Wednesday, Astoria Financial Corp. (AF),the holding company for Astoria Federal Savings and Loan Association, reported a profit for the third quarter from a loss a year ago, benefiting from the absence of other than temporary impairment charge on investments.
The Lake Success, New York-based company posted third quarter net income of $8.0 million or $0.09 per share, compared to net loss of $16.46 million or $0.19 per share in the prior year period.
In the year ago quarter, the company recorded 'other than temporary impairment' charge of $77.7 million related to the write down of securities to market value.
On average, 12 analysts polled by Thomson Reuters expected the company to report earnings of $0.08 per share. Analysts' estimates typically exclude special items.
Net interest income slipped to $103.1 million for the quarter from $107.1 million in the previous year period. Non-interest income totaled $20.1 million, compared to $22.4 million a year ago, excluding the $77.7 million 'other than temporary impairment' related to Freddie Mac preferred stock.
Six Wall Street analysts expected revenues of $128.48 million for the period.
For the quarter, a $50.0 million provision for loan losses was recorded which was greater than the $13.0 million provision for the 2008 third quarter.
For the nine-month period, the company reported net income of $19.54 million or $0.21 per share, down from $45.89 million or $0.50 per share in the corresponding period last year.
Year-to-date, net interest income rose to $323.81 million from $280.44 million. Non-interest income totaled $63.3 million, excluding the 'other than temporary impairment' charge and the mortgage building write-down recorded in the 2009 first and second quarters, respectively, compared to $69.7 million in the corresponding period last year, excluding the $77.7 million 'other than temporary impairment' charge recorded in the year ago third quarter.
Additionally, the company announced a quarterly cash dividend of $0.13 per common share, payable on December 1, 2009 to shareholders of record as of November 16, 2009.
AF closed Wednesday's trading at $10.85, down $0.24 or 2.16%, on a volume of about 1.51 million shares.
For comments and feedback: editorial@rttnews.com