Central Plains Bancshares(US:CPBI)2024-06-21 20:15Financial Performance - The company's net income for the year ended March 31, 2024, was $3.759 million, a significant increase from $1.646 million in 2023, representing a growth of approximately 128.5%[475]. - The company reported net income of $3.759 million for the year ended March 31, 2024, compared to $1.646 million for the previous year, representing a year-over-year increase of approximately 128.5%[499]. - Total interest and dividend income increased to $20.963 million in 2024 from $16.143 million in 2023, reflecting a growth of about 29.1%[499]. - Net interest income after provision for credit losses rose to $14.385 million, up from $10.525 million, marking an increase of approximately 36.5%[499]. - Non-interest income totaled $2.853 million, compared to $2.278 million in the prior year, an increase of about 25.3%[499]. - The company experienced a net cash provided by operating activities of $5.708 million, up from $4.474 million in the previous year, representing an increase of about 27.6%[475]. Assets and Liabilities - Total assets increased to $463.278 million as of March 31, 2024, compared to $437.792 million in 2023, reflecting a growth of about 5.8%[469]. - The company reported total deposits of $375.145 million, a decrease from $390.952 million in the previous year, indicating a decline of approximately 4.0%[469]. - Cash and cash equivalents decreased to $11.454 million from $16.563 million, a decline of approximately 30.6% year-over-year[475]. - The total recorded investment in loans was $352,837,000 as of March 31, 2024, compared to $353,687,000 in the previous year, indicating a slight decrease of 0.2%[589]. - The total loans as of March 31, 2024, were $380,245,000, with an allowance for credit losses of $5,860,000[564]. Equity and Capital - The company’s total stockholders' equity rose to $78.277 million from $38.666 million, marking an increase of approximately 102.0%[469]. - Basic and diluted earnings per share for the year ended March 31, 2024, were reported at $2.19, with a weighted average of 1,717,941 shares outstanding[499]. - As of March 31, 2024, total capital to risk-weighted assets was $68,071,000, representing a ratio of 18.01%, exceeding the minimum requirement of 8.00%[608]. - The Association's Tier 1 capital to risk-weighted assets was $63,329,000, with a ratio of 16.75%, above the required 6.00%[608]. Credit Losses and Provisions - The allowance for credit losses was $5.860 million as of March 31, 2024, compared to $5.412 million in 2023, showing an increase of about 8.2%[469]. - The provision for credit losses was $88, significantly lower than the $2.877 million recorded in the previous year, indicating improved credit quality[499]. - The total allowance for loan losses as of March 31, 2024, was $5,860,000, reflecting a provision for credit losses of $299,000[539]. - The allowance for credit losses (ACL) is maintained at a level believed adequate to absorb estimated credit losses expected to occur within the existing loan portfolio[516]. Regulatory and Compliance - The company adopted a new credit loss accounting standard effective April 1, 2023, which may impact future financial reporting[463]. - The Company adopted ASC 326 effective April 1, 2023, resulting in an increase in the allowance for credit losses on loans of $299,000 and an allowance for credit losses on unfunded loan commitments of $210,000[514]. - The Association's total risk-based capital ratios must meet regulatory minimums to be considered well-capitalized, as outlined in the capital adequacy tables[630]. Expenses - The company’s total non-interest expense increased to $12.602 million from $10.840 million, reflecting a rise of approximately 16.3%[499]. - Current tax expense for the year ended March 31, 2024, was $831,000, significantly higher than $239,000 in the previous year, reflecting a growth of 248%[579]. - The income tax expense for the year ended March 31, 2024, was $877,000, up from $317,000 in the previous year, representing a rise of 176%[579]. - Depreciation expense for occupancy and equipment was $518,000 for the year ended March 31, 2024, an increase from $488,000 in 2023[599]. Loans and Credit Quality - The company reported a net change in loans of $(26.439 million) for the year, compared to $(44.607 million) in the previous year, indicating a reduction in loan origination[475]. - The total loans classified as Pass amounted to $349,095,000, while Substandard loans totaled $4,592,000[571]. - The total amount of past due loans is $178 thousand, with $850 thousand classified as nonaccrual[596]. - Nonaccrual loans at the end of the period are $537 thousand, down from $850 thousand at the beginning of the period[596]. Securities and Investments - The total fair value of securities available-for-sale as of March 31, 2024, was $60,356,000, with gross unrealized losses of $6,015,000[560]. - The total amortized cost of securities available-for-sale was $66,184,000, with gross unrealized gains of $187,000[560]. - The fair value of available-for-sale securities increased from $57.8 million in 2023 to $60.4 million in 2024[640]. - The fair value of municipal bonds was $7,180,000, with unrealized losses of $1,448,000[562]. Miscellaneous - The company completed a stock offering on October 19, 2023, selling 4,130,815 shares at $10.00 per share, generating gross proceeds of approximately $41.3 million[508]. - The Association serviced loans for others amounting to $160.9 million as of March 31, 2024, up from $149.5 million in 2023[632]. - The balance of mortgage servicing rights at the end of the period was $403,000, down from $434,000 at the beginning of the year[608].