The Victory Bancorp Announces 2024 Third Quarter Earnings

The Victory Bancorp, Inc. (OTCQX: VTYB), the holding company for The Victory Bank, announced unaudited results for the quarter ended September 30, 2024.

Joseph W. Major, Bank Leader and Chief Executive Officer, stated, “Our third quarter results reflect consistent growth and improved earnings. Our commitment to providing top-notch banking services is central to our strategy which we implement by hiring skilled and dedicated bankers who offer trusted advice and exceptional personal service to our clients. Our focus is on maintaining disciplined pricing and credit underwriting practices as we expand the Bank. This diligence not only strengthens our institution but also benefits the communities we serve.”

As of September 30, 2024, deposits rose to $398.2 million, up from $358.2 million a year earlier—a 10.8% increase. Net loans increased by 12.7%, reaching $395.2 million, compared to $351.9 million on the same date last year. Total assets grew by $49.1 million to $467.9 million, marking an 11.9% increase over the past year. Overall credit quality remained strong, with very low levels of non-performing and non-accrual loans. Because of these excellent credit metrics, third quarter provision for loan losses decreased to $71 thousand, down from $75 thousand in the 3rd quarter of 2023. Notably, non-performing assets fell significantly from $2.2 million at the end of 2023 to $209 thousand as of September 30, 2024.

Third Quarter 2024 Highlights compared to Third Quarter 2023

• Net Loans increased 12.7% to $395.2 million from $351.9 million at September 30, 2023
• $2.9 million increase in stockholders’ equity 
• $0.065 per share cash dividend paid to shareholders
• Net interest margin at the Bank was 3.58% for the quarter
• Net income of $586 thousand, totaling approximately $0.29 per common share fully diluted
• Book value per share as of September 30, 2024 was $14.89
• Total assets increased by $49.1 million from September 30, 2023 to $467.9 million as of September 30, 2024
• Credit quality is outstanding

Capital Insights and Credit Quality:

• Nonaccrual loans decreased in the third quarter of 2024, from $2.2 million at year end 2023 to $206 thousand in the current quarter
• Non-performing assets to total assets rose slightly from 0.01% in the linked quarter to 0.04% in the current quarter
• Delinquencies greater than 30 days were 0.05% of total loans as of September 30, 2024, down from 0.68% as of December 31, 2023
• The bank's ACL ratio was 0.91% as of September 30, 2024, down slightly from 0.94% at year-end 2023. The September 30, 2024 ACL covered non-performing loans 17.5 times, an increase from 1.6 times at year-end 2023
• The bank remains well capitalized

Victory Bancorp, Inc. is traded on the OTCQX market under the symbol VTYB (https://www.otcmarkets.com) and is the parent company of The Victory Bank, a Pennsylvania state-chartered commercial bank headquartered in Limerick, Pennsylvania, which is located just outside the Philadelphia market in Montgomery County. The Victory Bank was established in 2008 as a specialized business lender that provides high-quality banking services to small and mid-sized businesses and professionals through its three offices located in Montgomery and Berks Counties, Pennsylvania. Additional information about Victory Bancorp is available on this website.

This presentation may contain forward-looking statements (within the meaning of Private Securities Litigation Reform Act of 1995). Actual results may differ materially from the results discussed in these forward-looking statements. Factors that might cause such a difference include, but are not limited to, general economic conditions, changes in interest rates, deposit flows, loan demand, real estate values, and competition; changes in accounting principles, policies, or guidelines; changes in legislation or regulation; and other economic; competitive, governmental, regulatory, and technological factors affecting the Company’s operations, pricing, products, and services.