Jeff Dick: Well, good afternoon and thank you for joining our virtual earnings webcast. My name is Jeff Dick, I'm the chairman and CEO of MainStreet Bancshares, Inc. and Main Street Bank. I'm joined here today with our Chief Lending Officer, Tom Floyd; our Chief Accountant, Alex Vari, and of course our CFO, Tom Chmelik. If you'd like, you can submit written questions throughout the presentation using the viewing portal. We will address your questions at the end of this presentation. If you miss, if we miss your questions during the discussion, please reach out after the webcast. Chris Marinac will not be joining us on the call today.
He did submit questions in advance, and we will address them after the session. Also Matt Breese of Stephens, Inc., no longer provides coverage for our company. We'd be remiss if we didn't point you to our Safe Harbor page that describes the content of the forward-looking statements. We use certain non-GAAP measures which are identified as such within the presentation materials. The DC market is still a great place to do business. We always talk about the strength of our market, because we are in a region that hosts the federal government or we do also have world-class universities, hospital systems, airports, tourism, data centers, and at least 16, 14 Fortune 500 companies.
As such, we also have low unemployment and high median household income for our workforce. Slide four reminds you of our growth story over the past 20-years. I think there's an interesting correlation to be made from our early years to the present time. We started with a technology strategy of putting our bank in our customer's office. You may recall back in 2004 that the Check 21 Act became law shortly after we opened, which allows -- allowed for the remote deposit of a digital image of a Check. Acquiring customers with the concept of scanning and remotely depositing checks using our online banking solution wasn't easy. It was new.
When we first met with a possible customer, we would give them the presentation and they would typically reply with, well, that's interesting. Let me know when you have a branch nearby. We persevered. It took a while to get customers comfortable with our solution. Once they had it, they couldn't do without it. Growth was slow in the beginning, but it quickly picked up. All these years later, we are still the largest provider of remote deposit of any bank serviced by our core processor, Jack Henry. Today, we're in a similar situation. We have a great solution. We need to get it in front of the right customers in order to grow.
We're working harder than ever to make that happen. We are a Virginia Community Bank serving the Washington DC Metropolitan area, and we have a great organic growth story using a branch light strategy. We've always been a tech forward bank with strong online and mobile banking technology. We are traded on the NASDAQ Capital Market Exchange. As of year-end 2024, we had a market cap of a $138 million with slightly more than 7.6 million shares outstanding. Our tangible book value was $23.77. Slide seven provides an overview of the intangible impairment determination that the Board and management recently positioned. We determined that the implementation delays affected our expectations for the Venue software-as-a-service solution.
After the accounting team put together its impairment analysis, the board and management agreed with their conclusions to fully impair the capitalized intangible assets. Alex will talk you through this process in just a few minutes. Before I turn things over to Alex, you'll see that the three key issues we'll be addressing in today's presentation are focused on the impact of our intangible capitalized asset, the good progress that we've made in working through our small number of work out and the outlook for Venue. At this point, I will turn the presentation over to Alex Vari. Alex is our Chief Accountant, he works closely with Thomas Chmelik to ensure the accuracy of all of our books and records.
Alex is going to talk you through the impairment process, as well as financial performance. Alex?
Alex Vari: Thank you, Jeff. On slide eight, we summarize our financial performance over the past four quarters, as well as for the fiscal year 2024. For the year, we are reporting a loss of [Technical Difficulty] $1.60, our return on average assets of negative [0.47%] (ph), a return on average equity of negative 4.44%, and a net interest margin of 3.13%. Our performance ratios were impacted by an impairment of our intangible assets recognized during the fourth quarter. As you will see later in the slide deck, we provide core performance ratios after the non-recurring adjustment. As we discussed in our quarterly calls earlier this year, our ratios were also directly impacted by taking action on a handful of problem loans.
We have made significant progress finding solutions to non-performing loans, and we remain strongly capitalized and look forward to the opportunities we have in 2025. During 2024, we reversed $1.9 million of interest income, and we had net charge offs of $4.5 million, an additional $2.9 million of provision expense was added to ensure the allowance for credit losses remains directionally consistent for portfolio growth and our recent history. As you can see, the non-recurring credit issuances impact our earnings per common share by $0.67, our return on average assets [Technical Difficulty] by 24 basis points, our return on average equity by 224 basis points, and our net interest margin by 8 basis points.
As we will discuss later in the presentation, our credit metrics will drive improvement in our key performance ratios and will be reflected in our overall allowance for credit losses as it returns to our historical average. During the fourth quarter, as the Board and Management balanced Venue's 2025 gross demand and expense run rate, we made tough decisions about carrying back development personnel and focusing on revenue generation. Those conversations triggered a discussion about whether our changes constituted the need for an impairment analysis to be performed in accordance with Generally Accepted Accounting Principles, or GAAP. In agreement with that accounting analysis, we wrote the intangible assets to zero, effective as the end of the fiscal year.