Rhinebeck Bancorp, Inc. Reports Results for the Quarter Ended June 30, 2025

Rhea-AI Summary

Rhinebeck Bancorp (NASDAQ:RBKB) reported strong Q2 2025 financial results with net income of $2.7 million ($0.25 per share), a 179.6% increase from $975,000 in Q2 2024. For H1 2025, net income reached $5.0 million ($0.47 per share), up 139.2% year-over-year.

The bank's performance showed significant improvements with net interest margin expanding to 3.88%, return on average equity rising to 8.04%, and non-performing assets declining 30%. Total assets increased to $1.27 billion, with deposits growing by $50.0 million (4.9%). The bank maintains strong capitalization with a Tier 1 capital ratio of 12.66% and tangible book value per share of $11.40.

Positive

• Net income increased 179.6% to $2.7 million in Q2 2025
• Net interest margin expanded significantly to 3.88%
• Non-performing assets decreased 30% to $2.9 million
• Past due loans decreased 24.3% to $12.6 million
• Deposits grew by $50.0 million (4.9%)
• Strong capital position with 12.66% Tier 1 ratio

Negative

• Uninsured deposits increased to 27.8% of total deposits from 26.9%
• Non-interest expense increased 8.5% to $9.7 million in Q2
• Investment advisory income decreased 28.8% due to economic conditions
• Total loans decreased by $11.0 million (1.1%)

Insights

Banking Financial Analyst

Rhinebeck Bancorp showed remarkable turnaround with 179.6% net income growth, expanding margins amid improved asset-liability management.

Rhinebeck Bancorp delivered exceptional financial performance in Q2 2025, with net income soaring to $2.7 million ($0.25 per share), representing a 179.6% increase from the $975,000 reported in Q2 2024. The six-month results were equally impressive, with net income reaching $5.0 million, up 139.2% year-over-year.

The bank's profitability metrics showed significant improvement, with Return on Average Assets (ROAA) jumping to 0.88% from 0.31% and Return on Average Equity (ROAE) climbing to 8.57% from 3.43% in the comparable quarter. These metrics indicate a substantial enhancement in operational efficiency and earnings quality.

The primary driver behind this performance was a 27.1% increase in net interest income to $11.5 million, fueled by a remarkable expansion in net interest margin to 3.97% (up 93 basis points year-over-year). This margin improvement resulted from effective asset-liability management in a declining rate environment, with asset yields outpacing liability costs by a healthy margin.

Credit quality showed notable improvement, with non-performing assets declining by 29.7% to $2.9 million and net charge-offs decreasing substantially to $91,000 from $833,000 in Q2 2024. The provision for credit losses shifted to a $101,000 credit, compared to a $447,000 expense in the prior year, reflecting improved loan portfolio health.

The balance sheet grew 1.5% to $1.27 billion, with deposits increasing by 4.9% while borrowings decreased by 61.9%, indicating stronger core funding. The 139.1% increase in cash and cash equivalents provides enhanced liquidity in an uncertain economic environment.

A strategic reduction in indirect automobile loans (-$39.6 million) was offset by growth in commercial real estate (+$22.9 million) and residential loans (+$7.4 million), suggesting a deliberate shift toward potentially higher-quality assets. The capital position strengthened with tangible book value per share rising to $11.40 and a Tier 1 capital ratio of 12.66%, well above regulatory requirements.

POUGHKEEPSIE, NY / ACCESS Newswire / July 24, 2025 / Rhinebeck Bancorp, Inc. (the "Company") (NASDAQ:RBKB), the holding company of Rhinebeck Bank (the "Bank"), reported net income for the three months ended June 30, 2025 of $2.7 million ($0.25 per basic and diluted share), which was $1.8 million, or 179.6%, higher than the comparable prior year period of $975,000 ($0.09 per basic and diluted share). Net income for the six months ended June 30, 2025 of $5.0 million ($0.47 per basic and $0.46 per diluted share) was $2.9 million, or 139.2%, higher than the same period last year.

