Camden National Corporation Reports Record Quarterly Net Income of $23.0 Million and Diluted EPS of $1.35 for the Second Quarter of 2026
Camden National Corporation CAC | 0.00 |
Record earnings reflect continued momentum and improved profitability
CAMDEN, Maine, July 28, 2026 /PRNewswire/ -- Camden National Corporation (NASDAQ: CAC; "Camden National" or the "Company") reported net income of $23.0 million and diluted earnings per share ("EPS") of $1.35 for the quarter ended June 30, 2026, resulting in a return on average assets of 1.33%, a return on average equity of 12.92%, and a return on average tangible equity (non‑GAAP) of 18.47%.
"Our record quarterly earnings reflect the momentum we are building across the franchise as we execute on our long-term strategy," said Simon Griffiths, President and Chief Executive Officer of Camden National Corporation. "Through continued investment in talent and focused efforts to deepen customer relationships, we delivered 3% annualized loan growth during the quarter and strong revenue performance across our complementary business lines. We enter the second half of the year with confidence in our strategy, disciplined execution, and a continued commitment to creating long-term value for our shareholders."
For the first six months of 2026, the Company reported record net income of $44.9 million and diluted EPS of $2.64, compared to $21.4 million and $1.26, respectively, for the six months ended June 30, 2025. Results benefited from the successful integration and earnings contribution of Northway Financial, Inc., acquired on January 1, 2025, as well as continued growth in core business activities. On a non-GAAP basis, adjusted pre-tax, pre-provision income increased 19% to $58.7 million for the six months ended June 30, 2026.
SECOND QUARTER 2026 HIGHLIGHTS
- Net income and diluted EPS for the second quarter of 2026 each increased 5% over the first quarter of 2026.
- Total revenue for the second quarter of 2026 increased 5% over the first quarter of 2026, driven by net interest margin expansion of 2 basis points to 3.26% and strong non-interest income growth of 21%.
- The GAAP efficiency ratio for the second quarter was 55.42%, and the non-GAAP efficiency ratio was 53.23%, compared to 55.50% and 53.21%, respectively, for the first quarter of 2026.
- Loans grew 1% during the second quarter of 2026, and the committed loan pipeline increased 45% from the first quarter of 2026.
- Book value per share increased to $42.96 and tangible book value per share (non-GAAP) increased to $31.64 at June 30, 2026, from $41.98 and $30.58, respectively, at March 31, 2026.
- The Company repurchased 52,000 shares of its common stock at a weighted-average price of $47.64 per share during the second quarter of 2026.
FINANCIAL OPERATING RESULTS (Q2 2026 vs. Q1 2026)
Net interest income for the second quarter of 2026 totaled $52.9 million, an increase of 1% from the first quarter of 2026. Net interest margin expanded 2 basis points on a linked-quarter basis to 3.26% for the second quarter of 2026, driven by lower funding costs. On a non-GAAP basis, core net interest margin increased 5 basis points over the same period to 2.97% for the second quarter of 2026. For the second quarter of 2026, net fair value mark accretion income of $4.0 million was recognized, a decrease of $335,000 from the first quarter of 2026.
Provision expense was $710,000 for the second quarter of 2026, compared to $553,000 for the first quarter of 2026. During the second quarter of 2026, loans grew 1% while asset quality remained strong, as evidenced by an annualized net charge-offs-to-average-loans ratio of 0.04% for the quarter.
Non-interest income for the second quarter of 2026 totaled $14.5 million, an increase of $2.5 million, or 21% compared to the first quarter of 2026. Quarter-over-quarter, revenue across all non-interest income categories increased, including deposit customer-related revenue, debit card income, and our wealth and brokerage businesses. As of June 30, 2026, assets under administration across our wealth and brokerage businesses totaled $2.6 billion, an increase of 13% over the same period a year ago.
Non-interest expense for the second quarter of 2026 totaled $37.4 million, a 5% increase compared to the first quarter of 2026. The increase was primarily driven by annual salary increases and the timing of our annual director equity award grant and recognition event for our top-performing sales team members, both of which occur in the second quarter each year. The Company's GAAP and non‑GAAP efficiency ratios for the second quarter of 2026 were 55.42% and 53.23% compared to 55.50% and 53.21%, respectively, for the first quarter of 2026.
FINANCIAL CONDITION
Total assets were $7.0 billion at both June 30, 2026 and March 31, 2026.
Investments totaled $1.4 billion at June 30, 2026, representing a 1% decrease from March 31, 2026.
Total loans were $5.0 billion as of June 30, 2026, an increase of 1% from March 31, 2026, driven by increases in our home equity and commercial loan portfolios of 7% and 4%, respectively, during the quarter. The Company ended the second quarter with a committed loan pipeline of $185.7 million, up 45% from the prior quarter.
The Company's asset quality remained strong during the quarter, with past-due loans representing 0.15% and non-performing loans 0.24% of total loans at June 30, 2026. The allowance for credit losses ("ACL") on loans was 0.91% of total loans, compared with 0.92% at March 31, 2026. The ACL coverage ratio was 3.8 times non-performing loans as of June 30, 2026, compared to 4.2 times as of March 31, 2026.
Deposits totaled $5.6 billion at June 30, 2026, representing a 1% decrease from March 31, 2026, driven by lower brokered deposits and certificates of deposit as the Company continued to optimize its funding mix. Core deposits remained stable during the quarter, supported by continued growth in the Company's high-yield savings product and the durability of its customer deposit base. As of June 30, 2026, the Company's loan-to-deposit ratio was 90%, compared with 89% at March 31, 2026.
As of June 30, 2026, the Company maintained capital ratios well in excess of all regulatory requirements, including a Common Equity Tier 1 ratio of 12.19%, a Tier 1 risk-based ratio of 13.48%, a total risk-based ratio of 14.43%, and a Tier 1 leverage ratio of 9.66%.
For the first six months of 2026, the Company repurchased 85,131 shares at a weighted average price of $46.55 per share under its share repurchase program.
The Company announced a cash dividend of $0.42 per share, representing an annualized dividend yield of 3.10%, based on the Company's closing share price of $54.22 as reported by NASDAQ on June 30, 2026. The dividend will be payable on July 31, 2026, to shareholders of record on July 15, 2026.
Q2 2026 CONFERENCE CALL
Camden National Corporation will host a conference call and webcast at 3:00 p.m. Eastern Time on Tuesday, July 28, 2026, to discuss its second quarter of 2026 financial results and outlook. Participants should dial into the call 10 - 15 minutes before it begins. Information about the conference call is as follows:
Live dial-in (Domestic): (833) 461-5787
Link to obtain live dial-in
(All other locations): https://help.events.q4inc.com/eahc/international-dial-in-numbers
Meeting ID: 727 027 679
Live webcast URL: https://events.q4inc.com/attendee/727027679
A link to the live webcast will be available on Camden National's website under "Resources — Investor Relations" at CamdenNational.bank before the meeting, and a replay of the webcast will be available on Camden National's website following the conference call. The conference call transcript will also be available on Camden National's website approximately two days after the conference call.
