UNITED STATES | |
SECURITIES AND EXCHANGE COMMISSION | |
Washington, DC 20549 | |
FORM 10-Q | |
(Mark One) | |
☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended: | March 31, 2023 |
or |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from | to | ||
Commission file number: | 001-35019 |
HOME FEDERAL BANCORP, INC. OF LOUISIANA | ||
(Exact name of registrant as specified in its charter) | ||
Louisiana | 02-0815311 | |
(State or other jurisdiction of incorporation or organization) | (IRS Employer Identification No.) | |
624 Market Street, Shreveport, Louisiana | 71101 | |
(Address of principal executive offices) | (Zip Code) | |
(318) 222-1145 | ||
(Registrant’s telephone number, including area code) | ||
N/A | ||
(Former name, former address and former fiscal year, if changed since last report) |
Securities registered pursuant to Section 12(b) of the Act: |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
Common Stock (par value $0.01 per share) | HFBL | Nasdaq Stock Market, LLC |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☒ Yes ☐ No |
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☒ Yes ☐ No |
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check One): |
Large accelerated filer | ☐ | Accelerated filer | ☐ |
Non-accelerated filer | ☒ | Smaller reporting company | ☒ |
Emerging growth company | ☐ |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). | ☐ Yes | ☒ No |
Shares of common stock, par value $0.01 per share, outstanding as of May 10, 2023: The registrant had 3,123,651 shares of common stock outstanding. |
Page | ||
PART I | FINANCIAL INFORMATION | |
Item 1: | Financial Statements | |
1 | ||
2 | ||
3 | ||
4 | ||
6 | ||
8 | ||
Item 2: | 33 | |
Item 3: | 41 | |
Item 4: | 41 | |
PART II | OTHER INFORMATION | |
Item 1: | 42 | |
Item 1A: | 42 | |
Item 2: | 42 | |
Item 3: | 42 | |
Item 4: | 42 | |
Item 5: | 42 | |
Item 6: | 43 | |
HOME FEDERAL BANCORP, INC. OF LOUISIANA |
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION March 31, 2023 (Unaudited) and June 30, 2022 (Audited) |
March 31, 2023 | June 30, 2022 | |||||||
(In Thousands, Except Share Data) | ||||||||
ASSETS | ||||||||
Cash and Cash Equivalents (Includes Interest-Bearing Deposits with Other Banks of $37,994 and $42,531 March 31, 2023 and June 30, 2022, Respectively) | $ | 45,568 | $ | 64,078 | ||||
Securities Available-for-Sale | 44,756 | 28,099 | ||||||
Securities Held-to-Maturity (fair value March 31, 2023: $64,012; June 30, 2022: $69,513, Respectively) | 75,812 | 79,950 | ||||||
Loans Held-for-Sale | 1,160 | 3,978 | ||||||
Loans Receivable, Net of Allowance for Loan Losses (March 31, 2023: $4,935; June 30, 2022: $4,451, Respectively) | 486,394 | 387,873 | ||||||
Accrued Interest Receivable | 1,620 | 1,124 | ||||||
Premises and Equipment, Net | 16,598 | 16,249 | ||||||
Bank Owned Life Insurance | 6,674 | 6,597 | ||||||
Goodwill | 2,990 | - | ||||||
Core Deposit Intangible | 1,636 | - | ||||||
Deferred Tax Asset | 1,096 | 1,143 | ||||||
Other Real Estate Owned | 311 | - | ||||||
Other Assets | 1,370 | 1,389 | ||||||
Total Assets | $ | 685,985 | $ | 590,480 | ||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
LIABILITIES | ||||||||
Deposits: | ||||||||
Non-interest bearing | $ | 163,598 | $ | 161,142 | ||||
Interest-bearing | 450,776 | 370,849 | ||||||
Total Deposits | 614,374 | 531,991 | ||||||
Advances from Borrowers for Taxes and Insurance | 276 | 354 | ||||||
Short-term Federal Home Loan Bank Advances | 10,000 | 832 | ||||||
Other Borrowings | 8,250 | 2,350 | ||||||
Other Accrued Expenses and Liabilities | 2,962 | 2,606 | ||||||
Total Liabilities | 635,862 | 538,133 | ||||||
STOCKHOLDERS’ EQUITY | ||||||||
Preferred Stock - $0.01 Par Value; 10,000,000 Shares Authorized; None Issued and Outstanding | - | - | ||||||
Common Stock - $0.01 Par Value; 40,000,000 Shares Authorized: 3,123,651 and 3,387,839 Shares Issued and Outstanding at March 31, 2023 and June 30, 2022, Respectively | 31 | 34 | ||||||
Additional Paid-in Capital | 40,794 | 40,145 | ||||||
Unearned ESOP Stock | (552 | ) | (639 | ) | ||||
Retained Earnings | 11,824 | 14,506 | ||||||
Accumulated Other Comprehensive Loss | (1,974 | ) | (1,699 | ) | ||||
Total Stockholders’ Equity | 50,123 | 52,347 | ||||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 685,985 | $ | 590,480 |
For the Three Months Ended March 31, | For the Nine Months Ended March 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
(In Thousands, Except per Share Data) | ||||||||||||||||
INTEREST INCOME | ||||||||||||||||
Loans, Including Fees | $ | 6,151 | $ | 4,277 | $ | 16,585 | $ | 12,985 | ||||||||
Investment Securities | 100 | - | 105 | - | ||||||||||||
Mortgage-Backed Securities | 492 | 380 | 1,472 | 1,066 | ||||||||||||
Other Interest-Earning Assets | 270 | 35 | 720 | 101 | ||||||||||||
Total Interest Income | 7,013 | 4,692 | 18,882 | 14,152 | ||||||||||||
INTEREST EXPENSE | ||||||||||||||||
Deposits | 1,342 | 394 | 2,387 | 1,397 | ||||||||||||
Other Borrowings | 146 | 20 | 321 | 46 | ||||||||||||
Federal Home Loan Bank Borrowings | 52 | 10 | 72 | 31 | ||||||||||||
Total Interest Expense | 1,540 | 424 | 2,780 | 1,474 | ||||||||||||
Net Interest Income | 5,473 | 4,268 | 16,102 | 12,678 | ||||||||||||
PROVISION FOR LOAN LOSSES | 150 | - | 718 | 61 | ||||||||||||
Net Interest Income after Provision for Loan Losses | 5,323 | 4,268 | 15,384 | 12,617 | ||||||||||||
NON-INTEREST INCOME | ||||||||||||||||
Gain on Sale of Loans | 87 | 327 | 404 | 1,747 | ||||||||||||
Gain/(Loss) on Sale of Real Estate and Fixed Assets | 4 | (48 | ) | 4 | (48 | ) | ||||||||||
Income on Bank Owned Life Insurance | 25 | 27 | 77 | 82 | ||||||||||||
Service Charges on Deposit Accounts | 380 | 289 | 1,074 | 838 | ||||||||||||
Other Income | 12 | 241 | 35 | 269 | ||||||||||||
Total Non-Interest Income | 508 | 836 | 1,594 | 2,888 | ||||||||||||
NON-INTEREST EXPENSE | ||||||||||||||||
