First Capital(FCAP) - 2025 Q1 - Quarterly Results

Financial Performance - First Capital, Inc. reported net income of $3.2 million, or $0.97 per diluted share, for Q1 2025, compared to $3.0 million, or $0.88 per diluted share, for Q1 2024, representing a 6.67% increase in net income year-over-year[2] - Net interest income after provision for credit losses increased by $923,000 to $9.243 million for Q1 2025, compared to $8.320 million for Q1 2024, reflecting a 11.09% growth[3][16] - Noninterest income decreased by $51,000 to $1.848 million in Q1 2025, primarily due to a $55,000 loss on the sale of available-for-sale securities[5][17] - Noninterest expenses increased by $424,000 to $7.181 million in Q1 2025, driven by higher compensation and benefits, and occupancy and equipment expenses[6][17] - The effective tax rate increased to 17.2% for Q1 2025, compared to 14.6% for Q1 2024[7] Interest Income and Margin - Total interest income rose to $13.346 million in Q1 2025, up from $11.837 million in Q1 2024, marking an increase of 12.74%[16] - Net interest income for the three months ended March 31, 2025, was $9,581,000, an increase from $8,600,000 in the same period of 2024, representing a growth of 11.4%[21] - Total interest income on a tax-equivalent basis increased to $13,542,000 in Q1 2025 from $12,038,000 in Q1 2024, reflecting a year-over-year increase of 12.5%[25] - The net interest margin improved to 3.28% in Q1 2025 from 3.07% in Q1 2024, indicating a positive trend in profitability[24] - The interest rate spread increased to 2.85% in Q1 2025, up from 2.67% in Q1 2024, suggesting enhanced earnings from interest-earning assets[21] - The average yield on interest-earning assets on a tax-equivalent basis was 4.63% in Q1 2025, compared to 4.29% in Q1 2024, indicating improved asset performance[25] Asset and Deposit Growth - Total assets grew to $1.21 billion as of March 31, 2025, compared to $1.19 billion at December 31, 2024, reflecting a 1.68% increase[8][17] - Total assets as of March 31, 2025, were $1,198,710,000, compared to $1,148,486,000 as of March 31, 2024, reflecting a growth of 4.4%[21] - Deposits increased by $17.5 million to $1.08 billion from $1.07 billion at the end of 2024[8] - Total deposits increased to $881,635,000 in Q1 2025 from $798,357,000 in Q1 2024, representing a growth of 10.4%[21] Credit Quality - The provision for credit losses increased from $280,000 in Q1 2024 to $338,000 in Q1 2025, due to loan growth and macroeconomic uncertainty[4] - Nonperforming assets decreased from $4.5 million at December 31, 2024, to $4.1 million at March 31, 2025[9] Equity and Leverage - Stockholders' equity increased to $116,409,000 as of March 31, 2025, from $104,985,000 in the same period of 2024, reflecting a growth of 10.4%[21] - The ratio of average interest-earning assets to average interest-bearing liabilities was 132.65% in Q1 2025, slightly down from 134.48% in Q1 2024, indicating a stable leverage position[21] - Average interest-earning assets rose to $1,169,491,000 in Q1 2025, compared to $1,121,160,000 in Q1 2024, marking an increase of 4.3%[24]