Camden National Corporation Reports Second Quarter 2025 Earnings

Rhea-AI Summary

Camden National Corporation (NASDAQ: CAC) reported strong Q2 2025 financial results, with net income of $14.1 million and diluted EPS of $0.83, representing increases of 92% and 93% respectively from Q1 2025. The quarter marked their first full period following the Northway Financial acquisition, showing positive integration results.

Key metrics include: net interest margin increase to 3.06%, efficiency ratio improvement to 60.37%, and 4% annualized loan growth. Total assets reached $6.9 billion, with loans at $4.9 billion and deposits at $5.5 billion. The company announced a cash dividend of $0.42 per share, representing a 4.14% annualized yield.

Asset quality metrics showed slight deterioration with non-performing loans increasing to 0.37% of total loans, primarily due to one commercial loan bankruptcy filing expected to be resolved in H2 2025.

Positive

• Net income increased 92% quarter-over-quarter to $14.1 million
• Pre-tax, pre-provision income grew 13% excluding merger costs
• Net interest margin expanded to 3.06%, up 2 basis points
• Loan pipeline increased 40% to $149.5 million
• Efficiency ratio improved significantly to 60.37% from 74.02%
• Strong capital ratios with CET1 at 10.88%

Negative

• Non-performing loans increased 22 basis points to 0.37% due to one commercial bankruptcy
• Deposits decreased 1% quarter-over-quarter
• Total assets declined 1% from previous quarter
• Loan-to-deposit ratio increased to 89% from 87%

Insights

Banking Financial Analyst

Camden National posted strong Q2 results with 92% earnings growth following Northway acquisition, showing successful cost synergies and improved margins.

Camden National Corporation delivered impressive Q2 2025 results with $14.1 million in net income and diluted EPS of $0.83, representing substantial increases of 92% and 93% respectively compared to Q1. These results reflect the first full quarter since completing the Northway Financial acquisition, demonstrating the strategic value of this merger.

The company's net interest margin expanded by 2 basis points to 3.06%, while efficiency metrics showed significant improvement with the GAAP efficiency ratio decreasing to 60.37% from 74.02% in Q1. This efficiency improvement stems from realized cost synergies following the integration of teams, branches, and systems in late March.

Loan growth was moderate at 4% annualized, with total loans reaching $4.9 billion. More encouraging is the 40% increase in committed loan pipelines since March, totaling $149.5 million, indicating healthy future growth potential. Asset quality metrics remain generally strong with loans 30-89 days past due at just 0.08% and annualized net charge-offs at 0.02% of average loans.

One noteworthy concern is the increase in the allowance for credit losses, which rose 12 basis points to 1.08% of total loans. This was primarily driven by a single commercial loan bankruptcy that increased non-performing loans to 0.37% of the portfolio from 0.15% in Q1. Management expects this issue to be resolved in the second half of 2025.

Capital positions remain solid with a common equity Tier 1 ratio of 10.88% and total risk-based capital ratio of 13.35%, well above regulatory requirements. The company maintained its dividend at $0.42 per share, representing a 4.14% annualized yield based on the closing share price.

Looking ahead, management anticipates continued net interest margin expansion and earnings growth in the second half of 2025, with additional cost savings to be realized as the full benefit of merger synergies materializes. The successful integration appears to be delivering the expected benefits, positioning Camden National for improved financial performance through the remainder of 2025.

Net Income of $14.1 Million and Diluted EPS of $0.83 for the Second Quarter

CAMDEN, Maine, July 29, 2025 /PRNewswire/ -- Camden National Corporation (NASDAQ: CAC; "Camden National" or the "Company") reported earnings for the quarter ended June 30, 2025, of $14.1 million and diluted earnings per share ("EPS") of $0.83, increases of 92% and 93%, respectively, compared to the first quarter of 2025.

"We're pleased to report strong results in our first full quarter as a unified organization following the Northway Financial acquisition," said Simon Griffiths, President and Chief Executive Officer of Camden National. "During the quarter, we began to unlock the financial potential of the combined franchise, with pre-tax, pre-provision income—excluding one-time merger-related expenses—increasing 13% over the prior quarter. This performance reflects achievement of cost synergies and solid revenue growth, reinforcing the strategic value of the acquisition and positioning us for continued net interest margin expansion and earnings growth in the second half of 2025."

SECOND QUARTER 2025 HIGHLIGHTS

• Net interest margin for the second quarter of 2025 increased 2 basis points to 3.06%, compared to the first quarter of 2025. On a non-GAAP basis, our core net interest margin was 2.70% for the second quarter of 2025, compared to 2.68% for the first quarter of 2025.
• The GAAP efficiency ratio for the second quarter of 2025 decreased to 60.37% and, on a non-GAAP basis, decreased to 55.47%, down from 74.02% and 58.72%, respectively, for the first quarter of 2025.
• Loans for the second quarter grew 4% on an annualized basis. At June 30, 2025, committed loan pipelines, excluding loans held for sale, were strong and totaled $149.5 million, an increase of 40% since March 31, 2025.
• Book value per share at June 30, 2025 totaled $38.54, and, on a non-GAAP basis, tangible book value per share totaled $26.90, an increase of 2% and 3%, respectively, for the second quarter of 2025.
• Loans 30-89 days past due were 0.08% of total loans at June 30, 2025, and annualized net charge-offs for the second quarter of 2025 were 0.02% of average loans.

FINANCIAL CONDITION

As of June 30, 2025, total assets were $6.9 billion, a decrease of 1% since March 31, 2025.

Investments totaled $1.4 billion on June 30, 2025, an increase of 1% since March 31, 2025. The duration of the Company's total investment portfolio was 5.3 years for both June 30, 2025, and March 31, 2025.

Loans totaled $4.9 billion on June 30, 2025, an increase of 1% since the first quarter of 2025. Linked-quarter growth in loan balances was across all segments, except for the residential loan portfolio, as we sold 39% of our residential mortgage production during the second quarter of 2025.

