Business
First United Corporation Announces First Quarter 2020 Earnings
Implementation of well-designed Business Continuity Plan provides for seamless on-going operations in the midst of a health crisis Participation in Paycheck
About this update from First
[{"type":"text","content":"Implementation of well-designed Business Continuity Plan provides for seamless on-going operations in the midst of a health crisis\n Participation in Paycheck Protection Program protects approximately 15,000 local jobs and drives new business relationships\n\n\nOAKLAND, Md., April 29, 2020 /PRNewswire/ -- First United Corporation (NASDAQ: FUNC), a bank holding company and the parent company of First United Bank & Trust (the \"Bank\"), today announced earnings results for the three- month periods ended March 31, 2020 and 2019. \nFirst Quarter 2020 Financial Highlights:\nTotal assets grew by $18.5 million, a 1.4% increase compared to total assets at December 31, 2019, while loan and deposit growth were .15% and 3%, respectively Net interest margin, on a fully tax equivalent (\"FTE\") basis, remained stable at 3.69% at March 31, 2020 compared to 3.72% at March 31, 2019 and 3.68% at December 31, 2019 Asset quality remains strong, with low delinquency and low net charge-offs Allowance for Loan Losses (\"ALL\") significantly increased compared to 2019 due to a significant uncertainty resulting from the Coronavirus pandemic Consolidated net income decreased 44% to $1.8 million compared to $3.2 million for the first quarter of 2019 specifically due to the $2.7 million quarterly provision expense; basic and diluted net income per share were both $.25 compared to $.44 for the first quarter of 2019, a 43% decrease Pre-tax, pre-provision income was $4.9 million for the quarter ended March 31, 2020 as compared to $4.4 million for the quarter ended March 31, 2019, a 13% increase Other operating income increased driven by increased wealth management income and service charge income associated with our innovative YouFirst deposit package Other operating expense increased due to legal and professional fees offset by reductions in salaries and benefits expense Prudent capital management inclusive of $2.75 million in share repurchases, and a 44% increase in the quarterly dividend to $0.13 compared with $0.09 in the comparable 2019 period \"Our communities, consisting of our valued customers, associates and their families are our primary focus as we navigate the devastating health and financial impacts of COVID-19. Our associates have truly demonstrated their passion for helping people during this critical period, delivering on our mission of an un...