0001558370-23-000363.txt : 20230119 0001558370-23-000363.hdr.sgml : 20230119 20230119161519 ACCESSION NUMBER: 0001558370-23-000363 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 14 CONFORMED PERIOD OF REPORT: 20230119 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20230119 DATE AS OF CHANGE: 20230119 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BAR HARBOR BANKSHARES CENTRAL INDEX KEY: 0000743367 STANDARD INDUSTRIAL CLASSIFICATION: STATE COMMERCIAL BANKS [6022] IRS NUMBER: 010393663 STATE OF INCORPORATION: ME FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-13349 FILM NUMBER: 23537593 BUSINESS ADDRESS: STREET 1: 82 MAIN ST STREET 2: PO BOX 400 CITY: BAR HARBOR STATE: ME ZIP: 04609-0400 BUSINESS PHONE: 2076696784 MAIL ADDRESS: STREET 1: 82 MAIN ST STREET 2: PO BOX 400 CITY: BAR HARBOR STATE: ME ZIP: 04609-0400 8-K 1 bhb-20230119x8k.htm 8-K
0000743367false00007433672023-02-192023-02-19

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(D) OF
THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): January 19, 2023

BAR HARBOR BANKSHARES

(Exact Name of Registrant as Specified in its Charter)

Maine

001-13349

01-0393663

(State or Other Jurisdiction
of Incorporation)

(Commission File No.)

(I.R.S. Employer
Identification No.)

PO Box 400

04609-0400

82 Main Street

(Zip Code)

Bar Harbor, Maine

(Address of Principal Executive Offices)

Registrant’s telephone number, including area code: (207) 288-3314

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Securities registered pursuant to Section 12(b) of the Act

Title of each class

Trading Symbol

Name of each exchange on which registered

Common Stock, par value $2.00 per share

BHB

NYSE American

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company  

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Item 2.02 Results of Operations and Financial Condition.

On January 19, 2023, Bar Harbor Bankshares issued a press release reporting our financial results for the quarter ended December 31, 2022. The full text of this press release, or the Earnings Release, is furnished as Exhibit 99.1 to this Current Report on Form 8-K, or this Report, and incorporated herein by reference.

In accordance with General Instruction B.2 of Form 8-K, the information furnished under this Item 2.02 of this Report and the exhibit attached hereto are deemed to be “furnished” and shall not be deemed “filed” for the purpose of Section 18 of the Exchange Act of 1934, as amended, or the Exchange Act, or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Securities Act,  or the Exchange Act.

Item 7.01 Regulation FD Disclosure.

On January 19, 2023, we announced in the Earnings Release that our Board of Directors declared a quarterly cash dividend of $0.26 per share to shareholders of record at the close of business on February 16, 2023 and will be payable on March 16, 2023.

The disclosure contained in Item 2.02 of this Report, including the Earnings Report, is incorporated into this Item 7.01 by reference.

In accordance with General Instruction B.2 of Form 8-K, the information furnished under this Item 7.01 of this Report and the exhibit attached hereto are deemed to be “furnished” and shall not be deemed “filed” for the purpose of Section 18 of the Exchange Act, or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference into any filing under the Securities Act or the Exchange Act.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No.

    

Description

99.1

Press Release dated January 19, 2023

104

Cover Page Interactive Data File – the cover page XBRL tags are embedded within the Inline XBRL document

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.

Bar Harbor Bankshares

January 19, 2023

By:

/s/ Curtis C. Simard

Curtis C. Simard

President and CEO

EX-99.1 2 bhb-20230119xex99d1.htm EX-99.1

Exhibit 99.1

Graphic

Bar Harbor Bankshares Reports Fourth Quarter Results; Declares Dividend

BAR HARBOR, MAINE – January 19, 2023 - Bar Harbor Bankshares (NYSE American: BHB) (the “Company”) reported fourth quarter 2022 net income of $12.5 million or $0.83 per diluted share compared to $9.8 million or $0.65 per diluted share in the same quarter of 2021.  Earnings per share in the prior year quarter included a $0.05 per diluted share benefit from Paycheck Protection Program (“PPP”) loans. For the full year of 2022, net income was $43.6 million or $2.88 per diluted share compared to $39.3 million and $2.61 per diluted share for 2021, an increase of 11%.

  

FOURTH QUARTER HIGHLIGHTS (all comparisons to the fourth quarter 2021 unless otherwise noted)

1.30% return on assets, compared to 1.02%
12.73% return on equity, compared to 9.16%
11% annualized commercial loan growth, 19% commercial loan growth for 2022, compared to 2021
3.76% net interest margin, compared to 2.79%
58% efficiency ratio (non-GAAP measure), compared to 61%
0.17% non-performing assets ratio to total assets, compared to 0.27%

Bar Harbor Bankshares’ President and Chief Executive Officer, Curtis C. Simard stated, “We are excited about all of our accomplishments in 2022, and most recently, for ending the year with such a strong quarter that demonstrated stable performance across all divisions.  The results this past quarter once again highlight the strength of our balance sheet and the ability of our teams to deliver on core deposits, loans and wealth management in our markets. Our performance metrics showed significant favorable expansion throughout all of 2022 and included 19% in total commercial loan growth for the year while adhering to selective criteria and only experienced operators.  We ended the year with a return on assets of 1.30% and net income was up 28% over the fourth quarter of 2021.  Our credit quality remains solid as we posted net recoveries for the quarter and we continue to diligently manage expenses despite wage inflation while delivering positive operating leverage.  Return on equity was 12.73% in the quarter, up from 9.16% in the same quarter of 2021 on higher earnings and a more stable fair market value related to the securities portfolio, which we continue to classify all as held to maturity preserving our flexibility.”  

 

Mr. Simard further commented, “While we did see a decline in overall deposit balances during the quarter, it was primarily in institutional accounts with low activity, which tend to be most rate sensitive.  We continue to work with each customer on rates rather than make sweeping movements which allows us to focus on expanding those relationships as we review individual requests.  Despite the developing rate pressure on deposits, we benefitted from the higher rate environment as our assets repriced, allowing for an additional 29 basis points of expansion in the margin to 3.76%.  As we move into 2023, we have organically moved towards a slightly less asset sensitive position given the mix in loan growth during 2022.”

Mr. Simard went on to say, “Assets under management increased 7% during the quarter versus the S&P 500 which was up 4% for the same period.  Our wealth team added more than $132 million in new account assets this past year.  We have a strong, relationship centric wealth management group that we believe has positioned us to realize an organic lift as the market returns.”

