved asset quality. Additionally, the company held $524,000 in foreclosed assets, a new entry on its balance sheet compared to none at the end of the previous year.

Strategically, CF Bankshares has focused on enhancing its capital structure and liquidity. The company maintained a strong capital position, with stockholders' equity increasing to $172.7 million, up 2.5% from the previous quarter. The company also has access to various liquidity sources, including a $35 million credit facility and additional borrowing capacity from the Federal Home Loan Bank. Looking ahead, CF Bankshares remains committed to managing its credit risk and capitalizing on growth opportunities in its core markets, primarily in Ohio and Indiana. The management anticipates that the current economic conditions will continue to support its growth trajectory, although it remains vigilant regarding potential market fluctuations.