OPOF Old Point Financial Corporation

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): January 30, 2024

 (Exact name of registrant as specified in its charter)

101 East Queen Street

Hampton, Virginia  23669

(Address of principal executive offices)  (Zip Code)

(757)728-1200

(Registrant's telephone number, including area code)

Not applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Securities registered pursuant to Section 12(b) of the Act:

---

 

On January 30, 2024, Old Point Financial Corporation (the “Corporation”) issued a press release reporting its earnings and financial results for the fourth quarter and year ended December 31, 2023.  A copy of the press release is furnished as Exhibit 99.1 and is incorporated by reference into this Item 2.02.

 

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

---

Old Point Releases Fourth Quarter and Full Year 2023 Results

Hampton, VA, January 30, 2024 (PRNewswire) – Old Point Financial Corporation (the “Company” or “Old Point”) (NASDAQ "OPOF") reported net income of $1.5 million and diluted earnings per common share of $0.29 for the fourth quarter of 2023, compared to net income of $2.6 million and diluted earnings per common share of $0.53 for the fourth quarter of 2022. Net income for the year ended December 31, 2023, was $7.7 million with diluted earnings per common share of $1.54, compared to $9.1 million of net income with diluted earnings per common share of $1.80 for the year ended December 31, 2022.

Robert Shuford, Jr., Chairman, President and CEO of the Company and Old Point National Bank (the Bank) commented, “2023 was a difficult year due to the challenges within the banking industry, however Old Point demonstrated its strength and stability by delivering strong operating results while growing both earning assets and deposits. Our focus continues to be on maintaining a strong balance sheet and ensuring our asset quality, capital levels, and liquidity remain strong. Even with the uncertainties of 2024 and beyond, we believe the Company is well positioned to grow our business and deliver value to our shareholders.”

Highlights of the fourth quarter and year ended December 31, 2023, are as follows:

For more information about financial measures that are not calculated in accordance with GAAP, please see “Non-GAAP Financial Measures” and “Reconciliation of Certain Non-GAAP Financial Measures” below.

Total assets of $1.4 billion as of December 31, 2023, increased by $91.0 million, or 6.7% from December 31, 2022. Net loans held for investment increased $51.5 million, or 5.1% from December 31, 2022, to $1.1 billion at December 31, 2023, driven primarily by growth in construction and land development, residential real estate, commercial real estate, and consumer loans segments. Securities available-for-sale, at fair value, decreased $21.2 million from December 31, 2022, to $204.3 million at December 31, 2023, due primarily to the sales and maturities of certain securities.

Total deposits of $1.2 billion as of December 31, 2023, increased $74.4 million, or 6.4%, from December 31, 2022. Noninterest-bearing deposits decreased $86.6 million, or 20.7%, savings deposits increased $71.2 million, or 12.2%, and time deposits increased $89.8 million, or 58.7%, driven by depositors seeking increased yields. Decreases in overnight repurchase agreements and federal funds purchased were offset by an increase in Federal Home Loan Bank advances, resulting in a net increase of $9.3 million to $71.8 million at December 31, 2023 from $62.5 million at December 31, 2022, as the Company used additional borrowings to help fund loan growth during the year ended December 31, 2023.

The Company’s total stockholders’ equity at December 31, 2023 increased $8.0 million, or 8.1%, from December 31, 2022 to $106.8 million. The increase was primarily related to current year earnings and an increase in the market value of investment securities resulting in lower unrealized losses in securities available-for-sale, which are recorded as a component of accumulated other comprehensive loss, partially offset by dividends paid and the adoption of the Current Expected Credit Loss (“CECL”) standard related to the calculation of expected credit losses. The unrealized loss in market value of securities available-for-sale was a result of rising market interest rates since the securities were purchased rather than credit quality issues. The Company does not expect these unrealized losses to affect the earnings or regulatory capital of the Company or its subsidiaries. The Bank remains well capitalized with a Tier 1 Capital ratio of 11.45% at December 31, 2023, as compared to 10.80% at December 31, 2022. The Bank’s leverage ratio was 9.46% at December 31, 2023, as compared to 9.43% at December 31, 2022.