Mr. Simard concluded, “Looking ahead in 2023, we are well positioned for success regardless of the rate environment.   We are proud to be operating as an organization focused in Northern New England, committed to the needs of our customers while delivering shareholder value.”

DIVIDEND DECLARED

The Company’s Board of Directors voted to declare a cash dividend of $0.26 per share to shareholders of record at the close of business on February 16, 2023 payable on March 16, 2023.  This dividend equates to a 3.25% annualized yield based on the $32.04 closing share price of the Company’s common stock on December 30, 2022, the last trading day of the fourth quarter 2022.

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FINANCIAL CONDITION

The Company had asset growth of 2% or $69 million quarter over quarter to $3.9 billion at the end of fourth quarter 2022.  Loans grew 2% or $52 million to $2.9 billion at the end of the fourth quarter driven by an 11% net annualized increase in commercial loans and 1% annualized growth in residential real estate.

Non-accruing loans for the fourth quarter 2022 decreased 16.7% or $1.3 million to $6.5 million from $7.8 million at the end of the third quarter.  The ratio of accruing past due loans to total loans decreased to 0.09% of total loans at the end of the fourth quarter 2022 from 0.10% at the end of the third quarter. The fourth quarter 2022 resulted in $155 thousand net recovery of charged off loans compared to a net charge off of $44 thousand in the third quarter. The allowance for credit losses increased $842 thousand to $25.9 million for the fourth quarter, compared to $25.0 million at the end of the third quarter 2022, due largely to significant loan growth during the quarter and  growth in commercial construction unused lines of credit.

Total deposits were $3.0 billion at the end of the fourth quarter 2022 down 3% or $92.2 million. Core deposits decreased $81 million or 3% driven by a $55.2 million decrease in business checking, demand deposit accounts and non-personal money market balances.   Time deposits decreased $10.8 million during the quarter as customers continue to move funds to transactional accounts upon contractual maturity.  Excess cash and short-term borrowings were used as funding during the fourth quarter 2022 as loan growth outpaced deposit growth.  

The Company’s book value per share was $26.09 at the end of the fourth quarter of 2022, compared with $25.22 at the end of the third quarter. Tangible book value per share (non-GAAP measure) was $17.78 at the end of the fourth quarter 2022, compared to $16.89 at the end of the third quarter, an annualized increase of 21%.  Other comprehensive income included unrealized loss on securities totaling $55.2 million in the fourth quarter 2022 compared to $58.7 million at the end of the third quarter.

RESULTS OF OPERATIONS

Net income increased 28% in the fourth quarter 2022 to $12.5 million, or $0.83 per diluted share, compared to $9.8 million, or $0.65 per diluted share, in the same quarter of 2021.  PPP income contributed $0.05 to earnings per share in the fourth quarter of 2021.

Net interest margin increased 97 basis points or 34% to 3.76% compared to 2.79% in the same period of 2021. The increase was driven by a 125 basis point increase in average yields as existing variable rate loans repriced along with growth in earning assets, offset in part by a higher cost of funds.  PPP loan fee amortization due to forgiveness contributed 10 basis points in the fourth quarter of 2021.  In addition, excess interest-bearing cash balances in the fourth quarter of 2021 reduced net interest margin by 27 basis points.  The yield on loans was 4.56% in the fourth quarter 2022, up from 3.58% in the same quarter of 2021 or 3.45% when excluding interest from PPP loans.  Costs of interest-bearing liabilities increased to 0.78% from 0.41% in the fourth quarter 2021 due primarily to a shift to wholesale borrowings to fund loans as deposit balances declined by 12% from a run-off of larger balance accounts seeking higher interest rates.

The provision for credit losses for the fourth quarter 2022 was $687 thousand, compared to $126 thousand in the fourth quarter of 2021, driven primarily by the 7% annualized loan growth. The provision for credit losses on unfunded commitments increased $1.4 million in the current quarter driven largely by the growth in unfunded commercial construction lines of credit.  

Non-interest income in the fourth quarter 2022 was $8.2 million, compared to $11.2 million in the same quarter of 2021.  Customer service fees grew to $3.6 million in the fourth quarter of 2022 from $3.5 million in the same quarter of 2021 on a higher number of transactional accounts.  Wealth management income in the fourth quarter 2022 was $3.4 million, compared to $3.8 million in prior year due primarily to lower AUM stemming from a decline market valuations.  Mortgage banking income was $153 thousand, compared to $1.6 million in the same period of 2021 reflecting increased on balance sheet activity related to higher interest rates.  Additionally, the fourth quarter of 2021 included $890 thousand of gains on the sales of securities.  

Non-interest expense was $24.6 million in the fourth quarter 2022 and $22.9 million in the same quarter of 2021.  Salaries and employee benefits increased by $1.1 million primarily due to the revaluation of long-term incentive accruals driven by the Company’s higher stock price at the end of the fourth quarter 2022. The provision for unfunded commitments increased $1.2 million over the prior year quarter due to an increase in commercial construction activity. The efficiency ratio (non-GAAP) in the fourth quarter 2022 was 58%, down from 61%, or 63% excluding PPP loan income in the fourth quarter 2021.  Non-core expenses (non-GAAP) in the fourth quarter of 2021 consisted mostly of a $1.1 million prepayment penalty on debt extinguishment and a $515 thousand loss on sale of premises and equipment.

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BACKGROUND

Bar Harbor Bankshares (NYSE American: BHB) is the parent company of its wholly-owned subsidiary, Bar Harbor Bank & Trust. Founded in 1887, Bar Harbor Bank & Trust is a true community bank serving the financial needs of its clients for over 135 years. Bar Harbor Bank & Trust provides full-service community banking with office locations in all three Northern New England states of Maine, New Hampshire and Vermont. For more information, visit www.barharbor.bank.

