Mechanics & Farmers Bank maintained its long-running streak of posting an annual profit in 2014.
Durham-based M&F Bancorp, the bank’s corporate parent, reported net income of $810,000, or 34 cents per share, for all of 2014. That’s up from $126,000, or 6 cents per share, in 2013.
Net income for the year after excluding dividends paid to the U.S. Treasury stemming from federal stimulus money the bank received in 2009 totaled $1 million, up from $363,000 in 2013.
Randy Hall, the company’s chief financial officer, attributed the improved net income to a $279,000 reduction in the provision for loan losses, lower overhead and a $514,000 gain from the liquidation of a foreclosed asset.
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Mechanics and Farmers Bank opened its first branch in 1908 and has been profitable every year since.
“We’re very proud of that,” Hall said.
The bank has seven branches statewide, including two each in Durham and Raleigh.