Non-performing assets (NPAs) totaled $2.2 million as of December 31, 2023, compared to $2.1 million as of December 31, 2022, and $2.7 million at September 30, 2023. NPAs as a percentage of total assets was 0.15% at December 31, 2022, and 2023 compared to 0.19% at September 30, 2023. Non-accrual loans were $403 thousand at December 31, 2023, a decrease from $1.9 million and $1.2 million at September 30, 2023, and December 31, 2022, respectively. The decrease in non-accrual loans from the linked quarter and prior year comparative quarter was related to the resolution of a large commercial relationship that began performing in the fourth quarter. Loans past due 90 days or more and still accruing interest increased from the linked quarter and prior year comparative quarter by $983 and $940 thousand, respectively. The increase over the linked quarter and prior year comparative quarter is due to the increased delinquency of loans in the consumer automobile segment.

The Company recognized a provision for credit losses of $1.4 million during the fourth quarter of 2023 compared to $505 thousand during the third quarter of 2023 and $633 thousand during the fourth quarter of 2022. The provision for credit losses for the fourth quarter of 2023 includes a recovery of unfunded commitments of $56 thousand. The allowance for credit losses (ACL) at December 31, 2023, was $12.4 million and included an allowance for credit losses on loans of $12.2 million and a reserve for unfunded commitments of $236 thousand. The allowance for credit losses on loans as a percentage of loans held for investment was 1.13% at December 31, 2023, compared to 1.09% at September 30, 2023, and 1.02% at December 31, 2022. Quarterly annualized net charge-offs as a percentage of average loans outstanding was 0.39% for the fourth quarter of 2023, compared to 0.09% for the third quarter of 2023 and 0.02% for the fourth quarter of 2022. At December 31, 2023, asset quality remains strong with no significant changes in the overall credit quality of the loan portfolio. Management believes the level of the allowance for credit losses is sufficient to absorb expected losses in the loan portfolio; however, if elevated levels of risk are identified, provision for credit losses may increase in future periods. The increase to the provision for credit losses in the fourth quarter of 2023 was to replenish the allowance for net charge-offs during the quarter and an increase in expected credit losses related to the consumer automobile segment as reflected by increased delinquencies.

Net interest income for the fourth quarter of 2023 was $11.9 million, an increase of $435 thousand, or 3.8%, from the prior quarter and a decrease of $1.0 million, or 8.1%, from the fourth quarter of 2022. The increase from the linked quarter is due primarily to higher average earning asset balances at higher average yields partially offset by higher average interest-bearing liabilities at higher average rates. The decrease from the prior-year comparative quarter is driven by higher average interest-bearing liabilities at higher average rates partially offset by higher average earning asset balances at higher average yields. For the years ended December 31, 2023, and 2022, net interest income was $48.2 million and $44.4 million, respectively. The increase from the prior-year comparative period was due to higher average earning assets at higher average earning yields, partially offset by higher average-interest bearing liabilities at higher average rates.

Net interest margin (NIM) for the fourth quarter of 2023 was 3.45%, an increase from 3.33% for the linked quarter and a decrease from 4.14% for the prior year quarter. On a fully tax-equivalent basis (FTE) (non-GAAP), NIM for the fourth quarter of 2023 was 3.46%, compared to 3.35% for the third quarter of 2023 and 4.17% for the fourth quarter of 2022.  Average earning asset balances for the fourth quarter increased $129.1 million period-over-period with yields on average earning assets increasing 66 basis points due to deployment of liquidity into higher earning assets and the effects of the rising interest rate environment.  Average loans increased $82.4 million, or 8.2%, and $158.3 million, or 17.2%, for the fourth quarter and year ended December 31, 2023, respectively, compared to the same periods of 2022. Average loan yields were higher for the fourth quarter and year ended December 31, 2023, compared to the same period of 2022 due primarily to the effects of loans repricing to higher interest rates. Average yields on loans and investment securities were 55 basis points and 78 basis points higher in the fourth quarter of 2023 when compared to the same period in 2022 due primarily to the effects of earning assets repricing to higher yields. Average interest-bearing liabilities increased $200.7 million for the fourth quarter of 2023 compared to the same period of 2022, with costs increasing 181 basis points. The higher interest cost on liabilities was due to a shift towards money market and time deposits in addition to higher interest rates on those deposits as well as additional borrowing costs associated with FHLB advances during the year ended December 31, 2023, to help fund loan growth. During the year ended December 31, 2023, average earning assets and average interest-bearing liabilities increased $100.2 million and $154.2 million, over the 2022 comparative period, respectively.

