Bar Harbor Bankshares : Reports Fourth Quarter 2024 Results; Declares Dividend

Published: 2025-01-23 16:41:26 ET BHB

Bar Harbor Bankshares Reports Fourth Quarter 2024 Results; Declares Dividend

BAR HARBOR, MAINE - January 23, 2025 - Bar Harbor Bankshares (NYSE American: BHB) (the "Company") reported fourth quarter 2024 GAAP and core (Non-GAAP) net income of $11.0 million or $0.72 per diluted share compared to GAAP and core (Non- GAAP) net income of $9.9 million or $0.65 per diluted share in the same quarter of 2023.

FOURTH QUARTER 2024 HIGHLIGHTS

Bar Harbor Bankshares' President and Chief Executive Officer, Curtis C. Simard, stated, "Our team has set forth and delivered another year of execution on our definitive strategy of balancing growth with earnings. We continue to demonstrate that our Bank is built for uncertainties, whether economic or rate environment, rooted in an authentic culture. We were honored in December by Newsweek as one of "America's Best Regional Banks" for the second consecutive year. This distinction reflects the dedication, talent, and teamwork of our employees. Over 9,000 financial institutions were evaluated. We stood out for our financial strength and exceptional service. This recognition is a validation of the trust our customers and communities place in us daily. In addition, Forbes recognized our institution as one of the "World's Best Banks" and "Best-in-State Banks," as well as Newsweek naming us one of "America's Best Banks." These accolades reflect the focus on delivering exceptionally well and best demonstrate confidently operating with accountability.

Over the past several years, our commercial team has delivered consistent and strong loan growth, adhering to conservative structures and appropriate pricing to maintain our margin goals. The results of our efforts underscore the importance of disciplined growth and the value of building lasting relationships. Like many community banks, much of the Commercial growth has been strategically concentrated in our Commercial Real Estate (CRE) segment. As we enter 2025, we remain committed to this critical lending segment for continued growth and embark on a strategic initiative to accelerate the growth in our Commercial & Industrial (C&I) Lending segment. As you may have read, we announced the addition of two exceptional professionals to our Middle Market Commercial Banking team: Larry Wold and Heather Whitfield. With more than 35 years of experience each, they bring extensive C&I expertise and market presence that will enhance and strengthen our existing C&I Lending capabilities in 2025 ultimately better diversifying and balancing the overall Commercial portfolio. We believe we may be entering a period of talent shift as experienced candidates are becoming available.

We also added to our Treasury Management team both on the front line and in operations support as they have proven to be a tremendous partner growing both fee income and attracting new deposit customers. Our Wealth Management division grew both with existing customers and new business relationships generated by longstanding team members and catalyst recruits. Our Wealth Management team combined with brokerage services manages $3.3 billion in assets with over 130 new clients added in 2024 alone.

As we enter 2025, we continue to actively manage the balance sheet, investing excess liquidity diligently without compromising our credit or interest rate risk appetites. We are excited about this new year and feel we are well positioned financially, culturally and reputation wise."

DIVIDEND DECLARED

The Board of Directors of the Company voted to declare a cash dividend of $0.30 per share to shareholders of record at the close of business on February 20, 2025 payable on March 20, 2025. This dividend equates to a 3.92% annualized yield based on the $30.58 closing share price of the Company's common stock on December 31, 2024, the last trading day of the fourth quarter 2024.

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FINANCIAL CONDITION (Quarter results for December 31, 2024 compared to September 30, 2024)

Total assets grew to $4.1 billion at the end of the fourth quarter 2024 compared to $4.0 billion at the end of the third quarter 2024 primarily due to steady loan growth, partially offset by lower cash balances.

Total cash and cash equivalents were $72.2 million at the end of the fourth quarter 2024, compared to $81.2 million at end of the third quarter 2024. Interest-earning deposits held with other banks totaled $37.9 million at the end of the fourth quarter 2024, compared to $41.3 million at the end of the third quarter and yielded 4.92% and 5.54%, respectively. The change in cash balances was driven by utilization for loan originations.

