SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Sep. 30, 2021

The following table presents a calculation of basic and diluted earnings per share for the year ended September 30, 2021 and 2020. As a result of the second-step conversion, the number of shares for the year ended September 30, 2020 were adjusted to reflect the 1.2213 exchange ratio for comparative purposes.

	For the Years Ended September 30,
	2021						2020
			Weighted		Per				Weighted		Per
			average		share				average		share
	Income		shares		Amount		Income		shares		Amount
	(In thousands, except share and per share data)
Basic and diluted EPS
Net income available to weighted average common shareholders	$	6,120		6,037,499	$	1.01	$	2,190		7,104,889	$	0.31

Schedule of comprehensive income (loss)

Comprehensive income (loss) includes net income as well as certain other items which result in a change to equity during the period. The other items allocated to comprehensive income (loss), as well as the related income tax effects, for the years ended September 30, 2021 and 2020 were as follows:

	September 30,
	2021									2020
				Tax			Net of						Tax			Net of
	Before Tax			(Benefit)			Tax			Before Tax			(Benefit)			Tax
	Amount			Expense			Amount			Amount			Expense			Amount
	(In thousands)
Unrealized holding gain (loss) arising during period on:
Available-for-sale investments	$	(293	)	$	79		$	(214	)	$	127		$	(38	)	$	89
Reclassification adjustments for security gains included in net income^{(a) (b)}		-			-			-			(68	)		19			(49	)
Defined benefit pension plan		893			(269	)		624			(150	)		83			(67	)
Other comprehensive income (loss), net	$	600		$	(190	)	$	410		$	(91	)	$	64		$	(27	)

(a)	Realized gains on securities transactions included in gains on sales of investment securities in the accompanying Consolidated Statements of Operations
(b)	Tax effect included in income tax expense in the accompanying Consolidated Statements of Operations

Table of Contents

MAGYAR BANCORP, INC. AND SUBSIDIARY

Notes to Consolidated Financial Statements

September 30, 2021 and 2020

The components of accumulated other comprehensive loss at September 30, 2021 and 2020 were as follows:

	September 30,
	2021			2020
	(In thousands)

Available-for-sale investments, net of tax	$	(131	)	$	83
Defined benefit pension plan, net of tax		(816	)		(1,440	)
Total accumulated other comprehensive loss	$	(947	)	$	(1,357	)