Blue Ridge Bankshares, Inc. Announces 2025 Second Quarter Results
Blue Ridge Bankshares (NYSE American: BRBS) reported Q2 2025 net income of $1.3 million, or $0.01 per diluted share, compared to a net loss of $0.4 million in Q1 2025. Key highlights include improved net interest margin of 3.15%, driven by lower deposit costs, and significant expense reductions with headcount decreased by 109 in H1 2025.
The Bank's capital position strengthened with tier 1 leverage ratio at 12.89% and total risk-based capital ratio at 18.91%, exceeding regulatory requirements. Total assets decreased to $2.56 billion, while sources of liquidity totaled $750.0 million, representing 183.3% of uninsured deposits. The company completed the redemption of its $15.0 million subordinated note and announced a partial redemption of $10.0 million of its 2029 Notes.
Blue Ridge Bankshares (NYSE American: BRBS) ha riportato un utile netto di 1,3 milioni di dollari nel secondo trimestre 2025, pari a 0,01 dollari per azione diluita, rispetto a una perdita netta di 0,4 milioni di dollari nel primo trimestre 2025. Tra i punti salienti si evidenzia un miglioramento del margine di interesse netto al 3,15%, grazie a costi di deposito più bassi, e una significativa riduzione delle spese, con una diminuzione di 109 dipendenti nella prima metà del 2025.
La posizione patrimoniale della banca si è rafforzata con un rapporto di leva Tier 1 al 12,89% e un indice patrimoniale totale basato sul rischio al 18,91%, superiori ai requisiti normativi. Gli attivi totali sono diminuiti a 2,56 miliardi di dollari, mentre le fonti di liquidità ammontano a 750,0 milioni di dollari, pari al 183,3% dei depositi non assicurati. La società ha completato il rimborso della sua nota subordinata da 15,0 milioni di dollari e ha annunciato un rimborso parziale di 10,0 milioni di dollari delle sue Note 2029.
Blue Ridge Bankshares (NYSE American: BRBS) reportó un ingreso neto de 1,3 millones de dólares en el segundo trimestre de 2025, o 0,01 dólares por acción diluida, en comparación con una pérdida neta de 0,4 millones de dólares en el primer trimestre de 2025. Entre los aspectos destacados se incluye una mejora en el margen de interés neto al 3,15%, impulsada por menores costos de depósitos, y una reducción significativa de gastos con una disminución de 109 empleados en la primera mitad de 2025.
La posición de capital del banco se fortaleció con una ratio de apalancamiento de nivel 1 del 12,89% y una ratio total de capital basado en riesgo del 18,91%, superando los requisitos regulatorios. Los activos totales disminuyeron a 2,56 mil millones de dólares, mientras que las fuentes de liquidez totalizaron 750,0 millones de dólares, representando el 183,3% de los depósitos no asegurados. La compañía completó el reembolso de su nota subordinada de 15,0 millones de dólares y anunció un reembolso parcial de 10,0 millones de dólares de sus Notas 2029.
Blue Ridge Bankshares (NYSE American: BRBS)는 2025년 2분기 순이익으로 130만 달러, 희석 주당순이익 0.01달러를 보고했으며, 이는 2025년 1분기의 40만 달러 순손실과 비교됩니다. 주요 내용으로는 예금 비용 감소에 힘입은 3.15%의 순이자마진 개선과 2025년 상반기에 109명의 인력 감축을 통한 상당한 비용 절감이 포함됩니다.
은행의 자본 상태는 1등급 레버리지 비율이 12.89%, 총 위험기반 자본 비율이 18.91%로 규제 요건을 초과하며 강화되었습니다. 총 자산은 25억 6천만 달러로 감소했으며, 유동성 자원은 7억 5천만 달러로 무보험 예금의 183.3%에 해당합니다. 회사는 1,500만 달러 규모의 후순위 채권 상환을 완료했으며, 2029년 만기 채권 1,000만 달러 부분 상환을 발표했습니다.
Blue Ridge Bankshares (NYSE American : BRBS) a annoncé un bénéfice net de 1,3 million de dollars au deuxième trimestre 2025, soit 0,01 dollar par action diluée, contre une perte nette de 0,4 million de dollars au premier trimestre 2025. Les points clés incluent une amélioration de la marge nette d'intérêt à 3,15%, portée par la baisse des coûts des dépôts, ainsi qu'une réduction significative des dépenses avec une diminution de 109 employés au premier semestre 2025.
La position en capital de la banque s’est renforcée avec un ratio de levier Tier 1 à 12,89% et un ratio total de capital basé sur le risque à 18,91%, dépassant les exigences réglementaires. L’actif total a diminué à 2,56 milliards de dollars, tandis que les sources de liquidité s’élevaient à 750,0 millions de dollars, représentant 183,3 % des dépôts non assurés. La société a finalisé le remboursement de sa note subordonnée de 15,0 millions de dollars et annoncé un remboursement partiel de 10,0 millions de dollars de ses obligations 2029.