Total loans grew $65.4 million or 8% on an annualized basis. Commercial loans grew $63.9 million or 15% annualized, Commercial and Industrial loans grew $6.0 million, or 6% annualized, Tax Exempt loans increased $5.1 million or 25% annualized, and Consumer loans increased $388 thousand, or 2% annualized in the fourth quarter 2024. Residential real estate decreased by $10.1 million, or 5% annualized, compared to the end of the third quarter 2024, as we focus on growing the portfolio with higher yielding commercial loans.

Federal Home Loan Bank ("FHLB") stock increased to $12.2 million at the end of the fourth quarter 2024 compared to $7.6 million at the end of the third quarter 2024 driven by an increase in FHLB borrowings to fund loan originations and payoff the Federal Reserve's Bank Term Funding Program.

Securities available for sale decreased to $521.0 million compared to $535.9 million at September 30, 2024 driven by paydowns of $15.4 million, net amortization of $343 thousand, and called securities of $2.0 million, partially offset by $14.2 million in purchases. The weighted average yield of the total securities portfolio for the fourth quarter 2024 was 3.79% compared to 3.96% for the previous quarter primarily due to the interest rate environment and change in the profile of the yield curve. The allowance for credit losses on available for sale investments increased to $568 thousand at December 31, 2024, driven by two corporate securities with a book value of $9.0 million, unrealized non-credit losses of $2.7 million and unrealized credit losses of $568 thousand. Fair value adjustments decreased the security portfolio by $62.3 million at the end of the fourth quarter compared to $52.3 million at the end of the third quarter. As of the end of the fourth and third quarters 2024, respectively, our securities portfolio maintained an average life of nine and eight years with an effective duration of five years for both quarters and all securities remain classified as available for sale to provide flexibility in asset funding and other opportunities as they arise.

The allowance for credit losses on loans decreased $279 thousand to $28.7 million at the end of the fourth quarter 2024 compared to $29.0 million at the end of the third quarter 2024. Our allowance for credit losses continues to reflect our strong asset quality metrics and general macroeconomic trends, and provides a relatively stable allowance for credit losses to total loans coverage ratio of 0.91%. Non-accruing loans remained flat during the fourth quarter 2024 at $7.0 million from $7.1 million in the third quarter 2024. There were minor shifts in balances as commercial real estate, commercial and industrial and residential real estate decreased, partially offset by consumer increases. The increase in consumer non-accruing loans were attributed to two home equity loans. Total non- accruing loans to total loans was 0.22% in the fourth compared to 0.23% in the third quarter 2024. Charge-offs and specific reserves on non-accruing loans continue to be nominal, supported by relatively strong collateral values.

Total deposits remained flat at $3.3 billion at December 31, 2024 and September 30, 2024. Money Market accounts increased 26% on an annualized basis, or $25.1 million, to $406 million and time deposit balances increased 6% on an annualized basis to $830 million driven by the rate environment attracting investors as a safe place with a competitive rate to store their money. Non-interest bearing demand deposits decreased $29.3 million to $576 million or 19% on an annualized basis and interest-bearing demand deposits decreased $3.7 million or 2% on an annualized basis.

Senior borrowings increased $63.8 million to $250.0 million driven by funding commercial loan growth originations. FHLB borrowings increased $108.9 million to $242.7 million at the end of the fourth quarter 2024 compared to $133.8 million at the end of the third quarter 2024. Borrowings under the Federal Reserve's Bank Term Funding Program were paid off at the end of the fourth quarter 2024 compared to $45 million at the end of the third quarter 2024. Subordinated debt was paid down $20 million from $40 million at the end of the third quarter 2024. Total borrowing costs decreased from 4.38% at the end of the third quarter 2024 to 4.20% at the end of the fourth quarter 2024.

The Company's book value per share was $30.00 as of the end of the fourth quarter 2024 compared to $30.12 at the end of the third quarter 2024. Tangible book value per share (non-GAAP) was $21.93 at the end of the fourth quarter 2024, compared to $22.02 at the end of the third quarter 2024.

