Northeast Bank (NASDAQ:NBN) Q4 2023 Earnings Conference Call July 25, 2023 10:00 AM ET
Company Participants
Richard Wayne - President & CEO
Patrick Dignan - Chief Operating Officer
Jean-Pierre Lapointe - SVP & CFO
Conference Call Participants
Alexander Twerdahl - Piper Sandler
Operator
Good day, and thank you for standing by. Welcome to the Northeast Bank Fourth Quarter Fiscal Year 2023 Earnings Call. At this time, all participants are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded.
I will now like to hand the conference over to your speaker today, Rick Wayne, CEO. Please go ahead.
Richard Wayne
Good morning and thank you all for joining us today. I am Rick Wayne, the Chief Executive Officer of Northeast Bank. And with me on the call are JP Lapointe, our Chief Financial Officer; and Pat Dignan, our Chief Credit Officer and Executive Vice President. After my comments, JP, Pat and I will be happy to answer your questions. I'm going to reference in my comments, the investor deck that was uploaded last night.
Starting with Slide number 3, under the heading financial highlights. For the quarter, we purchased $48.8 million of loans with a UPB of $54.3 million. Make a few comments on that volume. It's a -- typically, the June 30 quarter is not the busiest in the year. And if you go back and look at all of the quarters from over the last five years, it's pretty close to the highest amount for that quarter. It was a $19 million increase over the March 31 quarter. And when we take a look at the activity and so always back up. So that, I think, is a pretty good number. Absent the large transactions that we had in the fourth calendar quarter of 2022, it's more or less the run rate we've been for many years.
We did see during the quarter some big transactions that had come to market, but -- and that is generally true that the bid ask is pretty wide between sellers and buyers. And so it didn't meet our pricing expectations. And so therefore, we didn't bid on those. We would expect, based on what we see in the market, that the gap between the bid and the ask will narrow and there'll be more opportunities to take a look at those. We originated $84.2 million in the quarter as well. Our originated loan book which is -- and was therefore -- our balances were fairly flat with the linked quarter. But over the year, our originated loan book increased $229 million or 30% from the balance on June 30, 2022.