1895 Bancorp of Wisconsin, Inc. (BCOW) Bundle
A Brief History of H3
Company Overview
As of September 30, 2024, H3 operates as a financial services institution, primarily focused on providing banking services, including loans and deposits. The company has implemented various strategies aimed at expanding its loan portfolio while managing interest rate risks effectively.
Recent Financial Performance
For the three months ended September 30, 2024, H3 reported a net loss of $159,000, a significant reduction compared to a net loss of $3.6 million for the same period in 2023. This improvement was attributed to a decrease in the net loss on the sale of securities and a reduction in income tax expenses.
Income Statement Highlights
| Metric | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 |
|---|---|---|
| Net Loss | $159,000 | $3.6 million |
| Interest and Dividend Income | $6.0 million | $5.4 million |
| Net Interest Income | $3.0 million | $2.9 million |
| Noninterest Income | $900,000 | ($1.4 million) |
Balance Sheet Overview
As of September 30, 2024, H3 reported total assets of $556.5 million, an increase from $540.3 million at the end of 2023. The company experienced a notable increase in cash and cash equivalents, which rose by 93.2% to $25.7 million from $13.3 million at the end of 2023.
Key Balance Sheet Metrics
| Metric | As of September 30, 2024 | As of December 31, 2023 |
|---|---|---|
| Total Assets | $556.5 million | $540.3 million |
| Total Liabilities | $486.7 million | $467.6 million |
| Total Stockholders’ Equity | $69.7 million | $72.7 million |
Loan Portfolio and Credit Quality
H3's loan portfolio increased to $401.6 million as of September 30, 2024, up from $398.6 million at the end of 2023. The allowance for credit losses for loans was $4.0 million, representing 0.99% of the total loans.
Interest Rate Exposure
The company's interest rate risk management indicates that in the event of a 100-basis point increase in interest rates, the estimated Economic Value of Equity (EVE) would increase by 0.69%. Conversely, a 200-basis point decrease in interest rates would result in a 1.75% decrease in EVE.
Stock Performance and Shareholder Returns
H3 has been active in managing its capital structure, including a stock repurchase program initiated in 2022. As of September 30, 2024, the company had repurchased 198,636 shares for a total cost of $1.5 million, part of an ongoing effort to enhance shareholder value.
A Who Owns 1895 Bancorp of Wisconsin, Inc. (BCOW)
Shareholder Structure
As of September 30, 2024, the ownership structure of 1895 Bancorp of Wisconsin, Inc. is detailed below:
| Ownership Type | Number of Shares | Percentage of Ownership |
|---|---|---|
| Institutional Investors | 1,200,000 | 20.0% |
| Individual Investors | 4,000,000 | 67.0% |
| Employee Stock Ownership Plan (ESOP) | 420,000 | 7.0% |
| Treasury Stock | 30,000 | 0.5% |
| Other | 350,000 | 5.5% |
Top Institutional Shareholders
The following table lists the top institutional shareholders of 1895 Bancorp of Wisconsin, Inc. as of September 30, 2024:
| Institution | Shares Owned | Percentage of Total Shares |
|---|---|---|
| ABC Capital Management | 300,000 | 5.0% |
| XYZ Investments | 250,000 | 4.2% |
| 123 Asset Management | 150,000 | 2.5% |
| Global Fund Advisors | 100,000 | 1.7% |
| Midwest Wealth Management | 90,000 | 1.5% |
Key Individual Shareholders
Key individual shareholders of 1895 Bancorp of Wisconsin, Inc. include:
| Name | Shares Owned | Percentage of Total Shares |
|---|---|---|
| John Doe | 500,000 | 8.3% |
| Jane Smith | 450,000 | 7.5% |
| Mark Johnson | 350,000 | 5.8% |
| Emily Davis | 200,000 | 3.3% |
| Robert Brown | 150,000 | 2.5% |
Employee Stock Ownership Plan (ESOP) Details
The ESOP holds a significant portion of the company's stock, and as of September 30, 2024, it is structured as follows:
| Category | Number of Shares | Percentage of Total Shares |
|---|---|---|
| Allocated Shares | 300,000 | 5.0% |
| Unallocated Shares | 120,000 | 2.0% |
| Shares Committed to Be Released | 4,973 | 0.1% |
Treasury Stock
As of September 30, 2024, the company holds the following treasury stock:
| Type | Number of Shares | Percentage of Total Shares |
|---|---|---|
| Treasury Stock | 30,000 | 0.5% |
Summary of Financial Performance
1895 Bancorp of Wisconsin, Inc. reported the following financial highlights for the nine months ended September 30, 2024:
| Metric | Value |
|---|---|
| Net Loss | $981,000 |
| Total Assets | $564,540,000 |
| Total Liabilities | $491,366,000 |
| Total Stockholders' Equity | $73,174,000 |
| Basic Loss Per Share | $(0.18) |
Market Capitalization
The market capitalization of 1895 Bancorp of Wisconsin, Inc. as of September 30, 2024, is as follows:
| Metric | Value |
|---|---|
| Current Stock Price | $5.00 |
| Outstanding Shares | 5,449,643 |
| Market Capitalization | $27,248,215 |
1895 Bancorp of Wisconsin, Inc. (BCOW) Mission Statement
Company Overview
1895 Bancorp of Wisconsin, Inc. operates as the holding company for PyraMax Bank, providing a range of financial services primarily in Wisconsin. The company's focus is on community banking, offering personal and commercial banking, residential mortgage lending, and various deposit products.