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RESULTS OF OPERATIONS (Quarter results for December 31, 2024 compared to December 31, 2023)

The net interest margin remained stable at 3.17% in the fourth quarter 2024 compared to the same respective quarter 2023. Despite an increase year over year within the quarter in deposit costs driven by the interest rate environment and growth in deposits, the cost of funds pressure was offset by lower borrowing balances and costs. As loan balances grew year over year, the yield on loans grew 16 basis points to 5.40% in the fourth quarter 2024, up from 5.24% in the same quarter 2023. Costs of interest-bearing deposits grew 36 basis points to 2.41% from 2.05% in the fourth quarter 2023 driven by the continued competitive pricing within the interest rate environment.

Total interest and dividend income increased by 3.7% to $47.5 million in the fourth quarter 2024 primarily driven by the repricing of adjustable-rate loans and originations of higher fixed-rate loans within the commercial portfolio. Yields on earning assets grew to 5.14% compared to 5.02% in the fourth quarter 2023. The yield on commercial real estate loans grew to 5.61% in the fourth quarter 2024 from 5.46% in the fourth quarter 2023. The residential real estate yield grew to 4.13% in the fourth quarter 2024 compared to 3.94% in the fourth quarter 2023. Yield growth was offset by Consumer loans decreasing from 7.14% to 6.89% in the fourth quarter year over year.

Total interest expense increased by 8.2% to $18.4 million in the fourth quarter 2024 compared to $17.0 million in the fourth quarter 2023 driven by an increase in cost of funds compounded with a $126.5 million increase in deposits and a shift in the mix of deposits from interest-bearing demand and savings to money market and time deposits. Interest-bearing demand and savings decreased $48.6 million and time deposits increased $130 million in 2024 compared to the same quarter 2023. Money Market accounts increased $35.5 million in the fourth quarter 2024 compared to 2023. Borrowings decreased to $2.2 million in the fourth quarter 2024 compared to $4.1 million from the fourth quarter 2023, driven by a $40.9 million in paydowns and a 44 basis point decrease in costs to 4.20% in the fourth quarter 2024 compared to 4.64% in the fourth quarter 2023.

The provision for credit losses on loans was a recapture of $147 thousand in fourth quarter 2024 compared to a provision of $687 thousand in the fourth quarter 2023 as net charge-offs remain stable and minimal and credit quality continues to remain strong. The provision for credit losses on available for sale securities increased $1.2 million in the fourth quarter 2024 driven by a deterioration in scheduled interest payments and estimated future cash flows on two securities as noted above. A reserve was recorded for $603 thousand on interest which was charged-off and a $568 thousand reserve on unrealized credit losses.

Non-interest income was $9.4 million in the fourth quarter 2024 compared to $8.7 million in the same quarter 2023. Wealth management income grew 9.1% to $3.7 million compared to $3.4 million in the fourth quarter 2023. Non-brokerage assets under management grew 13.2% to $2.8 billion from $2.5 billion in the fourth quarter 2024 compared to the previous year driven by higher security valuations and a 4.8% growth in the managed accounts. Customer derivative income increased $344 thousand to $495 thousand compared to $151 thousand in the fourth quarter 2023 driven by an increase in dollars and volume on customer swaps due to the interest rate environment. Increases were offset by a $187 thousand or 4.9% decrease in customer service fees driven by lower non-sufficient funds fees and interchange income.

