1st Colonial Bancorp, Inc. Reports Third Quarter 2024 Results
Income Statement Highlights include:
-
Net income was
for the third quarter of 2024 consistent with the same quarter in 2023 and a$1.8 million decrease from the second quarter of 2024.$115 thousand -
Net interest income for the quarter ended September 30, 2024 was
, a decrease of$6.2 million , or$447 thousand 7% from the same period in 2023. -
Net interest margin for the quarter ended September 30, 2024 was
3.16% , an8% decrease from the same period in 2023, and a2% increase from the quarter ended June 30, 2024. -
Provision for credit losses was
for the third quarter of 2024 compared to$82 thousand for the third quarter of 2023. The provision for credit losses was a net release of$126 thousand for the second quarter of 2024.$439 thousand -
The allowance for credit losses was
1.47% of total loans as of September 30, 2024 compared to1.50% as of June 30, 2024 and1.52% as of December 31, 2023. -
Noninterest income for the quarter ended September 30, 2024 was
, a$944 thousand 3% increase from the comparable quarter in 2023 and a3% decrease from the second quarter of 2024. -
Noninterest expense for the quarter ended September 30, 2024 was
, a decrease of$4.6 million 7% from the same period in 2023 and a3% decrease from the second quarter of 2024. -
Diluted earnings per share was
for the quarter ended September 30, 2024 compared to$0.37 for the quarter ended September 30, 2023.$0.38 -
Annualized return on average assets for the third quarter of 2024 was
0.91% compared to0.92% for the same period in 2023 and1.00% for the second quarter of 2024.
Balance Sheet Highlights include:
-
Total assets declined
, or$10.3 million 1% , to as of September 30, 2024 from$815.3 million as of December 31, 2023.$825.6 million -
Total loans declined
, or$12.9 million 2% , to as of September 30, 2024 from$624.1 million as of December 31, 2023.$637.0 million -
Total deposits grew
, or$11.7 million 2% , from as of December 31, 2023 to$687.4 million as of September 30, 2024.$699.1 million -
For the third quarter of 2024, annualized return on average equity was
9.91% compared to11.45% for the same period in 2023 and11.10% for the second quarter of 2024. -
Book value per share increased
10% to as of September 30, 2024 from$15.76 as of December 31, 2023.$14.31 -
Leverage ratio for the Bank grew to
10.68% as of September 30, 2024 from10.02% as of December 31, 2023.
Robert White, President and Chief Executive Officer, commented, “We are pleased to report our third quarter and nine month results, which reflect continued stability in our operating results. Our net interest margin improved during the quarter, which we believe will continue for the balance of the year, as the yield curve continues to widen. Our residential mortgage business revenue improved for the quarter and we have solid momentum given the increase in housing inventory in our markets. Our credit discipline and strong portfolio management practices continue to deliver strong asset quality metrics. We remain focused on delivering high quality products and services to our growing client base, as well as continuing to closely manage operating expenses as we proceed through the final quarter of 2024.”
