As of September 30, 2024, 1895 Bancorp of Wisconsin, Inc. reported total assets of $564.5 million, reflecting a modest increase of $6.9 million, or 1.2%, from $557.6 million at the end of 2023. Cash and cash equivalents saw a significant rise, increasing by $12.4 million, or 93.2%, to $25.7 million, driven by a net increase in Federal Home Loan Bank (FHLB) advances and higher advance payments by borrowers for taxes and insurance. However, available-for-sale securities decreased by $9.3 million, or 8.5%, to $100.3 million, primarily due to maturities and calls of securities.

The company reported interest and dividend income of $6.0 million for the three months ended September 30, 2024, a 12.0% increase from $5.4 million in the same period of 2023. For the nine months, interest and dividend income rose to $18.3 million, up from $15.1 million, marking a 21.2% increase. This growth was attributed to an increase in average loans outstanding and a higher yield on loans, which rose from 4.44% to 4.85%. Conversely, total interest expense surged by 55.2% to $9.0 million for the nine months, driven by a significant rise in interest rates and an increase in average interest-bearing deposits.

Net interest income for the three months ended September 30, 2024, was $3.0 million, a slight increase from $2.95 million in the prior year. However, for the nine months, net interest income decreased marginally to $9.2 million from $9.25 million. The net interest margin also contracted to 2.36% from 2.46% in the previous year.

The company reported a net loss of $159,000 for the three months ended September 30, 2024, a significant improvement compared to a net loss of $3.6 million for the same period in 2023. For the nine months, the net loss was $981,000, down from $4.5 million in the prior year. This reduction in losses was supported by a substantial increase in noninterest income, which rose to $2.6 million from $306,000, primarily due to the absence of a prior year loss on the sale of securities.

Total liabilities increased to $491.4 million, up from $484.8 million at the end of 2023, while total stockholders’ equity rose to $73.2 million from $72.8 million. The company’s allowance for credit losses for loans was $4.0 million, representing 0.99% of total loans, an increase from $3.7 million at the end of 2023. The company also experienced a reduction in nonaccrual loans, which accounted for 0.23% of total loans, down from 0.28% at the end of 2023.

In terms of strategic developments, the company has implemented cost-saving initiatives, including a reduction in workforce, which has led to a decrease in full-time equivalent employees from 106 to 88 over the past year. The company continues to navigate regulatory compliance and market conditions while focusing on enhancing its financial performance.