Bankwell Financial Group Reports Record Quarterly Net Income of $5.6 Million or $0.71 Per Share for the Second Quarter and Declares Third Quarter Dividend
Bankwell Financial Group, Inc. (NASDAQ: BWFG) reported GAAP net income of $5.6 million or $0.71 per share for the second quarter of 2019, versus $4.7 million or $0.60 per share for the same period in 2018.
The Company's Board of Directors declared a $0.13 per share cash dividend, payable August 26, 2019 to shareholders of record on August 16, 2019.
Notes Bankwell Financial Group President and CEO, Christopher R. Gruseke:
"The Bankwell team once again delivered strong operating results against the backdrop of a competitive deposit market and a flattening yield curve. Year-to-date loan originations are ahead of 2018’s pace and the loan pipeline is quite robust. Once we begin to experience a more normalized trend in prepayments, these originations should translate to solid organic growth. Our investments in our Treasury Management product suite have also begun to bear fruit, as we see a strong pipeline there as well. Deposit pricing appears to have peaked as competitors’ rates have dropped consistently over the last several weeks. Bankwell’s balance sheet is well-positioned to take advantage of any rate decreases going forward."
Second Quarter 2019 Highlights:
- Second quarter diluted earnings per share were $0.71, an increase of 18% compared to the second quarter of 2018.
- Total noninterest income was $1.3 million for the second quarter of 2019, or 9% of total revenue.
- Return on average assets for the second quarter of 2019 totaled 1.20% compared to 1.02% for the same period in 2018.
- Return on average tangible common equity for the second quarter of 2019 totaled 12.68% compared to 11.41% for the same period in 2018.
- Total gross loans were $1.6 billion for the second quarter of 2019.
- The allowance for loan losses was $13.9 million and represents 0.89% of total loans.
- Investment securities totaled $116.4 million and represent 6% of total assets.
- Total deposits were $1.5 billion for the second quarter of 2019.
- The Company repurchased 34,168 shares of its outstanding common stock at a cost of $1.0 million.
- The tangible common equity ratio and tangible book value per share was 9.38% and $22.47, respectively.
- The efficiency ratio was 58.0% for the six months ended June 30, 2019 compared to 60.1% for the same period in 2018.
- Return on average assets for the six months ended June 30, 2019 totaled 1.15% compared to 1.03% for the same period in 2018.
- Loan originations totaled $75.2 million, with $59.6 million of loan fundings for the quarter ended June 30, 2019. Loan originations totaled $168.5 million, with $121.4 million of loan fundings for the six months ended June 30, 2019.
- Tax equivalent net interest margin was 3.07% for the second quarter of 2019 and 3.13% for the six months ended June 30, 2019.