Rhinebeck Bancorp (RBKB) Q2 2025 earnings summary

Executive summary

• Net income for Q2 2025 rose to $2.7 million ($0.25 per share), up 179.6% year-over-year; six-month net income was $5.0 million, up 139.2% year-over-year.

• Diluted EPS increased to $0.25 for Q2 2025 (from $0.09) and $0.46 for the first half (from $0.19).

• Growth was driven by higher net interest income, improved margins, lower provision for credit losses, and improved non-interest income, partially offset by higher non-interest expense.

• Total assets grew 1.5% to $1.27 billion, driven by a 139% increase in cash and cash equivalents; deposits increased 4.9% to $1.07 billion.

• Stockholders’ equity increased 5.8% to $129.0 million, with book value per share rising to $11.61.

Financial highlights

• Net interest income for Q2 2025 was $11.5 million, up 27.1% year-over-year; six-month net interest income was $22.5 million, up 26.2%.

• Net interest margin expanded to 3.97% for Q2 2025 (from 3.04%) and 3.88% for the first half (from 2.97%).

• Interest and dividend income increased 6.8% for Q2 and 6.9% for the first half, while interest expense declined 20.7% and 18.8%, respectively.

• Provision for credit losses was a credit of $101,000 for Q2 2025, down from a $447,000 expense; year-to-date provision was $252,000, down 52.5%.

• Non-interest income was stable at $1.6 million for Q2 and rose 4.9% to $3.4 million for the first half.

• Non-interest expense increased 8.5% for Q2 and 7.8% for the first half, mainly due to higher compensation and marketing costs.

Outlook and guidance

• Management expressed confidence in sustainable growth and value creation, citing strong capital ratios and improved asset quality.

• Management continues to focus on balance sheet restructuring, cost control, and optimizing funding mix.

• No material changes to risk factors or forward-looking guidance since the last annual report.