Quaint Oak (QNTO) Q4 2024 earnings summary

Executive summary

• Net income for Q4 2024 was $1.6 million ($0.60 per share), up 38.3% year-over-year; full-year net income was $2.8 million ($1.08 per share), up 38.4% year-over-year.

• Non-interest income improved significantly, driven by a $1.5 million one-time gain from a property sale-leaseback and higher gains on loan sales.

• Discontinued operations included the sale of a 51% interest in Oakmont Capital Holdings, LLC, resulting in a $1.4 million pretax gain.

• Stockholders' equity from continuing operations increased by over $4.0 million during 2024.

Financial highlights

• Q4 2024 net income rose by $437,000 (38.3%) compared to Q4 2023, mainly due to higher non-interest income and lower interest expense.

• Full-year 2024 net income increased by $775,000 (38.4%) over 2023, with non-interest income up $2.9 million (54.1%).

• Interest income decreased year-over-year due to lower average loan balances, partially offset by higher yields and increased interest-earning bank balances.

• Interest expense for the year rose slightly (0.4%) due to higher deposit rates and balances, offset by lower FHLB borrowings.

• Provision for credit losses increased $1.4 million (877.1%) year-over-year, reflecting higher non-performing loans and charge-offs.

Outlook and guidance

• Management remains focused on long-term profitability and maintaining strong capital ratios, with continued monitoring of small business sector weakness.

• Dividend of $0.13 per share declared, payable February 10, 2025.