Jeffersonville Bancorp Announces First Quarter Earnings of $1,790,000 or $0.42 per share; Declares Dividend of $0.15

Rhea-AI Summary

Jeffersonville Bancorp, Inc. (OTCQB - JFBC) reported a first-quarter net income of $1,790,000 or $0.42 per share, a notable increase from $1,314,000 or $0.31 per share in 2021. This $476,000 gain primarily resulted from a rise in securities interest and loan fees, alongside reduced non-interest expenses. The company announced a cash dividend of $0.15 per share, payable on June 1, 2022. President George W. Kinne, Jr. highlighted strong liquidity and the potential for higher interest rates impacting loan repricing.

Positive

• First-quarter net income rose to $1,790,000, up $476,000 from the same quarter last year.
• Earnings per share increased to $0.42 from $0.31 in 2021.
• Increase in loan interest and fees by $172,000 and a reduction in non-interest expenses by $114,000.
• Declared a cash dividend of $0.15 per share.

Negative

• Increased tax expense by $122,000.
• Decrease in unrealized securities gains of $111,000.
• Increased expenses related to foreclosed real estate by $87,000.

JEFFERSONVILLE, N.Y., May 10, 2022 (GLOBE NEWSWIRE) -- Jeffersonville Bancorp, Inc. (OTCQB - JFBC) announced today first quarter net income of $1,790,000 or $0.42 per share compared to $1,314,000 or $0.31 per share for the same quarter in 2021. The increase in quarterly net income compared to 2021 of $476,000 was primarily attributable to an increase in securities and other interest and dividends of $397,000, an increase in loan interest and fees of $172,000, a decrease in total non-interest expense of $114,000, an increase in service charge income of $41,000, and a decrease in interest expense of $21,000. These improvements were partially offset by an increase in tax expense of $122,000, a decrease in unrealized securities gains of $111,000 and an increase in foreclosed real estate expense of $87,000.

"Higher levels of securities investments and a large loan interest recovery, combined with continued low interest expense, contributed to higher net interest income in the first quarter," said George W. Kinne, Jr., President and CEO, “With the Federal Reserve beginning to increase the federal funds rate while signaling several future increases, variable rate loans will reprice higher and our high level of liquidity should enable us to take advantage of higher rates for new loans and securities purchases going forward.”

A cash dividend in the amount of fifteen cents ($0.15) per share on the common stock of the company was declared at the May 10, 2022 meeting of the Board of Directors. The dividend is payable on June 1, 2022 to stockholders of record at the close of business on May 23, 2022.

Jeffersonville Bancorp is a one-bank holding company, which owns all the capital stock of Jeff Bank. Jeff Bank maintains ten full-service branches in Sullivan and Orange County, New York located in Anawana Lake Road/Monticello, Eldred, Callicoon, Jeffersonville, Liberty, Livingston Manor, Monticello, Port Jervis, White Lake, and Wurtsboro.

For More Information, call: 845-482-4000

Contact: George W. Kinne, Jr., President – CEO    

FAQ

What were Jeffersonville Bancorp's earnings in the first quarter of 2022?

Jeffersonville Bancorp reported a first-quarter net income of $1,790,000, or $0.42 per share.

How does the first quarter of 2022 compare to the same period in 2021 for JFBC?

In the first quarter of 2021, Jeffersonville Bancorp reported $1,314,000 net income, which is $476,000 less than in 2022.

What dividends has Jeffersonville Bancorp declared for 2022?

The company declared a cash dividend of $0.15 per share, payable on June 1, 2022.

What factors contributed to the increase in net income for JFBC in Q1 2022?

The increase was driven by higher interest and dividends from securities, increased loan fees, and reduced non-interest expenses.

How might rising interest rates impact Jeffersonville Bancorp?

Rising interest rates may allow Jeffersonville Bancorp to reprice variable rate loans higher, increasing net interest income.