Auburn Nationa Bancorp | 10-Q: FY2025 Q3 Revenue: USD 11.24 M

Revenue: As of FY2025 Q3, the actual value is USD 11.24 M.

EPS: As of FY2025 Q3, the actual value is USD 0.64.

EBIT: As of FY2025 Q3, the actual value is USD -4.722 M.

Financial Metrics by Segment

Net Interest Income

• Net interest income (tax-equivalent) for the first nine months of 2025 was $22.0 million, a 9% increase compared to $20.2 million for the first nine months of 2024. This increase was primarily due to an increase in the Company’s net interest margin and an increase in average interest-earning assets.
• The Company’s net interest margin (tax-equivalent) was 3.26% for the first nine months of 2025 compared to 3.05% for the first nine months of 2024.

Provision for Credit Losses

• The Company recorded a negative provision for credit losses during the first nine months of 2025 of $152 thousand, compared to a charge to provision of $84 thousand during the first nine months of 2024.
• At September 30, 2025, the Company’s allowance for credit losses was $6.7 million, or 1.20% of total loans, compared to $6.9 million, or 1.22% of total loans, at December 31, 2024, and $6.9 million, or 1.22% of total loans, at September 30, 2024.

Noninterest Income

• Noninterest income was $2.4 million in the first nine months of 2025, compared to $2.6 million in the first nine months of 2024. The decrease was primarily related to a decrease in mortgage lending income and other noninterest income.

Noninterest Expense

• Noninterest expense was $17.4 million in the first nine months of 2025, compared to $16.7 million for the first nine months of 2024. The increase was primarily related to increases in salaries and benefits expense and other noninterest expense.

Income Tax Expense

• Income tax expense was $1.5 million for the first nine months of 2025 compared to $1.2 million for the first nine months of 2024. The Company’s effective tax rate for the first nine months of 2025 was 21.16%, compared to 19.48% in the first nine months of 2024.

Future Outlook and Strategy

• The Company continues to deploy various asset liability management strategies to manage its risks from interest rate fluctuations. Deposit and loan pricing remain competitive in our markets. We believe this challenging rate environment will continue throughout the remainder of 2025.
• Our ability to compete and manage our deposit costs until our interest-earning assets reprice and we generate new loans with current market interest rates will be important to our net interest margin during the remainder of 2025.
• The Company’s effective income tax rate is affected principally by tax-exempt earnings from the Company’s investments in municipal securities and loans, bank-owned life insurance (“BOLI”), and New Markets Tax Credits (“NMTCs”).