ConnectOne Bancorp Inc (CNOB) Reports Q3 2023 Earnings and Declares Dividends
ConnectOne Bancorp Inc (NASDAQ:CNOB) reported net income available to common stockholders of $19.9 million for Q3 2023, consistent with Q2 2023 but down from $27.4 million in Q3 2022.
Diluted earnings per share were $0.51 for Q3 2023, consistent with Q2 2023 but down from $0.70 in Q3 2022.
ConnectOne Bancorp Inc (NASDAQ:CNOB) declared a quarterly cash dividend on its common stock and a cash dividend on its outstanding preferred stock.
The company's total assets were $9.7 billion as of September 30, 2023, an increase of $34 million from December 31, 2022.
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ConnectOne Bancorp Inc (NASDAQ:CNOB) released its Q3 2023 earnings report on October 26, 2023. The company reported net income available to common stockholders of $19.9 million, consistent with the previous quarter but down from $27.4 million in Q3 2022. Diluted earnings per share were $0.51 for Q3 2023, also consistent with Q2 2023 but down from $0.70 in Q3 2022. The decreases were primarily due to a $15.8 million decrease in net interest income and a $3.6 million increase in noninterest expenses, partially offset by an $8.5 million decrease in the provision for credit losses, a $0.2 million increase in noninterest income, and a $3.2 million decrease in income tax expense.
Financial Highlights
ConnectOne Bancorp Inc (NASDAQ:CNOB) declared a quarterly cash dividend on its common stock of $0.17, to be paid on December 1, 2023, to common stockholders of record on November 15, 2023. A dividend of $0.328125 per depositary share, representing a 1/40th interest in the Companys 5.25% Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock, Series A, will also be paid on December 1, 2023 to preferred stockholders of record on November 15, 2023.
The company's total assets were $9.7 billion as of September 30, 2023, an increase of $34 million from December 31, 2022. The increase in total assets was primarily due to an increase in loans receivable of $81 million, partially offset by decreases in investment securities of $53 million. Total deposits were $7.4 billion, an increase of $82 million from December 31, 2022.
Company Performance and Future Outlook
Despite challenging market conditions, ConnectOne Bancorp Inc (NASDAQ:CNOB) remains well-positioned to capitalize on new growth opportunities. The company's tangible common equity ratio remains above 9%, well above peer averages, demonstrating continued effective management of ConnectOnes capital and AOCI. Additionally, credit quality metrics remain sound, reflective of prudent underwriting, strong portfolio oversight, and a resilient economy.
As the company approaches Q4, it is focused on navigating the challenges that lie ahead. ConnectOne Bancorp Inc (NASDAQ:CNOB) remains one of the industrys most efficient banks nationwide and is poised for continued success by maintaining financial discipline, leveraging its results-oriented client-centric culture, and continuing to invest in its valuable franchise.
Share Repurchase Program
During Q3 2023, the company repurchased 316,789 shares of common stock at an average price of $19.45, leaving approximately 1.0 million shares authorized for repurchase under the current Board approved repurchase program.
Explore the complete 8-K earnings release (here) from ConnectOne Bancorp Inc for further details.
This article first appeared on GuruFocus.
