Bank of Idaho Holding Company Reports First Quarter 2024 Financial Results - Seite 2

Net interest income for Q1 2024 was $12.3 million, a marginal decrease of $70,000, or 0.6%, from the prior quarter as interest income kept pace with the increases in interest expense due to new loan production being backloaded in the quarter.

Net interest margin for the first quarter of 2024 was 4.43% compared to 4.65% in the previous quarter and 4.84% for the same quarter last year. While there continues to be margin pressure from the Fed's restrictive rate policy and liquidity tightening mandate, we continue to see healthy loan demand at attractive spreads that allows us to defend our operating margins. While the cost of funding continues to increase, the growth in earning assets at current market yields is expected to outpace the funding cost pressures. Relative to the first quarter of 2023, the consolidated net interest margin decreased due to rising deposit costs.

Noninterest income, including net gains and losses, for Q1 2024 was $1,197,000, an increase of $163,000, or 15.8%, from $1,034,000 in Q4 2023. The increase was attributable to generating more income from gain on loan sales in the current quarter and a one-time gain on sale of securities. Relative to the first quarter of 2023, noninterest income increased $43,000, or 3.7%.

Noninterest expense of $8.77 million in Q1 2024 was a decrease of $276,000, or 3.0%, from $9.05 million in Q4 2023 and a $788,000, or 8.2%, decrease from $9.56 million in Q1 2023. The decrease from Q4 2023 was due to lower compensation expenses and other noninterest expenses. Compensation expense in the first quarter of 2023 included a one-time catch-up in incentive expense. The Company's efficiency ratio was 64.9% for Q1 2024, compared to 67.3% for Q4 2023, and 75.1% for Q1 2023.

Total assets were $1.19 billion as of March 31, 2024, an increase of $47.6 million, or 4.2%, from $1.14 billion at December 31, 2023. First quarter 2024 balance sheet activity was characterized by $33.9 million, or 3.8%, growth in portfolio loans. Loans were funded by the growth in deposits of $43.8 million, or 4.6%. Cash and cash equivalents increased $18.4 million along with an increase of $1.0 million in total borrowings. Prior to the change in Federal Reserve's Bank Term Funding Program ("BTFP") rate structure, we borrowed $24.6 million from the BTFP at a rate of 4.87% and paid down FHLB overnight borrowings.