AMESBURY, Mass., July 29,
2024 /PRNewswire/ -- Provident Bancorp, Inc. (the
"Company") (NasdaqCM: PVBC), the holding company for BankProv (the
"Bank"), reported a net loss for the quarter ended June 30, 2024 of $3.3
million, or a loss of $0.20
per diluted share, compared to net income of $5.0 million, or $0.30 per diluted share, for the quarter ended
March 31, 2024, and net income of
$3.5 million, or $0.21 per diluted share, for the quarter ended
June 30, 2023. For the six months
ended June 30, 2024, net income was
$1.7 million, or $0.10 per diluted share, compared to $5.6 million, or $0.34 per diluted share, for the six months ended
June 30, 2023. The Company's loss on
average assets was 0.85% for the quarter ended June 30, 2024, compared to a return on average
assets of 1.26% for the quarter ended March
31, 2024, and a return on average assets of 0.81% for the
quarter ended June 30, 2023. For the
six months ended June 30, 2024, the
Company's return on average assets was 0.21%, compared to 0.68% for
the six months ended June 30, 2023.
The Company's loss on average equity was 5.80% for the quarter
ended June 30, 2024, compared to a
return on average equity of 8.93% for the quarter ended
March 31, 2024, and a return on
average equity of 6.49% for the quarter ended June 30, 2023. For the six months ended
June 30, 2024, the Company's return
on average equity was 1.48%, compared to 5.26% for the six months
ended June 30, 2023.
In announcing these results, Joseph
Reilly, Chief Executive Officer, said, "We continue to make
positive strides in the execution of our strategic plan, including
reducing our risk profile through the elimination of our
digital asset lending portfolio and decreasing our exposure to
enterprise value lending, while managing our balance sheet to
improve projected earnings. This quarter's results were
overshadowed by a large reserve booked in our enterprise value
portfolio and, coupled with the prevailing interest rate
environment putting continued pressure on funding costs,
resulted in a net loss for the quarter. We are confident that
our current efforts to improve asset quality and earnings will
provide the foundation to shift the mix of our loan portfolio
towards traditional real estate and commercial lending, while
reducing our cost of funds by capitalizing on the optionality
presented by our funding positioning."
For the quarter ended June 30,
2024, net interest and dividend income was $12.0 million, a decrease of $533,000, or 4.3%, from the quarter ended
March 31, 2024, and a decrease of
$2.9 million, or 19.8%, compared to
the quarter ended June 30, 2023. The
interest rate spread and net interest margin were 2.10% and 3.27%,
respectively, for the quarter ended June 30,
2024, compared to 2.28% and 3.38%, respectively, for the
quarter ended March 31, 2024, and
2.61% and 3.69%, respectively, for the quarter ended June 30, 2023. For the six months ended
June 30, 2024, net interest and
dividend income was $24.4 million, a
decrease of $6.3 million, or 20.4%, compared to the six
months ended June 30, 2023. The
interest rate spread and net interest margin were 2.19% and
3.33%, respectively, for the six months ended June 30, 2024, compared to 2.96%, and
3.99%, respectively, for the six months ended June 30, 2023. The decreases in net interest
income for the quarter and six months ended June 30, 2024, compared to the respective prior
periods, are illustrative of the funding cost challenges that
financial institutions are currently experiencing.
Total interest and dividend income was $21.9 million for the quarter ended June 30, 2024, a decrease of $163,000, or 0.7%, from the quarter ended
March 31, 2024, and a
decrease of $1.0 million, or
4.4%, from the quarter ended June 30,
2023. The Company's yield on interest-earning assets was
5.99% for the quarter ended June 30,
2024, an increase of two basis points from the quarter ended
March 31, 2024, and an increase of 32
basis points from the quarter ended June
30, 2023. For the six months ended June 30, 2024, total interest and
dividend income was $43.9
million, an increase of $404,000, or 0.9%, from the six months ended
June 30, 2023. The Company's yield on
interest-earning assets was 5.98% for the six months ended
June 30, 2024, an increase of 33
basis points from the six months ended June 30, 2023. The Bank continues to produce a
high-yielding loan portfolio, at 6.11% for the quarter ended
June 30, 2024, which helps to offset
the effects of the highly competitive and rate-driven deposit
market.
Total interest expense was $9.9
million for the quarter ended June
30, 2024, an increase of $370,000, or 3.9%, from the quarter ended
March 31, 2024, and an increase of
$1.9 million, or 24.4%, from the
quarter ended June 30, 2023. Interest
expense on deposits was $9.6 million
for the quarter ended June 30, 2024,
an increase of $267,000, or 2.9%,
from the quarter ended March 31,
2024, and an increase of $1.9
million, or 25.3%, from the quarter ended June 30, 2023. The increase in interest expense
on deposits from the prior quarter and the prior year
quarter was primarily due to an 18 basis point increase in the
cost of interest-bearing deposits to 3.87% from the quarter
ended March 31, 2024, and an increase
of 83 basis points from the quarter ended June 30, 2023, reflecting the higher interest
rate environment and a greater proportion of deposits in
higher-yielding products. Interest expense on borrowings totaled
$312,000 for the quarter ended
June 30, 2024, an increase of
$103,000, or 49.3%, from the prior
quarter, and an increase of $8,000, or 2.6%, over the prior year quarter. The
increase in interest expense on borrowings from the prior quarter
was primarily driven by an increase in the average balance of
borrowings of $5.2 million, or 23.9%,
and a 78 basis point increase in the cost of borrowings, to 4.61%.
The increase in interest expense on borrowings from the prior year
quarter was primarily driven by an increase in the cost of
borrowings of 109 basis points, partially offset by a decrease in
the average balance of borrowings of $7.4
million, or 21.5%. The Company's total cost of funds was
3.89% for the quarter ended June 30,
2024, which is an increase of 20 basis points, from
3.69% for the quarter ended March 31,
2024, and an increase of 83 basis points from 3.06% for the
quarter ended June 30, 2023. Total
interest expense increased $6.7
million, or 52.3%, to $19.5
million for the six months ended June 30, 2024, compared to $12.8 million for the six months ended
June 30, 2023. Interest expense
on deposits was $18.9 million for
the six months ended June 30,
2024, an increase of $7.4
million, or 63.7%, from the six months ended
June 30, 2023. This increase was
primarily driven by an increase in the cost of average
interest-bearing deposits of 118 basis points, to 3.78%, and an
increase in average interest-bearing deposits of $113.6 million, or 12.8%. For the six months
ended June 30, 2024, interest expense
on borrowings decreased $693,000, or
57.1%, primarily due to a decrease in average total borrowings of
$36.6 million, or 59.9%, partially
offset by an increase in the cost of borrowings of 28 basis points,
to 4.26%. The Company's total cost of funds was 3.79% for
the six months ended June 30,
2024, which is an increase of 110 basis points, from 2.69%,
for the six months ended June 30,
2023.
