##### Table of Contents



UNITED STATES SECURITIES AND EXCHANGE COMMISSION
 Washington, D. C. 20549
 FORM 10-Q
 þ
    
    Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
 For the quarterly period ended March 31, 2007.
 o
    
    Transition Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
 For the transition period from  to
 Commission
File Number 0-24948
 PVF Capital Corp.
 
 Ohio
    
    34-1659805(State or other jurisdiction of
    
    (I.R.S. Employerincorporation or organization)
    
    Identification No.)30000 Aurora Road, Solon, Ohio
    
    44139(Address of principal executive offices)
    
    (Zip Code)
 
 
 þ o
 
 o þ o
 o þ
  Common Stock, $0.01 Par Value
    
    7,727,928(Class)
    
    (Outstanding at May 4, 2007)




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##### 



PVF CAPITAL CORP.
  PagePart I Financial InformationItem 1 Financial StatementsConsolidated Statements of Financial Condition, March 31, 2007 (unaudited) and June 30, 2006
    
    
    1Consolidated Statements of Operations for the three and nine months ended March 31, 2007 and 2006 (unaudited)
    
    
    2Consolidated Statements of Cash Flows for the nine months ended March 31, 2007 and 2006 (unaudited)
    
    
    3Notes to Consolidated Financial Statements (unaudited)
    
    
    4Item 2 Managements Discussion and Analysis of Financial Condition and Results of Operations
    
    
    10Liquidity and Capital Resources
    
    
    20Item 3 Quantitative and Qualitative Disclosures about Market Risk
    
    
    20Item 4 Controls and Procedures
    
    
    21Part II Other Information
    
    
    21EX-10.1EX-10.2EX-10.3EX-31.1EX-31.2EX-32




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PVF CAPITAL CORP.
 
 CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
 March 31,2007
    
    
    June 30,unaudited
    
    
    2006ASSETSCash and cash equivalents:Cash and amounts due from depository institutions
    
    $
    12,332,109
    
    
    $
    6,614,171Interest bearing deposits
    
    
    1,596,415
    
    
    
    1,804,098Federal funds sold
    
    
    11,806,000
    
    
    
    11,320,000Total cash and cash equivalents
    
    
    25,734,524
    
    
    
    19,738,269Securities held to maturity (fair values of $58,222,423 and
$57,256,642, respectively)
    
    
    58,000,000
    
    
    
    58,000,000Mortgage-backed securities held to maturity (fair values of
$25,976,383 and $25,761,813, respectively)
    
    
    26,669,904
    
    
    
    27,577,923Loans receivable held for sale, net
    
    
    9,386,746
    
    
    
    10,698,064Loans receivable, net of allowance of
$4,458,732 and $4,674,681, respectively
    
    
    729,745,550
    
    
    
    736,064,995Office properties and equipment, net
    
    
    10,958,639
    
    
    
    12,032,692Real estate owned, net
    
    
    1,286,663
    
    
    
    817,279Federal Home Loan Bank stock
    
    
    12,311,600
    
    
    
    11,955,000Bank owned life insurance
    
    
    21,950,969
    
    
    
    16,339,385Prepaid expenses and other assets
    
    
    11,508,663
    
    
    
    12,857,774Total Assets
    
    $
    907,553,258
    
    
    $
    906,081,381LIABILITIES AND STOCKHOLDERS EQUITYLiabilitiesDeposits
    
    $
    667,025,203
    
    
    $
    656,864,201Short-term advances from the Federal Home Loan Bank
    
    
    57,000,000
    
    
    
    75,000,000Line of credit
    
    
    275,000
    
    
    
    1,772,871Long-term advances from the Federal Home Loan Bank
    
    
    20,000,000
    
    
    
    20,000,000Repurchase agreement
    
    
    50,000,000
    
    
    
    50,000,000Subordinated debentures
    
    
    20,000,000
    
    
    
