UNITED BANCSHARES, INC. ANNOUNCES SECOND QUARTER 2025 RESULTS AND $0.23 DIVIDEND
MWN-AI** Summary
United Bancshares, Inc. (OTCQX: UBOH) announced its second-quarter results for 2025, reporting a strong net income of $3.1 million, equivalent to $1.05 per share. This marks a significant increase compared to $1.8 million, or $0.61 per share, for the same period in 2024. The company's year-to-date (YTD) net income reached $5.9 million, translating to $1.99 per share, which also represents an increase from the previous year's $3.7 million, or $1.22 per share.
In terms of performance metrics, United Bancshares achieved a return on average assets of 1.04% for the second quarter of 2025, up from 0.68% in 2024. Additionally, the return on average tangible equity improved to 17.33%, up from 12.27% during the same period last year. The net interest margin saw a rise to 3.71%, compared to 3.12% in 2024.
The company declared a quarterly cash dividend of $0.23 per share, which is scheduled to be paid on September 15, 2025, to shareholders on record as of August 29, 2025. This dividend reflects a yield of 3.44%, based on the average closing price during the quarter.
United Bancshares also noted loan growth of $22.3 million, or 5.82% annualized, and a deposit growth of $2.9 million in the same timeframe. The firm continues to maintain stable asset quality, with historically low levels of charge-offs.
In the midst of these encouraging results, United Bancshares remains focused on enhancing its digital platform, which is set for rollout in early 2026. Overall, the company's solid financial performance reflects its commitment to delivering value to its shareholders and community.
MWN-AI** Analysis
United Bancshares, Inc. (OTCQX: UBOH) has reported solid second-quarter results for 2025, showcasing strong net income growth, improved returns on equity, and a consistent dividend payout, which may provide a favorable outlook for investors.
For Q2 2025, the company posted a net income of $3.1 million or $1.05 per share, reflecting a substantial increase from $1.8 million or $0.61 per share in the previous year. With a year-to-date (YTD) net income of $5.9 million, the results underscore the company's ability to drive profitability effectively. The return on average tangible equity stood impressively at 17.33%, up from 12.27% YoY, highlighting enhanced shareholder value creation.
The declared quarterly cash dividend of $0.23 per share translates to an annualized yield of 3.44%, which is compelling in a low-interest-rate environment. This payout, constituting 21.9% of the net income for the quarter, indicates a commitment to returning value to shareholders while retaining sufficient capital for growth.
Moreover, the company's net interest margin increased to 3.71%, up from 3.12% a year ago, suggesting that United Bancshares is effectively managing its interest income and expenses in a competitive lending market. The growth in loans by $22.3 million, or 5.82% annualized, alongside stable asset quality, signifies ongoing confidence in credit risk management.
However, investors should note the slight decline in the stock price to $27.98 from prior highs of $31.00. This may reflect broader market fluctuations or profit-taking after previous gains. The commitment to share repurchases indicates management's belief in the stock’s long-term potential, suggesting attractive entry points for investors.
Overall, United Bancshares appears well-positioned for sustained growth with its robust financial performance and prudent capital management. Investors may consider accumulating shares at current levels, particularly if looking for income-oriented opportunities paired with potential capital appreciation.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
PR Newswire
COLUMBUS GROVE, Ohio , July 17, 2025 /PRNewswire/ -- United Bancshares, Inc. (OTCQX: UBOH)
- Quarterly cash dividend declared of $0.23 per share for shareholders of record on August 29, 2025 , payable on September 15, 2025 . Based on the average closing price for the second quarter, this is a 3.44% dividend yield.
- Net income of $3.1 million or $1.05 per share for the 2025 second quarter. This is a $0.44 per share increase from $1.8 million or $0.61 per share in the comparable period in 2024. YTD 2025 net income of $5.9 million or $1.99 per share, a $0.77 per share increase from $3.7 million net income, or $1.22 per share YTD 2024.
- Return on average assets of 1.04% for the 2025 second quarter, an increase from 0.68% in the comparable period in 2024. YTD 2025 return on average assets of 0.99%, an increase from 0.68% YTD 2024.
- Return on average tangible equity of 17.33% for the 2025 second quarter, up from 12.27% in the comparable period in 2024. YTD 2025 return on average tangible equity of 16.56%, up from 11.78% YTD 2024.
