Letter to shareholders
To our shareholders:
Quillan Falls Savings Bank finished its 114th year in good shape. Net income for 2025 was $5.45 million, or $2.24 per diluted share, up 10.9% from $4.91 million, or $2.01 per share, in 2024. We paid dividends of $0.92 per share, up from $0.86, and book value per share rose 7.6% to $26.02.
The main driver was our net interest margin, which widened to 3.23% from 3.09% as loans made in the low-rate years repriced and deposit costs leveled off. Net interest income rose 6.5% to $18.8 million.
Net loans grew 4.2% to $459.8 million, led by farm real estate and owner-occupied commercial loans in Marder and Ashby counties. Deposits grew 2.8% to $541.2 million, all from customers in our market; we use no brokered deposits. Nonperforming assets fell to 0.35% of total assets.
Capital remains well above regulatory requirements. The Bank’s Tier 1 leverage ratio was 10.2% at year-end. We repurchased 13,000 shares during 2025, and in February 2026 the board raised the quarterly dividend to $0.24 per share.
This year we are finishing the move to a new core banking system, which brings better online and mobile banking, and we will renovate our Ashby branch. We expect loans to keep growing at a measured pace and the margin to improve modestly, though both depend on interest rates and the farm economy.
Thank you for your confidence in the bank. We hope to see you at the annual meeting in October.
Margaret E. HalvorsenChair of the Board
Thomas R. KesslingPresident and Chief Executive Officer
March 2026
2025 at a glance
- Net income
- $5.45 million, up 10.9%
- Diluted earnings per share
- $2.24, up from $2.01
- Dividends per share
- $0.92, 41% of diluted earnings
- Return on average equity
- 8.93%
- Book value per share
- $26.02, up 7.6%
- Tier 1 leverage ratio (Bank)
- 10.2%
Selected financial data
| Item | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Net income ($000s) | 5,445 | 4,912 | 5,068 | 5,391 | 4,847 |
| Diluted earnings per share | $2.24 | $2.01 | $2.07 | $2.19 | $1.96 |
| Dividends per share | $0.92 | $0.86 | $0.80 | $0.74 | $0.68 |
| Book value per share | $26.02 | $24.18 | $22.61 | $21.07 | $23.35 |
| Total assets ($M) | 631.5 | 611.0 | 598.7 | 584.2 | 571.6 |
| Total deposits ($M) | 541.2 | 526.4 | 515.9 | 509.3 | 492.8 |
| Net loans ($M) | 459.8 | 441.3 | 428.6 | 402.7 | 377.4 |
| Shareholders’ equity ($M) | 63.1 | 58.9 | 55.3 | 51.7 | 57.5 |
| Return on average assets | 0.88% | 0.81% | 0.86% | 0.93% | 0.86% |
| Return on average equity | 8.93% | 8.60% | 9.47% | 9.87% | 8.60% |
| Net interest margin | 3.23% | 3.09% | 3.22% | 3.35% | 3.30% |
| Nonperforming assets to total assets | 0.35% | 0.41% | 0.44% | 0.52% | 0.61% |
At or for the years ended December 31. Balance-sheet figures at year-end.
The decline in book value per share in 2022 reflects unrealized losses on securities available for sale as interest rates rose. Those losses have been narrowing as the securities approach maturity.
Quarterly results, 2025
| Item | Net income | Diluted EPS | Dividends |
|---|---|---|---|
| Q1 | 1,270 | $0.52 | $0.23 |
| Q2 | 1,318 | $0.54 | $0.23 |
| Q3 | 1,402 | $0.58 | $0.23 |
| Q4 | 1,455 | $0.60 | $0.23 |
| Year | 5,445 | $2.24 | $0.92 |
Net income in thousands of dollars. Dividends declared per share. Quarterly per-share amounts add to the full-year total.
Financial statements
The consolidated financial statements for 2025, with the report of Fenwright & Doyle, LLP, independent auditors, are in the full annual report. On a live site the full report is a download here.
About Quillan Falls Bancorp, Inc.
Quillan Falls Bancorp, Inc. is the holding company for Quillan Falls Savings Bank, founded in 1911 and based in Quillan Falls, Wisconsin. The bank serves Marder and Ashby counties from nine branches. The company’s common stock is quoted on the OTCQX Best Market under the symbol QFLB. The company reports under OTC Markets’ Alternative Reporting Standard and does not file reports with the Securities and Exchange Commission.
Forward-looking statements
This report contains forward-looking statements, including statements about net interest margin, loan and deposit growth, credit quality, dividends and capital. They are based on management’s current expectations and are subject to risks and uncertainties, including changes in interest rates, local economic and agricultural conditions, competition, regulation and the value of the securities portfolio. Actual results may differ materially. Quillan Falls Bancorp undertakes no obligation to update any forward-looking statement after the date it is made.