Shreveport, Louisiana – May 1, 2025 – Home Federal Bancorp, Inc. of Louisiana (the "Company") (Nasdaq: HFBL), the holding company of Home Federal Bank, reported net income for the three months ended March 31, 2025, of $748,000 compared to net income of $732,000 reported for the three months ended March 31, 2024. The Company's basic and diluted earnings per share were $0.24 for the three months ended March 31, 2025 and for the three months ended March 31, 2024. The Company reported net income of $2.7 million ...

Shreveport, Louisiana, May 01, 2025 (GLOBE NEWSWIRE) -- Home Federal Bancorp, Inc. of Louisiana (the “Company”) (Nasdaq: HFBL), the holding company of Home Federal Bank, reported net income for the three months ended March 31, 2025, of $748,000 compared to net income of $732,000 reported for the three months ended March 31, 2024. The Company’s basic and diluted earnings per share were $0.24 for the three months ended March 31, 2025 and for the three months ended March 31, 2024. The Company reported net inco ...

Financial Performance - Net interest income for the three months ended December 31, 2024, was $4,600,000, down from $4,903,000 for the same period in 2023, a decrease of about 6.2%[10] - Net income for the three months ended December 31, 2024, was $1,020,000, compared to $1,003,000 for the same period in 2023, reflecting a slight increase of 1.7%[10] - Non-interest income for the three months ended December 31, 2024, was $488,000, compared to $137,000 for the same period in 2023, indicating a significant increase of 255.5%[10] - Total non-interest expense for the three months ended December 31, 2024, was $3,836,000, down from $4,249,000 for the same period in 2023, a decrease of about 9.7%[10] - Net income for the six months ended December 31, 2024, was $1,961,000, compared to $2,223,000 for the same period in 2023, indicating a decrease of about 11.8%[21] - The company reported a net cash provided by operating activities of $3,461,000 for the six months ended December 31, 2024, compared to a net cash used of $190,000 in the same period of 2023[21] - The total comprehensive income for the three months ended December 31, 2024, was $8,000, compared to $2,347,000 for the same period in 2023, indicating a significant decrease[12] - The total comprehensive income for the six months ended December 31, 2024, included an unrealized loss on debt securities of $10,000, compared to an unrealized gain of $532,000 in the same period of 2023[22] Assets and Liabilities - Total assets decreased from $637,512,000 on June 30, 2024, to $607,763,000 on December 31, 2024, representing a decline of approximately 4.7%[8] - Total deposits decreased from $574,007,000 on June 30, 2024, to $546,544,000 on December 31, 2024, a reduction of approximately 4.8%[8] - Total cash and cash equivalents at the end of the period were $19,540,000, down from $34,948,000 at the beginning of the period, representing a decrease of approximately 44%[22] - Total liabilities decreased by $30.9 million, or 5.3%, from $584.7 million at June 30, 2024 to $553.8 million at December 31, 2024[176] - Shareholders' equity increased by $1.1 million, or 2.1%, from $52.8 million at June 30, 2024 to $53.9 million at December 31, 2024, driven by net income of $2.0 million[177] Loans and Credit Quality - As of December 31, 2024, total loans receivable amounted to $463.5 million, a decrease from $475.5 million as of June 30, 2024, representing a decline of approximately 2.2%[94] - The net loans receivable after allowance for credit losses was $458.7 million at December 31, 2024, compared to $470.9 million at June 30, 2024, indicating a reduction of about 2.6%[94] - The allowance for credit losses increased from $4.57 million as of June 30, 2024, to $4.75 million as of December 31, 2024, marking an increase of approximately 4.0%[94] - The overall financial health of the loan portfolio appears stable, with a majority of loans rated as "Pass" across all categories[107] - As of December 31, 2024, total past due loans amounted to $6,052,000, with $1,822,000 being more than 90 days past due, representing a significant increase from $2,900,000 total past due loans as of June 30, 2024[114] Earnings Per Share - Basic earnings per share for the three months ended December 31, 2024, remained stable at $0.33, unchanged from the same period in 2023[10] - Basic and diluted earnings per