Condensed Financial Statements of Parent Company

12 Months Ended

Dec. 31, 2022

NOTE 17. Condensed Financial Statements of Parent Company

Financial information pertaining to Old Point Financial Corporation (parent company only) is as follows:

Balance Sheets	December 31,
(dollars in thousands)	2022			2021
Assets
Cash and cash equivalents	$	12,255		$	20,012
Securities available-for-sale		-			-
Investment in common stock of subsidiaries		115,303			130,123
Other assets		1,291			808
Total assets	$	128,849		$	150,943

Liabilities and Stockholders’ Equity
Other borrowings	$	29,538		$	29,407
Other liability		577			718
Common stock		24,761			26,006
Additional paid-in capital		16,593			21,458
Retained earnings		78,147			71,679
Accumulated other comprehensive income (loss)		(20,767	)		1,675
Total liabilities and stockholders’ equity	$	128,849		$	150,943

Statements of Income	Years Ended December 31,
(dollars in thousands)	2022			2021
Income:
Dividends from subsidiary	$	3,250		$	3,975
Other income		200			201
Total income		3,450			4,176

Expenses:
Salary and benefits		691			667
Subordinated debt		1,181			549
Legal expenses		298			274
Service fees		142			146
Other operating expenses		122			87
Total expenses		2,434			1,723
Income before income taxes and equity in undistributed net income of subsidiaries		1,016			2,453
Income tax benefit		(469	)		(319	)
		1,485			2,772
Equity in undistributed net income of subsidiaries		7,623			5,668
Net income	$	9,108		$	8,440

Statements of Cash Flows	Years Ended December 31,
(dollars in thousands)	2022			2021
Cash flows from operating activities:
Net income	$	9,108		$	8,440
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed net income of subsidiaries		(7,623	)		(5,668	)
Amortization of subordinated debt issuance costs		131			60
Stock compensation expense		37			32
Increase in other assets		(104	)		(40	)
(Decrease) increase in other liabilities		(140	)		655
Net cash provided by operating activities		1,409			3,479

Cash flows from investing activities:
Cash distributed to subsidiary		-			(10,000	)
Net cash used in investing activities		-			(10,000	)

Cash flows from financing activities:
Proceeds from sale of stock		129			103
Proceeds from borrowings		-			29,347
Repayment of borrowings		-			(1,350	)
Repurchase and retirement of common stock		(6,655	)		(150	)
Cash dividends paid on common stock		(2,640	)		(2,620	)
Net cash provided by (used in) financing activities		(9,166	)		25,330

Net increase (decrease) in cash and cash equivalents		(7,757	)		18,809

Cash and cash equivalents at beginning of year		20,012			1,203
Cash and cash equivalents at end of year	$	12,255		$	20,012