Ottawa Bancorp, Inc. Reports Second Quarter 2024 Results

OTTAWA, Ill., August 13, 2024 (GLOBE NEWSWIRE) — Ottawa Bancorp, Inc. (the “Company”) (OTCQX: OTTW), the holding company for OSB Community Bank (the “Bank”), announced a net loss of ($0.2) million, or $(0.08) per basic and diluted common share for the three months ended June 30, 2024, compared to net income of $0.5 million, or $0.22 per basic and diluted common share for the three months ended June 30, 2023. For the six months ended On June 30, 2024, the Company announced net income of $0.1 million, or $0.02 per basic and diluted common share, compared to net income of $1.0 million, or $0.39 per basic and diluted common share share for the six months ended June 30, 2023. During the current quarter, the Company executed a balance sheet management strategy designed to reposition the investment portfolio, additional to generate liquidity and enhance net interest income on a go-forward basis. Twenty-one investment securities were sold, generating approximately $4 million in cash and a realized loss of $0.6 million. The proceeds were used to purchase more favorable investment securities purchase and higher wholesale financing costs. In addition, the loan portfolio, net of provision, decreased to $302.5 million as of June 30, 2024 from $312.2 million as of December 31, 2023, as originations of $20.3 million were lower than the repayments and payments. Non-performing loans amounted to $5.0 million at June 30, 2024 and $4.8 million at December 31, 2023. Due to the decrease in the loan portfolio and the slight increase in non-performing loans, the ratio of non-performing loans increased to gross loans to 1.62% at June 30, 2024, from 1.52% at December 31, 2023.

As announced on May 29, 2024, the Company has initiated its sixth share repurchase program authorized by its Board of Directors since the Company completed its second step conversion in 2016. Through June 30, 2024, the Company has repurchased a total of 965,467 shares of its common stock at an average price of $13.51 per share. Under the current repurchase plan, the Company has repurchased a total of 11,425 shares of its common stock at an average price of $11.72 per share.