ABOUT CAMDEN NATIONAL CORPORATION
Camden National Corporation (NASDAQ: CAC) is Northern New England's largest publicly traded bank holding company, with $7.0 billion in assets. Founded in 1875, Camden National Bank has 72 banking centers in Maine and New Hampshire and is a full-service community bank offering the latest digital banking, complemented by award-winning, personalized service. Additional information is available at CamdenNational.bank. Member FDIC. Equal Housing Lender.
Comprehensive wealth management, investment, and financial planning services are delivered by Camden National Wealth Management.
FORWARD-LOOKING STATEMENTS
Certain statements contained in this press release that are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including certain plans, expectations, goals, projections, and other statements, which are subject to numerous risks, assumptions, and uncertainties. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like "believe," "expect," "anticipate," "estimate," and "intend" or future or conditional verbs such as "will," "would," "should," "could," or "may." Certain factors that could cause actual results to differ materially from expected results include weakness in the United States economy in general and the regional and local economies within the Northern New England regions, which could result in a deterioration of credit quality, an increase in the allowance for credit losses or a reduced demand for the Company's credit or fee-based products and services; changes in trade, monetary and fiscal policies and laws, including Federal Reserve interest rate policies or the imposition of tariffs or retaliatory tariffs and related litigation; increased competitive pressures, including continued industry consolidation and the increased financial services provided by non-banks; inflation; deterioration in the value of Camden National's investment securities; commercial real estate vacancies and their impact on the ability of borrowers to repay loans; changes in consumer spending and savings habits; volatility in the securities markets that could adversely affect the value or credit quality of the Company's assets, impairment of goodwill, or the availability and terms of funding necessary to meet the Company's liquidity needs; changes in information technology and other operational risks, including cybersecurity and artificial intelligence, that require increased capital spending and introduce additional risk; changes in tax, banking, securities and insurance laws and regulations; the outcome of pending and future litigation and governmental proceedings, including tax-related examinations and other matters; changes in accounting policies, practices and standards; the effects of climate change on the Company and its customers, borrowers or service providers; the effects of civil unrest, international hostilities, including the continuation of conflict in the Middle East, or other geopolitical events; the effects of epidemics and pandemics; turmoil and volatility in the financial services industry; actions taken by governmental agencies to stabilize the financial system and the effectiveness of such actions; increases in deposit insurance assessments due to bank failures; changes to regulatory capital requirements; questions about the soundness of one or more financial institutions with which the Company does business; changes in the securities markets and other risks and uncertainties disclosed in Camden National's Annual Report on Form 10-K for the year ended December 31, 2025, as updated by other filings with the Securities and Exchange Commission ("SEC"). Factors other than these risks could also materially affect the Company's financial results and performance, and readers should not consider the risks described above to be a comprehensive description of all potential risks and uncertainties that affect the Company. Readers should not place undue reliance on the Company's forward-looking statements. Camden National does not have any obligation to update forward-looking statements.
USE OF NON-GAAP MEASURES
In addition to evaluating the Company's results of operations in accordance with generally accepted accounting principles in the United States ("GAAP"), management supplements this evaluation with certain non-GAAP financial measures such as: adjusted net income; adjusted diluted earnings per share; adjusted return on average assets; adjusted return on average equity; pre-tax, pre-provision income; adjusted pre-tax, pre-provision income; return on average tangible equity and adjusted return on average tangible equity; the efficiency and tangible common equity ratios; core net interest margin; and tangible book value per share. Management utilizes these non-GAAP financial measures to measure our performance against our peer group and other financial institutions, and to analyze our internal performance. We also believe these non-GAAP financial measures help investors better understand the Company's operating performance and trends and allow for better performance comparisons with other financial institutions. In addition, these non-GAAP financial measures remove the impact of unusual items that may obscure trends in the Company's underlying performance. These disclosures should not be viewed as a substitute for GAAP operating results, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other financial institutions. Reconciliations to the comparable GAAP financial measures are included in this document.
