Financial Performance - Net income for the three months ended September 30, 2024, was $447,000, up $296,000, or 196.0%, compared to the same period in 2023[116]. - The company reported a net loss of $3.7 million for the nine months ended September 30, 2024, compared to net income of $219,000 for the same period in 2023[116]. - For the three months ended September 30, 2024, the company reported net income of $447,000, compared to $151,000 for the same period in 2023[149]. - For the nine months ended September 30, 2024, the Company reported a net loss of $3.7 million, compared to net income of $219,000 for the same period in 2023[163]. - The Company reported an income tax benefit of $1.0 million for the nine months ended September 30, 2024, compared to an income tax expense of $2,000 for the same period in 2023[175]. Asset and Loan Growth - Total assets increased by $9.7 million, or 3.6%, to $280.6 million at September 30, 2024, from $270.9 million at December 31, 2023[116]. - Loans increased by $21.0 million, or 14.5%, to $165.9 million at September 30, 2024, compared to December 31, 2023[116]. - Total loans at the end of the period were $165,882,000, an increase from $135,672,000 at December 31, 2023[127]. - Total loans composition showed a significant increase in construction and land loans by $16.5 million, or 118.7%, to $30.3 million at September 30, 2024[123]. Non-Performing Assets - Non-performing assets decreased by $440,000, or 21.5%, to $1.6 million at September 30, 2024, from December 31, 2023[116]. - Total non-performing loans decreased to 1,438, down from 1,991 at December 31, 2023[129]. Revenue and Income Sources - Total commercial real estate revenue increased by $1,226,000, or 5.7%, to $22,704,000 compared to $21,478,000 in the previous period[124]. - Multi-family residential revenue surged by $6,947,000, or 494.1%, reaching $8,353,000, up from $1,406,000[124]. - Total construction and land revenue rose by $16,453,000, or 118.7%, totaling $30,310,000 compared to $13,857,000[124]. - Oilfield services revenue increased by $7,756,000, or 124.0%, to $14,010,000 from $6,254,000[124]. Interest Income and Expense - Net interest income for the three months ended September 30, 2024, was $2.5 million, up $584,000, or 30.0%, compared to the same period in 2023[116]. - Total interest income rose by $1.2 million, or 48.7%, to $3.7 million for the three months ended September 30, 2024[150]. - Total interest income increased by $3.3 million, or 46.7%, to $10.4 million for the nine months ended September 30, 2024[166]. - Total interest expense increased by $618,000, or 118.6%, to $1.1 million for the three months ended September 30, 2024[154]. - Total interest expense increased by $2.0 million, or 152.7%, to $3.3 million for the nine months ended September 30, 2024[170]. Non-Interest Income and Expenses - Non-interest income totaled $620,000, up $314,000, or 102.6%, compared to the same period in 2023[157]. - Non-interest expense for the three months ended September 30, 2024, was $2.3 million, up $179,000, or 8.6%, compared to the same period in 2023[116]. - Non-interest expense totaled $7.1 million for the nine months ended September 30, 2024, up $662,000, or 10.3%, compared to the same period in 2023[174]. - Non-interest income decreased by $5.1 million for the nine months ended September 30, 2024, primarily due to a $5.5 million loss on the sales of investment securities[173]. Deposits and Borrowings - Deposits increased by $1.8 million, or 1.1%, to $167.4 million at September 30, 2024, compared to December 31, 2023[116]. - Total deposits reached $167.436 million, reflecting a 1.1% increase from $165.622 million as of December 31, 2023[136]. - Total borrowings increased to $29.5 million, up $10.1 million from December 31, 2023, with a $20.0 million BTFP advance at a 4.76% interest rate[139]. Equity and Share Repurchase - Shareholders' equity totaled $81.7 million, representing 29.1% of total assets, down from $84.6 million or 31.2% at December 31, 2023[141]. - The company repurchased 362,199 shares at an average cost of $11.98 per share during the nine months ended September 30, 2024[142]. Liquidity - As of September 30, 2024, the Company had total unused and available liquidity of $71.7 million[182].