The allowance for credit losses ("ACL") on loans was 1.08% of total loans as of June 30, 2025, an increase of 12 basis points during the second quarter of 2025. The increase was driven by one commercial loan as the borrower filed for bankruptcy during the quarter, which resulted in an increase in non-performing loans of 22 basis points during the second quarter of 2025 to 0.37% of total loans at June 30, 2025. The Company currently anticipates the commercial loan will be resolved in the second half of this year.

Deposits totaled $5.5 billion on June 30, 2025, a decrease of 1% since March 31, 2025. The Company saw normal outflows early in the second quarter and has since begun to see normal deposit inflows as we enter the summer months across our markets. As of June 30, 2025, the Company's loan-to-deposit ratio was 89%, compared to 87% at March 31, 2025.

As of June 30, 2025, the Company's common equity Tier 1 risk-based capital ratio was 10.88%, Tier 1 risk-based capital ratio was 12.18%, total risk-based capital ratio was 13.35% and Tier 1 leverage ratio was 8.74%. The Company's regulatory capital ratios continue to be well in excess of regulatory capital requirements and continue to rebuild following the acquisition of Northway Financial, Inc. ("Northway") on January 2, 2025.

The Company announced a cash dividend of $0.42 per share, representing an annualized dividend yield of 4.14%, based on the Company's closing share price of $40.58 as reported by NASDAQ on June 30, 2025. The dividend will be payable on July 31, 2025, to shareholders of record on July 15, 2025.

FINANCIAL OPERATING RESULTS (Q2 2025 vs. Q1 2025)

Net interest income for the second quarter of 2025 was $49.2 million, an increase of $351,000, or 1%, compared to the first quarter of 2025. The increase between periods was driven by the expansion of net interest margin and, on a non-GAAP basis, core net interest margin, which excludes fair value mark accretion, of 2 basis points between periods to 3.06% and 2.70%, respectively, for the second quarter of 2025. The Company recognized $5.0 million of fair value mark accretion income in net interest income for both periods.

Provision expense of $6.9 million was recorded for the second quarter of 2025, compared to provision expense of $9.4 million recorded for the first quarter of 2025, which included the $6.3 million provision for non-purchase credit deteriorated ("non-PCD") loans acquired from Northway. The driver for the provision for loan losses for the second quarter of 2025 was the aforementioned commercial loan that was placed on non-accrual during the quarter.

Non-interest income for the second quarter of 2025 was $13.1 million, an increase of $1.9 million, or 17%, compared to the first quarter of 2025. The increase between periods was driven by: (1) an increase in mortgage banking income of $552,000, (2) an increase in debit card income of $413,000, and (3) an increase in bank-owned life insurance of $343,000.

Non-interest expense for the second quarter of 2025 was $37.6 million, a decrease of $6.9 million, or 15%, compared to the first quarter of 2025. The decrease in non-interest expense between periods reflects the decrease in merger and acquisition costs of $6.2 million associated with the Northway acquisition and expense synergies following the integration of teams, branches and systems in late-March 2025. The Company anticipates run-rate operating expenses to continue to improve during the second half of 2025 as the full benefit of cost savings is realized.

Q2 2025 CONFERENCE CALL

Camden National Corporation will host a conference call and webcast at 3:00 p.m., Eastern Time, Tuesday, July 29, 2025 to discuss its second quarter 2025 financial results and outlook. Participants should dial into the call 10 - 15 minutes before it begins. Information about the conference call is as follows:

Live dial-in (Domestic):	(833) 470-1428
Live dial-in (All other locations):	https://www.netroadshow.com/conferencing/global-numbers?confId=84905
Participant access code:	118700
Live webcast:	https://events.q4inc.com/attendee/238427677

A link to the live webcast will be available on Camden National's website under "About — Investor Relations" at CamdenNational.bank before the meeting, and a replay of the webcast will be available on Camden National's website following the conference call. The conference call transcript will also be available on Camden National's website approximately two days after the conference call.

ABOUT CAMDEN NATIONAL CORPORATION

Camden National Corporation (NASDAQ: CAC) is Northern New England's largest publicly traded bank holding company, with $6.9 billion in assets. Founded in 1875, Camden National Bank has 72 banking centers in Maine and New Hampshire, is a full-service community bank offering the latest digital banking, complemented by award-winning, personalized service. Additional information is available at CamdenNational.bank. Member FDIC. Equal Housing Lender.

Comprehensive wealth management, investment, and financial planning services are delivered by Camden National Wealth Management.

FORWARD-LOOKING STATEMENTS

Certain statements contained in this press release that are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including certain plans, expectations, goals, projections, and other statements, which are subject to numerous risks, assumptions, and uncertainties. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like "believe," "expect," "anticipate," "estimate," and "intend" or future or conditional verbs such as "will," "would," "should," "could," or "may." Certain factors that could cause actual results to differ materially from expected results include increased competitive pressures; inflation; ongoing competition in labor markets and employee turnover; deterioration in the value of Camden National's investment securities; changes in consumer spending and savings habits; changes in the interest rate environment; changes in general economic conditions, including as a result of tariffs and retaliatory tariffs; operational risks including, but not limited to, cybersecurity, fraud, pandemics and natural disasters; legislative and regulatory changes that adversely affect the business in which Camden National is engaged; turmoil and volatility in the financial services industry, including failures or rumors of failures of other depository institutions which could affect Camden National's ability to attract and retain depositors, and could affect the ability of financial services providers, including the Company, to borrow or raise capital; actions taken by governmental agencies to stabilize the financial system and the effectiveness of such actions; changes to regulatory capital requirements; changes in the securities markets and other risks and uncertainties disclosed from time to time in Camden National's Annual Report on Form 10-K for the year ended December 31, 2024, as updated by other filings with the Securities and Exchange Commission ("SEC"). Further, statements regarding the potential effects of notable and global current events on the Company's business, financial condition, liquidity and results of operations may constitute forward-looking statements and are subject to the risk that the actual effects may differ, possibly materially, from what is reflected in those forward-looking statements due to factors and future developments that are uncertain, unpredictable and in many cases beyond the Company's control. Statements relating to the Company's recent acquisition of Northway may also be forward-looking statements. Factors that could cause actual results to differ materially from the forward-looking statements include the reaction to the transaction of the Company's customers, employees and counterparties; customer disintermediation; expected synergies, cost savings and other financial benefits of the transaction might not be realized within the expected timeframes or might be less than projected; and credit and interest rate risks associated with Camden's and Northway's respective businesses, customers, borrowings, repayment, investment and deposit practices. Camden National does not have any obligation to update forward-looking statements.

