☒ |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
☐ |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
Virginia
|
54-1265373
|
|
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer Identification No.)
|
Title of each class
|
Trading Symbol
|
Name of each exchange on which registered
|
Common Stock, $5.00 par value per share
|
OPOF
|
The NASDAQ Stock Market LLC
|
Large accelerated filer
|
☐ |
Accelerated filer ☐
|
||
Non-accelerated filer
|
☒ |
Smaller reporting company ☒
|
||
Emerging growth company ☐
|
ITEM
|
PAGE
|
|
PART I - FINANCIAL INFORMATION
|
||
Item 1.
|
1 | |
1 | ||
2 | ||
3 | ||
4 | ||
5 | ||
6 | ||
Item 2.
|
25 | |
Item 3.
|
41 | |
Item 4.
|
41 | |
PART II - OTHER INFORMATION
|
||
Item 1.
|
42 | |
Item 1A.
|
42 | |
Item 2.
|
42 | |
Item 3.
|
42 | |
Item 4.
|
42 | |
Item 5.
|
42 | |
Item 6.
|
43 | |
44 |
2023 Form 10-K
|
Annual Report on Form 10-K for the year ended December 31, 2023
|
ACL
|
Allowance for Credit Losses
|
ACLL
|
Allowance for Credit Losses on Loans, a component of ACL
|
ASC
|
Accounting Standards Codification
|
ASU
|
Accounting Standards Update
|
Bank
|
The Old Point National Bank of Phoebus
|
CECL
|
Current Expected Credit Losses
|
CET1
|
Common Equity Tier 1
|
Company
|
Old Point Financial Corporation and its subsidiaries
|
CBB
|
Community Bankers Bank
|
CBLR
|
Community Bank Leverage Ratio Framework
|
EGRRCPA
|
Economic Growth, Regulatory Relief, and Consumer Protection Act
|
EPS
|
Earnings per share
|
ESPP
|
Employee Stock Purchase Plan
|
Exchange Act
|
Securities Exchange Act of 1934, as amended
|
FASB
|
Financial Accounting Standards Board
|
FDIC
|
Federal Deposit Insurance Corporation
|
FHLB
|
Federal Home Loan Bank
|
FRB
|
Federal Reserve Bank
|
GAAP
|
Generally Accepted Accounting Principles
|
Incentive Stock Plan
|
Old Point Financial Corporation 2016 Incentive Stock Plan
|
IRLC
|
Interest Rate Lock Commitments
|
NIM
|
Net Interest Margin
|
Notes
|
The Company’s 3.50% fixed-to-floating rate subordinated notes due 2031
|
OAEM
|
Other Assets Especially Mentioned
|
OREO
|
Other Real Estate Owned
|
ROE
|
Return on Average Equity
|
SEC
|
U.S. Securities and Exchange Commission
|
SOFR
|
Secured overnight financing rate
|
TDR
|
Troubled Debt Restructuring
|
Wealth
|
Old Point Trust & Financial Services N.A.
|
March 31,
|
December 31,
|
|||||||
(dollars in thousands, except per share amounts)
|
2024
|
2023
|
||||||
Assets
|
(unaudited) | |||||||
Cash and due from banks
|
$
|
16,427
|
$
|
14,731
|
||||
Interest-bearing due from banks
|
75,584
|
63,539
|
||||||
Federal funds sold
|
1,300
|
489
|
||||||
Cash and cash equivalents
|
93,311
|
78,759
|
||||||
Securities available-for-sale, at fair value
|
199,798
|
204,278
|
||||||
Restricted securities, at cost
|
5,239
|
5,176
|
||||||
Loans held for sale
|
-
|
470
|
||||||
Loans, net
|
1,055,955
|
1,068,046
|
||||||
Premises and equipment, net
|
30,178
|
29,913
|
||||||
Premises and equipment, held for sale
|
344
|
344
|
||||||
Bank-owned life insurance
|
35,353
|
35,088
|
||||||
Goodwill
|
1,650
|
1,650
|
||||||
Core deposit intangible, net
|
176
|
187
|
||||||
Other assets
|
23,485
|
22,471
|
||||||
Total assets
|
$
|
1,445,489
|
$
|
1,446,382
|
||||
Liabilities & Stockholders’ Equity
|
||||||||
Deposits:
|
||||||||
Noninterest-bearing deposits
|
$
|
355,140
|
$
|
331,992
|
||||
Savings deposits
|
632,696
|
655,694
|
||||||
Time deposits
|
240,433
|
242,711
|
||||||
Total deposits
|
1,228,269
|
1,230,397
|
||||||
Overnight repurchase agreements
|
1,684
|
2,383
|
||||||
Federal Home Loan Bank advances
|
69,450
|
69,450
|
||||||
Subordinated notes
|
29,701
|
29,668
|
||||||
Accrued expenses and other liabilities
|
8,755
|
7,706
|
||||||
Total liabilities
|
1,337,859
|
1,339,604
|
||||||
Stockholders’ equity:
|
||||||||
Common stock, $5 par value, 10,000,000 shares authorized; 5,040,391 and 5,040,095 shares outstanding (includes 51,169
and 53,660 of nonvested restricted stock, respectively)
|
24,946
|
24,932
|
||||||
Additional paid-in capital
|
17,193
|
17,099
|
||||||
Retained earnings
|
83,289
|
82,277
|
||||||
Accumulated other comprehensive loss, net
|
(17,798
|
)
|
(17,530
|
)
|
||||
Total stockholders’ equity
|
107,630
|
106,778
|
||||||
Total liabilities and stockholders’ equity
|
$
|
1,445,489
|
$
|
1,446,382
|
Three Months Ended | ||||||||
March 31,
|
||||||||
(unaudited, dollars in thousands, except per share amounts)
|
2024
|
2023
|
||||||
Interest and dividend income:
|
||||||||
Loans, including fees
|
$
|
14,544
|
$
|
13,041
|
||||
Due from banks
|
799
|
64
|
||||||
Federal funds sold
|
9
|
6
|
||||||
Securities:
|
||||||||
Taxable
|
1,798
|
1,764
|
||||||
Tax-exempt
|
139
|
212
|
||||||
Dividends and interest on all other securities
|
94
|
66
|
||||||
Total interest and dividend income
|
17,383
|
15,153
|
||||||
Interest expense:
|
||||||||
Checking and savings deposits
|
2,597
|
854
|
||||||
Time deposits
|
2,172
|
537
|
||||||
Federal funds purchased, securities sold under agreements to repurchase and other borrowings
|
1
|
37
|
||||||
Federal Home Loan Bank advances
|
778 | 295 | ||||||
Long-term borrowings | 295 | 617 | ||||||
Total interest expense
|
5,843
|
2,340
|
||||||
Net interest income
|
11,540
|
12,813
|
||||||
Provision for credit losses
|
80
|
376
|
||||||
Net interest income after provision for credit losses
|
11,460
|
12,437
|
||||||
Noninterest income:
|
||||||||
Fiduciary and asset management fees
|
1,192
|
1,116
|
||||||
Service charges on deposit accounts
|
758
|
753
|
||||||
Other service charges, commissions and fees
|
883
|
1,109
|
||||||
Bank-owned life insurance income
|
265
|
254
|
||||||
Mortgage banking income
|
16
|
95
|
||||||
Gain on sale of repossessed assets
|
22 | - | ||||||
Other operating income
|
86
|
94
|
||||||
Total noninterest income
|
3,222
|
3,421
|
||||||
Noninterest expense:
|
||||||||
Salaries and employee benefits
|
7,831
|
7,363
|
||||||
Occupancy and equipment
|
1,173
|
1,195
|
||||||
Data processing
|
1,315
|
1,179
|
||||||
Customer development
|
55
|
113
|
||||||
Professional services
|
585
|
673
|
||||||
Employee professional development
|
211
|
234
|
||||||
Other taxes
|
261
|
213
|
||||||
ATM and other losses
|
231
|
255
|
||||||
Other operating expenses
|
1,041
|
943
|
||||||
Total noninterest expense
|
12,703
|
12,168
|
||||||
Income before income taxes
|
1,979
|
3,690
|
||||||
Income tax expense
|
262
|
607
|
||||||
Net income
|
$
|
1,717
|
$
|
3,083
|
||||
Basic Earnings per Share:
|
||||||||
Weighted average shares outstanding
|
5,039,819
|
4,999,887
|
||||||
Net income per share of common stock
|
$
|
0.34
|
$
|
0.62
|
||||
Diluted Earnings per Share:
|
||||||||
Weighted average shares outstanding
|
5,039,876
|
5,000,020
|
||||||
Net income per share of common stock
|
$
|
0.34
|
$
|
0.62
|
Three Months Ended | ||||||||
March 31,
|
||||||||
(unaudited, dollars in thousands)
|
2024
|
2023
|
||||||
Net income
|
$
|
1,717
|
$
|
3,083
|
||||
Other comprehensive income (loss), net of tax
|
||||||||
Net unrealized gain (loss) on available-for-sale securities
|
(268
|
)
|
2,332
|
|||||
Other comprehensive income (loss), net of tax
|
(268
|
)
|
2,332
|
|||||
Comprehensive income
|
$
|
1,449
|
$
|
5,415
|
Accumulated | ||||||||||||||||||||||||
Shares of | Additional | Other | ||||||||||||||||||||||
Common | Common | Paid-in | Retained | Comprehensive | ||||||||||||||||||||
(unaudited dollars in thousands, except per share amounts)
|
Stock
|
Stock
|
Capital
|
Earnings
|
Income (Loss)
|
Total
|
||||||||||||||||||
Balance at December 31, 2023
|
4,986,435
|
$
|
24,932
|
$
|
17,099
|
$
|
82,277
|
$
|
(17,530
|
)
|
$
|
106,778
|
||||||||||||
Net income
|
-
|
-
|
-
|
1,717
|
-
|
1,717
|
||||||||||||||||||
Other comprehensive loss,
net of tax
|
-
|
-
|
-
|
-
|
(268
|
)
|
(268
|
)
|
||||||||||||||||
Employee Stock Purchase Plan share issuance
|
2,026
|
10
|
23
|
-
|
-
|
33
|
||||||||||||||||||
Restricted stock vested
|
761 | 4 | (4 | ) | - | - | - | |||||||||||||||||
Share-based compensation expense
|
-
|
-
|
75
|
-
|
-
|
75
|
||||||||||||||||||
Cash dividends ($0.14 per share)
|
-
|
-
|
-
|
(705
|
)
|
-
|
(705
|
)
|
||||||||||||||||
Balance at March 31, 2024
|
4,989,222
|
$
|
24,946
|
$
|
17,193
|
$
|
83,289
|
$
|
(17,798
|
)
|
$
|
107,630
|
||||||||||||
|
||||||||||||||||||||||||
Balance at December 31, 2022
|
4,952,094
|
$ | 24,761 | $ | 16,593 | $ | 78,147 | $ | (20,767 | ) | $ | 98,734 | ||||||||||||
Net income
|
- | - | - | 3,083 | - | 3,083 | ||||||||||||||||||
Other comprehensive income, net of tax
|
- | - | - | - | 2,332 | 2,332 | ||||||||||||||||||
Impact of adoption of new accounting pronouncement | - | - | - | (991 | ) | - | (991 | ) | ||||||||||||||||
Employee Stock Purchase Plan share issuance
|
1,248 | 6 | 27 | - | - | 33 | ||||||||||||||||||
Share-based compensation expense
|
- | - | 107 | - | - | 107 | ||||||||||||||||||
Cash dividends ($0.14 per share)
|
