Community bank parent reported a record 4.51% net interest margin and named Paul Fedorkowicz to its board, while deposits fell and nonperforming assets remained concentrated in SBA loans.
Oak Ridge Financial Services, Inc., the parent of Bank of Oak Ridge, reported unaudited second-quarter 2026 earnings per share of $0.79, compared with $0.81 a year earlier and $0.53 in the first quarter, and declared a quarterly cash dividend of $0.16 per common share. The company said net interest margin reached 4.51% in the three months ended June 30, 2026, the highest quarterly level in its history, as lower funding costs helped lift net interest income to $7.1 million from $6.2 million in the prior quarter. Total stockholders’ equity rose to $74.3 million and the Bank’s Community Bank Leverage Ratio reached 12.5%. Loans receivable were $522.1 million, up from March 31 but below a year earlier, while deposits fell to $505.8 million. Nonperforming assets were 1.42% of total assets and totaled $9.4 million, largely tied to 17 Small Business Administration (SBA, U.S. small-business lending agency) loans carried at net realizable value. Chief Executive Officer Tom Wayne said the quarter rebounded strongly from the first quarter and that the non-SBA portfolio continues to show excellent credit quality. The company also announced the appointment of Paul Fedorkowicz to its Board of Directors and said the dividend will be paid on September 2, 2026, to stockholders of record on August 18, 2026.