F&M Bank Corp. reported its financial results for the third quarter and the nine months ended September 30, 2024, highlighting significant changes in revenue, profitability, and strategic developments compared to the previous fiscal period.

For the third quarter of 2024, F&M Bank Corp. recorded net income of $792,000, a decrease from $1,018,000 in the same period of 2023. This decline was attributed to a provision for credit losses of $902,000, contrasting with a recovery of $458,000 in the prior quarter. The net income per share for Q3 2024 was $0.23, down from $0.29 in Q3 2023. Total interest and dividend income increased to $16.3 million, up from $14.6 million year-over-year, while net interest income rose to $8.5 million, reflecting a $294,000 increase from the previous quarter.

For the nine months ended September 30, 2024, net income reached $5.0 million, significantly higher than $2.3 million for the same period in 2023. This increase was driven by a rise in net interest income to $24.8 million, up $1.2 million from the previous year. Noninterest income also improved, totaling $8.1 million, an increase of $470,000 compared to 2023. Notably, service charges on deposit accounts and investment services income saw substantial growth.

Total assets as of September 30, 2024, were $1.34 billion, an increase of $50 million from December 31, 2023. Total deposits rose to $1.22 billion, up $85 million, primarily due to a $78.5 million increase in interest-bearing deposits. Shareholders' equity increased to $90 million, supported by net income and a reduction in accumulated other comprehensive loss.

Strategically, F&M Bank Corp. dissolved TEB Life Insurance Company in November 2023 and Farmers & Merchants Financial Services in April 2024, streamlining its operations. The company also implemented a voluntary early retirement program, resulting in a decrease in salary and employee benefits expenses.

The allowance for credit losses as of September 30, 2024, was $8.0 million, or 0.97% of gross loans, down from $8.3 million at the end of 2023. Nonaccrual loans slightly increased to $6.6 million, with no income recognized on these loans during the nine-month period.

Overall, F&M Bank Corp. demonstrated resilience in its financial performance, with notable improvements in net income and asset growth, despite facing challenges in credit loss provisions and noninterest income fluctuations.