HUNTINGTON, Ind., Oct. 23, 2024 /PRNewswire/ -- Northeast Indiana Bancorp, Inc., (OTCQB: NIDB), the parent company of First Federal Savings Bank, today announced net income of $1.0 million ($0.43 per diluted common share) for the third quarter ended September 30, 2024 compared to net income of $1.2 million ($0.51 per diluted common share) for the third quarter ended September 30, 2023. The current quarter earnings equate to an annualized return on average assets (ROA) of 0.79% and an annualized return on average equity (ROE) of 8.46% compared to an annualized ROA of 1.02% and an annualized ROE of 11.16% for the third quarter ending September 30, 2023.
(PRNewsfoto/Northeast Indiana Bancorp, Inc.)
Net income for the nine months ended September 30, 2024, was $3.3 million, or $1.39 per diluted common share, compared to net income of $3.5 million, or $1.46 per diluted common share for the nine months ended September 30, 2023. The current nine months earnings equate to an annualized ROA of 0.87% and an annualized ROE of 9.49% compared to an annualized ROA of 1.01% and an annualized ROE of 10.72% for the nine months ended September 30, 2023.
For both the current quarter and nine months ended in 2024 as compared to the same periods in 2023, additional provision for credit loss expense contributed to the decrease of net income and was the result of increasing specific reserves on existing loans. An increase in other income during both periods in 2024 as compared to the same periods in 2023 helped to offset the increased expense.
Total assets increased $21.2 million, or 5.7% on an annualized basis, to $519.9 million at September 30, 2024 compared to total assets of $498.7 million at December 31, 2023. Total loans increased $13.6 million, or 4.9% on an annualized basis, to $384.3 million at September 30, 2024 compared to total loans of $370.7 million at December 31, 2023. Total deposits increased $18.7 million, or 6.2% on an annualized basis, to $419.8 million at September 30, 2024 compared to $401.1 million at December 31, 2023.
Shareholders' equity increased $2.8 million to $49.2 million at September 30, 2024 compared to $46.4 million at December 31, 2023. The book value of NIDB stock increased $0.93 to $20.46 per common share as of September 30, 2024, compared to $19.53 the previous quarter end. The number of outstanding common shares was 2,403,696 as of September 30, 2024.
*All share data has been adjusted to reflect Northeast Indiana Bancorp, Inc.'s two-for-one stock split effective July 14, 2023.
Northeast Indiana Bancorp, Inc. is headquartered at 648 N. Jefferson Street, Huntington, Indiana. The company offers a full array of banking and financial brokerage services to its customers through its main office in Huntington and seven full-service Indiana offices in Huntington (2), Warsaw (2) and Fort Wayne (3). The Company is traded on the OTC Markets Group, Inc. (www.otcmarkets.com) utilizing the OTCQB platform under the symbol "NIDB". Our web site address is www.firstfedindiana.bank.
This press release may contain forward-looking statements, which are based on management's current expectations regarding economic, legislative and regulatory issues. Factors which may cause future results to vary materially include, but are not limited to, general economic conditions, changes in interest rates, loan demand, and competition. Additional factors include changes in accounting principles, policies or guidelines; changes in legislation or regulation; and other economic, competitive, regulatory and technological factors affecting each company's operations, pricing, products and services.
NORTHEAST INDIANA BANCORP
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
September 30,
December 31,
September 30,
Balance Sheet (Unaudited)
2024
2023
2023
(Audited)
Assets
Non-interest earning cash and cash equivalents
$ 6,541,441
$ 4,304,296
$ 4,452,087
Interest-earning cash and cash equivalents
5,501,247
1,166,180
1,170,142
Total cash and cash equivalents
12,042,688
5,470,476
5,622,229
Interest-earning time deposits
4,520,000
4,320,000
4,324,000
Securities available for sale
75,040,367
76,228,755
72,562,496
Securities held to maturity
12,628,794
12,754,763
12,765,697
Loans held for sale
477,000
-
286,205
Loans, gross
390,627,340
375,992,822
363,830,115
Allowance for loan losses
(6,326,783)
(5,335,305)
(4,529,632)
Loans, net
384,300,557
370,657,517
359,300,483
Accrued interest receivable
2,485,615
2,354,636
2,238,906
Premises and equipment
7,930,946
7,366,169
7,075,694
FHLB Stock
2,835,000
2,227,500
2,182,500
Investment in limited partnerships
703,334
928,334
1,003,334
Cash surrender value of life insurance
12,075,427
11,751,653
11,675,890
Other assets
4,811,913
4,624,206
5,389,135
Total Assets
$ 519,851,641
$ 498,684,009
$ 484,426,569
Liabilities and Stockholders' Equity
Non-interest bearing deposits
$ 48,860,067
$ 54,764,981
$ 56,131,800
Interest bearing deposits
370,951,769
346,307,200
335,395,992
Borrowed funds
45,500,000