ANNUALIZED DATA
Certain returns, yields and performance ratios are presented on an "annualized" basis. This is done for analytical and decision-making purposes to better discern underlying performance trends when compared to full-year or year-over-year amounts. Annualized data may not be indicative of any four-quarter period and is presented for illustrative purposes only.
Selected Financial Data |
||||||||||
(unaudited) |
||||||||||
At or For The Three Months Ended |
At or For The Six Months Ended |
|||||||||
(In thousands, except number of shares and per share data) |
June 30, |
March 31, |
June 30, |
June 30, |
June 30, |
|||||
Financial Condition Data |
||||||||||
Loans |
$ 5,004,468 |
$ 4,963,017 |
$ 4,931,369 |
$ 5,004,468 |
$ 4,931,369 |
|||||
Total assets |
6,950,980 |
6,961,581 |
6,920,044 |
6,950,980 |
6,920,044 |
|||||
Deposits |
5,555,104 |
5,585,352 |
5,514,712 |
5,555,104 |
5,514,712 |
|||||
Shareholders' equity |
725,926 |
710,007 |
652,148 |
725,926 |
652,148 |
|||||
Operating Data and Per Share Data |
||||||||||
Net income |
$ 23,021 |
$ 21,883 |
$ 14,081 |
$ 44,904 |
$ 21,407 |
|||||
Pre-tax, pre-provision income (non-GAAP)(1) |
30,051 |
28,630 |
24,680 |
58,681 |
40,283 |
|||||
Diluted EPS |
1.35 |
1.29 |
0.83 |
2.64 |
1.26 |
|||||
Profitability Ratios |
||||||||||
Return on average assets |
1.33 % |
1.28 % |
0.82 % |
1.31 % |
0.63 % |
|||||
Return on average equity |
12.92 % |
12.58 % |
8.77 % |
12.75 % |
6.80 % |
|||||
Return on average tangible equity (non-GAAP)(1) |
18.47 % |
18.17 % |
13.69 % |
18.32 % |
10.95 % |
|||||
GAAP efficiency ratio |
55.42 % |
55.50 % |
60.37 % |
55.46 % |
67.07 % |
|||||
Efficiency ratio (non-GAAP)(1) |
53.23 % |
53.21 % |
55.47 % |
53.22 % |
57.06 % |
|||||
Net interest margin (fully-taxable equivalent) |
3.26 % |
3.24 % |
3.06 % |
3.25 % |
3.05 % |
|||||
Core net interest margin (fully-taxable equivalent) (non- GAAP)(1) |
2.97 % |
2.92 % |
2.70 % |
2.94 % |
2.69 % |
|||||
Asset Quality Ratios |
||||||||||
ACL on loans to total loans |
0.91 % |
0.92 % |
1.08 % |
0.91 % |
1.08 % |
|||||
Non-performing loans to total loans |
0.24 % |
0.22 % |
0.37 % |
0.24 % |
0.37 % |
|||||
Capital Ratios |
||||||||||
Common equity ratio |
10.44 % |
10.20 % |
9.42 % |
10.44 % |
9.42 % |
|||||
Tangible common equity ratio (non-GAAP)(1) |
7.91 % |
7.64 % |
6.77 % |
7.91 % |
6.77 % |
|||||
Book value per share |
$ 42.96 |
$ 41.98 |
$ 38.54 |
$ 42.96 |
$ 38.54 |
|||||
Tangible book value per share (non-GAAP)(1) |
$ 31.64 |
$ 30.58 |
$ 26.90 |
$ 31.64 |
$ 26.90 |
|||||
Tier 1 leverage capital ratio |
9.66 % |
9.43 % |
8.74 % |
9.66 % |
8.74 % |
|||||
Total risk-based capital ratio |
14.43 % |
14.27 % |
13.35 % |
14.43 % |
13.35 % |
|||||
(1) |
This is a non-GAAP measure, please see "Reconciliation of non-GAAP to GAAP Financial Measures (unaudited)." |
Consolidated Statements of Condition Data |
||||||||||
(unaudited) |
||||||||||
(In thousands) |
June 30, |
March 31, |
June 30, |
% Change Jun 2026 vs. Mar 2026 |
% Change Jun 2026 vs. Jun 2025 |
|||||
ASSETS |
||||||||||
Cash, cash equivalents and restricted cash |
$ 99,900 |
$ 133,736 |
$ 113,815 |
(25) % |
(12) % |
|||||
Investments: |
||||||||||
Trading securities |
4,948 |
4,383 |
5,326 |
13 % |
(7) % |
|||||
Available-for-sale securities, at fair value |
892,153 |
901,617 |
860,217 |
(1) % |
4 % |
|||||
Held-to-maturity securities, at amortized cost |
463,318 |
473,257 |
509,298 |
(2) % |
(9) % |
|||||
Other investments |
23,433 |
23,411 |
26,879 |
— % |
(13) % |
|||||
Total investments |
1,383,852 |
1,402,668 |
1,401,720 |
(1) % |
(1) % |
|||||
Loans held for sale, at fair value |
13,890 |
17,618 |
22,567 |
(21) % |
(38) % |
|||||
Loans: |
||||||||||
Commercial real estate |
2,191,102 |
2,195,741 |
2,089,977 |
— % |
5 % |
|||||
Commercial |
431,211 |
414,694 |
506,883 |
4 % |
(15) % |
|||||
Residential real estate |
1,997,226 |
1,993,435 |
2,018,332 |
— % |
(1) % |
|||||
Home equity |
367,818 |
342,874 |
297,963 |
7 % |
23 % |
|||||
Consumer |
17,111 |
16,273 |
18,214 |
5 % |
(6) % |
|||||
Total loans |
5,004,468 |
4,963,017 |
4,931,369 |
1 % |
1 % |
|||||
Less: allowance for credit losses on loans |
(45,604) |
(45,576) |
(53,022) |
— % |
(14) % |
|||||
Net loans |
4,958,864 |
4,917,441 |
4,878,347 |
1 % |
2 % |
|||||
Goodwill and core deposit intangible assets |
191,377 |
192,731 |
197,031 |
(1) % |
(3) % |
|||||
Other assets |
303,097 |
297,387 |
306,564 |
2 % |
(1) % |
|||||
Total assets |
$ 6,950,980 |
$ 6,961,581 |
$ 6,920,044 |
— % |
— % |
|||||
LIABILITIES AND SHAREHOLDERS' EQUITY |
||||||||||
Liabilities |
||||||||||
Deposits: |
||||||||||
Non-interest checking |
$ 1,080,352 |
$ 1,077,696 |
$ 1,118,080 |
— % |
(3) % |
|||||
Interest checking |
1,755,545 |
1,770,622 |
1,663,335 |
(1) % |
6 % |
|||||
Savings and money market |
1,995,303 |
1,966,149 |
1,823,275 |
1 % |
9 % |
|||||
Certificates of deposit |
632,355 |
652,002 |
698,185 |
(3) % |
(9) % |
|||||
Brokered deposits |
91,549 |
118,883 |
211,837 |
(23) % |
(57) % |
|||||
Total deposits |
5,555,104 |
5,585,352 |
5,514,712 |
(1) % |
1 % |
|||||
Short-term borrowings |
508,386 |
513,429 |
599,367 |
(1) % |
(15) % |
|||||
Long-term borrowings |
1,000 |
1,000 |
— |
— % |
N.M. |
|||||
Junior subordinated debentures |
