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Camden National Corp

Camden National Corporation Delivers Solid First Quarter 2026 Results with Net Income of $21.9 Million and Diluted EPS of $1.29

CAMDEN, Maine , April 28, 2026 /PRNewswire/ -- Camden National Corporation (NASDAQ: CAC; "Camden National" or the "Company") reported net income of $21.9 million and diluted earnings per share ("EPS") of $1.29 for the quarter ended March 31, 2026, resulting in a return on average assets of 1.28%, a return on average equity of 12.58%, and a return on average tangible equity (non‑GAAP) of 18.17%.

"Our reported net income of nearly $22 million for the first quarter reflects the benefits of the acquisition we completed last year, including our ability to efficiently scale the combined organization and accelerate our strategy to grow and strengthen our franchise," said Simon Griffiths, President and Chief Executive Officer of Camden National Corporation. "We delivered solid performance in the first quarter through strong asset quality, expense management and deposit growth. Looking ahead, we remain focused on sustained growth and disciplined execution as we continue to meet our customers' evolving needs through advice-based conversations."

FIRST QUARTER 2026 HIGHLIGHTS

  • Net income for the first quarter was $21.9 million, compared to $7.3 million for the first quarter of 2025 and $22.6 million for the fourth quarter of 2025 ("linked-quarter"). On a non‑GAAP basis, adjusted net income was $21.9 million, compared to $15.8 million for the first quarter of 2025 and $22.6 million for the fourth quarter of 2025, representing a year‑over‑year increase of 39% and a linked‑quarter decrease of 3%.
  • Diluted EPS for the first quarter was $1.29, compared to $0.43 for the first quarter of 2025 and $1.33 for the fourth quarter of 2025. On a non‑GAAP basis, adjusted diluted earnings per share was $1.29, compared to $0.93 for the first quarter of 2025 and $1.33 for the fourth quarter of 2025, representing a year‑over‑year increase of 39% and a linked‑quarter decrease of 3%.
  • The GAAP efficiency ratio for the first quarter was 55.50%, and the non-GAAP efficiency ratio was 53.21%, compared to 54.16% and 51.69%, respectively, for the fourth quarter of 2025.
  • Book value per share was $41.98 and tangible book value per share (non-GAAP) was $30.58 at March 31, 2026, representing increases of 11% and 18%, respectively, compared to March 31, 2025.
  • The Company repurchased 33,131 shares of its common stock at a weighted-average price of $44.85 during the first quarter of 2026.

FINANCIAL OPERATING RESULTS (Q1 2026 vs. Q4 2025)

Net interest income for the first quarter of 2026 totaled $52.4 million, a decrease of 3% from the fourth quarter of 2025. Net interest margin contracted 5 basis points to 3.24% during the first quarter, driven by lower fair value mark accretion income of $956,000 and a 1% decline in average interest-earning assets compared to the prior quarter. Core net interest margin was 2.92% for the first quarter of 2026 and the fourth quarter of 2025.

Provision expense was $553,000 for the first quarter of 2026, compared to $3.0 million for the fourth quarter of 2025. Asset quality remained solid during the first quarter, as highlighted by an annualized net charge-offs-to average-loans ratio of 0.04% at March 31, 2026, compared to 0.26% on a quarterly basis at December 31, 2025.

Non-interest income for the first quarter of 2026 totaled $12.0 million, compared to $14.1 million for the fourth quarter of 2025. The decrease between quarters was driven by a decline in debit card income, reflecting the timing of recognition of our annual Visa incentive bonus and typical debit card seasonality, as well as lower customer loan swap income and deposit-related service charge income, which we anticipate will normalize in the second quarter of 2026.

Non-interest expense for the first quarter of 2026 totaled $35.7 million, a 3% decrease compared to the fourth quarter of 2025. The linked-quarter decline was primarily driven by the timing of certain retirement plan costs related to former Northway employees that were incurred in the fourth quarter of 2025, and lower performance incentive accruals and regulatory assessment fees. The Company's GAAP and non‑GAAP efficiency ratios for the first quarter of 2026 were 55.50% and 53.21% compared to 54.16% and 51.69%, respectively, for the fourth quarter of 2025.