share for the six months ended December 31, 2024, were $0.64, down from $0.73 for the same period in 2023[70] - Diluted earnings per share for the six months ended December 31, 2024, was $0.64, compared to $0.72 for the same period in 2023, indicating a decrease of approximately 11.1%[124] Credit Losses and Provisions - The provision for credit losses for the three months ended December 31, 2024, was a recovery of $45,000, compared to a recovery of $16,000 for the same period in 2023[10] - The company recognized no interest income on non-accrual loans for the six months ended December 31, 2024, and the potential gross interest income that could have been recorded was approximately $54,000[114] Regulatory and Compliance - Home Federal Bank's common equity tier 1 ratio was 13.23% at December 31, 2024, exceeding minimum capital requirements[178] - The Bank's tangible common equity tier 1 ratio was 13.23% as of December 31, 2024, exceeding regulatory capital requirements[202] Miscellaneous - The Company has implemented the current expected credit loss (CECL) model effective July 1, 2023, to estimate the allowance for credit losses (ACL) on loans[45] - The Company held no trading securities as of December 31, 2024, and June 30, 2024[37] - The Bank's investment in Federal Home Loan Bank (FHLB) stock is reflected at cost, as required by FHLB membership[40] - The Company has one wholly-owned subsidiary, Metro Financial Services, Inc., which does not currently engage in a meaningful amount of business[30]

Financial Performance - The Company reported net income of $1.02 million for the three months ended December 31, 2024, a slight increase from $1.00 million for the same period in 2023[1]. - For the six months ended December 31, 2024, net income was $2.0 million, down from $2.2 million in the prior year[1]. - Net income for the six-month period ending December 31, 2024, was $2.0 million, compared to $2.2 million for the same period in 2023, reflecting a decrease of approximately 11.74%[21]. Income and Expenses - Non-interest expense decreased by $413,000, or 9.7%, for the three months ended December 31, 2024, primarily due to reductions in various expense categories[2]. - Non-interest income increased by $351,000, or 256.2%, for the three months ended December 31, 2024, mainly due to a decrease in loss on sale of real estate[2]. - Total interest income for the six months ended December 31, 2024, was $15.4 million, down from $16.2 million in the same period of 2023, a decline of about 4.68%[21]. Assets and Liabilities - Total assets decreased by $29.7 million, or 4.7%, from $637.5 million at June 30, 2024, to $607.8 million at December 31, 2024[9]. - Total liabilities decreased by $30.9 million, or 5.3%, from $584.7 million at June 30, 2024, to $553.8 million at December 31, 2024[10]. - Total assets decreased from $637.5 million at June 30, 2024, to $607.8 million at December 31, 2024, a decline of approximately 4.65%[19]. - Total deposits decreased from $574.0 million at June 30, 2024, to $546.5 million at December 31, 2024, a reduction of about 4.77%[19]. Asset Quality - Nonperforming assets totaled $1.8 million, or 0.30% of total assets, at December 31, 2024, unchanged from June 30, 2024[4]. - As of December 31, 2024, non-performing assets decreased to $1.8 million from $1.9 million as of June 30, 2024, representing a reduction of approximately 5.26%[11]. - The allowance for credit losses as a percentage of total loans receivable was 1.02% as of December 31, 2024, compared to 1.00% at June 30, 2024[22]. Shareholder Equity - Shareholders' equity increased by $1.1 million, or 2.1%, from $52.8 million at June 30, 2024, to $53.9 million at December 31, 2024[13]. - Book value per share increased to $17.22 at December 31, 2024, from $16.73 at June 30, 2024[22]. Interest Rates - The average interest rate spread was 2.40% for the three months ended December 31, 2024, compared to 2.45% for the same period in 2023[2]. - The Company's net interest margin was 3.12% for the three months ended December 31, 2024, down from 3.14% in the prior year[2]. - The average interest rate spread for the three months ended December 31, 2024, was 2.40%, slightly down from 2.45% in the same period of 2023[22]. Return on Assets - The return on average assets for the six months ended December 31, 2024, was 0.62%, compared to 0.67% for the same period in 2023[22].