Compensation and Benefits | 2,319 | 2,194 | 6,694 | 6,710 | ||||||||||||
Occupancy and Equipment | 541 | 449 | 1,540 | 1,320 | ||||||||||||
Data Processing | 163 | 149 | 564 | 534 | ||||||||||||
Audit and Examination Fees | 82 | 102 | 243 | 293 | ||||||||||||
Franchise and Bank Shares Tax | 145 | 132 | 386 | 403 | ||||||||||||
Advertising | 97 | 88 | 238 | 233 | ||||||||||||
Legal Fees | 268 | 82 | 469 | 287 | ||||||||||||
Loan and Collection | 34 | 44 | 148 | 184 | ||||||||||||
Amortization Core Deposit Intangible | 71 | - | 71 | - | ||||||||||||
Deposit Insurance Premium | 49 | 38 | 150 | 114 | ||||||||||||
Other Expense | 729 | 280 | 1,306 | 700 | ||||||||||||
Total Non-Interest Expense | 4,498 | 3,558 | 11,809 | 10,778 | ||||||||||||
Income Before Income Taxes | 1,333 | 1,546 | 5,169 | 4,727 | ||||||||||||
PROVISION FOR INCOME TAX EXPENSE | 271 | 269 | 723 | 922 | ||||||||||||
Net Income | $ | 1,062 | $ | 1,277 | $ | 4,446 | $ | 3,805 | ||||||||
EARNINGS PER COMMON SHARE: | ||||||||||||||||
Basic | $ | 0.35 | $ | 0.39 | $ | 1.48 | $ | 1.18 | ||||||||
Diluted | $ | 0.34 | $ | 0.37 | $ | 1.41 | $ | 1.10 | ||||||||
DIVIDENDS DECLARED | $ | 0.12 | $ | 0.10 | $ | 0.36 | $ | 0.30 |
For the Three Months Ended March 31, | For the Nine Months Ended March 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||
Net Income | $ | 1,062 | $ | 1,277 | $ | 4,446 | $ | 3,805 | ||||||||
Other Comprehensive Gain (loss) Net of Tax | ||||||||||||||||
Investment Securities Available-for-Sale: | ||||||||||||||||
Net Unrealized Gains (Losses) | 763 | (1,115 | ) | (348 | ) | (1,385 | ) | |||||||||
Income Tax Effect | (160 | ) | 234 | 73 | 291 | |||||||||||
Other Comprehensive Gain (loss) Net of Tax | 603 | (881 | ) | (275 | ) | (1,094 | ) | |||||||||
Total Comprehensive Income | $ | 1,665 | $ | 396 | $ | 4,171 | $ | 2,711 |
Common Stock | Additional Paid-in Capital | Unearned ESOP Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Stockholders’ Equity | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
BALANCE – December 31, 2021 | $ | 34 | $ | 39,271 | $ | (696 | ) | $ | 14,737 | $ | 62 | $ | 53,408 | |||||||||||
Net Income | - | - | - | 1,277 | - | 1,277 | ||||||||||||||||||
Changes in Unrealized loss on Securities Available-for-Sale, Net of Tax Effects | - | - | - | - | (881 | ) | (881 | ) | ||||||||||||||||
Share Awards Earned | - | 10 | - | - | - | 10 | ||||||||||||||||||
Stock Options Vested | - | 19 | - | - | - | 19 | ||||||||||||||||||
Common Stock Issuance for Stock Option Exercises – Split Adjusted | - | 643 | - | - | - | 643 | ||||||||||||||||||
ESOP Compensation Earned | - | 90 | 29 | - | - | 119 | ||||||||||||||||||
Company Stock Purchased | - | - | - | (1,621 | ) | - | (1,621 | ) | ||||||||||||||||
Dividends Paid | - | - | - | (342 | ) | - | (342 | ) | ||||||||||||||||
BALANCE – March 31, 2022 | $ | 34 | $ | 40,033 | $ | (667 | ) | $ | 14,051 | $ | (819 | ) | $ | 52,632 | ||||||||||
BALANCE – December 31, 2022 | $ | 31 | $ | 40,669 | $ | (581 | ) | $ | 11,147 | $ | (2,577 | ) | $ | 48,689 | ||||||||||
Net Income | - | - | - | 1,062 | - | 1,062 | ||||||||||||||||||
Changes in Unrealized Loss on Securities Available-for-Sale, Net of Tax Effects | - | - | - | - | 603 | 603 | ||||||||||||||||||
Share Awards Earned | - | 10 | - | - | - | 10 | ||||||||||||||||||
Stock Options Vested | - | 26 | - | - | - | 26 | ||||||||||||||||||
Common Stock Issuance for Stock Option Exercises | - | 19 | - | - | - | 19 | ||||||||||||||||||
ESOP Compensation Earned | - | 70 | 29 | - | - | 99 | ||||||||||||||||||
Company Stock Purchased | - | - | - | (1 | ) | - | (1 | ) | ||||||||||||||||
Dividends Paid | - | - | - | (384 | ) | - | (384 | ) | ||||||||||||||||
BALANCE – March 31, 2023 | $ | 31 | $ | 40,794 | $ | (552 | ) | $ | 11,824 | $ | (1,974 | ) | $ | 50,123 |
Common Stock | Additional Paid-in Capital | Unearned ESOP Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Stockholders’ Equity | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
BALANCE – June 30, 2021 | $ | 34 | $ | 37,701 | $ | (754 | ) | $ | 15,469 | $ | 275 | $ | 52,725 | |||||||||||
Net Income | - | - | - | 3,805 | - | 3,805 | ||||||||||||||||||
Changes in Unrealized loss on Securities Available-for-Sale, Net of Tax Effects | - | - | - | - | (1,094 | ) | (1,094 | ) | ||||||||||||||||
Share Awards Earned | - | 117 | - | - | - | 117 | ||||||||||||||||||
Stock Options Vested | - | 71 | - | - | - | 71 | ||||||||||||||||||
Common Stock Issuance for Stock Option Exercises | - | 1,889 | - | - | - | 1,889 | ||||||||||||||||||
ESOP Compensation Earned | - | 255 | 87 | - | - | 342 | ||||||||||||||||||
Company Stock Purchased | - | - | - | (4,210 | ) | - | (4,210 | ) | ||||||||||||||||
Dividends Paid | - | - | - | (1,013 | ) | - | (1,013 | ) | ||||||||||||||||
BALANCE – March 31, 2022 | $ | 34 | $ | 40,033 | $ | (667 | ) | $ | 14,051 | $ | (819 | ) | $ | 52,632 | ||||||||||
BALANCE – June 30, 2022 | $ | 34 | $ | 40,145 | $ | (639 | ) | $ | 14,506 | $ | (1,699 | ) | $ | 52,347 | ||||||||||
Net Income | - | - | - | 4,446 | - | 4,446 | ||||||||||||||||||
Changes in Unrealized loss on Securities Available-for-Sale, Net of Tax Effects | - | - | - | - | (275 | ) | (275 | ) | ||||||||||||||||
Share Awards Earned | - | 123 | - | - | - | 123 | ||||||||||||||||||
Stock Options Vested | - | 80 | - | - | - | 80 | ||||||||||||||||||
Common Stock Issuance for Stock Option Exercises | (3 | ) | 220 | - | - | - | 217 | |||||||||||||||||
ESOP Compensation Earned | - | 226 | 87 | - | - | 313 | ||||||||||||||||||
Company Stock Purchased | - | - | - | (5,963 | ) | - | (5,963 | ) | ||||||||||||||||
Dividends Paid | - | - | - | (1,165 | ) | - | (1,165 | ) | ||||||||||||||||
BALANCE – March 31, 2023 | $ | 31 | $ | 40,794 | $ | (552 | ) | $ | 11,824 | $ | (1,974 | ) | $ | 50,123 |
Nine Months Ended | ||||||||
March 31, | ||||||||
2023 | 2022 | |||||||
(In Thousands) | ||||||||
