BayFirst Financial Q1 net loss widens on lower net interest income

Overview

• US community bank reported Q1 net loss widened yr/yr on lower net interest income

• Company raised $80 mln in capital via PIPE to improve regulatory capital ratios

• Alfred Rogers named CEO of BayFirst National Bank as part of leadership changes

Outlook

• Company intends to develop an Asset Resolution Plan to address criticized assets after capital raise

• BayFirst expects capital raise to enable the Bank to meet regulatory capital requirements

• Company plans public offering of up to 4.1 mln shares, to be marketed to shareholders of record

Result Drivers

• LOWER NET INTEREST INCOME - Co said Q1 net interest income fell mainly due to a decrease in loan interest income, partially offset by lower interest expense

• NONINTEREST INCOME DROP - Co said noninterest income fell sharply yr/yr due to lower gains on sale of government guaranteed loans and reduced packaging fees

• HIGHER LOAN SERVICING EXPENSE - Co said Q1 noninterest expense rose from prior qtr primarily due to increased loan servicing and origination costs

Company press release: ID:nGNX5cr90v

Key Details

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