Core Viewpoint - Home Federal Bancorp, Inc. of Louisiana reported a slight increase in net income for the three months ended December 31, 2024, compared to the same period in 2023, but a decrease in net income for the six months ended December 31, 2024, compared to the prior year [1][3]. Financial Performance - For the three months ended December 31, 2024, net income was $1.02 million, up from $1.00 million in the same period of 2023, with earnings per share remaining stable at $0.33 [1]. - For the six months ended December 31, 2024, net income decreased to $2.0 million from $2.2 million in the same period of 2023, with earnings per share dropping from $0.73 to $0.64 [1][3]. Income and Expense Analysis - The increase in net income for the three months ended December 31, 2024, was primarily due to a decrease in non-interest expense by $413,000 (9.7%) and an increase in non-interest income by $351,000 (256.2%) [2]. - The decrease in net income for the six months ended December 31, 2024, was mainly due to a decline in net interest income by $1.2 million (11.4%) and an increase in provision for income taxes by $71,000 (62.3%) [3]. Interest Income and Expense - For the three months ended December 31, 2024, total interest income was $7.658 million, down from $8.080 million in the same period of 2023, while total interest expense decreased slightly from $3.177 million to $3.058 million [23]. - The average interest rate spread for the three months ended December 31, 2024, was 2.40%, compared to 2.45% for the same period in 2023 [24]. Asset and Liability Management - Total assets decreased by $29.7 million (4.7%) from $637.5 million at June 30, 2024, to $607.8 million at December 31, 2024, primarily due to a reduction in cash and cash equivalents and net loans receivable [10]. - Total liabilities decreased by $30.9 million (5.3%) from $584.7 million at June 30, 2024, to $553.8 million at December 31, 2024, with total deposits declining by $27.5 million (4.8%) [11]. Shareholders' Equity - Shareholders' equity increased by $1.1 million (2.1%) from $52.8 million at June 30, 2024, to $53.9 million at December 31, 2024, driven by net income and other equity transactions [13]. Asset Quality - Non-performing assets totaled $1.8 million (0.30% of total assets) at December 31, 2024, unchanged from June 30, 2024 [6][12]. - The allowance for credit losses as a percentage of non-performing loans was 260.70% at December 31, 2024, compared to 226.50% at June 30, 2024 [25].

Financial Performance - Net income for the three months ended September 30, 2024, was $941,000, compared to $1,220,000 for the same period in 2023, reflecting a decline of approximately 22.93%[8]. - Basic earnings per share for the three months ended September 30, 2024, was $0.31, compared to $0.40 for the same period in 2023, a decrease of 22.5%[7]. - Net interest income after recovery of credit losses for the three months ended September 30, 2024, was $4,650,000, down from $5,284,000 for the same period in 2023, a decrease of about 11.99%[7]. - Total non-interest income for the three months ended September 30, 2024, was $300,000, down from $434,000 in the same period of 2023, a decrease of about 30.9%[7]. - The company reported a recovery of credit losses of $(223,000) for the three months ended September 30, 2024, compared to no recovery in the same period of 2023[7]. - The total comprehensive income for the three months ended September 30, 2024, included an unrealized loss on securities available-for-sale of $1,002,000[10]. - Other comprehensive income for the three months ended September 30, 2024, was $1,002,000, compared to a loss of $812,000 for the same period in 2023, indicating a significant improvement[8]. Assets and Liabilities - Total assets decreased from $637,512,000 on June 30, 2024, to $628,404,000 on September 30, 2024, representing a decline of approximately 1.7%[5]. - Total liabilities decreased from $584,709,000 on June 30, 2024, to $574,137,000 on September 30, 2024, a reduction of approximately 1.0%[5]. - Total stockholders' equity increased from $52,803,000 on June 30, 2024, to $54,267,000 on September 30, 2024, an increase of about 2.77%[5]. - Cash and cash equivalents at the end of the period rose to $41,044,000, compared to $8,878,000 at the end of