Rhinebeck Bancorp Reports Q1 2026 Financial Results with $2.2 Million Net Income

Rhinebeck Bancorp, Inc. reported its financial results for the first quarter of 2026, revealing a net income of $2.2 million, a slight decrease from $2.3 million in the same period last year. Earnings per share remained stable at $0.20, compared to $0.21 in the prior year. The company's total interest and dividend income decreased marginally by $27,000 to $16.6 million, while interest expense also fell by $184,000 to $5.4 million. This resulted in a net interest income of $11.2 million, reflecting a 1.4% increase from the previous year, primarily due to lower costs on interest-bearing liabilities.

Total assets for Rhinebeck Bancorp decreased by $16.9 million, or 1.3%, to $1.28 billion as of March 31, 2026. This decline was largely attributed to a $16.6 million reduction in loans receivable, which fell to $936.8 million, and a $6.0 million decrease in available-for-sale securities. The company strategically reduced its indirect automobile loans by $17.7 million, which constituted 15.3% of total assets at the end of the quarter, down from 16.4% at the end of 2025. Total liabilities also decreased by $18.7 million, or 1.6%, to $1.15 billion, driven by a significant reduction in Federal Home Loan Bank advances.

Deposits increased by $6.2 million, or 0.6%, to $1.10 billion, with interest-bearing deposits rising by $7.8 million. The company reported a notable increase in certificates of deposit and NOW accounts, while non-interest-bearing deposits saw a slight decline. The total stockholders' equity rose by $1.8 million, or 1.3%, to $138.6 million, bolstered by the net income generated during the quarter, despite an increase in accumulated other comprehensive loss.

Operationally, Rhinebeck Bancorp's non-interest income fell by 16.3% to $1.5 million, primarily due to a decrease in interest rate swap income and investment advisory fees. Non-interest expenses increased by 2.4% to $9.7 million, driven by higher salaries and benefits, occupancy costs, and data processing expenses. The company continues to focus on managing its interest rate risk and maintaining liquidity, with cash and cash equivalents increasing by 10.7% to $112.9 million.

Looking ahead, Rhinebeck Bancorp remains cautious about market conditions and the potential impact of economic fluctuations on its operations. The company is committed to strategic adjustments in its loan portfolio and maintaining a strong capital position to navigate the evolving financial landscape.