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Farmers and Merchants Bancshares, Inc. has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing reports a total asset increase to $817,530,981, up from $799,940,826 as of December 31, 2023. This increase was primarily due to a $48,254,335 rise in loans, partially offset by decreases in cash equivalents and debt securities.
Total liabilities rose to $758,368,633 from $747,762,535, driven by a $21,000,000 increase in Federal Reserve Bank advances, despite a decrease in deposits and securities sold under repurchase agreements.
Stockholders' equity increased to $59,162,348, attributed to net income of $3,421,623 and a reduction in accumulated other comprehensive loss.
Net income for the nine months ended September 30, 2024, was $3,421,623, down from $5,003,107 for the same period in 2023. This decrease was due to reduced net interest income, increased noninterest expense, and a lower recovery of credit losses.
Net interest income fell to $15,392,468 from $16,114,887, with the net yield on interest-earning assets decreasing to 2.67% from 3.04% due to higher interest expenses on deposits and borrowings.
Provision for credit losses resulted in a net provision of $0 for the nine months ended September 30, 2024, compared to a net recovery of $570,000 in the same period of 2023.
Noninterest income increased to $1,329,395, primarily due to insurance proceeds from storm damage.
Noninterest expense rose to $12,306,951, with increases in salaries, benefits, and occupancy costs.
Income tax expense decreased to $993,289, with an effective tax rate of 22.5% compared to 24.9% in the prior year.
Total deposits decreased by $7,218,129, with a significant increase in certificates of deposit offset by decreases in other deposit categories.
The report also highlights the company's liquidity management strategies, including borrowing capabilities from the Federal Home Loan Bank and Federal Reserve Bank.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Farmers and Merchants Bancshares Inc (MD) quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.