CASH FLOWS FROM OPERATING ACTIVITIES | ||||||||
Net Income | $ | 4,446 | $ | 3,805 | ||||
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities | ||||||||
Bad Debt Recovery | 2 | 22 | ||||||
Federal Home Loan Bank Stock Dividend | 6 | - | ||||||
Net Amortization and Accretion on Securities | 21 | 103 | ||||||
(Gain) Loss on Sale of Real Estate and Fixed Assets | (4 | ) | 48 | |||||
Gain on Sale of Loans | (404 | ) | (1,747 | ) | ||||
Amortization of Deferred Loan Fees | (270 | ) | (729 | ) | ||||
Depreciation of Premises and Equipment | 648 | 561 | ||||||
ESOP Expense | 313 | 342 | ||||||
Stock Option Expense | 80 | 71 | ||||||
Deferred Income Tax | 47 | (41 | ) | |||||
Provision for Loan Losses | 718 | 61 | ||||||
(Increase) Decrease in Cash Surrender Value Bank Owned Life Insurance | (77 | ) | 642 | |||||
Share Awards Expense | 92 | 90 | ||||||
Changes in Assets and Liabilities: | ||||||||
Loans Held-for-Sale – Originations and Purchases | (22,065 | ) | (75,035 | ) | ||||
Loans Held-for-Sale – Sale and Principal Repayments | 25,287 | 88,792 | ||||||
Accrued Interest Receivable | (496 | ) | 77 | |||||
Other Operating Assets | 19 | (548 | ) | |||||
Other Operating Liabilities | 356 | (470 | ) | |||||
Net Cash Provided by Operating Activities | 8,719 | 16,044 | ||||||
CASH FLOWS FROM INVESTING ACTIVITIES | ||||||||
Loan Originations and Purchases, Net of Principal Collections | (93,680 | ) | (25,802 | ) | ||||
Deferred Loan Fees Collected | 135 | 244 | ||||||
Acquisition of Premises and Equipment | (997 | ) | (2,417 | ) | ||||
Net Cash Paid in Acquisition | (10,244 | ) | - | |||||
Proceeds from Sale of Real Estate | - | 814 | ||||||
Purchase Federal Home Loan Bank Stock | (989 | ) | - | |||||
Activity in Available-for-Sale Securities: | ||||||||
Principal Payments on Mortgage-Backed Securities | 3,764 | 7,033 | ||||||
Purchases of Securities | (20,826 | ) | - | |||||
Activity in Held-to-Maturity Securities: | ||||||||
Principal Payments on Mortgage-Backed Securities | 5,121 | 7,154 | ||||||
Purchase of Securities | - | (34,619 | ) | |||||
Net Cash Used in Investing Activities | (117,716 | ) | (47,593 | ) |
Nine Months Ended | ||||||||
March 31, | ||||||||
2023 | 2022 | |||||||
(In Thousands) | ||||||||
CASH FLOWS FROM FINANCING ACTIVITIES | ||||||||
Net Increase in Deposits | $ | 82,383 | $ | 10,274 | ||||
Proceeds from Advances from Federal Home Loan Bank | 163,001 | - | ||||||
Repayments of Advances from Federal Home Loan Bank | (153,833 | ) | (26 | ) | ||||
Proceeds from Other Borrowings | 5,900 | 2,600 | ||||||
Repayments of Other Borrowings | - | (3,200 | ) | |||||
Net Decrease in Advances from Borrowers for Taxes and Insurance | (176 | ) | (219 | ) | ||||
Dividends Paid | (1,165 | ) | (1,013 | ) | ||||
Company Stock Purchased | (5,963 | ) | (4,210 | ) | ||||
Proceeds from Stock Options Exercised | 217 | 1,889 | ||||||
Plan Share Distributions | 123 | 117 | ||||||
Net Cash Provided by Financing Activities | 90,487 | 6,212 | ||||||
NET DECREASE IN CASH AND CASH EQUIVALENTS | (18,510 | ) | (25,337 | ) | ||||
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD | 64,078 | 104,405 | ||||||
CASH AND CASH EQUIVALENTS - END OF PERIOD | $ | 45,568 | $ | 79,068 | ||||
SUPPLEMENTARY CASH FLOW INFORMATION | ||||||||
Interest Paid on Deposits and Borrowed Funds | $ | 2,598 | $ | 1,483 | ||||
Income Taxes Paid | 750 | 915 | ||||||
Market Value Adjustment for Loss on Debt Securities Available-for-Sale | (348 | ) | (1,385 | ) | ||||
Acquisitions: | ||||||||
Fair Value of Tangible Assets Acquired | 82,889 | - | ||||||
Other Intangible Assets Acquired | 1,510 | - | ||||||
Liabilities Assumed | 77,145 | - | ||||||
Net Identifiable Assets Acquired Over Liabilities Assumed | $ | 7,254 | $ | - |
Buildings and Improvements | 10 - 40 Years | |
Furniture and Equipment | 3 - 10 Years |
March 31, 2023 | ||||||||||||||||
Gross | Gross | |||||||||||||||
Amortized | Unrealized | Unrealized | Fair | |||||||||||||
Securities Available-for-Sale | Cost | Gains | Losses | Value | ||||||||||||
(In Thousands) | ||||||||||||||||
Debt Securities | ||||||||||||||||
FHLMC Mortgage-Backed Certificates | $ | 12,491 | $ | - | $ | 694 | $ | 11,797 | ||||||||
FNMA Mortgage-Backed Certificates | 15,846 | - | 1,255 | 14,591 | ||||||||||||
GNMA Mortgage-Backed Certificates | 4,669 | 2 | 654 | 4,017 | ||||||||||||
Total Debt Securities | 33,006 | 2 | 2,603 | 30,405 | ||||||||||||
US Treasury Securities | 13,179 | 87 | - | 13,266 | ||||||||||||
Municipals | 1,070 | 15 | - | 1,085 | ||||||||||||
Total Securities Available-for-Sale | $ | 47,255 | $ | 104 | $ | 2,603 | $ | 44,756 | ||||||||
Securities Held-to-Maturity | ||||||||||||||||
Debt Securities | ||||||||||||||||
GNMA Mortgage-Backed Certificates | $ | 627 | $ | - | $ | 51 | $ | 576 | ||||||||
FHLMC Mortgage-Backed Certificates | 30,528 | - | 5,169 | 25,359 | ||||||||||||
FNMA Mortgage-Backed Certificates | 41,803 | - | 6,504 | 35,299 | ||||||||||||
Total Debt Securities | 72,958 | - | 11,724 | 61,234 | ||||||||||||
Municipals | 1,317 | - | 76 | 1,241 | ||||||||||||
Equity Securities (Non-Marketable) | ||||||||||||||||
12,865 Shares – Federal Home Loan Bank | 1,287 | - | - | 1,287 | ||||||||||||
630 Shares – First National Bankers Bankshares, Inc. | 250 | - | - | 250 | ||||||||||||
Total Equity Securities | 1,537 | - | - | 1,537 | ||||||||||||
Total Securities Held-to-Maturity | $ | 75,812 | $ | - | $ | 11,800 | $ | 64,012 |
June 30, 2022 | ||||||||||||||||
Gross | Gross | |||||||||||||||
Amortized | Unrealized | Unrealized | Fair | |||||||||||||
Securities Available-for-Sale | Cost | Gains | Losses | Value | ||||||||||||
(In Thousands) | ||||||||||||||||
Debt Securities | ||||||||||||||||
FHLMC Mortgage-Backed Certificates | $ | 7,513 | $ | 1 | $ | 482 | $ | 7,032 | ||||||||
FNMA Mortgage-Backed Certificates | 17,753 | - | 1,067 | 16,686 | ||||||||||||
GNMA Mortgage-Backed Certificates | 4,984 | - | 603 | 4,381 | ||||||||||||