Operating Results
Net Interest Income
The net interest margin was
Net interest income for the three months ended September 30, 2024 and 2023 was
For the nine months ended September 30, 2024, net interest income decreased
For the quarter ended September 30, 2024, interest expense was
For the nine months ended September 30, 2024, interest expense was
Provision for Credit Losses
For the three months ended September 30, 2024, the net provision for credit losses was
For the nine months ended September 30, 2024, the provision for credit losses was a net release of
Noninterest Income
Noninterest income for the third quarter of 2024 was
For the nine months ended September 30, 2024, noninterest income was
Noninterest Expense
Noninterest expense was
Noninterest expense was
Income Taxes
For the three and nine months ended September 30, 2024, income tax expenses were
Financial Condition
Assets
As of September 30, 2024, total assets were
Total loans were
Investments increased
Asset Quality
As of September 30, 2024, the allowance for credit losses (“ACL”) for loans was
Liabilities
Total deposits were
As of September 30, 2024, short-term borrowings were
Shareholder’s Equity
Total shareholders’ equity was
Consolidated Financial Statements and Other Highlights:
1st COLONIAL BANCORP, INC. CONSOLIDATED INCOME STATEMENTS (Unaudited, dollars in thousands, except per share data) |
|||||||||||||||||||
For the three months ended |
For the nine months |
||||||||||||||||||
Sept 30, |
June 30, |
Sept 30, |
ended September 30, |
||||||||||||||||
|
2024 |
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
||||||
Interest income |
$ |
10,755 |
|
$ |
10,292 |
|
$ |
10,213 |
|
$ |
31,546 |
|
$ |
29,099 |
|
||||
Interest expense |
|
4,586 |
|
|
4,389 |
|
|
3,597 |
|
|
13,178 |
|
|
9,050 |
|
||||
Net Interest Income |
|
6,169 |
|
|
5,903 |
|
|
6,616 |
|
|
18,368 |
|
|
20,049 |
|
||||
Provision for (release of) credit losses |
|
82 |
|
|
(439 |
) |
|
126 |
|
|
(202 |
) |
|
122 |
|
||||
Net interest income after provision for credit losses |
|
6,087 |
|
|
6,342 |
|
|
6,490 |
|
|
18,570 |
|
|
19,927 |
|
||||
Non-interest income |
|
944 |
|
|
969 |
|
|
917 |
|
|
2,634 |
|
|
2,070 |
|
||||
Non-interest expense |
|
4,638 |
|
|
4,802 |
|
|
4,965 |
|
|
14,213 |
|
|
14,714 |
|
||||
Income before taxes |
|
2,393 |
|
|
2,509 |
|
|
2,442 |
|
|
6,991 |
|
|
7,283 |
|
||||
Income tax expense |
|
555 |
|
|
556 |
|
|
626 |
|
|
1,619 |
|
|
1,986 |
|
||||
Net Income |
$ |
1,838 |
|
$ |
1,953 |
|
$ |
1,816 |
|
$ |
5,372 |
|
$ |
5,297 |
|
||||
Earnings Per Share – Basic |
$ |
0.38 |
|
$ |
0.41 |
|
$ |
0.38 |
|
$ |
1.13 |
|
$ |
1.13 |
|
||||
Earnings Per Share – Diluted |
$ |
0.37 |
|
$ |
0.40 |
|
$ |
0.38 |
|
$ |
1.09 |
|
$ |
1.10 |
|
||||
|
SELECTED PERFORMANCE RATIOS: |
|||||||||||||||||||
For the three months ended |
For the nine months |
||||||||||||||||||
|
Sept 30, |
June 30, |
Sept 30, |
ended September 30, |
|||||||||||||||
|
2024 |
