Capital Bancorp Stock Price, News & Analysis

Capital Bancorp (NASDAQ: CBNK) has announced a significant expansion of its Commercial Banking operations in Delaware with the addition of three experienced relationship managers. The expansion team includes Ritchie Francia in Sussex County's Rehoboth Beach area, along with Sarah Ferguson and John Hassiepen in Greater Wilmington.

All three bankers are recognized as top performers with recent prestigious sales awards in commercial banking. The strategic move is part of Capital Bank's broader Mid-Atlantic growth strategy, aimed at strengthening its commercial banking presence across Maryland, Delaware, Virginia, and surrounding areas.

Capital Bancorp reported strong Q1 2025 results with net income of $13.9 million, or $0.82 per share, marking significant growth from Q4 2024's $7.5 million. The bank achieved a robust return on assets of 1.75% and core net income of $14.9 million.

Key highlights include:

• Book value per share increased to $22.19
• Gross loans grew by $48.2 million (7.4% annualized)
• Total deposits expanded by $129.4 million (19% annualized)
• Net interest margin rose to 6.05%
• Fee revenue reached $12.5 million, representing 21.4% of total revenue

The successful integration of IFH contributed significantly to growth, adding $373.5 million in loans and $459.0 million in deposits. The bank declared a cash dividend of $0.10 per share, payable May 28, 2025. Strong performance metrics and diversified earnings platform position Capital Bancorp for continued growth despite potential economic uncertainties.

Capital Bancorp (CBNK) has successfully completed the operational conversion of Integrated Financial Holdings (IFH) into its systems, following their merger from October 1, 2024. The conversion, executed between February 21st and 24th, 2025, integrates IFH customer accounts into CBNK's products and services.

Former IFH subsidiaries, West Town Bank & Trust has merged with Capital Bank, N.A., while Windsor Advantage became a CBNK subsidiary. IFH customers, including those from the North Riverside, IL branch, now have access to CBNK's full range of services, locations, digital banking, and ATM network.

CBNK plans to open a new branch in Raleigh, NC on March 3, 2025. The company has maintained communication with customers since October 2024 to ensure a smooth transition.

Capital Bancorp (NASDAQ: CBNK) reported Q4 2024 net income of $7.5 million ($0.45 per share), compared to $8.7 million in Q3 2024. The company successfully completed its merger with Integrated Financial Holdings (IFH) on October 1, 2024, acquiring $559.4 million in total assets.

Key Q4 highlights include: Net interest income increased by $6.0 million (15.6%) from Q3; Total assets grew 25.2% to $3.2 billion; Portfolio loans increased by $522.6 million (24.8%); Total deposits rose by $575.7 million (26.3%). The company declared a cash dividend of $0.10 per share.

Adjusted net income excluding merger-related expenses, Initial IFH ACL provision, and investment write-down would have been $15.5 million ($0.92 per share). Net interest margin decreased to 5.87% from 6.41% in Q3, while the efficiency ratio was 66.7%.

Capital Bank has been recognized as one of American Banker's 2024 Best Banks to Work For, ranking No. 79 among 90 selected banks. This marks the bank's fifth recognition, highlighting its commitment to creating a positive workplace environment. With over 400 employees, Capital Bank emphasizes employee growth through initiatives like the Capital Bank Immersion program, wellness programs, and DEIB awareness.

The bank, which had assets of approximately $2.6 billion as of September 30, 2024, operates branches in six locations including Washington D.C., Reston, VA, Ft. Lauderdale, FL, Rockville, MD, Columbia, MD and N. Riverside, IL. The recognition was based on anonymous employee surveys and a review of benefits and perks offered.

Capital Bancorp (NASDAQ: CBNK) reported Q3 2024 net income of $8.7 million ($0.62 per share), up from $8.2 million in Q2 2024. Net income adjusted for merger expenses was $9.2 million ($0.66 per share). Key highlights include: net interest income increased $1.3 million (3.5%) to $38.4 million, loan growth of $85.9 million (16.9% annualized), and deposit growth of $85.8 million (16.2% annualized). The company completed its merger with Integrated Financial Holdings on October 1, 2024. Tangible book value per share increased 4.5% to $20.13, and the company declared a $0.10 cash dividend.

Capital Bancorp, Inc. (NASDAQ: CBNK) has completed its merger with Integrated Financial Holdings, Inc. (OTCQX: IFHI). The transaction aims to create a nationwide leader in government guaranteed lending across USDA and SBA lending. Key points include:

- IFHI shareholders receive 1.115 CBNK shares and $5.36 in cash per IFHI share
- Pro forma organization will have approximately $3 billion in assets
- About 70% of Capital's net income will be from commercial banking
- Approximately 20% of pro forma revenue from fee revenue
- Marc McConnell joins Capital's Board of Directors
- Key IFHI executives joining Capital include A. Riddick Skinner and Melissa Marsal

The merger is expected to diversify CBNK with a niche C&I business that is capital efficient, high-return, and generates meaningful fee income.

Capital Bancorp (NASDAQ: CBNK) and Integrated Financial Holdings (IFH) have received all required regulatory approvals for their proposed merger. The Office of the Comptroller of the Currency (OCC) and the Federal Reserve Bank of Richmond have granted approval, following shareholder approval on August 15, 2024. The merger, announced on March 28, 2024, is expected to close in early Q4 2024, subject to customary conditions.

This acquisition aims to provide CBNK with immediate scale in USDA and SBA verticals, aligning with their strategy to diversify across high risk-adjusted return verticals. Post-merger, the combined entity is projected to have $3.0 billion in assets, with approximately 70% of net income coming from commercial banking.

Capital Bancorp announced a 25% increase in net income for Q2 2024, reaching $8.2 million or $0.59 per share, compared to $6.6 million or $0.47 per share in Q1 2024. Net interest income rose by $2.1 million (5.9%), and net interest margin (NIM) increased to 6.46% from 6.24%. The company saw significant loan and deposit growth, with loans growing by $57.1 million (11.7% annualized) and deposits by $94.7 million (19% annualized). A cash dividend of $0.10 per share, 25% higher than the previous quarter, was declared. The pending acquisition of Integrated Financial Holdings received Federal Reserve approval, with other regulatory approvals and shareholder votes pending. Nonperforming assets decreased to 0.58% of total assets from 0.62%.