FIRST FOUNDATION INC. (NASDAQ:FFWM) Files An 8-K Results of Operations and Financial Condition

ME Staff 8-k
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FIRST FOUNDATION INC. (NASDAQ:FFWM) Files An 8-K Results of Operations and Financial Condition
Item 2.02 Results of Operations and Financial Condition

On January 31, 2018, First Foundation Inc. issued a press release reporting its consolidated financial results for the fourth quarter and year ended December 31, 2017.A copy of that press release is attached as Exhibit99.1 to this Current Report on Form8-K and is incorporated herein by reference.

In accordance with General Instruction B.2 of Form 8-K, the information contained in Item 2.02 of this Current Report on Form8-K, including Exhibit99.1, is being furnished and shall not be deemed “filed” for purposes of Section18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section, and such information and that Exhibit shall not be deemed incorporated by reference in any filing under the Securities Act of1933, as amended.

The press release furnished as Exhibit99.1 to this Current Report on Form8-K may contain forward-looking statements within the meaning of Section27A of the Securities Act and Section21E of the Exchange Act and, as such, may involve known and unknown risks, uncertainties and assumptions.Such forward-looking statements relate to First Foundation’s current expectations and are subject to the limitations and qualifications set forth in First Foundation’s other documents filed with the U.S. Securities and Exchange Commission, including, without limitation, that actual events and/or results may differ materially from those projected in such forward-looking statements.

Item 8.01 Other Events

On January 31, 2018, First Foundation Inc. announced the following consolidated financial results for the fourth quarter and year ended December 31, 2017:

FIRST FOUNDATION INC.

CONSOLIDATED BALANCE SHEETS – Unaudited

(in thousands, except share and per share amounts)

December 31,

December 31, 2016

ASSETS

Cash and cash equivalents

$

120,394

$

597,946

Securities available-for-sale (“AFS”)

519,364

509,578

Loans held for sale

154,380

250,942

Loans, net of deferred fees

3,663,727

2,555,709

Allowance for loan and lease losses (“ALLL”)

(18,400

)

(15,400

)

Net loans

3,645,327

2,540,309

Investment in FHLB stock

19,060

33,750

Deferred taxes

12,143

16,811

Premises and equipment, net

6,581

6,730

Real estate owned (“REO”)

2,920

1,734

Goodwill and intangibles

33,576

2,177

Other assets

27,440

15,426

Total Assets

$

4,541,185

$

3,975,403

LIABILITIES AND SHAREHOLDERS’ EQUITY

Liabilities:

Deposits

$

3,443,527

$

2,426,795

Borrowings

678,000

1,250,000

Accounts payable and other liabilities

24,707

14,344

Total Liabilities

4,146,234

3,691,139

Commitments and contingencies

–

–

Shareholders’ Equity

Common Stock, par value $.001: 70,000,000 shares authorized; 38,207,766 and 32,719,632 shares issued and outstanding at December 31, 2017 and December 31, 2016, respectively

Additional paid-in-capital

314,501

232,428

Retained earnings

85,503

57,065

Accumulated other comprehensive income (loss), net of tax

(5,091

)

(5,245

)

Total Shareholders’ Equity

394,951

284,264

Total Liabilities and Shareholders’ Equity

$

4,541,185

$

3,975,403

FIRST FOUNDATION INC.

CONSOLIDATED INCOME STATEMENTS – Unaudited

(in thousands, except share and per share amounts)

For the Quarter

Ended December 31,

For the Year

Ended December 31,

Interest income:

Loans

$

33,998

$

23,718

$

121,707

$

85,080

Securities

3,227

3,358

12,407

12,781

FHLB Stock, fed funds sold and deposits

1,291

2,687

2,781

Total interest income

37,911

28,367

136,801

100,642

Interest expense:

Deposits

5,340

2,722

17,443

8,916

Borrowings

1,346

5,740

2,277

Total interest expense

6,686

3,363

23,183

11,193

Net interest income

31,225

25,004

113,618

89,449

Provision for loan losses

1,800

2,762

4,681

Net interest income after provision for loan losses

30,325

23,204

110,856

84,768

Noninterest income:

Asset management, consulting and other fees

7,038

6,257

26,710

24,384

Gain on sale of loans

2,717

7,029

7,812

Gain (loss) on capital markets activities

–

–

–

(1,043

)

Other income

1,621

4,980

3,407

Total noninterest income

11,376

7,586

38,719

34,560

Noninterest expense:

Compensation and benefits

13,703

11,867

56,558

48,574

Occupancy and depreciation

4,302

3,195

15,396

11,978

Professional services and marketing costs

2,572

2,017

7,687

9,825

Other expenses

8,084

3,112

19,335

10,617

Total noninterest expense

28,661

20,191

98,976

80,994

Income before taxes on income

13,040

10,599

50,599

38,334

Taxes on income

10,767

4,082

23,017

15,031

Net income

$

2,273

$

6,517

$

27,582

$

23,303

Net income per share:

Basic

$

0.06

$

0.20

$

0.80

$

0.72

Diluted

$

0.06

$

0.19

$

0.78

$

0.70

Shares used in computation:

Basic

36,890,085

32,668,318

34,482,630

32,365,800

Diluted

37,500,952

33,788,114

35,331,059

33,471,816

Item 9.01 Financial Statements and Exhibits


First Foundation Inc. Exhibit
EX-99.1 2 ffwm-ex991_6.htm EX-99.1 – 2017 EARNINGS PRESS RELEASE ffwm-ex991_6.htm Exhibit 99.1   First Foundation Announces 2017 Financial Results   • Earnings per share of $0.06 for the fourth quarter of 2017 and $0.78 for the full year   • Non-GAAP fully diluted earnings per share of $0.25 for the fourth quarter of 2017   • Revenue growth of 23% in 2017   • Loan growth of 36% and deposit growth of 42% in 2017 IRVINE,…
To view the full exhibit click here

About FIRST FOUNDATION INC. (NASDAQ:FFWM)

First Foundation Inc. is a financial services holding company. The Company provides a platform of personalized financial services to high net-worth individuals and their families, family businesses and other affiliated organizations. The Company conducts its operations through its subsidiaries First Foundation Advisors (FFA) and First Foundation Bank (FFB), and First Foundation Insurance Services (FFIS), a subsidiary of FFB. The Company’s segments include Banking; Investment Management, Wealth Planning and Consulting (Wealth Management), and Other. The Banking segment includes the operations of FFB and FFIS, and Wealth Management segment includes the operations of FFA. Its integrated platform provides investment management, wealth planning, consulting, trust, banking products and services, life insurance services and property and casualty insurance services to meet the financial needs of its clients.