Total Debt Securities | 30,250 | 1 | 2,152 | 28,099 | ||||||||||||
Total Securities Available-for-Sale | $ | 30,250 | $ | 1 | $ | 2,152 | $ | 28,099 | ||||||||
Securities Held-to-Maturity | ||||||||||||||||
Debt Securities | ||||||||||||||||
GNMA Mortgage-Backed Certificates | $ | 640 | $ | - | $ | 40 | $ | 600 | ||||||||
FHLMC Mortgage-Backed Certificates | 32,485 | - | 4,602 | 27,883 | ||||||||||||
FNMA Mortgage-Backed Certificates | 44,947 | - | 5,693 | 39,254 | ||||||||||||
Total Debt Securities | 78,072 | - | 10,335 | 67,737 | ||||||||||||
Municipals | 1,336 | - | 102 | 1,234 | ||||||||||||
Equity Securities (Non-Marketable) | ||||||||||||||||
2,919 Shares – Federal Home Loan Bank | 292 | - | - | 292 | ||||||||||||
630 Shares – First National Bankers Bankshares, Inc. | 250 | - | - | 250 | ||||||||||||
Total Equity Securities | 542 | - | - | 542 | ||||||||||||
Total Securities Held-to-Maturity | $ | 79,950 | $ | - | $ | 10,437 | $ | 69,513 |
Available-for-Sale | Held-to-Maturity | |||||||||||||||
Amortized | Fair | Amortized | Fair | |||||||||||||
Cost | Value | Cost | Value | |||||||||||||
(In Thousands) | ||||||||||||||||
Debt Securities | ||||||||||||||||
Within One Year or Less | $ | - | $ | - | $ | - | $ | - | ||||||||
One through Five Years | 3 | 3 | - | - | ||||||||||||
After Five through Ten Years | 2,026 | 1,968 | - | - | ||||||||||||
Over Ten Years | 30,977 | 28,434 | 72,958 | 61,234 | ||||||||||||
33,006 | 30,405 | 72,958 | 61,234 | |||||||||||||
US Treasury Securities | ||||||||||||||||
Within One Year or Less | $ | 9,683 | $ | 9,752 | $ | - | $ | - | ||||||||
One through Five Years | 3,496 | 3,514 | - | - | ||||||||||||
13,179 | 13,266 | - | - | |||||||||||||
Municipals | ||||||||||||||||
Within One Year or Less | $ | - | $ | - | $ | - | $ | - | ||||||||
One through Five Years | - | - | 223 | 213 | ||||||||||||
After Five through Ten Years | - | - | - | - | ||||||||||||
Over Ten Years | 1,070 | 1,085 | 1,094 | 1,028 | ||||||||||||
1,070 | 1,085 | 1,317 | 1,241 | |||||||||||||
Other Equity Securities | - | - | 1,537 | 1,537 | ||||||||||||
Total | $ | 47,255 | $ | 44,756 | $ | 75,812 | $ | 64,012 |
March 31, 2023 | ||||||||||||||||
Less Than Twelve Months | Over Twelve Months | |||||||||||||||
Gross | Gross | |||||||||||||||
Unrealized | Fair | Unrealized | Fair | |||||||||||||
Losses | Value | Losses | Value | |||||||||||||
(In Thousands) | ||||||||||||||||
Securities Available-for-Sale | ||||||||||||||||
Mortgage-Backed Securities | $ | 1,353 | $ | 22,199 | $ | 1,259 | $ | 7,532 | ||||||||
Municipals | - | - | - | - | ||||||||||||
Total Securities Available-for-Sale | $ | 1,353 | $ | 22,199 | $ | 1,259 | $ | 7,532 |
March 31, 2023 | ||||||||||||||||
Less Than Twelve Months | Over Twelve Months | |||||||||||||||
Gross | Gross | |||||||||||||||
Unrealized | Fair | Unrealized | Fair | |||||||||||||
Losses | Value | Losses | Value | |||||||||||||
(In Thousands) | ||||||||||||||||
Securities Held-to-Maturity | ||||||||||||||||
Mortgage-Backed Securities | $ | 170 | $ | 1,943 | $ | 11,554 | $ | 59,291 | ||||||||
Municipals | - | - | 76 | 1,241 | ||||||||||||
Total Securities Held-to-Maturity | $ | 170 | $ | 1,943 | $ | 11,630 | $ | 60,532 |
June 30, 2022 | ||||||||||||||||
Less Than Twelve Months | Over Twelve Months | |||||||||||||||
Gross | Gross | |||||||||||||||
Unrealized | Fair | Unrealized | Fair | |||||||||||||
Losses | Value | Losses | Value | |||||||||||||
(In Thousands) | ||||||||||||||||
Securities Available-for-Sale | ||||||||||||||||
Mortgage-Backed Securities | $ | 1,335 | $ | 21,813 | $ | 816 | $ | 6,286 | ||||||||
Total Securities Available-for-Sale | $ | 1,335 | $ | 21,813 | $ | 816 | $ | 6,286 |
June 30, 2022 | ||||||||||||||||
Less Than Twelve Months | Over Twelve Months | |||||||||||||||
Gross | Gross | |||||||||||||||
Unrealized | Fair | Unrealized | Fair | |||||||||||||
Losses | Value | Losses | Value | |||||||||||||
(In Thousands) | ||||||||||||||||
Securities Held-to-Maturity | ||||||||||||||||
Mortgage-Backed Securities | $ | 4,591 | $ | 35,930 | $ | 5,744 | $ | 31,807 | ||||||||
Municipals | $ | 102 | $ | 1,234 | $ | - | $ | - | ||||||||
Total Securities Held-to-Maturity | $ | 4,693 | $ | 37,164 | $ | 5,744 | $ | 31,807 |
March 31, 2023 | June 30, 2022 | |||||||
(In Thousands) | ||||||||
Loans Secured by Mortgages on Real Estate | ||||||||
One-to-Four Family Residential | $ | 173,444 | $ | 120,014 | ||||
Commercial | 152,092 | 127,589 | ||||||
Multi-Family Residential | 31,002 | 30,411 | ||||||
Land | 24,784 | 22,127 | ||||||
Construction | 31,846 | 27,884 | ||||||
Equity and Second Mortgage | 1,818 | 1,587 | ||||||
Equity Lines of Credit | 23,483 | 17,831 | ||||||
Total Mortgage Loans | 438,469 | 347,443 | ||||||
Commercial Loans | 51,490 | 44,487 | ||||||
Consumer Loans | ||||||||
Loans on Savings Accounts | 164 | 266 | ||||||
Other Consumer Loans | 1,383 | 439 | ||||||
Total Consumer Other Loans | 1,547 | 705 | ||||||
Total Loans | 491,506 | 392,635 | ||||||
Less: Allowance for Loan Losses | (4,935 | ) | (4,451 | ) | ||||
Unamortized Loan Fees | (177 | ) | (311 | ) | ||||
Net Loans Receivable | $ | 486,394 | $ | 387,873 |
Nine Months Ended March 31, | ||||||||
2023 | 2022 | |||||||
(In Thousands) | ||||||||
Balance - Beginning of Period | $ | 4,451 | $ | 4,122 | ||||
Provision for Loan Losses | 718 | 61 | ||||||
Loan Charge-Offs | (236 | ) | (31 | ) | ||||
Recoveries | 2 | 22 | ||||||
Balance - End of Period | $ | 4,935 | $ | 4,174 |
March 31, 2023 | Pass and Pass Watch | Special Mention | Substandard | Doubtful | Total | |||||||||||||||
(In Thousands) | ||||||||||||||||||||
Real Estate Loans: | ||||||||||||||||||||
One-to-Four Family Residential | $ | 170,213 | $ | 810 | $ | 2,421 | $ | - | $ | 173,444 | ||||||||||
Commercial | 150,446 | - | 1,646 | - | 152,092 | |||||||||||||||
Multi-Family Residential | 31,002 | - | - | - | 31,002 | |||||||||||||||
