Timberland Bancorp(US:TSBK)2024-11-05 16:36Financial Performance - Quarterly net income increased by 7% to $6.36 million, with EPS of $0.79, compared to $5.92 million and $0.74 in the previous quarter[1] - Fiscal year net income decreased by 10% to $24.28 million, with EPS of $3.01, down from $27.12 million and $3.29 in the previous fiscal year[2] - Operating revenue for the quarter increased by 4% to $19.48 million, while fiscal year revenue decreased by 5% to $75.30 million[7][10] - Non-interest income for the quarter increased by 5% to $2.93 million, while fiscal year non-interest income decreased slightly to $11.136 million[12][13] - Net income for Q4 2024 was $1,572 thousand, slightly up from $1,535 thousand in Q3 2024, reflecting a growth of 2.4%[41] - Basic net income per common share increased to $0.80 in Q4 2024 from $0.74 in Q3 2024, a rise of 8.1%[41] - Basic net income per common share decreased to $3.02 for the year ended September 30, 2024, down from $3.32 in the previous year, a decline of 9.0%[42] Asset and Loan Growth - Net loans increased by 9% year-over-year, totaling $1.42 billion, with a quarterly increase of 2% or $24.50 million[4][19] - Total assets increased by 1% to $1.92 billion during the quarter, with a year-over-year increase of 5%[6][17] - Loans receivable rose to $1,439,001,000 as of September 30, 2024, compared to $1,318,122,000 a year earlier, indicating an increase of 9.2%[43] - Total mortgage loans decreased to $1,207 million in Q4 2024 from $1,597 million in Q3 2024, a decline of 24.4%[34] - Timberland originated $48.82 million in loans during the quarter ended September 30, 2024, compared to $74.32 million for the preceding quarter[23] Deposit and Equity Changes - Total deposits increased by 6% year-over-year, reaching $1.5 billion, with a quarterly increase of 1% or $19 million[4][6] - Total deposits increased to $1,647,668,000 as of September 30, 2024, compared to $1,560,935,000 a year earlier, reflecting a rise of 5.5%[43] - Total shareholders' equity increased by $4.19 million, or 2%, to $245.41 million at September 30, 2024, from $241.22 million at June 30, 2024[30] - Shareholders' equity increased to $245,413 thousand in September 2024, up from $241,223 thousand in June 2024 and $233,073 thousand in September 2023, reflecting a year-over-year growth of 5.5%[52] Interest and Margin Analysis - Net interest margin improved to 3.58% for the quarter, up from 3.53% in the previous quarter, but down from 3.85% a year ago[5][8] - Total interest and dividend income increased to $25,035 thousand in Q4 2024, up 3.7% from $24,139 thousand in Q3 2024[41] - Net interest income after provision for credit losses was $16,057 thousand in Q4 2024, compared to $15,737 thousand in Q3 2024, an increase of 2%[41] - The company reported a net interest margin of 3.58% for the quarter ended September 30, 2024, compared to 3.53% in the previous quarter[44] Credit Quality and Risk Management - Non-performing assets to total assets ratio was 0.20% at September 30, 2024, compared to 0.22% at June 30, 2024[32] - Total delinquent loans increased by $244,000, or 6%, to $4.49 million at September 30, 2024, from $4.23 million at June 30, 2024[33] - The allowance for credit losses (ACL) for loans as a percentage of loans receivable was 1.21% at September 30, 2024[32] - Non-accrual loans decreased to $3,885 million in Q4 2024 from $4,120 million in Q3 2024, a reduction of 5.7%[36] - The allowance for credit losses to non-accrual loans ratio increased to 450% in Q4 2024 from 414% in Q3 2024, reflecting a conservative approach to credit risk management[46] Dividend and Shareholder Returns - A 4% increase in the quarterly cash dividend to $0.25 per share was announced, marking the 48th consecutive quarter of dividend payments[3] Economic Outlook - The company anticipates potential economic challenges, including inflation and credit risks, which may impact future performance[38]