United States | 14-1809721 | |
(State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) |
302 Main Street, Catskill, New York | 12414 | |
(Address of Principal Executive Office) | (Zip Code) |
Title of class | Trading symbol | Name of exchange on which registered |
Common Stock, $0.10 par value | GCBC | The Nasdaq Stock Market |
Large accelerated filer ☐ | Accelerated filer ☐ | |
Non-accelerated filer ☒ | Smaller reporting company ☒ | |
Emerging Growth Company ☐ |
Index | |||||
Part I | |||||
Item 1. | |||||
Item 1A. | |||||
Item 1B. | |||||
Item 2. | |||||
Item 3. | 22 | ||||
Item 4. | 22 | ||||
Part II | |||||
Item 5. | |||||
Item 6. | |||||
Item 7. | 23-41 | ||||
Item 7A. | |||||
Item 8. | |||||
Item 9. | |||||
Item 9A. | |||||
Item 9B. | 87 | ||||
Item 9C. | 87 | ||||
Part III | |||||
Item 10. | 87 | ||||
Item 11. | 87 | ||||
Item 12. | 87 | ||||
Item 13. | 87 | ||||
Item 14. | 87 | ||||
Part IV | |||||
Item 15. | |||||
Item 16. | 89 | ||||
90 |
ITEM 1. | Business |
Greene County Bancorp, Inc. and Subsidiaries | ||||||||||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||||||||
Balance sheet data as of June 30, 2022: | Assets | Deposits | Borrowings | Equity | ||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||
Balance sheet data as of June 30, 2023: | Assets | Deposits | Borrowings | Equity | ||||||||||||||||||||||||||||
Greene County Bancorp, Inc. (consolidated) | $ | 2,571,740 | $ | 2,212,604 | $ | 173,010 | $ | 157,714 | $ | 2,698,283 | $ | 2,437,161 | $ | 49,495 | $ | 183,283 | ||||||||||||||||
The Bank of Greene County (consolidated) | 2,567,631 | 2,231,495 | 123,700 | 185,585 | 2,692,296 | 2,456,982 | - | 208,861 | ||||||||||||||||||||||||
Greene County Commercial Bank | 1,144,870 | 893,114 | - | 78,089 | 1,090,587 | 1,033,605 | - | 85,583 | ||||||||||||||||||||||||
Greene Property Holdings, Ltd. | 685,835 | - | - | 685,835 | 687,079 | - | - | 687,079 | ||||||||||||||||||||||||
Greene Risk Management, Inc. | 4,771 | - | - | 3,053 | - | - | - | - |
• | Check Clearing for the 21st Century Act (also known as “Check 21”), which gives “substitute checks,” such as digital check images and copies made from that image, the same legal standing as the original paper check; |
ITEM 1A. | Risk Factors |
ITEM 1B. | Unresolved Staff Comments |
ITEM 2. | Properties |
ITEM 3. | Legal Proceedings |
ITEM 4. | Mine Safety Disclosures |
ITEM 5. | Market for Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities |
ITEM 6. | [Reserved] |
ITEM 7. |
(a) | changes in general market interest rates, |
(b) | general economic conditions, |
(c) | economic or policy changes related to the COVID-19 pandemic, |
(d) | continued period of high inflation could adversely impact customers, |
(e) | legislative and regulatory changes, |
monetary and fiscal policies of the U.S. Treasury and the Federal Reserve, |
changes in the quality or composition of Greene County Bancorp, Inc.’s loan and investment portfolios, |
deposit flows, |
competition, and |
demand for financial services in Greene County Bancorp, Inc.’s market area. |
At or for the year ended June 30, | At or for the year ended June 30, | |||||||||||||||||||||||
(Dollars in thousands, except per share amounts) | 2022 | 2021 | 2020 | 2023 | 2022 | 2021 | ||||||||||||||||||
SELECTED FINANCIAL CONDITION DATA: | ||||||||||||||||||||||||
Total assets | $ | 2,571,740 | $ | 2,200,335 | $ | 1,676,803 | $ | 2,698,283 | $ | 2,571,740 | $ | 2,200,335 | ||||||||||||
Loans receivable, net | 1,229,355 | 1,085,947 | 993,522 | 1,387,654 | 1,229,355 | 1,085,947 | ||||||||||||||||||
Securities available-for-sale | 408,062 | 390,890 | 226,709 | 281,133 | 408,062 | 390,890 | ||||||||||||||||||
Securities held-to-maturity | 761,852 | 496,914 | 383,657 | 726,363 | 761,852 | 496,914 | ||||||||||||||||||
Equity securities | 273 | 307 | 267 | 306 | 273 | 307 | ||||||||||||||||||
Deposits | 2,212,604 | 2,005,108 | 1,501,075 | 2,437,161 | 2,212,604 | 2,005,108 | ||||||||||||||||||
Borrowings | 123,700 | 3,000 | 25,484 | - | 123,700 | 3,000 | ||||||||||||||||||
Shareholders' equity | 157,714 | 149,584 | 128,805 | |||||||||||||||||||||
Shareholders’ equity | 183,283 | 157,714 | 149,584 | |||||||||||||||||||||
AVERAGE BALANCES: | ||||||||||||||||||||||||
Total assets | 2,366,070 | 1,931,589 | 1,470,870 | 2,580,849 | 2,366,070 | 1,931,589 | ||||||||||||||||||
Interest-earning assets | 2,291,448 | 1,892,650 | 1,450,398 | 2,495,653 | 2,291,448 | 1,892,650 | ||||||||||||||||||
Loans receivable, net | 1,123,201 | 1,042,280 | 861,322 | 1,349,538 | 1,123,201 | 1,042,280 | ||||||||||||||||||
Securities | 1,066,189 | 751,690 | 528,131 | 1,086,294 | 1,066,189 | 751,690 | ||||||||||||||||||
Deposits | 2,134,584 | 1,750,733 | 1,318,027 | 2,302,167 | 2,134,584 | 1,750,733 | ||||||||||||||||||
Borrowings | 51,193 | 22,386 | 15,300 | 82,816 | 51,193 | 22,386 | ||||||||||||||||||
Shareholders' equity | 156,098 | 137,511 | 120,387 | |||||||||||||||||||||
Shareholders’ equity | 169,837 | 156,098 | 137,511 | |||||||||||||||||||||
SELECTED OPERATIONS DATA: | ||||||||||||||||||||||||
Total interest income | 63,444 | 58,328 | 53,314 | 84,625 | 63,444 | 58,328 | ||||||||||||||||||
Total interest expense | 5,439 | 5,183 | 8,481 | 23,407 | 5,439 | 5,183 | ||||||||||||||||||
Net interest income | 58,005 | 53,145 | 44,833 | 61,218 | 58,005 | 53,145 | ||||||||||||||||||
Provision for loan losses | 3,278 | 3,974 | 3,905 | |||||||||||||||||||||
Provision (benefit) for loan losses | (1,071 | ) | 3,278 | 3,974 | ||||||||||||||||||||
Net interest income after provision for loan losses | 54,727 | 49,171 | 40,928 | 62,289 | 54,727 | 49,171 | ||||||||||||||||||
Total noninterest income | 12,137 | 9,667 | 8,650 | 12,146 | 12,137 | 9,667 | ||||||||||||||||||
Total noninterest expense | 33,959 | 31,223 | 27,822 | 38,608 | 33,959 | 31,223 | ||||||||||||||||||
Income before provision for income taxes | 32,905 | 27,615 | 21,756 | 35,827 | 32,905 | 27,615 | ||||||||||||||||||
Provision for income taxes | 4,919 | 3,673 | 3,029 | 5,042 | 4,919 | 3,673 | ||||||||||||||||||
Net income | 27,986 | 23,942 | 18,727 | 30,785 | 27,986 | 23,942 | ||||||||||||||||||
FINANCIAL RATIOS: | ||||||||||||||||||||||||
Return on average assets1 | 1.18 | % | 1.24 | % | 1.27 | % | 1.19 | % | 1.18 | % | 1.24 | % | ||||||||||||
Return on average shareholders’ equity2 | 17.93 | 17.41 | 15.56 | 18.13 | 17.93 | 17.41 | ||||||||||||||||||
Noninterest expenses to average total assets | 1.44 | 1.62 | 1.89 | 1.50 | 1.44 | 1.62 | ||||||||||||||||||
Average interest-earning assets to average interest-bearing liabilities | 114.57 | 117.01 | 118.84 | 112.73 | 114.57 | 117.01 | ||||||||||||||||||
Net interest rate spread3 | 2.50 | 2.76 | 2.98 | 2.33 | 2.50 | 2.76 | ||||||||||||||||||
Net interest margin4 | 2.53 | 2.81 | 3.09 | 2.45 | 2.53 | 2.81 | ||||||||||||||||||
Efficiency ratio5 | 48.41 | 49.71 | 52.02 | 52.63 | 48.41 | 49.71 | ||||||||||||||||||
Shareholders’ equity to total assets, at end of period | 6.13 | 6.80 | 7.68 | 6.79 | 6.13 | 6.80 | ||||||||||||||||||
Average shareholders’ equity to average assets | 6.60 | 7.12 | 8.18 | 6.58 | 6.60 | 7.12 | ||||||||||||||||||
Dividend payout ratio6 | 15.81 | 17.08 | 20.00 | 15.47 | 15.85 | 17.02 | ||||||||||||||||||
Actual dividends declared to net income7 | 9.41 | 10.15 | 11.95 | 7.12 | 9.41 | 10.15 | ||||||||||||||||||
Nonperforming assets to total assets, at end of period | 0.25 | 0.11 | 0.24 | 0.21 | 0.25 | 0.11 | ||||||||||||||||||
Nonperforming loans to net loans, at end of period | 0.51 | 0.21 | 0.41 | 0.39 | 0.51 | 0.21 | ||||||||||||||||||
Allowance for loan losses to nonperforming loans | 360.31 | 854.76 | 402.04 | 388.64 | 360.31 | 854.76 | ||||||||||||||||||
Allowance for loan losses to total loans receivable | 1.82 | 1.77 | 1.62 | 1.51 | 1.82 | 1.77 | ||||||||||||||||||
Book value per share8 | $ | 18.53 | $ | 17.57 | $ | 15.13 | $ | 10.76 | $ | 9.26 | $ | 8.79 | ||||||||||||
Basic earnings per share | 3.29 | 2.81 | 2.20 | 1.81 | 1.64 | 1.41 | ||||||||||||||||||
Diluted earnings per share | 3.29 | 2.81 | 2.20 | 1.81 | 1.64 | 1.41 | ||||||||||||||||||
OTHER DATA: | ||||||||||||||||||||||||
Closing market price of common stock | $ | 45.29 | $ | 28.12 | $ | 22.30 | $ | 29.80 | $ | 22.65 | $ | 14.06 | ||||||||||||
Number of full-service offices | 17 | 17 | 16 | 18 | 17 | 17 | ||||||||||||||||||
Number of full-time equivalent employees | 198 | 186 | 182 | 206 | 198 | 186 |
1 | Ratio of net income to average total assets. |
2 | Ratio of net income to average shareholders’ equity. |
3 | The difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities. |
4 | Net interest income as a percentage of average interest-earning assets. |
5 | Noninterest expense divided by the sum of net interest income and noninterest income. |
6 | Dividends per share divided by basic earnings per share. This calculation does not take into account the waiver of dividends by Greene County Bancorp, MHC. |
7 | Dividends declared divided by net income. |
8 | Shareholders’ equity divided by outstanding shares. |
(Dollars in thousands) | 1 Year or Less | 1-5 Years | 5-10 Years | After 10 Years | Total | 1 Year or Less | 1-5 Years | 5-10 Years | After 10 Years | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities available-for-sale: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. government sponsored enterprises | $ | - | - | $ | - | - | $ | 13,066 | 1.31 | % | $ | - | - | $ | 13,066 | 1.31 | % | $ | - | - | $ | 1,960 | 1.23 | % | $ | 11,094 | 1.32 | % | $ | - | - | $ | 13,054 | 1.31 | % | |||||||||||||||||||||||||||||||||||||||||||||
U.S. treasury securities | - | - | 7,767 | 0.97 | % | 12,391 | 1.39 | % | - | - | 20,158 | 1.23 | % | - | - | 14,061 | 1.17 | % | 4,288 | 1.42 | % | - | - | 18,349 | 1.22 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
State and political subdivisions | 247,894 | 1.19 | % | 84 | 1.89 | % | - | - | - | - | 247,978 | 1.19 | % | 137,280 | 3.87 | % | 63 | 1.89 | % | - | - | - | - | 137,343 | 3.87 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MBS-residential | - | - | 174 | 3.33 | % | 3,131 | 0.66 | % | 29,881 | 1.17 | % | 33,186 | 1.13 | % | - | - | 363 | 2.73 | % | 2,272 | 2.51 | % | 26,951 | 1.45 | % | 29,586 | 1.55 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||
MBS -multi-family | 1,818 | 2.22 | % | 8,202 | 1.53 | % | 26,904 | 1.13 | % | 62,429 | 1.20 | % | 99,353 | 1.22 | % | - | - | 10,035 | 2.28 | % | 49,702 | 1.54 | % | 31,279 | 1.76 | % | 91,016 | 1.70 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate debt securities | - | - | 11,829 | 2.72 | % | 4,555 | 2.76 | % | 1,500 | 3.03 | % | 17,884 | 2.76 | % | 251 | 2.96 | % | 18,054 | 3.08 | % | - | - | 1,500 | 3.03 | % | 19,805 | 3.07 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total securities available-for-sale | $ | 249,712 | 1.20 | % | $ | 28,056 | 1.89 | % | $ | 60,047 | 1.32 | % | $ | 93,810 | 1.22 | % | $ | 431,625 | 1.26 | % | $ | 137,531 | 3.87 | % | $ | 44,536 | 2.21 | % | $ | 67,356 | 1.53 | % | $ | 59,730 | 1.65 | % | $ | 309,153 | 2.69 | % | ||||||||||||||||||||||||||||||||||||||||
Securities held-to-maturity: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. treasury securities | $ | - | - | $ | 21,878 | 2.04 | % | $ | 11,745 | 1.51 | % | $ | - | - | $ | 33,623 | 1.85 | % | $ | 9,988 | 2.41 | % | $ | 18,929 | 1.55 | % | $ | 4,788 | 1.88 | % | $ | - | - | $ | 33,705 | 1.85 | % | |||||||||||||||||||||||||||||||||||||||||||
State and political subdivisions | 67,633 | 1.31 | % | 145,056 | 1.90 | % | 105,515 | 2.16 | % | 175,693 | 1.95 | % | 493,897 | 1.89 | % | 57,114 | 2.21 | % | 143,594 | 2.19 | % | 124,750 | 2.24 | % | 153,298 | 2.18 | % | 478,756 | 2.20 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
MBS-residential | 1 | 4.50 | % | 684 | 3.32 | % | 322 | 3.50 | % | 41,454 | 2.31 | % | 42,461 | 2.34 | % | 4 | 4.01 | % | 375 | 3.30 | % | 239 | 3.50 | % | 36,568 | 2.30 | % | 37,186 | 2.32 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
MBS-multi-family | 7,577 | 2.51 | % | 42,999 | 3.01 | % | 100,616 | 1.49 | % | 20,729 | 0.88 | % | 171,921 | 1.84 | % | 7,626 | 2.51 | % | 41,236 | 3.00 | % | 92,084 | 1.54 | % | 14,100 | 1.32 | % | 155,046 | 1.96 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate debt securities | - | - | - | - | 19,400 | 4.08 | % | 500 | 1.64 | % | 19,900 | 4.02 | % | - | - | 1,000 | 4.26 | % | 20,132 | 4.37 | % | 500 | 6.19 | % | 21,632 | 4.41 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other securities | 10 | 3.22 | % | - | - | 1 | 7.00 | % | 39 | 4.93 | % | 50 | 4.62 | % | 10 | 7.32 | % | - | - | 2 | 4.36 | % | 26 | 4.78 | % | 38 | 5.42 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total securities held-to-maturity | $ | 75,221 | 1.43 | % | $ | 210,617 | 2.15 | % | $ | 237,599 | 2.00 | % | $ | 238,415 | 1.92 | % | $ | 761,852 | 1.96 | % | $ | 74,742 | 2.21 | % | $ | 205,134 | 2.20 | % | $ | 241,995 | 2.05 | % | $ | 204,492 | 1.95 | % | $ | 726,363 | 2.08 | % |
At June 30, | At June 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018 | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | $ | 360,824 | 28.82 | % | $ | 325,167 | 29.34 | % | $ | 279,332 | 27.58 | % | $ | 267,802 | 33.55 | % | $ | 255,848 | 35.75 | % | $ | 372,443 | 26.44 | % | $ | 360,824 | 28.82 | % | $ | 325,167 | 29.34 | % | $ | 279,332 | 27.58 | % | $ | 267,802 | 33.55 | % | ||||||||||||||||||||||||||||||||||||||||
Residential construction and land | 15,298 | 1.22 | 10,185 | 0.92 | 11,847 | 1.17 | 7,462 | 0.93 | 9,951 | 1.39 | 19,072 | 1.35 | 15,298 | 1.22 | 10,185 | 0.92 | 11,847 | 1.17 | 7,462 | 0.93 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Multi-family | 63,822 | 5.10 | 41,951 | 3.78 | 25,104 | 2.48 | 24,592 | 3.08 | 14,961 | 2.09 | 66,496 | 4.72 | 63,822 | 5.10 | 41,951 | 3.78 | 25,104 | 2.48 | 24,592 | 3.08 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | 595,635 | 47.57 | 472,887 | 42.66 | 381,415 | 37.67 | 329,668 | 41.31 | 283,935 | 39.68 | 693,436 | 49.22 | 595,635 | 47.57 | 472,887 | 42.66 | 381,415 | 37.67 | 329,668 | 41.31 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial construction | 83,748 | 6.69 | 62,763 | 5.66 | 74,920 | 7.40 | 36,361 | 4.56 | 39,366 | 5.50 | 121,958 | 8.66 | 83,748 | 6.69 | 62,763 | 5.66 | 74,920 | 7.40 | 36,361 | 4.56 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Home equity | 17,877 | 1.43 | 18,285 | 1.65 | 22,106 | 2.18 | 23,185 | 2.91 | 21,919 | 3.06 | 22,752 | 1.61 | 17,877 | 1.43 | 18,285 | 1.65 | 22,106 | 2.18 | 23,185 | 2.91 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer installment(1) | 4,512 | 0.36 | 4,942 | 0.45 | 4,817 | 0.48 | 5,481 | 0.69 | 5,017 | 0.70 | 4,612 | 0.33 | 4,512 | 0.36 | 4,942 | 0.45 | 4,817 | 0.48 | 5,481 | 0.69 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial loans | 110,271 | 8.81 | 172,228 | 15.54 | 213,119 | 21.04 | 103,554 | 12.97 | 84,644 | 11.83 | 108,022 | 7.67 | 110,271 | 8.81 | 172,228 | 15.54 | 213,119 | 21.04 | 103,554 | 12.97 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total gross loans | $ | 1,251,987 | 100.00 | % | $ | 1,108,408 | 100.00 | % | $ | 1,012,660 | 100.00 | % | $ | 798,105 | 100.00 | % | $ | 715,641 | 100.00 | % | $ | 1,408,791 | 100.00 | % | $ | 1,251,987 | 100.00 | % | $ | 1,108,408 | 100.00 | % | $ | 1,012,660 | 100.00 | % | $ | 798,105 | 100.00 | % |
(1) | Includes direct automobile loans (on both new and used automobiles) and personal loans. |
(In thousands) | 1 Year or Less | 1-5 Years | 5-15 Years | After 15 Years | Total | 1 Year or Less | 1-5 Years | 5-15 Years | After 15 Years | Total | ||||||||||||||||||||||||||||||
Fixed rate: | ||||||||||||||||||||||||||||||||||||||||
Residential real estate | $ | 729 | $ | 10,345 | $ | 168,637 | $ | 77,243 | $ | 256,954 | $ | 349 | $ | 10,413 | $ | 156,896 | $ | 69,981 | $ | 237,639 | ||||||||||||||||||||
Residential construction and land | 6,820 | 136 | 265 | - | 7,221 | 3,141 | 172 | 244 | - | 3,557 | ||||||||||||||||||||||||||||||
Multi-family | - | 748 | 4,514 | - | 5,262 | 1 | 561 | 7,992 | - | 8,554 | ||||||||||||||||||||||||||||||
Commercial real estate | 23,836 | 28,387 | 137,553 | 3,493 | 193,269 | 5,366 | 43,603 | 180,409 | 7,537 | 236,915 | ||||||||||||||||||||||||||||||