47,250,000
45,000,000
Accrued interest payable and other liabilities
5,355,964
3,941,438
4,049,508
Total Liabilities
470,667,800
452,263,619
440,577,300
Stockholders' equity
49,183,841
46,420,390
43,849,269
Total Liabilities and Stockholders' Equity
$ 519,851,641
$ 498,684,009
$ 484,426,569
Three months ended
Nine months ended
September 30,
June 30,
September 30,
September 30,
September 30,
Income Statement (Unaudited)
2024
2024
2023
2024
2023
Net interest income
Total interest income
$ 7,178,589
$ 7,082,107
$ 6,354,262
$ 20,990,629
$ 17,455,735
Total interest expense
3,369,314
3,318,155
2,610,737
9,792,811
6,632,701
Net interest income
3,809,275
3,763,952
3,743,525
11,197,818
10,823,034
Provision for credit loss expense
Loans
495,000
100,000
90,000
1,095,000
270,000
Off-balance sheet credit exposures
(45,000)
(25,000)
-
(70,000)
-
Total provision for credit loss expense
450,000
75,000
90,000
1,025,000
270,000
Net interest income after provision for loan losses
3,359,275
3,688,952
3,653,525
10,172,818
10,553,034
Non-interest income
Service charges on deposit accounts
174,619
175,044
184,111
528,332
549,989
Interchange fees
208,053
208,124
199,248
616,195
591,772
Loan servicing fees
63,117
98,161
102,753
270,986
306,526
Net gain on sale of loans
137,577
109,679
115,722
283,281
261,195
Brokerage fees
624
988
44,957
2,794
155,240
Increase in cash surrender value of life insurance
83,603
83,254
74,217
249,399
221,226
Other income
332,725
539,086
37,652
958,455
384,883
Total non-interest income
1,000,318
1,214,336
758,660
2,909,442
2,470,832
Non-interest expense
Salaries and employee benefits
1,652,277
1,637,218
1,604,968
4,929,765
4,972,918
Occupancy
390,467
363,586
330,735
1,109,104
1,041,135
Data processing
435,356
397,025
397,132
1,271,213
1,185,772
Deposit insurance premiums
75,000
88,000
46,000
237,000
151,500
Professional fees
179,392
171,275
173,208
454,680
427,468
Advertising and marketing fees
85,424
101,095
13,909
274,199
182,139
Correspondent bank charges
36,337
44,094
35,395
120,027
109,468
Other expense
273,585
332,658
386,385
947,739
923,389
Total non-interest expense
3,127,838
3,134,951
2,987,732
9,343,727
8,993,789
Income before income taxes
1,231,755
1,768,337
1,424,453
3,738,533
4,030,077
Income tax expense
214,410
174,809
193,172
405,471
511,659
Net income
$ 1,017,345
$ 1,593,528
$ 1,231,281
$ 3,333,062
$ 3,518,418
Three months ended
Nine months ended
September 30,
June 30,
September 30,
September 30,
September 30,
Selected Financial Ratios and Other Financial Data (Unaudited)
2024
2024
2023
2024
2023
Average shares outstanding - basic
2,387,823
2,401,499
2,402,070
2,398,109
2,401,809
Average shares outstanding - diluted
2,387,823
2,401,499
2,402,094
2,398,109
2,401,846
Basic earnings per share
$ 0.43
$ 0.66
$ 0.51
$ 1.39
$ 1.46
Diluted earnings per share
$ 0.43
$ 0.66
$ 0.51
$ 1.39
$ 1.46
Net interest margin
3.06 %
3.05 %
3.21 %
3.04 %
3.22 %
Return on average assets
0.79 %
1.24 %
1.02 %
0.87 %
1.01 %
Return on average equity
8.46 %
13.80 %
11.16 %
9.49 %
10.72 %
Efficiency ratio
65.03 %
62.97 %
66.36 %
66.23 %
67.65 %
Allowance for loan losses:
Balance, beginning of period
$ 5,885,564
$ 5,790,301
$ 4,508,446
$ 5,335,305
$ 3,996,619
Charge-offs:
One-to-four family
39,022
-
21,457
39,022
27,466
Commercial real estate
-
-
-
-
-
Land/land development
-
-
-
-
-
Commercial
-
-
-
-
-
Consumer
52,872
24,953
73,324
147,549
130,265
Gross charge-offs
91,894
24,953
94,781
186,571
157,731
Recoveries:
One-to-four family
1,523
-
586
1,523
586
Commercial real estate
-
-
-
-
-
Land/land development
-
-
-
-
-
Commercial
-
-
600
-
3,730
Consumer
36,590
20,216
24,781
81,526
66,428
Gross recoveries
38,113
20,216
25,967
83,049
70,744
Net charge-offs (recoveries)
53,781
4,737
68,814
103,522
86,987
CECL adjustment
-
-
-
-
350,000
Provision for loan losses
495,000
100,000
90,000
1,095,000
270,000
Balance, end of period
$ 6,326,783
$ 5,885,564
$ 4,529,632
$ 6,326,783
$ 4,529,632
Net loan charge-offs (recoveries) to average loans
0.06 %
0.00 %
0.08 %
0.04 %
0.03 %
As of
September 30,
June 30,
September 30,
Non-performing assets
2024
2024
2023
Loans:
Non-accrual
$ 4,551,701
$ 5,222,476
$ 3,667,841
Past 90 days or more and still accruing
-
-
-
Troubled debt restructured
507,797
524,970
524,970
Total non-performing loans
5,059,498
5,747,446
4,192,811
Real estate owned
-
-
-
Other repossessed assets
-
-
-
Total non-performing assets
$ 5,059,498
$ 5,747,446
$ 4,192,811
Non-performing assets to total assets
0.97 %
1.12 %
0.87 %
Non-performing loans to gross loans
1.30 %
1.49 %
1.15 %
Allowance for loan losses to non-performing loans
125.05 %
102.40 %
108.03 %
Allowance for loan losses to gross loans
1.62 %
1.53 %
1.24 %
Other financial ratios
Tangible common equity
9.46 %
9.23 %
9.05 %
Book value per share
$ 20.46
$ 19.53
$ 18.08
Common shares outstanding
2,403,696
2,417,283
2,425,670
(1) Ratios for three and nine-month periods are annualized
(2) All share data has been adjusted for the 2:1 stock split on July 14, 2023
