Business
Eastern Bankshares, Inc. Reports First Quarter 2022 Financial Results
Company Declares Quarterly Cash Dividend BOSTON--(BUSINESS WIRE)-- Eastern Bankshares, Inc. (the “Company,” or together with its affiliates and subsidiaries,
About this update from Eastern Bankshares, Inc.
[{"type":"text","content":"\nCompany Declares Quarterly Cash Dividend\n\n BOSTON--(BUSINESS WIRE)--\nEastern Bankshares, Inc. (the “Company,” or together with its affiliates and subsidiaries, “Eastern”) (NASDAQ Global Select Market: EBC), the stock holding company of Eastern Bank, today announced its 2022 first quarter financial results and the declaration of a quarterly cash dividend. Net income for the first quarter of 2022 was $51.5 million, or $0.30 per diluted share, compared to net income of $35.1 million, or $0.20 per diluted share, reported for the fourth quarter of 2021. Operating net income* for the first quarter of 2022 was $55.1 million, or $0.32 per diluted share, compared to $44.9 million, or $0.26 per diluted share, reported for the prior quarter.\n\n“Our first quarter results were strong as we began to realize the benefits of the investments we’ve made to grow our business and solidify our position as the leading community bank in Greater Boston,” said Bob Rivers, Chief Executive Officer and Chair of the Board of Eastern Bankshares, Inc. and Eastern Bank. “We remain focused on delivering on our strategic priorities, which include developing new ways to deliver our offerings and services to customers, expanding our role as an employer of choice, and contributing positively to our local community while delivering greater value to our shareholders. Our operating earnings in the first quarter were 23% higher than the same period a year ago, and we believe we are well positioned to benefit from higher interest rates in the quarters ahead.”\n\nHIGHLIGHTS FOR THE FIRST QUARTER OF 2022\n\n\nOperating net income* of $55.1 million for the first quarter of 2022 is 23% higher than the prior quarter and 18% higher than the prior year quarter.\n\n\nLoan growth excluding Paycheck Protection Program (“PPP”) loans was 3.1% on an annualized basis. Commercial loan growth excluding PPP loans was 4.4% on an annualized basis.\n\n\nThe Company adopted Accounting Standards Update (“ASU”) 2016-13 (defined below) which included the current expected credit losses methodology (\"CECL\") as of January 1, 2022 and recorded a net decrease to retained earnings of $20.1 million in connection with such adoption. The Company recorded a $0.5 million release of allowance for loan losses for the first quarter.\n\n\nThe Company repurchased 2,866,621 shares of its common stock d...