RBAZ Bancorp, Inc. Announces Unaudited Financial Results For the Quarter Ending September 30, 2024
RBAZ Bancorp reported strong Q3 2024 financial results with consolidated net income of $981,000 ($0.55 per share), up from $748,000 ($0.41 per share) in Q3 2023. The company achieved a 22% increase in net interest margin and a 26% rise in non-interest income year-over-year. Total loans reached $216,451,000, a 7.2% increase from December 2023, while total deposits grew 13.9% to $259,902,000. Interest income rose 17.5% to $4,653,000. The company maintains a strong capital position with a 10.67% Community Bank Leverage Ratio. Shareholders approved a merger with Pima Federal Credit Union, pending regulatory approval.
RBAZ Bancorp ha riportato forti risultati finanziari nel terzo trimestre 2024, con un reddito netto consolidato di $981.000 ($0,55 per azione), rispetto ai $748.000 ($0,41 per azione) del terzo trimestre 2023. L'azienda ha ottenuto un incremento del 22% nel margine d'interesse netto e un aumento del 26% nei ricavi non da interesse rispetto all'anno precedente. I prestiti totali sono stati di $216.451.000, un aumento del 7,2% rispetto a dicembre 2023, mentre i depositi totali sono cresciuti del 13,9% fino a raggiungere i $259.902.000. I proventi da interessi sono aumentati del 17,5% a $4.653.000. L'azienda mantiene una solida posizione patrimoniale con un rapporto di leva della Community Bank del 10,67%. Gli azionisti hanno approvato una fusione con il Pima Federal Credit Union, in attesa dell'approvazione normativa.
RBAZ Bancorp reportó resultados financieros sólidos en el tercer trimestre de 2024, con un ingreso neto consolidado de $981,000 ($0.55 por acción), en comparación con los $748,000 ($0.41 por acción) en el tercer trimestre de 2023. La compañía logró un incremento del 22% en el margen de interés neto y un aumento del 26% en los ingresos no por intereses interanual. Los préstamos totales alcanzaron $216,451,000, un aumento del 7.2% desde diciembre de 2023, mientras que los depósitos totales crecieron un 13.9% hasta $259,902,000. Los ingresos por intereses aumentaron un 17.5% a $4,653,000. La empresa mantiene una sólida posición de capital con un ratio de apalancamiento bancario comunitario del 10.67%. Los accionistas aprobaron una fusión con el Pima Federal Credit Union, a la espera de la aprobación regulatoria.
RBAZ Bancorp는 2024년 3분기 강력한 재무 성과를 보고하며, 통합 순이익이 $981,000 ($0.55 주당)으로 2023년 3분기의 $748,000 ($0.41 주당)에서 증가했습니다. 회사는 순이자 마진이 22% 증가하고 비이자 소득이 작년 대비 26% 상승했습니다. 총 대출은 $216,451,000으로 2023년 12월에 비해 7.2% 증가했으며, 총 예금은 13.9% 증가하여 $259,902,000에 달했습니다. 이자 수익은 17.5% 증가하여 $4,653,000이 되었습니다. 회사는 10.67%의 커뮤니티 은행 레버리지 비율로 건전한 자본 위치를 유지하고 있습니다. 주주들은 Pima Federal Credit Union과의 합병을 승인하였으며, 규제 승인을 기다리고 있습니다.
RBAZ Bancorp a rapporté de solides résultats financiers pour le troisième trimestre 2024, avec un revenu net consolidé de 981 000 $ (0,55 $ par action), en hausse par rapport à 748 000 $ (0,41 $ par action) au troisième trimestre 2023. L'entreprise a enregistré une augmentation de 22% de la marge d'intérêt nette et une hausse de 26% des revenus non d'intérêt par rapport à l'année précédente. Les prêts totaux ont atteint 216 451 000 $, soit une augmentation de 7,2 % depuis décembre 2023, tandis que les dépôts totaux ont crû de 13,9 % pour atteindre 259 902 000 $. Les revenus d'intérêts ont augmenté de 17,5 % pour atteindre 4 653 000 $. L'entreprise maintient une position de capital solide avec un ratio de levier de banque communautaire de 10,67 %. Les actionnaires ont approuvé une fusion avec le Pima Federal Credit Union, sous réserve de l'approbation réglementaire.
