Core Viewpoint - TowneBank has agreed to acquire Dogwood State Bank to expand its presence in the high-growth markets of the Carolinas, with the transaction expected to close in early 2026, pending regulatory and shareholder approvals [1]. Company Acquisition Details - The acquisition will involve Dogwood shareholders receiving a fixed exchange ratio of 0.700 shares of TowneBank common stock for each outstanding share, valuing the deal at $25.04 per share or $476.2 million [3][7]. - The transaction is anticipated to incur one-time merger and integration costs of $45 million, with expected cost savings of 35% of non-interest expenses, primarily realized in 2026 [4][7]. Financial Impact - TowneBank expects the acquisition to be 8% accretive to its earnings per share by 2027, with a tangible book value per share dilution of 6% at closing and an earn-back period of less than 4 years [4][7]. - The acquisition is expected to enhance TowneBank's position as a premier regional banking company in the Southeast [5]. Leadership and Integration - Steve Jones, the CEO of Dogwood, will continue in a key leadership role as president of TowneBank's North Carolina and South Carolina banking operations [2]. Market Performance - Year-to-date, TowneBank's shares have increased by 3.9%, outperforming the industry growth of 1.8% [6].

SUFFOLK, Va. and HAMPTON, Va., Aug. 14, 2025 /PRNewswire/ -- Hampton Roads based TowneBank (NASDAQ: TOWN) and Old Point Financial Corporation (NASDAQCM: OPOF) ("Old Point"), the parent company of The Old Point National Bank of Phoebus ("Old Point National Bank"), today announced that they had received regulatory approval from the Federal Deposit Insurance Corporation (the "FDIC") and the Bureau of Financial Institutions of the Virginia State Corporation Commission to complete the proposed merger of Old Poin ...

Core Viewpoint - TowneBank (TOWN) is positioned as a strong investment opportunity due to significant upward revisions in earnings estimates, indicating a positive earnings outlook that may continue to drive stock performance [1][2]. Earnings Estimate Revisions - The upward trend in earnings estimate revisions reflects analysts' growing optimism regarding TowneBank's earnings prospects, which is expected to positively influence its stock price [2]. - For the current quarter, the earnings estimate is $0.82 per share, representing a year-over-year increase of +41.4%. The Zacks Consensus Estimate has risen by 12.33% over the last 30 days, with one estimate moving higher and no negative revisions [6]. - For the full year, TowneBank is projected to earn $2.74 per share, marking a year-over-year change of +25.7%. Similar to the current quarter, there has been one upward revision with no negative changes in estimates [7]. Zacks Rank and Performance - TowneBank has achieved a Zacks Rank 2 (Buy), indicating favorable conditions for investment based on the positive estimate revisions. The Zacks Rank system has a proven track record of identifying stocks that outperform the market [8]. - Stocks rated Zacks Rank 1 (Strong Buy) and 2 (Buy) have historically outperformed the S&P 500, suggesting that TowneBank may continue to see strong performance [8]. Market Reaction - Investors have shown confidence in TowneBank, as evidenced by a 5.4% increase in its stock price over the past four weeks, driven by solid earnings growth prospects [9].

Core Viewpoint - TowneBank (TOWN) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system emphasizes the correlation between changes in earnings estimates and stock price movements, suggesting that upward revisions can lead to higher stock valuations [4][6]. - TowneBank's earnings per share (EPS) estimate for the fiscal year ending December 2025 is projected at $2.74, with a 5.8% increase in the Zacks Consensus Estimate over the past three months [8]. Zacks Rating System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with only the top 20% receiving a "Strong Buy" or "Buy" rating, indicating superior earnings estimate revisions [9][10]. - The upgrade of TowneBank to a Zacks Rank 2 places it among the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].

TowneBank (TOWN) came out with quarterly earnings of $0.81 per share, beating the Zacks Consensus Estimate of $0.69 per share. This compares to earnings of $0.57 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +17.39%. A quarter ago, it was expected that this community bank would post earnings of $0.61 per share when it actually produced earnings of $0.68, delivering a surprise of +11.48%.Over the last four quarters, the compa ...

Core Viewpoint - TowneBank reported a record revenue quarter with total revenues of $207.44 million, an increase of 18.56% compared to the same quarter in 2024, driven by organic loan growth and strategic partnerships [2][6][26]. Financial Performance - Net income for the quarter ended June 30, 2025, was $38.84 million, or $0.51 per diluted share, down from $42.86 million, or $0.57 per diluted share, in the same quarter of 2024 [1][26]. - Core earnings (non-GAAP) were $61.34 million, or $0.81 per diluted share, compared to $42.56 million, or $0.57 per diluted share, for the same quarter in 2024 [1][26]. - Net interest income increased by $28.17 million, driven by higher interest income and lower deposit costs [6][7]. Loan and Deposit Growth - Total loans held for investment reached $12.36 billion, an increase of $0.91 billion, or 7.93%, compared to June 30, 2024 [19][26]. - Total deposits increased by $1.06 billion, or 7.40%, compared to the same quarter in 2024, totaling $15.33 billion [6][19][26]. - Noninterest-bearing deposits increased by 10.47% year-over-year, representing 31.02% of total deposits [6][19]. Strategic Partnerships and Acquisitions - The acquisition of Village Bank was completed in April 2025, contributing significantly to earnings momentum [4][6]. - The company is focused on integrating its recent partnership with Old Point Financial Corporation, expected to close in the third quarter of 2025 [4][6]. Asset Quality and Credit Losses - The quarterly provision for credit losses was $6.41 million, compared to a benefit of $177 thousand in the prior year quarter [12][19]. - Nonperforming assets were $9.29 million, or 0.05% of total assets, an increase from $7.16 million, or 0.04%, at June 30, 2024 [19][27]. Capital and Regulatory Ratios - Common equity tier 1 capital ratio was 11.77%, and total risk-based capital ratio was 14.49% [19][26]. - Book value per common share increased to $29.58 from $27.62 a year ago [26]. Noninterest Income - Total noninterest income rose to $70.23 million, an increase of 6.53% compared to the same quarter in 2024 [12][19]. - Net insurance commissions increased by 6.85% to $25.68 million, driven by organic growth in property and casualty commissions [12][19]. Efficiency and Cost Management - Total noninterest expense increased by 21.52% to $150.67 million, primarily due to acquisition-related expenses and growth in salaries and employee benefits [12][19]. - The efficiency ratio was reported at 70.71%, indicating the proportion of expenses to revenue [26].

