Oak Ridge Financial Services, Inc. Announces Third Quarter 2024 Results and Quarterly Cash Dividend of $0.12 Per Share
Oak Ridge Financial Services reported third quarter 2024 results with earnings per share of $0.54, up from $0.46 in Q2 but down from $0.55 in Q3 2023. The company announced a quarterly dividend of $0.12 per share, up 20% year-over-year. Key metrics include net interest margin of 3.81%, loans receivable of $505.5 million (up 11.1% annualized), and total deposits of $510.5 million (up 4.7% annualized). Nonperforming assets increased to $2.9 million, primarily due to four SBA loans, with $1.8 million guaranteed by the SBA. The Bank's Community Bank Leverage Ratio stood at 11.1%.
Oak Ridge Financial Services ha riportato i risultati del terzo trimestre 2024 con un utile per azione di $0.54, in aumento rispetto a $0.46 nel Q2 ma in calo rispetto a $0.55 nel Q3 2023. L'azienda ha annunciato un dividendo trimestrale di $0.12 per azione, in crescita del 20% rispetto all'anno precedente. Le metriche chiave includono un margine di interesse netto del 3.81%, crediti esigibili di $505.5 milioni (in aumento dell'11.1% annualizzato) e depositi totali di $510.5 milioni (in aumento del 4.7% annualizzato). I beni non performanti sono aumentati a $2.9 milioni, principalmente a causa di quattro prestiti SBA, con $1.8 milioni garantiti dalla SBA. Il rapporto di leva della Community Bank era pari all'11.1%.
Oak Ridge Financial Services informó sobre los resultados del tercer trimestre de 2024, con ganancias por acción de $0.54, un aumento desde $0.46 en el Q2, pero una caída desde $0.55 en el Q3 de 2023. La compañía anunció un dividendo trimestral de $0.12 por acción, un incremento del 20% en comparación con el año anterior. Las métricas clave incluyen un margen de interés neto del 3.81%, préstamos por cobrar de $505.5 millones (un aumento del 11.1% anualizado) y depósitos totales de $510.5 millones (un aumento del 4.7% anualizado). Los activos no rentables aumentaron a $2.9 millones, principalmente debido a cuatro préstamos SBA, con $1.8 millones garantizados por la SBA. El índice de apalancamiento del banco comunitario fue del 11.1%.
오크 릿지 금융 서비스는 2024년 3분기 결과를 보고했으며, 주당 순이익은 $0.54로, 2분기의 $0.46에서 증가했으나 2023년 3분기의 $0.55에서 감소했습니다. 회사는 주당 $0.12의 분기 배당금을 발표했으며, 이는 전년 대비 20% 증가한 수치입니다. 주요 지표로는 3.81%의 순이자 마진, $505.5 백만의 대출금(연환산 11.1% 증가), 그리고 $510.5 백만의 총 예금(연환산 4.7% 증가)이 있습니다. 비수익 자산은 SBA 대출 4건으로 인해 $2.9 백만으로 증가했으며, 그 중 $1.8 백만은 SBA에 의해 보증되었습니다. 은행의 커뮤니티 뱅크 레버리지 비율은 11.1%였습니다.
Oak Ridge Financial Services a annoncé les résultats du troisième trimestre 2024, avec un bénéfice par action de 0,54 $, en hausse par rapport à 0,46 $ au T2 mais en baisse par rapport à 0,55 $ au T3 2023. L'entreprise a annoncé un dividende trimestriel de 0,12 $ par action, en hausse de 20 % par rapport à l'année précédente. Les indicateurs clés comprennent une marge d'intérêt nette de 3,81 %, des créances sur prêts de 505,5 millions de dollars (augmentation annualisée de 11,1 %) et des dépôts totaux de 510,5 millions de dollars (augmentation annualisée de 4,7 %). Les actifs non performants ont augmenté à 2,9 millions de dollars, principalement en raison de quatre prêts SBA, dont 1,8 million de dollars étaient garantis par la SBA. Le ratio de levier de la Banque communautaire était de 11,1 %.
