Cashmere Valley Bank Reports Continued Earnings Strength of $7.7 Million for the Third Quarter and $22.1 Million Year to Date
Rhea-AI Summary
Cashmere Valley Bank (OTCQX: CSHX) reported continued earnings strength with Q3 2025 net income of $7.7 million and year-to-date net income of $22.1 million for the nine months ended September 30, 2025. Year-to-date diluted EPS was $5.66, up $0.24 or 4.4% versus prior year. Deposits reached $1.897 billion and cash, cash equivalents and restricted cash totaled $270.0 million, up from $186.9 million a year earlier. Available-for-sale investment fair value rose to $816.4 million. Net interest income for the nine months was $50.4 million and the efficiency ratio was 56.8%.
Positive
- Q3 net income of $7.7 million
- Cash balances up ~44.5% YoY to $270.0 million
- Available-for-sale securities fair value up $105.2 million YoY to $816.4 million
Negative
- Salaries and benefits increased 10.7% year-to-date
- Non-performing loans rose to 0.48% of gross loans from 0.28% a year ago
News Market Reaction
On the day this news was published, CSHX gained 0.01%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
CASHMERE, WA / ACCESS Newswire / October 21, 2025 / Cashmere Valley Bank (OTCQX:CSHX) ("Bank"), announced quarterly earnings of
As of September 30, 2025, deposit balances totaled
"Our earnings remain strong and ahead of the prior year," said Greg Oakes, President and CEO. "Our deposit growth was very strong during the third quarter. The broader markets have remained fairly stable this year which has benefitted the Bank. We remain attentive to these markets and the risks we may face if fed funds or treasury interest rates were to change significantly."
Q3 Highlights
The Bank reported the following statement of condition highlights as of September 30, 2025:
As of September 30, 2025, gross loans totaled
$964.7 million , representing a decrease from September 30, 2024 of$32.5 million . Loan totals were adversely affected by significant loan payoffs and paydowns, the majority of which were in multifamily loans.
Non-interest deposits totaled
$416.0 million , or21.9% , of the Bank's total deposits. Non-interest deposits increased$18.6 million , from June 30, 2025.
The Bank's year to date return on assets was unchanged from the prior year. Return on assets was
1.37% for the year.
The Bank's return on equity through the first nine months of 2025 was
12.24% as compared to13.25% one year ago. Return on equity has declined as the Bank's capital levels have increased through earnings along with a reduction in unrealized losses on available for sale securities.
GAAP capital continued to grow totaling
$262.2 million at September 30, 2025. Cashmere Valley Bank's equity to assets ratio totaled11.6% at September 30, 2025. Equity has grown due to earnings and a reduction of accumulated other comprehensive income of$6.0 million over the prior twelve months.
Cash, Cash Equivalents and Restricted Cash
Total cash, cash equivalents and restricted cash totaled
Investments
The fair value of the Bank's available for sale investment portfolio totaled
A gain on sale of securities of
Loans and Credit Quality
Gross loans totaled
At September 30, 2025, the allowance for credit losses on loans (ACL) was
Credit quality remained strong with non-performing loans representing
Deposits
Total deposits increased by
Equity
As of September 30, 2025, Tier 1 capital remains strong. Tier 1 capital increased to
GAAP capital reflected an increase of
Earnings
Net Interest Income
For the nine months ended September 30, 2025, net interest income totaled
For the quarter ending September 30, 2025, net interest income increased
The net interest margin was
Non-Interest Income
Non-interest income totaled
Non-Interest Expense
Non-interest expense totaled
The Bank's efficiency ratio was
Income tax expense increased from
About Cashmere Valley Bank
Cashmere Valley Bank was established September 24, 1932 and now has 11 retail offices in Chelan, Douglas, Kittitas and Yakima Counties and a municipal lending office in King County. The Bank provides business and personal banking, commercial lending, insurance services through its subsidiary Mitchell, Reed & Schmitten Insurance, investment services, mortgage services, equipment lease financing, auto and marine dealer financing and municipal lending. The success of Cashmere Valley Bank is the result of maintaining a high level of personal service and controlling expenses so our fees and charges offer our customers the best value available. We remain committed to those principles that we feel are best summarized as, "the little Bank with the big circle of friends."