    10,000,000Advances from borrowers for taxes and insurance
    
    
    5,441,299
    
    
    
    8,102,098Accrued expenses and other liabilities
    
    
    16,488,797
    
    
    
    15,369,071Total Liabilities
    
    
    836,230,299
    
    
    
    837,108,241Stockholders EquitySerial preferred stock, none issued
    
    
    
    
    
    
    Common stock, $0.01 par value, 15,000,000 shares authorized;
8,202,765 and 8,188,867 shares issued, respectively
    
    
    82,028
    
    
    
    81,889Additional paid-in-capital
    
    
    68,696,034
    
    
    
    68,507,097Retained earnings
    
    
    6,382,044
    
    
    
    4,221,301Treasury Stock, at cost 472,725 shares
    
    
    (3,837,147
    )
    
    
    (3,837,147
    )Total Stockholders Equity
    
    
    71,322,959
    
    
    
    68,973,140Total Liabilities and Stockholders Equity
    
    $
    907,553,258
    
    
    $
    906,081,381
 See accompanying notes to consolidated financial statements
 Page 1




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PVF CAPITAL CORP.
 
 CONSOLIDATED STATEMENTS OF OPERATIONS
 (Unaudited)
 Three Months Ended
    
    
    Nine Months EndedMarch 31,
    
    
    March 31,2007
    
    
    2006
    
    
    2007
    
    
    2006Interest and dividends incomeLoans
    
    $
    13,719,522
    
    
    $
    13,127,758
    
    
    $
    42,274,237
    
    
    $
    36,746,344Mortgage-backed securities
    
    
    336,611
    
    
    
    337,758
    
    
    
    993,426
    
    
    
    1,042,856Federal Home Loan Bank stock dividends
    
    
    193,528
    
    
    
    164,769
    
    
    
    550,212
    
    
    
    469,846Securities
    
    
    665,237
    
    
    
    583,273
    
    
    
    1,928,351
    
    
    
    1,670,829Fed funds sold and interest bearing deposits
    
    
    149,738
    
    
    
    114,092
    
    
    
    430,856
    
    
    
    262,874Total interest and dividends income
    
    
    15,064,636
    
    
    
    14,327,650
    
    
    
    46,177,082
    
    
    
    40,192,749Interest expenseDeposits
    
    
    7,136,797
    
    
    
    5,287,576
    
    
    
    21,251,145
    
    
    
    14,494,865Short-term borrowings
    
    
    748,245
    
    
    
    1,249,879
    
    
    
    2,319,683
    
    
    
    1,851,547Long-term borrowings
    
    
    826,653
    
    
    
    673,496
    
    
    
    2,513,245
    
    
    
    3,264,991Subordinated debt
    
    
    389,154
    
    
    
    180,621
    
    
    
    1,160,115
    
    
    
    503,781Total interest expense
    
    
    9,100,849
    
    
    
    7,391,572
    
    
    
    27,244,188
    
    
    
    20,115,184Net interest income
    
    
    5,963,787
    
    
    
    6,936,078
    
    
    
    18,932,894
    
    
    
    20,077,565Provision for loan losses
    
    
    (1,000
    )
    
    
    352,000
    
    
    
    91,000
    
    
    
    646,300Net interest income after provision for loan losses
    
    
    5,964,787
    
    
    
    6,584,078
    
    
    
    18,841,894
    
    
    
    19,431,265Noninterest income, netService and other fees
    
    
    310,105
    
    
    
    277,466
    
    
    
    954,824
    
    
    
    788,214Mortgage banking activities, net
    
    
    359,599
    
    
    
    161,581
    
    
    
    1,093,642
    
    
    
    624,363Increase in cash surrender value of bank owned life insurance
    
    
    259,412
    
    
    
    142,195
    
    
    
    611,584
    
    
    
    454,771Other, net
    
    
    55,103
    
    
    
    (46,712
    )
    
    
    313,720
    
    
    