Land | 24,779 | - | 5 | - | 24,784 | |||||||||||||||
Construction | 31,846 | - | - | - | 31,846 | |||||||||||||||
Equity and Second Mortgage | 1,818 | - | - | - | 1,818 | |||||||||||||||
Equity Lines of Credit | 23,483 | - | - | - | 23,483 | |||||||||||||||
Commercial Loans | 48,807 | 2,619 | 64 | - | 51,490 | |||||||||||||||
Consumer Loans | 1,518 | 2 | 27 | - | 1,547 | |||||||||||||||
Total | $ | 483,912 | $ | 3,431 | $ | 4,163 | $ | - | $ | 491,506 |
June 30, 2022 | Pass and Pass Watch | Special Mention | Substandard | Doubtful | Total | |||||||||||||||
(In Thousands) | ||||||||||||||||||||
Real Estate Loans: | ||||||||||||||||||||
One-to-Four Family Residential | $ | 117,464 | $ | 352 | $ | 2,198 | $ | - | $ | 120,014 | ||||||||||
Commercial | 123,292 | 2,548 | 1,749 | - | 127,589 | |||||||||||||||
Multi-Family Residential | 30,411 | - | - | - | 30,411 | |||||||||||||||
Land | 22,127 | - | - | - | 22,127 | |||||||||||||||
Construction | 27,884 | - | - | - | 27,884 | |||||||||||||||
Equity and Second Mortgage | 1,587 | - | - | - | 1,587 | |||||||||||||||
Equity Lines of Credit | 17,831 | - | - | - | 17,831 | |||||||||||||||
Commercial Loans | 44,275 | 212 | - | - | 44,487 | |||||||||||||||
Consumer Loans | 705 | - | - | - | 705 | |||||||||||||||
Total | $ | 385,576 | $ | 3,112 | $ | 3,947 | $ | - | $ | 392,635 |
March 31, 2023 | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days or More | Total Past Due | Current | Total Loans Receivable | Recorded Investment > 90 Days and Accruing | |||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||
Real Estate Loans: | ||||||||||||||||||||||||||||
One-to-Four Family Residential | $ | 341 | $ | 112 | $ | 2,142 | $ | 2,595 | $ | 170,849 | $ | 173,444 | $ | 26 | ||||||||||||||
Commercial | - | - | - | - | 152,092 | 152,092 | - | |||||||||||||||||||||
Multi-Family Residential | - | - | - | - | 31,002 | 31,002 | - | |||||||||||||||||||||
Land | - | - | - | - | 24,784 | 24,784 | - | |||||||||||||||||||||
Construction | - | - | 5 | 5 | 31,841 | 31,846 | - | |||||||||||||||||||||
Equity and Second Mortgage | - | - | - | - | 1,818 | 1,818 | - | |||||||||||||||||||||
Equity Lines of Credit | - | - | - | - | 23,483 | 23,483 | - | |||||||||||||||||||||
Commercial Loans | - | 4 | 8 | 12 | 51,478 | 51,490 | - | |||||||||||||||||||||
Consumer Loans | - | 50 | - | 50 | 1,497 | 1,547 | - | |||||||||||||||||||||
Total | $ | 341 | $ | 166 | $ | 2,155 | $ | 2,662 | $ | 488,442 | $ | 491,506 | $ | 26 |
June 30, 2022 | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days or More | Total Past Due | Current | Total Loans Receivable | Recorded Investment > 90 Days and Accruing | |||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||
Real Estate Loans: | ||||||||||||||||||||||||||||
One-to-Four Family Residential | $ | - | $ | 1,923 | $ | 387 | $ | 2,310 | $ | 117,704 | $ | 120,014 | $ | 26 | ||||||||||||||
Commercial | - | - | - | - | 127,589 | 127,589 | - | |||||||||||||||||||||
Multi-Family Residential | - | - | - | - | 30,411 | 30,411 | - | |||||||||||||||||||||
Land | - | - | - | - | 22,127 | 22,127 | - | |||||||||||||||||||||
Construction | - | - | - | - | 27,884 | 27,884 | - | |||||||||||||||||||||
Equity and Second Mortgage | - | - | - | - | 1,587 | 1,587 | - | |||||||||||||||||||||
Equity Lines of Credit | 24 | - | - | 24 | 17,807 | 17,831 | - | |||||||||||||||||||||
Commercial Loans | - | - | - | - | 44,487 | 44,487 | - | |||||||||||||||||||||
Consumer Loans | - | - | - | - | 705 | 705 | - | |||||||||||||||||||||
Total | $ | 24 | $ | 1,923 | $ | 387 | $ | 2,334 | $ | 390,301 | $ | 392,635 | $ | 26 |
Real Estate Loans | ||||||||||||||||||||||||||||||||||||
March 31, 2023 | 1-4 Family Residential | Commercial | Multi- Family | Land | Construction | Home Equity Loans and Lines of Credit | Commercial Loans | Consumer Loans | Total | |||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||
Beginning Balances | $ | 1,367 | $ | 1,295 | $ | 357 | $ | 305 | $ | 282 | $ | 197 | $ | 646 | $ | 2 | $ | 4,451 | ||||||||||||||||||
Charge-Offs | (40 | ) | - | - | - | - | (26 | ) | (170 | ) | - | (236 | ) | |||||||||||||||||||||||
Recoveries | 2 | - | - | - | - | - | - | - | 2 | |||||||||||||||||||||||||||
Current Provision | 328 | 223 | (82 | ) | (23 | ) | 26 | 107 | 138 | 1 | 718 | |||||||||||||||||||||||||
Ending Balances | $ | 1,657 | $ | 1,518 | $ | 275 | $ | 282 | $ | 308 | $ | 278 | $ | 614 | $ | 3 | $ | 4,935 | ||||||||||||||||||
Evaluated for Impairment: | ||||||||||||||||||||||||||||||||||||
Individually | 231 | 101 | - | - | - | - | 31 | - | 363 | |||||||||||||||||||||||||||
Collectively | 1,426 | 1,417 | 275 | 282 | 308 | 278 | 583 | 3 | 4,572 | |||||||||||||||||||||||||||
Loans Receivable: | ||||||||||||||||||||||||||||||||||||
Ending Balances – Total | $ | 173,444 | $ | 152,092 | $ | 31,002 | $ | 24,784 | $ | 31,846 | $ | 25,301 | $ | 51,490 | $ | 1,547 | $ | 491,506 | ||||||||||||||||||
Ending Balances: | ||||||||||||||||||||||||||||||||||||
Evaluated for Impairment: | ||||||||||||||||||||||||||||||||||||
Individually | 2,715 | 1,646 | - | - | - | - | 2,309 | - | 6,670 | |||||||||||||||||||||||||||
Collectively | $ | 170,729 | $ | 150,446 | $ | 31,002 | $ | 24,784 | $ | 31,846 | $ | 25,301 | $ | 49,181 | $ | 1,547 | $ | 484,836 |
Real Estate Loans | ||||||||||||||||||||||||||||||||||||
June 30, 2022 | 1-4 Family Residential | Commercial | Multi- Family | Land | Construction | Other | Commercial Loans | Consumer Loans | Total | |||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||
Beginning Balances | $ | 894 | $ | 1,630 | $ | 346 | $ | 407 | $ | 160 | $ | 193 | $ | 489 | $ | 3 | $ | 4,122 | ||||||||||||||||||
Charge-Offs | (8 | ) | (6 | ) | - | - | - | (17 | ) | - | - | (31 | ) | |||||||||||||||||||||||
Recoveries | 4 | - | - | - | - | 20 | - | - | 24 | |||||||||||||||||||||||||||
