Executive summary for Carver Bancorp’s QQ1 2026 results highlights a revenue base of $9.204 million with a YoY decline of 7.14% and a QoQ decline of 0.11%. The quarter produced a net loss of $1.177 million, or an EPS of -$0.22, driven predominantly by a substantial interest expense of $3.563 million that more than offset operating revenue. Despite the negative bottom line, Carver demonstrates meaningful liquidity and a solid asset base: total assets of $713.6 million, cash and cash equivalents of $43.33 million and total cash plus short-term investments of $88.87 million, contributing to a net debt position of approximately -$35.14 million (i.e., cash exceeds debt). The quarterly EBITDA is negative at -$1.178 million, and the operating margin stands at -1.28%. The efficiency of the balance sheet is underscored by a strong liquidity profile but profitability remains the primary overhang.
The balance sheet shows a conservative leverage profile: total liabilities of $685.09 million vs. stockholders’ equity of $28.54 million, implying a book value per share around $5.40 based on ~5.28 million weighted-average shares outstanding. Return metrics reflect a negative earnings contribution despite a YoY improvement in net income percentage terms per the given data, with net income reported as negative but with YoY improvement implied in the input metrics. In the near term, profitability will hinge on managing funding costs, enhancing the contribution of non-interest income, and containing operating expenses. The absence of formal forward guidance in the provided materials necessitates a scenario-based outlook that weights net interest income dynamics, credit quality, and potential fee-based growth against an environment of competitive funding costs and regulatory considerations.