Mr. Reilly noted, "Amidst a highly competitive landscape for
retail deposits, we are leveraging our marketing efforts to drive
growth. By expanding our online presence and implementing targeted
marketing campaigns, we aim to attract and secure more deposits.
These initiatives are complemented by our continued commitment to
community reengagement."
The Company recognized a $6.5
million provision for credit losses for the quarter ended
June 30, 2024, compared to a
$5.6 million credit loss benefit
recognized for the quarter ended March 31,
2024, and a $1.1 million
credit loss benefit recognized for the quarter ended June 30, 2023. The increase in the provision for
the quarter ended June 30,
2024 was primarily due to a $7.1 million individually
analyzed reserve on a $17.6
million enterprise value relationship, partially offset by a
reduction in the general provision due primarily to decreases
in the commercial, construction and land development, and
enterprise value portfolios. For the six months ended
June 30, 2024, the Company recognized
an $877,000 provision for credit
losses, compared to $712,000
for the six months ended June 30,
2023. The provision recognized for the six months ended
June 30, 2024 was primarily
driven by the $7.1 million
individually analyzed reserve in the enterprise value portfolio,
partially offset by the first quarter payoff of an enterprise value
loan that resulted in the elimination of $1.1 million in related reserves, a
settlement with a digital asset lending customer which resulted in
a $3.8 million reduction in related
reserves and reductions in the general provision due primarily to
decreases in the enterprise value and commercial portfolios
which each carry a higher rate of reserve than other segments of
the portfolio.
Net charge-offs totaled $2.1
million for the quarter ended June
30, 2024, compared to $22,000
for the quarter ended March 31, 2024,
and $91,000 for the quarter ended
June 30, 2023. For the six
months ended June 30, 2024, net
charge-offs totaled $2.1 million
compared to $3.7 million for
the six months ended June 30,
2023. Charge-offs for the quarter and six months ended
June 30, 2024, were primarily related
to the aforementioned settlement with a digital asset
customer.
Non-accrual loans were $21.3
million, or 1.29% of total assets, as of June 30, 2024, compared to $12.4 million, or 0.74% of total assets, as of
March 31, 2024 and $16.5 million, or 0.99% of total assets, as of
December 31, 2023. The increase in
non-accrual loans as of June 30,
2024, was primarily driven by an increase in non-accrual
enterprise value loans offset by a reduction in non-accrual loans
resulting from the settlement and partial charge-off of the Bank's
last remaining digital asset loan relationship.
Mr. Reilly noted, "The increase in non-accrual loans during the
second quarter was primarily due to modifications executed on a
$17.6 million enterprise value
relationship to a customer that is currently undergoing a period of
transition. While we are disappointed in the impact on our results,
we remain diligent in our efforts to detect loans that are
experiencing signs of stress and value them appropriately as we
proactively work out troubled credits."
Noninterest income was $1.5
million for the quarter ended June
30, 2024, compared to $1.4
million for the quarter ended March
31, 2024, and $1.7 million for
the quarter ended June 30, 2023. For
the six months ended June 30,
2024, noninterest income decreased $770,000, or 21.1%, to $2.9
million from $3.6 million for
the six months ended June 30,
2023.
Noninterest expense was $11.6
million for the quarter ended June
30, 2024, compared to $12.7
million for the quarter ended March
31, 2024, and $12.8 million
for the quarter ended June 30, 2023.
The decrease of $1.1 million, or
9.0%, compared to the prior quarter was primarily due to an
$852,000, or 10.5%, decrease in
salaries and employee benefits and a decrease in professional fees
of $330,000, or 25.1%. The decrease
in noninterest expense of $1.2
million, or 9.1%, from the prior year quarter, was primarily
due to an $816,000, or 10.1%,
decrease in salaries and employee benefits. Noninterest expense was
$24.3 million for the six months
ended June 30, 2024, a decrease of
$1.6 million, or 6.3%, from
$26.0 million for the six months
ended June 30, 2023 primarily
due to a decrease in salaries and employee benefits of
$1.2 million, or 7.3% and a decrease
in insurance expenses of $298,000, or 33.0%. The decreases in all periods
presented was due to the realization of expected reductions
resulting from the Bank lowering its risk appetite and experiencing
a reduction in the level of resources required to successfully run
our existing operations.
The Company recorded an income tax benefit of $1.3 million for the quarter ended
June 30, 2024, reflecting an
effective tax rate of 27.7%, compared to a provision of
$1.7 million, or an effective tax
rate of 25.5%, for the quarter ended March 31, 2024, and a provision of $1.5 million, or an effective tax rate of 29.7%,
for the quarter ended June 30, 2023.
For the six months ended June 30,
2024, the Company recorded a provision for income tax of
$439,000, reflecting an effective tax
rate of 20.8%, compared to $2.1
million, or an effective tax rate of 27.7%, for the six
months ended June 30, 2023.
Total assets were $1.65 billion at June
30, 2024, a decrease of $12.0
million, or 0.7%, from $1.66
billion at March 31,
2024 and a decrease of $23.5 million, or 1.4%, from
$1.67 billion at December 31,
2023. Cash and cash equivalents totaled $171.6 million at June 30, 2024, a decrease
of $19.2 million, or 10.1% from March 31, 2024 and a
decrease of $48.7 million, or 22.1%,
from December 31, 2023, primarily due to decreases in deposits
and increases in net loans, partially offset by increases in
borrowings. Net loans were $1.35
billion at June 30, 2024, an
increase of $8.8 million, or 0.7%,
from March 31, 2024 and $28.2 million, or 2.1%, from December 31,
2023. The increase in net loans over the prior quarter was
primarily due to an increase of $44.1 million, or
20.8%, in mortgage warehouse loans and an increase
of $32.1 million, or 6.7%, in commercial real estate loans,
partially offset by decreases of $20.1
million, or 12.2% in commercial loans, $19.6 million, or 25.6%, in construction and land
development loans, $13.1 million, or 3.2%, in enterprise
value loans, and a $10.1 million
decrease in digital asset loans resulting from the settlement
and partial charge off of the last remaining loan in the
digital asset portfolio. These changes also reflect
$22.4 million in construction and
land development loans that converted to permanent commercial real
estate loans during the quarter ended June
30, 2024. The increase in net loans for the six
months ended June 30, 2024, was
primarily due to an increase of $89.9
million, or 54.0%, in mortgage warehouse loans, and an
increase of $41.5 million, or 8.8% in
commercial real estate loans, partially offset by decreases of
$39.5 million, or 9.1%, in enterprise
value loans, $31.4 million, or 17.8%, in commercial loans,
$20.7 million, or 26.6%, in
construction and land development loans, and a $12.3 million decrease resulting from the
closure of the digital asset loan portfolio. These changes reflect
$27.2 million in construction and
land development loans that converted to permanent commercial real
estate loans during the six months ended June 30, 2024. The changing mix of the loan
portfolio in all periods presented illustrates our commitment to
shift our focus to more traditional banking products and reflects
efforts to align our balance sheet with our current risk appetite.
