OptimumBank Holdings, Inc. (OPHC-NASDAQ) Announces Third Quarter Earnings


Fort Lauderdale, FL, Nov. 09, 2023 (GLOBE NEWSWIRE) — OptimumBank Holdings, Inc. (NASDAQ: OPHC) and subsidiary OptimumBank today announced the company’s total assets increased by approximately $128 million to $713 million as of September 30, 2023 from $585 million at December 31, 2022, primarily due to increases in loans, cash and cash equivalents. The growth in assets was attributable to the success of the Company’s efforts to increase loans that were funded by increased deposits from new customers. Net loans grew by $96 million to $574 million on September 30, 2023, from $477 million at December 2022. Deposits grew by approximately $110 million to $618 million on September 30, 2023, from $508 million at December 31, 2022. The Company has an available credit line of 158MM Federal Home Loan Bank and maintained advances at $10 million during the first nine month of 2023. The Company also has a $13.6 million advance with the Federal Reserve. Total stockholders’ equity increased by approximately $4 million to $66 million on September 30, 2023, from $63 million as of December 31, 2022, primarily due to net earnings, proceeds from common stock sales and changes in unrealized loss on debt securities available for sale.

Net earnings for the nine months ending September 30, 2023, were $3,734,000 or $.52 per basic and diluted share compared to net earnings of $3,414,000 or $.44 per basic and diluted share for the nine months ended September 30, 2022.

The allowance for credit losses totaled $7.2 million or 1.24% of loans outstanding at September 30, 2023, compared to $5.8 million or 1.20% of loans outstanding at December 31, 2022. The increase in the credit loss expense during the nine months ended September 30, 2023 was primarily due to loan volume growth and the changes in the methodology used for measuring expected credit losses. During the nine-months ended September 30, 2023, the net charge off amounting to $1.4 million primarily resulted from consumer lending.


Noninterest income increased to $2,412,000 for the nine months ending September 30, 2023 as compared to $2,106,000 for the nine months ending September 30, 2022. This is due to increased wire transfer and ACH fees. Net interest Margin (NIM) continues to remain stable at 3.79% for the three months ended September 30, 2023 as compared to 3.73% at for the three months ended June 30, 2023.

During the first nine months of 2023, the Company issued 72,221 shares of its common stock in a private placement transaction to two accredited investors at a price of $4.50 per share. None of these investors was an officer, director or affiliate of the Company. The Company issued these shares in reliance on Section 4(a)(2) of the Securities Act as a transaction by an issuer not involving a public offering.

At the holding company meeting held on November 9, 2023, Chairman Moishe Gubin commented “This was a great third quarter and we are on our best run rate ever in the history of the Bank with a strong ROAE.”

Chairman Gubin continues to facilitate the execution for the OptimumBank’s strategic plan which encompasses expanding lending capabilities, increasing the Bank’s core deposit base primarily with fee-based income businesses and by evaluating opportunistic M&A opportunities. Gubin remains focused on increasing the Loan-to-Deposit ratio by maintaining competitive pricing of the Bank’s products to improve the Net Interest Margin (NIM) to reach its maximum potential. The Bank continues to focus on the customer on its path to grow larger and stronger while still achieving community banking at its best, where customers are a name, not a number.

About OptimumBank Holdings, Inc.

OptimumBank Holdings, Inc. operates as the bank holding company for OptimumBank that provides a range of consumer and commercial banking services to individuals and businesses. The company accepts demand interest-bearing and noninterest-bearing, savings, money market, NOW, and time deposit accounts, as well as certificates of deposit; and offers residential and commercial real estate, commercial, and consumer loans, as well as lending lines for working capital needs. It also provides debit and ATM cards; investment, cash management, and notary and night depository services; and direct deposits, money orders, cashier’s checks, domestic collections, drive-in tellers, and banking by mail, as well as Internet banking services. In addition, the company engages in holding, managing, and disposing foreclosed real estate. It operates through banking offices located in Broward County, Florida. OptimumBank Holdings, Inc. was founded in 2000 and is based in Fort Lauderdale, Florida.

Safe Harbor Statement:

This press release contains forward-looking statements that can be identified by terminology such as “believes,” “expects,” “potential,” “plans,” “suggests,” “may,” “should,” “could,” “intends,” or similar expressions. Many forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results or implied by such statements. These factors include, but are not limited to, our limited operating history, managing our expected growth, risks associated with integration of acquired websites, possible inadvertent infringement of third-party intellectual property rights, our ability to effectively compete, our acquisition strategy, and a limited public market for our common stock, among other risks. OptimumBank Holdings, Inc.’s future results may also be impacted by other risk factors listed from time-to-time in its SEC filings. Many factors are difficult to predict accurately and are generally beyond the company’s control. Forward looking statements speak only as to the date they are made and OptimumBank Holdings, Inc. does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.

Investor Relations: 
OptimumBank Holdings. Inc.
[email protected]

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