- Net interest margin of 3.71% for the 2025 second quarter, an increase from 3.12% in the comparable period in 2024. YTD 2025 net interest margin of 3.65%, up from 3.07% YTD 2024.
- Loan growth of $22.3 million , up 5.82% annualized from December 31, 2024 .
- Deposit growth of $2.9 million , up 0.54% annualized from December 31, 2024 .
- Asset quality metrics remain strong with stable non-performing and classified loans. Charge-offs remain at historically low levels through June 30, 2025 .
About The Union Bank Company:
Since 1904, The Union Bank Company has been here to provide full-service banking to the people and businesses throughout the communities we serve. Today, the bank has 14 full-service branch locations across Northwest and Central Ohio , including Bowling Green , Columbus Grove , Delphos , Findlay , Gibsonburg , Kalida , Leipsic , Lewis Center , Lima , Marion , Ottawa , Paulding and Pemberville . We have Interactive Teller Machines (ITMs) located at all of our branch locations with additional ITM only locations in Lima , Marion , Paulding and Westerville . The Union Bank Company is headquartered in Columbus Grove, Ohio , and remains committed to providing the best banking service and products to all the communities we serve. Learn more at www.theubank.com .
Contact:
Brian D. Young , President and CEO
Klint D. Manz , Chief Financial Officer
419.659.2141
United Bancshares, Inc.
Quarterly Report
June 30, 2025
Shareholders, Clients, and Team Members:
I am pleased to report that your Company continued to see strong results for the first half of 2025, reporting $5.9 million in net income, which was $1.99 /share and 16.56% return on average tangible shareholder equity. During the first half, the Company also reported $22.3 million in loan growth (5.82% annualized) and $14.5 million (2.96% annualized) in core deposit growth (excluding the deposit fluctuations from the Ohio Treasurer's Homebuyer Plus matching deposits). Net interest margin also improved to 3.71% from 3.12% from the same period in 2024. While credit quality remained stable, the Company expensed $235,000 to provision for credit losses primarily as the result of the noted loan growth.
Trading of our shares (UBOH) on OTCQX during the second quarter was steady. The average close during the quarter was $26.71 with a high close of $27.99 and a low close of $24.40 . Additionally, the Company was able to repurchase 20,145 shares during the second quarter. We continue to believe that selectively repurchasing our shares at attractive pricing creates long-term value and liquidity for our shareholders. As a result, the Company has repurchased 369,321 shares at an average price of $21.41 during the period of June 2022 through June 2025 .
As a result of these successes, the Board of Directors declared a $0.23 per share quarterly dividend, payable on September 15 th for shareholders of record on August 29th . The dividend is 21.9% of the reported net income for the second quarter of 2025.
I am also pleased to report implementation of an all-new digital platform for our clients continues with an expected rollout in the first quarter of 2026, increased usage of our 7am – 7pm live teller access at all our locations, and the addition of incredible new team members with significant experience and compatible cultural approaches in our commercial, retail and operational areas. We continue to be blessed by the countless people who have chosen to serve or be served by The Union Bank Company.
The continued accomplishments of your Company are the result of the ongoing efforts of the Company's resolute team members and Board of Directors in applying our strong corporate values of respect for and accountability to our shareholders, clients, colleagues, and communities. As always, your ongoing support and the trust you have placed in us is appreciated.