Financial Performance - Net income for the third quarter of 2024 was $447,000, down $80,000 from $527,000 in the second quarter of 2024[1]. - Net income for Q3 2024 was $447,000, compared to a net income of $151,000 in Q3 2023, indicating a year-over-year increase of 195.4%[28]. - Net interest income for the third quarter of 2024 was $2.5 million, up $84,000, or 3%, compared to the second quarter of 2024[15]. - Net interest income after provision for credit losses was $2,195,000 for Q3 2024, compared to $1,948,000 in Q3 2023, reflecting a 12.7% increase[26]. - Total non-interest income for Q3 2024 was $620,000, up from $306,000 in Q3 2023, marking a significant increase of 102.6%[28]. - Total non-interest expense for Q3 2024 was $2,260,000, slightly higher than $2,081,000 in Q3 2023, representing an increase of 8.6%[28]. Asset and Loan Growth - The loan portfolio grew by a record $12.6 million, or 8%, totaling $165.9 million at September 30, 2024[1][2]. - Loans receivable, net of unearned income, increased to $165.882 million as of September 30, 2024, compared to $153.266 million at June 30, 2024[24]. - Total loans as of September 30, 2024, were $161,410,000, an increase from $134,851,000 in the same period last year, reflecting a growth of 19.7%[28]. Deposits and Equity - Total deposits were $167.4 million, down $12.6 million, or 7%, from June 30, 2024[10]. - Total deposits decreased to $167.436 million as of September 30, 2024, from $180.065 million at June 30, 2024[24]. - Shareholders' equity increased to $81.667 million as of September 30, 2024, compared to $81.013 million at June 30, 2024[24]. - Total shareholders' equity increased to $81,307,000 as of September 30, 2024, compared to $80,965,000 at the end of Q2 2024[28]. Interest and Yield - The net interest margin for the third quarter of 2024 was 3.86%, an increase of 14 basis points from the prior quarter[15]. - The average yield on loans receivable was 6.70% for Q3 2024, up from 6.38% in Q2 2024[17]. - Total interest income for Q3 2024 was $3,671,000, an increase of 48.7% compared to $2,469,000 in Q3 2023[26]. - For Q3 2024, total interest-earning assets amounted to $261.069 million, generating net interest income of $2.532 million with an average yield of 2.94%[17]. Non-Performing Assets and Loan Losses - Non-performing assets (NPAs) decreased to $1.6 million, with a ratio of NPAs to total assets at 0.57%[5]. - Total non-performing loans decreased to $1,438,000, down from $1,600,000 in the previous quarter[31]. - The total non-performing loans to total loans ratio improved to 0.87%, compared to 1.04% in the prior quarter[31]. - The allowance for loan losses was $2.4 million, or 1.46% of total loans, compared to 1.45% in the previous quarter[6]. - The allowance for loan losses increased to $2,414,000 at the end of the period, up from $2,215,000 in the previous quarter[31]. - The provision for loan losses was $330,000 for the quarter, compared to a reversal of $62,000 in the prior quarter[31]. Operational Changes - The company upgraded to a new core processing system in Q1 2024, contributing to a significant rise in data processing expenses in Q3 2024[19]. - Non-interest expense for Q3 2024 totaled $2.3 million, up $192,000 or 9% compared to Q2 2024, driven by a 5% increase in salaries and a 72% rise in data processing expenses[19]. Company Overview - Catalyst Bancorp, Inc. operates six full-service branches in the Acadiana region of Louisiana, focusing on commercial and retail banking products[20].

