First Seacoast Bancorp delivered a modest Q3 2024 despite a solid year-over-year revenue uptick. For the quarter, revenue totaled $6.88 million, up 26.9% year over year and 3.9% quarter over quarter, supported by a resilient gross margin of roughly 47.9% and gross profit of $3.30 million. However, operating earnings remained negative at $0.60 million and EBITDA was negative at $0.515 million, underscoring that the bottom-line benefits were largely offset by high financing costs and operating expenses. Net income stood at $0.044 million, or $0.0107 per basic share, marking a 104.8% YoY increase but a sharp QoQ decline of 97.8% from the prior quarter.
From a balance sheet and cash-flow perspective, First Seacoast maintains a sizeable asset base and meaningful long-term investments. Total assets reached $601.8 million, with cash and cash equivalents of $16.5 million and investments in long-term securities of $434.5 million. The company reports a leveraged but moderate capital structure, with total liabilities of $536.0 million and stockholders’ equity of $65.8 million. Operating cash flow was modest at $0.289 million for the quarter, yielding a free cash flow of approximately $0.264 million, while net cash used in investing and financing activities contributed to a net cash decrease of about $8.86 million in the period.
The near-term earnings trajectory appears constrained by a high interest expense (listed at $3.568 million) and a negative operating margin of approximately -8.66% for the quarter. Profitability metrics remain thin (net margin around 0.64%; ROA ~0.0073%; ROE ~0.0669%), reflecting a small-bank profile with limited scale and substantial non-operating costs. The cash flow profile shows modest operating cash generation but a reliance on investment activity and financing to manage liquidity and capital needs. Investors should monitor net interest margin dynamics, loan growth, deposit stability, credit quality, and expense discipline as the key drivers of longer-term profitability.