Plumas Bancorp Reports Earnings for Year Ended December 31, 2024

Core Insights - Plumas Bancorp reported a net income of $28.6 million or $4.85 per share for the year ended December 31, 2024, a decrease from $29.8 million or $5.08 per share in 2023 [2] - The company experienced an increase in net interest income by $3.9 million for the year, but non-interest income decreased by $1.9 million [28][36] - The annualized return on average assets decreased to 1.74% in 2024 from 1.88% in 2023, while the return on average equity fell from 23.4% to 17.2% [2][50] Financial Performance - For Q4 2024, net income was $7.7 million or $1.31 per share, up from $7.5 million or $1.28 per share in Q4 2023 [1] - The annualized return on average assets was 1.87% for Q4 2024, unchanged from Q4 2023, while the return on average equity decreased to 17.1% from 23.9% [1][50] - Net interest income for Q4 2024 was $19.0 million, an increase of $1.3 million from the same period in 2023 [23] Balance Sheet Highlights - Gross loans increased by approximately $57 million, or 6%, from $959 million at December 31, 2023, to $1.0 billion at December 31, 2024 [5][6] - Total deposits increased by $37 million, or 3%, to $1.4 billion at December 31, 2024 [6][8] - Shareholders' equity rose by $31 million, or 21%, to $178 million at December 31, 2024 [6][18] Asset Quality - Nonperforming assets decreased to $4.3 million at December 31, 2024, from $5.3 million at December 31, 2023 [10] - Nonperforming loans as a percentage of total loans decreased to 0.40% from 0.50% year-over-year [10][51] - The allowance for credit losses totaled $13.2 million at December 31, 2024, compared to $12.9 million at the end of 2023 [12][50] Non-Interest Income and Expense - Non-interest income for the year ended December 31, 2024, totaled $8.8 million, a decrease of $1.9 million from 2023 [36] - Total non-interest expense increased by $4.7 million to $42.3 million for the year, with significant increases in salary and benefit expenses and occupancy costs [37] - For Q4 2024, non-interest expense rose by $890 thousand to $10.7 million, driven by higher salary and benefit expenses and increased occupancy costs [35] Management Commentary - The CEO highlighted strong performance and loan growth, particularly in SBA loan production, and noted the bank's recognition with awards and its listing on the Russell 2000 index [4] - The bank anticipates improved loan demand and deposit stabilization due to projected Federal Reserve rate cuts [4]