BayFirst Restates Financials; $37M Asset Resolution Impact
BayFirst Financial Corp. announced the completion of an asset resolution plan, resulting in $37.0 million in adjustments to its loan portfolios, a $1.5 million impairment on an equity investment, and a $1.6 million write-down on USDA loan premiums. Concurrently, management identified misstatements of $2.8 million in deferred origination costs and $2.1 million in accrued interest from prior periods. These errors necessitate the restatement of financial results for 2024, 2025, and Q1 2026, leading to lower reported net income or higher net losses for these periods. The company's previously issued financial statements and related communications should no longer be relied upon, and amended filings are expected by August 12, 2026.
Key Highlights
- Asset resolution plan includes $37.0 million in adjustments to loan portfolios.
- Company will book a $1.5 million impairment on a non-marketable equity investment.
- A $1.6 million write-down on unamortized premiums of USDA loans will be recorded.
- Identified $2.8 million of deferred origination costs and $2.1 million of accrued interest misstatements.
- 2024 net income restated from $12.6 million to $11.4 million.
- 2025 net loss restated from $22.9 million to $24.2 million.
- Q1 2026 net loss restated from $5.7 million to $5.9 million.
- Company will file amended 2025 Form 10-K and Q1 2026 Form 10-Q by August 12, 2026.
Price Impact
More from BAFN