WAUSAU, Wis., Oct. 28, 2024 (GLOBE NEWSWIRE) — PSB Holdings, Inc. (“PSB”) (OTCQX: PSBQ), the holding company for Peoples State Bank (“Peoples”) serving Northcentral and Southeastern Wisconsin reported third quarter earnings ending September 30, 2024 of $0.69 per common share on net income of $2.9 million, compared to $0.56 per common share on net income of $2.3 million during the second quarter ending June 30, 2024, and $0.29 per common share on net income of $1.2 million during the third quarter ending September 30, 2023.
PSB’s third quarter 2024 operating results reflected the following changes from the second quarter of 2024: (1) higher net interest margin increased 6 basis points; (2) slightly lower non-interest income; (3) lower non-interest expense due to the second quarter reflecting elevated severance expenses; and (4) the return of a $2.5 million non-performing loan to performing status and a corresponding release in specific reserves.
“Over the past year, we have increased shareholders’ tangible book value per share 18.7% and paid $0.62 in dividends to our shareholders, up 12.7% from the 12 month period ended September 30, 2023. With the rapid rise in short term interest rates over the past couple of years coming to an apparent end, we expect our net interest margin to be stable and operating expenses to continue to be well managed and efficient. Additionally, as funds become available from investment and loan repayments and maturities, we expect the funds to be reinvested into higher yielding assets which should lessen the volatility in fair market value adjustments reflected in our tangible book value,” stated Scott Cattanach, President and CEO.
September 30, 2024, Highlights:
- Net interest income increased to $9.9 million for the quarter ended September 30, 2024, from $9.4 million for the quarter ended June 30, 2024, as increases in asset and loan yields outpaced the increases in funding costs.
- Noninterest income decreased slightly to $1.8 million for the quarter ended September 30, 2024, compared to $1.9 million the prior quarter.
- Noninterest expenses decreased during the quarter ended September 30, 2024, reflecting lower salary and benefit expenses. Included in salary and benefit expenses for the prior quarter were non-recurring expenses totaling approximately $404,000.
- Tangible book value per common share increased $1.86 per share to $26.41 at September 30, 2024, compared to $24.55 one quarter earlier, and increased $4.16 per share, or 18.7%, compared to $22.25 at September 30, 2023. Additionally, PSB paid dividends totaling $0.62 per share over the past year. During the third quarter ended September 30, 2024, tangible book value per share was positively influenced by higher net income, intangible asset amortization, an increase in fair market value of investment securities and consistent stock repurchase activity.
- Loans decreased $16.9 million in the third quarter ended September 30, 2024, to $1.06 billion largely due to not replacing certain out of market maturing loans. Allowance for credit losses increased to 1.18% of gross loans.
- Non-performing assets declined to 0.71% of total assets at September 30, 2024 from 0.84% at June 30, 2024 as a $2.5 million loan returned to performing status.
- Total deposits decreased $13.2 million during the quarter ended September 30, 2024 to $1.14 billion, with a large portion of the decrease attributable to a large overnight deposit held at June 30, 2024 which was withdrawn in early July.
- Return on average tangible common equity was 10.96% for the quarter ended September 30, 2024, compared to 9.34% the prior quarter and 5.17% in the year ago quarter.
Balance Sheet and Asset Quality Review
Total assets decreased $9.7 million to $1.48 billion at September 30, 2024. Investment securities available for sale increased $9.7 million to $174.9 million at September 30, 2024, from $165.2 million one quarter earlier. Total collateralized liquidity available to meet cash demands was approximately $321 million at September 30, 2024, with an additional $343 million that could be raised in a short time frame from the brokered CDs market.
Total loans receivable decreased $16.9 million to $1.06 billion at September 30, 2024, due primarily to lower commercial and construction lending. Commercial non-real estate loans decreased $9.1 million to $139.0 million at September 30, 2024, from $148.2 million one quarter earlier. Gross construction lending decreased $9.6 million to $61.0 million at September 30, 2024, from $70.5 million at June 30, 2024, while loans in process declined $3.6 million during the quarter ended September 30, 2024. Commercial real estate loans decreased $2.6 million to $541.6 million at September 30, 2024, from $544.2 million the prior quarter. Meanwhile, residential real estate loans increased slightly from the prior quarter to $341.3 million from $340.9 million. The loan portfolio remains well diversified with commercial real estate and construction loans totaling 55.4% of gross loans followed by residential real estate loans at 31.4% of gross loans, commercial non-real estate loans at 12.8% and consumer loans at 0.4%.
The allowance for credit losses increased slightly to 1.18% of gross loans at September 30, 2024, from 1.16% the prior quarter. Annualized net charge-offs to average loans were zero for the last five quarters. Non-performing assets totaled 0.71% of total assets at September 30, 2024, compared to 0.84% at June 30, 2024. During the quarter ended September 30, 2024, a loan totaling $2.5 million was returned to performing status, while a loan on a recreation facility totaling $3.3 million was added to nonaccrual status. Additionally, one loan relationship to an equipment dealership on nonaccrual status totaling $5.1 million at June 30, 2024 was paid down to $2.8 million at September 30, 2024 on sale of the equipment inventory. For the seventh consecutive quarter, the Bank did not own any foreclosed real estate.
Total deposits decreased $13.2 million to $1.14 billion at September 30, 2024, from $1.15 billion at June 30, 2024. The decrease in deposits reflects a $13.1 million decrease in interest-bearing demand and savings deposits, a $19.7 million decrease in money market deposits partially offset by a $14.6 million increase in non-interest bearing deposits and a $5.4 million increase in retail and local time deposits. The decrease in money market deposits reflected a large deposit of $49 million on June 30, 2024 that was drawn down in early July 2024.
At September 30, 2024, non-interest bearing demand deposits increased to 23.3% of total deposits from 21.6% the prior quarter, while interest-bearing demand and savings deposits decreased to 28.4% of deposits, compared to 29.3% at June 30, 2024. Uninsured and uncollateralized deposits decreased to 21.6% of total deposits at September 30, 2024, from 24.0% of total deposits at June 30, 2024.
FHLB advances decreased to $181.3 million at September 30, 2024, compared to $184.9 million at June 30, 2024.
Tangible stockholder equity as a percent of total tangible assets increased to 7.85% at September 30, 2024, compared to 7.32% at June 30, 2024, and 6.98% at September 30, 2023.
Tangible net book value per common share increased $4.16, to $26.41, at September 30, 2024, compared to $22.25 one year earlier, an increase of 18.7% after dividends of $0.62 were paid to shareholders. Relative to the prior quarter, tangible net book value per common share increased due to continued earnings, a fair market value increase in the investment portfolio which reduced unrealized losses reflected in accumulated other comprehensive income and amortization of intangible assets. The accumulated other comprehensive loss on the investment portfolio was $15.8 million at September 30, 2024, compared to $20.5 million one quarter earlier.