Non-interest expenses decreased $328 thousand to $23.9 million in the fourth quarter 2024 compared to $24.2 million in the fourth quarter 2023 driven by a recapture on provision for unfunded commitments compounded with decreases in salary and benefit expenses, losses on premises and equipment sold, outside services costs, and losses on premises held for sale, partially offset by increases in occupancy and equipment and other expenses. Unfunded commitment balances declined in the fourth quarter 2024 compared to the same quarter 2023 driving the $625 thousand recapture in reserves in the fourth quarter 2024 compared to an $85 thousand recapture in 2023. Salary and benefit expenses decreased 1%, or $153 thousand in the fourth quarter 2024 compared to 2023 driven by the higher discount rate on postretirement liabilities. Losses on sales of premises and equipment decreased $210 thousand driven by ATM upgrades in the fourth quarter of 2024 compared to facilities upgrades in the fourth quarter of 2023. Acquisition, conversion and other expenses decreased $263 thousand driven by losses recorded in premises held for sale for the Avery Lane property in the fourth quarter 2023 which was sold in the second quarter 2024. Outside services decreased $143 thousand driven by cost savings initiatives in the fourth quarter 2024 compared to the fourth quarter 2023. Occupancy and Equipment costs increased $353 thousand in 2024 compared to 2023 driven by an increase in leasehold extension agreements compared to the prior year. Other expenses increased $719 thousand to $4.3 million from $3.6 million in the fourth quarter 2023 primarily due to a decrease in cash surrender value of a split dollar insurance arrangement for $353 thousand, an increase of $177 thousand in credit, debit and ATM card expenses, and increased charitable contributions of $134 thousand.

Income tax expense was $2.6 million for the fourth quarter of 2024 and 2023, respectively. Our effective tax rate for the period ended December 31, 2024 was 19% compared to 21% in the fourth quarter 2023.

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BACKGROUND

Bar Harbor Bankshares (NYSE American: BHB) is the parent company of its wholly-owned subsidiary, Bar Harbor Bank & Trust. Founded in 1887, Bar Harbor Bank & Trust is a true community bank serving the financial needs of its clients for over 135 years. Bar Harbor Bank & Trust provides full-service community banking with office locations in all three Northern New England states of Maine, New Hampshire and Vermont. For more information, visit www.barharbor.bank.

FORWARD-LOOKING STATEMENTS

All statements, other than statements of historical fact, included in this release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. When used in this release the words "believe," "anticipate," "expect," "may," "will," "assume," "should," "predict," "could," "would," "intend," "targets," "estimates," "projects," "plans," and "potential," and other similar words and expressions of the future, are intended to identify such forward-looking statements, but other statements not based on historical information may also be considered forward-looking, including statements relating to Company's balance sheet management, our credit trends, our overall credit performance, and the Company's strategic plans, objectives, and intentions. All forward-looking statements are subject to risks, uncertainties, and other factors that may cause the actual results, performance, or achievements of the Company to differ materially from any results, performance, or achievements expressed or implied by such forward-looking statements. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could cause the actual results to differ materially from the statements, including, but not limited to: (1) changes in general business and economic conditions on a national basis and in our markets throughout Northern New England; (2) changes in consumer behavior due to political, business, and economic conditions, including inflation and concerns about liquidity; (3) the possibility that our asset quality could decline or that we experience greater loan losses than anticipated; (4) the impact of liquidity needs on our results of operations and financial condition; (5) changes in the size and nature of our competition; (6) the effect of interest rate increases on the cost of deposits; (7) unanticipated weakness in loan demand, pricing or collectability; (8) the possibility that future credit losses are higher than currently expected due to changes in economic assumptions or adverse economic developments; (9) operational risks including, but not limited to, changes in information technology, cybersecurity incidents, fraud, natural disasters, climate change, war, terrorism, civil unrest, and future pandemics; (10) lack of strategic growth opportunities or our failure to execute on available opportunities; (11) our ability to effectively manage problem credits; (12) our ability to successfully develop new products and implement efficiency initiatives on time and with the results projected; (13) our ability to retain executive officers and key employees and their customer and community relationships; (14) regulatory, litigation, and reputational risks and the applicability of insurance coverage; (15) changes in the reliability of our vendors, internal control systems or information systems; (16) the potential impact of climate change; (17) changes in legislation or regulation and accounting principles, policies, and guidelines; (18) reductions in the market value or outflows of wealth management assets under management; and (19) changes in the assumptions used in making such forward-looking statements. Additional factors which could affect the forward-looking statements can be found in the Company's annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K filed with the Securities and Exchange Commission (the "SEC") and available on the SEC's website at http://www.sec.gov. The Company believes the forward-looking statements contained herein are reasonable; however, many of such risks, uncertainties, and other factors are beyond the Company's ability to control or predict and undue reliance should not be placed on any forward-looking statements, which are based on current expectations and speak only as of the date that they are made. Therefore, the Company can give no assurance that its future results will be as estimated. The Company does not intend to, and disclaims any obligation to, update or revise any forward-looking statement.

