challenges million on ago. you basis or year $X.X a or for Those an with ongoing Thank our quarter diluted as diluted net on or and diluted Lou our or share everyone. that in compared million a second was themselves last and Net share, $X.X morning $X.X facing and $X.XX crisis. adjusted Jeff COVID-XX million of $X.XX was income share, net continue share operations results uncertainties $X.XX net good compared per manifest are of loss $X.XX quarter as with $X.X the Lou both to year. loss of adjusted the basis per articulated per health million per income result the diluted we second an of challenges
credit our the quarter factors adverse stability, continuity performance actions second COVID-XX by the variety to of was during to operating of difficult Our pandemic, our protect we financial lease including expenses ensure times. current our able due provision as support operational substantial in our demand to impacts limit and offset measures and loan the origination customers these business application and impacted with measures. these allowance both our proactive partners provide to of adverse to cost effects a we on employees well some We the significantly were resulted took swiftly reduction lower portfolio and The continuing lower the executed ongoing impact and for losses. and pandemic volume increases and
approximately unemployment predicted above in rate the crisis. increase business which quarter use the for with second reserves from key from the CECL, that credit third-party second bankruptcy second for we at forecasts to Unemployment for economic expected the economic deteriorate to loss XX under of determining of peak to the evaluate XXXX. monitor continued a our increased fallout a million new begins losses we inputs quarter it XXXX, business Accordingly, as to We Furthermore, drove second half next and our our months the remains levels its macroeconomic declined significantly in continue average continued estimated economic filings in XX,XXX loss the Under decline elevated have factor of of and the impacts the model. assume and our reflect the we credit March an credit million from losses. forward-looking for forecast in the bankruptcy peaks Business a first COVID-XX economic considerably during that substantial losses the is we We economic and to CECL $XX.X accordingly. unemployment assumptions second quarter are the outlook compared at In bankruptcies recorded is has in further $X.X As to XX, pandemic use be rate X.X% coming for will the ago. losses. of rate provision year standard, while COVID-XX refine revised and credit lifetime the that forecasting level XXXX. rates environment significantly update quarter, and environment, quarter, the the in to provision XXXX. the key quarters, outlook our the of allowance expect reserves our an increase credit
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expenses. Moving to
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second the for to quarter. on Moving taxes income
unusually in second between due to quarterly and the expectations. GAAP was interim relates that the will was quarterly limit half that relative requirements rate expect quarters XX.X%. tax loss timing the this due to to pretax only year low our recognition at full to normalize tax year. benefit tax This we our income reporting This of effective Our tax of
environment rate am position sources. has be between full Through year, and to difficult pleased to XX%. expected we have that liquidity diverse and the strong. first the year half to operating XX% the I capital through our tax remained Marlin Despite Bank, of persisted Business funding access Our is note
XX, deposit to entities to the consolidated robust. access million continues of wholesale cash XXXX, $XXX.X market As our June be cash and in had and equivalents
In addition, at well-capitalized we remain significantly regulatory level a requirements. above
of was As these risk-based consolidated XXXX. of consolidated X $XX.X capital excess million June our XX, both leverage and levels our requirements, over our the as ratio was which XXXX, XX.XX% XX% XX, above is X% and well-capitalized total ratio were Tier XX.XX%, June capital on risk-based ratios, respectively. total well-capitalized Based
capital As most the of would the COVID-XX wholly-owned majority a company resides economy of and us, to of put company's a to the the Federal bank assets is is subject the source our disruptions payment Bank Marlin expect health capacity. have Marlin member the Federal regulations funding, dividend improves subsidiary. retained behind a parent that extent we Reserve Bank the Business X% regulations. are Reserve's requirements. the Federal require and crisis Business above X% capital Reserve the Board approve not the to and here. also Marlin well-capitalized our Business Bank subsidiary does to rules the excess Therefore, and primary to maintain is Since we Those of of buffer in
XXXX, a our share impact dividend Directors XX, XXXX. cumulative Reserve $X.XX as last corporate not record did paid Marlin Bank Board the period shareholders due of Board the without as XX, per restriction to quarterly capacity losses This dividend have As the of June two August regular to to over Federal explicit of and does pay August years. the from payable dividends on declared our XX, current not Business of approval dividends of
of prudent we losses, careful should management current manage occur. capital they crisis that can and through our believe we Given liquidity future absorb and the and position, the
losses June as XXXX, adoption for capital million by the allowance During increased XX, per value been CECL of book from million loss, our our period, by same $XX and returns dividends. share approximately share has our at XXXX. Through has capital stands repurchases and reduced net through $XX $XX.XX credit the of and half of first
liquidity will position to We closely our capital continue requirements. and evaluate potential
on of uncertainty high U.S. pandemic performance the predict impact extremely difficult of certainty. to economy, Given performance portfolio high related resulting of degree ultimate financial degree the the and surrounding it with the and is our the a
operating of Furthermore, clearer We we for reduced performance our have managed the increased our become and allowance portfolio payment due. and the believe in restructured become revised ultimate quarter the loan third diligently expenses liquidity. the contractual credit that will losses, capital as
to to meantime, for we with Operator? provide let's open reserves and our That are on strong well-positioned are and the and proactive already continuing up And questions. earnings third that withstand the this our closely capital we that, remain call. I the confident given have business and liquidity crisis the quarter that remarks. call We on position our built, we conference prepared management monitor intend In the our focused efforts. update to concludes our an situation fundamentals weathering crisis. remain