- | - | - | (700 | ) | - | (700 | ) | ||||||||||||||||
Balance at March 31, 2023
|
4,953,342 | $ | 24,767 | $ | 16,727 | $ | 79,539 | $ | (18,435 | ) | $ | 102,598 |
Three Months Ended March 31,
|
||||||||
(unaudited, dollars in thousands)
|
2024
|
2023
|
||||||
Operating activities:
|
||||||||
Net income
|
$
|
1,717
|
$
|
3,083
|
||||
Adjustments to reconcile net income to net cash provided by operating activities:
|
||||||||
Depreciation and amortization
|
534
|
534
|
||||||
Amortization of right of use lease asset
|
91
|
101
|
||||||
Accretion related to acquisition, net
|
11
|
11
|
||||||
Amortization of subordinated debt issuance costs |
33 |
32 |
||||||
Provision for credit losses
|
80
|
376
|
||||||
Net amortization of securities
|
154
|
186
|
||||||
Decrease in loans held for sale, net |
470
|
96
|
||||||
Net gain on write-down/sale of repossessed assets |
(22 | ) | - | |||||
Income from bank owned life insurance
|
(265
|
)
|
(254
|
)
|
||||
Stock compensation expense
|
75
|
107
|
||||||
(Increase) decrease in other assets |
(147
|
)
|
621
|
|||||
Increase (decrease) in accrued expenses and other liabilities
|
1,047
|
(1,392
|
)
|
|||||
Net cash provided by operating activities
|
3,778
|
3,501
|
||||||
Investing activities:
|
||||||||
Purchases of available-for-sale securities
|
(1,230
|
)
|
(1,145
|
)
|
||||
Purchase of restricted securities, net |
(63
|
)
|
(1,045
|
)
|
||||
Proceeds from maturities and paydowns of available-for-sale securities
|
570
|
-
|
||||||
Proceeds from sales of available-for-sale securities
|
450
|
1,300
|
||||||
Paydowns on available-for-sale securities
|
4,197
|
4,216
|
||||||
Net decrease (increase) in loans held for investment
|
11,148
|
(54,359
|
)
|
|||||
Purchases of premises and equipment | (799 | ) | (130 | ) | ||||
Net cash provided by (used in) investing activities
|
14,273
|
(51,163
|
)
|
|||||
Financing activities:
|
||||||||
Increase (decrease) in noninterest-bearing deposits
|
23,148
|
(13,422
|
)
|
|||||
(Decrease) increase in savings deposits
|
(22,998
|
)
|
44,956
|
|||||
(Decrease) increase in time deposits
|
(2,278
|
)
|
12,062
|
|||||
Decrease in federal funds purchased, repurchase agreements and other borrowings, net
|
(699
|
)
|
(11,848
|
)
|
||||
Increase in Federal Home Loan Bank advances | 34,200 | 145,500 | ||||||
Repayment of Federal Home Loan Bank advances | (34,200 | ) | (119,100 | ) | ||||
Proceeds from Employee Stock Purchase Plan issuance
|
33
|
33
|
||||||
Cash dividends paid on common stock
|
(705
|
)
|
(700
|
)
|
||||
Net cash (used in) provided by financing activities
|
(3,499
|
)
|
57,481
|
|||||
Net increase in cash and cash equivalents
|
14,552
|
9,819
|
||||||
Cash and cash equivalents at beginning of period
|
78,759
|
19,250
|
||||||
Cash and cash equivalents at end of period
|
$
|
93,311
|
$
|
29,069
|
||||
Supplemental disclosures of cash flow information
|
||||||||
Cash payments for:
|
||||||||
Interest
|
$
|
6,007
|
$
|
2,417
|
||||
Supplemental schedule of noncash transactions
|
||||||||
Unrealized gain (loss) on securities available-for-sale
|
$
|
(339
|
)
|
$
|
2,952
|
|||
Loans transferred to repossessed assets
|
$ | 865 | $ | - | ||||
Impact of adoption of ASC 326
|
$
|
-
|
$
|
991
|
March 31, 2024
|
||||||||||||||||
Gross |
Gross
|
|||||||||||||||
Amortized | Unrealized | Unrealized | Fair | |||||||||||||
(dollars in thousands)
|
Cost
|
Gains
|
(Losses)
|
Value
|
||||||||||||
U.S. Treasury securities
|
$
|
4,060
|
$
|
-
|
$
|
(216
|
)
|
$
|
3,844
|
|||||||
Obligations of U.S. Government agencies
|
40,097
|
259
|
(490
|
)
|
39,866
|
|||||||||||
Obligations of state and political subdivisions
|
58,020
|
10
|
(7,972
|
)
|
50,058
|
|||||||||||
Mortgage-backed securities
|
89,823
|
17
|
(10,712
|
)
|
79,128
|
|||||||||||
Money market investments
|
2,827
|
-
|
-
|
2,827
|
||||||||||||
Corporate bonds and other securities
|
27,500
|
-
|
(3,425
|
)
|
24,075
|
|||||||||||
$
|
222,327
|
$
|
286
|
$
|
(22,815
|
)
|
$
|
199,798
|
December 31, 2023
|
||||||||||||||||
Gross | Gross | |||||||||||||||
Amortized
|
Unrealized | Unrealized | Fair | |||||||||||||
(dollars in thousands)
|
Cost
|
Gains
|
(Losses)
|
Value
|
||||||||||||
U.S. Treasury securities
|
$
|
4,068
|
$
|
-
|
$
|
(211
|
)
|
$
|
3,857
|
|||||||
Obligations of U.S. Government agencies
|
43,233
|
167
|
(665
|
)
|
42,735
|
|||||||||||
Obligations of state and political subdivisions
|
58,292
|
13
|
(7,708
|
)
|
50,597
|
|||||||||||
Mortgage-backed securities
|
91,328
|
84
|
(10,105
|
)
|
81,307
|
|||||||||||
Money market investments
|
2,047
|
-
|
-
|
2,047
|
||||||||||||
Corporate bonds and other securities
|
27,500
|
-
|
(3,765
|
)
|
23,735
|
|||||||||||
$
|
226,468
|
$
|
264
|
$
|
(22,454
|
)
|
$
|
204,278
|
March 31, 2024
|
||||||||
Amortized | Fair | |||||||
(dollars in thousands)
|
Cost
|
Value
|
||||||
Due in one year or less
|
$
|
4,227
|
$
|
4,195
|
||||
Due after one year through five years
|
20,528
|
18,941
|
||||||
Due after five through ten years
|
54,655
|
47,257
|
||||||
Due after ten years
|
142,917
|
129,405
|
||||||
$
|
222,327
|
$
|
199,798
|
December 31, 2023
|
||||||||
Amortized | Fair | |||||||
(dollars in thousands)
|
Cost
|
Value
|
||||||
Due in one year or less
|
$
|
3,617
|
$
|
3,588
|
||||
Due after one year through five years
|
12,962
|
12,178
|
||||||
Due after five through ten years
|
63,248
|
54,806
|
||||||
Due after ten years
|
146,641
|
133,706
|
||||||
$
|
226,468
|
$
|
204,278
|
March 31, 2024
|
||||||||||||||||||||||||||||
|
Less than 12 months
|
12 months or more
|
Total
|
|||||||||||||||||||||||||
|
Gross |
|
Gross |
Gross
|
Number |
|||||||||||||||||||||||
|
Unrealized | Fair | Unrealized | Fair | Unrealized | Fair | of |
|||||||||||||||||||||
(dollars in thousands)
|
Losses | Value | Losses | Value | Losses | Value | Securities |
|||||||||||||||||||||
U.S. Treasury securities
|
$ | - | $ | - | $ | 216 | $ | 3,844 | $ | 216 | $ | 3,844 | 1 | |||||||||||||||
Obligations of U.S. Government agencies
|
43
|
8,009
|
447
|
18,975
|
490
|
26,984
|
39 | |||||||||||||||||||||
Obligations of state and political subdivisions
|
-
|
-
|
7,972
|
49,060
|
7,972
|
49,060
|
42 | |||||||||||||||||||||
Mortgage-backed securities
|
169
|
4,281
|
10,543
|
70,182
|
10,712
|
74,463
|
39 | |||||||||||||||||||||
Corporate bonds and other securities
|
-
|
-
|
3,425
|
23,075
|
3,425
|
23,075
|
23 | |||||||||||||||||||||
Total securities available-for-sale
|
$
|
212
|
$
|
12,290
|
$
|
22,603
|
$
|
165,136
|
$
|
22,815
|
$
|
177,426
|
144 |
December 31, 2023
|
||||||||||||||||||||||||||||
|
Less than 12 months
|
12 months or more
|
Total
|
|||||||||||||||||||||||||
Gross | Gross | Gross | Number |
|||||||||||||||||||||||||
Unrealized | Fair | Unrealized | Fair | Unrealized | Fair | of |
||||||||||||||||||||||
(dollars in thousands)
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
Value
|
Securities |
|||||||||||||||||||||
U.S. Treasury securities | $ | - | $ | - | $ | 211 | $ | 3,857 | $ | 211 | $ | 3,857 | 1 | |||||||||||||||
Obligations of U.S. Government agencies
|
91
|
8,803
|
574
|
22,817
|
665
|
31,620
|
43 | |||||||||||||||||||||
Obligations of state and political subdivisions
|
- | - | 7,708 | 49,597 | 7,708 | 49,597 | 43 | |||||||||||||||||||||
Mortgage-backed securities
|
96
|
4,423
|
10,009
|
73,347
|
10,105
|
77,770
|
40 | |||||||||||||||||||||
Corporate bonds and other securities
|
-
|
-
|
3,765
|
22,735
|
3,765
|
22,735
|
23 | |||||||||||||||||||||
Total securities available-for-sale
|
$
|
187
|
$
|
13,226
|
$
|
22,267
|
$
|
172,353
|
$
|
22,454
|
$
|
185,579
|
150 |
March 31,
|
December 31,
|
|||||||
(dollars in thousands)
|
2024
|
2023
|
||||||
Mortgage loans on real estate:
|
||||||||
Residential 1-4 family
|
$
|
190,184
|
$
|
188,517
|
||||
Commercial - owner occupied
|
153,815
|
156,466
|
||||||
Commercial - non-owner occupied
|
289,183
|
285,250
|
||||||
Multifamily
|
29,506
|
29,207
|
||||||
Construction and land development
|
109,971
|
107,179
|
||||||
Second mortgages
|
9,891
|
10,148
|
||||||
Equity lines of credit
|
57,880
|
55,981
|
||||||
Total mortgage loans on real estate
|
840,430
|
832,748
|
||||||
Commercial and industrial loans
|
57,195
|
64,112
|
||||||
Consumer automobile loans
|
148,277
|
160,437
|
||||||
Other consumer loans
|
19,555
|
19,718
|
||||||
Other (1)
|
2,446
|
3,237
|
||||||
Total loans, net of deferred fees (2)
|
1,067,903
|
1,080,252
|
||||||
Less: Allowance for credit losses on loans
|
11,948
|
12,206
|
||||||
Loans, net of allowance and deferred fees (2)
|
$
|
1,055,955
|
$
|
1,068,046
|
(1)
|
Overdrawn accounts are reclassified as loans and included in the Other category in the table above. Overdrawn deposit accounts, excluding internal use accounts, totaled $423 thousand and $244
thousand at March 31, 2024 and December 31, 2023, respectively.
|
(2)
|
Net deferred loan costs totaled $1.3 million on March 31, 2024 and $1.2 million on December 31,
2023.