Operations Review
Net interest income increased to $9.9 million (on a net margin of 2.90%) for the third quarter of 2024, from $9.4 million (on a net margin of 2.84%) for the second quarter of 2024, and $9.6 million (on a net margin of 2.88%) for the third quarter of 2023. Earning asset yields increased by 8 basis points to 5.29% during the third quarter of 2024 from 5.21% during the second quarter of 2024, while interest bearing deposit and borrowing costs increased 7 basis points to 3.13% compared to 3.06% during the second quarter of 2024.
The increase in earning asset yields was primarily due to higher yields on loan originations and renewals. Loan yields increased during the third quarter of 2024 to 5.78% from 5.67% for the second quarter of 2024, up 11 basis points. Taxable security yields were 3.01% for the quarter ended September 30, 2024, compared to 3.02% for the quarter ended June 30, 2024, while tax-exempt security yields were 3.31% for the quarter ended September 30, 2024 compared to 3.33% the prior quarter.
The cost of all deposits was 2.11% for the quarter ended September 30, 2024, compared to 2.11% the prior quarter, while the overall cost of funds increased 7 basis points from 3.06% to 3.13% during the same time period. Deposit costs for money market deposits decreased during the quarter ended September 30, 2024, to 2.69% from 2.72% the prior quarter. The cost of time deposits and FHLB advances continued to increase and were primarily responsible for the rise in the Bank’s cost of funds in the current quarter. The cost of time deposits increased to 4.04% for the third quarter ended September 30, 2024, from 3.97% the prior quarter. FHLB advance costs rose to 4.44% during the third quarter ended September 30, 2024, from 4.28% the prior quarter.
Total noninterest income decreased slightly for the third quarter of 2024 to $1.84 million, from $1.91 million for the second quarter of 2024. Mortgage banking income remained at $433,000 in the September 30, 2024 quarter while various decreases in nominal revenue sources accounted for the slight decline in non-interest income during the third quarter ended September 30, 2024. At September 30, 2024, the Bank serviced $371 million in secondary market residential mortgage loans for others which provide fee income.
Noninterest expenses decreased to $8.2 million for the third quarter of 2024, compared to $8.4 million for the second quarter of 2024. The second quarter ended June 30, 2024, reflected higher salary and benefit expenses related to non-recurring costs. Relative to one year earlier, salary and benefit cost increased 5.7% to $4.8 million for the quarter ended September 30, 2024, compared to $4.5 million for the third quarter ended September 30, 2023.
Taxes increased $183,000 during the third quarter to $593,000, from $410,000 one quarter earlier. The increase generally reflects higher pre-tax income. The effective tax rate for the quarter ended September 30, 2024, was 16.6% compared to 14.4% for the second quarter ended June 30, 2024, and 63.8% for the third quarter ended September 30, 2023, when higher tax expenses were incurred to recognize the loss of certain deferred tax assets following a change in Wisconsin tax law that eliminated state taxes on certain qualified assets.
About PSB Holdings, Inc.
PSB Holdings, Inc. is the parent company of Peoples State Bank. Peoples is a community bank headquartered in Wausau, Wisconsin, serving northcentral and southeastern Wisconsin from twelve full-service banking locations in Marathon, Oneida, Vilas, Portage, Milwaukee and Waukesha counties and a loan production office in Dane County. Peoples also provides investment and insurance products, along with retirement planning services, through Peoples Wealth Management, a division of Peoples. PSB Holdings, Inc. is traded under the stock symbol PSBQ on the OTCQX Market. More information about PSB, its management, and its financial performance may be found at www.psbholdingsinc.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on current expectations, estimates and projections about PSB’s business based, in part, on assumptions made by management and include, without limitation, statements with respect to the potential growth of PSB, its future profits, expected stock repurchase levels, future dividend rates, future interest rates, and the adequacy of its capital position. Forward-looking statements can be affected by known and unknown risks, uncertainties, and other factors, including, but not limited to, strength of the economy, the effects of government policies, including interest rate policies, risks associated with the execution of PSB’s vision and growth strategy, including with respect to current and future M&A activity, and risks associated with global economic instability. The forward-looking statements in this press release speak only as of the date on which they are made and PSB does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release.
| PSB Holdings, Inc. | |||||||||||||||
| Consolidated Balance Sheets | |||||||||||||||
| September 30, June 30, and March 31, 2024, September 30, 2023, unaudited, December 31, 2023 derived from audited financial statements | |||||||||||||||
