Third Century Bancorp Releases Earnings for the Quarter Ended March 31, 2026

Published: 2026-04-16 15:43:05 ET TDCB

Published on 04/16/2026 at 03:43 pm EDT

(OTCID: TDCB)-Third Century Bancorp (“Company”), the holding company for Mutual Savings Bank (“Bank”), announced it recorded unaudited net income of $605,000 for the quarter ended March 31, 2026, or $0.52 per basic and diluted share, compared to net income of $449,000 for the quarter ended March 31, 2025, or $0.38 per basic and diluted share.

“I am pleased with our first quarter results and the progress we continue to make. Three key actions drove this success: growth in core earnings through a steady increase in net interest income, strong credit quality with no non‑performing loans, and continued expense control while reducing our use of higher‑cost wholesale funding,” stated David A. Coffey, President and CEO. Coffey added, “These actions delivered solid results for our stockholders, including net income of $605 thousand, earnings per share of $0.52, and tangible book value per share increasing to $12.27. These results reflect the strength of our community banking model and the commitment of our team to serving our customers and communities while building long‑term value for our stockholders.”

For the quarter ended March 31, 2026, net income increased $156,000, or 34.72%, to $605,000 as compared to $449,000 for the same period in the prior year. The increase in net income for the three-month period ended March 31, 2026, was driven primarily as a result of a $324,000 increase in net interest income as compared to the same period in the prior year. Net interest income increased to $2.44 million for the three months ended March 31, 2026, due to an increase in total interest income of $387,000, or 9.82%, to $4.33 million for the three-month period ended March 31, 2026, as compared to $3.95 million for the same period for the prior year. The increase in total interest income was due to increases in average loan balances and average cash balances. Partially offsetting the increase in total interest income was an increase in total interest expense of $63,000, or 3.47%, to $1.89 million for the three-month period ended March 31, 2026, as compared to the same period for the prior year. The increase in total interest expense was the result of higher average retail deposit balances.

The provision reversal for credit losses during the current quarter was $23,000 compared to a provision reversal of $43,000 for the same quarter last year due to higher gross loan balances at quarter end.

Non-interest income for the quarter ended March 31, 2026, increased by $7,000, or 1.93%, to $374,000, as compared to $367,000 for the same period in the prior year. The increase in non-interest income occurred due to increased Trust revenue, loan fees, and service charge income as compared to the same period in the prior year. Non-interest expense increased by $143,000, or 7.10%, to $2,157,000 as compared to $2,014,000 for the same period in the prior year, due primarily to increased advertising and personnel expenses.

Total assets increased $156,000 to $349.34 million at March 31, 2026, compared to $349.19 million at December 31, 2025. This increase was due primarily to higher levels of cash which increased by $1.10 million or 3.24% since December 31, 2025. The increase in cash was due to growth in retail deposits. Gross loans held for investment fell by $1.26 million to $220.23 million at March 31, 2026, compared to $221.49 million at December 31, 2025. Total deposits were $282.17 million at March 31, 2026, up from $280.09 million at December 31, 2025. FHLB advances decreased by $3.0 million or 6.67% to $42.0 million at March 31, 2026, from $45.0 million at December 31, 2025. As of March 31, 2026, the weighted average rate of all FHLB advances was 3.71% compared to 3.75% at December 31, 2025, and the weighted average maturity was 3.72 years at March 31, 2026, compared to 3.97 years at December 31, 2025.

Stockholders’ equity was $14.24 million at March 31, 2026, compared to $13.17 million at December 31, 2025. Stockholders’ equity increased due to retained net income for the quarter as well as a decrease in net unrealized loss of $522,000 during the three months ended March 31, 2026, as a result of the increase in the fair value of our available- for-sale-securities due to the improvement in the forward rate curve compared to our portfolio at prior year end. The available-for-sale securities are investments in government sponsored mortgage-backed securities as well as investments in municipal bonds, which provide cash flow for business purposes. Quarterly average equity as a percentage of average assets increased to 4.02% at March 31, 2026, compared to 3.69% at December 31, 2025.