|
(dollars in thousands)
|
30 - 59 Days
Past Due
|
60 - 89 Days
Past Due
|
90 or More
Days Past
Due and still
Accruing
|
Nonaccrual
(2)
|
Total Current
Loans (1)
|
Total
Loans |
||||||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||||||||||
Residential 1-4 family
|
$
|
280
|
$
|
44
|
$
|
-
|
$
|
139
|
$
|
189,718
|
$
|
190,184
|
||||||||||||
Commercial - owner occupied
|
-
|
-
|
-
|
-
|
153,815
|
153,815
|
||||||||||||||||||
Commercial - non-owner occupied
|
-
|
-
|
92
|
-
|
289,091
|
289,183
|
||||||||||||||||||
Multifamily
|
-
|
-
|
-
|
-
|
29,506
|
29,506
|
||||||||||||||||||
Construction and land development
|
-
|
-
|
-
|
-
|
109,971
|
109,971
|
||||||||||||||||||
Second mortgages
|
49
|
-
|
61
|
-
|
9,781
|
9,891
|
||||||||||||||||||
Equity lines of credit
|
50
|
-
|
-
|
45
|
57,784
|
57,880
|
||||||||||||||||||
Total mortgage loans on real estate
|
$
|
379
|
$
|
44
|
$
|
153
|
$
|
184
|
$
|
839,666
|
$
|
840,430
|
||||||||||||
Commercial and industrial loans
|
271
|
-
|
193
|
-
|
56,731
|
57,195
|
||||||||||||||||||
Consumer automobile loans
|
2,325
|
585
|
473
|
10
|
144,894
|
148,277
|
||||||||||||||||||
Other consumer loans
|
675
|
95
|
59
|
-
|
18,726
|
19,555
|
||||||||||||||||||
Other
|
56
|
-
|
-
|
-
|
2,390
|
2,446
|
||||||||||||||||||
Total
|
$
|
3,706
|
$
|
724
|
$
|
878
|
$
|
194
|
$
|
1,062,407
|
$
|
1,067,903
|
(dollars in thousands)
|
30 - 59 Days
Past Due
|
60 - 89 Days
Past Due
|
90 or More
Days Past
Due and still
Accruing
|
Nonaccrual
(2)
|
Total Current
Loans (1)
|
Total
Loans |
||||||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||||||||||
Residential 1-4 family
|
$
|
1,194
|
$
|
-
|
$
|
368
|
$
|
142
|
$
|
186,813
|
$
|
188,517
|
||||||||||||
Commercial - owner occupied
|
100
|
-
|
322
|
-
|
156,044
|
156,466
|
||||||||||||||||||
Commercial - non-owner occupied
|
-
|
896
|
-
|
-
|
284,354
|
285,250
|
||||||||||||||||||
Multifamily
|
-
|
-
|
-
|
-
|
29,207
|
29,207
|
||||||||||||||||||
Construction and land development
|
-
|
-
|
-
|
-
|
107,179
|
107,179
|
||||||||||||||||||
Second mortgages
|
160
|
6
|
-
|
-
|
9,982
|
10,148
|
||||||||||||||||||
Equity lines of credit
|
205
|
-
|
-
|
46
|
55,730
|
55,981
|
||||||||||||||||||
Total mortgage loans on real estate
|
$
|
1,659
|
$
|
902
|
$
|
690
|
$
|
188
|
$
|
829,309
|
$
|
832,748
|
||||||||||||
Commercial and industrial loans
|
527
|
427
|
306
|
-
|
62,852
|
64,112
|
||||||||||||||||||
Consumer automobile loans
|
3,254
|
706
|
661
|
-
|
155,816
|
160,437
|
||||||||||||||||||
Other consumer loans
|
634
|
264
|
123
|
-
|
18,697
|
19,718
|
||||||||||||||||||
Other
|
29
|
-
|
-
|
-
|
3,208
|
3,237
|
||||||||||||||||||
Total
|
$
|
6,103
|
$
|
2,299
|
$
|
1,780
|
$
|
188
|
$
|
1,069,882
|
$
|
1,080,252
|
(1)
|
For purposes of this table, Total Current Loans includes loans that are 1 - 29 days past due.
|
(2)
|
For purposes of this table, if a loan is past due and on nonaccrual, it is included in the nonaccrual column and not also in its respective past due column.
|
Nonaccrual
|
||||||||
(dollars in thousands)
|
March 31, 2024
|
December 31, 2023 | ||||||
Mortgage loans on real estate:
|
||||||||
Residential 1-4 family
|
$
|
139
|
$
|
142
|
||||
Commercial - non-owner occupied
|
-
|
-
|
||||||
Second mortgages
|
- | - | ||||||
Equity lines of credit
|
45
|
46
|
||||||
Total mortgage loans on real estate
|
184
|
188
|
||||||
Commercial and industrial loans
|
-
|
-
|
||||||
Consumer automobile loans
|
10
|
-
|
||||||
Other consumer loans
|
- | - | ||||||
Total
|
$
|
194
|
$
|
188
|
|
● |
Commercial: commercial and industrial, real estate - construction and land
development, real estate – commercial (owner occupied and non-owner occupied), and other loans
|
|
● |
Consumer: real estate - mortgage, and consumer loans
|
|
● |
Commercial and industrial: Commercial and industrial loans carry
risks associated with the successful operation of a business or project, in addition to other risks associated with the ownership of a business. The repayment of these loans may be dependent upon the profitability and cash flows of the
business. In addition, there is risk associated with the value of collateral other than real estate which may depreciate over time and cannot be appraised with as much precision.
|
|
● |
Real estate-construction and land development: Construction loans
carry risks that the project will not be finished according to schedule, the project will not be finished according to budget and the value of the collateral may at any point in time be less than the principal amount of the loan.
Construction loans also bear the risk that the general contractor, who may or may not be the loan customer, may be unable to finish the construction project as planned because of financial pressure unrelated to the project.
|
|
● |
Real estate - commercial (owner occupied and non-owner occupied):
Commercial real estate loans carry risks associated with the successful operation of a business if owner occupied. If non-owner occupied, the repayment of these loans may be dependent upon the profitability and cash flow from rent
receipts.
|
|
● |
Real estate - mortgage: Residential mortgage loans and equity
lines of credit carry risks associated with the continued credit-worthiness of the borrower and changes in the value of the collateral.
|
|
● |
Consumer loans: Consumer loans carry risks associated with the
continued credit-worthiness of the borrowers and the value of the collateral. Consumer loans are more likely than real estate loans to be immediately adversely affected by job loss, divorce, illness or personal bankruptcy.
|
|
● |
Other loans: Other loans are loans to mortgage companies, loans
for purchasing or carrying securities, and loans to insurance, investment and finance companies. These loans carry risks associated with the successful operation of a business. In addition, there is risk associated with the value of
collateral other than real estate which may depreciate over time, depend on interest rates or fluctuate in active trading markets.
|
(dollars in thousands)
|
Commercial
and Industrial
|
Real Estate
Construction
and Land
Development
|
Real Estate -
Mortgage (1)
|
Real Estate -
Commercial (2)
|
Consumer (3)
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for credit losses on loans:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
573
|
$
|
982
|
$
|
2,904
|
$
|
5,742
|
$
|
1,827
|
$
|
178
|
$
|
-
|
$
|
12,206
|
||||||||||||||||
Charge-offs
|
-
|
-
|
-
|
-
|
(462
|
)
|
(32
|
)
|
-
|
(494
|
)
|
|||||||||||||||||||||
Recoveries
|
4
|
-
|
13
|
11
|
123
|
7
|
-
|
158
|
||||||||||||||||||||||||
Provision for loan losses
|
(91
|
)
|
33
|
(72
|
)
|
(129
|
)
|
294
|
43
|
-
|
78
|
|||||||||||||||||||||
Ending Balance
|
$
|
486
|
$
|
1,015
|
$
|
2,845
|
$
|
5,624
|
$
|
1,782
|
$
|
196
|
$
|
-
|
$
|
11,948
|
(dollars in thousands)
|
Commercial
and Industrial
|
Real Estate
Construction
|
Real Estate -
Mortgage (1)
|
Real Estate -
Commercial (2)
|
Consumer (3)
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
673
|
$
|
552
|
$
|
2,575
|
$
|
4,499
|
$
|
2,065
|
$
|
156
|
$
|
6
|
$
|
10,526
|
||||||||||||||||
Day 1 impact of adoption of CECL |
(11 | ) | 19 | 87 | 1,048 | (365 | ) | (137 | ) | - | 641 | |||||||||||||||||||||
Charge-offs
|
-
|
-
|
-
|
-
|
(377
|
)
|
(72
|
)
|
-
|
(449
|
)
|
|||||||||||||||||||||
Recoveries
|
8
|
-
|
11
|
-
|
237
|
14
|
-
|
270
|
||||||||||||||||||||||||
Provision for loan losses
|
(6
|
)
|
82
|
199
|
70
|
|
81
|
143
|
(6
|
)
|
563
|
|||||||||||||||||||||
Ending Balance
|
$
|
664
|
$
|
653
|
$
|
2,872
|
$
|
5,617
|
$
|
1,641
|
$
|
104
|
$
|
-
|
$
|
11,551
|
(1) |
The real estate-mortgage segment included residential 1-4 family, multi-family, second mortgages and equity lines of credit.
|
(2) |
The real estate-commercial segment included commercial-owner occupied and commercial non-owner occupied.
|
(3) | The consumer segment includes consumer automobile loans. |
Three Months Ended March 31,
|
||||||||
(dollars in thousands)
|
2024
|
2023
|
||||||
Provision for credit losses:
|
||||||||
Provision for loans
|
$
|
78
|
$
|
563
|
||||
Provison for (recovery of) unfunded commitments
|
2
|
(187
|
)
|
|||||
Total
|
$
|
80
|
$
|
376
|
|
● |
Pass: Loans are of acceptable risk.
|
|
● |
Other Assets Especially Mentioned (OAEM): Loans have potential weaknesses that deserve management’s close attention.
|
|
● |
Substandard: Loans reflect significant deficiencies due to several adverse trends of a financial, economic, or managerial nature.
|
|
● |
Doubtful: Loans have all the weaknesses inherent in a substandard loan with added characteristics that make collection or liquidation in full
based on currently existing facts, conditions, and values highly questionable or improbable.
|
|
● |
Loss: Loans have been identified for charge-off because they are considered uncollectible and of such little value that their continuance as
bankable assets is not warranted.
