In This Article:
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Net Earnings: $3.9 million for Q3 2024.
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Earnings Per Share (EPS): $0.72 on a fully diluted basis for Q3 2024.
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Return on Average Assets: 1.0% for Q3 2024.
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Return on Average Equity: 11.82% for Q3 2024.
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Efficiency Ratio: 66.5% for Q3 2024.
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Net Income Growth: 30.5% over the prior quarter and 36.6% over Q3 2023.
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Total Gross Loans: Increased by $21.3 million, reaching $1 billion.
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Deposit Balances: Increased by 8.0%.
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Net Interest Income: Grew by 5.7% in Q3 2024.
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Net Interest Margin: Increased by 9 basis points to 3.30%.
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Noninterest Income: Increased by $533,000 over the prior quarter.
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Allowance for Credit Losses: $11.5 million as of September 30, 2024.
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Dividend: Cash dividend of $0.21 per share declared.
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Stock Dividend: 5% stock dividend declared.
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Interest Income on Loans: Increased by $911,000 in Q3 2024.
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Interest Expense on Deposits: Increased by $157,000 in Q3 2024.
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Noninterest Expense: Decreased by $536,000 compared to the prior quarter.
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Effective Tax Rate: 18.1% for Q3 2024.
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Loan-to-Deposit Ratio: 77.6% as of September 30, 2024.
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Stockholders' Equity: Increased by $11.4 million to $139.7 million.
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Book Value Per Share: $25.39 as of September 30, 2024.
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Nonperforming Loans: Totaled $13.4 million, an increase of $8.4 million from the prior quarter.
Release Date: October 31, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Landmark Bancorp Inc (NASDAQ:LARK) reported net earnings of $3.9 million for the third quarter of 2024, a significant increase from the previous quarter and the same period in 2023.
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The company achieved a milestone with total gross loan balances reaching $1 billion for the first time in its history.
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Net interest income grew by 5.7%, and the net interest margin increased by 9 basis points to 3.30% compared to the second quarter of 2024.
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Noninterest income increased by $533,000 over the prior quarter, driven by higher fee-based revenue, residential mortgage revenue, and gains on the sale of a former branch facility.
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The Board of Directors declared a cash dividend of $0.21 per share and a 5% stock dividend, demonstrating a long-term commitment to shareholder value and liquidity.
Negative Points
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Nonperforming loans increased significantly, with nonaccrual loans totaling $13.4 million, primarily due to a single secured commercial loan relationship.
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Interest expense on deposits increased by $157,000, driven by higher balances in high-yielding deposit accounts.
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The balance of past due loans between 30 and 89 days increased by $5.4 million, indicating potential credit risk concerns.
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Interest income on investment securities decreased by $70,000 due to a decline in average investment securities balances.
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Noninterest checking and savings accounts declined by $5.6 million, which could impact future liquidity.