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Territorial Bancorp Inc. mentioned the excellent balances in its residential-dominated loan portfolio are “well-secured” by these properties’ values because the COVID-19 pandemic wreaks havoc on the state’s economic system.
The dad or mum of the state’s fifth-largest financial institution up to date its scenario with the coronavirus as we speak whereas reporting that its first-quarter web revenue fell 31.4% to $4.5 million primarily because of a one-time $1.98 million achieve within the year-ago quarter from the sale of a belief most popular safety. Territorial earned $6.5 million within the first quarter of 2019.
“Our total assets and deposits grew in the first quarter and we continued to emphasize maintaining strong asset quality, ” Territorial Chairman and CEO Allan Kitagawa mentioned in a press release. “Our emphasis on asset quality and our strong capital position should allow the company to work through the challenges we face with the COVID-19 pandemic.”
Territorial Financial savings Financial institution mentioned through the quarter it acquired forbearance inquiries on 183 loans, representing 3.52% of its complete variety of loans. The financial institution mentioned it’s at present analyzing the forbearance inquiries and will enable debtors who’re experiencing monetary difficulties due to COVID-19 to defer as much as six loan funds.
Of these 183 complete inquiries, 170 of them consisted of one- to four-family residential properties. The financial institution mentioned these residential mortgage loans, which symbolize 97% of the financial institution’s complete loan portfolio stability, are well-secured because the ratio of the present loan stability to the present value of the property securing these mortgage loans averages 46.26%.
The corporate additionally acquired forbearance inquiries on 4 industrial mortgage loans, which symbolize 0.08% of the entire variety of loans; seven industrial loans, which symbolize 0.13% of the entire variety of loans; and two house fairness strains of credit score which symbolize 0.04% of the entire variety of loans.
Territorial put aside $217,000 for potential future loan losses in contrast with $5,000 within the year-earlier quarter.
The corporate, which has briefly closed seven of its 29 branches because of decreased demand for banking companies, mentioned it has not seen a rise in loan delinquencies because the starting of the yr, vital adjustments in deposits, or vital drawdowns on any strains of credit score. Territorial mentioned it doesn’t have any industrial loans to motels, companies within the transportation trade, eating places or retail institutions.
Territorial additionally declared a quarterly dividend of 23 cents a share that can be paid on Might 28 to stockholders of document as of Might 14.
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