Goodwill impairment leads to 1Q loss at Flushing in New York
Flushing Financial in Uniondale, N.Y., reported a net loss in the first quarter after recording a $17.6 million goodwill impairment charge.
The $9 billion-asset company said in a press release that it lost $9.8 million in the quarter. A declining stock price in the first quarter created a triggering event that led it to impair goodwill tied to acquisitions it had completed over the past two decades.
The noncash charge had no impact on regulatory capital.
Separately, the loan-loss provision rose significantly, totaling $4.3 million (compared to $600,000 a year earlier). Nonperforming assets rose by 39% from a year earlier, to $64.3 million.