Commercial construction | 8,559 | 771 | - | - | 9,330 | 8,527 | 13,380 | - | - | 21,907 | ||||||||||||||||||||||||||||||
Consumer loans | 759 | 4,130 | 3,342 | - | 8,231 | 607 | 4,478 | 6,705 | - | 11,790 | ||||||||||||||||||||||||||||||
Commercial loans | 6,603 | 23,583 | 34,559 | 675 | 65,420 | 6,974 | 22,744 | 34,902 | 647 | 65,267 | ||||||||||||||||||||||||||||||
Total fixed rate loans | $ | 47,306 | $ | 68,100 | $ | 348,870 | $ | 81,411 | $ | 545,687 | $ | 24,965 | $ | 95,351 | $ | 387,148 | $ | 78,165 | $ | 585,629 | ||||||||||||||||||||
Variable rate: | ||||||||||||||||||||||||||||||||||||||||
Residential real estate | $ | 16,037 | $ | 52,072 | $ | 35,761 | $ | - | $ | 103,870 | $ | 17,301 | $ | 48,247 | $ | 69,256 | $ | - | $ | 134,804 | ||||||||||||||||||||
Residential construction and land | 8,077 | - | - | - | 8,077 | 15,515 | - | - | - | 15,515 | ||||||||||||||||||||||||||||||
Multi-family | 2,207 | 31,758 | 24,595 | - | 58,560 | 2,765 | 33,556 | 21,621 | - | 57,942 | ||||||||||||||||||||||||||||||
Commercial real estate | 151,565 | 167,027 | 79,352 | 4,422 | 402,366 | 149,233 | 212,145 | 95,143 | - | 456,521 | ||||||||||||||||||||||||||||||
Commercial construction | 62,865 | 11,553 | - | - | 74,418 | 88,488 | 11,563 | - | - | 100,051 | ||||||||||||||||||||||||||||||
Consumer loans | 14,158 | - | - | - | 14,158 | 15,574 | - | - | - | 15,574 | ||||||||||||||||||||||||||||||
Commercial loans | 33,246 | 3,629 | 7,976 | - | 44,851 | 28,713 | 4,568 | 9,474 | - | 42,755 | ||||||||||||||||||||||||||||||
Total variable rate loans | $ | 288,155 | $ | 266,039 | $ | 147,684 | $ | 4,422 | $ | 706,300 | $ | 317,589 | $ | 310,079 | $ | 195,494 | $ | - | $ | 823,162 | ||||||||||||||||||||
Total loan portfolio | $ | 335,461 | $ | 334,139 | $ | 496,554 | $ | 85,833 | $ | 1,251,987 | $ | 342,554 | $ | 405,430 | $ | 582,642 | $ | 78,165 | $ | 1,408,791 |
At June 30, | At June 30, | |||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2022 | 2021 | 2020 | 2019 | 2018 | 2023 | 2022 | 2021 | 2020 | 2019 | ||||||||||||||||||||||||||||||
Nonaccrual loans: | ||||||||||||||||||||||||||||||||||||||||
Residential real estate | $ | 2,948 | $ | 1,324 | $ | 2,513 | $ | 2,474 | $ | 1,778 | $ | 2,747 | $ | 2,948 | $ | 1,324 | $ | 2,513 | $ | 2,474 | ||||||||||||||||||||
Residential construction and land | 1 | - | - | - | - | - | 1 | - | - | - | ||||||||||||||||||||||||||||||
Multi-family | - | - | 151 | - | - | - | - | - | 151 | - | ||||||||||||||||||||||||||||||
Commercial real estate | 1,269 | 444 | 781 | 598 | 1,147 | 1,318 | 1,269 | 444 | 781 | 598 | ||||||||||||||||||||||||||||||
Commercial construction | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||||||
Home equity | 188 | 237 | 319 | 452 | 298 | 54 | 188 | 237 | 319 | 452 | ||||||||||||||||||||||||||||||
Consumer installment | 7 | - | - | 6 | 18 | 63 | 7 | - | - | 6 | ||||||||||||||||||||||||||||||
Commercial | 1,904 | 296 | 313 | 108 | 276 | 1,276 | 1,904 | 296 | 313 | 108 | ||||||||||||||||||||||||||||||
Total nonaccrual loans | 6,317 | 2,301 | 4,077 | 3,638 | 3,517 | 5,458 | 6,317 | 2,301 | 4,077 | 3,638 | ||||||||||||||||||||||||||||||
Accruing loans delinquent 90 days or more: | ||||||||||||||||||||||||||||||||||||||||
Residential real estate | - | - | - | - | 62 | |||||||||||||||||||||||||||||||||||
Total accruing loans delinquent 90 days or more | - | - | - | - | 62 | |||||||||||||||||||||||||||||||||||
Foreclosed real estate: | ||||||||||||||||||||||||||||||||||||||||
Residential real estate | 68 | 64 | - | 53 | 119 | - | 68 | 64 | - | 53 | ||||||||||||||||||||||||||||||
Commercial loans | 302 | - | - | - | - | |||||||||||||||||||||||||||||||||||
Total foreclosed real estate | 68 | 64 | - | 53 | 119 | 302 | 68 | 64 | - | 53 | ||||||||||||||||||||||||||||||
Total nonperforming assets | $ | 6,385 | $ | 2,365 | $ | 4,077 | $ | 3,691 | $ | 3,698 | $ | 5,760 | $ | 6,385 | $ | 2,365 | $ | 4,077 | $ | 3,691 | ||||||||||||||||||||
Troubled debt restructuring: | ||||||||||||||||||||||||||||||||||||||||
Nonperforming (included above) | $ | 2,707 | $ | 354 | $ | 304 | $ | 531 | $ | 774 | $ | 2,691 | $ | 2,707 | $ | 354 | $ | 304 | $ | 531 | ||||||||||||||||||||
Performing (accruing and excluded above) | 2,336 | 5,050 | 909 | 1,368 | 1,557 | 2,805 | 2,336 | 5,050 | 909 | 1,368 | ||||||||||||||||||||||||||||||
Nonaccrual loans to total loans | 0.50 | % | 0.21 | % | 0.40 | % | 0.46 | % | 0.49 | % | 0.39 | % | 0.50 | % | 0.21 | % | 0.40 | % | 0.46 | % | ||||||||||||||||||||
Nonperforming loans to total loans | 0.50 | % | 0.21 | % | 0.40 | % | 0.46 | % | 0.50 | % | 0.39 | % | 0.50 | % | 0.21 | % | 0.40 | % | 0.46 | % | ||||||||||||||||||||
Nonperforming assets to total assets | 0.25 | % | 0.11 | % | 0.24 | % | 0.29 | % | 0.32 | % | 0.21 | % | 0.25 | % | 0.11 | % | 0.24 | % | 0.29 | % | ||||||||||||||||||||
Allowance for loan losses to nonperforming loans | 360.31 | % | 854.76 | % | 402.04 | % | 362.84 | % | 335.96 | % | 388.64 | % | 360.31 | % | 854.76 | % | 402.04 | % | 362.84 | % | ||||||||||||||||||||
Allowance for loan losses to nonaccrual loans | 360.31 | % | 854.76 | % | 402.04 | % | 362.84 | % | 341.88 | % | 388.64 | % | 360.31 | % | 854.76 | % | 402.04 | % | 362.84 | % |
At or for the Years Ended June 30, | At or for the Years Ended June 30, | |||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2022 | 2021 | 2020 | 2019 | 2018 | 2023 | 2022 | 2021 | 2020 | 2019 | ||||||||||||||||||||||||||||||
Balance at the beginning of the period | $ | 19,668 | $ | 16,391 | $ | 13,200 | $ | 12,024 | $ | 11,022 | $ | 22,761 | $ | 19,668 | $ | 16,391 | $ | 13,200 | $ | 12,024 | ||||||||||||||||||||
Charge-offs: | ||||||||||||||||||||||||||||||||||||||||
Residential real estate | 27 | 26 | 102 | 287 | 141 | - | 27 | 26 | 102 | 287 | ||||||||||||||||||||||||||||||
Commercial real estate | - | - | - | 74 | - | 9 | - | - | - | 74 | ||||||||||||||||||||||||||||||
Consumer installment | 454 | 309 | 459 | 374 | 318 | 535 | 454 | 309 | 459 | 374 | ||||||||||||||||||||||||||||||
Commercial loans | 112 | 500 | 335 | 51 | 159 | 120 | 112 | 500 | 335 | 51 | ||||||||||||||||||||||||||||||
Total loans charged off | 593 | 835 | 896 | 786 | 618 | 664 | 593 | 835 | 896 | 786 | ||||||||||||||||||||||||||||||
Recoveries: | ||||||||||||||||||||||||||||||||||||||||
Residential real estate | 13 | 13 | 16 | 13 | - | 6 | 13 | 13 | 16 | 13 | ||||||||||||||||||||||||||||||
Commercial real estate | 4 | - | - | - | - | |||||||||||||||||||||||||||||||||||
Consumer installment | 115 | 124 | 130 | 137 | 85 | 141 | 115 | 124 | 130 | 137 | ||||||||||||||||||||||||||||||
Commercial loans | 280 | 1 | 36 | 153 | 5 | 35 | 280 | 1 | 36 | 153 | ||||||||||||||||||||||||||||||
Total recoveries | 408 | 138 | 182 | 303 | 90 | 186 | 408 | 138 | 182 | 303 | ||||||||||||||||||||||||||||||
Net charge-offs | 185 | 697 | 714 | 483 | 528 | 478 | 185 | 697 | 714 | 483 | ||||||||||||||||||||||||||||||
Provisions charged to operations | 3,278 | 3,974 | 3,905 | 1,659 | 1,530 | |||||||||||||||||||||||||||||||||||
Provisions (benefit) charged to operations | (1,071 | ) | 3,278 | 3,974 | 3,905 | 1,659 | ||||||||||||||||||||||||||||||||||
Balance at the end of the period | $ | 22,761 | $ | 19,668 | $ | 16,391 | $ | 13,200 | $ | 12,024 | $ | 21,212 | $ | 22,761 | $ | 19,668 | $ | 16,391 | $ | 13,200 | ||||||||||||||||||||
Allowance for loan losses to total loans receivable | 1.82 | % | 1.77 | % | 1.62 | % | 1.65 | % | 1.68 | % | 1.51 | % | 1.82 | % | 1.77 | % | 1.62 | % | 1.65 | % | ||||||||||||||||||||
Residential real estate net charge-offs to average loans outstanding | 0.00 | % | 0.00 | % | 0.01 | % | 0.04 | % | 0.02 | % | 0.00 | % | 0.00 | % | 0.00 | % | 0.01 | % | 0.04 | % | ||||||||||||||||||||
Commercial real estate net charge-offs to average loans outstanding | - | - | - | 0.01 | % | - | 0.00 | % | - | - | - | 0.01 | % | |||||||||||||||||||||||||||
Consumer installment net charge-offs to average loans outstanding | 0.03 | % | 0.02 | % | 0.04 | % | 0.03 | % | 0.04 | % | 0.03 | % | 0.03 | % | 0.02 | % | 0.04 | % | 0.03 | % | ||||||||||||||||||||
Commercial loans net charge-offs to average loans outstanding | (0.01 | %) | 0.05 | % | 0.03 | % | (0.01 | %) | 0.02 | % | 0.01 | % | (0.01 | %) | 0.05 | % | 0.03 | % | (0.01 | %) | ||||||||||||||||||||
Net charge-offs to average loans outstanding | 0.02 | % | 0.07 | % | 0.08 | % | 0.06 | % | 0.08 | % | 0.04 | % | 0.02 | % | 0.07 | % | 0.08 | % | 0.06 | % | ||||||||||||||||||||
Net charge-offs to average assets | 0.01 | % | 0.04 | % | 0.05 | % | 0.04 | % | 0.05 | % | 0.02 | % | 0.01 | % | 0.04 | % | 0.05 | % | 0.04 | % |
At June 30, | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Percent | Percent | Percent | Percent | Percent | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
of loans | of loans | of loans | of loans | of loans | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
in each | in each | in each | in each | in each | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of | category | Amount of | category | Amount of | category | Amount of | category | Amount of | category | At June 30, | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
loan loss | to total | loan loss | to total | loan loss | to total | loan loss | to total | loan loss | to total | 2023 | 2022 | 2021 | 2020 | 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | allowance | loans | allowance | loans | allowance | loans | allowance | loans | allowance | loans | Amount of loan loss allowance | Percent of loans in each category to total loans | Amount of loan loss allowance | Percent of loans in each category to total loans | Amount of loan loss allowance | Percent of loans in each category to total loans | Amount of loan loss allowance | Percent of loans in each category to total loans | Amount of loan loss allowance | Percent of loans in each category to total loans | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | $ | 2,373 | 28.8 | % | $ | 2,012 | 29.3 | % | $ | 2,091 | 27.6 | % | $ | 2,026 | 33.6 | % | $ | 2,116 | 35.8 | % | $ | 2,613 | 26.4 | % | $ | 2,373 | 28.8 | % | $ | 2,012 | 29.3 | % | $ | 2,091 | 27.6 | % | $ | 2,026 | 33.6 | % | ||||||||||||||||||||||||||||||||||||||||
Residential construction and land | 141 | 1.2 | 106 | 0.9 | 141 | 1.2 | 87 | 0.9 | 114 | 1.4 | 181 | 1.4 | 141 | 1.2 | 106 | 0.9 | 141 | 1.2 | 87 | 0.9 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Multi-family | 119 | 5.1 | 186 | 3.8 | 176 | 2.5 | 180 | 3.1 | 162 | 2.1 | 197 | 4.7 | 119 | 5.1 | 186 | 3.8 | 176 | 2.5 | 180 | 3.1 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | 16,221 | 47.6 | 13,049 | 42.7 | 8,634 | 37.6 | 7,110 | 41.3 | 5,979 | 39.6 | 13,020 | 49.2 | 16,221 | 47.6 | 13,049 | 42.7 | 8,634 | 37.6 | 7,110 | 41.3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial construction | 1,114 | 6.7 | 1,535 | 5.7 | 2,053 | 7.4 | 872 | 4.5 | 950 | 5.5 | 1,622 | 8.7 | 1,114 | 6.7 | 1,535 | 5.7 | 2,053 | 7.4 | 872 | 4.5 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Home equity | 89 | 1.4 | 165 | 1.6 | 295 | 2.2 | 314 | 2.9 | 317 | 3.1 | 46 | 1.6 | 89 | 1.4 | 165 | 1.6 | 295 | 2.2 | 314 | 2.9 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer installment | 349 | 0.4 | 267 | 0.5 | 197 | 0.5 | 250 | 0.7 | 224 | 0.7 | 332 | 0.3 | 349 | 0.4 | 267 | 0.5 | 197 | 0.5 | 250 | 0.7 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial loans | 2,355 | 8.8 | 2,348 | 15.5 | 2,804 | 21.0 | 2,361 | 13.0 | 2,128 | 11.8 | 3,201 | 7.7 | 2,355 | 8.8 | 2,348 | 15.5 | 2,804 | 21.0 | 2,361 | 13.0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unallocated | - | - | - | - | - | - | - | - | 34 | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Totals | $ | 22,761 | 100.0 | % | $ | 19,668 | 100.0 | % | $ | 16,391 | 100.0 | % | $ | 13,200 | 100.0 | % | $ | 12,024 | 100.0 | % | $ | 21,212 | 100.0 | % | $ | 22,761 | 100.0 | % | $ | 19,668 | 100.0 | % | $ | 16,391 | 100.0 | % | $ | 13,200 | 100.0 | % |
At June 30, | At June 30, | |||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2020 | 2023 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | ||||||||||||||||||||||||||||||||||||
Transaction and savings deposits: | ||||||||||||||||||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | $ | 187,697 | 8.5 | % | $ | 174,114 | 8.7 | % | $ | 138,187 | 9.2 | % | $ | 159,039 | 6.5 | % | $ | 187,697 | 8.5 | % | $ | 174,114 | 8.7 | % | ||||||||||||||||||||||||
Certificates of deposit | 40,801 | 1.8 | 34,791 | 1.7 | 35,625 | 2.4 | 128,077 | 5.3 | 40,801 | 1.8 | 34,791 | 1.7 | ||||||||||||||||||||||||||||||||||||
Savings deposits | 343,731 | 15.5 | 301,050 | 15.0 | 241,371 | 16.1 | 299,038 | 12.3 | 343,731 | 15.5 | 301,050 | 15.0 | ||||||||||||||||||||||||||||||||||||
Money market deposits | 157,623 | 7.1 | 145,832 | 7.3 | 133,970 | 8.9 | 115,029 | 4.7 | 157,623 | 7.1 | 145,832 | 7.3 | ||||||||||||||||||||||||||||||||||||
NOW deposits | 1,482,752 | 67.0 | 1,349,321 | 67.3 | 951,922 | 63.4 | 1,735,978 | 71.2 | 1,482,752 | 67.0 | 1,349,321 | 67.3 | ||||||||||||||||||||||||||||||||||||
Total deposits | $ | 2,212,604 | 100.0 | % | $ | 2,005,108 | 100.0 | % | $ | 1,501,075 | 100.0 | % | $ | 2,437,161 | 100.0 | % | $ | 2,212,604 | 100.0 | % | $ | 2,005,108 | 100.0 | % |
At June 30, | ||||||||||||
(Dollars in thousands) | 2023 | 2022 | 2021 | |||||||||
Estimated amount of uninsured for Bank of Greene County | $ | 368,566 | $ | 328,352 | $ | 278,632 | ||||||
Estimated amount of uninsured for Greene County Commercial Bank1 | $ | 941,634 | $ | 858,015 | $ | 769,247 |
At June 30, | ||||||||||||
(Dollars in thousands) | 2022 | 2021 | 2020 | |||||||||
Estimated amount of uninsured deposits | $ | 328,352 | $ | 278,632 | $ | 172,852 |
1 | All of Greene County Commercial Bank deposits in excess of FDIC insurance limits are fully collateralized. |
(Dollars in thousands) | At June 30, 2022 | At June 30, 2023 | ||||||
Portion of certificates of deposits in excess of insurance limits | $ | 3,385 | $ | 20,244 | ||||
Certificates of deposits otherwise uninsured with a maturity of: | ||||||||
Within three months | $ | 1,401 | $ | 14,056 | ||||
After three but within six months | 300 | 2,387 | ||||||
After six but within twelve months | 301 | - | ||||||
Over twelve months | 1,383 | 3,801 |
Selected Equity Data: | At June 30, | |||||||
2022 | 2021 | |||||||
Shareholders’ equity to total assets, at end of period | 6.13 | % | 6.80 | % | ||||
Book value per share | $ | 18.53 | $ | 17.57 | ||||
Closing market price of common stock | $ | 45.29 | $ | 28.12 | ||||
For the years ended June 30, | ||||||||
2022 | 2021 | |||||||
Average shareholders’ equity to average assets | 6.60 | % | 7.12 | % | ||||
Dividend payout ratio1 | 15.81 | % | 17.08 | % | ||||
Actual dividends paid to net income2 | 9.41 | % | 10.15 | % |
Selected Equity Data: | At June 30, | |||||||
2023 | 2022 | |||||||
Shareholders’ equity to total assets, at end of period | 6.79 | % | 6.13 | % | ||||
Book value per share1 | $ | 10.76 | $ | 9.26 | ||||
Closing market price of common stock1 | $ | 29.80 | $ | 22.65 |
For the years ended June 30, | ||||||||
2023 | 2022 | |||||||
Average shareholders’ equity to average assets | 6.58 | % | 6.60 | % | ||||
Dividend payout ratio1 | 15.47 | % | 15.85 | % | ||||
Actual dividends paid to net income2 | 7.12 | % | 9.41 | % |
1 | The dividend payout ratio has been calculated based on the dividends declared per share divided by basic earnings per share. No adjustments have been made to account for dividends waived by Greene County Bancorp, MHC (“MHC”), the |
2 | Dividends declared divided by net income. The MHC waived its right to receive dividends declared during the three months |
Fiscal Years Ended June 30, | ||||||||||||||||||||||||
2022 | 2021 | |||||||||||||||||||||||
(Dollars in thousands) | Average Outstanding Balance | Interest Earned/ Paid | Average Yield/ Rate | Average Outstanding Balance | Interest Earned/ Paid | Average Yield/ Rate | ||||||||||||||||||
Interest-earning Assets: | ||||||||||||||||||||||||
Loans receivable1 | $ | 1,144,308 | $ | 47,125 | 4.12 | % | $ | 1,060,471 | $ | 45,275 | 4.27 | % | ||||||||||||
