Lyons Bancorp, Inc., the parent financial holding company of The Lyons National Bank (LNB), reported earnings of $1.04 per common share for the second quarter of 2024, as compared to $1.02 per common share reported for the first quarter of 2024; a 2% increase. Both numbers are reported on a fully diluted basis. Contributing to the quarter-over-quarter earnings per share improvement was an increase in non-interest income, a steady loan growth, with a slight increase in net interest income.
“LNB has maintained its conservative position relative to balance sheet management and income recognition, with liquidity, reserves and loan quality positions favorable to much of our peer group. The Bank continues to build its loan loss and other reserves, as well as our capital, all prudent actions with inflation, increased interest rates, and potential uncertain economic conditions still in question,” said Tom Kime, President and CEO. “While doing this, LNB moved from 55th standing to 23rd among American Bankers’ annual top-performing community banks under $2 billion list in 2023 and ranked second in NY State. This reflects LNB’s WOW! Service profile and the professionalism of every LNB employee.”
At June 30, 2024, assets totaled $1.967 billion, as compared to $1.952 billion reported at March 31, 2024. Loans grew a modest $30 million or 2.1% from $1.402 billion at March 31, 2024, to $1.432 billion at June 30, 2024. Deposits totaled $1.740 billion at June 30, 2024, as compared to $1.731 billion at March 31, 2024. Shareholder’s equity grew to $145.1 million at June 30, 2024, compared to $142.9 million at March 31, 2024. As a result of the reduction in market interest rates during the quarter, tangible shareholder equity increased to $106.8 million at June 30, 2024, compared to $103.7 million at March 31, 2024. The Bank maintains a strong capital position, driven by the benefit of net income, partially offset by dividends paid and share repurchases as well as a decline in accumulated other comprehensive income.
At June 30, 2024, the Bank’s net interest margin was 2.36% compared to 2.44% at March 31, 2024. The slight decrease was due to the impact of higher interest rates on deposit mix and pricing partially offset by higher rates on earning assets.
The Bank continues to deliver strong expense management and maintained its efficiency ratio at 65.51% at June 30, 2024, a slight change from 65.07% at March 31, 2024 The Bank’s return on average shareholder’s equity increased to 14.22% from 13.96% at March 31, 2024.
Case Marshall, Board Chair of Lyons Bancorp noted, “I am proud to highlight in this report that based on LNB’s strong performance, that the Board of Directors increased the Bank’s per share quarterly dividend by $0.05, to $0.40 from $0.35 per common share at March 31, 2024. The higher quarterly dividend will be paid to shareholders in July 2024.”
At June 30, 2024, Lyons Bancorp had 3.5 million shares outstanding on a diluted basis. As of June 30, 2024, the last stock trade reported was $38.10 per share. Lyons Bancorp, Inc. is a publicly owned company and its common shares are traded on the OTCQX Best Market under the stock symbol LYBC.
Lyons Bancorp, Inc. is the financial holding company for The Lyons National Bank. The Lyons National Bank is a community bank with offices in Lyons, Clyde, Macedon, Newark, Ontario and Wolcott in Wayne County; Penn Yan in Yates County; Jordan in Onondaga County; Geneva, Canandaigua and Farmington in Ontario County; Waterloo in Seneca County, Perinton in Monroe County and Auburn in Cayuga County. The Lyons National Bank has one subsidiary, Lyons Realty Associates Corp.