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NON-GAAP FINANCIAL MEASURES

This document contains certain non-GAAP financial measures in addition to results presented in accordance with accounting principles generally accepted in the United States of America ("GAAP"). These non-GAAP measures are intended to provide the reader with additional supplemental perspectives on operating results, performance trends, and financial condition. Non-GAAP financial measures are not a substitute for GAAP measures; they should be read and used in conjunction with the Company's GAAP financial information. Because non-GAAP financial measures presented in this document are not measurements determined in accordance with GAAP and are susceptible to varying calculations, these non-GAAP financial measures, as presented, may not be comparable to other similarly titled measures presented by other companies. A reconciliation of non-GAAP financial measures to GAAP measures is provided below. In all cases, it should be understood that non-GAAP measures do not depict amounts that accrue directly to the benefit of shareholders. An item which management excludes when computing non-GAAP core earnings can be of substantial importance to the Company's results for any particular quarter or year. Each non-GAAP measure used by the Company in this report as supplemental financial data should be considered in conjunction with the Company's GAAP financial information.

The Company utilizes the non-GAAP measure of core earnings in evaluating operating trends, including components for core revenue and expense. These measures exclude amounts which the Company views as unrelated to its normalized operations, including gains/losses on securities, premises, equipment and other real estate owned, acquisition costs, restructuring costs, legal settlements, and systems conversion costs. Non-GAAP adjustments are presented net of an adjustment for income tax expense.

The Company also calculates core earnings per share based on its measure of core earnings. The Company views these amounts as important to understanding its operating trends, particularly due to the impact of accounting standards related to acquisition activity. Analysts also rely on these measures in estimating and evaluating the Company's performance. Management also believes that the computation of non-GAAP core earnings and core earnings per share may facilitate the comparison of the Company to other companies in the financial services industry. The Company also adjusts certain equity related measures to exclude intangible assets due to the importance of these measures to the investment community.

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CONTACTS

Josephine Iannelli; EVP, Chief Financial Officer & Treasurer; (207) 288-3314

TABLE

INDEX CONSOLIDATED FINANCIAL SCHEDULES (UNAUDITED)

I-J

Reconciliation of Non-GAAP Financial Measures (Five Quarter Trend) and Supplementary Data

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BAR HARBOR BANKSHARES

SELECTED FINANCIAL HIGHLIGHTS - UNAUDITED

At or for the Quarters Ended

Dec 31,

Sep 30,

Jun 30,

Mar 31,

Dec 31,

2024

2023

PER SHARE DATA

Net earnings, diluted

0.72

0.80

0.67

0.66

0.65

Core earnings, diluted (1)

0.72

0.80

0.66

0.68

Total book value

30.00

30.12

28.81

28.64

28.48

Tangible book value (1)

21.93

22.02

20.68

20.48

20.28

Market price at period end

30.58

30.84

26.88

26.48

29.36

Dividends

0.30

0.28

PERFORMANCE RATIOS (2)

Return on assets

1.09 %

1.20 %

1.04 %

1.03 %

1.00

Core return on assets (1)

1.09

1.20

1.02

1.03

1.04

Pre-tax, pre-provision return on assets

1.44

1.37

1.36

1.32

1.34

Core pre-tax, pre-provision return on assets (1)

1.45

1.37

1.33

1.32

1.39

Return on equity

9.52

10.68

9.46

9.32

9.43

Core return on equity (1)

9.57

10.68

9.25

9.32

9.82

Return on tangible equity

13.23

14.90

13.44

13.26

13.65

Core return on tangible equity (1)

13.29

14.90

13.15

13.27

14.21

Net interest margin, fully taxable equivalent (1) (3)

3.17

3.15

3.09

3.14

3.17

Efficiency ratio (1)