Securities non-taxable | 652,468 | 9,517 | 1.46 | 455,684 | 7,953 | 1.75 | ||||||||||||||||||
Securities taxable | 413,721 | 6,595 | 1.59 | 296,006 | 4,958 | 1.68 | ||||||||||||||||||
Interest-earning bank balances and federal funds | 79,489 | 157 | 0.20 | 79,345 | 81 | 0.10 | ||||||||||||||||||
FHLB stock | 1,462 | 50 | 3.42 | 1,144 | 61 | 5.33 | ||||||||||||||||||
Total interest-earning assets | 2,291,448 | 63,444 | 2.77 | % | 1,892,650 | 58,328 | 3.08 | % | ||||||||||||||||
Cash and due from banks | 13,474 | 12,526 | ||||||||||||||||||||||
Allowance for loan losses | (21,107 | ) | (18,191 | ) | ||||||||||||||||||||
Other noninterest-earning assets | 82,255 | 44,604 | ||||||||||||||||||||||
Total assets | $ | 2,366,070 | $ | 1,931,589 | ||||||||||||||||||||
Interest-Bearing Liabilities: | ||||||||||||||||||||||||
Savings and money market deposits | $ | 467,543 | $ | 759 | 0.16 | % | $ | 403,360 | $ | 952 | 0.24 | % | ||||||||||||
NOW deposits | 1,446,381 | 2,434 | 0.17 | 1,156,672 | 2,895 | 0.25 | ||||||||||||||||||
Certificates of deposit | 34,948 | 283 | 0.81 | 35,044 | 374 | 1.07 | ||||||||||||||||||
Borrowings | 51,193 | 1,963 | 3.83 | 22,386 | 962 | 4.30 | ||||||||||||||||||
Total interest-bearing liabilities | 2,000,065 | 5,439 | 0.27 | % | 1,617,462 | 5,183 | 0.32 | % | ||||||||||||||||
Noninterest-bearing deposits | 185,712 | 155,657 | ||||||||||||||||||||||
Other noninterest-bearing liabilities | 24,195 | 20,959 | ||||||||||||||||||||||
Shareholders' equity | 156,098 | 137,511 | ||||||||||||||||||||||
Total liabilities and equity | $ | 2,366,070 | $ | 1,931,589 | ||||||||||||||||||||
Net interest income | $ | 58,005 | $ | 53,145 | ||||||||||||||||||||
Net interest rate spread | 2.50 | % | 2.76 | % | ||||||||||||||||||||
Net earnings assets | $ | 291,383 | $ | 275,188 | ||||||||||||||||||||
Net interest margin | 2.53 | % | 2.81 | % | ||||||||||||||||||||
Average interest-earning assets to average interest-bearing liabilities | 114.57 | % | 117.01 | % |
2023 | 2022 | |||||||||||||||||||||||
(Dollars in thousands) | Average Outstanding Balance | Interest Earned/ Paid | Average Yield/ Rate | Average Outstanding Balance | Interest Earned/ Paid | Average Yield/ Rate | ||||||||||||||||||
Interest-earning Assets: | ||||||||||||||||||||||||
Loans receivable1 | $ | 1,371,653 | $ | 60,049 | 4.38 | % | $ | 1,144,308 | $ | 47,125 | 4.12 | % | ||||||||||||
Securities non-taxable | 672,877 | 14,385 | 2.14 | 652,468 | 9,517 | 1.46 | ||||||||||||||||||
Securities taxable | 413,417 | 8,384 | 2.03 | 413,721 | 6,595 | 1.59 | ||||||||||||||||||
Interest-earning bank balances and federal funds | 34,816 | 1,592 | 4.57 | 79,489 | 157 | 0.20 | ||||||||||||||||||
FHLB stock | 2,890 | 215 | 7.44 | 1,462 | 50 | 3.42 | ||||||||||||||||||
Total interest-earning assets | 2,495,653 | 84,625 | 3.39 | % | 2,291,448 | 63,444 | 2.77 | % | ||||||||||||||||
Cash and due from banks | 12,684 | 13,474 | ||||||||||||||||||||||
Allowance for loan losses | (22,115 | ) | (21,107 | ) | ||||||||||||||||||||
Other noninterest-earning assets | 94,627 | 82,255 | ||||||||||||||||||||||
Total assets | $ | 2,580,849 | $ | 2,366,070 | ||||||||||||||||||||
Interest-Bearing Liabilities: | ||||||||||||||||||||||||
Savings and money market deposits | $ | 464,988 | $ | 929 | 0.20 | % | $ | 467,543 | $ | 759 | 0.16 | % | ||||||||||||
NOW deposits | 1,596,832 | 17,516 | 1.10 | 1,446,381 | 2,434 | 0.17 | ||||||||||||||||||
Certificates of deposit | 69,279 | 1,610 | 2.32 | 34,948 | 283 | 0.81 | ||||||||||||||||||
Borrowings | 82,816 | 3,352 | 4.05 | 51,193 | 1,963 | 3.83 | ||||||||||||||||||
Total interest-bearing liabilities | 2,213,915 | 23,407 | 1.06 | % | 2,000,065 | 5,439 | 0.27 | % | ||||||||||||||||
Noninterest-bearing deposits | 171,068 | 185,712 | ||||||||||||||||||||||
Other noninterest-bearing liabilities | 26,029 | 24,195 | ||||||||||||||||||||||
Shareholders’ equity | 169,837 | 156,098 | ||||||||||||||||||||||
Total liabilities and equity | $ | 2,580,849 | $ | 2,366,070 | ||||||||||||||||||||
Net interest income | $ | 61,218 | $ | 58,005 | ||||||||||||||||||||
Net interest rate spread | 2.33 | % | 2.50 | % | ||||||||||||||||||||
Net earnings assets | $ | 281,738 | $ | 291,383 | ||||||||||||||||||||
Net interest margin | 2.45 | % | 2.53 | % | ||||||||||||||||||||
Average interest-earning assets to average interest-bearing liabilities | 112.73 | % | 114.57 | % |
1 | Calculated net of deferred loan fees and costs, loan discounts, and loans in process. |
For the year ended June 30, | ||||||||
(Dollars in thousands) | 2022 | 2021 | ||||||
Net interest income (GAAP) | $ | 58,005 | $ | 53,145 | ||||
Tax-equivalent adjustment(1) | 3,670 | 3,032 | ||||||
Net interest income (fully taxable-equivalent) | $ | 61,675 | $ | 56,177 | ||||
Average interest-earning assets | $ | 2,291,448 | $ | 1,892,650 | ||||
Net interest margin (fully taxable-equivalent) | 2.69 | % | 2.97 | % |
For the year ended June 30, | ||||||||
(Dollars in thousands) | 2023 | 2022 | ||||||
Net interest income (GAAP) | $ | 61,218 | $ 58,005 | |||||
Tax-equivalent adjustment(1) | 5,258 | 3,670 | ||||||
Net interest income (fully taxable-equivalent) | $ | 66,476 | $ 61,675 | |||||
Average interest-earning assets | $ | 2,495,653 | $ | 2,291,448 | ||||
Net interest margin (fully taxable-equivalent) | 2.66 | % | 2.69 | % |
(i) | Change attributable to changes in volume (changes in volume multiplied by prior rate); |
(ii) | Change attributable to changes in rate (changes in rate multiplied by prior volume); and |
(iii) | The net change. |
Years Ended June 30, | ||||||||||||||||||||||||
2023 versus 2022 | 2022 versus 2021 | |||||||||||||||||||||||
Increase/(Decrease) Due To | Total Increase/ | Increase/(Decrease) Due To | Total Increase/ | |||||||||||||||||||||
(In thousands) | Volume | Rate | (Decrease) | Volume | Rate | (Decrease) | ||||||||||||||||||
Interest-earning Assets: | ||||||||||||||||||||||||
Loans receivable, net1 | $ | 9,808 | $ | 3,116 | $ | 12,924 | $ | 3,484 | $ | (1,634 | ) | $ | 1,850 | |||||||||||
Securities non-taxable | 306 | 4,562 | 4,868 | 3,040 | (1,476 | ) | 1,564 | |||||||||||||||||
Securities taxable | (5 | ) | 1,794 | 1,789 | 1,884 | (247 | ) | 1,637 | ||||||||||||||||
Interest-earning bank balances and federal funds | (138 | ) | 1,573 | 1,435 | - | 76 | 76 | |||||||||||||||||
FHLB stock | 75 | 90 | 165 | 14 | (25 | ) | (11 | ) | ||||||||||||||||
Total interest-earning assets | 10,046 | 11,135 | 21,181 | 8,422 | (3,306 | ) | 5,116 | |||||||||||||||||
Interest-Bearing Liabilities: | ||||||||||||||||||||||||
Savings and money market deposits | (4 | ) | 174 | 170 | 146 | (339 | ) | (193 | ) | |||||||||||||||
NOW deposits | 281 | 14,801 | 15,082 | 610 | (1,071 | ) | (461 | ) | ||||||||||||||||
Certificates of deposit | 458 | 869 | 1,327 | (1 | ) | (90 | ) | (91 | ) | |||||||||||||||
Borrowings | 1,271 | 118 | 1,389 | 1,117 | (116 | ) | 1,001 | |||||||||||||||||
Total interest-bearing liabilities | 2,006 | 15,962 | 17,968 | 1,872 | (1,616 | ) | 256 | |||||||||||||||||
Net change in net interest income | $ | 8,040 | $ | (4,827 | ) | $ | 3,213 | $ | 6,550 | $ | (1,690 | ) | $ | 4,860 |
Years Ended June 30, | ||||||||||||||||||||||||
2022 versus 2021 | 2021 versus 2020 | |||||||||||||||||||||||
Increase/(Decrease) | Total | Increase/(Decrease) | Total | |||||||||||||||||||||
Due To | Increase/ | Due To | Increase/ | |||||||||||||||||||||
(In thousands) | Volume | Rate | (Decrease) | Volume | Rate | (Decrease) | ||||||||||||||||||
Interest-earning Assets: | ||||||||||||||||||||||||
Loans receivable, net1 | $ | 3,484 | $ | (1,634 | ) | $ | 1,850 | $ | 7,938 | $ | (1,822 | ) | $ | 6,116 | ||||||||||
Securities non-taxable | 3,040 | (1,476 | ) | 1,564 | 2,627 | (1,749 | ) | 878 | ||||||||||||||||
Securities taxable | 1,884 | (247 | ) | 1,637 | 2,034 | (3,442 | ) | (1,408 | ) | |||||||||||||||
Interest-earning bank balances and federal funds | - | 76 | 76 | 274 | (815 | ) | (541 | ) | ||||||||||||||||
FHLB stock | 14 | (25 | ) | (11 | ) | (15 | ) | (16 | ) | (31 | ) | |||||||||||||
Total interest-earning assets | 8,422 | (3,306 | ) | 5,116 | 12,858 | (7,844 | ) | 5,014 | ||||||||||||||||
Interest-Bearing Liabilities: | ||||||||||||||||||||||||
Savings and money market deposits | 146 | (339 | ) | (193 | ) | 224 | (620 | ) | (396 | ) | ||||||||||||||
NOW deposits | 610 | (1,071 | ) | (461 | ) | 1,881 | (5,400 | ) | (3,519 | ) | ||||||||||||||
Certificates of deposit | (1 | ) | (90 | ) | (91 | ) | (15 | ) | (90 | ) | (105 | ) | ||||||||||||
Borrowings | 1,117 | (116 | ) | 1,001 | 152 | 570 | 722 | |||||||||||||||||
Total interest-bearing liabilities | 1,872 | (1,616 | ) | 256 | 2,242 | (5,540 | ) | (3,298 | ) | |||||||||||||||
Net change in net interest income | $ | 6,550 | $ | (1,690 | ) | $ | 4,860 | $ | 10,616 | $ | (2,304 | ) | $ | 8,312 |
1 | Calculated net of deferred loan fees, loan discounts, and loans in process. |
(Dollars in thousands) | For the years ended June 30, | Change from Prior Year | For the years ended June 30, | Change from Prior Year | ||||||||||||||||||||||||||||
2022 | 2021 | Amount | Percent | 2023 | 2022 | Amount | Percent | |||||||||||||||||||||||||
Service charges on deposit accounts | $ | 4,439 | $ | 3,414 | $ | 1,025 | 30.02 | % | $ | 4,713 | $ | 4,439 | $ | 274 | 6.17 | % | ||||||||||||||||
Debit card fees | 4,381 | 3,860 | 521 | 13.50 | 4,512 | 4,381 | 131 | 2.99 | ||||||||||||||||||||||||
Investment services | 944 | 732 | 212 | 28.96 | 781 | 944 | (163 | ) | (17.27 | ) | ||||||||||||||||||||||
E-commerce fees | 107 | 113 | (6 | ) | (5.31 | ) | 110 | 107 | 3 | 2.80 | ||||||||||||||||||||||
Bank owned life insurance | 1,269 | 425 | 844 | 198.59 | 1,369 | 1,269 | 100 | 7.88 | ||||||||||||||||||||||||
Net loss on sale of securities available-for-sale | (251 | ) | - | (251 | ) | (100.00 | ) | |||||||||||||||||||||||||
Other operating income | 997 | 1,123 | (126 | ) | (11.22 | ) | 912 | 997 | (85 | ) | (8.53 | ) | ||||||||||||||||||||
Total noninterest income | $ | 12,137 | $ | 9,667 | $ | 2,470 | 25.55 | % | $ | 12,146 | $ | 12,137 | $ | 9 | 0.07 | % |
(Dollars in thousands) | For the years ended June 30, | Change from Prior Year | ||||||||||||||
2023 | 2022 | Amount | Percent | |||||||||||||
Salaries and employee benefits | $ | 23,418 | $ | 20,667 | $ | 2,751 | 13.31 | % | ||||||||
Occupancy expense | 2,333 | 2,305 | 28 | 1.21 | ||||||||||||
Equipment and furniture expense | 699 | 806 | (107 | ) | (13.28 | ) | ||||||||||
Service and data processing fees | 2,869 | 2,589 | 280 | 10.81 | ||||||||||||
Computer software, supplies and support | 1,653 | 1,531 | 122 | 7.97 | ||||||||||||
Advertising and promotion | 498 | 491 | 7 | 1.43 | ||||||||||||
FDIC insurance premiums | 1,085 | 826 | 259 | 31.36 | ||||||||||||
Legal and professional fees | 3,024 | 1,414 | 1,610 | 113.86 | ||||||||||||
Other | 3,029 | 3,330 | (301 | ) | (9.04 | ) | ||||||||||
Total noninterest expense | $ | 38,608 | $ | 33,959 | $ | 4,649 | 13.69 | % |
(Dollars in thousands) | For the years ended June 30, | Change from Prior Year | ||||||||||||||
2022 | 2021 | Amount | Percent | |||||||||||||
Salaries and employee benefits | $ | 20,667 | $ | 19,166 | $ | 1,501 | 7.83 | % | ||||||||
Occupancy expense | 2,305 | 2,169 | 136 | 6.27 | ||||||||||||
Equipment and furniture expense | 806 | 637 | 169 | 26.53 | ||||||||||||
Service and data processing fees | 2,589 | 2,621 | (32 | ) | (1.22 | ) | ||||||||||
Computer software, supplies and support | 1,531 | 1,369 | 162 | 11.83 | ||||||||||||
Advertising and promotion | 491 | 491 | - | 0.00 | ||||||||||||
FDIC insurance premiums | 826 | 738 | 88 | 11.92 | ||||||||||||
Legal and professional fees | 1,414 | 1,212 | 202 | 16.67 | ||||||||||||
Other | 3,330 | 2,820 | 510 | 18.09 | ||||||||||||
Total noninterest expense | $ | 33,959 | $ | 31,223 | $ | 2,736 | 8.76 | % |
Cash equivalents/(deposits plus short term borrowings) | % | |||
(Cash equivalents plus unpledged securities)/(deposits plus short term borrowings) | % | |||
(Cash equivalents plus unpledged securities plus additional borrowing capacity)/(deposits plus short term borrowings) | % |
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Unfunded loan commitments | $ | 213,420 | $ | 121,775 | $ | 124,498 | $ | 213,420 | ||||||||
Unused lines of credit | 85,971 | 86,456 | 94,898 | 85,971 | ||||||||||||
Standby letters of credit | 189 | 175 | 179 | 189 | ||||||||||||
Total commitments | $ | 299,580 | $ | 208,406 | $ | 219,575 | $ | 299,580 |
ITEM 7A. | Quantitative and Qualitative Disclosures About Market Risk |
(i) | maintaining a high level of liquid interest-earning assets such as short-term interest-earning deposits and various investment securities; |
(ii) | maintaining a high concentration of less interest-rate sensitive and lower-costing core deposits; |
(iii) | originating consumer installment loans that have up to five-year terms but that have significantly shorter average lives due to early prepayments; |
(iv) | originating adjustable-rate commercial real estate mortgage loans and commercial loans; and |
(v) | where possible, matching the funding requirements for fixed-rate residential mortgages with lower-costing core deposits. |
Changes in Market Interest Rates (Basis Points) | Changes in Market Interest Rates (Basis Points) | Changes in Market Interest Rates (Basis Points) | |||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Company EVE | $ Change From Par | % Change From Par | EVE Ratio1 | Change2 | Company EVE | $ Change From Par | % Change From Par | EVE Ratio1 | Change2 | |||||||||||||||||||||||||||
+300 bp | $ | 181,627 | $ | (114,526 | ) | (38.67 | )% | 7.96 | % | (386 | )bps | $ | 169,423 | $ | (107,872 | ) | (38.90 | )% | 7.15 | % | (357 | ) | bps | ||||||||||||||
+200 bp | 215,285 | (80,868 | ) | (27.31 | ) | 9.16 | (266 | ) | 201,050 | (76,245 | ) | (27.50 | ) | 8.25 | (247 | ) | |||||||||||||||||||||
+100 bp | 256,523 | (39,630 | ) | (13.38 | 10.57 | (125 | ) | 239,443 | (37,852 | ) | (13.65 | ) | 9.54 | (118 | ) | ||||||||||||||||||||||
PAR | 296,153 | - | - | 11.82 | - | 277,295 | - | - | 10.72 | - | |||||||||||||||||||||||||||
-100 bp | 333,656 | 37,503 | 12.66 | 12.89 | 107 | 313,201 | 35,906 | 12.95 | 11.73 | 101 |
1 | Calculated as the estimated EVE divided by the present value of total assets. |
2 | Calculated as the excess (deficiency) of the EVE ratio assuming the indicated change in interest rates over the estimated EVE ratio assuming no change in interest rates. |
ITEM 8. | Financial Statements and Supplementary Data |
/s/ Donald | /s/ Michelle Plummer | |||
Donald E. Gibson | Michelle Plummer, CPA, CGMA | |||
President and Chief Executive Officer | Senior Executive Vice President, Chief Operating Officer and Chief Financial Officer |
ASSETS | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Total cash and cash equivalents | $ | 69,009 | $ | 149,775 | $ | 196,445 | $ | 69,009 | ||||||||
Long term certificates of deposit | 4,107 | 4,553 | ||||||||||||||
Long-term certificates of deposit | 4,576 | 4,107 | ||||||||||||||
Securities available-for-sale, at fair value | 408,062 | 390,890 | 281,133 | 408,062 | ||||||||||||
Securities held-to-maturity, at amortized cost (fair value $710,453 at June 30, 2022; $519,042 at June 30, 2021) | 761,852 | 496,914 | ||||||||||||||
Securities held-to-maturity, at amortized cost (fair value $671,066 at June 30, 2023; $710,453 at June 30, 2022) | 726,363 | 761,852 | ||||||||||||||
Equity securities, at fair value | 273 | 307 | 306 | 273 | ||||||||||||
Federal Home Loan Bank stock, at cost | 6,803 | 1,091 | 1,682 | 6,803 | ||||||||||||
Loans | 1,251,987 | 1,108,408 | ||||||||||||||
Gross loans receivable | 1,408,791 | 1,251,987 | ||||||||||||||
Allowance for loan losses | (22,761 | ) | (19,668 | ) | (21,212 | ) | (22,761 | ) | ||||||||
Unearned origination fees and costs, net | 129 | (2,793 | ) | 75 | 129 | |||||||||||
Net loans receivable | 1,229,355 | 1,085,947 | 1,387,654 | 1,229,355 | ||||||||||||
Premises and equipment, net | 14,362 | 14,137 | 15,028 | 14,362 | ||||||||||||
Bank owned life insurance | 53,695 | 40,425 | ||||||||||||||