Beginning in 2022 and continuing in 2023, market interest rates increased significantly, and while the Company expects asset yields to continue to rise, the cost of funds is expected to continue to rise as well. The extent to which rising interest rates will affect the Company’s NIM remains uncertain. For more information about these FTE financial measures, please see “Non-GAAP Financial Measures” and “Reconciliation of Certain Non-GAAP Financial Measures,” below.

Noninterest expense totaled $12.2 million for the fourth quarter of 2023 compared to $12.9 million for the third quarter of 2023 and $12.3 million for the fourth quarter of 2022. The decrease from the linked quarter of $670 thousand was primarily due to a decrease in salaries and employee benefits related to an adjustment of prior quarters’ recognition of incentive compensation expense. The decrease of $76 thousand over the prior year quarter was primarily driven by decreases to professional services and ATM and other losses, partially offset by increases in data processing and other operating expenses. For the year ended December 31, 2023, noninterest expense increased $4.8 million, or 10.4% over the year ended December 31, 2022, primarily due to increases in salaries and employee benefits which was driven by the addition of revenue producing officers and a return to normalized position vacancy levels.

For the fourth quarter of 2023, the Company declared dividends of $0.14 per share, an increase of 7.7% over dividends of $0.13 per share declared in the fourth quarter of 2022. The dividend represents a payout ratio of 47.6% of earnings per share for the fourth quarter of 2023 and 36.4% cumulatively for the year ended December 31, 2023. The Board of Directors of the Company continually reviews the amount of cash dividends per share and the resulting dividend payout ratio considering changes in economic conditions, current and future capital requirements, and expected future earnings.

Total equity increased $8.0 million during 2023, due primarily to $7.7 million of net income for the year and an increase in the market value of investment securities resulting in lower unrealized losses in securities available-for-sale, which are recognized as a component of accumulated other comprehensive loss, partially offset by dividends paid and the adoption of CECL. The Company’s securities available-for-sale are fixed income debt securities, and their unrealized loss position is a result of increases in market interest rates since purchased rather than credit quality issues. The Company expects to recover its investments in debt securities through scheduled payments of principal and interest and unrealized losses are not expected to affect the earnings or regulatory capital of the Company or its subsidiaries.

At December 31, 2023, the book value per share of the Company’s common stock was $21.19, and tangible book value per share (non-GAAP) was $20.82. For more information about non-GAAP financial measures, please see “Non-GAAP Financial Measures” and “Reconciliation of Certain Non-GAAP Financial Measures,” below.

Non-GAAP Financial Measures

In reporting the results as of and for the quarter and year ended December 31, 2023, the Company has provided supplemental financial measures on a fully tax-equivalent, tangible or adjusted basis. These non-GAAP financial measures are a supplement to GAAP, which is used to prepare the Company’s financial statements, and should not be considered in isolation or as a substitute for comparable measures calculated in accordance with GAAP. In addition, the Company’s non-GAAP financial measures may not be comparable to non-GAAP financial measures of other companies. The Company uses the non-GAAP financial measures discussed herein in its analysis of the Company’s performance. The Company’s management believes that these non-GAAP financial measures provide additional understanding of ongoing operations and enhance comparability of results of operations with prior periods presented without the impact of items or events that may obscure trends in the Company’s underlying performance.  A reconciliation of the non-GAAP financial measures used by the Company to evaluate and measure the Company’s performance to the most directly comparable GAAP financial measures is presented below.