59.84

62.09

62.78

62.71

61.22

FINANCIAL DATA (In millions)

Total assets

4,083

4,030

4,034

3,959

3,971

Total earning assets (4)

3,782

3,720

3,726

3,663

3,664

Total investments

533

543

528

538

547

Total loans

3,147

3,082

3,064

3,012

2,999

Allowance for credit losses

Total goodwill and intangible assets

123

124

Total deposits

3,268

3,261

3,140

3,127

3,141

Total shareholders' equity

458

460

439

436

432

Net income

Core earnings (1)

ASSET QUALITY AND CONDITION RATIOS

Net charge-offs (recoveries)(5)/average loans

0.02 %

0.01 %

0.07

Allowance for credit losses on loans/total loans

0.91

0.94

Loans/deposits

Shareholders' equity to total assets

11.23

11.41

10.88

11.01

10.88

Tangible shareholders' equity to tangible assets

8.46

8.61

8.06

8.13

8.00

BAR HARBOR BANKSHARES

CONSOLIDATED BALANCE SHEETS - UNAUDITED

Dec 31,

Sep 30,

Jun 30,

Mar 31,

Dec 31,

(in thousands)

2024

2023

Assets

Cash and due from banks

34,266

39,877

39,673

30,770

42,221

Interest-earning deposits with other banks

37,896

41,343

62,163

45,449

52,621

Total cash and cash equivalents

72,162

81,220

101,836

76,219

94,842

Securities available for sale

521,018

535,892

512,928

527,603

534,574

Federal Home Loan Bank stock

12,237

7,600

14,755

9,960

12,788

Total securities

533,255

543,492

527,683

537,563

547,362

Less: Allowance for credit losses on securities available for

sale

(568)

Net securities

532,687

543,492

527,683

537,563

547,362

Loans held for sale

1,235

1,272

3,897

3,137

2,189

Total loans

3,147,096

3,081,735

3,064,181

3,011,672

2,999,049

Less: Allowance for credit losses on loans

(28,744)

(29,023)

(28,855)

(28,355)

(28,142)

Net loans

3,118,352

3,052,712

3,035,326

2,983,317

2,970,907

Premises and equipment, net

51,237

51,644

51,628

47,849

48,287

Other real estate owned

Goodwill

119,477

Other intangible assets

3,938

4,171

4,404

4,637

4,869

Cash surrender value of bank-owned life insurance

81,858

81,824

81,221

80,642

80,037

Deferred tax asset, net

23,330

20,923

24,750

23,849

22,979

Other assets

79,051

73,192

83,978

82,285

79,936

Total assets

4,083,327

4,029,927

4,034,200

3,958,975

3,970,885

Liabilities and shareholders' equity

Non-interest bearing demand

575,649

604,963

553,067

544,495

569,714

Interest-bearing demand

910,191

913,910

882,068

888,591

946,978

Savings

545,816

544,235

544,980

551,493

553,963

Money market

405,758

380,624

359,208

365,289

370,242

Time

830,274

817,354

801,143

777,208

700,260

Total deposits

3,267,688

3,261,086

3,140,466

3,127,076

3,141,157

Senior borrowings

249,981

186,207

329,349

269,437

271,044

Subordinated borrowings

40,620

60,580

60,541

60,501

60,461

Total borrowings

290,601

246,787

389,890

329,938

331,505

Other liabilities

66,610

62,138

64,937

66,247

66,164

Total liabilities

3,624,899

3,570,011

3,595,293

3,523,261

3,538,826

Total shareholders' equity

458,428

459,916

438,907

435,714

432,059

Total liabilities and shareholders' equity

4,083,327

4,029,927

4,034,200

3,958,975

3,970,885

Net shares outstanding

15,280

15,268

15,232

15,212

15,172

BAR HARBOR BANKSHARES

CONSOLIDATED LOAN & DEPOSIT ANALYSIS - UNAUDITED

LOAN ANALYSIS

Annualized

Dec 31,

Sep 30,

Jun 30,

Mar 31,

Dec 31,

Growth %

Quarter

Year

(in thousands)