The increase in net income for the quarter ended June 30, 2025 as compared to the quarter ended June 30, 2024 was primarily due to increases in net interest income and a decrease in the provision for credit losses, partially offset by an increase non-interest expense. The Company's return on average assets and return on average equity were 0.88% and 8.57% for the second quarter of 2025, respectively, as compared to 0.31% and 3.43% for the second quarter of 2024, respectively. The increase in net income for the six months ended June 30, 2025 when compared to the six months ended June 30, 2024 was primarily due to an increase in net interest income, a decrease in the provision for credit losses, and an increase in non-interest income, partially offset by an increase in non-interest expense. The Company's return on average assets and return on average equity were 0.80% and 8.04% for the first six months of 2025, respectively, as compared to 0.32% and 3.67% for the first six months of 2024, respectively.

President and Chief Executive Officer Michael J. Quinn said, "We're very pleased with our performance through the first half of 2025, as net income more than doubled to $5.0 million compared to $2.1 million in the prior year period, our net interest margin expanded to 3.88%, and our return on average equity improved to 8.04%, reflecting strong asset-liability management and disciplined operating execution. We also saw continued improvement in credit quality, with non-performing assets declining 30% and net charge-offs totaling just 0.06% of average loans. With our Tier 1 capital ratio at 12.66% and tangible book value per share rising to $11.40, we remain well-capitalized and confident in our ability to deliver sustainable growth and value for shareholders."

Income Statement Analysis

Net interest income increased $2.4 million, or 27.1%, to $11.5 million for the three months ended June 30, 2025, from $9.0 million for the three months ended June 30, 2024. The increase was primarily due to higher yields on interest earning assets and lower costs on interest bearing liabilities. The interest rate spread improved 100 basis points from 2.33% for the three months ended June 30, 2024 to 3.33% for the three months ended June 30, 2025, as asset yields outpaced liability costs. For the three months ended June 30, 2025, when compared to the three months ended June 30, 2024, the average yield of interest-earning assets improved by 50 basis points to 5.78% while the average balance decreased by $33.3 million, or 2.8%, to $1.16 billion. A balance sheet restructuring in the second half of 2024 significantly increased the yield on our available for sale securities. The average balance of interest-bearing liabilities decreased by $45.7 million, or 5.1%, primarily due to a $61.6 million decrease in the average balance of FHLB advances, while the cost of interest-bearing liabilities decreased by 50 basis points to 2.45% due to the lower market interest rate environment. The net interest margin increased by 93 basis points to 3.97%.

Year-to-date net interest income increased $4.7 million, or 26.2%, to $22.5 million compared to $17.9 million for the prior year six-month period primarily due to higher yields on interest earning assets and lower costs on interest bearing liabilities. The interest rate spread improved by 97 basis points, increasing from 2.26% for the six months ended June 30, 2024, to 3.23% for the same period in 2025, primarily due to more favorable asset pricing relative to liabilities. For the six months ended June 30, 2025, the average balance of interest-earning assets decreased by $37.8 million, or 3.1%, to $1.17 billion while the average yield improved by 56 basis points to 5.75%, when compared to the six months ended June 30, 2024. A balance sheet restructuring in the second half of 2024 significantly increased the yield on our available for sale securities. The average balance of interest-bearing liabilities decreased by $46.0 million, or 5.0%, primarily due to a decrease in the average balance of FHLB advances, while the cost of interest-bearing liabilities decreased by 41 basis points to 2.52% due to the lower interest rate environment. The net interest margin increased by 91 basis points to 3.88% for the six months ended June 30, 2025 from 2.97% for the six months ended June 30, 2024.

The provision for credit losses decreased by $548,000, or 122.6%, from $447,000 for the quarter ended June 30, 2024 to a credit of $101,000 for the current quarter. The decrease in the provision was primarily due to lower loan balances and a decrease in net charge-offs. Net charge-offs decreased $742,000 from $833,000 for the second quarter of 2024 to $91,000 for the second quarter of 2025. The decrease was primarily due to decreased net charge-offs in indirect automobile loans of $397,000 and a second quarter 2024 charge-off on commercial real estate property of $291,000.

