Camden National (US:CAC)2025-10-28 12:04Financial Performance - Camden National Corporation reported record net income of $21.2 million for Q3 2025, a 51% increase compared to Q2 2025, with diluted earnings per share of $1.25[1][2] - Net income for the three months ended September 30, 2025, was $21,194 thousand, representing a 50% increase from $14,081 thousand in the previous quarter and a 62% increase from $13,073 thousand year-over-year[24] - Net income for the nine months ended September 30, 2025, was $42,601, an 11% increase from $38,338 in the same period of 2024[30] - Pre-tax, pre-provision income for Q3 2025 was $29.47 million, compared to $24.68 million in Q2 2025 and $16.09 million in Q3 2024[46] Earnings and Ratios - The return on average assets was 1.21%, return on average equity was 12.75%, and return on average tangible equity was 19.14% for Q3 2025[1][3] - The diluted EPS for the three months ended September 30, 2025, was $1.25, compared to $0.83 in the previous quarter and $0.90 year-over-year[24] - Adjusted return on average equity for Q3 2025 was 12.58%, up from 9.47% in Q2 2025 and 10.48% in Q3 2024[44] - Adjusted return on average assets for the nine months ended September 30, 2025, was 1.01%, compared to 0.89% for the same period in 2024[43] Income and Expenses - Total interest income for the three months ended September 30, 2025, was $80,894, a 27% increase compared to $63,721 for the same period in 2024[28] - Non-interest income for Q3 2025 was $14.1 million, an 8% increase from Q2 2025, with 11% organic growth in assets under administration to $2.4 billion[14] - Non-interest income rose to $14,125, an increase of 24% compared to $11,406 in the same quarter last year[28] - Non-interest expense for Q3 2025 was $35.93 million, a decrease from $37.60 million in Q2 2025 and an increase from $28.90 million in Q3 2024[47] Asset and Loan Growth - Total assets reached $7.0 billion, a 1% increase since June 30, 2025, while total deposits were $5.4 billion, reflecting a 2% decrease[4][6] - Loans grew by 4% on an annualized basis, totaling $5.0 billion as of September 30, 2025, driven by a 4% increase in commercial real estate loans and a 5% increase in home equity loans[3][5] - Total loans reached $5,002,927 thousand, a 1% increase from $4,931,369 thousand in the previous quarter and a 22% increase from $4,116,729 thousand year-over-year[26] - Total loans 30-89 days past due amounted to $8,097,000 for the nine months ended September 30, 2025, compared to $1,391,000 for the same period in 2024, indicating a substantial rise[40] Capital and Efficiency - The common equity Tier 1 risk-based capital ratio was 11.17%, and the total risk-based capital ratio was 13.47% as of September 30, 2025, indicating strong capital position[7] - The GAAP efficiency ratio improved to 54.94% in Q3 2025 from 60.37% in Q2 2025, demonstrating enhanced operational efficiency[3][15] - The efficiency ratio (non-GAAP) improved to 52.47%, compared to 55.47% in the previous quarter and 62.08% year-over-year[24] - The common equity ratio increased to 9.69%, up from 9.42% in the previous quarter and 9.22% year-over-year[24] Dividends and Shareholder Value - The Company announced a cash dividend of $0.42 per share, representing an annualized dividend yield of 4.35% based on the closing share price of $38.59[8] - Tangible Book Value Per Share increased to $28.42 in September 2025 from $26.90 in June 2025, reflecting a growth of 5.7%[51] - Book value per share increased to $39.97 in September 2025, up from $38.54 in June 2025, showing a growth of 3.7%[51] - Shares outstanding at period end remained stable at approximately 16.92 million in September 2025, compared to 16.92 million in June 2025[51] Credit Quality - The allowance for credit losses on loans was 0.91% of total loans, down from 1.08% at June 30, 2025, reflecting the strength of the loan portfolio[11] - The ratio of non-performing loans to total loans was 0.17% at the end of September 2025, down from 0.37% at the end of June 2025[40] - Total non-performing assets were $8,330,000 at the end of September 2025, down from $18,249,000 at the end of June 2025[40] - The provision for loan losses was $19,009,000 for the nine months ended September 30, 2025, compared to $15,469,000 for the same period in 2024, indicating an increase of 22.8%[40]