Third Century Bancorp reports Q2 2026 net income of $719,000

Third Century Bancorp, the holding company for Mutual Savings Bank, reported unaudited net income of $719,000 for the quarter ended June 30, 2026, up 92.33% from $374,000 a year earlier, with basic and diluted earnings per share rising to $0.62 from $0.32. For the first six months of 2026, net income increased 60.89% to $1.325 million from $823,000, and earnings per share rose to $1.14 from $0.70. Second-quarter net interest income rose $429,000 to $2.60 million as total interest income increased to $4.47 million, driven by higher average loan balances and average cash balances. Total interest expense edged up to $1.88 million because of higher average retail deposit balances, and net interest margin improved to 3.12% from 2.89% a year earlier. The bank also recorded a $27,000 reversal of provision for credit losses, compared with a $30,000 provision expense in the same quarter of 2025, reflecting stronger credit quality and no net charge-offs during the period. Non-interest income increased 22.49% to $441,000 on higher trust revenue, loan fees and service charge income, while non-interest expense rose 8.00% to $2.24 million, mainly because of higher advertising and personnel costs. Total assets were $353.21 million at June 30, 2026, up from $349.19 million at the end of 2025, as loan and securities balances increased. Gross loans held for investment rose to $223.78 million and deposits climbed to $284.37 million, while FHLB advances fell to $42.0 million from $45.0 million. Stockholders' equity increased to $15.62 million from $13.17 million at Dec. 31, 2025, helped by retained earnings and a $1.25 million decrease in net unrealized loss on available-for-sale securities as their fair value improved. President and CEO David A. Coffey said the company also raised its dividend by one cent per share, a 25% increase, as returns strengthened following a strong first quarter.