These factors include, among others, the following: (i) the strength of the local, state, national and international economies and financial markets, including the effects of inflationary pressures and future monetary policies of the Federal Reserve in response thereto; (ii) effects on the U.S. economy resulting from actions taken by the federal government, including the threat or implementation of tariffs, immigration enforcement and changes in foreign policy; (iii) changes in interest rates and prepayment rates of our assets; (iv) increased competition in the financial services sector and the inability to attract new customers, including from non-bank competitors such as credit unions and “fintech” companies; (v) timely development and acceptance of new products and services; (vi) rapid and expensive technological changes implemented by us and other parties in the financial services industry, including third-party vendors, which may be more difficult to implement or more expensive than anticipated or which may have unforeseen consequence to us and our customers, including the development and implementation of tools incorporating artificial intelligence; (vii) our risk management framework; (viii) interruptions in information technology and telecommunications systems and third-party services; (ix) the economic effects of severe weather, natural disasters, widespread disease or pandemics, or other external events; (x) the loss of key executives or employees; (xi) changes in consumer spending; (xii) integration of acquired businesses; (xiii) the commencement, cost and outcome of litigation and other legal proceedings and regulatory actions against us or to which the Company may become subject; (xiv) changes in accounting policies and practices, such as the implementation of the current expected credit losses accounting standard; (xv) the economic impact of past and any future terrorist attacks, military conflicts, acts of war, including ongoing conflicts in the Middle East, the Russian invasion of Ukraine and recent military actions in Venezuela, or threats thereof, and the response of the United States to any such threats and attacks; (xvi) the ability to manage credit risk, forecast loan losses and maintain an adequate allowance for loan losses; (xvii) fluctuations in the value of securities held in our securities portfolio; (xviii) concentrations within our loan portfolio and large loans to certain borrowers (including commercial real estate loans); (xix) the concentration of large deposits from certain clients who have balances above current FDIC insurance limits and may withdraw deposits to diversify their exposure; (xx) the level of non-performing assets on our balance sheets; (xxi) the ability to raise additional capital; (xxii) the occurrence of fraudulent activity, breaches or failures of our or our third-party vendors’ information security controls or cybersecurity-related incidents, including as a result of sophisticated attacks using artificial intelligence and similar tools or as a result of insider fraud; (xxiii) declines in real estate values; (xxiv) the effects of fraud on the part of our employees, customers, vendors or counterparties; (xxv) the Company’s success at managing and responding to the risks involved in the foregoing items; and (xxvi) any other risks described in the “Risk Factors” sections of reports filed by Landmark with the Securities and Exchange Commission. Three months ended, Year ended, December 31, September 30, December 31, December 31, December 31, (Dollars in thousands, except per share amounts) 2025 2025 2024 2025 2024 Interest income: Loans $ 17,858 $ 17,783 $ 15,955 $ 69,222 $ 61,400 Investment securities: Taxable 2,227 2,198 2,210 8,768 9,298 Tax-exempt 681 700 738 2,801 3,008 Interest-bearing deposits at banks 71 58 49 225 193 Total interest income 20,837 20,739 18,952 81,016 73,899 Interest expense: Deposits 5,138 5,410 5,350 20,928 22,310 FHLB and other borrowings 550 857 737 2,833 3,886 Subordinated debentures 344 361 389 1,420 1,635 Repurchase agreements 16 17 77 150 344 Total interest expense 6,048 6,645 6,553 25,331 28,175 Net interest income 14,789 14,094 12,399 55,685 45,724 Provision for credit losses 500 850 1,500 2,350 2,300 Net interest income after provision for credit losses 14,289 13,244 10,899 53,335 43,424 Non-interest income: Fees and service charges 2,671 2,660 2,710 10,195 10,742 Gains on sales of loans, net 925 948 522 3,175 2,386 Bank owned life insurance 286 283 976 1,119 