61,665 |
61,590 |
61,365 |
— % |
— % |
|||||
Accrued interest and other liabilities |
98,899 |
90,203 |
92,452 |
10 % |
7 % |
|||||
Total liabilities |
6,225,054 |
6,251,574 |
6,267,896 |
— % |
(1) % |
|||||
Commitments and Contingencies |
||||||||||
Shareholders' Equity |
||||||||||
Common stock, no par value |
213,018 |
214,693 |
214,365 |
(1) % |
(1) % |
|||||
Retained earnings |
575,804 |
559,885 |
515,662 |
3 % |
12 % |
|||||
Accumulated other comprehensive loss: |
||||||||||
Net unrealized loss on debt securities, net of tax |
(70,070) |
(71,141) |
(84,324) |
(2) % |
(17) % |
|||||
Net unrealized gain on cash flow hedging derivative instruments, net of tax |
6,656 |
6,042 |
6,045 |
10 % |
10 % |
|||||
Net unrecognized gain on postretirement plans, net of tax |
518 |
528 |
400 |
(2) % |
30 % |
|||||
Total accumulated other comprehensive loss |
(62,896) |
(64,571) |
(77,879) |
(3) % |
(19) % |
|||||
Total shareholders' equity |
725,926 |
710,007 |
652,148 |
2 % |
11 % |
|||||
Total liabilities and shareholders' equity |
$ 6,950,980 |
$ 6,961,581 |
$ 6,920,044 |
— % |
— % |
|||||
N.M. = Not meaningful |
Consolidated Statements of Income Data |
||||||||||
(unaudited) |
||||||||||
For The Three Months Ended |
||||||||||
(In thousands, except per share data) |
June 30, |
March 31, |
June 30, |
% Change Jun 2026 vs. Mar 2026 |
% Change Jun 2026 vs. Jun 2025 |
|||||
Interest Income |
||||||||||
Interest and fees on loans |
$ 67,258 |
$ 66,679 |
$ 67,477 |
1 % |
— % |
|||||
Taxable interest on investments |
10,245 |
10,296 |
10,257 |
— % |
— % |
|||||
Nontaxable interest on investments |
451 |
455 |
455 |
(1) % |
(1) % |
|||||
Dividend income |
377 |
413 |
493 |
(9) % |
(24) % |
|||||
Other interest income |
660 |
528 |
641 |
25 % |
3 % |
|||||
Total interest income |
78,991 |
78,371 |
79,323 |
1 % |
— % |
|||||
Interest Expense |
||||||||||
Interest on deposits |
22,305 |
21,648 |
24,594 |
3 % |
(9) % |
|||||
Interest on borrowings |
2,843 |
3,476 |
4,620 |
(18) % |
(38) % |
|||||
Interest on junior subordinated debentures |
904 |
889 |
900 |
2 % |
— % |
|||||
Total interest expense |
26,052 |
26,013 |
30,114 |
— % |
(13) % |
|||||
Net interest income |
52,939 |
52,358 |
49,209 |
1 % |
8 % |
|||||
Provision for credit losses |
710 |
553 |
6,920 |
28 % |
N.M. |
|||||
Net interest income after provision for credit losses |
52,229 |
51,805 |
42,289 |
1 % |
24 % |
|||||
Non-Interest Income |
||||||||||
Debit card income |
3,786 |
3,422 |
3,646 |
11 % |
4 % |
|||||
Service charges on deposit accounts |
2,701 |
2,158 |
2,405 |
25 % |
12 % |
|||||
Income from fiduciary services |
2,220 |
2,014 |
1,981 |
10 % |
12 % |
|||||
Brokerage and insurance commissions |
2,029 |
1,735 |
1,794 |
17 % |
13 % |
|||||
Bank-owned life insurance |
1,244 |
791 |
1,003 |
57 % |
24 % |
|||||
Mortgage banking income, net |
1,161 |
828 |
1,060 |
40 % |
10 % |
|||||
Other income |
1,329 |
1,032 |
1,178 |
29 % |
13 % |
|||||
Total non-interest income |
14,470 |
11,980 |
13,067 |
21 % |
11 % |
|||||
Non-Interest Expense |
||||||||||
Salaries and employee benefits |
20,030 |
19,615 |
19,392 |
2 % |
3 % |
|||||
Furniture, equipment and data processing |
4,791 |
4,644 |
4,294 |
3 % |
12 % |
|||||
Net occupancy costs |
2,789 |
3,059 |
2,693 |
(9) % |
4 % |
|||||
Debit card expense |
1,690 |
1,616 |
1,725 |
5 % |
(2) % |
|||||
Consulting and professional fees |
1,405 |
921 |
1,310 |
53 % |
7 % |
|||||
Amortization of core deposit intangible assets |
1,354 |
1,354 |
1,473 |
— % |
(8) % |
|||||
Regulatory assessments |
862 |
907 |
1,127 |
(5) % |
(24) % |
|||||
Other real estate owned and collection costs, net |
3 |
6 |
91 |
(50) % |
(97) % |
|||||
Merger and acquisition costs |
— |
— |
1,405 |
N.M. |
N.M. |
|||||
Other expenses |
4,434 |
3,586 |
4,086 |
24 % |
9 % |
|||||
Total non-interest expense |
37,358 |
35,708 |
37,596 |
5 % |
(1) % |
|||||
Income before income tax expense |
29,341 |
28,077 |
17,760 |
5 % |
65 % |
|||||
Income Tax Expense |
6,320 |
6,194 |
3,679 |
2 % |
72 % |
|||||
Net Income |
$ 23,021 |
$ 21,883 |
$ 14,081 |
5 % |
63 % |
|||||
Per Share Data |
||||||||||
Basic earnings per share |
$ 1.36 |
$ 1.29 |
$ 0.84 |
5 % |
62 % |
|||||
Diluted earnings per share |
$ 1.35 |
$ 1.29 |
$ 0.83 |
5 % |
63 % |
|||||
N.M. = Not meaningful |
Consolidated Statements of Income Data |
||||||
(unaudited) |
||||||
For The Six Months Ended |
||||||
(In thousands, except per share data) |
June 30, |
June 30, |
% Change Jun 2026 vs. Jun 2025 |
|||
Interest Income |
||||||
Interest and fees on loans |
$ 133,937 |
$ 134,026 |
— % |
|||
Taxable interest on investments |
20,541 |
20,029 |
3 % |
|||
Nontaxable interest on investments |
906 |
923 |
(2) % |
|||
Dividend income |
790 |
1,013 |
(22) % |
|||
Other interest income |
1,188 |
1,727 |
(31) % |
|||
Total interest income |
157,362 |
157,718 |
— % |
|||
Interest Expense |
||||||
Interest on deposits |
43,953 |
49,215 |
(11) % |
|||
Interest on borrowings |
6,319 |
8,638 |
(27) % |
|||
Interest on junior subordinated debentures |
1,793 |
1,798 |
— % |
|||
Total interest expense |
52,065 |
59,651 |
(13) % |
|||
Net interest income |
105,297 |
98,067 |
7 % |
|||
Provision for credit losses |
1,263 |
16,349 |
N.M. |
|||
Net interest income after provision for credit losses |
104,034 |
81,718 |
27 % |
|||
Non-Interest Income |
||||||
Debit card income |
7,208 |
6,879 |
5 % |
|||
