blueharbor bank Reports Second Quarter 2022 Net Income

Rhea-AI Summary

blueharbor bank reported a significant net income of $1,597,991 for Q2 2022, marking a 50% increase compared to Q2 2021. For the first half of 2022, net income reached $2,864,724, up 29% year-over-year. Total assets expanded to $423.1 million, reflecting a 3% increase since year-end 2021. Gross loans also rose to $311.4 million, revealing an 18% increase from June 2021. Despite a rise in noninterest expense to $1,941,414, the bank remains capitalized with total risk-based capital at 13.6%.

Positive

• Net income increased by 50% to $1,597,991 in Q2 2022.
• Total assets grew by 3% to $423.1 million since December 31, 2021.
• Gross loans increased by 18% to $311.4 million compared to June 2021.
• Net interest income rose by 34% to $3,304,115 in Q2 2022.
• Noninterest income grew by $134,267 to $713,435 in Q2 2022.
• Asset quality remained strong with non-performing assets at only 0.02%.

Negative

• Noninterest expense increased by $261,229 to $1,941,414 due to higher salaries and benefits.

MOORESVILLE, N.C., July 19, 2022 /PRNewswire/ -- blueharbor bank (the "Bank") today reported net income of $1,597,991 and $0.53 per diluted share for the second quarter of 2022, an increase of 50% or $533,677 as compared to $1,064,314 and $0.35 per diluted share for the second quarter of 2021.  For the six months ended June 30, 2022, the Bank reported net income of $2,864,724 and $0.94 per diluted share, an increase of 29% or $643,135 as compared to $2,221,589 and $0.73 per diluted share for the same six months in 2021.

The Bank reported total assets of $423.1 million at June 30, 2022, an increase of $12.3 million, or 3%, when compared to $410.8 million at December 31, 2021, and an increase of $33.2 million, or 9%, when compared to June 30, 2021. Gross loans increased $25.1 million, to $311.4 million at June 30, 2022, from $286.3 million at December 31, 2021. When compared to June 30, 2021, gross loans increased $47.4 million, or 18%. Organic loan growth was $26.7 million, or 19% annualized, for the six months ending June 30, 2022, when excluding Paycheck Protection Program ("PPP") loans. Total deposits were $379.5 million at June 30, 2022, an increase of $12.8 million, or 3%, when compared to $366.7 million at December 31, 2021, and an increase of $30.9 million, or 9% when compared to June 30, 2021.

Asset quality remained very strong with total non-performing assets representing only 0.02% of total assets at June 30, 2022. This ratio is the same as the ratio reported December 31, 2021.

Capital levels also remained very solid at the end of the second quarter with total risk-based capital at 13.6%, both common equity tier 1 and tier 1 to risk-weighted assets of 12.7%, and tier 1 leverage ratio of 9.7%.

Net interest income, a key metric we follow closely, was $3,304,115 for the quarter ending June 30, 2022, an increase of $842,207, or 34%, from the same period in 2021. The change in net interest income was due to loan growth, increase in yield on earning assets, and decrease in our cost of funds over the past 12 months.

For the Quarter ending June 30, 2022, $22,123 in provision for loan losses was recorded, and no provision for loan losses was recorded in the quarter ended June 30, 2021.  The allowance for loan losses to total loans was 0.98% at June 30, 2022.

Noninterest income was $713,435 for the quarter ended June 30, 2022, an increase of $134,267 over $579,168 that was recorded for the quarter ended June 30, 2021.

Noninterest expense was $1,941,414 for the quarter ended June 30, 2022 compared to $1,680,185 for the quarter ended June 30, 2021. The increase of $261,229 was due to increases in salary and benefit expenses and data processing fees.

Jim Marshall, President and Chief Executive Officer, commented, "Our deposit and loan customers appear to be in very nice shape heading into the second half of the year. Loan demand remains steady with nice increases over 2021 numbers. We, however, continue to be watchful and guarded given the rapid rise in borrowing costs and inflationary expenses and the resulting effect on all our customers.

Two additional bright spots are that North Carolina is now ranked as the #1 most business-friendly state in the U.S. and Iredell County continues to grow at an unprecedented rate. Nice recognition also continues to come our way as American Banker Magazine recently ranked us in the top 200 Community Banks in the U.S."

blueharbor bank is headquartered in Mooresville with additional branches in Huntersville and Statesville  and loan production offices in Belmont and Morehead City.  blueharbor bank's website is www.blueharborbank.com and our common stock is quoted on the Pink Market under the symbol "BLHK."