the same period in 2023, indicating a significant increase of approximately 362%[12]. - Total deposits decreased from $574,007,000 on June 30, 2024, to $564,560,000 on September 30, 2024, a decline of approximately 1.3%[5]. Loan Portfolio - Total loans receivable decreased to $458.8 million from $475.5 million, representing a decline of approximately 3.5%[69]. - The net loans receivable after allowance for credit losses is $454.0 million, down from $470.9 million, indicating a reduction of about 3.6%[69]. - The total mortgage loans amount to $410.2 million, a decrease from $425.0 million, reflecting a decline of approximately 3.5%[69]. - The total risk-rated loans across all categories were $458.829 million, with a significant portion rated as pass at $447.121 million, demonstrating overall sound credit quality[81]. - The company reported no current period gross charge-offs across all loan categories, indicating effective risk management[78][79][80][81]. Credit Quality and Allowance for Credit Losses - The allowance for credit losses increased to $4.7 million from $4.6 million, showing a slight increase of about 2.8%[69]. - The company has maintained a strong credit quality with minimal special mention and substandard ratings across all loan categories, ensuring a robust financial position[78][80][81]. - The allowance for credit losses (ACL) is determined for two distinct categories of loans: collectively evaluated loans and individually evaluated loans[27]. - The ACL for loans is an estimate of expected losses to be realized over the life of the loans in the portfolio[27]. - The company reported recoveries of $352,000 for the three months ended September 30, 2024, compared to $13,000 for the same period in 2023, showing a significant increase[95]. Regulatory and Compliance - The Bank is subject to federal regulation by the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency[17]. - The Bank's common equity tier 1 capital ratio was 13.19% at September 30, 2024, exceeding minimum capital requirements[148]. - The Bank exceeded all capital requirements with common equity tier 1 and tier 1 capital ratios of 13.19% as of September 30, 2024[166]. Market and Investment - The company has off-balance sheet mortgage loan commitments totaling $13,644,000, with a fair value equal to the carrying amount[120]. - The fair value of loans receivable is estimated at $419,441,000, down from a carrying value of $454,039,000[120]. - The fair value of securities available-for-sale is $29,934,000, consistent with its carrying value[120]. - The company monitors its investment portfolio for unrealized losses to determine if any securities should be considered other than temporarily impaired[67].

Financial Performance - Net income for the three months ended September 30, 2024, was $941,000, a decrease from $1.2 million in the same period of 2023, resulting in earnings per share of $0.31 compared to $0.40 in 2023[1][2] - Net income for the three months ended September 30, 2024, was $941,000, compared to $1,220,000 for the same period in 2023, reflecting a decline of approximately 22.9%[18] - Return on average assets was 0.59% for the three months ended September 30, 2024, compared to 0.73% for the same period in 2023[20] - Return on average equity decreased to 7.23% for the three months ended September 30, 2024, down from 9.46% in the same period of 2023[20] Interest Income and Expenses - Net interest income decreased by $857,000, or 16.2%, due to an increase in total interest expense of $524,000, or 18.8%, and a decrease in total interest income of $333,000, or 4.1%[2] - The average interest rate spread was 2.23% for the three months ended September 30, 2024, down from 2.68% in the same period of 2023, with a net interest margin of 2.98% compared to 3.37% in 2023[2] - Net interest income after recovery of credit losses was $4,650,000 for the three months ended September 30, 2024, compared to $5,284,000 for the same period in 2023, a decline of approximately 11.9%[18] - The average interest rate spread decreased to 2.23% for the three months ended September 30, 2024, down from 2.68% in the same period of 2023[20] Assets and Liabilities - Total assets decreased by $9.1 million, or 1.4%, from $637.5 million at June 30, 2024, to $628.4 million at