Service charges on deposit accounts |
4,859 |
4,723 |
3 % |
|||
Income from fiduciary services |
4,234 |
3,819 |
11 % |
|||
Brokerage and insurance commissions |
3,764 |
3,491 |
8 % |
|||
Bank-owned life insurance |
2,035 |
1,663 |
22 % |
|||
Mortgage banking income, net |
1,989 |
1,568 |
27 % |
|||
Other income |
2,361 |
2,120 |
11 % |
|||
Total non-interest income |
26,450 |
24,263 |
9 % |
|||
Non-Interest Expense |
||||||
Salaries and employee benefits |
39,645 |
39,635 |
— % |
|||
Furniture, equipment and data processing |
9,435 |
9,025 |
5 % |
|||
Net occupancy costs |
5,848 |
5,726 |
2 % |
|||
Debit card expense |
3,306 |
3,415 |
(3) % |
|||
Amortization of core deposit intangible assets |
2,708 |
2,946 |
(8) % |
|||
Consulting and professional fees |
2,326 |
2,808 |
(17) % |
|||
Regulatory assessments |
1,769 |
2,113 |
(16) % |
|||
Other real estate owned and collection costs, net |
9 |
181 |
(95) % |
|||
Merger and acquisition costs |
— |
8,930 |
N.M. |
|||
Other expenses |
8,020 |
7,268 |
10 % |
|||
Total non-interest expense |
73,066 |
82,047 |
(11) % |
|||
Income before income tax expense |
57,418 |
23,934 |
140 % |
|||
Income Tax Expense |
12,514 |
2,527 |
395 % |
|||
Net Income |
$ 44,904 |
$ 21,407 |
110 % |
|||
Per Share Data |
||||||
Basic earnings per share |
$ 2.65 |
$ 1.27 |
109 % |
|||
Diluted earnings per share |
$ 2.64 |
$ 1.26 |
110 % |
|||
N.M. = Not meaningful |
Quarterly Average Balance and Yield/Rate Analysis |
||||||||||||
(unaudited) |
||||||||||||
Average Balance |
Yield/Rate |
|||||||||||
For The Three Months Ended |
For The Three Months Ended |
|||||||||||
(Dollars in thousands) |
June 30, |
March 31, |
June 30, |
June 30, |
March 31, |
June 30, |
||||||
Assets |
||||||||||||
Interest-earning assets: |
||||||||||||
Interest-bearing deposits in other banks and other interest-earning assets |
$ 53,143 |
$ 32,360 |
$ 43,530 |
3.81 % |
4.70 % |
4.47 % |
||||||
Investments - taxable |
1,369,968 |
1,395,629 |
1,396,669 |
3.14 % |
3.11 % |
3.12 % |
||||||
Investments - nontaxable(1) |
60,631 |
61,137 |
61,044 |
3.77 % |
3.77 % |
3.78 % |
||||||
Loans(2): |
||||||||||||
Commercial real estate |
2,186,127 |
2,183,289 |
2,076,129 |
5.62 % |
5.61 % |
5.72 % |
||||||
Commercial(1) |
368,331 |
360,451 |
407,677 |
6.08 % |
6.12 % |
6.17 % |
||||||
Municipal(1) |
52,139 |
51,070 |
82,768 |
4.63 % |
5.18 % |
4.68 % |
||||||
Residential real estate |
2,004,972 |
2,018,838 |
2,037,852 |
4.74 % |
4.77 % |
4.84 % |
||||||
Home equity |
354,025 |
336,593 |
290,354 |
6.66 % |
6.67 % |
7.25 % |
||||||
Consumer |
16,542 |
16,769 |
18,584 |
10.38 % |
9.43 % |
9.13 % |
||||||
Total loans |
4,982,136 |
4,967,010 |
4,913,364 |
5.38 % |
5.39 % |
5.48 % |
||||||
Total interest-earning assets |
6,465,878 |
6,456,136 |
6,414,607 |
4.88 % |
4.88 % |
4.94 % |
||||||
Other assets |
467,752 |
477,500 |
471,188 |
|||||||||
Total assets |
$ 6,933,630 |
$ 6,933,636 |
$ 6,885,795 |
|||||||||
Liabilities & Shareholders' Equity |
||||||||||||
Deposits: |
||||||||||||
Non-interest checking |
$ 1,078,793 |
$ 1,088,115 |
$ 1,103,025 |
— % |
— % |
— % |
||||||
Interest checking |
1,753,513 |
1,682,848 |
1,636,620 |
1.69 % |
1.60 % |
1.84 % |
||||||
Savings |
1,166,720 |
1,114,741 |
959,987 |
1.49 % |
1.41 % |
1.20 % |
||||||
Money market |
792,802 |
815,112 |
848,604 |
2.34 % |
2.32 % |
2.66 % |
||||||
Certificates of deposit |
641,532 |
665,552 |
703,091 |
3.01 % |
3.17 % |
3.57 % |
||||||
Total deposits |
5,433,360 |
5,366,368 |
5,251,327 |
1.56 % |
1.54 % |
1.70 % |
||||||
Borrowings: |
||||||||||||
Brokered deposits |
114,043 |
129,178 |
207,672 |
4.01 % |
3.99 % |
4.53 % |
||||||
Customer repurchase agreements |
269,272 |
256,619 |
234,491 |
0.84 % |
0.93 % |
1.31 % |
||||||
Junior subordinated debentures |
61,624 |
61,545 |
61,325 |
5.89 % |
5.85 % |
5.88 % |
||||||
Other borrowings |
258,621 |
324,853 |
398,408 |
3.54 % |
3.60 % |
3.88 % |
||||||
Total borrowings |
703,560 |
772,195 |
901,896 |
2.79 % |
2.96 % |
3.50 % |
||||||
Total funding liabilities |
6,136,920 |
6,138,563 |
6,153,223 |
1.70 % |
1.72 % |
1.96 % |
||||||
Other liabilities |
81,941 |
89,737 |
88,790 |
|||||||||
Shareholders' equity |
714,769 |
705,336 |
643,782 |
|||||||||
Total liabilities & shareholders' equity |
$ 6,933,630 |
$ 6,933,636 |
$ 6,885,795 |
|||||||||
Net interest rate spread (fully-taxable equivalent) |
3.18 % |
3.16 % |
2.98 % |
|||||||||
Net interest margin (fully-taxable equivalent) |
3.26 % |
3.24 % |
3.06 % |
|||||||||
Core net interest margin (fully-taxable equivalent)(3) |
2.97 % |
2.92 % |
2.70 % |
|||||||||
(1) |
Reported on a tax-equivalent basis calculated using the federal corporate income tax rate of 21%, including certain commercial loans. |
(2) |
Non-accrual loans and loans held for sale are included in total average loans. |
(3) |
This is a non-GAAP measure. Please see "Reconciliation of non-GAAP to GAAP Financial Measures (unaudited)." |
Year-to-Date Average Balance and Yield/Rate Analysis |
||||||||
(unaudited) |
||||||||
Average Balance |
Yield/Rate |
|||||||
For The Six Months Ended |
For The Six Months Ended |
|||||||
(Dollars in thousands) |
June 30, |
June 30, |
June 30, |
June 30, |
||||
Assets |
||||||||
Interest-earning assets: |
||||||||
Interest-bearing deposits in other banks and other interest-earning assets |
$ 42,808 |
$ 63,971 |
4.15 % |
4.44 % |
||||
Investments - taxable |
1,382,728 |
1,386,239 |
