Revenue

Q1 2024: +22–23% vs prior period; Q1 2025: +$13.1 million vs Q1 2024 " " " "

In Q1 2024, revenue growth was driven by the nonrecurrence of prior $5.7M–$13.2M investment securities losses and a substantial increase in noninterest income, while modest gains in net interest income added to the improvement. In Q1 2025, revenue increased further primarily due to a significant boost in net interest income along with minor gains in noninterest income. " " " " "

Net Interest Income

Q1 2024: –$5.3 million vs Q1 2023, but +$2.2 million vs Q4 2023; Q1 2025: +$12.7 million vs Q1 2024 " " " "

The decline in Q1 2024 was attributable to higher funding costs offsetting gains from increased loan interest income, while in Q1 2025, better asset yields and lower funding volumes and costs led to a marked improvement in net interest income despite some reductions in asset volumes. " " " "

Noninterest Income

Q1 2024: +$13.8 million vs Q1 2023 and +$5.9 million vs Q4 2023; Q1 2025: +$0.4 million vs Q1 2024 " " " " " "

In Q1 2024, noninterest income rebounded strongly due to the absence of historic investment securities losses and growth in investment services and trust activities; in Q1 2025, a modest increase was driven by a rise in bank-owned life insurance revenue and improved loan revenue, despite a slight quarterly decline from adjustments in mortgage servicing rights. " " " " " "

Credit Loss Expense

Q1 2024: Increased from $0.9 million in Q1 2023 to $4.7 million; Q1 2025: –$3.0 million vs Q1 2024 " " " " "

Credit loss expense spiked in Q1 2024 due to additional reserves from the DNVB acquisition and organic loan growth, while in Q1 2025, a significant reduction reflects lower reserve requirements and improved net charge-off activity. " " " " "

Net Income

Q1 2024: Increased from $1.4 million in Q1 2023 to $3.3 million; Q1 2025: Increased by $11.8 million (358%) vs Q1 2024 " " " " "

Net income improved in Q1 2024 as a result of a recovery in noninterest income and higher loan interest income despite increased expenses, and in Q1 2025, it surged further due to enhanced net interest income, reduced credit losses, and effective expense management. " " " " "

Tax Equivalent NIM

Q1 2025: Improved from 2.33% in Q1 2024 to 3.44% " " "

The improvement in NIM is driven by higher yields on earning assets and reduced costs on interest-bearing liabilities, reflecting more efficient asset and liability management in the current period. " " "

Balance Sheet

Q1 2024: Total assets increased from $6.43B to $6.75B; Deposits up by $189.6M; Cash increased by $16.0M; Loans increased significantly; Q1 2025: Cash up by $46.01M, slight deposit increase, loans down by $12.9M " " " " "

For Q1 2024, the balance sheet expansion was primarily driven by the DNVB acquisition and organic loan growth, which boosted total assets, deposits, and cash balances. In Q1 2025, changes were more modest—with a healthy increase in cash balances, a slight rise in deposits, and minor adjustments in loan portfolios and borrowings reflecting reclassification activity and improved credit dynamics. " " " " "