Company: PNBK
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001628280-25-052358
Chunk: 134

Company: PATRIOT NATIONAL BANCORP INC
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 2
Chunk 134
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6 million, which decreased $4.4 million as compared to $40.0 million for the nine months ended September 30, 2024. Total interest expense was $22.4 million, which decreased -$2.2 million as compared to $24.6 million for the nine months ended September 30, 2024. Net interest income was $13.2 million for the nine months ended September 30, 2025, which decreased $2.3 million from $15.4 million for the nine months ended September 30, 2024. 

The decline for both three and nine months ended September 30, 2025 reflects a lower loan balance and narrower net interest margin due to higher deposit costs.

The net interest margin was 2.23% for the quarter ended September 30, 2025, compared to 2.18% for the quarter ended September 30, 2024. For the nine months ended September 30, 2025 and 2024, the net interest margin was 1.90% and 2.18%, respectively. The increase in interest margins for the three and nine months ended September 30, 2025 compared to the same periods in 2024, was primarily associated with an increase in the cost of deposits and other borrowings due to the significant rise in market interest rates and a decline in loan interest income due to the declining loan balance, partially mitigated by the rise in variable rate interest earning assets.

68

Provision for Credit Losses ("PCL")

For the three months ended September 30, 2025, the provision for credit losses was -$0.4 million, consisting of a -$0.4 million loan provision and a $27,000 credit for off-balance-sheet exposure reserves. In comparison, for the three months ended September 30, 2024, the provision for credit losses was $1.0 million, including a $1.1 million loan provision and a $58,000 credit for off-balance-sheet exposure reserves. 

For the nine months ended September 30, 2025, the PCL was $1.8 million, which included a $2.0 million loan provision and a $128,000 credit for off-balance-sheet exposure reserves. For the nine months ended September 30, 2024, the provision was $4.8 million, consisting of a $4.