Golden Valley Bancshares Reports First Quarter 2025 Results (Unaudited); Announces Dividends & Stock Repurchase Plan

Rhea-AI Summary

Golden Valley Bancshares (OTC PINK:GVYB) has reported strong Q1 2025 results, announcing special and annual cash dividends along with a new stock repurchase plan. The company declared a special dividend of $1.00 per share and an annual dividend of $0.40 per share, both payable in May 2025.

Key financial highlights for Q1 2025 vs Q1 2024 include:

• Assets up 18.2% to $574.6 million
• Deposits increased 18.9% to $525.7 million
• Loans grew 3.6% to $244.6 million
• Equity rose 14.5% to $40.5 million

The company reported Q1 2025 net profit of $853,000, up from $766,000 in Q1 2024. Interest income increased to $5.94 million, while interest expense rose to $1.93 million. The Board approved a $1 million stock repurchase program effective May 1, 2025 through December 31, 2025. Asset quality remains exceptional with no loans over 30 days past due.

CHICO, CA / ACCESS Newswire / April 10, 2025 / Golden Valley Bancshares (OTC PINK:GVYB), with its wholly owned subsidiary, Golden Valley Bank headquartered in Chico, California today reported first quarter 2025 financial results, cash dividends and stock repurchase plan.

Golden Valley Bancshares announced today that the Board of Directors declared a special cash dividend on Golden Valley Bancshares common stock of $1.00 per share, payable on May 1, 2025, to stockholders of record as of April 17, 2025. Furthermore, the Board of Directors declared an annual cash dividend on common stock of $0.40 per share, payable on May 15, 2025 for shareholders of record as of April 17, 2025. "The dividend was declared after considering the Bank's capital requirements, continued growth in shareholder value and the current banking environment." stated Mark Francis, President and CEO.

On March 11, 2025, the Board of Directors authorized a new stock repurchase plan for up to $1,000,000 of the Company's outstanding common stock. The repurchase program is effective on May 1, 2025 and will remain in effect until December 31, 2025. At the discretion of the management of the Company, stock repurchases will be made from time to time through privately negotiated transactions, open market purchases, or otherwise, in accordance with all applicable legal requirements. The stock repurchase program is intended to provide increased return on equity to existing shareholders and provide additional market liquidity for our common shares outstanding. The repurchase program does not obligate Golden Valley Bancshares to acquire any amount of common stock and may be extended, modified, suspended, or discontinued at any time at the Company's discretion.

First quarter 2025 financial highlights compared to the first quarter of 2024 include:

• Assets increased $88.5 million or 18.2% to $574.6 million

• Loans increased $8.4 million or 3.6% to $244.6 million

• Deposits increased $83.6 million or 18.9% $525.7 million

• Equity increased $5.1 million or 14.5% to $40.5 million

The company ended the quarter with all-time highs in both assets and deposits. The exceptional deposit growth experienced in 2024 continued throughout the first three months of 2025 as deposits increased $36.8 million or 7.5% since year end.

While enduring a stagnant loan market, the Company was able to grow the loan portfolio by $8 million over the last twelve months and currently has a robust approved loan pipeline. "These results are a direct reflection of the effort put in by our staff to retain and grow both deposits and loans during a very difficult time," said Chief Banking Officer, Laurie Kee.

Asset quality continued to be exceptional with no loans over 30 days past due at quarter end. It's been over a decade since the Bank had a charge off in our loan portfolio. Chief Credit Officer, Quinn Velasquez stated "The Bank is lending to qualified businesses and individuals as a result of our deep knowledge and understanding of our local markets."

The continued momentum created by our strong asset growth positions us well to make significant strides in each of our markets - Chico, Redding and Oroville - in 2025.

Net profit for the quarter ending March 31, 2025, totaled $853,000 compared to $830,000 for the quarter ending December 31, 2024 and $766,000 for the quarter ending March 31, 2024. The increase in earnings year over year was a result of increasing loan yields and investment returns despite the high deposit costs with this continued high interest rate environment.

Interest income increased to $5,941,000 versus $5,781,000 for the prior quarter and $5,070,000 for the quarter ending March 31, 2024. These increases are primarily due to the impact of higher loan and investment yields and increased average balances of overnight investments. Interest expense increased to $1,934,000 for the quarter ending March 31, 2025 versus $1,868,000 for the prior quarter and $1,565,000 for the quarter ending March 31, 2024. The increase is a direct result of the elevated interest rate environment, increased deposit volume and the shift in deposit mix from noninterest bearing deposit accounts to interest bearing as customers desire higher returns.

The Bank continues to be a well-capitalized bank and far exceeds minimum regulatory requirements. For additional financial information, please visit the Investors Relations page at goldenvalley.bank/Investor-Relations.

Golden Valley Bancshares, a bank holding company with its wholly owned subsidiary, Golden Valley Bank is a locally owned and operated commercial bank serving the needs of individuals and businesses in northern California. The Bank has full service offices in Chico, Redding and Oroville, California. For more information regarding the bank please call at (530) 894-1000 or visit goldenvalley.bank.

Contact:
Mark Francis
President & CEO
530-894-4920
mfrancis@goldenvalley.bank

Forward-Looking Statements

Statements concerning future performance, developments or events, expectations for growth and income forecasts, and any other guidance on future periods, constitute forward-looking statements that are subject to a number of risks and uncertainties. Actual results are pre-fiscal year-end audit and may differ materially from stated expectations. Specific factors include, but are not limited to, loan production, balance sheet management, expanded net interest margin, the ability to control costs and expenses, interest rate changes, technological factors (including external fraud and cybersecurity threats), natural disasters, pandemics such as COVID-19 and financial policies of the United States government and general economic conditions. Golden Valley Bancshares disclaims any obligation to update any such factors.

SOURCE: Golden Valley Bancshares

View the original press release on ACCESS Newswire

FAQ

What dividends did Golden Valley Bancshares (GVYB) announce for 2025?

GVYB announced a special dividend of $1.00 per share payable May 1, 2025, and an annual dividend of $0.40 per share payable May 15, 2025, for shareholders of record as of April 17, 2025.

How much did Golden Valley Bancshares (GVYB) profit increase in Q1 2025?

GVYB's net profit increased to $853,000 in Q1 2025, up from $766,000 in Q1 2024, representing an 11.4% increase.

What is the size and duration of GVYB's 2025 stock repurchase program?

GVYB authorized a $1 million stock repurchase program effective May 1, 2025 through December 31, 2025.

How much did Golden Valley Bancshares' (GVYB) deposits grow in Q1 2025?

GVYB's deposits increased by $83.6 million or 18.9% to $525.7 million compared to Q1 2024.

What is Golden Valley Bancshares' (GVYB) current loan quality status?

GVYB reported exceptional loan quality with no loans over 30 days past due and no charge-offs in over a decade.