These forward-looking statements are due to factors that could have a material adverse effect on the operations and future prospects of Old Point including, but not limited to, changes in or the effects of: interest rates and yields, such as increases or volatility in short-term interest rates or yields on U.S. Treasury bonds and increase or volatility in U.S. Treasury bonds and increase or volatility in mortgage interest rates, and their impacts on macroeconomic conditions, customer and client behavior, Old Point’s funding costs and Old Point’s loan and securities portfolios; inflation and its impacts on economic growth and customer and client behavior; adverse developments in the financial services industry, such as the bank failures in 2023, responsive measures to mitigate and manage such developments, related supervisory and regulatory actions and costs, and related impacts on customer and client behavior; the sufficiency of liquidity; general economic and business conditions in the United States generally and particularly in the Company’s service area, including higher inflation, slowdowns in economic growth, unemployment levels, supply chain disruptions, and the impacts on customer and client behavior; monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Federal Reserve Board and any changes associated with the current administration; conditions in the banking industry and the financial condition and capital adequacy of other participants in the banking industry, and market, supervisory and regulatory reactions thereto; the quality or the composition of the loan or securities portfolios and changes therein; effectiveness of expense control initiatives; an insufficient ACL or volatility in the ACL resulting from the CECL methodology, either alone or as may be affected by inflation, changing interest rates or other factors; Old Point’s liquidity and capital positions; the value of securities held in the Company’s investment portfolios; the Company’s technology, efficiency, and other strategic initiatives; the legislative/regulatory climate, regulatory initiatives with respect to financial institutions, products and services; the Consumer Financial Protection Bureau (the “CFPB”) and the regulatory and enforcement activities of the CFPB; potential claims, damages and fines related to litigation or government actions; demand for loan products; future levels of government defense spending, particularly in the Company’s service areas; uncertainty over future federal spending or budget priorities, particularly in connection with the Department of Defense, on the Company’s service area; the impact of changes in the political landscape and related policy changes, including monetary, regulatory, and trade policies; the potential adverse effects of unusual and infrequently occurring events, such as weather-related disasters, terrorist acts, geopolitical conflicts (such as the ongoing conflict between Russia and Ukraine [and Israel and Hamas]) or public health events (such as the COVID-19 pandemic), and governmental and societal responses to the foregoing, on, among other things, the Company’s operations, liquidity, and credit quality; demand for loan products and the impact of changes in demand on loan growth; changes in the volume and mix of interest-earning assets and interest-bearing liabilities; the effects of management's investment strategy and strategy to manage the NIM; the U.S. government's guarantee of repayment of small business loans purchased by Old Point; the level of net charge-offs on loans; deposit flows; the performance of the Company’s dealer lending program; the strength of the Company’s counterparties; the Company’s ability to compete in the market for financial services and increased competition from both banks and non-banks, including fintech companies; demand for financial services in Old Point's service area; technological risks and developments; implementation of new technologies; the Company’s ability to develop and maintain secure and reliable electronic systems; any interruption or breach of security in the Company’s information systems or those of the Company’s third party vendors or other service providers; cyber threats, attacks and events; reliance on third parties for key services; the use of inaccurate assumptions in management's modeling systems; the real estate market; the demand in the secondary residential mortgage loan markets; expansion of the Company’s product offerings; changes in accounting principles, standards, policies guidelines, and interpretations and elections made by the Company thereunder, and the related impact on the Company’s financial statements; changes in management; and other factors detailed in Old Point's publicly filed documents, including its Annual Report on Form 10-K for the year ended December 31, 2022, which have been filed with the U.S. Securities and Exchange Commission (“SEC”) and are available on the SEC’s website at www.sec.gov. These risks and uncertainties should be considered in evaluating the forward-looking statements contained herein, and readers are cautioned not to place undue reliance on such statements, which speak only as of date they are made.

The Company does not intend or assume any obligation to update, revise or clarify any forward-looking statements that may be made from time to time or on behalf of the Company, whether as a result of new information, future events or otherwise, except as otherwise required by law. In addition, past results of operations are not necessarily indicative of future results.

Information about Old Point Financial Corporation

Old Point Financial Corporation (Nasdaq: OPOF) is the parent company of Old Point National Bank and Old Point Wealth Management, which serve the Hampton Roads and Richmond regions of Virginia as well as operate a mortgage loan production office in Charlotte, North Carolina. Old Point National Bank is a locally owned and managed community bank which offers a wide range of financial services from checking, insurance, and mortgage products to comprehensive commercial lending and banking products and services. Old Point Wealth Management is the largest wealth management services provider headquartered in Hampton Roads, Virginia, offering local asset management by experienced professionals. Additional information about the company is available at oldpoint.com.

For more information, contact Laura Wright, Vice President/Marketing Director, at lwright@oldpoint.com or (757) 728-1743.