Year-to-date, the provision for credit losses decreased by $278,000, or 52.5%, from $530,000 for the six months ended June 30, 2024 to $252,000 for the six months ended June 30, 2025. The decrease in the provision was primarily due to lower loan balances and a decrease in net charge-offs. Net charge-offs decreased $481,000, or 44.5% to $601,000 for the first six months of 2025 as compared to $1.1 million for the first six months of 2024. The decrease was primarily due to decreased net charge-offs in indirect automobile loans of $235,000 as well as the 2024 charge-off in commercial real estate of $291,000. The percentage of overdue account balances to total loans decreased to 1.31% at June 30, 2025 from 1.71% at December 31, 2024, while non-performing assets decreased $1.2 million, or 29.7%, to $2.9 million at June 30, 2025.

Non-interest income totaled $1.6 million for the three months ended June 30, 2025, a decrease of $4,000, or 0.2%, from the comparable period in 2024, due primarily to a decrease of $109,000, or 28.8%, in investment advisory income, resulting from unpredictable economic conditions. This decrease was substantially offset by an increase in other non-interest income of $73,000, or 27.1% as swap income increased and an increase on gains on sales of loans of $34,000 as we sold $2.7 million of residential mortgage loans in the second quarter of 2025 as compared to sales of $1.3 million in the second quarter of 2024.

Non-interest income totaled $3.4 million for the six months ended June 30, 2025, an increase of $157,000, or 4.9%, from the comparable period in 2024, due primarily to an increase of $239,000, or 46.1%, in other non-interest income as swap income increased, partially offset by a decrease in investment advisory income of $154,000 resulting from unpredictable market and economic conditions. Additional increases included a $26,000 gain on sales of loans, a $22,000 increase in service charges on deposit accounts, an $18,000 gain on the disposal of premises and equipment, and a $10,000 increase in the cash surrender value of bank-owned life insurance.

For the second quarter of 2025, non-interest expense rose to $9.7 million, reflecting a $760,000, or 8.5%, increase compared to the same period in 2024. The increase was broad-based, with nearly all major expense categories rising. Salaries and employee benefits rose $330,000, or 6.7%, primarily due to increased production commissions. Other non-interest expense grew by $191,000, or 12.0%, driven primarily by higher retail banking costs. Marketing expense rose by $108,000, or 93.9%, largely due to promotional initiatives associated with the launch of higher-yielding deposit products. Occupancy expense increased by $53,000, or 5.0%, due to higher branch repair costs. Additionally, professional fees, FDIC insurance expense, and data processing fees increased by $34,000, $34,000, and $13,000, respectively.

For the six months ended June 30, 2025, non-interest expense totaled $19.2 million, an increase of $1.4 million, or 7.8%, compared to $17.8 million for the same period in 2024. The increase was primarily due to higher compensation and operating costs across multiple categories. Salaries and employee benefits increased by $472,000, or 4.8%, driven primarily by higher incentive-based compensation and annual merit increases to retain and attract talent. Other non-interest expense increased by $447,000, or 14.3%, primarily due to higher retail banking and administrative costs. Marketing expense increased by $187,000, or 79.2%, related to promotional campaigns for new deposit products. Professional fees rose by $97,000, or 11.1%, reflecting increased consulting and legal services. Additional increases were noted in FDIC deposit insurance and other insurance, which rose $78,000, or 15.2%, and occupancy expense, which increased $71,000, or 3.4%, due to facilities-related costs. Data processing expense also increased by $43,000, or 4.2%.

Balance Sheet Analysis

Total assets increased by $18.5 million, or 1.5%, to $1.27 billion as of June 30, 2025. Cash and cash equivalents rose by $52.1 million, or 139.1%, driven by higher interest bearing deposits and decreases in available for sale securities and loans receivable. Available-for-sale securities declined by $18.6 million, or 11.6%, primarily due to $24.6 million in paydowns, calls, and maturities, partially offset by a $3.3 million reduction in unrealized losses and $2.6 million in purchases. Loans receivable declined by $11.0 million, or 1.1%, to $960.8 million, primarily reflecting a decline of $39.6 million in indirect automobile loans, in line with a strategic decision to reduce their share of the portfolio, partially offset by a $22.9 million increase in commercial real estate loans and a $7.4 million increase in residential real estate loans.