FINANCIAL CONDITION

Total assets were $7.0 billion at March 31, 2026 and December 31, 2025.

Investments totaled $1.4 billion at March 31, 2026, representing a 3% decrease from December 31, 2025.

Total Loans were $5.0 billion at both March 31, 2026 and December 31, 2025, reflecting typical seasonal patterns for the first quarter. The Company entered the second quarter with a committed loan pipeline of $128.3 million.

The Company's asset quality continues to be strong, supported by healthy credit metrics, including past-due loans of 0.06% of total loans and non-performing assets of 0.16% of total assets. The allowance for credit losses ("ACL") on loans increased one basis point during the quarter to 0.92% of total loans at March 31, 2026. The ACL coverage ratio was 4.2 times non-performing loans at March 31, 2026, compared to 6.4 times at December 31, 2025.

Deposits totaled $5.6 billion at March 31, 2026, representing a 1% increase from December 31, 2025, driven by the success of the Company's high-yield savings product and recent onboarding of new business deposit customers. The increase in deposits enabled the Company to reduce higher‑cost, short‑term borrowings by $68.3 million during the quarter. As of March 31, 2026, the Company's loan‑to‑deposit ratio was 89%, compared to 90% at December 31, 2025.

As of March 31, 2026, the Company maintained capital ratios well in excess of all regulatory requirements, including a Common Equity Tier 1 ratio of 12.01%, a Tier 1 risk-based ratio of 13.32%, a total risk-based ratio of 14.27%, and a Tier 1 leverage ratio of 9.43%.

The Company announced a cash dividend of $0.42 per share, representing an annualized dividend yield of 3.54%, based on the Company's closing share price of $47.45 as reported by NASDAQ on March 31, 2026. The dividend will be payable on April 30, 2026, to shareholders of record on April 15, 2026.

Q1 2026 CONFERENCE CALL

Camden National Corporation will host a conference call and webcast at 3:00 p.m. Eastern Time on Tuesday, April 28, 2026, to discuss its first quarter of 2026 financial results and outlook. Participants should dial into the call 10 - 15 minutes before it begins. Information about the conference call is as follows:

Live dial-in (Domestic):      (833) 461-5787
Link to obtain live dial-in
(All other locations):           https://help.events.q4inc.com/eahc/international-dial-in-numbers
Meeting ID:                         616576518
Live webcast URL:             https://events.q4inc.com/attendee/616576518

A link to the live webcast will be available on Camden National's website under "About — Investor Relations" at CamdenNational.bank before the meeting, and a replay of the webcast will be available on Camden National's website following the conference call. The conference call transcript will also be available on Camden National's website approximately two days after the conference call.

ABOUT CAMDEN NATIONAL CORPORATION

Camden National Corporation (NASDAQ: CAC) is Northern New England's largest publicly traded bank holding company, with $7.0 billion in assets. Founded in 1875, Camden National Bank has 72 banking centers in Maine and New Hampshire and is a full-service community bank offering the latest digital banking, complemented by award-winning, personalized service. Additional information is available at CamdenNational.bank. Member FDIC. Equal Housing Lender.

Comprehensive wealth management, investment, and financial planning services are delivered by Camden National Wealth Management.

