Core Viewpoint NorthEast Community Bancorp, Inc. reported strong financial performance for the fourth quarter and the year ended December 31, 2024, with notable increases in net income, total assets, and loan originations despite a challenging high interest rate environment. Financial Performance - The company generated net income of $10.9 million for Q4 2024, a decrease from $12.1 million in Q4 2023, while annual net income increased to $47.8 million from $46.3 million year-over-year [1][2] - Earnings per share for Q4 2024 were $0.83 basic and $0.80 diluted, compared to $0.82 for both in Q4 2023 [1] Balance Sheet Summary - Total assets increased by $246.2 million, or 14.0%, to $2.0 billion as of December 31, 2024, driven by a $227.0 million increase in net loans [3] - Cash and cash equivalents rose by $9.6 million, or 14.0%, to $78.3 million, attributed to a $270.3 million increase in deposits [4] - Total deposits increased by 19.3% to $1.7 billion, with significant growth in certificates of deposit and NOW/money market accounts [15] Loan Portfolio - Net loans increased by $227.0 million, or 14.3%, to $1.8 billion, with loan originations totaling $656.0 million for the year [7][8] - Construction loans accounted for a significant portion of originations, with $573.8 million originated during the year [7] Interest Income and Expense - Net interest income for Q4 2024 was $25.3 million, a slight increase from $25.2 million in Q4 2023 [20] - Total interest and dividend income increased by $3.3 million, or 9.0%, to $40.5 million for Q4 2024 [23] - Interest expense rose by $3.3 million, or 27.3%, to $15.2 million for Q4 2024, reflecting higher costs of interest-bearing liabilities [24] Non-Interest Income and Expenses - Non-interest income for Q4 2024 decreased by $1.2 million, or 89.2%, primarily due to unrealized losses on equity securities [29][30] - Non-interest expense increased by $688,000, or 7.5%, to $9.9 million for Q4 2024, driven by higher salaries and employee benefits [33] Asset Quality - Non-performing assets decreased to $5.1 million, or 0.25% of total assets, from $5.8 million, or 0.33%, year-over-year [52][53] - The allowance for credit losses related to loans decreased to $4.8 million, or 0.27% of total loans, from $5.1 million, or 0.32% [53] Capital Position - Stockholders' equity increased by $39.7 million, or 14.2%, to $319.1 million as of December 31, 2024 [19] - The company's total stockholders' equity to assets ratio was 15.87%, indicating a strong capital position [55][56]
NorthEast Community Bancorp, Inc. Reports Results for the Fourth Quarter and Year Ended December 31, 2024