Flagstar Bancorp (FBC) has reported a 30.77 percent plunge in profit for the quarter ended Mar. 31, 2017. The company has earned $27 million, or $0.46 a share in the quarter, compared with $39 million, or $0.54 a share for the same period last year.

Revenue during the quarter dropped 8.63 percent to $180 million from $197 million in the previous year period. Net interest income for the quarter rose 5.06 percent over the prior year period to $83 million. Non-interest income for the quarter fell 4.76 percent over the last year period to $100 million.

Flagstar Bancorp has made provision of $3 million for loan losses during the quarter, compared with a negative provision of $13 million in the same period last year.

Net interest margin improved 1 basis points to 2.67 percent in the quarter from 2.66 percent in the last year period. Efficiency ratio for the quarter deteriorated to 76.80 percent from 74.50 percent in the previous year period. A rise in efficiency ratio suggests a fall in profitability.

"We had another good quarter with solid results, despite facing the headwinds of seasonality and higher interest rates in our mortgage business," said Alessandro DiNello, president and chief executive officer of Flagstar Bancorp, Inc. "Our community bank came through again as a solid contributor to net interest income where strong growth in commercial real estate, commercial and industrial, and mortgage loans partially overcame a decline in warehouse loans. We also saw continued growth in retail deposits at an attractive funding level."

Total assets stood at $15,361 million as on Mar. 31, 2017, up 11.82 percent compared with $13,737 million on Mar. 31, 2016. On the other hand, total liabilities stood at $13,990 million as on Mar. 31, 2017, up 14.87 percent from $12,179 million on Mar. 31, 2016.

Net loans stood at $6,140 million as on Mar. 31, 2017, up 12.08 percent compared with $5,940 million on Mar. 31, 2016. Deposits stood at $8,645 million as on Mar. 31, 2017, up 2.08 percent compared with $8,469 million on Mar. 31, 2016.

Investments stood at $2,698 million as on Mar. 31, 2017, up 5.10 percent or $131 million from year-ago. Shareholders equity stood at $1,371 million as on Mar. 31, 2017, down 12 percent or $187 million from year-ago.

Return on average assets moved down 40 basis points to 0.76 percent in the quarter from 1.16 percent in the last year period. At the same time, return on average equity decreased 220 basis points to 7.88 percent in the quarter from 10.08 percent in the last year period.

Meanwhile, nonperforming assets to total assets was 0.27 percent in the quarter, down from 0.49 percent in the last year period.

Flagstar Bancorp witnessed a deterioration in capital ratios during in the quarter. Tier-1 leverage ratio stood at 9.31 percent for the quarter, down from 11.04 percent for the previous year quarter. Equity to assets ratio was 8.92 percent for the quarter, down from 11.34 percent for the previous year quarter. Book value per share was $24.03 for the quarter, up 5.30 percent or $1.21 compared to $22.82 for the same period last year.