Sturgis Bancorp, Inc. reports recurring developments tied to its role as the holding company for Sturgis Bank & Trust Company, a Michigan community bank offering trust, commercial, and consumer banking services. Company updates also describe related financial-advisory, insurance, and title services provided through subsidiaries including Oakleaf Financial Services, Ayres/Oak Insurance, and Oak Title Services.
News themes for STBI include quarterly and annual operating results, net interest income, net interest margin, loan and deposit trends, credit quality, allowance activity, capital ratios, service-cost changes, and the bank's relationship-banking strategy. The company also issues regular dividend announcements for its common stock traded on OTCQX.
Sturgis Bancorp reported net income of $1.4 million for Q1 2021, a decline of 9.6% from $1.5 million in Q1 2020, largely due to a higher provision for loan losses linked to COVID uncertainty. Total assets rose 10.2% to $709 million, with net loans increasing 6.7% to $475.1 million. Significant gains included $1.1 million from mortgage sales and a $407,000 profit from an interest rate swap termination. The tax equivalent net interest margin fell to 2.78% from 3.72%. The company's strong capital ratios exceed "well-capitalized" requirements, with Tier 1 leverage capital at 8.59%.
Sturgis Bancorp (OTCQX:STBI) has declared a cash dividend of $0.16 per common share, payable on June 15, 2021 to stockholders of record by May 14, 2021. This marks a continuation of quarterly dividends at the highest level in the company's history, reflecting strong earnings. Sturgis Bancorp serves as a holding company for Sturgis Bank & Trust Company and its subsidiaries, offering comprehensive banking and financial services across multiple locations in Michigan.
Sturgis Bancorp, Inc. (STBI) reported a net income of $4.4 million for the first nine months of 2020, marking a 20% increase from the previous year. The third quarter alone saw a net income of $1.6 million. Total assets rose 27.8% to $604.7 million, with loans increasing by 23.4% to $435.1 million. The company facilitated $35.9 million in PPP loans for 563 borrowers. However, net interest margin declined to 3.41%. Expenses increased by 8.3%.