ECB Bancorp, Inc. /MD/

CEO COMMENTARY

Richard J. O’Neil, Jr., President and Chief Executive Officer, said, "We are pleased with our third quarter results, which reflect solid momentum with growth of the balance sheet and continued improvement in our earnings. Net income increased to $3.4 million, or $0.40 per diluted share, compared to $3.3 million in the prior quarter and $2.4 million in the third quarter of last year. Our net interest margin expanded 11 basis points to 2.56%, driven by loan growth and higher yields on interest-earning assets. Our efficiency ratio of 56.6% reflects our continued focus on disciplined expense management, even as we invest in the growth of our franchise. Loan growth was strong, with total loans increasing $55.5 million, or 3.9%, during the quarter. At the same time, deposits excluding brokered deposits grew $63.2 million. Credit quality remains strong, with non-performing assets of just 0.08% of total assets, and book value per share increased to $21.16. We are excited to open our new Medford branch, our fourth full-service location, which expands our presence in our core market and positions us for continued growth in the communities we serve. We remain focused on disciplined growth, prudent risk management and building long-term value for our shareholders."