Meridian Corporation Reports 2Q 2021 Net Income of $8.3 Million, or $1.33 Per Diluted Share and Declares Quarterly Cash Dividend of $0.125 Per Share

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[{"type":"text","content":"MALVERN, Pa., July 26, 2021 /PRNewswire/ -- Meridian Corporation (Nasdaq: MRBK) today reported:\n2021\n2021\n2020\n2020\n2020\n(Dollars in thousands, except per share data)\n2nd QTR \n1st QTR \n4th QTR\n3rd QTR\n2nd QTR\nIncome:\nNet income \n$\n8,258\n$\n10,170\n$\n8,997\n$\n9,212\n$\n5,713\nDiluted earnings per common share\n$\n1.33\n$\n1.65\n$\n1.48\n$\n1.51\n$\n0.94\nPre-tax, pre-provision income (1)\n$\n10,898\n$\n13,905\n$\n13,040\n$\n15,941\n$\n9,034\nPre-tax, pre-provision income - Bank (1)\n$\n7,811\n$\n7,891\n$\n6,294\n$\n6,531\n$\n4,908\n (1) See Non-GAAP reconciliation in the Appendix\nChristopher J. Annas, Chairman and CEO commented \"Meridian achieved strong quarterly earnings, generating revenues of $39.2 million and earning $8.3 million or $1.33 per diluted share. Annualized ROE and ROA were 22.61% and 1.92%, respectively. The bank segment contributed 72% of the consolidated pre-tax pre-provision income, and commercial loan growth (excluding PPP loans and loans held for sale) was 17% annualized, as new additions to our lending staff coupled with market disruption produced strong results.\" \nMr. Annas added, \"In the current quarter we achieved record levels of SBA net loan sales revenue of $1.5 million and wealth management revenue of $1.2 million. The mortgage segment added $19.5 million in revenue with $2.7 million in pre-tax income as the originations shift from refinancing to purchase loans. This mortgage revenue number is down from 2Q2020, affected by a lack of homes for sale and a slower refinance rate. We manage the business for profitability, not scale, and see similar market conditions for the rest of 2021.\"\nIncome Statement Highlights\nSecond quarter 2021 compared with first quarter 2021: \nNet income was $8.3 million, a decrease of $1.9 million, or 18.8%, driven by a lower level of non-interest income. The return on average equity (\"ROE\") and return on average assets (\"ROA\") were 22.61% and 1.92%, respectively, for the second quarter 2021, compared to 30.06% and 2.43%, respectively, for the first quarter 2021. Net interest income increased $292 thousand or 1.9%, driven by quarter over quarter increases in interest income on small business loans, commercial real estate loans and leases, combined with a $226 thousand decrease in interest expense. Non-interest income decreased $5.3 million or 19.7%...

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