FORWARD-LOOKING STATEMENTS

Certain statements contained in this press release that are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including certain plans, expectations, goals, projections, and other statements, which are subject to numerous risks, assumptions, and uncertainties. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like "believe," "expect," "anticipate," "estimate," and "intend" or future or conditional verbs such as "will," "would," "should," "could," or "may." Certain factors that could cause actual results to differ materially from expected results include increased competitive pressures; inflation; ongoing competition in labor markets and employee turnover; deterioration in the value of Camden National's investment securities; changes in consumer spending and savings habits; changes in the interest rate environment; changes in general economic conditions, including as a result of tariffs and retaliatory tariffs; operational risks including, but not limited to, cybersecurity, fraud, pandemics and natural disasters; legislative and regulatory changes that adversely affect the business in which Camden National is engaged; turmoil and volatility in the financial services industry, including failures or rumors of failures of other depository institutions which could affect Camden National's ability to attract and retain depositors, and could affect the ability of financial services providers, including the Company, to borrow or raise capital; actions taken by governmental agencies to stabilize the financial system and the effectiveness of such actions; changes to regulatory capital requirements; changes in the securities markets and other risks and uncertainties disclosed from time to time in Camden National's Annual Report on Form 10-K for the year ended December 31, 2025, as updated by other filings with the Securities and Exchange Commission ("SEC"). Further, statements regarding the potential effects of notable and global current events, including hostilities in Iran and recent rulings on the permissibility of certain tariffs, on the Company's business, financial condition, liquidity and results of operations may constitute forward-looking statements and are subject to the risk that the actual effects may differ, possibly materially, from what is reflected in those forward-looking statements due to factors and future developments that are uncertain, unpredictable and in many cases beyond the Company's control. Camden National does not have any obligation to update forward-looking statements.

USE OF NON-GAAP MEASURES

In addition to evaluating the Company's results of operations in accordance with generally accepted accounting principles in the United States ("GAAP"), management supplements this evaluation with certain non-GAAP financial measures such as: adjusted net income; adjusted diluted earnings per share; adjusted return on average assets; adjusted return on average equity; pre-tax, pre-provision income; adjusted pre-tax, pre-provision income; return on average tangible equity and adjusted return on average tangible equity; the efficiency and tangible common equity ratios; core net interest margin; and tangible book value per share. Management utilizes these non-GAAP financial measures for purposes of measuring our performance against our peer group and other financial institutions and analyzing our internal performance. We also believe these non-GAAP financial measures help investors better understand the Company's operating performance and trends and allow for better performance comparisons to other financial institutions. In addition, these non-GAAP financial measures remove the impact of unusual items that may obscure trends in the Company's underlying performance. These disclosures should not be viewed as a substitute for GAAP operating results, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other financial institutions. Reconciliations to the comparable GAAP financial measures can be found in this document.

ANNUALIZED DATA

Certain returns, yields and performance ratios are presented on an "annualized" basis. This is done for analytical and decision-making purposes to better discern underlying performance trends when compared to full-year or year-over-year amounts. Annualized data may not be indicative of any four-quarter period and is presented for illustrative purposes only. 

Selected Financial Data

(unaudited)




At or For The

Three Months Ended

(In thousands, except number of shares and per share data)


March 31,
2026


December 31,
2025


March 31,
2025

Financial Condition Data







Loans


$ 4,963,017


$  4,965,138


$  4,885,086

Total assets


6,961,581


6,974,584


6,964,785

Deposits


5,585,352


5,537,781


5,597,478

Shareholders' equity


710,007


696,558


640,054

Operating Data and Per Share Data







Net income


$     21,883


$     22,559


$       7,326

Pre-tax, pre-provision income (non-GAAP)(1)


28,630


31,192


15,603

Diluted EPS


1.29


1.33


0.43

Profitability Ratios







Return on average assets


1.28 %


1.28 %


0.43 %

Return on average equity


12.58 %


13.01 %


4.75 %

Return on average tangible equity (non-GAAP)(1)


18.17 %


19.06 %


8.06 %

GAAP efficiency ratio


55.50 %


54.16 %


74.02 %

Efficiency ratio (non-GAAP)(1)


53.21 %


51.69 %


58.72 %

Net interest margin (fully-taxable equivalent)


3.24 %


3.29 %


3.04 %

Core net interest margin (fully-taxable equivalent) (non-GAAP)(1)


2.92 %


2.92 %


2.68 %

Asset Quality Ratios







ACL on loans to total loans


0.92 %


0.91 %


0.96 %

Non-performing loans to total loans


0.22 %


0.14 %


0.15 %

Capital Ratios







Common equity ratio


10.20 %


9.99 %


9.19 %

Tangible common equity ratio (non-GAAP)(1)


7.64 %


7.41 %


6.49 %

Book value per share


$      41.98


$       41.16


$       37.91

Tangible book value per share (non-GAAP)(1)


$      30.58


$       29.69


$       26.02

Tier 1 leverage capital ratio


9.43 %


9.12 %


8.58 %

Total risk-based capital ratio


14.27 %


13.95 %


13.13 %

(1)  This is a non-GAAP measure, please see "Reconciliation of non-GAAP to GAAP Financial Measures (unaudited)."

