
Financial Performance - Fourth quarter net income was $1.7 million, or $0.29 per diluted share, down from $2.2 million, or $0.36 per diluted share in the previous quarter[2] - Full-year net income totaled $8.2 million, or $1.33 per diluted share, consistent with the previous year's earnings[2] - Net income for the year ended December 31, 2024, was $8,170 million, down 3.7% from $8,485 million in 2023[34] - Basic net income per share for Q4 2024 was $0.30, compared to $0.38 in Q4 2023, a decrease of 21.1%[34] - Net income for Q4 2024 was $1,714,000, down from $2,222,000 in Q3 2024, representing a decrease of approximately 22.8%[47] Interest Income and Expenses - Interest income for the fourth quarter was $14.42 million, while interest expense was $5.67 million, resulting in net interest income of $8.75 million[4] - Net interest income decreased by $0.4 million in Q4 2024 compared to both Q3 2024 and Q4 2023, with a net interest margin of 3.41%[9] - Total interest income for Q4 2024 was $14,420 million, an increase of 3.4% from $13,945 million in Q4 2023[34] - Net interest income after provision for credit losses decreased to $8,278 million in Q4 2024 from $9,544 million in Q4 2023, a decline of 13.3%[34] Asset and Loan Growth - Total assets increased to $1.101 billion as of December 31, 2024, compared to $1.072 billion a year earlier[4] - Total loans reached $823.04 million, up from $803.31 million in the previous quarter[4] - Total loan volume increased by $19.7 million, or 2.5%, in Q4 2024, driven by growth in construction, consumer indirect, and commercial real estate lending[8] - Total loans increased to $818,524 thousand with a net interest income of $36,149 thousand for the year ended December 31, 2024, compared to $795,446 thousand and $37,350 thousand for 2023, respectively[30] Deposits and Funding - Total deposits decreased by $8.6 million, or 0.9%, in Q4 2024, with core deposits totaling $837.7 million, or 86.1% of total deposits[10] - Total deposits increased to $972,557 thousand in 2024, up from $950,191 thousand in 2023, reflecting a growth of approximately 2.4%[32] - Interest-bearing deposits rose to $816,612 thousand in 2024, compared to $796,600 thousand in 2023, indicating a year-over-year increase of about 2.5%[32] - The company reported a total funding cost of $969,550 thousand with an average yield of 2.28% for the year ended December 31, 2024, compared to $933,946 thousand and 1.65% in 2023[30] Credit Losses and Nonperforming Assets - The provision for credit losses was $470,000 in the fourth quarter, compared to a recovery of $152,000 in the previous quarter[4] - The provision for credit losses was $0.5 million in Q4 2024, compared to a recovery of credit losses of $0.4 million in Q4 2023[12] - Nonperforming assets totaled $5.4 million as of December 31, 2024, representing 0.50% of total assets[13] - The allowance for credit losses on loans and leases was $10,184 thousand as of December 31, 2024, slightly down from $10,507 thousand in 2023[32] Operational Efficiency - The efficiency ratio for the fourth quarter was 71.4%, indicating a slight increase in operational efficiency compared to previous quarters[4] - Non-interest expense decreased to $6.9 million in Q4 2024 from $7.4 million in Q4 2023[15] - Total non-interest expense decreased to $28,356 million in 2024 from $29,141 million in 2023, a reduction of 2.7%[34] Shareholder Equity and Dividends - Shareholders' equity increased to $98.6 million, or 8.96% of total assets, as of December 31, 2024[16] - Cash dividends increased to $0.07 per share in Q4 2024, compared to $0.05 per share in previous quarters[17] - Shareholders' equity increased to $98,624 thousand in 2024 from $90,593 thousand in 2023, representing an increase of approximately 8.5%[32] - Total shareholders' equity rose to $98,624,000 in Q4 2024, compared to $98,491,000 in Q3 2024[47] Strategic Initiatives - CEO noted an uptick in loan growth in the fourth quarter and a focus on enhancing yield through opportunistic purchases[6] - The company aims to grow earning assets and reduce funding costs in response to the changing interest rate environment[6] - The Company opened a new banking center in Knoxville, Tennessee, and commenced renovation of a center in Daphne, Alabama, expected to open in 2025[22] - The company continues to focus on maintaining a strong capital position while exploring new market opportunities and product innovations[47]