Financial Performance - Consolidated net income for Q1 2025 increased by $2.0 million to $5.395 million compared to $3.435 million in Q1 2024, driven by higher net income across all business segments [131]. - Earnings per share for Q1 2025 rose to $1.66, up from $1.01 in Q1 2024, reflecting a significant increase in profitability [130]. - Annualized return on average equity improved to 9.35% in Q1 2025, compared to 6.33% in Q1 2024 [130]. - Total equity increased by $8.3 million to $235.3 million as of March 31, 2025, compared to $227.0 million at December 31, 2024 [134]. - The effective income tax rate increased to 17.3% in Q1 2025 from 14.1% in Q1 2024, mainly due to a lower share of income at the community banking segment [163]. - The Corporation's net tangible income attributable for the quarter ended March 31, 2025, was $5.430 million, compared to $3.466 million for the same period in 2024 [271]. Loan and Deposit Growth - Community banking segment loans grew by $27.6 million, or 7.6% annualized, while consumer finance segment loans decreased by $4.7 million, or 4.0% annualized [137]. - Average loans increased by $160.2 million to $1.95 billion in Q1 2025, with the community banking segment seeing a 12.7% increase, primarily driven by growth in construction and commercial real estate loans [149]. - Total loans increased to $1.94 billion as of March 31, 2025, up from $1.92 billion at December 31, 2024, representing a growth of approximately 0.7% [213]. - Deposits increased by $45.8 million to $2.22 billion during the first quarter of 2025, with noninterest-bearing demand deposits rising by $53.6 million [246]. Interest Income and Margin - Net interest income for Q1 2025 increased to $25.3 million, up from $23.4 million in Q1 2024, primarily due to a higher net interest margin and increased average earning assets [148]. - Consolidated annualized net interest margin was 4.16% for Q1 2025, up from 4.09% in Q1 2024 [137]. - The annualized net interest margin rose by 7 basis points to 4.16% in Q1 2025 compared to the same period in 2024, attributed to a change in the mix of earning assets and higher yields [148]. - The community banking segment's average loan yield increased by 17 basis points to 5.52% in Q1 2025, driven by a shift towards higher yielding loans [150]. Noninterest Income and Expenses - Total noninterest income increased by $81,000, or 1.1%, in Q1 2025, driven by higher mortgage loan production and increased service charges [158]. - Total noninterest expenses decreased by $91,000, or less than one percent, in Q1 2025 compared to Q1 2024, primarily due to fluctuations in deferred compensation liabilities and lower employee benefits from reduced headcount [161]. Credit Quality and Losses - The provision for credit losses in Q1 2025 was $2.9 million, slightly down from $3.0 million in Q1 2024, attributed to lower average loan balances and an increase in net charge-offs [188]. - The allowance for credit losses as of March 31, 2025, was $40.043 million, a slight decrease from $40.087 million at the end of 2024 [202]. - The consumer finance segment's net charge-offs increased due to higher delinquent loans and repossessions, indicating potential future increases in the provision for credit losses if loan performance deteriorates [189]. - The community banking segment recorded a provision for credit losses of $100,000 for Q1 2025, down from $500,000 in the same period of 2024, indicating improved credit quality [217]. Capital and Liquidity - The Corporation's total risk-based capital ratio was 14.1% as of March 31, 2025, exceeding the minimum requirement of 8.0% [263]. - The Bank's Tier 1 risk-based capital ratio was 12.4% as of March 31, 2025, well above the minimum requirement of 6.0% [263]. - The Corporation's liquid assets totaled $315.0 million as of March 31, 2025, up from $288.1 million at December 31, 2024 [251]. - The Corporation's capacity for borrowings decreased by $7.5 million from December 31, 2024, primarily due to fluctuations in loans pledged to the FHLB [251]. Shareholder Returns - The Board of Directors declared a quarterly cash dividend of $0.46 per share, representing a payout ratio of 27.7% of earnings for Q1 2025 [135]. - The Corporation authorized a share repurchase program of up to $5.0 million effective from January 1, 2025, through December 31, 2025 [267]. - The Corporation's capital resources are influenced by its share repurchase programs, which aim to enhance shareholder returns [267]. Interest Rate Risk Management - The Corporation utilizes interest rate swaps to manage interest rate risk, converting variable rates to fixed rates for certain capital notes [291]. - The mortgage banking segment mitigates interest rate risk by entering into forward sales contracts with investors at the time interest rates are locked for loans [292]. - The Asset/Liability Committee meets quarterly to maximize net interest income while managing interest rate risk [280].