Bank-owned life insurance | 55,063 | 53,695 | ||||||||||||||
Accrued interest receivable | 8,917 | 7,781 | 12,249 | 8,917 | ||||||||||||
Foreclosed real estate | 68 | 64 | 302 | 68 | ||||||||||||
Prepaid expenses and other assets | 15,237 | 8,451 | 17,482 | 15,237 | ||||||||||||
Total assets | $ | 2,571,740 | $ | 2,200,335 | $ | 2,698,283 | $ | 2,571,740 | ||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||
Noninterest-bearing deposits | $ | 187,697 | $ | 174,114 | ||||||||||||
Interest-bearing deposits | 2,024,907 | 1,830,994 | ||||||||||||||
Noninterest bearing deposits | $ | 159,039 | $ | 187,697 | ||||||||||||
Interest bearing deposits | 2,278,122 | 2,024,907 | ||||||||||||||
Total deposits | 2,212,604 | 2,005,108 | 2,437,161 | 2,212,604 | ||||||||||||
Borrowings from Federal Home Loan Bank, short-term | 123,700 | - | - | 123,700 | ||||||||||||
Borrowings from other banks, short-term | - | 3,000 | ||||||||||||||
Subordinated notes payable, net | 49,310 | 19,644 | 49,495 | 49,310 | ||||||||||||
Accrued expenses and other liabilities | 28,412 | 22,999 | 28,344 | 28,412 | ||||||||||||
Total liabilities | 2,414,026 | 2,050,751 | 2,515,000 | 2,414,026 | ||||||||||||
SHAREHOLDERS’ EQUITY | ||||||||||||||||
Preferred stock, Authorized - 1,000,000 shares; Issued - None | - | - | - | - | ||||||||||||
Common stock, par value $0.10 per share; Authorized - 12,000,000 shares; Issued – 8,611,340 Outstanding – 8,513,414 shares at June 30, 2022 and June 30, 2021 | 861 | 861 | ||||||||||||||
Common stock, par value $0.10 per share; Authorized - 36,000,000 shares; Issued – 17,222,680 shares at June 30, 2023 and June 30, 2022 Outstanding – 17,026,828 shares at June 30, 2023 and June 30, 2022 | 1,722 | 1,722 | ||||||||||||||
Additional paid-in capital | 11,017 | 11,017 | 10,156 | 10,156 | ||||||||||||
Retained earnings | 165,127 | 139,775 | 193,721 | 165,127 | ||||||||||||
Accumulated other comprehensive loss | (18,383 | ) | (1,161 | ) | (21,408 | ) | (18,383 | ) | ||||||||
Treasury stock, at cost 97,926 shares at June 30, 2022 and at June 30, 2021 | (908 | ) | (908 | ) | ||||||||||||
Treasury stock, at cost 195,852 shares at June 30, 2023 and June 30, 2022 | (908 | ) | (908 | ) | ||||||||||||
Total shareholders’ equity | 157,714 | 149,584 | 183,283 | 157,714 | ||||||||||||
Total liabilities and shareholders’ equity | $ | 2,571,740 | $ | 2,200,335 | $ | 2,698,283 | $ | 2,571,740 |
2022 | 2021 | 2023 | 2022 | |||||||||||||
Interest income: | ||||||||||||||||
Loans | $ | 47,125 | $ | 45,275 | $ | 60,049 | $ | 47,125 | ||||||||
Investment securities - taxable | 1,653 | 816 | 2,859 | 1,653 | ||||||||||||
Mortgage-backed securities | 4,992 | 4,203 | 5,740 | 4,992 | ||||||||||||
Investment securities - tax exempt | 9,517 | 7,953 | 14,385 | 9,517 | ||||||||||||
Interest-bearing deposits and federal funds sold | 157 | 81 | 1,592 | 157 | ||||||||||||
Total interest income | 63,444 | 58,328 | 84,625 | 63,444 | ||||||||||||
Interest expense: | ||||||||||||||||
Interest on deposits | 3,476 | 4,221 | 20,055 | 3,476 | ||||||||||||
Interest on borrowings | 1,963 | 962 | 3,352 | 1,963 | ||||||||||||
Total interest expense | 5,439 | 5,183 | 23,407 | 5,439 | ||||||||||||
Net interest income | 58,005 | 53,145 | 61,218 | 58,005 | ||||||||||||
Provision for loan losses | 3,278 | 3,974 | (1,071 | ) | 3,278 | |||||||||||
Net interest income after provision for loan losses | 54,727 | 49,171 | 62,289 | 54,727 | ||||||||||||
Noninterest income: | ||||||||||||||||
Service charges on deposit accounts | 4,439 | 3,414 | 4,713 | 4,439 | ||||||||||||
Debit card fees | 4,381 | 3,860 | 4,512 | 4,381 | ||||||||||||
Investment services | 944 | 732 | 781 | 944 | ||||||||||||
E-commerce fees | 107 | 113 | 110 | 107 | ||||||||||||
Bank owned life insurance | 1,269 | 425 | 1,369 | 1,269 | ||||||||||||
Net loss on securities available-for-sale | (251 | ) | - | |||||||||||||
Other operating income | 997 | 1,123 | 912 | 997 | ||||||||||||
Total noninterest income | 12,137 | 9,667 | 12,146 | 12,137 | ||||||||||||
Noninterest expense: | ||||||||||||||||
Salaries and employee benefits | 20,667 | 19,166 | 23,418 | 20,667 | ||||||||||||
Occupancy expense | 2,305 | 2,169 | 2,333 | 2,305 | ||||||||||||
Equipment and furniture expense | 806 | 637 | 699 | 806 | ||||||||||||
Service and data processing fees | 2,589 | 2,621 | 2,869 | 2,589 | ||||||||||||
Computer software, supplies and support | 1,531 | 1,369 | 1,653 | 1,531 | ||||||||||||
Advertising and promotion | 491 | 491 | 498 | 491 | ||||||||||||
FDIC insurance premiums | 826 | 738 | 1,085 | 826 | ||||||||||||
Legal and professional fees | 1,414 | 1,212 | 3,024 | 1,414 | ||||||||||||
Other | 3,330 | 2,820 | 3,029 | 3,330 | ||||||||||||
Total noninterest expense | 33,959 | 31,223 | 38,608 | 33,959 | ||||||||||||
Income before provision for income taxes | 32,905 | 27,615 | 35,827 | 32,905 | ||||||||||||
Provision for income taxes | 4,919 | 3,673 | 5,042 | 4,919 | ||||||||||||
Net income | $ | 27,986 | $ | 23,942 | $ | 30,785 | $ | 27,986 | ||||||||
Basic earnings per share | $ | 3.29 | $ | 2.81 | $ | 1.81 | $ | 1.64 | ||||||||
Basic average shares outstanding | 8,513,414 | 8,513,414 | 17,026,828 | 17,026,828 | ||||||||||||
Diluted earnings per share | $ | 3.29 | $ | 2.81 | $ | 1.81 | $ | 1.64 | ||||||||
Diluted average shares outstanding | 8,513,414 | 8,513,414 | 17,026,828 | 17,026,828 | ||||||||||||
Dividends per share | $ | 0.52 | $ | 0.48 | $ | 0.28 | $ | 0.26 |
2022 | 2021 | 2023 | 2022 | |||||||||||||
Net Income | $ | 27,986 | $ | 23,942 | $ | 30,785 | $ | 27,986 | ||||||||
Other comprehensive (loss) income: | ||||||||||||||||
Other comprehensive loss: | ||||||||||||||||
Unrealized holding losses on available-for-sale securities, gross | (24,038 | ) | (1,894 | ) | ||||||||||||
Unrealized holding losses on securities available-for-sale, gross | (4,708 | ) | (24,038 | ) | ||||||||||||
Tax effect | (6,422 | ) | (492 | ) | (1,261 | ) | (6,422 | ) | ||||||||
Unrealized holding losses on available-for-sale securities, net | (17,616 | ) | (1,402 | ) | ||||||||||||
Unrealized holding losses on securities available-for-sale, net | (3,447 | ) | (17,616 | ) | ||||||||||||
Reclassification adjustment for loss on sale of securities available-for-sale realized in net income, gross | 251 | - | ||||||||||||||
Tax effect | 67 | - | ||||||||||||||
Reclassification adjustment for loss on sale of securities available-for-sale realized in net income, net | 184 | - | ||||||||||||||
Pension actuarial gain, gross | 290 | 680 | 218 | 290 | ||||||||||||
Tax effect | 78 | 168 | 58 | 78 | ||||||||||||
Pension actuarial gain, net | 212 | 512 | 160 | 212 | ||||||||||||
Amortization of pension actuarial losses recognized in salaries and benefits, gross | 248 | 209 | 106 | 248 | ||||||||||||
Tax effect | 66 | 52 | 28 | 66 | ||||||||||||
Amortization of pension actuarial losses recognized in salaries and benefits, net | 182 | 157 | 78 | 182 | ||||||||||||
Total other comprehensive loss, net of taxes | (17,222 | ) | (733 | ) | (3,025 | ) | (17,222 | ) | ||||||||
Comprehensive income | $ | 10,764 | $ | 23,209 | $ | 27,760 | $ | 10,764 |
Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock | Total Shareholders’ Equity | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock | Total Shareholders’ Equity | |||||||||||||||||||||||||||||||||||||
Balance at June 30, 2020 | $ | 861 | $ | 11,017 | $ | 118,263 | $ | (428 | ) | $ | (908 | ) | $ | 128,805 | ||||||||||||||||||||||||||||||||||
Dividends declared | (2,430 | ) | (2,430 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Net income | 23,942 | 23,942 | ||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes | (733 | ) | (733 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2021 | $ | 861 | $ | 11,017 | $ | 139,775 | $ | (1,161 | ) | $ | (908 | ) | $ | 149,584 | $ | 1,722 | $ | 10,156 | $ | 139,775 | $ | (1,161 | ) | $ | (908 | ) | $ | 149,584 | ||||||||||||||||||||
Dividends declared | (2,634 | ) | (2,634 | ) | (2,634 | ) | (2,634 | ) | ||||||||||||||||||||||||||||||||||||||||
Net income | 27,986 | 27,986 | 27,986 | 27,986 | ||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes | (17,222 | ) | (17,222 | ) | (17,222 | ) | (17,222 | ) | ||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2022 | $ | 861 | $ | 11,017 | $ | 165,127 | $ | (18,383 | ) | $ | (908 | ) | $ | 157,714 | $ | 1,722 | $ | 10,156 | $ | 165,127 | $ | (18,383 | ) | $ | (908 | ) | $ | 157,714 | ||||||||||||||||||||
Dividends declared | (2,191 | ) | (2,191 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Net income | 30,785 | 30,785 | ||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes | (3,025 | ) | (3,025 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2023 | $ | 1,722 | $ | 10,156 | $ | 193,721 | $ | (21,408 | ) | $ | (908 | ) | $ | 183,283 |
2022 | 2021 | 2023 | 2022 | |||||||||||||
Cash flows from operating activities: | ||||||||||||||||
Net Income | $ | 27,986 | $ | 23,942 | $ | 30,785 | $ | 27,986 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities | ||||||||||||||||
Depreciation | 826 | 775 | 871 | 826 | ||||||||||||
Deferred income tax benefit | (682 | ) | (2,025 | ) | (149 | ) | (682 | ) | ||||||||
Net amortization of investment premiums and discounts | 3,386 | 3,573 | 2,418 | 3,386 | ||||||||||||
Net accretion of deferred loan costs and fees | (3,320 | ) | (3,767 | ) | ||||||||||||
Net amortization (accretion) of deferred loan costs and fees | 259 | (3,320 | ) | |||||||||||||
Amortization of subordinated debt issuance costs | 165 | 67 | 185 | 165 | ||||||||||||
Provision for loan losses | 3,278 | 3,974 | (1,071 | ) | 3,278 | |||||||||||
Bank owned life insurance income | (1,269 | ) | (425 | ) | (1,369 | ) | (1,269 | ) | ||||||||
Net loss (gain) on equity securities | 34 | (40 | ) | |||||||||||||
Net gain on sale of foreclosed real estate | (39 | ) | (66 | ) | ||||||||||||
Net loss on sale of securities available-for-sale | 251 | - | ||||||||||||||
Net (gain) loss on equity securities | (33 | ) | 34 | |||||||||||||
Net loss (gain) on sale of foreclosed real estate | 26 | (39 | ) | |||||||||||||
Net decrease in accrued income taxes | (1 | ) | (606 | ) | (1,121 | ) | (1 | ) | ||||||||
Net (increase) decrease in accrued interest receivable | (1,136 | ) | 426 | |||||||||||||
Net decrease (increase) in prepaid expenses and other assets | 176 | (934 | ) | |||||||||||||
Net increase in accrued interest receivable | (3,332 | ) | (1,136 | ) | ||||||||||||
Net decrease in prepaid expenses and other assets | 133 | 176 | ||||||||||||||
Net increase in accrued expenses and other liabilities | 5,950 | 2,859 | 256 | 5,950 | ||||||||||||
Net cash provided by operating activities | 35,354 | 27,753 | 28,109 | 35,354 | ||||||||||||
Cash flows from investing activities: | ||||||||||||||||
Securities available-for-sale: | ||||||||||||||||
Proceeds from maturities | 242,983 | 217,201 | 262,884 | 242,983 | ||||||||||||
Proceeds from sale of securities | 1,675 | - | ||||||||||||||
Purchases of securities | (315,639 | ) | (412,520 | ) | (154,365 | ) | (315,639 | ) | ||||||||
Principal payments on securities | 29,912 | 27,276 | 11,205 | 29,912 | ||||||||||||
Securities held-to-maturity: | ||||||||||||||||
Proceeds from maturities | 54,207 | 41,138 | 70,275 | 54,207 | ||||||||||||
Purchases of securities | (353,573 | ) | (214,120 | ) | (57,596 | ) | (353,573 | ) | ||||||||
Principal payments on securities | 32,596 | 58,133 | 21,236 | 32,596 | ||||||||||||
Net (purchase) redemption of Federal Home Loan Bank Stock | (5,712 | ) | 135 | |||||||||||||
Net redemption (purchase) of Federal Home Loan Bank Stock | 5,121 | (5,712 | ) | |||||||||||||
Purchase of long term certificate of deposit | - | (1,231 | ) | (1,225 | ) | - | ||||||||||
Maturity of long term certificate of deposit | 425 | 735 | 735 | 425 | ||||||||||||
Purchase of bank owned life insurance | (12,000 | ) | (40,000 | ) | - | (12,000 | ) | |||||||||
Net increase in loans receivable | (143,406 | ) | (92,932 | ) | (157,949 | ) | (143,406 | ) | ||||||||
Proceeds from sale of foreclosed real estate | 75 | 302 | 202 | 75 | ||||||||||||
Purchases of premises and equipment | (1,051 | ) | (1,254 | ) | (1,537 | ) | (1,051 | ) | ||||||||
Net cash used in investing activities | (471,183 | ) | (417,137 | ) | ||||||||||||
Net cash provided by (used in) investing activities | 661 | (471,183 | ) | |||||||||||||
Cash flows from financing activities: | ||||||||||||||||
Net increase in short-term FHLB advances | 123,700 | - | ||||||||||||||
Net (decrease) increase in short-term FHLB advances | (123,700 | ) | 123,700 | |||||||||||||
Net decrease in short-term advances from other banks | (3,000 | ) | (14,884 | ) | - | (3,000 | ) | |||||||||
Repayment of long-term FHLB advances | - | (7,600 | ) | |||||||||||||
Net proceeds from subordinated notes payable | 29,501 | 19,577 | - | 29,501 | ||||||||||||
Payment of cash dividends | (2,634 | ) | (2,430 | ) | (2,191 | ) | (2,634 | ) | ||||||||
Net increase in deposits | 207,496 | 504,033 | 224,557 | 207,496 | ||||||||||||
Net cash provided by financing activities | 355,063 | 498,696 | 98,666 | 355,063 | ||||||||||||
Net (decrease) increase in cash and cash equivalents | (80,766 | ) | 109,312 | |||||||||||||
Net increase (decrease) in cash and cash equivalents | 127,436 | (80,766 | ) | |||||||||||||
Cash and cash equivalents at beginning of year | 149,775 | 40,463 | 69,009 | 149,775 | ||||||||||||
Cash and cash equivalents at end of year | $ | 69,009 | $ | 149,775 | $ | 196,445 | $ | 69,009 | ||||||||
Non-cash investing activities: | ||||||||||||||||
Foreclosed loans transferred to other real estate | $ | 40 | $ | 300 | $ | 462 | $ | 40 | ||||||||
Cash paid during period for: | ||||||||||||||||
Interest | $ | 5,182 | $ | 4,956 | $ | 23,074 | $ | 5,182 | ||||||||
Income taxes | $ | 5,602 | $ | 6,304 | $ | 6,312 | $ | 5,602 |
Note 1. | Summary of significant accounting policies |
Note 2. | Balances at other banks |
Note 3. | Securities |
(In thousands) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||
Securities available-for-sale: | ||||||||||||||||
U.S. government sponsored enterprises | $ | 13,054 | $ | - | $ | 2,231 | $ | 10,823 | ||||||||
U.S. treasury securities | 18,349 | - | 1,849 | 16,500 | ||||||||||||
State and political subdivisions | 137,343 | 670 | 2 | 138,011 | ||||||||||||
Mortgage-backed securities-residential | 29,586 | - | 3,985 | 25,601 | ||||||||||||
Mortgage-backed securities-multi-family | 91,016 | - | 18,930 | 72,086 | ||||||||||||
Corporate debt securities | 19,805 | - | 1,693 | 18,112 | ||||||||||||
Total securities available-for-sale | 309,153 | 670 | 28,690 | 281,133 | ||||||||||||
Securities held-to-maturity: | ||||||||||||||||
U.S. treasury securities | 33,705 | - | 2,438 | 31,267 | ||||||||||||
State and political subdivisions | 478,756 | 5,178 | 30,662 | 453,272 | ||||||||||||
Mortgage-backed securities-residential | 37,186 | - | 3,625 | 33,561 | ||||||||||||
Mortgage-backed securities-multi-family | 155,046 | - | 20,324 | 134,722 | ||||||||||||
Corporate debt securities | 21,632 | - | 3,426 | 18,206 | ||||||||||||
Other securities | 38 | - | - | 38 | ||||||||||||
Total securities held-to-maturity | 726,363 | 5,178 | 60,475 | 671,066 | ||||||||||||
Total securities | $ | 1,035,516 | $ | 5,848 | $ | 89,165 | $ | 952,199 |
(In thousands) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||||||||||||||
Securities available-for-sale: | ||||||||||||||||||||||||||||||||
U.S. government sponsored enterprises | $ | 13,066 | $ | - | $ | 1,747 | $ | 11,319 | $ | 13,066 | $ | - | $ | 1,747 | $ | 11,319 | ||||||||||||||||
U.S. treasury securities | 20,158 | - | 1,731 | 18,427 | 20,158 | - | 1,731 | 18,427 | ||||||||||||||||||||||||
State and political subdivisions | 247,978 | 374 | 276 | 248,076 | 247,978 | 374 | 276 | 248,076 | ||||||||||||||||||||||||
Mortgage-backed securities-residential | 33,186 | - | 3,289 | 29,897 | 33,186 | - | 3,289 | 29,897 | ||||||||||||||||||||||||
Mortgage-backed securities-multi-family | 99,353 | - | 15,644 | 83,709 | 99,353 | - | 15,644 | 83,709 | ||||||||||||||||||||||||
