Union Bankshares Announces Earnings for the three and six months ended June 30, 2024 and Declares Quarterly Dividend

Core Insights - Union Bankshares, Inc. reported a consolidated net income of $2.0 million for Q2 2024, a decrease of 25.2% from $2.7 million in Q2 2023, attributed to a decline in net interest income and increases in credit loss expense and noninterest expenses [2][10] - Total assets increased to $1.40 billion as of June 30, 2024, up 4.8% from $1.33 billion a year earlier, primarily driven by loan growth [1][10] - The bank declared a cash dividend of $0.36 per share, payable on August 1, 2024, to shareholders of record as of July 27, 2024 [7][10] Financial Performance - Net interest income for Q2 2024 was $9.5 million, a slight decrease of 1.4% from $9.6 million in Q2 2023, despite an increase in interest income due to a larger earning asset base and higher interest rates [15][10] - Noninterest income rose to $2.8 million in Q2 2024 from $2.5 million in the same period in 2023, with net gains from residential loan sales increasing to $341 thousand [12][10] - Credit loss expense for Q2 2024 was recorded at $388 thousand, a significant increase from a benefit of $96 thousand in Q2 2023 [6][10] Asset and Deposit Overview - Total loans reached $1.01 billion as of June 30, 2024, compared to $940.2 million a year prior, indicating strong loan growth [1][10] - Total deposits decreased to $1.05 billion as of June 30, 2024, down from $1.12 billion in 2023, with a notable reduction in purchased brokered deposits [5][10] - Investment securities were valued at $254.2 million as of June 30, 2024, down from $268.9 million a year earlier, with unrealized losses of $45.1 million attributed to the current interest rate environment [14][10] Equity and Capital - Total equity capital increased to $64.0 million as of June 30, 2024, compared to $59.1 million in 2023, with a book value per share rising to $14.16 from $13.10 [11][10] - Accumulated other comprehensive loss related to investment securities decreased to $35.2 million as of June 30, 2024, from $36.3 million a year earlier [11][10] Community Engagement - Union Bank has a strong reputation for residential lending and has been recognized for its positive impact on low to moderate-income home buyers [4][10] - The bank is committed to community service, with employees actively participating in local non-profit organizations and initiatives [4][10]