Financial Performance - Consolidated net income for Q1 2025 was $5.4 million, up from $3.4 million in Q1 2024, representing a 58.8% increase[2] - Earnings per share increased to $1.66 in Q1 2025 from $1.01 in Q1 2024, reflecting a 64.4% rise[2] - The net income for the quarter ended March 31, 2025, was $5,395,000, compared to $3,435,000 for the same period in 2024, reflecting a year-over-year increase of approximately 57.1%[32] - Interest income for the quarter was $35,988,000, up from $32,708,000 in the prior year, indicating an increase of about 10.4%[32] - The company reported a net interest income of $25,298,000 for the quarter, compared to $23,443,000 in the same quarter of the previous year, reflecting an increase of approximately 7.9%[32] - Earnings per share (EPS) rose to $1.66, up from $1.01 in the same quarter last year, marking a significant increase of 64.4%[35] Loan and Deposit Growth - Community banking segment loans grew by $27.6 million, or 7.6% annualized, and $139.9 million, or 10.4% year-over-year[4] - Consumer finance segment loans decreased by $4.7 million, or 4.0% annualized, and $14.0 million, or 2.9% year-over-year[4] - Mortgage banking segment loan originations rose by $19.5 million, or 20.6%, to $113.8 million compared to Q1 2024[5] - Total loans reached $1,954,049 million, a 9.0% increase from $1,793,808 million in the previous year[34] - The total deposits as of March 31, 2025, were $2,216,654,000, up from $2,170,860,000 at the end of 2024, indicating a growth of about 2.1%[32] - Deposits increased by $45.8 million, or 8.4% annualized, and $128.7 million, or 6.2% year-over-year[4] Asset and Equity Growth - As of March 31, 2025, the total assets of C&F Financial Corporation were $2,612,530,000, an increase from $2,563,374,000 at December 31, 2024, representing a growth of approximately 1.9%[32] - Total consolidated equity increased by $8.3 million at March 31, 2025, compared to December 31, 2024[20] - Total equity as of March 31, 2025, was $235,271,000, an increase from $226,970,000 at the end of 2024, marking a growth of approximately 3.3%[32] - The tangible book value per share was reported at $64.39, while the book value per share was $72.51 as of March 31, 2025[23] Credit Quality and Losses - The allowance for credit losses was $22.5 million at March 31, 2025, representing 4.88% of total loans[14] - The provision for credit losses in the Community Banking segment was $100,000, down from $500,000 in the previous year, while the Consumer Finance segment's provision was $2,900,000, down from $3,000,000[32] - The allowance for credit losses (ACL) to total loans ratio was 1.18% as of March 31, 2025, slightly down from 1.20% a year prior[35] - Nonaccrual loans to total loans ratio increased to 0.08% from 0.02%, indicating a rise in asset quality concerns[35] Dividends and Returns - The Corporation increased its quarterly cash dividend by 5% to $0.46 per share, with a payout ratio of 27.7%[19] - The annualized return on average equity improved to 9.35% in Q1 2025 from 6.33% in Q1 2024[2] - The annualized return on average assets improved to 0.84% from 0.57% year-over-year[35] - The total risk-based capital ratio for C&F Financial Corporation