FNCB Bancorp (FNCB) Q2 2024 earnings summary

Executive summary

• Net income for Q2 2024 was $3.3 million ($0.46 per diluted share), down 65.2% year-over-year; six-month net income was $6.7 million ($0.95 per share), down 60.3% year-over-year.

• Core net income (excluding acquisition expenses) for Q2 2024 was $4.2 million ($0.59 per share); for six months, $8.1 million ($1.14 per share).

• Completed merger with FNCB Bancorp on July 1, 2024; combined assets expected at $5.5 billion.

Financial highlights

• Net interest income for Q2 2024 fell $3.2 million (14.1%) year-over-year; for six months, down $7.0 million (15.2%).

• Net interest margin for Q2 2024 was 2.29%, down 32 bps year-over-year; six-month margin was 2.29%, down 43 bps.

• Provision for credit losses was $0.6 million in Q2 2024 (vs. a $2.2 million credit prior year); $1.3 million for six months (vs. $0.9 million credit prior year).

• Noninterest expense rose $1.5 million (9.3%) in Q2 2024, including $1.1 million in acquisition costs.

• Efficiency ratio for Q2 2024 was 74.49%, up from 63.98% year-over-year.

Outlook and guidance

• Combined organization post-FNCB merger expected to have $5.5 billion in assets, $4.0 billion in loans, and $4.7 billion in deposits.

• All branches to operate under Peoples Security Bank and Trust Company after integration.