Company: MGNO
Filing Date: 2025-01-03
Form Type: 10-Q/A
Source: 0000927089-25-000009
Chunk: 28

Company: Magnolia Bancorp, Inc.
Filing Date: 2025-01-03
Form: 10-Q/A
Chunk 28
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 7.0%, to $10.2 million at September 30, 2024 from $9.5 million at December 31, 2023. The decline in core deposits was primarily due to our lower-cost savings accounts and NOW accounts being less attractive in the current high interest rate environment. Certificates of deposit increased to fund the decrease in core deposits and to maintain sufficient liquidity.

Management continued its strategy of pursuing growth in demand accounts and lower cost core deposits, but market conditions affected this strategy during the first nine months of 2024. Non-interest-bearing deposits, which are part of our total core deposits, increased by $190,700, or 22.3%, to $1,045,300 at September 30, 2024 from $854,600 at December 31, 2023. Management intends to continue its efforts to increase core deposits, with an emphasis on growth in consumer deposits.

Borrowings. We had no FHLB advances at September 30, 2024, compared to $500,000 at December 31, 2023. Our average outstanding FHLB advances during the nine months ended September 30, 2024 were $622,000, compared to $503,000 during the nine months ended September 30, 2023. The maximum amount outstanding at any month-end during the nine months ended September 30, 2024 was $850,000. We increased our short-term FHLB advances in lieu of paying higher rates on longer term certificates of deposit in anticipation of the Federal Reserve Board reducing interest rates. All of our outstanding FHLB advances were repaid upon maturity prior to September 30, 2024.

Total Equity.Total equity decreased by $60,000, or 0.4%, to $13.96 million at September 30, 2024 from $14.02 million at December 31, 2023. The decrease was due to our net loss for the first nine months of 2024. Because we do not have any investment securities other than our FHLB stock, we do not have any accumulated other comprehensive income or loss.

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Average Balances, Net Interest Income, and Yields Earned and Rates Paid. The following tables show for the periods indicated the total dollar amount of interest from average interest-earning assets and the resulting yields, as well as the interest expense on average interest-bearing liabilities, expressed both in dollars and rates, and the