remained stable at 14.1% as of March 31, 2025, consistent with the previous quarter[37] - The price to earnings ratio (ttm) decreased to 11.16 from 11.86, indicating a slight decline in market valuation relative to earnings[37] Company Overview - C&F Financial Corporation operates 31 banking offices and four commercial loan offices, providing a range of financial services across eastern and central Virginia[24] - C&F Financial Corporation emphasizes the use of non-GAAP financial measures to provide a clearer picture of its operating performance, including adjusted net income and adjusted return on average equity[26]

Core Viewpoint - C&F Financial Corporation reported a consolidated net income of $5.4 million for Q1 2025, a significant increase from $3.4 million in Q1 2024, driven by growth in various business segments and improved efficiency [1][2]. Financial Performance Highlights - Consolidated net income increased to $5.4 million in Q1 2025 from $3.4 million in Q1 2024 [1]. - Earnings per share rose to $1.66 from $1.01 year-over-year [1]. - Annualized return on average equity improved to 9.35% from 6.33% [1]. - Annualized return on average tangible common equity increased to 10.65% from 7.30% [1]. - Annualized return on average assets rose to 0.84% from 0.57% [1]. Segment Performance Community Banking Segment - Net income for the community banking segment was $5.4 million in Q1 2025, up from $4.0 million in Q1 2024 [3]. - Loans in the community banking segment grew by $27.6 million, or 7.6% annualized, compared to Q4 2024 [3]. - Deposits increased by $45.8 million, or 8.4% annualized, compared to Q4 2024 [3]. - The annualized net interest margin for the community banking segment was 4.16% in Q1 2025, slightly up from 4.09% in Q1 2024 [3]. Mortgage Banking Segment - The mortgage banking segment reported net income of $431,000 for Q1 2025, compared to $294,000 in Q1 2024 [7]. - Mortgage loan originations increased by $19.5 million, or 20.6%, to $113.8 million in Q1 2025 compared to Q1 2024 [7]. - Loan originations decreased by $16.7 million, or 12.8%, compared to Q4 2024 [7]. Consumer Finance Segment - The consumer finance segment reported net income of $226,000 for Q1 2025, compared to a net loss of $63,000 in Q1 2024 [11]. - Average loans decreased by $8.3 million, or 1.8%, compared to Q1 2024 [11]. - The allowance for credit losses was $22.5 million at March 31, 2025, compared to $22.7 million at December 31, 2024 [12]. Liquidity and Capital Management - As of March 31, 2025, the Corporation's uninsured deposits were approximately $644.4 million, or 29.1% of total deposits [13]. - Total equity increased by $8.3 million at March 31, 2025, compared to December 31, 2024, primarily due to net income and lower unrealized losses in securities [18]. - The Corporation's total risk-based capital ratio was 14.1% as of March 31, 2025, exceeding the minimum requirement of 8.0% [36]. Dividend and Stock Repurchase - The Corporation increased its quarterly cash dividend by 5% to $0.46 per share, representing a payout ratio of 27.7% of earnings per share for Q1 2025 [16]. - No repurchases of common stock were made under the 2025 Repurchase Program during Q1 2025 [20].