Oak Ridge Financial Services berichtete über die Ergebnisse des dritten Quartals 2024 mit einem Gewinn pro Aktie von $0.54, was einen Anstieg von $0.46 im Q2, aber einen Rückgang von $0.55 im Q3 2023 darstellt. Das Unternehmen gab eine vierteljährliche Dividende von $0.12 pro Aktie bekannt, was einem Anstieg von 20% im Jahresvergleich entspricht. Zu den wichtigsten Kennzahlen gehören eine Nettozinsmarge von 3.81%, Forderungen aus Darlehen von $505.5 Millionen (jährlich um 11.1% gestiegen) und Gesamteinlagen von $510.5 Millionen (jährlich um 4.7% gestiegen). Die notleidenden Vermögen stiegen auf $2.9 Millionen, hauptsächlich aufgrund von vier SBA-Darlehen, von denen $1.8 Millionen von der SBA garantiert wurden. Die Leverage-Quote der Community Bank lag bei 11.1%.
- Earnings per share increased from $0.46 to $0.54 quarter-over-quarter
- Quarterly dividend increased 20% year-over-year
- Loans receivable grew 11.1% annualized to $505.5 million
- Total deposits increased 4.7% annualized to $510.5 million
- Net interest income increased from $5.6M to $6.0M year-over-year
- Earnings per share decreased from $0.55 to $0.54 year-over-year
- Nonperforming assets increased significantly to $2.9M from $542,000 in previous quarter
- Net interest margin declined from 3.83% to 3.81% year-over-year
- No gains from SBA loan sales in Q3 2024 compared to $147,000 in Q3 2023
- Higher provision for credit losses at $261,000 vs $137,000 year-over-year
OAK RIDGE, N.C., Oct. 31, 2024 (GLOBE NEWSWIRE) -- Oak Ridge Financial Services, Inc. (“Oak Ridge”; or the “Company”) (OTCPink: BKOR), the parent company of Bank of Oak Ridge (the “Bank”), announced unaudited financial results for the third quarter of 2024.
Third Quarter 2024 Highlights
- Earnings per share of
$0.54 , compared to$0.46 for the prior quarter and$0.55 for the third quarter of 2023. - Return on equity of
9.56% , compared to8.57% for the prior quarter and10.63% for the third quarter of 2023. - Dividends declared per common share of
$0.12 , unchanged from the prior quarter and up20% from the third quarter of 2023. - Tangible book value per common share of
$22.78 as of quarter end, compared to$21.95 at the end of the prior quarter, and$20.26 at the end of the comparable period in 2023. - Net interest margin of
3.81% , unchanged from the prior quarter and3.83% for the third quarter of 2023. - Efficiency ratio of
67.9% , compared to70.0% for the prior quarter and68.7% for the comparable period in 2023. - Loans receivable of
$505.5 million at quarter end, up11.1% (annualized) from$466.8 million as of the prior year end, and up11.2% from$454.5 million at the comparable quarter end in 2023. - Nonperforming assets to total assets of
0.45% at quarter end, compared to0.08% as of the prior quarter end and0.08% at the comparable quarter end in 2023. - Nonperforming assets were
$2.9 million at quarter end, compared to$542,000 as of the prior quarter end and$412,000 at the comparable quarter end in 2023.$2.2 million of the total$2.4 million increase in nonperforming assets from the prior quarter end to the current quarter end were due to the guaranteed and nonguaranteed balances of four Small Business Administration (“SBA”) 7(a) loans moving to nonaccrual status during the third quarter of 2024. The balance of nonperforming loans guaranteed by the SBA was$1.8 million at quarter end, with no balances as of the prior quarter end and the comparable quarter end in 2023. - Securities available-for-sale and held-to maturity of
$102.4 million at quarter end, down9.8% (annualized) from$110.6 million as of the prior year end, and down5.9% from$108.9 million at the comparable quarter end in 2023. - Total deposits of
$510.5 million at quarter end, up4.7% (annualized) from$493.1 million as of the prior year end, and up6.5% from$477.9 million at the comparable quarter end in 2023. - Total short and long-term borrowings, junior subordinated notes, and subordinated debentures of
$70.2 million at quarter end, up27.6% (annualized) from$58.2 million as of the prior year end, and up3.0% from$68.2 million at the comparable quarter end in 2023. - Total stockholders’ equity of
$62.9 million at quarter end, up7.3% (annualized) from$58.3 million as of the prior quarter end, and up6.9% from$55.3 million at the comparable quarter end in 2023. At September 30, 2024, the Bank’s Community Bank Leverage Ratio (CBLR) was11.1% , down slightly from11.2% at December 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 than9.0% .