The allowance for credit losses on loans was $20.3 million, or 1.49% of total loans, as
of June 30, 2024, compared to
$16.0 million, or 1.18% of total
loans, as of March 31, 2024, and
$21.6 million, or 1.61% of total
loans, as of December 31, 2023. The
increase in the allowance for credit losses of $4.3 million, or 27.1%, from March 31, 2024, was primarily driven by a
provision of $6.5 million and was
partially offset by a $2.1 million charge-off of individually
analyzed reserves related to the settlement of the final
digital asset loan. The decrease in the allowance for credit losses
of $1.2 million, or 5.7%, from
December 31, 2023, was primarily
driven by reductions in the general provision due primarily to
decreases in the enterprise value and commercial portfolios
which each carry a higher rate of reserve than other segments of
the portfolio.
Total deposits were $1.265 billion
at June 30, 2024, a decrease of
$67.4 million, or 5.1%, from
$1.332 billion at March 31, 2024, and a decrease of $66.6 million, or 5.0%, from $1.331 billion at December 31, 2023. The
decreases in deposits were primarily due to decreases in high-cost
deposits obtained through a national exchange, which decreased
$82.3 million, or 49.6%,
from March 31, 2024, and $53.3
million, or 38.9%, from December 31,
2023. Brokered deposits totaled $185.1 million at June 30,
2024, an increase of $5.0
million, or 2.8%, from March 31,
2024, and a decrease of $10.4
million, or 5.3%, from December 31,
2023. Retail deposits totaled $731.0
million at June 30, 2024, an
increase of $9.7 million, or 1.3%,
from March 31, 2024, and a decrease of $7.0 million, or 0.9% from December 31, 2023. Total borrowings were
$147.6 million at June 30, 2024, an increase of $58.0 million, or 64.6%, from
March 31, 2024 and $42.9 million, or 41.0%, from December 31,
2023.
As of June 30, 2024, shareholders'
equity totaled $224.3 million, a
decrease of $2.9 million, or 1.3%,
from March 31, 2024, and an increase of $2.4 million, or 1.1%, from December 31, 2023. The changes are primarily due
to fluctuations in the Company's net income. Shareholders'
equity to total assets was 13.6% at June 30,
2024, compared to 13.7% at March 31, 2024, and 13.3%
at December 31, 2023. Book value per share was $12.70 at June 30,
2024, a decrease from $12.87
at March 31, 2024, but an increase
from $12.55 at December 31,
2023. Market value per share increased to $10.19 at June 30,
2024, an increase of 12.0% from $9.10 at March 31,
2024, and an increase of 1.2% from $10.07 at December 31, 2023. As of
June 30, 2024, the Bank was
categorized as well capitalized under the Federal Deposit Insurance
Corporation regulatory framework for prompt corrective action.
Mr. Reilly concluded, "After four years of closed doors, our
main office in Amesbury,
Massachusetts, reopened to the public in early May 2024. It was wonderful to see our once
vibrant lobby again filled with customers, employees, and members
of the community. We are thrilled to reconnect with everyone in
person and look forward to fostering strong relationships and
supporting the community as we move forward."
About Provident Bancorp, Inc.
Provident Bancorp, Inc. (NASDAQ:PVBC) is the holding company for
BankProv, a full-service commercial bank headquartered in
Massachusetts. With retail
branches in the Seacoast Region of Northeastern Massachusetts and New Hampshire, as well as commercial banking
offices in the Manchester/Concord market in Central New Hampshire, BankProv delivers a
unique combination of traditional banking services and innovative
financial solutions to its markets. Founded in Amesbury, Massachusetts in 1828, BankProv
holds the honor of being the 10th oldest bank in the nation. The
Bank insures 100% of deposits through a combination of insurance
provided by the Federal Deposit Insurance Corporation (FDIC) and
the Depositors Insurance Fund (DIF). For more information, visit
bankprov.com.
Forward-looking statements
This news release may contain certain forward-looking
statements, such as statements of the Company's or the Bank's
plans, objectives, expectations, estimates and intentions.
Forward-looking statements may be identified by the use of words
such as, "expects," "subject," "believe," "will," "intends," "may,"
"will be" or "would." These statements are subject to change based
on various important factors (some of which are beyond the
Company's or the Bank's control), and actual results may differ
materially. Accordingly, readers should not place undue reliance on
any forward-looking statements (which reflect management's analysis
of factors only as of the date on which they are given). These
factors include: general economic conditions; interest rates;
inflation; levels of unemployment; legislative, regulatory and
accounting changes; monetary and fiscal policies of the U.S.
Government, including policies of the U.S. Treasury and the Board
of Governors of the Federal Reserve Bank; deposit flows; our
ability to access cost-effective funding; changes in liquidity,
including the size and composition of our deposit portfolio and the
percentage of uninsured deposits in the portfolio; changes in
consumer spending, borrowing and savings habits; competition; real
estate values in the market area; loan demand; the adequacy of our
level and methodology for calculating our allowance for credit
losses; changes in the quality of our loan and securities
portfolios; the ability of our borrowers to repay their loans; an
unexpected adverse financial, regulatory or bankruptcy event
experienced by our cryptocurrency, digital asset or financial
technology ("fintech") customers; our ability to retain key
employees; failures or breaches of our IT systems, including
cyberattacks; the failure to maintain current technologies; the
ability of the Company or the Bank to effectively manage its
growth; global and national war and terrorism; the impact of the
COVID-19 pandemic or any other pandemic on our operations and
financial results and those of our customers; and results of
regulatory examinations, among other factors. The foregoing list of
important factors is not exclusive. Readers should carefully review
the risk factors described in other documents that the Company
files from time to time with the Securities and Exchange
Commission, including Annual and Quarterly Reports on Forms 10-K
and 10-Q, and Current Reports on Form 8-K.
Investor contact:
Joseph Reilly
President and Chief Executive Officer
Provident Bancorp, Inc.
jreilly@bankprov.com
Provident Bancorp,
Inc.
