Richmond Mutual Bancorporation, Inc. reported its financial results for the third quarter and the nine months ended September 30, 2024, highlighting notable changes in revenue, profitability, and strategic developments compared to the previous fiscal period.

As of September 30, 2024, total assets increased to $1.49 billion, up from $1.46 billion at the end of 2023. Total deposits also rose to $1.09 billion, reflecting a $48 million increase, while total liabilities grew to $1.35 billion. Stockholders' equity increased to $140 million, a 3.8% rise from $134.9 million at year-end 2023.

In terms of revenue, interest income for Q3 2024 reached $20.3 million, a 16.4% increase from $17.4 million in Q3 2023. This growth was driven by an increase in loans and leases, which amounted to $18.1 million, up from $15.3 million in the prior year. The average yield on loans rose to 6.27%, compared to 5.71% in Q3 2023. However, interest expense also surged by 30.7% to $10.8 million, primarily due to higher rates on deposits.

Net interest income before provision for credit losses increased slightly to $9.4 million, while net income for Q3 2024 was $2.5 million, a 26.8% increase from $1.9 million in Q3 2023. However, net income for the nine months ended September 30, 2024, decreased to $6.9 million from $7.5 million in the same period last year. Earnings per share for Q3 2024 were $0.25, up from $0.19 in Q3 2023.

The company experienced a reversal of provision for credit losses of $99,000 in Q3 2024, contrasting with a provision of $50,000 in Q3 2023. Noninterest income also saw a 14.5% increase to $1.3 million, driven by higher service fees and gains from loan sales.

Strategically, Richmond Mutual Bancorporation continues to focus on its core banking operations through its subsidiary, First Bank Richmond, which operates multiple branches in Indiana and Ohio. The bank's loan portfolio composition has shifted, with notable increases in multi-family loans and commercial and industrial loans, while residential mortgage loans saw a decline.

The company maintains a strong capital position, with a total risk-based capital ratio of 14.35%, exceeding the well-capitalized requirement. The bank's regulatory capital remains robust, ensuring compliance with FDIC regulations.

Overall, Richmond Mutual Bancorporation's financial performance reflects a mix of growth in interest income and deposits, alongside challenges in net income and rising expenses, particularly in interest costs.