PARENT COMPANY FINANCIAL INFORMATION

12 Months Ended

Dec. 31, 2024

PARENT COMPANY FINANCIAL INFORMATION

PARENT COMPANY FINANCIAL INFORMATION

NOTE 20 — PARENT COMPANY FINANCIAL INFORMATION

Condensed financial information for First Keystone Corporation (parent company only) was as follows:

BALANCE SHEETS

(Dollars in thousands)

.
	December 31,
	2024		2023
ASSETS
Cash	$	4,124	$	9,753
Investment in banking subsidiary		125,239		135,301
Marketable equity securities		1,587		1,482
Prepaid expenses and other assets		512		551
TOTAL ASSETS	$	131,462	$	147,087
LIABILITIES
Receivable from banking subsidiary	$	(547)	$	(307)
Subordinated debentures		25,000		25,000
Accrued expenses and other liabilities		258		779
TOTAL LIABILITIES		24,711		25,472
STOCKHOLDERS’ EQUITY
Common stock		12,901		12,705
Surplus		45,072		44,004
Retained earnings		80,148		100,260
Accumulated other comprehensive loss		(25,661)		(29,645)
Treasury stock, at cost		(5,709)		(5,709)
TOTAL STOCKHOLDERS’ EQUITY		106,751		121,615
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	131,462	$	147,087

STATEMENTS OF (LOSS) INCOME

(Dollars in thousands)

	Years Ended December 31,
	2024		2023
INCOME
Dividends from subsidiary bank	$	1,760	$	1,526
Net securities gains (losses)		105		(217)
Other income		79		94
TOTAL INCOME		1,944		1,403
EXPENSE
Interest on subordinated debt		1,094		1,094
Other expense		256		217
TOTAL EXPENSE		1,350		1,311
INCOME BEFORE INCOME TAX BENEFIT		594		92
INCOME TAX BENEFIT		(251)		(303)
		845		395
EQUITY IN UNDISTRIBUTED (LOSSES) EARNINGS OF BANKING SUBSIDIARY		(14,048)		5,165
NET (LOSS) INCOME	$	(13,203)	$	5,560

STATEMENTS OF COMPREHENSIVE (LOSS) INCOME

(Dollars in thousands)

	Years Ended December 31,
	2024		2023
Net (Loss) Income	$	(13,203)	$	5,560
Other comprehensive income (loss):
Equity in other comprehensive income (loss) of banking subsidiary		4,015		(87)
Total other comprehensive income (loss)		4,015		(87)
Total Comprehensive (Loss) Income	$	(9,188)	$	5,473

STATEMENTS OF CASH FLOWS

(Dollars in thousands)

	Years Ended December 31,
	2024		2023
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (loss) income	$	(13,203)	$	5,560
Adjustments to reconcile net income to net cash provided by operating activities:
(Gains) losses on securities		(105)		217
Deferred income tax expense (benefit)		27		(88)
Equity in undistributed losses (earnings) of banking subsidiary		14,048		(5,165)
(Decrease) increase in prepaid/accrued expenses and other assets/liabilities		(509)		869
Decrease in advances from banking subsidiary		(242)		(474)
NET CASH PROVIDED BY OPERATING ACTIVITIES		16		919
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from sales of equity securities		—		—
NET CASH PROVIDED BY INVESTING ACTIVITIES		—		—
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of common stock		1,264		1,754
Dividends paid		(6,909)		(6,780)
NET CASH USED IN FINANCING ACTIVITIES		(5,645)		(5,026)
DECREASE IN CASH AND CASH EQUIVALENTS		(5,629)		(4,107)
CASH AND CASH EQUIVALENTS, BEGINNING		9,753		13,860
CASH AND CASH EQUIVALENTS, ENDING	$	4,124	$	9,753