Lyons Bancorp Reports Slightly Higher Third Quarter Earnings
Canandaigua Clyde Geneva Jordan Lyons Macedon Newark Ontario Penn Yan Seneca County Wolcott Perinton Park Lyons (Main) Auburn (Downtown) Auburn (Grant Ave.) Farmington, New York
Lyons Bancorp, Inc., the parent company of The Lyons National Bank (LNB), reported a slight increase in third quarter earnings. For the three months ended September 30, 2020, the Bank earned $0.82 per common share versus the $0.81 per common share it reported for the same three months last year. The $0.82 it earned in this year’s third quarter compares to $0.77 per common share it earned in the second quarter of this year. “Driven in large part by a record number of residential mortgages we originated and closed so far in 2020, our earnings returned to an upward trajectory in the third quarter,” said Robert A. Schick, Chairman and CEO. “For a number of years, we have targeted the residential mortgage market as a key component of our business model. Our aggressive approach towards mortgage lending was rewarded this year as interest rates declined precipitously caused by the COVID-19 induced economic slowdown.” For the full nine months of 2020, the Bank has earned $2.30 per common share, compared to $2.35 for the first nine months of 2019.
Due to continued economic uncertainty, the Bank maintained its conservative approach towards funding its loan loss reserve. The Bank allocated an additional $1.6 million to its provision for loan losses in the third quarter bringing the total it has set aside so far in 2020 to $5.2 million. At the end of the third quarter, the Bank’s Allowance for Loan Losses totaled $16.5 million, a 52% increase over the level it maintained at the end of 2019’s third quarter. For the first nine months of 2020, loans charged off totaled $234 thousand as compared to $291 thousand in the first nine months of 2019.
At September 30th, assets totaled $1.38 billion compared to $1.36 billion at June 30, 2020. In the third quarter, loans grew $38 million and deposits grew $20 million. At September 30, 2020, shareholder equity was $95 million. The Bank recently announced a $15 million capital raise which it expects to successfully close on October 23, 2020.
In August, the Bank opened its 16th branch office in the Town of Farmington.
Lyons Bancorp, Inc. is the financial holding company for The Lyons National Bank. The Lyons National Bank is a community bank with offices in Lyons, Clyde, Macedon, Newark, Ontario and Wolcott in Wayne County; Penn Yan in Yates County; Jordan in Onondaga County; Geneva, Canandaigua and Farmington in Ontario County; Waterloo in Seneca County; Perinton in Monroe County; and Auburn in Cayuga County. The Lyons National Bank has one subsidiary, Lyons Realty Associates Corp.