JEFFERSONVILLE, NY — Jeffersonville Bancorp, Inc. (OTCQB - JFBC) announced today second quarter net income of $3,031,000 or $0.72 per share compared to $3,196,000 or $0.75 per share for the same quarter in 2023. The decrease in quarterly net income compared to 2023 of $165,000 was primarily attributable to an increase in provision expense of $496,000 consisting of $57,000 in provision expense and a negative provision of $439,000 recorded in the same period in 2023, an increase in interest expense of $330,000, and an increase in salaries and employee benefits expense of $211,000, partially offset by an increase in loan interest and fees income of $487,000, and an increase in other non-interest income of $444,000 attributable to bank owned life insurance proceeds recognized in the current quarter.

Year to date net income as of June 30, 2024 was $5,584,000 or $1.32 per share compared to $5,856,000 or $1.38 per share for the same period in 2023. The decrease in year-to-date net income compared to 2023 of $272,000 was primarily attributable to an increase in interest expense of $1,073,000, an increase in provision expense of $784,000 consisting of $164,000 in provision expense and a negative provision of $620,000 recorded in the same period in 2023, and an increase in salaries and employee benefits expense of $343,000, partially offset by an increase in loan interest and fees income of $937,000, a decrease in net losses on securities of $783,000, and an increase in unrealized gains on equity securities of $221,000 compared to the same period in 2023.

"Net interest income compared to the same period last year is nearly identical, with higher rates on loans and balances held at the Federal Reserve Bank offsetting an increase in interest expense," said George W. Kinne, Jr., President and CEO, “Our stable, low-cost deposit base and liquidity position place us near the top of our peer group in those areas. Our tangible capital is already robust at 12% and should continue to grow through earnings accretion and improvement in the value of securities if the Federal Reserve begins to cut interest rates as expected later this year.”

A cash dividend in the amount of fifteen cents ($0.15) per share on the common stock of the company was declared at the August 13, 2024 meeting of the Board of Directors. The dividend is payable on September 6, 2024 to stockholders of record at the close of business on August 27, 2024.

Jeffersonville Bancorp is a one-bank holding company, which owns all the capital stock of Jeff Bank. Jeff Bank maintains ten full-service branches in Sullivan and Orange County, New York located in Anawana Lake Road/Monticello, Eldred, Callicoon, Jeffersonville, Liberty, Livingston Manor, Monticello, Port Jervis, White Lake, and Wurtsboro.