|
March 31, 2024
|
||||||||||||||||||||||||||||||||
Term Loans Amortized Cost Basis by Origination Year
|
||||||||||||||||||||||||||||||||
(dollars in thousands)
|
2024
|
2023
|
2022
|
2021
|
2020
|
Prior
|
Revolving
Loans
|
Total
|
||||||||||||||||||||||||
Construction and land development
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
7,703
|
$
|
37,156
|
$
|
33,585
|
$
|
25,750
|
$
|
3,095
|
$
|
561
|
$
|
2,121
|
$
|
109,971
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total construction and land development
|
$
|
7,703
|
$
|
37,156
|
$
|
33,585
|
$
|
25,750
|
$
|
3,095
|
$
|
561
|
$
|
2,121
|
$
|
109,971
|
||||||||||||||||
Commercial real estate - owner occupied
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
423
|
$
|
11,214
|
$
|
34,968
|
$
|
20,108
|
$
|
13,443
|
$
|
66,123
|
$
|
3,870
|
$
|
150,149
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
2,827
|
750
|
3,577
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
89
|
-
|
89
|
||||||||||||||||||||||||
Total commercial real estate - owner occupied
|
$
|
423
|
$
|
11,214
|
$
|
34,968
|
$
|
20,108
|
$
|
13,443
|
$
|
69,039
|
$
|
4,620
|
$
|
153,815
|
||||||||||||||||
Commercial real estate - non-owner occupied
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
3,802
|
$
|
31,415
|
$
|
52,870
|
$
|
95,747
|
$
|
38,377
|
$
|
63,915
|
$
|
2,271
|
$
|
288,397
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
786
|
-
|
786
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total commercial real estate - non-owner occupied
|
$
|
3,802
|
$
|
31,415
|
$
|
52,870
|
$
|
95,747
|
$
|
38,377
|
$
|
64,701
|
$
|
2,271
|
$
|
289,183
|
||||||||||||||||
Commercial and industrial
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
763
|
$
|
15,494
|
$
|
17,561
|
$
|
3,897
|
$
|
1,357
|
$
|
4,590
|
$
|
13,533
|
$
|
57,195
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total commercial and industrial
|
$
|
763
|
$
|
15,494
|
$
|
17,561
|
$
|
3,897
|
$
|
1,357
|
$
|
4,590
|
$
|
13,533
|
$
|
57,195
|
||||||||||||||||
Multifamily real estate
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
-
|
$
|
6,542
|
$
|
2,092
|
$
|
2,134
|
$
|
599
|
$
|
14,818
|
$
|
3,321
|
$
|
29,506
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total multifamily real estate
|
$
|
-
|
$
|
6,542
|
$
|
2,092
|
$
|
2,134
|
$
|
599
|
$
|
14,818
|
$
|
3,321
|
$
|
29,506
|
||||||||||||||||
Residential 1-4 family
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
2,508
|
$
|
30,437
|
$
|
42,352
|
$
|
36,680
|
$
|
26,018
|
$
|
63,752
|
$
|
55,682
|
$
|
257,429
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
341
|
45
|
140
|
-
|
526
|
||||||||||||||||||||||||
Total residential 1-4 family
|
$
|
2,508
|
$
|
30,437
|
$
|
42,352
|
$
|
37,021
|
$
|
26,063
|
$
|
63,892
|
$
|
55,682
|
$
|
257,955
|
||||||||||||||||
Consumer - automobile
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
4,861
|
$
|
47,701
|
$
|
75,758
|
$
|
11,189
|
$
|
3,536
|
$
|
5,232
|
$
|
-
|
$
|
148,277
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total consumer - automobile
|
$
|
4,861
|
$
|
47,701
|
$
|
75,758
|
$
|
11,189
|
$
|
3,536
|
$
|
5,232
|
$
|
-
|
$
|
148,277
|
||||||||||||||||
Consumer - other
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
156
|
$
|
289
|
$
|
483
|
$
|
309
|
$
|
65
|
$
|
15,572
|
$
|
2,681
|
$
|
19,555
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total consumer - other
|
$
|
156
|
$
|
289
|
$
|
483
|
$
|
309
|
$
|
65
|
$
|
15,572
|
$
|
2,681
|
$
|
19,555
|
||||||||||||||||
Other
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
979
|
$
|
-
|
$
|
-
|
$
|
292
|
$
|
-
|
$
|
1,175
|
$
|
-
|
$
|
2,446
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total other
|
$
|
979
|
$
|
-
|
$
|
-
|
$
|
292
|
$
|
-
|
$
|
1,175
|
$
|
-
|
$
|
2,446
|
||||||||||||||||
Total loans
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
21,195
|
$
|
180,248
|
$
|
259,669
|
$
|
196,106
|
$
|
86,490
|
$
|
235,738
|
$
|
83,479
|
$
|
1,062,925
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
3,613
|
750
|
4,363
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
341
|
45
|
229
|
-
|
615
|
||||||||||||||||||||||||
Total loans
|
$
|
21,195
|
$
|
180,248
|
$
|
259,669
|
$
|
196,447
|
$
|
86,535
|
$
|
239,580
|
$
|
84,229
|
$
|
1,067,903
|
|
|
December 31, 2023
|
||||||||||||||||||||||||||||||
Term Loans Amortized Cost Basis by Origination Year
|
||||||||||||||||||||||||||||||||
(dollars in thousands)
|
2023
|
2022
|
2021
|
2020
|
2019
|
Prior
|
Revolving
Loans
|
Total
|
||||||||||||||||||||||||
Construction and land development
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
40,168
|
$
|
36,581
|
$
|
25,770
|
$
|
3,630
|
$
|
297
|
$
|
285
|
$
|
448
|
$
|
107,179
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total construction and land development
|
$
|
40,168
|
$
|
36,581
|
$
|
25,770
|
$
|
3,630
|
$
|
297
|
$
|
285
|
$
|
448
|
$
|
107,179
|
||||||||||||||||
Commercial real estate - owner occupied
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
10,145
|
$
|
33,720
|
$
|
21,058
|
$
|
13,708
|
$
|
12,025
|
$
|
56,978
|
$
|
5,680
|
$
|
153,314
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
77
|
2,985
|
-
|
3,062
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
90
|
-
|
90
|
||||||||||||||||||||||||
Total commercial real estate - owner occupied
|
$
|
10,145
|
$
|
33,720
|
$
|
21,058
|
$
|
13,708
|
$
|
12,102
|
$
|
60,053
|
$
|
5,680
|
$
|
156,466
|
||||||||||||||||
Commercial real estate - non-owner occupied
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
31,539
|
$
|
53,217
|
$
|
96,755
|
$
|
38,704
|
$
|
10,517
|
$
|
51,451
|
$
|
2,263
|
$
|
284,446
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
804
|
-
|
-
|
804
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total commercial real estate - non-owner occupied
|
$
|
31,539
|
$
|
53,217
|
$
|
96,755
|
$
|
38,704
|
$
|
11,321
|
$
|
51,451
|
$
|
2,263
|
$
|
285,250
|
||||||||||||||||
Commercial and industrial
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
18,248
|
$
|
21,698
|
$
|
4,300
|
$
|
1,691
|
$
|
2,192
|
$
|
2,075
|
$
|
13,908
|
$
|
64,112
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total commercial and industrial
|
$
|
18,248
|
$
|
21,698
|
$
|
4,300
|
$
|
1,691
|
$
|
2,192
|
$
|
2,075
|
$
|
13,908
|
$
|
64,112
|
||||||||||||||||
Multifamily real estate
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
6,568
|
$
|
3,841
|
$
|
2,151
|
$
|
605
|
$
|
5,955
|
$
|
9,005
|
$
|
1,082
|
$
|
29,207
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total multifamily real estate
|
$
|
6,568
|
$
|
3,841
|
$
|
2,151
|
$
|
605
|
$
|
5,955
|
$
|
9,005
|
$
|
1,082
|
$
|
29,207
|
||||||||||||||||
Residential 1-4 family
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
27,497
|
$
|
41,062
|
$
|
39,937
|
$
|
26,368
|
$
|
13,009
|
$
|
52,148
|
$
|
54,087
|
$
|
254,108
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
350
|
46
|
142
|
-
|
538
|
||||||||||||||||||||||||
Total residential 1-4 family
|
$
|
27,497
|
$
|
41,062
|
$
|
39,937
|
$
|
26,718
|
$
|
13,055
|
$
|
52,290
|
$
|
54,087
|
$
|
254,646
|
||||||||||||||||
|
||||||||||||||||||||||||||||||||
Consumer - automobile
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
52,750
|
$
|
83,885
|
$
|
13,184
|
$
|
4,152
|
$
|
1,618
|
$
|
4,848
|
$
|
-
|
$
|
160,437
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total consumer - automobile
|
$
|
52,750
|
$
|
83,885
|
$
|
13,184
|
$
|
4,152
|
$
|
1,618
|
$
|
4,848
|
$
|
-
|
$
|
160,437
|
||||||||||||||||
Consumer - other
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
323
|
$
|
765
|
$
|
330
|
$
|
109
|
$
|
11
|
$
|
16,089
|
$
|
2,091
|
$
|
19,718
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total consumer - other
|
$
|
323
|
$
|
765
|
$
|
330
|
$
|
109
|
$
|
11
|
$
|
16,089
|
$
|
2,091
|
$
|
19,718
|
||||||||||||||||
Other
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
1,620
|
$
|
-
|
$
|
292
|
$
|
-
|
$
|
-
|
$
|
1,325
|
$
|
-
|
$
|
3,237
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||
Total other
|
$
|
1,620
|
$
|
-
|
$
|
292
|
$
|
-
|
$
|
-
|
$
|
1,325
|
$
|
-
|
$
|
3,237
|
||||||||||||||||
Total loans
|
||||||||||||||||||||||||||||||||
Pass
|
$
|
188,858
|
$
|
274,769
|
$
|
203,777
|
$
|
88,967
|
$
|
45,624
|
$
|
194,204
|
$
|
79,559
|
$
|
1,075,758
|
||||||||||||||||
OAEM
|
-
|
-
|
-
|
-
|
881
|
2,985
|
-
|
3,866
|
||||||||||||||||||||||||
Substandard
|
-
|
-
|
-
|
350
|
46
|
232
|
-
|
628
|
||||||||||||||||||||||||
Total loans
|
$
|
188,858
|
$
|
274,769
|
$
|
203,777
|
$
|
89,317
|
$
|
46,551
|
$
|
197,421
|
$
|
79,559
|
$
|
1,080,252
|
March 31, 2024
|
||||||||||||||||||||||||||||||||
Current Period Charge-offs by Origination Year
|
||||||||||||||||||||||||||||||||
(dollars in thousands)
|
2024
|
2023
|
2022
|
2021
|
2020
|
Prior
|
Revolving
Loans
Amortized
Cost Basis
|
Total
|
||||||||||||||||||||||||
Consumer - automobile
|
$ |
-
|
$ |
79
|
$ |
266
|
$ |
102
|
$ |
3
|
$ |
10
|
$ |
-
|
$ |
460
|
||||||||||||||||
Consumer - other
|
-
|
-
|
-
|
-
|
-
|
2
|
-
|
2
|
||||||||||||||||||||||||
Other (1)
|
32
|
-
|
-
|
-
|
-
|
-
|
-
|
32
|
||||||||||||||||||||||||
Total
|
$
|
32
|
$
|
79
|
$
|
266
|
$
|
102
|
$
|
3
|
$
|
12
|
$
|
-
|
$
|
494
|
(1)
|
Gross charge-offs of other loans for the three months ended
March 31, 2024 included $32 thousand of demand deposit overdrafts that originated in 2024.
