Company: PNBK
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001628280-25-025485
Chunk: 65

Company: PATRIOT NATIONAL BANCORP INC
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 1
Chunk 65
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%$7,305 100.00 %

Non-performing Assets

The following table presents non-performing assets as of March 31, 2025 and December 31, 2024:

March 31, 2025December 31, 2024Non-accruing loans:Commercial Real Estate$23,708 $19,334 Residential Real Estate— 109 Commercial and Industrial2,937 3,341 Consumer and Other704 730 Construction to Permanent - CRE2,357 2,357 Total non-accruing loans29,706 25,871 Other real estate owned$2,590 $2,843 Total nonperforming assets$32,296 $28,714 Nonperforming assets to total assets3.38 %2.84 %Nonperforming loans to total loans, net4.45 %3.69 %

46

As of March 31, 2025, non-accrual loans increased to $29.7 million, compared to $25.9 million as of December 31, 2024. The non-accrual loans at March 31, 2025 was comprised of 268 borrowers. Of these, 14 loans were individually evaluated, and a specific reserve of $310,000 was established for them. For collateral dependent loans, the Bank has obtained appraisal reports from independent licensed appraisal firms and discounted those values based on the Bank’s experience selling OREO properties and for estimated selling costs to determine estimated impairment. No individually evaluated loans were cash flow dependent loans.

As of December 31, 2024, the $25.9 million of non-accrual loans was comprised of 335 borrowers. Of which, 14 loans were individually evaluated, and a specific reserve of $463,000 was established. 

Loans held for sale

SBA loans held for sale totaled zero as of March 31, 2025 and December 31, 2024. SBA loans held for sale represent the guaranteed portion of SBA loans and are reflected at the lower of aggregate cost or market value. 

As of March 31, 2025 and December 31, 2024, the credit card loans held for sale from Digital Payments division totaled $17.6 million and $11.4 million, respectively. The credit card loans expected to be held for no longer than three days before being sold. The credit