| Sep. 30, | Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | |||||||||||
| (dollars in thousands, except per share data) | 2024 | 2024 | 2024 | 2023 | 2023 | ||||||||||
| Assets | |||||||||||||||
| Cash and due from banks | $ | 23,554 | $ | 16,475 | $ | 13,340 | $ | 20,887 | $ | 12,881 | |||||
| Interest-bearing deposits | 5,126 | 251 | 105 | 1,431 | 668 | ||||||||||
| Federal funds sold | 58,434 | 69,249 | 2,439 | 5,462 | 7,764 | ||||||||||
| Cash and cash equivalents | 87,114 | 85,975 | 15,884 | 27,780 | 21,313 | ||||||||||
| Securities available for sale (at fair value) | 174,911 | 165,177 | 165,566 | 164,024 | 160,883 | ||||||||||
| Securities held to maturity (fair values of $82,389, $79,993, $81,234, $82,514 and | |||||||||||||||
| $75,236 respectively) | 86,847 | 86,825 | 87,104 | 87,081 | 86,908 | ||||||||||
| Equity securities | 1,752 | 1,661 | 1,474 | 1,474 | 2,273 | ||||||||||
| Loans held for sale | – | 2,268 | 865 | 230 | 971 | ||||||||||
| Loans receivable, net (allowance for credit losses of $12,598, $12,597, $12,494, | |||||||||||||||
| $12,302 and $12,267 respectively) | 1,057,974 | 1,074,844 | 1,081,394 | 1,078,475 | 1,098,019 | ||||||||||
| Accrued interest receivable | 4,837 | 5,046 | 5,467 | 5,136 | 4,716 | ||||||||||
| Foreclosed assets | – | – | – | – | – | ||||||||||
| Premises and equipment, net | 14,065 | 14,048 | 13,427 | 13,098 | 13,242 | ||||||||||
| Mortgage servicing rights, net | 1,727 | 1,688 | 1,657 | 1,664 | 1,684 | ||||||||||
| Federal Home Loan Bank stock (at cost) | 8,825 | 8,825 | 7,006 | 6,373 | 6,373 | ||||||||||
| Cash surrender value of bank-owned life insurance | 24,565 | 24,401 | 24,242 | 24,085 | 23,931 | ||||||||||
| Core deposit intangible | 212 | 229 | 249 | 273 | 297 | ||||||||||
| Goodwill | 2,541 | 2,541 | 2,541 | 2,541 | 2,541 | ||||||||||
| Other assets | 10,598 | 12,111 | 11,682 | 11,866 | 14,094 | ||||||||||
| TOTAL ASSETS | $ | 1,475,968 | $ | 1,485,639 | $ | 1,418,558 | $ | 1,424,100 | $ | 1,437,245 | |||||
| Liabilities | |||||||||||||||
| Non-interest-bearing deposits | $ | 265,078 | $ | 250,435 | $ | 247,608 | $ | 266,829 | $ | 288,765 | |||||
| Interest-bearing deposits | 874,035 | 901,886 | 865,744 | 874,973 | 883,474 | ||||||||||
| Total deposits | 1,139,113 | 1,152,321 | 1,113,352 | 1,141,802 | 1,172,239 | ||||||||||
| Federal Home Loan Bank advances | 181,250 | 184,900 | 158,250 | 134,000 | 128,000 | ||||||||||
| Other borrowings | 6,128 | 5,775 | 8,096 | 8,058 | 5,660 | ||||||||||
| Senior subordinated notes | 4,779 | 4,778 | 4,776 | 4,774 | 4,772 | ||||||||||
| Junior subordinated debentures | 12,998 | 12,972 | 12,947 | 12,921 | 12,896 | ||||||||||
| Allowance for credit losses on unfunded commitments | 477 | 477 | 477 | 577 | 512 | ||||||||||
| Accrued expenses and other liabilities | 12,850 | 13,069 | 10,247 | 12,681 | 10,258 | ||||||||||
| Total liabilities | 1,357,595 | 1,374,292 | 1,308,145 | 1,314,813 | 1,334,337 | ||||||||||
| Stockholders’ equity | |||||||||||||||
| Preferred stock – no par value: | |||||||||||||||
| Authorized – 30,000 shares; no shares issued or outstanding | |||||||||||||||
| Outstanding – 7,200 shares, respectively | 7,200 | 7,200 | 7,200 | 7,200 | 7,200 | ||||||||||
| Common stock – no par value with a stated value of $1.00 per share: | |||||||||||||||
| Authorized – 18,000,000 shares; Issued – 5,490,798 shares | |||||||||||||||
| Outstanding – 4,105,594, 4,128,382, 4,147,649, 4,164,735 and | |||||||||||||||
| 4,174,197 shares, respectively | 1,830 | 1,830 | 1,830 | 1,830 | 1,830 | ||||||||||
| Additional paid-in capital | 8,567 | 8,527 | 8,466 | 8,460 | 8,421 | ||||||||||
| Retained earnings | 138,142 | 135,276 | 134,271 | 132,666 | 131,624 | ||||||||||
| Accumulated other comprehensive income (loss), net of tax | (15,814 | ) | (20,503 | ) | (20,775 | ) | (20,689 | ) | (26,190 | ) | |||||
| Treasury stock, at cost – 1,385,204, 1,362,416, 1,343,149, 1,326,063 and | |||||||||||||||
| 1,316,601 shares, respectively | (21,552 | ) | (20,983 | ) | (20,579 | ) | (20,180 | ) | (19,977 | ) | |||||
| Total stockholders’ equity | 118,373 | 111,347 | 110,413 | 109,287 | 102,908 | ||||||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 1,475,968 | $ | 1,485,639 | $ | 1,418,558 | $ | 1,424,100 | $ | 1,437,245 | |||||
| PSB Holdings, Inc. | |||||||||||||||||||
| Consolidated Statements of Income | |||||||||||||||||||
| Quarter Ended | Nine Months Ended | ||||||||||||||||||
| (dollars in thousands, | Sep. 30, | Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | September | |||||||||||||
| except per share data – unaudited) | 2024 | 2024 | 2024 | 2023 | 2023 | 2024 | 2023 | ||||||||||||
| Interest and dividend income: | |||||||||||||||||||
| Loans, including fees | $ | 15,634 | $ | 15,433 | $ | 15,109 | $ | 14,888 | $ | 14,263 | $ | 46,176 | $ | 38,745 | |||||
| Securities: | |||||||||||||||||||
| Taxable | 1,345 | 1,295 | 1,197 | 1,147 | 1,114 | 3,837 | 3,772 | ||||||||||||
| Tax-exempt | 522 | 521 | 526 | 532 | 533 | 1,569 | 1,605 | ||||||||||||
| Other interest and dividends | 699 | 265 | 343 | 320 | 238 | 1,307 | 531 | ||||||||||||
| Total interest and dividend income | 18,200 | 17,514 | 17,175 | 16,887 | 16,148 | 52,889 | 44,653 | ||||||||||||
| Interest expense: | |||||||||||||||||||