Financial Performance - Consolidated net income for 2024 was $19.9 million, down from $23.7 million in 2023, with earnings per share decreasing from $6.92 to $6.01[222] - Adjusted net income for 2024 was $20.0 million, compared to $23.7 million in 2023[222] - Community banking segment net income for the year ended December 31, 2024, was $20.3 million, a decrease from $22.9 million in 2023[280] - The consumer finance segment reported net income of $1.4 million for the year ended December 31, 2024, down from $2.9 million in 2023, primarily due to higher provision for credit losses[300] - Mortgage banking segment net income increased to $1.1 million for the year ended December 31, 2024, from $465,000 in 2023[288] Loan Growth - Total loans increased to $1,885,643 thousand in 2024, up from $1,713,626 thousand in 2023, reflecting a growth of approximately 10%[249] - Community banking segment loans grew by $180.0 million, or 14.1%, to $1.5 billion at December 31, 2024, compared to $1.3 billion at December 31, 2023[282] - Average loans increased by $172.0 million to $1.89 billion in 2024, with community banking segment loans rising by $164.0 million, or 13.5%[257] - The average loans for the commercial segment were $1,010,121 thousand in 2024, an increase from $879,608 thousand in 2023, representing a growth of 14.8%[320] - Total loans held for investment reached $1.88 billion, with loans held for sale valued at $20.1 million as of December 31, 2024[360] Credit Loss Provisions - The consumer finance segment provision for credit losses increased to $11.6 million from $6.7 million[228] - The provision for credit losses on loans was $13,100 thousand for the year ended December 31, 2024, compared to $8,126 thousand in 2023, indicating a significant increase of 61.5%[334] - The provision for credit losses in the community banking segment was $1.7 million for 2024, compared to $1.6 million in 2023, reflecting growth in the loan portfolio[283] - Management believes the allowance for credit losses is adequate, but further deterioration in loan performance may lead to increased provisions in the future[302] - The total allowance for credit losses increased to $40,087 thousand as of December 31, 2024, up from $39,651 thousand in 2023, reflecting a provision charged to operations of $13,100 thousand[320] Interest Income and Margin - The net interest income for the year ended December 31, 2024, was $97,922 thousand, compared to $98,671 thousand in 2023, indicating a slight decrease[249] - The consolidated net interest margin decreased to 4.12% from 4.31%[228] - The yield on total loans for 2024 was 6.75%, an increase from 6.49% in 2023[249] - The average yield on interest-bearing deposits increased by 99 basis points to 2.42% for 2024, compared to 1.43% in 2023[262] - Net interest income after provision for credit losses for the consumer finance segment was $14.4 million in 2024, down from $17.8 million in 2023[298] Asset and Equity Growth - Total equity increased to $227.0 million at December 31, 2024, compared to $217.5 million at December 31, 2023[226] - The corporation's total assets reached $2,494,496 thousand in 2024, an increase from $2,393,497 thousand in 2023, indicating overall growth[249] - Total assets increased to $2.56 billion as of December 31, 2024, compared to $2.44 billion in 2023, primarily due to growth in loans held for investment[359] - The average balance of total earning assets increased to $2,378,506 thousand in 2024 from $2,285,878 thousand in 2023, marking a growth of approximately 4%[249] - The average balance of interest-bearing deposits rose to $1,572,128 thousand in 2024, compared to $1,422,529 thousand in 2023, representing an increase of about 10.5%[249] Noninterest Income and Expenses - Total noninterest income increased by $923,000, or 3.1%, for 2024, driven by higher wealth management services income and mortgage loan production[267] - Total noninterest expense rose by $47,000, or less than 1%, for 2024, attributed to higher professional fees and data processing expenses[273] - Noninterest income for