UNITED BANCSHARES, INC. ANNOUNCES FIRST QUARTER 2024 RESULTS AND $0.22 DIVIDEND
- United Bancshares, Inc. declares a quarterly cash dividend of $0.22 per share for shareholders, with a record date of May 31, 2024, and a payment date of June 14, 2024, resulting in a 4.64% dividend yield.
- The net income for the first quarter of 2024 is reported at $1.8 million, or $0.61 per share, which is in line with the $1.9 million or $0.60 per share in the comparable period in 2023.
- The return on average assets for the first quarter of 2024 is 0.69%, unchanged from the comparable period in 2023, while the return on average tangible equity is 11.33%, down from 13.43% in 2023.
- Despite a decrease in net interest margin to 3.03% in the first quarter of 2024 from 3.53% in 2023, asset quality metrics remain robust with stable non-performing and classified loans, and low charge-offs through March 31, 2024.
- None.
- Quarterly cash dividend declared of
$0.22 4.64% dividend yield. - Net income of
$1.8 million $0.61 $1.2 million $0.39 $435,000 $291,000 $1.9 million $0.60 - Return on average assets of
0.69% for the 2024 first quarter (0.44% when excluding a$435,000 $291,000 - Return on average tangible equity of
11.33% for the 2024 first quarter (7.28% when excluding a$435,000 $291,000 13.43% in the comparable period in 2023. - Net interest margin of
3.03% for the 2024 first quarter, down from3.53% in the comparable period in 2023. - Asset quality metrics remain strong with stable non-performing and classified loans. Charge-offs remain at historically low levels through March 31, 2024.
About The Union Bank Company:
Since 1904, The Union Bank Company has been here to provide full-service banking to the people and businesses throughout the communities we serve. Today, the bank has grown to include 18 offices across Northwest and
United Bancshares, Inc.
Quarterly Report
March 31, 2024
A Letter to Our Shareholders, Clients, and Team Members:
Despite a continued difficult operating environment, your Company is reporting pre-tax income of approximately
As compared to the same quarter of last year, earnings for the quarter were suppressed by significant headwinds in net interest income, which decreased by
I am also pleased to report that the Board of Directors declared a
While we expect a challenging operating environment to continue to have a negative impact on your company's earnings throughout 2024 and into 2025, we believe that continued efforts on cost controls, new loan originations, and upward repricing of existing loans through this cycle will offset some of that marginal earnings pressure. The efforts of the team and our strong corporate values of respect for and accountability to our shareholders, clients, colleagues, and communities are the foundation for the continued success of your Company. Thank you for your ongoing support and the trust you have placed in us.
Respectfully,
Brian D. Young
President & CEO
Financial Information (Unaudited)
March 31, 2024 | December 31, | |||
Cash and cash equivalents | $ 27,448,000 | $ 26,915,000 | ||
Securities | 247,643,000 | 253,588,000 | ||
Loans | 705,145,000 | 708,828,000 | ||
Less allowance for loan loss | (8,575,000) | (8,876,000) | ||
Other assets | 92,103,000 | 91,043,000 | ||
Total Assets | ||||
Deposits | $ 948,951,000 | $ 952,845,000 | ||
Borrowings | 17,802,000 | 18,043,000 | ||
Other liabilities | 6,036,000 | 6,686,000 | ||
Total Liabilities | 972,789,000 | 977,574,000 | ||
Common stock and surplus | 21,266,000 | 21,109,000 | ||
Retained earnings | 119,464,000 | 118,300,000 | ||
Accumulated other comprehensive (loss) | (33,852,000) | (30,658,000) | ||
Treasury stock | (15,903,000) | (14,827,000) | ||
Total shareholders' equity | 90,975,000 | 93,924,000 | ||
Total Liabilities and Shareholders' | ||||
Common shares outstanding | 2,991,475 | 3,036,757 | ||
Book value | ||||
Tangible book value (non-GAAP) | ||||
Closing price | ||||
Allowance for credit losses to loans (end of | 1.22 % | 1.26 % | ||
Loans to deposits (end of period) | 74.06 % | 74.16 % | ||
3 months ended | 3 months ended | ||
March 31, 2024 | March 31, 2023 | ||
Interest income | |||
Interest expense | 4,723,000 | 2,624,000 | |
Net interest income | 7,148,000 | 8,559,000 | |
Provision for loan losses | (291,000) | (26,000) | |
Net interest income after provision | 7,439,000 | 8,585,000 | |
Non-interest income | 2,279,000 | 1,743,000 | |
Non-interest expense | 7,787,000 | 8,356,000 | |
Income before federal income taxes | 1,931,000 | 1,972,000 | |
Federal income taxes | 98,000 | 87,000 | |
Net Income | |||
Average common shares outstanding | 3,026,556 | 3,130,198 | |
Per Share Data: | |||
Net income | |||
Cash dividends declared | |||
Dividend yield (annualized) | 4.66 % | 4.63 % | |
Performance Ratios: | |||
Return on average assets | 0.69 % | 0.69 % | |
Return on average shareholders' equity | 7.97 % | 8.86 % | |
Return on average tangible shareholders' equity | 11.33 % | 13.43 % | |
Net interest margin | 3.03 % | 3.53 % | |
Credit Quality and Other Ratios: | |||
Net loan charge-offs (recoveries) as a | 0.00 % | -0.02 % |
United Bancshares, Inc
Directors Robert L. Benroth Herbert H. Huffman III H. Edward Rigel David P. Roach Daniel W. Schutt, Chairman R. Steven Unverferth Brian D. Young
Officers Brian D. Young, President/CEO Denise E. Giesige, Secretary Klint D. Manz, CFO | The Union Bank Co.
Directors Robert L. Benroth Anthony M. V. Eramo Herbert H. Huffman III Kevin L. Lammon William R. Perry H. Edward Rigel David P. Roach Carol R. Russell Daniel W. Schutt R. Steven Unverferth Dr. Jane M. Wood Brian D. Young, Chairman |
Investor Materials
United Bancshares, Inc. has traded its common stock on the OTCQX Markets Exchange under the symbol "UBOH". Annual and quarterly shareholder reports, regulatory filings, press releases, and articles about United Bancshares, Inc. are available in the Investor Relations section of our website theubank.com or by calling 800-837-8111.
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SOURCE United Bancshares, Inc.
FAQ
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