Consolidated Balance
Sheet
|
|
|
|
At
|
|
|
At
|
|
|
At
|
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
|
|
2024
|
|
|
2024
|
|
|
2023
|
|
(Dollars in
thousands)
|
|
(unaudited)
|
|
|
(unaudited)
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
|
$
|
19,192
|
|
|
$
|
21,341
|
|
|
$
|
22,200
|
|
Short-term
investments
|
|
|
152,425
|
|
|
|
169,510
|
|
|
|
198,132
|
|
Cash and cash
equivalents
|
|
|
171,617
|
|
|
|
190,851
|
|
|
|
220,332
|
|
Debt securities
available-for-sale (at fair value)
|
|
|
27,328
|
|
|
|
27,912
|
|
|
|
28,571
|
|
Federal Home Loan Bank
stock, at cost
|
|
|
5,121
|
|
|
|
3,605
|
|
|
|
4,056
|
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial real
estate
|
|
|
510,395
|
|
|
|
478,293
|
|
|
|
468,928
|
|
Construction and land
development
|
|
|
57,145
|
|
|
|
76,785
|
|
|
|
77,851
|
|
Residential real
estate
|
|
|
6,671
|
|
|
|
6,932
|
|
|
|
7,169
|
|
Mortgage
Warehouse
|
|
|
256,516
|
|
|
|
212,389
|
|
|
|
166,567
|
|
Commercial
|
|
|
144,700
|
|
|
|
164,789
|
|
|
|
176,124
|
|
Enterprise
value
|
|
|
394,177
|
|
|
|
407,233
|
|
|
|
433,633
|
|
Digital
asset
|
|
|
—
|
|
|
|
10,071
|
|
|
|
12,289
|
|
Consumer
|
|
|
92
|
|
|
|
88
|
|
|
|
168
|
|
Total Loans
|
|
|
1,369,696
|
|
|
|
1,356,580
|
|
|
|
1,342,729
|
|
Allowance for credit
losses on loans
|
|
|
(20,341)
|
|
|
|
(16,006)
|
|
|
|
(21,571)
|
|
Net loans
|
|
|
1,349,355
|
|
|
|
1,340,574
|
|
|
|
1,321,158
|
|
Bank owned life
insurance
|
|
|
45,357
|
|
|
|
45,037
|
|
|
|
44,735
|
|
Premises and equipment,
net
|
|
|
12,713
|
|
|
|
12,835
|
|
|
|
12,986
|
|
Accrued interest
receivable
|
|
|
6,396
|
|
|
|
5,921
|
|
|
|
6,090
|
|
Right-of-use
assets
|
|
|
3,704
|
|
|
|
3,739
|
|
|
|
3,780
|
|
Deferred tax asset,
net
|
|
|
14,462
|
|
|
|
13,048
|
|
|
|
14,461
|
|
Other assets
|
|
|
10,749
|
|
|
|
15,236
|
|
|
|
14,140
|
|
Total
assets
|
|
$
|
1,646,802
|
|
|
$
|
1,658,758
|
|
|
$
|
1,670,309
|
|
Liabilities and
Shareholders' Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
demand deposits
|
|
$
|
311,814
|
|
|
$
|
310,343
|
|
|
$
|
308,769
|
|
NOW
|
|
|
84,811
|
|
|
|
66,019
|
|
|
|
93,812
|
|
Regular
savings
|
|
|
168,387
|
|
|
|
258,776
|
|
|
|
231,593
|
|
Money market
deposits
|
|
|
452,139
|
|
|
|
450,596
|
|
|
|
456,408
|
|
Certificates of
deposit
|
|
|
247,504
|
|
|
|
246,344
|
|
|
|
240,640
|
|
Total
deposits
|
|
|
1,264,655
|
|
|
|
1,332,078
|
|
|
|
1,331,222
|
|
Borrowings:
|
|
|
|
|
|
|
|
|
|
|
|
|
Short-term
borrowings
|
|
|
138,000
|
|
|
|
80,000
|
|
|
|
95,000
|
|
Long-term
borrowings
|
|
|
9,630
|
|
|
|
9,663
|
|
|
|
9,697
|
|
Total
borrowings
|
|
|
147,630
|
|
|
|
89,663
|
|
|
|
104,697
|
|
Operating lease
liabilities
|
|
|
4,118
|
|
|
|
4,142
|
|
|
|
4,171
|
|
Other
liabilities
|
|
|
6,064
|
|
|
|
5,632
|
|
|
|
8,317
|
|
Total
liabilities
|
|
|
1,422,467
|
|
|
|
1,431,515
|
|
|
|
1,448,407
|
|
Shareholders'
equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock, $0.01
par value, 50,000 shares authorized; no shares issued and
outstanding
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Common stock, $0.01 par
value, 100,000,000 shares authorized; 17,667,327, 17,659,146,
and
17,677,479 shares issued and outstanding at June 30, 2024, March
31, 2024, and December 31, 2023, respectively
|
|
|
177
|
|
|
|
177
|
|
|
|
177
|
|
Additional paid-in
capital
|
|
|
124,665
|
|
|
|
124,415
|
|
|
|
124,129
|
|
Retained
earnings
|
|
|
107,963
|
|
|
|
111,266
|
|
|
|
106,285
|
|
Accumulated other
comprehensive loss
|
|
|
(1,637)
|
|
|
|
(1,602)
|
|
|
|
(1,496)
|
|
Unearned compensation -
ESOP
|
|
|
(6,833)
|
|
|
|
(7,013)
|
|
|
|
(7,193)
|
|
Total shareholders'
equity
|
|
|
224,335
|
|
|
|
227,243
|
|
|
|
221,902
|
|
Total liabilities
and shareholders' equity
|
|
$
|
1,646,802
|
|
|
$
|
1,658,758
|
|
|
$
|
1,670,309
|
|
Provident Bancorp,
Inc.