the consumer finance segment was $1.0 million in 2024, slightly up from $962,000 in 2023[298] - Noninterest expenses for the community banking segment totaled $62.9 million for 2024, compared to $60.8 million in 2023[279] - Total noninterest expenses decreased to $13.5 million in 2024 from $14.8 million in 2023, reflecting efforts to reduce overhead costs[298] Regulatory and Economic Environment - Economic and regulatory uncertainties are expected to continue in 2025, impacting interest rate movements and overall business performance[235] - The corporation's credit policy emphasizes maintaining acceptable asset quality alongside loan growth, with a focus on risk management and underwriting standards[367] - The maximum loan-to-value ratio for commercial real estate loans is typically 80%, with exceptions for strong borrowers[370] Deposits and Borrowings - Deposits increased by $104.7 million to $2.17 billion at December 31, 2024, compared to $2.07 billion at December 31, 2023[403] - Borrowings increased to $122.6 million at December 31, 2024, up from $109.5 million at December 31, 2023, primarily due to higher long-term borrowings from the FHLB[410] - The average balance of certificates of deposit increased to $767.7 million in 2024, with an average rate of 4.10%[406] - The corporation had $25.0 million in brokered deposits outstanding at both December 31, 2024, and December 31, 2023[405] - The total contract amount of standby letters of credit rose to $18.8 million at December 31, 2024, from $7.9 million at December 31, 2023, reflecting a significant increase of 137.9%[414]

Core Points - C&F Financial Corporation has declared a regular cash dividend of 46 cents per share, which is a 5 percent increase from the previous quarter's dividend of 44 cents per share [1] - The dividend is payable on April 1, 2025, to shareholders of record on March 14, 2025 [1] - The Board of Directors regularly reviews the cash dividends per share and the dividend payout ratio based on economic conditions, capital requirements, and expected future earnings [2] Company Overview - C&F Bank operates 31 banking offices and four commercial loan offices in eastern and central Virginia, offering full wealth management services through its subsidiary C&F Wealth Management, Inc. [3] - C&F Mortgage Corporation and its subsidiary C&F Select LLC provide mortgage loan origination services in Virginia and surrounding states [3] - C&F Finance Company is a regional finance company that purchases automobile, marine, and recreational vehicle loans primarily in the Mid-Atlantic, Midwest, and Southern United States [3]

Core Viewpoint - C&F Financial Corporation has declared a regular cash dividend of 46 cents per share, marking a 5 percent increase from the previous quarter's dividend of 44 cents per share, with payment scheduled for April 1, 2025 [1]. Group 1: Dividend Information - The board of directors has approved a cash dividend of 46 cents per share, payable on April 1, 2025, to shareholders of record on March 14, 2025 [1]. - This dividend reflects a 5 percent increase compared to the prior quarter's dividend of 44 cents per share [1]. Group 2: Company Overview - C&F Bank operates 31 banking offices and four commercial loan offices across eastern and central Virginia, providing full wealth management services through its subsidiary, C&F Wealth Management, Inc. [2]. - C&F Mortgage Corporation and its subsidiary, C&F Select LLC, offer mortgage loan origination services in Virginia and surrounding states [2]. - C&F Finance Company specializes in purchasing automobile, marine, and recreational vehicle loans primarily in the Mid-Atlantic, Midwest, and Southern United States from its headquarters in Henrico, Virginia [2].