September 30, 2024, primarily due to a $16.9 million decrease in net loans receivable[7] - Total assets decreased to $628,404,000 as of September 30, 2024, down from $637,512,000 on June 30, 2024, representing a decline of approximately 1.7%[16] - Total liabilities decreased by $10.6 million, or 1.8%, from $584.7 million at June 30, 2024, to $574.1 million at September 30, 2024, with total deposits decreasing by $9.4 million, or 1.6%[8] - Total deposits decreased to $564,560,000 as of September 30, 2024, down from $574,007,000 on June 30, 2024, a decrease of about 1.8%[16] Non-Interest Income and Expenses - The company experienced a decrease in non-interest income of $134,000, or 30.9%, primarily due to an increase in loss on sale of real estate[5] - Non-interest income totaled $300,000 for the three months ended September 30, 2024, down from $434,000 in the same period of 2023, a decrease of about 30.9%[18] - Non-interest expense decreased by $177,000, or 4.2%, due to reductions in various expense categories, including advertising and compensation[6] Asset Quality - Non-performing assets decreased to $1.9 million at September 30, 2024, from $2.0 million at June 30, 2024[10] - Non-performing assets as a percentage of total assets increased to 0.31% as of September 30, 2024, compared to 0.28% as of September 30, 2023[20] - Allowance for credit losses as a percentage of non-performing loans decreased to 258.46% as of September 30, 2024, down from 403.96% in the same period of 2023[20] Shareholders' Equity - Shareholders' equity increased by $1.5 million, or 2.8%, from $52.8 million at June 30, 2024, to $54.3 million at September 30, 2024, driven by net income and other factors[11] Deposits - The company had no balances in brokered deposits at September 30, 2024, or June 30, 2024[8]

Financial Performance - Home Federal Bancorp reported a net income of $3.6 million for fiscal 2024, down from $5.7 million in fiscal 2023, representing a decrease of approximately 36.8%[142]. - The net interest income decreased by $2.6 million to $19.0 million in fiscal 2024, compared to $21.6 million in fiscal 2023, reflecting a decline of about 12.0%[143]. - Total interest income increased to $31.9 million in fiscal 2024, up from $26.6 million in fiscal 2023, an increase of about 19.0%[160]. - Total non-interest income was $1.6 million, while total non-interest expense was $16.4 million for fiscal 2024[160]. - The provision for loan losses was $40, significantly lower than $868 in fiscal 2023, indicating a decrease of approximately 95.4%[160]. - Basic earnings per share decreased to $1.18 in 2024 from $1.89 in 2023, a drop of 37.5%[218]. - Total comprehensive income for 2024 was $3,632,000, down from $4,749,000 in 2023, a decrease of 23.5%[219]. Asset and Liability Management - Total assets decreased to $637.5 million at June 30, 2024, from $660.9 million in 2023, a decline of approximately 3.5%[159]. - Total liabilities decreased by $25.7 million, or 4.2%, from $610.4 million at June 30, 2023, to $584.7 million at June 30, 2024[166]. - Shareholders' equity increased by $2.3 million, or 4.5%, from $50.5 million at June 30, 2023, to $52.8 million at June 30, 2024[167]. - Cash and cash equivalents increased by $10.2 million, or 41.1%, from $24.8 million at June 30, 2023, to $34.9 million at June 30, 2024[165]. - Total deposits decreased from $597.4 million in June 30, 2023 to $574.0 million in June 30, 2024, a decline of about 3.9%[215]. Loan Portfolio and Credit Quality - As of June 30, 2024, commercial real estate loans amounted to $143.5 million, or 30.2% of the total loan portfolio, while commercial business loans totaled $49.3 million, or 10.4% of the total loan portfolio[146]. - Net loans receivable decreased by $18.6 million, or 3.8%, from $489.5 million at June 30, 2023, to $470.9 million at June 30, 2024[163]. - Non-performing assets totaled $2.0 million, or 0.31% of total assets, as of June 30, 2024[148]. - Non-performing loans as a percent of loans receivable increased to 0.32% from 0.25% year-over-year[161]. - The allowance for credit losses was $4.6 million, with a ratio of 0.96% to gross loans, down from $5.2 million and 1.05% as of June 30, 2023[178]. - The company reported a total of $3,150,000 in special mention loans and $3,977,000 