USE OF NON-GAAP MEASURES

In addition to evaluating the Company's results of operations in accordance with generally accepted accounting principles in the United States ("GAAP"), management supplements this evaluation with certain non-GAAP financial measures such as: adjusted net income; adjusted diluted earnings per share; adjusted return on average assets; adjusted return on average equity; pre-tax, pre-provision income; adjusted pre-tax, pre-provision income; return on average tangible equity and adjusted return on average tangible equity; the efficiency and tangible common equity ratios; core net interest margin; and tangible book value per share. Management utilizes these non-GAAP financial measures for purposes of measuring our performance against our peer group and other financial institutions and analyzing our internal performance. We also believe these non-GAAP financial measures help investors better understand the Company's operating performance and trends and allow for better performance comparisons to other financial institutions. In addition, these non-GAAP financial measures remove the impact of unusual items that may obscure trends in the Company's underlying performance. These disclosures should not be viewed as a substitute for GAAP operating results, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other financial institutions. Reconciliations to the comparable GAAP financial measures can be found in this document.

ANNUALIZED DATA

Certain returns, yields and performance ratios are presented on an "annualized" basis. This is done for analytical and decision-making purposes to better discern underlying performance trends when compared to full-year or year-over-year amounts. Annualized data may not be indicative of any four-quarter period and is presented for illustrative purposes only.

Selected Financial Data (unaudited)
		At or For The Three Months Ended						At or For The Six Months Ended
(In thousands, except number of shares and per share data)		June 30, 2025		March 31, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Financial Condition Data
Loans		$  4,931,369		$   4,885,086		$   4,139,361		$   4,931,369		$   4,139,361
Total assets		6,920,044		6,964,785		5,724,380		6,920,044		5,724,380
Deposits		5,514,712		5,597,478		4,514,020		5,514,712		4,514,020
Shareholders' equity		652,148		640,054		508,286		652,148		508,286
Operating Data and Per Share Data
Net income		$       14,081		$          7,326		$        11,993		$        21,407		$        25,265
Adjusted net income (non-GAAP)(1)		15,191		16,047		11,993		31,238		24,546
Adjusted pre-tax, pre-provision income (non-GAAP)(1)		26,085		23,128		15,519		49,213		29,752
Diluted EPS		0.83		0.43		0.81		1.26		1.72
Adjusted diluted EPS (non-GAAP)(1)		0.89		0.95		0.81		1.84		1.67
Profitability Ratios
Return on average assets		0.82 %		0.43 %		0.84 %		0.63 %		0.89 %
Adjusted return on average assets (non-GAAP)(1)		0.89 %		0.94 %		0.84 %		0.91 %		0.87 %
Return on average equity		8.77 %		4.75 %		9.60 %		6.80 %		10.18 %
Adjusted return on average equity (non-GAAP)(1)		9.47 %		10.40 %		9.60 %		9.92 %		9.89 %
Adjusted return on average tangible equity (non-GAAP)(1)		14.71 %		16.40 %		11.96 %		15.53 %		12.34 %
GAAP efficiency ratio		60.37 %		74.02 %		63.77 %		67.07 %		64.76 %
Efficiency ratio (non-GAAP)(1)		55.47 %		58.72 %		63.21 %		57.06 %		64.19 %
Net interest margin (fully-taxable equivalent)		3.06 %		3.04 %		2.36 %		3.05 %		2.32 %
Core net interest margin (fully-taxable equivalent) (non-GAAP)(1)		2.70 %		2.68 %		2.36 %		2.69 %		2.32 %
Asset Quality Ratios
ACL on loans to total loans		1.08 %		0.96 %		0.86 %		1.08 %		0.86 %
Non-performing loans to total loans		0.37 %		0.15 %		0.19 %		0.37 %		0.19 %
Loans 30-89 days past due to total loans		0.08 %		0.07 %		0.05 %		0.08 %		0.05 %
Annualized net charge-offs to average loans		0.02 %		0.08 %		0.04 %		0.05 %		0.03 %
Capital Ratios
Common equity ratio		9.42 %		9.19 %		8.88 %		9.42 %		8.88 %
Tangible common equity ratio (non-GAAP)(1)		6.77 %		6.49 %		7.34 %		6.77 %		7.34 %
Book value per share		$         38.54		$          37.91		$          34.89		$          38.54		$          34.89
Tangible book value per share (non-GAAP)(1)		$         26.90		$          26.02		$          28.34		$          26.90		$          28.34
Tier 1 leverage capital ratio		8.74 %		8.58 %		9.64 %		8.74 %		9.64 %
Total risk-based capital ratio		13.35 %		13.13 %		14.46 %		13.35 %		14.46 %

(1)	This is a non-GAAP measure, please see "Reconciliation of non-GAAP to GAAP Financial Measures (unaudited)."

