Auburn National Bancorporation, Inc. Reports Second Quarter Net Earnings

Financial Performance - Auburn National Bancorporation reported net earnings of $1.8 million, or $0.52 per share, for Q2 2025, an increase from $1.5 million, or $0.44 per share, in Q1 2025, and $1.7 million, or $0.50 per share, in Q2 2024 [1][10] - Net interest income (tax-equivalent) was $7.4 million in Q2 2025, up from $7.1 million in Q1 2025 and $6.7 million in Q2 2024, driven by growth in average interest-earning assets and improvements in net interest margin [3][10] - Noninterest income for Q2 2025 was $0.8 million, compared to $0.7 million in Q1 2025 and $0.9 million in Q2 2024, reflecting fluctuations in mortgage lending income and other noninterest income [6] Asset Quality - Nonperforming assets were $0.3 million, or 0.03% of total assets, at June 30, 2025, down from $0.5 million, or 0.05% at March 31, 2025, and $0.8 million, or 0.08% at June 30, 2024 [5][10] - The allowance for credit losses was $7.0 million, or 1.24% of total loans, at June 30, 2025, compared to $6.8 million, or 1.20% at March 31, 2025, and $7.1 million, or 1.24% at June 30, 2024 [6][10] Capital and Liquidity - The Company's consolidated stockholders' equity was $86.1 million, or $24.64 per share, at June 30, 2025, an increase from $83.1 million, or $23.79 per share, at March 31, 2025, and $75.2 million, or $21.53 per share, at June 30, 2024 [12][10] - The tangible common equity ratio was 8.36% at June 30, 2025, compared to 8.34% at March 31, 2025, and 7.34% at June 30, 2024 [13] Operational Efficiency - Noninterest expense decreased to $5.7 million in Q2 2025 from $5.9 million in Q1 2025, while it was $5.5 million in Q2 2024, primarily due to decreases in net occupancy expense and other noninterest expenses [7][10] - The efficiency ratio improved to 69.95% in Q2 2025 from 75.30% in Q1 2025 and 72.39% in Q2 2024, indicating better operational efficiency [22] Market Position - Total assets were approximately $1.0 billion at June 30, 2025, compared to $996.8 million at March 31, 2025, and $1.0 billion at June 30, 2024 [11][10] - Total deposits increased to $939.9 million at June 30, 2025, from $910.5 million at March 31, 2025, and decreased from $946.4 million at June 30, 2024 [11][10]