Ames National (ATLO) - 2021 Q4 - Annual Report

Financial Performance - Net income for 2021 was $23,913,000, an increase of 27.3% from $18,850,000 in 2020[304]. - Basic and diluted earnings per share rose to $2.62 in 2021, up from $2.06 in 2020, representing a growth of 27.2%[304]. - Comprehensive income for 2021 was $10,754,000, significantly lower than $30,758,000 in 2020, a decline of 65.0%[306]. - The provision for income taxes increased to $6,760,000 in 2021 from $4,381,000 in 2020, an increase of 54.1%[306]. - Net income for the year ended December 31, 2021, was $23.913 million, an increase of 27.3% from $18.850 million in 2020[343]. - Operating income after provision for loan losses rose to $27,686 million in 2021, compared to $22,133 million in 2020, marking a 25.1% increase[445]. Assets and Liabilities - Total assets increased to $2,137,041 thousand in 2021 from $1,975,648 thousand in 2020, representing an increase of approximately 8.2%[301]. - Total liabilities increased significantly to $3,110 million in 2021 from $499 million in 2020, indicating a substantial rise[443]. - The ending cash and cash equivalents decreased to $89,129,000 in 2021 from $173,097,000 in 2020, a decline of 48.5%[311]. - Total stockholders' equity decreased slightly to $207,778 thousand in 2021 from $209,487 thousand in 2020[301]. Deposits and Equity - Total deposits rose to $1,878,019 thousand in 2021, up from $1,716,446 thousand in 2020, reflecting a growth of about 9.4%[301]. - The Company reported retained earnings of $170,377 thousand as of December 31, 2021, compared to $158,217 thousand in 2020, indicating an increase of approximately 7.3%[301]. - The total pledged collateral related to securities sold under repurchase agreements was $54.1 million as of December 31, 2021[401]. Loan Performance - Total loans receivable, net increased to $1,144,108 million in 2021 from $1,129,505 million in 2020, representing a growth of approximately 1.3%[353]. - The allowance for loan losses decreased to $16,621 million in 2021 from $17,215 million in 2020, a reduction of about 3.5%[360]. - The total amount of non-performing loans was $1,177 million in 2021, a decrease from $1,325 million in 2020, reflecting a decline of about 11.2%[372]. - The ending balance for collectively evaluated loans for impairment in the commercial real estate category was $505,575 million in 2021, compared to $486,099 million in 2020, reflecting an increase of approximately 4%[364]. Stock Repurchase and Dividends - The Company repurchased 30,580 shares of common stock in 2021 under the Stock Repurchase Plan, which allowed for the repurchase of up to 100,000 shares[161]. - The Board of Directors has the discretion to declare future cash dividends based on earnings and financial condition[160]. - Dividends paid in 2021 amounted to $9,389 million, compared to $9,072 million in 2020, showing an increase of 3.5%[447]. Interest Income and Expense - Total interest and dividend income decreased to $60,482,000 in 2021 from $62,941,000 in 2020, a decline of 3.9%[304]. - Interest payments decreased from $8,799 thousand in 2020 to $5,063 thousand in 2021, representing a reduction of approximately 42.5%[313]. - Interest expense on deposits decreased from $7.8 million in 2020 to $4.3 million in 2021[399]. Credit Quality and Risk Management - The company maintains an internal audit department that periodically reviews and validates the credit risk program[359]. - The company plans to continue monitoring credit quality indicators closely, including trends in risk ratings and economic conditions in its market areas, to ensure proactive management of its loan portfolio[365]. - The credit quality indicators show that the total amount of classified loans was $132,772 million in 2021, compared to $163,297 million in 2020, indicating a significant reduction of approximately 18.6%[365]. Fair Value Measurements - Total assets at fair value on a recurring basis increased to $831,003 million in 2021 from $596,999 million in 2020, representing a growth of approximately 39.2%[432]. - The estimated fair value of loans receivable, net, was $1,112,684 million in 2021, down from $1,116,352 million in 2020, reflecting a slight decrease of about 0.3%[439]. - The fair value of securities available-for-sale rose to $831,003 million in 2021, up from $596,999 million in 2020, reflecting an increase of about 39.2%[439].