ESSA Bancorp Inc. (ESSA) reports earnings

The filing was submitted on December 13, 2024

We may earn a commission from links on this page.
In This Story

ESSA Bancorp Inc. (ESSA) has filed its annual report on Form 10-K for the fiscal year ended September 30, 2024 filing.

The report details ESSA Bancorp's financial condition, showing total assets of $2.2 billion, a decrease from $2.3 billion at the end of the previous fiscal year. This decrease is primarily attributed to reductions in investment securities and cash equivalents.

The company's net loans increased by $63.8 million, reaching $1.7 billion. This growth was mainly driven by increases in commercial real estate loans and residential real estate loans.

Advertisement

Total deposits decreased by $32.0 million to $1.6 billion, with declines observed in interest-bearing demand accounts and money market accounts, partially offset by a rise in certificates of deposit.

Advertisement

ESSA Bancorp reported a net income of $17.0 million for the fiscal year, a decrease from $18.6 million in the prior year. The decline in net income was primarily due to higher noninterest expenses and lower net interest income.

Advertisement

Net interest income fell by $3.3 million, mainly due to increased interest expenses on deposits and borrowings, despite a rise in interest income.

The allowance for credit losses decreased to $15.3 million from $18.5 million, reflecting a shift in the credit risk profile and the adoption of the current expected credit losses (CECL) methodology.

Advertisement

ESSA Bancorp's regulatory capital ratios remained strong, with the bank categorized as well-capitalized under applicable regulatory guidelines.

The filing also discusses various risk factors, including economic conditions, interest rate changes, and competition, which could impact the company's future financial performance.

Advertisement

ESSA Bancorp's management continues to focus on strategic initiatives, including expanding customer relationships, enhancing profitability, and maintaining asset quality.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the ESSA Bancorp Inc. annual 10-K report dated December 13, 2024. To report an error, please email earnings@qz.com.