Middlefield Banc Corp. reported unaudited consolidated financial results for the fourth quarter and year ended December 31, 2014. For the quarter, the company reported interest and fees on loans of $5,811,000 compared to $5,620,000 a year ago. Total interest income was $7,055,000 compared to $7,043,000 a year ago. Net interest income was $6,050,000 compared to $5,907,000 a year ago. Income before income taxes was $2,438,000 compared to $2,321,000 a year ago. Net income was $1,888,000 or $0.92 per basic and diluted common share compared to $1,821,000 or $0.90 per basic and diluted common share a year ago. Return on average assets was 1.10% compared to 1.10% a year ago. Return on average equity was 11.98% compared to 13.45% a year ago.

For the year, the company reported interest and fees on loans of $22,726,000 compared to $22,496,000 a year ago. Total interest income was $27,874,000 compared to $28,178,000 a year ago. Net interest income was $23,804,000 compared to $22,928,000 a year ago. The third quarter and nine month increases in net interest income were driven by a reduction in funding costs, primarily time deposits. Income before income taxes was $9,172,000 compared to $9,007,000 a year ago. Net income was $7,180,000 or $3.50 per diluted common share compared to $7,028,000 or $3.47 per diluted common share, a year ago. Book value per share as on December 31, 2014 was $31.12 compared to $26.31 as on December 31, 2013. Tangible book value per share as on December 31, 2014 was $28.84 compared to $23.99 as on December 31, 2013. Return on average assets was 1.07% compared to 1.06% a year ago. Return on average equity was 12.17% compared to 13.17% a year ago. The fourth quarter and twelve month increases in net interest income were driven by a reduction in funding costs, primarily time deposits.