    7,855Total noninterest income, net
    
    
    984,219
    
    
    
    534,530
    
    
    
    2,973,770
    
    
    
    1,875,203Noninterest expenseCompensation and benefits
    
    
    3,046,723
    
    
    
    2,905,378
    
    
    
    9,329,763
    
    
    
    9,125,584Office occupancy and equipment
    
    
    847,396
    
    
    
    819,959
    
    
    
    2,560,473
    
    
    
    2,817,363Other
    
    
    1,407,825
    
    
    
    1,571,543
    
    
    
    4,367,320
    
    
    
    4,170,953Total noninterest expense
    
    
    5,301,944
    
    
    
    5,296,880
    
    
    
    16,257,556
    
    
    
    16,113,900Income before federal income tax provision
    
    
    1,647,062
    
    
    
    1,821,728
    
    
    
    5,558,108
    
    
    
    5,192,568Federal income tax provision
    
    
    469,658
    
    
    
    554,844
    
    
    
    1,681,006
    
    
    
    1,546,844Net income
    
    $
    1,177,404
    
    
    $
    1,266,884
    
    
    $
    3,877,102
    
    
    $
    3,645,724Basic earnings per share
    
    $
    0.15
    
    
    $
    0.16
    
    
    $
    0.50
    
    
    $
    0.47Diluted earnings per share
    
    $
    0.15
    
    
    $
    0.16
    
    
    $
    0.49
    
    
    $
    0.46Dividends declared per common share
    
    $
    0.074
    
    
    $
    0.074
    
    
    $
    0.222
    
    
    $
    0.222
 See accompanying notes to consolidated financial statements
 Page 2




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PVF CAPITAL CORP.
 
 CONSOLIDATED STATEMENTS OF CASH FLOWS
 (Unaudited)
 Nine Months EndedMarch 31,2007
    
    
    2006Operating ActivitiesNet income
    
    $
    3,877,102
    
    
    $
    3,645,724Adjustments to reconcile net income to net cash from operating activitiesAmortization of premium on mortgage-backed securities
    
    
    19,772
    
    
    
    43,785Depreciation and amortization
    
    
    1,319,294
    
    
    
    1,366,645Provision for losses on loans
    
    
    91,000
    
    
    
    646,300Accretion of deferred loan origination fees, net
    
    
    (1,110,402
    )
    
    
    (1,439,561
    )(Gain) loss on sale of loans receivable held for sale, net
    
    
    (180,661
    )
    
    
    (438,147
    )Gain on disposal of real estate owned, net
    
    
    (236,242
    )
    
    
    35,330Market adjustment for loans held for sale
    
    
    (156,000
    )
    
    
    0Change in fair value of mortgage banking derivatives
    
    
    (254,000
    )
    
    
    240,000Stock compensation
    
    
    186,655
    
    
    
    185,845Federal Home Loan Bank stock dividends
    
    
    (356,600
    )
    
    
    (469,700
    )Change in accrued interest on securities, loans, and borrowings, net
    
    
    (164,488
    )
    
    
    (993,683
    )Origination of loans receivable held for sale, net
    
    
    (67,964,062
    )
    
    
    (77,223,250
    )Sale of loans receivable held for sale, net
    
    
    68,955,891
    
    
    
    79,150,591Increase in cash surrender value of bank owned life insurance
    
    
    611,584
    
    
    
    454,771Net change in other assets and other liabilities
    
    
    (342,495
    )
    
    
    1,763,458Net cash from operating activities
    
    
    4,296,348
    
    
    
    6,968,108Investing ActivitiesLoan repayments and originations, net
    
    
    5,815,212
    
    
    
    (65,469,924
    )Principal repayments on mortgage-backed securities held to maturity
    
    
    2,439,220
    
    
    
    4,127,221Mortgage-backed securities purchased
    
    
    (1,550,973
    )
    
