First Quarter 2024 Highlights
- Earnings per share of
$0.50 , compared to$0.54 for the prior quarter and$0.47 for the first quarter of 2023. - Return on equity of 9.31%, compared to 10.44% for the prior quarter and 9.61% for the first quarter of 2023.
- Dividends declared per common share of
$0.12 , up 20% from the prior quarter and the first quarter of 2023. - Tangible book value per common share of
$21.56 as of period end, compared to$21.35 at the end of the prior quarter, and$19.95 at the end of the first quarter of 2023. - Net interest margin of 3.79% for the current and prior quarter, and 3.88% for the first quarter of 2023.
- Efficiency ratio of 68.3%, compared to 65.2% for the prior quarter and 71.2% for the first quarter of 2023.
- Loans receivable of
$477.4 million at quarter end, up 9.2% (annualized) from$466.8 million as of the prior quarter end, up 6.8% from$446.8 million at the end of the first quarter of 2023. - Nonperforming assets to total assets of 0.06% at quarter end, compared to 0.07% as of the prior quarter end and 0.04% at the end of the first quarter of 2023.
- Securities available-for-sale and held-to maturity of
$107.8 million at quarter end, down 9.9% (annualized) from$110.6 million as of the prior quarter end, and up 20.9% from$89.2 million at the end of the first quarter of 2023. - Total deposits of
$496.9 million at quarter end, up 3.1% (annualized) from$493.1 million as of the prior quarter end, up 2.2% from$486.2 million at the end of the first quarter of 2023. - Total short and long-term borrowings, junior subordinated notes, and subordinated debentures of
$64.1 million at quarter end, up 41.5% (annualized) from$58.2 million as of the prior quarter end, and up 58.5% from$40.5 million at the end of the first quarter of 2023. - Total stockholders’ equity of
$59.6 million at quarter end, up 8.3% (annualized) from$58.3 million as of the prior quarter end, up 9.3% from$54.5 million at the end of the first quarter of 2023. - At
March 31, 2024 , the Bank’s Community Bank Leverage Ratio (CBLR) was 11.4%, up slightly from 11.2% atDecember 31, 2023 . A bank or savings institution electing to use the CBLR will generally be considered well-capitalized and to have met the risk-based and leverage capital requirements of the capital regulations if it has a leverage ratio greater than 9.0%.
The
The Company also announced that its Board of Directors has approved the development and implementation of a stock repurchase program for the repurchase from time to time of up to 50,000 shares of its common stock. The new program will allow the Company to repurchase shares in the open market, including pursuant to any trading plan that the Company may adopt in accordance with Rule 10b5-1 of the Securities Exchange Act of 1934. Repurchases will be made at management’s discretion at prices management considers to be attractive, subject to the availability of stock, general market conditions, the applicable trading price, future alternative advantageous uses for capital, and the Company’s financial performance. Open market purchases will be made in accordance with the limitations set forth in Rule 10b-18 of the Securities Exchange Act and other applicable legal requirements.
“This repurchase program provides us with another option within our overall capital management strategy, consistent with our commitment to maximize stockholder returns and proactively manage capital,” said Chief Executive Officer and Chief Financial Officer
For the three months ended
For the three months ended
Noninterest income totaled
Noninterest expense totaled
About
At
Awards & Recognitions | Best Bank in the Triad | Triad’s Top Workplace Finalist | 2016 Better Business Bureau Torch Award for Business Ethics | Triad’s Healthiest Employer Winner
Banking for Business & Personal | Mobile & Online Banking | Worldwide ATM | Debit, Credit + Rewards | Checking,
Let’s Talk | 336.644.9944 | www.BankofOakRidge.com | Extended Interactive Teller Machine Hours at all Triad Locations
Forward-looking Information This earnings release contains certain forward-looking statements with respect to the financial condition, results of operations and business of the Company. These forward-looking statements involve risks and uncertainties and are based on the beliefs and assumptions of the management of the Company and on the information available to management at the time that these disclosures were prepared. These statements can be identified by the use of the words “expect,” “anticipate,” “estimate” and “believe,” variations of these words and other similar expressions. Readers should not place undue reliance on forward-looking statements as a number of important factors could cause actual results to differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, (1) competition in the Company’s markets, (2) changes in the interest rate environment, (3) general national, regional or local economic conditions may be less favorable than expected, resulting in, among other things, a deterioration in credit quality and the possible impairment of collectability of loans, (4) legislative or regulatory changes, including changes in accounting standards, (5) significant changes in the federal and state legal and regulatory environment and tax laws, and (6) the impact of changes in monetary and fiscal policies, laws, rules and regulations. The Company undertakes no obligation to update any forward-looking statements.
