Union Bankshares Announces Earnings for the three months and year ended December 31, 2024 and Declares Quarterly Dividend

Core Viewpoint - Union Bankshares, Inc. reported a decrease in net income for both the fourth quarter and the full year of 2024, primarily due to a strategic balance sheet repositioning that included a loss on the sale of lower-yielding debt securities [1][7]. Financial Performance - Consolidated net income for Q4 2024 was $3.00 million, or$0.67 per share, compared to $3.05 million, or$0.68 per share in Q4 2023, reflecting a slight decrease of $48 thousand, or 1.6$8.8 million, or $1.94 per share, down from$11.3 million, or $2.50 per share in 2023, marking a decrease of$2.5 million, or 22.2% [1][7] - The decrease in earnings was influenced by a pre-tax loss of $1.3 million from the sale of bonds aimed at improving future earnings [7] Balance Sheet Highlights - Total assets increased to$1.53 billion as of December 31, 2024, up from $1.47 billion a year earlier, representing a growth of$59.5 million, or 4.0% [2] - Loan demand was strong, with loans increasing by $130.0 million, or 12.6$1.16 billion as of December 31, 2024 [2] - Total deposits decreased to $1.17 billion as of December 31, 2024, down from$1.31 billion in 2023, with no purchased brokered deposits reported for 2024 [4] Income Statement Analysis - Interest income for the year ended December 31, 2024, was $68.0 million, an increase of$10.8 million, or 19.0%, compared to $57.1 million in 2023, driven by a larger earning asset base and higher interest rates [7] - Interest expense rose by$10.3 million, or 53.6%, to $29.6 million for 2024, attributed to higher-cost wholesale funding [7] - Noninterest income, excluding the bond sale loss, was$11.0 million for 2024, compared to $9.9 million in 2023, with net gains from residential loan sales increasing to$1.7 million [10] Equity and Capital - Total equity capital was $66.5 million as of December 31, 2024, compared to$65.8 million in 2023, with a book value per share of $14.65 [5] - Accumulated other comprehensive loss related to investment securities was$34.0 million as of December 31, 2024, up from $32.0 million in 2023 [5] Dividend Declaration - The Board of Directors declared a cash dividend of$0.36 per share for the quarter, payable on February 6, 2025, to shareholders of record as of January 25, 2025 [12]