Blue Ridge Bankshares (NYSE American: BRBS) meldete für das zweite Quartal 2025 einen Nettogewinn von 1,3 Millionen US-Dollar, bzw. 0,01 US-Dollar je verwässerter Aktie, im Vergleich zu einem Nettoverlust von 0,4 Millionen US-Dollar im ersten Quartal 2025. Zu den wichtigsten Punkten zählen eine verbesserte Nettomarge von 3,15%, bedingt durch niedrigere Einlagenkosten, sowie erhebliche Kosteneinsparungen durch einen Personalabbau von 109 Mitarbeitern im ersten Halbjahr 2025.
Die Kapitalausstattung der Bank wurde gestärkt, mit einer Tier-1-Leverage-Ratio von 12,89% und einer Gesamtkapitalquote auf risikobasierter Grundlage von 18,91%, die die regulatorischen Anforderungen übersteigen. Die Gesamtaktiva sanken auf 2,56 Milliarden US-Dollar, während die Liquiditätsquellen 750,0 Millionen US-Dollar betrugen, was 183,3% der nicht versicherten Einlagen entspricht. Das Unternehmen hat die Rückzahlung seiner 15,0 Millionen US-Dollar nachrangigen Schuldverschreibung abgeschlossen und eine teilweise Rückzahlung von 10,0 Millionen US-Dollar seiner 2029 Notes angekündigt.
- Return to profitability with $1.3 million net income in Q2 2025
- Net interest margin improved to 3.15% from 2.90% in Q1
- Significant cost reductions with headcount reduced by 170 since Q2 2024
- Strong capital ratios exceeding regulatory requirements
- Sources of liquidity at $750.0 million, covering 183.3% of uninsured deposits
- Total assets decreased by $129.6 million to $2.56 billion
- Total deposits declined by $119.2 million to $2.01 billion
- Nonperforming loans at $24.0 million, representing 0.94% of total assets
- Net loan charge-offs of $0.5 million in Q2 2025
- Continued runoff of non-core loans and deposits exceeding new business generation
Insights
BRBS returned to profitability with $1.3M Q2 net income despite balance sheet reduction, showing improved margins and regulatory progress.
Blue Ridge Bankshares has turned a corner with its $1.3 million Q2 2025 net income ($0.01 per diluted share), compared to a net loss of $0.4 million in Q1 2025 and a substantial $11.4 million loss in Q2 2024. This marks the company's return to profitability for the first half of 2025 with $0.9 million in net income.
The net interest margin improved significantly to 3.15% from 2.90% in the previous quarter, primarily driven by lower deposit costs. The company has been actively managing its balance sheet, which contracted to $2.56 billion from $2.69 billion in the previous quarter. The strategic reduction includes a deliberate runoff of non-core loans and deposits.
On the expense front, management reduced noninterest expenses by almost $1.0 million from Q1, with headcount down by 109 positions in the first half of 2025 and 170 since Q2 2024. This represents meaningful progress toward the company's goal of achieving an annualized noninterest expense-to-assets ratio below 3% by Q4 2025.
The company has also strengthened its capital position, with the tangible common stockholders' equity to tangible total assets ratio improving to 13.4% from 12.5% in the previous quarter. The Bank's tier 1 leverage ratio stood at 12.89%, well above the 10.00% minimum required by its Consent Order with the OCC.
Asset quality remains stable with nonperforming loans at 0.94% of total assets compared to 0.93% in the previous quarter. The allowance for credit losses as a percentage of total loans held for investment was 1.11%, essentially unchanged from 1.12% in Q1.
Importantly, the company has made substantial progress on regulatory remediation related to the January 2024 consent order, allowing it to shift focus toward growth as a community bank. Management's characterization of transforming from a team of "fixers" to "growers" signals a positive inflection point for the organization.
The liquidity position remains strong with $750 million in available liquidity, representing 183.3% of uninsured deposits. This healthy liquidity buffer provides stability as the bank navigates its transition phase.
Reports net income for the quarter and continued progress on regulatory remediation efforts
For the quarter ended June 30, 2025, the Company reported net income of
For the first half of 2025, the Company reported net income of
A Message From Blue Ridge Bankshares, Inc. President and CEO, G. William "Billy" Beale:
"In our earnings release for first quarter 2025, I mentioned the results were a harbinger for future sustainable and increasing profitability. I am pleased to report that the Company earned
"There are several encouraging trends. Our net interest margin, driven primarily by lower deposit costs, grew to
"Reduction in noninterest expense remains a focus. The quarter reflected an improvement or reduction in expenses of almost
"With significant progress made toward remediation of the January 2024 consent order, we have turned our focus to growing our community bank. To date, the runoff of non-core loans and deposits exceeds new loans and deposits generated within our footprint. We expect this trend to continue, but at a slower pace in the third quarter.
