FEDERAL HOME LOAN BANK OF NEW YORK ANNOUNCES FIRST QUARTER 2022 OPERATIONAL HIGHLIGHTS

NEW YORK, April 28, 2022 /PRNewswire/ — The Federal Home Loan Bank of New York (“FHLBNY”) today released its unaudited financial highlights for the quarter ended March, 31st2022.

“The Federal Mortgage Bank of New York continued to perform well in the first quarter of 2022. As we operate in an ever-improving operating environment, this performance reflects our continued ability to remain a stable and reliable partner for our members in all conditions,” said José R. González, president and CEO of FHLBNY.

Highlights of the first quarter of 2022 include:

  • Net profit for the quarter was $57.0 milliona decrease of $15.2 millioni.e. 21.0%, of the net income of $72.2 million for the first quarter of 2021. Net interest income for the quarter was $122.1 milliona decrease of $36.4 millioni.e. 23.0% of the net interest income of $158.5 in the second quarter of last year. This decrease is mainly due to a decrease in $18.8 billion in the average advance balances for the prior year period. Non-interest income increased by $19.9 million compared to the first quarter of 2021, driven mainly by an increase in the value of derivatives and instruments held at fair value on option. These gains were largely offset by declines in the fair value of US Treasury securities held for liquidity purposes as interest rates rose.
  • Return on average equity (“ROE”) for the quarter was 3.61% (annualized), compared to an ROE of 4.06% for the first quarter of 2021.
  • From March 31, 2022total assets were $108.6 billionan augmentation of $3.2 billioni.e. 3.1%, of the total assets of $105.4 billion to the 31st of December, 2021. The increase is mainly due to an increase in assets held for liquidity, including US Treasury securities. From March 31, 2022advances have been $70.6 billiona decrease of $0.9 billioni.e. 1.3%, of $71.5 billion to the 31st of December2021.
  • From March 31, 2022the total capital was $6.3 billiona decrease of $115.8 million of the total capital of $6.4 billion to the 31st of December2021. FHLBNY’s retained earnings were relatively flat in the quarter at $1.9 billion from March 31, 2022whose $1.1 billion was unallocated retained earnings and $0.8 billion was retained earnings affected. The capital stock has decreased by $20 million. Accumulated other comprehensive income decreased by $103 million; this is mainly due to net fair value losses on available-for-sale securities as interest rates increased during the period. To March 31, 2022FHLBNY met all of its regulatory capital ratios.
  • The FHLBNY has allocated $6.4 million of its Q1 2022 revenue for its affordable housing program.

FHLBNY currently expects to file its Form 10-Q for the first quarter of 2022 with the United States Securities and Exchange Commission on or about May 12, 2022.

Main balance sheet items (in millions of dollars)






March, 31st,


The 31st of December,


Net change of


2022


2021


dollar amount







Advances

$70,629


$71,536


(907)

Mortgages held for the portfolio

2,233


2,320


(87)

Securities backed by mortgages

14,795


14,693


102

Liquid assets

19,039


14,948


4,091

Total assets

108,598


105,358


3,240







Consolidated bonds

100,553


97,026


3,527

Share capital

4,480


4,501


(21)

Total retained earnings

1,939


1,931


8

Accumulated other comprehensive income

(89)


14


(103)

total capital

$6,330


$6,446


(116)







Capital to Assets Ratio (GAAP)

5.83

%

6.12

%


Capital/asset ratio (regulatory)

5.92

%

6.11

%














Results of operations (in millions of dollars)





















Quarter ended March 31


Net change of



2022


2021

dollar amount








Total interest income


$222.4


$282.3


$(59.9)

Total interest expense


100.3


123.7


(23.4)

Net interest income


122.1


158.5


(36.4)

Provision (recovery) for credit
losses


(0.1)


(1.3)


1.2

Net interest income after
provision for credit loss


122.2


159.8


(37.6)

Non-interest income (loss)


(12.8)


(32.6)


19.8

Non-interest charges


46.0


47.0


(1.0)

Affordable Housing Program







ratings


6.4


8.0


(1.6)

Net revenue


$57.0


$72.2


(15.2)








return on average equity


3.61

%

4.06

%


Average return on assets


0.21

%

0.21

%


Net interest margin


0.45

%

0.47

%
















About the Federal Home Loan Bank of New York

The Federal Mortgage Bank of New York is a congressional chartered wholesale bank. It is part of the Federal Home Loan Bank System, a national wholesale banking network of 11 shareholder-owned regional banks. From March 31, 2022FHLBNY serves 320 financial institutions in New Jersey, New York, Porto Ricoand the US Virgin Islands. The Federal Home Loan Banks supports the efforts of local members to help provide financing to US homebuyers.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This report may contain forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Such statements are based on our current expectations and speak only as of the date hereof. These statements may use forward-looking words, such as “expected”, “expects”, “may”, or their negatives or other variations of these terms. The Bank cautions that, by their nature, forward-looking statements involve risks or uncertainties that actual results could differ materially from those expressed or implied by such forward-looking statements or could affect the extent to which any objective, projection , an estimate, or the prediction is made. These forward-looking statements involve risks and uncertainties, including, but not limited to, the risk factors set forth in our annual reports on Form 10-K and our quarterly reports on Form 10-Q filed with the SEC, as well as such as regulations and accounting, rule adjustments or requirements, changes in interest rates, changes in projected business volumes, changes in mortgage asset prepayment periods, the cost of our funding, changes in our membership profile, withdrawal of one or more significant members, competitive pressures, changes in demand for our products and general economic conditions. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to publicly revise or update any forward-looking statements for any reason.

CONTACT:

Brian Finnegan


(212) 441-6877

SOURCE Federal Home Loan Bank of New York

Bernadine J. Perkins