Company: BCTF
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0001552781-25-000058
Chunk: 91

Company: Bancorp 34, Inc.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1
Chunk 91
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”) from the Federal Reserve due to the favorable spread of the borrowings
in relation to cash yields. The BTFP borrowings were paid off using excess cash in the fourth quarter as the Federal Reserve eased in
monetary policy and interest rates declined.

Our net interest margin
was 3.65% for 2024, compared to 2.76% for 2023, an increase of 89 basis points. The increase is a result of the merger improving loan
yield, which outpaced increases in funding costs.

63

The average balance sheet amounts, the related
interest income or expense, and average rates earned or paid are presented in the following table.

    For the year ended December 31, 2024  
    For the year ended December 31, 2023 
  
    (dollars in thousands) 
    Average Balance  
    Interest(2)  
    Average Yield/Rate  
    Average Balance  
    Interest  
    Average Yield/Rate 
  
    Interest Earning Assets 

    Loans(1) 
    $655,802  
    $44,013  
     6.73% 
    $472,113  
    $25,779  
     5.46%
  
    Investment securities 
     68,182  
     2,164  
     2.51% 
     61,694  
     1,611  
     2.61%
  
    Other interest earning assets 
     80,841  
     4,608  
     6.29% 
     16,888  
     734  
     4.35%
  
    Total earning assets 
     804,825  
    $50,785  
     6.33% 
     550,695  
    $28,124  
     5.11%
  
    Noninterest-earning assets 
     49,957  

     29,101  

    Total assets 
    $854,782  

    $579,796  

    Interest-bearing liabilities 

    Checking, money market and savings deposits 
    $323,386  
    $10,033  
     3.11% 
    $260,238  
    $6,878  
     2.64%
  
    Time deposits 
     202,097