Consolidated Income
Statements
(Unaudited)
|
|
|
|
Three Months
Ended
|
|
|
Six Months
Ended
|
|
|
|
June 30,
|
|
|
March 31,
|
|
|
June 30,
|
|
|
June 30,
|
|
|
June 30,
|
|
(Dollars in
thousands, except per share data)
|
|
2024
|
|
|
2024
|
|
|
2023
|
|
|
2024
|
|
|
2023
|
|
Interest and
dividend income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on
loans
|
|
$
|
20,311
|
|
|
$
|
20,069
|
|
|
$
|
19,652
|
|
|
$
|
40,380
|
|
|
$
|
39,658
|
|
Interest and dividends
on debt securities available-for-sale
|
|
|
243
|
|
|
|
237
|
|
|
|
246
|
|
|
|
480
|
|
|
|
484
|
|
Interest on short-term
investments
|
|
|
1,318
|
|
|
|
1,729
|
|
|
|
2,978
|
|
|
|
3,047
|
|
|
|
3,361
|
|
Total interest and
dividend income
|
|
|
21,872
|
|
|
|
22,035
|
|
|
|
22,876
|
|
|
|
43,907
|
|
|
|
43,503
|
|
Interest
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest on
deposits
|
|
|
9,607
|
|
|
|
9,340
|
|
|
|
7,670
|
|
|
|
18,947
|
|
|
|
11,571
|
|
Interest on short-term
borrowings
|
|
|
281
|
|
|
|
178
|
|
|
|
230
|
|
|
|
459
|
|
|
|
1,054
|
|
Interest on long-term
borrowings
|
|
|
31
|
|
|
|
31
|
|
|
|
74
|
|
|
|
62
|
|
|
|
160
|
|
Total interest
expense
|
|
|
9,919
|
|
|
|
9,549
|
|
|
|
7,974
|
|
|
|
19,468
|
|
|
|
12,785
|
|
Net interest and
dividend income
|
|
|
11,953
|
|
|
|
12,486
|
|
|
|
14,902
|
|
|
|
24,439
|
|
|
|
30,718
|
|
Credit loss expense
(benefit) - loans
|
|
|
6,467
|
|
|
|
(5,543)
|
|
|
|
(740)
|
|
|
|
924
|
|
|
|
2,195
|
|
Credit loss (benefit) -
off-balance sheet credit exposures
|
|
|
(9)
|
|
|
|
(38)
|
|
|
|
(327)
|
|
|
|
(47)
|
|
|
|
(1,483)
|
|
Total credit loss
expense (benefit)
|
|
|
6,458
|
|
|
|
(5,581)
|
|
|
|
(1,067)
|
|
|
|
877
|
|
|
|
712
|
|
Net interest and
dividend income after credit loss expense (benefit)
|
|
|
5,495
|
|
|
|
18,067
|
|
|
|
15,969
|
|
|
|
23,562
|
|
|
|
30,006
|
|
Noninterest
income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Customer service fees
on deposit accounts
|
|
|
665
|
|
|
|
674
|
|
|
|
769
|
|
|
|
1,339
|
|
|
|
1,748
|
|
Service charges and
fees - other
|
|
|
349
|
|
|
|
309
|
|
|
|
527
|
|
|
|
658
|
|
|
|
978
|
|
Bank owned life
insurance income
|
|
|
319
|
|
|
|
302
|
|
|
|
272
|
|
|
|
621
|
|
|
|
538
|
|
Other
income
|
|
|
190
|
|
|
|
71
|
|
|
|
134
|
|
|
|
261
|
|
|
|
385
|
|
Total noninterest
income
|
|
|
1,523
|
|
|
|
1,356
|
|
|
|
1,702
|
|
|
|
2,879
|
|
|
|
3,649
|
|
Noninterest
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
|
7,293
|
|
|
|
8,145
|
|
|
|
8,109
|
|
|
|
15,438
|
|
|
|
16,653
|
|
Occupancy
expense
|
|
|
407
|
|
|
|
443
|
|
|
|
421
|
|
|
|
850
|
|
|
|
842
|
|
Equipment
expense
|
|
|
160
|
|
|
|
152
|
|
|
|
151
|
|
|
|
312
|
|
|
|
295
|
|
Deposit
insurance
|
|
|
321
|
|
|
|
333
|
|
|
|
368
|
|
|
|
654
|
|
|
|
646
|
|
Data
processing
|
|
|
402
|
|
|
|
413
|
|
|
|
374
|
|
|
|
815
|
|
|
|
735
|
|
Marketing
expense
|
|
|
76
|
|
|
|
18
|
|
|
|
161
|
|
|
|
94
|
|
|
|
244
|
|
Professional
fees
|
|
|
984
|
|
|
|
1,314
|
|
|
|
919
|
|
|
|
2,298
|
|
|
|
2,322
|
|
Directors'
compensation
|
|
|
177
|
|
|
|
174
|
|
|
|
164
|
|
|
|
351
|
|
|
|
364
|
|
Software depreciation
and implementation
|
|
|
584
|
|
|
|
543
|
|
|
|
483
|
|
|
|
1,127
|
|
|
|
900
|
|
Insurance
expense
|
|
|
303
|
|
|
|
301
|
|
|
|
450
|
|
|
|
604
|
|
|
|
902
|
|
Service
fees
|
|
|
234
|
|
|
|
242
|
|
|
|
281
|
|
|
|
476
|
|
|
|
517
|
|
Other
|
|
|
653
|
|
|
|
657
|
|
|
|
870
|
|
|
|
1,310
|
|
|
|
1,542
|
|
Total noninterest
expense
|
|
|
11,594
|
|
|
|
12,735
|
|
|
|
12,751
|
|
|
|
24,329
|
|
|
|
25,962
|
|
(Loss) income before
income tax expense
|
|
|
(4,576)
|
|
|
|
6,688
|
|
|
|
4,920
|
|
|
|
2,112
|
|
|
|
7,693
|
|
Income tax (benefit)
expense
|
|
|
(1,268)
|
|
|
|
1,707
|
|
|
|
1,459
|
|
|
|
439
|
|
|
|
2,129
|
|
Net (loss)
income
|
|
$
|
(3,308)
|
|
|
$
|
4,981
|
|
|
$
|
3,461
|
|
|
$
|
1,673
|
|
|
$
|
5,564
|
|
(Loss) earnings per
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
(0.20)
|
|
|
$
|
0.30
|
|
|
$
|
0.21
|
|
|
$
|
0.10
|
|
|
$
|
0.34
|
|
Diluted
|
|
$
|
(0.20)
|
|
|
$
|
0.30
|
|
|
$
|
0.21
|
|
|
$
|
0.10
|
|
|
$
|
0.34
|
|
Weighted Average
Shares:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
16,706,793
|
|
|
|
16,669,451
|
|
|
|
16,568,664
|
|
|
|
16,688,122
|
|
|
|
16,549,751
|
|
Diluted
|
|
|
16,729,012
|
|
|
|
16,720,653
|
|
|
|
16,570,017
|
|
|
|
16,723,763
|
|
|
|
16,550,666
|
|
Provident Bancorp,
Inc.