|
March 31, 2023
|
||||||||||||||||||||||||||||||||
Current Period Charge-offs by Origination Year
|
||||||||||||||||||||||||||||||||
(dollars in thousands)
|
2023
|
2022
|
2021
|
2020
|
2019
|
Prior
|
Revolving
Loans
Amortized
Cost Basis
|
Total
|
||||||||||||||||||||||||
Consumer - automobile
|
$ |
-
|
$ |
192
|
$ |
114
|
$ |
34
|
$ |
4
|
$ |
29
|
$ |
-
|
$ |
373
|
||||||||||||||||
Consumer - other
|
-
|
-
|
2
|
-
|
-
|
2
|
-
|
4
|
||||||||||||||||||||||||
Other (1)
|
72
|
-
|
-
|
-
|
-
|
-
|
-
|
72
|
||||||||||||||||||||||||
Total
|
$
|
72
|
$
|
192
|
$
|
116
|
$
|
34
|
$
|
4
|
$
|
31
|
$
|
-
|
$
|
449
|
(1)
|
Gross charge-offs of other loans for the three months ended March 31, 2023 included $72 thousand of demand deposit overdrafts that originated in 2023. |
(dollars in thousands)
|
March 31, 2024
|
December 31, 2023 |
||||||
Lease liabilities
|
$
|
1,149
|
$ | 1,248 | ||||
Right-of-use assets
|
$
|
1,057
|
$ | 1,148 | ||||
Weighted average remaining lease term
|
3.17 years
|
3.37 years | ||||||
Weighted average discount rate
|
3.10
|
%
|
3.06 | % |
Three Months Ended March 31,
|
||||||||
(dollars in thousands)
|
2024
|
2023
|
||||||
Operating lease cost
|
$
|
106
|
$
|
101
|
||||
Total lease cost
|
$
|
106
|
$
|
101
|
||||
Cash paid for amounts included in the measurement of lease liabilities
|
$
|
108
|
$
|
91
|
As of | ||||
(dollars in thousands)
|
March 31, 2024
|
|||
Nine months ending December 31, 2024
|
$
|
315
|
||
Twelve months ending December 31, 2025
|
382
|
|||
Twelve months ending December 31, 2026
|
278
|
|||
Twelve months ending December 31, 2027
|
208 | |||
Thereafter
|
24
|
|||
Total undiscounted cash flows
|
$
|
1,207
|
||
Discount
|
(58
|
)
|
||
Lease liabilities
|
$
|
1,149
|
|
(dollars in thousands)
|
March 31, 2024
|
December 31, 2023
|
||||||
Federal funds purchased |
$ | - | $ | - | ||||
Overnight repurchase agreements
|
1,684
|
2,383 | ||||||
Federal Home Loan Bank advances |
39,450 | 9,450 | ||||||
Total short-term borrowings
|
$
|
41,134
|
$
|
11,833
|
||||
Maximum month-end outstanding balance (year-to-date)
|
$
|
41,682
|
$
|
84,360
|
||||
Average outstanding balance during the period
|
$
|
42,200
|
$
|
53,466
|
||||
Average interest rate (year-to-date)
|
4.73
|
%
|
4.90 | % | ||||
Average interest rate at end of period
|
5.66
|
%
|
5.65
|
%
|
|
March 31,
|
December 31,
|
||||||
(dollars in thousands)
|
2024
|
2023
|
||||||
Commitments to extend credit:
|
||||||||
Home equity lines of credit
|
$
|
93,118
|
$
|
91,885
|
||||
Commercial real estate, construction and development loans committed but not funded
|
79,960
|
74,218
|
||||||
Other lines of credit (principally commercial)
|
49,360
|
47,622
|
||||||
Total
|
$
|
222,438
|
$
|
213,725
|
||||
Letters of credit
|
$
|
872
|
$
|
802
|
Weighted Average
|
||||||||
Grant Date
|
||||||||
Shares
|
Fair Value
|
|||||||
Nonvested, December 31, 2023
|
53,660
|
$
|
22.32
|
|||||
Vested
|
(761
|
)
|
22.35
|
|||||
Forfeited
|
(1,730
|
)
|
20.53
|
|||||
Nonvested, March 31, 2024
|
51,169
|
$
|
22.38
|
Weighted Average
|
||||||||
Grant Date
|
||||||||
Shares
|
Fair Value
|
|||||||
Nonvested, December 31, 2022
|
46,989
|
$
|
22.49
|
|||||
Issued
|
-
|
-
|
||||||
Vested
|
-
|
-
|
||||||
Forfeited
|
-
|
-
|
||||||
Nonvested, March 31, 2023
|
46,989
|
$
|
22.49
|
(dollars in thousands)
|
Unrealized Gains
(Losses) on Available-
for-Sale Securities
|
Accumulated Other
Comprehensive (Loss)
Income
|
||||||
Three Months Ended March 31, 2024
|
||||||||
Balance at beginning of period
|
$
|
(17,530
|
)
|
$
|
(17,530
|
)
|
||
Net other comprehensive loss
|
(268
|
)
|
(268
|
)
|
||||
Balance at end of period
|
$
|
(17,798
|
)
|
$
|
(17,798
|
)
|
||
Three Months Ended March 31, 2023
|
||||||||
Balance at beginning of period
|
$
|
(20,767
|
)
|
$
|
(20,767
|
)
|
||
Net other comprehensive income
|
2,332
|
2,332
|
||||||
Balance at end of period
|
$
|
(18,435
|
)
|
$
|
(18,435
|
)
|
Three Months Ended March 31, 2024
|
||||||||||||
(dollars in thousands)
|
Pretax
|
Tax
|
Net-of-Tax
|
|||||||||
Unrealized losses on available-for-sale securities:
|
||||||||||||
Unrealized holding losses arising during the period
|
$
|
(339
|
)
|
$
|
71
|
$
|
(268
|
)
|
||||
|
||||||||||||
Total change in accumulated other comprehensive loss, net
|
$
|
(339
|
)
|
$
|
71
|
$
|
(268
|
)
|
Three Months Ended March 31, 2023
|
||||||||||||
(dollars in thousands)
|
Pretax
|
Tax
|
Net-of-Tax
|
|||||||||
Unrealized gains on available-for-sale securities:
|
||||||||||||
Unrealized holding gains arising during the period
|
$
|
2,952
|
$
|
(620
|
)
|
$
|
2,332
|
|||||
Total change in accumulated other comprehensive income, net
|
$
|
2,952
|
$
|
(620
|
)
|
$
|
2,332
|
|
• |
Level 1: Valuation is based on quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access
at the measurement date. Level 1 assets and liabilities generally include debt and equity securities that are traded in an active exchange market. Valuations are obtained from readily available pricing sources for market transactions
involving identical assets or liabilities.
|
|
• |
Level 2: Valuation is based on inputs other than quoted prices
included within Level 1 that are observable for the asset or liability, either directly or indirectly. The valuation may be based on quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other
inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability.
|
|
• |
Level 3: Valuation is based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of
the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which
determination of fair value requires significant management judgment or estimation.
|
Fair Value Measurements at March 31, 2024 Using
|
||||||||||||||||
(dollars in thousands)
|
Balance
|
Level 1
|
Level 2
|
Level 3
|
||||||||||||
Assets: | ||||||||||||||||
Available-for-sale securities
|
||||||||||||||||
U.S. Treasury securities
|
$
|
3,844
|
$
|
-
|
$
|
3,844
|
$
|
-
|
||||||||
Obligations of U.S. Government agencies
|
39,866
|
-
|
39,866
|
-
|
||||||||||||
Obligations of state and political subdivisions
|
50,058
|
-
|
50,058
|
-
|
||||||||||||
Mortgage-backed securities
|
79,128
|
-
|
79,128
|
-
|
||||||||||||
Money market investments
|
2,827
|
-
|
2,827
|
-
|
||||||||||||
Corporate bonds and other securities
|
24,075
|
-
|
24,075
|
-
|
||||||||||||
Total available-for-sale securities
|
199,798
|
-
|
199,798
|
-
|
||||||||||||
Derivatives
|
||||||||||||||||
Interest rate swap on loans
|
1,652 | - | 1,652 | - | ||||||||||||
Total assets
|
$ | 201,450 | $ | - | $ | 201,450 | $ | - | ||||||||
Liabilities:
|
||||||||||||||||
Derivatives
|
||||||||||||||||
Interest rate swap on loans
|
1,652 | - | 1,652 | - | ||||||||||||
Total liabilities
|
$ | 1,652 | $ | - | $ | 1,652 | $ | - |
Fair Value Measurements at December 31, 2023 Using
|
||||||||||||||||
(dollars in thousands)
|
Balance
|
Level 1
|
Level 2
|
Level 3
|
||||||||||||
Available-for-sale securities
|
||||||||||||||||
U.S. Treasury securities
|
$
|
3,857
|
$
|
-
|
$
|
3,857
|
$
|
-
|
||||||||
Obligations of U.S. Government agencies
|
42,735
|
-
|
42,735
|
-
|
||||||||||||
Obligations of state and political subdivisions
|
50,597
|
-
|
50,597
|
-
|
||||||||||||
Mortgage-backed securities
|
81,307
|
-
|
81,307
|
-
|
||||||||||||
Money market investments
|
2,047
|
-
|
2,047
|
-
|
||||||||||||
Corporate bonds and other securities
|
23,735
|
-
|
23,735
|
-
|
||||||||||||
Total available-for-sale securities
|
$
|
204,278
|
$
|
-
|
$
|
204,278
|
$
|
-
|
||||||||
Loans held for sale |
470 | - | 470 | - | ||||||||||||
Derivatives
|
||||||||||||||||
Interest rate lock
|
10 | - | 10 | - | ||||||||||||
Interest rate swap on loans
|
1,249 | - | 1,249 | - | ||||||||||||
Total assets
|
$ | 206,007 | $ | - | $ | 206,007 | $ | - | ||||||||
Liabilities:
|
||||||||||||||||
Derivatives
|
||||||||||||||||
Interest rate swap on loans
|
1,249 | - | 1,249 | - | ||||||||||||
Total liabilities
|
$ | 1,249 | $ | - | $ | 1,249 | $ | - |
Fair Value Measurements at March 31, 2024 Using
|
||||||||||||||||
(dollars in thousands)
|
Carrying Value
|
Level 1
|
Level 2
|
Level 3
|
||||||||||||
Assets
|
||||||||||||||||
Cash and cash equivalents
|
$
|
93,311
|
$
|
93,311
|
$
|
-
|
$
|
-
|
||||||||
Securities available-for-sale
|
199,798
|
-
|
199,798
|
-
|
||||||||||||
Restricted securities
|
5,239
|
-
|
5,239
|
-
|
||||||||||||
Loans, net
|
1,055,955
|
-
|
-
|
994,232
|
||||||||||||
Derivatives
|
||||||||||||||||
Interest rate swap on loans
|
1,652 | - | 1,652 | - | ||||||||||||
Bank owned life insurance
|
35,353
|
-
|
35,353
|
-
|
||||||||||||
Accrued interest receivable
|
4,984
|
-
|
4,984
|
-
|
||||||||||||
Liabilities
|
||||||||||||||||
Deposits
|
$
|
1,228,269
|
$
|
-
|
$
|
1,226,351
|
$
|
-
|
||||||||
Overnight repurchase agreements
|
1,684
|
-
|
1,684
|
-
|
||||||||||||
Federal Home Loan Bank advances
|
69,450 | - | 69,450 | - | ||||||||||||
Subordinated notes
|
29,701 | - | 25,524 | - | ||||||||||||
Derivatives
|
||||||||||||||||
Interest rate swap on loans
|
1,652 | - | 1,652 | - | ||||||||||||
Accrued interest payable
|
1,775
|
-
|
1,775
|
-
|
Fair Value Measurements at December 31, 2023 Using
|
||||||||||||||||
(dollars in thousands)
|
Carrying Value
|
Level 1
|
Level 2
|
Level 3
|
||||||||||||
Assets
|
||||||||||||||||
Cash and cash equivalents
|
$
|
78,759
|
$
|
78,759
|
$
|
-
|
$
|
-
|
||||||||
Securities available-for-sale
|
204,278
|
-
|
204,278
|
-
|
||||||||||||
Restricted securities
|
5,176
|
-
|
5,176
|
-
|
||||||||||||
Loans held for sale
|
470
|
-
|
470
|
-
|
||||||||||||
Loans, net
|
1,068,046
|
-
|
-
|
1,025,622
|
||||||||||||
Derivatives
|
||||||||||||||||
Interest rate lock
|
10 | - | 10 | - | ||||||||||||
Interest rate swap on loans
|
1,249 | - | 1,249 | - | ||||||||||||
Bank owned life insurance
|
35,088
|
-
|
35,088
|
-
|
||||||||||||
Accrued interest receivable
|
4,921
|
-
|
4,921
|
-
|
||||||||||||
Liabilities
|
||||||||||||||||
Deposits
|
$
|
1,230,397
|
$
|
-
|
$
|
1,228,477
|
$
|
-
|
||||||||
Overnight repurchase agreements
|
2,383
|
-
|
2,383
|
-
|
||||||||||||
Federal Home Loan Bank advances
|
69,450
|
-
|
69,450
|
-
|
||||||||||||
Subordinated notes
|
29,668 | - | 25,561 | - | ||||||||||||
Derivatives
|
||||||||||||||||
Interest rate swap on loans
|
1,249 | - | 1,249 | - | ||||||||||||
Accrued interest payable
|
1,972
|
-
|
1,972
|
-
|
Three Months Ended March 31, 2024
|
||||||||||||||||||||
(dollars in thousands)
|
Bank
|
Wealth
|
Parent
|
Eliminations
|
Consolidated
|
|||||||||||||||
Revenues
|
||||||||||||||||||||
Interest and dividend income
|
$
|
17,341
|
$
|
42
|
$
|
800
|
$
|
(800
|
)
|
$
|
17,383
|
|||||||||
Income from fiduciary activities
|
-
|
1,217
|
-
|
(25
|
)
|
1,192
|
||||||||||||||
Other income
|
1,834
|
211
|
50
|
(65
|
)
|
2,030
|
||||||||||||||
Total operating income
|
19,175
|
1,470
|
850
|
(890
|
)
|
20,605
|
||||||||||||||
Expenses
|
||||||||||||||||||||
Interest expense
|
5,548
|
-
|
295
|
-
|
5,843
|
|||||||||||||||
Provision for credit losses
|
80
|
-
|
-
|
-
|
80
|
|||||||||||||||
Salaries and employee benefits
|
6,641
|
1,024
|
191
|
(25
|
)
|
7,831
|
||||||||||||||
Other expenses
|
4,485
|
398
|
54
|
(65
|
)
|
4,872
|
||||||||||||||
Total operating expenses
|
16,754
|
1,422
|
540
|
(90
|
)
|
18,626
|
||||||||||||||
Income (loss) before taxes
|
2,421
|
48
|
310
|
(800
|
)
|
1,979
|
||||||||||||||
Income tax expense (benefit)
|
353
|
12
|
(103
|
)
|
-
|
262
|
||||||||||||||
Net income
|
$
|
2,068
|
$
|
36
|
$
|
413
|
$
|
(800
|
)
|
$
|
1,717
|
|||||||||
Capital expenditures
|
$
|
799
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
799
|
||||||||||
Total assets
|
$
|
1,436,417
|
$
|
7,250
|
$
|
137,600
|
$
|
(135,778
|
)
|
$
|
1,445,489
|
Three Months Ended March 31, 2023
|
||||||||||||||||||||
(dollars in thousands)
|
Bank
|
Wealth
|
Parent
|
Eliminations
|
Consolidated
|
|||||||||||||||
Revenues
|
||||||||||||||||||||
Interest and dividend income
|
$
|
15,121
|
$
|
32
|
$
|
3,505
|
$
|
(3,505
|
)
|
$
|
15,153
|
|||||||||
Income from fiduciary activities
|
-
|
1,116
|
-
|
-
|
1,116
|
|||||||||||||||
Other income
|
2,066
|
254
|
50
|
(65
|
)
|
2,305
|
||||||||||||||
Total operating income
|
17,187
|
1,402
|
3,555
|
(3,570
|
)
|
18,574
|
||||||||||||||
Expenses
|
||||||||||||||||||||
Interest expense
|
2,045
|
-
|
295
|
-
|
2,340
|
|||||||||||||||
Provision for credit losses
|
376
|
-
|
-
|
-
|
376
|
|||||||||||||||
Salaries and employee benefits
|
6,085
|
1,074
|
204
|
-
|
7,363
|
|||||||||||||||
Other expenses
|
4,481
|
304
|
85
|
(65
|
)
|
4,805
|
||||||||||||||
Total operating expenses
|
12,987
|
1,378
|
584
|
(65
|
)
|
14,884
|
||||||||||||||
Income (loss) before taxes
|
4,200
|
24
|
2,971
|
(3,505
|
)
|
3,690
|
||||||||||||||
Income tax expense (benefit)
|
713
|
6
|
(112
|
)
|
-
|
607
|
||||||||||||||
Net income
|
$
|
3,487
|
$
|
18
|
$
|
3,083
|
$
|
(3,505
|
)
|
$
|
3,083
|
|||||||||
Capital expenditures
|
$
|
130
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
130
|
||||||||||
Total assets
|
$
|
1,407,919
|
$
|
7,093
|
$
|
132,434
|
$
|
(131,295
|
)
|
$
|
1,416,151
|
Item 2. |
Management’s Discussion and Analysis of Financial Condition and Results of Operations.
