0001437749-26-008215
SEC filingFidelity D & D Bancorp, Inc. reported net income of $28.2 million for fiscal year 2025, with basic and diluted earnings per share of $5.00. The company generated total interest income of $119.8 million, offset by interest expense of $47.2 million, resulting in net interest income of $72.7 million. After provisions for credit losses totaling $1.3 million, net interest income was $71.4 million. Other income contributed $20.6 million, while other expenses totaled $58.8 million, leading to income before taxes of $33.1 million. The company paid $4.9 million in income taxes. Total assets stood at $2.75 billion, with total deposits of $2.47 billion and shareholders' equity of $238.9 million. Operating activities generated $42.4 million in cash, while investing activities used $95.3 million, primarily for loan growth and capital expenditures. Financing activities provided $117.6 million, mainly from deposit growth. The company paid dividends of $2.00 per share.
Fidelity D & D Bancorp, Inc. reported fiscal year 2025 results with net income of $28.2 million, translating to basic and diluted earnings per share of $5.00. The company generated total interest income of $119.8 million, consisting of $98.4 million in taxable interest, $5.4 million in nontaxable interest, $4.6 million from interest-bearing deposits, and $329,000 from restricted bank stock investments. Interest expense totaled $47.2 million, primarily from deposits ($46.8 million), resulting in net interest income of $72.7 million. After provisions for credit losses on loans ($1.1 million) and unfunded commitments ($215,000), net interest income was $71.4 million. Other income contributed $20.6 million, including earnings on bank-owned life insurance ($1.6 million) and gains on loan sales ($1.5 million). Other expenses totaled $58.8 million, led by salaries and benefits ($30.8 million) and premises/equipment ($9.8 million). Income before taxes was $33.1 million, with $4.9 million in income tax provision.
The company's revenue is primarily interest-based, with $119.8 million in total interest income. This includes $98.4 million from taxable sources, $5.4 million from nontaxable sources, $4.6 million from interest-bearing deposits with financial institutions, and $329,000 from restricted investments in bank stock. Investment securities contributed $11.1 million ($5.7 million from U.S. government agencies, $3.7 million from nontaxable state/political subdivisions, and $1.7 million from taxable state/political subdivisions). Other income of $20.6 million supplemented interest revenue, with significant components including earnings on bank-owned life insurance ($1.6 million), gain on loan sales ($1.5 million), and gain on premises/equipment disposal ($296,000), partially offset by a $1.2 million loss on available-for-sale debt securities.
The company's net interest margin can be inferred from the $72.7 million net interest income on $119.8 million total interest income, representing a 60.7% net interest margin before provisions. After $1.3 million in credit loss provisions, the margin adjusted to 59.6%. Operating margin, calculated as income before taxes ($33.1 million) divided by total revenue ($140.4 million, combining interest and other income), was 23.6%. The cost structure shows salaries and employee benefits ($30.8 million) as the largest expense, representing 52.4% of total other expenses ($58.8 million). Premises and equipment expenses ($9.8 million) accounted for 16.7% of other expenses, while data processing ($3.0 million), advertising ($3.3 million), and professional services ($4.0 million) represented smaller portions.
Operating activities generated $42.4 million in cash, starting with $28.2 million net income and adding $5.5 million in depreciation/amortization, $1.1 million in loan loss provisions, and $215,000 in unfunded commitment provisions. Significant adjustments included $67.9 million proceeds from loan sales offset by $58.3 million loan originations. Investing activities used $95.3 million, primarily for net loan increases ($122.5 million) and premises/equipment purchases ($17.5 million), partially offset by security sales ($44.5 million) and maturities ($28.0 million). Financing activities provided $117.6 million, mainly from deposit growth ($127.3 million), partially offset by dividend payments ($9.4 million). The balance sheet shows $2.75 billion in total assets, including $1.89 billion in net loans, $296.6 million in available-for-sale securities, $227.3 million in held-to-maturity securities, and $148.1 million in cash equivalents. Liabilities totaled $2.51 billion, with $2.47 billion in deposits. Shareholders' equity was $238.9 million.
The filing indicates ongoing corporate development with the Scranton Electric Building purchase for a future corporate headquarters, expected to be completed in the second quarter of 2026. The company operates 21 full-service banking offices (11 owned, 10 leased) in Pennsylvania, with plans to sell its downtown Scranton financial center in 2026 upon headquarters completion. The Pittston branch lease involves a director-affiliated entity. No specific financial guidance or forward-looking statements about revenue, earnings, or growth targets are provided in the available content. The company continues to focus on its core banking operations while managing its branch network and corporate facilities.