Tri-County Financial Group, Inc. Reports Second Quarter 2023 Financial Results

MENDOTA, Ill., July 31, 2023 /PRNewswire/ -- Tri-County Financial Group, Inc. (The Company) (OTCQX: TYFG) today announced financial results for the second quarter of 2023.

Net income for the second quarter of 2023 was $2.7 million ($1.09 per share), compared to $2.5 million ($0.99 per share) during the second quarter of 2022.  Net income was $4.2 million ($1.71 per share) for the six-month period ending June 30, 2023 compared to $4.3 million ($1.74 per share) during the same six-month period a year ago.

Net interest income was $11.0 million during the quarter ended June 30, 2023, compared to $11.2 million in the same period of 2022, a decrease of 2%.

Noninterest income was $4.0 million for the second quarter of 2023, an increase of $1.0 million, or 35%, compared to $2.9 million during the quarter ended June 30, 2022.  

Noninterest expense was $11.4 million during the quarter ended June 30, 2023, compared to $10.3 million for the second quarter of 2022, an increase of $1.1 million, or 10%. 

Total loans increased $116 million, or 11%, to $1.22 billion at June 30, 2023, from $1.11 billion at June 30, 2022.  Nonperforming loans as a percent of total loans were 0.24% as of June 30, 2023, up from 0.19% at June 30, 2022.

The allowance for loan loss ended at $16.7 million at June 30, 2023 and represented 1.36% of gross loans compared to 1.57% at June 30, 2022.  Asset quality continues to remain strong and charge offs remain low and below industry peers.

Deposits increased $30.0 million, or 3%, year-over-year.  The investment portfolio decreased $70.0 million or 27% year over year and totaled $191.9 million at June 30, 2023.

The Company's capital levels remain solid as of June 30, 2023, with a Tier 1 leverage ratio of 9.12%, down from 9.17% last year.

On June 13, 2023, the Board of Directors declared a regular dividend of $0.20 per share, payable July 13, 2023, to shareholders of record on June 30, 2023.

In announcing the results, President and CEO Tim McConville, stated "Our second quarter numbers reflected the continued slowdown in mortgage activity; however, solid earnings performance existed as we remain attentive to our loan and deposit strategies.  Asset quality as measured by nonperforming loans to total loans is stable as we continue to see strong performance with our borrowers. We remain diligent in monitoring our local competition to offer competitive rates while continuing to provide exceptional community banking services.  We continue to believe that our diversified balance sheet and lines of business are well-positioned.  Overall, we anticipate loan demand to remain steady, and we look forward to supporting the credit needs throughout our communities."

Tri-County Financial Group, Inc. is the parent holding company for First State Bank, with offices in Mendota, Batavia, Bloomington, Champaign, Geneva, LaMoille, McNabb, North Aurora, Ottawa, Peru, Princeton, Rochelle, Shabbona, St. Charles, Streator, Sycamore, Waterman and West Brooklyn. First State Bank is the parent company of First State Mortgage Services, LLC and First State Insurance. Tri-County Financial Group, Inc. shares are quoted under the symbol TYFG and traded on OTCQX.

Note:  This press release may contain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995.  Actual results and trends could differ materially from those set forth in such statements due to various factors, including operating; legal and regulatory risks; changing economic and competitive conditions; and other risks and uncertainties. 

 

TRI-COUNTY FINANCIAL GROUP, INC. & SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
QUARTER ENDED JUNE 30TH
(Unaudited, 000s omitted, except share data)
			2023		2022
Interest Income			$    17,076		$    12,470
Interest Expense			6,065		1,232
Net Interest Income			11,011		11,238
Provision for Loan Losses			(35)		450
Net Interest Income After Provision for Loan Losses			11,046		10,788
Other Income			3,961		2,941
FDIC Assessments			93		90
Other Expenses			11,335		10,337
Income Before Income Taxes			3,579		3,302
Applicable Income Taxes			887		837
Security Gains (Losses)			-		-
Net Income (Loss)			$      2,692		$      2,465
Basic Net Income Per Share			$        1.09		$        0.99
Weighted Average Shares Outstanding			2,463,208		2,482,821
** Certain reclassifications have been made to preserve consistency between the periods presented.

 

 

TRI-COUNTY FINANCIAL GROUP, INC. & SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited, 000s omitted, except share data)
ASSETS		6/30/2023		6/30/2022
Cash and Due from Banks		$             25,097		$             19,175
Federal Funds Sold		2,058		1,027
Investment Securities		191,887		261,440
Loans and Leases		1,221,456		1,105,015
Less:  Reserve for Loan Losses		(16,698)		(16,970)
Loans, Net		1,204,758		1,088,045
Bank Premises & Equipment		26,926		26,759
Intangibles		8,735		8,788
Other Real Estate Owned		132		2,376
Accrued Interest Receivable		6,162		5,421
Other Assets		36,781		30,567
TOTAL ASSETS		$        1,502,536		$        1,443,598
LIABILITIES
Demand Deposits		178,274		180,075
Interest-bearing Demand Deposits		400,186		406,883
Savings Deposits		229,555		293,440
Time Deposits		410,215		307,788
Total Deposits		1,218,230		1,188,186
Repurchase Agreements		26,737		27,865
Fed Funds Purchased		0		43,038
FHLB and Other Borrowings		101,000		35,505
Interest Payable		73		73
Subordinated Debt		9,797		9,773
Total Repos & Borrowings		137,607		116,254
Other Liabilities		14,668		11,544
Dividends Payable		504		507
TOTAL LIABILITIES		$        1,371,009		$        1,316,491
CAPITAL
Common Stock		2,463		2,484
Surplus		24,118		25,742
Preferred Stock		0		0
Retained Earnings		116,628		109,999
FASB 115 Adjustment		(11,682)		(11,118)
TOTAL CAPITAL		131,527		127,107
TOTAL LIABILITIES AND CAPITAL		$        1,502,536		$        1,443,598
Book Value Per Share		$              53.41		$              51.17
Tangible Book Value Per Share		$              49.86		$              47.63
Bid Price		$              44.75		$              46.00
Period End Outstanding Shares		2,462,688		2,484,043

 

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SOURCE Tri-County Financial Group, Inc.