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Securities
 12 Months Ended
Jun. 30, 2023
Securities [Abstract]  
SECURITIES

NOTE B - SECURITIES

 

The following table summarizes the amortized cost and fair value of the available for sale securities and held to maturity investment securities portfolio at June 30, 2023 and 2022 and the corresponding amounts of gross unrealized or unrecognized gains and losses. Unrealized gains or losses apply to available-for-sale securities and are recognized in accumulated other comprehensive income, while unrealized gains or losses on held-to-maturity securities are not recognized in the financial statements. The gains and losses are as follows:

 

   2023 
(in thousands) 

Amortized
cost

   Gross
unrealized
gains		   Gross
unrealized
losses		   Estimated
fair value		 
Available-for-sale Securities                
Agency mortgage-backed residential  $12,649   $
          -
   $     569   $12,080 
                     
Held-to-maturity Securities                    
Agency mortgage-backed: residential  $274   $
-
   $15   $259 

 

 

   2022 
(in thousands) 

Amortized
cost

   Gross
unrealized
gains		   Gross
unrealized
losses		   Estimated
fair value		 
Available-for-sale Securities                
Agency mortgage-backed residential  $10,477   $
           -
   $
          -
   $10,477 
                     
Held-to-maturity Securities                    
Agency mortgage-backed: residential  $339   $2   $18   $323 

 

At June 30, 2023, the Company’s debt securities consisted of mortgage-backed securities, which do not have a single maturity date. Actual maturities may differ from contractual maturities, because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

 

There were no sales of securities during the fiscal year ended June 30, 2023 or 2022. At June 30, 2023 the Company had no available-for-sale mortgage-backed securities with gross unrealized losses that had been in an unrealized loss position for more than 12 months and $12,080,000 in available-for-sale mortgage-backed securities with gross unrealized losses of $569,000 that had been in an unrealized loss position for less than 12 months. At June 30, 2022, the Company had no available-for-sale mortgage-backed securities in a gross unrealized loss position.

 

At June 30, 2023 the Company had $274,000 in held-to-maturity mortgage-backed securities with gross unrealized losses of $15,000 that had been in an unrealized loss position for more than 12 months and no held-to-maturity mortgage-backed securities with gross unrealized losses that had been in an unrealized loss position for less than 12 months. At June 30, 2022, the Company had $40,000 in held-to-maturity mortgage-backed securities with gross unrealized losses of $3,000 that had been in an unrealized loss position for more than 12 months and $202,000 held-to-maturity mortgage-backed securities with gross unrealized losses of $15,000 that had been in an unrealized loss position for less than 12 months.

 

Securities in an unrealized loss position as a percent of total securities were 100% and 2.4% at June 30, 2023 and 2022, respectively.

 

Unrealized losses on agency mortgage-backed securities have not been recognized into income because they are of high credit quality (rated AA or higher), management does not intend to sell and it is likely that management will not be required to sell the securities prior to their anticipated recovery, and the decline in fair value is largely due to changes in interest rates and other market conditions. The fair value is expected to recover as the investments reach maturity.

 

At June 30, 2023 and 2022, pledged securities totaled $5.9 million and $1.7 million, respectively. In addition, at June 30, 2023 and 2022, our pledged assets also included overnight deposits of $1.5 million and $1.5 million, respectively.