Second quarter 2024 net income of $0.8 million, or $0.32 per share
Qaverage return on assets of 0.7% and return on average equity of 4.4%
SALEM, Ore.–(BUSINESS WIRE)–Oregon Bancorp, Inc. (OTCBB: ORBN) (the Company), the parent company of Willamette Valley Bank, reported second-quarter earnings of $801,000 and $0.32 per share. The Company's quarterly return on average assets and return on average dividends were 0.7% and 4.4%, respectively. This compares to $634,000 in revenue and $0.26 per share outstanding for the quarter ending March 31, 2024.
The Company's balance sheet grew by $82.3 million in the quarter. This was largely the result of a strategy to increase income by investing more in securities issued by the United States government. Accordingly, we entered into an interest rate swap agreement designed to minimize changes in the value of these securities. These investments have improved our net profit but resulted in a decrease in our gross profit margin. The Company's profit margin fell from 4.2% to 3.4% in the second quarter. The bank's asset quality and capital remain strong, allowing the Board of Directors to issue a $0.20 per share quarterly dividend on July 15, 2024.
Ryan Dempster, President and CEO, commented, While the economy continues to stabilize, economic data related to employment and inflation are beginning to show some slowdown, which has led to renewed speculation that the Federal Reserve may cut interest rates later this year. This may lead to acceptable reductions in loan interest rates for borrowers.
About Oregon Bancorp, Inc.
Oregon Bancorp, Inc. is the parent company of Willamette Valley Bank (the Bank), a community bank headquartered in Salem, Oregon. The Bank conducts commercial and retail banking activities at four fully serviced branch locations in Salem, Keizer, Silverton, and Albany, Oregon. The Bank also has five mortgage centers in Oregon and Idaho. For more information about Oregon Bancorp, Inc. or its subsidiary, Willamette Valley Bank, please call (503) 485-2222 or visit our website at www.willamettevalleybank.com.
| VERIFIED MEASUREMENT SHEETS (Unaudited) | |||||||||||
| (Amounts in thousands without sharing data) | |||||||||||
| June 30, | March 31, | ||||||||||
| PROPERTY |
2024 |
|
2023 |
|
2024 |
||||||
| Cash and short term investments |
$ |
21,050 |
|
$ |
15,373 |
|
$ |
19,591 |
|
||
| Securities available for sale, at fair value |
|
100,643 |
|
|
30,075 |
|
|
32,516 |
|
||
| Loans available for sale, at fair value |
|
14,849 |
|
|
37,080 |
|
|
18,387 |
|
||
| Loan: | |||||||||||
| Real estate |
|
317,261 |
|
|
276,665 |
|
|
303,247 |
|
||
| Commercial |
|
6,524 |
|
|
6,109 |
|
|
6,634 |
|
||
| Other |
|
1,054 |
|
|
777 |
|
|
2,028 |
|
||
| Deferred fees and expenses |
|
(751 |
) |
|
(625 |
) |
|
(781 |
) |
||
| Loan loss reserve |
|
(3,443 |
) |
|
(2,773 |
) |
|
(3,275 |
) |
||
| Total loan amount |
|
320,645 |
|
|
280,153 |
|
|
307,853 |
|
||
| Goods and other goods |
|
23,339 |
|
|
20,595 |
|
|
19,289 |
|
||
| Total assets |
$ |
480,526 |
|
$ |
383,276 |
|
$ |
397,636 |
|
||
| OBLIGATIONS | |||||||||||
| Deposit: | |||||||||||
| Disinterested demand |
$ |
30,866 |
|
$ |
32,484 |
|
$ |
32,503 |
|
||
| Demand with interest |
|
77,994 |
|
|
92,033 |
|
|
78,089 |
|
||
| Savings and Money Market |
|
118,229 |
|
|
106,525 |
|
|
116,665 |
|
||
| Certificates of deposit |
|
84,099 |
|
|
62,705 |
|
|
85,219 |
|
||
| Total deposit |
|
311,188 |
|
|
293,747 |
|
|
312,476 |
|
||
| Borrowing |
|
88,250 |
|
|
5,000 |
|
|
4,000 |
|
||
| Other debts |
|
8,554 |
|
|
11,664 |
|
|
8,244 |
|
||
| Total debts |
|
407,992 |
|
|
310,411 |
|
|
324,720 |
|
||
| INDUSTRY EQUALITY |
|
72,534 |
|
|
72,865 |
|
|
72,916 |
|
||
| Total liabilities and stockholders' equity |
$ |
480,526 |
|
$ |
383,276 |
|
$ |
397,636 |
|
||
| Book value per common share |
$ |
29.22 |
|
$ |
29.46 |
|
$ |
29.55 |
|
||
| CONSOLIDATED INCOME STATEMENTS (Unaudited) | |||||||||||
| (Amounts in thousands without sharing data) | |||||||||||
| Six Months to End | Three Months End | ||||||||||
| June 30, 2024 | June 30, 2023 | June 30, 2024 | June 30, 2023 | ||||||||
| Interest rate |
$ |
11,774 |
$ |
9,581 |
$ |
6,402 |
$ |
4,788 |
|||
| Interest expense |
|
4,137 |
|
1,475 |
|
2,642 |
|
975 |
|||
| Interest income |
|
7,637 |
|
8,106 |
|
3,760 |
|
3,813 |
|||
| Loan loss provision |
|
288 |
|
112 |
|
169 |
|
112 |
|||
| All interest income after assignment |
|
7,349 |
|
7,994 |
|
3,591 |
|
3,701 |
|||
| Non-interest income |
|
6,239 |
|
9,674 |
|
3,229 |
|
5,319 |
|||
| Non-interest bearing expenses |
|
11,683 |
|
14,517 |
|
5,778 |
|
7,663 |
|||
| Net income before income tax |
|
1,905 |
|
3,151 |
|
1,042 |
|
1,357 |
|||
| Provision of income taxes |
|
470 |
|
786 |
|
241 |
|
334 |
|||
| Net income after income tax |
$ |
1,435 |
$ |
2,365 |
$ |
801 |
$ |
1,023 |
|||
| Net income per common share, basic |
$ |
0.58 |
$ |
0.96 |
$ |
0.32 |
$ |
0.41 |
|||
Forward-Looking Statements
Certain statements in this release may be considered forward-looking statements. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and assumptions, so you should not place undue reliance on them. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to publicly update any of them as a result of new information or future events. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement.
View the source version at businesswire.com:
Ryan Dempster
Company Oregon Bancorp, Inc.
503-485-2222
bank@wvbk.com
Source: Oregon Bancorp, Inc.
