Press release
Alerus Financial Corporation Reports Second Quarter 2022 Net Income of $9.3 Million
MINNEAPOLIS--(BUSINESS WIRE)-- Alerus Financial Corporation (Nasdaq: ALRS) reported net income of $9.3 million for the second quarter of 2022, or $0.52 per
About this update from Alerus Financial Corporation
[{"type":"text","content":" MINNEAPOLIS--(BUSINESS WIRE)--\nAlerus Financial Corporation (Nasdaq: ALRS) reported net income of $9.3 million for the second quarter of 2022, or $0.52 per diluted common share, compared to net income of $10.2 million, or $0.57 per diluted common share, for the first quarter of 2022, and net income of $11.7 million, or $0.66 per diluted common share, for the second quarter of 2021.\n\nCEO Comments\n\nPresident and Chief Executive Officer Katie Lorenson said, “In the second quarter, we reported earnings per share of $0.53, which included a merger expense impact of $(0.05) related to the acquisition of Metro Phoenix Bank. Excluding the impact of this merger related expense, our underlying core ROE was 12.7% which is consistent with our long-term strategic performance and continued goal of achieving a ROE greater than 12%. We continue to see robust loan growth which drove solid net interest income growth. Despite the challenging mortgage and equity markets, we saw the value of our diversified business model as we expanded our client base in both retirement services and wealth management through consistent execution of our One Alerus Growth Strategy.\n\nOur credit quality remains strong and our allowance for loan loss reserve is 1.66% to total loans. We are well positioned for any potential economic volatility, with a common tier 1 ratio of 14.19%. With the closing of the Metro Phoenix Bank acquisition and the continued recruiting successes, Alerus is poised to expand its commercial presence especially in the faster growing parts of our footprint. As we continue to grow and position ourselves for the long term, I want to thank our talented team members for their hard work and dedication to serving in the best interest of our clients.”\n\nQuarterly Highlights\n\n\nReturn on average total assets of 1.14%, compared to 1.26% for the first quarter of 2022\n\n\nReturn on average common equity of 11.93%, compared to 11.78% for the first quarter of 2022\n\n\nReturn on average tangible common equity(1) of 15.25%, compared to 14.72% for the first quarter of 2022\n\n\nNet interest margin (tax-equivalent) was 2.98%, compared to 2.83% for the first quarter of 2022\n\n\nAllowance for loan losses to total loans was 1.66%, compared to 1.80% as of December 31, 2021\n\n\nNoninterest income for the second quarter of 2022 was 56.20% of total revenue,...