| Deposits | 5,905 | 5,838 | 6,082 | 5,526 | 4,817 | 17,825 | 11,467 | ||||||||||||
| FHLB advances | 2,038 | 1,860 | 1,450 | 1,349 | 1,321 | 5,348 | 3,068 | ||||||||||||
| Other borrowings | 57 | 58 | 60 | 54 | 51 | 175 | 161 | ||||||||||||
| Senior subordinated notes | 59 | 58 | 59 | 59 | 59 | 176 | 179 | ||||||||||||
| Junior subordinated debentures | 252 | 255 | 251 | 254 | 255 | 758 | 731 | ||||||||||||
| Total interest expense | 8,311 | 8,069 | 7,902 | 7,242 | 6,503 | 24,282 | 15,606 | ||||||||||||
| Net interest income | 9,889 | 9,445 | 9,273 | 9,645 | 9,645 | 28,607 | 29,047 | ||||||||||||
| Provision for credit losses | – | 100 | 95 | 100 | 150 | 195 | 350 | ||||||||||||
| Net interest income after provision for credit losses | 9,889 | 9,345 | 9,178 | 9,545 | 9,495 | 28,412 | 28,697 | ||||||||||||
| Noninterest income: | |||||||||||||||||||
| Service fees | 367 | 350 | 336 | 360 | 349 | 1,053 | 1,088 | ||||||||||||
| Mortgage banking income | 433 | 433 | 308 | 247 | 345 | 1,174 | 981 | ||||||||||||
| Investment and insurance sales commissions | 230 | 222 | 121 | 100 | 158 | 573 | 810 | ||||||||||||
| Net loss on sale of securities | – | – | (495 | ) | (297 | ) | – | (495 | ) | (279 | ) | ||||||||
| Increase in cash surrender value of life insurance | 165 | 159 | 157 | 154 | 155 | 481 | 461 | ||||||||||||
| Life insurance death benefit | – | – | – | – | – | – | 533 | ||||||||||||
| Other noninterest income | 648 | 742 | 617 | 540 | 675 | 2,007 | 2,022 | ||||||||||||
| Total noninterest income | 1,843 | 1,906 | 1,044 | 1,104 | 1,682 | 4,793 | 5,616 | ||||||||||||
| Noninterest expense: | |||||||||||||||||||
| Salaries and employee benefits | 4,771 | 5,167 | 5,123 | 4,244 | 4,514 | 15,061 | 14,404 | ||||||||||||
| Occupancy and facilities | 757 | 733 | 721 | 675 | 689 | 2,211 | 2,086 | ||||||||||||
| Loss (gain) on foreclosed assets | 1 | – | – | 1 | – | 1 | (46 | ) | |||||||||||
| Data processing and other office operations | 1,104 | 1,047 | 1,022 | 1,001 | 953 | 3,173 | 2,784 | ||||||||||||
| Advertising and promotion | 164 | 171 | 129 | 244 | 161 | 464 | 489 | ||||||||||||
| Core deposit intangible amortization | 17 | 20 | 24 | 24 | 24 | 61 | 85 | ||||||||||||
| Other noninterest expenses | 1,337 | 1,257 | 1,306 | 1,169 | 1,113 | 3,900 | 3,388 | ||||||||||||
| Total noninterest expense | 8,151 | 8,395 | 8,325 | 7,358 | 7,454 | 24,871 | 23,190 | ||||||||||||
| Income before provision for income taxes | 3,581 | 2,856 | 1,897 | 3,291 | 3,723 | 8,334 | 11,123 | ||||||||||||
| Provision for income taxes | 593 | 410 | 169 | 878 | 2,374 | 1,172 | 3,967 | ||||||||||||
| Net income | $ | 2,988 | $ | 2,446 | $ | 1,728 | $ | 2,413 | $ | 1,349 | $ | 7,162 | $ | 7,156 | |||||
| Preferred stock dividends declared | $ | 122 | $ | 122 | $ | 122 | $ | 122 | $ | 122 | $ | 366 | $ | 366 | |||||
| Net income available to common shareholders | $ | 2,866 | $ | 2,324 | $ | 1,606 | $ | 2,291 | $ | 1,227 | $ | 6,796 | $ | 6,790 | |||||
| Basic earnings per common share | $ | 0.69 | $ | 0.56 | $ | 0.39 | $ | 0.55 | $ | 0.29 | $ | 1.64 | $ | 1.61 | |||||
| Diluted earnings per common share | $ | 0.69 | $ | 0.56 | $ | 0.39 | $ | 0.55 | $ | 0.29 | $ | 1.64 | $ | 1.61 | |||||
| PSB Holdings, Inc. | ||||||||||||||||
| Quarterly Financial Summary | ||||||||||||||||
| (dollars in thousands, except per share data) | Quarter ended | |||||||||||||||
| Sep. 30, | Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | ||||||||||||
| Earnings and dividends: | 2024 | 2024 | 2024 | 2023 | 2023 | |||||||||||
| Interest income | $ | 18,200 | $ | 17,514 | $ | 17,175 | $ | 16,887 | $ | 16,148 | ||||||
| Interest expense | $ | 8,311 | $ | 8,069 | $ | 7,902 | $ | 7,242 | $ | 6,503 | ||||||
| Net interest income | $ | 9,889 | $ | 9,445 | $ | 9,273 | $ | 9,645 | $ | 9,645 | ||||||
| Provision for credit losses | $ | – | $ | 100 | $ | 95 | $ | 100 | $ | 150 | ||||||
| Other noninterest income | $ | 1,843 | $ | 1,906 | $ | 1,044 | $ | 1,104 | $ | 1,682 | ||||||
| Other noninterest expense | $ | 8,151 | $ | 8,395 | $ | 8,325 | $ | 7,358 | $ | 7,454 | ||||||
| Net income available to common shareholders | $ | 2,866 | $ | 2,324 | $ | 1,606 | $ | 2,291 | $ | 1,227 | ||||||
| Basic earnings per common share (3) | $ | 0.69 | $ | 0.56 | $ | 0.39 | $ | 0.55 | $ | 0.29 | ||||||
| Diluted earnings per common share (3) | $ | 0.69 | $ | 0.56 | $ | 0.39 | $ | 0.55 | $ | 0.29 | ||||||
| Dividends declared per common share (3) | $ | – | $ | 0.32 | $ | – | $ | 0.30 | $ | – | ||||||
| Tangible net book value per common share (4) | $ | 26.41 | $ | 24.55 | $ | 24.21 | $ | 23.84 | $ | 22.25 | ||||||
| Semi-annual dividend payout ratio | n/a | 33.60 | % | n/a | 38.14 | % | n/a | |||||||||
| Average common shares outstanding | 4,132,218 | 4,139,456 | 4,154,702 | 4,168,924 | 4,186,940 | |||||||||||
| Balance sheet – average balances: | ||||||||||||||||
| Loans receivable, net of allowances for credit loss | $ | 1,066,795 | $ | 1,088,013 | $ | 1,081,936 | $ | 1,081,851 | $ | 1,076,158 | ||||||
| Assets | $ | 1,445,613 | $ | 1,433,749 | $ | 1,429,437 | $ | 1,424,240 | $ | 1,425,522 | ||||||
| Deposits | $ | 1,110,854 | $ | 1,111,240 | $ | 1,138,010 | $ | 1,148,399 | $ | 1,149,624 | ||||||
| Stockholders’ equity | $ | 114,458 | $ | 110,726 | $ | 109,473 | $ | 105,060 | $ | 105,745 | ||||||
