Company: FCAP
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001171843-25-001868
Chunk: 655

Company: FIRST CAPITAL INC
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 655
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 and financial institutions and the intended actions of the regulatory authorities.

Management uses various indicators to evaluate the Company’s financial condition and results of operations.  Indicators include the following:

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			Net income and earnings per share – Net income attributable to the Company was $11.9 million, or $3.57 per diluted share for 2024 compared to $12.8 million, or $3.82 per diluted share for 2023 and $11.9 million, or $3.55 per diluted share for 2022.  

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			Return on average assets and return on average equity – Return on average assets for 2024 was 1.02% compared to 1.12% for 2023 and 1.03% for 2022, and return on average equity for 2024 was 10.97% compared to 14.03% for 2023 and 13.07% for 2022.  

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			Efficiency ratio – The Company’s efficiency ratio (defined as noninterest expenses divided by net interest income plus noninterest income) was 64.1% for 2024 compared to 61.6% for 2023 and 62.3% for 2022.

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			Asset quality – Net loan charge-offs totaled $261,000 for 2022, $469,000 for 2023 and $173,000 for 2024, and the ratio of net charge-offs to average loans outstanding remained virtually unchanged at 0.05% for 2022, 0.08% for 2023 and 0.03% for 2024.  In addition, total nonperforming assets (consisting of nonperforming loans and foreclosed real estate) increased from $1.8 million, or 0.15% of total assets, at December 31, 2023 to $4.4 million, or 0.37% of total assets, at December 31, 2024. The increase was primarily due to the nonaccrual classification of two commercial loan relationships totaling $2.6 million. Loans in the relationships are secured by a variety of real estate and business assets. The ACL on loans was 1.45% of total outstanding loans and 211.8% of nonaccrual loans at December 31, 2024