|
|
• |
During the first quarter of 2024, the Company continued a series of initiatives that began in late 2023, to reduce noninterest expense. The noninterest expense reduction initiatives are expected to reduce noninterest expense by
approximately $5.0 million on an annualized pre-tax basis (excluding one-time costs). Part of these initiatives is the difficult, but important, decision to reduce our employee headcount by approximately 12%, saving approximately $3.7
million annually (excluding one-time costs) and having a meaningful impact on the Company’s earnings and efficiency ratios going forward. During the first quarter of 2024, the Company incurred one-time costs of $345 thousand related to
these initiatives. These initiatives are expected to have a minimal positive impact on the Company’s earnings in the second quarter of 2024 due to additional one-time costs, but earnings should begin to reflect the impact of these
initiatives in the third quarter of 2024 with substantially all benefits realized by mid-2025.
|
|
• |
Total assets were $1.4 billion at March 31, 2024, decreasing $893 thousand or 0.06% from December 31, 2023. Net loans held for investment were $1.1 billion at March 31, 2024, decreasing $12.1 million, or 1.1%, from December 31, 2023.
|
|
• |
Total deposits decreased $2.1 million, or 0.2%, from December 31, 2023.
|
|
• |
Return on average equity (ROE) was 6.4% for the first quarter of 2024, compared to 5.9% for the fourth quarter of 2023, 5.3% for the third quarter of 2023, and 12.5% for the first quarter of 2023.
|
|
• |
Net income improved $234 thousand, or 15.8%, to $1.7 million for the first quarter of 2024 from $1.5 million for the fourth quarter of 2023. Net income improved $356 thousand, or 26.1% from $1.4 million for the third quarter of 2023.
Net income decreased $1.4 million, or 44.3%, from $3.1 million in the first quarter of 2023.
|
|
• |
Net interest margin (NIM) was 3.45% in the first quarter of 2024 compared to 4.02% in the first quarter of 2023. NIM on a fully tax-equivalent basis (FTE) (non-GAAP) was 3.46% in the first quarter of 2024 compared to 4.04% in the
first quarter of 2023.
|
|
• |
Net interest income for the first quarter of 2024, decreased $321 thousand, or 2.7%, compared to the prior quarter and $1.3 million, or 9.9%, compared to the first quarter of 2023.
|
|
• |
Provision for credit losses of $80 thousand was recognized for the first quarter of 2024, compared to $1.4 million for the fourth quarter of 2023 and $376 thousand for the first quarter of 2023.
|
|
• |
Non-performing assets stayed flat at $2.2 million or 0.15% of total assets at March 31, 2024 compared to December 31, 2023.
|
|
• |
Liquidity as of March 31, 2024, defined as cash and cash equivalents, unpledged securities, and available secured borrowing capacity, totaled $379.2 million, representing 26.2% of total assets compared to $342.5 million, representing
23.7% of total assets as of December 31, 2023.
|
For the quarters ended March 31,
|
||||||||||||||||||||||||
2024
|
2023
|
|||||||||||||||||||||||
(dollars in thousands)
|
Average
Balance
|
Interest
Income/
Expense
|
Yield/
Rate**
|
Average
Balance
|
Interest
Income/
Expense
|
Yield/
Rate**
|
||||||||||||||||||
Assets
|
||||||||||||||||||||||||
Loans*
|
$
|
1,076,894
|
$
|
14,544
|
5.42
|
%
|
$
|
1,055,878
|
$
|
13,042
|
5.01
|
%
|
||||||||||||
Investment securities:
|
||||||||||||||||||||||||
Taxable
|
175,241
|
1,798
|
4.12
|
%
|
186,292
|
1,764
|
3.84
|
%
|
||||||||||||||||
Tax-exempt*
|
26,115
|
176
|
2.70
|
%
|
38,206
|
268
|
2.85
|
%
|
||||||||||||||||
Total investment securities
|
201,356
|
1,974
|
3.93
|
%
|
224,498
|
2,032
|
3.67
|
%
|
||||||||||||||||
Interest-bearing due from banks
|
57,921
|
799
|
5.53
|
%
|
6,596
|
64
|
3.94
|
%
|
||||||||||||||||
Federal funds sold
|
709
|
9
|
5.09
|
%
|
577
|
6
|
4.23
|
%
|
||||||||||||||||
Other investments
|
5,201
|
94
|
7.27
|
%
|
3,632
|
66
|
7.32
|
%
|
||||||||||||||||
Total earning assets
|
1,342,081
|
$
|
17,420
|
5.21
|
%
|
1,291,181
|
$
|
15,210
|
4.78
|
%
|
||||||||||||||
Allowance for credit losses
|
(12,393
|
)
|
(11,339
|
)
|
||||||||||||||||||||
Other non-earning assets
|
105,193
|
104,511
|
||||||||||||||||||||||
Total assets
|
$
|
1,434,881
|
$
|
1,384,353
|
||||||||||||||||||||
Liabilities and Stockholders’ Equity
|
||||||||||||||||||||||||
Interest-bearing deposits:
|
||||||||||||||||||||||||
Interest-bearing transaction accounts
|
$
|
94,434
|
$
|
3
|
0.01
|
%
|
$
|
70,254
|
$
|
3
|
0.02
|
%
|
||||||||||||
Money market deposit accounts
|
452,198
|
2,587
|
2.29
|
%
|
428,941
|
842
|
0.80
|
%
|
||||||||||||||||
Savings accounts
|
89,035
|
7
|
0.03
|
%
|
115,880
|
9
|
0.03
|
%
|
||||||||||||||||
Time deposits
|
238,076
|
2,172
|
3.66
|
%
|
148,563
|
537
|
1.47
|
%
|
||||||||||||||||
Total time and savings deposits
|
873,743
|
4,769
|
2.19
|
%
|
763,638
|
1,391
|
0.74
|
%
|
||||||||||||||||
Federal funds purchased, repurchase agreements and other borrowings
|
2,484
|
1
|
0.16
|
%
|
7,959
|
37
|
1.91
|
%
|
||||||||||||||||
Federal Home Loan Bank advances
|
69,716
|
778
|
4.48
|
%
|
52,626
|
617
|
4.69
|
%
|
||||||||||||||||
Long term borrowings
|
29,680
|
295
|
3.99
|
%
|
29,551
|
295
|
4.00
|
%
|
||||||||||||||||
Total interest-bearing liabilities
|
975,623
|
5,843
|
2.40
|
%
|
853,774
|
2,340
|
1.11
|
%
|
||||||||||||||||
Demand deposits
|
344,098
|
421,779
|
||||||||||||||||||||||
Other liabilities
|
8,209
|
8,347
|
||||||||||||||||||||||
Stockholders’ equity
|
106,951
|
100,453
|
||||||||||||||||||||||
Total liabilities and stockholders’ equity
|
$
|
1,434,881
|
$
|
1,384,353
|
||||||||||||||||||||
Net interest margin
|
$
|
11,577
|
3.46
|
%
|
$
|
12,870
|
4.04
|
%
|
For the three months ended March 31, 2024 from 2023
Increase (Decrease)
|
||||||||||||
Due to Changes in:
|
||||||||||||
(dollars in thousands)
|
Volume
|
Rate
|
Total
|
|||||||||
Earning Assets
|
||||||||||||
Loans*
|
$
|
260
|
$
|
1,242
|
$
|
1,502
|
||||||
Investment securities:
|
||||||||||||
Taxable
|
(105
|
)
|
139
|
34
|
||||||||
Tax-exempt*
|
(85
|
)
|
(7
|
)
|
(92
|
)
|
||||||
Total investment securities
|
(190
|
)
|
132
|
(58
|
)
|
|||||||
Federal funds sold
|
1
|
2
|
3
|
|||||||||
Other investments**
|
527
|
237
|
764
|
|||||||||
Total earning assets
|
598
|
1,613
|
2,211
|
|||||||||
Interest-Bearing Liabilities
|
||||||||||||
Interest-bearing transaction accounts
|
1
|
(1
|
)
|
-
|
||||||||
Money market deposit accounts
|
46
|
1,699
|
1,745
|
|||||||||
Savings accounts
|
(2
|
)
|
-
|
(2
|
)
|
|||||||
Time deposits
|
324
|
1,311
|
1,635
|
|||||||||
Total time and savings deposits
|
369
|
3,009
|
3,378
|
|||||||||
Federal funds purchased, repurchase agreements and other borrowings
|
(25
|
)
|
(10
|
)
|
(35
|
)
|
||||||
Federal Home Loan Bank advances
|
200
|
(39
|
)
|
161
|
||||||||
Long term borrowings
|
1
|
(1
|
)
|
-
|
||||||||
Total interest-bearing liabilities
|
545
|
2,959
|
3,504
|
|||||||||
Change in net interest income
|
$
|
53
|
$
|
(1,346
|
)
|
$
|
(1,293
|
)
|
March 31,
|
December 31,
|
|||||||||||||||
(dollars in thousands)
|
2024
|
2023
|
||||||||||||||
U.S. Treasury securities
|
$
|
3,844
|
2
|
%
|
$
|
3,857
|
2
|
%
|
||||||||
Obligations of U.S. Government agencies
|
39,866
|
20
|
%
|
42,735
|
21
|
%
|
||||||||||
Obligations of state and political subdivisions
|
50,058
|
24
|
%
|
50,597
|
24
|
%
|
||||||||||
Mortgage-backed securities
|
79,128
|
39
|
%
|
81,307
|
39
|
%
|
||||||||||
Money market investments
|
2,827
|
1
|
%
|
2,047
|
1
|
%
|
||||||||||
Corporate bonds and other securities
|
24,075
|
12
|
%
|
23,735
|
11
|
%
|
||||||||||
199,798
|
98
|
%
|
204,278
|
98
|
%
|
|||||||||||
Restricted securities:
|
||||||||||||||||
Federal Home Loan Bank stock
|
$
|
4,305
|
2
|
%
|
4,242
|
2
|
%
|
|||||||||
Federal Reserve Bank stock
|
892
|
-
|
892
|
-
|
||||||||||||
Community Bankers’ Bank stock
|
42
|
-
|
42
|
-
|
||||||||||||
5,239
|
5,176
|
|||||||||||||||
Total Securities
|
$
|
205,037
|
100
|
%
|
$
|
209,454
|
100
|
%
|
(dollars in thousands)
|
1 year or less
|
1-5 years
|
5-10 years
|
Over 10 years
|
Total
|
|||||||||||||||
U.S. Treasury securities
|
$
|
-
|
$
|
3,844
|
$
|
-
|
$
|
-
|
$
|
3,844
|
||||||||||
Weighted average yield
|
-
|
1.70
|
%
|
-
|
-
|
1.70
|
%
|
|||||||||||||
Obligations of U.S. Government agencies
|
$
|
1,368
|
$
|
2,764
|
$
|
1,457
|
$
|
34,277
|
$
|
39,866
|
||||||||||
Weighted average yield
|
1.12
|
%
|
2.52
|
%
|
4.15
|
%
|
6.51
|
%
|
5.87
|
%
|
||||||||||
Obligations of state and political subdivisions
|
$
|
-
|
$
|
1,444
|
$
|
21,725
|
$
|
26,889
|
$
|
50,058
|
||||||||||
Weighted average yield
|
0.00
|
%
|
2.73
|
%
|
2.27
|
%
|
2.34
|
%
|
2.32
|
%
|
||||||||||
Mortgage-backed securities
|
$
|
-
|
$
|
10,889
|
$
|
-
|
$
|
68,239
|
$
|
79,128
|
||||||||||
Weighted average yield
|
-
|
2.29
|
%
|
0.00
|
%
|
3.17
|
%
|
3.03
|
%
|
|||||||||||
Money market investments
|
$
|
2,827