Past due loans decreased $4.1 million, or 24.3%, to $12.6 million, or 1.31% of total loans at June 30, 2024, down from $16.7 million, or 1.71% of total loans at December 31, 2024. The decrease was most notable in indirect automobile loans, reflecting the positive impact of more conservative underwriting standards. The allowance for credit losses was 0.85% of total loans and 283.14% of non-performing loans at June 30, 2025 as compared to 0.88% of total loans and 206.56% of non-performing loans at December 31, 2024. Non-performing assets totaled $2.9 million at June 30, 2025, a decrease of $1.2 million, or 29.7%, from $4.1 million at December 31, 2024.

Total liabilities increased by $11.4 million, or 1.0%, to $1.15 billion at June 30, 2025. The increase was primarily driven by a $50.0 million, or 4.9%, increase in deposits. The growth in deposits was almost entirely attributable to a $48.7 million, or 6.2%, increase in interest-bearing deposits, while non-interest-bearing deposits increased slightly by $1.4 million, or 0.6%. The increase in deposits was primarily due to increases in money market accounts and time certificates of deposit, which reflected the Bank's promotion of higher-yielding products in response to customer demand for better interest rates. Uninsured deposits were approximately 27.8% and 26.9% of the Bank's total deposits as of June 30, 2025 and December 31, 2024, respectively. The increase in deposits was partially offset by a $43.2 million, or 61.9%, reduction in borrowings.

Stockholders' equity increased $7.1 million, or 5.8%, to $129.0 million at June 30, 2025. The increase was primarily due to $5.0 million in net income and a $2.0 million decrease in accumulated other comprehensive loss reflecting the results of the balance sheet restructuring. The Company's ratio of average equity to average assets was 9.99% for the three months ended June 30, 2025 and 9.23% for the year ended December 31, 2024.

About Rhinebeck Bancorp

Rhinebeck Bancorp, Inc. is a Maryland corporation organized as the mid-tier holding company of Rhinebeck Bank and is the majority-owned subsidiary of Rhinebeck Bancorp, MHC. The Bank is a New York chartered stock savings bank, which provides a full range of banking and financial services to consumer and commercial customers through its thirteen branches and two representative offices located in Dutchess, Ulster, Orange, and Albany counties in New York State. Financial services including comprehensive brokerage, investment advisory services, financial product sales and employee benefits are offered through Rhinebeck Asset Management, a division of the Bank.

Forward Looking Statements

This press release contains certain forward-looking statements about the Company and the Bank. Forward-looking statements include statements regarding anticipated future events or results and can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as "believe", "expect", "anticipate", "estimate", "intend", "predict", "forecast", "improve", "continue", "will", "would", "should", "could", or "may". Forward-looking statements, by their nature, are subject to risks and uncertainties. Certain factors that could cause actual results to differ materially from expected results include increased competitive pressures, inflation, changes in the interest rate environment, fluctuations in real estate values, general economic conditions or conditions within the securities markets, potential recessionary conditions, the imposition of tariffs or other domestic or international governmental policies and potential retaliatory responses, changes in liquidity, including the size and composition of our deposit portfolio and the percentage of uninsured deposits in the portfolio, our ability to access cost-effective funding, changes in asset quality, loan sale volumes, charge-offs and credit loss provisions, changes in economic assumptions that may impact our allowance for credit losses calculation, changes in demand for our products and services, legislative, accounting, tax and regulatory changes, including changes in the monetary and fiscal policies of the Board of Governors of the Federal Reserve System, the effect of our rating under the Community Reinvestment Act, political developments, uncertainties or instability, catastrophic events, acts of war or terrorism, natural disasters, such as earthquakes, drought, pandemics, extreme weather events, or a breach of our operational or security systems or infrastructure, including cyberattacks that could adversely affect the Company's or the Bank's financial condition and results of operations and the business in which the Company and the Bank are engaged.

Accordingly, you should not place undue reliance on forward-looking statements. Rhinebeck Bancorp, Inc. undertakes no obligation to revise these forward-looking statements or to reflect events or circumstances after the date of this press release.

