Prnewswireยท2025-07-24 20:00Core Viewpoint - Princeton Bancorp, Inc. reported a significant decline in net income for the second quarter of 2025, primarily due to increased provisions for credit losses, despite improvements in net interest income and non-interest income, along with reduced operating expenses. The company anticipates stronger earnings in the latter half of 2025 [2][3]. Financial Performance - The company recorded net income of $688 thousand, or $0.10 per diluted common share, for Q2 2025, a decrease from $5.4 million, or $0.77 per diluted common share, in Q1 2025, and $5.1 million, or $0.80 per diluted common share, in Q2 2024 [3][21]. - Net interest income for Q2 2025 was $18.8 million, an increase of $53 thousand from Q1 2025 and an increase of $2.8 million compared to Q2 2024 [8][21]. - The provision for credit losses was $7.0 million in Q2 2025, significantly higher than the previous quarters, reflecting a charge-off of $9.9 million [10][21]. Asset Quality - Non-performing assets totaled $16.5 million as of June 30, 2025, a decrease of $10.6 million compared to December 31, 2024 [7]. Financial Condition - Total assets decreased to $2.24 billion as of June 30, 2025, down $98.6 million, or 4.21%, from the end of 2024, primarily due to declines in cash and cash equivalents and investment securities [4]. - Total deposits fell by $100.3 million, or 4.93%, to $1.93 billion as of June 30, 2025, driven by decreases in various deposit categories [5]. - Stockholders' equity slightly decreased by $94 thousand, or 0.04%, to $261.9 million, influenced by treasury stock purchases [6]. Non-Interest Income and Expenses - Total non-interest income for Q2 2025 was $2.3 million, an increase of $61 thousand, or 2.8%, from Q1 2025, and an increase of $164 thousand, or 7.9%, from Q2 2024 [11]. - Non-interest expenses totaled $13.5 million for Q2 2025, a decrease of $283 thousand, or 2.1%, from Q1 2025, but an increase of $1.5 million, or 12.5%, from Q2 2024 [12]. Outlook - The company expects stronger earnings in the second half of 2025, despite the challenges faced in the first half [2].