First Northern Community Bancorp Reports Third Quarter 2021 Net Income of $4.5 Million, Up 31.7% from One Year Ago

First Northern Community Bancorp (the “Company”, OTCQB: FNRN), holding company for First Northern Bank (“First Northern” or the “Bank”), today reported net income of $11.0 million, or $0.81 per diluted share, for the nine months ended September 30, 2021, up 24.8% compared to net income of $8.8 million, or $0.65 per diluted share, for the nine months ended September 30, 2020.

Net income for the quarter ended September 30, 2021 was $4.5 million, or $0.33 per diluted share, up 31.7% compared to net income of $3.4 million, or $0.25 per diluted share, for the quarter ended September 30, 2020.

Total assets as of September 30, 2021 were $1.92 billion, an increase of $247.2 million, or 14.7%, compared to September 30, 2020. Total deposits as of September 30, 2021 were $1.75 billion, an increase of $250.7 million, or 16.7%, compared to September 30, 2020. Total net loans (including loans held-for-sale) as of September 30, 2021 were $825.6 million, a decrease of $144.9 million, or 14.9%, compared to September 30, 2020. The decrease in net loans was primarily driven by payoffs and forgiveness on loans made under the SBA’s Paycheck Protection Program (PPP) totaling approximately $276 million, which was partially offset by PPP loans originated totaling $115.0 million. The Company continued to be “well capitalized” under regulatory definitions, exceeding the 10% total risk-based capital ratio threshold as of September 30, 2021.

Commenting on the Company’s financial results, President & Chief Executive Officer Louise Walker stated, “We are pleased to report First Northern Community Bancorp delivered another strong quarter. We saw encouraging signs of economic recovery, and customer activity started to normalize. Credit quality continued to rebound from the initial shock of the onset of the pandemic, illustrating that our decisive and conservative actions and working closely with our customers made a meaningful difference. Driving the increase in net income for the first nine months of this year compared to the same period in 2020, were gains from mortgage-related activities, debit card income, service charge income, investment and brokerage services income and decreases in interest expense and provision for loan losses.”