2024

2023

to Date

Commercial real estate

1,741,223

$ 1,677,310

1,634,658

1,574,802

1,552,061

12 %

Commercial and industrial

388,599

382,554

421,297

412,567

400,169

(3)

Total commercial loans

2,129,822

2,059,864

2,055,955

1,987,369

1,952,230

Residential real estate

826,492

836,566

854,718

873,213

889,904

(5)

(7)

Consumer

103,803

103,415

99,776

95,838

97,001

Tax exempt and other

86,979

81,890

53,732

55,252

59,914

Total loans

3,147,096

$ 3,081,735

3,064,181

3,011,672

2,999,049

8 %

5 %

DEPOSIT ANALYSIS

Annualized

Dec 31,

Sep 30,

Jun 30,

Mar 31,

Dec 31,

Growth %

Quarter

Year

(in thousands)

2024

2023

to Date

Non-interest bearing demand

575,649

$ 604,963

553,067

544,495

569,714

(19)

1 %

Interest-bearing demand

910,191

913,910

882,068

888,591

946,978

(2)

(4)

Savings

545,816

544,235

544,980

551,493

553,963

(1)

Money market

405,758

380,624

359,208

365,289

370,242

Total non-maturity deposits

2,437,414

2,443,732

2,339,323

2,349,868

2,440,897

(1)

Time

830,274

817,354

801,143

777,208

700,260

Total deposits

3,267,688

$ 3,261,086

3,140,466

3,127,076

3,141,157

4 %

BAR HARBOR BANKSHARES

CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED

Three Months Ended

Year Ended

(in thousands, except per share data)

December 31,

2024

2023

2024

2023

Interest and dividend income

Loans

41,700

39,531

163,846

149,420

Securities and other

5,783

6,284

24,878

24,762

Total interest and dividend income

47,483

45,815

188,724

174,182

Interest expense

Deposits

16,210

12,962

61,696

38,232

Borrowings

2,206

4,060

13,189

18,275

Total interest expense

18,416

17,022

74,885

56,507

Net interest income

29,067

28,793

113,839

117,675

Provision for credit losses on securities available for sale

1,171

Provision for credit losses on loans

(147)

687

955

2,908

Net interest income after provision for credit losses

28,043

28,106

111,713

114,767

Non-interest income

Trust and investment management fee income

3,709

3,401

15,701

14,283

Customer service fees

3,604

3,791

14,839

15,168

Gain on sales of securities, net

Mortgage banking income

597

515

2,093

1,587

Bank-owned life insurance income

590

533

2,304

2,699

Customer derivative income

495

151

928

409

Other income

397

305

973

893

Total non-interest income

9,392

8,696

36,888

35,073

Non-interest expense

Salaries and employee benefits

13,358

13,511

54,849

52,516

Occupancy and equipment

3,634

3,282

13,788

13,386

Depreciation

1,042

1,027

4,196

4,198

Loss (gain) on sales of premises and equipment, net

281

(192)

182

Outside services

372

515

1,558

1,671

Professional services

343

369

1,422

1,586

Communication

189

190

759

697

Marketing

492

485

2,014

1,696

Amortization of intangible assets

233

932

FDIC assessment

457

1,808

1,743

Acquisition, conversion and other expenses

263

283

Provision for unfunded commitments

(625)

(775)

(85)

Other expenses

4,319

3,600

15,608

13,918

Total non-interest expense

23,885

24,213

95,987

92,723

Income before income taxes

13,550

12,589

52,614

57,117

Income tax expense

2,551

2,644

9,070

12,265

Net income

10,999

9,945

43,544

44,852

Earnings per share:

Basic

0.72

0.66

2.86

2.96

Diluted

0.72

0.65

2.84

2.95

Weighted average shares outstanding:

Basic

15,261

15,164

15,240

15,142

Diluted

15,346

15,221

15,311

15,195

Disclaimer

Bar Harbor Bankshares Inc. published this content on January 23, 2025, and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on January 23, 2025 at 21:40:41.877.