Oregon Bancorp Announces Fourth Quarter and Full-Year 2024 Financial Results

By: Oregon Bancorp, Inc. via Business Wire

January 24, 2025 at 09:20 AM EST

Fourth quarter 2024 net earnings of $0.9 million, or $0.35 per common share

Quarterly return on average assets of 0.7% and return on average equity of 4.7%

Full-Year net earnings of $3.3 million, or $1.34 per common share

Annual return on average assets of 0.7% and return on average equity of 4.5%

Oregon Bancorp, Inc. (OTCBB: ORBN) (the “Company”), the parent company of Willamette Valley Bank, today reported financial results for the fourth quarter and full year ended December 31, 2024.

Fourth-Quarter 2024 Results

For the fourth quarter of 2024, the Company reported net income of $873,000, or $0.35 per share. This reflects a return on average assets of 0.7% and a return on average equity of 4.7%. In comparison, for the quarter ending September 30, 2024, the Company posted net income of $1.02 million, or $0.41 per share.

Full-Year 2024 Results

For the full year 2024, Oregon Bancorp reported net income of $3.3 million, or $1.34 per share, compared to $3.5 million, or $1.44 per share, for the prior year. The Company’s return on average assets was 0.7% for the year, down from 0.9% in 2023. Additionally, the net interest margin for the fourth quarter was 3.5%, while for the full year it stood at 3.6%, compared to 4.2% for the fourth quarter of 2023 and 4.3% for the full year 2023.

Balance Sheet and Key Metrics

The Company’s total assets decreased by $26.5 million during the fourth quarter of 2024. This decline was primarily driven by a $10.1 million reduction in deposits, along with a $13.0 million decrease in borrowings. Commercial loan balances also decreased by $21.0 million during the quarter.

Despite the quarterly decrease, Oregon Bancorp’s balance sheet grew by $75.5 million compared to December 31, 2023, largely due to a securities leverage transaction and an increase in deposits of $20.5 million. Commercial loans decreased by $7.8 million over the same twelve-month period. Bank asset quality remains strong, and capital levels remain solid.

Ryan Dempster, President and CEO, commented, “Although the Federal Reserve has reduced interest rates, long-term interest rates remain elevated. This has led to an easing of interest rates associated with short-term financing, but an increase in interest rates associated with residential mortgage loans. Despite this dynamic, mortgage loan origination volume increased from $63 million during the fourth quarter of 2023 to $70 million during the fourth quarter of 2024.”

About Oregon Bancorp, Inc.

Oregon Bancorp, Inc. is the parent company of Willamette Valley Bank (Bank), a community bank headquartered in Salem, Oregon. The Bank conducts commercial and retail banking activities at four full-service branch locations in Salem, Keizer, Silverton, and Albany, Oregon. The Bank also operates five Home Loan Centers located in Oregon and Idaho. For more information about Oregon Bancorp, Inc. or its subsidiary, Willamette Valley Bank, please call (503) 485-2222 or visit our website at www.willamettevalleybank.com.

Forward Looking Statements

Certain statements in this release may be deemed “forward-looking statements.” Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore you should not place undue reliance on them. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement.

CONSOLIDATED BALANCE SHEETS (Unaudited)
(Amounts in thousands except per share data)

	December 31,						September 30,
ASSETS	2024			2023			2024
Cash and short term investments	$	42,541		$	24,225		$	41,576
Securities available-for-sale, at fair value		97,377			33,390			102,570
Loans available for sale, at fair value		11,407			12,764			11,843
Loans:
Real estate		294,034			299,355			314,889
Commercial		7,271			7,547			7,144
Other		322			2,481			941
Deferred fees and costs		(642	)		(640	)		(737	)
Loan loss reserve		(3,243	)		(3,156	)		(3,553	)
Total net loans		297,742			305,587			318,684
Property and other assets		20,885			18,456			21,841
Total assets	$	469,952		$	394,422		$	496,514

LIABILITIES
Deposits:
Noninterest-bearing demand	$	34,173		$	32,792		$	33,439
Interest-bearing demand		85,921			80,589			89,433
Savings and Money Market		116,261			119,075			125,560
Certificates of deposit		96,514			79,897			94,534
Total deposits		332,869			312,353			342,966
Borrowings		56,000			-			69,000
Other liabilities		7,657			10,085			10,753
Total liabilities		396,526			322,438			422,719

SHAREHOLDERS' EQUITY		73,426			72,984			73,795
Total liabilities and shareholders' equity	$	469,952		$	395,422		$	496,514

Book value per common share	$	29.63		$	29.57		$	29.76

CONSOLIDATED STATEMENTS OF NET INCOME (Unaudited)
(Amounts in thousands except per share data)

	Year-to-Date				Three Months Ending
	December 31, 2024		December 31, 2023		December 31, 2024			December 31, 2023
Interest income	$	25,120	$	20,092	$	6,494		$	5,422
Interest expense		9,379		4,180		2,470			1,403
Net interest income		15,741		15,912		4,024			4,019
Provision for loan losses		88		494		(309	)		195
Net interest income after provision		15,653		15,418		4,333			3,824
Noninterest income		12,154		16,643		2,893			3,126
Noninterest expense		23,534		27,369		6,137			6,236
Net income before income taxes		4,273		4,692		1,089			714
Provision for income taxes		948		1,139		216			167
Net income after income taxes	$	3,325	$	3,553	$	873		$	547

Net income per common share, basic	$	1.34	$	1.44	$	0.35		$	0.22