"I am encouraged by what I see in the financials; however, I am more encouraged by my teammates and their energy as we turn from a team of 'fixers' to a team of 'growers'."
Sale of Monarch Mortgage
On March 27, 2025, the Company completed the previously announced sale of its mortgage division operating as Monarch Mortgage. The sale, which included the transfer of certain assets and leases to an unrelated mortgage company, resulted in a
Q2 2025 Highlights
(Comparisons for Second Quarter 2025 are relative to First Quarter 2025 unless otherwise noted.)
Net Income:
- Net income for the quarter was
$1.3 million $0.01 $0.4 million $0.01 $1.8 million $0.3 million $1.3 million $0.9 million $0.7 million $0.2 million
Net Interest Income / Net Interest Margin:
- Net interest income totaled
$19.8 million $19.0 million $0.6 million $94.9 million $1.5 million $74.3 million 3.15% during the quarter from2.90% in the prior quarter, primarily reflecting the decline in the cost of deposits. - On June 1, 2025, the initial redemption date, the Company completed the redemption of its
$15.0 million 6.0% up to the redemption date. Interest expense on the 2030 Note was$0.2 million - On June 2, 2025, the Company provided to the holders of its
$25.0 million $10.0 million 8.59% , which was the then three-month Secured Overnight Funding Rate ("SOFR") plus 433.5 basis points. Interest expense and the effective interest rate on the 2029 Notes were$0.5 million 7.86% , respectively, for the second quarter of 2025, compared to$0.5 million 8.05% for the first quarter.
Capital:
- The ratio of tangible common stockholders' equity to tangible total assets was
13.4% 1compared to12.5% 1 at the prior quarter end. The increase in this ratio was primarily driven by the exercise of warrants for one million common shares and a smaller balance sheet. Tangible book value per common share ("TBV") was$3.85 $3.83 $0.14 - At June 30, 2025, the Bank's tier 1 leverage ratio, tier 1 risk-based capital ratio, common equity tier 1 capital ratio, and total risk-based capital ratio were
12.89% ,17.86% ,17.86% , and18.91% , respectively, compared to12.33% ,16.88% ,16.88% , and17.93% , respectively, at the prior quarter end. Capital ratios for the Company at June 30, 2025 for tier 1 leverage ratio, tier 1 risk-based capital ratio, common equity tier 1 capital ratio, and total risk-based capital ratio were13.93% ,19.29% ,19.29% , and21.37% , respectively, compared to13.23% ,18.06% ,18.06% , and20.83% , respectively, at the prior quarter end. - As of June 30, 2025 and March 31, 2025, the Bank's tier 1 leverage and total risk-based capital ratios exceeded the minimum capital ratios set forth in the Bank's Consent Order with the Office of the Comptroller of the Currency (the "OCC"), which requires the Bank to maintain a minimum tier 1 leverage ratio of
10.00% and a total risk-based capital ratio of13.00% .
Asset Quality:
- Nonperforming loans, which include nonaccrual loans and loans past due 90 days or more and accruing interest, were
$24.0 million 0.94% of total assets, at quarter end compared to$24.9 million 0.93% of total assets, at the prior quarter end. - A recovery of credit losses of
$0.7 million - The ACL as a percentage of total loans held for investment was
1.11% at quarter end compared to1.12% at the prior quarter end. Net loan charge-offs were$0.5 million $0.1 million 0.09% compared to (0.02% ) for the prior quarter.
Noninterest Income / Noninterest Expense:
- Noninterest income for the quarter was
$3.2 million $3.1 million $0.3 million $0.2 million - Noninterest expense for the quarter was
$22.0 million $23.0 million $1.0 million $13.0 million $12.6 million $0.3 million $0.7 million $2.0 million $1.2 million
Income Tax:
- Income tax expense (benefit) for the second and first quarters was
$0.5 million ( , respectively, with an effective income tax rate for the same respective periods of$0.5) million 27.0% and51.2% . The higher effective income tax rate in the prior quarter was driven by a$0.3 million 22.7% .
Balance Sheet:
- Total assets decreased to
$2.56 billion $2.69 billion $129.6 million $81.1 million $11.2 million $42.5 million $16.1 million - Total deposits decreased to
$2.01 billion $2.13 billion $119.2 million $76.2 million $43.0 million - Sources of liquidity, which consist primarily of on-balance sheet cash, unpledged securities available for sale, and available credit under secured borrowing facilities, totaled
$750.0 million 183.3% of uninsured deposits as of June 30, 2025. Sources of liquidity as of March 31, 2025, totaled$788.8 million 182.9% of uninsured deposits.