Tom Wayne, Chief Executive Officer, announced, "While our earnings per share in the third quarter of 2024 decreased compared to the comparable 2023 period, they increased from the previous quarter. We had double-digit annualized loan growth from the 2023-year end and the comparable quarter end in 2023, funded by a mix of deposits and borrowings. Despite a rise in nonperforming assets of
The Company adopted and implemented a share repurchase program in the third quarter of 2024. There were no shares repurchased during the third quarter of 2024. Between September 30, 2024, and October 30, 2024, the Company repurchased a total of 16,700 shares for
A quarterly cash dividend of
For the three months ended September 30, 2024, and 2023, net interest income was
For the three months ended September 30, 2024, the Company recorded a provision for credit losses of
Noninterest income totaled
Noninterest income totaled
Noninterest expense totaled
Noninterest expense totaled
Many communities in western North Carolina suffered significant damage from Hurricane Helene. Currently, it appears that our customers, who are predominantly located in the Piedmont Triad area of North Carolina, have been largely unaffected. The Bank made monetary donations to two organizations and our employees have donated critical supplies to support hurricane Helene relief efforts in western North Carolina.
About Oak Ridge Financial Services, Inc., and Bank of Oak Ridge
At Bank of Oak Ridge, we pride ourselves on knowing your name when you walk through our door. Whether in-person or through our digital offerings, managing your financial well-being is easy, safe, and convenient. We are the longest-running employee-owned community bank in the Triad and have served community members, local businesses, and non-profit organizations since 2000. Learn more about what makes Bank of Oak Ridge the Triad’s community bank by visiting one of our convenient locations in Greensboro, High Point, Summerfield, and Oak Ridge.
Oak Ridge Financial Services, Inc. (OTC Pink: BKOR) is the holding company for Bank of Oak Ridge. Bank of Oak Ridge is a member of the FDIC and an Equal Housing Lender.
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, Savings & Money Market | Loans + SBA | Mortgage | Insurance | Wealth Management
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.
OAK RIDGE FINANCIAL SERVICES, INC. | ||||||||||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||||||||||
(Dollars in thousands, except share data) | ||||||||||||||||
September 30, | December 31, | September 30, | ||||||||||||||
2024 | 2023 | 2023 | ||||||||||||||
ASSETS | (unaudited) | (audited) | (unaudited) | |||||||||||||
Cash and due from banks | $ | 10,522 | $ | 7,792 | $ | 9,182 | ||||||||||
Interest-bearing deposits with banks | 11,308 | 12,633 | 15,294 | |||||||||||||
Total cash and cash equivalents | 21,830 | 20,425 | 24,476 | |||||||||||||
Securities available-for-sale | 83,769 | 91,849 | 90,148 | |||||||||||||
Securities held-to-maturity, net of allowance for credit losses | 18,668 | 18,706 | 18,720 | |||||||||||||
Restricted stock, at cost | 4,006 | 2,404 | 2,828 | |||||||||||||
Loans receivable | 505,521 | 466,796 | 454,521 | |||||||||||||
Allowance for credit losses | (5,354 | ) | (4,920 | ) | (4,808 | ) | ||||||||||
Net loans receivable | 500,167 | 461,876 | 449,713 | |||||||||||||