Forward-Looking Statements
This release may contain certain forward-looking statements that are based on management's current expectations regarding economic, legislative, and regulatory issues that may impact the Bank's earnings in future periods. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words "believe," "expect," "intend," "anticipate," "estimate," "will," "would," "should," "could" or "may." Factors that could cause future results to vary materially from current management expectations include, but are not limited to, general economic conditions, economic uncertainty in the United States and abroad, changes in interest rates, deposit flows, real estate values, costs or effects of acquisitions, competition, changes in accounting principles, policies or guidelines, legislation or regulation, and other economic, competitive, governmental, regulatory and technological factors affecting the Bank's operations. The Bank undertakes no obligation to release publicly the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.
MEDIA CONTACT:
Greg Oakes, CEO, (509) 782-2092 or Mike Lundstrom, CFO, (509) 782-5495
Consolidated Balance Sheets (UNAUDITED)
(Dollars in Thousands)
Cashmere Valley Bank and Subsidiary
September 30, 2025 | June 30, 2025 | September 30, 2024 | ||||||||||
Assets | ||||||||||||
Cash and Cash Equivalent: | ||||||||||||
Cash & due from banks | $ | 26,245 | $ | 33,936 | $ | 33,150 | ||||||
Interest bearing deposits | 239,553 | 172,379 | 149,764 | |||||||||
Fed funds sold | 4,212 | 3,742 | 3,982 | |||||||||
Total Cash and Cash Equivalent | 270,010 | 210,057 | 186,896 | |||||||||
Securities available for sale | 816,440 | 794,155 | 711,205 | |||||||||
Securities held to maturity, net of allowance for credit losses of | 124,814 | 126,587 | 131,558 | |||||||||
Federal Home Loan Bank stock, at cost | 5,053 | 5,053 | 2,891 | |||||||||
Loans held for sale | 5 | 504 | 964 | |||||||||
Loans | 964,663 | 971,669 | 997,119 | |||||||||
Allowance for credit losses | (12,136 | ) | (12,019 | ) | (13,134 | ) | ||||||
Net loans | 952,527 | 959,650 | 983,985 | |||||||||
Premises and equipment | 19,430 | 19,715 | 19,645 | |||||||||
Accrued interest receivable | 9,313 | 8,721 | 9,466 | |||||||||
Other real estate and foreclosed assets | 97 | 97 | 97 | |||||||||
Bank Owned Life Insurance | 27,101 | 28,080 | 27,428 | |||||||||
Goodwill | 7,579 | 7,579 | 7,579 | |||||||||
Intangibles, net | 2,427 | 2,367 | 2,964 | |||||||||
Mortgage servicing rights | 2,375 | 2,386 | 2,460 | |||||||||
Net deferred tax assets | 14,304 | 16,554 | 15,548 | |||||||||
Other assets | 9,608 | 10,023 | 10,152 | |||||||||
Total assets | $ | 2,261,083 | $ | 2,191,528 | $ | 2,112,838 | ||||||
Liabilities and Shareholders' Equity | ||||||||||||
Liabilities | ||||||||||||
Deposits: | ||||||||||||
Non-interest bearing demand | $ | 415,957 | $ | 397,399 | $ | 409,407 | ||||||
Savings and interest-bearing demand | 912,712 | 902,986 | 928,238 | |||||||||
Time | 568,657 | 538,795 | 487,341 | |||||||||
Total deposits | 1,897,326 | 1,839,180 | 1,824,986 | |||||||||
Accrued interest payable | 3,138 | 2,963 | 2,991 | |||||||||
Borrowings | 84,000 | 84,000 | 37,000 | |||||||||
Other liabilities | 14,393 | 16,076 | 15,007 | |||||||||
Total liabilities | 1,998,857 | 1,942,219 | 1,879,984 | |||||||||
Shareholders' Equity | ||||||||||||
