Oconee Financial Corporation Reports Fourth Quarter 2023 Results



WATKINSVILLE, Ga., Feb. 9, 2024 /PRNewswire/ — Oconee Financial Corporation (“Oconee”) (OTCQX:OSBK) is pleased to report results for the fourth quarter of 2023. Unaudited net income for the three months ending December 31, 2023, was $847 thousand or $0.90 per common share. This compares to $1.3 million or $1.42 per common share for the fourth quarter of 2022, a decrease of 33%. The decrease in net earnings for the fourth quarter 2023 was mainly attributable to a decrease in non-interest income of $77 thousand and an increase of net interest income of $741 thousand, offset by an increase in non-interest expense of $1.0 million over the same period of 2022. The decrease in non-interest income was due to the recording of a tax related adjustment to the bargain purchase gain of $222 thousand from the merger with Elberton Federal Savings & Loan Association (“Elberton Federal”). This decrease was offset by an increase in Mortgage Banking income of $108 thousand over the same period of 2022. $780 thousand of the quarterly increase in non-interest expense was attributable to expenses related to the Elberton Federal merger and higher incentive accruals in the fourth quarter. The net interest income increase was mainly due to increases in interest income on loans of $1.5 million, interest income on investments of $181 thousand, and interest income on interest-bearing bank balances of $942 thousand, offset by increases in interest expense on deposits and interest expense on borrowings of $1.9 million

Unaudited net income, YTD as of December 31, 2023, was $5.9 million, or $6.32 per common share. This compares to $4.1 million or $4.60 per common share for YTD as of December 31 of the prior year. This represents an increase of 44% in year-to-date net earnings as compared to the same period in 2022. YTD earnings for 2023 also includes expenses related to our merger with Elberton Federal of $625 thousand and a recorded bargain purchase gain of $1.8 million

Total assets as of December 31, 2023, were $589.1 million, compared to total assets of $536.7 million as of December 31, 2022, an increase of 10%. Total loans were $342.4 million and total deposits were $532 million as of December 31, 2023. This compared to total loans of $295.6 million and total deposits of $494.9 million at December 31, 2022. As of December 31, 2023, total loans increased 15.6% and total deposits increased 7.5% versus December 31, 2022. The Increase in total deposits and total assets is in part due to the merger with Elberton. Elberton loans of $19.5 million and deposits of $16.1 million are included in the increase. Book value per share at December 31, 2023 was $40.44 versus $32.43 at December 31, 2022. The increase in book value per share during the year was largely due to retention of earnings, including the bargain purchase gain noted above as well as a year-to-date increase in Other Comprehensive Income, which includes an increase in the fair value of derivatives of $355 thousand as well as a decrease in the Bank’s unrealized loss in the investment portfolio of $ 2.6 million.

Neil Stevens, President and Chief Executive Officer of Oconee, commenting on the fourth quarter and full year results noted, “We are extremely pleased with our performance in 2023. In a year where the banking industry saw an overall decline in earnings, we saw an increase in earnings per share of almost 6% excluding the bargain purchase gain and related merger expenses. I think our team did a fantastic job of navigating a very challenging interest rate environment. Particularly noteworthy was our growth in deposits of approximately 4%, excluding acquired deposits, in a year where the majority of banks experienced a decline in deposits.” 

Oconee Financial Corporation is headquartered in Watkinsville, Georgia and operates six full-service financial centers in Georgia, located in Oconee, Athens Clarke, Gwinnett and MaconBibb counties, including its newest location in Elbert County. In February 2024, Oconee State bank celebrated 64 years of service and continues to be the only locally owned and operated community bank headquartered in Oconee County. Oconee State Bank proudly serves its communities, providing unparalleled commitment to personalized service, innovative products and solutions, and brings exceptional value to all stakeholders, through local ownership, involvement, and decision making. The bank strives to be essential to those it serves, by creating remarkable experiences that significantly mark the lives of others. Oconee Financial Corporation was established in January 1999 to serve as the holding company of Oconee State Bank.

Please visit Oconee State Bank’s website, www.oconeestatebank.com for a full listing of products and services.







Cash and due from banks

$          53,094,864

$           51,430,016

Securities available for sale (at fair value)



Other investment



Mortgage loans held for sale



Loans, net of unearned income



Allowance for loan loss



Loans, net



Premises and equipment



Other assets



Total Assets

$        589,057,644

$         536,747,654




$        531,966,215

$         494,869,684

Federal Home Loan Bank Advances


Subordinated debenture, net of capitalized expenses



Dividends payable

Accrued expenses and other liabilities



Total Liabilities



Stockholder’s Equity:

Common Stock



Restricted Stock



Full story available on Benzinga.com


Leave a Reply

Your email address will not be published. Required fields are marked *