blueharbor bank Reports Second Quarter 2025 Net Income
MWN-AI** Summary
blueharbor bank has reported a robust financial performance for the second quarter of 2025, showcasing a net income of $2,512,699, translating to $0.83 per diluted share. This marks an impressive 76% increase compared to $1,429,588 or $0.47 per diluted share earned in the same quarter over the previous year. The bank's results reflect a return on average assets (ROA) of 1.94% and a return on average equity (ROE) of 18.06%, alongside a net interest margin of 4.28%.
The six-month performance also demonstrates growth, with net income reaching $4,905,646, up significantly from $2,766,196 in 2024. Total assets climbed to $544.3 million, increasing by $37.6 million from the end of 2024, while gross loans surged to $462.1 million, showing an 18% year-over-year growth. Deposits increased as well, reaching $468.1 million, a rise of 16% from the previous year.
The bank's asset quality remains strong, with zero non-performing assets, down from 0.01% in June 2024. Additionally, total risk-based capital remains high at 14.1%, with strong tier 1 capital ratios. The net interest income for the quarter stood at $5,276,207, an increase of 25% from the last year, facilitated by a rise in average loans and improved yield on earning assets.
In a statement, Jim Marshall, President and CEO of blueharbor bank, expressed pride in the bank's performance and acknowledged the dedication of staff in building customer relationships. The bank’s emphasis on service is a key factor in its continued growth and customer referrals. The stock is listed under the symbol "BLHK" on the OTCQX Market.
MWN-AI** Analysis
In its second quarter 2025 report, blueharbor bank demonstrated a remarkable financial performance characterized by a substantial 77% increase in diluted earnings per share, reaching $0.83 compared to $0.47 in the previous year. This growth illustrates the bank's robust earnings capacity amid a competitive banking landscape. Key efficiency indicators also bolstered investor confidence; the return on average assets (ROA) and return on average equity (ROE) stood at impressive levels of 1.94% and 18.06%, respectively, signaling effective asset management and shareholder value creation.
The bank's net interest margin of 4.28%, improved from 3.89% a year prior, reflects prudent interest rate management and a favorable lending environment as evidenced by a $29.4 million increase in gross loans. Additionally, asset quality remained strong with zero non-performing assets, showcasing effective risk management protocols.
Investors may find the 15% year-over-year growth in book value, now at $20.00, particularly appealing, coupled with a substantial 14.6% annualized increase in shareholder equity. Furthermore, the increase in deposits, up 6% since December 2024, positions the bank well for continued growth.
Despite these positive trends, it is essential to remain cautious of external variables that may affect bank performance, such as fluctuating interest rates and economic conditions. Continued monitoring of the bank's ability to sustain loan growth alongside its low cost of funds will be critical.
In summary, blueharbor bank's strong financial fundamentals, marked by significant earnings growth and robust asset quality, present a compelling case for investors. However, evaluating the potential macroeconomic challenges ahead is imperative for informed investment decisions in the financial sector.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
PR Newswire
MOORESVILLE, N.C. , July 17, 2025 /PRNewswire/ -- blueharbor bank (the "Bank") today reported earnings for the second quarter of 2025.
Second Quarter 2025 Highlights
- Diluted earnings per share increase of 77% over 2 nd quarter 2024
- Return on average assets (ROA) of 1.94%
- Return on average equity (ROE) of 18.06%
- Net interest margin of 4.28%
- Efficiency ratio of 40.61%
- Book value of $20.00 , a 15% increase year over year
- Shareholder Equity growth of 7.2% for the 6 months, and 14.6% annualized
- Dividend of $0.25 per share paid
blueharbor bank reported net income of $2,512,699 and $0.83 per diluted share for the second quarter of 2025, an increase of 76%, or $1,083,111 , as compared to $1,429,588 and $0.47 per diluted share for the second quarter of 2024. For the six months ended June 30, 2025 , the Bank reported net income of $4,905,646 and $1.63 per diluted share compared to $2,766,196 and $0.92 per diluted share for the same six months in 2024.
The Bank reported total assets of $544.3 million at June 30, 2025 , an increase of $37.6 million , or 7%, when compared to $506.8 million at December 31, 2024 , and an increase of $81.0 million , or 18%, when compared to June 30, 2024 . Gross loans increased $29.4 million , to $462.1 million at June 30, 2025 , from $432.8 million at December 31, 2024 . When compared to June 30, 2024 , gross loans increased $70.8 million , or 18%. Total deposits were $468.1 million at June 30, 2025 , an increase of $27.4 million , or 6%, when compared to $440.7 million at December 31, 2024 , and an increase of $63.7 million , or 16% when compared to June 30, 2024 .
Asset quality remained very strong for the second quarter of 2025, with zero non-performing assets, which is down from 0.01% reported at June 30, 2024 .
Capital levels also remained high with total risk-based capital at 14.1%, both common equity tier 1 and tier 1 to risk-weighted assets of 13.1%, and tier 1 leverage ratio of 12.0% for the quarter ended June 30, 2025 .
Net interest income was $5,276,207 for the quarter ending June 30, 2025 , an increase of $1,068,699 , or 25%, from the same period in 2024. The change in net interest income was driven by a $59.7 million increase in average loans outstanding, an 18 basis point increase in the yield on earning assets, and a 22 basis point decrease in cost of funds.
The bank recorded a quarterly provision for credit losses of $236,769 for the first quarter of 2025, compared to a quarterly provision for credit losses of $232,541 for the same period in 2024. The allowance for loan losses to total loans was 0.95% at June 30, 2025 .
