Union Bankshares Announces Earnings for the three months ended March 31, 2025 and Declares Quarterly Dividend

Core Viewpoint - Union Bankshares, Inc. reported a consolidated net income of $2.5 million for Q1 2025, reflecting a slight increase from $2.4 million in Q1 2024, alongside a declared quarterly cash dividend of $0.36 per share [1][9]. Financial Performance - Consolidated net income for Q1 2025 was $2.5 million, or $0.55 per share, compared to $2.4 million, or $0.53 per share, in Q1 2024, marking an increase of $84 thousand, or 3.5% [1][6]. - Interest income rose by $2.7 million, or 17.1%, to $18.3 million in Q1 2025, driven by higher yields on earning assets and increased volume [6]. - Interest expense increased by $1.4 million, or 21.3%, to $8.0 million in Q1 2025, attributed to higher rates on customer deposits and wholesale funding [6]. - Net interest income increased by $1.3 million, or 14.0%, due to the changes in interest income and expense [6]. Balance Sheet Highlights - Total assets grew to $1.52 billion as of March 31, 2025, up from $1.42 billion a year earlier, representing an increase of $107.2 million, or 7.6% [2]. - Total loans increased by $128.0 million, or 12.3%, reaching $1.16 billion as of March 31, 2025, including $4.1 million in loans held for sale [2]. - Total deposits were $1.18 billion as of March 31, 2025, slightly up from $1.17 billion a year prior [4]. Equity and Capital - Total equity capital increased to $70.1 million as of March 31, 2025, compared to $63.8 million a year earlier, with a book value per share of $15.44 [5]. - Accumulated other comprehensive loss decreased to $31.4 million as of March 31, 2025, from $34.9 million a year prior [5]. Loan Sales and Credit Quality - Qualifying residential loans sold to the secondary market totaled $25.8 million in Q1 2025, up from $21.7 million in Q1 2024 [3]. - Credit loss expense for Q1 2025 was $235 thousand, compared to a benefit of $230 thousand in Q1 2024, indicating proactive measures to support loan growth [7]. Noninterest Income and Expenses - Noninterest income decreased by $127 thousand, or 4.9%, to $2.4 million in Q1 2025, primarily due to the absence of prepayment penalties and increased losses on investment securities [8]. - Noninterest expenses rose by $601 thousand, or 6.5%, to $9.8 million in Q1 2025, driven by increases in salaries, employee benefits, and occupancy expenses [8].