IROQ IF Bancorp Inc

IF Bancorp, Inc. (NASDAQ: IROQ) (the “Company”) the holding company for Iroquois Federal Savings and Loan Association (the “Association”), announced unaudited net income of $1.2 million, or $0.38 per basic and diluted share, for the three months ended December 31, 2024, compared to net income of $185,000, or $0.06 per basic and diluted share, for the three months ended December 31, 2023.

Walter H. “Chip” Hasselbring, III, Chairman and Chief Executive Officer, commented “While the Federal Reserve has begun easing short term rates, the competitive environment for deposits remains difficult. We held the balances in our loan portfolio steady as we were disciplined based on the funding environment. Our net interest margin continues to recover and our book value per share finished the December 31, 2024 quarter at $22.66.”

For the three months ended December 31, 2024, net interest income was $5.0 million compared to $4.4 million for the three months ended December 31, 2023. We recorded a credit for credit losses of $450,000 for the three months ended December 31, 2024, compared to a provision for credit losses of $364,000 for the three months ended December 31, 2023. Interest income increased to $11.0 million for the three months ended December 31, 2024, from $10.2 million for the three months ended December 31, 2023. Interest expense increased to $6.0 million for the three months ended December 31, 2024, from $5.8 million for the three months ended December 31, 2023. Noninterest income increased to $1.3 million for the three months ended December 31, 2024, from $915,000 for the three months ended December 31, 2023. Noninterest expense increased to $5.0 million for the three months ended December 31, 2024, from $4.7 million for the three months ended December 31, 2023. Provision for income tax increased to $463,000 for the three months ended December 31, 2024, from $47,000 for the three months ended December 31, 2023.

The Company announced unaudited net income of $1.9 million, or $0.57 per basic and diluted share for the six months ended December 31, 2024, compared to $651,000, or $0.20 per basic and diluted share for the six months ended December 31, 2023. For the six months ended December 31, 2024, net interest income was $9.8 million compared to $9.0 million for the six months ended December 31, 2023. We recorded a credit for credit losses of $68,000 for the six months ended December 31, 2024, compared to a provision for credit losses of $586,000 for the six months ended December 31, 2023. Interest income increased to $21.9 million for the six months ended December 31, 2024, from $19.5 million for the six months ended December 31, 2023. Interest expense increased to $12.1 million for the six months ended December 31, 2024 from $10.5 million for the six months ended December 31, 2023. Non-interest income increased to $2.7 million for the six months ended December 31, 2024, from $2.0 million for the six months ended December 31, 2023. Non-interest expense increased to $10.0 million for the six months ended December 31, 2024, from $9.6 million for the six months ended December 31, 2023. Provision for income tax increased to $681,000 for the six months ended December 31, 2024, from $222,000 for the six months ended December 31, 2023.

Total assets at December 31, 2024 were $885.1 million compared to $887.7 million at June 30, 2024. Cash and cash equivalents decreased to $5.9 million at December 31, 2024, from $9.6 million at June 30, 2024. Investment securities decreased to $182.9 million at December 31, 2024, from $190.5 million at June 30, 2024. Net loans receivable increased to $647.7 million at December 31, 2024, from $639.3 million at June 30, 2024. Deposits decreased to $682.1 million at December 31, 2024, from $727.2 million at June 30, 2024. The large decrease in deposits was due to approximately $62.7 million in deposits from a public entity that collects real estate taxes that were withdrawn in the six months ended December 31, 2024, when tax monies were distributed. Total borrowings, including repurchase agreements, increased to $117.4 million at December 31, 2024 from $76.0 million at June 30, 2024. Stockholders’ equity increased to $75.9 million at December 31, 2024 from $73.9 million at June 30, 2024. Equity increased primarily due to net income of $1.9 million, an increase of $530,000 in accumulated other comprehensive income (loss), net of tax, and employee stock ownership plan (“ESOP”) and stock equity plan activity of $284,000. These increases were partially offset by the accrual of approximately $643,000 in dividends to our shareholders.

IF Bancorp, Inc. is the savings and loan holding company for Iroquois Federal Savings and Loan Association. The Association, originally chartered in 1883 and headquartered in Watseka, Illinois, conducts its operations from seven full-service banking offices located in Watseka, Danville, Clifton, Hoopeston, Savoy, Bourbonnais, and Champaign, Illinois and a loan production office in Osage Beach, Missouri. The principal activity of the Association’s wholly-owned subsidiary, L.C.I. Service Corporation, is the sale of property and casualty insurance.

