Wed, Aug 14, 5:32 PM (153 days ago)
Tectonic Financial, Inc. reported a mixed quarterly performance for Q2 2024, with net income available to common shareholders rising to $2.76 million (up 4.7% YoY), while net income for the six-month period fell to $5.43 million (down 22.0% YoY). The increase in quarterly net income was driven by a $1 million rise in net interest income and a $1.3 million uptick in non-interest income, countered by higher provisions for credit losses ($1.66 million) and increased non-interest expenses. Total assets grew by 14.7% to $777.1 million, primarily due to a $72.6 million increase in loans held for investment. Net interest margin decreased to 4.22%, while the average yield on loans increased to 9.33%. The allowance for credit losses rose to $8.28 million due to rising loan volumes and economic uncertainties. Non-interest income also showed growth, particularly in trust and advisory services, although loan sales were absent this quarter. The company's liquidity remains stable, supported by a strong capital position exceeding regulatory requirements. Future performance may be impacted by economic conditions, interest rates, and credit quality considerations.