White River Bancshares Co. (OTCQX: WRIV) of Fayetteville on Tuesday reported record income for the second straight quarter.
Net income was $2.74 million in the third quarter, compared to $639,000 in the same quarter a year ago. The income surpassed the bank’s previous record of $1.85 million set in the second quarter of 2024.
Per share, earnings came to $1.12.
The holding company for Signature Bank of Arkansas and Banco Sí attributed the results in part to its expanding net interest margin, which was 3.32% in the period, compared to 3.25% a year ago.
Net interest income increased 30.1% to $9.4 million, compared to $7.3 million in the third quarter of 2023.
Brant Ward, president of White River Bancshares, said higher asset yields more than offset a modest increase in funding costs during the quarter. “We anticipate our [net interest margin] will continue to expand for the remainder of 2024 if interest rates remain at current levels or continue to decline,” he said.
Total deposits increased 12.1% to $1.036 billion, compared to $923.9 million a year ago. Demand and non-interest-bearing deposits decreased 6% compared to a year ago while savings and interest-bearing transaction accounts were up 16.1%.
Loans, net of allowance for credit losses, were $977 million, up 8.9% from $897.2 million a year ago but down slightly compared to $982.3 million three months earlier.
Total assets increased 11.8% in the quarter to $1.216 billion, up from $1.087 billion a year ago.
The results come as White River Bancshares seeks a new CFO. The company announced that Edward P. Riendeau resigned from the position in September and James Baird, senior vice president and controller, was appointed to the role on an interim basis. No reason was given for Riendeau’s departure.
The bank executed a two-for-one stock split on Sept. 4. Shares were up about 4% Tuesday morning to $30.09. Year to date, shares were down nearly 4%.
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