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
|||||
Annualized Return on Average Assets |
|
0.91 |
% |
|
1.00 |
% |
|
0.92 |
% |
|
0.90 |
% |
|
0.91 |
% |
||||
Annualized Return on Average Equity |
|
9.91 |
% |
|
11.10 |
% |
|
11.45 |
% |
|
10.09 |
% |
|
11.59 |
% |
||||
Book value per share (1) |
$ |
15.76 |
|
$ |
15.09 |
|
$ |
13.51 |
|
$ |
15.76 |
|
$ |
13.51 |
|
|
As of September 30, 2024 |
As of December 31, 2023 |
|||
Bank Capital Ratios: |
|||||
Tier 1 Leverage |
10.68 |
% |
10.02 |
% |
|
Total Risk Based Capital |
17.00 |
% |
15.55 |
% |
|
Common Equity Tier 1 |
15.74 |
% |
14.30 |
% |
1st COLONIAL BANCORP, INC. CONSOLIDATED BALANCE SHEETS |
|||||||
(Unaudited, in thousands) |
As of September 30, 2024 |
As of December 31, 2023 |
|||||
Cash and cash equivalents |
$ |
43,904 |
|
$ |
52,727 |
|
|
Total investments |
|
110,829 |
|
|
107,577 |
|
|
Loans held for sale |
|
12,780 |
|
|
3,619 |
|
|
Total loans |
|
624,114 |
|
|
637,037 |
|
|
Less ACL-loans |
|
(9,167 |
) |
|
(9,690 |
) |
|
Loans and leases, net |
|
614,947 |
|
|
627,347 |
|
|
Bank owned life insurance |
|
18,328 |
|
|
17,894 |
|
|
Premises and equipment, net |
|
1,544 |
|
|
1,770 |
|
|
Other real estate owned (“OREO”) |
|
258 |
|
|
|
- |
|
Accrued interest receivable |
|
3,506 |
|
|
3,431 |
|
|
Other assets |
|
9,223 |
|
|
11,279 |
|
|
Total Assets |
$ |
815,319 |
|
$ |
825,644 |
|
|
Total deposits |
$ |
699,064 |
|
$ |
687,444 |
|
|
Other borrowings |
|
24,600 |
|
|
53,600 |
|
|
Subordinated debt |
|
10,684 |
|
|
10,631 |
|
|
Other liabilities |
|
5,512 |
|
|
|
6,046 |
|
Total Liabilities |
|
739,860 |
|
|
|
757,721 |
|
Total Shareholders’ Equity |
|
75,459 |
|
|
67,923 |
|
|
Total Liabilities and Equity |
$ |
815,319 |
|
$ |
825,644 |
|
|
||||||||||||||||||||||||||||||||
1st COLONIAL BANCORP, INC. NET INTEREST INCOME AND MARGIN TABLES (Unaudited, in thousands, except percentages) |
||||||||||||||||||||||||||||||||
|
For the three months ended |
|||||||||||||||||||||||||||||||
|
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||||||||||||||||||||||||||||
|
Average Balance |
Interest |
Yield/ Rate |
Average Balance |
Interest |
Yield/ Rate |
Average Balance |
Interest |
Yield/ Rate |
|||||||||||||||||||||||
Cash and cash equivalents |
$ |
33,180 |
|
$ |
409 |
|
4.90 |
% |
$ |
13,650 |
|
$ |
157 |
|
4.63 |
% |
$ |
19,853 |
|
$ |
237 |
|
4.74 |
% |
||||||||
Investment securities |
|
111,148 |
|
|
865 |
|
3.10 |
% |
|
108,370 |
|
|
808 |
|
3.00 |
% |
|
103,236 |
|
|
626 |
|
2.41 |
% |
||||||||
Loans held for sale |
|
7,916 |
|
125 |
6.28 |
% |
|
8,294 |
|
131 |
6.35 |
% |
|
7,064 |
|
106 |
5.95 |
% |
||||||||||||||
Loans |
|
623,234 |
|
|
9,356 |
|
5.97 |
% |
|
632,463 |
|
|
9,196 |
|
5.85 |
% |
|
634,525 |
|
|
9,244 |
|
5.78 |
% |
||||||||
Total interest-earning assets |
|
775,477 |
|
|
10,755 |
|
5.52 |
% |
|
762,777 |
|
|
10,292 |
|
5.43 |
% |
|
764,678 |
|
|
10,213 |
|
5.30 |
% |
||||||||