Income Statement:
Net interest income was
Average balances of interest-earning assets decreased
Average balances of interest-bearing liabilities decreased
Cost of funds was
Net interest margin was
A recovery of credit losses of
Noninterest income was
Noninterest expense was
Balance Sheet:
Loans held for investment were
Total deposits were
The Company previously reported that it was prohibited from the acceptance, renewal, or rollover of brokered deposits as a result of the Consent Order; however, the Company received approvals from the FDIC allowing the Bank to accept, renew, or rollover brokered deposits for a six-month period ending June 2025 and limited to the amount of maturities during this period. In June 2025, the Company received an extension for an additional six-month period, through December 2025. Brokered deposits at June 30, 2025 were
Noninterest-bearing deposits represented
About Blue Ridge Bankshares, Inc.:
Blue Ridge Bankshares, Inc. is the holding company for Blue Ridge Bank and BRB Financial Group, Inc. The Company, through its subsidiaries and affiliates, provides a wide range of financial services including retail and commercial banking. The Company also provides investment and wealth management services and management services for personal and corporate trusts, including estate planning and trust administration. Visit www.mybrb.com for more information.
Reclassifications:
Certain amounts presented in the consolidated financial statements of prior periods have been reclassified to conform to current period presentations. The reclassifications had no effect on net income (loss), net income (loss) per share, or stockholders' equity, as previously reported.
Non-GAAP Financial Measures:
The accounting and reporting policies of the Company conform to
Forward-Looking Statements:
This release of the Company contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections, and statements of the Company's beliefs concerning future events, business plans, objectives, expected operating results and the assumptions upon which those statements are based. Forward-looking statements include, without limitation, any statement that may predict, forecast, indicate, or imply future results, performance or achievements, and are typically identified with words such as "may," "could," "should," "will," "would," "believe," "anticipate," "estimate," "expect," "aim," "intend," "plan," or words or phrases of similar meaning. The Company cautions that the forward-looking statements are based largely on its expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond the Company's control. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements.
The following factors, among others, could cause the Company's financial performance to differ materially from that expressed in such forward-looking statements:
- the strength of
the United States economy in general and the strength of the local economies in which the Company conducts operations; - the effects of, and changes in, the macroeconomic environment and financial market conditions, including monetary and fiscal policies, interest rates and inflation;
- the impact of, and the ability to comply with, the terms of the January 24, 2024 Consent Order with the OCC, including the heightened capital requirements and other restrictions therein, and other regulatory directives;
- the imposition of additional regulatory actions or restrictions for noncompliance with the Consent Order or otherwise;
- the Company's involvement in, and the outcome of, any litigation, legal proceedings, or enforcement actions that may be instituted against the Company;
- reputational risk and potential adverse reactions of the Company's customers, suppliers, employees, or other business partners;
- the Company's ability to manage its fintech relationships, including implementing enhanced controls and procedures, complying with the OCC directives and applicable laws and regulations, and managing the wind down of these partnerships;
- the quality and composition of the Company's loan and investment portfolios, including changes in the level of the Company's nonperforming assets and charge-offs;
- the Company's management of risks inherent in its loan portfolio, the credit quality of its borrowers, and the risk of a prolonged downturn in the real estate market, which could impair the value of the Company's collateral and its ability to sell collateral upon any foreclosure;
- the ability to maintain adequate liquidity by growing and retaining deposits and secondary funding sources, especially if the Company's or its industry's reputation become damaged;
- the ability to maintain capital levels adequate to support the Company's business and to comply with the Consent Order directives;
- the ability of the Company to implement cost-saving initiatives and efficiency measures, as well as increase earning assets, in order to yield acceptable levels of profitability;
- the ability to generate sufficient future taxable income for the Company to realize its deferred tax assets, including the net operating loss carryforward;
- the timely development of competitive new products and services and the acceptance of these products and services by new and existing customers;
- changes in consumer spending and savings habits;
- the willingness of users to substitute competitors' products and services for the Company's products and services;
- the impact of unanticipated outflows of deposits;
- technological and social media changes;
- potential exposure to fraud, negligence, computer theft, and cyber-crime;
- adverse developments in the financial industry generally, such as bank failures, responsive measures to mitigate and manage such developments, supervisory and regulatory actions and costs, and related impacts on customer and client behavior;
- changing bank regulatory conditions, policies or programs, whether arising as new legislation or regulatory initiatives, that could lead to restrictions on activities of banks generally, or the Bank in particular, more restrictive regulatory capital requirements, increased costs, including deposit insurance premiums, regulation or prohibition of certain income producing activities or changes in the secondary market for loans and other products;
- the impact of changes in financial services policies, laws, and regulations, including laws, regulations and policies concerning taxes, banking, securities, real estate and insurance, the application thereof by bank regulatory bodies, and the three branches of the federal government;
- the effect of changes in accounting standards, policies, and practices as may be adopted from time to time;
- estimates of the fair value and other accounting values, subject to impairment assessments, of certain of the Company's assets and liabilities;
- geopolitical conditions, including acts or threats of terrorism and/or military conflicts, or actions taken by
the United States or other governments in response to acts or threats of terrorism and/or military conflicts, which could impact business and economic conditions inthe United States and abroad; - the economic impact of duties, tariffs, or other barriers or restrictions on trade, any retaliatory counter measures, and the volatility and uncertainty arising therefrom;
- the occurrence or continuation of widespread health emergencies or pandemics, significant natural disasters, severe weather conditions, floods, and other catastrophic events; and
- other risks and factors identified in the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections and elsewhere in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 and in filings the Company makes from time to time with the
U.S. Securities and Exchange Commission ("SEC").