in substandard loans within the real estate loan category[287]. Interest Income and Expense - Total interest expense increased by $7.8 million, or 154.2%, to $12.9 million for fiscal year 2024 compared to $5.1 million for fiscal year 2023[177]. - The average interest rate spread decreased from 3.37% for fiscal 2023 to 2.38% for fiscal 2024[175]. - The average rate on interest-bearing liabilities increased to 2.81% from 1.24% year-over-year[161]. - Interest paid on deposits and borrowed funds was $12,913,000 in 2024, up from $5,079,000 in 2023, indicating increased borrowing costs[226]. Tax and Regulatory Compliance - The provision for income taxes was $476,000 for fiscal 2024, with an effective tax rate of 11.7%, down from $1.1 million and 15.7% for fiscal 2023[183]. - The effective federal income tax rate decreased from 15.75% in 2023 to 11.7% in 2024[312]. - Home Federal Bank exceeded all capital requirements with common equity tier 1 and tier 1 capital ratios of 13.29% as of June 30, 2024[192]. Securities and Investments - Securities available-for-sale decreased to $27.0 million as of June 30, 2024, representing 4.24% of total assets, down from $39.6 million and 6.04% a year earlier[184]. - The fair value of securities held-to-maturity decreased from $59.7 million in June 30, 2023 to $54.5 million in June 30, 2024, a decrease of approximately 8.7%[215]. - The total fair value of securities available-for-sale was $39.55 million, with a significant portion attributed to mortgage-backed securities[271]. Operational Efficiency - Efficiency ratio increased to 79.99% from 67.71% year-over-year[161]. - Non-interest income decreased by $515,000, or 24.5%, for the year ended June 30, 2024, compared to the previous year[174]. - Non-interest expense rose by $413,000 for the year ended June 30, 2024, driven by increases in compensation and benefits expense of $436,000 and audit fees of $235,000[181]. Future Outlook and Strategy - The company plans to continue emphasizing commercial lending to improve portfolio yield and expand its market presence through new banking offices and potential acquisitions[146][148]. - The Company has a diversified loan portfolio concentrated within a 100-mile radius of Shreveport, Louisiana, mitigating dependence on any particular economic sector[339].

Financial Performance - For the three months ended June 30, 2024, net income was $638,000, a decrease from $1.3 million for the same period in 2023, with earnings per share dropping from $0.42 to $0.21[1] - For the year ended June 30, 2024, net income was $3.6 million, down from $5.7 million in 2023, with earnings per share decreasing from $1.89 to $1.18[1] - Net income for the three months ended June 30, 2024, decreased to $638,000, down from $1,257,000 in the same period of 2023, representing a decline of 49.3%[12] Interest Income and Expense - Net interest income decreased by $2.6 million, or 12.1%, for the year ended June 30, 2024, primarily due to a $7.8 million increase in interest expense, or 154.2%[2] - The Company had a $7.5 million increase in interest expense on deposits, or 166.3%, due to a 69.4% increase in average balance of certificates of deposit[2] - Total interest expense increased by $1.2 million, or 50.5%, while total interest income increased by $70,000, or 0.9%[16] - Net interest income decreased by $1.1 million, or 20.0%, for the three months ended June 30, 2024, compared to the same period in 2023[16] - The average interest rate spread decreased from 3.37% in 2023 to 2.38% in 2024, while the net interest margin fell from 3.73% to 3.08%[2] - The average interest rate spread decreased to 2.15% for the three months ended June 30, 2024, compared to 2.84% for the same period in 2023[13] - The net interest margin was 2.91% for the three months ended June 30, 2024, down from 3.35% in the same period of 2023[16] Non-Interest Income and Expense - Non-interest income decreased by $515,000, or 24.5%, for the year ended June 30, 2024, primarily due to a $415,000 increase in loss on sale of real estate[4] - Non-interest income increased by $2,000, or 0.4%, for the three months ended June 30, 2024, compared to the same period in 2023[16] - Non-interest expense increased by $413,000, or 2.6%, for the year ended June 30, 2024, driven by a $436,000 