Common stock (no par value); authorized 10,000,000 shares; | ||||||||||||
Issued and outstanding: 9/30/2025 -- 3,906,693 ; 6/30/2025 -- 3,900,683 ; 9/30/2024 -- 3,890,990 | -- | -- | -- | |||||||||
Additional paid-in capital | 6,191 | 5,789 | 5,233 | |||||||||
Treasury stock | (16,784 | ) | (16,784 | ) | (16,784 | ) | ||||||
Retained Earnings | 316,563 | 312,542 | 294,578 | |||||||||
Other comprehensive income | (44,633 | ) | (53,095 | ) | (50,652 | ) | ||||||
Total Cashmere Valley Bank shareholders' equity | 261,337 | 248,452 | 232,375 | |||||||||
Noncontrolling interest | 889 | 857 | 479 | |||||||||
Total shareholders' equity | 262,226 | 249,309 | 232,854 | |||||||||
Total liabilities and shareholders' equity | $ | 2,261,083 | $ | 2,191,528 | $ | 2,112,838 | ||||||
Quarterly Consolidated Statements of Income (UNAUDITED)
(Dollars in Thousands)
Cashmere Valley Bank & Subsidiary
For the quarters ended, | ||||||||||||
September 30, 2025 | June 30, 2025 | September 30, 2024 | ||||||||||
Interest Income | ||||||||||||
Loans and leases | $ | 13,613 | $ | 13,506 | $ | 13,210 | ||||||
Fed funds sold and deposits at other financial institutions | 2,358 | 1,573 | 2,193 | |||||||||
Securities available for sale: | ||||||||||||
Taxable | 8,601 | 8,375 | 7,921 | |||||||||
Tax-exempt | 464 | 356 | 348 | |||||||||
Securities held to maturity: | ||||||||||||
Taxable | 734 | 748 | 759 | |||||||||
Tax-exempt | 25 | 25 | 24 | |||||||||
Total interest income | 25,795 | 24,583 | 24,455 | |||||||||
Interest Expense | ||||||||||||
Deposits | 7,496 | 7,041 | 7,560 | |||||||||
Borrowings | 862 | 748 | 548 | |||||||||
Total interest expense | 8,358 | 7,789 | 8,108 | |||||||||
Net interest income | 17,437 | 16,794 | 16,347 | |||||||||
Provision for Credit Losses | 837 | 517 | 904 | |||||||||
Net interest income after provision for credit losses | 16,600 | 16,277 | 15,443 | |||||||||
Non-Interest Income | ||||||||||||
Service charges on deposit accounts | 502 | 536 | 543 | |||||||||
Mortgage banking operations | 463 | 429 | 399 | |||||||||
Net gain (loss) on sales of securities available for sale | -- | -- | -- | |||||||||
Brokerage commissions | 304 | 238 | 346 | |||||||||
Insurance commissions and fees | 2,134 | 2,482 | 2,177 | |||||||||
Net interchange income | 1,073 | 1,024 | 1,169 | |||||||||
Earnings from Bank Owned Life Insurance | 559 | 218 | 216 | |||||||||
Dividends from correspondent banks | 142 | 101 | 60 | |||||||||
Other | 341 | 323 | 303 | |||||||||
Total non-interest income | 5,518 | 5,351 | 5,213 | |||||||||
Non-Interest Expense | ||||||||||||
Salaries and employee benefits | 7,476 | 7,334 | 6,781 | |||||||||
Occupancy and equipment | 840 | 832 | 818 | |||||||||
Audits and examinations | 43 | 190 | 108 | |||||||||
State and local business and occupation taxes | 417 | 383 | 374 | |||||||||
FDIC insurance & WA state assessments | 257 | 256 | 244 | |||||||||
Legal and professional fees | 356 | 330 | 290 | |||||||||
Check losses and charge-offs | 101 | 110 | 115 | |||||||||
Low-income housing investment losses | 58 | (315 | ) | 157 | ||||||||
Data processing | 1,734 | 1,738 | 1,555 | |||||||||
Product delivery | 330 | 269 | 354 | |||||||||
Other | 1,020 | 1,077 | 1,073 | |||||||||
Total non-interest expense | 12,632 | 12,204 | 11,869 | |||||||||
Income before income taxes | 9,486 | 9,424 | 8,787 | |||||||||