Non-interest earning assets |
|
25,252 |
|
|
|
|
25,935 |
|
|
20,918 |
|
|
|
|||||||||||||||||||
Total average assets |
$ |
800,829 |
|
|
|
$ |
788,712 |
|
$ |
785,596 |
|
|
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Interest-bearing deposits |
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Interest checking accounts |
$ |
382,186 |
|
$ |
1,743 |
|
1.81 |
% |
$ |
364,634 |
|
$ |
1,485 |
|
1.64 |
% |
$ |
390,471 |
|
$ |
1,471 |
|
1.49 |
% |
||||||||
Savings and money markets |
|
72,957 |
|
|
404 |
|
2.20 |
% |
|
69,478 |
|
|
334 |
|
1.93 |
% |
|
68,782 |
|
|
227 |
|
1.31 |
% |
||||||||
Certificates of deposit |
|
72,741 |
|
|
745 |
|
4.07 |
% |
|
73,253 |
|
|
744 |
|
4.08 |
% |
|
89,552 |
|
|
618 |
|
2.74 |
% |
||||||||
Brokered deposits |
|
103,050 |
|
|
1,347 |
|
5.20 |
% |
|
103,360 |
|
|
1,313 |
|
5.11 |
% |
|
66,171 |
|
|
869 |
|
5.21 |
% |
||||||||
Total interest-bearing deposits |
|
630,934 |
|
|
4,239 |
|
2.67 |
% |
|
610,725 |
|
|
3,876 |
|
2.55 |
% |
|
614,976 |
|
|
3,185 |
|
2.05 |
% |
||||||||
Borrowings |
|
20,867 |
|
|
347 |
|
6.62 |
% |
|
33,031 |
|
|
513 |
|
6.25 |
% |
|
25,931 |
|
|
412 |
|
6.30 |
% |
||||||||
Total interest-bearing liabilities |
|
651,801 |
|
|
4,586 |
|
2.80 |
% |
|
643,756 |
|
|
4,389 |
|
2.74 |
% |
|
640,907 |
|
|
3,597 |
|
2.23 |
% |
||||||||
Non-interest bearing deposits |
|
69,590 |
|
|
|
|
68,668 |
|
|
|
|
75,101 |
|
|
|
|||||||||||||||||
Other liabilities |
|
5,670 |
|
|
|
|
5,555 |
|
|
6,657 |
|
|
|
|||||||||||||||||||
Total average liabilities |
|
727,061 |
|
|
|
|
717,979 |
|
|
|
|
722,665 |
|
|
|
|||||||||||||||||
Shareholders' equity |
|
73,768 |
|
|
|
|
70,733 |
|
|
62,931 |
|
|
|
|||||||||||||||||||
Total average liabilities and equity |
$ |
800,829 |
|
|
|
$ |
788,712 |
|
$ |
785,596 |
|
|
|
|||||||||||||||||||
Net interest income |
|
$ |
6,169 |
|
|
|
$ |
5,903 |
|
|
|
$ |
6,616 |
|
|
|||||||||||||||||
Net interest margin |
|
|
3.16 |
% |
|
|
3.11 |
% |
|
|
3.43 |
% |
||||||||||||||||||||
Net interest spread |
|
|
2.72 |
% |
|
|
2.68 |
% |
|
|
3.07 |
% |
1st COLONIAL BANCORP, INC. NET INTEREST INCOME AND MARGIN TABLES – Continued (Unaudited, in thousands, except percentages) |
|||||||||||||||||||||
|
For the nine months ended |
|
For the nine months ended |
||||||||||||||||||
|
September 30, 2024 |
|
September 30, 2023 |
||||||||||||||||||
|
Average Balance |
|
Interest |
|
Yield |
|
Average Balance |
|
Interest |
|
Yield/Rate |
||||||||||
Cash and cash equivalents |
$ |
20,632 |
|
$ |
712 |
|
4.61 |
% |
|
$ |
15,612 |
|
$ |
512 |
|
4.38 |
% |
||||
Investment securities |
|
110,237 |
|
2,478 |
3.00 |
% |
|
|
115,546 |
|
1,917 |
2.22 |
% |
||||||||
Loans held for sale |
|
6,988 |
|
|
332 |
|
6.35 |
% |
|
|
5,588 |
|
|
196 |
|
4.69 |
% |
||||
Loans |
|
632,386 |
|
|
28,024 |
|
5.92 |
% |
|
624,285 |
|
|
26,474 |
|
5.67 |
% |
|||||
Total interest-earning assets |
|
770,243 |
|
|
31,546 |
|
5.47 |
% |
|
|
761,031 |
|
|
29,099 |
|
5.11 |
% |