The Company's summary consolidated statements of income and financial condition and other selected financial data follow:

Rhinebeck Bancorp, Inc. and Subsidiary
Consolidated Statements of Income (Unaudited)
(In thousands, except share and per share data)

		Three Months Ended June 30,								Six Months Ended June 30,
		2025				2024				2025				2024
Interest and Dividend Income
Interest and fees on loans		$	15,066			$	14,432			$	30,074			$	28,729
Interest and dividends on securities			1,275				957				2,626				1,994
Other income			414				295				693				512
Total interest and dividend income			16,755				15,684				33,393				31,235
Interest Expense
Interest expense on deposits			4,866				5,370				9,628				10,504
Interest expense on borrowings			397				1,269				1,236				2,874
Total interest expense			5,263				6,639				10,864				13,378
Net interest income			11,492				9,045				22,529				17,857
(Credit to) Provision for Credit Losses			(101	)			447				252				530
Net interest income after provision for credit losses			11,593				8,598				22,277				17,327
Non-interest Income
Service charges on deposit accounts			728				736				1,501				1,479
Net gain on sales of loans			69				35				107				81
Increase in cash surrender value of life insurance			194				188				382				372
Net gain from sale of other real estate owned			-				-				-				4
Net loss on disposal of premises and equipment			-				-				-				(18	)
Investment advisory income			269				378				605				759
Other			342				269				758				519
Total non-interest income			1,602				1,606				3,353				3,196
Non-interest Expense
Salaries and employee benefits			5,242				4,912				10,376				9,904
Occupancy			1,115				1,062				2,186				2,115
Data processing			534				521				1,059				1,016
Professional fees			492				458				969				872
Marketing			223				115				423				236
FDIC deposit insurance and other insurance			295				261				592				514
Amortization of intangible assets			17				20				37				41
Other			1,789				1,598				3,573				3,126
Total non-interest expense			9,707				8,947				19,215				17,824
Net income before income taxes			3,488				1,257				6,415				2,699
Net Provision for Income Taxes			762				282				1,401				603
Net income		$	2,726			$	975			$	5,014			$	2,096
Earnings per common share:
Basic		$	0.25			$	0.09			$	0.47			$	0.19
Diluted		$	0.25			$	0.09			$	0.46			$	0.19
Weighted average shares outstanding, basic			10,787,446				10,753,460				10,782,259				10,750,733
Weighted average shares outstanding, diluted			10,954,124				10,819,751				10,939,842				10,832,303

Rhinebeck Bancorp, Inc. and Subsidiary
Consolidated Statements of Financial Condition (Unaudited)
(In thousands, except share and per share data)

		June 30,				December 31,
		2025				2024
Assets
Cash and due from banks		$	21,627			$	18,561
Federal funds sold			65,544				18,309
Interest bearing depository accounts			2,451				614
Total cash and cash equivalents			89,622				37,484
Available for sale securities (at fair value)			141,340				159,947
Loans receivable (net of allowance for credit losses of $8,231 and $8,539, respectively)			960,803				971,779
Federal Home Loan Bank stock			2,023				3,960
Accrued interest receivable			4,502				4,435
Cash surrender value of life insurance			30,575				30,193
Deferred tax assets (net of valuation allowance of $1,065 and $1,336, respectively)			6,626				8,114
Premises and equipment, net			13,781				14,105
Goodwill			2,235				2,235
Intangible assets, net			129				166
Other assets			22,613				23,347
Total assets		$	1,274,249			$	1,255,765
Liabilities and Stockholders' Equity
Liabilities
Deposits
Non-interest bearing		$	239,486			$	238,126
Interest bearing			831,322				782,657
Total deposits			1,070,808				1,020,783
Mortgagors' escrow accounts			12,749				9,425
Advances from the Federal Home Loan Bank			26,603				69,773
Subordinated debt			5,155				5,155
Accrued expenses and other liabilities			29,977				28,796
Total liabilities			1,145,292				1,133,932
Stockholders' Equity
Preferred stock (par value $0.01 per share; 5,000,000 authorized, no shares issued)			-				-
Common stock (par value $0.01; authorized 25,000,000; issued and outstanding 11,105,330 at June 30, 2025 and 11,094,828 at December 31, 2024)			111				111
Additional paid-in capital			45,909				45,946
Unearned common stock held by the employee stock ownership plan			(2,946	)			(3,055	)
Retained earnings			96,780				91,766
Accumulated other comprehensive loss:
Net unrealized loss on available for sale securities, net of taxes			(7,883	)			(10,480	)
Defined benefit pension plan, net of taxes			(3,014	)			(2,455	)
Total accumulated other comprehensive loss			(10,897	)			(12,935	)
Total stockholders' equity			128,957				121,833
Total liabilities and stockholders' equity		$	1,274,249			$	1,255,765