Financial Performance - Consolidated net income for Q4 2024 was $6.0 million, up from $5.1 million in Q4 2023, while annual net income decreased to $19.9 million from $23.7 million year-over-year[2]. - Net income for the year ended December 31, 2024, was $19.9 million, compared to $23.7 million for the previous year, reflecting a decrease in earnings[33]. - The net income attributable to C&F Financial Corporation for the year ended December 31, 2024, was $19,834 million, down from $23,604 million in 2023, indicating a decrease of 16.06%[37]. - Net income for the year ended December 31, 2024, was $19.918 million, a decrease of 16.5% compared to $23.746 million in 2023[42]. Loan and Deposit Growth - Community banking segment loans grew by $21.5 million (6.0% annualized) in Q4 2024 and $180.0 million (14.1%) compared to Q4 2023[4]. - Consumer finance segment loans decreased by $10.5 million (8.8% annualized) in Q4 2024 and $1.7 million (less than 1%) compared to Q4 2023[4]. - Mortgage banking segment loan originations increased by $32.2 million (32.8%) to $130.4 million in Q4 2024 compared to Q4 2023[9]. - Deposits increased by $35.0 million (6.6% annualized) in Q4 2024 and $104.7 million (5.1%) compared to Q4 2023[4]. - Total loans reached $1,942,685 million, a 10.95% increase from $1,751,061 million in the previous year[34]. - The total interest-bearing deposits rose to $1,617,807 million, an increase of 9.93% from $1,471,133 million in the previous year[34]. Interest Income and Margin - Interest income for the year ended December 31, 2024, was $139.6 million, up from $124.1 million in 2023, driven by higher loan yields[33]. - Consolidated annualized net interest margin was 4.13% for Q4 2024, down from 4.17% in Q4 2023[4]. - Net interest income for the quarter ended December 31, 2024, was $25,388 million, compared to $24,211 million for the same period in 2023, reflecting an increase of 4.86%[34]. - Net interest income for the year ended December 31, 2024, was $96.775 million, slightly down from $97.707 million in 2023[44]. Credit Quality - Consumer finance segment net charge-offs were at an annualized rate of 3.40% of average total loans for Q4 2024, up from 2.72% in Q4 2023[6]. - The allowance for credit losses in the consumer finance segment decreased to $22.7 million (4.86% of total loans) at December 31, 2024, down from $23.6 million (5.03%) at December 31, 2023[14]. - The community banking segment recorded no provision for credit losses for Q4 2024, compared to $75,000 for Q4 2023[8]. - The allowance for credit losses (ACL) for the Community Banking segment was $17,379 million, up from $16,072 million a year earlier, reflecting a rise of 8.12%[37]. - The total nonaccrual loans to total loans ratio improved to 0.02% as of December 31, 2024, compared to 0.03% in the previous year[37]. Capital and Equity - Total consolidated equity increased by $9.5 million at December 31, 2024, compared to December 31, 2023, due to net income and lower unrealized losses in securities[20]. - As of December 31, 2024, C&F Bank was categorized as well capitalized under regulatory requirements, exceeding all necessary capital ratios[21]. - The book value per share was $70.00, and the tangible book value per share was $61.86 as of December 31, 2024[23]. - The total risk-based capital ratio for C&F Financial Corporation decreased to 14.1% in 2024 from 14.8% in 2023[40]. - The Tier 1 risk-based capital ratio for C&F Bank decreased to 12.3% in 2024 from 12.9% in 2023[40]. - Book value per share increased to $70.00 in 2024 from $64.28 in 2023, marking a rise of 8.4%[45]. - Tangible book value per share rose to $61.86 in 2024 from $56.40 in 2023, an increase of 9.4%[45]. Shareholder Returns - Cash dividends declared during the year ended December 31, 2024, totaled $1.76 per share, representing a payout ratio of 23.5% for Q4 2024 and 29.3% for the year[18]. - The Corporation repurchased 160,694 shares, or $7.9 million, of its common stock under the 2024 Repurchase Program[22]. - Market value per share increased to $71.25 in 2024 from $68.19 in 2023, representing an increase of 3.1%[40]. Asset Growth - The Corporation's total assets increased to $2.56 billion at December 31, 2024, from $2.44 billion at December 31, 2023[33]. - Total assets increased to $2,560,964 million as of December 31, 2024, up from $2,405,444 million a year earlier, representing a growth of 6.44%[34].

