Business
Meridian Corporation Reports Fourth Quarter 2023 Results and Announces a Quarterly Dividend of $0.125 per Common Share
MALVERN, Pa., Jan. 26, 2024 (GLOBE NEWSWIRE) -- Meridian Corporation (Nasdaq: MRBK) today reported: Three Months Ended Year Ended(Dollars in thousands, except
About this update from Meridian Corporation
[{"type":"text","content":"MALVERN, Pa., Jan. 26, 2024 (GLOBE NEWSWIRE) -- Meridian Corporation (Nasdaq: MRBK) today reported: Three Months Ended Year Ended(Dollars in thousands, except per share data)((Unaudited)December 31,2023 September 30,2023 December 31,2023 December 31,2022Income: Net income$571 $4,005 $13,243 $21,829 Diluted earnings per common share$0.05 $0.35 $1.16 $1.79 Pre-tax, pre-provision income (1)$5,356 $5,292 $23,782 $30,408 Pre-tax, pre-provision income - Bank (1)$5,757 $6,399 $27,751 $31,004 (1) See Non-GAAP reconciliation in the Appendix Total assets at December 31, 2023 and September 30, 2023 were $2.2 billion, compared to $2.1 billion at December 31, 2022.Commercial loans, excluding leases, increased $15.7 million for the quarter and $114.6 million, or 9%, year over year.Pre-tax, pre-provision income for the Bank was $5.8 million for the quarter and $27.8 million for the year.Net interest margin was 3.18% for the fourth quarter of 2023, with a loan yield of 7.15%. Net interest margin was 3.35% with a loan yield of 6.94% for the year.On January 25, 2024, the Board of Directors declared a quarterly cash dividend of $0.125 per common share, payable February 20, 2024 to shareholders of record as of February 12, 2024. Christopher J. Annas, Chairman and CEO commented, “Meridian’s fourth quarter earnings totaled $571 thousand, which was down from the prior quarter. Contributing to the decline was a necessary additional provision for a non-performing commercial credit, which has experienced some deterioration. In addition, the historical rise in interest rates has had negative impact on our SBA and small-ticket leasing businesses, both of which required additional provisions. We are comfortable with the existing reserves and expect some resolution in the commercial credit in 2024. Annual loan growth in the core CRE, C&I and SBA portfolios was 9%, which reflects our continued outreach and a stable business environment in the Philadelphia metro region. Construction lending for residential and multi-family is still strong because of high housing demand, as housing inventory remains at historical lows. Mr. Annas added, \"Net interest margin was down from the prior quarter mostly due to higher deposit expense, as customers are increasingly rate conscious. We have adjusted well to the tumultuous environment created by the historic Federal Reserve...