Rhinebeck Bancorp, Inc. and Subsidiary
Average Balance Sheet (Unaudited)
(Dollars in thousands)

		For the Three Months Ended June 30,
		2025												2024
		Average				Interest and								Average				Interest and
		Balance				Dividends				Yield/Cost(3)				Balance				Dividends				Yield/Cost(3)
Assets:
Interest bearing depository accounts and federal funds sold		$	37,527			$	414				4.42	%		$	20,837			$	295				5.69	%
Loans(1)			978,022				15,066				6.18	%			991,632				14,432				5.85	%
Available for sale securities			143,756				1,208				3.37	%			177,330				823				1.87	%
Other interest-earning assets			2,496				67				10.77	%			5,258				134				10.25	%
Total interest-earning assets			1,161,801				16,755				5.78	%			1,195,057				15,684				5.28	%
Non-interest-earning assets			87,246												89,125
Total assets		$	1,249,047											$	1,284,182
Liabilities and equity:
NOW accounts		$	118,195			$	58				0.20	%		$	125,039			$	43				0.14	%
Money market accounts			215,295				1,353				2.52	%			184,187				1,224				2.67	%
Savings accounts			134,314				130				0.39	%			142,546				128				0.36	%
Certificates of deposit			342,425				3,295				3.86	%			339,600				3,945				4.67	%
Total interest-bearing deposits			810,229				4,836				2.39	%			791,372				5,340				2.71	%
Escrow accounts			10,847				30				1.11	%			10,192				30				1.18	%
Federal Home Loan Bank advances			33,686				311				3.70	%			95,290				1,121				4.73	%
Subordinated debt			5,155				86				6.69	%			5,155				99				7.72	%
Other interest-bearing liabilities			-				-				-	%			3,655				49				5.39	%
Total other interest-bearing liabilities			49,688				427				3.45	%			114,292				1,299				4.57	%
Total interest-bearing liabilities			859,917				5,263				2.45	%			905,664				6,639				2.95	%
Non-interest-bearing deposits			231,573												236,515
Other non-interest-bearing liabilities			29,950												27,604
Total liabilities			1,121,440												1,169,783
Total stockholders' equity			127,607												114,399
Total liabilities and stockholders' equity		$	1,249,047											$	1,284,182
Net interest income						$	11,492											$	9,045
Interest rate spread											3.33	%											2.33	%
Net interest margin(2)											3.97	%											3.04	%
Average interest-earning assets to average interest-bearing liabilities											135.11	%											131.95	%

⁽¹⁾ Non-accruing loans are included in the outstanding loan balance. Deferred loan fees included in interest income totaled $86,000 and $16,000 for the three months ended June 30, 2025 and 2024, respectively.
⁽²⁾ Represents the difference between interest earned and interest paid, divided by average total interest earning assets.
⁽³⁾ Annualized.