| Performance ratios: | ||||||||||||||||
| Return on average assets (1) | 0.82 | % | 0.69 | % | 0.49 | % | 0.67 | % | 0.38 | % | ||||||
| Return on average common stockholders’ equity (1) | 10.63 | % | 9.03 | % | 6.32 | % | 9.29 | % | 4.94 | % | ||||||
| Return on average tangible common | ||||||||||||||||
| stockholders’ equity (1)(4) | 10.96 | % | 9.34 | % | 6.57 | % | 9.64 | % | 5.17 | % | ||||||
| Net loan charge-offs to average loans (1) | 0.00 | % | 0.00 | % | 0.00 | % | 0.00 | % | 0.00 | % | ||||||
| Nonperforming loans to gross loans | 0.97 | % | 1.15 | % | 1.08 | % | 0.54 | % | 0.55 | % | ||||||
| Nonperforming assets to total assets | 0.71 | % | 0.84 | % | 0.83 | % | 0.42 | % | 0.42 | % | ||||||
| Allowance for credit losses to gross loans | 1.18 | % | 1.16 | % | 1.14 | % | 1.13 | % | 1.10 | % | ||||||
| Nonperforming assets to tangible equity | ||||||||||||||||
| plus the allowance for credit losses (4) | 8.71 | % | 11.09 | % | 10.59 | % | 5.38 | % | 5.87 | % | ||||||
| Net interest rate margin (1)(2) | 2.90 | % | 2.84 | % | 2.80 | % | 2.88 | % | 2.88 | % | ||||||
| Net interest rate spread (1)(2) | 2.16 | % | 2.15 | % | 2.12 | % | 2.20 | % | 2.27 | % | ||||||
| Service fee revenue as a percent of | ||||||||||||||||
| average demand deposits (1) | 0.56 | % | 0.56 | % | 0.54 | % | 0.52 | % | 0.50 | % | ||||||
| Noninterest income as a percent | ||||||||||||||||
| of gross revenue | 9.20 | % | 9.81 | % | 5.73 | % | 6.14 | % | 9.43 | % | ||||||
| Efficiency ratio (2) | 68.43 | % | 72.52 | % | 78.93 | % | 67.04 | % | 64.58 | % | ||||||
| Noninterest expenses to average assets (1) | 2.24 | % | 2.35 | % | 2.34 | % | 2.05 | % | 2.07 | % | ||||||
| Average stockholders’ equity less accumulated | ||||||||||||||||
| other comprehensive income (loss) to | ||||||||||||||||
| average assets | 9.06 | % | 9.03 | % | 8.98 | % | 8.88 | % | 9.00 | % | ||||||
| Tangible equity to tangible assets (4) | 7.85 | % | 7.32 | % | 7.60 | % | 7.49 | % | 6.98 | % | ||||||
| Stock price information: | ||||||||||||||||
| High | $ | 25.00 | $ | 21.40 | $ | 22.50 | $ | 22.30 | $ | 22.50 | ||||||
| Low | $ | 20.30 | $ | 19.75 | $ | 20.05 | $ | 20.10 | $ | 20.35 | ||||||
| Last trade value at quarter-end | $ | 25.00 | $ | 20.40 | $ | 21.25 | $ | 22.11 | $ | 21.15 | ||||||
| (1) Annualized | ||||||||||||||||
| (2) The yield on federally tax-exempt loans and securities is computed on a tax-equivalent basis using a federal tax rate of 21%. | ||||||||||||||||
| (3) Due to rounding, cumulative quarterly per share performance may not equal annual per share totals. | ||||||||||||||||
| (4) Tangible stockholders’ equity excludes goodwill and core deposit intangibles. | ||||||||||||||||
| PSB Holdings, Inc. | ||||||||||||||||||
| Consolidated Statements of Comprehensive Income | ||||||||||||||||||
| Quarter Ended | ||||||||||||||||||
| Sep. 30, | Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | ||||||||||||||
| (dollars in thousands – unaudited) | 2024 | 2024 | 2024 | 2023 | 2023 | |||||||||||||
| Net income | $ | 2,988 | $ | 2,446 | $ | 1,728 | $ | 2,413 | $ | 1,349 | ||||||||
| Other comprehensive income, net of tax: | ||||||||||||||||||
| Unrealized gain (loss) on securities available | ||||||||||||||||||
| for sale | 4,738 | 184 | (615 | ) | 5,278 | (3,085 | ) | |||||||||||
| Reclassification adjustment for security | ||||||||||||||||||
| loss included in net income | – | – | 391 | 280 | – | |||||||||||||
| Accretion of unrealized loss included in net | ||||||||||||||||||
| income on securities available for sale | ||||||||||||||||||
| deferred tax adjustment for Wisconsin | ||||||||||||||||||
| Act 19 | – | – | (35 | ) | – | – | ||||||||||||
| Amortization of unrealized loss included in net | ||||||||||||||||||
| income on securities available for sale | ||||||||||||||||||
| transferred to securities held to maturity | 90 | 89 | 91 | 91 | 91 | |||||||||||||
| Unrealized gain (loss) on interest rate swap | (101 | ) | 39 | 123 | (109 | ) | 79 | |||||||||||
| Reclassification adjustment of interest rate | ||||||||||||||||||
| swap settlements included in earnings | (38 | ) | (40 | ) | (41 | ) | (39 | ) | (35 | ) | ||||||||
| Other comprehensive income (loss) | 4,689 | 272 | (86 | ) | 5,501 | (2,950 | ) | |||||||||||
| Comprehensive income (loss) | $ | 7,677 | $ | 2,718 | $ | 1,642 | $ | 7,914 | $ | (1,601 | ) | |||||||
| PSB Holdings, Inc. | |||||||||||||||
| Nonperforming Assets as of: | |||||||||||||||
| Sep 30, | Jun 30, | Mar 31, | Dec 31, | Sep 30, | |||||||||||
| (dollars in thousands) | 2024 | 2024 | 2024 | 2023 | 2023 | ||||||||||
| Nonaccrual loans (excluding restructured loans) | $ | 10,116 | $ | 12,184 | $ | 11,498 | $ | 5,596 | $ | 5,807 | |||||
| Nonaccrual restructured loans | 25 | 28 | 30 | 34 | 42 | ||||||||||
| Restructured loans not on nonaccrual | 292 | 299 | 304 | 310 | 256 | ||||||||||
| Accruing loans past due 90 days or more | – | – | – | – | – | ||||||||||
| Total nonperforming loans | 10,433 | 12,511 | 11,832 | 5,940 | 6,105 | ||||||||||
| Other real estate owned | – | – | – | – | – | ||||||||||
| Total nonperforming assets | $ | 10,433 | $ | 12,511 | $ | 11,832 | $ | 5,940 | $ | 6,105 | |||||
