Lake Shore Bancorp(US:LSBK)2024-08-13 20:30Financial Performance - Net income for the three months ended June 30, 2024, was $1,116 thousand, an increase of 36.8% compared to $816 thousand for the same period in 2023[10]. - Net income for the second quarter of 2024 was $1,116,000, up from $1,014,000 in the previous quarter, reflecting a growth of 10.1%[13]. - Net income for the six months ended June 30, 2024, was $2,130,000, a decrease of 14.8% compared to $2,500,000 for the same period in 2023[16]. - Net income for the three months ended June 30, 2024, was $2,130,000, down from $2,500,000 in the same period of 2023, representing a decrease of approximately 14.8%[65]. - Basic and diluted earnings per common share for the three months ended June 30, 2024, were $0.19, compared to $0.14 for the same period in 2023, reflecting a growth of 35.7%[10]. - Basic and diluted earnings per share decreased from $0.43 in 2023 to $0.36 in 2024, reflecting a decline of 16.3%[65]. Assets and Liabilities - Total assets decreased from $725,118 thousand as of December 31, 2023, to $711,042 thousand as of June 30, 2024, representing a decline of approximately 1.9%[6]. - Total liabilities decreased from $638,845 thousand at December 31, 2023, to $624,110 thousand at June 30, 2024, a reduction of approximately 2.3%[7]. - Total stockholders' equity increased from $86,273 thousand at December 31, 2023, to $86,932 thousand at June 30, 2024, an increase of 0.8%[8]. - As of June 30, 2024, total stockholders' equity was $86,932,000, an increase from $86,510,000 at March 31, 2024[13]. - Total deposits decreased slightly from $590,924 thousand at December 31, 2023, to $589,395 thousand at June 30, 2024, a decrease of 0.3%[7]. Income and Expenses - Net interest income after provision for credit losses for the six months ended June 30, 2024, was $10,976 thousand, down 17.4% from $13,317 thousand for the same period in 2023[10]. - Non-interest income increased to $738 thousand for the three months ended June 30, 2024, compared to $553 thousand for the same period in 2023, reflecting a growth of 33.5%[10]. - The company declared dividends of $0.18 per share for the three months ended June 30, 2024, consistent with the previous period[10]. - The company declared cash dividends of $0.18 per share, totaling $361,000 for the second quarter of 2024[13]. - Other comprehensive loss for the second quarter of 2024 was $421,000, net of tax benefit[13]. Cash Flow - Net cash provided by operating activities was $542,000, significantly down from $3,422,000 in the prior year, indicating a decline of 84.2%[16]. - Net cash provided by investing activities increased to $20,598,000 from $11,809,000, representing a growth of 74.5% year-over-year[16]. - Cash and cash equivalents at the end of the period were $60,987,000, up from $35,582,000, reflecting a growth of 71.2%[16]. Loans and Credit Quality - The total gross loans amounted to $546.7 million as of June 30, 2024, a decrease from $558.5 million as of December 31, 2023, representing a decline of approximately 2.0%[30]. - The allowance for credit losses on loans was $5.9 million as of June 30, 2024, down from $6.5 million as of December 31, 2023, indicating a reduction of about 8.5%[30]. - The company did not have any loans past due 90 days or more and still accruing as of June 30, 2024[42]. - The company reported charge-offs of $(5) for the quarter ending June 30, 2024, reflecting improved credit quality[37]. - The total amount of residential, one- to four-family loans classified as pass was $2,210 million for the year-to-date 2024, down from $11,992 million in 2023, indicating a significant decline[51]. Securities and Investments - Total debt securities available for sale had an amortized cost of $70,701,000 with gross unrealized losses of $13,451,000, resulting in a fair value of $57,279,000[22]. - The fair value of municipal bonds pledged as collateral for customer deposits was $31.7 million as of June 30, 2024, with gross unrealized losses of $9.1 million[25]. - The company recognized an unrealized gain of $11,000 on equity securities during the six months ended June 30, 2024, compared to $2,000 in the same period of 2023[29]. - The total fair value of securities as of June 30, 2024, was $57,309,000, with equity securities contributing $30,000[79][80]. - The company did not sell any debt securities during the three and six months ended June 30, 2024, while in the same period of 2023, it sold 23 municipal bonds and 2 mortgage-backed securities resulting in gross realized losses of $49,000[27]. Employee Compensation and Stock Options - Compensation expense related to stock-based compensation plans for the three months ended June 30, 2024, was $88,000, compared to $53,000 for the same period in 2023, reflecting a rise of 66.0%[69]. - The Employee Stock Ownership Plan (ESOP) compensation expense for the three months ended June 30, 2024, was $23,000, slightly up from $22,000 in the same period in 2023[75]. - The Company had no remaining options available for grant under the 2006 Stock Option Plan as of June 30, 2024, following its expiration on October 24, 2016[70]. - The Company’s stock options under the 2006 Stock Option Plan decreased from 58,857 options at the beginning of the year to 29,142 options at the end of the period, a reduction of 50.5%[70]. Miscellaneous - The company did not repurchase any shares of common stock during the three and six months ended June 30, 2024, with 30,626 shares remaining to be repurchased[88]. - A cash dividend of $0.18 per share was declared on July 31, 2024, expected to be paid on August 16, 2024[94]. - The total other comprehensive loss for the six months ended June 30, 2024, was $(1,542,000), with a net of tax amount of $(1,219,000)[91].