Old Point Financial Corporation and Subsidiaries
Consolidated Statements of Income (unaudited)		Three Months Ended												Year Ended
(dollars in thousands, except per share data)		Dec. 31, 2023				Sep. 30, 2023				Dec. 31, 2022				Dec. 31, 2023				Dec. 31, 2022
Interest and Dividend Income:
Loans, including fees		$	14,766			$	14,311			$	12,234			$	56,303			$	41,407
Due from banks			1,072				838				65				2,067				598
Federal funds sold			10				9				3				34				21
Securities:
Taxable			1,853				1,788				1,527				7,177				4,936
Tax-exempt			139				159				262				719				994
Dividends and interest on all other securities			97				84				29				326				87
Total interest and dividend income			17,937				17,189				14,120				66,626				48,043
Interest Expense:
Checking and savings deposits			2,327				2,060				275				6,810				746
Time deposits			2,645				2,456				410				7,057				1,403
Federal funds purchased, securities sold under agreements to repurchase and other borrowings			1				-				66				40				69
Federal Home Loan Bank advances			807				952				165				3,339				207
Long term borrowings			296				295				295				1,181				1,180
Total interest expense			6,076				5,763				1,211				18,427				3,605
Net interest income			11,861				11,426				12,909				48,199				44,438
Provision for credit losses			1,359				505				633				2,601				1,706
Net interest income after provision for credit losses			10,502				10,921				12,276				45,598				42,732
Noninterest Income:
Fiduciary and asset management fees			1,350				1,012				1,011				4,632				4,097
Service charges on deposit accounts			780				751				791				3,077				3,069
Other service charges, commissions and fees			888				1,119				1,044				4,143				4,383
Bank-owned life insurance income			262				263				256				1,038				909
Mortgage banking income			82				144				78				433				497
Gain (loss) on sale of available-for-sale securities, net			-				30				(1,870	)			(134	)			(1,870	)
(Loss) on sale of repossessed assets			-				-				-				(69	)			-
Gain on sale of fixed assets			20				-				1,690				220				1,690
Other operating income			111				163				125				533				730
Total noninterest income			3,493				3,482				3,125				13,873				13,505
Noninterest Expense:
Salaries and employee benefits			7,193				7,830				7,201				30,429				27,055
Occupancy and equipment			1,198				1,241				1,232				4,889				4,720
Data processing			1,267				1,300				1,183				5,010				4,630
Customer development			175				159				175				548				473
Professional services			599				636				758				2,664				2,673
Employee professional development			222				257				222				1,002				991
Other taxes			252				251				212				950				849
ATM and other losses			219				154				309				782				535
Other operating expenses			1,086				1,053				995				4,133				3,729
Total noninterest expense			12,211				12,881				12,287				50,407				45,655
Income before income taxes			1,784				1,522				3,114				9,064				10,582
Income tax expense			301				160				471				1,334				1,474
Net income		$	1,483			$	1,362			$	2,643			$	7,730			$	9,108
Basic Earnings per Common Share:
Weighted average shares outstanding			5,039,064				5,037,558				4,998,173				5,025,006				5,071,130
Net income per share of common stock		$	0.29			$	0.27			$	0.53			$	1.54			$	1.80
Diluted Earnings per Common Share:
Weighted average shares outstanding			5,039,064				5,037,662				4,998,173				5,025,139				5,071,169
Net income per share of common stock		$	0.29			$	0.27			$	0.53			$	1.54			$	1.80
Cash Dividends Declared per Share:		$	0.14			$	0.14			$	0.13			$	0.56			$	0.52

