Ohio Valley Banc Corp. Reports 4th Quarter and Record Fiscal Year Earnings

Core Insights - Ohio Valley Banc Corp. reported a consolidated net income of $3,955,000 for Q4 2025, marking a 57.3% increase from the same period last year, with earnings per share rising to $0.84 from $0.53 [1][11] - For the full year 2025, net income reached $15,601,000, a 41.8% increase year-over-year, with earnings per share increasing to $3.31 from $2.32 [1][11] - The company achieved record earnings in its 153rd year, reflecting strong employee dedication and community commitment [2] Financial Performance - Net interest income for Q4 2025 increased by $2,403,000, and for the full year, it rose by $8,941,000 compared to the previous year [2] - The net interest margin improved to 4.18% for Q4 2025, up from 3.70% in Q4 2024, and 4.07% for the full year, compared to 3.71% the previous year [3][11] - Average earning assets increased by $103 million year-over-year, driven by a $75 million growth in average loans and a $53 million growth in average securities [2] Loan and Deposit Growth - Total loans increased by $134 million, or 12.6%, primarily in commercial real estate, commercial and industrial, and residential real estate segments [8] - The company emphasized higher profitability segments, leading to a decrease in consumer loans [2][8] - Total deposits rose by $54 million, with significant contributions from time deposits [8] Credit Quality - The provision for credit loss expense for Q4 2025 was $378,000, down from the previous year, while the full year provision increased to $3,054,000 [4][5] - The ratio of nonperforming loans to total loans was 1.40% at year-end 2025, up from 0.46% a year earlier, primarily due to two commercial loans placed on nonaccrual status [5] Noninterest Income and Expenses - Noninterest income decreased by $3,192,000 for Q4 2025 and $4,201,000 for the full year, largely due to losses on the sale of securities [6] - Noninterest expenses for Q4 2025 totaled $10,853,000, a decrease of $2,453,000 from the previous year, with significant reductions in salaries and employee benefits [7] Asset and Equity Position - Total assets at December 31, 2025, were $1.583 billion, an increase of $79 million from the previous year [8] - Shareholders' equity increased by $19.9 million, driven by net income and an increase in accumulated other comprehensive income [8]