    
    (500,000
    )Acquisition of bank owned life insurance
    
    
    (5,000,000
    )
    
    
    0Proceeds from sale of real estate owned
    
    
    1,290,495
    
    
    
    641,626Additions to office properties and equipment, net
    
    
    (245,241
    )
    
    
    (372,299
    )Net cash from investing activities
    
    
    2,748,713
    
    
    
    (61,573,376
    )Financing activitiesNet increase (decrease) in demand deposits, NOW, and passbook savings
    
    
    2,567,641
    
    
    
    11,701,799Net increase in time deposits
    
    
    7,593,361
    
    
    
    24,914,925Repayment of long-term Federal Home Loan Bank advances
    
    
    0
    
    
    
    (100,012,018
    )Net increase (decrease) in short-term Federal Home Loan Bank advances
    
    
    (18,000,000
    )
    
    
    79,000,000Repurchase agreement
    
    
    0
    
    
    
    50,000,000Proceeds from issuance of subordinated debentures
    
    
    10,000,000
    
    
    
    0Net proceeds from (repayment of) line of credit
    
    
    (1,497,871
    )
    
    
    1,057,871Repayment of notes payable
    
    
    0
    
    
    
    (1,400,780
    )Purchase of treasury stock
    
    
    0
    
    
    
    (255,742
    )Proceeds from exercise of stock options
    
    
    295,963
    
    
    
    144,736Stock repurchased and retired
    
    
    (293,541
    )
    
    
    (141,104
    )Cash dividend paid
    
    
    (1,714,359
    )
    
    
    (1,664,696
    )Net cash from financing activities
    
    
    (1,048,806
    )
    
    
    63,344,991Net increase in cash and cash equivalents
    
    
    5,996,255
    
    
    
    8,739,723Cash and cash equivalents at beginning of period
    
    
    19,738,269
    
    
    
    11,090,076Cash and cash equivalents at end of period
    
    $
    25,734,524
    
    
    $
    19,829,799Supplemental disclosures of cash flow information:Cash payments of interest expense
    
    $
    27,180,960
    
    
    $
    20,386,919Cash payments of income taxes
    
    $
    2,328,000
    
    
    $
    1,845,000Supplemental noncash investing activity:Transfer of loans to real estate owned
    
    $
    1,523,636
    
    
    $
    960,427
 See accompanying notes to consolidated financial statements
 Page 3




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PVF CAPITAL CORP.
 
 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
 March 31, 2007 and 2006
(Unaudited)
     Page 4




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Nine months endedMarch 31, 2007Total options outstandingWeightedAverageExerciseShares
    
    
    PriceOptions outstanding, beginning of period
    
    
    558,474
    
    
    $
    8.77Forfeited
    
    
    0
    
    
    
    0Exercised
    
    
    (41,328
    )
    
    
    7.16Granted
    
    
    66,775
    
    
    
    10.82Options outstanding, end of period
    
    
    583,921
    
    
    $
    9.12Options exercisable, end of period
    
    
    439,752
    
    
    $
    8.41
   Three months ended
    
    Nine months endedMarch 31,
    
    March 31,2007
    
    2006
    
    2007
    
    2006Proceeds from options
exercised
    
    $
    180,060
    
    
    $
    54,097
    
    
    $
    295,963
    
    
    $
    144,736Related tax benefit
recognized
    
    
    0
    
    
    
    0
    
    
    
    0
    
    
    
    0Intrinsic value of
options exercised
    
    $
    71,645
    
    
    $
    66,209
    
    
    $
    146,445
    
    
    $
    137,946
  2007
    
    2006Expected average risk-free interest rate
    
    
    4.56
    %
    
    
    4.57
    %Expected average life (in years)
    
    
    9.14
    
    
    