Corporate debt securities | 17,884 | - | 1,250 | 16,634 | 17,884 | - | 1,250 | 16,634 | ||||||||||||||||||||||||
Total securities available-for-sale | 431,625 | 374 | 23,937 | 408,062 | 431,625 | 374 | 23,937 | 408,062 | ||||||||||||||||||||||||
Securities held-to-maturity: | ||||||||||||||||||||||||||||||||
U.S. treasury securities | 33,623 | - | 1,643 | 31,980 | 33,623 | - | 1,643 | 31,980 | ||||||||||||||||||||||||
State and political subdivisions | 493,897 | 2,760 | 35,747 | 460,910 | 493,897 | 2,760 | 35,747 | 460,910 | ||||||||||||||||||||||||
Mortgage-backed securities-residential | 42,461 | 1 | 2,242 | 40,220 | 42,461 | 1 | 2,242 | 40,220 | ||||||||||||||||||||||||
Mortgage-backed securities-multi-family | 171,921 | 2 | 13,895 | 158,028 | 171,921 | 2 | 13,895 | 158,028 | ||||||||||||||||||||||||
Corporate debt securities | 19,900 | 16 | 651 | 19,265 | 19,900 | 16 | 651 | 19,265 | ||||||||||||||||||||||||
Other securities | 50 | - | - | 50 | 50 | - | - | 50 | ||||||||||||||||||||||||
Total securities held-to-maturity | 761,852 | 2,779 | 54,178 | 710,453 | 761,852 | 2,779 | 54,178 | 710,453 | ||||||||||||||||||||||||
Total securities | $ | 1,193,477 | $ | 3,153 | $ | 78,115 | $ | 1,118,515 | $ | 1,193,477 | $ | 3,153 | $ | 78,115 | $ | 1,118,515 |
(In thousands) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||||||||||||||||||||||||||||||||||||||
Less Than 12 Months | More Than 12 Months | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||
(In thousands, except number of securities) | Fair Value | Unrealized Losses | Number of Securities | Fair Value | Unrealized Losses | Number of Securities | Fair Value | Unrealized Losses | Number of Securities | |||||||||||||||||||||||||||||||||||||||||||
Securities available-for-sale: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. government sponsored enterprises | $ | 13,079 | $ | 36 | $ | 212 | $ | 12,903 | $ | - | $ | - | - | $ | 10,823 | $ | 2,231 | 5 | $ | 10,823 | $ | 2,231 | 5 | |||||||||||||||||||||||||||||
U.S. treasury securities | 19,672 | 165 | 1 | 19,836 | 761 | 57 | 2 | 15,739 | 1,792 | 6 | 16,500 | 1,849 | 8 | |||||||||||||||||||||||||||||||||||||||
State and political subdivisions | 200,436 | 220 | - | 200,656 | - | - | - | 82 | 2 | 1 | 82 | 2 | 1 | |||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities-residential | 34,861 | 287 | 167 | 34,981 | 476 | 29 | 7 | 25,125 | 3,956 | 21 | 25,601 | 3,985 | 28 | |||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities-multi-family | 119,359 | 1,042 | 994 | 119,407 | 2,679 | 182 | 1 | 69,407 | 18,748 | 30 | 72,086 | 18,930 | 31 | |||||||||||||||||||||||||||||||||||||||
Corporate debt securities | 3,008 | 129 | 30 | 3,107 | 2,352 | 40 | 2 | 15,760 | 1,653 | 15 | 18,112 | 1,693 | 17 | |||||||||||||||||||||||||||||||||||||||
Total securities available-for-sale | 390,415 | 1,879 | 1,404 | 390,890 | 6,268 | 308 | 12 | 136,936 | 28,382 | 78 | 143,204 | 28,690 | 90 | |||||||||||||||||||||||||||||||||||||||
Securities held-to-maturity: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. treasury securities | 10,938 | 28 | 2 | 10,964 | - | - | - | 31,267 | 2,438 | 8 | 31,267 | 2,438 | 8 | |||||||||||||||||||||||||||||||||||||||
State and political subdivisions | 341,364 | 17,184 | 303 | 358,245 | 40,412 | 520 | 448 | 295,479 | 30,142 | 2,018 | 335,891 | 30,662 | 2,466 | |||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities-residential | 28,450 | 584 | 90 | 28,944 | 1,982 | 120 | 12 | 31,579 | 3,505 | 18 | 33,561 | 3,625 | 30 | |||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities-multi-family | 100,330 | 4,635 | 12 | 104,953 | 5,362 | 245 | 2 | 129,360 | 20,079 | 54 | 134,722 | 20,324 | 56 | |||||||||||||||||||||||||||||||||||||||
Corporate debt securities | 9,892 | 111 | 65 | 9,938 | 10,236 | 2,012 | 9 | 7,970 | 1,414 | 10 | 18,206 | 3,426 | 19 | |||||||||||||||||||||||||||||||||||||||
Other securities | 5,940 | 58 | - | 5,998 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total securities held-to-maturity | 496,914 | 22,600 | 472 | 519,042 | 57,992 | 2,897 | 471 | 495,655 | 57,578 | 2,108 | 553,647 | 60,475 | 2,579 | |||||||||||||||||||||||||||||||||||||||
Total securities | $ | 887,329 | $ | 24,479 | $ | 1,876 | $ | 909,932 | $ | 64,260 | $ | 3,205 | 483 | $ | 632,591 | $ | 85,960 | 2,186 | $ | 696,851 | $ | 89,165 | 2,669 |
Less Than 12 Months | More Than 12 Months | Total | ||||||||||||||||||||||||||||||||||
(In thousands, except number of securities) | Fair Value | Unrealized Losses | Number of Securities | Fair Value | Unrealized Losses | Number of Securities | Fair Value | Unrealized Losses | Number of Securities | |||||||||||||||||||||||||||
Securities available-for-sale: | ||||||||||||||||||||||||||||||||||||
U.S. government sponsored enterprises | $ | 11,319 | $ | 1,747 | 5 | $ | - | $ | - | - | $ | 11,319 | $ | 1,747 | 5 | |||||||||||||||||||||
U.S. treasury securities | 18,427 | 1,731 | 8 | - | - | - | 18,427 | 1,731 | 8 | |||||||||||||||||||||||||||
State and political subdivisions | 140,324 | 276 | 148 | - | - | - | 140,324 | 276 | 148 | |||||||||||||||||||||||||||
Mortgage-backed securities-residential | 29,872 | 3,289 | 27 | - | - | - | 29,872 | 3,289 | 27 | |||||||||||||||||||||||||||
Mortgage-backed securities-multi-family | 71,631 | 12,868 | 29 | 12,078 | 2,776 | 5 | 83,709 | 15,644 | 34 | |||||||||||||||||||||||||||
Corporate debt securities | 16,634 | 1,250 | 16 | - | - | - | 16,634 | 1,250 | 16 | |||||||||||||||||||||||||||
Total securities available-for-sale | 288,207 | 21,161 | 233 | 12,078 | 2,776 | 5 | 300,285 | 23,937 | 238 | |||||||||||||||||||||||||||
Securities held-to-maturity: | ||||||||||||||||||||||||||||||||||||
U.S. treasury securities | 31,980 | 1,643 | 9 | - | - | - | 31,980 | 1,643 | 9 | |||||||||||||||||||||||||||
State and political subdivisions | 353,837 | 35,564 | 2,362 | 735 | 183 | 5 | 354,572 | 35,747 | 2,367 | |||||||||||||||||||||||||||
Mortgage-backed securities-residential | 39,865 | 2,242 | 27 | - | - | - | 39,865 | 2,242 | 27 | |||||||||||||||||||||||||||
Mortgage-backed securities-multi-family | 155,726 | 13,895 | 68 | - | - | - | 155,726 | 13,895 | 68 | |||||||||||||||||||||||||||
Corporate debt securities | 10,751 | 651 | 11 | - | - | - | 10,751 | 651 | 11 | |||||||||||||||||||||||||||
Total securities held-to-maturity | 592,159 | 53,995 | 2,477 | 735 | 183 | 5 | 592,894 | 54,178 | 2,482 | |||||||||||||||||||||||||||
Total securities | $ | 880,366 | $ | 75,156 | 2,710 | $ | 12,813 | $ | 2,959 | 10 | $ | 893,179 | $ | 78,115 | 2,720 |
Less Than 12 Months | More Than 12 Months | Total | ||||||||||||||||||||||||||||||||||
(In thousands, except number of securities) | Fair Value | Unrealized Losses | Number of Securities | Fair Value | Unrealized Losses | Number of Securities | Fair Value | Unrealized Losses | Number of Securities | |||||||||||||||||||||||||||
Securities available-for-sale: | ||||||||||||||||||||||||||||||||||||
U.S. government sponsored enterprises | $ | 6,787 | $ | 212 | 2 | $ | - | $ | - | - | $ | 6,787 | $ | 212 | 2 | |||||||||||||||||||||
U.S. treasury securities | 1,970 | 1 | 1 | - | - | - | 1,970 | 1 | 1 | |||||||||||||||||||||||||||
Mortgage-backed securities-residential | 19,071 | 167 | 4 | - | - | - | 19,071 | 167 | 4 | |||||||||||||||||||||||||||
Mortgage-backed securities-multi-family | 59,176 | 933 | 21 | 2,469 | 61 | 1 | 61,645 | 994 | 22 | |||||||||||||||||||||||||||
Corporate debt securities | 970 | 30 | 1 | - | - | - | 970 | 30 | 1 | |||||||||||||||||||||||||||
Total securities available-for-sale | 87,974 | 1,343 | 29 | 2,469 | 61 | 1 | 90,443 | 1,404 | 30 | |||||||||||||||||||||||||||
Securities held-to-maturity: | ||||||||||||||||||||||||||||||||||||
U.S. treasury securities | 1,991 | 2 | 1 | - | - | - | 1,991 | 2 | 1 | |||||||||||||||||||||||||||
State and political subdivisions | 42,751 | 303 | 76 | - | - | - | 42,751 | 303 | 76 | |||||||||||||||||||||||||||
Mortgage-backed securities-residential | 12,839 | 90 | 2 | - | - | - | 12,839 | 90 | 2 | |||||||||||||||||||||||||||
Mortgage-backed securities-multi-family | 3,890 | 12 | 3 | - | - | - | 3,890 | 12 | 3 | |||||||||||||||||||||||||||
Corporate debt securities | 2,506 | 36 | 2 | 471 | 29 | 1 | 2,977 | 65 | 3 | |||||||||||||||||||||||||||
Total securities held-to-maturity | 63,977 | 443 | 84 | 471 | 29 | 1 | 64,448 | 472 | 85 | |||||||||||||||||||||||||||
Total securities | $ | 151,951 | $ | 1,786 | 113 | $ | 2,940 | $ | 90 | 2 | $ | 154,891 | $ | 1,876 | 115 |
Available-for-sale debt securities | Amortized Cost | Fair Value | ||||||||||||||
Securities available-for-sale | Amortized Cost | Fair Value | ||||||||||||||
Within one year | $ | 247,893 | $ | 247,992 | $ | 137,531 | $ | 138,195 | ||||||||
After one year through five years | 19,679 | 18,436 | 34,138 | 31,232 | ||||||||||||
After five years through ten years | 30,014 | 26,753 | 15,382 | 12,855 | ||||||||||||
After ten years | 1,500 | 1,275 | 1,500 | 1,164 | ||||||||||||
Total available-for-sale debt securities | 299,086 | 294,456 | ||||||||||||||
Total securities available-for-sale | 188,551 | 183,446 | ||||||||||||||
Mortgage-backed and asset-backed securities | 132,539 | 113,606 | 120,602 | 97,687 | ||||||||||||
Total available-for-sale securities | 431,625 | 408,062 | ||||||||||||||
Total securities available-for-sale | 309,153 | 281,133 | ||||||||||||||
Held-to-maturity debt securities | ||||||||||||||||
Securities held-to-maturity | ||||||||||||||||
Within one year | 67,643 | 67,283 | 67,112 | 66,400 | ||||||||||||
After one year through five years | 166,934 | 163,809 | 163,523 | 158,774 | ||||||||||||
After five years through ten years | 136,661 | 130,164 | 149,672 | 140,416 | ||||||||||||
After ten years | 176,232 | 150,949 | 153,824 | 137,193 | ||||||||||||
Total held-to-maturity debt securities | 547,470 | 512,205 | ||||||||||||||
Total securities held-to-maturity | 534,131 | 502,783 | ||||||||||||||
Mortgage-backed securities | 214,382 | 198,248 | 192,232 | 168,283 | ||||||||||||
Total held-to-maturity securities | 761,852 | 710,453 | ||||||||||||||
Total securities held-to-maturity | 726,363 | 671,066 | ||||||||||||||
Total securities | $ | 1,193,477 | $ | 1,118,515 | $ | 1,035,516 | $ | 952,199 |
Note 4. | Loans |
At June 30, | At June 30, | |||||||||||||||
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Residential real estate: | ||||||||||||||||
Residential real estate | $ | 360,824 | $ | 325,167 | $ | 372,443 | $ | 360,824 | ||||||||
Residential construction and land | 15,298 | 10,185 | 19,072 | 15,298 | ||||||||||||
Multi-family | 63,822 | 41,951 | 66,496 | 63,822 | ||||||||||||
Commercial real estate: | ||||||||||||||||
Commercial real estate | 595,635 | 472,887 | 693,436 | 595,635 | ||||||||||||
Commercial construction | 83,748 | 62,763 | 121,958 | 83,748 | ||||||||||||
Consumer loan: | ||||||||||||||||
Home equity | 17,877 | 18,285 | 22,752 | 17,877 | ||||||||||||
Consumer installment | 4,512 | 4,942 | 4,612 | 4,512 | ||||||||||||
Commercial loans | 110,271 | 172,228 | 108,022 | 110,271 | ||||||||||||
Total gross loans | 1,251,987 | 1,108,408 | 1,408,791 | 1,251,987 | ||||||||||||
Allowance for loan losses | (22,761 | ) | (19,668 | ) | (21,212 | ) | (22,761 | ) | ||||||||
Deferred cost and (fees) | 129 | (2,793 | ) | |||||||||||||
Deferred cost and fees, net | 75 | 129 | ||||||||||||||
Loans receivable, net | $ | 1,229,355 | $ | 1,085,947 | $ | 1,387,654 | $ | 1,229,355 |
(In thousands) | Performing | Special Mention | Substandard | Total | Performing | Special Mention | Substandard | Total | ||||||||||||||||||||||||
Residential real estate | $ | 355,474 | $ | 28 | 5,322 | 360,824 | $ | 366,403 | $ | 2,305 | $ | 3,735 | $ | 372,443 | ||||||||||||||||||
Residential construction and land | 15,297 | - | 1 | 15,298 | 19,072 | - | - | 19,072 | ||||||||||||||||||||||||
Multi-family | 63,730 | 92 | - | 63,822 | 66,410 | 86 | - | 66,496 | ||||||||||||||||||||||||
Commercial real estate | 555,451 | 13,777 | 26,407 | 595,635 | 665,548 | 11,671 | 16,217 | 693,436 | ||||||||||||||||||||||||
Commercial construction | 83,748 | - | - | 83,748 | 121,958 | - | - | 121,958 | ||||||||||||||||||||||||
Home equity | 17,369 | - | 508 | 17,877 | 22,698 | - | 54 | 22,752 | ||||||||||||||||||||||||
Consumer installment | 4,500 | - | 12 | 4,512 | 4,530 | - | 82 | 4,612 | ||||||||||||||||||||||||
Commercial loans | 104,364 | 996 | 4,911 | 110,271 | 100,225 | 2,352 | 5,445 | 108,022 | ||||||||||||||||||||||||
Total gross loans | $ | 1,199,933 | $ | 14,893 | $ | 37,161 | $ | 1,251,987 | $ | 1,366,844 | $ | 16,414 | $ | 25,533 | $ | 1,408,791 |
(In thousands) | Performing | Special Mention | Substandard | Total | Performing | Special Mention | Substandard | Total | ||||||||||||||||||||||||
Residential real estate | $ | 321,826 | $ | 88 | $ | 3,253 | $ | 325,167 | $ | 355,474 | $ | 28 | 5,322 | 360,824 | ||||||||||||||||||
Residential construction and land | 10,185 | - | - | 10,185 | 15,297 | - | 1 | 15,298 | ||||||||||||||||||||||||
Multi-family | 41,589 | - | 362 | 41,951 | 63,730 | 92 | - | 63,822 | ||||||||||||||||||||||||
Commercial real estate | 441,004 | 9,690 | 22,193 | 472,887 | 555,451 | 13,777 | 26,407 | 595,635 | ||||||||||||||||||||||||
Commercial construction | 55,819 | 5,944 | 1,000 | 62,763 | 83,748 | - | - | 83,748 | ||||||||||||||||||||||||
Home equity | 17,727 | - | 558 | 18,285 | 17,369 | - | 508 | 17,877 | ||||||||||||||||||||||||
Consumer installment | 4,942 | - | - | 4,942 | 4,500 | - | 12 | 4,512 | ||||||||||||||||||||||||
Commercial loans | 165,649 | 963 | 5,616 | 172,228 | 104,364 | 996 | 4,911 | 110,271 | ||||||||||||||||||||||||
Total gross loans | $ | 1,058,741 | $ | 16,685 | $ | 32,982 | $ | 1,108,408 | $ | 1,199,933 | $ | 14,893 | $ | 37,161 | $ | 1,251,987 |
(Dollars in thousands) | Number of Contracts | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Current Outstanding Recorded Investment | ||||||||||||
For the year ended June 30, 2023 | ||||||||||||||||
Residential real estate | 2 | $ | 778 | $ | 778 | $ | 778 | |||||||||
Commercial real estate | 3 | $ | 1,428 | $ | 1,480 | $ | 1,470 | |||||||||
Commercial loans | 1 | $ | 379 | $ | 379 | $ | - | |||||||||
For the year ended June 30, 2022 | ||||||||||||||||
Consumer Installment | 1 | $ | 5 | $ | 5 | $ | 5 |
(Dollars in thousands) | Number of Contracts | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Current Outstanding Recorded Investment | ||||||||||||
For the year ended June 30, 2021 | ||||||||||||||||
Commercial loans | 5 | $ | 3,001 | $ | 2,903 | $ | 2,896 | |||||||||
Commercial real estate | 3 | 1,325 | 1,287 | 1,284 | ||||||||||||
Residential | 1 | 70 | 70 | 69 |
Full Payment Deferral | Principal Payment Deferral | Total Deferral | ||||||||||||||||||||||
(Dollars in thousands) | Balance | Number of Loans | Balance | Number of Loans | Balance | Number of Loans | ||||||||||||||||||
Commercial real estate | $ | 6,119 | 3 | $ | 1,346 | 3 | $ | 7,465 | 6 | |||||||||||||||
Commercial loans | 572 | 2 | - | - | 572 | 2 | ||||||||||||||||||
Total | $ | 6,691 | 5 | $ | 1,346 | 3 | $ | 8,037 | 8 |
(In thousands) | 30-59 days past due | 60-89 days past due | 90 days or more past due | Total past due | Current | Total Loans | Loans on Non- accrual | |||||||||||||||||||||
Residential real estate | $ | - | $ | 504 | $ | 1,604 | $ | 2,108 | $ | 370,335 | $ | 372,443 | $ | 2,747 | ||||||||||||||
Residential construction and land | - | - | - | - | 19,072 | 19,072 | - | |||||||||||||||||||||
Multi-family | - | - | - | - | 66,496 | 66,496 | - | |||||||||||||||||||||
Commercial real estate | - | 235 | 652 | 887 | 692,549 | 693,436 | 1,318 | |||||||||||||||||||||
Commercial construction | - | - | - | - | 121,958 | 121,958 | - | |||||||||||||||||||||
Home equity | 48 | - | 13 | 61 | 22,691 | 22,752 | 54 | |||||||||||||||||||||
Consumer installment | 63 | 1 | 63 | 127 | 4,485 | 4,612 | 63 | |||||||||||||||||||||
Commercial loans | - | - | 19 | 19 | 108,003 | 108,022 | 1,276 | |||||||||||||||||||||
Total gross loans | $ | 111 | $ | 740 | $ | 2,351 | $ | 3,202 | $ | 1,405,589 | $ | 1,408,791 | $ | 5,458 |