This press release may contain statements relating to the future results of the Company (including certain projections and business trends) that are considered "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995 (the “PSLRA”). Such forward-looking statements may be identified by the use of such words as "believe," "expect," "anticipate," "should," "planned," "estimated," "intend" and "potential." For these statements, the Company claims the protection of the safe harbor for forward-looking statements contained in the PSLRA.

The Company cautions you that a number of important factors could cause actual results to differ materially from those currently anticipated in any forward-looking statement. Such factors include, but are not limited to: prevailing economic and geopolitical conditions, including as a result of pandemics; changes in interest rates, loan demand, real estate values and competition; changes in accounting principles, policies, and guidelines; changes in any applicable law, rule, regulation or practice with respect to tax or legal issues; and other economic, competitive, governmental, regulatory and technological factors affecting the Company's operations, pricing, products and services and other factors that may be described in the Company’s annual report on Form 10-K and quarterly reports on Form 10-Q as filed with the Securities and Exchange Commission. The forward-looking statements are made as of the date of this release, and, except as may be required by applicable law or regulation, the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements.

Selected Income Statement Data

(Dollars in thousands, except per share data)

 

 

For the Three Months Ended December 31,

For the Six Months Ended December 31,

 

 

2024

 

 

2023

 

2024

 

 

2023

 

(unaudited)

Interest and dividend income

$

11,010

 

$

10,229

$

21,923

 

$

19,520

Interest expense

 

5,993

 

 

5,841

 

12,085

 

 

10,549

Net interest income

 

5,017

 

 

4,388

 

9,838

 

 

8,971

Provision (credit) for credit losses

 

(450

)

 

364

 

(68

)

 

586

Net interest income after provision (credit) for credit losses

 

5,467

 

 

4,024

 

9,906

 

 

8,385

Noninterest income

 

1,257

 

 

915

 

2,665

 

 

2,043

Noninterest expense

 

5,042

 

 

4,707

 

10,038

 

 

9,555

Income before taxes

 

1,682

 

 

232

 

2,533

 

 

873

Income tax expense

 

463

 

 

47

 

681

 

 

222

 

 

 

 

 

Net income

$

1,219

 

$

185

$

1,852

 

$

651

 

 

 

 

 

Earnings per share (1) Basic

$

0.38

 

$

0.06

$

0.57

 

$

0.20

Diluted

$

0.38

 

$

0.06

$

0.57

 

$

0.20

Weighted average shares outstanding (1)

 

 

 

 

Basic

 

3,225,512

 

 

3,207,883

 

3,223,114

 

 

3,205,477

Diluted

 

3,225,512

 

 

3,207,883

 

3,223,114

 

 

3,205,477

 

 

 

footnotes on following page

Performance Ratios

 

 

For the Six Months Ended December 31, 2024

For the Year Ended June 30, 2024

 

(unaudited)

 

Return on average assets

0.42%

0.20%

Return on average equity

4.82%

2.54%

Net interest margin on average interest earning assets

2.32%

2.10%

Selected Balance Sheet Data

(Dollars in thousands, except per share data)

 

 

At

December 31, 2024

At

June 30, 2024

 

(unaudited)

 

Assets

$

885,149

 

$

887,745

 

Cash and cash equivalents

 

5,906

 

 

9,571

 

Investment securities

 

182,890

 

 

190,475

 

Net loans receivable

 

647,664

 

 

639,297

 

Deposits

 

682,126

 

 

727,177

 

Federal Home Loan Bank borrowings, repurchase agreements and other borrowings

 

117,438

 

 

76,021

 

Total stockholders’ equity

 

75,939

 

 

73,916

 

Book value per share (2)

 

22.66

 

 

22.04

 

Average stockholders’ equity to average total assets

 

8.66

%

 

7.99

%

 

Asset Quality

(Dollars in thousands)

 

At

December 31, 2024

At

June 30, 2024

 

(unaudited)

Non-performing assets (3)

$

248

 

$

173

 

Allowance for credit losses

 

7,346

 

 

7,499

 

Non-performing assets to total assets

 

0.03

%

 

0.02

%

Allowance for credit losses to total loans

 

1.12

%

 

1.16

%

 

(1)

Shares outstanding do not include ESOP shares not committed for release.

(2)

Total stockholders’ equity divided by shares outstanding of 3,351,526 and 3,353,026 at December 31, 2024 and June 30, 2024, respectively.

(3)

Non-performing assets include non-accrual loans, loans past due 90 days or more and accruing, and foreclosed assets held for sale.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250130956590/en/

Walter H. Hasselbring, III (815) 432-2476