Financial Position - Total assets increased by $24.4 million, or 9.0%, to $295.3 million at June 30, 2024, from $270.9 million at December 31, 2023[102] - Loans amounted to $153.3 million, or 51.9% of total assets, at June 30, 2024, up $8.3 million or 5.8% from December 31, 2023[96] - Non-performing assets decreased by $347,000, or 16.9%, to $1.7 million at June 30, 2024, from December 31, 2023[96] - Deposits rose by $14.4 million, or 8.7%, to $180.1 million at June 30, 2024, compared to December 31, 2023[96] - Investment securities decreased by $40.8 million, or 48.6%, to $43.2 million at June 30, 2024, from December 31, 2023[96] - Borrowings increased by $10.9 million, or 56.2%, to $30.3 million at June 30, 2024, compared to December 31, 2023[96] - Shareholders' equity decreased by $3.5 million, or 4.2%, to $81.0 million, representing 27.4% of total assets as of June 30, 2024[118] - Total uninsured deposits rose to approximately $52.7 million at June 30, 2024, up from $44.6 million at December 31, 2023[117] Income and Expenses - Net interest income for the three months ended June 30, 2024, was $2.4 million, up $574,000, or 30.6%, compared to the same period in 2023[96] - Non-interest expense for the three months ended June 30, 2024, was $2.1 million, down $123,000, or 5.6%, compared to the same period in 2023[96] - The company reported a net income of $527,000 for the three months ended June 30, 2024, but a net loss of $4.2 million for the six months ended June 30, 2024[96] - Total interest income rose by $1.2 million, or 51.8%, to $3.5 million for the three months ended June 30, 2024[128] - Total interest expense increased by $629,000, or 140.4%, to $1.1 million for the three months ended June 30, 2024[130] - Non-interest income totaled $366,000, up $49,000 or 15.5% compared to the same period in 2023[132] - Non-interest income for the six months ended June 30, 2024, was down $5.4 million compared to $611,000 for the same period in 2023[138] - Non-interest expense totaled $4.9 million for the six months ended June 30, 2024, up $483,000, or 11.0%, compared to the same period in 2023[138] Loan Performance - The allowance for loan losses was $2.2 million, or 1.45% of total loans, a slight decrease from 1.47% at December 31, 2023[105] - Total non-performing loans decreased to $1,600,000 from $1,991,000 at December 31, 2023[109] - The total provision for credit losses on loans was $194,000 for the six months ended June 30, 2024, compared to no provision for the same period in 2023[137] - The provision for credit losses was $99,000 for the three months ended June 30, 2024, compared to no provision in the same period of 2023[131] Revenue Growth - Total commercial real estate revenue increased by $1,593,000, or 7.4%, to $23,071,000 compared to $21,478,000 in December 2023[104] - Multi-family residential revenue surged by $4,282,000, or 304.6%, reaching $5,688,000, up from $1,406,000 in December 2023[104] - Total construction and land revenue rose by $6,570,000, or 47.4%, totaling $20,427,000 compared to $13,857,000 in December 2023[104] - Oilfield services revenue increased by $4,128,000, or 66.0%, to $10,382,000 from $6,254,000 in December 2023[104] Interest Rates and Yields - The average rate paid on interest-bearing deposits was 2.16% during the three months ended June 30, 2024, up 103 basis points compared to the same period in 2023[130] - The average rate paid on interest-bearing deposits was 2.14% during the six months ended June 30, 2024, up 121 basis points compared to the same period in 2023[136] - The average loan yield was 6.38% for the three months ended June 30, 2024, up from 5.09% for the same period in 2023[128] - The weighted average yield on mortgage-backed securities was 4.48% for the period[113] Liquidity and Capital Management - Total unused and available liquidity was $59.3 million as of June 30, 2024[144] - The company expects to retain the majority of maturing certificates of deposit, but may utilize borrowings or raise interest rates if a substantial portion is not retained[147]

