Uwharrie Capital Corp (UWHR)
Description
Uwharrie Capital Corp is a North Carolina-based bank holding company offering commercial and consumer banking services through its subsidiary Uwharrie Bank, including traditional checking and savings accounts, a variety of loan products, mortgage banking, and wealth management services.
Historical Reports
Financial Information
- Report Date
- 2025-03-25
- Report Period
- Full Year 2024
- Debt
- Total debt of $30.6 million, comprising $1.4 million in short‑term borrowings and $29.2 million in long‑term subordinated debt.
- Debt History
- Grew by approximately 0.3% compared to prior year.
- Debt Trend
- Increasing
Profit Information
- Profit
- Net income attributable to common shareholders of $9.34 million.
- Profit History
- Increased by approximately 16.3% compared to $8.03 million in fiscal 2023.
- Profit Trend
- Increasing
Detailed Report
Uwharrie Capital Corp Financial Report
Report Summary
- Report Date: 2025-03-25
- Period Covered: Full Year 2024
- Form Type: 10‑K
Profit and Debt Analysis
- Net Income: $9.34 million, up 16.3% y/o/y
- Total Debt: $30.6 million, up 0.3% y/o/y
- Net Interest Margin: Expanded to 3.40% from 3.34%
- Loan Growth: Loans rose 13.3% to $666.4 million
- Nonperforming Assets: Fell to 0.03% of loans
Drivers of Performance
- Higher Yields: Rising loan rates outpaced funding cost increases
- Deposit Growth: Customer deposits rose 4.9% to $1.03 billion
- Diversified Fees: Mortgage banking, asset management, interchange and deposit fees supported noninterest income
- Expense Management: Noninterest expenses rose 8.3%, reflecting strategic technology and staff investments
Pros and Cons
Pros:
- Strong capital ratios well above “well‑capitalized” thresholds
- Diversified revenue mix reduces reliance on net interest spread
- Low credit losses and high asset quality
Cons:
- Regional economic exposure concentrated in NC markets
- Margin pressure ahead as deposit costs reprice
- Competitive dynamics from larger banks and fintechs
Statistics Breakdown
Noninterest Income Breakdown (FY 2024):
- Mortgage Banking Income: $2.8 million
- Asset Management Fees: $2.3 million
- Deposit Service Charges: $1.1 million
- Interchange and Card Fees: $1.2 million
- Brokerage Commissions: $0.44 million
- Bank‑Owned Life Insurance Income: $0.15 million
- Other (including SEC plan adjustment): $2.7 million
Segment Pre‑Tax, Pre‑Provision Profit (FY 2024):
- Banking Operations: $14.9 million
- Mortgage Banking: –$1.6 million
Company Direction Insights
Uwharrie Capital Corp remains on a steady upward trajectory, underpinned by robust loan growth and an expanding net interest margin. The bank’s capital and liquidity positions are very strong, with capital ratios comfortably above regulatory minimums and ample liquidity lines in place. Revenue diversification—spanning traditional banking, mortgage services and wealth management—mitigates concentration risk, while disciplined expense control supports profitability. Key challenges include managing margin compression as deposit costs rise and navigating intense competition from larger regional banks and digital entrants. Continued investment in technology, digital capabilities and selective market expansion should position Uwharrie to capture additional market share in its North Carolina markets, though local economic sensitivity warrants vigilant credit monitoring.