Founded in 1890, Mutual Savings Bank is a full-service financial institution based in Johnson County, Indiana. In addition to its main office at 80 East Jefferson Street, Franklin, Indiana, the Bank operates branches in Franklin at 1124 North Main Street, Trafalgar and Greenwood, Indiana.

This press release contains certain forward-looking statements that are based on assumptions and may describe future plans, strategies and expectations of the Company. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like “believe,” “expect,” “anticipate,” “estimate” and “intend” or future or conditional verbs such as “will,” “would,” “should,” “could” or “may.” Certain factors that could cause actual results to differ materially from expected results include inflation, tariffs, changes in the interest rate environment, changes in general economic conditions, geopolitical conflicts, public health issues, legislative and regulatory changes that adversely affect the business of the Company and the Bank, and changes in the securities markets. Except as required by law, the Company does not undertake any obligation to update any forward-looking statements to reflect changes in belief, expectations, or events.

Condensed Consolidated Statements of Income

(Unaudited)

in thousands, except per share data

2026

2025

2025

$

4,332

$

4,352

$

3,945

1,893

1,965

1,830

2,439

2,387

2,115

(23

)

190

(43

)

2,462

2,197

2,158

374

597

367

2,157

2,186

2,014

74

58

62

$

605

$

550

$

449

$

0.52

$

0.47

$

0.38

$

0.52

$

0.47

$

0.38

Condensed Consolidated Balance Sheet

(Unaudited)

In thousands, except per share data

2026

2025

2025

Selected Consolidated Balance Sheet Data:

Assets

Cash and Due from Banks

$

34,963

$

33,865

$

14,229

Investment Securities, Available-for-Sale, at Fair Value

72,821

72,118

71,829

Investment Securities, Held-to-Maturity

2,950

2,950

2,950

Loans Held-for-Sale

613

Loans Held-for-Investment

220,229

221,485

205,961

Allowance for Credit Losses

3,133

3,157

2,914

Net Loans Held-for-Investment

217,095

218,327

203,047

Accrued Interest Receivable

1,461

1,641

1,346

Other Assets

20,055

20,287

20,094

Total Assets

$

349,344

$

349,188

$

314,109

Liabilities

Noninterest-Bearing Deposits

$

45,455

$

46,543

$

40,897

Interest-Bearing Deposits

236,720

233,543

204,487

Total Deposits

282,174

280,086

245,384

FHLB Advances and Other Borrowings

42,000

45,000

48,000

Subordinated Notes, Net of Issuances Costs

9,819

9,812

9,792

Accrued Interest Payable

379

472

433

Accrued Expenses and Other Liabilities

732

645

482

Total Liabilities

335,104

336,016

304,091

Stockholders' Equity

Common Stock

11,473

11,475

11,475

Retained Earnings

13,603

13,056

11,867

Accumulated Other Comprehensive Gain/(Loss)

(10,836

)

(11,358

)

(13,323

)

Total Stockholders' Equity

14,240

13,173

10,018

Total Liabilities and Stockholders' Equity

$

349,344

$

349,188

$

314,109

2026

2025

2025

2.49

%

2.48

%

2.42

%

5.21

%

5.33

%

5.30

%

2.93

%

2.92

%

2.84

%

2.47

%

2.54

%

2.57

%

0.69

%

0.64

%

0.57

%

17.23

%

17.33

%

19.06

%

4.02

%

3.69

%

3.00

%

$

217,353

$

213,412

$

205,319

76,321

74,922

75,214

39,014

38,225

17,111

332,689

326,560

297,644

349,371

344,011

314,008

$

45,533

$

44,809

$

40,085

233,823

225,140

203,273

279,356

269,949

243,357

44,933

50,446

50,533

278,757

275,586

253,806

119.35

%

118.50

%

117.27

%

$

14,057

$

12,684

$

9,431

0.00

%

0.17

%

0.86

%

1.42

%

1.43

%

1.41

%

851.47

%

858.01

%

165.29

%

0.00

%

-0.01

%

0.00

%

10.84

%

9.48

%

12.07

%

$

12.27

$

11.27

$

8.57

$

13.85

$

9.35

$

9.15

112.92

%

82.94

%

106.72

%

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