FORWARD-LOOKING STATEMENTS

All statements, other than statements of historical fact, included in this release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements relating to the current economic outlook, potential risks to the economy, future interest rates, our ability to grow in the future, and management’s optimism about the Company’s market and financial positions. The words “believe,” “anticipate,” “expect,” “may,” “will,” “assume,” “should,” “predict,” “could,” “would,” “intend,” “targets,” “estimates,” “projects,” “plans,” and “potential,” and other similar words and expressions of the future, are intended to identify such forward-looking statements, but other statements not based on historical information may also be considered forward-looking, including statements about the Company’s wealth management growth when the market returns, 2023 success regardless of the rate environment, future financial and operating results and the Company’s plans, objectives, and intentions. All forward-looking statements are subject to risks, uncertainties, and other factors that may cause the actual results, performance, or achievements of the Company to differ materially from any results, performance, or achievements expressed or implied by such forward-looking statements. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could cause the actual results to differ materially from the statements, including, but not limited to: (1) deterioration in the financial condition of borrowers of Bar Harbor Bank & Trust, including as a result of the negative impact of inflationary pressures on our customers and their businesses resulting in significant increases in loan losses and provisions for those losses, (2) deterioration in the financial condition of borrowers of Bar Harbor Bank & Trust, including as a result of the negative impact of inflationary pressures on our customers and their businesses resulting in significant increases in loan losses and provisions for those losses, (3) the possibility that our asset quality could decline or that we experience greater loan losses than anticipated, (4) increased levels of other real estate, primarily as a result of foreclosures, (5) the impact of liquidity needs on our results of operations and financial condition, (6) competition from financial institutions and other financial service providers, (7) the effect of interest rate increases on the cost of deposits, (8) unanticipated weakness in loan demand or loan pricing, (9) adverse conditions in the national or local economies including in Bar Harbor Bankshares’ markets throughout Northern New England, (10) the effects of new outbreaks of COVID-19, including actions taken by governmental officials to curb the spread of the virus, and the resulting impact on general economic and financial market conditions and on Bar Harbor Bankshares' and its customers' business, results of operations, asset quality and financial condition, (11) the efficacy of vaccines against the COVID-19 virus, including new variants, (12) lack of strategic growth opportunities or our failure to execute on available opportunities, (13) the ability to grow and retain low-cost core deposits and retain large, uninsured deposits, (14) our ability to effectively manage problem credits, (15) our ability to successfully implement efficiency initiatives on time and with the results projected, (16) our ability to successfully develop and market new products and technology, (17) the impact of negative developments in the financial industry and United States and global capital and credit markets, (18) our ability to retain the services of key personnel, (19) our ability to adapt to technological changes, (20) risks associated with litigation, including reputational and financial risks and the applicability of insurance coverage, (21) the vulnerability of the Bar Harbor Bank & Trust’s computer and information technology systems and networks, and the systems and networks of third parties with whom the Company or the Bar Harbor Bank & Trust contract, to unauthorized access, computer viruses, phishing schemes, spam attacks, human error, natural disasters, power loss, and other security breaches and interruptions, (22) changes in state and federal laws, rules, regulations, or policies applicable to banks or bank or financial holding companies, including regulatory or legislative developments, (23) adverse impacts (including costs, fines, reputational harm, or other negative effects) from current or future litigation, regulatory examinations, or other legal and/or regulatory actions, (24) our ability to maintain appropriate environmental, social and governance (ESG) practices, oversight, an disclosures; and (25) general competitive, economic, political, and market conditions, including economic conditions in the local markets where we operate. Additional factors which could affect the forward-looking statements can be found in the Company’s annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K filed with the Securities and Exchange Commission (the “SEC”) and available on the SEC’s website at http://www.sec.gov. The Company believes the forward-looking statements contained herein are reasonable; however, many of such risks, uncertainties, and other factors are beyond the Company’s ability to control or predict and undue reliance should not be placed on any forward-looking statements, which are based on current expectations and speak only as of the date that they are made. Therefore, the Company can give no assurance that its future results will be as estimated. The Company does not intend to, and disclaims any obligation to, update or revise any forward-looking statement.

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NON-GAAP FINANCIAL MEASURES

This document contains certain non-GAAP financial measures in addition to results presented in accordance with accounting principles generally accepted in the United States of America ("GAAP"). These non-GAAP measures are intended to provide the reader with additional supplemental perspectives on operating results, performance trends, and financial condition. Non-GAAP financial measures are not a substitute for GAAP measures; they should be read and used in conjunction with the Company's GAAP financial information. A reconciliation of non-GAAP financial measures to GAAP measures is provided below. In all cases, it should be understood that non-GAAP measures do not depict amounts that accrue directly to the benefit of shareholders. An item which management excludes when computing non-GAAP core earnings can be of substantial importance to the Company's results for any particular quarter or year. The Company's non-GAAP core earnings information set forth is not necessarily comparable to non-GAAP information, which may be presented by other companies. Each non-GAAP measure used by the Company in this report as supplemental financial data should be considered in conjunction with the Company's GAAP financial information.

The Company utilizes the non-GAAP measure of core earnings in evaluating operating trends, including components for core revenue and expense. These measures exclude amounts which the Company views as unrelated to its normalized operations, including gains/losses on securities, premises, equipment and other real estate owned, acquisition costs, restructuring costs, legal settlements, and systems conversion costs. Non-GAAP adjustments are presented net of an adjustment for income tax expense.

The Company also calculates core earnings per share based on its measure of core earnings. The Company views these amounts as important to understanding its operating trends, particularly due to the impact of accounting standards related to acquisition activity. Analysts also rely on these measures in estimating and evaluating the Company's performance. Management also believes that the computation of non-GAAP core earnings and core earnings per share may facilitate the comparison of the Company to other companies in the financial services industry. The Company also adjusts certain equity related measures to exclude intangible assets due to the importance of these measures to the investment community.

###

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BAR HARBOR BANKSHARES

SELECTED FINANCIAL HIGHLIGHTS - UNAUDITED

At or for the Quarters Ended

 

    

Dec 31,

    

    

Sep 30,

    

Jun 30,

    

Mar 31,

    

Dec 31,

2022

2022

2022

2022

2021

PER SHARE DATA

Net earnings, diluted

 

$

0.83

 

$

0.76

 

$

0.70

 

$

0.60

 

$

0.65

Core earnings, diluted (1)

 

0.83

 

0.76

 

0.70

 

0.62

 

0.68

Total book value

 

26.09

 

25.22

 

26.19

 

27.11

 

28.27

Tangible book value (1)

 

17.78

 

16.89

 

17.83

 

18.72

 

19.86

Market price at period end

 

32.04

 

26.52

 

25.86

 

28.62

 

28.93

Dividends

 

0.26

 

0.26

 

0.26

 

0.24

 

0.24

PERFORMANCE RATIOS (2)

Return on assets

 

1.30

%  

1.20

%  

1.14

%  

1.00

%  

1.02

%

Core return on assets (1)

 

1.30

 

1.20

 

1.14

 

1.02

 

1.07

Pre-tax, pre-provision return on assets

1.72

1.65

1.50

1.28

1.26

Core pre-tax, pre-provision return on assets (1)

1.72

1.65

1.50

1.31

1.33

Return on equity

 

12.73

 

11.55

 

10.58

 

8.89

 

9.16

Core return on equity (1)

 

12.72

 

11.54

 

10.59

 

9.07

 

