Business
John Marshall Bancorp, Inc. Reports 19.0% Increase in Net Income, Strong Core Loan and Deposit Growth and Excellent Asset Quality
RESTON, Va.--(BUSINESS WIRE)-- John Marshall Bancorp, Inc. (Nasdaq: JMSB) (the “Company”), parent company of John Marshall Bank (the “Bank”), today reported
About this update from John Marshall Bancorp, Inc.
[{"type":"text","content":" RESTON, Va.--(BUSINESS WIRE)--\nJohn Marshall Bancorp, Inc. (Nasdaq: JMSB) (the “Company”), parent company of John Marshall Bank (the “Bank”), today reported net income of $8.0 million ($0.57 per diluted common share) for the quarter ended September 30, 2022. The current quarter’s result compares favorably to net income of $6.8 million ($0.48 per diluted common share) for the third quarter of 2021.\n\nThird Quarter Highlights\n\n\nFifteenth Consecutive Quarter of Record Earnings – The Company reported record net income of $8.0 million for the third quarter of 2022, a $1.2 million or 19.0% increase over the $6.8 million reported for the third quarter of 2021. Earnings per diluted share for the three months ended September 30, 2022 were $0.57, an 18.8% increase over the $0.48 reported for the three months ended September 30, 2021.\n\n\nStrong Returns – Annualized Return on Average Assets (“ROAA”) was 1.38% and annualized Return on Average Equity (“ROAE”) was 15.07% for the three months ended September 30, 2022. ROAA and ROAE were 1.30% and 13.35%, respectively, for the three months ended September 30, 2021.\n\n\nRobust Loan Production – Excluding Paycheck Protection Program (“PPP”) loans, gross loans net of unearned income (“Core Loans”) grew $196.0 million or 12.8% from September 30, 2021 to September 30, 2022. The Company remains highly selective when underwriting potential borrowers.\n\n\nIncreased Core Deposits – The Company continued to grow core deposits. Non-interest bearing deposits grew $71.3 million or 15.4% from September 30, 2021 to September 30, 2022. Non-interest bearing deposits grew $22.9 million or 17.7% annualized from June 30, 2022 to September 30, 2022. The non-interest bearing deposit growth rate exceeded that of total deposits, thereby increasing the ratio of non-interest bearing deposit to total deposits from 25.2% as of September 30, 2021 to 25.9% as of September 30, 2022.\n\n\nOperating Leverage – Revenues (net interest income plus non-interest income) grew 10.0% for the three months ended September 30, 2022 relative to the three months ended September 30, 2021. Over the same period, overhead grew only 4.4%. The Company remains vigilant on identifying more cost effective means to achieve future growth. The efficiency ratio for the third quarter of 2022 was 43.9% compared to 46.2% for the third quarter of ...