WaterStone Financial narrows losses
Wauwatosa-based WaterStone Financial Inc., the parent company of WaterStone Bank, has posted a fiscal third quarter net loss of $3.6 million, or 12 cents per share, a vast improvement over a net loss of $28.2 million, or 92 cents per share, in the same period a year ago.
Formerly known as Wauwatosa Savings Bank, the company said its provision for loan losses in the third quarter was $8.9 million, compared with $23.3 million a year earlier.
The company is primarily a mortgage lender with residential loans comprising 97.0 percent of its total loans receivable as of Sept. 30.
"Generally, our results of operations are highly dependent on our net interest income and the provision for loan losses. In recent periods our results of operations have also been negatively impacted by other than temporary impairment of securities available for sale, by increased real estate owned expense and by higher deposit insurance premiums. Net interest income is the difference between the interest income we earn on loans receivable, investment securities and cash and cash equivalents and the interest we pay on deposits and other borrowings," the company said in its quarterly earnings report filed Monday with the U.S. Securities & Exchange Commission.