| Nonperforming loans as a % of gross loans receivable | 0.97 | % | 1.15 | % | 1.08 | % | 0.54 | % | 0.55 | % | |||||
| Total nonperforming assets as a % of total assets | 0.71 | % | 0.84 | % | 0.83 | % | 0.42 | % | 0.42 | % | |||||
| Allowance for credit losses as a % of nonperforming loans | 120.75 | % | 100.69 | % | 105.59 | % | 207.10 | % | 200.93 | % | |||||
| PSB Holdings, Inc. | |||||||
| Nonperforming Assets >= $500,000 net book value before specific reserves | |||||||
| At September 30, 2024 | |||||||
| (dollars in thousands) | |||||||
| Gross | Specific | ||||||
| Collateral Description | Asset Type | Principal | Reserves | ||||
| Real estate – Recreation Facility | Nonaccrual | $ | 3,291 | $ | – | ||
| Real estate – Independent Auto Repair | Nonaccrual | 562 | – | ||||
| Real estate – Equipment Dealership | Nonaccrual | 2,808 | 660 | ||||
| Total listed nonperforming assets | $ | 6,661 | $ | 660 | |||
| Total bank wide nonperforming assets | $ | 10,433 | $ | 1,220 | |||
| Listed assets as a % of total nonperforming assets | 64 | % | 54 | % | |||
| PSB Holding, Inc. | |||||||||||||||
| Loan Composition by Collateral Type | |||||||||||||||
| Quarter-ended (dollars in thousands) | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | ||||||||||
| Commercial: | |||||||||||||||
| Commercial and industrial | $ | 115,234 | $ | 125,508 | $ | 118,821 | $ | 117,207 | $ | 138,299 | |||||
| Agriculture | 11,203 | 11,480 | 12,081 | 12,304 | 12,464 | ||||||||||
| Municipal | 12,596 | 11,190 | 28,842 | 31,530 | 27,186 | ||||||||||
| Total Commercial | 139,033 | 148,178 | 159,744 | 161,041 | 177,949 | ||||||||||
| Commercial Real Estate: | |||||||||||||||
| Commercial real estate | 541,577 | 544,171 | 546,257 | 536,209 | 539,488 | ||||||||||
| Construction and development | 60,952 | 70,540 | 63,375 | 81,701 | 86,456 | ||||||||||
| Total Commercial Real Estate | 602,529 | 614,711 | 609,632 | 617,910 | 625,944 | ||||||||||
| Residential real estate: | |||||||||||||||
| Residential | 269,954 | 270,944 | 274,300 | 274,453 | 274,632 | ||||||||||
| Construction and development | 34,655 | 36,129 | 34,158 | 33,960 | 33,141 | ||||||||||
| HELOC | 36,734 | 33,838 | 31,357 | 29,766 | 29,044 | ||||||||||
| Total Residential Real Estate | 341,343 | 340,911 | 339,815 | 338,179 | 336,817 | ||||||||||
| Consumer installment | 4,770 | 4,423 | 4,867 | 4,357 | 4,350 | ||||||||||
| Subtotals – Gross loans | 1,087,675 | 1,108,223 | 1,114,058 | 1,121,487 | 1,145,060 | ||||||||||
| Loans in process of disbursement | (17,836 | ) | (21,484 | ) | (20,839 | ) | (31,359 | ) | (35,404 | ) | |||||
| Subtotals – Disbursed loans | 1,069,839 | 1,086,739 | 1,093,219 | 1,090,128 | 1,109,656 | ||||||||||
| Net deferred loan costs | 733 | 702 | 669 | 649 | 630 | ||||||||||
| Allowance for credit losses | (12,598 | ) | (12,597 | ) | (12,494 | ) | (12,302 | ) | (12,267 | ) | |||||
| Total loans receivable | $ | 1,057,974 | $ | 1,074,844 | $ | 1,081,394 | $ | 1,078,475 | $ | 1,098,019 | |||||
| PSB Holding, Inc. | ||||||||||||||||||||||||
| Selected Commercial Real Estate Loans by Purpose | ||||||||||||||||||||||||
| Sept 30, | June 30, | Mar 31, | Dec 31, | Sept 30, | ||||||||||||||||||||
| (dollars in thousands) | 2024 | 2024 | 2024 | 2023 | 2023 | |||||||||||||||||||
| Total Exposure | % of Portfolio (1) | Total Exposure | % of Portfolio (1) | Total Exposure | % of Portfolio (1) | Total Exposure | % of Portfolio (1) | Total Exposure | % of Portfolio (1) | |||||||||||||||
| Multi Family | $ | 140,307 | 14.7 | % | $ | 146,873 | 15.2 | % | $ | 142,001 | 14.4 | % | $ | 132,386 | 13.2 | % | $ | 133,466 | 13.3 | % | ||||
| Industrial and Warehousing | 86,818 | 9.1 | 86,025 | 8.9 | 85,409 | 8.6 | 83,817 | 8.3 | 88,906 | 8.9 | ||||||||||||||
| Retail | 33,020 | 3.5 | 34,846 | 3.6 | 33,177 | 3.4 | 35,419 | 3.5 | 35,281 | 3.5 | ||||||||||||||
| Hotels | 31,611 | 3.3 | 34,613 | 3.6 | 35,105 | 3.6 | 36,100 | 3.6 | 31,819 | 3.2 | ||||||||||||||
| Office | 6,378 | 0.7 | 6,518 | 0.7 | 6,655 | 0.7 | 6,701 | 0.7 | 6,746 | 0.7 | ||||||||||||||
| (1) Percentage of commercial and commercial real estate portfolio and commitments. | ||||||||||||||||||||||||
| PSB Holdings, Inc. | ||||||||||||||||||||
| Deposit Composition | ||||||||||||||||||||
| Insured and Collateralized Deposits | September 30, | June 30, | March 31, | December 31, | September 30, | |||||||||||||||
| (dollars in thousands) | 2024 | 2024 | 2024 | 2023 | 2023 | |||||||||||||||
| $ | % | $ | % | $ | % | $ | % | $ | % | |||||||||||
| Non-interest bearing demand | $ | 210,534 | 18.6 | % | $ | 202,343 | 17.5 | % | $ | 199,076 | 17.8 | % | $ | 197,571 | 17.3 | % | $ | 209,133 | 17.9 | % |
| Interest-bearing demand and savings | 305,631 | 26.8 | % | 304,392 | 26.5 | % | 318,673 | 28.7 | % | 317,984 | 27.8 | % | 307,620 | 26.3 | % | |||||
| Money market deposits | 138,376 | 12.2 | % | 137,637 | 12.0 | % | 143,167 | 12.9 | % | 142,887 | 12.5 | % | 135,910 | 11.4 | % | |||||
| Retail and local time deposits <= $250 | 155,988 | 13.7 | % | 149,298 | 13.0 | % | 148,404 | 13.3 | % | 149,145 | 13.1 | % | 144,738 | 12.4 | % | |||||
| Total core deposits | 810,529 | 71.3 | % | 793,670 | 69.0 | % | 809,320 | 72.7 | % | 807,587 | 70.7 | % | 797,401 | 68.0 | % | |||||