The foregoing factors should not be considered exhaustive and should be read together with other cautionary statements that are included in filings the Company makes from time to time with the SEC. Any one of these risks or factors could have a material adverse impact on the Company's results of operations or financial condition, or cause the Company's actual results, performance or achievements to differ materially from those expressed in, or implied by, forward-looking information and statements contained in this release. Moreover, new risks and uncertainties emerge from time to time, and it is not possible for the Company to predict all risks and uncertainties that could have an impact on its forward-looking statements. Therefore, the Company cautions not to place undue reliance on its forward-looking information and statements, which speak only as of the date of this release. The Company does not undertake to, and will not, update or revise these forward-looking statements after the date hereof, whether as a result of new information, future events, or otherwise.
1 Non-GAAP financial measure. Further information can be found at the end of this press release.
Blue Ridge Bankshares, Inc. | ||||
Consolidated Balance Sheets | ||||
(Dollars in thousands, except share data) | (unaudited) | December 31, | ||
Assets | ||||
Cash and due from banks | $ 131,199 | $ 173,533 | ||
Restricted cash | — | 2,459 | ||
Federal funds sold | 628 | 838 | ||
Securities available for sale, at fair value | 327,958 | 312,035 | ||
Restricted equity investments | 18,925 | 19,275 | ||
Other equity investments | 4,641 | 4,834 | ||
Other investments | 20,938 | 19,405 | ||
Loans held for sale | 12,380 | 30,976 | ||
Loans held for investment, net of deferred fees and costs | 1,978,585 | 2,111,797 | ||
Less: allowance for credit losses | (21,974) | (23,023) | ||
Loans held for investment, net | 1,956,611 | 2,088,774 | ||
Accrued interest receivable | 11,711 | 12,537 | ||
Premises and equipment, net | 20,718 | 21,394 | ||
Right-of-use lease asset | 7,270 | 7,962 | ||
Other intangible assets | 3,230 | 3,859 | ||
Deferred tax asset, net | 26,157 | 27,312 | ||
Other assets | 13,073 | 12,067 | ||
Total assets | $ 2,555,439 | $ 2,737,260 | ||
Liabilities and Stockholders' Equity | ||||
Deposits: | ||||
Noninterest-bearing demand | $ 432,939 | $ 452,690 | ||
Interest-bearing demand and money market deposits | 624,108 | 598,875 | ||
Savings | 101,560 | 100,857 | ||
Time deposits | 851,659 | 1,027,020 | ||
Total deposits | 2,010,266 | 2,179,442 | ||
FHLB borrowings | 150,000 | 150,000 | ||
Subordinated notes, net | 24,928 | 39,789 | ||
Lease liability | 7,969 | 8,613 | ||
Other liabilities | 18,011 | 31,628 | ||
Total liabilities | 2,211,174 | 2,409,472 | ||
Commitments and contingencies | ||||
Stockholders' Equity: | ||||
Common stock, no par value; 150,000,000 shares authorized at June | 334,634 | 322,791 | ||
Additional paid-in capital | 29,687 | 29,687 | ||
Retained earnings | 18,634 | 17,772 | ||
Accumulated other comprehensive loss, net of tax | (38,690) | (42,462) | ||
Total stockholders' equity | 344,265 | 327,788 | ||
Total liabilities and stockholders' equity | $ 2,555,439 | $ 2,737,260 | ||
(1) Derived from audited December 31, 2024 Consolidated Financial Statements. | ||||
Blue Ridge Bankshares, Inc. | ||||||
Consolidated Statements of Income (unaudited) | ||||||
For the Three Months Ended | ||||||
(Dollars in thousands, except per common share data) | June 30, 2025 | March 31, 2025 | June 30, 2024 | |||
Interest income: | ||||||
Interest and fees on loans | $ 30,730 | $ 31,154 | $ 36,196 | |||
Interest on securities, deposit accounts, and federal funds sold | 4,006 | 4,196 | 4,435 | |||
Total interest income | 34,736 | 35,350 | 40,631 | |||
Interest expense: | ||||||
Interest on deposits | 12,802 | 14,192 | 17,272 | |||