(In thousands) | 30-59 days past due | 60-89 days past due | 90 days or more past due | Total past due | Current | Total Loans | Loans on Non- accrual | |||||||||||||||||||||
Residential real estate | $ | 66 | $ | 1,676 | $ | 592 | $ | 2,334 | $ | 358,490 | $ | 360,824 | $ | 2,948 | ||||||||||||||
Residential construction and land | - | 1 | - | 1 | 15,297 | 15,298 | 1 | |||||||||||||||||||||
Multi-family | - | - | - | - | 63,822 | 63,822 | - | |||||||||||||||||||||
Commercial real estate | - | 385 | 1,147 | 1,532 | 594,103 | 595,635 | 1,269 | |||||||||||||||||||||
Commercial construction | - | - | - | - | 83,748 | 83,748 | - | |||||||||||||||||||||
Home equity | 3 | - | 179 | 182 | 17,695 | 17,877 | 188 | |||||||||||||||||||||
Consumer installment | 22 | 17 | - | 39 | 4,473 | 4,512 | 7 | |||||||||||||||||||||
Commercial loans | - | 28 | 19 | 47 | 110,224 | 110,271 | 1,904 | |||||||||||||||||||||
Total gross loans | $ | 91 | $ | 2,107 | $ | 1,937 | $ | 4,135 | $ | 1,247,852 | $ | 1,251,987 | $ | 6,317 |
(In thousands) | 30-59 days past due | 60-89 days past due | 90 days or more past due | Total past due | Current | Total Loans | Loans on Non- accrual | |||||||||||||||||||||
Residential real estate | $ | - | $ | 630 | $ | 650 | $ | 1,280 | $ | 323,887 | $ | 325,167 | $ | 1,324 | ||||||||||||||
Residential construction and land | - | - | - | - | 10,185 | 10,185 | - | |||||||||||||||||||||
Multi-family | - | - | - | - | 41,951 | 41,951 | - | |||||||||||||||||||||
Commercial real estate | - | 5,266 | 123 | 5,389 | 467,498 | 472,887 | 444 | |||||||||||||||||||||
Commercial construction | - | - | - | - | 62,763 | 62,763 | - | |||||||||||||||||||||
Home equity | 33 | 40 | 224 | 297 | 17,988 | 18,285 | 237 | |||||||||||||||||||||
Consumer installment | 26 | 13 | - | 39 | 4,903 | 4,942 | - | |||||||||||||||||||||
Commercial loans | - | 230 | 117 | 347 | 171,881 | 172,228 | 296 | |||||||||||||||||||||
Total gross loans | $ | 59 | $ | 6,179 | $ | 1,114 | $ | 7,352 | $ | 1,101,056 | $ | 1,108,408 | $ | 2,301 |
As of June 30, 2023 | For the year ended June 30, 2023 | |||||||||||||||||||
(In thousands) | Recorded Investment | Unpaid Principal | Related Allowance | Average Recorded Investment | Interest Income Recognized | |||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||
Residential real estate | $ | 1,020 | $ | 1,020 | $ | - | $ | 876 | $ | 5 | ||||||||||
Commercial real estate | 1,518 | 1,518 | - | 678 | 48 | |||||||||||||||
Home equity | - | - | - | 75 | - | |||||||||||||||
Consumer installment | - | - | - | 3 | 1 | |||||||||||||||
Commercial loans | 334 | 334 | - | 340 | 16 | |||||||||||||||
Impaired loans with no allowance | 2,872 | 2,872 | - | 1,972 | 70 | |||||||||||||||
With an allowance recorded: | ||||||||||||||||||||
Residential real estate | 2,086 | 2,086 | 597 | 2,241 | 19 | |||||||||||||||
Commercial real estate | 3,777 | 3,777 | 245 | 3,666 | 197 | |||||||||||||||
Home equity | - | - | - | 80 | 4 | |||||||||||||||
Commercial Loans | 1,572 | 1,572 | 1,171 | 2,252 | 37 | |||||||||||||||
Impaired loans with allowance | 7,435 | 7,435 | 2,013 | 8,239 | 257 | |||||||||||||||
Total impaired: | ||||||||||||||||||||
Residential real estate | 3,106 | 3,106 | 597 | 3,117 | 24 | |||||||||||||||
Commercial real estate | 5,295 | 5,295 | 245 | 4,344 | 245 | |||||||||||||||
Home equity | - | - | - | 155 | 4 | |||||||||||||||
Consumer installment | - | - | - | 3 | 1 | |||||||||||||||
Commercial loans | 1,906 | 1,906 | 1,171 | 2,592 | 53 | |||||||||||||||
Total impaired loans | $ | 10,307 | $ | 10,307 | $ | 2,013 | $ | 10,211 | $ | 327 |
As of June 30, 2022 | For the year ended June 30, 2022 | |||||||||||||||||||
(In thousands) | Recorded Investment | Unpaid Principal | Related Allowance | Average Recorded Investment | Interest Income Recognized | |||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||
Residential real estate | $ | 990 | $ | 990 | $ | - | $ | 669 | $ | 17 | ||||||||||
Commercial real estate | 67 | 67 | - | 281 | 9 | |||||||||||||||
Home equity | 128 | 128 | - | 128 | - | |||||||||||||||
Consumer installment | 5 | 5 | - | 2 | 1 | |||||||||||||||
Commercial loans | 346 | 346 | - | 158 | 6 | |||||||||||||||
Impaired loans with no allowance | 1,536 | 1,536 | - | 1,238 | 33 | |||||||||||||||
With an allowance recorded: | ||||||||||||||||||||
Residential real estate | 1,953 | 1,953 | 588 | 1,713 | 53 | |||||||||||||||
Commercial real estate | 3,698 | 3,698 | 1,118 | 1,740 | 120 | |||||||||||||||
Commercial construction | 102 | 102 | 1 | 102 | - | |||||||||||||||
Home equity | 320 | 320 | 44 | 320 | 14 | |||||||||||||||
Commercial Loans | 3,162 | 3,162 | 596 | 3,360 | 138 | |||||||||||||||
Impaired loans with allowance | 9,235 | 9,235 | 2,347 | 7,235 | 325 | |||||||||||||||
Total impaired: | ||||||||||||||||||||
Residential real estate | 2,943 | 2,943 | 588 | 2,382 | 70 | |||||||||||||||
Commercial real estate | 3,765 | 3,765 | 1,118 | 2,021 | 129 | |||||||||||||||
Commercial construction | 102 | 102 | 1 | 102 | - | |||||||||||||||
Home equity | 448 | 448 | 44 | 448 | 14 | |||||||||||||||
Consumer installment | 5 | 5 | - | 2 | 1 | |||||||||||||||
Commercial loans | 3,508 | 3,508 | 596 | 3,518 | 144 | |||||||||||||||
Total impaired loans | $ | 10,771 | $ | 10,771 | $ | 2,347 | $ | 8,473 | $ | 358 |
As of June 30, 2021 | For the year ended June 30, 2021 | |||||||||||||||||||
(In thousands) | Recorded Investment | Unpaid Principal | Related Allowance | Average Recorded Investment | Interest Income Recognized | |||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||
Residential real estate | $ | 370 | $ | 370 | $ | - | $ | 387 | $ | 14 | ||||||||||
Multi-family | - | - | - | 30 | - | |||||||||||||||
Commercial real estate | 281 | 281 | - | 313 | 4 | |||||||||||||||
Home equity | 224 | 224 | - | 186 | - | |||||||||||||||
Commercial loans | 95 | 95 | - | 148 | 8 | |||||||||||||||
Impaired loans with no allowance | 970 | 970 | - | 1,064 | 26 | |||||||||||||||
With an allowance recorded: | ||||||||||||||||||||
Residential real estate | 723 | 723 | 103 | 971 | 32 | |||||||||||||||
Multi-family | - | - | - | - | - | |||||||||||||||
Commercial real estate | 945 | 945 | 58 | 236 | 4 | |||||||||||||||
Commercial construction | 102 | 102 | 1 | 102 | - | |||||||||||||||
Home equity | 321 | 321 | 73 | 366 | 18 | |||||||||||||||
Commercial Loans | 3,234 | 3,234 | 156 | 1,121 | 135 | |||||||||||||||
Impaired loans with allowance | 5,325 | 5,325 | 391 | 2,796 | 189 | |||||||||||||||
Total impaired: | ||||||||||||||||||||
Residential real estate | 1,093 | 1,093 | 103 | 1,358 | 46 | |||||||||||||||
Multi-family | - | - | - | 30 | - | |||||||||||||||
Commercial real estate | 1,226 | 1,226 | 58 | 549 | 8 | |||||||||||||||
Commercial construction | 102 | 102 | 1 | 102 | - | |||||||||||||||
Home equity | 545 | 545 | 73 | 552 | 18 | |||||||||||||||
Commercial loans | 3,329 | 3,329 | 156 | 1,269 | 143 | |||||||||||||||
Total impaired loans | $ | 6,295 | $ | 6,295 | $ | 391 | $ | 3,860 | $ | 215 |
Activity for the year ended June 30, 2022 | Activity for the year ended June 30, 2023 | |||||||||||||||||||||||||||||||||||||||
(In thousands) | Balance June 30, 2021 | Charge-offs | Recoveries | Provision | Balance June 30, 2022 | Balance June 30, 2022 | Charge-offs | Recoveries | Provision | Balance June 30, 2023 | ||||||||||||||||||||||||||||||
Residential real estate | $ | 2,012 | $ | 27 | $ | 13 | $ | 375 | $ | 2,373 | $ | 2,373 | $ | - | $ | 6 | $ | 234 | $ | 2,613 | ||||||||||||||||||||
Residential construction and land | 106 | - | - | 35 | 141 | 141 | - | - | 40 | 181 | ||||||||||||||||||||||||||||||
Multi-family | 186 | - | - | (67 | ) | 119 | 119 | - | - | 78 | 197 | |||||||||||||||||||||||||||||
Commercial real estate | 13,049 | - | - | 3,172 | 16,221 | 16,221 | 9 | 4 | (3,196 | ) | 13,020 | |||||||||||||||||||||||||||||
Commercial construction | 1,535 | - | - | (421 | ) | 1,114 | 1,114 | - | - | 508 | 1,622 | |||||||||||||||||||||||||||||
Home equity | 165 | - | - | (76 | ) | 89 | 89 | - | - | (43 | ) | 46 | ||||||||||||||||||||||||||||
Consumer installment | 267 | 454 | 115 | 421 | 349 | 349 | 535 | 141 | 377 | 332 | ||||||||||||||||||||||||||||||
Commercial loans | 2,348 | 112 | 280 | (161 | ) | 2,355 | 2,355 | 120 | 35 | 931 | 3,201 | |||||||||||||||||||||||||||||
Total | $ | 19,668 | $ | 593 | $ | 408 | $ | 3,278 | $ | 22,761 | $ | 22,761 | $ | 664 | $ | 186 | $ | (1,071 | ) | $ | 21,212 |
Activity for the year ended June 30, 2021 | Activity for the year ended June 30, 2022 | |||||||||||||||||||||||||||||||||||||||
(In thousands) | Balance June 30, 2020 | Charge-offs | Recoveries | Provision | Balance June 30, 2021 | Balance June 30, 2021 | Charge-offs | Recoveries | Provision | Balance June 30, 2022 | ||||||||||||||||||||||||||||||
Residential real estate | $ | 2,091 | $ | 26 | $ | 13 | $ | (66 | ) | $ | 2,012 | $ | 2,012 | $ | 27 | $ | 13 | $ | 375 | $ | 2,373 | |||||||||||||||||||
Residential construction and land | 141 | - | - | (35 | ) | 106 | 106 | - | - | 35 | 141 | |||||||||||||||||||||||||||||
Multi-family | 176 | - | - | 10 | 186 | 186 | - | - | (67 | ) | 119 | |||||||||||||||||||||||||||||
Commercial real estate | 8,634 | - | - | 4,415 | 13,049 | 13,049 | - | - | 3,172 | 16,221 | ||||||||||||||||||||||||||||||
Commercial construction | 2,053 | - | - | (518 | ) | 1,535 | 1,535 | - | - | (421 | ) | 1,114 | ||||||||||||||||||||||||||||
Home equity | 295 | - | - | (130 | ) | 165 | 165 | - | - | (76 | ) | 89 | ||||||||||||||||||||||||||||
Consumer installment | 197 | 309 | 124 | 255 | 267 | 267 | 454 | 115 | 421 | 349 | ||||||||||||||||||||||||||||||
Commercial loans | 2,804 | 500 | 1 | 43 | 2,348 | 2,348 | 112 | 280 | (161 | ) | 2,355 | |||||||||||||||||||||||||||||
Total | $ | 16,391 | $ | 835 | $ | 138 | $ | 3,974 | $ | 19,668 | $ | 19,668 | $ | 593 | $ | 408 | $ | 3,278 | $ | 22,761 |
Allowance for Loan Losses | Loans Receivable | |||||||||||||||
Ending Balance June 30, 2022 Impairment Analysis | Ending Balance June 30, 2022 Impairment Analysis | |||||||||||||||
(In thousands) | Individually Evaluated | Collectively Evaluated | Individually Evaluated | Collectively Evaluated | ||||||||||||
Residential real estate | $ | 588 | $ | 1,785 | $ | 2,943 | $ | 357,881 | ||||||||
Residential construction and land | - | 141 | - | 15,298 | ||||||||||||
Multi-family | - | 119 | - | 63,822 | ||||||||||||
Commercial real estate | 1,118 | 15,103 | 3,765 | 591,870 | ||||||||||||
Commercial construction | 1 | 1,113 | 102 | 83,646 | ||||||||||||
Home equity | 44 | 45 | 448 | 17,429 | ||||||||||||
Consumer installment | - | 349 | 5 | 4,507 | ||||||||||||
Commercial loans | 596 | 1,759 | 3,508 | 106,763 | ||||||||||||
Total | $ | 2,347 | $ | 20,414 | $ | 10,771 | $ | 1,241,216 |
Allowance for Loan Losses | Loans Receivable | |||||||||||||||
Ending Balance June 30, 2021 Impairment Analysis | Ending Balance June 30, 2021 Impairment Analysis | |||||||||||||||
(In thousands) | Individually Evaluated | Collectively Evaluated | Individually Evaluated | Collectively Evaluated | ||||||||||||
Residential real estate | $ | 103 | $ | 1,909 | $ | 1,093 | $ | 324,074 | ||||||||
Residential construction and land | - | 106 | - | 10,185 | ||||||||||||
Multi-family | - | 186 | - | 41,951 | ||||||||||||
Commercial real estate | 58 | 12,991 | 1,226 | 471,661 | ||||||||||||
Commercial construction | 1 | 1,534 | 102 | 62,661 | ||||||||||||
Home equity | 73 | 92 | 545 | 17,740 | ||||||||||||
Consumer installment | - | 267 | - | 4,942 | ||||||||||||
Commercial loans | 156 | 2,192 | 3,329 | 168,899 | ||||||||||||
Total | $ | 391 | $ | 19,277 | $ | 6,295 | $ | 1,102,113 |
Allowance for Loan Losses | Loans Receivable | |||||||||||||||
Ending Balance June 30, 2023 Impairment Analysis | Ending Balance June 30, 2023 Impairment Analysis | |||||||||||||||
(In thousands) | Individually Evaluated | Collectively Evaluated | Individually Evaluated | Collectively Evaluated | ||||||||||||
Residential real estate | $ | 597 | $ | 2,016 | $ | 3,106 | $ | 369,337 | ||||||||
Residential construction and land | - | 181 | - | 19,072 | ||||||||||||
Multi-family | - | 197 | - | 66,496 | ||||||||||||
Commercial real estate | 245 | 12,775 | 5,295 | 688,141 | ||||||||||||
Commercial construction | - | 1,622 | - | 121,958 | ||||||||||||
Home equity | - | 46 | - | 22,752 | ||||||||||||
Consumer installment | - | 332 | - | 4,612 | ||||||||||||
Commercial loans | 1,171 | 2,030 | 1,906 | 106,116 | ||||||||||||
Total | $ | 2,013 | $ | 19,199 | $ | 10,307 | $ | 1,398,484 |
Allowance for Loan Losses | Loans Receivable | |||||||||||||||
Ending Balance June 30, 2022 Impairment Analysis | Ending Balance June 30, 2022 Impairment Analysis | |||||||||||||||
(In thousands) | Individually Evaluated | Collectively Evaluated | Individually Evaluated | Collectively Evaluated | ||||||||||||
Residential real estate | $ | 588 | $ | 1,785 | $ | 2,943 | $ | 357,881 | ||||||||
Residential construction and land | - | 141 | - | 15,298 | ||||||||||||
Multi-family | - | 119 | - | 63,822 | ||||||||||||
Commercial real estate | 1,118 | 15,103 | 3,765 | 591,870 | ||||||||||||
Commercial construction | 1 | 1,113 | 102 | 83,646 | ||||||||||||
Home equity | 44 | 45 | 448 | 17,429 | ||||||||||||
Consumer installment | - | 349 | 5 | 4,507 | ||||||||||||
Commercial loans | 596 | 1,759 | 3,508 | 106,763 | ||||||||||||
Total | $ | 2,347 | $ | 20,414 | $ | 10,771 | $ | 1,241,216 |
(in thousands) | 2022 | 2021 | ||||||||||||||
(In thousands) | 2023 | 2022 | ||||||||||||||
Residential real estate | $ | 68 | $ | 64 | $ | - | $ | 68 | ||||||||
Commercial loans | 302 | - | ||||||||||||||
Total foreclosed real estate | $ | 68 | $ | 64 | $ | 302 | $ | 68 |
Note 5. | Premises and Equipment |
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Land | $ | 2,916 | $ | 2,916 | $ | 2,916 | $ | 2,916 | ||||||||
Building and improvements | 18,863 | 18,117 | 20,126 | 18,863 | ||||||||||||
Furniture and equipment | 5,540 | 5,235 | 5,814 | 5,540 | ||||||||||||
Less: accumulated depreciation | (12,957 | ) | (12,131 | ) | (13,828 | ) | (12,957 | ) | ||||||||
Total premises and equipment | $ | 14,362 | $ | 14,137 | $ | 15,028 | $ | 14,362 |
Note 6. | Deposits |
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Noninterest-bearing deposits | $ | 187,697 | $ | 174,114 | $ | 159,039 | $ | 187,697 | ||||||||
Certificates of deposit | 40,801 | 34,791 | 128,077 | 40,801 | ||||||||||||
Savings deposits | 343,731 | 301,050 | 299,038 | 343,731 | ||||||||||||
Money market deposits | 157,623 | 145,832 | 115,029 | 157,623 | ||||||||||||
NOW deposits | 1,482,752 | 1,349,321 | 1,735,978 | 1,482,752 | ||||||||||||
Total deposits | $ | 2,212,604 | $ | 2,005,108 | $ | 2,437,161 | $ | 2,212,604 |
(In thousands) | 3 Months or Less | 3 to 6 Months | 7 to 12 Months | Over 12 Months | Total | 3 Months or Less | 3 to 6 Months | 7 to 12 Months | Over 12 Months | Total | ||||||||||||||||||||||||||||||
Certificates of deposit less than $250,000 | $ | 13,607 | $ | 5,101 | $ | 6,083 | $ | 12,625 | $ | 37,416 | $ | 79,047 | $ | 13,859 | $ | 6,645 | $ | 8,282 | $ | 107,833 | ||||||||||||||||||||
Certificates of deposit $250,000 or more | 1,401 | 300 | 301 | 1,383 | 3,385 | 14,056 | 2,387 | - | 3,801 | 20,244 | ||||||||||||||||||||||||||||||
Total certificates of deposit | $ | 15,008 | $ | 5,401 | $ | 6,384 | $ | 14,008 | $ | 40,801 | $ | 93,103 | $ | 16,246 | $ | 6,645 | $ | 12,083 | $ | 128,077 |
(In thousands) | ||||||||
The year ended June 30, | ||||||||
2023 | $ | 26,793 | ||||||
2024 | 9,477 | $ | 115,994 | |||||
2025 | 3,219 | 3,004 | ||||||
2026 | 816 | 1,133 | ||||||
2027 | 496 | 427 | ||||||
2028 | 7,519 | |||||||
$ | 40,801 | $ | 128,077 |
Note 7. | Borrowings |
Note 8. | Accumulated Other Comprehensive Loss |
Unrealized gain (losses) on securities available-for- sale | Pension benefits | Total | ||||||||||
Balance - June 30, 2020 | $ | 1,750 | $ | (2,178 | ) | $ | (428 | ) | ||||
Other comprehensive (loss) income before reclassification | (1,402 | ) | 512 | (890 | ) | |||||||
Amounts reclassified to other non-interest expense | - | 157 | 157 | |||||||||
Other comprehensive (loss) income for the year ended June 30, 2021 | (1,402 | ) | 669 | (733 | ) | |||||||