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
2,827
|
||||||||||
Weighted average yield
|
3.57
|
%
|
-
|
-
|
-
|
3.57
|
%
|
|||||||||||||
Corporate bonds and other securities
|
$
|
-
|
$
|
-
|
$
|
24,075
|
$
|
-
|
$
|
24,075
|
||||||||||
Weighted average yield
|
-
|
-
|
4.42
|
%
|
-
|
4.43
|
%
|
|||||||||||||
Total Securities
|
$
|
4,195
|
$
|
18,941
|
$
|
47,257
|
$
|
129,405
|
$
|
199,798
|
||||||||||
Weighted average yield
|
2.77
|
%
|
2.23
|
%
|
3.42
|
%
|
3.90
|
%
|
3.61
|
%
|
March 31,
|
December 31,
|
|||||||
(dollars in thousands)
|
2024
|
2023
|
||||||
Commercial and industrial
|
$
|
57,195
|
$
|
64,112
|
||||
Real estate-construction
|
109,971
|
107,179
|
||||||
Real estate-mortgage (1)
|
287,461
|
283,853
|
||||||
Real estate-commercial (2)
|
442,998
|
441,716
|
||||||
Consumer (3)
|
167,832
|
180,155
|
||||||
Other
|
2,446
|
3,237
|
||||||
Ending Balance
|
$
|
1,067,903
|
$
|
1,080,252
|
As of March 31, 2024
|
||||||||||||||||||||||||||||
(dollars in thousands)
|
Commercial and
industrial
|
Real estate-
construction
|
Real estate-
mortgage (1)
|
Real estate-
commercial (2)
|
Consumer (3)
|
Other
|
Total
|
|||||||||||||||||||||
Variable Rate:
|
||||||||||||||||||||||||||||
Within 1 year
|
$
|
12,199
|
$
|
67,506
|
$
|
64,735
|
$
|
47,696
|
$
|
7,510
|
$
|
2,027
|
$
|
201,673
|
||||||||||||||
1 to 5 years
|
-
|
328
|
27,929
|
26,784
|
2
|
127
|
55,170
|
|||||||||||||||||||||
5 to 15 years
|
-
|
3,989
|
40,821
|
-
|
27
|
-
|
44,837
|
|||||||||||||||||||||
After 15 years
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|||||||||||||||||||||
Fixed Rate:
|
||||||||||||||||||||||||||||
Within 1 year
|
$
|
1,643
|
$
|
5,090
|
$
|
6,416
|
$
|
31,612
|
$
|
1,181
|
$
|
-
|
$
|
45,942
|
||||||||||||||
1 to 5 years
|
26,939
|
20,376
|
43,314
|
202,766
|
99,907
|
-
|
393,302
|
|||||||||||||||||||||
5 to 15 years
|
16,414
|
12,639
|
38,391
|
132,569
|
50,308
|
292
|
250,613
|
|||||||||||||||||||||
After 15 years
|
-
|
43
|
65,855
|
1,571
|
8,897
|
-
|
76,366
|
|||||||||||||||||||||
|
$
|
57,195
|
$
|
109,971
|
$
|
287,461
|
$
|
442,998
|
$
|
167,832
|
$
|
2,446
|
$
|
1,067,903
|
March 31,
|
December 31,
|
|||||||
(dollars in thousands)
|
2024
|
2023
|
||||||
Total loans
|
$
|
1,067,903
|
$
|
1,080,252
|
||||
Nonaccrual loans
|
194
|
188
|
||||||
Loans past due 90 days or more and accruing interest
|
878
|
1,780
|
||||||
Repossessed assets
|
1,080
|
215
|
||||||
Total Nonperforming Assets
|
$
|
2,152
|
$
|
2,183
|
||||
ACLL
|
$
|
11,948
|
$
|
12,206
|
||||
Nonaccrual loans to total loans
|
0.02
|
%
|
0.02
|
%
|
||||
ACLL to total loans
|
1.12
|
%
|
1.13
|
%
|
||||
ACLL to nonaccrual loans
|
6158.76
|
%
|
6492.55
|
%
|
March 31,
|
December 31,
|
|||||||
(dollars in thousands)
|
2024
|
2023
|
||||||
Total ACLL
|
$
|
11,948
|
$
|
12,206
|
||||
Total reserve for unfunded commitments
|
239
|
236
|
||||||
Total ACL
|
$
|
12,187
|
$
|
12,442
|
(dollars in thousands)
|
Commercial
and Industrial
|
Real Estate
Construction
|
Real Estate -
Mortgage (1)
|
Real Estate -
Commercial
|
Consumer (2)
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for credit losses on loans:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
573
|
$
|
982
|
$
|
2,904
|
$
|
5,742
|
$
|
1,827
|
$
|
178
|
$
|
-
|
$
|
12,206
|
||||||||||||||||
Charge-offs
|
-
|
-
|
-
|
-
|
(462
|
)
|
(32
|
)
|
-
|
(494
|
)
|
|||||||||||||||||||||
Recoveries
|
4
|
-
|
13
|
11
|
123
|
7
|
-
|
158
|
||||||||||||||||||||||||
Provision for credit losses
|
(91
|
)
|
33
|
(72
|
)
|
(129
|
)
|
294
|
43
|
-
|
78
|
|||||||||||||||||||||
Ending Balance
|
$
|
486
|
$
|
1,015
|
$
|
2,845
|
$
|
5,624
|
$
|
1,782
|
$
|
196
|
$
|
-
|
$
|
11,948
|
||||||||||||||||
Average loans
|
$
|
63,092
|
$
|
109,761
|
$
|
285,125
|
$
|
443,149
|
$
|
174,014
|
$
|
1,753
|
$
|
1,076,894
|
||||||||||||||||||
Ratio of net charge-offs (recoveries) to average loans
|
-0.01
|
%
|
0.00
|
%
|
0.00
|
%
|
0.00
|
%
|
0.19
|
%
|
1.43
|
%
|
0.03
|
%
|
(dollars in thousands)
|
Commercial
and Industrial
|
Real Estate
Construction
|
Real Estate -
Mortgage (1)
|
Real Estate -
Commercial
|
Consumer (2)
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
673
|
$
|
552
|
$
|
2,575
|
$
|
4,499
|
$
|
2,065
|
$
|
156
|
$
|
6
|
$
|
10,526
|
||||||||||||||||
Day 1 impact of adoption of CECL
|
(11
|
)
|
19
|
87
|
1,048
|
(365
|
)
|
(137
|
)
|
-
|
641
|
|||||||||||||||||||||
Charge-offs
|
-
|
-
|
-
|
-
|
(377
|
)
|
(72
|
)
|
-
|
(449
|
)
|
|||||||||||||||||||||
Recoveries
|
8
|
-
|
11
|
-
|
237
|
14
|
-
|
270
|
||||||||||||||||||||||||
Provision for loan losses
|
(6
|
)
|
82
|
199
|
70
|
81
|
143
|
(6
|
)
|
563
|
||||||||||||||||||||||
Ending Balance
|
$
|
664
|
$
|
653
|
$
|
2,872
|
$
|
5,617
|
$
|
1,641
|
$
|
104
|
$
|
-
|
$
|
11,551
|
||||||||||||||||
Average loans
|
$
|
77,014
|
$
|
81,771
|
$
|
268,620
|
$
|
425,751
|
$
|
200,020
|
$
|
2,702
|
$
|
1,055,878
|
||||||||||||||||||
Ratio of net charge-offs (recoveries) to average loans
|
-0.01
|
%
|
0.00
|
%
|
0.00
|
%
|
0.00
|
%
|
0.07
|
%
|
2.15
|
%
|
0.02
|
%
|
March 31,
|
December 31,
|
|||||||||||||||
2024
|
2023
|
|||||||||||||||
(dollars in thousands)
|
Amount
|
Percent of
Loans to
Total Loans
|
Amount
|
Percent of
Loans to
Total Loans
|
||||||||||||
Commercial and industrial
|
$
|
486
|
4.07
|
%
|
$
|
573
|
5.93
|
%
|
||||||||
Real estate-construction
|
1,015
|
8.50
|
%
|
982
|
9.92
|
%
|
||||||||||
Real estate-mortgage (1)
|
2,845
|
23.81
|
%
|
2,904
|
26.28
|
%
|
||||||||||
Real estate-commercial
|
5,624
|
47.07
|
%
|
5,742
|
40.89
|
%
|
||||||||||
Consumer (2)
|
1,782
|
14.91
|
%
|
1,827
|
16.68
|
%
|
||||||||||
Other
|
196
|
1.64
|
%
|
178
|
0.30
|
%
|
||||||||||
Ending Balance
|
$
|
11,948
|
100.00
|
%
|
$
|
12,206
|
100.00
|
%
|
Three Months ended March 31,
|
||||||||||||||||
2024
|
2023
|
|||||||||||||||
(Dollars in thousands)
|
Average
Balance
|
Average
Rate
|
Average
Balance
|
Average
Rate
|
||||||||||||
Interest-bearing transaction
|
$
|
94,434
|
0.01
|
%
|
$
|
70,254
|
0.02
|
%
|
||||||||
Money market
|
452,198
|
2.29
|
%
|
428,941
|
0.80
|
%
|
||||||||||
Savings
|
89,035
|
0.03
|
%
|
115,880
|
0.03
|
%
|
||||||||||
Time deposits
|
238,076
|
3.66
|
%
|
148,563
|
1.47
|
%
|
||||||||||
Total interest bearing
|
873,743
|
2.19
|
%
|
763,638
|
0.74
|
%
|
||||||||||
Demand
|
344,098
|
421,779
|
||||||||||||||
Total deposits
|
$
|
1,217,841
|
$
|
1,185,417
|
As of March 31,
|
||||
(dollars in thousands)
|
2024
|
|||
Maturing in:
|
||||
Within 3 months
|
$
|
21,969
|
||
4 through 6 months
|
23,644
|
|||
7 through 12 months
|
16,973
|
|||
Greater than 12 months
|
9,936
|
|||
$
|
72,522
|
(dollars in thousands)
|
2024
Regulatory
Minimums
|
March 31, 2024
|
2023
Regulatory
Minimums
|
|
December 31, 2023
|
|||||||||||
Common Equity Tier 1 Capital to Risk-Weighted Assets
|
4.500
|
%
|
11.72
|
%
|
4.500
|
%
|
11.45
|
%
|
||||||||
Tier 1 Capital to Risk-Weighted Assets
|
6.000
|
%
|
11.72
|
%
|
6.000
|
%
|
11.45
|
%
|
||||||||
Total Capital to Risk-Weighted Assets
|
8.000
|
%
|
12.73
|
%
|
8.000
|
%
|
12.46
|
%
|
||||||||
Tier 1 Leverage to Average Assets
|
4.000
|
%
|
9.76
|
%
|
4.000
|
%
|
9.46
|
%
|
||||||||
Risk-Weighted Assets
|
$
|
1,205,523
|
$
|
1,222,320
|
March 31,
2024
|
||||||||||||
(dollars in thousands)
|
Total
|
In Use
|
Available
|
|||||||||
Sources:
|
||||||||||||
Federal funds lines of credit
|
$
|
90,000
|
$
|
-
|
$
|
90,000
|
||||||
Federal Home Loan Bank advances
|
431,281
|
(69,450
|
)
|
361,831
|
||||||||
Federal funds sold & balances at the Federal Reserve
|
76,408
|
-
|
76,408
|
|||||||||
Securities, available for sale and unpledged at fair value
|
114,859
|
-
|
114,859
|
|||||||||
Total funding sources
|
$
|
712,548
|
$
|
(69,450
|
)
|
$
|
643,098
|
|||||
Uses: (1)
|
||||||||||||
Unfunded loan commitments and lending lines of credit
|
$
|
87,727
|
||||||||||
Letters of credit
|
262
|
|||||||||||
Total potential short-term funding uses
|
$
|
87,989
|
||||||||||
Liquidity coverage ratio
|
730.9
|
%
|
|
Three Months Ended
|
|||||||||||
(dollar in thousands, except share and per share data)
|
March 31, 2024
|
December 31, 2023 |
March 31, 2023
|
|||||||||
Fully Taxable Equivalent Net Interest Income
|
||||||||||||
Net interest income (GAAP)
|
$
|
11,540
|
$ | 11,861 |
$
|
12,813
|
||||||
FTE adjustment
|
37
|
38 |
57
|
|||||||||
Net interest income (FTE) (non-GAAP)
|
$
|
11,577
|
$ |
11,899 |
$
|
12,870
|
||||||
Noninterest income (GAAP)
|
3,222
|
3,493 |
3,421
|
|||||||||
Total revenue (FTE) (non-GAAP)
|
$
|
14,799
|
$ |
15,392 |
$
|
16,291
|
||||||
Noninterest expense (GAAP)
|
12,703
|
12,211 |
12,168
|
|||||||||
|
||||||||||||
Average earning assets
|
$
|
1,342,081
|
$ |
1,365,072 |
$
|
1,291,181
|
||||||
Net interest margin
|
3.45
|
%
|
3.45 | % |
4.02
|
%
|
||||||
Net interest margin (FTE) (non-GAAP)
|
3.46
|
%
|
3.46 | % |
4.04
|
%
|
||||||
|
||||||||||||
Efficiency ratio
|
86.05
|
%
|
79.53 | % |
74.95
|
%
|
||||||
Efficiency ratio (FTE) (non-GAAP)