 

Consolidated Statements of Condition Data (unaudited)
(In thousands)		June 30, 2025		March 31, 2025		June 30, 2024		% Change Jun 2025 vs. Mar 2025		% Change Jun 2025 vs. Jun 2024
ASSETS
Cash, cash equivalents and restricted cash		$          113,815		$          219,414		$          105,560		(48) %		8 %
Investments:
Trading securities		5,326		4,860		4,959		10 %		7 %
Available-for-sale securities, at fair value		860,217		836,130		579,534		3 %		48 %
Held-to-maturity securities, at amortized cost		509,298		516,682		533,600		(1) %		(5) %
Other investments		26,879		26,284		17,105		2 %		57 %
Total investments		1,401,720		1,383,956		1,135,198		1 %		23 %
Loans held for sale, at fair value		22,567		11,059		14,321		104 %		58 %
Loans:
Commercial real estate		2,089,977		2,067,098		1,697,979		1 %		23 %
Commercial		506,883		487,409		409,682		4 %		24 %
Residential real estate		2,018,332		2,028,062		1,768,357		— %		14 %
Consumer and home equity		316,177		302,517		263,343		5 %		20 %
Total loans		4,931,369		4,885,086		4,139,361		1 %		19 %
Less: allowance for credit losses on loans		(53,022)		(46,723)		(35,412)		13 %		50 %
Net loans		4,878,347		4,838,363		4,103,949		1 %		19 %
Goodwill and core deposit intangible assets		197,031		200,770		95,390		(2) %		107 %
Other assets		306,564		311,223		269,962		(1) %		14 %
Total assets		$       6,920,044		$       6,964,785		$       5,724,380		(1) %		21 %
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities
Deposits:
Non-interest checking		$       1,118,080		$       1,132,648		$          921,605		(1) %		21 %
Interest checking		1,663,335		1,714,944		1,465,560		(3) %		13 %
Savings and money market		1,823,275		1,828,332		1,399,464		— %		30 %
Certificates of deposit		698,185		703,873		576,563		(1) %		21 %
Brokered deposits		211,837		217,681		150,828		(3) %		40 %
Total deposits		5,514,712		5,597,478		4,514,020		(1) %		22 %
Short-term borrowings		599,367		567,436		552,606		6 %		8 %
Junior subordinated debentures		61,365		61,290		44,331		— %		38 %
Accrued interest and other liabilities		92,452		98,527		105,137		(6) %		(12) %
Total liabilities		6,267,896		6,324,731		5,216,094		(1) %		20 %
Commitments and Contingencies
Shareholders' Equity
Common stock, no par value		214,365		213,589		115,543		— %		86 %
Retained earnings		515,662		508,720		493,974		1 %		4 %
Accumulated other comprehensive loss:
Net unrealized loss on debt securities, net of tax		(84,324)		(89,613)		(110,308)		(6) %		(24) %
Net unrealized gain on cash flow hedging derivative instruments, net of tax		6,045		6,953		9,327		(13) %		(35) %
Net unrecognized loss on postretirement plans, net of tax		400		405		(250)		(1) %		(260) %
Total accumulated other comprehensive loss		(77,879)		(82,255)		(101,231)		(5) %		(23) %
Total shareholders' equity		652,148		640,054		508,286		2 %		28 %
Total liabilities and shareholders' equity		$       6,920,044		$       6,964,785		$       5,724,380		(1) %		21 %

 

Consolidated Statements of Income Data (unaudited)
		For The Three Months Ended
(In thousands, except per share data)		June 30, 2025		March 31, 2025		June 30, 2024		% Change Jun 2025 vs. Mar 2025		% Change Jun 2025 vs. Jun 2024
Interest Income
Interest and fees on loans		$            67,477		$            66,549		$            53,422		1 %		26 %
Taxable interest on investments		10,257		9,772		6,807		5 %		51 %
Nontaxable interest on investments		455		468		461		(3) %		(1) %
Dividend income		493		520		521		(5) %		(5) %
Other interest income		641		1,086		951		(41) %		(33) %
Total interest income		79,323		78,395		62,162		1 %		28 %
Interest Expense
Interest on deposits		24,594		24,621		24,169		— %		2 %
Interest on borrowings		4,620		4,018		5,285		15 %		(13) %
Interest on junior subordinated debentures		900		898		524		— %		72 %
Total interest expense		30,114		29,537		29,978		2 %		— %
Net interest income		49,209		48,858		32,184		1 %		53 %
Provision for credit losses		6,920		9,429		650		(27) %		N.M.
Net interest income after provision for credit losses		42,289		39,429		31,534		7 %		34 %
Non-Interest Income
Debit card income		3,646		3,233		3,069		13 %		19 %
Service charges on deposit accounts		2,405		2,318		2,113		4 %		14 %
Income from fiduciary services		1,981		1,838		1,870		8 %		6 %
Brokerage and insurance commissions		1,794		1,697		1,441		6 %		24 %
Bank-owned life insurance		1,003		660		694		52 %		45 %
Mortgage banking income, net		1,060		508		516		109 %		105 %
Other income		1,178		942		942		25 %		25 %
Total non-interest income		13,067		11,196		10,645		17 %		23 %
Non-Interest Expense
Salaries and employee benefits		19,392		20,243		15,601		(4) %		24 %
Furniture, equipment and data processing		4,294		4,731		3,497		(9) %		23 %
Net occupancy costs		2,693		3,033		1,981		(11) %		36 %
Debit card expense		1,725		1,690		1,311		2 %		32 %
Amortization of core deposit intangible assets		1,473		1,473		139		— %		N.M.
Merger and acquisition costs		1,405		7,525		—		(81) %		N.M.
Consulting and professional fees		1,310		1,498		1,149		(13) %		14 %
Regulatory assessments		1,127		986		813		14 %		39 %
Other real estate owned and collection costs, net		91		90		47		1 %		94 %
Other expenses		4,086		3,182		2,772		28 %		47 %
Total non-interest expense		37,596		44,451		27,310		(15) %		38 %
Income before income tax expense (benefit)		17,760		6,174		14,869		188 %		19 %
Income Tax Expense (Benefit)		3,679		(1,152)		2,876		(419) %		28 %
Net Income		$            14,081		$              7,326		$            11,993		92 %		17 %
Per Share Data
Basic earnings per share		$                0.84		$                 0.43		$                 0.82		95 %		2 %
Diluted earnings per share		$                0.83		$                 0.43		$                 0.81		93 %		2 %

N.M. = Not meaningful

 

