Q3 Net Income Falls to $2.64M as Provision Jumps; Dividend Held at $0.26
FMBM sits 90% above its 52-week low of $21.55.
Summary
Third-quarter net income came in at $2.64 million, or $0.74 per diluted share, down from $2.92 million, or $0.82, a year earlier and well below the $5.37 million reported in Q2. The provision for credit losses jumped to $1.53 million from $269,000 last quarter and $539,000 a year ago, driven by qualitative factor updates to the allowance model plus $44.9 million of quarterly loan growth. Net interest margin slipped to 3.69% from 3.79% linked-quarter, though it is still up from 3.36% a year ago, and noninterest expense rose to $10.67 million from $9.32 million. Asset quality held: nonperforming loans stayed at 0.43% of total loans and net charge-offs were 0.17%. The board declared a $0.26 per share dividend payable November 30 to holders of record November 14, a 2.54% annualized yield at the $40.90 recent trade price. Nine-month net income of $11.24 million, or $3.14 per share, still tops last year's $8.34 million, or $2.35.
At the time of this announcement, FMBM was trading at $40.90 on OTC in the Finance sector, with a market capitalization of approximately $146.7M. The 52-week trading range was $21.55 to $40.99. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: ACCESS Newswire.