MCCALL, Idaho, July 28, 2023 (GLOBE NEWSWIRE) -- Peak Bancorp, Inc., (the Company) (OTC: IDFB), the holding company for Idaho First Bank (the Bank), today announced unaudited financial results for the quarter ending June 30, 2023.
Chief Executive Officer Todd Cooper commented, “In Q2 2023 our financial performance continues to reflect the terrific work our entire team has done building quality relationships with our bank customers. Continued non-interest expense discipline offset the impact of increasing deposit costs on Net Interest Income. Compared to prior quarter net income after tax decreased slightly impacted by a higher Allowance for Credit Loss reflecting the continued growth in our loan portfolio.”
First Half 2023 vs. First Half 2022
Net Interest Income increased 25% from $8.87 million to $11.06 million as a result of loan and deposit growth, and improved net interest margin.
Net Income after tax increased 108% from $1.21 million to $2.52 million which was also the result average earning asset growth combined with improved net interest margin.
Mortgage banking income decreased by 82%, from $234 thousand to $43 thousand, due to the continued slowdown in mortgage refinance activity.
Noninterest expenses increased 2%, from $7.42 million to $7.60 million, reflecting ongoing cost-control efforts.
Stockholder’s equity increased 13% to $47.81 million at period end, which was the result of continued earnings held in the company.
Second Quarter 2023 vs. First Quarter 2023
Net Interest Income declined 2% from $5.59 million to $5.47 million, which was driven by an increase in cost of funds.
Net Income after tax decreased 5% from $1.29 million to $1.23 million, as a decrease in noninterest expense was offset by an increase in provision for credit losses.
Noninterest expenses declined 7% from $3.94 million to $3.66 million.
Average loans increased by 6% to $497 million, while average deposits increased 4% to $520 million.
Chairman Mark Miller noted, “The board is pleased with the results from the first six months of 2023, a time when banking news was challenging the deposit costs were increasing. The team remained focused on building relationships and controlling costs, and as a result continued to deliver strong financial performance.”
Credit quality and portfolio performance both remain historically strong. A commitment to remaining credit disciplined combined with proactive credit monitoring have resulted in continued strong credit portfolio metrics. The Bank continues to fund the allowance for credit losses to support the growing loan balances. At quarter-end the allowance was $6.39 million or 1.26% of loans. Chief Credit Officer Shannon Stoeger commented, “Our credit and relationship teams continue to show great discipline around maintaining underwriting standards, and closely monitoring the performance of our borrowers. Additionally, the bank remained committed to appropriately funding our Allowance for Credit Loss to support a growing portfolio.”
About Peak Bancorp, Inc.
Peak Bancorp, Inc., is the holding company for Idaho First Bank, a state chartered community bank headquartered in McCall, Idaho. Known for its People First motto, Idaho First Bank serves greater southwest Idaho with branches located in McCall, New Meadows, Eagle, Ketchum, Nampa and Boise, as well as a branch located in Bend, Oregon. Idaho First Bank is a member of the FDIC and an Equal Housing Lender. For more information, visit us at www.idahofirstbank.com
This release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 (“PSLRA”). Such forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, economic conditions, the regulatory environment, loan concentrations, vendors, employees, technology, competition, and interest rates. Readers are cautioned not to place undue reliance on the forward-looking statements. Idaho First Bank has no obligation to publicly update forward-looking statements after the date of this release. This statement is included for the express purpose of invoking PSLRA’s safe harbor provisions.