Current Provision | 477 | (329 | ) | 11 | (102 | ) | 122 | 1 | 157 | (1 | ) | 336 | ||||||||||||||||||||||||
Ending Balances | $ | 1,367 | $ | 1,295 | $ | 357 | $ | 305 | $ | 282 | $ | 197 | $ | 646 | $ | 2 | $ | 4,451 | ||||||||||||||||||
Evaluated for Impairment: | ||||||||||||||||||||||||||||||||||||
Individually | 106 | 129 | - | - | - | - | 38 | - | 273 | |||||||||||||||||||||||||||
Collectively | 1,261 | 1,166 | 357 | 305 | 282 | 197 | 608 | 2 | 4,178 | |||||||||||||||||||||||||||
Loans Receivable: | ||||||||||||||||||||||||||||||||||||
Ending Balances – Total | $ | 120,014 | $ | 127,589 | $ | 30,411 | $ | 22,127 | $ | 27,884 | $ | 19,418 | $ | 44,487 | $ | 705 | $ | 392,635 | ||||||||||||||||||
Ending Balances: | ||||||||||||||||||||||||||||||||||||
Evaluated for Impairment: | ||||||||||||||||||||||||||||||||||||
Individually | 2,550 | 1,749 | - | - | - | - | 2,760 | - | 7,059 | |||||||||||||||||||||||||||
Collectively | $ | 117,464 | $ | 125,840 | $ | 30,411 | $ | 22,127 | $ | 27,884 | $ | 19,418 | $ | 41,727 | $ | 705 | $ | 385,576 |
March 31, 2023 | Unpaid Principal Balance | Recorded Investment With No Allowance | Recorded Investment With Allowance | Total Recorded Investment | Related Allowance | Average Recorded Investment | ||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Real Estate Loans: | ||||||||||||||||||||||||
One-to-Four Family Residential | $ | 2,715 | $ | 194 | $ | 2,521 | $ | 2,715 | $ | 231 | $ | 3,228 | ||||||||||||
Commercial | 1,646 | - | 1,646 | 1,646 | 101 | 1,695 | ||||||||||||||||||
Multi-Family Residential | - | - | - | - | - | - | ||||||||||||||||||
Land | - | - | - | - | - | - | ||||||||||||||||||
Construction | - | - | - | - | - | - | ||||||||||||||||||
Equity and Second Mortgage | - | - | - | - | - | - | ||||||||||||||||||
Equity Lines of Credit | - | - | - | - | - | - | ||||||||||||||||||
Commercial Loans | 2,309 | - | 2,309 | 2,309 | 31 | 2,447 | ||||||||||||||||||
Consumer Loans | - | - | - | - | - | - | ||||||||||||||||||
Total | $ | 6,670 | $ | 194 | $ | 6,476 | $ | 6,670 | $ | 363 | $ | 6,349 |
June 30, 2022 | Unpaid Principal Balance | Recorded Investment With No Allowance | Recorded Investment With Allowance | Total Recorded Investment | Related Allowance | Average Recorded Investment | ||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Real Estate Loans: | ||||||||||||||||||||||||
One-to-Four Family Residential | $ | 2,550 | $ | 163 | $ | 2,387 | $ | 2,550 | $ | 106 | $ | 3,032 | ||||||||||||
Commercial | 1,749 | - | 1,749 | 1,749 | 129 | 1,811 | ||||||||||||||||||
Multi-Family Residential | - | - | - | - | - | - | ||||||||||||||||||
Land | - | - | - | - | - | - | ||||||||||||||||||
Construction | - | - | - | - | - | - | ||||||||||||||||||
Equity and Second Mortgage | - | - | - | - | - | - | ||||||||||||||||||
Equity Lines of Credit | - | - | - | - | - | - | ||||||||||||||||||
Commercial Loans | 2,760 | 212 | 2,548 | 2,760 | 38 | 2,880 | ||||||||||||||||||
Consumer Loans | - | - | - | - | - | - | ||||||||||||||||||
Total | $ | 7,059 | $ | 375 | $ | 6,684 | $ | 7,059 | $ | 273 | $ | 7,723 |
March 31, 2023 | ||||||||||||||||
Current | Past Due Greater Than 30 Days | Nonaccrual TDRs | Total TDRs | |||||||||||||
One-to-Four Family | $ | - | $ | 1,760 | $ | 1,760 | $ | 1,760 |
June 30, 2022 | ||||||||||||||||
Current | Past Due Greater Than 30 Days | Nonaccrual TDRs | Total TDRs | |||||||||||||
One-to-Four Family | $ | - | $ | 1,818 | $ | 1,818 | $ | 1,818 | ||||||||
Commercial Loans | 212 | - | 212 | 212 |
March 31, 2023 | June 30, 2022 | |||||||
(In Thousands) | ||||||||
Non-Interest Bearing | $ | 163,598 | $ | 161,142 | ||||
NOW Accounts | 66,296 | 58,957 | ||||||
Money Markets | 130,337 | 98,627 | ||||||
Passbook Savings | 92,557 | 132,981 | ||||||
452,788 | 451,707 | |||||||
Certificates of Deposit | 161,586 | 80,284 | ||||||
Total Deposits | $ | 614,374 | $ | 531,991 |
Three Months Ended March 31, | Nine Months Ended March 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
(In Thousands, Except Per Share Data) | ||||||||||||||||
Net income | $ | 1,062 | $ | 1,277 | $ | 4,446 | $ | 3,805 | ||||||||
Weighted average shares outstanding – basic | 3,006 | 3,274 | 3,022 | 3,235 | ||||||||||||
Effect of dilutive common stock equivalents | 126 | 191 | 142 | 227 | ||||||||||||
Adjusted weighted average shares outstanding – diluted | 3,132 | 3,465 | 3,164 | 3,462 | ||||||||||||
Basic earnings per share | $ | 0.35 | $ | 0.39 | $ | 1.48 | $ | 1.18 | ||||||||
Diluted earnings per share | $ | 0.34 | $ | 0.37 | $ | 1.41 | $ | 1.10 |
Three Months Ended March 31, | Nine Months Ended March 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
(In Thousands) | ||||||||||||||||
Average common shares issued | 6,124 | 6,124 | 6,124 | 6,124 | ||||||||||||
Average unearned ESOP shares | (113 | ) | (139 | ) | (119 | ) | (142 | ) | ||||||||
Average Company stock purchased | (3,005 | ) | (2,711 | ) | (2,983 | ) | (2,747 | ) | ||||||||
Weighted average shares outstanding | 3,006 | 3,274 | 3,022 | 3,235 |
March 31, 2023 | June 30, 2022 | |||||||||||||||
Carrying | Estimated | Carrying | Estimated | |||||||||||||
Value | Fair Value | Value | Fair Value | |||||||||||||
(In Thousands) | ||||||||||||||||
Financial Assets | ||||||||||||||||
Cash and Cash Equivalents | $ | 45,568 | $ | 45,568 | $ | 64,078 | $ | 64,078 | ||||||||
Securities Available-for-Sale | 44,756 | 44,756 | 28,099 | 28,099 | ||||||||||||
Securities to be Held-to-Maturity | 75,812 | 64,012 | 79,950 | 69,513 | ||||||||||||
Loans Held-for-Sale | 1,160 | 1,160 | 3,978 | 3,978 | ||||||||||||
Loans Receivable | 486,394 | 437,755 | 387,873 | 369,728 | ||||||||||||
Financial Liabilities | ||||||||||||||||
Deposits | $ | 614,374 | $ | 487,009 | $ | 531,991 | $ | 490,789 | ||||||||
Advances from FHLB | 10,000 | 10,000 | 832 | 844 | ||||||||||||
Off-Balance Sheet Items | ||||||||||||||||
Mortgage Loan Commitments | $ | 13,277 | $ | 13,277 | $ | 11,365 | $ | 11,365 |
