Broadway Financial Corporation Faces Compliance Challenge with Nasdaq Amid Late Filing of Form 10-Q

Broadway Financial Corporation, the parent company of City First Bank, has recently been notified by The Nasdaq Stock Market LLC regarding a compliance issue tied to the late filing of its Quarterly Report on Form 10-Q. This report, which covers the financial performance of the quarter ending June 30, 2025, was not submitted within the timeframe established by the Securities and Exchange Commission.

On August 21, 2025, the company received a letter from Nasdaq informing it of this status under Listing Rule 5250(c)(1). While there are no immediate repercussions affecting the trading of its shares on the Nasdaq Capital Market, ongoing delays may impact the company's compliance standing and could ultimately influence the trading of its common stock.

In a prior communication, Broadway Financial had indicated through its Form 12b-25 filed on August 15, 2025, that additional time was needed to evaluate participation agreements for compliance with specific accounting standards. This delay is crucial for ensuring accurate disclosures in the financial statements.

To address this compliance hurdle, Nasdaq has granted Broadway Financial a window of 60 calendar days from the date of notification to present a plan for regaining compliance with the stock exchange's rules. If the plan submitted by the company is acceptable, Nasdaq may extend the deadline for filing the Form 10-Q, allowing an additional period of up to 180 days. This extension could potentially push the compliance deadline to February 16, 2026.

The company has expressed its commitment to file the Form 10-Q as soon as reasonably possible and aims to meet the 60-day compliance plan submission deadline. Broadway Financial Corporation is widely recognized in Southern California and the Washington, D.C. area for its commitment to serving low-to-moderate income communities through City First Bank, which provides a range of banking services including residential and commercial loan products, and various deposit accounts.

As the situation unfolds, stakeholders remain cautious, especially given the potential risks surrounding Nasdaq's acceptance of the proposed compliance plan and the possibility of further delays in the company's financial reporting. The implications of these factors could have far-reaching effects on Broadway Financial's operations and its standing in the financial market.

In summary, Broadway Financial Corporation is currently working to navigate the complexities of regulatory compliance amid a backdrop of pressured financial reporting timelines. The company is hopeful that it can address these challenges effectively and continue its mission of supporting underserved communities through their banking solutions. Stockholders, analysts, and those seeking more information can reach out to Broadway Financial's investor relations team for updates and guidance.

For the latest information, Broadway Financial provides contact details for inquiries, including a dedicated Investor Relations hotline. As they move forward, the organization aims to restore compliance and reaffirm its position in the market while continuing to serve the communities that depend on it.

For more information, please reach out to:
Zack Ibrahim, Chief Financial Officer
(202) 243-7100
Investor Relations Email Contact