Core Insights - C&F Financial Corporation reported a consolidated net income of $6.0 million for Q4 2024, an increase from $5.1 million in Q4 2023, but a decrease in annual net income to $19.9 million from $23.7 million in 2023 [1][2] Financial Performance Highlights - Consolidated net income for Q4 2024 was $6,029,000 compared to $5,088,000 in Q4 2023, while annual net income was $19,918,000 versus $23,746,000 in 2023 [1] - Earnings per share increased to $1.87 for Q4 2024 from $1.50 in Q4 2023, but decreased for the year to $6.01 from $6.92 [1] - Annualized return on average equity improved to 10.60% in Q4 2024 from 10.06% in Q4 2023, while the annualized return on average tangible common equity rose to 12.17% from 11.74% [1] Segment Performance - Community banking segment loans grew by $21.5 million (6.0% annualized) in Q4 2024 and $180.0 million (14.1%) year-over-year [3] - Consumer finance segment loans decreased by $10.5 million (8.8% annualized) in Q4 2024 and $1.7 million (less than 1%) year-over-year [3] - Mortgage banking segment loan originations increased by $32.2 million (32.8%) in Q4 2024 compared to Q4 2023, totaling $130.4 million [4] Interest Margin and Efficiency - Consolidated annualized net interest margin was 4.13% for Q4 2024, down from 4.17% in Q4 2023, and 4.12% for the year compared to 4.31% in 2023 [3] - The community banking segment recorded no provision for credit losses in Q4 2024, compared to $75,000 in Q4 2023 [3][7] Credit Quality and Allowance for Losses - The allowance for credit losses increased to $17.4 million at December 31, 2024, from $16.1 million at the end of 2023, with the allowance as a percentage of total loans decreasing to 1.20% from 1.26% [7] - Consumer finance segment net charge-offs increased to an annualized rate of 3.40% of average total loans in Q4 2024, up from 2.72% in Q4 2023 [3][12] Liquidity and Capital Management - As of December 31, 2024, the Corporation's uninsured deposits were approximately $640.2 million, or 29.5% of total deposits [17] - Total equity increased by $9.5 million at December 31, 2024, primarily due to net income and lower unrealized losses in the market value of securities [21] Dividend and Stock Repurchase - The Corporation declared cash dividends totaling $1.76 per share for the year ended December 31, 2024, with a payout ratio of 29.3% [20] - Under the 2024 Repurchase Program, the Corporation repurchased 160,694 shares for $7.9 million during the year [24]

Core Insights - C&F Financial Corporation reported a consolidated net income of $6.0 million for Q4 2024, an increase from $5.1 million in Q4 2023, but a decrease in annual net income to $19.9 million from $23.7 million in 2023 [1][2] Financial Performance Highlights - Consolidated net income for Q4 2024 was $6,029,000 compared to $5,088,000 in Q4 2023, while annual net income was $19,918,000 versus $23,746,000 in 2023 [1] - Earnings per share increased to $1.87 for Q4 2024 from $1.50 in Q4 2023, but decreased for the year to $6.01 from $6.92 [1] - Annualized return on average equity improved to 10.60% in Q4 2024 from 10.06% in Q4 2023, while the annualized return on average tangible common equity rose to 12.17% from 11.74% [1] Segment Performance - Community banking segment loans grew by $21.5 million (6.0% annualized) in Q4 2024 and $180.0 million (14.1%) year-over-year [3] - Consumer finance segment loans decreased by $10.5 million (8.8% annualized) in Q4 2024, but only slightly by $1.7 million (less than 1%) year-over-year [3] - Mortgage banking segment loan originations increased by $32.2 million (32.8%) in Q4 2024 compared to Q4 2023, totaling $130.4 million [4][10] Interest Margin and Efficiency - Consolidated annualized net interest margin was 4.13% for Q4 2024, stable compared to Q4 2023 [3] - The community banking segment reported no provision for credit losses in Q4 2024, compared to $75,000 in Q4 2023 [3][7] - The consumer finance segment recorded a provision for credit losses of $3.5 million in Q4 2024, up from $2.4 million in Q4 2023 [3][12] Liquidity and Capital Management - As of December 31, 2024, the Corporation's uninsured deposits were approximately $640.2 million, representing 29.5% of total deposits [17] - Total equity increased by $9.5 million from December 31, 2023, primarily due to net income and lower unrealized losses in securities [21] - The Corporation declared cash dividends totaling $1.76 per share for the year ended December 31, 2024, with a payout ratio of 29.3% [20] Stock Repurchase Program - The Corporation repurchased 11,100 shares for $679,000 in Q4 2024 and 160,694 shares for $7.9 million for the year under the 2024 Repurchase Program [24]

