Business
Lake Shore Bancorp, Inc. Announces 2023 Fourth Quarter and Year End Financial Results
DUNKIRK, N.Y., Jan. 31, 2024 (GLOBE NEWSWIRE) -- Lake Shore Bancorp, Inc. (the “Company”) (NASDAQ: LSBK), the holding company for Lake Shore Savings Bank (the
About this update from Lake Shore Bancorp, Inc.
[{"type":"text","content":"DUNKIRK, N.Y., Jan. 31, 2024 (GLOBE NEWSWIRE) -- Lake Shore Bancorp, Inc. (the “Company”) (NASDAQ: LSBK), the holding company for Lake Shore Savings Bank (the “Bank”), reported unaudited net income of $749,000, or $0.13 per diluted share, for the fourth quarter of 2023 compared to net income of $1.2 million, or $0.20 per diluted share, for the fourth quarter of 2022. For the year ended December 31, 2023, the Company reported unaudited net income of $4.8 million, or $0.82 per diluted share, as compared to $5.7 million, or $0.97 per diluted share, for the year ended December 31, 2022. The Company's 2023 financial performance was negatively impacted by the Office of the Comptroller of the Currency's (the \"OCC\") regulatory action of February 2023 resulting in increased non-interest expense. “Lake Shore's financial performance throughout 2023 and the fourth quarter was commendable given the financial pressures experienced from a challenging interest rate environment and costly, ongoing regulatory matters we continue to address,” stated Kim Liddell, President, CEO, and Director. \"We believe our efforts to remediate and strengthen those regulatory operational areas will be successful as we continuously strive to enhance and deliver shareholder value.\" 2023 Full Year and Fourth Quarter Financial Highlights: Net income decreased to $749,000 during the 2023 fourth quarter, a decrease of $443,000, or 37.2%, when compared to the 2022 fourth quarter. Net income during the fourth quarter of 2023 was negatively impacted by a decrease to net interest income after (credit) provision for credit losses, partially offset by an increase in non-interest income from a bank-owned life insurance restructure which took place during Q4 2023;Net income decreased to $4.8 million during the year ended December 31, 2023, a decrease of $0.9 million, or 15.5%, when compared to the year ended December 31, 2022. Net income during the year ended December 31, 2023 was negatively impacted by an increase in non-interest expenses associated with remediation activities related to regulatory matters, and an increase in salaries and benefits, partially offset by an increase in net interest income after (credit) provision for credit losses;Net interest margin and interest rate spread was 3.34% and 2.83%, respectively, for the 2023 fourth quarter as compared to 4.07% a...