Company: MGNO
Filing Date: 2025-01-03
Form Type: 10-Q/A
Source: 0000927089-25-000009
Chunk: 27

Company: Magnolia Bancorp, Inc.
Filing Date: 2025-01-03
Form: 10-Q/A
Chunk 27
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 cause major damage in our market area.

Cash and Cash Equivalents.Cash and cash equivalents decreased by $83,000, or 4.8%, to $1.627 million at September 30, 2024 from $1.710 million at December 31, 2023. As market interest rates continued to remain at relatively high rates and in light of the reduced demand for our fixed-rate mortgage loans, we elected not to match the highest market rates being paid on longer term deposits, which led to deposit outflows. We used our excess liquidity to fund the decrease in deposits. Our cash and cash equivalents were 4.6% of total assets at September 30, 2024 compared to 4.7% of total assets at December 31, 2023.

Loans Receivable, Net.Loans receivable, net, decreased by $1.2 million, or 3.7%, to $30.8 million at September 30, 2024 from $32.0 million at December 31, 2023. During the first nine months of 2024, our total loan originations decreased by $684,000, or 49.8%, from $1.4 million during the first nine months of 2023. Our originations of one- to-four family residential loans decreased by $684,000 in the first nine months of 2024 from the first nine months of 2023, as the demand for our fixed-rate loans declined in the current interest rate environment. In addition, our chief loan officer resigned in May 2023. In October 2024, we hired an additional loan officer. We originated $280,000 of home equity lines of credit in the first nine months of 2024 compared to $21,000 of such originations in the first nine months of 2023. These home equity lines of credit mature or reprice within one year.

Deposits.Total interest-bearing deposits decreased by $688,000, or 3.4%, to $19.3 million at September 30, 2024 from $20.0 million at December 31, 2023. Core deposits (defined as deposits other than certificates of deposit) decreased by $1.1 million, or 9.7%, to $10.2 million at September 30, 2024 from $11.3 million at December 31, 2023. Certificates of deposit increased by $674,000, or