Business
Northrim BanCorp Earns $10.1 Million, or $1.76 Per Diluted Share, in Third Quarter 2022
ANCHORAGE, Alaska, Oct. 26, 2022 (GLOBE NEWSWIRE) -- Northrim BanCorp, Inc. (NASDAQ:NRIM) (“Northrim” or the “Company”) today reported net income of $10.1
About this update from Northrim Bancorp Inc
[{"type":"text","content":"ANCHORAGE, Alaska, Oct. 26, 2022 (GLOBE NEWSWIRE) -- Northrim BanCorp, Inc. (NASDAQ:NRIM) (“Northrim” or the “Company”) today reported net income of $10.1 million, or $1.76 per diluted share, in the third quarter of 2022, compared to $4.8 million, or $0.83 per diluted share, in the second quarter of 2022, and $8.9 million, or $1.42 per diluted share, in the third quarter a year ago. The increase in third quarter 2022 profitability as compared to the prior periods was primarily due to an increase in net interest income. Dividends per share increased to $0.50 in the third quarter of 2022 compared to $0.41 in the second quarter of 2022 and increased from $0.38 per share in the third quarter of 2021. “We have continued to increase our core loans and expand our deposit market share throughout the state which has helped us generate increased earnings,” said Joe Schierhorn, President and Chief Executive Officer Northrim BanCorp, Inc. “The rising interest rate environment has also benefited loan yields and our cash and securities portfolios.” Third Quarter 2022 Highlights: Net interest income in the third quarter of 2022 increased 18% to $26.3 million compared to $22.2 million in the second quarter of 2022 and increased 29% compared to $20.4 million in the third quarter of 2021.Net interest margin on a tax equivalent basis (“NIMTE”)* was 4.27% for the second quarter of 2022, a 57-basis point increase from the second quarter of 2022 and a 80-basis point increase compared to the third quarter of 2021 due primarily to the increased yields on loans, investments, and cash.The weighted average interest rate for new loans booked in the third quarter of 2022 was 5.76% compared to 4.66% in the second quarter of 2022 and 4.04% in the third quarter a year ago.Long-term investments of $67 million in the third quarter of 2022 were purchased with a weighted average yield of 4.01% compared to 3.22% in the second quarter of 2022 and 0.98% in the third quarter a year ago.Return on average assets (“ROAA”) was 1.52% and return on average equity (\"ROAE\") was 18.18% for the third quarter of 2022.Portfolio loans were $1.41 billion at September 30, 2022, up slightly from the preceding quarter due to growth in core loans (excluding Paycheck Protection Program (“PPP”) loans) and down 3% from a year ago, primarily as a result of PPP forgiveness. At September 3...