NYCB net dips, but CEO says regulatory easing allows growth
New York Community Bank headquarters in Westbury seen on Oct. 29, 2015. Credit: Audrey C. Tiernan
Westbury-based New York Community Bancorp said Wednesday its second-quarter net income fell 7 percent to $107.4 million.
NYCB is the largest bank based on Long Island, with $50.5 billion in assets.
The bank said that until recently, it had restricted its balance sheet growth to stay below the $50 billion threshold for being deemed a “systemically important financial institution,” or SIFI. A bank is designated a SIFI by regulators if its failure would cause significant disruption to the economy.
But that threshold was recently lifted, which has helped the bank begin to grow assets, said Joseph R. Ficalora, the president and CEO at NYCB.
NYCB said its held-for-investment loan portfolio totaled $39.4 billion, up 6 percent from the same period a year ago.
"With the SIFI threshold increased to $250 billion, we expect continued loan growth going forward," Ficalora said.
The bank also reported deposits of $29.6 billion, up 2 percent from the year prior.
Joseph Ficalora, CEO of New York Community Bancorp, is seen in 2007. Credit: Howard Schnapp
NYCB shares fell nearly 8 percent Wednesday to close at $10.52. The shares are down 19 percent from a year ago.
Sarra Sounds Off, Ep. 17: Olympics a possibility for Long Beach wrestler? On the latest episode of "Sarra Sounds Off," Newsday's Gregg Sarra talks with Long Beach wrestler Dunia Sibomana-Rodriguez about pursuing a third state title and possibly competing in the Olympics in 2028, plus Jared Valluzzi has the plays of the week.
Sarra Sounds Off, Ep. 17: Olympics a possibility for Long Beach wrestler? On the latest episode of "Sarra Sounds Off," Newsday's Gregg Sarra talks with Long Beach wrestler Dunia Sibomana-Rodriguez about pursuing a third state title and possibly competing in the Olympics in 2028, plus Jared Valluzzi has the plays of the week.
