AUBN

AUBN is a 117-year-old East Alabama community bank (AuburnBank) that does exactly what you'd expect: grind out net interest income from a $1.02B balance sheet. FY2025 net earnings rose to $7.25M ($2.08 diluted EPS) from $6.40M ($1.83), a 13.7% EPS gain driven by margin expansion — the MD&A reports tax-equivalent net interest income up 9% to $29.7M and net interest margin widening to 3.27% from 3.06% on better asset yields and a lower cost of interest-bearing deposits. Ignore the headline 'revenue $619K / P/S 153.8 / net margin 1172%' line; that is a mis-tagged XBRL field. The bank's real total revenue is $32.8M, and the economics are a normal bank's, not a software company's. Capital is a genuine strength: equity grew 17.6% to $92.1M, the total risk-based capital ratio is 17.14% and CET1 is 16.06% — comfortably 'well capitalized' — and cash swelled 58% to $148M.

The problem is quality of returns, not solvency. ROE is just 7.9%, below most banks' cost of equity, and earnings are lumpy — net income swung from $8.04M (2021) to $10.3M (2022) to a depressed $1.40M (2023) before recovering. The 2025 provision for credit losses jumped to $631K from $36K, which the MD&A ties to two individually-evaluated loans (one specific reserve, one partial charge-off); the allowance is a reasonable 1.27% of loans, so this is idiosyncratic rather than systemic, but it shows how a tiny loan book makes results bumpy. Noninterest income also slipped to $3.1M from $3.5M on weaker mortgage lending.