Consolidated Statements of Income Data (unaudited)
		For The Six Months Ended
(In thousands, except per share data)		June 30, 2025		June 30, 2024		% Change Jun 2025 vs. Jun 2024
Interest Income
Interest and fees on loans		$          134,026		$          105,131		27 %
Taxable interest on investments		20,029		13,834		45 %
Nontaxable interest on investments		923		926		— %
Dividend income		1,013		833		22 %
Other interest income		1,727		1,621		7 %
Total interest income		157,718		122,345		29 %
Interest Expense
Interest on deposits		49,215		47,347		4 %
Interest on borrowings		8,638		10,483		(18) %
Interest on junior subordinated debentures		1,798		1,058		70 %
Total interest expense		59,651		58,888		1 %
Net interest income		98,067		63,457		55 %
Provision (credit) for credit losses		16,349		(1,452)		N.M.
Net interest income after provision (credit) for credit losses		81,718		64,909		26 %
Non-Interest Income
Debit card income		6,879		5,935		16 %
Service charges on deposit accounts		4,723		4,140		14 %
Income from fiduciary services		3,819		3,619		6 %
Brokerage and insurance commissions		3,491		2,680		30 %
Bank-owned life insurance		1,663		1,377		21 %
Mortgage banking income, net		1,568		1,324		18 %
Other income		2,120		1,892		12 %
Total non-interest income		24,263		20,967		16 %
Non-Interest Expense
Salaries and employee benefits		39,635		31,555		26 %
Furniture, equipment and data processing		9,025		7,126		27 %
Merger and acquisition costs		8,930		—		N.M.
Net occupancy costs		5,726		4,051		41 %
Debit card expense		3,415		2,575		33 %
Amortization of core deposit intangible assets		2,946		278		N.M.
Consulting and professional fees		2,808		2,009		40 %
Regulatory assessments		2,113		1,670		27 %
Other real estate owned and collection costs, net		181		57		218 %
Other expenses		7,268		5,351		36 %
Total non-interest expense		82,047		54,672		50 %
Income before income tax expense		23,934		31,204		(23) %
Income Tax Expense		2,527		5,939		(57) %
Net Income		$            21,407		$            25,265		(15) %
Per Share Data
Basic earnings per share		$                1.27		$                 1.73		(27) %
Diluted earnings per share		$                1.26		$                 1.72		(27) %

N.M. = Not meaningful

 

Quarterly Average Balance and Yield/Rate Analysis (unaudited)
		Average Balance						Yield/Rate
		For The Three Months Ended						For The Three Months Ended
(Dollars in thousands)		June 30, 2025		March 31, 2025		June 30, 2024		June 30, 2025		March 31, 2025		June 30, 2024
Assets
Interest-earning assets:
Interest-bearing deposits in other banks and other interest-earning assets		$           43,530		$            84,211		$            50,266		4.47 %		4.44 %		6.06 %
Investments - taxable		1,396,669		1,375,818		1,162,941		3.12 %		3.04 %		2.58 %
Investments - nontaxable(1)		61,044		62,485		61,794		3.78 %		3.79 %		3.78 %
Loans(2):
Commercial real estate		2,076,129		2,065,534		1,701,431		5.72 %		5.69 %		5.09 %
Commercial(1)		407,677		409,037		387,337		6.17 %		6.37 %		6.51 %
Municipal(1)		82,768		90,554		16,351		4.68 %		6.17 %		4.84 %
Residential real estate		2,037,852		2,034,024		1,772,707		4.84 %		4.71 %		4.48 %
Consumer and home equity		308,938		303,147		260,384		7.36 %		7.39 %		7.93 %
Total loans		4,913,364		4,902,296		4,138,210		5.48 %		5.45 %		5.14 %
Total interest-earning assets		6,414,607		6,424,810		5,413,211		4.94 %		4.91 %		4.58 %
Other assets		471,188		477,556		323,065
Total assets		$      6,885,795		$       6,902,366		$       5,736,276
Liabilities & Shareholders' Equity
Deposits:
Non-interest checking		$      1,103,025		$       1,107,398		$          901,774		— %		— %		— %
Interest checking		1,636,620		1,703,056		1,479,201		1.84 %		1.85 %		2.52 %
Savings		959,987		894,803		624,034		1.20 %		0.98 %		0.52 %
Money market		848,604		918,637		760,844		2.66 %		2.63 %		3.41 %
Certificates of deposit		703,091		706,851		583,282		3.57 %		3.72 %		3.90 %
Total deposits		5,251,327		5,330,745		4,349,135		1.70 %		1.70 %		2.05 %
Borrowings:
Brokered deposits		207,672		196,510		150,799		4.53 %		4.62 %		5.28 %
Customer repurchase agreements		234,491		236,437		185,729		1.31 %		1.29 %		1.81 %
Junior subordinated debentures		61,325		61,282		44,331		5.88 %		5.94 %		4.75 %
Other borrowings		398,408		348,402		401,144		3.88 %		3.80 %		4.46 %
Total borrowings		901,896		842,631		782,003		3.50 %		3.44 %		4.00 %
Total funding liabilities		6,153,223		6,173,376		5,131,138		1.96 %		1.94 %		2.35 %
Other liabilities		88,790		103,201		102,658
Shareholders' equity		643,782		625,789		502,480
Total liabilities & shareholders' equity		$      6,885,795		$       6,902,366		$       5,736,276
Net interest rate spread (fully-taxable equivalent)								2.98 %		2.97 %		2.23 %
Net interest margin (fully-taxable equivalent)								3.06 %		3.04 %		2.36 %
Core net interest margin (fully-taxable equivalent)(3)								2.70 %		2.68 %		2.36 %

(1)	Reported on a tax-equivalent basis calculated using the federal corporate income tax rate of 21%, including certain commercial loans.
(2)	Non-accrual loans and loans held for sale are included in total average loans.
(3)	This is a non-GAAP measure. Please see "Reconciliation of non-GAAP to GAAP Financial Measures (unaudited)."

