Premises and Equipment

6 Months Ended

Dec. 31, 2020

Premises and Equipment

Premises and Equipment

Note 7 – Premises and Equipment

The components of premises and equipment are as follows as of December 31, 2020 and June 30, 2020:

	December 31,		June 30,
(Dollars in thousands)	2020		2020
Land	$	2,581	$	4,144
Office buildings and improvements		12,701		14,493
Furniture, fixtures and equipment		2,325		1,918
Automobiles		50		50
		17,657		20,605
Accumulated depreciation		(4,114)		(3,872)
	$	13,543	$	16,733

Depreciation expense amounted to $219 thousand and $528 thousand for the three and six months ended December 31, 2020, respectively. Depreciation expense amounted to $111 thousand and $210 thousand for the three and six months ended December 31, 2019, respectively.

During the six months ended December 31, 2020, William Penn Bancorp transferred six properties from premises and equipment with a total carrying value of approximately $3.2 million to the held for sale classification included in other assets on its consolidated statement of financial condition. William Penn Bancorp sold five of the six properties prior to December 31, 2020 and is actively marketing the one property that remains in the held for sale classification in other assets on its consolidated statement of financial condition. During the three and six months ended December 31, 2020, William Penn Bancorp recorded $454 thousand and $469 thousand, respectively, of net gains on the sale of premises and equipment. William Penn Bancorp did not sell any premises and equipment during the three and six months ended December 31, 2019.