| Retail and local time deposits > $250 | 23,500 | 2.1 | % | 22,500 | 2.0 | % | 24,508 | 2.3 | % | 23,000 | 2.0 | % | 22,750 | 1.9 | % | |||||
| Broker & national time deposits <= $250 | 1,241 | 0.1 | % | 1,490 | 0.1 | % | 2,229 | 0.2 | % | 3,470 | 0.3 | % | 3,222 | 0.3 | % | |||||
| Broker & national time deposits > $250 | 56,164 | 4.9 | % | 56,328 | 4.9 | % | 61,752 | 5.5 | % | 70,020 | 6.1 | % | 88,614 | 7.6 | % | |||||
| Totals | $ | 891,434 | 78.4 | % | $ | 873,988 | 76.0 | % | $ | 897,809 | 80.7 | % | $ | 904,077 | 79.1 | % | $ | 911,987 | 77.8 | % |
| PSB Holdings, Inc. | ||||||||||||||||||||
| Deposit Composition | ||||||||||||||||||||
| Uninsured Deposits | September 30, | June 30, | March 31, | December 31, | September 30, | |||||||||||||||
| (dollars in thousands) | 2024 | 2024 | 2024 | 2023 | 2023 | |||||||||||||||
| $ | % | $ | % | $ | % | $ | % | $ | % | |||||||||||
| Non-interest bearing demand | $ | 54,544 | 4.7 | % | $ | 48,092 | 4.1 | % | $ | 48,532 | 4.4 | % | $ | 69,258 | 6.1 | % | $ | 79,632 | 6.8 | % |
| Interest-bearing demand and savings | 18,317 | 1.6 | % | 32,674 | 2.8 | % | 20,535 | 1.8 | % | 20,316 | 1.8 | % | 22,847 | 1.9 | % | |||||
| Money market deposits | 157,489 | 13.8 | % | 177,954 | 15.4 | % | 124,766 | 11.2 | % | 124,518 | 10.9 | % | 133,653 | 11.4 | % | |||||
| Retail and local time deposits <= $250 | – | 0.0 | % | – | 0.0 | % | – | 0.0 | % | – | 0.0 | % | – | 0.0 | % | |||||
| Total core deposits | 230,350 | 20.1 | % | 258,720 | 22.3 | % | 193,833 | 17.4 | % | 214,092 | 18.8 | % | 236,132 | 20.1 | % | |||||
| Retail and local time deposits > $250 | 17,329 | 1.5 | % | 19,613 | 1.7 | % | 21,710 | 1.9 | % | 23,633 | 2.1 | % | 24,120 | 2.1 | % | |||||
| Broker & national time deposits <= $250 | – | 0.0 | % | – | 0.0 | % | – | 0.0 | % | – | 0.0 | % | – | 0.0 | % | |||||
| Broker & national time deposits > $250 | – | 0.0 | % | – | 0.0 | % | – | 0.0 | % | – | 0.0 | % | – | 0.0 | % | |||||
| Totals | $ | 247,679 | 21.6 | % | $ | 278,333 | 24.0 | % | $ | 215,543 | 19.3 | % | $ | 237,725 | 20.9 | % | $ | 260,252 | 22.2 | % |
| PSB Holdings, Inc. | ||||||||||||||||||||
| Deposit Composition | ||||||||||||||||||||
| Total Deposits | September 30, | June 30, | March 31, | December 31, | September 30, | |||||||||||||||
| (dollars in thousands) | 2024 | 2024 | 2024 | 2023 | 2023 | |||||||||||||||
| $ | % | $ | % | $ | % | $ | % | $ | % | |||||||||||
| Non-interest bearing demand | $ | 265,078 | 23.3 | % | $ | 250,435 | 21.6 | % | $ | 247,608 | 22.2 | % | $ | 266,829 | 23.4 | % | $ | 288,765 | 24.7 | % |
| Interest-bearing demand and savings | 323,948 | 28.4 | % | 337,066 | 29.3 | % | 339,208 | 30.5 | % | 338,300 | 29.6 | % | 330,467 | 28.2 | % | |||||
| Money market deposits | 295,865 | 26.0 | % | 315,591 | 27.4 | % | 267,933 | 24.1 | % | 267,405 | 23.4 | % | 269,563 | 22.8 | % | |||||
| Retail and local time deposits <= $250 | 155,988 | 13.7 | % | 149,298 | 13.0 | % | 148,404 | 13.3 | % | 149,145 | 13.1 | % | 144,738 | 12.4 | % | |||||
| Total core deposits | 1,040,879 | 91.4 | % | 1,052,390 | 91.3 | % | 1,003,153 | 90.1 | % | 1,021,679 | 89.5 | % | 1,033,533 | 88.1 | % | |||||
| Retail and local time deposits > $250 | 40,829 | 3.6 | % | 42,113 | 3.7 | % | 46,218 | 4.2 | % | 46,633 | 4.1 | % | 46,870 | 4.0 | % | |||||
| Broker & national time deposits <= $250 | 1,241 | 0.1 | % | 1,490 | 0.1 | % | 2,229 | 0.2 | % | 3,470 | 0.3 | % | 3,222 | 0.3 | % | |||||
| Broker & national time deposits > $250 | 56,164 | 4.9 | % | 56,328 | 4.9 | % | 61,752 | 5.5 | % | 70,020 | 6.1 | % | 88,614 | 7.6 | % | |||||
| Totals | $ | 1,139,113 | 100.0 | % | $ | 1,152,321 | 100.0 | % | $ | 1,113,352 | 100.0 | % | $ | 1,141,802 | 100.0 | % | $ | 1,172,239 | 100.0 | % |
| PSB Holdings, Inc. | |||||||||||||||||||||||
| Average Balances ($000) and Interest Rates | |||||||||||||||||||||||
| (dollars in thousands) | |||||||||||||||||||||||
| Quarter ended September 30, 2024 | Quarter ended June 30, 2024 | Quarter ended September 30, 2023 | |||||||||||||||||||||
| Average | Yield / | Average | Yield / | Average | Yield / | ||||||||||||||||||
| Balance | Interest | Rate | Balance | Interest | Rate | Balance | Interest | Rate | |||||||||||||||
| Assets | |||||||||||||||||||||||
| Interest-earning assets: | |||||||||||||||||||||||
| Loans (1)(2) | $ | 1,079,393 | $ | 15,674 | 5.78 | % | $ | 1,100,518 | $ | 15,520 | 5.67 | % | $ | 1,088,137 | $ | 14,337 | 5.23 | % | |||||
| Taxable securities | 177,520 | 1,345 | 3.01 | % | 172,563 | 1,295 | 3.02 | % | 173,287 | 1,114 | 2.55 | % | |||||||||||
| Tax-exempt securities (2) | 79,472 | 661 | 3.31 | % | 79,564 | 659 | 3.33 | % | 81,327 | 675 | 3.29 | % | |||||||||||
| FHLB stock | 8,825 | 176 | 7.93 | % | 7,931 | 182 | 9.23 | % | 6,368 | 127 | 7.91 | % | |||||||||||
| Other | 36,680 | 523 | 5.67 | % | 8,241 | 83 | 4.05 | % | 8,195 | 111 | 5.37 | % | |||||||||||
| Total (2) | 1,381,890 | 18,379 | 5.29 | % | 1,368,817 | 17,739 | 5.21 | % | 1,357,314 | 16,364 | 4.78 | % | |||||||||||
| Non-interest-earning assets: | |||||||||||||||||||||||
| Cash and due from banks | 17,162 | 17,345 | 19,299 | ||||||||||||||||||||
| Premises and equipment, | |||||||||||||||||||||||
| net | 14,216 | 13,930 | 13,266 | ||||||||||||||||||||
| Cash surrender value ins | 24,458 | 24,297 | 23,840 | ||||||||||||||||||||