Interest on subordinated notes | 646 | 736 | 552 | |||
Interest on FHLB and FRB borrowings | 1,447 | 1,432 | 2,722 | |||
Total interest expense | 14,895 | 16,360 | 20,546 | |||
Net interest income | 19,841 | 18,990 | 20,085 | |||
(Recovery of) provision for credit losses - loans | (700) | — | 3,600 | |||
Recovery of credit losses - unfunded commitments | — | — | (500) | |||
Total (recovery of) provision for credit losses | (700) | — | 3,100 | |||
Net interest income after (recovery of) provision for credit losses | 20,541 | 18,990 | 16,985 | |||
Noninterest income: | ||||||
Fair value adjustments of other equity investments | (82) | (73) | (8,537) | |||
Residential mortgage banking income | 312 | 956 | 3,090 | |||
Mortgage servicing rights | (139) | 2 | 2,019 | |||
Wealth and trust management | 409 | 454 | 623 | |||
Service charges on deposit accounts | 721 | 457 | 386 | |||
Increase in cash surrender value of BOLI | 8 | 8 | 333 | |||
Bank and purchase card, net | 626 | 567 | 513 | |||
Other | 1,389 | 701 | 1,845 | |||
Total noninterest income | 3,244 | 3,072 | 272 | |||
Noninterest expense: | ||||||
Salaries and employee benefits | 13,000 | 12,610 | 14,932 | |||
Occupancy and equipment | 1,129 | 1,381 | 1,303 | |||
Technology and communications | 2,565 | 2,784 | 2,332 | |||
Legal and regulatory filings | 395 | 439 | 363 | |||
Advertising and marketing | 128 | 191 | 183 | |||
Audit fees | 459 | 578 | 295 | |||
FDIC insurance | 1,027 | 1,097 | 1,817 | |||
Intangible amortization | 234 | 244 | 276 | |||
Other contractual services | 433 | 595 | 1,857 | |||
Other taxes and assessments | 955 | 921 | 588 | |||
Regulatory remediation | — | — | 1,397 | |||
Other | 1,684 | 2,111 | 3,965 | |||
Total noninterest expense | 22,009 | 22,951 | 29,308 | |||
Income (loss) before income taxes | 1,776 | (889) | (12,051) | |||
Income tax expense (benefit) | 480 | (455) | (616) | |||
Net income (loss) | $ 1,296 | $ (434) | $ (11,435) | |||
Dividends on preferred stock | — | — | 150 | |||
Net income (loss) attributable to common shareholders | $ 1,296 | $ (434) | $ (11,585) | |||
Basic and diluted income (loss) per common share | $ 0.01 | $ (0.01) | $ (0.47) | |||
Blue Ridge Bankshares, Inc. | ||||
Consolidated Statements of Income (unaudited) | ||||
For the Six Months Ended | ||||
(Dollars in thousands, except per common share data) | June 30, 2025 | June 30, 2024 | ||
Interest income: | ||||
Interest and fees on loans | $ 61,884 | $ 74,542 | ||
Interest on securities, deposit accounts, and federal funds sold | 8,202 | 8,620 | ||
Total interest income | 70,086 | 83,162 | ||
Interest expense: | ||||
Interest on deposits | 26,994 | 35,757 | ||
Interest on subordinated notes | 1,382 | 1,112 | ||
Interest on FHLB and FRB borrowings | 2,879 | 5,859 | ||
Total interest expense | 31,255 | 42,728 | ||
Net interest income | 38,831 | 40,434 | ||
(Recovery of) provision for credit losses - loans | (700) | 3,600 | ||
Recovery of credit losses - unfunded commitments | — | (1,500) | ||
Total (recovery of) provision for credit losses | (700) | 2,100 | ||
Net interest income after (recovery of) provision for credit losses | 39,531 | 38,334 | ||
Noninterest income: | ||||
Fair value adjustments of other equity investments | (155) | (8,544) | ||
Residential mortgage banking income | 1,268 | 5,754 | ||
Mortgage servicing rights | (137) | 2,748 | ||
Wealth and trust management | 863 | 1,143 | ||
Service charges on deposit accounts | 1,178 | 747 | ||
Increase in cash surrender value of BOLI | 16 | 670 | ||
Bank and purchase card, net | 1,193 | 755 | ||
Other | 2,090 | 4,787 | ||
Total noninterest income | 6,316 | 8,060 | ||
Noninterest expense: | ||||
Salaries and employee benefits | 25,610 | 30,977 | ||
Occupancy and equipment | 2,510 | 2,827 | ||
Technology and communications | 5,349 | 4,611 | ||
Legal and regulatory filings | 834 | 810 | ||