Balance - June 30, 2021 | 348 | (1,509 | ) | (1,161 | ) | |||||||
Other comprehensive (loss) income before reclassification | (17,616 | ) | 212 | (17,404 | ) | |||||||
Amounts reclassified to other non-interest expense | - | 182 | 182 | |||||||||
Other comprehensive (loss) income for the year ended June 30, 2022 | (17,616 | ) | 394 | (17,222 | ) | |||||||
Balance - June 30, 2022 | $ | (17,268 | ) | $ | (1,115 | ) | $ | (18,383 | ) |
Unrealized gain (losses) on securities available-for-sale | Pension benefits | Total | ||||||||||
Balance - June 30, 2021 | $ | 348 | $ | (1,509 | ) | $ | (1,161 | ) | ||||
Other comprehensive (loss) income before reclassification, net of tax | (17,616 | ) | 212 | (17,404 | ) | |||||||
Amortization of pension actuarial losses recognized in other expense | - | 248 | 248 | |||||||||
Tax expense effect recognized in provision for income taxes | - | 66 | 66 | |||||||||
Net of tax | - | 182 | 182 | |||||||||
Other comprehensive (loss) income for the year ended June 30, 2022 | (17,616 | ) | 394 | (17,222 | ) | |||||||
Balance - June 30, 2022 | $ | (17,268 | ) | $ | (1,115 | ) | $ | (18,383 | ) | |||
Other comprehensive (loss) income before reclassification, net of tax | (3,447 | ) | 160 | (3,287 | ) | |||||||
Amounts reclassified to net loss on sale of securities available-for-sale non-interest income | 251 | - | 251 | |||||||||
Tax expense effect recognized in provision for income taxes | 67 | - | 67 | |||||||||
Net of tax | 184 | - | 184 | |||||||||
Amortization of pension actuarial losses recognized in other expense | - | 106 | 106 | |||||||||
Tax expense effect recognized in provision for income taxes | - | 28 | 28 | |||||||||
Net of tax | - | 78 | 78 | |||||||||
Other comprehensive (loss) income for the year ended June 30, 2023 | (3,263 | ) | 238 | (3,025 | ) | |||||||
Balance - June 30, 2023 | $ | (20,531 | ) | $ | (877 | ) | $ | (21,408 | ) |
Note 9. | Employee Benefit Plans |
(In thousands) | ||||||||||||||||
Change in projected benefit obligation: | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Benefit obligation at beginning of period | $ | 6,278 | $ | 6,504 | $ | 4,617 | $ | 6,278 | ||||||||
Interest cost | 166 | 163 | 199 | 166 | ||||||||||||
Actuarial loss | (1,235 | ) | (120 | ) | (225 | ) | (1,235 | ) | ||||||||
Benefits paid | (592 | ) | (269 | ) | (240 | ) | (592 | ) | ||||||||
Benefit obligation at June 30 | 4,617 | 6,278 | 4,351 | 4,617 | ||||||||||||
Change in fair value of plan assets: | ||||||||||||||||
Fair value of plan assets at beginning of period | 5,759 | 5,214 | 4,502 | 5,759 | ||||||||||||
Actual (loss) return on plan assets | (665 | ) | 814 | |||||||||||||
Actual return (loss) on plan assets | 212 | (665 | ) | |||||||||||||
Employer contributions | - | - | - | - | ||||||||||||
Benefits paid | (592 | ) | (269 | ) | (240 | ) | (592 | ) | ||||||||
Fair value of plan assets at June 30 | 4,502 | 5,759 | 4,474 | 4,502 | ||||||||||||
Underfunded status at June 30 included in other liabilities | $ | 115 | $ | 519 | ||||||||||||
(Overfunded) Underfunded status at June 30 included in other liabilities | $ | (123 | ) | $ | 115 |
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Interest cost | $ | 166 | $ | 163 | $ | 199 | $ | 166 | ||||||||
Expected return on plan assets | (281 | ) | (254 | ) | (219 | ) | (281 | ) | ||||||||
Amortization of net loss | 130 | 209 | 106 | 130 | ||||||||||||
Effect of settlement | 118 | - | - | 118 | ||||||||||||
Net periodic pension expense | $ | 133 | $ | 118 | $ | 86 | $ | 133 |
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Actuarial loss on plan assets and benefit obligations | $ | 538 | $ | 889 | $ | 324 | $ | 538 | ||||||||
Deferred tax expense | 144 | 220 | 86 | 144 | ||||||||||||
Net change in plan assets and benefit obligations recognized in other comprehensive income | $ | 394 | $ | 669 | $ | 238 | $ | 394 |
(In thousands) | ||||||||||||||||
Other liabilities: | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Projected benefit obligation in excess of fair value of pension plan | $ | 115 | $ | 519 | ||||||||||||
Projected benefit obligation in (surplus) excess of fair value of pension plan | $ | (123 | ) | $ | 115 | |||||||||||
Accumulated other comprehensive loss, net of taxes: | ||||||||||||||||
Net losses and past service liability | $ | (1,115 | ) | $ | (1,509 | ) | $ | (877 | ) | $ | (1,115 | ) |
Projected benefit obligation: | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Discount rate | 4.43 | % | 2.71 | % | 4.90 | % | 4.43 | % | ||||||||
Net periodic pension expense: | ||||||||||||||||
Amortization period, in years | 11 | 11 | 11 | 11 | ||||||||||||
Discount rate | 2.71 | % | 2.56 | % | 4.43 | % | 2.71 | % | ||||||||
Expected long-term rate of return on plan assets | 5.00 | % | 5.00 | % | 5.00 | % | 5.00 | % |
(Dollars in thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||||||||||||||||||
Fair Value | Fair Value | Fair Value | Fair Value | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | - | - | % | $ | 57 | 1.0 | % | ||||||||||||||||||||||||
Mutual funds – balanced | 850 | 18.9 | 1,035 | 18.0 | $ | - | - | % | $ | 850 | 18.9 | % | ||||||||||||||||||||
Mutual funds – fixed income | 2,366 | 52.6 | 2,983 | 51.8 | 2,600 | 58.1 | 2,366 | 52.6 | ||||||||||||||||||||||||
Mutual funds – equity | 1,286 | 28.5 | 1,684 | 29.2 | 1,874 | 41.9 | 1,286 | 28.5 | ||||||||||||||||||||||||
Total plan assets | $ | 4,502 | 100 | % | $ | 5,759 | 100.0 | % | $ | 4,474 | 100 | % | $ | 4,502 | 100 | % |
(In thousands) | ||||||||
2023 | $ | 244 | ||||||
2024 | 241 | $ | 247 | |||||
2025 | 242 | 248 | ||||||
2026 | 239 | 245 | ||||||
2027 | 237 | 243 | ||||||
2028-2032 | 1,268 | |||||||
2028 | 240 | |||||||
2029-2033 | 1,326 |
Note 10. | Stock-Based Compensation |
2022 | 2021 | 2023 | 2022 | |||||||||||||
Number of options outstanding at beginning of year | 1,507,600 | 1,765,100 | 2,959,040 | 3,015,200 | ||||||||||||
Options granted | 475,120 | 523,700 | 807,200 | 950,240 | ||||||||||||
Options forfeited | - | - | (9,000 | ) | - | |||||||||||
Options paid in cash upon vesting | (503,200 | ) | (781,200 | ) | (1,221,400 | ) | (1,006,400 | ) | ||||||||
Number of options outstanding at period end | 1,479,520 | 1,507,600 | 2,535,840 | 2,959,040 |
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Cash paid out on options vested | $ | 3,137 | $ | 3,920 | $ | 4,287 | $ | 3,137 | ||||||||
Compensation expense recognized | 4,291 | 4,012 | 4,439 | 4,291 |
Note 11. | Earnings Per Share |
2022 | 2021 | |||||||
Net Income | $ | 27,986,000 | $ | 23,942,000 | ||||
Weighted Average Shares – Basic | 8,513,414 | 8,513,414 | ||||||
Effect of Dilutive Stock Options | - | - | ||||||
Weighted Average Shares - Dilute | 8,513,414 | 8,513,414 | ||||||
Earnings per share - Basic | $ | 3.29 | $ | 2.81 | ||||
Earnings per share - Diluted | $ | 3.29 | $ | 2.81 |
2023 | 2022 | |||||||
Net Income | $ | 30,785,000 | $ | 27,986,000 | ||||
Weighted Average Shares – Basic | 17,026,828 | 17,026,828 | ||||||
Effect of Dilutive Stock Options | - | - | ||||||
Weighted Average Shares – Dilute | 17,026,828 | 17,026,828 | ||||||
Earnings per share – Basic | $ | 1.81 | $ | 1.64 | ||||
Earnings per share – Diluted | $ | 1.81 | $ | 1.64 |
Note 12. | Income Taxes |
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Current expense: | ||||||||||||||||
Federal | $ | 4,741 | $ | 5,171 | $ | 4,284 | $ | 4,741 | ||||||||
State | 860 | 568 | 907 | 860 | ||||||||||||
Total current expense | 5,601 | 5,739 | 5,191 | 5,601 | ||||||||||||
Deferred benefit | (682 | ) | (2,066 | ) | (149 | ) | (682 | ) | ||||||||
Total provision for income taxes | $ | 4,919 | $ | 3,673 | $ | 5,042 | $ | 4,919 |
2022 | 2021 | 2023 | 2022 | |||||||||||||
Tax based on federal statutory rate | 21.00 | % | 21.00 | % | 21.00 | % | 21.00 | % | ||||||||
State income taxes, net of federal benefit | 1.64 | 0.20 | 1.81 | 1.64 | ||||||||||||
Tax-exempt income | (6.31 | ) | (6.34 | ) | (8.26 | ) | (6.31 | ) | ||||||||
Captive insurance premium income | (0.96 | ) | (1.22 | ) | (1.09 | ) | (0.96 | ) | ||||||||
Other, net | (0.42 | ) | (0.34 | ) | 0.61 | (0.42 | ) | |||||||||
Total income tax expense | 14.95 | % | 13.30 | % | 14.07 | % | 14.95 | % |
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Deferred tax assets: | ||||||||||||||||
Allowance for loan losses | $ | 6,083 | $ | 5,257 | $ | 5,669 | $ | 6,083 | ||||||||
Pension benefits | 30 | 138 | - | 30 | ||||||||||||
Unrealized losses on securities | 6,243 | - | 7,424 | 6,243 | ||||||||||||
Other benefit plans | 4,335 | 3,584 | 4,968 | 4,275 | ||||||||||||
Other | 105 | 90 | ||||||||||||||
Total deferred tax assets | 16,691 | 8,979 | 18,166 | 16,721 | ||||||||||||
Deferred tax liabilities: | ||||||||||||||||
Depreciation | 1,088 | 998 | 1,148 | 1,088 | ||||||||||||
Net loan costs | 1,140 | 220 | 1,225 | 1,170 | ||||||||||||
Real estate investment trust income | 2,839 | 2,907 | 3,126 | 2,839 | ||||||||||||
Unrealized gains on securities | - | 192 | ||||||||||||||
Pension benefits | 33 | - | ||||||||||||||
Other | 244 | 245 | - | 244 | ||||||||||||
Total deferred tax liabilities | 5,311 | 4,562 | 5,532 | 5,341 | ||||||||||||
Net deferred tax asset included in prepaid expenses and other assets | $ | 11,380 | $ | 4,417 | $ | 12,634 | $ | 11,380 |
Note 13. | Commitments and Contingent Liabilities |
(In thousands) | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Unfunded loan commitments | $ | 213,420 | $ | 121,775 | $ | 124,498 | $ | 213,420 | ||||||||
Unused lines of credit | 85,971 | 86,456 | 94,898 | 85,971 | ||||||||||||
Standby letters of credit | 189 | 175 | 179 | 189 | ||||||||||||
Total commitments | $ | 299,580 | $ | 208,406 | $ | 219,575 | $ | 299,580 |
Note 14. | Operating Leases |
(In thousands, except weighted-average information). | ||||||||||||||||
Operating lease amounts: | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Right-of-use assets | $ | 1,980 | $ | 1,887 | $ | 2,188 | $ | 1,980 | ||||||||
Lease liabilities | $ | 2,040 | $ | 1,921 | $ | 2,277 | $ | 2,040 | ||||||||
Other information: | ||||||||||||||||
Operating outgoing cash flows from operating leases | $ | 352 | $ | 339 | $ | 373 | $ | 352 | ||||||||
Right-of-use assets obtained in exchange for new operating lease liabilities | $ | 415 | $ | 625 | $ | 561 | $ | 415 |
(In thousands) | ||||||||||||||||
Lease costs | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Operating lease cost | $ | 322 | $ | 321 | $ | 359 | $ | 322 | ||||||||
Variable lease cost | $ | 44 | $ | 40 | $ | 43 | $ | 44 |
(in thousands) | ||||||||
(In thousands) | ||||||||
Within the twelve months ended June 30, | ||||||||
2023 | $ | 359 | ||||||
2024 | 374 | $ | 455 | |||||
2025 | 377 | 459 | ||||||
2026 | 352 | 436 | ||||||
2027 | 302 | 387 | ||||||
2028 | 330 | |||||||
Thereafter | 409 | 401 | ||||||
Total undiscounted cash flow | 2,173 | 2,468 | ||||||
Less net present value adjustment | (133 | ) | (191 | ) | ||||
Lease liability | $ | 2,040 | $ | 2,277 |
2022 | 2021 | 2023 | 2022 | |||||||||||||
Weighted-average remaining lease term (years) | 4.88 | 5.76 | 5.84 | 4.88 | ||||||||||||
Weighted-average discount rate | 2.13 | % | 2.24 | % | 2.69 | % | 2.13 | % |
Note 15. | Concentrations of Credit Risk |
Note 16. | Fair Value Measurements and Fair Value of Financial Instruments |
Fair Value Measurements Using | Fair Value Measurements Using | |||||||||||||||||||||||||||||||
Quoted Prices In Active Markets For Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Quoted Prices In Active Markets For Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||||||||||||||||||||||
(In thousands) | June 30, 2022 | (Level 1) | (Level 2) | (Level 3) | June 30, 2023 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||
U.S. Government sponsored enterprises | $ | 11,319 | $ | - | $ | 11,319 | $ | - | $ | 10,823 | $ | - | $ | 10,823 | $ | - | ||||||||||||||||
U.S. Treasury securities | 18,427 | - | 18,427 | - | 16,500 | - | 16,500 | - | ||||||||||||||||||||||||
State and political subdivisions | 248,076 | - | 248,076 | - | 138,011 | - | 138,011 | - | ||||||||||||||||||||||||
Mortgage-backed securities-residential | 29,897 | - | 29,897 | - | 25,601 | - | 25,601 | - | ||||||||||||||||||||||||
Mortgage-backed securities-multi-family | 83,709 | - | 83,709 | - | 72,086 | - | 72,086 | - | ||||||||||||||||||||||||
Corporate debt securities | 16,634 | - | 16,634 | - | 18,112 | - | 18,112 | - | ||||||||||||||||||||||||
Securities available-for-sale | 408,062 | - | 408,062 | - | 281,133 | - | 281,133 | - | ||||||||||||||||||||||||
Equity securities | 273 | 273 | - | - | 306 | 306 | - | - | ||||||||||||||||||||||||
Total securities measured at fair value | $ | 408,335 | $ | 273 | $ | 408,062 | $ | - | $ | 281,439 | $ | 306 | $ | 281,133 | $ | - |
Fair Value Measurements Using | ||||||||||||||||
Quoted Prices In Active Markets For Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||||||||
(In thousands) | June 30, 2021 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
U.S. Government sponsored enterprises | $ | 12,903 | $ | - | $ | 12,903 | $ | - | ||||||||
U.S. Treasury securities | 19,836 | - | 19,836 | - | ||||||||||||
State and political subdivisions | 200,656 | - | 200,656 | - | ||||||||||||
Mortgage-backed securities-residential | 34,981 | - | 34,981 | - | ||||||||||||
Mortgage-backed securities-multi-family | 119,407 | - | 119,407 | - | ||||||||||||
Corporate debt securities | 3,107 | - | 3,107 | - | ||||||||||||
Securities available-for-sale | 390,890 | - | 390,890 | - | ||||||||||||
Equity securities | 307 | 307 | - | - | ||||||||||||
Total securities measured at fair value | $ | 391,197 | $ | 307 | $ | 390,890 | $ | - |
Fair Value Measurements Using | ||||||||||||||||
Quoted Prices In Active Markets For Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||||||||
(In thousands) | June 30, 2022 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
U.S. Government sponsored enterprises | $ | 11,319 | $ | - | $ | 11,319 | $ | - | ||||||||
U.S. Treasury securities | 18,427 | - | 18,427 | - | ||||||||||||
State and political subdivisions | 248,076 | - | 248,076 | - | ||||||||||||
Mortgage-backed securities-residential | 29,897 | - | 29,897 | - | ||||||||||||
Mortgage-backed securities-multi-family | 83,709 | - | 83,709 | - | ||||||||||||
Corporate debt securities | 16,634 | - | 16,634 | - | ||||||||||||
Securities available-for-sale | 408,062 | - | 408,062 | - | ||||||||||||
Equity securities | 273 | 273 | - | - | ||||||||||||
Total securities measured at fair value | $ | 408,335 | $ | 273 | $ | 408,062 | $ | - |
Fair Value Measurements Using | ||||||||||||||||||||||||
(In thousands) | Recorded Investment | Related Allowance | Fair Value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||||
June 30, 2022 | ||||||||||||||||||||||||
Impaired loans | $ | 9,401 | $ | 2,347 | $ | 7,054 | $ | - | $ | - | $ | 7,054 | ||||||||||||
Foreclosed real estate | 68 | - | 68 | - | - | 68 | ||||||||||||||||||
4 | ||||||||||||||||||||||||
June 30, 2021 | ||||||||||||||||||||||||
Impaired loans | $ | 5,449 | $ | 391 | $ | 5,058 | $ | - | $ | - | $ | 5,058 | ||||||||||||
Foreclosed real estate | 64 | - | 64 | - | - | 64 |
Fair Value Measurements Using | ||||||||||||||||||||||||
(In thousands) | Recorded Investment | Related Allowance | Fair Value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||
Impaired loans | $ | 7,578 | $ | 2,013 | $ | 5,565 | $ | - | $ | - | $ | 5,565 | ||||||||||||
Foreclosed real estate | 302 | - | 302 | - | - | 302 | ||||||||||||||||||
June 30, 2022 | ||||||||||||||||||||||||
Impaired loans | $ | 9,401 | $ | 2,347 | $ | 7,054 | $ | - | $ | - | $ | 7,054 | ||||||||||||
Foreclosed real estate | 68 | - | 68 | - | - | 68 |
(Dollars in thousands) | Fair Value | Valuation Technique | Unobservable Input | Range | Weighted Average | Fair Value | Valuation Technique | Unobservable Input | Range | Weighted Average | ||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||||||
Impaired Loans | $ | 4,887 | Appraisal of collateral(1) | Appraisal adjustments(2) | 20.53%-33.73 | % | 23.46 | % | ||||||||||||||||||||
