10-Q · May 15, 2026
Broadway Financial Corporation delivered a significant turnaround in Q1 2026, reporting net income of $1.2 million and EPS of $0.09, a recovery from a loss of $2.7 million in the same quarter last year. This performance…
Earnings analysis · 10-Q
BYFC earnings analysis
Filed August 13, 2026 · Our reading of the company's report
The latest report
Broadway reported Q2 2026 total interest income of $17.803 million and diluted EPS of $0.02, down from $0.05 in Q1 2026. Strong balance-sheet growth—$110.0 million of loan growth and $197.0 million of deposit growth—was…
Read full summary
Broadway reported Q2 2026 total interest income of $17.803 million and diluted EPS of $0.02, down from $0.05 in Q1 2026. Strong balance-sheet growth—$110.0 million of loan growth and $197.0 million of deposit growth—was offset by a $1.481 million credit-loss provision and a 10-basis-point sequential NIM contraction. The key new filing concern is ineffective disclosure controls as of June 30, 2026, with 2 material weaknesses; no numerical forward guidance was provided.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.02
What stood out
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Positive earnings, but EPS declined sequentially
Total interest income was $17.803 million in Q2 2026, while diluted EPS was $0.02, down from $0.05 in Q1 2026.
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Loan growth remained strong
Loans grew by $110.0 million during the quarter, supporting balance-sheet expansion and future earning-asset growth.
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Deposits expanded materially
Deposits increased by $197.0 million, or 21.5%, providing funding for the $110.0 million increase in loans.
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Operating efficiency improved
Operating efficiency improved during the quarter, supporting continued profitability despite a $1.481 million provision for credit losses.
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Remediation efforts underway
Management has dedicated significant resources, including additional employee training, to remediation of control deficiencies.
What to watch
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Material weaknesses in internal controls
Management concluded that disclosure controls and procedures were ineffective as of June 30, 2026. The company identified 2 material weaknesses involving unusual or infrequent equity-related contracts and subsequent appraisals for collateral-dependent loans.
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Credit-loss provision increased
The provision for credit losses was $1.481 million, indicating increased credit-cost pressure as the loan portfolio expands by $110.0 million.
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Margin and deposit-mix pressure
Net interest margin contracted by 10 basis points sequentially while deposits grew by $197.0 million; the prior earnings discussion also highlighted a higher uninsured-deposit mix, creating potential funding-cost and liquidity sensitivity.
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No formal risk-factor update
The risk-factor section states that management was not aware of any material changes to the risk factors in the 2025 Form 10-K; however, the absence of an update does not mitigate the 2 control weaknesses disclosed elsewhere in the filing.
Management's outlook
The 10-Q provides no numerical revenue or EPS guidance and does not state that prior guidance was raised, maintained, lowered, or withdrawn. Management’s outlook was deferred to the earnings release and call.
Earlier filings 4
10-K · March 31, 2026
Broadway Financial (City First Bank) reports a $1.0 billion loan portfolio (loans held for investment $1,016,540 thousand) concentrated in adjustable‑rate multi‑family and commercial lending; more than 82% of loans have…
10-Q · February 13, 2026
Broadway Financial reported a large GAAP loss for the quarter ended September 30, 2025 driven by a $25,858 thousand goodwill impairment; net (loss) income was $(23,894) for the quarter and loss per common share was…
10-Q · December 31, 2025
Broadway Financial reported a positive quarterly net income swing with net income of $746 thousand for the three months ended June 30, 2025 versus $258 thousand in 2024, driven by a recapture of credit losses and some…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.