Advertising and marketing | 319 | 480 | ||
Audit fees | 1,037 | 1,450 | ||
FDIC insurance | 2,124 | 3,194 | ||
Intangible amortization | 478 | 563 | ||
Other contractual services | 1,028 | 3,665 | ||
Other taxes and assessments | 1,876 | 1,531 | ||
Regulatory remediation | — | 4,041 | ||
Other | 3,795 | 7,596 | ||
Total noninterest expense | 44,960 | 61,745 | ||
Income (loss) before income taxes | 887 | (15,351) | ||
Income tax expense (benefit) | 25 | (1,023) | ||
Net income (loss) | $ 862 | $ (14,328) | ||
Dividends on preferred stock | — | 150 | ||
Net income (loss) attributable to common shareholders | $ 862 | $ (14,478) | ||
Basic and diluted income (loss) per common share | $ 0.01 | $ (0.66) | ||
Blue Ridge Bankshares, Inc. | ||||||||||
Quarter Summary of Selected Financial Data (unaudited) | ||||||||||
As of and for the Three Months Ended | ||||||||||
(Dollars and shares in thousands, except per common share data) | June 30, | March 31, | December 31, | September 30, | June 30, | |||||
Income Statement Data: | 2025 | 2025 | 2024 | 2024 | 2024 | |||||
Interest income | $ 34,736 | $ 35,350 | $ 37,932 | $ 39,225 | $ 40,631 | |||||
Interest expense | 14,895 | 16,360 | 18,807 | 20,124 | 20,546 | |||||
Net interest income | 19,841 | 18,990 | 19,125 | 19,101 | 20,085 | |||||
(Recovery of) provision for credit losses | (700) | — | (1,000) | (6,200) | 3,100 | |||||
Net interest income after (recovery of) provision for credit losses | 20,541 | 18,990 | 20,125 | 25,301 | 16,985 | |||||
Noninterest income | 3,244 | 3,072 | 2,814 | 2,698 | 272 | |||||
Noninterest expense | 22,009 | 22,951 | 25,640 | 26,454 | 29,308 | |||||
Income (loss) before income taxes | 1,776 | (889) | (2,701) | 1,545 | (12,051) | |||||
Income tax expense (benefit) | 480 | (455) | (698) | 599 | (616) | |||||
Net income (loss) | 1,296 | (434) | (2,003) | 946 | (11,435) | |||||
Per Common Share Data: | ||||||||||
Earnings (loss) per common share - basic and diluted | $ 0.01 | $ (0.01) | $ (0.03) | $ 0.01 | $ (0.47) | |||||
Book value per common share | 3.88 | 3.86 | 3.86 | 4.31 | 4.16 | |||||
Tangible book value per common share - Non-GAAP | 3.85 | 3.83 | 3.83 | 4.26 | 4.11 | |||||
Balance Sheet Data: | ||||||||||
Total assets | $ 2,555,439 | $ 2,685,084 | $ 2,737,260 | $ 2,944,691 | $ 2,933,072 | |||||
Average assets | 2,630,898 | 2,721,714 | 2,863,014 | 2,967,774 | 3,084,643 | |||||
Average interest-earning assets | 2,525,835 | 2,620,725 | 2,736,834 | 2,796,116 | 2,886,186 | |||||
Loans held for investment ("LHFI") | 1,978,585 | 2,059,710 | 2,111,797 | 2,180,413 | 2,259,279 | |||||
Allowance for credit losses | 21,974 | 23,126 | 23,023 | 25,453 | 28,036 | |||||
Purchase accounting adjustments (discounts) on acquired loans | 3,388 | 3,710 | 3,996 | 4,162 | 4,408 | |||||
Loans held for sale | 12,380 | 23,624 | 30,976 | 22,082 | 54,377 | |||||
Securities available for sale, at fair value | 327,958 | 325,401 | 312,035 | 314,784 | 307,427 | |||||
Noninterest-bearing demand deposits | 432,939 | 452,590 | 452,690 | 459,793 | 470,128 | |||||
Fintech Banking-as-a-Service ("BaaS") deposits | 193 | 198 | 233 | 63,674 | 172,456 | |||||
Total deposits | 2,010,266 | 2,129,477 | 2,179,442 | 2,346,492 | 2,325,839 | |||||
Subordinated notes, net | 24,928 | 39,773 | 39,789 | 39,806 | 39,822 | |||||
FHLB and FRB advances | 150,000 | 150,000 | 150,000 | 190,000 | 202,900 | |||||
Average interest-bearing liabilities | 1,819,735 | 1,899,315 | 2,021,814 | 2,121,402 | 2,228,071 | |||||
Total stockholders' equity | 344,265 | 338,289 | 327,788 | 336,347 | 325,614 | |||||
Average stockholders' equity | 339,131 | 329,684 | 330,343 | 326,880 | 318,042 | |||||
Weighted average common shares outstanding - basic | 88,258 | 86,003 | 78,881 | 73,366 | 24,477 | |||||
Weighted average common shares outstanding - diluted | 88,582 | 86,003 | 78,881 | 87,086 | 24,477 | |||||