    9.72Expected volatility
    
    
    24.95
    %
    
    
    31.56
    %Expected dividend yield
    
    
    2.74
    %
    
    
    2.67
    %
 Page 5




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##### Table of Contents



Three months ended March 31,2007
    
    2006Income
    
    Shares
    
    Per Share
    
    Income
    
    Shares
    
    Per Share(Numerator)
    
    (Denominator)
    
    Amount
    
    (Numerator)
    
    (Denominator)
    
    AmountBasic EPSNet Income
    
    $
    1,177,404
    
    
    
    7,727,488
    
    
    $
    0.15
    
    
    $
    1,266,884
    
    
    
    7,714,921
    
    
    $
    0.16Effect of Stock
Options
    
    
    
    
    
    
    126,024
    
    
    
    0.00
    
    
    
    
    
    
    
    114,223
    
    
    
    0.00Diluted EPSNet Income
    
    $
    1,177,404
    
    
    
    7,853,512
    
    
    $
    0.15
    
    
    $
    1,266,884
    
    
    
    7,829,144
    
    
    $
    0.16
 Nine months ended March 31,2007
    
    2006Income
    
    Shares
    
    Per Share
    
    Income
    
    Shares
    
    Per Share(Numerator)
    
    (Denominator)
    
    Amount
    
    (Numerator)
    
    (Denominator)
    
    AmountBasic EPSNet Income
    
    $
    3,877,102
    
    
    
    7,722,400
    
    
    $
    0.50
    
    
    $
    3,645,724
    
    
    
    7,716,941
    
    
    $
    0.47Effect of Stock
Options
    
    
    
    
    
    
    113,411
    
    
    
    (0.01
    )
    
    
    
    
    
    
    136,645
    
    
    
    (0.01
    )Diluted EPSNet Income
    
    $
    3,877,102
    
    
    
    7,835,811
    
    
    $
    0.49
    
    
    $
    3,645,724
    
    
    
    7,853,586
    
    
    $
    0.46
  Page 6




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Nine Months EndedMarch 31,2007
    
    
    2006Servicing rights:Beginning of period
    
    $
    4,806,836
    
    
    $
    5,001,474Additions
    
    
    656,150
    
    
    
    867,999Amortized to expense
    
    
    (977,952
    )
    
    
    (1,044,487
    )End of period
    
    $
    4,485,034
    
    
    $
    4,824,986
  Three Months Ended
    
    
    Nine Months EndedMarch 31,
    
    
    March 31,2007
    
    
    2006
    
    
    2007
    
    
    2006Mortgage loan servicing fees
    
    $
    499,714
    
    
    $
    493,091
    
    
    $
    1,480,933
    
    
    $
    1,470,703Amortization and impairment of
mortgage loan servicing rights
    
    $
    (330,600
    )
    
    $
    (314,792
    )
    
    $
    (977,952
    )
    
    $
    (1,044,487
    )Market adjustments for loans
held for sale
    
    
    
    
    
    
    
    
    
    $
    156,000
    
    
    
    Change in fair value of
mortgage banking derivatives
    
    $
    0
    
    
    $
    (41,000
    )
    
    $
    254,000
    
    
    $
    (240,000
    )Gain (losses) on sales of loans
    
    $
    190,485
    
    
    $
    24,282
    
    
    $
    180,661
    
    
    $
    438,147Mortgage banking activities,
net
    
    $
    359,599
    
    
    $
    161,581
    
    
    $
    1,093,642
    
    
    $
    624,363
   Page 7




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Page 8




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Page 9




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##### Table of Contents



MANAGEMENTS DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
  FORWARD-LOOKING STATEMENTS
   FINANCIAL CONDITION
   Page 10




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March 31,
    
    
    June 30,2007
    
    
    2006Real estate mortgages:One-to-four family residential
    
    $
    165,756,237
    
    
    $
    174,574,861Home equity line of credit
    
    
    89,200,457
    
    
    
    94,449,845Multi-family residential
    
    
    49,304,252
    
    
    
    45,715,780Commercial
    
    
    188,493,422
    
    
    