Net Interest Income
Analysis
(Unaudited)
|
|
|
|
For the Three Months
Ended
|
|
|
|
June 30,
|
|
|
March 31,
|
|
|
June 30,
|
|
|
|
2024
|
|
|
2024
|
|
|
2023
|
|
|
|
|
|
|
|
Interest
|
|
|
|
|
|
|
|
|
|
|
Interest
|
|
|
|
|
|
|
|
|
|
|
Interest
|
|
|
|
|
|
|
|
Average
|
|
|
Earned/
|
|
|
Yield/
|
|
|
Average
|
|
|
Earned/
|
|
|
Yield/
|
|
|
Average
|
|
|
Earned/
|
|
|
Yield/
|
|
(Dollars in
thousands)
|
|
Balance
|
|
|
Paid
|
|
|
Rate (5)
|
|
|
Balance
|
|
|
Paid
|
|
|
Rate (5)
|
|
|
Balance
|
|
|
Paid
|
|
|
Rate (5)
|
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans (1)
|
|
$
|
1,328,650
|
|
|
$
|
20,311
|
|
|
|
6.11
|
%
|
|
$
|
1,323,260
|
|
|
$
|
20,069
|
|
|
|
6.07
|
%
|
|
$
|
1,346,654
|
|
|
$
|
19,652
|
|
|
|
5.84
|
%
|
Short-term
investments
|
|
|
102,395
|
|
|
|
1,318
|
|
|
|
5.15
|
%
|
|
|
123,546
|
|
|
|
1,729
|
|
|
|
5.60
|
%
|
|
|
236,367
|
|
|
|
2,978
|
|
|
|
5.04
|
%
|
Debt securities
available-for-sale
|
|
|
27,485
|
|
|
|
206
|
|
|
|
3.00
|
%
|
|
|
28,234
|
|
|
|
205
|
|
|
|
2.90
|
%
|
|
|
28,278
|
|
|
|
197
|
|
|
|
2.79
|
%
|
Federal Home Loan Bank
stock
|
|
|
1,865
|
|
|
|
37
|
|
|
|
7.94
|
%
|
|
|
1,783
|
|
|
|
32
|
|
|
|
7.18
|
%
|
|
|
2,254
|
|
|
|
49
|
|
|
|
8.70
|
%
|
Total interest-earning
assets
|
|
|
1,460,395
|
|
|
|
21,872
|
|
|
|
5.99
|
%
|
|
|
1,476,823
|
|
|
|
22,035
|
|
|
|
5.97
|
%
|
|
|
1,613,553
|
|
|
|
22,876
|
|
|
|
5.67
|
%
|
Noninterest earning
assets
|
|
|
104,388
|
|
|
|
|
|
|
|
|
|
|
|
98,890
|
|
|
|
|
|
|
|
|
|
|
|
99,685
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
1,564,783
|
|
|
|
|
|
|
|
|
|
|
$
|
1,575,713
|
|
|
|
|
|
|
|
|
|
|
$
|
1,713,238
|
|
|
|
|
|
|
|
|
|
Liabilities and
shareholders' equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Savings
accounts
|
|
$
|
215,344
|
|
|
$
|
1,646
|
|
|
|
3.06
|
%
|
|
$
|
244,148
|
|
|
$
|
1,961
|
|
|
|
3.21
|
%
|
|
$
|
149,625
|
|
|
$
|
408
|
|
|
|
1.09
|
%
|
Money market
accounts
|
|
|
456,566
|
|
|
|
4,499
|
|
|
|
3.94
|
%
|
|
|
454,883
|
|
|
|
4,238
|
|
|
|
3.73
|
%
|
|
|
513,348
|
|
|
|
4,550
|
|
|
|
3.55
|
%
|
NOW
accounts
|
|
|
69,737
|
|
|
|
225
|
|
|
|
1.29
|
%
|
|
|
82,831
|
|
|
|
183
|
|
|
|
0.88
|
%
|
|
|
115,869
|
|
|
|
202
|
|
|
|
0.70
|
%
|
Certificates of
deposit
|
|
|
251,361
|
|
|
|
3,237
|
|
|
|
5.15
|
%
|
|
|
230,616
|
|
|
|
2,958
|
|
|
|
5.13
|
%
|
|
|
230,023
|
|
|
|
2,510
|
|
|
|
4.36
|
%
|
Total interest-bearing
deposits
|
|
|
993,008
|
|
|
|
9,607
|
|
|
|
3.87
|
%
|
|
|
1,012,478
|
|
|
|
9,340
|
|
|
|
3.69
|
%
|
|
|
1,008,865
|
|
|
|
7,670
|
|
|
|
3.04
|
%
|
Borrowings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Short-term
borrowings
|
|
|
17,439
|
|
|
|
281
|
|
|
|
6.45
|
%
|
|
|
12,181
|
|
|
|
178
|
|
|
|
5.85
|
%
|
|
|
18,352
|
|
|
|
230
|
|
|
|
5.01
|
%
|
Long-term
borrowings
|
|
|
9,642
|
|
|
|
31
|
|
|
|
1.29
|
%
|
|
|
9,675
|
|
|
|
31
|
|
|
|
1.28
|
%
|
|
|
16,148
|
|
|
|
74
|
|
|
|
1.83
|
%
|
Total
borrowings
|
|
|
27,081
|
|
|
|
312
|
|
|
|
4.61
|
%
|
|
|
21,856
|
|
|
|
209
|
|
|
|
3.83
|
%
|
|
|
34,500
|
|
|
|
304
|
|
|
|
3.52
|
%
|
Total interest-bearing
liabilities
|
|
|
1,020,089
|
|
|
|
9,919
|
|
|
|
3.89
|
%
|
|
|
1,034,334
|
|
|
|
9,549
|
|
|
|
3.69
|
%
|
|
|
1,043,365
|
|
|
|
7,974
|
|
|
|
3.06
|
%
|
Noninterest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
deposits
|
|
|
306,081
|
|
|
|
|
|
|
|
|
|
|
|
306,349
|
|
|
|
|
|
|
|
|
|
|
|
437,167
|
|
|
|
|
|
|
|
|
|
Other
noninterest-bearing liabilities
|
|
|
10,519
|
|
|
|
|
|
|
|
|
|
|
|
12,041
|
|
|
|
|
|
|
|
|
|
|
|
19,380
|
|
|
|
|
|
|
|
|
|
Total
liabilities
|
|
|
1,336,689
|
|
|
|
|
|
|
|
|
|
|
|
1,352,724
|
|
|
|
|
|
|
|
|
|
|
|
1,499,912
|
|
|
|
|
|
|
|
|
|
Total equity
|
|
|
228,094
|
|
|
|
|
|
|
|
|
|
|
|
222,989
|
|
|
|
|
|
|
|
|
|
|
|
213,326
|
|
|
|
|
|
|
|
|
|
Total liabilities and
equity
|
|
$
|
1,564,783
|
|
|
|
|
|
|
|
|
|
|
$
|
1,575,713
|
|
|
|
|
|
|
|
|
|
|
$
|
1,713,238
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
|
|
|
|
$
|
11,953
|
|
|
|
|
|
|
|
|
|
|
$
|
12,486
|
|
|
|
|
|
|
|
|
|
|
$
|
14,902
|
|
|
|
|
|
Interest rate spread
(2)
|
|
|
|
|
|
|
|
|
|
|
2.10
|
%
|
|
|
|
|
|
|
|
|
|
|
2.28
|
%
|
|
|
|
|
|
|
|
|
|
|
2.61
|
%
|
Net interest-earning
assets (3)
|
|
$
|
440,306
|
|
|
|
|
|
|
|
|
|
|
$
|
442,489
|
|
|
|
|
|
|
|
|
|
|
$
|
570,188
|
|
|
|
|
|
|
|
|
|
Net interest margin
(4)
|
|
|
|
|
|
|
|
|
|
|
3.27
|
%
|
|
|
|
|
|
|
|
|
|
|
3.38
|
%
|
|
|
|
|
|
|
|
|
|
|
3.69
|
%
|
Average
interest-earning assets to interest-bearing liabilities
|
|
|
143.16
|
%
|
|
|
|
|
|
|
|
|
|
|
142.78
|
%
|
|
|
|
|
|
|
|
|
|
|
154.65
|
%
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Interest earned/paid on
loans includes $660,000, $734,000, and $956,000 in loan fee
income for the three months ended June 30, 2024, March 31, 2024,
and June 30, 2023, respectively.
