Provident Bancorp(PVBC) - 2024 Q3 - Quarterly Results

Financial Performance - Net income for Q3 2024 was $716,000, or$ 0.04 per diluted share, compared to a net loss of $3.3 million in Q2 2024 and net income of$ 2.5 million in Q3 2023[1] - Noninterest income for Q3 2024 was $1.7 million, an increase from$ 1.5 million in Q2 2024, but a decrease from $1.8 million in Q3 2023[8] - Noninterest expense for Q3 2024 was$ 11.6 million, a decrease of $1.1 million, or 9.0%, from Q3 2023[9] - The Company recorded an income tax provision of$ 132,000 for Q3 2024, compared to an income tax benefit of $1.3 million in Q2 2024[10] - Net income for the three months ended September 30, 2024, was$ 716 thousand, a recovery from a loss of $3,308 thousand in the previous quarter[17] - Basic earnings per share for the three months ended September 30, 2024, was$ 0.04, compared to a loss of $0.20 in the previous quarter[17] Income and Expenses - Net interest and dividend income for Q3 2024 was$ 12.4 million, an increase of $456,000, or 3.8%, from Q2 2024, but a decrease of$ 1.5 million, or 10.6%, from Q3 2023[2] - Total interest and dividend income for Q3 2024 was $22.4 million, an increase of$ 557,000, or 2.5%, from Q2 2024, but a decrease of $799,000, or 3.4%, from Q3 2023[3] - Total interest expense for Q3 2024 was$ 10.0 million, an increase of $101,000, or 1.0%, from Q2 2024, and an increase of$ 680,000, or 7.3%, from Q3 2023[4] - Noninterest income for the three months ended September 30, 2024, totaled $1,708 thousand, an increase of 12.1% compared to$ 1,523 thousand in the previous quarter[17] - Total noninterest expense for the three months ended September 30, 2024, was $11,576 thousand, slightly down from$ 11,594 thousand in the previous quarter[17] Asset and Liability Management - Total assets were $1.65 billion as of September 30, 2024, reflecting a decrease of$ 22.1 million, or 1.3%, from $1.67 billion at December 31, 2023[11] - Cash and cash equivalents decreased to$ 138.7 million, down $81.7 million, or 37.1%, from December 31, 2023, primarily due to decreases in deposits and increases in net loans[11] - Total deposits were$ 1.29 billion, an increase of $23.8 million, or 1.9%, from June 30, 2024, primarily due to an increase in retail deposits[12] - Total borrowings decreased to$ 124.6 million, down $23.0 million, or 15.6%, from June 30, 2024[12] - Total assets as of September 30, 2024, amounted to$ 1,648,204,000, a slight increase from $1,646,802,000 at June 30, 2024[16] Loan and Credit Quality - The Company recognized a$ 1.7 million provision for credit losses in Q3 2024, compared to $6.5 million in Q2 2024 and a$ 156,000 credit loss benefit in Q3 2023[6] - Non-accrual loans were $37.2 million, or 2.25% of total assets, as of September 30, 2024, compared to$ 21.3 million, or 1.29% of total assets, as of June 30, 2024[8] - The allowance for credit losses on loans was $21.9 million, or 1.56% of total loans, as of September 30, 2024, reflecting an increase from the previous quarter[11] - Total credit loss expense for the three months ended September 30, 2024, was$ 1,693 thousand, a decrease from $6,458 thousand in the previous quarter[17] - Non-performing loans as a percentage of total loans increased to 2.64% in September 2024 from 1.56% in June 2024[23] Shareholder Value - Shareholders' equity totaled$ 226.2 million, an increase of $4.3 million, or 1.9%, from December 31, 2023, supported by net income of$ 2.4 million for the nine months ended September 30, 2024[13] - Book value per share increased to $12.76, up from$ 12.55 at December 31, 2023, while market value per share rose to $10.79, a 7.2% increase from the same date[13] - Book value per share increased to$ 12.76 in September 2024 from $12.70 in June 2024[23] - Market value per share rose to$ 10.79 in September 2024 compared to $10.19 in June 2024[23] Operational Efficiency - Efficiency ratio improved to 82.00% in September 2024 from 86.03% in June 2024[21] - Return on average assets improved to 0.18% in September 2024 from (0.85%) in June 2024[21] - Return on average equity increased to 1.27% in September 2024 compared to (5.80%) in June 2024[21] - Interest rate spread remained stable at 2.19% in September 2024, compared to 2.10% in June 2024[21]