Business
First Bank Announces Second Quarter Net Income of $6.8 Million and EPS of $0.35
Quarterly Results reflect stable net income, strong deposit growth, favorable credit metrics and continued shareholder value creation with increased Book
About this update from First Bank
[{"type":"text","content":"Quarterly Results reflect stable net income, strong deposit growth, favorable credit metrics and continued shareholder value creation with increased Book Value per Share\nHAMILTON, N.J., July 26, 2023 (GLOBE NEWSWIRE) -- First Bank (Nasdaq Global Market: FRBA) (the Bank) today announced its second quarter 2023 financial results, achieving net income of $6.8 million, or $0.35 per diluted share, and maintaining solid returns on average assets, equity, and tangible equityi of 0.97%, 9.23%, and 9.87%, respectively. Excluding merger-related expenses, First Bank’s second quarter 2023 adjusted diluted earnings per shareii were $0.36, adjusted return on average assetsii was 0.99% and adjusted return on average tangible equityii was 10.13%. Compared to the same period last year, the Bank's net income and returns on assets, equity, and tangible equity were lower, reflecting broader industry headwinds, primarily due to increased market interest rates and deposit costs. However, the Bank remains confident in its ability to navigate the current economic landscape and achieve sustainable growth in earnings and book value over the long term. Second Quarter 2023 Performance Highlights: Total loans reached $2.44 billion at June 30, 2023, marking a 1.8% increase from the end of the linked quarter at March 31, 2023.Total deposits ended the quarter at $2.40 billion at June 30, 2023, a 7.1% increase from the end of the linked quarter at March 31, 2023.Continued favorable asset quality throughout the quarter, with net recoveries of $109,000 during the second quarter of 2023, and nonperforming loans remained constant at 0.33% at June 30, 2023, compared to 0.33% at March 31, 2023.Steady growth in book value per share to $15.45 and tangible book value per shareiii to $14.44 at June 30, 2023. Tangible book value per share increased $0.39 from the end of the linked quarter at March 31, 2023, and $1.36, or 10.4%, from June 30, 2022, supporting continued value creation for shareholders. Patrick L. Ryan, President and CEO of First Bank, reflected on the quarterly results, stating, “Despite the difficult rate environment which continues to impact our margin, and the short-term headwinds from recent strategic initiatives, I am satisfied with our current results. We continue to earn acceptable returns even as the yield curve remains inverted and we reinvest in ...