Old Point Financial Corporation and Subsidiaries
Average Balance Sheets, Net Interest Income And Rates
		For the quarters ended December 31,
(unaudited)		2023												2022
						Interest												Interest
		Average				Income/				Yield/				Average				Income/				Yield/
(dollars in thousands)		Balance				Expense				Rate**				Balance				Expense				Rate**
ASSETS
Loans*		$	1,082,059			$	14,766				5.41	%		$	999,687			$	12,235				4.86	%
Investment securities:
Taxable			172,474				1,853				4.26	%			181,254				1,527				3.34	%
Tax-exempt*			26,193				176				2.67	%			44,526				331				2.95	%
Total investment securities			198,667				2,029				4.05	%			225,780				1,858				3.27	%
Interest-bearing due from banks			78,393				1,072				5.42	%			8,251				65				3.11	%
Federal funds sold			777				10				5.11	%			262				3				3.68	%
Other investments			5,176				97				7.43	%			2,024				29				5.96	%
Total earning assets			1,365,072			$	17,974				5.22	%			1,236,004			$	14,190				4.56	%
Allowance for credit losses			(11,784	)											(10,247	)
Other non-earning assets			106,639												106,319
Total assets		$	1,459,927											$	1,332,076
LIABILITIES AND STOCKHOLDERS' EQUITY
Time and savings deposits:
Interest-bearing transaction accounts		$	101,567			$	4				0.01	%		$	85,661			$	3				0.01	%
Money market deposit accounts			434,341				2,316				2.12	%			382,513				263				0.27	%
Savings accounts			93,981				7				0.03	%			120,398				9				0.03	%
Time deposits			268,234				2,645				3.91	%			153,967				410				1.06	%
Total time and savings deposits			898,123				4,972				2.20	%			742,539				685				0.37	%
Federal funds purchased, repurchase agreements and other borrowings			2,181				0				0.07	%			11,396				66				2.32	%
Federal Home Loan Bank advances			69,450				807				4.61	%			15,284				165				4.21	%
Long term borrowings			29,649				296				3.96	%			29,517				295				3.91	%
Total interest-bearing liabilities			999,403				6,075				2.41	%			798,736				1,211				0.60	%
Demand deposits			350,408												429,740
Other liabilities			10,017												7,917
Stockholders' equity			100,099												95,683
Total liabilities and stockholders' equity		$	1,459,927											$	1,332,076
Net interest margin*						$	11,899				3.46	%						$	12,979				4.17	%

Old Point Financial Corporation and Subsidiaries
Average Balance Sheets, Net Interest Income And Rates
		For the years ended December 31,
(unaudited)		2023												2022
		Average Balance				Interest Income/ Expense				Yield/ Rate**				Average Balance				Interest Income/ Expense				Yield/ Rate**
(dollars in thousands)
ASSETS
Loans*		$	1,078,303			$	56,305				5.22	%		$	919,990			$	41,440				4.50	%
Investment securities:
Taxable			179,576				7,177				4.00	%			192,639				4,936				2.56	%
Tax-exempt*			33,053				910				2.75	%			42,792				1,258				2.94	%
Total investment securities			212,629				8,087				3.80	%			235,431				6,194				2.63	%
Interest-bearing due from banks			38,746				2,067				5.33	%			75,111				598				0.80	%
Federal funds sold			698				34				4.87	%			2,694				21				0.77	%
Other investments			4,610				326				7.06	%			1,554				87				5.63	%
Total earning assets			1,334,986			$	66,819				5.01	%			1,234,780			$	48,340				3.91	%
Allowance for credit losses			(11,694	)											(9,958	)
Other nonearning assets			105,759												99,272
Total assets		$	1,429,051											$	1,324,094
LIABILITIES AND STOCKHOLDERS' EQUITY
Time and savings deposits:
Interest-bearing transaction accounts		$	85,939			$	13				0.02	%		$	78,167			$	10				0.01	%
Money market deposit accounts			432,758				6,766				1.56	%			385,067				697				0.18	%
Savings accounts			103,372				31				0.03	%			125,310				39				0.03	%
Time deposits			220,674				7,057				3.20	%			159,889				1,403				0.88	%
Total time and savings deposits			842,743				13,867				1.65	%			748,433				2,149				0.29	%
Federal funds purchased, repurchase agreements and other borrowings			4,245				40				0.94	%			6,170				69				1.12	%
Federal Home Loan Bank advances			67,248				3,339				4.97	%			5,606				207				3.69	%
Long term borrowings			29,601				1,181				3.99	%			29,469				1,180				4.01	%
Total interest-bearing liabilities			943,837				18,427				1.95	%			789,678				3,605				0.46	%
Demand deposits			374,716												422,850
Other liabilities			8,876												6,221
Stockholders' equity			101,622												105,345
Total liabilities and stockholders' equity		$	1,429,051											$	1,324,094
Net interest margin*						$	48,392				3.62	%						$	44,735				3.62	%