9.60

Return on tangible equity

19.03

17.25

15.74

13.01

13.30

Core return on tangible equity (1)

 

19.02

 

17.24

 

15.76

 

13.27

 

13.93

Net interest margin, fully taxable equivalent (1) (3)

 

3.76

 

3.47

 

3.19

 

2.95

 

2.79

Core net interest margin (1) (4)

3.76

3.47

3.19

2.93

2.69

Efficiency ratio (1)

 

58.19

 

57.67

 

59.25

 

62.40

 

60.74

FINANCIAL DATA (In millions)

Total assets

 

$

3,910

 

$

3,840

 

$

3,716

 

$

3,692

 

$

3,709

Total earning assets (5)

 

3,601

 

3,525

 

3,399

 

3,367

 

3,380

Total investments

 

574

 

566

 

593

 

611

 

626

Total loans

 

2,903

 

2,850

 

2,727

 

2,655

 

2,532

Allowance for credit losses

 

26

 

25

 

24

 

23

 

23

Total goodwill and intangible assets

 

125

 

126

 

126

 

126

 

126

Total deposits

 

3,043

 

3,136

 

3,079

 

3,048

 

3,049

Total shareholders' equity

 

393

 

380

 

394

 

407

 

424

Net income

 

13

 

11

 

11

 

9

 

10

Core earnings (1)

 

13

 

11

 

11

 

9

 

10

ASSET QUALITY AND CONDITION RATIOS

Net (recoveries) charge-offs(6)/average loans

 

(0.02)

%  

0.01

%  

%  

(0.01)

%  

(0.02)

%

Allowance for credit losses/total loans

 

0.89

 

0.88

 

0.87

 

0.87

 

0.90

Loans/deposits

 

95

 

91

 

89

 

87

 

83

Shareholders' equity to total assets

 

10.06

 

9.89

 

10.59

 

11.02

 

11.43

Tangible shareholders' equity to tangible assets

 

7.09

 

6.85

 

7.46

 

7.88

 

8.32


(1)Non-GAAP financial measure. Refer to the Reconciliation of Non-GAAP Financial Measures in tables I-J for additional information.
(2)All performance ratios are based on average balance sheet amounts, where applicable.
(3)Fully taxable equivalent considers the impact of tax-advantaged investment securities and loans.
(4)Core net interest margin excludes Paycheck Protection Program loans.
(5)Earning assets includes non-accruing loans and interest-bearing deposits with other banks. Securities are valued at amortized cost.
(6)Current quarter annualized.

A


BAR HARBOR BANKSHARES

CONSOLIDATED BALANCE SHEETS - UNAUDITED

    

Dec 31,

    

Sep 30,

    

Jun 30,

    

Mar 31,

    

Dec 31,

(in thousands)

2022

2022

2022

2022

2021

Assets

 

  

 

  

 

  

 

  

 

  

Cash and due from banks

$

39,933

$

50,760

$

40,834

$

38,656

$

33,508

Interest-earning deposits with other banks

 

52,362

 

31,305

 

26,282

 

72,393

 

216,881

Total cash and cash equivalents

 

92,295

 

82,065

 

67,116

 

111,049

 

250,389

Securities available for sale

 

559,516

 

556,752

 

586,142

 

603,910

 

618,276

Federal Home Loan Bank stock

 

14,893

 

9,035

 

6,572

 

7,384

 

7,384

Total securities

 

574,409

 

565,787

 

592,714

 

611,294

 

625,660

Loans held for sale

982

3,539

2,843

5,523

Total loans

 

2,902,690

 

2,850,364

 

2,727,274

 

2,654,562

 

2,531,910

Less: Allowance for credit losses

 

(25,860)

 

(25,018)

 

(23,756)

 

(23,190)

 

(22,718)

Net loans

 

2,876,830

 

2,825,346

 

2,703,518

 

2,631,372

 

2,509,192

Premises and equipment, net

 

47,622

 

48,010

 

48,350

 

48,891

 

49,382

Other real estate owned

 

 

 

 

 

Goodwill

 

119,477

 

119,477

 

119,477

 

119,477

 

119,477

Other intangible assets

 

5,801

 

6,034

 

6,267

 

6,500

 

6,733

Cash surrender value of bank-owned life insurance

 

81,197

 

80,758

 

80,262

 

79,861

 

79,020

Deferred tax asset, net

 

24,443

 

25,288

 

18,405

 

12,614

 

5,547

Other assets

 

87,729

 

86,499

 

76,109

 

68,169

 

58,310

Total assets

$

3,909,803

$

3,840,246

$

3,715,757

$

3,692,070

$

3,709,233

Liabilities and shareholders' equity

 

  

 

  

 

  

 

  

 

  

Demand and other non-interest bearing deposits

$

676,350

$

700,218

$

670,268

$

653,471

$

664,420

NOW deposits

 

900,730

 

918,822

 

883,239

 

918,768

 

940,631

Savings deposits

 

664,514

 

669,317

 

663,676

 

658,834

 

628,670

Money market deposits

 

478,398

 

513,075

 

499,456

 

424,750

 

389,291

Time deposits

 

323,439

 

334,248

 

361,906

 

391,940

 

425,532

Total deposits

 

3,043,431

 

3,135,680

 

3,078,545

 

3,047,763

 

3,048,544

Senior borrowings

 

333,957

 

188,757

 

117,347

 

118,538

 

118,400

Subordinated borrowings

 

60,289

 

60,248

 

60,206

 

60,165

 

60,124

Total borrowings

 

394,246

 

249,005

 

177,553

 

178,703

 

178,524

Other liabilities

 

78,676

 

75,596

 

66,062

 

58,605

 

58,018

Total liabilities

 

3,516,353

 

3,460,281

 

3,322,160

 

3,285,071

 

3,285,086

Total shareholders’ equity

 

393,450

 

379,965

 

393,597

 

406,999

 

424,147

Total liabilities and shareholders’ equity

$

3,909,803

$

3,840,246

$

3,715,757

$

3,692,070

$

3,709,233

Net shares outstanding

 

15,083

 

15,066

 

15,026

 

15,013

 

15,001

B


BAR HARBOR BANKSHARES

CONSOLIDATED LOAN & DEPOSIT ANALYSIS - UNAUDITED

LOAN ANALYSIS

Annualized

Growth %

    

Dec 31,

    

Sep 30,

    

Jun 30,

    

Mar 31,

    

Dec 31,

    

Quarter

Year 

(in thousands)

2022

2022

2022

2022

2021

to Date

to Date

Commercial real estate

$

1,495,452

$

1,421,962

$

1,331,860

$

1,289,968

$

1,210,580

 

