Katahdin Bankshares Corp. (OTCQX: KHTN), the Houlton-based parent company of Katahdin Trust Co., posted a rise in first-quarter earnings and assets as loans increased.
Earnings per common share increased to $2.5 million, or 78 cents per common share. That compares to $2.3 million, or 75 cents per common share, in the same period last year.
Before taxes and provisions, net income totaled $3.5 million, representing an increase of $605,000, or 20.9%, over the first quarter of 2025.
Total assets reached $1.11 billion, up from $1.08 billion a year earlier. Loans rose by $30 million year-over-year to end the quarter at $883.2 million.
“We are pleased with the financial results to start this year off,” said Jon J. Prescott, Katahdin Trust president and CEO. “Our team remains focused on delivering dependable financial performance, while staying true to our mission as a local, community-focused bank.”
‘Sound’ asset quality
The company described the quality of its assets as “sound,” marked by a decline in non-performing loans from the previous quarter and a “satisfactory” overall credit performance.
“Management continues to closely monitor economic conditions and loan portfolio performance to adjust the allowance for credit losses as appropriate,” the company said in its report to shareholders. It also characterized capital levels as strong, providing “a stable foundation for the company’s operations and future growth.”
With roots going back to 1918, Katahdin Trust has 16 locations across Aroostook, Penobscot and Cumberland counties. Based on assets as of June 30, 2025, it is ranked No. 14 among the largest Maine-based banks in the 2026 Mainebiz Book of Lists.