Summary Selected Financial Data Schedule attached below.

Forward-Looking Statement:
This press release contains forward-looking statements. Words such as "anticipates," "believes," "estimates," "expects," "intends," "should," "will," variations of such words and similar expressions are intended to identify forward-looking statements. These statements reflect management's current beliefs as to the expected outcomes of future events and are not guarantees of future performance. These statements involve certain risks, uncertainties and assumptions that are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. As such, actual results and outcomes may materially differ from what may be expressed or forecast in such forward-looking statements. Factors that could cause a difference include, among others: changes in the national and local economies or market conditions; changes in interest rates, deposit levels, loan demand and asset quality, including real estate and other collateral values; changes in banking regulations and accounting principles, policies or guidelines; and the impact of competition from traditional or new sources. These and other factors that may emerge could cause decisions and actual results to differ materially from current expectations. blueharbor bank takes no obligation to revise, update, or clarify forward-looking statements to reflect events or conditions after the date of this press release.

Summary Selected Financial Data
		(Unaudited)		(Audited)		(Unaudited)
		June 30,		December 31,		June 30,
Balance Sheet Data:		2022		2021		2021
Total Assets		$  423,107,177		$  410,808,535		$  389,899,413
Total Gross Loans		311,438,503		286,275,297		264,046,134
Allowance for Loan Losses		3,061,110		2,862,753		2,761,570
Total Deposits		379,462,059		366,731,922		348,604,126
Total Shareholders' Equity		39,458,208		39,990,927		37,527,912
		(Unaudited)				(Unaudited)
		Three Months Ended				Six Months Ended
		June 30,				June 30,
Earnings and Per Share Data:		2022		2021		2022		2021
Interest Income		$       3,426,386		$       2,707,545		$       6,519,085		$  5,494,821
Interest Expense		122,271		245,637		259,647		530,315
Net Interest Income		3,304,115		2,461,908		6,259,438		4,964,506
Provision for Loan Losses		22,123		-		173,357		-
Net Interest Income after
Provision for Loan Losses		3,281,992		2,461,908		6,086,081		4,964,506
Noninterest Income		713,435		579,168		1,404,331		1,217,947
Noninterest Expense		1,941,414		1,680,185		3,807,378		3,340,802
Net Income before Taxes		2,054,013		1,360,891		3,683,034		2,841,651
Income Taxes		456,022		296,577		818,310		620,062
Net Income		$       1,597,991		$       1,064,314		$       2,864,724		$  2,221,589
Basic Income per Share		$                 0.55		$                 0.36		$                 0.98		$            0.76
Diluted Income per Share		$                 0.53		$                 0.35		$                 0.94		$            0.73
Annualized Performance Ratios:
Return on average assets		1.48 %		1.15 %		1.33 %		1.28 %
Return on average equity		16.22 %		11.56 %		14.47 %		12.29 %
Efficiency ratio		48.3 %		55.2 %		49.7 %		54.0 %
Overhead ratio		37.2 %		44.7 %		38.4 %		42.8 %
		(Unaudited)		(Unaudited)
		June 30,		June 30,
		2022		2021
Financial Ratios:
Book Value		$               13.46		$               12.80
Nonperforming Assets to Total Assets Ratio		0.02 %		0.20 %
Tier 1 Leverage Ratio		9.7 %		10.1 %
Common Equity Tier 1 Risk-Based Capital Ratio		12.7 %		13.5 %
Tier 1 Risk-Based Capital Ratio		12.7 %		13.5 %
Total Risk-Based Capital Ratio		13.6 %		14.5 %

 

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SOURCE blueharbor bank

FAQ

What were blueharbor bank's earnings per share in Q2 2022?

blueharbor bank reported earnings per diluted share of $0.53 for Q2 2022.

How much did blueharbor bank's total assets increase in 2022?

blueharbor bank's total assets increased by $12.3 million or 3% to $423.1 million as of June 30, 2022.

What is blueharbor bank's stock symbol?

blueharbor bank's common stock is quoted on the Pink Market under the symbol 'BLHK'.

How did blueharbor bank's gross loans perform in Q2 2022?

Gross loans increased by $25.1 million to $311.4 million at June 30, 2022, an 18% increase from the previous year.

What was the net interest income for blueharbor bank in Q2 2022?

Net interest income for Q2 2022 was $3,304,115, reflecting a 34% increase from Q2 2021.