21

%  

24

%

Commercial and industrial

 

352,735

 

376,624

 

360,304

 

346,394

 

340,129

 

(25)

 

4

Paycheck Protection Program (PPP)

170

1,126

6,669

*

Total commercial loans

 

1,848,187

 

1,798,586

 

1,692,334

 

1,637,488

 

1,557,378

 

11

 

19

Total commercial loans, excluding PPP

 

1,848,187

 

1,798,586

 

1,692,164

 

1,636,362

 

1,550,709

 

11

 

19

Residential real estate

 

898,192

 

896,618

 

876,644

 

868,382

 

821,004

 

1

 

9

Consumer

 

100,855

 

100,822

 

100,816

 

96,876

 

98,949

 

 

2

Tax exempt and other

 

55,456

 

54,338

 

57,480

 

51,816

 

54,579

 

8

 

2

Total loans

$

2,902,690

$

2,850,364

$

2,727,274

$

2,654,562

$

2,531,910

 

7

%  

15

%

DEPOSIT ANALYSIS

Annualized

Growth %

    

Dec 31,

    

Sep 30,

    

Jun 30,

    

Mar 31,

    

Dec 31,

    

Quarter

Year 

(in thousands)

2022

2022

2022

2022

2021

to Date

to Date

Demand

$

676,350

$

700,218

$

670,268

$

653,471

$

664,420

 

(14)

%  

2

%

NOW

 

900,730

 

918,822

 

883,239

 

918,768

 

940,631

 

(8)

 

(4)

Savings

 

664,514

 

669,317

 

663,676

 

658,834

 

628,670

 

(3)

 

6

Money market

 

478,398

 

513,075

 

499,456

 

424,750

 

389,291

 

(27)

 

23

Total non-maturity deposits

 

2,719,992

 

2,801,432

 

2,716,639

 

2,655,823

 

2,623,012

 

(12)

 

4

Total time deposits

 

323,439

 

334,248

 

361,906

 

391,940

 

425,532

 

(13)

 

(24)

Total deposits

$

3,043,431

$

3,135,680

$

3,078,545

$

3,047,763

$

3,048,544

 

(12)

%  

%

*Indicates ratios of 100% or greater.

C


BAR HARBOR BANKSHARES

CONSOLIDATED STATEMENTS OF INCOME – UNAUDITED

Three Months Ended

Year Ended

December 31, 

December 31, 

(in thousands, except per share data)

    

2022

    

2021

    

2022

    

2021

Interest and dividend income

 

  

 

  

 

  

 

  

Loans

$

32,605

$

22,746

$

107,797

$

95,236

Securities and other

 

5,551

 

3,776

 

18,729

 

15,568

Total interest and dividend income

 

38,156

 

26,522

 

126,526

 

110,804

Interest expense

 

  

 

  

 

 

  

Deposits

 

3,159

 

1,434

 

7,344

 

8,543

Borrowings

 

2,043

 

1,273

 

5,501

 

6,688

Total interest expense

 

5,202

 

2,707

 

12,845

 

15,231

Net interest income

 

32,954

 

23,815

 

113,681

 

95,573

Provision for credit losses

 

687

 

126

 

2,904

 

(1,302)

Net interest income after provision for credit losses

 

32,267

 

23,689

 

110,777

 

96,875

Non-interest income

 

  

 

  

 

  

 

  

Trust and investment management fee income

 

3,442

 

3,844

 

14,573

 

15,179

Customer service fees

 

3,683

 

3,470

 

14,791

 

13,212

Gain on sales of securities, net

 

 

890

 

53

 

2,870

Mortgage banking income

153

1,563

1,580

6,536

Bank-owned life insurance income

 

499

 

669

 

2,000

 

2,179

Customer derivative income

 

97

 

173

 

310

 

1,010

Other income

 

354

 

549

 

2,014

 

1,275

Total non-interest income

 

8,228

 

11,158

 

35,321

 

42,261

Non-interest expense

 

  

 

  

 

  

 

  

Salaries and employee benefits

 

12,900

 

11,842

 

48,657

 

47,117

Occupancy and equipment

 

4,321

 

4,105

 

17,575

 

16,356

Loss on sales of premises and equipment, net

 

75

 

515

 

10

 

378

Outside services

 

435

 

431

 

1,578

 

1,943

Professional services

 

490

 

556

 

1,612

 

1,756

Communication

 

263

 

205

 

880

 

912

Marketing

 

411

 

378

 

1,561

 

1,541

Amortization of intangible assets

 

233

 

233

 

932

 

940

Loss on debt extinguishment

 

 

1,083

 

 

2,851

Acquisition, conversion and other expenses

 

(90)

 

(92)

 

266

 

1,667

Provision for unfunded commitments

1,413

 

(49)

 

1,758

 

177

Other expenses

 

4,184

 

3,714

 

16,424

 

14,870

Total non-interest expense

 

24,635

 

22,921

 

91,253

 

90,508

Income before income taxes

 

15,860

 

11,926

 

54,845

 

48,628

Income tax expense

 

3,348

 

2,160

 

11,288

 

9,329

Net income

$

12,512

$

9,766

$

43,557

$

39,299

Earnings per share:

 

  

 

  

 

  

 

  

Basic

$

0.83

$

0.65

$

2.90

$

2.63

Diluted

 

0.83

 

0.65

 

2.88

 

2.61

Weighted average shares outstanding:

 

  

 

  

 

  

 

  

Basic

 

15,073

 

14,993

 

15,040

 

14,969

Diluted

 

15,147

 

15,075

 

15,112

 

15,045

D


BAR HARBOR BANKSHARES

CONSOLIDATED STATEMENTS OF INCOME (5 Quarter Trend) - UNAUDITED

    

Dec 31,

    

Sep 30,

    

Jun 30,

    

Mar 31,

    

Dec 31,

(in thousands, except per share data)

2022

2022

2022

2022

2021

Interest and dividend income

 

  

 

  

 

  

 

  

 

  

Loans

$

32,605

$

27,940

$

24,581

$

22,671

$

22,746

Securities and other

 

5,551

5,145

4,207

3,826

3,776

Total interest and dividend income

 

38,156

33,085

28,788

26,497

26,522

Interest expense

 

  

  

  

  

  

Deposits

 

3,159

1,801

1,195

1,189

1,434

Borrowings

 

2,043

1,374

1,074

1,010

1,273

Total interest expense

 

5,202

3,175

2,269

2,199

2,707

Net interest income

 

32,954

29,910

26,519

24,298

23,815

Provision for credit losses

 

