Peoples Bancorp of North Carolina, Inc. reported unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2015. For the quarter, the company reported total interest income of $9,960,000 compared to $9,717,000 a year ago. Net interest income was $9,110,000 compared to $8,703,000 a year ago. Earnings before income taxes were $2,801,000 compared to $1,440,000 a year ago. Net earnings were $2,188,000 compared to $1,816,000 a year ago. Diluted earnings per share were $0.39 against $0.32 per share a year ago. Return on average assets was 0.83% compared to 0.68% a year ago. Return on average shareholders' equity was 8.26% compared to 7.32% a year ago. The increase in net interest income was primarily due to a $243,000 increase in interest income, which was primarily attributable to an increase in the average outstanding balance of loans, and a $164,000 decrease in interest expense, which was primarily attributable to a decrease in the average outstanding balances of FHLB borrowings and time deposits during the three months ended December 31, 2015, as compared to the same period one year ago.

For the year, the company reported total interest income of $38,666,000 compared to $38,420,000 a year ago. Net interest income was $35,199,000 compared to $34,133,000 a year ago. Earnings before income taxes were $12,733,000 compared to $11,325,000 a year ago. Net earnings were $9,633,000 compared to $9,388,000 a year ago. Diluted earnings per share were $1.72 against $1.66 per share a year ago. Return on average assets was 0.93% compared to 0.91% a year ago. Return on average shareholders' equity was 9.03% compared to 9.69% a year ago. Book value was $19.03 as on December 31, 2015 compared to $17.58 as on December 31, 2014. The increase in year-to-date earnings is primarily attributable to an increase in net interest income and an increase in non-interest income, which were partially offset by a decrease in the credit to the provision for loan losses and an increase in non-interest expense.

For the quarter, the company reported charge-offs of $668,000 against $718,000 a year ago.