Company Overview - TowneBank (TOWN) is a community bank headquartered in Portsmouth, operating in the Finance sector with a year-to-date stock price change of 4.23% [3] - The company currently pays a dividend of $0.27 per share, resulting in a dividend yield of 3.04%, which is higher than the Banks - Southeast industry's yield of 2.34% and the S&P 500's yield of 1.54% [3] Dividend Performance - TowneBank's annualized dividend of $1.08 has increased by 8% from the previous year, with a historical average annual increase of 8.72% over the last five years [4] - The current payout ratio is 42%, indicating that the company distributes 42% of its trailing 12-month earnings per share as dividends [4] Earnings Growth and Future Outlook - The Zacks Consensus Estimate for TowneBank's earnings in 2025 is projected at $2.59 per share, reflecting a year-over-year earnings growth rate of 18.81% [5] - Future dividend growth will depend on earnings growth and the payout ratio [4] Investment Considerations - TowneBank is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6] - Income investors should note that high-yielding stocks may face challenges during periods of rising interest rates [6]

Financial Performance - TowneBank's total assets reached $17.1 billion as of Q2-FY24 [9], with total loans at $11.5 billion and total deposits at $14.3 billion [9] - The bank reported a Core Return on Average Assets (ROAA) of 1.01% and a Core Return on Average Tangible Common Equity (ROTCE) of 12.08% [9] - Net Interest Margin (NIM) on a fully tax-equivalent basis was 2.89%, while noninterest-bearing deposits accounted for 30.2% of total deposits [9] - For Q2-FY24, net income attributable to TowneBank was $42.9 million, a 2.7% increase year-over-year [47] - Earnings per share (diluted) for Q2-FY24 were $0.57, up 1.8% year-over-year [47] Business Segments - The bank's revenue mix is diversified, with net interest income accounting for 62% and noninterest income for 38% YTD Q2-FY24 [24] - Insurance segment contributes 39% to the total noninterest income YTD Q2-FY24 [26] - Towne Insurance is the largest bank-owned insurance company in the country [105], with insurance revenue of $29.6 million in Q2-24 [105] Balance Sheet and Asset Quality - Noninterest-bearing deposits accounted for 30.15% of total deposits in Q2-FY24 [47] - Nonperforming assets represent 0.04% of total assets [47] - The bank's loan-to-deposit ratio was 80.24% [47] Capital and Liquidity - The total risk-based capital ratio was 15.34% [47] - The tangible common equity to tangible assets ratio was 9.37% [47] - Total liquidity sources were $6.471 billion [171], covering 105% of adjusted uninsured deposits [172]

Financial Performance - TowneBank's total assets reached $17.25 billion, a 2.4% increase year-over-year[12] - Net income attributable to TowneBank was $41.26 million for the quarter, a 43.3% increase year-over-year[12] - Earnings per share-diluted increased to $0.55, a 41.0% increase year-over-year[12] - The net interest margin (TE) was 3.02%, a 16 bps increase year-over-year[12] Deposits and Loans - Total deposits amounted to $14.44 billion, a 3.9% increase year-over-year[12] - Total loans reached $11.46 billion, a 1.1% increase year-over-year[12] - Noninterest bearing deposits accounted for 29.46% of total deposits[12] Noninterest Income and Expense - Noninterest income totaled $59.10 million, a 23.6% increase year-over-year[14] - Noninterest expense was $127.44 million, a 4.6% increase year-over-year[14] Asset Quality and Capital - Nonperforming assets represented 0.05% of total assets[12] - The total risk-based capital ratio was 15.68%[12] Outlook - The company is targeting annualized loan growth in the mid-single digits[161] - Net interest income is expected to range between $510 million and $520 million for FY2025[161]

Financial Performance - TowneBank reported total assets of $1751 billion for Q1-FY25, a 37% increase year-over-year[9] - Net income attributable to TowneBank was $5059 million in Q1-FY25, up 459% from $3469 million in Q1-FY24[12, 14] - Core earnings per share-diluted reached $068 in Q1-FY25, compared to $048 in Q1-FY24, representing a 417% increase[14] - The return on average tangible common equity was 1330% for Q1-FY25[9] Balance Sheet & Lending - Total loans amounted to $1165 billion in Q1-FY25, reflecting a 17% increase year-over-year[9, 12] - Total deposits reached $1461 billion in Q1-FY25, a 34% increase compared to Q1-FY24[9, 12] - Noninterest-bearing deposits accounted for 30% of total deposits in Q1-FY25[9] - The loan-to-deposit ratio stood at 7977% in Q1-FY25[12] Non-Interest Income - Noninterest income totaled $7157 million in Q1-FY25, a 120% increase compared to $6388 million in Q1-FY24[14, 55] - Insurance commissions income net was $2642 million in Q1-FY25, up 35% year-over-year[55]