Business
Bankwell Financial Group Reports Operating Results for the Fourth Quarter and Full Year 2023; Declares First Quarter Dividend
NEW CANAAN, Conn.--(BUSINESS WIRE)-- Bankwell Financial Group, Inc. (NASDAQ: BWFG) reported GAAP net income of $8.5 million, or $1.09 per share for the
About this update from Bankwell Financial Group, Inc.
[{"type":"text","content":" NEW CANAAN, Conn.--(BUSINESS WIRE)--\nBankwell Financial Group, Inc. (NASDAQ: BWFG) reported GAAP net income of $8.5 million, or $1.09 per share for the fourth quarter of 2023, versus $8.0 million, or $1.04 per share, for the same period in 2022. For the year ended 2023, net income totaled $36.7 million, or $4.67 per share, versus $37.4 million, or $4.79 per share, for the same period in 2022.\n\n\nThe Company's Board of Directors declared a $0.20 per share cash dividend, payable February 23, 2024 to shareholders of record on February 13, 2024.\n\n\nWe recommend reading this earnings release in conjunction with the Fourth Quarter 2023 Investor Presentation, located at http://investor.mybankwell.com/Presentations and included as an exhibit to our January 24, 2024 Current Report on Form 8-K.\n\n\nNotes Bankwell Financial Group President and CEO, Christopher R. Gruseke:\n\n\n\"Thank you to my colleagues who helped the Company generate quality returns for our shareholders amidst a volatile economic backdrop in 2023. We achieved a total year Return on Average Tangible Common Equity (“ROATCE\") of 14.70% while generating a 1.13% Return on Average Assets (“ROAA”). Tangible Book Value grew to $33.39 per share, which represents a 15% Compounded Annual Growth Rate since December 31, 2020.\n\n\nLooking to 2024, we expect low single digit loan growth as we grow capital and implement innovative deposit solutions. The Net Interest Margin is anticipated to trough in 3Q at approximately 250 to 260 basis points. Noninterest expense is estimated at $53 to $54 million, or approximately 1.65% of Average Assets, an amount consistent with our historical efficiency.\n\n\nThe Balance Sheet is well positioned for any future interest rate cuts taken by the Federal Reserve. We estimate that a hypothetical 50 basis point expansion of the Net Interest Margin would generate approximately $1.50 in incremental Earnings Per Share on an annualized basis.\"\n\n\nFourth Quarter 2023 Highlights:\n\n\n\nNoninterest expense to average assets was 1.56% for the quarter ended December 31, 2023 and 1.55% for the year ended December 31, 2023.\n\n\n\nAverage yield on 2023 funded loans was 7.70% compared to 6.24% for 2022.\n\n\n\nTotal gross loans were $2.7 billion, growing $43.2 million, or 1.6%, compared to December 31, 2022.\n\n\n\nReturn on average assets was 1.03% for...