United Community Financial Corp. (Company) (Nasdaq: UCFC), holding company of The Home Savings and Loan Company of Youngstown, Ohio (Home Savings), today reported consolidated net income of $3.4 million (before amortization of the discount on preferred stock 1) for the three months ended June 30, 2013. The Company also reported net income of $6.1 million (before amortization of the discount on preferred stock 1) for the six months ended June 30, 2013.
Selected second quarter results:
- Net income for the first half of 2013 was $6.1 million, up 57.4% from the first half of 2012
- Delinquent loans were $34.1 million at June 30, 2013, down 29.2% from December 31, 2012
- Nonperforming assets were $40.5 million at June 30, 2013, down 42.6% from December 31, 2012
- Classified loans were $44.9 million at June 30, 2013, down 24.9% from December 31, 2012
- Home Savings’ Tier 1 leverage ratio was 10.03% and the total risk based capital ratio was 19.42%
Patrick W. Bevack, President and Chief Executive Officer of United Community and Home Savings, commented that, “Strong performance throughout the second quarter continues the positive trend for our Company. In May, shareholders approved the conversion of preferred shares issued earlier in the year into common shares and an investment of $2.1 million by certain inside investors. We also completed the rights offering where by existing shareholders invested another $5.0 million in capital. These final steps brought to a close our successful efforts in raising $47.0 million in capital. Subsequently, the Federal Reserve lifted the Order to Cease and Desist that United Community had been operating under since August 2008.” Bevack continued, “We will continue to focus our efforts on maintaining the strength and profitability of our Company.”