NASDAQ$CFFN
Capitol Federal Financial Inc · Q4 2020 earnings
Q4 2020 earnings · · Investor relations
Briefing
Capitol Federal reported net income of $18.3 million and EPS of $0.13 for Q4 2020.
Capitol Federal Financial, Inc. reported a net income of $18.3 million, or $0.13 per share, for the quarter ended September 30, 2020. The decrease was primarily due to an increase in non-interest expense and a decrease in net interest income compared to the prior quarter.
- Net income was $18.3 million.
- Basic and diluted earnings per share were $0.13.
- Net interest margin was 2.03%.
- The company repurchased $23.8 million of common stock, or 2,558,100 shares, at an average price of $9.31 per share.
Headline financials
Revenue & EPS history
Capitol Federal · Revenue · Quarterly
$50.7M
Revenue by segment
Capitol Federal · $56.5M total across 4 segments · Q3 2021
- Loans receivable$54.8M—96.9%
- FHLB stock$944K—1.7%
- Investment securities$763K—1.4%
- Cash and cash equivalents$26K—0.0%
Forward guidance
For fiscal year 2021, it is currently the intention of the Board of Directors to continue the payout of 100% of the Company's earnings to the Company's stockholders. Dividend payments depend upon a number of factors including the Company's financial condition and results of operations, regulatory capital requirements, regulatory limitations on the Bank's ability to make capital distributions to the Company, and the amount of cash at the holding company level.
Tailwinds
- The Company has the resources to continue to pay its regular quarterly dividend of $0.085 per share for the foreseeable future.
- It is management's intention to ask for a regulatory non-objection at some point in the future to pay this dividend when economic conditions are more certain.
- It is currently the Company's intention to pay out 100% of its fiscal year 2021 earnings.
- Management anticipates the effective income tax rate for fiscal year 2021 will be approximately 21% to 22%.
- The Bank elected to use the CBLR framework beginning with the quarter ended March 31, 2020. As of September 30, 2020, the Bank's CBLR was 12.4%, which exceeded the minimum requirement.
Headwinds
- There is increasing concern about the longer lasting impact on local business as well as travel and entertainment resulting from the COVID-19 pandemic.
- This could cause a longer recovery time for all sectors of the economy and could make it challenging for sectors that have had better recoveries to maintain that recovery in the long run.
- Retail certificates of deposit decreased $62.7 million between March 31, 2020 and September 30, 2020 while business certificates of deposit increased $64.0 million.
- Because some of the deposits received from the new relationship are COVID-19-related payments, we do not expect the full balance of deposits received in fiscal year 2020 to be retained through fiscal year 2021.
- The financial assistance provided by the government, which had tapered off significantly by September 30, 2020, may be masking our actual credit exposure.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q4 2020
-0.4%
Avg return
Earnings day
-0.9%
Avg return
5 days after
-0.1%
Avg return
30 days after
40%
27 / 67 earnings
Positive
+17.9%
Q4 2023
Best reaction
-13.3%
Q4 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q2 2026 | +1.5% | -2.5% | -1.5% | |
| Q1 2026 | +2.2% | +8.6% | +3.5% | |
| Q4 2025 | -4.1% | -1.9% | +5.1% | |
| Q3 2025 | -0.6% | -1.0% | +4.4% | |
| Q2 2025 | +0.6% | +5.9% | +3.7% | |
| Q1 2025 | +2.6% | +4.0% | +3.7% | |
| Q4 2024 | +9.3% | +8.5% | +12.4% | |
| Q3 2024 | -7.1% | -5.3% | -9.2% | |
| Q2 2024 | -6.1% | -8.9% | -2.7% | |
| Q1 2024 | +5.3% | +7.9% | -3.9% | |
| Q4 2023 | +17.9% | -2.4% | +19.2% | |
| Q3 2023 | +0.5% | +0.5% | -12.1% | |
| Q2 2023 | +0.0% | -5.8% | -3.6% | |
| Q1 2023 | -3.0% | -3.4% | -0.1% | |
| Q4 2022 | -13.3% | -3.7% | -3.3% | |
| Q3 2022 | +0.8% | +3.5% | -0.5% | |
| Q2 2022 | -1.2% | -3.8% | +1.1% | |
| Q1 2022 | +0.2% | -1.5% | -0.7% | |
| Q4 2021 | +5.0% | +5.5% | +1.4% | |
| Q3 2021 | -2.3% | -2.9% | +1.8% | |
| Q2 2021 | -1.0% | +1.0% | -0.9% | |
| Q1 2021 | -4.7% | -3.9% | +2.1% | |
| Q4 2020 | -3.1% | +0.0% | +10.2% | |
| Q3 2020 | -1.7% | -3.8% | -5.4% | |
| Q2 2020 | -3.3% | -6.2% | -5.4% | |
| Q1 2020 | -2.7% | -3.0% | -9.9% | |
| Q4 2019 | -1.2% | -0.2% | -1.9% | |
| Q3 2019 | -2.8% | -6.0% | -4.3% | |
| Q2 2019 | +0.8% | +2.2% | -2.0% | |
| Q1 2019 | -4.8% | -6.1% | -2.2% | |
| Q4 2018 | -1.2% | +0.4% | +8.1% | |
| Q3 2018 | +0.0% | +0.4% | +1.2% | |
| Q2 2018 | -0.9% | +0.6% | +4.3% | |
| Q1 2018 | -1.1% | -1.1% | -5.9% | |
| Q4 2017 | -8.2% | -8.7% | -9.8% | |
| Q3 2017 | +2.9% | +3.3% | -1.0% | |
| Q2 2017 | -1.6% | -2.6% | -6.7% | |
| Q1 2017 | -4.2% | -4.9% | -4.9% | |
| Q4 2016 | +4.0% | +2.3% | +12.9% | |
| Q3 2016 | +0.2% | -1.3% | +0.8% | |
| Q2 2016 | -0.2% | — | — | |
| Q1 2016 | +3.4% | — | — | |
| Q4 2015 | -0.7% | — | — | |
| Q3 2015 | +0.5% | — | — | |
| Q2 2015 | -2.3% | — | — | |
| Q1 2015 | +1.1% | — | — | |
| Q4 2014 | +1.2% | — | — | |
| Q3 2014 | +0.0% | — | — | |
| Q2 2014 | -1.2% | — | — | |
| Q1 2014 | -0.4% | — | — | |
| Q4 2013 | -3.3% | — | — | |
| Q3 2013 | -0.2% | — | — | |
| Q1 2013 | -1.1% | — | — | |
| Q4 2012 | +1.5% | — | — | |
| Q2 2013 | +1.2% | — | — | |
| Q3 2012 | -1.0% | — | — | |
| Q2 2012 | +0.6% | — | — | |
| Q1 2011 | -0.9% | — | — | |
| Q1 2012 | -0.9% | — | — | |
| Q4 2009 | +3.2% | — | — | |
| Q2 2010 | +3.2% | — | — | |
| Q4 2011 | +3.2% | — | — | |
| Q2 2011 | +3.2% | — | — | |
| Q1 2010 | +3.2% | — | — | |
| Q3 2010 | -4.1% | — | — | |
| Q4 2010 | -4.1% | — | — | |
| Q3 2011 | -4.1% | — | — |
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