CMTV's Q3 Profit Surges 52% on Strong Loan & Deposit Growth

Core Insights - Community Bancorp (CMTV) reported strong earnings for Q3 2025, with net income rising to $4.7 million, a 52.4% increase year-over-year, driven by loan growth and expanding net interest income [2][10] - The company's stock has outperformed the S&P 500 index since the earnings report, gaining 2.7% compared to the index's 0.1% decline [1] Financial Performance - Net income for Q3 2025 was $4.7 million, or 84 cents per share, up from $3.1 million, or 55 cents per share, in Q3 2024 [2] - For the first nine months of 2025, earnings climbed 42.3% year-over-year to $12.3 million, or $2.18 per share [2] - Net interest income increased 21.4% year-over-year to $10.5 million in Q3 2025, supported by higher yields and an increase in interest and fees on loans [5] Asset and Deposit Growth - Total assets reached $1.23 billion as of Sept. 30, 2025, a 4.15% increase from $1.18 billion a year earlier [3] - The loan portfolio grew by $49 million, or 5.39%, while deposit balances advanced $78.7 million, or 8.47%, year-over-year [3] Capital Position - Equity capital improved to $111.9 million as of Sept. 30, 2025, representing a 13.9% increase from $98.3 million a year earlier [8] - Book value per share rose to $19.64 compared to $17.36 in the year-ago quarter, reflecting higher retained earnings [8] Non-Interest Income and Expenses - Non-interest income for Q3 totaled $2.1 million, up 4.4% from $2 million in Q3 2024 [7] - Non-interest expenses increased only 1.3% in the quarter, indicating effective cost controls [7] Management Commentary - President and CEO Christopher Caldwell attributed the strong earnings to disciplined execution and community banking values, emphasizing the bank's resilience amid sector consolidation [10] - The company announced a quarterly cash dividend of 25 cents per share, marking a 4% increase from the previous quarter [11] Strategic Outlook - Management's focus remains on efficiency, disciplined balance sheet management, and maintaining strong community relationships as key priorities for the remainder of 2025 and into 2026 [11]