RBAZ Bancorp, Inc. Announces Unaudited Financial Results For the Quarter and Year Ending December 31, 2024

Record Earnings Up 37% YoY

PHOENIX, Jan. 30, 2025 (GLOBE NEWSWIRE) — RBAZ Bancorp, Inc. (OTCIQ: RBAZ) (the “Company”), parent company of Republic Bank of Arizona (the “Bank” or “RBAZ”), announced a consolidated net income of $793,000, or $0.44 per share, for the quarter ended December 31, 2024 and $3,379,000, or $1.90 per share, for the twelve months ended December 31, 2024 as compared to a consolidated net income of $688,000, or $0.38 per share, for the quarter ended December 31, 2023 and $2,460,000, or $1.36 per share, for the twelve months ended December 31, 2023.

President and CEO Brian Ruisinger stated “I am proud to report record earnings for RBAZ in our 17-year history reflecting a 37% year-over-year increase bolstered by Q4 featuring a 15% increase over the same quarter of the prior year. Solid loan growth at higher yields coupled with deposit growth concentrated in non-interest-bearing funds resulted in a 27% net interest income improvement. This was accomplished while managing expenses allowing for an increase of only 11%. However, these expenses included $365,000 of deal costs related to our prior announcement of merging with Pima Federal Credit Union.”

Mr. Ruisinger continued, “As an update to our May 16, 2024 announcement of our intent to join forces with Pima Federal Credit Union, RBAZ shareholders approved the transaction on August 22, 2024 and regulatory applications were accepted in January 2025 entering into the customary review period to obtain approval. We anticipate a closing date in the second quarter of this year, and additional information will be provided once approvals are obtained.”

December 31, 2024 Company Highlights Include:

• Total loans of $222,731,000 increased $20,902,000, or 10.4%, from December 31, 2023. This increase consisted of $51,397,000 in new loan originations and advances on construction lines of credit, offset by $29,397,000 in loan maturities and participations sold. Advances and repayments on commercial lines of credit and normal payment attrition comprised the balance of the loan activity in 2024.
• Total deposits of $250,201,000 increased $22,029,000, or 9.7%, from December 31, 2023 and related entirely to core deposit generation, in which 74.1% was in non-interest-bearing funds. The increase in core deposits was a mix of deepening of existing relationships and cultivation of new banking relationships.
• Total interest income increased $800,000 to $4,615,000 for the quarter ended December 31, 2024 outpacing total interest income of $3,815,000 for the same period of the prior year equating to an increase of 21.0%.
• Cost of deposits was 2.13% for the quarter ended December 31, 2024. After peaking at 2.36% in Q1 2024, this reduction of 23 basis points indicates a turning point in the interest rate environment within the greater Phoenix market following the Federal Reserve’s rate reductions totaling 100 basis points in the second half of 2024.
• Total non-interest expense increased $239,000 to $2,097,000 for the quarter ended December 31, 2024 compared to $1,858,000 for the same period of the prior year. However, this increase includes $365,000 in non-recurring expenses associated with the pending transaction with Pima Federal Credit Union incurred in 2024. Therefore, core operating expenses decreased $126,000 between comparative quarters resulting primarily from a reduction in professional fees and marketing expenses.

The Bank remains “Well Capitalized” under the Community Bank Leverage Ratio (CBLR) framework as follows:

About the Company
RBAZ Bancorp, Inc. was established on June 10, 2021 as a single-bank holding company for its Arizona state-chartered bank subsidiary, Republic Bank of Arizona. The Company is traded over-the-counter as RBAZ.

About the Bank
Republic Bank of Arizona is a locally owned, community bank in Phoenix, Scottsdale and Gilbert, Arizona. RBAZ is a full service, community bank providing deposit and loan products and convenient, online and mobile banking to individuals, businesses and professionals. The Bank was established in April 2007 and is headquartered at 645 E. Missouri Avenue, Suite 108, Phoenix, AZ. Additional branches are located at 7373 N. Scottsdale Road, Suite A-195, Scottsdale, AZ and 1417 W. Elliot Road, Gilbert, AZ. The Bank is the wholly-owned subsidiary of RBAZ Bancorp, Inc. For further information, please visit our web site: www.republicbankaz.com.

Forward-Looking Statements
This press release may include forward-looking statements about the Company and the Bank (collectively referred to herein as the “Company”), for which the Company claims the protection of safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on management’s knowledge and belief as of today and include information concerning the Company’s possible or assumed future financial condition and its results of operations and business. Forward-looking statements are subject to risks and uncertainties. Several important factors could cause actual results to differ materially from those in the forward-looking statements. Those factors include, but are not limited to, fluctuations in interest rates, government policies and regulations (including monetary and fiscal policies), legislation, economic conditions, borrower capacity to repay, operational factors and competition in the geographic and business areas in which the Company conducts its operations. All forward-looking statements included in this press release are based on information available at the time of the release, and the Company assumes no obligation to update any forward-looking statement.

Contact:  Brian Ruisinger
President and Chief Executive Officer
Phone:  602.280.9404
Email:  [email protected]