| Other assets | 20,485 | 21,865 | 23,782 | ||||||||||||||||||||
| Allowance for credit | |||||||||||||||||||||||
| losses | (12,598 | ) | (12,505 | ) | (11,979 | ) | |||||||||||||||||
| Total | $ | 1,445,613 | $ | 1,433,749 | $ | 1,425,522 | |||||||||||||||||
| Liabilities & stockholders’ equity | |||||||||||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||||||||||
| Savings and demand | |||||||||||||||||||||||
| deposits | $ | 323,841 | $ | 1,515 | 1.86 | % | $ | 331,740 | $ | 1,467 | 1.78 | % | $ | 335,214 | $ | 1,198 | 1.42 | % | |||||
| Money market deposits | 277,884 | 1,876 | 2.69 | % | 271,336 | 1,835 | 2.72 | % | 255,823 | 1,489 | 2.31 | % | |||||||||||
| Time deposits | 247,296 | 2,514 | 4.04 | % | 257,006 | 2,536 | 3.97 | % | 279,971 | 2,130 | 3.02 | % | |||||||||||
| FHLB borrowings | 182,414 | 2,038 | 4.44 | % | 174,596 | 1,860 | 4.28 | % | 134,386 | 1,321 | 3.90 | % | |||||||||||
| Other borrowings | 6,702 | 57 | 3.38 | % | 6,870 | 58 | 3.40 | % | 5,681 | 51 | 3.56 | % | |||||||||||
| Senior sub. notes | 4,779 | 59 | 4.91 | % | 4,777 | 58 | 4.88 | % | 4,772 | 59 | 4.91 | % | |||||||||||
| Junior sub. debentures | 12,985 | 252 | 7.72 | % | 12,960 | 255 | 7.91 | % | 12,883 | 255 | 7.85 | % | |||||||||||
| Total | 1,055,901 | 8,311 | 3.13 | % | 1,059,285 | 8,069 | 3.06 | % | 1,028,730 | 6,503 | 2.51 | % | |||||||||||
| Non-interest-bearing liabilities: | |||||||||||||||||||||||
| Demand deposits | 261,833 | 251,158 | 278,616 | ||||||||||||||||||||
| Other liabilities | 13,421 | 12,580 | 12,431 | ||||||||||||||||||||
| Stockholders’ equity | 114,458 | 110,726 | 105,745 | ||||||||||||||||||||
| Total | $ | 1,445,613 | $ | 1,433,749 | $ | 1,425,522 | |||||||||||||||||
| Net interest income | $ | 10,068 | $ | 9,670 | $ | 9,861 | |||||||||||||||||
| Rate spread | 2.16 | % | 2.15 | % | 2.27 | % | |||||||||||||||||
| Net yield on interest-earning assets | 2.90 | % | 2.84 | % | 2.88 | % | |||||||||||||||||
| (1) Nonaccrual loans are included in the daily average loan balances outstanding. | |||||||||||||||||||||||
| (2) The yield on federally tax-exempt loans and securities is computed on a tax-equivalent basis using a federal tax rate of 21%. | |||||||||||||||||||||||
| PSB Holdings, Inc. | ||||||||||||||||
| Average Balances ($000) and Interest Rates | ||||||||||||||||
| (dollars in thousands) | ||||||||||||||||
| Nine months ended September 30, 2024 | Nine months ended September 30, 2023 | |||||||||||||||
| Average | Yield/ | Average | Yield/ | |||||||||||||
| Balance | Interest | Rate | Balance | Interest | Rate | |||||||||||
| Assets | ||||||||||||||||
| Interest-earning assets: | ||||||||||||||||
| Loans (1)(2) | $ | 1,091,366 | $ | 46,393 | 5.68 | % | $ | 1,025,955 | $ | 38,851 | 5.06 | % | ||||
| Taxable securities | 173,971 | 3,837 | 2.95 | % | 189,583 | 3,772 | 2.66 | % | ||||||||
| Tax-exempt securities (2) | 79,822 | 1,986 | 3.32 | % | 81,670 | 2,032 | 3.33 | % | ||||||||
| FHLB stock | 7,755 | 523 | 9.01 | % | 4,943 | 228 | 6.17 | % | ||||||||
| Other | 18,804 | 784 | 5.57 | % | 8,154 | 303 | 4.97 | % | ||||||||
| Total (2) | 1,371,718 | 53,523 | 5.21 | % | 1,310,305 | 45,186 | 4.61 | % | ||||||||
| Non-interest-earning assets: | ||||||||||||||||
| Cash and due from banks | 17,291 | 17,403 | ||||||||||||||
| Premises and equipment, | ||||||||||||||||
| net | 13,778 | 13,311 | ||||||||||||||
| Cash surrender value ins | 24,301 | 24,446 | ||||||||||||||
| Other assets | 21,146 | 23,364 | ||||||||||||||
| Allowance for credit | ||||||||||||||||
| losses | (12,496 | ) | (12,004 | ) | ||||||||||||
| Total | $ | 1,435,738 | $ | 1,376,825 | ||||||||||||
| Liabilities & stockholders’ equity | ||||||||||||||||
| Interest-bearing liabilities: | ||||||||||||||||
| Savings and demand | ||||||||||||||||
| deposits | $ | 335,317 | $ | 4,654 | 1.85 | % | $ | 350,928 | $ | 3,286 | 1.25 | % | ||||
| Money market deposits | 274,405 | 5,608 | 2.73 | % | 241,594 | 3,508 | 1.94 | % | ||||||||
| Time deposits | 256,287 | 7,563 | 3.94 | % | 257,639 | 4,673 | 2.43 | % | ||||||||
| FHLB borrowings | 166,703 | 5,348 | 4.29 | % | 110,460 | 3,068 | 3.71 | % | ||||||||
| Other borrowings | 7,373 | 175 | 3.17 | % | 7,082 | 161 | 3.04 | % | ||||||||
| Senior sub. notes | 4,778 | 176 | 4.92 | % | 4,965 | 179 | 4.82 | % | ||||||||
| Junior sub. debentures | 12,972 | 758 | 7.81 | % | 12,857 | 731 | 7.60 | % | ||||||||
| Total | 1,057,835 | 24,282 | 3.07 | % | 985,525 | 15,606 | 2.12 | % | ||||||||
| Non-interest-bearing liabilities: | ||||||||||||||||
| Demand deposits | 254,134 | 273,699 | ||||||||||||||
| Other liabilities | 12,720 | 12,165 | ||||||||||||||
| Stockholders’ equity | 111,049 | 105,436 | ||||||||||||||
| Total | $ | 1,435,738 | $ | 1,376,825 | ||||||||||||
| Net interest income | $ | 29,241 | $ | 29,580 | ||||||||||||
| Rate spread | 2.14 | % | 2.49 | % | ||||||||||||
| Net yield on interest-earning assets | 2.85 | % | 3.02 | % | ||||||||||||
| (1) Nonaccrual loans are included in the daily average loan balances outstanding. | ||||||||||||||||
| (2) The yield on federally tax-exempt loans and securities is computed on a tax-equivalent basis using a federal tax rate of 21%. | ||||||||||||||||
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