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First National Corporation Reports Second Quarter 2023 Financial Results
STRASBURG, Va., July 26, 2023 (GLOBE NEWSWIRE) -- First National Corporation (the “Company” or “First National”) (NASDAQ: FXNC), the bank holding company of
About this update from First National Corporation
[{"type":"text","content":"STRASBURG, Va., July 26, 2023 (GLOBE NEWSWIRE) -- First National Corporation (the “Company” or “First National”) (NASDAQ: FXNC), the bank holding company of First Bank (the “Bank”), reported unaudited consolidated net income of $3.5 million and diluted earnings per common share of $0.56 for the three months ended June 30, 2023. This compared to net income of $3.8 million and diluted earnings per common share of $0.61 for the first quarter of 2023, and net income of $3.8 million and diluted earnings per common share of $0.61 for the second quarter of 2022. SECOND QUARTER HIGHLIGHTS Key highlights of the second quarter ended June 30, 2023, are as follows. Comparisons are to the linked quarterly period ended March 31, 2023, unless otherwise stated: Tangible book value per common share totaled $17.55, up $2.01 from one year agoDeposits were unchanged at $1.2 billionNoninterest-bearing demand deposits comprised 32% of total depositsReturn on average assets was 1.02%Return on average equity was 12.56%Loans increased $12.2 million, or 5% annualizedNonperforming assets improved to 0.05% of total assets “We are pleased with the Company’s performance during the second quarter and for the first half of the year. Our team continued to deliver strong ROA and ROE in spite of rising costs of deposits resulting from the Federal Reserve actions of the last twelve months, while continuing to invest for the future,” said Scott C. Harvard, president, and chief executive officer of First National. During the quarter, we announced the addition of Todd Ross to lead our Roanoke Valley team, began negotiations for a downtown Roanoke location, and negotiated enhancements to our technology delivery systems. First Bank is fortunate that over 30% of deposits reside in noninterest-bearing accounts that we believe are core customer relationships and help to mitigate the pressure on deposit costs. Asset quality remains excellent, with nonperforming assets at historically low levels and little evidence of credit deterioration. Loan growth picked up in the quarter resulting in net loan growth of $12.2 million. We will continue to remain vigilant around credit quality, as well as loan and deposit pricing, as we navigate the impact of Federal Reserve actions on the economy. NET INTEREST INCOME Net interest income decreased by $431 thousand, or 4%, to $10.7 million...