Property and equipment, net | 8,827 | 8,366 | 8,523 | |||||||||||||
Accrued interest receivable | 3,098 | 2,580 | 2,427 | |||||||||||||
Bank owned life insurance | 6,244 | 6,178 | 6,155 | |||||||||||||
Right-of-use assets – operating leases | 2,242 | 2,466 | 2,537 | |||||||||||||
Other assets | 4,614 | 4,544 | 5,735 | |||||||||||||
Total assets | $ | 653,465 | $ | 619,394 | $ | 611,262 | ||||||||||
LIABILITIES | ||||||||||||||||
Noninterest-bearing deposits | $ | 114,152 | $ | 99,702 | $ | 106,981 | ||||||||||
Interest-bearing deposits | 396,346 | 393,442 | 370,881 | |||||||||||||
Total deposits | 510,498 | 493,144 | 477,862 | |||||||||||||
Short-term borrowings | 52,000 | 40,000 | 50,000 | |||||||||||||
Long-term borrowings | - | - | - | |||||||||||||
Junior subordinated notes – trust preferred securities | 8,248 | 8,248 | 8,248 | |||||||||||||
Subordinated debentures, net of discount | 9,973 | 9,943 | 9,933 | |||||||||||||
Lease liabilities – operating leases | 2,242 | 2,466 | 2,537 | |||||||||||||
Accrued interest payable | 1,021 | 1,154 | 1,094 | |||||||||||||
Other liabilities | 6,580 | 6,092 | 6,235 | |||||||||||||
Total liabilities | 590,562 | 561,047 | 555,909 | |||||||||||||
STOCKHOLDERS' EQUITY | ||||||||||||||||
Common stock | 27,100 | 26,736 | 26,603 | |||||||||||||
Retained earnings | 36,575 | 33,364 | 32,161 | |||||||||||||
Net unrealized loss on debt securities, net of tax | (412 | ) | (1,580 | ) | (3,827 | ) | ||||||||||
Net unrealized gain (loss) on hedging derivative instruments, net of tax | (360 | ) | (173 | ) | 416 | |||||||||||
Total accumulated other comprehensive loss | (772 | ) | (1,753 | ) | (3,411 | ) | ||||||||||
Total stockholders’ equity | 62,903 | 58,347 | 55,353 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 653,465 | $ | 619,394 | $ | 611,262 | ||||||||||
Common shares outstanding | 2,761,870 | 2,732,720 | 2,732,020 | |||||||||||||
Common shares authorized | 50,000,000 | 50,000,000 | 50,000,000 | |||||||||||||
OAK RIDGE FINANCIAL SERVICES, INC. | ||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) | ||||||||||||||||
(Dollars in thousands, except share data) | ||||||||||||||||
Three Months Ended | Nine months ended | |||||||||||||||
September 30, | June 30, | September 30, | September 30, | September 30, | ||||||||||||
2024 | 2024 | 2023 | 2024 | 2023 | ||||||||||||
Interest and dividend income: | ||||||||||||||||
Loans and fees on loans | $ | 7,971 | $ | 7,663 | $ | 6,455 | $ | 22,865 | $ | 18,151 | ||||||
Interest on deposits in banks | 275 | 244 | 207 | 670 | 663 | |||||||||||
Restricted stock dividends | 67 | 64 | 42 | 177 | 141 | |||||||||||
Interest on investment securities | 1,402 | 1,453 | 1,515 | 4,299 | 3,722 | |||||||||||
Total interest and dividend income | 9,715 | 9,424 | 8,219 | 28,011 | 22,677 | |||||||||||
Interest expense | ||||||||||||||||
Deposits | 2,758 | 2,460 | 1,678 | 7,568 | 4,074 | |||||||||||
Short-term and long-term debt | 961 | 1,130 | 915 | 2,991 | 2,230 | |||||||||||
Total interest expense | 3,719 | 3,590 | 2,593 | 10,559 | 6,304 | |||||||||||
Net interest income | 5,996 | 5,834 | 5,626 | 17,452 | 16,373 | |||||||||||
Provision for (recovery of) credit losses | 261 | 322 | 137 | 848 | 295 | |||||||||||
Net interest income after provision for credit losses | 5,735 | 5,512 | 5,489 | 16,604 | 16,078 | |||||||||||
Noninterest income: | ||||||||||||||||
Service charges on deposit accounts | 231 | 198 | 162 | 602 | 459 | |||||||||||
