Fidelity D & D Bancorp, Inc. Reports First Quarter 2025 Financial Results

Core Insights - Fidelity D & D Bancorp, Inc. reported a net income of $6.0 million for Q1 2025, an increase of 18$5.1 million in Q1 2024, driven by higher net interest income and non-interest income [2][3][4] - The company achieved total assets of $2.7 billion as of March 31, 2025, reflecting a growth of$126.7 million from the previous quarter [3][10] - The outlook for the year remains positive, supported by effective expense management and healthy credit metrics [3] Financial Performance - Net interest income rose to $17.0 million in Q1 2025, a 14$14.9 million in Q1 2024, primarily due to a $2.7 million increase in interest income [4][5] - Non-interest income increased by 9$5.0 million, attributed to growth in wealth management and interchange fees [7] - Non-interest expenses grew by 6% to $14.6 million, with salary and benefits expenses being the main contributors [8] Asset Quality - Total non-performing assets decreased to$6.1 million, or 0.23% of total assets, down from 0.30% at the end of 2024 [14] - The provision for credit losses on loans was $455 thousand, reflecting higher loan growth and net charge-offs compared to the previous year [6][14] Balance Sheet Highlights - Total liabilities increased by$119.0 million, or 5%, driven by deposit growth of $116.6 million [11] - Shareholders' equity rose by 4$211.7 million, supported by retained earnings from net income [12][13] - The company maintains a strong capital position with a Tier 1 capital ratio of 9.22% as of March 31, 2025 [13] Key Ratios - The FTE yield on interest-earning assets was 4.73%, up 21 basis points from the previous year [5][30] - The net interest margin increased to 2.89% from 2.69% year-over-year, indicating improved efficiency in generating income from assets [5][30] - Return on average assets was 0.93%, while return on average equity was 11.66% for the quarter [30]