|
85.83
|
%
|
79.34 | % |
74.69
|
%
|
||||||
|
||||||||||||
Tangible Book Value Per Share
|
||||||||||||
Total Stockholders Equity (GAAP)
|
$
|
107,630
|
$ |
106,778 |
$
|
102,598
|
||||||
Less goodwill
|
1,650
|
1,650 |
1,650
|
|||||||||
Less core deposit intangible
|
176
|
187 |
220
|
|||||||||
Tangible Stockholders Equity (non-GAAP)
|
$
|
105,804
|
$ |
104,941 |
$
|
100,728
|
||||||
|
||||||||||||
Shares issued and outstanding, including nonvested restricted stock
|
5,040,391
|
5,040,095 |
5,000,331
|
|||||||||
|
||||||||||||
Book value per share
|
$
|
21.35
|
$ |
21.19 |
$
|
20.52
|
||||||
Tangible book value per share
|
$
|
20.99
|
$ | 20.82 |
$
|
20.14
|
|
• |
interest rates and yields, such as increases or volatility in short-term interest rates or yields on U.S. Treasury bonds and increase or volatility in U.S. Treasury bonds and increases or volatility in mortgage interest rates, and the
impacts on macroeconomic conditions, customer and client behavior, the Company’s funding costs, and the Company’s loan and securities portfolios;
|
|
• |
inflation and its impacts on economic growth and customer and client behavior;
|
|
• |
adverse developments in the financial services industry, such as the bank failures in 2023, responsive measures to mitigate and manage such developments, related supervisory and regulatory actions and costs, and related impacts on
customer and client behavior;
|
|
• |
the sufficiency of liquidity and regulatory capital;
|
|
• |
general economic and business conditions in the United States generally and particularly in the Company’s service area, including unemployment levels, supply chain disruptions, higher inflation, slowdowns in economic growth and the
impacts on customer and client behavior;
|
|
• |
conditions within the financial markets and in the banking industry, as well as the financial condition and capital adequacy of other participants in the banking industry, and the market reactions thereto;
|
|
• |
monetary and fiscal policies of the U.S. Government, including policies of the U.S. Department of the Treasury and the Federal Reserve, the effect of these policies on interest rates and business in our markets and any changes
associated with the current administration;
|
|
• |
conditions in the banking industry and the financial condition and capital adequacy of other participants in the banking industry, and market, supervisory and regulatory reactions thereto;
|
|
• |
the quality or composition of the loan or securities portfolios and changes therein;
|
|
• |
effectiveness of expense control initiatives;
|
|
• |
an insufficient ACL or volatility in the ACL resulting from the CECL methodology, either alone or as may be affected by inflation, changing interest rates, or other factors;
|
|
• |
the Company’s liquidity and capital positions;
|
|
• |
the value of securities held in the Company’s investment portfolios;
|
|
• |
deposit flows;
|
|
• |
the Company’s technology, efficiency, and other strategic initiatives;
|
|
• |
the legislative/regulatory climate, regulatory initiatives with respect to financial institutions, products and services, the Consumer Financial Protection Bureau (the CFPB) and the regulatory and enforcement activities of the CFPB;
|
|
• |
future levels of government defense spending particularly in the Company’s service areas;
|
|
• |
uncertainty over future federal spending or budget priorities, particularly in connection with the Department of Defense, on the Company’s service areas;
|
|
• |
the impact of changes in the political landscape and related policy changes, including monetary, regulatory and trade policies;
|
|
• |
the U.S. Government’s guarantee of repayment of student or small business loans purchased by the Company;
|
|
• |
potential claims, damages and fines related to litigation or government actions;
|
|
• |
demand for loan products and the impact of changes in demand on loan growth;
|
|
• |
changes in the volume and mix of interest-earning assets and interest-bearing liabilities;
|
|
• |
the effects of management’s investment strategy and strategy to manage the NIM;
|
|
• |
the level of net charge-offs on loans;
|
|
• |
performance of the Company’s dealer/indirect lending program;
|
|
• |
the strength of the Company’s counterparties;
|
|
• |
the Company’s ability to compete in the market for financial services and increased competition from both banks and non-banks, including fintech companies;
|
|
• |
demand for financial services in the Company’s market area;
|
|
• |
the Company’s ability to develop and maintain secure and reliable electronic systems;
|
|
• |
any interruption or breach of security in the Company’s information systems or those of the Company’s third-party vendors or their service providers;
|
|
• |
reliance on third parties for key services;
|
|
• |
cyber threats, attacks, or events;
|
|
• |
the impact of changes in the political landscape and related policy changes, including monetary, regulatory, and trade policies;
|
|
• |
the potential adverse effects of unusual and infrequently occurring events, such as weather-related disasters, terrorist acts, financial crises, political crises, war, and other geopolitical conflicts, such as the war between Russia
and Ukraine or in the Middle East, or public health events, and of governmental and societal responses thereto, on, among other things, the Company’s operations, liquidity, and credit quality;
|
|
• |
the use of inaccurate assumptions in management’s modeling systems;
|
|
• |
technological risks and developments;
|
|
• |
the commercial and residential real estate markets;
|
|
• |
the demand in the secondary residential mortgage loan markets;
|
|
• |
expansion of the Company’s product offerings;
|
|
• |
effectiveness of expense control initiatives;
|
|
• |
changes in management; and
|
|
• |
changes in accounting principles, standards, policies, guidelines and interpretations and elections made by the Company thereunder, and the related impact on the Company’s financial statements.
|
Item 3. |
Quantitative and Qualitative Disclosures About Market Risk.
|
Item 4. |
Controls and Procedures.
|
Item 1. |
Legal Proceedings.
|
Item 1A. |
Risk Factors.
|
Item 2. |
Unregistered Sales of Equity Securities and Use of Proceeds.
|
Item 3. |
Defaults Upon Senior Securities.
|
Item 4. |
Mine Safety Disclosures.
|
Item 5. |
Other Information.
|
Exhibit
No.
|
Description
|
Articles of Incorporation of Old Point Financial Corporation, as amended effective June 22, 2000 (incorporated by reference to Exhibit 3.1 to Form 10-K filed March 12, 2009)
|
|
Articles of Amendment to Articles of Incorporation of Old Point Financial Corporation, effective May 26, 2016 (incorporated by reference to Exhibit 3.1.1 to Form 8-K filed May 31, 2016)
|
|
Bylaws of Old Point Financial Corporation, as amended and restated August 9, 2016 (incorporated by reference to Exhibit 3.2 to Form 10-Q filed August 10, 2016)
|
|
Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
|
Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
|
Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
|
|
101
|
The following materials from Old Point Financial Corporation’s quarterly report on Form 10-Q for the quarter ended March 31, 2024, formatted in Inline XBRL, filed herewith: (i) Consolidated Balance Sheets
(unaudited for March 31, 2024), (ii) Consolidated Statements of Income (unaudited), (iii) Consolidated Statements of Comprehensive Income (unaudited), (iv) Consolidated Statements of Changes in Stockholders’ Equity (unaudited), (v)
Consolidated Statements of Cash Flows (unaudited), and (vi) Notes to Consolidated Financial Statements (unaudited)
|
104
|
The cover page from the Company’s Quarterly Report on Form 10-Q for the period ended March 31, 2024, formatted in Inline XBRL (included with Exhibit 101)
|
OLD POINT FINANCIAL CORPORATION
|
||
Date: May 14, 2024
|
/s/Robert F. Shuford, Jr.
|
|
Robert F. Shuford, Jr.
|
||
Chairman, President & Chief Executive Officer
|
||
(Principal Executive Officer)
|
||
Date: May 14, 2024
|
/s/Paul M. Pickett
|
|
Paul M. Pickett
|
||
Chief Financial Officer & Senior Vice President/Finance
|
||
(Principal Financial & Accounting Officer)
|
Date: May 14, 2024
|
/s/Robert F. Shuford, Jr.
|
|
Robert F. Shuford, Jr.
|
||
Chairman, President & Chief Executive Officer
|
Date: May 14, 2024
|
/s/Paul M. Pickett
|
|
Paul M. Pickett
|
||
Chief Financial Officer & Senior Vice President/Finance
|
(1) |
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
|
(2) |
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of and for the periods covered in the Report.
|
Date: May 14, 2024
|
/s/Robert F. Shuford, Jr.
|
|
Robert F. Shuford, Jr.
|
||
Chairman, President & Chief Executive Officer
|
||
Date: May 14, 2024
|
/s/Paul M. Pickett
|
|
Paul M. Pickett
|
||
Chief Financial Officer & Senior Vice President/Finance
|