Contact:
Phone: 336.662.4840
CONSOLIDATED BALANCE SHEETS | |||||||||||
(Dollars in thousands, except share data) | |||||||||||
2024 | 2023 | 2023 | |||||||||
ASSETS | (unaudited) | (audited) | (unaudited) | ||||||||
Cash and due from banks | $ | 6,688 | $ | 7,792 | $ | 10,218 | |||||
Interest-bearing deposits with banks | 16,862 | 12,633 | 22,710 | ||||||||
Total cash and cash equivalents | 23,550 | 20,425 | 32,928 | ||||||||
Securities available-for-sale | 89,132 | 91,849 | 78,029 | ||||||||
Securities held-to-maturity, net of allowance for credit losses | 18,690 | 18,706 | 11,154 | ||||||||
Restricted stock, at cost | 2,692 | 2,404 | 2,308 | ||||||||
Loans receivable | 477,448 | 466,796 | 446,848 | ||||||||
Allowance for credit losses | (4,941 | ) | (4,920 | ) | (4,779 | ) | |||||
Net loans receivable | 472,507 | 461,876 | 442,069 | ||||||||
Property and equipment, net | 8,596 | 8,366 | 9,032 | ||||||||
Accrued interest receivable | 2,841 | 2,580 | 2,278 | ||||||||
Bank owned life insurance | 6,200 | 6,178 | 6,115 | ||||||||
Right-of-use assets — operating leases | 2,393 | 2,466 | 2,672 | ||||||||
Other assets | 5,010 | 4,544 | 4,278 | ||||||||
Total assets | $ | 631,611 | $ | 619,394 | $ | 590,863 | |||||
LIABILITIES | |||||||||||
Noninterest-bearing deposits | $ | 99,666 | $ | 99,702 | $ | 114,420 | |||||
Interest-bearing deposits | 397,220 | 393,442 | 371,764 | ||||||||
Total deposits | 496,886 | 493,144 | 486,184 | ||||||||
Short-term borrowings | 34,000 | 40,000 | 22,000 | ||||||||
Long-term borrowings | 12,000 | - | 352 | ||||||||
Junior subordinated notes — trust preferred securities | 8,248 | 8,248 | 8,248 | ||||||||
Subordinated debentures, net of discount | 9,953 | 9,943 | 9,913 | ||||||||
Lease liabilities — operating leases | 2,393 | 2,466 | 2,672 | ||||||||
Accrued interest payable | 1,729 | 1,154 | 517 | ||||||||
Other liabilities | 6,848 | 6,092 | 6,480 | ||||||||
Total liabilities | 572,057 | 561,047 | 536,366 | ||||||||
STOCKHOLDERS' EQUITY | |||||||||||
Common stock | 26,854 | 26,736 | 26,339 | ||||||||
Retained earnings | 34,458 | 33,364 | 29,725 | ||||||||
Net unrealized loss on debt securities, net of tax | (1,942 | ) | (1,580 | ) | (1,567 | ) | |||||
Net unrealized loss on hedging derivative instruments, net of tax | 184 | (173 | ) | - | |||||||
Total accumulated other comprehensive loss | (1,758 | ) | (1,753 | ) | (1,567 | ) | |||||
Total stockholders — equity | 59,554 | 58,347 | 54,497 | ||||||||
Total liabilities and stockholders — equity | $ | 631,611 | $ | 619,394 | $ | 590,863 | |||||
Common shares outstanding | 2,761,870 | 2,732,720 | 2,732,020 | ||||||||
Common shares authorized | 50,000,000 | 50,000,000 | 50,000,000 | ||||||||
CONSOLIDATED STATEMENTS OF INCOME | |||||||||||
(Dollars in thousands, except share data) | |||||||||||
Three Months Ended | |||||||||||
2024 | 2023 | 2023 | |||||||||
Interest and dividend income: | |||||||||||
Loans and fees on loans | $ | 7,230 | $ | 6,999 | $ | 5,916 | |||||
Interest on deposits in banks | 151 | 240 | 241 | ||||||||
Restricted stock dividends | 45 | 45 | 57 | ||||||||
