Oregon Bancorp Announces First Quarter Earnings

Rhea-AI Summary

Oregon Bancorp, Inc. (OTCBB: ORBN) reported a net income of $2.6 million for Q1 2022, a decline from $7.3 million in Q1 2021. The quarterly return on average assets was 2.5% and return on average equity 14.0%. Total assets decreased slightly to $407 million. Despite a decrease in mortgage loans held-for-sale due to lower demand, the company's asset quality and capital position remained strong, allowing for a special dividend of $2.00 per share and a quarterly dividend of $0.52 per share. Management remains optimistic about financial performance relative to peers.

Positive

• Strong capital-to-assets ratio of 17.89%
• Special dividend of $2.00 per share declared
• Quarterly dividend of $0.52 per share declared
• Growth in cash, investments, commercial loans, and deposits

Negative

• Net income decreased to $2.6 million from $7.3 million year-over-year
• Decrease in mortgage loans held-for-sale due to slower mortgage loan demand

SALEM, Ore.--(BUSINESS WIRE)-- Oregon Bancorp, Inc. (OTCBB: ORBN) (the “Company”), parent company of Willamette Valley Bank, reported net income of $2.6 million for the first quarter of 2022 compared to $7.3 million and $2.4 million during the first quarters of 2021 and 2020, respectively. This results in a quarterly return on average assets of 2.5% and a quarterly return on average equity of 14.0%.

Total assets were down slightly at $407 million compared to $412 million at December 31, 2021. The Company experienced balance sheet growth in the areas of cash, investments, commercial loans and deposits while mortgage loans held-for-sale decreased due to slower mortgage loan demand. Asset quality and capital position remain strong with classified assets totaling just $2.2 million and a capital-to-assets ratio of 17.89%. This has permitted the Board of Directors to distribute a $2.00 per share special dividend on March 14, 2022, and a $0.52 per share quarterly dividend on April 15, 2022.

Ryan Dempster, President and CEO, commented “Financial performance during the same quarter last year was fueled by exceptional mortgage production. The rate environment has shifted higher from a year ago which has resulted in less mortgage lending.” He continued by saying “Overall, we are pleased with our quarterly financial results which should continue to compare favorably to our peers.”

About Oregon Bancorp, Inc.

Oregon Bancorp, Inc. is the parent company of Willamette Valley Bank (Bank), a community bank headquartered in Salem, Oregon. The Bank conducts commercial and retail banking activities at four full-service branch locations in Salem, Keizer, Silverton, and Albany, Oregon. The Bank also operates 16 Home Loan Centers located in Oregon, Washington, and Idaho. For more information about Oregon Bancorp, Inc. or its subsidiary, Willamette Valley Bank, please call (503)485-2222 or visit our website at www.willamettevalleybank.com.

Forward Looking Statements

Certain statements in this release may be deemed “forward-looking statements”. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore you should not place undue reliance on them. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement.

CONSOLIDATED BALANCE SHEETS
Unaudited
(Amounts in thousands except per share data)										(Audited)
		March 31,								December 31,
ASSETS		2022				2021				2021
Cash and short term investments		$	81,800			$	47,018			$	72,110
Securities available-for-sale, at fair value			16,554				-				13,758
Loans available for sale, at fair value			41,988				75,596				60,974
Loans:
Real estate			239,749				202,732				231,953
Commercial			10,906				30,947				14,403
Other			569				690				1,011
Unearned income			(688	)			(970	)			(758	)
Loan loss reserve			(2,608	)			(2,598	)			(2,606	)
Total net loans			247,928				230,801				244,003
Property and other assets			19,070				20,962				20,816
Total assets		$	407,340			$	374,377			$	411,661
LIABILITIES
Deposits:
Noninterest-bearing demand		$	35,557			$	27,131			$	34,423
Interest-bearing demand			96,263				83,724				91,035
Savings and Money Market			145,520				106,131				136,751
Certificates of deposit			49,832				73,061				60,715
Total deposits			327,172				290,047				322,924
Borrowings			-				6,343				-
Other liabilities			7,307				15,231				13,183
Total liabilities			334,479				311,621				336,107
SHAREHOLDERS' EQUITY			72,861				62,756				75,554
Total liabilities and shareholders' equity		$	407,340			$	374,377			$	411,661
Book value per common share		$	29.75			$	26.10			$	31.31

CONSOLIDATED STATEMENTS OF NET INCOME
Unaudited
(Amounts in thousands except per share data)		Three Months Ending
		March 31, 2022			March 31, 2021
Interest income		$	3,431		$	3,504
Interest expense			225			306
Net interest income			3,206			3,198
Provision for loan losses			-			113
Net interest income afer provision			3,206			3,085
Noninterest income			11,807			23,504
Noninterest expense			11,568			16,544
Net income before income taxes			3,445			10,045
Provision for income taxes			842			2,745
Net income after income taxes		$	2,603		$	7,300
Net income per common share, basic		$	1.07		$	3.06

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20220422005086/en/

Ryan Dempster

Oregon Bancorp, Inc.

503-485-2222

bank@wvbk.com

Source: Oregon Bancorp, Inc

FAQ

What were Oregon Bancorp's Q1 2022 earnings results?

Oregon Bancorp reported a net income of $2.6 million for Q1 2022.

What is the stock symbol for Oregon Bancorp?

The stock symbol for Oregon Bancorp is ORBN.

What dividends did Oregon Bancorp declare in 2022?

Oregon Bancorp declared a special dividend of $2.00 per share and a quarterly dividend of $0.52 per share.

How did Oregon Bancorp's total assets change in Q1 2022?

Total assets decreased slightly to $407 million in Q1 2022.

What was the return on average equity for Oregon Bancorp in Q1 2022?

The return on average equity for Q1 2022 was 14.0%.