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First Foundation Inc. (FFWM-6.06%) has submitted its annual report on Form 10-K filing for the fiscal year ended December 31, 2024.
The filing reports a net loss of $92.4 million for 2024, compared to a net loss of $199.1 million in 2023. The 2024 results were impacted by a $117.5 million lower of cost or market adjustment related to a reclassification of a portion of the company's multifamily loan portfolio to loans held for sale.
Net interest income before provision for credit losses was $161.9 million, down from $202.8 million in 2023. The net interest margin contracted to 1.40% from 1.59% in the previous year.
Noninterest income, excluding the lower of cost or market adjustment, totaled $51.6 million, up from $49.4 million in 2023. Noninterest expense was $233.5 million, compared to $237.0 million, excluding a goodwill impairment charge, in 2023.
Total assets decreased to $12.6 billion at the end of 2024 from $13.3 billion at the end of 2023, primarily due to declines in total loans and cash and cash equivalents, offset by increases in investment securities and deferred taxes.
Total liabilities decreased to $11.6 billion from $12.4 billion, with a notable decrease in deposits and a slight increase in borrowings. Shareholders’ equity increased to $1.1 billion, largely due to proceeds from a capital raise.
The company raised approximately $228 million in gross proceeds from an equity capital raise in July 2024, which contributed to the increase in shareholders' equity.
First Foundation Inc. continues to focus on reducing exposure to low-coupon fixed-rate loans and concentration in multifamily commercial real estate, as evidenced by the reclassification and sale of multifamily loans.
The company reported an allowance for credit losses on loans held for investment of $32.3 million, representing 0.41% of total loans held for investment, up from 0.29% at the end of 2023.
First Foundation Inc. maintains liquidity management practices and reports an available liquidity ratio of 51.0%, above its policy requirement of 25%.
The company’s capital ratios exceed the minimum regulatory requirements, with FFB's capital ratios qualifying it as a well-capitalized depository institution under prompt corrective action regulations.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the First Foundation Inc. annual 10-K report dated March 17, 2025. To report an error, please email earnings@qz.com.