Interest on investment securities | 1,445 | 1,493 | 839 | ||||||||
Total interest and dividend income | 8,871 | 8,777 | 7,053 | ||||||||
Interest expense | |||||||||||
Deposits | 2,351 | 2,168 | 1,023 | ||||||||
Short-term and long-term debt | 899 | 925 | 670 | ||||||||
Total interest expense | 3,250 | 3,093 | 1,693 | ||||||||
Net interest income | 5,621 | 5,684 | 5,360 | ||||||||
Provision for (recovery of) credit losses | 264 | 432 | 201 | ||||||||
Net interest income after provision for credit losses | 5,357 | 5,252 | 5,159 | ||||||||
Noninterest income: | |||||||||||
Service charges on deposit accounts | 172 | 169 | 147 | ||||||||
Gain (loss) on sale of securities | - | - | 77 | ||||||||
Brokerage commissions on mortgage loans | - | - | 22 | ||||||||
Insurance commissions | 135 | 121 | 97 | ||||||||
Gain on sale of | - | - | 232 | ||||||||
Debit and credit card interchange income | 288 | 301 | 292 | ||||||||
Income from | 78 | 209 | - | ||||||||
Income earned on bank owned life insurance | 22 | 23 | 19 | ||||||||
Other Service Charges and Fees | 98 | 95 | 165 | ||||||||
Total noninterest income | 793 | 918 | 1,051 | ||||||||
Noninterest expenses: | |||||||||||
Salaries | 2,166 | 2,112 | 2,312 | ||||||||
Employee Benefits | 312 | 270 | 309 | ||||||||
Occupancy | 296 | 274 | 308 | ||||||||
Equipment | 163 | 214 | 211 | ||||||||
Data & Item Processing | 520 | 494 | 470 | ||||||||
Professional & Advertising | 314 | 295 | 357 | ||||||||
Stationary & Supplies | 32 | 36 | 35 | ||||||||
Telecommunications | 80 | 48 | 126 | ||||||||
FDIC Assessment | 114 | 110 | 74 | ||||||||
Other expense | 383 | 449 | 362 | ||||||||
Total noninterest expenses | 4,380 | 4,302 | 4,564 | ||||||||
Income before income taxes | 1,770 | 1,868 | 1,646 | ||||||||
Income tax expense | 403 | 392 | 365 | ||||||||
Net income and income available to common shareholders | $ | 1,367 | $ | 1,476 | $ | 1,281 | |||||
Basic income per common share | $ | 0.50 | $ | 0.54 | $ | 0.47 | |||||
Diluted income per common share | $ | 0.50 | $ | 0.54 | $ | 0.47 | |||||
Basic weighted average shares outstanding | 2,743,611 | 2,732,720 | 2,713,959 | ||||||||
Diluted weighted average shares outstanding | 2,743,611 | 2,732,720 | 2,713,959 | ||||||||
Selected Financial Data | |||||||||||||||
As Of Or For The Three Months Ended, | |||||||||||||||
2024 | 2023 | 2023 | 2023 | 2023 | |||||||||||
Return on average common stockholders' equity1 | 9.31 | % | 10.44 | % | 10.63 | % | 10.83 | % | 9.61 | % | |||||
Tangible book value per share | $ | 21.56 | $ | 21.35 | $ | 20.26 | $ | 20.14 | $ | 19.95 | |||||
Return on average assets1 | 0.88 | % | 0.95 | % | 0.98 | % | 1.02 | % | 0.88 | % | |||||
Net interest margin1 | 3.79 | % | 3.79 | % | 3.83 | % | 3.86 | % | 3.88 | % | |||||
Efficiency ratio | 68.3 | % | 65.2 | % | 68.7 | % | 70.1 | % | 71.2 | % | |||||
Nonperforming assets to total assets | 0.06 | % | 0.07 | % | 0.08 | % | 0.10 | % | 0.04 | % | |||||
Allowance for credit losses to total loans | 1.03 | % | 1.05 | % | 1.06 | % | 1.06 | % | 1.07 | % | |||||
1Annualized |
Source:
2024 GlobeNewswire, Inc., source