Old Point Financial Corporation and Subsidiaries		As of or for the quarters ended,												For the years ended,
Selected Ratios (unaudited) (dollars in thousands, except per share data)		December 31, 2023				September 30, 2023				December 31, 2022				December 31, 2023				December 31, 2022
Earnings per common share, diluted		$	0.29			$	0.27			$	0.53			$	1.54			$	1.80
Return on average assets (ROA)			0.40	%			0.37	%			0.79	%			0.54	%			0.69	%
Return on average equity (ROE)			5.88	%			5.25	%			10.96	%			7.61	%			8.65	%
Net Interest Margin (FTE) (non-GAAP)			3.46	%			3.35	%			4.17	%			3.62	%			3.62	%
Efficiency ratio			79.53	%			86.40	%			76.63	%			81.21	%			78.79	%
Efficiency ratio (FTE) (non-GAAP)			79.34	%			86.16	%			76.30	%			80.96	%			78.39	%
Book value per share			21.19				19.75				19.75
Tangible Book Value per share (non-GAAP)			20.82				19.39				19.37
Non-performing assets (NPAs) / total assets			0.15	%			0.19	%			0.15	%
Annualized Net Charge-Offs / average total loans			0.39	%			0.09	%			0.02	%
Allowance for credit losses on loans / total loans			1.13	%			1.09	%			1.02	%
Non-Performing Assets (NPAs)
Nonaccrual loans		$	403			$	1,918			$	1,243
Loans > 90 days past due, but still accruing interest			1,780				797				840
Other real estate owned			-				-				-
Total non-performing assets		$	2,183			$	2,715			$	2,083
Other Selected Numbers
Loans, net		$	1,068,046			$	1,070,834			$	1,016,559
Deposits			1,230,397				1,237,608				1,156,019
Stockholders' equity			106,778				99,526				98,734
Total assets			1,446,382				1,447,063				1,355,335
Loans charged off during the quarter, net of recoveries			1,053				237				40
Quarterly average loans			1,082,059				1,086,180				999,687
Quarterly average assets			1,459,927				1,452,939				1,332,076
Quarterly average earning assets			1,365,072				1,359,721				1,236,004
Quarterly average deposits			1,248,531				1,240,052				1,172,279
Quarterly average equity			100,099				102,850				95,683

Old Point Financial Corporation and Subsidiaries
Reconciliation of Certain Non-GAAP Financial Measures (unaudited)
(dollars in thousands, except per share data)		Three Months Ended												Year Ended
		Dec. 31, 2023				Sep. 30, 2023				Dec. 31, 2022				Dec. 31, 2023				Dec. 31, 2022
Fully Taxable Equivalent Net Interest Income
Net interest income (GAAP)		$	11,861			$	11,426			$	12,909			$	48,199			$	44,438
FTE adjustment			38				42				70				193				297
Net interest income (FTE) (non-GAAP)		$	11,899			$	11,468			$	12,979			$	48,392			$	44,735
Noninterest income (GAAP)			3,493				3,482				3,125				13,873				13,505
Total revenue (FTE) (non-GAAP)		$	15,392			$	14,950			$	16,104			$	62,265			$	58,240
Noninterest expense (GAAP)			12,211				12,881				12,287				50,407				45,655
Average earning assets		$	1,365,072			$	1,359,721			$	1,236,004			$	1,334,986			$	1,234,780
Net interest margin			3.45	%			3.33	%			4.14	%			3.61	%			3.60	%
Net interest margin (FTE) (non-GAAP)			3.46	%			3.35	%			4.17	%			3.62	%			3.62	%
Efficiency ratio			79.53	%			86.40	%			76.63	%			81.21	%			78.79	%
Efficiency ratio (FTE) (non-GAAP)			79.34	%			86.16	%			76.30	%			80.96	%			78.39	%
Tangible Book Value Per Share
Total Stockholders Equity (GAAP)		$	106,778			$	99,526			$	98,734
Less goodwill			1,650				1,650				1,650
Less core deposit intangible, net			187				198				231
Tangible Stockholders Equity (non-GAAP)		$	104,941			$	97,678			$	96,853
Shares issued and outstanding			5,040,095				5,038,066				4,999,083
Book value per share		$	21.19			$	19.75			$	19.75
Tangible book value per share (non-GAAP)		$	20.82			$	19.39			$	19.37

---