||||
Non-interest earning assets |
|
24,271 |
|
|
|
|
21,314 |
|
|
|
|||||||||||
Total average assets |
$ |
794,514 |
|
|
|
|
$ |
782,345 |
|
|
|
||||||||||
|
|
|
|
|
|
|
|
||||||||||||||
Interest-bearing deposits |
|
|
|
|
|
|
|
||||||||||||||
Interest checking accounts |
$ |
373,575 |
|
$ |
4,641 |
|
1.66 |
% |
|
$ |
380,502 |
|
$ |
3,377 |
|
1.19 |
% |
||||
Savings and money market deposits |
|
68,925 |
|
|
1,011 |
|
1.96 |
% |
|
|
77,731 |
|
|
664 |
|
1.14 |
% |
||||
Certificates of deposit |
|
77,148 |
|
|
2,304 |
|
3.99 |
% |
|
|
86,681 |
|
|
1,389 |
|
2.14 |
% |
||||
Brokered deposits |
|
100,355 |
|
|
3,899 |
|
5.19 |
% |
|
57,178 |
|
|
2,067 |
|
4.83 |
% |
|||||
Total interest-bearing deposits |
|
620,003 |
|
|
11,855 |
|
2.55 |
% |
|
|
602,092 |
|
|
7,497 |
|
1.66 |
% |
||||
Borrowings |
|
27,669 |
|
|
1,323 |
|
6.39 |
% |
|
35,349 |
|
|
1,553 |
|
5.88 |
% |
|||||
Total interest-bearing liabilities |
|
647,672 |
|
|
13,178 |
|
2.72 |
% |
|
|
637,441 |
|
|
9,050 |
|
1.90 |
% |
||||
Non-interest bearing deposits |
|
69,977 |
|
|
|
|
|
77,310 |
|
|
|
||||||||||
Other liabilities |
|
5,713 |
|
|
|
|
6,498 |
|
|
|
|||||||||||
Total average liabilities |
|
723,362 |
|
|
|
|
|
721,249 |
|
|
|
||||||||||
Shareholders' equity |
|
71,152 |
|
|
|
|
61,096 |
|
|
|
|||||||||||
Total average liabilities and equity |
$ |
794,514 |
|
|
|
$ |
782,345 |
|
|
|
|||||||||||
Net interest income |
|
$ |
18,368 |
|
|
|
|
$ |
20,049 |
|
|
||||||||||
Net interest margin |
|
|
3.19 |
% |
|
|
|
3.52 |
% |
||||||||||||
Net interest spread |
|
|
2.75 |
% |
|
|
|
3.21 |
% |
About 1st Colonial Bancorp, Inc.
1st Colonial Bancorp, Inc, is a
“Safe Harbor” Statement
In addition to historical information, this press release may contain “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements with respect to 1st Colonial Bancorp, Inc.’s strategies, goals, beliefs, expectations, estimates, intentions, capital raising efforts, financial condition and results of operations, future performance, and business. Statements preceded by, followed by, or that include the words “may,” “could,” “should,” “pro forma,” “looking forward,” “would,” “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” or similar expressions generally indicate a forward-looking statement. These forward-looking statements involve risks and uncertainties that are subject to change based on various important factors (some of which, in whole or in part, are beyond 1st Colonial Bancorp, Inc.’s control). Numerous competitive, economic, regulatory, legal and technological factors, risks and uncertainties that could cause actual results to differ materially include, without limitation, the impact of the ongoing pandemic and government responses thereto; on the
View source version on businesswire.com: https://www.businesswire.com/news/home/20241022957686/en/
For more information, contact
Mary Kay Shea at 856‑885‑2391
Source: 1st Colonial Bancorp, Inc.