Eagle Bancorp Earns $1.28 per Share

After the bell, Eagle Bancorp (EGBN) reported Q3 earnings of $1.28 per share. That’s up from $1.07 for last year’s Q3. Eagle easily beat Wall Street’s forecast of 81 cents per share.

CEO Susan G. Riel said:

“I am very pleased with the overall results of operations for the third quarter of 2020 at a time when the COVID-19 pandemic is having a significant effect on the business climate and operating environment. Highlights included the highest level of quarterly net income and total revenue in the Company’s history, continuing growth in the balance sheet, wherein assets exceeded $10 billion at quarter-end, solid asset quality, and a continuing trend of very favorable operating leverage as exhibited by an efficiency ratio of 38.10%.”

Some highlights:

• Record net income of $41.3 million supported by gain on sale of loans of $12.2 million
• Lower credit costs and OREO recovery
• Net interest margin of 3.08%
• Nonperforming assets were 0.62% of total assets and the allowance for credit losses on loans was 1.40% of total loans (CECL adopted January 1, 2020)
• Improved operating leverage resulting in efficiency ratio of 38.10%

At the end of the quarter, book value per share was $37.96. The bank had legal fees and expenditures of $957,000 in Q3.

Posted by on October 21st, 2020 at 4:50 pm


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