|
(2)
|
Interest rate
spread represents the difference between the weighted average yield
on interest-bearing assets and the weighted average rate of
interest-bearing liabilities.
|
(3)
|
Net interest-earning assets represent total
interest-earning assets less total interest-bearing
liabilities.
|
(4)
|
Net interest
margin represents net interest income divided by average total
interest-earning assets.
|
(5)
|
Annualized.
|
|
|
For the Six Months
Ended
|
|
|
|
June 30,
2024
|
|
|
June 30,
2023
|
|
|
|
|
|
|
|
Interest
|
|
|
|
|
|
|
|
|
|
|
Interest
|
|
|
|
|
|
|
|
Average
|
|
|
Earned/
|
|
|
Yield/
|
|
|
Average
|
|
|
Earned/
|
|
|
Yield/
|
|
(Dollars in
thousands)
|
|
Balance
|
|
|
Paid
|
|
|
Rate (5)
|
|
|
Balance
|
|
|
Paid
|
|
|
Rate (5)
|
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans (1)
|
|
$
|
1,325,955
|
|
|
$
|
40,380
|
|
|
|
6.09
|
%
|
|
$
|
1,369,172
|
|
|
$
|
39,658
|
|
|
|
5.79
|
%
|
Short-term
investments
|
|
|
112,971
|
|
|
|
3,047
|
|
|
|
5.39
|
%
|
|
|
139,189
|
|
|
|
3,361
|
|
|
|
4.83
|
%
|
Debt securities
available-for-sale
|
|
|
27,859
|
|
|
|
411
|
|
|
|
2.95
|
%
|
|
|
28,501
|
|
|
|
389
|
|
|
|
2.73
|
%
|
Federal Home Loan Bank
stock
|
|
|
1,824
|
|
|
|
69
|
|
|
|
7.57
|
%
|
|
|
2,445
|
|
|
|
95
|
|
|
|
7.77
|
%
|
Total interest-earning
assets
|
|
|
1,468,609
|
|
|
|
43,907
|
|
|
|
5.98
|
%
|
|
|
1,539,307
|
|
|
|
43,503
|
|
|
|
5.65
|
%
|
Noninterest earning
assets
|
|
|
101,639
|
|
|
|
|
|
|
|
|
|
|
|
108,385
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
1,570,248
|
|
|
|
|
|
|
|
|
|
|
$
|
1,647,692
|
|
|
|
|
|
|
|
|
|
Liabilities and
shareholders' equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Savings
accounts
|
|
$
|
229,746
|
|
|
$
|
3,607
|
|
|
|
3.14
|
%
|
|
$
|
146,061
|
|
|
$
|
519
|
|
|
|
0.71
|
%
|
Money market
accounts
|
|
|
455,724
|
|
|
|
8,737
|
|
|
|
3.83
|
%
|
|
|
413,765
|
|
|
|
6,463
|
|
|
|
3.12
|
%
|
NOW
accounts
|
|
|
76,284
|
|
|
|
408
|
|
|
|
1.07
|
%
|
|
|
121,466
|
|
|
|
348
|
|
|
|
0.57
|
%
|
Certificates of
deposit
|
|
|
240,989
|
|
|
|
6,195
|
|
|
|
5.14
|
%
|
|
|
207,870
|
|
|
|
4,241
|
|
|
|
4.08
|
%
|
Total interest-bearing
deposits
|
|
|
1,002,743
|
|
|
|
18,947
|
|
|
|
3.78
|
%
|
|
|
889,162
|
|
|
|
11,571
|
|
|
|
2.60
|
%
|
Borrowings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Short-term
borrowings
|
|
|
14,811
|
|
|
|
459
|
|
|
|
6.20
|
%
|
|
|
43,857
|
|
|
|
1,054
|
|
|
|
4.81
|
%
|
Long-term
borrowings
|
|
|
9,658
|
|
|
|
62
|
|
|
|
1.28
|
%
|
|
|
17,222
|
|
|
|
160
|
|
|
|
1.86
|
%
|
Total
borrowings
|
|
|
24,469
|
|
|
|
521
|
|
|
|
4.26
|
%
|
|
|
61,079
|
|
|
|
1,214
|
|
|
|
3.98
|
%
|
Total interest-bearing
liabilities
|
|
|
1,027,212
|
|
|
|
19,468
|
|
|
|
3.79
|
%
|
|
|
950,241
|
|
|
|
12,785
|
|
|
|
2.69
|
%
|
Noninterest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
deposits
|
|
|
306,215
|
|
|
|
|
|
|
|
|
|
|
|
465,958
|
|
|
|
|
|
|
|
|
|
Other
noninterest-bearing liabilities
|
|
|
11,280
|
|
|
|
|
|
|
|
|
|
|
|
19,921
|
|
|
|
|
|
|
|
|
|
Total
liabilities
|
|
|
1,344,707
|
|
|
|
|
|
|
|
|
|
|
|
1,436,120
|
|
|
|
|
|
|
|
|
|
Total equity
|
|
|
225,541
|
|
|
|
|
|
|
|
|
|
|
|
211,572
|
|
|
|
|
|
|
|
|
|
Total liabilities and
equity
|
|
$
|
1,570,248
|
|
|
|
|
|
|
|
|
|
|
$
|
1,647,692
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
|
|
|
|
$
|
24,439
|
|
|
|
|
|
|
|
|
|
|
$
|
30,718
|
|
|
|
|
|
Interest rate spread
(2)
|
|
|
|
|
|
|
|
|
|
|
2.19
|
%
|
|
|
|
|
|
|
|
|
|
|
2.96
|
%
|
Net interest-earning
assets (3)
|
|
$
|
441,397
|
|
|
|
|
|
|
|
|
|
|
$
|
589,066
|
|
|
|
|
|
|
|
|
|
Net interest margin
(4)
|
|
|
|
|
|
|
|
|
|
|
3.33
|
%
|
|
|
|
|
|
|
|
|
|
|
3.99
|
%
|
Average
interest-earning assets to interest-bearing liabilities
|
|
|
142.97
|
%
|
|
|
|
|
|
|
|
|
|
|
161.99
|
%
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Interest earned/paid on
loans includes $1.4 million and $2.1 million in loan
fee income for the six months ended June 30, 2024 and June 30,
2023, respectively.
