OSWEGO — Pathfinder Bancorp, Inc. (NASDAQ: PBHC), the holding company for Pathfinder Bank, recently reported that its net income rose 4.5 percent to $1.95 million in the fourth quarter from $1.86 million in the year-ago quarter. The Oswego–based banking company generated earnings per share of 33 cents in the fourth quarter, up from 32 cents in […]
OSWEGO — Pathfinder Bancorp, Inc. (NASDAQ: PBHC), the holding company for Pathfinder Bank, recently reported that its net income rose 4.5 percent to $1.95 million in the fourth quarter from $1.86 million in the year-ago quarter.
The Oswego–based banking company generated earnings per share of 33 cents in the fourth quarter, up from 32 cents in the same period in 2019.
Pathfinder reported total revenue (net interest income plus total noninterest income) of $10 million in the fourth quarter, up almost 10 percent from $9.1 million in the fourth quarter of 2019.
Revenue growth was led by decreased interest expense and a rise in noninterest income, including net gains from the sale of real estate and securities.
For the full-year 2020, Pathfinder produced net income of $7 million, up more than 62 percent from $4.3 million in 2019. Net income available to common shareholders for 2020 was $5.4 million, up 50 percent from $3.6 million for the prior year. The banking company’s earnings per share last year was $1.17, up 46 percent from 80 cents a share in 2019. Total revenue for 2020 came in at $38.5 million, an increase of 16 percent from $33.1 million the year before.
“Despite 2020’s challenges, we realized record earnings as we continued to build a larger, stronger, and more capable company for our shareholders, customers, and employees. We have been an active participant in the Paycheck Protection Program (PPP), originally providing access to this low-interest rate loan facility totaling approximately $76 million in loans to 699 existing and new customers. Throughout 2020, we have had our customers’ backs. Providing support and stability to them in 2021 and beyond remains an important focus for our team,” Thomas W. Schneider, president of Pathfinder Bancorp, said in the company’s earnings report, which was issued on Feb. 1. “We were able to achieve strong growth in assets during the year, with total assets and earning assets each growing more than 12 percent to $1.23 billion and $1.16 billion, respectively. In order to remain solidly positioned to respond to appropriate growth opportunities, we raised additional capital in the fourth quarter of 2020 through a private placement of $25 million in fixed-to-floating rate subordinated notes. We had a very productive year in attracting additional funding as deposits increased by more than $114 million through a combination of sources, including PPP lending, new and expanded commercial banking relationships, seasonal tax receipts from municipalities and retail customer deposits. Along with successfully attracting additional funding, we were able to significantly reduce our cost of deposits during 2020…”
Schneider added that the banking company’s noninterest expenses rose 5.6 percent in the fourth quarter but declined 3.7 percent for the full year. Management will continue to focus on that area throughout 2021.
Pathfinder Bank is a New York State chartered commercial bank with 10 full-service branches located in its market areas of Oswego and Onondaga counties, as well as one limited-purpose office in Oneida County. Through its subsidiary, Pathfinder Risk Management Company, Inc., the bank owns a 51 percent interest in the FitzGibbons Agency, LLC.
As of Dec. 31, Pathfinder Bancorp and its subsidiaries had total consolidated assets of $1.23 billion, total deposits of nearly $996 million, and shareholders’ equity of almost $98 million.