    170,392,400Commercial equity line of credit
    
    
    30,523,909
    
    
    
    34,063,990Land
    
    
    77,998,267
    
    
    
    77,242,222Construction  residential
    
    
    71,800,693
    
    
    
    84,146,125Construction  commercial
    
    
    34,271,424
    
    
    
    41,712,042Total real estate mortgages
    
    
    707,348,661
    
    
    
    722,297,265Non-real estate loans
    
    
    30,159,568
    
    
    
    21,824,041Total loans receivable
    
    
    737,508,229
    
    
    
    744,121,306Net deferred loan origination fees
    
    
    (3,303,948
    )
    
    
    (3,381,630
    )Allowance for loan losses
    
    
    (4,458,732
    )
    
    
    (4,674,681
    )Loans receivable, net
    
    $
    729,745,550
    
    
    $
    736,064,995
   Page 11




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##### Table of Contents



RESULTS OF OPERATIONS
    
    Three months ended March 31, 2007, compared to three months ended March 31, 2006.
     Page 12




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RESULTS OF OPERATIONS continued
   March 31, 2007

    
    March 31, 2006Average
    
    
    
    
    
    
    Average
    
    
    Average
    
    
    
    
    
    
    AverageBalance
    
    
    Interest
    
    
    Yield/Cost
    
    
    Balance
    
    
    Interest
    
    
    Yield/CostInterest-earning assetsLoans
    
    $
    742,778
    
    
    $
    13,720
    
    
    
    7.39
    %
    
    $
    721,317
    
    
    $
    13,128
    
    
    
    7.28
    %Mortgage-backed securities
    
    
    27,191
    
    
    
    336
    
    
    
    4.96
    %
    
    
    28,048
    
    
    
    338
    
    
    
    4.82
    %Investments
    
    
    81,431
    
    
    
    1,009
    
    
    
    4.96
    %
    
    
    79,208
    
    
    
    862
    
    
    
    4.36
    %Total interest-earning
assets
    
    
    851,400
    
    
    
    15,065
    
    
    
    7.08
    %
    
    
    828,573
    
    
    
    14,328
    
    
    
    6.92
    %Non-interest-earning assets
    
    
    57,107
    
    
    
    
    
    
    
    
    
    
    
    53,515Total Assets
    
    $
    908,507
    
    
    
    
    
    
    
    
    
    
    $
    882,088Interest-bearing liabilitiesDeposits
    
    $
    663,862
    
    
    $
    7,137
    
    
    
    4.30
    %
    
    $
    609,973
    
    
    $
    5,288
    
    
    
    3.47
    %Borrowings
    
    
    126,784
    
    
    
    1,575
    
    
    
    4.99
    %
    
    
    167,808
    
    
    
    1,923
    
    
    
    4.58
    %Subordinated debt
    
    
    20,000
    
    
    
    389
    
    
    
    7.78
    %
    
    
    11,149
    
    
    
    181
    
    
    
    6.49
    %Total interest-bearing
liabilities
    
    
    810,646
    
    
    
    9,101
    
    
    
    4.49
    %
    
    
    788,930
    
    
    
    7,392
    
    
    
    3.75
    %Non-interest-bearing
liabilities
    
    
    26,912
    
    
    
    
    
    
    
    
    
    
    
    26,077Total liabilities
    
    $
    837,558
    
    
    
    
    
    
    
    
    
    
    $
    815,007Retained earnings
    
    
    70,949
    
    
    
    
    
    
    
    
    
    
    
    67,081Total liabilities and R.E.
    