 

Consolidated Statements of Condition Data

(unaudited)


(In thousands)


March 31,
2026


December 31,
2025


March 31,
2025


% Change
Mar 2026
vs. Dec
2025


% Change
Mar 2026
vs. Mar
2025

ASSETS











Cash, cash equivalents and restricted cash


$       133,736


$        97,492


$       219,414


37 %


(39) %

Investments:











Trading securities


4,383


5,747


4,860


(24) %


(10) %

Available-for-sale securities, at fair value


901,617


930,401


836,130


(3) %


8 %

Held-to-maturity securities, at amortized cost


473,257


485,292


516,682


(2) %


(8) %

Other investments


23,411


26,497


26,284


(12) %


(11) %

Total investments


1,402,668


1,447,937


1,383,956


(3) %


1 %

Loans held for sale, at fair value


17,618


15,040


11,059


17 %


59 %

Loans:











Commercial real estate


2,195,741


2,185,105


2,067,098


— %


6 %

Commercial


414,694


417,439


487,409


(1) %


(15) %

Residential real estate


1,993,435


2,012,922


2,028,062


(1) %


(2) %

Home equity


342,874


332,256


283,491


3 %


21 %

Consumer


16,273


17,416


19,026


(7) %


(14) %

Total loans


4,963,017


4,965,138


4,885,086


— %


2 %

      Less: allowance for credit losses on loans


(45,576)


(45,276)


(46,723)


1 %


(2) %

       Net loans


4,917,441


4,919,862


4,838,363


— %


2 %

Goodwill and core deposit intangible assets


192,731


194,085


200,770


(1) %


(4) %

Other assets


297,387


300,168


311,223


(1) %


(4) %

Total assets


$     6,961,581


$     6,974,584


$     6,964,785


— %


— %

LIABILITIES AND SHAREHOLDERS' EQUITY











Liabilities











Deposits:











Non-interest checking


$     1,077,696


$     1,113,450


$     1,132,648


(3) %


(5) %

Interest checking


1,770,622


1,703,971


1,714,944


4 %


3 %

Savings and money market


1,966,149


1,910,708


1,828,332


3 %


8 %

Certificates of deposit


652,002


679,087


703,873


(4) %


(7) %

Brokered deposits


118,883


130,565


217,681


(9) %


(45) %

Total deposits


5,585,352


5,537,781


5,597,478


1 %


— %

Short-term borrowings


513,429


581,780


567,436


(12) %


(10) %

Long-term borrowings


1,000


1,000


—


— %


N.M.

Junior subordinated debentures


61,590


61,515


61,290


— %


— %

Accrued interest and other liabilities


90,203


95,950


98,527


(6) %


(8) %

Total liabilities


6,251,574


6,278,026


6,324,731


— %


(1) %

Commitments and Contingencies











Shareholders' Equity











Common stock, no par value


214,693


215,797


213,589


(1) %


1 %

Retained earnings


559,885


545,149


508,720


3 %


10 %

Accumulated other comprehensive loss:











Net unrealized loss on debt securities, net of tax


(71,141)


(70,405)


(89,613)


1 %


(21) %

Net unrealized gain on cash flow hedging derivative instruments, net of tax


6,042


5,478


6,953


10 %


(13) %

Net unrecognized gain on postretirement plans, net of tax


528


539


405


(2) %


30 %

Total accumulated other comprehensive loss


(64,571)


(64,388)


(82,255)


— %


(21) %

Total shareholders' equity


710,007


696,558


640,054


2 %


11 %

Total liabilities and shareholders' equity


$     6,961,581


$     6,974,584


$     6,964,785


— %


— %

N.M. = Not meaningful

 

Consolidated Statements of Income Data

(unaudited)




For The

Three Months Ended





(In thousands, except per share data)


