Wed, Aug 14, 7:06 PM (153 days ago)
For the quarter ending June 30, 2024, New Peoples Bankshares, Inc. reported a net income of $1.7 million, a slight decrease of 2.26% from the previous year. Total assets grew to $854.7 million, with loans remaining stable at $639.9 million. Net interest income was flat at $7.0 million, despite an increase in interest income due to higher loan volumes and yields. The cost of interest-bearing liabilities rose significantly, leading to a net interest margin decline to 3.41%. The provision for credit losses increased to $472,000, reflecting heightened credit risk. Noninterest income rose 5.32%, driven by service fees and card processing. Total deposits increased by 3.7% to $743.2 million, attributed to competitive deposit strategies. The allowance for credit losses as a percentage of total loans increased to 1.21%. Notably, nonperforming assets rose 49.42% to $5.5 million, indicating potential asset quality concerns. The company's capital remains strong, with a book value per share of $2.80. Overall, while the bank shows growth in assets and deposits, rising interest expenses and increasing nonperforming loans present challenges for future performance.