Katahdin Bankshares Corp. (OTCQX: KTHN), parent of Houlton-based Katahdin Trust Co., on Tuesday reported earnings during the first quarter of this year of $1.8 million, or 54 cents per share
Although net income was down 25.4%, or $603,000, from the first quarter of 2021, the holding company said much of the drop was anticipated. Results stemmed largely from a reduction in U.S. Small Business Administration Paycheck Protection Program loans and secondary market loan sales, coupled with higher expenses such as salary and occupancy costs.
“PPP loans and related fee income has drawn to a close, reducing our interest and fee income by $590,000 alone,” Jon Prescott, the company’s president and CEO, said in a news release.
The bank’s total assets reached $963 million, an increase of $21.6 million, while total deposits increased by $34.1 million over the first quarter of 2021.
“We end the first quarter of 2022 optimistically, and proudly continue to assist our customers with their personal and business financial goals — now and into the future,” said Prescott.
Katahdin Trust Co. has 180 employees and operates 16 branches throughout northern Maine, greater Bangor and the Portland regions. Katahdin placed No. 15 among the largest Maine-based banks in the 2022 Mainebiz Book of Lists.