Chesapeake Financial Shares Reports Second Quarter Earnings

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KILMARNOCK, VA / ACCESSWIRE / July 25, 2023 / On behalf of Chesapeake Financial Shares, Inc. (parent company of both Chesapeake Bank and Chesapeake Wealth Management), Jeffrey M. Szyperski, Chairman of the Board & CEO, reported earnings for the second quarter of 2023 of $3,041,535, a 25.2% decrease from the second quarter of 2022. The reported earnings per share were $0.648 fully diluted compared to $0.861 fully diluted for the second quarter of 2022. Total assets ended the quarter at $1,354,817,119, up slightly from year-end.

"Asset quality remains extremely good," commented Szyperski. "Nonperforming assets were at 0.327% on June 30, 2023 compared to 0.460% on June 30, 2022. The net interest margin was 3.45% for the quarter ended June 30, 2023, lower than the 3.74% at June 30, 2022. With the rapid increase in rates over the past year, we anticipate continued pressure on our margin and active management of both our loan and deposit rates. Two of our divisions, Flexent and Chesapeake Payment Systems, both again had an excellent quarter. On May 1 we consummated an asset purchase in our Flexent division of a factoring company, allowing us to diversify our overall concentration by industry. This acquisition increases revenue from Flexent by approximately 35% going forward. We will be finalizing the valuation accounting for this purchase in the third quarter."

"We also took a one-time pre-tax gain of $1.9 million on the sale of long-held VISA B stock and offset this with $1.5 million in investment losses in order to reposition the investment portfolio for better long-term returns. In the current rate environment we felt this was prudent balance sheet management to better preserve shareholder value," stated Szyperski.

At the July 21, 2023 Chesapeake Financial Shares Board of Directors meeting, the Board declared a quarterly dividend of $0.15 per share effective September 1, 2023, payable on or before September 15, 2023. Currently the stock has a 3.08% dividend yield. The company has had 30 consecutive years of dividend increases.

For more information about Chesapeake Financial Shares stock (CPKF), or to receive daily e-mail alerts of our stock price, see www.chesapeakefinancialshares.com. To receive investor news updates about us visit our page on Proactive Investors (https://www.proactiveinvestors.com). The company is followed by Zacks Investment Research, and a copy of their report can also be found on this site or at www.zacks.com. Chesapeake Financial Shares is an over-the-counter, publicly traded stock. "Like" Chesapeake Bank on Facebook and follow us on LinkedIn, Twitter, and Instagram.

Contact: Jeffrey M. Szyperski - 804-435-4249; 1-800-434-1181

SOURCE: Chesapeake Financial Shares Inc.

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The Chesapeake Financial Shares Stock at the time of publication of the news with a raise of 0,00 % to 19,50USD on Nasdaq OTC stock exchange (25. Juli 2023, 02:10 Uhr).