Business
MainStreet Bancshares, Inc. Reports Robust Loan and Net Income Growth
FAIRFAX, Va., April 19, 2022 /PRNewswire/ -- MainStreet Bancshares, Inc. (Nasdaq: MNSB & MNSBP), the holding company for MainStreet Bank, reported robust net
About this update from Mainstreet Bancshares, Inc.
[{"type":"text","content":"FAIRFAX, Va., April 19, 2022 /PRNewswire/ -- MainStreet Bancshares, Inc. (Nasdaq: MNSB & MNSBP), the holding company for MainStreet Bank, reported robust net income for the first quarter of 2022, said it is positioned favorably for rising interest rates, and previewed business developments at its Avenu™ Banking-as-a-Service (BaaS) subsidiary.\n\n \n \n \n \n \n \n\n \nNet income totaled $5.4 million for three months ended March 31, 2022. Net interest income totaled $15.2 million in the first quarter and is 13% higher than the year-earlier period. Reduced funding costs and an increase in short-term rates propelled the net interest margin higher by 50 basis points to 3.91% as of March 31, versus 3.41% a year earlier. The Company's efficiency ratio remains solid at 55%. Total assets reached $1.75 billion in the first quarter, a 6.3% increase from a year earlier.\nQuarterly results represent:\n11.59% return on average equity1.32% return on average assets$0.64 earnings per share of common stock (basic and diluted)$21.12 per common share book value\"MainStreet Bancshares Inc. began 2022 on a strong note, with solid growth in income and increased earnings per share,\" said Jeff W. Dick, Chairman and CEO of both the Bank and the Company. \"More than 70% of our loans are designed to reprice as the Federal Reserve implements plans to push interest rates higher over the coming year. These upward adjustments should continue to reflect positively on the bottom line.\"\nThe loan portfolio grew 5.3% in first quarter of 2022, and commercial loan originations totaling $111 million were added to the balance sheet. Asset quality remains pristine, as the Company had zero non-performing assets as of quarter ended March 31, 2022. Non-interest-bearing deposits represent 36% of the $1.4 billion in total deposits, and 73% of total deposits are core deposits.\n\"MainStreet Bank has built strong relationships across a diverse business community and maintained a consistent focus on efficiency, yielding steady deposit and loan growth,\" said Abdul Hersiburane, President of MainStreet Bank. \"We serve a vibrant business community across the Metropolitan Washington region, consisting of organizations that demand the nimble, technology-forward response that MainStreet Bank excels at delivering.\"\nAvenu™\nAvenu™, a division of MainStreet Bank, which provides B...