    $
    908,507
    
    
    
    
    
    
    
    
    
    
    $
    882,088Net Interest income
    
    
    
    
    
    $
    5,964
    
    
    
    
    
    
    
    
    
    
    $
    6,936Interest-rate spread
    
    
    
    
    
    
    
    
    
    
    2.59
    %
    
    
    
    
    
    
    
    
    
    
    3.17
    %Yield on interest-earning
assets
    
    
    
    
    
    
    
    
    
    
    2.80
    %
    
    
    
    
    
    
    
    
    
    
    3.35
    %Interest-earning assets to
interest-bearing
liabilities
    
    
    105.03
    %
    
    
    
    
    
    
    
    
    
    
    105.02
    %
 Page 13




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RESULTS OF OPERATIONS continued
      Page 14




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##### Table of Contents



RESULTS OF OPERATIONS continued
    RESULTS OF OPERATIONS
    
    Nine months ended March 31, 2007, compared to nine months ended March 31, 2006.
   Page 15




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##### Table of Contents



RESULTS OF OPERATIONS continued
  March 31, 2007
    
    March 31, 2006Average
    
    
    
    
    
    
    Average
    
    
    Average
    
    
    
    
    
    
    AverageBalance
    
    
    Interest
    
    
    Yield/Cost
    
    
    Balance
    
    
    Interest
    
    
    Yield/CostInterest-earning assetsLoans
    
    $
    743,180
    
    
    $
    42,274
    
    
    
    7.58
    %
    
    $
    700,111
    
    
    $
    36,746
    
    
    
    7.00
    %Mortgage-backed securities
    
    
    27,047
    
    
    
    994
    
    
    
    4.90
    %
    
    
    29,426
    
    
    
    1,043
    
    
    
    4.73
    %Investments
    
    
    80,711
    
    
    
    2,909
    
    
    
    4.81
    %
    
    
    77,870
    
    
    
    2,404
    
    
    
    4.12
    %Total interest-earning
Assets
    
    
    850,938
    
    
    
    46,177
    
    
    
    7.24
    %
    
    
    807,407
    
    
    
    40,193
    
    
    
    6.64
    %Non-interest-earning assets
    
    
    59,471
    
    
    
    
    
    
    
    
    
    
    
    53,733Total Assets
    
    $
    910,409
    
    
    
    
    
    
    
    
    
    
    $
    861,140Interest-bearing liabilitiesDeposits
    
    $
    663,596
    
    
    $
    21,251
    
    
    
    4.27
    %
    
    $
    600,589
    
    
    $
    14,495
    
    
    
    3.22
    %Borrowings
    
    
    127,806
    
    
    
    4,833
    
    
    
    5.04
    %
    
    
    155,092
    
    
    
    5,116
    
    
    
    4.40
    %Subordinated debt
    
    
    20,000
    
    
    
    1,160
    
    
    
    7.73
    %
    
    
    11,149
    
    
    
    504
    
    
    
    6.03
    %Total interest-bearing liabilities
    
    
    811,402
    
    
    
    27,244
    
    
    
    4.48
    %
    
    
    766,830
    
    
    
    20,115
    
    
    
    3.50
    %Non-interest-bearing liabilities
    
    
    28,770
    
    
    
    
    
    
    
    
    
    
    
    27,229Total liabilities
    
    $
    840,172
    
    
    
    
    
    
    
    
    
    
    $
    794,059Retained earnings
    
    
    70,237
    
    
    
    
    
    
    
    
    
    
    
    67,081Total liabilities and R.E.
    
    $
    910,409
    
    
    
    
    
    
    
    
    
    
    $
    861,140Net interest income
    
    
    
    
    
    $
    18,933
    
    
    
    
    
    
    
    
    
    
    $
    20,078Interest-rate spread
    
    
    
    
    
    
    
    
    
    
    2.76
    %
    
    
    
    
    
    
    
    
    
    
    3.14
    %Yield on interest-earning assets
    
    
    
    
    
    
    
    
    
    
    2.97
    %
    
    
    
    
    
    
    
    
    
    
    3.32
    %Interest-earning assets to
interest-bearing liabilities
    
    
    104.87
    %
    
    
    
    
    
    
    
    
    