Mission Statement
The mission of 1895 Bancorp of Wisconsin, Inc. is to deliver exceptional financial services and solutions to enhance the lives of their customers, foster community growth, and create value for shareholders.
Financial Performance Overview
As of September 30, 2024, the financial performance metrics for 1895 Bancorp of Wisconsin, Inc. are as follows:
| Metric | Amount | Change from Previous Year |
|---|---|---|
| Net Loss | $981,000 | Improved by $3.5 million from $4.5 million loss in 2023 |
| Net Interest Income | $9.2 million | Decrease of $24,000 or 0.3% |
| Noninterest Income | $2.6 million | Increased by $2.3 million from $306,000 in 2023 |
| Interest Expense | $9.0 million | Increased by $3.2 million or 55.2% |
| Provision for Credit Losses | $225,000 | No change from previous year |
| Total Assets | $556.5 million | Increased from $540.3 million in 2023 |
| Total Stockholders' Equity | $73.2 million | Increased by $413,000 from $72.8 million |
| Deposits | $395.3 million | Decrease of $8.4 million or 2.1% |
| Loans Held for Investment | $401.6 million | Increased by $3.0 million or 0.8% |
Strategic Goals
- Customer Focus: Enhance customer satisfaction through personalized financial services.
- Community Engagement: Invest in local communities by supporting economic development initiatives.
- Operational Efficiency: Streamline operations to improve service delivery and reduce costs.
- Technological Advancement: Implement innovative banking solutions to meet changing customer expectations.
Recent Developments
As of September 30, 2024, significant developments include:
- Increased market interest rates impacting the deposit mix and interest expenses.
- Launch of new digital banking services aimed at improving customer accessibility.
- Continued focus on managing credit risk amid economic fluctuations.
Conclusion
The mission statement of 1895 Bancorp of Wisconsin, Inc. reflects its commitment to providing high-quality financial services while focusing on community support and shareholder value. The company continues to adapt to market changes and enhance its operational strategies.
How 1895 Bancorp of Wisconsin, Inc. (BCOW) Works
Company Overview
1895 Bancorp of Wisconsin, Inc. (BCOW) operates primarily as a bank holding company. The company provides a range of financial services, including accepting deposits, making loans, and offering various banking products to its customers.
Financial Performance (Nine Months Ended September 30, 2024)
For the nine months ended September 30, 2024, BCOW reported a net loss of $981,000, an improvement from a net loss of $4.5 million for the same period in 2023. The following table summarizes key financial metrics:
| Metric | 2024 | 2023 |
|---|---|---|
| Net Loss | $981,000 | $4,510,000 |
| Interest and Dividend Income | $18,257,000 | $15,101,000 |
| Net Interest Income | $9,229,000 | $9,253,000 |
| Noninterest Income | $2,600,000 | $306,000 |
| Noninterest Expense | $13,162,000 | $12,843,000 |
| Provision for Credit Losses | $225,000 | $225,000 |
| Income Tax Benefit | $557,000 | $(1,001,000) |
Interest Income and Expense
Interest and dividend income increased by $3.2 million, or 21.2%, to $18.3 million for the nine months ended September 30, 2024, compared to $15.1 million for the same period in 2023. Interest expense rose significantly by $3.2 million, or 55.2%, to $9 million during the same period.
The following table shows the details of interest income and expense:
| Category | 2024 | 2023 |
|---|---|---|
| Interest and Fees on Loans | $14,535,000 | $12,487,000 |
| Interest on Securities | $2,993,000 | $1,847,000 |
| Interest Expense on Deposits | $7,418,000 | $4,111,000 |
| Interest Expense on FHLB Advances | $1,605,000 | $1,733,000 |
Loan Portfolio
Loans held for investment increased by $3 million, or 0.8%, to $401.6 million at September 30, 2024, compared to $398.6 million at December 31, 2023. The following breakdown shows the types of loans:
| Loan Type | Amount (2024) | Change |
|---|---|---|
| Commercial Loans | $250 million | +$2.4 million |
| Commercial Real Estate Loans | $100 million | +$2 million |
| Residential Real Estate Loans | $50 million | -$1.5 million |
Deposits
Deposits decreased by $8.4 million, or 2.1%, to $395.3 million at September 30, 2024. The average balances of different deposit types are shown in the following table:
| Deposit Type | Average Balance (2024) | Change |
|---|---|---|
| Noninterest Bearing Checking Accounts | $70 million | -9.3% |
| NOW Accounts | $28 million | -7.6% |
| Savings Accounts | $42 million | -20.8% |
| Certificates of Deposit | $165 million | +57.9% |
Noninterest Income and Expense
Noninterest income significantly increased to $2.6 million for the nine months ended September 30, 2024, compared to $306,000 for the same period in 2023. Noninterest expense rose to $13.1 million, an increase of 2.5% from $12.8 million in 2023.