3.13 % |
3.08 % |
||||
Investments - nontaxable(1) |
60,883 |
61,766 |
3.77 % |
3.78 % |
||||
Loans(2): |
||||||||
Commercial real estate |
2,184,716 |
2,070,874 |
5.61 % |
5.70 % |
||||
Commercial(1) |
364,413 |
408,327 |
6.10 % |
6.27 % |
||||
Municipal(1) |
51,607 |
86,627 |
4.90 % |
5.46 % |
||||
Residential real estate |
2,011,867 |
2,035,954 |
4.76 % |
4.78 % |
||||
Home equity |
345,357 |
286,958 |
6.66 % |
7.26 % |
||||
Consumer |
16,655 |
19,104 |
9.91 % |
9.13 % |
||||
Total loans |
4,974,615 |
4,907,844 |
5.38 % |
5.47 % |
||||
Total interest-earning assets |
6,461,034 |
6,419,820 |
4.88 % |
4.92 % |
||||
Other assets |
472,599 |
474,347 |
||||||
Total assets |
$ 6,933,633 |
$ 6,894,167 |
||||||
Liabilities & Shareholders' Equity |
||||||||
Deposits: |
||||||||
Non-interest checking |
$ 1,083,429 |
$ 1,105,239 |
— % |
— % |
||||
Interest checking |
1,718,376 |
1,669,786 |
1.65 % |
1.84 % |
||||
Savings |
1,140,874 |
927,622 |
1.45 % |
1.09 % |
||||
Money market |
803,895 |
883,374 |
2.33 % |
2.65 % |
||||
Certificates of deposit |
653,475 |
704,952 |
3.09 % |
3.65 % |
||||
Total deposits |
5,400,049 |
5,290,973 |
1.55 % |
1.70 % |
||||
Borrowings: |
||||||||
Brokered deposits |
121,569 |
202,339 |
4.00 % |
4.57 % |
||||
Customer repurchase agreements |
262,980 |
235,479 |
0.88 % |
1.30 % |
||||
Junior subordinated debentures |
61,585 |
61,304 |
5.87 % |
5.91 % |
||||
Other borrowings |
291,554 |
373,277 |
3.57 % |
3.85 % |
||||
Total borrowings |
737,688 |
872,399 |
2.88 % |
3.47 % |
||||
Total funding liabilities |
6,137,737 |
6,163,372 |
1.71 % |
1.95 % |
||||
Other liabilities |
85,817 |
95,944 |
||||||
Shareholders' equity |
710,079 |
634,851 |
||||||
Total liabilities & shareholders' equity |
$ 6,933,633 |
$ 6,894,167 |
||||||
Net interest rate spread (fully-taxable equivalent) |
3.17 % |
2.97 % |
||||||
Net interest margin (fully-taxable equivalent) |
3.25 % |
3.05 % |
||||||
Core net interest margin (fully-taxable equivalent)(3) |
2.94 % |
2.69 % |
||||||
(1) |
Reported on a tax-equivalent basis calculated using the federal corporate income tax rate of 21%, including certain commercial loans. |
(2) |
Non-accrual loans and loans held for sale are included in total average loans. |
(3) |
This is a non-GAAP measure. Please see "Reconciliation of non-GAAP to GAAP Financial Measures (unaudited)." |
Asset Quality Data |
||||||||||
(unaudited) |
||||||||||
(In thousands) |
At or for the Six Months Ended June 30, 2026 |
At or for the Three Months Ended March 31, 2026 |
At or for the Year Ended December 31, |
At or for the Nine Months Ended September 30, |
At or for the Six Months Ended June 30, 2025 |
|||||
Non-accrual loans: |
||||||||||
Residential real estate |
$ 2,715 |
$ 2,252 |
$ 2,667 |
$ 3,393 |
$ 3,678 |
|||||
Commercial real estate |
6,054 |
5,420 |
639 |
134 |
145 |
|||||
Commercial |
2,871 |
2,689 |
3,042 |
4,103 |
13,514 |
|||||
Home equity |
501 |
596 |
672 |
697 |
834 |
|||||
Consumer |
1 |
2 |
3 |
3 |
6 |
|||||
Total non-accrual loans |
12,142 |
10,959 |
7,023 |
8,330 |
18,177 |
|||||
Accruing loans past due 90 days |
— |
— |
— |
— |
— |
|||||
Total non-performing loans |
12,142 |
10,959 |
7,023 |
8,330 |
18,177 |
|||||
Other real estate owned |
— |
— |
— |
— |
72 |
|||||
Total non-performing assets |
$ 12,142 |
$ 10,959 |
$ 7,023 |
$ 8,330 |
$ 18,249 |
|||||
Loans 30-89 days past due: |
||||||||||
Residential real estate |
$ 1,542 |
$ 772 |
$ 1,565 |
$ 725 |
$ 1,519 |
|||||
Commercial real estate |
2,839 |
569 |
5,284 |
5,014 |
1,120 |
|||||
Commercial |
2,424 |
1,350 |
541 |
1,865 |
884 |
|||||
Home equity |
424 |
328 |
713 |
456 |
457 |
|||||
Consumer |
46 |
58 |
59 |
37 |
134 |
|||||
Total loans 30-89 days past due |
$ 7,275 |
$ 3,077 |
$ 8,162 |
$ 8,097 |
$ 4,114 |
|||||
ACL on loans at the beginning of the period |
$ 45,276 |
$ 45,276 |
$ 35,728 |
$ 35,728 |
$ 35,728 |
|||||
ACL established on acquired PCD loans(1) |
— |
— |
3,071 |
3,071 |
3,071 |
|||||
Provision for loan losses |
1,274 |
806 |
22,031 |
19,009 |
15,469 |
|||||
Charge-offs: |
||||||||||
Residential real estate |
24 |
— |
4 |
4 |
4 |
|||||
Commercial real estate |
— |
— |
3,220 |
218 |
191 |
|||||
Commercial |
1,229 |
627 |
12,659 |
12,320 |
1,245 |
|||||
Home equity |
— |
— |
21 |
21 |
3 |
|||||
Consumer |
91 |
43 |
185 |
152 |
102 |
|||||
Total charge-offs |
1,344 |
670 |
16,089 |
12,715 |
1,545 |
|||||
Total recoveries |
(398) |
(164) |
(535) |
(408) |
(299) |
|||||
Net charge-offs |
946 |
506 |
15,554 |
12,307 |
1,246 |
|||||
ACL on loans at the end of the period |
$ 45,604 |
$ 45,576 |
$ 45,276 |
$ 45,501 |
$ 53,022 |
|||||
Components of ACL: |
||||||||||
ACL on loans |
$ 45,604 |
$ 45,576 |
$ 45,276 |
$ 45,501 |
$ 53,022 |
|||||
ACL on off-balance sheet credit exposures(2) |
3,052 |
2,810 |
3,064 |
3,117 |
3,685 |
|||||
ACL, end of period |
$ 48,656 |
$ 48,386 |
$ 48,340 |
$ 48,618 |
$ 56,707 |
|||||
Ratios: |
||||||||||
Non-performing loans to total loans |
0.24 % |
0.22 % |
0.14 % |
0.17 % |
0.37 % |
|||||
Non-performing assets to total assets |
0.17 % |
0.16 % |
0.10 % |
0.12 % |
0.26 % |
|||||
ACL on loans to total loans |
0.91 % |
0.92 % |
0.91 % |
0.91 % |
1.08 % |
|||||
Net charge-offs to average loans (annualized): |
||||||||||
Quarter-to-date |
0.04 % |
0.04 % |
0.26 % |
0.89 % |
0.02 % |
|||||
Year-to-date |
0.04 % |
0.04 % |
0.31 % |
0.33 % |
0.05 % |
|||||
ACL on loans to non-performing loans |
