Bar Harbor Bankshares Inc (BHB) Reports Q3 2023 Earnings and Declares Dividend
Bar Harbor Bankshares Inc (BHB) reported a Q3 2023 net income of $11.1 million, slightly down from $11.4 million in Q3 2022.
Net interest income increased to $29.2 million, up from $28.8 million in the previous quarter.
The company declared a cash dividend of $0.28 per share, payable on December 15, 2023.
Total assets remained stable at $4.0 billion at the end of Q3 2023.
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Bar Harbor Bankshares Inc (BHB) released its Q3 2023 earnings report on October 17, 2023. The company reported a net income of $11.1 million or $0.73 per diluted share, a slight decrease from $11.4 million or $0.76 per diluted share in the same quarter of 2022.
Financial Performance and Highlights
Bar Harbor Bankshares' President and CEO, Curtis C. Simard, commented on the company's performance, stating,
We delivered another solid quarter, underscoring our commitment to generating consistent, sustainable long-term performance."
He highlighted the increase in net interest income to $29.2 million, up from $28.8 million in the previous quarter, and the company's successful retail strategy, which resulted in the opening of over 1,700 new customer accounts.
Simard also noted the company's strong credit trends, with non-performing assets remaining at 17 basis points of total assets and net charge-offs to average loans remaining at zero. The company's fee-based revenue continues to be a significant portion of total income, contributing to the steady performance despite market fluctuations.
Dividend Declaration
The company's Board of Directors declared a cash dividend of $0.28 per share, payable on December 15, 2023, to shareholders of record at the close of business on November 16, 2023. This dividend equates to a 4.74% annualized yield based on the $23.63 closing share price of the company's common stock on September 29, 2023.
Financial Condition
As of the end of Q3 2023, Bar Harbor Bankshares' total assets were $4.0 billion, primarily due to relatively flat loan growth and lower security balances as interest rates continued to rise during the quarter. Total loans were $3.0 billion at the end of both the third and second quarters of 2023. The company's book value per share was $26.67 as of September 30, 2023, compared with $26.09 as of December 31, 2022.
Outlook
Despite the volatile quarters in the banking sector, Simard expressed confidence in the company's ability to execute its business strategies and deliver consistent total shareholder returns. He concluded,
Given the strength of our balance sheet and our teams, we remain well poised to weather any rate environment."
This article first appeared on GuruFocus.
