Federal Home Loan Bank of New York Financial Highlights
The Federal Home Loan Bank of New York (FHLBNY) released its unaudited financial highlights for the quarter and year ending December 31, 2024. The financial report indicates net income for 2024 reached $738.5 million, demonstrating a decrease of $12.6 million, or 1.7%, from previous record earnings of $751.1 million in 2023.
Income and Expense Details
Throughout the year, FHLBNY generated net interest income of $986.8 million, reflecting a decrease of $8.5 million, or 0.9%, from the record $995.3 million in 2023. The rise in market interest rates contributed significantly to this strong performance, with the yield on assets increasing to 5.34% in 2024 from 5.14% in 2023.
Additional Revenues and Expenses
Other income escalated by $35.5 million, reaching $112.6 million in 2024. This increase largely stems from net unrealized fair value gains on derivatives and trading securities held for liquidity purposes. However, non-interest expenses saw an upsurge, climbing by $42.9 million largely due to increased contributions to community development initiatives and additional staffing costs.
Fourth Quarter Performance Review
In the fourth quarter, FHLBNY reported net income of $153.3 million. This marks a decrease of $1.6 million, or 1.1% from the $154.9 million reported in the equivalent quarter of 2023. Net interest income for the quarter recorded a notable decline of $11.5 million, reaching $236.9 million.
Fourth Quarter Income and Assets Insights
The yield on average assets dipped to 4.91% for the fourth quarter, down from 5.45% in the previous year. Member borrowing remained steady, averaging $105.2 billion during the fourth quarter, slightly increasing from $104.7 billion in the prior year.
Company’s Strategic Focus and Contributions
“In 2024, the Federal Home Loan Bank of New York continued to emphasize its liquidity mission in a secure manner while addressing the needs of our member institutions and community partners,” stated Randolph C. Snook, the president and CEO. The results highlight FHLBNY's robust annual income and its significant contributions to affordable housing initiatives.
Balance Sheet Overview
As of December 31, 2024, the FHLBNY's total assets amounted to $160.3 billion, which represents a $2.0 billion increase from the $158.3 billion recorded at the end of 2023. Advances totaled $105.8 billion, decreasing by $3.1 billion or 2.8% from $108.9 billion in the previous year.
Capital Developments and Contributions
The total capital at FHLBNY increased by $0.2 billion to reach $8.4 billion in 2024. Retained earnings rose to $2.5 billion, with around $1.3 billion classified as unrestricted. Additionally, the FHLBNY allocated $82.1 million towards its Affordable Housing Program and contributed $47.7 million in community development grants.
Future Filings and Transparency
FHLBNY has plans to publish its complete audited financial results in its upcoming Form 10-K filing with the U.S. Securities and Exchange Commission, anticipated on or about March 21, 2025. This report will offer a comprehensive view of its operations for 2024 and beyond.
Frequently Asked Questions
What is the Federal Home Loan Bank of New York?
The Federal Home Loan Bank of New York is a wholesale bank that plays a significant role in providing financing for homebuyers and supports local member institutions.
What were FHLBNY's net income figures for 2024?
FHLBNY reported a net income of $738.5 million for the year 2024, reflecting a slight decrease from the previous year.
How has the yield on assets changed?
The yield on assets increased to 5.34% for 2024, compared to 5.14% in 2023, demonstrating a favorable trend despite overall income challenges.
What contributions has FHLBNY made to housing initiatives?
In 2024, FHLBNY allocated $82.1 million to its Affordable Housing Program and made additional contributions totaling $47.7 million towards community development.
When will FHLBNY release its audited financial results?
The audited financial results are expected to be published in the Form 10-K filing, which is slated for approximately March 21, 2025.
