Marathon Bancorp, Inc. reported its financial results for the three months ended September 30, 2024, showing a net income of $174,907, a significant increase from $86,197 in the same period of 2023, marking a 102.9% rise. This improvement was attributed to a recovery of credit losses of $155,000, compared to a provision for credit losses of $41,000 in the prior year. The decrease in income tax expense, which fell from $201,000 to $41,000 due to changes in Wisconsin tax law, also contributed to the enhanced profitability.

Total interest income for the quarter was $2,312,197, down from $2,405,137 in 2023, while net interest income decreased to $1,420,094 from $1,563,320. The decline in net interest income was influenced by a decrease in the average balance of the loan portfolio, which fell by 8.8% to $179.7 million. The average yield on the loan portfolio increased slightly to 4.66%, up from 4.46% in the previous year.

Total non-interest income decreased to $193,234 from $228,239, primarily due to a decline in mortgage banking income, which dropped from $131,000 to $88,000. Non-interest expenses rose to $1,552,822, up from $1,462,883, driven by higher salaries and costs associated with a new branch opened in January 2024.

As of September 30, 2024, total assets decreased by $2.8 million, or 1.3%, to $216.5 million, with net loans declining by $7.3 million, or 4.0%. Cash and cash equivalents increased significantly by $4.5 million, or 43.4%, to $15.0 million. Total deposits also saw a slight decrease of $815,000, attributed to customers seeking higher rates elsewhere and a shift from non-interest bearing to interest-bearing deposits.

The company’s total stockholders' equity increased to $31,587,247, up from $31,294,784, reflecting the net income and a decrease in accumulated other comprehensive loss. Marathon Bank maintained its status as "well capitalized" under regulatory standards and opted into the community bank leverage ratio framework.

In terms of strategic developments, Marathon Bancorp announced a stock repurchase program on December 22, 2023, allowing for the repurchase of up to 107,875 shares of its common stock, representing approximately 5.0% of outstanding shares. The program has no expiration date, and all repurchased shares will be retired.