March 31,
2026


December 31,
2025


March 31,
2025


% Change
Mar 2026 vs.
Dec 2025


% Change
Mar 2026 vs.
Mar 2025

Interest Income











Interest and fees on loans


$        66,679


$        70,032


$        66,549


(5) %


— %

Taxable interest on investments


10,296


10,489


9,772


(2) %


5 %

Nontaxable interest on investments


455


455


468


— %


(3) %

Dividend income


413


457


520


(10) %


(21) %

Other interest income


528


610


1,086


(13) %


(51) %

Total interest income


78,371


82,043


78,395


(4) %


— %

Interest Expense











Interest on deposits


21,648


23,353


24,621


(7) %


(12) %

Interest on borrowings


3,476


3,867


4,018


(10) %


(13) %

Interest on junior subordinated debentures


889


905


898


(2) %


(1) %

Total interest expense


26,013


28,125


29,537


(8) %


(12) %

Net interest income


52,358


53,918


48,858


(3) %


7 %

Provision for credit losses


553


2,969


9,429


(81) %


N.M.

Net interest income after provision for credit losses


51,805


50,949


39,429


2 %


31 %

Non-Interest Income











Debit card income


3,422


4,689


3,233


(27) %


6 %

Service charges on deposit accounts


2,158


2,558


2,318


(16) %


(7) %

Income from fiduciary services


2,014


1,927


1,838


5 %


10 %

Brokerage and insurance commissions


1,735


1,674


1,697


4 %


2 %

Mortgage banking income, net


828


863


508


(4) %


63 %

Bank-owned life insurance


791


820


660


(4) %


20 %

Other income


1,032


1,603


942


(36) %


10 %

Total non-interest income


11,980


14,134


11,196


(15) %


7 %

Non-Interest Expense











Salaries and employee benefits


19,615


20,077


20,243


(2) %


(3) %

Furniture, equipment and data processing


4,644


4,571


4,731


2 %


(2) %

Net occupancy costs


3,059


2,795


3,033


9 %


1 %

Debit card expense


1,616


1,653


1,690


(2) %


(4) %

Amortization of core deposit intangible assets


1,354


1,474


1,473


(8) %


(8) %

Regulatory assessments


907


1,146


986


(21) %


(8) %

Consulting and professional fees


921


999


1,498


(8) %


(39) %

Merger and acquisition costs


—


41


7,525


(100) %


(100) %

Other real estate owned and collection costs, net


6


43


90


(86) %


(93) %

Other expenses


3,586


4,061


3,182


(12) %


13 %

Total non-interest expense


35,708


36,860


44,451


(3) %


(20) %

Income before income tax expense (benefit)


28,077


28,223


6,174


(1) %


355 %

Income Tax Expense (Benefit)


6,194


5,664


(1,152)


9 %


(638) %

Net Income


$        21,883


$        22,559


$         7,326


(3) %


199 %

Per Share Data











Basic earnings per share


$          1.29


$          1.34


$          0.43


(4) %


200 %

Diluted earnings per share


$          1.29


$          1.33


$          0.43


(3) %


200 %

N.M. = Not meaningful

 

Quarterly Average Balance and Yield/Rate Analysis

(unaudited)




Average Balance


Yield/Rate



For The Three Months Ended


For The Three Months Ended

(Dollars in thousands)


March 31,
2026


December 31,
2025


March 31,
2025


March 31,
2026


December 31,
2025


March 31,
2025

Assets













Interest-earning assets:













Interest-bearing deposits in other banks

and other interest-earning assets


$       32,360


$       42,711


$       84,211


4.70 %


4.20 %


4.44 %

Investments - taxable


1,395,629


1,393,828


1,375,818


3.11 %


3.18 %


3.04 %

Investments - nontaxable(1)


61,137


61,184


62,485


3.77 %


3.77 %


3.79 %

Loans(2):













Commercial real estate


2,183,289


2,182,891


2,065,534


5.61 %


5.79 %


5.69 %

Commercial(1)


360,451


371,987


409,037


6.12 %


6.36 %


6.37 %

Municipal(1)