Respectfully,
Brian D. Young
President & CEO
June 30, 2025 | December 31, 2024 | ||
Cash and cash equivalents | 91,795,000 | 95,283,000 | |
Securities | 225,570,000 | 237,779,000 | |
Loans | 789,314,000 | 766,987,000 | |
Less allowance for credit losses | (8,445,000) | (7,937,000) | |
Other assets | 99,905,000 | 97,218,000 | |
Total Assets | $1,198,139,000 | $1,189,330,000 | |
Deposits | $1,073,992,000 | $1,071,105,000 | |
Borrowings | 16,594,000 | 17,091,000 | |
Other liabilities | 6,436,000 | 6,394,000 | |
Total Liabilities | 1,097,022,000 | 1,094,590,000 | |
Common stock and surplus | 21,899,000 | 21,461,000 | |
Retained earnings | 129,402,000 | 124,822,000 | |
Accumulated other comprehensive (loss) income | (32,759,000) | (34,786,000) | |
Treasury stock | (17,425,000) | (16,757,000) | |
Total shareholders' equity | 101,117,000 | 94,740,000 | |
Total Liabilities and Shareholders' Equity | $1,198,139,000 | $1,189,330,000 | |
Common shares outstanding | 2,960,129 | 2,964,007 | |
Book value | $34.16 | $31.96 | |
Tangible book value (non-GAAP) | $24.47 | $22.28 | |
Closing price | $27.98 | $31.00 | |
Allowance for credit losses to loans (end of period, excluding LHFS) | 1.08 % | 1.04 % | |
Loans to deposits | 73.49 % | 71.61 % |
3 months | 3 months | 6 months | 6 months | ||||
June 30, | June 30, | June 30, | June 30, | ||||
Interest income | $14,546,000 | $12,502,000 | $28,730,000 | $24,373,000 | |||
Interest expense | 4,643,000 | 5,053,000 | 9,284,000 | 9,776,000 | |||
Net interest income | 9,903,000 | 7,449,000 | 19,446,000 | 14,597,000 | |||
Provision for credit losses | 235,000 | (190,000) | 328,000 | (481,000) | |||
Net interest income after provision | 9,668,000 | 7,639,000 | 19,118,000 | 15,078,000 | |||
Non-interest income | 1,803,000 | 2,026,000 | 3,604,000 | 4,305,000 | |||
Non-interest expense | 7,958,000 | 7,683,000 | 16,082,000 | 15,470,000 | |||
Income before federal income | 3,513,000 | 1,982,000 | 6,640,000 | 3,913,000 | |||
Federal income taxes | 387,000 | 150,000 | 722,000 | 248,000 | |||
Net Income | $3,126,000 | $1,832,000 | $5,918,000 | $3,665,000 | |||
Average common shares | 2,974,300 | 2,990,805 | 2,971,732 | 3,008,541 | |||
Per Share Data: | |||||||
Net income (basic) | $1.05 | $0.61 | $1.99 | $1.22 | |||
Cash dividends declared | $0.23 | $0.22 | $0.46 | $0.44 | |||
Dividend yield (annualized) based | 3.44 % | 4.73 % | 3.34 % | 4.69 % | |||
Performance Ratios: | |||||||
Return on average assets | 1.04 % | 0.68 % | 0.99 % | 0.68 % | |||
Return on average tangible | 17.33 % | 12.27 % | 16.56 % | 11.78 % | |||
Net interest margin | 3.71 % | 3.12 % | 3.65 % | 3.07 % | |||
Credit Quality and Other Ratios: | |||||||
Net loan charge-offs (recoveries) | 0.00 % | 0.00 % | -0.06 % | 0.00 % |
United Bancshares, Inc Directors Robert L. Benroth Herbert H. Huffman III Daniel W. Schutt, Chairman R. Steven Unverferth Brian D. Young Officers Brian D. Young, President/CEO Denise E. Giesige, Secretary Klint D. Manz, CFO | The Union Bank Co. Directors Robert L. Benroth Anthony M. V. Eramo Herbert H. Huffman III Kevin L. Lammon John P. Miller William R. Perry Carol R. Russell Daniel W. Schutt R. Steven Unverferth Dr. Jane M. Wood Brian D. Young, Chairman |
Investor Materials
United Bancshares, Inc. has traded its common stock on the OTCQX Markets Exchange under the symbol "UBOH". Annual and quarterly shareholder reports, regulatory filings, press releases, and articles about United Bancshares, Inc. are available in the Investor Relations section of our website theubank.com or by calling 800-837-8111.
SOURCE United Bancshares, Inc.
FAQ**
How does the second quarter 2025 net income of $3.1 million for United Bancshares Inc. UBOH compare to the prior year, and what factors contributed to the increase of $0.44 per share from the same period in 2024?
With a declared dividend of $0.per share, what percentage of the reported net income does this represent for United Bancshares Inc. UBOH, and how does this dividend yield of 3.44% align with investor expectations compared to previous quarters?
What strategies is United Bancshares Inc. UBOH implementing to maintain strong loan growth of $22.3 million and deposit growth in the face of increasing competition in the banking sector, particularly with the new digital platform rollout?
Can you provide insights into the company's asset quality metrics and what measures United Bancshares Inc. UBOH is taking to ensure the stability of non-performing and classified loans while managing the provision for credit losses?
**MWN-AI FAQ is based on asking OpenAI questions about United Bancshares Inc. (OTC: UBOH).
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