First Bancorp Inc (FNLC) Announces Q3 Earnings: Net Income Rises to $7.5 Million
First Bancorp Inc (NASDAQ:FNLC) reports Q3 net income of $7.5 million, a 1.1% increase from Q2 2023.
Loan balances increased by $18.9 million in Q3, reaching $2.08 billion.
Total deposits rose by $100.1 million to $2.60 billion.
The company declared a quarterly shareholder dividend of $0.35 per share.
First Bancorp Inc (NASDAQ:FNLC) announced its Q3 earnings on October 18, 2023. The company reported an unaudited net income of $7.5 million, marking a 1.1% increase from the second quarter of 2023. Diluted earnings per share remained level with the prior quarter at $0.67. The company's year-to-date net income in 2023 was $22.8 million, with diluted earnings per share of $2.06.
Financial Performance and Highlights
First Bancorp Inc (NASDAQ:FNLC) reported a total asset increase of $205.0 million year-to-date, reaching $2.94 billion. This growth was supported by total deposits of $2.60 billion, borrowings of $83.0 million, and common equity of $226.7 million. The company's President and CEO, Tony C. McKim, noted that the third quarter was marked by relative stability in the balance sheet and earnings, featuring strong deposit growth and a slowing of the margin compression experienced year-to-date.
The company saw a $143.7 million increase in local deposits in the third quarter, largely due to the intense focus of the sales team on gathering deposits within their footprint and other seasonal factors. Loan growth in the third quarter was $18.9 million, with most of this increase within the retail loan portfolios, specifically residential mortgages and home equity loans.
Asset Quality and Provision for Credit Losses
First Bancorp Inc (NASDAQ:FNLC) continues to maintain strong asset quality. The ratio of non-performing loans to total loans was 0.12% as of September 30, 2023, while the ratio of non-performing assets to total assets was just 0.09%. Past due loans remained very low at 0.10% of total loans, improved from 0.14% at the end of the second quarter.
Dividend Declaration
On September 28, 2023, the company's Board of Directors declared a third quarter dividend of $0.35 per share, representing a payout to shareholders of 51.5% of earnings per share for the period. The dividend will be paid on October 20, 2023, to shareholders of record as of October 10, 2023.
About First Bancorp Inc (NASDAQ:FNLC)
First Bancorp Inc, the parent company of First National Bank, is a full-service community bank based in Damariscotta, Maine. The bank provides a complete array of commercial and retail banking services through eighteen locations in mid-coast and eastern Maine. More information about First Bancorp Inc, First National Bank, and First National Wealth Management can be found at www.thefirst.com.
This article first appeared on GuruFocus.
