Business
Hawthorn Bancshares Reports Results for the Three and Nine Months Ended September 30, 2022
Third Quarter 2022 Highlights Net income of $4.9 million, or $0.73 per diluted share Net interest margin, fully taxable equivalent ("FTE") of 3.56% Return on
About this update from Hawthorn Bancshares, Inc.
[{"type":"text","content":"Third Quarter 2022 Highlights Net income of $4.9 million, or $0.73 per diluted share Net interest margin, fully taxable equivalent (\"FTE\") of 3.56% Return on average assets and equity of 1.08% and 15.30%, respectively Loans increased $64.2 million, or 4.5%, compared to the linked second quarter 2022 (“linked quarter”) Deposits increased $62.0 million, or 4.0%, compared to the linked quarter JEFFERSON CITY, Mo., Oct. 26, 2022 (GLOBE NEWSWIRE) -- Hawthorn Bancshares, Inc. (NASDAQ: HWBK), (the “Company” or “HWBK”) reported net income of $4.9 million for the third quarter 2022, an increase of $0.4 million compared to the linked quarter 2022 and a decrease of $0.9 million from the third quarter 2021 (the \"prior year quarter\"). Earnings per diluted share (“EPS”) was $0.73 for the third quarter 2022 compared to $0.66 and $0.84 for the linked quarter and prior year quarter, respectively. Net income and EPS for the third quarter 2022 increased from the linked quarter primarily due to lower provision expense and higher net interest income in the third quarter, partially offset by higher non-interest expense. Chairman David T. Turner commented, \"Hawthorn Bank continued to perform very well in the third quarter of 2022. Hawthorn Bancshares reported $4.9 million of net income and $0.73 in earnings per diluted share for the third quarter. We continue to see strong loan demand, as evidenced by our $64 million, or 4.5% growth in loans as compared to the linked quarter. Deposits grew $62 million in the third quarter, or 4.0% compared to the linked quarter. We are continuing to adapt to the ever-increasing interest rate environment. We saw strong growth in our loan yield as compared to the linked quarter, however, we are also seeing our cost of funds increase consistent with a rising rate environment. Asset quality remains strong as evidenced in the steady decline in non-performing loans as a percentage of total loans. As previously mentioned, rising interest rates have had and will continue to have negative impacts on our mortgage loan production and the overall profit contribution from that team.\" Turner continued, \"We continue to be excited about further growth opportunities in the markets we serve and stand ready as the community bank of choice to support their financial needs.\" Highlights Earnings – Net income of $4.9 million for the...