Business
Bankwell Financial Group Reports Record Net Income for the Second Quarter; Gross Loans Surpass $2 Billion; and Declares Third Quarter Dividend
NEW CANAAN, Conn.--(BUSINESS WIRE)-- Bankwell Financial Group, Inc. (NASDAQ: BWFG) reported record GAAP net income of $12.0 million, or $1.55 per share, for
About this update from Bankwell Financial Group, Inc.
[{"type":"text","content":" NEW CANAAN, Conn.--(BUSINESS WIRE)--\nBankwell Financial Group, Inc. (NASDAQ: BWFG) reported record GAAP net income of $12.0 million, or $1.55 per share, for the second quarter of 2022, versus $6.2 million, or $0.79 per share, for the same period in 2021. During the quarter ended June 30, 2022 the Company experienced several non-recurring items that positively impacted reported earnings. Adjusting for these items, operating earnings per share totaled $1.15 for the second quarter of 2022. Please reference the table below for a reconciliation of reported earnings per share to operating earnings per share.\n\n\n\n \n\n\n\nEarnings Per Common Share\n\n\n\n\n\n2Q'22 QTD Reported EPS\n\n\n\n$ 1.55\n\n\n\n \n\n\n\n\n\nElevated Loan Prepayments(1)\n\n\n\n(0.15\n\n\n\n)\n\n\n\n\n\nRelease of Specific Reserves(2)\n\n\n\n(0.16\n\n\n\n)\n\n\n\n\n\nHistorical Loss Update to Peer Group(3)\n\n\n\n(0.09\n\n\n\n)\n\n\n\n\n\n2Q'22 QTD Operating EPS(4)\n\n\n\n$ 1.15\n\n\n\n \n\n\n\n\n\n(1) 2Q'22 loan prepayments exceeded historical quarterly averages and are not reflective of run rate.\n\n\n\n\n\n(2) Specific reserve reduction as impaired loans exhibited improved performance or paid off.\n\n\n\n\n\n(3) Bankwell is not yet subject to CECL; reduction in general reserves due to annual update to historical loss data in our peer group-based, “incurred loss” model.\n\n\n\n\n\n(4) Non-gaap measure.\n\n\n\n\nThe Company's Board of Directors declared a $0.20 per share cash dividend, payable August 25, 2022 to shareholders of record on August 15, 2022.\n\nWe recommend reading this earnings release in conjunction with the Second Quarter 2022 Investor Presentation, located at http://investor.mybankwell.com/Presentations and included as an exhibit to our July 27, 2022 Current Report on Form 8-K.\n\nNotes Bankwell Financial Group President and CEO, Christopher R. Gruseke:\n\n\"I offer my thanks and congratulations to our entire team for their commitment to excellence. Even after discounting favorable one-time items, our Company has delivered outstanding results, including an operating ROAA of 1.45%, an ROAE of 16.4%, and an efficiency ratio of 46.6%. Several years ago we put forth a strategic plan to diversify and transform our business model. With careful planning and execution, we are now reaping the benefits of investing in that plan.\n\n\"As we look ahead,...