Financial Performance - Catalyst Bancorp reported net income of $527,000 for Q2 2024, a significant recovery from a net loss of $4.7 million in Q1 2024[2]. - For Q2 2024, net interest income was $2.4 million, an increase of $355,000 or 17% compared to Q1 2024[39]. - Non-interest income for Q2 2024 totaled $366,000, up $5.5 million from Q1 2024, which included a $5.5 million loss on the sale of investment securities[28]. - Net income for the three months ended June 30, 2024, was $527,000, a turnaround from a loss of $4,689,000 in the previous quarter[47]. - Return on average assets improved to 0.74% for the three months ended June 30, 2024, compared to a negative return of (6.58)% in the previous quarter[47]. - Return on average equity was 2.62% for the three months ended June 30, 2024, compared to (22.81)% in the previous quarter, indicating a positive trend[47]. Loan and Deposit Growth - Total loans increased by $9.8 million, or 7%, to $153.3 million as of June 30, 2024, compared to March 31, 2024[16]. - Total deposits reached $180.1 million, an increase of $10.4 million, or 6%, from March 31, 2024[6]. - Commercial and industrial loans surged by $8.2 million, or 52%, to $23.9 million compared to the previous quarter[3]. - Loans receivable, net of unearned income, increased to $153,266,000 as of June 30, 2024, from $143,491,000 as of March 31, 2024[32]. - Total loans increased to $150,257,000 for the six months ended June 30, 2024, up from $144,428,000 in the previous period[47]. Asset Management - Total assets as of June 30, 2024, were $295,333,000, an increase from $282,049,000 as of March 31, 2024[32]. - Total investment securities amounted to $43.2 million, or 14.6% of total assets, reflecting a $4.2 million increase, or 10.8%, from March 31, 2024[21]. - Total assets slightly decreased to $285,773,000 as of June 30, 2024, from $286,708,000 in the previous quarter[47]. - Catalyst Bancorp, Inc. reported total assets of $295.3 million as of June 30, 2024[50]. Interest Income and Margin - The net interest margin for Q2 2024 was 3.72%, up 60 basis points from the prior quarter[9]. - The average yield on interest-earning assets increased to 5.35%, up 65 basis points from the prior quarter[9]. - Total interest income for the three months ended June 30, 2024, was $3,525,000, an increase of 11.7% from $3,155,000 for the previous quarter[46]. - Total interest income rose by $370,000 or 12%, while total interest expense increased by $15,000 or 1% in Q2 2024 compared to the previous quarter[39]. - The average yield on total interest-earning assets was 5.35% for Q2 2024, up from 4.70% in Q1 2024[1]. Non-Performing Assets - Non-performing assets totaled $1.7 million, with a ratio of NPAs to total assets at 0.58% as of June 30, 2024[19]. - Total non-performing loans amounted to $1,600,000, up from $1,482,000 in the previous quarter[49]. - The total non-performing loans to total loans ratio was 1.04% as of June 30, 2024, compared to 1.03% in the previous quarter[49]. - Total non-performing assets were $1,704,000, slightly down from $1,719,000 in the previous quarter[49]. Expenses and Shareholder Equity - Non-interest expense for Q2 2024 was $2.1 million, down $723,000 or 26% from Q1 2024[41]. - Total non-interest expense decreased to $2,068,000 for the three months ended June 30, 2024, down from $2,791,000 in the previous quarter, representing a 25.8% reduction[47]. - Total shareholders' equity was $80,965,000 as of June 30, 2024, down from $82,667,000 in the previous quarter[47]. - The allowance for loan losses was $2.2 million, representing 1.45% of total loans, slightly up from 1.44% in the previous quarter[4].

Financial Position - As of March 31, 2024, the carrying amount of cash and cash equivalents is $76,011,000, which approximates its fair value[94]. - Loans receivable, net, have a carrying amount of $141,423,000, with a fair value of $135,986,000, classified within Level 3 of the fair value hierarchy[94]. - The total deposits amount to $169,637,000, with a fair value of $168,812,000[94]. - The fair value of bank-owned life insurance is reported at $14,139,000, classified within Level 2 of the fair value hierarchy[94]. - The fair value of available-for-sale investment securities is $25,534,000, while held-to-maturity securities have a fair value of $11,127,000[94]. Corporate Structure - The company completed its conversion from mutual to stock form on October 12, 2021, acquiring all outstanding shares of common stock of the Bank[83]. Legal and Regulatory Matters - The company has no pending legal proceedings that would materially affect its financial condition as of March 31, 2024[184]. Internal Controls and Procedures - The company’s disclosure controls and procedures were deemed effective as of March 31, 2024, with no changes affecting internal control over financial reporting[183]. Forward-Looking Statements - The company emphasizes the importance of not placing undue reliance on forward-looking statements due to inherent uncertainties[99]. - The company’s financial estimates are subjective and based on judgments regarding future expected loss experience and current economic conditions[91].