increase in compensation and benefits expense[5] - Non-interest expense decreased by $207,000, or 4.9%, for the three months ended June 30, 2024, compared to the same period in 2023[16] Asset and Liability Management - Total assets decreased by $23.4 million, or 3.5%, from $660.9 million at June 30, 2023, to $637.5 million at June 30, 2024[20] - Total deposits decreased by $23.4 million, or 3.9%, from $597.4 million at June 30, 2023, to $574.0 million at June 30, 2024[6] - Net loans receivable decreased by $18.6 million, or 3.8%, from $489.5 million at June 30, 2023, to $470.9 million at June 30, 2024[20] - Investment securities decreased by $18.0 million, or 15.8%, from $114.0 million at June 30, 2023, to $96.0 million at June 30, 2024[20] - Cash and cash equivalents increased by $10.2 million, or 41.1%, from $24.8 million at June 30, 2023, to $34.9 million at June 30, 2024[20] - The total interest-bearing liabilities increased to $460.0 million in 2024, with an average rate of 2.81%, up from $409.6 million and 1.24% in 2023[18] Credit Quality - Non-performing assets increased to $2.0 million at June 30, 2024, compared to $1.6 million at June 30, 2023[7] - Provision for credit losses decreased by $105,000, or 70.0%, for the three months ended June 30, 2024, compared to the same period in 2023[16] - As of June 30, 2024, the ACL was $4.6 million, with a ratio of ACL to gross loans at 0.96%, down from $5.2 million and 1.05% as of June 30, 2023[17] Shareholder Equity - Shareholders' equity increased by $2.3 million, or 4.5%, from $50.5 million at June 30, 2023, to $52.8 million at June 30, 2024[22] - Current year net income contributed $3.6 million to the increase in shareholders' equity[22] - The company reported 3,144,168 shares outstanding at the end of June 30, 2024, compared to 3,133,351 shares in the same period of 2023[13] Accounting Changes - The Company adopted the CECL methodology on July 1, 2023, resulting in a $189,000 increase to the allowance for credit losses (ACL) and a decrease in stockholders' equity by the same amount[17]

Core Insights - The company reported a decrease in net income for the three months ended June 30, 2024, amounting to $638,000 compared to $1.3 million for the same period in 2023, with basic and diluted earnings per share both at $0.21, down from $0.42 and $0.40 respectively [17][29] - For the year ended June 30, 2024, net income was $3.6 million, a decline from $5.7 million in 2023, with basic and diluted earnings per share both at $1.18, compared to $1.89 and $1.80 in the previous year [17][18] Financial Performance - Net interest income decreased by $2.6 million, or 12.1%, for the year ended June 30, 2024, primarily due to a $7.8 million increase in total interest expense, which rose by 154.2% [18] - Total interest income increased by $5.2 million, or 19.7%, while non-interest income decreased by $515,000, or 24.5% [18] - The average interest rate spread was 2.38% for the year ended June 30, 2024, down from 3.37% in 2023, and the net interest margin decreased from 3.73% to 3.08% [18][16] Asset and Liability Management - Total assets decreased by $23.4 million, or 3.5%, from $660.9 million at June 30, 2023, to $637.5 million at June 30, 2024, driven by a reduction in net loans receivable and investment securities [9] - Total liabilities decreased by $25.7 million, or 4.2%, from $610.4 million to $584.7 million, with total deposits declining by $23.4 million, or 3.9% [23] - Shareholders' equity increased by $2.3 million, or 4.5%, from $50.5 million to $52.8 million, supported by current year net income and stock option exercises [11] Credit Quality - The allowance for credit losses (ACL) was $4.6 million as of June 30, 2024, with a ratio of ACL to gross loans at 0.96%, down from 1.05% a year earlier [5][18] - Non-performing assets increased to $2.0 million at June 30, 2024, compared to $1.6 million at June 30, 2023 [10] Non-Interest Income and Expenses - Non-interest income for the three months ended June 30, 2024, saw a slight increase of $2,000, while for the year, it decreased by $515,000, primarily due to losses on real estate sales [8][18] - Non-interest expenses increased by $413,000, or 2.6%, for the year ended June 30, 2024, driven by higher compensation and benefits expenses [22]