		For the Six Months Ended June 30,
		2025												2024
		Average				Interest and								Average				Interest and
		Balance				Dividends				Yield/Cost				Balance				Dividends				Yield/Cost
		(Dollars in thousands)
Assets:
Interest bearing depository accounts		$	33,003			$	693				4.23	%		$	19,056			$	512				5.40	%
Loans(1)			984,984				30,074				6.16	%			1,000,622				28,729				5.77	%
Available for sale securities			150,450				2,469				3.31	%			184,115				1,693				1.85	%
Other interest-earning assets			3,417				157				9.27	%			5,850				301				10.35	%
Total interest-earning assets			1,171,854				33,393				5.75	%			1,209,643				31,235				5.19	%
Non-interest-earning assets			87,172												88,994
Total assets		$	1,259,026											$	1,298,637
Liabilities and equity:
NOW accounts		$	122,118			$	111				0.18	%		$	124,409			$	85				0.14	%
Money market accounts			210,683				2,588				2.48	%			186,542				2,483				2.68	%
Savings accounts			133,635				254				0.38	%			144,831				260				0.36	%
Certificates of deposit			335,917				6,625				3.98	%			336,471				7,626				4.56	%
Total interest-bearing deposits			802,353				9,578				2.41	%			792,253				10,454				2.65	%
Escrow accounts			9,220				51				1.12	%			8,604				50				1.17	%
Federal Home Loan Bank advances			54,211				1,063				3.95	%			109,141				2,628				4.84	%
Subordinated debt			5,155				172				6.73	%			5,155				197				7.69	%
Other interest-bearing liabilities			-				-				-	%			1,828				49				5.39	%
Total other interest-bearing liabilities			68,586				1,286				3.78	%			124,728				2,924				4.71	%
Total interest-bearing liabilities			870,939				10,864				2.52	%			916,981				13,378				2.93	%
Non-interest-bearing deposits			232,926												239,766
Other non-interest-bearing liabilities			29,379												27,112
Total liabilities			1,133,244												1,183,859
Total stockholders' equity			125,782												114,778
Total liabilities and stockholders' equity		$	1,259,026											$	1,298,637
Net interest income						$	22,529											$	17,857
Interest rate spread											3.23	%											2.26	%
Net interest margin(2)											3.88	%											2.97	%
Average interest-earning assets to average interest-bearing liabilities											134.55	%											131.92	%

⁽¹⁾ Non-accruing loans are included in the outstanding loan balance. Deferred loan fees included in interest income totaled $140,000 and $33,000 for the six months ended June 30, 2025 and 2024, respectively.
⁽²⁾ Represents the difference between interest earned and interest paid, divided by average total interest earning assets.
⁽³⁾ Annualized.

Rhinebeck Bancorp, Inc. and Subsidiary
Selected Ratios (Unaudited)

		Three Months Ended								Six Months Ended								Year Ended
		June 30,								June 30,								December 31,
		2025				2024				2025				2024				2024
Performance Ratios(1):
Return on average assets (2)			0.88	%			0.31	%			0.80	%			0.32	%			(0.67	)%
Return on average equity (3)			8.57	%			3.43	%			8.04	%			3.67	%			(7.31	)%
Net interest margin (4)			3.97	%			3.04	%			3.88	%			2.97	%			3.21	%
Efficiency ratio			74.13	%			84.00	%			74.24	%			84.66	%			82.34	%
Average interest-earning assets to average interest-bearing liabilities			135.11	%			131.95	%			134.55	%			131.92	%			133.68	%
Total gross loans to total deposits			90.08	%			95.28	%			90.08	%			95.28	%			95.51	%
Average equity to average assets (5)			10.22	%			8.91	%			9.99	%			8.84	%			9.23	%
Asset Quality Ratios:
Allowance for credit losses on loans as a percent of total gross loans			0.85	%			0.77	%			0.85	%			0.77	%			0.88	%
Allowance for credit losses on loans as a percent of non-performing loans			283.14	%			181.33	%			283.14	%			181.33	%			206.56	%
Net charge-offs to average outstanding loans during the period			(0.01	)%			(0.08	)%			(0.06	)%			(0.11	)%			(0.24	)%
Non-performing loans as a percent of total gross loans			0.30	%			0.42	%			0.30	%			0.42	%			0.42	%
Non-performing assets as a percent of total assets			0.23	%			0.33	%			0.23	%			0.33	%			0.33	%
Capital Ratios(6):
Tier 1 capital (to risk-weighted assets)			12.66	%			12.59	%			12.66	%			12.59	%			11.81	%
Total capital (to risk-weighted assets)			13.45	%			13.29	%			13.45	%			13.29	%			12.63	%
Common equity Tier 1 capital (to risk-weighted assets)			12.66	%			12.59	%			12.66	%			12.59	%			11.81	%
Tier 1 leverage ratio (to average total assets)			10.64	%			10.60	%			10.64	%			10.60	%			10.07	%
Other Data:
Book value per common share										$	11.61			$	10.49			$	10.98
Tangible book value per common share(7)										$	11.40			$	10.27			$	10.76