Financial Performance - Catalyst Bancorp reported a net loss of $4.7 million for Q1 2024, including a $5.5 million loss on the sale of investment securities[1]. - Net income (loss) for the period was $(4,677,000), compared to a profit of $320,000 in the previous quarter and $73,000 in the same period last year[54]. - Non-interest expense increased by 32% to $2.8 million in Q1 2024, primarily due to a $560,000 upgrade to a new core processing system[39]. - Total non-interest income recorded a loss of $(5,163,000), a significant decline from a gain of $672,000 in the previous quarter and $294,000 in the same period last year[54]. - Total non-interest expense rose to $2,791,000, an increase of 31.5% from $2,122,000 in the previous quarter and 27.8% from $2,185,000 year-over-year[54]. - Return on average assets was (6.57)%, down from 0.49% in the previous quarter, indicating a decline in profitability[54]. - The efficiency ratio was reported at (91.37)%, compared to 80.61% in the previous quarter, reflecting increased operational costs[54]. Loan and Asset Management - Total loans amounted to $143.5 million, down $1.4 million, or less than 1%, from December 31, 2023[8]. - Loans receivable net of unearned income were $143.5 million, a slight decrease from $144.9 million at the end of 2023[51]. - Total loans increased to $144,428,000, up 2.4% from $140,757,000 in the previous quarter and 7.9% from $133,781,000 year-over-year[54]. - Non-performing assets decreased by $331,000, or 16.1%, to $1.7 million as of March 31, 2024, with a non-performing loans ratio of 1.03%[3]. - Non-performing loans totaled $1,482,000, a decrease from $1,991,000 in the previous quarter and $1,687,000 year-over-year, indicating improved credit quality[55]. - The allowance for loan losses was $2.1 million, or 1.44% of total loans, slightly down from 1.47% at the end of 2023[11]. - The allowance for credit losses at the end of the period was $2,378,000, slightly down from $2,381,000 in the previous quarter and up from $2,286,000 year-over-year[55]. Income and Interest Metrics - Net interest income for Q1 2024 was $2.1 million, an increase of $148,000, or 8%, compared to the previous quarter[20]. - Net interest income for the first quarter of 2024 was $2.1 million, with a net interest margin of 3.15% compared to 3.14% in the previous quarter[37]. - Net interest income after provision for credit losses was $2,013,000, a 9.9% increase from $1,832,000 in the previous quarter and a 2.4% increase from $1,966,000 year-over-year[52]. - Total interest income increased to $3,155,000 for the three months ended March 31, 2024, up 21.2% from $2,603,000 in the previous quarter and 39.1% from $2,267,000 in the same period last year[52]. - Total interest-earning assets amounted to $269.6 million, with an average yield of 4.71%, up from 4.17% in the previous quarter[37]. - The net interest margin for Q1 2024 was 3.15%, up one basis point from the prior quarter[36]. Deposits and Equity - Total deposits increased by $4.0 million, or 2%, to $169.6 million as of March 31, 2024[31]. - Total deposits increased to $169.6 million, compared to $165.6 million in the previous quarter[51]. - Total shareholders' equity decreased to $81.4 million from $84.7 million at the end of 2023[51]. Securities and Investments - The company sold $48.0 million of available-for-sale securities for a pre-tax loss of $5.5 million, generating $42.6 million in cash for reinvestment[30]. - Total investment securities decreased by $45.0 million, or 53.6%, to $39.0 million, representing 13.8% of total assets[30]. - Total assets of Catalyst Bancorp, Inc. reached $282.0 million as of March 31, 2024, an increase from $270.9 million at the end of 2023[40]. Operational Changes - The company announced a new share repurchase plan allowing the purchase of up to 227,000 shares, approximately 5% of outstanding shares[18]. - The company expects annual savings of over $200,000 from the new core processing system[39]. - Catalyst Bank operates six full-service branches in the Acadiana region, focusing on commercial and retail banking products[40].

