Juniata Valley Financial Corp. Announces Results for the Quarter Ended September 30, 2024

Juniata Valley Financial Corp.
Juniata Valley Financial Corp.

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Mifflintown, PA, Oct. 23, 2024 (GLOBE NEWSWIRE) -- Juniata Valley Financial Corp. (OTCQX:JUVF) (“Juniata”) announced net income for the three months ended September 30, 2024 of $1.6 million compared to net income of $1.8 million for the three months ended September 30, 2023. Earnings per share, basic and diluted, was $0.33 during the three months ended September 30, 2024 compared to $0.36 during the three months ended September 30, 2023. Net income was $4.7 million for the nine months ended September 30, 2024 compared to $4.9 million for the nine months ended September 30, 2023. Earnings per share, basic and diluted, was $0.95 for the nine months ended September 30, 2024 compared to $0.98 for the nine months ended September 30, 2023.

President’s Message

President and Chief Executive Officer, Marcie A. Barber stated, “We are pleased to report solid third quarter net income. These results were accomplished, in part, through disciplined pricing of both loans and deposits. Efforts to contain funding costs, coupled with loan growth, resulted in a 2.0% increase in net interest income compared to the corresponding 2023 quarter despite continued competition for deposits. With the reduction of the Fed Funds rate by 50 basis points in mid-September and anticipated future rate cuts, we remain optimistic that net interest margin compression appears to have abated. Additionally, our focus on fee income resulted in an increase of 11.1% in noninterest income compared to fee income for the same quarter in 2023. Asset quality remains strong with delinquent and nonperforming loans comprising only 0.2% of total loans, unchanged from the previous quarter. We are continually working toward expanding loan and deposit relationships outside of our branch footprint while optimizing our branch network to provide outstanding customer service through improvement in efficiencies.”

Financial Results Year-to-Date

Annualized return on average assets for the nine months ended September 30, 2024, was 0.73%, a decrease of 7.6% compared to the annualized return on average assets of 0.79% for the nine months ended September 30, 2023. Annualized return on average equity for the nine months ended September 30, 2024 was 14.70%, a decrease of 19.5% compared to the annualized return on average equity of 18.25% for the nine months ended September 30, 2023.

Net interest income was $17.1 million during both the nine months ended September 30, 2024 and 2023. Average earning assets increased $21.1 million, or 2.5%, to $856.2 million, during the nine months ended September 30, 2024, compared to the same period in 2023, due primarily to an increase of $39.9 million, or 8.0%, in average loans. The increase in average loans was partially offset by a decline of $20.6 million, or 6.2%, in average investment securities as principal paydowns on the mortgage-backed securities portfolio were used to fund loan growth rather than being reinvested into the securities portfolio. Average interest bearing liabilities increased by $19.5 million, or 3.3%, during the nine months ended September 30, 2024 compared to the comparable 2023 period, due to growth in average time deposits, repurchase agreements and short-term borrowings, with this growth partially funding loan growth. The yield on earning assets increased 42 basis points, to 4.33%, due to a 51 basis point increase in the yield on average loans in the nine months ended September 30, 2024 compared to the nine months ended September 30, 2023, while the cost to fund interest earning assets with interest bearing liabilities increased 68 basis points, to 2.31%. The net interest margin, on a fully tax equivalent basis, decreased from 2.77% during the nine months ended September 30, 2023, to 2.70% during the nine months ended September 30, 2024.