687

1,306

534

377

126

Net interest income after provision for credit losses

 

32,267

28,604

25,985

23,921

23,689

Non-interest income

 

  

  

  

  

  

Trust and investment management fee income

 

3,442

3,548

3,829

3,754

3,844

Customer service fees

 

3,683

3,836

3,656

3,616

3,470

Gain on sales of securities, net

 

44

9

890

Mortgage banking income

153

315

488

624

1,563

Bank-owned life insurance income

 

499

496

504

501

669

Customer derivative income

 

97

58

137

18

173

Other income

 

354

526

347

787

549

Total non-interest income

 

8,228

8,823

8,961

9,309

11,158

Non-interest expense

 

  

  

  

  

  

Salaries and employee benefits

 

12,900

12,242

11,368

12,147

11,842

Occupancy and equipment

 

4,321

4,458

4,373

4,423

4,105

Loss (gain) on sales of premises and equipment, net

 

75

10

(75)

515

Outside services

 

435

393

410

340

431

Professional services

 

490

421

528

173

556

Communication

 

263

204

188

225

205

Marketing

 

411

518

369

263

378

Amortization of intangible assets

 

233

233

233

233

233

Loss on debt extinguishment

 

1,083

Acquisition, conversion and other expenses

 

(90)

31

325

(92)

Provision for unfunded commitments

1,413

(26)

45

326

(49)

Other expenses

 

4,184

4,558

4,176

3,506

3,714

Total non-interest expense

 

24,635

 

23,032

 

21,700

 

21,886

 

22,921

Income before income taxes

 

15,860

 

14,395

 

13,246

 

11,344

 

11,926

Income tax expense

 

3,348

2,965

2,743

2,232

2,160

Net income

$

12,512

$

11,430

$

10,503

$

9,112

$

9,766

Earnings per share:

 

  

 

  

 

  

 

  

 

  

Basic

$

0.83

$

0.76

$

0.70

$

0.61

$

0.65

Diluted

 

0.83

 

0.76

 

0.70

 

0.60

 

0.65

Weighted average shares outstanding:

 

  

 

  

 

  

 

  

 

  

Basic

 

15,073

15,058

15,018

15,011

14,993

Diluted

 

15,147

15,113

15,077

15,102

15,075

E


BAR HARBOR BANKSHARES

AVERAGE YIELDS AND COSTS (Fully Taxable Equivalent (Non-GAAP) - Annualized) - UNAUDITED

Quarters Ended

 

    

Dec 31,

    

Sep 30,

    

Jun 30,

    

Mar 31,

    

Dec 31,

 

2022

2022

2022

2022

2021

 

Earning assets

Interest-earning deposits with other banks

4.00

%  

2.13

%  

0.80

%  

0.16

%  

0.16

%

Securities available for sale and FHLB stock

3.40

3.12

2.69

2.55

2.66

Loans:

Commercial real estate

 

4.81

4.26

3.82

3.50

3.40

Commercial and industrial

 

5.43

 

4.46

 

3.67

 

3.46

 

3.23

Paycheck protection program

13.99

26.49

26.25

Residential real estate

 

3.63

 

3.45

 

3.55

 

3.55

 

3.61

Consumer

 

5.79

 

4.55

 

3.82

 

3.51

 

3.49

Total loans

 

4.56

 

4.04

 

3.71

 

3.54

 

3.58

Total earning assets

 

4.35

%  

3.84

%  

3.46

%  

3.21

%  

3.10

%

Funding liabilities

Deposits:

NOW

 

0.22

%  

0.16

%  

0.14

%  

0.14

%  

0.14

%

Savings

 

0.16

 

0.08

 

0.08

 

0.09

 

0.08

Money market

 

1.42

 

0.65

 

0.19

 

0.12

 

0.12

Time deposits

 

0.69

 

0.55

 

0.58

 

0.62

 

0.77

Total interest-bearing deposits

 

0.52

 

0.30

 

0.20

 

0.20

 

0.24

Borrowings

 

3.23

 

2.69

 

2.41

 

2.29

 

2.17

Total interest-bearing liabilities

 

0.78

%  

0.48

%  

0.36

%  

0.35

%  

0.41

%

Net interest spread

 

3.57

 

3.36

 

3.10

 

2.86

 

2.69

Net interest margin, fully taxable equivalent(1)

 

3.76

 

3.47

 

3.19

 

2.95

 

2.79

Core net interest margin (1)

 

3.76

 

3.47

 

3.19

 

2.93

 

2.69

(1)Non-GAAP financial measure. Refer to the Reconciliation of Non-GAAP Financial Measures in tables I-J for additional information.

F


BAR HARBOR BANKSHARES

AVERAGE BALANCES - UNAUDITED

Quarters Ended

Dec 31,

Sep 30,

Jun 30,

Mar 31,

Dec 31,

(in thousands)

2022

2022

2022

2022

2021

Assets

    

  

    

  

    

  

    

  

    

  

Interest-earning deposits with other banks (1)

$

26,360

$

59,556

$

63,317

$

140,383

$

325,260

Securities available for sale and FHLB stock (2)

641,787

642,475

637,881

629,811

578,323

Loans:

Commercial real estate

1,447,384

1,351,599

1,296,162

1,264,798

1,189,803

Commercial and industrial

 

403,304

 

421,963

 

412,518

 

393,759

 

386,156

Paycheck protection program

94

788

2,999

14,824

Residential real estate

 

897,637

 

882,158

 

863,172

 

856,252

 

844,872

Consumer

 

100,182

 

101,175

 

98,588

 

97,594

 

100,723

Total loans (3)

 

2,848,507

 

2,756,989

 

2,671,228

 

2,615,402

 

2,536,378

Total earning assets

 

3,516,654

 

3,459,020

 

3,372,426

 

3,385,596

 

3,439,961

Cash and due from banks

 

36,891

 

40,330

 

35,051

 

32,742

 

37,818

Allowance for credit losses

 

(25,497)

 

(24,061)

 

(23,228)

 

(23,256)

 

(22,525)

Goodwill and other intangible assets

 

125,391

 

125,626

 

126,090

 

126,090

 

126,324

Other assets

 

164,749

 

171,394

 

178,037

 

190,846

 

200,097

Total assets

$

3,818,188

$

3,772,309

$

3,688,376

$

3,712,018

$

3,781,675

Liabilities and shareholders' equity

 

  

 

  

 

  

 

  

 

  

Deposits:

NOW

$

899,388

$

905,668

$

893,239

$

930,556

$

913,326

Savings

 

664,016

 

668,255

 

657,047

 

640,672

 