RBAZ Bancorp hat starke Finanzzahlen für das dritte Quartal 2024 gemeldet, mit einem konsolidierten Nettogewinn von 981.000 $ (0,55 $ pro Aktie), was einem Anstieg von 748.000 $ (0,41 $ pro Aktie) im dritten Quartal 2023 entspricht. Das Unternehmen erzielte eine 22%ige Erhöhung der Nettozinsspanne und ein 26%iges Wachstum der Nichtzinsgewinne im Jahresvergleich. Die Gesamtdarlehen beliefen sich auf 216.451.000 $, was einem Anstieg von 7,2% seit Dezember 2023 entspricht, während die Gesamteinlagen um 13,9% auf 259.902.000 $ wuchsen. Die Zinseinnahmen stiegen um 17,5% auf 4.653.000 $. Das Unternehmen hält eine starke Kapitalposition mit einem Leverage-Verhältnis der Community Bank von 10,67%. Die Aktionäre haben eine Fusion mit der Pima Federal Credit Union genehmigt, die noch auf die regulatorische Genehmigung wartet.
- Net income increased 31.1% YoY to $981,000 in Q3 2024
- Net interest margin improved 22% compared to previous quarter
- Non-interest income up 26% YoY
- Total loans increased 7.2% to $216.4M since December 2023
- Total deposits grew 13.9% to $259.9M since December 2023
- Interest income increased 17.5% YoY to $4.65M
- Cost of deposits increased to 2.11% from 1.93% YoY
- Non-interest expense rose by $45,000 YoY due to expansion costs
Net Interest Margin Up
PHOENIX, Oct. 29, 2024 (GLOBE NEWSWIRE) -- RBAZ Bancorp, Inc. (OTCIQ: RBAZ) (the “Company”), parent company of Republic Bank of Arizona (the “Bank” or “RBAZ”), announced a consolidated net income of
President and CEO Brian Ruisinger stated “I am pleased with our strong Q3 earnings performance as we achieved a
Mr. Ruisinger continued, “During the quarter, the Federal Reserve executed its first rate cut in over four years. As a result of this signaling from the Fed, we have seen both loan and deposit rates begin to drop in the Phoenix market. RBAZ management closely monitors our peer and competitor banks and will adjust rates accordingly to remain competitive in our market while maintaining a healthy net interest margin.”
Mr. Ruisinger concluded, “At a Special Shareholder meeting held on August 22nd, shareholders approved the transaction to join forces with Pima Federal Credit Union, headquartered in Tucson, AZ, that was announced on May 16th of this year. Our coming together will create a premier banking experience in Maricopa County as RBAZ’s commercial expertise will be combined with Pima’s strength in consumer products. This proposed transaction is a great outcome for our loyal shareholders and customers and is pending regulatory approval. Additional information will be provided once approvals are obtained, and a closing date is established.”
September 30, 2024 Company Highlights Include:
- Total loans of
$216,451,000 increased$14,622,000 , or7.2% , from December 31, 2023. This increase consisted of$40,976,000 in new loan originations and advances on construction lines of credit, offset by$25,879,000 in loan maturities and participations sold. Advances and repayments on commercial lines of credit and normal payment attrition comprise the balance of the loan activity in the first three quarters of 2024. - Total deposits of
$259,902,000 increased$31,730,000 , or13.9% , from December 31, 2023 and related entirely to core deposit generation. The increase in core deposits was the result of deepening of existing relationships and cultivation of new banking relationships. Liquidity continues to be a top priority for the remainder of 2024. - Total interest income increased
$694,000 t o$4,653,000 for the quarter ended September 30, 2024 outpacing total interest income of$3,959,000 for the same period of the prior year equating to an increase of17.5% . - Cost of deposits increased to
2.11% for the quarter ended September 30, 2024 from1.93% for the quarter ended September 30, 2023 representing an increase of 18 basis points. For two consecutive quarters, the increase in cost of deposits over the prior year comparative quarter has been at a declining rate evidencing stabilization in the interest rate environment. - Total non-interest expense increased
$45,000 t o$1,881,000 for the quarter ended September 30, 2024 compared to$1,836,000 for the same period of the prior year resulting primarily from additional full-time employees and the addition of the new Scottsdale branch and conversion of the existing location to an administrative office, all of which took place in Q4 2023.
The Bank remains “Well Capitalized” under the Community Bank Leverage Ratio (CBLR) framework as follows:
| September 30, 2024 (%) | Ratio to be Well Capitalized (%) | ||
| CBLR ratio | 10.67 | 9.00 | |
About the Company
RBAZ Bancorp, Inc. was established on June 10, 2021 as a single-bank holding company for its Arizona state-chartered bank subsidiary, Republic Bank of Arizona. The Company is traded over-the-counter as RBAZ.
About the Bank
Republic Bank of Arizona is a locally owned, community bank in Phoenix, Scottsdale and Gilbert, Arizona. RBAZ is a full service, community bank providing deposit and loan products and convenient, online and mobile banking to individuals, businesses and professionals. The Bank was established in April 2007 and is headquartered at 645 E. Missouri Avenue, Suite 108, Phoenix, AZ. Additional branches are located at 7373 N. Scottsdale Road, Suite A-195, Scottsdale, AZ and 1417 W. Elliot Road, Gilbert, AZ. The Bank is the wholly-owned subsidiary of RBAZ Bancorp, Inc. For further information, please visit our web site: www.republicbankaz.com.