Financial Performance - Consolidated net income for the third quarter of 2024 was $5.420 million, a decrease of $357,000 compared to the same period in 2023[142]. - The annualized return on average equity was 9.74% for the third quarter of 2024, down from 11.28% in the same quarter of 2023[141]. - The Corporation's net tangible income attributable for the three months ended September 30, 2024, is $5,455,000, compared to $5,857,000 for the same period in 2023[268]. - Annualized return on average tangible common equity is 11.16% for the three months ended September 30, 2024, down from 13.19% in 2023[268]. - Net interest income for the three months ended September 30, 2024, is $24,689,000, slightly up from $24,462,000 in 2023[271]. - Total interest income for the three months ended September 30, 2024, is $36,131,000, an increase from $31,686,000 in 2023[271]. Loan and Deposit Growth - Community banking segment loans grew by $158.5 million, or 16.6% annualized, compared to December 31, 2023[144]. - Consumer finance segment loans increased by $8.8 million, or 2.5% annualized, compared to December 31, 2023[144]. - Total loans reached $1,932,693,000, an increase of 11.84% compared to $1,727,812,000 in the previous period[154]. - Total deposits increased by $69.8 million to $2.14 billion as of September 30, 2024, with time deposits rising by $137.6 million[249]. - The consumer finance segment's total loans increased to $477,300,000 at September 30, 2024, from $468,510,000 at December 31, 2023[225]. Credit Losses and Provisions - The community banking segment recorded a provision for credit losses of $700,000 for the third quarter of 2024, compared to $500,000 for the same period in 2023[144]. - The provision for credit losses was $700,000 for Q3 2024, up from $500,000 in Q3 2023, reflecting growth in the loan portfolio[179]. - The provision for credit losses in the consumer finance segment increased to $3.00 million in Q3 2024 from $1.55 million in Q3 2023, reflecting increased net charge-offs and loan growth[192]. - Total loans charged off for the nine months ended September 30, 2024, amounted to $12,000,000, compared to $9,562,000 for the same period in 2023, indicating an increase in loan defaults[212]. - The allowance for credit losses was $40,879,000, slightly down from $41,014,000, indicating a decrease of 0.33%[154]. Noninterest Income and Expenses - Total noninterest income increased by $2.6 million, or 41.2%, for the third quarter of 2024 compared to the same period in 2023[168]. - Noninterest expenses increased by $1.6 million, or 7.3%, in Q3 2024 compared to Q3 2023, primarily due to higher occupancy and data processing expenses[172]. - Gains on sales of loans increased to $1,825,000 in Q3 2024 from $1,220,000 in Q3 2023, while total noninterest income rose to $8,772,000 from $6,214,000 year-over-year[170]. Capital and Equity - Total equity increased to $228.0 million at September 30, 2024, compared to $217.5 million at December 31, 2023[145]. - The Corporation declared a quarterly cash dividend of $0.44 per share during the third quarter of 2024, representing a payout ratio of 26.7%[147]. - The Corporation's total risk-based capital ratio was 13.8% as of September 30, 2024, exceeding the minimum requirement of 8.0%[261]. - Common Equity Tier 1 capital ratio is 11.3%, surpassing the minimum requirement of 4.5%[263]. Interest Rate Management - The Corporation employs interest rate swaps to manage exposure to interest rate risk, converting variable rates to fixed rates for certain capital notes[290]. - The Corporation's liquidity management focuses on maintaining stable core deposits and a strong capital position to meet liquidity requirements[279]. - The Corporation's current interest rate exposure is deemed manageable, with no significant exposure to interest rate changes[292]. - The Corporation's simulation analysis indicates a greater sensitivity to upward shifts in interest rates compared to downward shifts as of September 30, 2024[284]. Asset and Securities Management - Total assets increased to $2,526,720,000, up from $2,400,593,000, reflecting a growth of approximately 5.25%[154]. - Securities available for sale decreased by $53.4 million to $409.0 million at September 30, 2024, primarily due to declines in U.S. Treasury and government agency securities[243]. - The net unrealized losses in the market value of securities available for sale decreased to $21.7 million at September 30, 2024, compared to $31.6 million at December 31, 2023[243].