1,723 Losses on sales of investment securities, net (101 ) - (1,031 ) (103 ) (1,031 ) Other 118 177 194 565 924 Total non-interest income 3,899 4,068 3,371 14,951 14,744 Non-interest expense: Compensation and benefits 6,815 6,304 6,264 25,507 23,103 Occupancy and equipment 1,293 1,364 1,550 5,153 5,663 Data processing 546 476 452 2,047 1,889 Amortization of mortgage servicing rights and other intangibles 224 247 240 948 1,164 Professional fees 919 746 1,043 2,950 2,912 Valuation allowance on assets held for sale 356 - - 356 1,108 Other 2,107 2,114 2,325 8,272 8,240 Total non-interest expense 12,260 11,251 11,874 45,233 44,079 Earnings before income taxes 5,928 6,061 2,396 23,053 14,089 Income tax expense (benefit) 1,188 1,131 (886 ) 4,278 1,086 Net earnings $ 4,740 $ 4,930 $ 3,282 $ 18,775 $ 13,003 Net earnings per share (1) Basic $ 0.78 $ 0.81 $ 0.54 $ 3.09 $ 2.15 Diluted 0.77 0.81 0.54 3.07 2.15 Dividends per share (1) 0.20 0.20 0.19 0.80 0.76 Shares outstanding at end of period (1) 6,074,381 6,073,744 6,063,958 6,074,381 6,063,958 Weighted average common shares outstanding - basic (1) 6,073,867 6,072,915 6,063,988 6,070,662 6,045,959 Weighted average common shares outstanding - diluted (1) 6,129,670 6,121,123 6,079,252 6,118,861 6,052,496 Tax equivalent net interest income $ 14,954 $ 14,260 $ 12,574 $ 56,358 $ 46,428 year ended, December 31, September 30, December 31, December 31, December 31, (Dollars in thousands, except per share amounts) 2025 2025 2024 2025 2024 Performance ratios: Return on average assets (1) 1.17 % 1.21 % 0.83 % 1.17 % 0.83 % Return on average equity (1) 11.88 % 13.00 % 9.54 % 12.68 % 10.01 % Net interest margin (1)(2) 4.03 % 3.83 % 3.51 % 3.86 % 3.28 % Effective tax rate 20.0 % 18.7 % -37.0 % 18.6 % 7.7 % Efficiency ratio (3) 62.8 % 61.2 % 70.0 % 62.7 % 69.1 % Adjusted non-interest income to total income (3) 21.2 % 22.2 % 25.9 % 21.2 % 25.3 % Average balances: Investment securities $ 359,146 $ 362,717 $ 409,648 $ 365,837 $ 432,928 Loans 1,106,438 1,108,545 1,010,153 1,086,576 974,293 Assets 1,612,385 1,617,429 1,568,821 1,599,415 1,558,236 Interest-bearing deposits 987,965 984,335 944,969 979,361 938,223 Total deposits 1,356,125 1,347,357 1,314,338 1,340,280 1,301,372 FHLB and other borrowings 49,647 72,871 57,507 61,273 70,226 Subordinated debentures 21,651 21,651 21,651 21,651 21,651 Repurchase agreements 1,878 1,833 12,212 4,730 12,216 Stockholders’ equity $ 158,242 $ 150,434 $ 136,933 $ 148,032 $ 129,944 Average tax equivalent yield/cost (1): Investment securities 3.39 % 3.35 % 3.03 % 3.34 % 3.00 % Loans 6.40 % 6.37 % 6.28 % 6.37 % 6.30 % Total interest-bearing assets 5.66 % 5.61 % 5.34 % 5.60 % 5.28 % Interest-bearing deposits 2.06 % 2.18 % 2.25 % 2.14 % 2.38 % Total deposits 1.50 % 1.59 % 1.62 % 1.56 % 1.71 % FHLB and other borrowings 4.40 % 4.67 % 5.10 % 4.62 % 5.53 % Subordinated debentures 6.30 % 6.62 % 7.15 % 6.56 % 7.55 % Repurchase agreements 3.38 % 3.68 % 2.51 % 3.17 % 2.82 % Total interest-bearing liabilities 2.26 % 2.44 % 2.52 % 2.37 % 2.70 % Capital ratios: Equity to total assets 10.00 % 9.63 % 8.65 % Tangible equity to tangible assets (3) 8.03 % 7.66 % 6.58 % Book value per share $ 26.44 $ 25.64 $ 22.46 Tangible book value per share (3) $ 20.79 $ 19.96 $ 16.70 Rollforward of allowance for credit losses (loans): Beginning balance $ 12,299 $ 13,762 $ 11,544 $ 12,825 $ 10,608 Charge-offs (459 ) (2,380 ) (246 ) (3,050 ) (659 ) Recoveries 118 67 27 333 476 Provision for credit losses for loans 500 850 1,500 2,350 2,400 Ending balance $ 12,458 $ 12,299 $ 12,825 $ 12,458 $ 12,825 Allowance for unfunded loan commitments $ 150 $ 150 $ 150 Non-performing assets: Non-accrual loans $ 9,994 $ 9,999 $ 13,115 Accruing loans over 90 days past due - - - Real estate owned - - 167 Total non-performing assets $ 9,994 $ 9,999 $ 13,282 Loans 30-89 days delinquent $ 4,274 $ 4,853 $ 6,201 Other ratios: Loans to deposits 79.09 % 83.36 % 78.21 % Loans 30-89 days delinquent and still accruing to gross loans outstanding 0.38 % 0.43 % 0.59 % Total non-performing loans to gross loans outstanding 0.90 % 0.89 % 1.25 % Total non-performing assets to total assets 0.62 % 0.62 % 0.84 % Allowance for credit losses to gross loans outstanding 1.12 % 1.10 % 1.22 % Allowance for credit losses to total non-performing loans 124.65 % 123.00 % 97.79 % Net loan charge-offs to average loans (1) 0.12 % 0.83 % 0.09 % 0.25 % 0.02 %
Author: Landmark Bancorp, Inc.
Published at: 2026-01-28 21:15:00
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