Oak Ridge Financial Services, Inc. Announces Third Quarter 2025 Results and Quarterly Cash Dividend of $0.14 Per Share

Core Viewpoint - Oak Ridge Financial Services, Inc. reported strong financial performance for Q3 2025, with significant increases in earnings per share and revenue driven by growth in net interest income and noninterest income [3][6]. Financial Highlights - Earnings per share for Q3 2025 reached $0.69, a 27.8% increase from Q3 2024 [3][6]. - Net interest income was $6.8 million, up from $6.0 million in Q3 2024, with an annualized net interest margin of 4.18%, an increase of 37 basis points from the previous year [7][8]. - Noninterest income totaled $1.3 million, a significant increase from $924,000 in Q3 2024, primarily due to a gain on the sale of SBA loans [10][11]. Loan and Deposit Growth - Total loans receivable amounted to $528.3 million, reflecting a 4.5% year-over-year increase [6]. - Total deposits were $543.2 million, a 6.4% increase from $510.5 million in Q3 2024 [6]. Efficiency and Asset Quality - The efficiency ratio improved to 59.0% from 67.9% in Q3 2024, indicating better operational efficiency [4][20]. - Nonperforming assets to total assets increased to 0.84% from 0.45% in Q3 2024, attributed to specific SBA loans [4][6]. Capital and Liquidity - Total stockholders' equity rose to $68.5 million, an increase of 11.8% from $62.9 million in Q3 2024 [6]. - The allowance for credit losses as a percentage of total loans was 1.19% at the end of Q3 2025, up from 1.06% at the end of 2024 [9][20]. Dividend Announcement - A quarterly cash dividend of $0.14 per share is set to be paid on December 1, 2025, reflecting the company's commitment to enhancing stockholder value [5][7].