United Bancorp(US:UBCP)2025-08-01 18:04Financial Performance - For Q2 2025, United Bancorp reported diluted earnings per share of $0.33 and net income of $1,914,000, representing increases of 10.0% year-over-year[2]. - Net income for the three months ended June 30, 2025, was $1,914,513, reflecting a 10.03% increase from $1,739,967 in 2024[9]. - Net interest income for the six months ended June 30, 2025, was $12,842,062, up 4.27% from $12,316,509 in 2024[9]. - Total noninterest income for the six months ended June 30, 2025, increased by 30.26% to $2,670,874 from $2,050,414 in 2024[9]. - Basic and diluted earnings per common share remained stable at $0.65, showing no percentage change[10]. Asset and Loan Growth - Total assets grew by $26.0 million, or 3.2%, reaching $847.9 million, with gross loans exceeding $500.0 million for the first time in company history[2]. - Total assets as of June 30, 2025, were $847.9 million, with total shareholders' equity of $59.7 million[6]. - Total assets grew by 3.17% to $847,884,370 compared to $821,814,882 in the previous period[10]. - Gross loans increased by 3.35% to $500,747,168 from $484,514,415[10]. Deposit and Interest Income - Total deposits increased by $19.8 million, or 3.2%, to $642.9 million, contributing to a modest rise in interest expense of $229,000, or 3.2%[3]. - Total deposits rose by 3.17% to $642,944,191 from $623,188,540[10]. - Year-to-date net interest income increased by $526,000, or 4.3%, with a net interest margin improvement of 11 basis points to 3.65%[2]. Credit Quality - Nonaccrual loans and loans past due 30 days were $2.2 million, or 0.45% of gross loans, with a year-over-year increase of $1.1 million[4]. - The company has a total allowance for credit losses to total loans ratio of 0.83%, indicating strong coverage against potential losses[4]. - Non-accrual loans surged by 396.51% to $1,797,604 from $362,051[10]. - Net charge-offs to average loans remained stable at 0.07%[10]. Dividends - Regular cash dividend increased by $0.02 to $0.3675, a rise of 5.8% year-over-year[6]. - Special cash dividend of $0.1750 was paid, up $0.025 or 16.7% from the previous year[6]. - Total cash dividends for the first half of 2025 amounted to $0.5425, an increase of $0.045 or 9.1% compared to the same period in 2024[6]. - Cash dividends paid increased by 9.05% to $0.5425 from $0.4975[10]. - The dividend payout ratio increased to 56.54% from 54.30%, a change of 2.24%[10]. - The company maintains a total dividend yield of 6.3%, based on the second quarter cash dividend and special dividend[6]. Strategic Initiatives - A new regional banking center in Wheeling, West Virginia is set to open within 90 days, aimed at driving growth in the loan portfolio[5]. - The Unified Mortgage Division is expected to generate higher fee income as it scales, alongside a focus on Treasury Management services for small businesses[5]. - Significant investments in technology and digital transformation are underway, including the implementation of artificial intelligence to enhance customer service[5]. - The Unified Center in St. Clairsville, Ohio will centralize key functions and improve customer support, with renovations expected to be completed by year-end[5]. Market Performance - The fair market value of the company's stock increased by $1.95, or 15.5%, year-over-year as of June 30, 2025[6]. - Market value at the last close increased by 15.54% to $14.50 from $12.55[10]. - Return on average equity (ROE) improved to 12.70% from 12.34%, reflecting a 0.36% increase[10].