51,070


93,664


90,554


5.18 %


4.65 %


6.17 %

Residential real estate


2,018,838


2,031,695


2,034,024


4.77 %


4.87 %


4.71 %

Home equity


336,593


323,238


283,516


6.67 %


6.94 %


7.27 %

Consumer


16,769


17,718


19,631


9.43 %


9.40 %


9.13 %

     Total loans 


4,967,010


5,021,193


4,902,296


5.39 %


5.52 %


5.45 %

Total interest-earning assets


6,456,136


6,518,916


6,424,810


4.88 %


5.00 %


4.91 %

Other assets


477,500


479,563


477,556







Total assets


$    6,933,636


$    6,998,479


$    6,902,366




















Liabilities & Shareholders' Equity













Deposits:













Non-interest checking


$    1,088,115


$    1,174,537


$    1,107,398


— %


— %


— %

Interest checking


1,682,848


1,674,762


1,703,056


1.60 %


1.73 %


1.85 %

Savings


1,114,741


1,059,967


894,803


1.41 %


1.36 %


0.98 %

Money market


815,112


832,435


918,637


2.32 %


2.46 %


2.63 %

Certificates of deposit


665,552


690,278


706,851


3.17 %


3.38 %


3.72 %

Total deposits


5,366,368


5,431,979


5,330,745


1.54 %


1.61 %


1.70 %

Borrowings:













Brokered deposits


129,178


127,995


196,510


3.99 %


4.21 %


4.62 %

Customer repurchase agreements


256,619


264,926


236,437


0.93 %


1.05 %


1.29 %

Junior subordinated debentures


61,545


61,479


61,282


5.85 %


5.84 %


5.94 %

Other borrowings


324,853


338,290


348,402


3.60 %


3.71 %


3.80 %

Total borrowings


772,195


792,690


842,631


2.96 %


3.07 %


3.44 %

Total funding liabilities


6,138,563


6,224,669


6,173,376


1.72 %


1.79 %


1.94 %

Other liabilities


89,737


85,874


103,201







Shareholders' equity


705,336


687,936


625,789







Total liabilities & shareholders' equity


$    6,933,636


$    6,998,479


$    6,902,366







Net interest rate spread (fully-taxable equivalent)


3.16 %


3.21 %


2.97 %

Net interest margin (fully-taxable equivalent)


3.24 %


3.29 %


3.04 %

Core net interest margin (fully-taxable equivalent) (3)


2.92 %


2.92 %


2.68 %

(1)

Reported on a tax-equivalent basis calculated using the federal corporate income tax rate of 21%, including certain commercial loans.

(2)

Non-accrual loans and loans held for sale are included in total average loans.

(3)

This is a non-GAAP measure. Please see "Reconciliation of non-GAAP to GAAP Financial Measures (unaudited)."

 

Asset Quality Data

(unaudited)


(In thousands)


At or for the

Three Months Ended

March 31,

2026


At or for the

Year Ended

December 31, 2025


At or for the

Nine Months Ended

September 30, 2025


At or for the

Six Months Ended

June 30, 2025


At or for the

Three Months Ended

March 31,

2025

Non-accrual loans:











Residential real estate


$        2,252


$        2,667


$        3,393


$        3,678


$        4,322

Commercial real estate


5,420


639


134


145


271

Commercial


2,689


3,042


4,103


13,514


1,803

Home equity


596


672


697


834


848

Consumer


2


3


3


6


7

Total non-accrual loans


10,959


7,023


8,330


18,177


7,251

Accruing loans past due 90 days


—


—


—


—


—

Total non-performing loans


10,959


7,023


8,330


18,177


7,251

Other real estate owned


—


—


—


72


72

Total non-performing assets


$       10,959


$        7,023


$        8,330


$       18,249


$        7,323

Loans 30-89 days past due:











Residential real estate


$          772


$        1,565


$          725


$        1,519


$        1,754

Commercial real estate


569


5,284


5,014


1,120


380

Commercial


1,350


541


1,865


884


767

Home equity


328


713


456


457


301

Consumer


58


59


37


134


139

Total loans 30-89 days past due


$        3,077


$        8,162


$        8,097


$        4,114


$        3,341

ACL on loans at the beginning of the period


$       45,276


$       35,728


$       35,728


$       35,728


$       35,728

ACL established on acquired PCD loans(1)


