![]() Recent progress on one of the facilities provides us guarded optimism that we could recognize a provision reversal later in the year which would be further accretive to income. Our Allowance for Credit Losses as of Mastood at 1.53% of total loans with net provision expense of $2.405 million during the quarter that was largely reflective of specific reserves on the two credits previously mentioned. Past dues remain historically low, and core earnings remain strong. Uncertain economic conditions will likely continue in the coming quarters and our current credit quality measures put us in a strong position to successfully navigate these potential challenges. ![]() Overall core credit quality continues to remain strong with non-performing loans as a percentage of total loans at 0.79% versus 0.62% at quarter end March 2022. ![]() While we anticipate margin compression throughout the remainder of 2023, measured growth in our loan portfolio coupled with prudent expense management will continue to drive revenue growth in the coming quarters. We expect this negative earnings trend to discontinue for the balance of the year, having provided sufficient reserves for the credits as previously mentioned. The company recorded a Return on Average Common Stockholder's Equity of 6.44% versus 9.03% for the same period last year, a 41.49% decrease year over year which represents Earnings per Common Share of $0.55 versus $0.94. Net interest income increased $2.164 million or 21.24% over first quarter 2022 results. The decrease was driven by isolated specific reserves on two unique sector credits. Core first quarter 2023 results reported net income of $1.951 million, a decrease of $1.406 million over the same period last year.
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