(1) Performance ratios for the three and six month periods ended June 30, 2025 and 2024 are annualized.
(2) Represents net income divided by average total assets.
(3) Represents net income divided by average equity.
(4) Represents net interest income as a percent of average interest-earning assets.
(5) Represents average equity divided by average total assets.
(6) Capital ratios are for Rhinebeck Bank only. Rhinebeck Bancorp, Inc. is not subject to the minimum consolidated capital requirements as a small bank holding company with assets of less than $3.0 billion.
(7) Represents a non-GAAP financial measure, see table below for a reconciliation of the non-GAAP financial measures.

NON-GAAP FINANCIAL INFORMATION

This release contains financial information determined by methods other than in accordance with generally accepted accounting principles ("GAAP"). Such non-GAAP financial information includes the following measures: tangible book value per common share, efficiency ratio and earnings per share excluding securities loss. Management uses these non-GAAP measures because we believe that they may provide useful supplemental information for evaluating our operations and performance, as well as in managing and evaluating our business and in discussions about our operations and performance. Management believes these non-GAAP measures may also provide users of our financial information with a meaningful measure for assessing our financial results, as well as a comparison to financial results for prior periods. These non-GAAP measures should be viewed in addition to, and not as an alternative to or substitute for, measures determined in accordance with GAAP and are not necessarily comparable to other similarly titled measures used by other companies. To the extent applicable, reconciliations of these non-GAAP measures to the most directly comparable measures as reported in accordance with GAAP are included below. Loss on available-for-sale securities is excluded from the following calculations as management believes that this presentation provides further comparability of net income (loss), earnings (loss) per share and the efficiency ratio and is consistent with industry practice.

(In thousands, except per share data)		June 30,								December 31,
		2025				2024				2024
Book value per common share
Total shareholders' equity (book value) (GAAP)		$	128,957			$	116,196			$	121,833
Total shares outstanding			11,105				11,073				11,095
Book value per common share		$	11.61			$	10.49			$	10.98
Tangible common equity
Total shareholders' equity (book value) (GAAP)		$	128,957			$	116,196			$	121,833
Goodwill			(2,235	)			(2,235	)			(2,235	)
Intangible assets, net			(129	)			(205	)			(166	)
Tangible common equity (non-GAAP)		$	126,593			$	113,756			$	119,432
Tangible book value per common share
Tangible common equity (non-GAAP)		$	126,593			$	113,756			$	119,432
Total shares outstanding			11,105				11,073				11,095
Tangible book value per common share (non-GAAP)		$	11.40			$	10.27			$	10.76

Contact:

Michael Quinn
President & CEO
845-454-8555, ext. 1501
mquinn@rhinebeckbank.com

Related Links

http://www.Rhinebeckbank.com

SOURCE: Rhinebeck Bancorp

View the original press release on ACCESS Newswire

FAQ

What was Rhinebeck Bancorp's (RBKB) earnings per share for Q2 2025?

Rhinebeck Bancorp reported $0.25 per basic and diluted share for Q2 2025, compared to $0.09 in Q2 2024.

How much did RBKB's net interest margin improve in Q2 2025?

The net interest margin increased by 93 basis points to 3.97% in Q2 2025 compared to Q2 2024.

What was Rhinebeck Bancorp's total deposit growth in H1 2025?

Total deposits increased by $50.0 million or 4.9%, primarily driven by growth in interest-bearing deposits.

How did RBKB's credit quality metrics perform in Q2 2025?

Credit quality improved significantly with non-performing assets decreasing 29.7% to $2.9 million and past due loans declining 24.3% to $12.6 million.

What was Rhinebeck Bancorp's return on equity in Q2 2025?

Return on average equity was 8.57% for Q2 2025, compared to 3.43% in Q2 2024.