Forward-Looking Statements
This press release may include forward-looking statements about the Company and the Bank (collectively referred to herein as the “Company”), for which the Company claims the protection of safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on management’s knowledge and belief as of today and include information concerning the Company’s possible or assumed future financial condition, and its results of operations and business. Forward-looking statements are subject to risks and uncertainties. Several important factors could cause actual results to differ materially from those in the forward-looking statements. Those factors include fluctuations in interest rates, government policies and regulations (including monetary and fiscal policies), legislation, economic conditions, borrower capacity to repay, operational factors and competition in the geographic and business areas in which the Company conducts its operations. All forward-looking statements included in this press release are based on information available at the time of the release, and the Company assumes no obligation to update any forward-looking statement.
| Summary Company Financial Information (unaudited) | |||||
| For the three months ended September 30, | For the nine months ended September 30, | Year-End | |||
| 2024 | 2023 | 2024 | 2023 | 2023 | |
| (dollars in thousands, except per share data) | |||||
| Summary Income Data: | |||||
| Interest income | |||||
| Interest expense | 1,469 | 1,346 | 4,467 | 3,383 | 4,742 |
| Net interest income | 3,184 | 2,613 | 8,854 | 7,010 | 9,466 |
| Provision for credit losses | 269 | - | 394 | - | - |
| Non-interest income | 246 | 196 | 722 | 601 | 820 |
| Non-interest expense | 1,881 | 1,836 | 5,810 | 5,285 | 7,142 |
| Income before provision for income tax | 1,280 | 973 | 3,372 | 2,326 | 3,144 |
| Provision for income tax | 299 | 225 | 786 | 555 | 684 |
| Net income | |||||
| Per Share Data: | |||||
| Shares outstanding end-of-period | 1,779 | 1,831 | 1,779 | 1,831 | 1,795 |
| Earnings per common share | |||||
| Diluted earnings per common share | |||||
| Book value per share | |||||
| Selected Balance Sheet Data: | |||||
| Total assets | |||||
| Securities available-for-sale, at fair value | 34,746 | 36,318 | 34,746 | 36,318 | 40,998 |
| Securities held-to-maturity | 9,850 | 10,907 | 9,850 | 10,907 | 10,648 |
| Loans | 216,451 | 187,117 | 216,451 | 187,117 | 201,829 |
| Allowance for credit losses | 2,290 | 2,116 | 2,290 | 2,116 | 2,116 |
| Deposits | 259,902 | 257,997 | 259,902 | 257,997 | 228,172 |
| Other borrowings | 5,951 | 5,921 | 5,951 | 5,921 | 20,929 |
| Shareholders’ equity | 24,123 | 19,646 | 24,123 | 19,646 | 21,128 |
| Performance Ratios: | |||||
| Return on average shareholders’ equity (annualized) (%) | 16.27 | 15.23 | 14.29 | 12.02 | 11.64 |
| Net interest margin (%) | 4.48 | 3.76 | 4.24 | 3.65 | 3.68 |
| Average assets | |||||
| Return on average assets (annualized) (%) | 1.34 | 1.05 | 1.19 | 0.89 | 0.93 |
| Shareholders’ equity to assets (%) | 8.27 | 6.88 | 8.27 | 6.88 | 7.77 |
| Efficiency ratio (%) | 54.84 | 65.36 | 60.67 | 69.44 | 69.43 |
| Asset Quality Data: | |||||
| Nonaccrual loans | |||||
| Loan modifications to borrowers experiencing financial difficulty | $- | $- | $- | ||
| Other real estate owned | $- | $- | $- | $- | $- |
| Nonperforming loans | |||||
| Nonperforming loans to total assets (%) | 0.13 | 0.08 | 0.13 | 0.08 | 0.08 |
| Nonperforming loans to total loans (%) | 0.18 | 0.12 | 0.18 | 0.12 | 0.10 |
| Allowance for credit losses to total loans (%) | 1.06 | 1.13 | 1.06 | 1.13 | 1.05 |
| Allowance for credit losses to nonperforming loans (%) | 591.73 | 966.21 | 591.73 | 966.21 | 1,012.44 |
| Net charge-offs (recoveries) for period | $- | ( | ( | ||
| Average loans | |||||
| Ratio of net charge-offs (recoveries) to average loans (%) | 0.07 | n/a | 0.08 | (0.21) | (0.20) |
FAQ
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