Business
First Northern Community Bancorp Reports Year End 2024 Net Income of $20.0 Million
DIXON, Calif.--(BUSINESS WIRE)-- First Northern Community Bancorp (the “Company”, OTCQX: FNRN), holding company for First Northern Bank (“First Northern” or
About this update from First Northern Community Bancorp
[{"type":"text","content":" DIXON, Calif.--(BUSINESS WIRE)--\nFirst Northern Community Bancorp (the “Company”, OTCQX: FNRN), holding company for First Northern Bank (“First Northern” or the “Bank”), today reported 2024 annual net income of $20.0 million, or $1.24 per diluted share, a decrease of 7.5% when compared to net income of $21.6 million or $1.34 per diluted share for 2023. Net income for the year ended December 31, 2023 included the bargain purchase gain resulting from the Bank’s acquisition of three branches. On an after-tax basis, the bargain purchase gain contributed $1.0 million to net income for the year ended December 31, 2023.\n\n\nNet income for the quarter ended December 31, 2024, was $5.8 million, or $0.37 per diluted share, down 15.1% compared to net income of $6.9 million, or $0.43 per diluted share, for the quarter ended December 31, 2023. The decrease in net income on a quarter-over-quarter basis was primarily driven by a reduction in reversal of provision for credit losses. There was a reversal of provision for credit losses of $450,000 for the quarter ended December 31, 2024, compared to a reversal of provision for credit losses of $2.0 million for the quarter ended December 31, 2023. The decline in reversal of provision for credit losses was due to the payoff of a non-performing agricultural loan relationship in the quarter ended December 31, 2023, which resulted in recoveries of previously charged-off principal totaling $2.6 million. This recovery was not repeated in the quarter ended December 31, 2024.\n\n\nTotal assets as of December 31, 2024, were $1.89 billion, an increase of $19.9 million, or 1.1%, compared to December 31, 2023. Total deposits as of December 31, 2024, were $1.70 billion, an increase of $7.6 million, or 0.5%, compared to December 31, 2023. Total net loans (including loans held-for-sale) as of December 31, 2024, were $1.047 billion, a decrease of $5.6 million, or 0.5%, compared to total net loans (including loans held-for-sale) of $1.052 billion as of December 31, 2023. The decrease in net loans was primarily driven by net reductions in agricultural and residential construction loans, which was partially offset by growth in commercial loans.\n\n\nThe Company continued to be “well capitalized” under regulatory definitions, exceeding the 10% total risk-based capital ratio threshold as of December 31, 2024.\n\n\n...