Business
Arrow Reports $12.6 million in Q1 Net Income, Loan Growth of $69.3 Million
GLENS FALLS, N.Y., April 26, 2022 /PRNewswire/ -- Arrow Financial Corporation (NasdaqGS® – AROW) announced financial results for the three-month period ended
About this update from Arrow Financial Corporation
[{"type":"text","content":"GLENS FALLS, N.Y., April 26, 2022 /PRNewswire/ -- Arrow Financial Corporation (NasdaqGS® – AROW) announced financial results for the three-month period ended March 31, 2022. Net income for the first quarter of 2022 was $12.6 million and diluted earnings per share was $0.78.\nLoan growth was strong in the first quarter of 2022, with gross loans increasing by $69 million. Excluding Paycheck Protection Program (PPP) loans, which decreased by $24 million, loans grew by $93 million in the quarter.\n\"We are pleased to start 2022 with another exceptional quarter with both strong earnings and notable organic loan growth,\" said Arrow President and CEO Thomas J. Murphy. \"I thank the entire Arrow Team for their dedication and hard work. We expect another challenging year, yet I am confident in our ability to meet these challenges and deliver strong results for our customers, our shareholders and our communities.\"\nFor the first quarter of 2022, net income was $12.6 million compared to $13.3 million for the first quarter of 2021. The year-over-year change in first quarter net income was primarily due to:\nA provision expense of $769 thousand for the first quarter of 2022 compared to a credit to the provision of $648 thousand in the first quarter of 2021.Secondary market loan sale transactions were strategically curtailed in 2021, which reduced gain- on-sale income by $1.4 million when comparing year-over-year quarters.Even with the reduction in loan sales, total revenue for Q1 2022 of nearly $36.0 million was still higher by $1.2 million, or 3.5%, when compared to Q1 2021 total revenue of $34.8 million. Net Interest Income increased by 6.4% in Q1 2022, when compared to Q1 2021.\nFirst Quarter Highlights\nEarnings:\nNet income was $12.6 million.Net interest margin was 2.90%.Return on average assets (ROA) was 1.26%.Return on average equity (ROE) was 13.77%.Diluted earnings per share (EPS) was $0.78 for the first quarter.First-quarter revenue increased $1.2 million, or 3.5%, over the prior-year comparative quarter.Net charge-offs for the first quarter of 2022 were $389 thousand as compared to $444 thousand for the comparable 2021 quarter.Balance Sheet:\nTotal assets were $4.2 billion as of March 31, 2022 representing a record high for Arrow.Total loans were $2.7 billion as of March 31, 2022, also a record high for Arrow.Deposit growth in t...