|
(2)
|
Interest rate
spread represents the difference between the weighted average yield
on interest-bearing assets and the weighted average rate of
interest-bearing liabilities.
|
(3)
|
Net interest-earning assets represent total
interest-earning assets less total interest-bearing
liabilities.
|
(4)
|
Net-interest margin
represents net interest income divided by average total
interest-earning assets.
|
(5)
|
Annualized.
|
Provident Bancorp,
Inc.
Select Financial
Highlights
(Unaudited)
|
|
|
|
Three Months
Ended
|
|
|
Six Months
Ended
|
|
|
|
June 30,
|
|
|
March 31,
|
|
|
June 30,
|
|
|
June 30,
|
|
|
|
2024
|
|
|
2024
|
|
|
2023
|
|
|
2024
|
|
|
2023
|
|
Performance
Ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) return on
average assets (1)
|
|
|
(0.85)
|
%
|
|
|
1.26
|
%
|
|
|
0.81
|
%
|
|
|
0.21
|
%
|
|
|
0.68
|
%
|
(Loss) return on
average equity (1)
|
|
|
(5.80)
|
%
|
|
|
8.93
|
%
|
|
|
6.49
|
%
|
|
|
1.48
|
%
|
|
|
5.26
|
%
|
Interest rate spread
(1) (2)
|
|
|
2.10
|
%
|
|
|
2.28
|
%
|
|
|
2.61
|
%
|
|
|
2.19
|
%
|
|
|
2.96
|
%
|
Net interest margin (1)
(3)
|
|
|
3.27
|
%
|
|
|
3.38
|
%
|
|
|
3.69
|
%
|
|
|
3.33
|
%
|
|
|
3.99
|
%
|
Noninterest expense to
average assets (1)
|
|
|
2.96
|
%
|
|
|
3.23
|
%
|
|
|
2.98
|
%
|
|
|
3.10
|
%
|
|
|
3.15
|
%
|
Efficiency ratio
(4)
|
|
|
86.03
|
%
|
|
|
92.00
|
%
|
|
|
76.79
|
%
|
|
|
89.06
|
%
|
|
|
75.54
|
%
|
Average
interest-earning assets to average interest-bearing
liabilities
|
|
|
143.16
|
%
|
|
|
142.78
|
%
|
|
|
154.65
|
%
|
|
|
142.97
|
%
|
|
|
161.99
|
%
|
Average equity to
average assets
|
|
|
14.58
|
%
|
|
|
14.15
|
%
|
|
|
12.45
|
%
|
|
|
14.36
|
%
|
|
|
12.84
|
%
|
|
|
At
|
|
|
At
|
|
|
At
|
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
(Dollars in
thousands)
|
|
2024
|
|
|
2024
|
|
|
2023
|
|
Asset
Quality
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-accrual
loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial real
estate
|
|
$
|
60
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Residential real
estate
|
|
|
352
|
|
|
|
357
|
|
|
|
376
|
|
Commercial
|
|
|
1,864
|
|
|
|
1,923
|
|
|
|
1,857
|
|
Enterprise
value
|
|
|
19,038
|
|
|
|
—
|
|
|
|
1,991
|
|
Digital
asset
|
|
|
—
|
|
|
|
10,071
|
|
|
|
12,289
|
|
Consumer
|
|
|
2
|
|
|
|
1
|
|
|
|
4
|
|
Total non-accrual
loans
|
|
|
21,316
|
|
|
|
12,352
|
|
|
|
16,517
|
|
Total non-performing
assets
|
|
$
|
21,316
|
|
|
$
|
12,352
|
|
|
$
|
16,517
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset Quality
Ratios
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit
losses on loans as a percent of total loans (5)
|
|
|
1.49
|
%
|
|
|
1.18
|
%
|
|
|
1.61
|
%
|
Allowance for credit
losses on loans as a percent of non-performing loans
|
|
|
95.43
|
%
|
|
|
129.58
|
%
|
|
|
130.60
|
%
|
Non-performing loans as
a percent of total loans (5)
|
|
|
1.56
|
%
|
|
|
0.91
|
%
|
|
|
1.23
|
%
|
Non-performing loans as
a percent of total assets
|
|
|
1.29
|
%
|
|
|
0.74
|
%
|
|
|
0.99
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital and Share
Related
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders' equity to
total assets
|
|
|
13.62
|
%
|
|
|
13.70
|
%
|
|
|
13.29
|
%
|
Book value per
share
|
|
$
|
12.70
|
|
|
$
|
12.87
|
|
|
$
|
12.55
|
|
Market value per
share
|
|
$
|
10.19
|
|
|
$
|
9.10
|
|
|
$
|
10.07
|
|
Shares
outstanding
|
|
|
17,667,327
|
|
|
|
17,659,146
|
|
|
|
17,677,479
|
|
|
|
(1)
|
Annualized.
|
(2)
|
Interest rate spread
represents the difference between the weighted average yield on
average interest-earning assets and the weighted average cost of
interest-bearing liabilities.
|
(3)
|
Net interest
margin represents net interest income as a percent of average
interest-earning assets.
|
(4)
|
The efficiency
ratio represents noninterest expense divided by the sum of net
interest income and noninterest income, excluding gains on
securities available for sale, net.
|
(5)
|
Loans are
presented at amortized cost.
|
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SOURCE Provident Bancorp Inc.