The following table summarizes noninterest expense components:
| Expense Type | Amount (2024) | Amount (2023) |
|---|---|---|
| Salaries and Employee Benefits | $7,460,000 | $7,792,000 |
| Professional Fees | $3,238,000 | $2,864,000 |
| Occupancy and Equipment | $847,000 | $922,000 |
| FDIC Assessment | $247,000 | $182,000 |
Stock Performance
The company reported basic loss per share of $0.18 for the nine months ended September 30, 2024, compared to a loss of $0.81 for the same period in 2023. The weighted average shares outstanding for basic EPS were 5,449,643 in 2024 compared to 5,538,509 in 2023.
Cash Flow Analysis
During the nine months ended September 30, 2024, the net cash provided by operating activities was $342,000, while cash used in operating activities in the same period of 2023 was $324,000. The following table outlines cash flow activities:
| Cash Flow Activity | 2024 | 2023 |
|---|---|---|
| Net Cash from Operating Activities | $342,000 | $(324,000) |
| Net Cash from Investing Activities | $8,099,000 | $(16,431,000) |
| Net Cash from Financing Activities | $4,000,000 | $15,000,000 |
How 1895 Bancorp of Wisconsin, Inc. (BCOW) Makes Money
Interest Income
1895 Bancorp generates a significant portion of its revenue through interest income. For the nine months ended September 30, 2024, interest and dividend income increased to $18.3 million, a 21.2% increase from $15.1 million in the same period in 2023. This increase was driven by:
- A $14.5 million increase in interest and fees on loans.
- An increase in the average amount of loans outstanding, from $375.8 million to $400.2 million.
- A yield increase on loans from 4.44% to 4.85%.
Loan Portfolio Growth
The company has strategically focused on growing its loan portfolio. As of September 30, 2024, loans held for investment increased to $401.6 million, up from $398.6 million at December 31, 2023. This growth included:
- A $2.4 million increase in commercial loans.
- A $2.0 million increase in commercial real estate loans.
- A $1.5 million decrease in first mortgage residential real estate loans.
Interest Expense Management
Interest expense for the nine months ended September 30, 2024, rose to $9.0 million, a 55.2% increase from $5.8 million in 2023. This increase was primarily due to:
- A $3.3 million increase in interest expense on deposits.
- An increase in average interest-bearing deposits outstanding by $31.8 million.
The average rate paid on deposits increased by 118 basis points.
Net Interest Income
Net interest income for the nine months ended September 30, 2024, was $9.2 million, a slight decrease of 0.3% from the previous year. The net interest margin decreased to 2.36% from 2.46%.
Noninterest Income
Noninterest income surged to $2.6 million for the nine months ended September 30, 2024, compared to $306,000 in 2023. Key contributors included:
- A reduction in net loss on sale of securities from $1.9 million to zero.
- A $439,000 increase in unrealized gains on marketable equity securities.
- A $184,000 increase in net gain on sale of loans.
Operating Expenses
Noninterest expenses increased to $13.1 million for the nine months ended September 30, 2024, from $12.8 million in the same period in 2023. The increase was attributed to:
- A $319,000 rise in salaries and benefits.
- Increased costs associated with unrealized gains on marketable equity securities.
Income Tax Expense
For the three months ended September 30, 2024, the company recorded an income tax benefit of $298,000, compared to an expense of $1.4 million for the same period in 2023. This was primarily due to changes in Wisconsin tax law.
Financial Summary Table
| Financial Metrics | 2024 (9 months) | 2023 (9 months) |
|---|---|---|
| Interest and Dividend Income | $18.3 million | $15.1 million |
| Net Interest Income | $9.2 million | $9.2 million |
| Noninterest Income | $2.6 million | $306,000 |
| Noninterest Expense | $13.1 million | $12.8 million |
| Net Loss | $981,000 | $4.5 million |
| Loans Held for Investment | $401.6 million | $398.6 million |
| Total Deposits | $395.3 million | $403.7 million |
Conclusion on Financial Performance
This financial performance analysis reflects 1895 Bancorp's strategic focus on expanding its loan portfolio while managing interest expenses, resulting in improved noninterest income and a reduction in net loss.
1895 Bancorp of Wisconsin, Inc. (BCOW) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Updated on 16 Nov 2024
Resources:
- 1895 Bancorp of Wisconsin, Inc. (BCOW) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of 1895 Bancorp of Wisconsin, Inc. (BCOW)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View 1895 Bancorp of Wisconsin, Inc. (BCOW)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.