NEW PEOPLES BANKSHARES INC, a regional bank providing general banking services to individuals, small and medium-sized businesses, and the professional community in southwest Virginia, southern West Virginia, western North Carolina, and northeastern Tennessee, has released its Form 10-Q report for the first quarter of 2024. The report highlights the company's financial performance and operational activities during the period.
Financial Highlights
- Total Interest and Dividend Income: $10.6 million, reflecting an increase from $8.5 million in the previous year, driven by higher interest rates and increased loan balances.
- Net Interest Income: $6.9 million, a slight decrease of 1.95% from the previous year due to increased costs of interest-bearing liabilities.
- Net Income: $1.8 million, a decrease of 11.63% compared to the same period in 2023, primarily due to higher interest expenses.
- Earnings Per Share: $0.08, consistent with the previous year, despite a decrease in net income.
- Noninterest Income: $2.3 million, a decrease of 3.25% from the previous year, impacted by lower gains on the sale of premises and equipment.
Business Highlights
- Revenue Segments: The company reported noninterest income of $2.3 million for the first quarter of 2024, with service charges and fees contributing $915,000, card processing and interchange income at $895,000, and insurance and investment fees at $322,000.
- Geographical Performance: The company operates in southwest Virginia, southern West Virginia, western North Carolina, and northeastern Tennessee, providing general banking services to individuals, small and medium-sized businesses, and the professional community.
- Sales Units: Gross loans receivable increased slightly by $483,000 to $638.6 million as of March 31, 2024. Consumer loans saw a notable increase of 10.69%, including the purchase of $1.0 million of individual loans during the quarter.
- New Production Launches: A new branch office was opened in Boone, North Carolina during the first quarter of 2024, contributing to increased occupancy costs.
- Future Outlook: The company plans to continue its stock repurchase program through March 31, 2025, having repurchased 210,299 shares at an average price of $2.34 per share since inception. The company also aims to maintain capital sufficient to support planned asset growth while being able to absorb potential losses.
SEC Filing: