0001654954-26-002870
SEC filingCommunity Bancorp reported FY 2025 net income of $17.0 million, with earnings per common share of $3.00. The company generated total interest income of $60.9 million and total non-interest income of $7.9 million, resulting in net interest income of $40.9 million after total interest expense of $20.0 million. After credit loss expense of $1.4 million and non-interest expense of $27.0 million, the company achieved income before taxes of $20.4 million. The balance sheet shows total assets of $1.29 billion, with loans of $965.3 million and total deposits of $1.07 billion. Shareholders' equity stood at $113.7 million, with book value per common share of $20. The company generated $16.0 million in operating cash flow and paid $4.0 million in common stock dividends.
Community Bancorp reported FY 2025 net income of $17.0 million, representing earnings per common share of $3.00 based on 5.6 million weighted average shares. The company generated total interest income of $60.9 million, primarily from interest and fees on loans ($55.5 million) and interest on taxable debt securities ($3.6 million). Total interest expense was $20.0 million, resulting in net interest income of $40.9 million. After credit loss expense of $1.4 million, net interest income after credit loss expense was $39.5 million. Non-interest income contributed $7.9 million, while non-interest expenses totaled $27.0 million, leading to income before income taxes of $20.4 million and income tax expense of $3.4 million.
The company's revenue is primarily derived from traditional banking activities in northeastern and central Vermont. Interest income of $60.9 million was driven by loans ($55.5 million), securities ($3.9 million), and federal funds sold ($1.3 million). Non-interest income of $7.9 million included service fees ($3.9 million), other income ($2.3 million), other income from loans ($1.4 million), and income from sold loans ($406K). The company's operations are geographically concentrated in Vermont, with substantially all loans, deposits, and fee income generated in northeastern and central Vermont.
Community Bancorp achieved an operating margin of 33.6% based on income before taxes of $20.4 million relative to total revenue of $60.9 million interest income plus $7.9 million non-interest income. The company's cost structure included $27.0 million in non-interest expenses, with salaries and wages ($9.8 million), employee benefits ($4.2 million), occupancy expenses ($3.0 million), and other expenses ($10.0 million). Credit loss expense of $1.4 million represented 2.3% of total interest income. The allowance for credit losses stood at $10.9 million against loans of $965.3 million.
The company generated $16.0 million in net cash from operating activities, with primary adjustments including depreciation and amortization ($1.0 million), credit loss expense ($1.4 million), and income from CFS Partners ($1.8 million). Investing activities used $16.2 million primarily for loan growth ($38.2 million increase) and securities purchases ($15.0 million), partially offset by securities maturities and sales ($37.9 million). Financing activities provided $17.3 million, driven by deposit growth ($68.9 million total increase) and long-term borrowings ($10.2 million), partially offset by dividend payments ($4.0 million common, $97K preferred) and stock buybacks ($1.9 million). The balance sheet shows total assets of $1.29 billion, including cash and equivalents ($128.1 million), securities ($144.5 million), and net loans ($955.2 million). Total liabilities were $1.17 billion, primarily deposits ($1.07 billion), with shareholders' equity of $113.7 million.
The company faces several risk factors including interest rate sensitivity, geographic concentration in Vermont, real estate market exposure (high concentration of loans secured by real estate), regulatory constraints on dividends, and cybersecurity threats. Management notes that changes in interest rates could adversely affect net interest income if rates paid on deposits increase faster than rates earned on loans. The company's ability to pay dividends depends on dividends from its bank subsidiary, which are subject to regulatory limitations. The company met Basel III capital requirements as of December 31, 2025, including the 2.5% common equity Tier I capital conservation buffer. The company's common stock began trading on Nasdaq on February 2, 2026, which may increase trading volume compared to previous OTC trading.