Oxford Bank Corporation, the parent company for Oxford Bank, has announced its operating results for the third quarter of 2024. The firm's quarterly consolidated earnings were $2.75 million, or $1.12 per weighted average share, slightly down from $3.15 million, or $1.28 per weighted average share, in the same period last year. However, earnings rose by $0.49 million compared to the second quarter of 2024.

Year-to-date earnings for 2024 were $8.29 million, or $3.37 per share, down from $9.70 million, or $3.98 per share, in 2023. The decline in earnings year-over-year is attributed to narrower margins due to higher market deposit costs. CEO David Lamb noted improvement in quarter-on-quarter earnings and a stable ROAA due to a slight increase in the balance sheet size.

Asset quality remains strong with the majority of non-performing assets being attributed to a single borrower, which is well-collateralized. Oxford Bank continues to see strong loan and deposit growth. Total assets reached $870.50 million, up from $794.34 million a year ago. Deposits grew to $747.81 million from $692.11 million, and net loans increased to $590.04 million, marking significant growth of $68.37 million or approximately 13%.

The Bank's lending strategy is focused on disciplined growth in both traditional commercial and commercial finance loans. Oxford Bank is managing funding dynamics actively, reducing its reliance on wholesale funding in favor of organic growth through core deposits. The Bank's Net Interest Margin (NIM) for the first nine months of 2024 was 4.63%, down from 4.85% in 2023, driven by competitive pressures and high deposit costs.

The Bank is working to maintain a strong balance sheet with low levels of investment real estate and geographical diversification to mitigate risk. Oxford Bank's shareholders' equity totaled $96.68 million as of September 2024, up from $79.43 million the previous year, bolstered by an accretion of retained earnings and reductions in unrealized losses. CEO David Lamb emphasized Oxford Bank's commitment to relationship banking with small and mid-sized businesses, bolstered by technology to create further stakeholder value.

Founded in 1884, Oxford Bank operates continuously under local ownership and offers comprehensive banking services across its offices in Michigan and a business banking center in Phoenix, Arizona. The Bank continues to aim for long-term success and profitability for its community, stakeholders, and employees.