Commencement Bancorp, Inc. (CBWA) Announces 2024 Second Quarter Earnings
Rhea-AI Summary
Commencement Bancorp, Inc. (OTCQX:CBWA) reported strong financial results for Q2 2024. Key highlights include:
- Net income of $776,000 ($0.20 per share), up from $723,000 ($0.18 per share) in Q2 2023
- Total loans increased 7% year-over-year to $464 million
- Interest income rose 11% to $7.4 million
- Non-interest income grew 9% compared to Q2 2023
- Nonperforming assets to total assets decreased from 0.42% to 0.08%
- Tangible book value per share increased to $12.52 from $11.90
The bank's loan growth, improving loan yield, and favorable deposit mix contributed to an increase in net interest margin to 3.25%. Asset quality improved significantly, with the Texas Ratio dropping to 0.8% from 4.0% a year ago.
Positive
- Net income increased to $776,000 ($0.20 per share) from $723,000 ($0.18 per share) in Q2 2023
- Total loans grew 7% year-over-year to $464 million
- Interest income rose 11% to $7.4 million compared to Q2 2023
- Non-interest income increased 9% year-over-year
- Net interest margin improved to 3.25% from 3.11% in Q2 2023
- Nonperforming assets to total assets decreased from 0.42% to 0.08%
- Tangible book value per share increased to $12.52 from $11.90
- Texas Ratio improved to 0.8% from 4.0% a year ago
- Non-interest-bearing deposits increased 11% to $155 million
Negative
- Non-interest expense increased 5% year-over-year
- Cost of funds rose from 1.58% in Q2 2023 to 2.04% in Q2 2024
2024 Second Quarter Financial Highlights:
Total loans ended the quarter at
$464 million , a7% increase year-over-year.Interest income increased
11% year-over-year to$7.4 million as compared to$6.6 million in second quarter 2023.Non-interest income saw a
9% increase compared to one year earlier.Nonperforming assets to total assets decreased from
0.42% at second quarter 2023 to0.08% in 2024.Tangible book value per share increased to
$12.52 in second quarter 2024 from$11.90 t he year prior.Capital ratios remained well above regulatory requirements.
TACOMA, WA / ACCESSWIRE / August 13, 2024 / Commencement Bancorp, Inc. (OTCQX:CBWA) reported quarterly net income of
The Bank's non-interest-bearing deposits increased
"It is no secret that the deposit rate environment has put a strain on the nation's financial institutions. We have been fortunate to weather the challenges, and as a result, were pleased to offer our shareholders a cash dividend during the second quarter. We also took the opportunity to repurchase stock at an attractive price accretive to shareholders, as we were able to purchase these shares below book value," said John E. Manolides, Chief Executive Officer.
Total assets showed little variance from second quarter 2023 and ended at
The Bank also prepared for several key events, most notably the opening of its permanent branch for its Gig Harbor, Wash. location, scheduled for early third quarter. Commencement's banking team continued to exceed expectations, onboarding 128 new relationships over the quarter.
"The balanced and disciplined growth of our loan portfolio, along with our dedicated team of bankers, allowed us to focus our efforts on improving loan yields despite the challenging rate environment. Our solid reputation in our communities continues to grow, enhancing the Bank's name and brand recognition and leading to an overall increase in market share," said Nigel L. English, President and Chief Operating Officer.
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About Commencement Bancorp, Inc.
Commencement Bancorp, Inc. is the holding company for Commencement Bank, headquartered in Tacoma, Washington. Commencement Bank was formed in 2006 to provide traditional, reliable, and sustainable banking in Pierce, King, and Thurston counties and the surrounding areas. Their team of experienced banking experts focuses on personal attention, flexible service, and building strong relationships with customers through state-of-the-art technology as well as traditional delivery systems. As a local bank, Commencement Bank is deeply committed to the community. For more information, please visit www.commencementbank.com. For information related to the trading of CBWA, please visit www.otcmarkets.com.
For further discussion, please contact the following:
John E. Manolides, Chief Executive Officer | 253-284-1802
Nigel L. English, President & Chief Operating Officer | 253-284-1801
Brandi Parker, Executive Vice President & Chief Financial Officer | 253-284-1803
Forward-Looking Statement Safe Harbor: This news release contains comments or information that constitutes forward-looking statements (within the meaning of the Private Securities Litigation Reform Act of 1995) that are based on current expectations that involve a number of risks and uncertainties. Forward-looking statements describe Commencement Bancorp, Inc.'s projections, estimates, plans and expectations of future results and can be identified by words such as "believe," "intend," "estimate," "likely," "anticipate," "expect," "looking forward," and other similar expressions. They are not guarantees of future performance. Actual results may differ materially from the results expressed in these forward-looking statements, which because of their forward-looking nature, are difficult to predict. Investors should not place undue reliance on any forward-looking statement, and should consider factors that might cause differences including but not limited to the degree of competition by traditional and nontraditional competitors, declines in real estate markets, an increase in unemployment or sustained high levels of unemployment; changes in interest rates; greater than expected costs to integrate acquisitions, adverse changes in local, national and international economies; changes in the Federal Reserve's actions that affect monetary and fiscal policies; changes in legislative or regulatory actions or reform, including without limitation, the Dodd-Frank Wall Street Reform and Consumer Protection Act; demand for products and services; changes to the quality of the loan portfolio and our ability to succeed in our problem-asset resolution efforts; the impact of technological advances; changes in tax laws; and other risk factors. Commencement Bancorp, Inc. undertakes no obligation to publicly update or clarify any forward-looking statement to reflect the impact of events or circumstances that may arise after the date of this release.
View the original press release on accesswire.com
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