 

Year-to-Date Average Balance and Yield/Rate Analysis (unaudited)
		Average Balance				Yield/Rate
		For The Six Months Ended				For The Six Months Ended
(Dollars in thousands)		June 30, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Assets
Interest-earning assets:
Interest-bearing deposits in other banks and other interest-earning assets		$            63,971		$            47,376		4.44 %		5.25 %
Investments - taxable		1,386,239		1,175,320		3.08 %		2.56 %
Investments - nontaxable(1)		61,766		62,090		3.78 %		3.78 %
Loans(2):
Commercial real estate		2,070,874		1,692,015		5.70 %		5.02 %
Commercial(1)		408,327		388,678		6.27 %		6.28 %
Municipal(1)		86,627		15,502		5.46 %		4.63 %
Residential real estate		2,035,954		1,772,892		4.78 %		4.45 %
Consumer and home equity		306,062		258,844		7.38 %		7.91 %
Total loans		4,907,844		4,127,931		5.47 %		5.07 %
Total interest-earning assets		6,419,820		5,412,717		4.92 %		4.51 %
Other assets		474,347		314,411
Total assets		$       6,894,167		$       5,727,128
Liabilities & Shareholders' Equity
Deposits:
Non-interest checking		$       1,105,239		$          917,547		— %		— %
Interest checking		1,669,786		1,484,693		1.84 %		2.53 %
Savings		927,622		611,913		1.09 %		0.37 %
Money market		883,374		762,715		2.65 %		3.35 %
Certificates of deposit		704,952		583,044		3.65 %		3.84 %
Total deposits		5,290,973		4,359,912		1.70 %		2.01 %
Borrowings:
Brokered deposits		202,339		142,092		4.57 %		5.29 %
Customer repurchase agreements		235,479		184,108		1.30 %		1.71 %
Junior subordinated debentures		61,304		44,331		5.91 %		4.80 %
Other borrowings		373,277		401,413		3.85 %		4.47 %
Total borrowings		872,399		771,944		3.47 %		3.98 %
Total funding liabilities		6,163,372		5,131,856		1.95 %		2.31 %
Other liabilities		95,944		96,275
Shareholders' equity		634,851		498,997
Total liabilities & shareholders' equity		$       6,894,167		$       5,727,128
Net interest rate spread (fully-taxable equivalent)						2.97 %		2.20 %
Net interest margin (fully-taxable equivalent)						3.05 %		2.32 %
Core net interest margin (fully-taxable equivalent)(3)						2.69 %		2.32 %

(1)	Reported on a tax-equivalent basis calculated using the federal corporate income tax rate of 21%, including certain commercial loans.
(2)	Non-accrual loans and loans held for sale are included in total average loans.
(3)	This is a non-GAAP measure. Please see "Reconciliation of non-GAAP to GAAP Financial Measures (unaudited)."

 

Year-to-Date Organic Loans And Deposits Growth  (Unaudited)
		(A)		(B)		(C)		(D) = (A) - (B) - (C)
(In thousands)		June 30, 2025		December 31, 2024		Northway Acquisition Purchase Accounting(1)		Six Months Ended June 30, 2025 Organic Growth
Loans:
Commercial real estate		$       2,089,977		$       1,711,964		$          360,272		$          17,741		1 %
Commercial		506,883		382,785		106,487		17,611		5 %
Residential real estate		2,018,332		1,752,249		273,349		(7,266)		— %
Consumer and home equity		316,177		268,261		35,555		12,361		5 %
Total loans		$       4,931,369		$       4,115,259		$          775,663		$          40,447		1 %
Deposits:
Non-interest checking		$       1,118,080		$          925,571		$          197,320		$           (4,811)		(1) %
Interest checking		1,663,335		1,483,589		315,891		(136,145)		(9) %
Savings and money market		1,823,275		1,511,589		285,889		25,797		2 %
Certificates of deposit		698,185		532,424		172,573		(6,812)		(1) %
Brokered deposits		211,837		179,994		—		31,843		18 %
Total deposits		$       5,514,712		$       4,633,167		$          971,673		$         (90,128)		(2) %

(1)	Represents fair value marks recorded on loans and deposits as of the acquisition date, January 2, 2025.

 

Asset Quality Data (unaudited)
(In thousands)		At or for the Six Months Ended June 30, 2025		At or for the Three Months Ended March 31, 2025		At or for the Year Ended December 31, 2024		At or for the Nine Months Ended September 30, 2024		At or for the Six Months Ended June 30, 2024
Non-accrual loans:
Residential real estate		$             3,678		$             4,322		$             1,891		$             2,497		$             2,497
Commercial real estate		145		271		559		130		79
Commercial		13,514		1,803		1,927		2,057		4,409
Consumer and home equity		840		855		452		666		810
Total non-accrual loans		18,177		7,251		4,829		5,350		7,795
Accruing loans past due 90 days		—		—		—		—		—
Total non-performing loans		18,177		7,251		4,829		5,350		7,795
Other real estate owned		72		72		—		—		—
Total non-performing assets		$           18,249		$             7,323		$             4,829		$             5,350		$             7,795
Loans 30-89 days past due:
Residential real estate		$             1,519		$             1,754		$                558		$                216		$                400
Commercial real estate		1,120		380		689		239		678
Commercial		884		767		393		578		539
Consumer and home equity		591		440		621		358		628
Total loans 30-89 days past due		$             4,114		$             3,341		$             2,261		$             1,391		$             2,245
ACL on loans at the beginning of the period		$           35,728		$           35,728		$           36,935		$           36,935		$           36,935
ACL established on acquired PCD loans(1)		3,071		3,071		—		—		—
Provision (credit) for loan losses		15,469		8,873		53		(693)		(976)
Charge-offs:
Residential real estate		4		4		—		—		—
Commercial real estate		191		191		—		—		—
Commercial		1,245		896		1,784		1,157		763
Consumer and home equity		105		29		99		83		55
Total charge-offs		1,545		1,120		1,883		1,240		818
Total recoveries		(299)		(171)		(623)		(412)		(271)
Net charge-offs		1,246		949		1,260		828		547
ACL on loans at the end of the period		$           53,022		$           46,723		$           35,728		$           35,414		$           35,412
Components of ACL:
ACL on loans		$           53,022		$           46,723		$           35,728		$           35,414		$           35,412
ACL on off-balance sheet credit exposures(2)		3,685		3,362		2,806		2,743		2,787
ACL, end of period		$           56,707		$           50,085		$           38,534		$           38,157		$           38,199
Ratios:
Non-performing loans to total loans		0.37 %		0.15 %		0.12 %		0.13 %		0.19 %
Non-performing assets to total assets		0.26 %		0.11 %		0.08 %		0.09 %		0.14 %
ACL on loans to total loans		1.08 %		0.96 %		0.87 %		0.86 %		0.86 %
Net charge-offs to average loans (annualized):
Quarter-to-date		0.02 %		0.08 %		0.04 %		0.03 %		0.04 %
Year-to-date		0.05 %		0.08 %		0.03 %		0.03 %		0.03 %
ACL on loans to non-performing loans		291.70 %		644.37 %		553.07 %		506.28 %		367.31 %
Loans 30-89 days past due to total loans		0.08 %		0.07 %		0.05 %		0.03 %		0.05 %

(1)	Purchase credit deteriorated ("PCD").
(2)	Presented within accrued interest and other liabilities on the consolidated statements of condition.