Gain (loss) on sale of securities | - | - | - | - | 77 | |||||||||||
Brokerage commissions on mortgage loans | - | - | 9 | - | 43 | |||||||||||
Insurance commissions | 169 | 125 | 135 | 428 | 341 | |||||||||||
Gain on sale of Small Business Administration loans | - | - | 147 | - | 475 | |||||||||||
Debit and credit card interchange income | 292 | 309 | 333 | 889 | 924 | |||||||||||
Income from Small Business Investment Company | 111 | 22 | 135 | 211 | 186 | |||||||||||
Income earned on bank owned life insurance | 23 | 22 | 21 | 67 | 60 | |||||||||||
Other Service Charges and Fees | 98 | 87 | 108 | 283 | 428 | |||||||||||
Total noninterest income | 924 | 763 | 1,050 | 2,480 | 2,993 | |||||||||||
Noninterest expenses: | ||||||||||||||||
Salaries | 2,287 | 2,311 | 2,174 | 6,764 | 6,666 | |||||||||||
Employee Benefits | 310 | 302 | 335 | 924 | 908 | |||||||||||
Occupancy | 358 | 351 | 250 | 1,004 | 819 | |||||||||||
Equipment | 143 | 155 | 208 | 461 | 658 | |||||||||||
Data and Item Processing | 607 | 526 | 527 | 1,653 | 1,465 | |||||||||||
Professional & Advertising | 332 | 305 | 379 | 951 | 1,082 | |||||||||||
Stationary and Supplies | 32 | 45 | 26 | 109 | 94 | |||||||||||
Telecommunications | 71 | 63 | 135 | 213 | 390 | |||||||||||
FDIC Assessment | 118 | 111 | 102 | 343 | 308 | |||||||||||
Other expense | 438 | 448 | 452 | 1,271 | 1,162 | |||||||||||
Total noninterest expenses | 4,696 | 4,617 | 4,588 | 13,693 | 13,552 | |||||||||||
Income before income taxes | 1,963 | 1,658 | 1,951 | 5,391 | 5,519 | |||||||||||
Income tax expense | 460 | 382 | 456 | 1,245 | 1,255 | |||||||||||
Net income and income available to common shareholders | $ | 1,503 | $ | 1,276 | $ | 1,495 | $ | 4,146 | $ | 4,264 | ||||||
Basic income per common share | $ | 0.54 | $ | 0.46 | $ | 0.55 | $ | 1.50 | $ | 1.56 | ||||||
Diluted income per common share | $ | 0.54 | $ | 0.46 | $ | 0.55 | $ | 1.50 | $ | 1.56 | ||||||
Basic weighted average shares outstanding | 2,761,870 | 2,761,870 | 2,732,720 | 2,755,806 | 2,726,535 | |||||||||||
Diluted weighted average shares outstanding | 2,761,870 | 2,761,870 | 2,732,720 | 2,755,806 | 2,726,535 | |||||||||||
OAK RIDGE FINANCIAL SERVICES, INC. | ||||||||||||||||
Selected Financial Data | ||||||||||||||||
As of or For The Three Months Ended, | ||||||||||||||||
September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||
2024 | 2024 | 2024 | 2023 | 2023 | ||||||||||||
Return on average common stockholders' equity1 | 9.56 | % | 8.57 | % | 9.31 | % | 10.44 | % | 10.63 | % | ||||||
Tangible book value per share | $ | 22.78 | $ | 21.95 | $ | 21.56 | $ | 21.35 | $ | 20.26 | ||||||
Return on average assets1 | 0.91 | % | 0.80 | % | 0.88 | % | 0.95 | % | 0.98 | % | ||||||
Net interest margin1 | 3.81 | % | 3.81 | % | 3.79 | % | 3.79 | % | 3.83 | % | ||||||
Efficiency ratio | 67.9 | % | 70.0 | % | 68.3 | % | 65.2 | % | 68.7 | % | ||||||
Nonperforming assets to total assets | 0.45 | % | 0.08 | % | 0.06 | % | 0.07 | % | 0.07 | % | ||||||
Allowance for credit losses to total loans | 1.06 | % | 1.06 | % | 1.03 | % | 1.05 | % | 1.06 | % | ||||||
1Annualized | ||||||||||||||||
Contact: Skylar Mearing, Marketing Director
Phone: 336.662.4840
FAQ
What was Oak Ridge Financial Services (BKOR) earnings per share in Q3 2024?
What is BKOR's quarterly dividend payment for Q3 2024?
What was BKOR's loan growth in Q3 2024?