• | Level 2 – Fair value is based upon (a) quoted prices for similar assets or liabilities in active markets; (b) quoted prices for identical or similar assets or liabilities in markets that are not active, that is, markets in which there are few transactions for the asset or liability, the prices are not current, or price quotations vary substantially either over time or among market makers, or in which little information is released publicly; (c) inputs other than quoted prices that are observable for the asset or liability; or (d) inputs that are derived principally from or corroborated by observable market data by correlation or other means. |
• | Level 3 – Fair value is based uponinputs that are unobservable for the asset or liability. These inputs reflect the Company’s own assumptions about the assumptions that market participants would use in pricing the asset or liability (including assumptions about risk). These inputs are developed based on the best information available in the circumstances, which include the Company’s own data. The Company’s own data used to develop unobservable inputs are adjusted if information indicates that market participants would use different assumptions. |
Fair Value Measurements | ||||||||||||||||
March 31, 2023 | (Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||
(In Thousands) | ||||||||||||||||
Available-for-Sale | ||||||||||||||||
Debt Securities | ||||||||||||||||
FHLMC | $ | - | $ | 11,797 | $ | - | $ | 11,797 | ||||||||
FNMA | - | 14,591 | - | 14,591 | ||||||||||||
GNMA | - | 4,017 | - | 4,017 | ||||||||||||
- | 30,405 | - | 30,405 | |||||||||||||
US Treasury Securities | - | 13,266 | - | 13,266 | ||||||||||||
Municipals | - | 1,085 | - | 1,085 | ||||||||||||
Total | $ | - | $ | 44,756 | $ | - | $ | 44,756 |
Fair Value Measurements | ||||||||||||||||
June 30, 2022 | (Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||
(In Thousands) | ||||||||||||||||
Available-for-Sale | ||||||||||||||||
Debt Securities | ||||||||||||||||
FHLMC | $ | - | $ | 7,032 | $ | - | $ | 7,032 | ||||||||
FNMA | - | 16,686 | - | 16,686 | ||||||||||||
GNMA | - | 4,381 | - | 4,381 | ||||||||||||
Total | $ | - | $ | 28,099 | $ | - | $ | 28,099 |
(In Thousands) | March 31, 2023 | June 30, 2022 | |||||||
Lease Right-of-Use Assets | Classification | ||||||||
Operating lease right-of-use assets | Other Assets | $ | 833 | $ | 844 | ||||
Total Lease Right-of-Use Assets | $ | 833 | $ | 844 | |||||
Lease Liabilities | |||||||||
Operating lease liabilities | Other Accrued Expenses and Liabilities | $ | 867 | $ | 871 | ||||
Total Lease Liabilities | $ | 867 | $ | 871 |
March 31, 2023 | June 30, 2022 | |||||||
Weighted-average remaining lease term | ||||||||
Operating leases | 35.7 years | 36.4 years | ||||||
Weighted-average discount rate | ||||||||
Operating leases | 3.00 | % | 3.00 | % |
(dollars in thousands) | As Acquired | Fair Value Adjustment | As recorded by Home Federal Bancorp | |||||||||
Assets | ||||||||||||
Cash and cash equivalents | $ | 13,255 | $ | - | $ | 13,255 | ||||||
Investment securities | 14,862 | - | 14,862 | |||||||||
Loans | 54,949 | (829 | )(a) | 54,120 | ||||||||
Office properties and equipment, net | 17 | 668 | (b) | 685 | ||||||||
Core deposit intangible | - | 1,510 | (c) | 1,510 | ||||||||
Other assets | 310 | (343 | ) | (33 | ) | |||||||
Total assets acquired | $ | 83,393 | $ | 1,006 | $ | 84,399 | ||||||
Liabilities | ||||||||||||
Noninterest-bearing deposits | $ | 18,121 | - | $ | 18,121 | |||||||
Interest-bearing deposits | 57,540 | (197 | )(d) | 57,343 | ||||||||
Other liabilities | 1,681 | - | 1,681 | |||||||||
Total liabilities assumed | $ | 77,342 | $ | (197 | ) | $ | 77,145 | |||||
Excess of assets acquired over liabilities assumed | 7,254 | |||||||||||
Cash consideration paid | (10,244 | ) | ||||||||||
Total goodwill recorded | $ | 2,990 |
(a) | The adjustment to reflect the fair value of loans includes: |
(b) | The adjustment represents the appraisal of the FNBB office property to its estimated fair value at the acquisition date. |
(c) | The adjustment represents the value of the core deposit base assumed in the acquisition. The core deposit asset was recorded as an identifiable intangible asset and will be amortized on an accelerated basis over the estimated life of the deposit base of 10 years. |
(d) | The adjustment represents the fair value of certificates of deposit acquired based on current interest rates for similar instruments. The adjustment will be recognized using a level yield amortization method based on maturities of the deposit liabilities. |
ITEM 2. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS |
Three Months Ended March 31, | ||||||||||||||||||||||||
2023 | 2022 | |||||||||||||||||||||||
Average Balance | Interest | Average Yield/ Rate | Average Balance | Interest | Average Yield/ Rate | |||||||||||||||||||
(Dollars In Thousands) | ||||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||||
Loans receivable | $ | 476,721 | $ | 6,151 | 5.23 | % | $ | 365,277 | $ | 4,277 | 4.75 | % | ||||||||||||
Investment securities | 120,852 | 592 | 1.99 | 102,549 | 380 | 1.50 | ||||||||||||||||||
Interest-earning deposits | 25,867 | 270 | 4.22 | 61,733 | 35 | 0.23 | ||||||||||||||||||
Total interest-earning assets | 623,440 | 7,013 | 4.56 | $ | 529,559 | 4,692 | 3.59 | % | ||||||||||||||||
Non-interest-earning assets | 43,545 | 41,840 | ||||||||||||||||||||||
Total assets | $ | 666,985 | $ | 571,399 | ||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||||
Savings accounts | $ | 99.252 | 75 | 0.31 | % | $ | 138,742 | 96 | 0.28 | % | ||||||||||||||
NOW accounts | 70,064 | 44 | 0.26 | 53,980 | 14 | 0.11 | ||||||||||||||||||
Money market accounts | 121,256 | 380 | 1.27 | 94,986 | 28 | 0.12 | ||||||||||||||||||
Certificate accounts | 141,358 | 843 | 2.42 | 80,850 | 256 | 1.29 | ||||||||||||||||||
