Pathfinder Bancorp, Inc. Announces Financial Results for Fourth Quarter and Full Year 2024

Core Financial Performance - Pathfinder Bancorp reported a net income of $4.3 million or $0.69 per share for the fourth quarter of 2024, benefiting from a $1.4 million gain on the sale of its insurance agency [2][3] - The company experienced a net loss of $4.6 million or $0.75 per share in the third quarter of 2024, primarily due to a $9.0 million provision expense related to a loan portfolio review [3] - For the full year 2024, net income was $3.8 million or $0.60 per share, compared to $9.3 million or $1.51 per share in 2023 [3] Net Interest Income and Margin - Fourth quarter 2024 net interest income was $10.8 million, a decrease of 7.8% from the third quarter, but an increase of 18.1% from the fourth quarter of 2023 [6][8] - The net interest margin (NIM) for the fourth quarter was 3.15%, down from 3.34% in the previous quarter but up from 2.74% in the same period last year [7][10] Non-Interest Income and Expenses - Non-interest income totaled $4.9 million in the fourth quarter, including a $3.2 million pre-tax gain from the insurance agency sale, compared to $1.7 million in the linked quarter [11][12] - Non-interest expenses were $8.5 million in the fourth quarter, decreasing by $1.7 million from the linked quarter but increasing by $1.5 million from the year-ago period [15] Asset Quality and Provision for Credit Losses - Nonperforming loans increased to $22.1 million or 2.40% of total loans as of December 31, 2024, compared to 1.75% in the previous quarter [25] - Provision for credit loss expense was $988,000 in the fourth quarter, significantly lower than the $9.0 million in the third quarter [27][28] Deposits and Loans - Total deposits reached $1.20 billion, growing by $8.1 million or 2.7% annualized from the previous quarter and by $84.3 million or 7.5% year-over-year [9][23] - Total loans were $919.0 million at the end of the fourth quarter, a slight decrease from the previous quarter but an increase of 2.4% from the year prior [22] Shareholder Equity and Dividends - Shareholders' equity totaled $121.9 million, reflecting a $1.6 million increase in the fourth quarter [24] - A cash dividend of $0.10 per share was declared, with a dividend yield of 2.29% based on the closing stock price of $17.50 as of December 31, 2024 [32][34]