Outstanding warrants to purchase common stock | ` | 27,674 | 28,690 | 31,452 | 26,196 | 26,196 | ||||
Financial Ratios: | ||||||||||
Return on average assets (1) | 0.20 % | -0.06 % | -0.28 % | 0.13 % | -1.48 % | |||||
Return on average equity (1) | 1.53 % | -0.53 % | -2.43 % | 1.16 % | -14.38 % | |||||
Total loan to deposit ratio | 99.0 % | 97.8 % | 98.3 % | 93.9 % | 99.5 % | |||||
Held for investment loan-to-deposit ratio | 98.4 % | 96.7 % | 96.9 % | 92.9 % | 97.1 % | |||||
Fintech BaaS deposits to total deposits ratio | 0.0 % | 0.0 % | 0.0 % | 2.7 % | 7.4 % | |||||
Net interest margin (1) | 3.15 % | 2.90 % | 2.80 % | 2.74 % | 2.79 % | |||||
Yield of LHFI (1) | 5.80 % | 5.70 % | 5.83 % | 5.80 % | 5.80 % | |||||
Cost of deposits (1) | 2.47 % | 2.62 % | 2.86 % | 2.91 % | 2.84 % | |||||
Cost of funds (1) | 2.63 % | 2.78 % | 3.01 % | 3.09 % | 3.02 % | |||||
Efficiency ratio | 95.3 % | 104.0 % | 116.9 % | 121.4 % | 144.0 % | |||||
Noninterest expense to total assets (1) | 3.4 % | 3.4 % | 3.7 % | 3.6 % | 4.0 % | |||||
Regulatory remediation expenses | — | — | 273 | 357 | 1,397 | |||||
Capital and Asset Quality Ratios: | ||||||||||
Average stockholders' equity to average assets | 12.9 % | 12.1 % | 11.5 % | 11.0 % | 10.3 % | |||||
Allowance for credit losses to LHFI | 1.11 % | 1.12 % | 1.09 % | 1.17 % | 1.24 % | |||||
Ratio of net charge-offs (recoveries) to average loans outstanding (1) | 0.09 % | -0.02 % | 0.36 % | -0.61 % | 1.81 % | |||||
Nonperforming loans to total assets | 0.94 % | 0.93 % | 0.93 % | 1.09 % | 1.40 % | |||||
Nonperforming assets to total assets | 0.95 % | 0.94 % | 0.94 % | 1.09 % | 1.40 % | |||||
Nonperforming loans to total loans | 1.20 % | 1.19 % | 1.19 % | 1.46 % | 1.78 % | |||||
Reconciliation of Non-GAAP Financial Measures (unaudited): | ||||||||||
As of and for the Three Months Ended | ||||||||||
(Dollars and shares in thousands, except per common share data) | June 30, | March 31, | December 31, | September 30, | June 30, | |||||
Tangible Common Equity and Tangible Book Value Per Common Share: | 2025 | 2025 | 2024 | 2024 | 2024 | |||||
Total stockholders' equity | $ 344,265 | $ 338,289 | $ 327,788 | $ 336,347 | $ 325,614 | |||||
Less: preferred stock (including additional paid-in capital) | — | — | — | (20,605) | (20,605) | |||||
Common stockholders' equity | $ 344,265 | $ 338,289 | $ 327,788 | $ 315,742 | $ 305,009 | |||||
Less: other intangibles, net of deferred tax liability (2) | (2,509) | (2,740) | (2,998) | (3,281) | (3,552) | |||||
Tangible common equity (Non-GAAP) | $ 341,756 | $ 335,549 | $ 324,790 | $ 312,461 | $ 301,457 | |||||
Total common shares outstanding | 92,175 | 87,778 | 84,973 | 73,474 | 73,504 | |||||
Less: unvested performance-based restricted stock awards | (3,496) | (109) | (117) | (137) | (144) | |||||
Total common shares outstanding, adjusted | 88,679 | 87,669 | 84,856 | 73,337 | 73,360 | |||||
Book value per common share | $ 3.88 | $ 3.86 | $ 3.86 | $ 4.31 | $ 4.16 | |||||
Tangible book value per common share (Non-GAAP) | 3.85 | 3.83 | 3.83 | 4.26 | 4.11 | |||||
Tangible Common Equity to Tangible Total Assets | ||||||||||
Total assets | $ 2,555,439 | $ 2,685,084 | $ 2,737,260 | $ 2,944,691 | $ 2,933,072 | |||||
Less: other intangibles, net of deferred tax liability (2) | (2,509) | (2,740) | (2,998) | (3,281) | (3,552) | |||||
Tangible total assets (Non-GAAP) | $ 2,552,930 | $ 2,682,344 | $ 2,734,262 | $ 2,941,410 | $ 2,929,520 | |||||
Tangible common equity (Non-GAAP) | $ 341,756 | $ 335,549 | $ 324,790 | $ 312,461 | $ 301,456 | |||||
Tangible common equity to tangible total assets (Non-GAAP) | 13.4 % | 12.5 % | 11.9 % | 10.6 % | 10.3 % | |||||
(1) Annualized. | ||||||||||
(2) Excludes mortgage servicing rights. | ||||||||||
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SOURCE Blue Ridge Bankshares, Inc.
FAQ
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