Profile: Kearny Financial Corp (KRNY.O)
Kearny Financial Corp., incorporated on September 2, 2014, is the holding company for Kearny Bank. The Bank is a federally chartered stock savings bank. The Company is a unitary savings and loan holding company. The Company's primary business is the ownership and operation of the Bank. The Bank is principally engaged in the business of attracting deposits from the general public in New Jersey and New York and using these deposits, together with other funds, to originate or purchase loans for its portfolio and invest in securities. As of June 30, 2016, the Company's primary market area included the counties in which it operates branches, including Bergen, Essex, Hudson, Middlesex, Monmouth, Morris, Ocean, Passaic and Union counties in New Jersey and Kings (Brooklyn) and Richmond (Staten Island) counties in New York.
The Company's loan portfolio primarily consists of loans collateralized by commercial and residential real estate augmented by secured and unsecured loans to businesses and consumers. The Company's commercial loan offerings also include secured business loans, which are secured by real estate, and unsecured business loans. The commercial loan offerings include programs offered through the small business administration (SBA) in which the Bank participates as a preferred lender. The Company's consumer loan offerings primarily include home equity loans and home equity lines of credit, as well as account loans, overdraft lines of credit, vehicle loans and personal loans. The Company also offers construction loans to builders/developers, as well as individual homeowners. Its portfolio lending activities include the origination of one- to four-family first mortgage loans. It also originates commercial mortgage loans on multi-family and non-residential properties, including loans on apartment buildings, retail/service properties and land, as well as other income-producing properties, such as mixed-use properties combining residential and commercial space. It also offers fixed-rate and adjustable-rate home equity lines of credit. Its construction lending includes loans to individuals for construction of one- to four-family residences or for renovations or improvements to an existing dwelling. The Company's loan portfolio includes residential mortgage loans, commercial mortgage loans, construction loans, commercial business loans, home equity loans, home equity lines of credit and other consumer loans. As of June 30, 2016, the Company's total loans amounted to $2.67 billion.
The Company invests excess funds into investment securities with a historical emphasis on the United States agency mortgage-backed securities and the United States agency debentures. The Company invests in mortgage-backed securities issued by the United States government agencies or government-sponsored entities, such as the Government National Mortgage Association (Ginnie Mae), Federal Home Loan Mortgage Corporation (Freddie Mac) and the Federal National Mortgage Association (Fannie Mae). As of June 30, 2016, its securities portfolio totaled $1.25 billion.
Sources of Funds
Retail deposits are the Company's primary source of funds for lending and other investment purposes. In addition, the Company derives funds from loan and mortgage-backed securities principal repayments and proceeds from the maturities and calls of non-mortgage-backed securities. Wholesale funding sources, including borrowings from the Federal Home Loan Bank (FHLB) of New York, wholesale deposits and other short term-borrowings, are also used to supplement the funding for loans and investments. The Company's deposit products include interest-bearing and non-interest-bearing checking accounts, money market deposit accounts, savings accounts and certificates of deposit accounts. The sources of wholesale funding include borrowings in the form of advances from the FHLB of New York, as well as other forms of borrowings. As of June 30, 2016, its total deposits were $2.58 billion.
As of June 30, 2016, the Bank had two subsidiaries: KFS Financial Services, Inc. and CJB Investment Corp. KFS Financial Services, Inc. is a service corporation subsidiary originally organized for selling insurance products to Kearny Bank customers and the general public through a third party networking arrangement. CJB Investment Corp. is a New Jersey Investment Company.
The Company competes with Bank of America, Citibank, JP Morgan Chase Bank, PNC Bank, TD Bank and Wells Fargo Bank.
Kearny Financial Corp
120 Passaic Ave
FAIRFIELD NJ 07004-3523