Richmond Mutual Bancorporation(RMBI) - 2024 Q1 - Quarterly Report

Financial Position - As of March 31, 2024, the Company reported total assets of $1.5 billion, with loans and leases net of allowance at $1.1 billion, and stockholders' equity at $132.4 million[130]. - Total assets increased by $26.6 million, or 1.8%, from December 31, 2023, primarily due to a $33.1 million, or 3.0%, increase in loans and leases[133]. - Stockholders' equity totaled $132.4 million at March 31, 2024, a decrease of $2.5 million or 1.8% from December 31, 2023, due to stock repurchases and increased accumulated other comprehensive loss[144]. - The company's Tier 1 capital to total assets ratio was 10.67% at March 31, 2024, well above regulatory requirements[144]. - Total risk-based capital ratio was 14.1% as of March 31, 2024, exceeding the minimum requirement of 8.0%[170]. Income and Earnings - For the three months ended March 31, 2024, net income was $2.4 million, a decrease from $2.9 million for the same period in 2023[130]. - As of March 31, 2024, net income decreased by $535,000 or 18.4% to $2.4 million compared to $2.9 million for the same period in 2023[145]. - Net interest income before the provision for credit losses decreased by $38,000 or 0.4% to $9.8 million for the first quarter of 2024[151]. - Noninterest income increased by $32,000 or 2.9% to $1.1 million for Q1 2024 compared to Q1 2023, driven by a 26.3% increase in other income to $319,000[157]. - The provision for income taxes decreased by $180,000 in Q1 2024, with an effective tax rate of 12.9% compared to 15.5% in Q1 2023[159]. Loans and Leases - Nonperforming loans and leases decreased to $6.9 million, or 0.61% of total loans and leases, down from $8.0 million, or 0.72%, at December 31, 2023[136]. - Loans and leases increased by $33.1 million, or 3.0%, with significant contributions from multi-family loans, residential mortgage loans, and commercial and industrial loans[135]. - The allowance for credit losses on loans and leases increased by $162,000, or 1.0%, to $15.8 million, representing 1.39% of total loans and leases outstanding[138]. - Net charge-offs during the first quarter of 2024 were $324,000, compared to net recoveries of $78,000 during the same quarter in 2023[138]. - The provision for credit losses increased by $13,000 or 7.7% to $183,000 for the three months ended March 31, 2024, with net charge-offs of $324,000 compared to net recoveries of $78,000 in the prior year[156]. Deposits and Borrowings - Total deposits increased by $28.5 million or 2.7% to $1.1 billion as of March 31, 2024, driven by an increase in brokered time deposits of $22.5 million[141]. - Total borrowings increased by $2.0 million to $273.0 million at March 31, 2024, which, along with the increase in deposits, funded loan growth[143]. - The total remaining borrowing capacity with the FHLB was approximately $91.3 million as of March 31, 2024[166]. Interest Income and Expense - Interest income rose by $4.3 million or 28.4% to $19.5 million for the quarter ended March 31, 2024, primarily due to a $141.4 million increase in the average balance of loans and leases[146][147]. - Interest expense increased by $4.4 million or 81.8% to $9.7 million for the quarter ended March 31, 2024, with interest expense on deposits rising by $3.0 million or 75.5%[150]. - The average yield on loans and leases increased by 77 basis points to 6.13% for the quarter ended March 31, 2024, compared to 5.36% for the same quarter in 2023[147]. Expenses - Noninterest expense rose by $696,000 or 9.5% to $8.1 million for Q1 2024, with salaries and employee benefits increasing by $332,000 or 7.8% to $4.6 million[158]. Wealth Management - Total wealth management assets under management and administration were $180.2 million at March 31, 2024[127]. Dividends - A quarterly dividend of $0.14 per common share was paid in Q1 2024, with an expected average total dividend of approximately $1.6 million per quarter[161]. Liquid Assets - As of March 31, 2024, the company had approximately $296.6 million in liquid assets and $325.4 million in certificates of deposit maturing within one year[165]. - Richmond Mutual Bancorporation had $10.1 million in cash and liquid investments available for its cash needs as of March 31, 2024[168]. Market Risk - There has been no material change in market risk disclosures since the 2023 Form 10-K[172].