Liquidation expenses(3) | 3.98%-4.77 | % | 4.45 | % | ||||||||||||||||||||||||
678 | Discounted cash flow | Discount rate | 5.24%-7.49 | % | 5.98 | % | ||||||||||||||||||||||
Foreclosed real estate | 302 | Appraisal of collateral(1) | Appraisal adjustments(2) | 0.00 | % | 0.00 | % | |||||||||||||||||||||
Liquidation expenses(3) | 6.38 | % | 6.38 | % | ||||||||||||||||||||||||
June 30, 2022 | ||||||||||||||||||||||||||||
Impaired Loans | $ | 4,333 | Appraisal of collateral(1) | Appraisal adjustments(2) | 7.06%-33.73% | 21.67% | $ | 4,333 | Appraisal of collateral(1) | Appraisal adjustments(2) | 7.06%-33.73 | % | 21.67 | % | ||||||||||||||
Liquidation expenses(3) | 3.98%-5.58% | 4.72% | Liquidation expenses(3) | 3.98%-5.58 | % | 4.72 | % | |||||||||||||||||||||
2,721 | Discounted cash flow | Discount rate | 4.19%-11.95% | 6.21% | 2,721 | Discounted cash flow | Discount rate | 4.19%-11.95 | % | 6.21 | % | |||||||||||||||||
Foreclosed real estate | 68 | Appraisal of collateral(1) | Appraisal adjustments(2) | 10.46% | 10.46% | 68 | Appraisal of collateral(1) | Appraisal adjustments(2) | 10.46 | % | 10.46 | % | ||||||||||||||||
June 30, 2021 | ||||||||||||||||||||||||||||
Impaired Loans | $ | 473 | Appraisal of collateral(1) | Appraisal adjustments(2) | 7.06%-33.73% | 24.94% | ||||||||||||||||||||||
Liquidation expenses(3) | 3.98%-5.58% | 4.50% | ||||||||||||||||||||||||||
4,585 | Discounted cash flow | Discount rate | 4.19%-7.49% | 5.99% | ||||||||||||||||||||||||
Foreclosed real estate | 64 | Appraisal of collateral(1) | Appraisal adjustments(2) | 0.00%-0.00% | 0.00% | |||||||||||||||||||||||
Liquidation expenses(3) | 8.70% | 8.70% |
(1) | Fair value is generally determined through independent third-party appraisals of the underlying collateral, which generally includes various Level 3 inputs which are not observable. |
(2) | Appraisals may be adjusted downwards by management for qualitative factors such as economic conditions. Higher downward adjustments are caused by negative changes to the collateral or conditions in the real estate market, actual offers or sales contracts received or age of the appraisal. |
(3) | Appraisals may be adjusted downwards by management for items such as the estimated costs to liquidate the collateral. |
(In thousands) | June 30, 2022 | Fair Value Measurements Using | June 30, 2023 | Fair Value Measurements Using | ||||||||||||||||||||||||||||||||||||
Carrying Amount | Fair Value | (Level 1) | (Level 2) | (Level 3) | Carrying Amount | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 69,009 | $ | 69,009 | $ | 69,009 | $ | - | $ | - | $ | 196,445 | $ | 196,445 | $ | 196,445 | $ | - | $ | - | ||||||||||||||||||||
Long term certificate of deposit | 4,107 | 3,993 | - | 3,993 | - | 4,576 | 4,383 | - | 4,383 | - | ||||||||||||||||||||||||||||||
Securities available-for-sale | 408,062 | 408,062 | - | 408,062 | - | 281,133 | 281,133 | - | 281,133 | - | ||||||||||||||||||||||||||||||
Securities held-to-maturity | 761,852 | 710,453 | - | 710,453 | - | 726,363 | 671,066 | - | 671,066 | - | ||||||||||||||||||||||||||||||
Equity securities | 273 | 273 | 273 | - | - | 306 | 306 | 306 | - | - | ||||||||||||||||||||||||||||||
Federal Home Loan Bank stock | 6,803 | 6,803 | - | 6,803 | - | 1,682 | 1,682 | - | 1,682 | - | ||||||||||||||||||||||||||||||
Net loans receivable | 1,229,355 | 1,170,960 | - | - | 1,170,960 | 1,387,654 | 1,272,361 | - | - | 1,272,361 | ||||||||||||||||||||||||||||||
Accrued interest receivable | 8,917 | 8,917 | - | 8,917 | - | 12,249 | 12,249 | - | 12,249 | - | ||||||||||||||||||||||||||||||
Deposits | 2,212,604 | 2,212,743 | - | 2,212,743 | - | 2,437,161 | 2,437,357 | - | 2,437,357 | - | ||||||||||||||||||||||||||||||
Borrowings | 123,700 | 123,793 | - | 123,793 | - | |||||||||||||||||||||||||||||||||||
Subordinated notes payable, net | 49,310 | 49,168 | - | 49,168 | - | 49,495 | 47,669 | - | 47,669 | - | ||||||||||||||||||||||||||||||
Accrued interest payable | 603 | 603 | - | 603 | - | 936 | 936 | - | 936 | - |
(In thousands) | June 30, 2021 | Fair Value Measurements Using | June 30, 2022 | Fair Value Measurements Using | ||||||||||||||||||||||||||||||||||||
Carrying Amount | Fair Value | (Level 1) | (Level 2) | (Level 3) | Carrying Amount | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 149,775 | $ | 149,775 | $ | 149,775 | $ | - | $ | - | $ | 69,009 | $ | 69,009 | $ | 69,009 | $ | - | $ | - | ||||||||||||||||||||
Long term certificate of deposit | 4,553 | 4,719 | - | 4,719 | - | 4,107 | 3,993 | - | 3,993 | - | ||||||||||||||||||||||||||||||
Securities available-for-sale | 390,890 | 390,890 | - | 390,890 | - | 408,062 | 408,062 | - | 408,062 | - | ||||||||||||||||||||||||||||||
Securities held-to-maturity | 496,914 | 519,042 | - | 519,042 | - | 761,852 | 710,453 | - | 710,453 | - | ||||||||||||||||||||||||||||||
Equity securities | 307 | 307 | 307 | - | - | 273 | 273 | 273 | - | - | ||||||||||||||||||||||||||||||
Federal Home Loan Bank stock | 1,091 | 1,091 | - | 1,091 | - | 6,803 | 6,803 | - | 6,803 | - | ||||||||||||||||||||||||||||||
Net loans receivable | 1,085,947 | 1,081,669 | - | - | 1,081,669 | 1,229,355 | 1,170,960 | - | - | 1,170,960 | ||||||||||||||||||||||||||||||
Accrued interest receivable | 7,781 | 7,781 | - | 7,781 | - | 8,917 | 8,917 | - | 8,917 | - | ||||||||||||||||||||||||||||||
Deposits | 2,005,108 | 2,005,483 | - | 2,005,483 | - | 2,212,604 | 2,212,743 | - | 2,212,743 | - | ||||||||||||||||||||||||||||||
Borrowings | 3,000 | 3,005 | - | 3,005 | - | 123,700 | 123,793 | - | 123,793 | - | ||||||||||||||||||||||||||||||
Subordinated notes payable, net | 19,644 | 19,858 | - | 19,858 | - | 49,310 | 49,168 | - | 49,168 | - | ||||||||||||||||||||||||||||||
Accrued interest payable | 346 | 346 | - | 346 | - | 603 | 603 | - | 603 | - |
Note 17. | Regulatory Matters |
To Be Well | To Be Well | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Capitalized Under | Capitalized Under | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
For Capital | Prompt Corrective | Capital Conservation | For Capital | Prompt Corrective | Capital Conservation | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Actual | Adequacy Purposes | Action Provisions | Buffer | Actual | Adequacy Purposes | Action Provisions | Buffer | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The Bank of Greene County | Amount | Ratio | Amount | Ratio | Amount | Ratio | Actual | Required | Amount | Ratio | Amount | Ratio | Amount | Ratio | Actual | Required | ||||||||||||||||||||||||||||||||||||||||||||||||
As of June 30, 2023: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total risk-based capital | $ | 249,165 | 16.5 | % | $ | 121,020 | 8.0 | % | $ | 151,275 | 10.0 | % | 8.47 | % | 2.50 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Tier 1 risk-based capital | 230,228 | 15.2 | 90,765 | 6.0 | 121,020 | 8.0 | 9.22 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common equity tier 1 capital | 230,228 | 15.2 | 68,074 | 4.5 | 98,328 | 6.5 | 10.72 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Tier 1 leverage ratio | 230,228 | 8.7 | 106,141 | 4.0 | 132,676 | 5.0 | 4.68 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
As of June 30, 2022: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total risk-based capital | $ | 221,236 | 16.0 | % | $ | 110,294 | 8.0 | % | $ | 137,867 | 10.0 | % | 8.05 | % | 2.50 | % | $ | 221,236 | 16.0 | % | $ | 110,294 | 8.0 | % | $ | 137,867 | 10.0 | % | 8.05 | % | 2.50 | % | ||||||||||||||||||||||||||||||||
Tier 1 risk-based capital | 203,935 | 14.8 | 82,720 | 6.0 | 110,294 | 8.0 | 8.79 | 2.50 | 203,935 | 14.8 | 82,720 | 6.0 | 110,294 | 8.0 | 8.79 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||
Common equity tier 1 capital | 203,935 | 14.8 | 62,040 | 4.5 | 89,614 | 6.5 | 10.29 | 2.50 | 203,935 | 14.8 | 62,040 | 4.5 | 89,614 | 6.5 | 10.29 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||
Tier 1 leverage ratio | 203,935 | 8.1 | 100,193 | 4.0 | 125,242 | 5.0 | 4.14 | 2.50 | 203,935 | 8.1 | 100,193 | 4.0 | 125,242 | 5.0 | 4.14 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||
As of June 30, 2021: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Greene County Commercial Bank | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
As of June 30, 2023: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total risk-based capital | $ | 184,063 | 16.9 | % | $ | 87,384 | 8.0 | % | $ | 109,230 | 10.0 | % | 8.85 | % | 2.50 | % | $ | 104,781 | 46.6 | % | $ | 17,975 | 8.0 | % | $ | 22,469 | 10.0 | % | 38.63 | % | 2.50 | % | ||||||||||||||||||||||||||||||||
Tier 1 risk-based capital | 170,335 | 15.6 | 65,538 | 6.0 | 87,384 | 8.0 | 9.59 | 2.50 | 104,781 | 46.6 | 13,481 | 6.0 | 17,975 | 8.0 | 40.63 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||
Common equity tier 1 capital | 170,335 | 15.6 | 49,154 | 4.5 | 71,000 | 6.5 | 11.09 | 2.50 | 104,781 | 46.6 | 10,111 | 4.5 | 14,605 | 6.5 | 42.13 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||
Tier 1 leverage ratio | 170,335 | 8.0 | 85,382 | 4.0 | 106,728 | 5.0 | 3.98 | 2.50 | 104,781 | 9.1 | 45,958 | 4.0 | 57,447 | 5.0 | 5.12 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||
Greene County Commercial Bank | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
As of June 30, 2022: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total risk-based capital | $ | 94,408 | 41.5 | % | $ | 18,195 | 8.0 | % | $ | 22,744 | 10.0 | % | 33.51 | % | 2.50 | % | $ | 94,408 | 41.5 | % | $ | 18,195 | 8.0 | % | $ | 22,744 | 10.0 | % | 33.51 | % | 2.50 | % | ||||||||||||||||||||||||||||||||
Tier 1 risk-based capital | 94,408 | 41.5 | 13,646 | 6.0 | 18,195 | 8.0 | 35.51 | 2.50 | 94,408 | 41.5 | 13,646 | 6.0 | 18,195 | 8.0 | 35.51 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||
Common equity tier 1 capital | 94,408 | 41.5 | 10,235 | 4.5 | 14,783 | 6.5 | 37.01 | 2.50 | 94,408 | 41.5 | 10,235 | 4.5 | 14,783 | 6.5 | 37.01 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||
Tier 1 leverage ratio | 94,408 | 8.1 | 46,874 | 4.0 | 58,593 | 5.0 | 4.06 | 2.50 | 94,408 | 8.1 | 46,874 | 4.0 | 58,593 | 5.0 | 4.06 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||
As of June 30, 2021: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total risk-based capital | $ | 68,116 | 40.2 | % | $ | 13,566 | 8.0 | % | $ | 16,958 | 10.0 | % | 32.17 | % | 2.50 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Tier 1 risk-based capital | 68,116 | 40.2 | 10,175 | 6.0 | 13,566 | 8.0 | 34.17 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common equity tier 1 capital | 68,116 | 40.2 | 7,631 | 4.5 | 11,023 | 6.5 | 35.67 | 2.50 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Tier 1 leverage ratio | 68,116 | 7.9 | 34,412 | 4.0 | 43,015 | 5.0 | 3.92 | 2.50 |
Note 18. | Condensed Financial Statements of Greene County Bancorp, Inc. |
ASSETS | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Cash and cash equivalents | $ | 18,891 | $ | 279 | $ | 19,822 | $ | 18,891 | ||||||||
Investment in subsidiaries | 188,638 | 170,705 | 208,861 | 188,638 | ||||||||||||
Dividend receivable | - | 1,500 | ||||||||||||||
Long-term certificates of deposit | 3,826 | - | ||||||||||||||
Securities available-for-sale, at fair value | 761 | - | ||||||||||||||
Accrued interest receivable | 26 | - | ||||||||||||||
Prepaid expenses and other assets | 90 | 108 | 93 | 90 | ||||||||||||
Total assets | $ | 207,619 | $ | 172,592 | $ | 233,389 | $ | 207,619 | ||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||
Borrowings from other banks, short-term | $ | - | 3,000 | |||||||||||||
Subordinated notes payable, net | 49,310 | 19,644 | $ | 49,495 | $ | 49,310 | ||||||||||
Accrued expenses and other liabilities | 595 | 364 | 611 | 595 | ||||||||||||
Total liabilities | 49,905 | 23,008 | 50,106 | 49,905 | ||||||||||||
Total shareholders’ equity | 157,714 | 149,584 | 183,283 | 157,714 | ||||||||||||
Total liabilities and shareholders’ equity | $ | 207,619 | $ | 172,592 | $ | 233,389 | $ | 207,619 |
2022 | 2021 | 2023 | 2022 | |||||||||||||
INCOME: | ||||||||||||||||
Equity in undistributed net income of subsidiaries | $ | 28,155 | $ | 20,362 | $ | 26,829 | $ | 28,155 | ||||||||
Dividend distributed by subsidiary | 2,004 | 4,834 | 6,400 | 2,004 | ||||||||||||
Interest-earning deposits | 1 | 5 | 6 | 1 | ||||||||||||
Other income | 11 | - | 2 | 11 | ||||||||||||
Total Income | 30,171 | 25,201 | 33,237 | 30,171 | ||||||||||||
OPERATING EXPENSES: | ||||||||||||||||
Legal fees | 65 | 78 | 101 | 65 | ||||||||||||
Interest on borrowings | 1,688 | 820 | 1,850 | 1,688 | ||||||||||||
Other expense | 432 | 361 | 501 | 432 | ||||||||||||
Total operating expenses | 2,185 | 1,259 | 2,452 | 2,185 | ||||||||||||
Net income | $ | 27,986 | $ | 23,942 | $ | 30,785 | $ | 27,986 |
Cash flow from operating activities: | 2022 | 2021 | 2023 | 2022 | ||||||||||||
Net Income | $ | 27,986 | $ | 23,942 | $ | 30,785 | $ | 27,986 | ||||||||
Adjustments to reconcile net income to cash provided by operating activities: | ||||||||||||||||
Undistributed earnings of subsidiaries | (28,155 | ) | (20,362 | ) | (26,829 | ) | (28,155 | ) | ||||||||
Amortization of subordinated debt issuance costs | 165 | 68 | 185 | 165 | ||||||||||||
Net decrease in prepaid expenses and other assets | 18 | 4 | ||||||||||||||
Net decrease (increase) in dividend receivable | 1,500 | (1,500 | ) | |||||||||||||
Net (increase) decrease in prepaid expenses and other assets | (29 | ) | 18 | |||||||||||||
Net decrease in dividend receivable | - | 1,500 | ||||||||||||||
Net increase in total liabilities | 231 | 275 | 16 | 231 | ||||||||||||
Net cash provided by operating activities | 1,745 | 2,427 | 4,128 | 1,745 | ||||||||||||
Cash flows from Investing Activities: | ||||||||||||||||
Investment in subsidiary | (7,000 | ) | (17,500 | ) | - | (7,000 | ) | |||||||||
Net cash transferred related to Greene Risk Management Inc. liquidation | (1,006 | ) | - | |||||||||||||
Net cash used by investing activities | (7,000 | ) | (17,500 | ) | (1,006 | ) | (7,000 | ) | ||||||||
Cash flows from financing activities: | ||||||||||||||||
Net decrease in short-term advances – other banks | (3,000 | ) | (4,000 | ) | - | (3,000 | ) | |||||||||
Net proceeds from subordinated notes payable | 29,501 | 19,577 | - | 29,501 | ||||||||||||
Payment of cash dividends | (2,634 | ) | (2,430 | ) | (2,191 | ) | (2,634 | ) | ||||||||
Net cash provided by financing activities | 23,867 | 13,147 | ||||||||||||||
Net cash (used by) provided by financing activities | (2,191 | ) | 23,867 | |||||||||||||
Net increase (decrease) in cash and cash equivalents | 18,612 | (1,926 | ) | 931 | 18,612 | |||||||||||
Cash and cash equivalents at beginning of year | 279 | 2,205 | 18,891 | 279 | ||||||||||||
Cash and cash equivalents at end of year | $ | 18,891 | $ | 279 | $ | 19,822 | $ | 18,891 |
Note 19. | Subsequent events |
ITEM 9. | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure |
ITEM 9A. | Controls and Procedures |
ITEM 9B. | Other Information |
ITEM 9C. | Disclosures Regarding Foreign Jurisdictions That Prevent Inspections |
ITEM 10. | Directors, Executive Officers and Corporate Governance |
ITEM 11. | Executive Compensation |
ITEM 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters |
ITEM 13. | Certain Relationships and Related Transactions and Director Independence |
ITEM 14. | Principal Accountant Fees and Services |
ITEM 15. | Exhibits and Financial Statement Schedules |
(a)(1) | The following financial statements and Reports of Bonadio & Co., LLP are included in this Annual Report on Form 10-K: |
(a)(2) | List of Financial Schedules |
(a)(3) | Exhibits |
3.1 | ||
3.2 | ||
3.3 | ||
4.0 | ||
4.2 | ||
4.3 | ||
4.4 | ||
4.5 | ||
4.6 | ||
10.1 | ||
10.2 | ||
10.3 | ||
21. | ||
23. | ||
31.1 | ||
31.2 | ||
32.1 |
32.2 | ||
101 | The following materials from Greene County Bancorp, Inc. Form 10-K for the year ended June 30, | |
104 | Cover Page Interactive Data File (embedded in the cover page formatted in Inline XBRL) |
ITEM 16. | Form 10-K Summary |
GREENE COUNTY BANCORP, INC. | ||
Date: September | By: | /s/ Donald E. Gibson |
Donald E. Gibson | ||
President and Chief Executive Officer |