Noninterest income was $572,860 for the quarter ended June 30, 2025 , a $49,696 , or 9%, increase over the $523,164 that was recorded for the quarter ended June 30, 2024 . The increase was due partially to the higher service charge fees and debit card income from the increase in the number of deposit accounts over the period. Another factor contributing to the change was an increase in mortgage loan fees.
Noninterest expense was $2,375,524 for the quarter ended June 30, 2025 , compared to $2,663,598 for the quarter ended June 30, 2024 . The decrease of $288,074 was due to lower data processing expenses from the change in our core software provider in May 2024 .
Jim Marshall , President and Chief Executive Officer, commented, "We are very proud and pleased with our solid performance for the quarter and first half of 2025. I would like to commend our team for the outstanding deep relationships they have developed with our customers, and to our customers that continually refer their friends to us because of the level of service and professionalism they receive here at blueharbor."
blueharbor bank is headquartered in Mooresville with branches in Statesville and Mount Airy and loan production offices in Belmont and Hickory. blueharbor bank's website is www.blueharborbank.com and our common stock is quoted on the OTCQX 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.
Summary Selected Financial Data | |||||||
(Unaudited) | (Audited) | (Unaudited) | |||||
June 30, | December 31, | June 30, | |||||
Balance Sheet Data: | 2025 | 2024 | 2024 | ||||
Total Assets | 544,335,216 | 506,756,753 | 463,313,580 | ||||
Total Gross Loans | 462,122,604 | 432,756,829 | 391,336,334 | ||||
Allowance for Loan Losses | 4,367,773 | 4,131,598 | 3,787,206 | ||||
Total Deposits | 468,098,141 | 440,733,082 | 404,429,345 | ||||
Total Shareholders' Equity | 59,180,455 | 55,189,737 | 51,878,068 | ||||
(Unaudited) | (Unaudited) | ||||||
Three Months Ended | Six Months Ended | ||||||
June 30, | June 30, | ||||||
Earnings and Per Share Data: | 2025 | 2024 | 2025 | 2024 | |||
Interest Income | 7,351,605 | 6,249,732 | 14,317,358 | 11,915,430 | |||
Interest Expense | 2,075,398 | 2,042,224 | 4,162,835 | 3,943,104 | |||
Net Interest Income | 5,276,207 | 4,207,508 | 10,154,523 | 7,972,326 | |||
Provision for Loan Losses | 236,769 | 232,541 | 223,393 | 352,695 | |||
Net Interest Income after | |||||||
Provision for Loan Losses | 5,039,438 | 3,974,967 | 9,931,130 | 7,619,631 | |||
Noninterest Income | 572,860 | 523,164 | 1,109,950 | 1,002,414 | |||
Noninterest Expense | 2,375,524 | 2,663,598 | 4,738,159 | 5,047,665 | |||
Net Income before Taxes | 3,236,774 | 1,834,533 | 6,302,921 | 3,574,380 | |||
Income Taxes | 724,075 | 404,945 | 1,397,275 | 808,184 | |||
Net Income | 2,512,699 | 1,429,588 | 4,905,646 | 2,766,196 | |||
Basic Income per Share | 0.85 | 0.48 | 1.67 | 0.94 | |||
Diluted Income per Share | 0.83 | 0.47 | 1.63 | 0.92 | |||
Annualized Performance Ratios: | |||||||
Return on average assets | 1.94 % | 1.25 % | 1.94 % | 1.23 % | |||
Return on average equity | 18.06 % | 11.13 % | 17.63 % | 10.93 % | |||
Efficiency ratio | 40.61 % | 56.30 % | 42.1 % | 56.2 % | |||
Overhead ratio | 34.17 % | 50.87 % | 35.7 % | 50.7 % | |||
Net Interest Margin | 4.28 % | 3.89 % | 4.22 % | 3.77 % | |||
Cost of Funds | 2.62 % | 2.84 % | 2.66 % | 2.82 % | |||
(Unaudited) | (Unaudited) | ||||||
June 30, | June 30, | ||||||
2025 | 2024 | ||||||
Financial Ratios: | |||||||
Book Value | 20.00 | 17.43 | |||||
Nonperforming Assets to Total Assets Ratio | 0.00 % | 0.01 % | |||||
Loan to Deposit Ratio | 98.7 % | 98.2 % | |||||
Tier 1 Leverage Ratio | 12.0 % | 12.0 % | |||||
Common Equity Tier 1 Risk-Based Capital Ratio | 13.1 % | 13.8 % | |||||
Tier 1 Risk-Based Capital Ratio | 13.1 % | 13.8 % | |||||
Total Risk-Based Capital Ratio | 14.1 % | 14.9 % |
SOURCE blueharbor bank
FAQ**
How did BlueHarbor Bank's (BLHK) return on average assets (ROA) of 1.94% in Q2 2025 compare to the previous year's performance, and what were the main factors driving this improvement?
Can you elaborate on the strategies that led to BlueHarbor Bank (BLHK) achieving a robust net interest margin of 4.28% in Q2 2025, considering the changing interest rate environment?
With total asset growth of 7% year-to-date, how does BlueHarbor Bank (BLHK) plan to maintain this momentum, particularly in loans and deposits, in the second half of 2025?
What measures is BlueHarbor Bank (BLHK) taking to further enhance shareholder equity growth, which was at 7.2% for the first half of 2025, and how does this align with future dividend policies?
**MWN-AI FAQ is based on asking OpenAI questions about BlueHarbor Bank (OTC: BLHK).
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