620,599

Money market

 

501,564

 

491,683

 

457,088

 

414,130

 

395,341

Time deposits

 

334,297

 

349,787

 

375,782

 

406,730

 

450,559

Total interest-bearing deposits

 

2,399,265

 

2,415,393

 

2,383,156

 

2,392,088

 

2,379,825

Borrowings

 

251,263

 

202,296

 

178,519

 

178,958

 

232,492

Total interest-bearing liabilities

 

2,650,528

 

2,617,689

 

2,561,675

 

2,571,046

 

2,612,317

Non-interest-bearing demand deposits

 

703,471

 

690,134

 

661,412

 

660,717

 

684,895

Other liabilities

 

74,276

 

71,934

 

67,069

 

64,619

 

61,480

Total liabilities

 

3,428,275

 

3,379,757

 

3,290,156

 

3,296,382

 

3,358,692

Total shareholders' equity

 

389,913

 

392,552

 

398,220

 

415,636

 

422,983

Total liabilities and shareholders' equity

$

3,818,188

$

3,772,309

$

3,688,376

$

3,712,018

$

3,781,675


(1)Total average interest-bearing deposits with other banks is net of Federal Reserve daily cash letter.
(2)Average balances for securities available-for-sale are based on amortized cost.
(3)Total average loans include non-accruing loans and loans held for sale.

G


BAR HARBOR BANKSHARES

ASSET QUALITY ANALYSIS - UNAUDITED

At or for the Quarters Ended

    

Dec 31,

    

Sep 30,

    

Jun 30,

    

Mar 31,

    

Dec 31,

 

(in thousands)

2022

2022

2022

2022

2021

 

NON-PERFORMING ASSETS

Non-accruing loans:

Commercial real estate

 

$

1,222

 

$

1,587

 

$

1,483

 

$

1,633

 

$

2,890

Commercial installment

 

264

 

348

 

632

 

905

 

1,056

Residential real estate

 

4,151

 

4,858

 

4,882

 

5,612

 

5,192

Consumer installment

 

911

 

981

 

881

 

1,063

 

1,053

Total non-accruing loans

 

6,548

 

7,774

 

7,878

 

9,213

 

10,191

Other real estate owned

 

 

 

 

 

Total non-performing assets

 

$

6,548

 

$

7,774

 

$

7,878

 

$

9,213

 

$

10,191

Total non-accruing loans/total loans

 

0.23

%  

0.27

%  

0.29

%  

0.35

%  

0.40

%

Total non-performing assets/total assets

 

0.17

 

0.20

 

0.21

 

0.25

 

0.27

PROVISION AND ALLOWANCE FOR CREDIT LOSSES

Balance at beginning of period

 

$

25,018

 

$

23,756

 

$

23,190

 

$

22,718

 

$

22,448

Charged-off loans

 

(136)

 

(85)

 

(62)

 

(83)

 

(154)

Recoveries on charged-off loans

 

291

 

41

 

94

 

178

 

298

Net loans recovered (charged-off)

 

155

 

(44)

 

32

 

95

 

144

Provision for credit losses

 

687

 

1,306

 

534

 

377

 

126

Balance at end of period

 

$

25,860

 

$

25,018

 

$

23,756

 

$

23,190

 

$

22,718

Allowance for credit losses/total loans

 

0.89

%  

0.88

%  

0.87

%  

0.87

%  

0.90

%

Allowance for credit losses/non-accruing loans

 

395

 

322

 

300

 

252

 

223

NET LOAN RECOVERIES (CHARGE-OFFS)

Commercial real estate

 

$

 

$

7

 

$

59

 

$

54

 

$

216

Commercial installment

 

285

 

12

 

12

 

25

 

53

Residential real estate

 

(56)

 

(5)

 

6

 

76

 

8

Consumer installment

 

(74)

 

(58)

 

(45)

 

(60)

 

(133)

Total, net

 

$

155

 

$

(44)

 

$

32

 

$

95

 

$

144

Net (recoveries) charge-offs (QTD annualized)/average loans

 

(0.02)

%  

0.01

%  

%  

(0.01)

%  

(0.02)

%

Net (recoveries) charge-offs (YTD annualized)/average loans

 

(0.01)

 

 

(0.01)

 

(0.01)

 

0.01

DELINQUENT AND NON-ACCRUING LOANS/ TOTAL LOANS

30-89 Days delinquent

 

0.08

%  

0.09

%  

0.09

%  

0.22

%  

0.31

%

90+ Days delinquent and still accruing

 

0.01

 

0.01

 

0.03

 

0.03

 

0.01

Total accruing delinquent loans

 

0.09

 

0.10

 

0.12

 

0.25

 

0.32

Non-accruing loans

 

0.23

 

0.27

 

0.29

 

0.35

 

0.40

Total delinquent and non-accruing loans

 

0.32

%  

0.37

%  

0.41

%  

0.60

%  

0.72

%

H


BAR HARBOR BANKSHARES

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES AND SUPPLEMENTARY DATA – UNAUDITED

At or for the Quarters Ended

    

    

Dec 31,

    

Sep 30,

    

Jun 30,

    

Mar 31,

    

Dec 31,

(in thousands)

    

2022

2022

2022

2022

2021

Net income

$

12,512

$

11,430

$

10,503

$

9,112

$

9,766

Non-core items:

Gain on sale of securities, net

 

 

(44)

 

 

(9)

 

(890)

Loss (gain) on sale of premises and equipment, net

 

75

 

 

10

 

(75)

 

515

Loss on debt extinguishment

 

 

 

 

 

1,083

Acquisition, conversion and other expenses

 

(90)

 

31

 

 

325

 

(92)

Income tax expense (1)

 

4

 

3

 

(2)

 

(56)

 

(144)

Total non-core items

(11)

(10)

8

185

472

Core earnings (2)

 

(A)

$

12,501

$

11,420

$

10,511

$

9,297

$

10,238

Net interest income

 

(B)

$

32,954

$

29,910

$

26,519

$

24,298

$

23,815

Non-interest income

 

8,228

 

8,823

 

8,961

 

9,309

 

11,158

Total revenue

 

41,182

 

38,733

 

35,480

 

33,607

 

34,973

Gain on sale of securities, net

 

 

(44)

 

 

(9)

 

(890)

Total core revenue (2)

 

(C)

$

41,182

$

38,689

$

35,480

$

33,598

$

34,083

Total non-interest expense

 

24,635

 

23,032

 

21,700

 

21,886

 

22,921

Non-core expenses:

(Loss) gain on sale of premises and equipment, net

 

(75)

 

 

(10)

 

75

 