Income Taxes | 1,727 | 1,379 | 1,587 | |||||||||
Net income | 7,759 | 8,045 | 7,200 | |||||||||
Net income attributable to noncontrolling interest | 30 | 47 | 25 | |||||||||
Net income attributable to Cashmere Valley Bank | $ | 7,729 | $ | 7,998 | $ | 7,175 | ||||||
Earnings Per Share | ||||||||||||
Basic | $ | 1.98 | $ | 2.05 | $ | 1.84 | ||||||
Diluted | $ | 1.97 | $ | 2.04 | $ | 1.84 | ||||||
Year-to-Date Consolidated Statements of Income (UNAUDITED)
(Dollars in Thousands)
Cashmere Valley Bank & Subsidiary
For the nine months ended, | ||||||||
September 30, 2025 | September 30, 2024 | |||||||
Interest Income | ||||||||
Loans and leases | $ | 39,953 | $ | 39,495 | ||||
Fed funds sold and deposits at other financial institutions | 5,888 | 4,949 | ||||||
Securities available for sale: | ||||||||
Taxable | 24,791 | 22,286 | ||||||
Tax-exempt | 1,152 | 969 | ||||||
Securities held to maturity: | ||||||||
Taxable | 2,245 | 2,330 | ||||||
Tax-exempt | 74 | 118 | ||||||
Total interest income | 74,103 | 70,147 | ||||||
Interest Expense | ||||||||
Deposits | 21,649 | 21,177 | ||||||
Borrowings | 2,011 | 1,768 | ||||||
Total interest expense | 23,660 | 22,945 | ||||||
Net interest income | 50,443 | 47,202 | ||||||
Provision for Credit Losses | 2,115 | 1,506 | ||||||
Net interest income after provision for credit losses | 48,328 | 45,696 | ||||||
Non-Interest Income | ||||||||
Service charges on deposit accounts | 1,534 | 1,504 | ||||||
Mortgage banking operations | 1,243 | 1,152 | ||||||
Net gain (loss) on sales of securities available for sale | 130 | -- | ||||||
Brokerage commissions | 869 | 1,065 | ||||||
Insurance commissions and fees | 7,283 | 6,352 | ||||||
Net interchange income | 3,235 | 3,467 | ||||||
Earnings from Bank Owned Life Insurance | 992 | 619 | ||||||
Dividends from correspondent banks | 352 | 153 | ||||||
Other | 953 | 868 | ||||||
Total non-interest income | 16,591 | 15,180 | ||||||
Non-Interest Expense | ||||||||
Salaries and employee benefits | 22,568 | 20,387 | ||||||
Occupancy and equipment | 2,540 | 2,553 | ||||||
Audits and examinations | 480 | 486 | ||||||
State and local business and occupation taxes | 1,158 | 947 | ||||||
FDIC insurance & WA state assessments | 780 | 712 | ||||||
Legal and professional fees | 933 | 834 | ||||||
Check losses and charge-offs | 329 | 382 | ||||||
Low-income housing investment losses | (99 | ) | 327 | |||||
Data processing | 5,240 | 4,732 | ||||||
Product delivery | 963 | 1,054 | ||||||
Other | 3,156 | 3,153 | ||||||
Total non-interest expense | 38,048 | 35,567 | ||||||
Income before income taxes | 26,871 | 25,309 | ||||||
Income Taxes | 4,608 | 4,152 | ||||||
Net income | 22,263 | 21,157 | ||||||
Net income attributable to noncontrolling interest | 126 | 57 | ||||||
Net income attributable to Cashmere Valley Bank | $ | 22,137 | $ | 21,100 | ||||
Earnings Per Share | ||||||||
Basic | $ | 5.68 | $ | 5.43 | ||||
Diluted | $ | 5.66 | $ | 5.42 | ||||
SOURCE: Cashmere Valley Bank
View the original press release on ACCESS Newswire
FAQ
What were Cashmere Valley Bank's reported Q3 2025 earnings (CSHX)?
How did Cashmere Valley Bank's year-to-date EPS for 2025 change (CSHX)?
What were Cashmere Valley Bank's total deposits as of September 30, 2025 (CSHX)?
How much cash did Cashmere Valley Bank hold on September 30, 2025 (CSHX)?
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