Loan Portfolio - As of December 31, 2023, Catalyst Bancorp's total loan portfolio included $83.6 million in single-family residential mortgage loans, representing 57.7% of the total[24] - Total loans for one- to four-family residential properties amounted to $80,795,000 in 2023, a decrease from $83,623,000 in 2022, reflecting a decline of approximately 3.3%[40] - The commercial real estate loans totaled $21,478,000 in 2023, up from $19,984,000 in 2022, indicating an increase of about 7.5%[40] - As of December 31, 2023, commercial real estate and multi-family residential loans represented 17.1% of the total loan portfolio, amounting to $24,900,000[44] - The largest segment of the Company's loan portfolio consists of one- to four-family residential real estate loans, primarily secured by properties in rural Acadiana[180] - The commercial real estate loan portfolio amounted to $21.5 million, or 14.8% of the total loan portfolio, as of December 31, 2023[117] - Construction and land loans amounted to $13.9 million, or 9.6% of total loans outstanding, more than doubling since December 31, 2022[53] - Commercial and industrial loans totaled $20.0 million, representing 13.8% of the total loan portfolio as of December 31, 2023[58] - Consumer loans reached $2.6 million, accounting for 1.8% of the total loan portfolio as of December 31, 2023[63] - Loans classified as "substandard" totaled $3.3 million as of December 31, 2023, with "special mention" loans at $212,000[72] Financial Performance - Net income available to common shareholders for the year ended December 31, 2023, was $602,000, compared to $180,000 for the year ended December 31, 2022, representing a significant increase of 233.3%[52] - Basic and diluted earnings per common share for the year ended December 31, 2023, were both $0.14, up from $0.04 in the previous year, marking a 250% increase[52] - The total charge-offs for the year 2023 were $6,000, compared to $7,000 in 2022, showing a reduction of approximately 14.3%[41] - The company reported recoveries of $119,000 in 2023, slightly down from $123,000 in 2022, reflecting a decrease of about 3.2%[41] - The provision for credit losses for the year ended December 31, 2023, totaled $128,000, compared to a reversal of $375,000 in 2022[77] Capital and Regulatory Compliance - The Bank's Common Equity Tier 1 Capital ratio was 52.34% as of December 31, 2023, significantly above the required minimum of 6.5%[111] - Catalyst Bank's capital exceeded all applicable regulatory requirements as of December 31, 2023, including a common equity Tier 1 capital ratio of 4.5%[143] - Federal regulations require a capital conservation buffer of 2.5% of common equity Tier 1 capital to risk-weighted assets for capital distributions[145] - The company was in compliance with the loans-to-one borrower limitations as of December 31, 2023[148] Deposits and Borrowings - Total deposits as of December 31, 2023, amounted to $165,622,000, a slight increase from $165,094,000 in 2022[93] - Non-interest-bearing demand deposits decreased to $28,183,000 (17.0%) in 2023 from $33,657,000 (20.4%) in 2022[93] - The estimated amount of total uninsured deposits was $44.6 million at December 31, 2023, compared to $43.4 million in 2022[94] - As of December 31, 2023, the Company had total borrowings of $19.4 million, an increase from $9.2 million in 2022[97] - The Company had $48.5 million in available borrowing capacity with the FHLB as of December 31, 2023, compared to $34.2 million in 2022[100] Asset Management - The total assets of the company as of December 31, 2023, amounted to $84,734,000, down from $88,526,000 in 2022, indicating a decrease of about 4.3%[195] - The company's retained earnings increased to $53,045,000 in 2023 from $52,778,000 in 2022, reflecting a growth of approximately 0.5%[195] - The fair value of loans receivable, net, was reported at $132,742,000 as of December 31, 2023, down from $142,796,000 in 2022, a decrease of approximately 7.1%[192] - The total carrying amount of financial assets as of December 31, 2023 is $131,800,000, with a fair value of $121,208,000[213] Staffing and Operations - The company employs only officers of the Bank and may hire additional staff as business expands[18] - At December 31, 2023, the company had 48 full-time equivalent employees, with plans to assess management and staffing needs for future growth[127][128] Regulatory and Compliance Issues - The company is subject to significant anti-money laundering and anti-terrorism laws, which could impact its business activities[132] - Catalyst Bank received an "outstanding" rating under the Community Reinvestment Act in its latest federal examination[153] - The revised CRA regulations will take effect on January 1, 2026, with new data reporting requirements starting January 1, 2027, although the impact on the Bank has not yet been determined[153]