(515)

Loss on debt extinguishment

 

 

 

 

 

(1,083)

Acquisition, conversion and other expenses

 

90

 

(31)

 

 

(325)

 

92

Total non-core expenses

15

(31)

(10)

(250)

(1,506)

Core non-interest expense (2)

 

(D)

$

24,650

$

23,001

$

21,690

$

21,636

$

21,415

Total revenue

41,182

38,733

35,480

33,607

34,973

Total non-interest expense

24,635

23,032

21,700

21,886

22,921

Pre-tax, pre-provision net revenue

$

16,547

$

15,701

$

13,780

$

11,721

$

12,052

Core revenue(2)

41,182

38,689

35,480

33,598

34,083

Core non-interest expense(2)

24,650

23,001

21,690

21,636

21,415

Core pre-tax, pre-provision net revenue(2)

(U)

$

16,532

$

15,688

$

13,790

$

11,962

$

12,668

(in millions)

 

  

 

  

 

  

 

  

 

  

Average earning assets

 

(E)

$

3,517

$

3,459

$

3,372

$

3,386

$

3,440

Average paycheck protection program (PPP) loans

(R)

1

3

15

Average earning assets, excluding PPP loans

(S)

3,517

3,459

3,371

3,383

3,425

Average assets

 

(F)

 

3,818

 

3,772

 

3,688

 

3,712

 

3,782

Average shareholders' equity

 

(G)

 

390

 

393

 

398

 

416

 

423

Average tangible shareholders' equity (2) (3)

 

(H)

 

265

 

267

 

272

 

290

 

297

Tangible shareholders' equity, period-end (2) (3)

 

(I)

 

268

 

254

 

268

 

281

 

298

Tangible assets, period-end (2) (3)

 

(J)

 

3,785

 

3,715

 

3,587

 

3,566

 

3,583

I


BAR HARBOR BANKSHARES

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES AND SUPPLEMENTARY DATA – UNAUDITED

At or for the Quarters Ended

 

    

    

    

Dec 31,

    

Sep 30,

    

Jun 30,

    

Mar 31,

    

Dec 31,

 

(in thousands)

2022

2022

2022

2022

2021

 

Common shares outstanding, period-end

 

(K)

 

15,083

 

15,066

 

15,026

 

15,013

 

15,001

Average diluted shares outstanding

 

(L)

 

15,147

 

15,113

 

15,077

 

15,102

 

15,075

Core earnings per share, diluted (2)

 

(A/L)

$

0.83

$

0.76

$

0.70

$

0.62

$

0.68

Tangible book value per share, period-end (2)

 

(I/K)

 

17.78

 

16.89

 

17.83

 

18.72

 

19.86

Securities adjustment, net of tax (1) (4)

 

(M)

 

(55,246)

 

(58,715)

 

(38,304)

 

(20,225)

 

1,985

Tangible book value per share, excluding securities adjustment (2) (4)

 

(I+M)/K

 

21.44

 

20.79

 

20.38

 

20.07

 

19.73

Tangible shareholders' equity/total tangible assets (2)

 

(I/J)

 

7.09

 

6.85

 

7.47

 

7.88

 

8.32

Performance ratios (5)

GAAP return on assets

 

1.30

%  

1.20

%  

1.14

%  

1.00

%  

1.02

%

Core return on assets (2)

 

(A/F)

 

1.30

 

1.20

 

1.14

 

1.02

 

1.07

Pre-tax, pre-provision return on assets

1.72

1.65

1.50

1.28

1.26

Core pre-tax, pre-provision return on assets (2)

(U/F)

1.72

1.65

1.50

1.31

1.33

GAAP return on equity

 

12.73

 

11.55

 

10.58

 

8.89

 

9.16

Core return on equity (2)

 

(A/G)

 

12.72

 

11.54

 

10.59

 

9.07

 

9.60

Return on tangible equity

19.03

17.25

15.74

13.01

13.30

Core return on tangible equity (1) (2)

 

(A+Q)/H

 

19.02

 

17.24

 

15.76

 

13.27

 

13.93

Efficiency ratio (2) (6)

 

(D-O-Q)/(C+N)

 

58.19

 

57.67

 

59.25

 

62.40

 

60.74

Net interest margin, fully taxable equivalent (2)

 

(B+P)/E

 

3.76

 

3.47

 

3.19

 

2.95

 

2.79

Core net interest margin (2) (7)

(B+P-T)/S

3.76

3.47

3.19

2.93

2.69

Supplementary data (in thousands)

Taxable equivalent adjustment for efficiency ratio

 

(N)

$

520

$

533

$

491

$

476

$

573

Franchise taxes included in non-interest expense

 

(O)

 

149

 

149

 

144

 

141

 

132

Tax equivalent adjustment for net interest margin

 

(P)

 

365

 

379

 

334

 

320

 

369

Intangible amortization

 

(Q)

 

233

 

233

 

233

 

233

 

233

Interest and fees on PPP loans

 

(T)

 

 

 

27

 

196

 

981


(1)Assumes a marginal tax rate of 23.53% in the fourth quarter of 2022 and 23.41% for the previous four quarters.  
(2)Non-GAAP financial measure.
(3)Tangible shareholders' equity is computed by taking total shareholders' equity less the intangible assets at period-end. Tangible assets is computed by taking total assets less the intangible assets at period-end.
(4)Securities adjustment, net of tax represents the total unrealized loss on available-for-sale securities recorded on the Company's consolidated balance sheets within total common shareholders' equity.
(5)All performance ratios are based on average balance sheet amounts, where applicable.
(6)Efficiency ratio is computed by dividing core non-interest expense net of franchise taxes and intangible amortization divided by core revenue on a fully taxable equivalent basis.
(7)Core net interest margin excludes Paycheck Protection Program loans.

J


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Document and Entity Information
Feb. 19, 2023
Document and Entity Information [Abstract]  
Document Type 8-K
Document Period End Date Jan. 19, 2023
Entity File Number 001-13349
Entity Registrant Name BAR HARBOR BANKSHARES
Entity Incorporation, State or Country Code ME
Entity Tax Identification Number 01-0393663
Entity Address, Address Line One PO Box 400
Entity Address, Adress Line Two 82 Main Street
Entity Address, State or Province ME
Entity Address, City or Town Bar Harbor
Entity Address, Postal Zip Code 04609-0400
City Area Code 207
Local Phone Number 288-3314
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock, par value $2.00 per share
Trading Symbol BHB
Security Exchange Name NYSEAMER
Entity Emerging Growth Company false
Entity Central Index Key 0000743367
Amendment Flag false
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