The Bank of Fincastle has reported an unaudited quarterly net income of $345,680 for the first quarter of 2021, with assets of $272.1 million and total liabilities of $241.4 million.
“As the COVID-19 pandemic continues to impact our daily lives, we are nonetheless encouraged to see local economic activity returning to more normal levels and improvement in our financial performance. The level of COVID-19 related payment deferrals decreased in the first quarter and now represent 2.92% of the loan portfolio (net of PPP loans), down 89% from their peak,” said President and CEO Scott Steele.
Steele added, “We continue to help our borrowers with the SBA Paycheck Protection Program (PPP) and out of the 238 PPP loans processed in 2020, 85 percent of the borrowers have applied for and received full loan forgiveness. At quarter-end, the bank had $25,211,393 in first and second round PPP loans on its books, all which are anticipated to be fully forgiven in 2021. In January, the bank began receiving applications for the Second Draw PPP. Since then, we have processed 166 Second Draw PPP loan applications totaling more than $7,761,800.”
Regarding the announced merger with First National Corporation Steele commented, “I am pleased to share that things have been progressing on schedule and we are planning a special meeting of the shareholders in mid-June whereby shareholders will have an opportunity to vote for the merger.” Special meeting notices along with merger-related proxy materials were scheduled to be mailed to the shareholders on or about April 30.
Key Highlights
- Net income for the three months ended March 31, 2021 increased 300 percent to $346,000 from $86,000 for the same period in 2019.
- First quarter return on average assets was 0.56% versus 0.17% for the first quarter of 2020. Return on Average Equity was 4.81% versus 1.33% for the same period in 2020.
- Total asset growth was $48,110,357 or 21.5% year over year.
- Loan growth was $27,816,628 or 16.4% year over year.
- Total deposit growth was $46,429,899 or 24.0% year over year.
- OREO was reduced by $878,000 or 71.7% year over year.
- 30-89 past dues were 0.17% at March 31, 2021.
For a detailed news release on the 2021 first quarter earnings, including the income statement and balance sheet, visit the website at https://www.bankoffincastle.bank/investor-relations/.
For additional information, email shareholderrelations@bankoffincastle.bank.
About The Bank of Fincastle
The Bank of Fincastle has been a leading financial services provider in the Roanoke region since 1875, and offers a full range of banking, lending and investment products. Headquartered in Fincastle, the bank has six full-service branches, 13 ATM locations, a 7 a.m. to 7 p.m. drive-through location and offers online deposit account opening, online real-estate and consumer loan applications, online banking, mobile banking and 24/7 telephone banking. Visit www.bankoffincastle.bank or call 473-2761.
