blueharbor bank Reports Third Quarter 2022 Net Income

MOORESVILLE, N.C., Oct. 25, 2022 /PRNewswire/ -- blueharbor bank (the "Bank") today reported net income of $1,992,441 and $0.66 per diluted share for the third quarter of 2022, an increase of 45% or $616,604 as compared to $1,375,837 and $0.46 per diluted share for the third quarter of 2021.  For the nine months ended September 30, 2022, the Bank reported net income of $4,857,165 and $1.60 per diluted share, an increase of 35% or $1,259,739 as compared to $3,597,426 and $1.19 per diluted share for the same nine months in 2021.

The Bank reported total assets of $418.6 million at September 30, 2022, an increase of $7.8 million, or 2%, when compared to $410.8 million at December 31, 2021, and an increase of $10.7 million, or 3%, when compared to September 30, 2021. Gross loans increased $37.5 million, to $323.8 million at September 30, 2022, from $286.3 million at December 31, 2021. When compared to September 30, 2021, gross loans increased $47.4 million, or 17%. Total deposits were $373.8 million at September 30, 2022, an increase of $7.1 million, or 2%, when compared to $366.7 million at December 31, 2021, and an increase of $8.8 million, or 2% when compared to September 30, 2021.

Asset quality remained very strong with total non-performing assets representing only 0.02% of total assets at September 30, 2022. This ratio is the same as the ratio reported December 31, 2021.

Capital levels also remained very solid at the end of the third quarter with total risk-based capital at 13.9%, both common equity tier 1 and tier 1 to risk-weighted assets of 13.0%, and tier 1 leverage ratio of 10.6%.

Net interest income was $3,844,390 for the quarter ending September 30, 2022, an increase of $897,407, or 31%, from the same period in 2021. The change in net interest income was influenced by a shift in the mix of interest earning assets from lower yielding overnight funds to higher yielding loans.

For the quarter ending September 30, 2022, no provision for loan losses was recorded, and recovery of loan losses of ($138,358) was recorded in the quarter ended September 30, 2021.  The allowance for loan losses to total loans was 0.95% at September 30, 2022.

Noninterest income was $677,684 for the quarter ended September 30, 2022, an increase of $73,407 over $604,277 that was recorded for the quarter ended September 30, 2021.

Noninterest expense was $1,957,963 for the quarter ended September 30, 2022, compared to $1,785,377 for the quarter ended September 30, 2021. The increase of $172,586 was due to increases in salary, benefit expenses and data processing fees.

Jim Marshall, President and Chief Executive Officer, commented, "We are very pleased with our quarterly and year to date results.  Our new relocated office on Tradd Street in Statesville is opening accounts at a very nice pace which is what we anticipated.  Credit quality continues to perform nicely in the face of rising costs and inflationary pressures."

blueharbor bank is headquartered in Mooresville with additional branches in Huntersville and Statesville and loan production offices in Belmont and Morehead City.  blueharbor bank's website is www.blueharborbank.com and our common stock is quoted on the Pink Market under the symbol "BLHK."

Summary Selected Financial Data Schedule attached below.

Forward-Looking Statement:

This press release contains forward-looking statements. Words such as "anticipates," "believes," "estimates," "expects," "intends," "should," "will," variations of such words and similar expressions are intended to identify forward-looking statements. These statements reflect management's current beliefs as to the expected outcomes of future events and are not guarantees of future performance. These statements involve certain risks, uncertainties and assumptions that are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. As such, actual results and outcomes may materially differ from what may be expressed or forecast in such forward-looking statements. Factors that could cause a difference include, among others: changes in the national and local economies or market conditions; changes in interest rates, deposit levels, loan demand and asset quality, including real estate and other collateral values; changes in banking regulations and accounting principles, policies or guidelines; and the impact of competition from traditional or new sources. These and other factors that may emerge could cause decisions and actual results to differ materially from current expectations. blueharbor bank takes no obligation to revise, update, or clarify forward-looking statements to reflect events or conditions after the date of this press release.

SOURCE blueharbor bank