Highlands Bankshares, Inc. (OTC: HBSI) announces results of operations for the year end 2024. Highlands Bankshares, Inc., the parent company of The Grant County Bank and Capon Valley Bank, posted year ended 2024 earnings of $4,853,000 or $3.63 per share of common stock outstanding (EPS), compared to $3,557,000 or $2.26 EPS for the same period of 2023.
On February 11, 2025, the Board of Directors declared a quarterly dividend to shareholders of $0.45 per share. The dividend was payable to all shareholders of record as of February 24, 2025 and was paid on or about February 28, 2025. Based upon the current market price and annualizing the dividends paid to shareholders this quarter, Highlands’ current dividend yield is 5.37%. Return on average assets (ROAA) increased in 2024 to 0.84%, as compared to 0.64% in the same period of 2023.
The return on average equity (ROAE) increased to 7.93% at December 31, 2024, as compared to 6.30% at December 31, 2023. Total assets, as of December 31, 2024, increased $31,397,000 to $579,560,000 compared to December 31, 2023. Total liabilities increased $25,696,000 as of December 31, 2024 to $518,341,000 compared to December 31, 2024 as a result of deposit growth.
Shareholders’ Equity at December 31, 2024 was $61,219,000 or $45.79 per outstanding share, compared to December 31, 2022 of $55,518,000 or $41.53 per outstanding share. Jack H. Walters, Chairman and Chief Executive Officer of the holding company, stated, “We were pleased with our performance in 2024. Similar to 2023, loan growth continued to be quite strong, even in the face of persistently higher interest rates.
Our loan portfolio grew by just over 9% in 2024, reflective of continued stable economic conditions in our markets and buoyed somewhat by the expectation for a more pro-business environment in Washington. Competition for deposits continued to remain quite strong throughout the year, driven by loan growth and liquidity pressures at other financial institutions.
As a result, interest expense increased 52% compared to the prior year. We were able to offset these increases with higher yields in our loan portfolio, which resulted in our net interest margin steadily improving throughout the year. Net income increased by over 36% compared to the prior year, driven primarily by growth in net interest income as well as lower levels of non-interest expense compared to the year ago period.”
