Middlefield Banc(MBCN) - 2025 Q3 - Quarterly Results

Financial Performance - For the third quarter of 2025, diluted earnings per share increased to $0.65, contributing to year-to-date earnings of $2.01 per share, compared to $1.32 per share for the same period last year[4][9]. - Net income for Q3 2025 was $5,320,000, compared to $4,830,000 in Q3 2024, which is an increase of 10.1%[27]. - Basic net income per common share for Q3 2025 was $0.66, up from $0.60 in Q3 2024, representing a 10% increase[28]. - The dividend declared per share for Q3 2025 was $0.21, consistent with Q3 2024, maintaining a stable dividend policy[28]. Loan and Asset Growth - Total loans reached a record $1.61 billion, reflecting a year-over-year increase of 6.8%, primarily driven by growth in commercial and industrial loans[4][10]. - Commercial and industrial loans increased by $56.3 million, or 26.4% year-over-year, contributing significantly to overall loan growth[13]. - Net loans reached $1,583,995,000, an increase of 1.5% from $1,559,590,000 in the prior quarter[26]. - Total assets increased by 6.5% year-over-year to a record $1.98 billion, up from $1.86 billion at the same time last year[10][12]. - Total assets as of September 30, 2025, were $1,947,888,000, compared to $1,851,490,000 in 2024, indicating an increase of 5.20%[34]. Income and Expenses - Net interest income for the third quarter increased by 16.5% to $17.6 million, with a net interest margin of 3.79%, up from 3.46% in the same quarter of 2024[6][4]. - Total interest and dividend income for Q3 2025 was $27,608,000, an increase from $25,473,000 in Q3 2024, representing a year-over-year growth of 8.4%[27]. - Total noninterest expense for Q3 2025 was $13,098,000, up from $12,193,000 in Q3 2024, marking a 7.4% increase[27]. - Noninterest income for the nine months ended September 30, 2025, rose to $7.3 million, an increase of $2.0 million compared to the same period in 2024[7]. Equity and Dividends - Stockholders' equity increased by 6.4% year-over-year to $224.1 million, with a per-share value of $27.71, compared to $26.11 at September 30, 2024[14]. - The company declared cash dividends of $0.63 per share for the nine months ended September 30, 2025, reflecting a 5% increase from the previous year's dividend[16]. - Stockholders' equity increased to $224,120,000, compared to $216,052,000 in the previous quarter, marking a growth of 3.1%[26]. Asset Quality and Risks - Nonperforming loans remained stable at $29.9 million, consistent with $30.1 million at September 30, 2024, indicating strong asset quality[21][22]. - The allowance for credit losses was $23,029,000, slightly up from $22,335,000 in the prior quarter[26]. - The company noted potential risks including competitive pressures and changes in the interest rate environment that could impact future performance[25]. Operational Developments - The company is on track to open a relocated office in Westerville in the fourth quarter of 2025, as part of its strategy to expand in Central Ohio[5]. - The company has no obligation to release revisions to forward-looking statements, indicating a cautious approach to future projections[25].