Magyar Bancorp, parent company of Magyar Bank, said third-quarter net income rose for the period ended June 30, behind what the company said was “solid” loan growth. The seven-branch financial institution also declared a dividend increase.
The company said third-quarter net income leaped 46% to $2.5 million, or 40 cents, from $1.7 million, or 27 cents, from the same period a year ago. The previous quarter’s performance was hindered by higher provisions for credit loss, other expenses and income tax expense.
Net income for the nine months ended June 30 climbed 38 .4% to $7.2 million, or $1.16, from $5.2 million, or 82 cents, for the nine months ended June 30, 2024.
Magyar also announced that its board of directors declared an increase in its quarterly cash dividend to 8 cents per share, which will be paid on Aug. 21 to stockholders of record as of Aug. 7.
“Our Community Banking strategy continues to produce strong financial results,” stated John Fitzgerald, president and chief executive officer of Magyar Bancorp. “Solid loan growth for the first nine months of our fiscal year, combined with prudent balance sheet management produced a 46% increase in net income year over year, and further expansion of our net interest margin on a linked quarter basis. Despite the market volatility during the April through June timeframe, our stock price increased over 17% during the quarter.”
Magyar’s seven branches are all located in central New Jersey.
