Freedom Financial Holdings Reports Q2 Earnings Amid Write-Downs and Loan Provision Increases
Freedom Financial Holdings (OTCQX: FDVA) reported a net income of $289,621 or $0.04 per diluted share for the second quarter of 2026, marking a significant decline from both Q1 2026 and Q2 2025 results. The drop in earnings was attributed to a write-down on its OREO asset by $668,301 and an increase in loan loss provisions totaling $538,805. Despite these challenges, the company noted revenue growth of 5.49% year-over-year and improvements in yield on earning assets and net interest margin. The mortgage division performed well, closing 112 mortgages with a total volume of $54 million, contributing to a 14.6% increase in gain-on-sale revenue compared to the prior quarter. CEO Joseph J. Thomas emphasized efforts to stabilize earnings volatility from OREO and provision expenses while focusing on core deposit growth and improved net interest margin through better asset mix. Key financial metrics showed mixed results: tangible book value per share increased slightly, but ROAA dropped significantly in Q2 2026 compared to previous quarters. Total assets decreased by $14 million due to reduced cash reserves and brokered deposits.
Topics: banking loan loss provision net income oreo write-down