375.59 % |
415.88 % |
644.68 % |
546.23 % |
291.70 % |
|||||
Loans 30-89 days past due to total loans |
0.15 % |
0.06 % |
0.16 % |
0.16 % |
0.08 % |
|||||
(1) |
Purchase credit deteriorated ("PCD"). |
(2) |
Presented within accrued interest and other liabilities on the consolidated statements of condition. |
Reconciliation of non-GAAP to GAAP Financial Measures |
||||||||||
(unaudited) |
||||||||||
Adjusted Net Income; Adjusted Diluted Earnings per Share; Adjusted Return on Average Assets; and Adjusted Return on Average Equity: |
||||||||||
For the Three Months Ended |
For The Six Months Ended |
|||||||||
(In thousands, except number of shares, per share data and ratios) |
June 30, |
March 31, |
June 30, |
June 30, |
June 30, |
|||||
Adjusted Net Income: |
||||||||||
Net income, as presented |
$ 23,021 |
$ 21,883 |
$ 14,081 |
$ 44,904 |
$ 21,407 |
|||||
Adjustments before taxes: |
||||||||||
Provision for non-PCD acquired loans |
— |
— |
— |
— |
6,294 |
|||||
Provision for acquired unfunded commitments |
— |
— |
— |
— |
249 |
|||||
Merger and acquisition costs |
— |
— |
1,405 |
— |
8,930 |
|||||
Total adjustments before taxes |
— |
— |
1,405 |
— |
15,473 |
|||||
Tax impact of above adjustments, as applicable(1) |
— |
— |
(292) |
— |
(3,559) |
|||||
Adjustment for deferred tax valuation adjustment(2) |
— |
— |
— |
— |
(2,421) |
|||||
Adjusted net income |
$ 23,021 |
$ 21,883 |
$ 15,194 |
$ 44,904 |
$ 30,900 |
|||||
Adjusted Diluted Earnings per Share: |
||||||||||
Diluted earnings per share, as presented |
$ 1.35 |
$ 1.29 |
$ 0.83 |
$ 2.64 |
$ 1.26 |
|||||
Adjustments before taxes: |
||||||||||
Provision for non-PCD acquired loans |
— |
— |
— |
— |
0.37 |
|||||
Provision for acquired unfunded commitments |
— |
— |
— |
— |
0.01 |
|||||
Merger and acquisition costs |
— |
— |
0.08 |
— |
0.53 |
|||||
Total adjustments before taxes |
— |
— |
0.08 |
— |
0.91 |
|||||
Tax impact of above adjustments, as applicable(1) |
— |
— |
(0.02) |
— |
(0.21) |
|||||
Adjustment for deferred tax valuation adjustment(2) |
— |
— |
— |
— |
(0.14) |
|||||
Adjusted diluted earnings per share |
$ 1.35 |
$ 1.29 |
$ 0.89 |
$ 2.64 |
$ 1.82 |
|||||
Adjusted Return on Average Assets: |
||||||||||
Return on average assets, as presented |
1.33 % |
1.28 % |
0.82 % |
1.31 % |
0.63 % |
|||||
Adjustments before taxes: |
||||||||||
Provision for non-PCD acquired loans |
— % |
— % |
— % |
— % |
0.18 % |
|||||
Provision for acquired unfunded commitments |
— % |
— % |
— % |
— % |
0.01 % |
|||||
Merger and acquisition costs |
— % |
— % |
0.09 % |
— % |
0.26 % |
|||||
Total adjustments before taxes |
— % |
— % |
0.09 % |
— % |
0.45 % |
|||||
Tax impact of above adjustments, as applicable(1) |
— % |
— % |
(0.02) % |
— % |
(0.10) % |
|||||
Adjustment for deferred tax valuation adjustment(2) |
— % |
— % |
— % |
— % |
(0.07) % |
|||||
Adjusted return on average assets |
1.33 % |
1.28 % |
0.89 % |
1.31 % |
0.91 % |
|||||
Adjusted Return on Average Equity: |
||||||||||
Return on average equity, as presented |
12.92 % |
12.58 % |
8.77 % |
12.75 % |
6.80 % |
|||||
Adjustments before taxes: |
||||||||||
Provision for non-PCD acquired loans |
— % |
— % |
— % |
— % |
2.00 % |
|||||
Provision for acquired unfunded commitments |
— % |
— % |
— % |
— % |
0.08 % |
|||||
Merger and acquisition costs |
— % |
— % |
0.88 % |
— % |
2.83 % |
|||||
Total adjustments before taxes |
— % |
— % |
0.88 % |
— % |
4.91 % |
|||||
Tax impact of above adjustments, as applicable(1) |
— % |
— % |
(0.20) % |
— % |
(1.12) % |
|||||
Adjustment for deferred tax valuation adjustment(2) |
— % |
— % |
— % |
— % |
(0.77) % |
|||||
Adjusted return on average equity |
12.92 % |
12.58 % |
9.45 % |
12.75 % |
9.82 % |
|||||
(1) |
Calculated using an estimated combined marginal income tax rate of 23%. |
(2) |
A one-time deferred tax valuation adjustment of $2.4 million resulted from a change in the apportionment of state income taxes due to the Northway acquisition. |
Pre-Tax, Pre-Provision Income and Adjusted Pre-Tax, Pre-Provision Income: |
||||||||||
For the Three Months Ended |
For The Six Months Ended |
|||||||||
(In thousands) |
June 30, |
March 31, |
June 30, |
June 30, |
June 30, |
|||||
Net income, as presented |
$ 23,021 |
$ 21,883 |
$ 14,081 |
$ 44,904 |
$ 21,407 |
|||||
Adjustment for provision for credit losses |
710 |
553 |
6,920 |
1,263 |
16,349 |
|||||
Adjustment for income tax expense |
6,320 |
6,194 |
3,679 |
12,514 |
2,527 |
|||||
Pre-tax, pre-provision income |
30,051 |
28,630 |
24,680 |
58,681 |
40,283 |
|||||
Adjustment for merger and acquisition costs |
— |
— |
1,405 |
— |
8,930 |
|||||
Adjusted pre-tax, pre-provision income |
$ 30,051 |
$ 28,630 |
$ 26,085 |
$ 58,681 |
$ 49,213 |
|||||
Efficiency Ratio: |
||||||||||
For the Three Months Ended |
For The Six Months Ended |
|||||||||
(Dollars in thousands) |
June 30, |
March 31, |
June 30, |
June 30, |
June 30, |
|||||
Non-interest expense, as presented |
$ 37,358 |
$ 35,708 |
$ 37,596 |
$ 73,066 |
$ 82,047 |
|||||
Adjustment for merger and acquisition costs |
— |
— |
(1,405) |
— |
(8,930) |
|||||
Adjustment for amortization of core deposit intangible assets |
(1,354) |
(1,354) |
(1,473) |
(2,708) |
(2,946) |
|||||
Adjusted non-interest expense |
$ 36,004 |
$ 34,354 |
$ 34,718 |
$ 70,358 |
$ 70,171 |
|||||
Net interest income, as presented |
$ 52,939 |
$ 52,358 |
$ 49,209 |
$ 105,297 |
$ 98,067 |
|||||
