Glen Burnie Bancorp(GLBZ) - 2024 Q1 - Quarterly Results

Financial Performance - Net income for Q1 2024 was $3,000, a significant decrease from $435,000 in Q1 2023, primarily due to a $431,000 increase in interest expense on short-term borrowings [11]. - Net interest income decreased by $606,000, or 19.08%, to $2.6 million in Q1 2024 compared to $3.2 million in Q1 2023, driven by a $726,000 increase in interest expense [3]. - The annualized return on average assets decreased to 0.00% for Q1 2024, down from 0.19% in Q4 2023 [25]. - Basic and diluted net income per share was reported at $0.00 for Q1 2024, down from $0.06 in Q4 2023 [25]. - Net income for the first quarter of 2024 was $3,000, a significant decline from $435,000 in the first quarter of 2023 [22]. Assets and Deposits - Total assets increased by $18.1 million, or 5.13%, to $369.9 million as of March 31, 2024, from $351.8 million on December 31, 2023 [7]. - Total assets increased to $369,870,000 as of March 31, 2024, compared to $351,813,000 at December 31, 2023, reflecting a growth of 5.9% [25]. - Total deposits rose by $9.2 million, or 3.05%, to $309.2 million as of March 31, 2024, compared to $300.1 million on December 31, 2023 [8]. - Total deposits decreased to $309,231,000 as of March 31, 2024, down 9.8% from $343,014,000 a year earlier [21]. - Deposits rose to $309,231,000 from $300,067,000, indicating a growth of 0.4% [25]. Interest and Margins - The net interest margin decreased by 0.55% to 2.86% in Q1 2024, down from 3.41% in Q1 2023, due to increased average deposit costs [13]. - The net interest margin declined to 2.86% in Q1 2024, compared to 3.17% in Q4 2023 [25]. - Net interest income decreased to $2,572,000 for the three months ended March 31, 2024, down 18.9% from $3,178,000 in the same period of 2023 [22]. Credit Losses and Allowances - The allowance for credit losses on loans was $2.0 million, or 1.14% of total loans, as of March 31, 2024, compared to $2.2 million, or 1.22%, as of December 31, 2023 [10]. - The allowance for credit losses was $2,035,000 as of March 31, 2024, compared to $2,161,000 a year earlier [21]. - The provision for credit loss allowance on loans was $169,000 in Q1 2024, compared to a release of $42,000 in Q1 2023, reflecting a strategic change in direction [15]. - The allowance for loan losses to loans ratio was 1.14% as of March 31, 2024, slightly down from 1.22% at December 31, 2023 [25]. - Nonperforming loans to average loans ratio improved to 0.21% in Q1 2024 from 0.30% in Q4 2023 [25]. Capital Ratios - The Bank's total regulatory capital to risk-weighted assets was 18.30% on March 31, 2024, up from 17.57% for the same period in 2023, indicating strong capital position [4]. - Common Equity Tier 1 Capital ratio was 17.14% as of March 31, 2024, exceeding the required minimum of 4.50% [24]. - Total Risk-Based Capital ratio stood at 18.30% as of March 31, 2024, well above the 8.00% requirement [24]. - Common Equity Tier 1 Capital ratio remained stable at 17.14% as of March 31, 2024, consistent with the previous quarter [25]. Expenses - Noninterest expense decreased by $83,000 to $2.86 million in Q1 2024 compared to $2.94 million in Q1 2023, primarily due to lower salary and employee benefits [16]. - Noninterest expenses totaled $2,861,000 for the three months ended March 31, 2024, a decrease of 2.8% from $2,944,000 in the same period of 2023 [22]. - The dividend payout ratio was exceptionally high at 9426% for Q1 2024, compared to 172% in Q4 2023 [25]. Liquidity - Cash and cash equivalents increased by $27.4 million, or 179.69%, from December 31, 2023, to March 31, 2024 [7]. - Cash and cash equivalents increased to $42,628,000 as of March 31, 2024, up from $14,592,000 a year earlier, reflecting a significant increase in liquidity [21].