 

Reconciliation of non-GAAP to GAAP Financial Measures (unaudited)
Adjusted Net Income; Adjusted Diluted Earnings per Share; Adjusted Return on Average Assets; and Adjusted Return on Average Equity:
		For the Three Months Ended						For the Six Months Ended
(In thousands, except number of shares, per share data and ratios)		June 30, 2025		March 31, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Adjusted Net Income:
Net income, as presented		$          14,081		$            7,326		$          11,993		$          21,407		$          25,265
Adjustments before taxes:
Provision for non-PCD acquired loans		—		6,294		—		6,294		—
Provision for acquired unfunded commitments		—		249		—		249		—
Merger and acquisition costs		1,405		7,525		—		8,930		—
Signature Bank bond recovery		—		—		—		—		(910)
Total adjustments before taxes		1,405		14,068		—		15,473		(910)
Tax impact of above adjustments(1)		(295)		(2,926)		—		(3,221)		191
Adjustment for deferred tax valuation adjustment(2)		—		(2,421)		—		(2,421)		—
Adjusted net income		$          15,191		$          16,047		$          11,993		$          31,238		$          24,546
Adjusted Diluted Earnings per Share:
Diluted earnings per share, as presented		$              0.83		$              0.43		$              0.81		$              1.26		$              1.72
Adjustments before taxes:
Provision for non-PCD acquired loans		—		0.37		—		0.37		—
Provision for acquired unfunded commitments		—		0.01		—		0.01		—
Merger and acquisition costs		0.08		0.45		—		0.53		—
Signature Bank bond recovery		—		—		—		—		(0.06)
Total adjustments before taxes		0.08		0.83		—		0.91		(0.06)
Tax impact of above adjustments(1)		(0.02)		(0.17)		—		(0.19)		0.01
Adjustment for deferred tax valuation adjustment(2)		—		(0.14)		—		(0.14)		—
Adjusted diluted earnings per share		$              0.89		$              0.95		$              0.81		$              1.84		$              1.67
Adjusted Return on Average Assets:
Return on average assets, as presented		0.82 %		0.43 %		0.84 %		0.63 %		0.89 %
Adjustments before taxes:
Provision for non-PCD acquired loans		— %		0.37 %		— %		0.18 %		— %
Provision for acquired unfunded commitments		— %		0.01 %		— %		0.01 %		— %
Merger and acquisition costs		0.09 %		0.44 %		— %		0.26 %		— %
Signature Bank bond recovery		— %		— %		— %		— %		(0.03) %
Total adjustments before taxes		0.09 %		0.82 %		— %		0.45 %		(0.03) %
Tax impact of above adjustments(1)		(0.02) %		(0.17) %		— %		(0.10) %		0.01 %
Adjustment for deferred tax valuation adjustment(2)		— %		(0.14) %		— %		(0.07) %		— %
Adjusted return on average assets		0.89 %		0.94 %		0.84 %		0.91 %		0.87 %
Adjusted Return on Average Equity:
Return on average equity, as presented		8.77 %		4.75 %		9.60 %		6.80 %		10.18 %
Adjustments before taxes:
Provision for non-PCD acquired loans		— %		4.08 %		— %		2.00 %		— %
Provision for acquired unfunded commitments		— %		0.16 %		— %		0.08 %		— %
Merger and acquisition costs		0.88 %		4.88 %		— %		2.83 %		— %
Signature Bank bond recovery		— %		— %		— %		— %		(0.37) %
Total adjustments before taxes		0.88 %		9.12 %		— %		4.91 %		(0.37) %
Tax impact of above adjustments(1)		(0.18) %		(1.90) %		— %		(1.02) %		0.08 %
Adjustment for deferred tax valuation adjustment(2)		— %		(1.57) %		— %		(0.77) %		— %
Adjusted return on average equity		9.47 %		10.40 %		9.60 %		9.92 %		9.89 %

(1)	Assumed a 21% tax rate.
(2)	A one-time deferred tax valuation adjustment of $2.4 million resulted from a change in the apportionment of state income taxes due to the Northway merger.

 

Pre-Tax, Pre-Provision Income and Adjusted Pre-Tax, Pre-Provision Income:
		For the Three Months Ended						For the Six Months Ended
(In thousands)		June 30, 2025		March 31, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Net income, as presented		$              14,081		$                7,326		$              11,993		$              21,407		$              25,265
Adjustment for provision (credit) for credit losses		6,920		9,429		650		16,349		(1,452)
Adjustment for income tax expense (benefit)		3,679		(1,152)		2,876		2,527		5,939
Pre-tax, pre-provision income		24,680		15,603		15,519		40,283		29,752
Adjustment for merger and acquisition costs		1,405		7,525		—		$                8,930		$                     —
Adjusted pre-tax, pre-provision income		$              26,085		$              23,128		$              15,519		$              49,213		$              29,752

 

Efficiency Ratio:
		For the Three Months Ended						For the Six Months Ended
(Dollars in thousands)		June 30, 2025		March 31, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Non-interest expense, as presented		$           37,596		$           44,451		$           27,310		$           82,047		$           54,672
Adjustment for merger and acquisition costs		(1,405)		(7,525)		—		(8,930)		—
Adjustment for amortization of core deposit intangible assets		(1,473)		(1,473)		(139)		(2,946)		(278)
Adjusted non-interest expense		$           34,718		$           35,453		$           27,171		$           70,171		$           54,394
Net interest income, as presented		$           49,209		$           48,858		$           32,184		$           98,067		$           63,457
Adjustment for the effect of tax-exempt income(1)		312		326		159		638		309
Non-interest income, as presented		13,067		11,196		10,645		24,263		20,967
Adjusted net interest income plus non-interest income		$           62,588		$           60,380		$           42,988		$         122,968		$           84,733
GAAP efficiency ratio		60.37 %		74.02 %		63.77 %		67.07 %		64.76 %
Non-GAAP efficiency ratio		55.47 %		58.72 %		63.21 %		57.06 %		64.19 %

(1)	Assumed a 21% tax rate.