Financial Performance - The company reported net income of $170,000 for the three months ended September 30, 2023, compared to $135,000 for the same period in 2022, representing a 25.9% increase [164]. - For the nine months ended September 30, 2023, net income was $282,000, significantly up from $9,000 in the same period of 2022 [164]. - Total interest income increased by $437,000, or 21.5%, to $2.5 million for the three months ended September 30, 2023, compared to the same period in 2022 [219]. - Net interest income was $2.0 million for the three months ended September 30, 2023, up $102,000, or 5.5%, from the same period in 2022 [223]. - Total interest income for the nine months ended September 30, 2023, increased by $1.1 million, or 19.5%, to $7.1 million compared to the same period in 2022 [232]. - Net interest income was $5.8 million for the nine months ended September 30, 2023, up $410,000, or 7.5%, from the same period in 2022 [236]. - Non-interest income totaled $306,000 for the three months ended September 30, 2023, up $10,000, or 3.4%, compared to $296,000 for the same period in 2022 [226]. - Non-interest income totaled $917,000 for the nine months ended September 30, 2023, up $45,000, or 5.2%, compared to $872,000 for the same period in 2022 [238]. Asset and Loan Management - As of September 30, 2023, total assets were $257.9 million, with total loans of $135.7 million and total deposits of $165.2 million [164]. - Total loans increased by $2.1 million, or 1.5%, to $135.7 million at September 30, 2023, compared to $133.6 million at December 31, 2022 [182]. - Total past due loans amounted to $2,638,000, with $1,473,000 past due 30-89 days and $127,000 past due over 90 days [85]. - Non-performing loans increased to $2.088 million at September 30, 2023, compared to $1.600 million at December 31, 2022 [193]. - Total non-accruing loans increased to $1,961,000 at September 30, 2023, up from $1,494,000 at December 31, 2022, representing a 31.1% increase [199]. - The allowance for loan losses increased to $2.0 million, or 1.50% of total loans, as of September 30, 2023, up from $1.8 million, or 1.35% of total loans, at December 31, 2022 [170]. - The total provision for credit losses on loans and unfunded commitments was zero for the first nine months of 2023 [187]. Deposits and Equity - Total deposits increased slightly by $126, or 0.1%, to $165.220 million at September 30, 2023, from $165.094 million at December 31, 2022 [198]. - Public fund deposits increased to $26.4 million, or 16.0% of total deposits, from $21.0 million, or 12.7% of total deposits, at December 31, 2022 [205]. - Shareholders' equity decreased to $82.2 million, or 31.9% of total assets, down from $88.5 million, or 33.6% of total assets, at December 31, 2022, a decline of 7.1% [208]. - Total uninsured deposits were approximately $45.2 million at September 30, 2023, compared to $43.4 million at December 31, 2022 [206]. Strategic Initiatives - The company’s business strategy has shifted to a relationship-based community bank model targeting small- to mid-sized businesses [163]. - The company aims to continue implementing its business strategies and capitalize on growth opportunities despite economic uncertainties [155]. - The company plans to focus on market expansion and new product development to enhance future performance [102]. Regulatory and Compliance - The Bank exceeded all regulatory capital requirements and was categorized as well-capitalized at September 30, 2023 [256]. - The company adopted ASC 326 on January 1, 2023, which changed the methodology for estimating credit losses on loans [169]. - Future changes in laws, regulations, or government policies may materially impact the company's financial condition and results of operations [165]. Investment and Securities - Net unrealized losses on available-for-sale securities totaled $12.8 million as of September 30, 2023, compared to $11.5 million at December 31, 2022 [174]. - Total investment securities decreased by $7.8 million, or 8.4%, to $85.3 million at September 30, 2023, from $93.1 million at December 31, 2022 [195]. - The fair value of available-for-sale securities decreased to $71,808,000 as of September 30, 2023, from $79,602,000 on December 31, 2022, a decline of about 10% [130].

ITEM 1. FINANCIAL STATEMENTS The accompanying Notes are an integral part of these financial statements. NOTE 1. BASIS OF PRESENTATION NOTE 2. RECENT ACCOUNTING PRONOUNCEMENTS Commercial real estate – This category generally consists of loans secured by retail and industrial use buildings, hotels, strip shopping centers and other properties used for commercial purposes. The performance of these loans may be adversely affected by, among other factors, conditions specific to the relevant industry, the real est ...

Title of each class Trading Symbol(s) Name of each exchange on which registered UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 ☐ TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-40893 (Exact name of registrant as specified in its charter) Louisiana 86 ...