Evans Bank(US:EVBN)2024-10-31 20:31Financial Performance - Evans Bancorp reported net income of $2.9 million, or $0.53 per diluted share, in Q3 2024, flat sequentially from Q2 2024 and down from $3.6 million, or $0.66 per diluted share, in Q3 2023[2] - Evans Bancorp reported a net income of $2.9 million for Q3 2024, compared to $2.5 million in Q2 2024, reflecting a 16% increase[21] - Net income for the third quarter of 2024 was $2.9 million, compared to $2.9 million in the previous quarter[24] Loan and Deposit Growth - Total loans increased by $67 million, or 4%, since year-end 2023, and by $84 million, or 5%, compared to the prior-year period[2] - Total deposits rose by $182 million, or 11%, from December 31, 2023, and increased $95 million, or 5%, from the end of last year's third quarter[2] - Loans outstanding reached $1.79 billion, an increase of 1.3% from $1.77 billion in the previous quarter[23] - Total deposits rose to $1.90 billion, up from $1.89 billion in Q2 2024, indicating a growth of 0.6%[23] Interest Income and Margin - Net interest income was $15.0 million, up $0.7 million, or 5%, from Q2 2024, and increased $0.8 million, or 6%, compared to Q3 2023[6] - The net interest margin for Q3 2024 was 2.80%, up 9 basis points sequentially and 1 basis point year-over-year[7] - Net interest income after provision for credit losses increased to $14.5 million, up from $14.0 million in the second quarter[24] - The net interest margin improved to 2.80%, compared to 2.71% in the previous quarter[25] Asset Growth - Total assets were $2.28 billion as of September 30, 2024, an increase of $171 million, or 8%, since December 31, 2023[15] - Total assets increased to $2.28 billion as of September 30, 2024, up from $2.26 billion at June 30, 2024, representing a growth of approximately 0.3%[23] - Total assets reached $2,265,380 thousand, a slight increase from $2,252,033 thousand in the second quarter of 2024[25] Capital Ratios - The Tier 1 leverage ratio was 10.01% at September 30, 2024, compared to 9.40% at September 30, 2023[19] - The Tier 1 risk-based capital ratio was reported at 13.38%, slightly down from 13.55% in the previous quarter[23] Non-Interest Income and Expenses - Non-interest income for Q3 2024 was $2.994 million, an increase of $0.6 million from the previous quarter, primarily due to a gain on the sale of an OREO property[10] - Total non-interest income rose to $2.994 million, compared to $2.400 million in the previous quarter[24] - Total non-interest expenses increased to $13.587 million, up from $12.558 million in the second quarter[24] Efficiency and Returns - Return on average total assets was 0.52%, consistent with the previous quarter[24] - Return on average stockholders' equity was 6.44%, down from 6.76% in the second quarter[24] - Efficiency ratio was 75.32%, slightly up from 75.11% in the previous quarter[24] Credit Quality - Non-performing loans increased to $32.6 million, up from $25.1 million in Q2 2024, marking a rise of 29.8%[23] - The allowance for credit losses as a percentage of total loans remained stable at 1.29%[23] - Provision for credit losses was $570,000, compared to $297,000 in the second quarter[24] Stockholder Information - Book value per share increased to $33.58, compared to $32.15 in the previous quarter, reflecting a growth of 4.5%[23] - Cash dividends per common share remained at $0.66, unchanged from the previous quarter[24] Strategic Initiatives - The company announced a definitive agreement to merge with NBT Bancorp Inc., with an aggregate transaction value of approximately $236 million[4] - The company continues to focus on enhancing operational efficiencies and managing competitive pressures in the financial services sector[21] - Future outlook includes potential expansion strategies and continued investment in technology to improve service delivery[21]