Colony Bankcorp, Inc. reported its financial results for the three and nine months ended September 30, 2024, showing a mixed performance compared to the previous fiscal period. The company’s total assets remained stable at approximately $3.1 billion, while total loans increased slightly to $1.89 billion, up from $1.88 billion at the end of 2023. However, total deposits decreased by 0.78% to $2.52 billion, reflecting a decline in both noninterest-bearing and interest-bearing accounts.

For the third quarter of 2024, Colony Bankcorp recorded net income of $5.6 million, a decrease from $5.8 million in the same quarter of 2023. This decline was attributed to increased interest expenses that outpaced growth in interest income, which rose to $34.6 million from $32.6 million year-over-year. The net interest income for the quarter was $18.5 million, down from $19.6 million in Q3 2023. For the nine-month period, net income increased to $16.4 million from $16.1 million, driven by higher net interest and noninterest income.

The company’s noninterest income for Q3 2024 was $10.1 million, reflecting a 3.75% increase from the previous year, while noninterest expenses decreased slightly to $20.8 million. The provision for credit losses for the third quarter was $750,000, down from $1 million in Q3 2023, indicating improved credit quality management. The allowance for credit losses on loans increased to $19.7 million, representing 1.04% of total loans, compared to 0.98% at the end of 2023.

Colony Bankcorp's strategic focus remains on its core banking services, with a significant portion of its loan portfolio (approximately 64.1%) secured by commercial real estate. The company has also engaged in interest rate swaps to manage its exposure to interest rate fluctuations, entering two new swaps in Q3 2024.

The bank's capital ratios indicate a well-capitalized status, with a total capital ratio of 16.48% and a common equity tier 1 ratio of 12.51% as of September 30, 2024. The company declared a dividend of $0.1125 per share, reflecting its commitment to returning value to shareholders.

Overall, Colony Bankcorp's performance in the latest quarter highlights the challenges posed by rising interest rates while also showcasing resilience in its core operations and credit quality management.