Business
Lakeland Financial Reports 10% Loan Growth and Net Income of $14.6 million for the Second Quarter
WARSAW, Ind., July 21, 2023 (GLOBE NEWSWIRE) -- Lakeland Financial Corporation (Nasdaq Global Select/LKFN), parent company of Lake City Bank, today reported
About this update from Lakeland Financial Corporation
[{"type":"text","content":"WARSAW, Ind., July 21, 2023 (GLOBE NEWSWIRE) -- Lakeland Financial Corporation (Nasdaq Global Select/LKFN), parent company of Lake City Bank, today reported net income of $14.6 million for the three months ended June 30, 2023, which represents a decrease of $11.1 million, or 43%, compared with net income of $25.7 million for the three months ended June 30, 2022. Diluted earnings per share were $0.57 for the second quarter of 2023 and decreased 43% compared to $1.00 for the second quarter of 2022. On a linked quarter basis, net income decreased 40%, or $9.7 million, from first quarter 2023 net income of $24.3 million, or $0.94 diluted earnings per share. The company further reported net income of $38.9 million for the six months ended June 30, 2023, versus $49.3 million for the comparable period of 2022, a decrease of 21%, or $10.4 million. Diluted earnings per share also decreased 21% to $1.51 for the six months ended June 30, 2023, versus $1.92 for the comparable period of 2022. \"Core operational profitability during the second quarter of 2023 improved by 10% on a linked quarter basis and 4% on an annual basis. We are particularly pleased that loan growth of $438 million represented 10% annual growth and occurred throughout the Lake City Bank footprint,\" stated David M. Findlay, Chief Executive Officer. \"This organic expansion was driven by strong growth in the Indianapolis market, where we continue to grow our market share and where we opened our sixth office in the market during the second quarter.\" Quarterly Financial Performance Second Quarter 2023 versus Second Quarter 2022 highlights: Return on average equity of 9.70%, compared to 17.65%Return on average assets of 0.91%, compared to 1.59%Loan growth of $437.6 million, or 10%Investments as a percentage of total assets decreased to 18% from 23%Deposit contraction of $198.5 million, or 4%Net interest margin expanded by 2 basis points from 3.26% to 3.28%Provision expense of $800,000, compared to no provision expenseWatch list loans as a percentage of total loans of 3.83% compared to 4.34%Noninterest income increased $1.0 million, or 10%Noninterest expense increased $14.8 million, or 53%Wire fraud loss of $18.1 million, that represented $13.6 million net of tax, or $0.53 per diluted shareAdjusted core noninterest expense declined 5%, or $1.4 million, which excludes the wir...