Company Overview: Carver Bancorp, Inc.

Business Description

• Legal Structure: Holding company for Carver Federal Savings Bank, a federally chartered savings bank.
• Headquarters: New York, NY.
• Primary Business: Operates as a unitary savings and loan holding company, primarily managing Carver Federal.

Carver Federal Savings Bank

• Founded: 1948; began operations in 1949.
• Mission & Community Focus: Originally established to serve African-American communities with limited financial access.
• Headquarters: Harlem, NYC.
• Branches: 7 branches located in low- to moderate-income neighborhoods in Brooklyn, Manhattan, and Queens.
• Assets: Approximately $730 million as of March 31, 2025.
• Employees: 109 as of March 31, 2025.
• Customer Base: Serves residents, businesses, governmental and quasi-governmental agencies in NYC.
• Market Area: Main deposit and lending markets in Kings, New York, Bronx, Queens Counties, and parts of Westchester County.
• Focus & Rating: Excelling in community development; received a sixth consecutive "Outstanding" CRA rating (most recent in March 2022).

Products & Services

• Deposits: Demand, savings, time deposits, IRAs.
• Loans:
  • Mortgage Loans: Commercial, multifamily (including owner-occupied), and single-family residential loans.
  • Business Loans: Small business financing, including working capital and SBA-guaranteed loans.
  • Consumer Loans: Personal, auto, and other unsecured loans, including products for underbanked consumers like check cashing, wire transfers, reloadable prepaid cards.
  • Construction Loans: For new builds and renovations, now limited in originations.
• Additional Services: Debit cards, online and mobile banking, online bill pay, telephone banking, Carver Community Cash (services for unbanked/underbanked customers).

Market & Competition

• Market Focus: NYC area, particularly Brooklyn, Manhattan, Queens, and surrounding counties.
• Competitive Landscape: High competition from larger regional and national banks, savings institutions, credit unions, mortgage banking companies, mutual funds, and other financial intermediaries.
• Community Engagement: Managed through Carver Community Development Corporation (CCDC), focusing on economic development and financial literacy.

Strategic & Regulatory Highlights

• Recent Formal Agreement with OCC (May 14, 2025): Includes strategic planning, earnings improvement, and compliance oversight.
• Regulatory Environment: Subject to supervision by OCC, FRB, FDIC (deposit insurance), and adherence to capital, liquidity, and community reinvestment standards.
• Capital & Liquidity:
  • Capital ratios below certain internal targets (IMCR) but above "adequately capitalized" levels.
  • Adequate liquidity position, with sources from deposits, loan repayments, securities, and FHLB advances.
• Recent Financial Performance (Fiscal Year 2025):
  • Net loss of $13.7 million (from a net loss of $3.0 million in 2024).
  • Total assets: $729 million.
  • Total loans: $607 million.
  • Employees: 109.
  • No current dividends paid; prior stock repurchase program completed with 11,744 shares repurchased at an average price of $235.80 per share.
• Revenue & Income (Fiscal Year 2025):
  • Interest income: $34.3 million.
  • Interest expense: $15.1 million.
  • Net interest income: $19.2 million.
  • Non-interest income: $3.1 million.
  • Operating expenses: $34.8 million.
  • Net loss attributable to the company: $13.7 million.

Summary

Carver Bancorp, Inc. is a community-focused financial holding company specializing in managing Carver Federal Savings Bank, which provides banking services—including mortgage, business, and consumer lending—to underserved African-American communities in New York City. It has a diversified product portfolio, a strong emphasis on community development, and operates a network of branches with a dedicated, minority-rich workforce. Despite recent financial losses in fiscal 2025, the company maintains a significant asset base and continues to pursue regulatory compliance and community engagement initiatives.