Total interest-bearing deposits | 431,930 | 1,342 | 1.26 | 368,558 | 394 | 0.43 | ||||||||||||||||||
Other Borrowings | 7,513 | 146 | 7.88 | 2,400 | 20 | 3.35 | ||||||||||||||||||
FHLB advances | 4,313 | 52 | 4.89 | 844 | 10 | 4.90 | ||||||||||||||||||
Total interest-bearing liabilities | $ | 443,756 | 1,540 | 1.41 | % | $ | 371,802 | 424 | 0.46 | % | ||||||||||||||
Non-interest-bearing liabilities: | ||||||||||||||||||||||||
Non-interest-bearing demand accounts | 167,516 | 144,523 | ||||||||||||||||||||||
Other liabilities | 3,031 | 2,659 | ||||||||||||||||||||||
Total liabilities | 614,303 | 518,984 | ||||||||||||||||||||||
Total Stockholders’ Equity(1) | 52,682 | 52,415 | ||||||||||||||||||||||
Total liabilities and equity | $ | 666,985 | $ | 571,399 | ||||||||||||||||||||
Net interest-earning assets | $ | 179,684 | $ | 157,757 | ||||||||||||||||||||
Net interest income; average interest rate spread(2) | $ | 5,473 | 3.15 | % | $ | 4,268 | 3.13 | % | ||||||||||||||||
Net interest margin(3) | 3.56 | % | 3.27 | % | ||||||||||||||||||||
Average interest-earning assets to average interest-bearing liabilities | 140.49 | % | 142.43 | % |
(1) | Includes retained earnings and accumulated other comprehensive loss. |
(2) | Interest rate spread represents the difference between the weighted-average yield on interest-earning assets and the weighted-average rate on interest-bearing liabilities. |
(3) | Net interest margin is net interest income divided by net average interest-earning assets. |
Nine Months Ended March 31, | ||||||||||||||||||||||||
2023 | 2022 | |||||||||||||||||||||||
Average Balance | Interest | Average Yield/ Rate | Average Balance | Interest | Average Yield/ Rate | |||||||||||||||||||
(Dollars In Thousands) | ||||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||||
Loans receivable | $ | 423,451 | $ | 16,586 | 5.22 | % | $ | 355,732 | $ | 12,985 | 4.86 | % | ||||||||||||
Investment securities | 111,448 | 1,577 | 1.88 | 95,141 | 1,066 | 1.49 | ||||||||||||||||||
Interest-earning deposits | 23,950 | 719 | 4.00 | 78,223 | 101 | 0.17 | ||||||||||||||||||
Total interest-earning assets | $ | 558,849 | 18,882 | 4.50 | % | $ | 529,096 | 14,152 | 3.56 | % | ||||||||||||||
Non-interest-earning assets | 40,952 | 39,229 | ||||||||||||||||||||||
Total assets | $ | 599,801 | $ | 568,325 | ||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||||
Savings accounts | $ | 111,948 | 239 | 0.28 | % | $ | 136,102 | 304 | 0.30 | % | ||||||||||||||
NOW accounts | 61,509 | 103 | 0.22 | 49,972 | 41 | 0.11 | ||||||||||||||||||
Money market accounts | 100,919 | 509 | 0.67 | 89,624 | 79 | 0.12 | ||||||||||||||||||
Certificate accounts | 108,211 | 1,536 | 1.89 | 91,642 | 973 | 1.41 | ||||||||||||||||||
Total interest-bearing deposits | 382,587 | 2,387 | 0.83 | 367,340 | 1,397 | 0.51 | ||||||||||||||||||
Other bank borrowings | 6,274 | 321 | 6.82 | 1,892 | 46 | 3.24 | ||||||||||||||||||
FHLB advances | 1.969 | 72 | 4.87 | 853 | 31 | 4.84 | ||||||||||||||||||
Total interest-bearing liabilities | $ | 390,830 | 2,780 | 0.95 | % | $ | 370,085 | 1,474 | 0.53 | % | ||||||||||||||
Non-interest-bearing liabilities: | ||||||||||||||||||||||||
Non-interest bearing demand accounts | 157,356 | 142,661 | ||||||||||||||||||||||
Other liabilities | 3,245 | 2,852 | ||||||||||||||||||||||
Total liabilities | 551,431 | 515,598 | ||||||||||||||||||||||
Total Stockholders’ Equity(1) | 48,370 | 52,727 | ||||||||||||||||||||||
Total liabilities and equity | $ | 599,801 | $ | 568,325 | ||||||||||||||||||||
Net interest-earning assets | $ | 168,019 | $ | 159,011 | ||||||||||||||||||||
Net interest income; average interest rate spread(2) | $ | 16.102 | 3.55 | % | $ | 12,678 | 3.03 | % | ||||||||||||||||
Net interest margin(3) | 3.84 | % | 3.19 | % | ||||||||||||||||||||
Average interest-earning assets to average interest-bearing liabilities | 142.99 | % | 142.97 | % |
(1) | Includes retained earnings and accumulated other comprehensive loss. |
(2) | Interest rate spread represents the difference between the weighted-average yield on interest-earning assets and the weighted-average rate on interest-bearing liabilities. |
(3) | Net interest margin is net interest income divided by net average interest-earning assets. |
ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
ITEM 4. | CONTROLS AND PROCEDURES |
ITEM 1. | LEGAL PROCEEDINGS |
ITEM 1A. | RISK FACTORS |
ITEM 2. | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS |
(a) | Not applicable. |
(b) | Not applicable. |
(c) | Purchases of Equity Securities |
Period | Total Number of Shares Purchased | Average Price Paid per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs | ||||||||||||
January 1, 2023 – January 31, 2023 | -- | $ | -- | -- | -- | |||||||||||
February 1, 2023 – February 28, 2023 | -- | -- | -- | -- | ||||||||||||
March 1, 2023 – March 31, 2023 | -- | -- | -- | -- | ||||||||||||
Total | $ | -- | -- |
ITEM 3. | DEFAULTS UPON SENIOR SECURITIES |
ITEM 4. | MINE SAFETY DISCLOSURES |
ITEM 5. | OTHER INFORMATION |
ITEM 6. | EXHIBITS |
No. | Description | |
Rule 13a-14(a)/15d-14(a) Certification of Chief Executive Officer | ||
Rule 13a-14(a)/15d-14(a) Certification of Chief Financial Officer | ||
Certification Pursuant to 18 U.S.C Section 1350 | ||
101.INS | Inline XBRL Instance Document | |
101.SCH | Inline XBRL Taxonomy Extension Schema Document | |
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | |
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document | |
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document | |
101.DEF | Inline XBRL Taxonomy Extension Definitions Linkbase Document | |
104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) |
HOME FEDERAL BANCORP, INC. OF LOUISIANA | ||
Date: May 19, 2023 | By: | /s/ Glen W. Brown |
Glen W. Brown | ||
Senior Vice President and Chief Financial Officer | ||
(Duly authorized officer and principal financial and | ||
accounting officer) |