 

Return on Average Tangible Equity and Adjusted Return on Average Tangible Equity:
		For the Three Months Ended						For the Six Months Ended
(Dollars in thousands)		June 30, 2025		March 31, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Return on Average Tangible Equity:
Net income, as presented		$           14,081		$             7,326		$           11,993		$           21,407		$           25,265
Adjustment for amortization of core deposit intangible assets		1,473		1,473		139		2,946		278
Tax impact of above adjustment(1)		(309)		(309)		(29)		(619)		(58)
Net income, adjusted for amortization of core deposit intangible assets		$           15,245		$             8,490		$           12,103		$           23,734		$           25,485
Average equity, as presented		$         643,782		$         625,789		$         502,480		$         634,851		$         498,997
Adjustment for average goodwill and core deposit intangible assets		(197,863)		(200,125)		(95,458)		(198,984)		(95,531)
Average tangible equity		$         445,919		$         425,664		$         407,022		$         435,867		$         403,466
Return on average equity		8.77 %		4.75 %		9.60 %		6.80 %		10.18 %
Return on average tangible equity		13.71 %		8.09 %		11.96 %		10.98 %		12.70 %
Adjusted Return on Average Tangible Equity:
Adjusted net income (refer to the "Adjusted Net Income" non-GAAP reconciliation table)		$           15,191		$           16,047		$           11,993		$           31,238		$           24,546
Adjustment for amortization of core deposit intangible assets		1,473		1,473		139		2,946		278
Tax impact of above adjustment(1)		(309)		(309)		(29)		(619)		(58)
Adjusted net income, adjusted for amortization of core deposit intangible assets		$           16,355		$           17,211		$           12,103		$           33,565		$           24,766
Adjusted return on average tangible equity		14.71 %		16.40 %		11.96 %		15.53 %		12.34 %

(1)	Assumed a 21% tax rate.

 

Core Net Interest Margin (fully-taxable equivalent):
		For the Three Months Ended						For the Six Months Ended
(In thousands)		June 30, 2025		March 31, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Net interest margin, tax equivalent, as presented		3.06 %		3.04 %		2.36 %		3.05 %		2.32 %
Net accretion income on loans from purchase accounting(1)		(0.30) %		(0.30) %		—		(0.30) %		—
Net accretion income on investments from purchase accounting(2)		(0.07) %		(0.07) %		—		(0.07) %		—
Net amortization on time deposits and borrowings from purchase accounting(3)		0.01 %		0.01 %		—		0.01 %		—
Core net interest margin (fully-taxable equivalent)		2.70 %		2.68 %		2.36 %		2.69 %		2.32 %

(1)	Recognized $4.3 million and $8.6 million of net accretion income on loans from purchase accounting for the three and six months ended June 30, 2025, respectively, and $4.3 million for the three months ended March 31, 2025.
(2)	Recognized $863,000 and $1.7 million of net accretion income on investments from purchase accounting for the three and six months ended June 30, 2025, respectively, and $831,000 for the three months ended March 31, 2025.
(3)	Recognized $131,000 and $262,000 million of amortization expense on time deposits and borrowings from purchase accounting for the three and six months ended June 30, 2025, respectively, and $131,000 for the three months ended March 31, 2025.

 

Tangible Book Value Per Share and Tangible Common Equity Ratio:
(In thousands, except number of shares, per share data and ratios)		June 30, 2025		March 31, 2025		June 30, 2024
Tangible Book Value Per Share:
Shareholders' equity, as presented		$        652,148		$        640,054		$        508,286
Adjustment for goodwill and core deposit intangible assets		(197,031)		(200,770)		(95,390)
Tangible shareholders' equity		$        455,117		$        439,284		$        412,896
Shares outstanding at period end		16,919,689		16,885,571		14,569,262
Book value per share		$            38.54		$            37.91		$            34.89
Tangible book value per share		$            26.90		$            26.02		$            28.34
Tangible Common Equity Ratio:
Total assets		$     6,920,044		$     6,964,785		$     5,724,380
Adjustment for goodwill and core deposit intangible assets		(197,031)		(200,770)		(95,390)
Tangible assets		$     6,723,013		$     6,764,015		$     5,628,990
Common equity ratio		9.42 %		9.19 %		8.88 %
Tangible common equity ratio		6.77 %		6.49 %		7.34 %

 

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SOURCE Camden National Corporation

FAQ

What were Camden National's (CAC) Q2 2025 earnings per share?

Camden National reported diluted earnings per share of $0.83 for Q2 2025, a 93% increase from Q1 2025.

How much is Camden National's (CAC) quarterly dividend for Q2 2025?

Camden National declared a quarterly cash dividend of $0.42 per share, representing an annualized dividend yield of 4.14%.

What is Camden National's (CAC) loan portfolio size in Q2 2025?

Camden National's total loans were $4.9 billion as of June 30, 2025, showing a 1% increase from Q1 2025.

How did Camden National's (CAC) asset quality metrics change in Q2 2025?

The allowance for credit losses increased to 1.08% of total loans, and non-performing loans rose to 0.37% due to one commercial loan bankruptcy.

What was Camden National's (CAC) efficiency ratio in Q2 2025?

Camden National's GAAP efficiency ratio improved to 60.37% in Q2 2025, down from 74.02% in Q1 2025.