    
    105.29
    %
 Page 16




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##### Table of Contents



RESULTS OF OPERATIONS continued
   March 31,
    
    
    June 30,2007
    
    
    2006(Dollars in thousands)Loans on non-accruing status (1):Real estate mortgages:One-to-four family residential
    
    $
    3,927
    
    
    $
    7,587Commercial
    
    
    2,325
    
    
    
    2,972Multi-family residential
    
    
    
    
    
    
    21Construction and land
    
    
    8,415
    
    
    
    4,876Total loans on non-accrual status:
    
    $
    14,667
    
    
    $
    15,456Ratio of non-performing loans to total loans
    
    
    1.98
    %
    
    
    2.08
    %Other
non-performing assets (2)
    
    $
    1,287
    
    
    $
    817Total non-performing assets
    
    $
    15,954
    
    
    $
    16,273Total non-performing assets to total assets
    
    
    1.76
    %
    
    
    1.80
    %
 
 (1)
    
    Non-accrual status denotes loans on which, in the opinion of management, the collection of
additional interest is unlikely, or loans that meet the non-accrual criteria established by
regulatory authorities. Non-accrual loans include all loans classified as doubtful or loss,
and loans greater than 90 days past due. Payments received on a non-accrual loan are either
applied to the outstanding principal balance or recorded as interest income, depending on an
assessment of the collectibility of the principal balance of the loan.(2)
    
    Other non-performing assets represent property acquired by the Bank through foreclosure or
repossession. Page 17




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##### Table of Contents



RESULTS OF OPERATIONS continued
     Page 18




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##### Table of Contents



RESULTS OF OPERATIONS continued
       Page 19




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##### Table of Contents



LIQUIDITY AND CAPITAL RESOURCES
   
 
 
 QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
   Page 20




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##### Table of Contents



CONTROLS AND PROCEDURES
   
    Form 10-K)
 Page 21




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##### Table of Contents



(a)
    
    N/A(b)
    
    N/A(c)
    
    The following table illustrates the repurchase of the Companys
common stock during the period ended March 31, 2007:
 (c) TotalNumber ofSharesPurchased as
    
    (d) Maximum Number(a) Total
    
    
    
    
    
    Part of
    
    of Shares that MayNumber of
    
    (b) Average
    
    Publicly
    
    Yet Be PurchasedShares
    
    Price Paid
    
    Announced Plans
    
    Under the Plans orPeriod
    
    Purchased
    
    per Share
    
    or Programs
    
    ProgramsJanuary 1 through January 31, 2007
    
    
    14,727
    
    
    $
    10.62
    
    
    
    0
    
    
    
    265,602February 1 through February 28, 2007
    
    
    0
    
    
    $
    0.00
    
    
    
    0
    
    
    
    265,602March 1 through March 31,2007
    
    
    2,015
    
    
    $
    11.76
    
    
    
    0
    
    
    
    265,602Total
    
    
    16,742
    
    
    $
    10.75
    
    
    
    0
    
    
    
    265,602
     Exhibits
  10.1
    
    Severance Agreement, as amended, among PVF Capital Corp., Park View Federal Savings Bank, and John R. Male10.2
    
    Severance Agreement, as amended, among PVF Capital Corp., Park View Federal Savings Bank, and C Keith Swaney10.3
    
    Severance Agreement, as amended, among PVF Capital Corp., Park View Federal Savings Bank, and Jeffrey N. Male31.1
    
    Rule 13a-14(a) Certification of Chief Executive Officer31.2
    
    Rule 13a-14(a) Certification of Chief Financial Officer32
    
    Section 1350 Certification
 Page 22




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##### Table of Contents



Signature
  PVF Capital Corp.
     (Registrant)Date: May 8, 2007
    
    /s/ C. Keith SwaneyC. Keith Swaney
President, Chief Operating
Officer and Treasurer
(Only authorized officer and
Principal Financial Officer)