Adjustment for the effect of tax-exempt income(1) |
229 |
225 |
312 |
454 |
638 |
|||||
Non-interest income, as presented |
14,470 |
11,980 |
13,067 |
26,450 |
24,263 |
|||||
Adjusted net interest income plus non-interest income |
$ 67,638 |
$ 64,563 |
$ 62,588 |
$ 132,201 |
$ 122,968 |
|||||
GAAP efficiency ratio |
55.42 % |
55.50 % |
60.37 % |
55.46 % |
67.07 % |
|||||
Non-GAAP efficiency ratio |
53.23 % |
53.21 % |
55.47 % |
53.22 % |
57.06 % |
|||||
(1) |
Reported on a tax-equivalent basis using a 21% income tax rate. |
Return on Average Tangible Equity and Adjusted Return on Average Tangible Equity: |
||||||||||
For the Three Months Ended |
For The Six Months Ended |
|||||||||
(Dollars in thousands) |
June 30, |
March 31, |
June 30, |
June 30, |
June 30, |
|||||
Return on Average Tangible Equity: |
||||||||||
Net income, as presented |
$ 23,021 |
$ 21,883 |
$ 14,081 |
$ 44,904 |
$ 21,407 |
|||||
Adjustment for amortization of core deposit intangible assets |
1,354 |
1,354 |
1,473 |
2,708 |
2,946 |
|||||
Tax impact of above adjustment(1) |
(311) |
(311) |
(339) |
(623) |
(678) |
|||||
Net income, adjusted for amortization of core deposit intangible assets |
$ 24,064 |
$ 22,926 |
$ 15,215 |
$ 46,989 |
$ 23,675 |
|||||
Average equity, as presented |
$ 714,769 |
$ 705,336 |
$ 643,782 |
$ 710,079 |
$ 634,851 |
|||||
Adjustment for average goodwill and core deposit intangible assets |
(192,126) |
(193,554) |
(197,863) |
(192,836) |
(198,984) |
|||||
Average tangible equity |
$ 522,643 |
$ 511,782 |
$ 445,919 |
$ 517,243 |
$ 435,867 |
|||||
Return on average equity |
12.92 % |
12.58 % |
8.77 % |
12.75 % |
6.80 % |
|||||
Return on average tangible equity |
18.47 % |
18.17 % |
13.69 % |
18.32 % |
10.95 % |
|||||
Adjusted Return on Average Tangible Equity: |
||||||||||
Adjusted net income (refer to the "Adjusted Net Income" non-GAAP reconciliation table) |
$ 23,021 |
$ 21,883 |
$ 15,194 |
$ 44,904 |
$ 30,900 |
|||||
Adjustment for amortization of core deposit intangible assets |
1,354 |
1,354 |
1,473 |
2,708 |
2,946 |
|||||
Tax impact of above adjustment(1) |
(311) |
(311) |
(339) |
(623) |
(678) |
|||||
Adjusted net income, adjusted for amortization of core deposit intangible assets |
$ 24,064 |
$ 22,926 |
$ 16,328 |
$ 46,989 |
$ 33,168 |
|||||
Adjusted return on average tangible equity |
18.47 % |
18.17 % |
14.69 % |
18.32 % |
15.35 % |
|||||
(1) |
Calculated using an estimated combined marginal income tax rate of 23%. |
Core Net Interest Margin (fully-taxable equivalent): |
||||||||||
For the Three Months Ended |
For The Six Months Ended |
|||||||||
(In thousands) |
June 30, |
March 31, |
June 30, |
June 30, |
June 30, |
|||||
Net interest margin, tax equivalent, as presented |
3.26 % |
3.24 % |
3.06 % |
3.25 % |
3.05 % |
|||||
Net accretion income on loans from purchase accounting(1) |
(0.23) % |
(0.26) % |
(0.30) % |
(0.25) % |
(0.30) % |
|||||
Net accretion income on investments from purchase accounting(2) |
(0.07) % |
(0.06) % |
(0.07) % |
(0.07) % |
(0.07) % |
|||||
Net amortization on time deposits and borrowings from purchase accounting(3) |
0.01 % |
— % |
0.01 % |
0.01 % |
0.01 % |
|||||
Core net interest margin (fully-taxable equivalent) |
2.97 % |
2.92 % |
2.70 % |
2.94 % |
2.69 % |
|||||
(1) |
Recognized $3.3 million, $6.9 million and $3.7 million of net accretion income on loans from purchase accounting for the three and six months ended June 30, 2026 and three months ended March 31, 2026, respectively, and $4.3 million and $8.6 million for the three and six months ended June 30, 2025, respectively. |
(2) |
Recognized $818,000, $1.6 million and $759,000 of net accretion income on investments from purchase accounting for the three and six months ended June 30, 2026, and three months ended March 31, 2026, respectively, and $863,000 and $1.7 million for the three and six months ended June 30, 2025, respectively. |
(3) |
Recognized $75,000, $150,000 and $75,000 of amortization expense on borrowings from purchase accounting for the three and six months ended June, 30, 2026 and three months ended March 31, 2026, respectively and $131,000 and $262,000 of amortization expense on time deposits and borrowings from purchase accounting for the three and six months ended June 30, 2025. |
Tangible Book Value Per Share and Tangible Common Equity Ratio: |
||||||
(In thousands, except number of shares, per share data and ratios) |
June 30, |
March 31, |
June 30, |
|||
Tangible Book Value Per Share: |
||||||
Shareholders' equity, as presented |
$ 725,926 |
$ 710,007 |
$ 652,148 |
|||
Adjustment for goodwill and core deposit intangible assets |
(191,377) |
(192,731) |
(197,031) |
|||
Tangible shareholders' equity |
$ 534,549 |
$ 517,276 |
$ 455,117 |
|||
Shares outstanding at period end |
16,896,273 |
16,914,371 |
16,919,689 |
|||
Book value per share |
$ 42.96 |
$ 41.98 |
$ 38.54 |
|||
Tangible book value per share |
$ 31.64 |
$ 30.58 |
$ 26.90 |
|||
Tangible Common Equity Ratio: |
||||||
Total assets |
$ 6,950,980 |
$ 6,961,581 |
$ 6,920,044 |
|||
Adjustment for goodwill and core deposit intangible assets |
(191,377) |
(192,731) |
(197,031) |
|||
Tangible assets |
$ 6,759,603 |
$ 6,768,850 |
$ 6,723,013 |
|||
Common equity ratio |
10.44 % |
10.20 % |
9.42 % |
|||
Tangible common equity ratio |
7.91 % |
7.64 % |
6.77 % |
|||
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SOURCE Camden National Corporation
