Core Viewpoint - Burke & Herbert Financial Services Corp. reported strong financial results for Q3 2024, reflecting the benefits of its merger with Summit Financial Group, with a notable increase in net income and a dividend hike [1][4]. Financial Performance - Net income applicable to common shares was $27.4 million, or $1.82 per diluted share, with adjusted operating net income of $29.8 million, or $1.98 per diluted share [2][4]. - Net interest income for the quarter reached $73.2 million, up from $59.8 million in the previous quarter, with a net interest margin of 4.07% [2][5]. - Total non-interest income increased to $10.6 million, reflecting a $1.1 million rise from the second quarter of 2024 [6]. Balance Sheet Strength - Total liquidity at the end of Q3 2024 was $2.6 billion, with total gross loans of $5.6 billion and total deposits of $6.6 billion, resulting in a loan-to-deposit ratio of 84.4% [3][5]. - The company maintained strong capital ratios, with a Common Equity Tier 1 capital ratio of 11.3% and a Total risk-based capital ratio of 14.3%, both significantly above regulatory requirements [6][19]. Dividend Declaration - The board of directors declared a regular cash dividend of $0.55 per share, representing a 3.8% increase from the prior quarter's dividend, to be paid on December 2, 2024 [1][4]. Merger Impact - The financial results reflect a full quarter following the completion of the merger with Summit Financial Group, indicating successful integration and operational efficiencies [2][4].
Burke & Herbert Financial Services Corp. Announces Third Quarter 2024 Results and Increases Common Stock Dividend