—


3,071


3,071


3,071


3,071

Provision for loan losses


806


22,031


19,009


15,469


8,873

Charge-offs:











Residential real estate


—


4


4


4


4

Commercial real estate


—


3,220


218


191


191

Commercial


627


12,659


12,320


1,245


896

Home equity


—


21


21


3


3

Consumer


43


185


152


102


26

Total charge-offs 


670


16,089


12,715


1,545


1,120

Total recoveries 


(164)


(535)


(408)


(299)


(171)

Net charge-offs


506


15,554


12,307


1,246


949

ACL on loans at the end of the period


$       45,576


$       45,276


$       45,501


$       53,022


$       46,723

Components of ACL:











ACL on loans


$       45,576


$       45,276


$       45,501


$       53,022


$       46,723

ACL on off-balance sheet credit exposures(2)


2,810


3,064


3,117


3,685


3,362

ACL, end of period


$       48,386


$       48,340


$       48,618


$       56,707


$       50,085

Ratios:











Non-performing loans to total loans


0.22 %


0.14 %


0.17 %


0.37 %


0.15 %

Non-performing assets to total assets


0.16 %


0.10 %


0.12 %


0.26 %


0.11 %

ACL on loans to total loans


0.92 %


0.91 %


0.91 %


1.08 %


0.96 %

Net charge-offs to average loans (annualized):











Quarter-to-date


0.04 %


0.26 %


0.89 %


0.02 %


0.08 %

Year-to-date


0.04 %


0.31 %


0.33 %


0.05 %


0.08 %

ACL on loans to non-performing loans


415.88 %


644.68 %


546.23 %


291.70 %


644.37 %

Loans 30-89 days past due to total loans


0.06 %


0.16 %


0.16 %


0.08 %


0.07 %

(1)

Purchase credit deteriorated ("PCD").

(2)

Presented within accrued interest and other liabilities on the consolidated statements of condition.

 

Reconciliation of non-GAAP to GAAP Financial Measures

(unaudited)

 

Adjusted Net Income; Adjusted Diluted Earnings per Share; Adjusted Return on Average Assets; and Adjusted Return on Average Equity:



For the

Three Months Ended

(In thousands, except number of shares, per share data and ratios)


March 31,
2026


December 31,
2025


March 31,
2025

Adjusted Net Income:







Net income, as presented


$      21,883


$      22,559


$        7,326

Adjustments before taxes:







Provision for non-PCD acquired loans


—


—


6,294

Provision for acquired unfunded commitments


—


—


249

Merger and acquisition costs


—


41


7,525

Total adjustments before taxes


—


41


14,068

Tax impact of above adjustments, as applicable(1)


—


(9)


(3,205)

Adjustment for deferred tax valuation adjustment(2)


—


—


(2,421)

Adjusted net income


$      21,883


$      22,591


$      15,768








Adjusted Diluted Earnings per Share:







Diluted earnings per share, as presented


$         1.29


$         1.33


$         0.43

Adjustments before taxes:







Provision for non-PCD acquired loans


—


—


0.37

Provision for acquired unfunded commitments


—


—


0.01

Merger and acquisition costs


—


—


0.45

Total adjustments before taxes


—


—


0.83

Tax impact of above adjustments, as applicable(1)


—


—


(0.19)

Adjustment for deferred tax valuation adjustment(2)


—


—


(0.14)

Adjusted diluted earnings per share


$         1.29


$         1.33


$         0.93








Adjusted Return on Average Assets:







Return on average assets, as presented


1.28 %


1.28 %


0.43 %

Adjustments before taxes:







Provision for non-PCD acquired loans


— %


— %


0.37 %

Provision for acquired unfunded commitments


— %


— %


0.01 %

Merger and acquisition costs


— %


— %


0.44 %

Total adjustments before taxes


— %


— %


0.82 %

Tax impact of above adjustments, as applicable(1)


— %


— %


(0.19) %

Adjustment for deferred tax valuation adjustment(2)


— %


— %


(0.14) %

Adjusted return on average assets


1.28 %


1.28 %


0.92 %








Adjusted Return on Average Equity:







Return on average equity, as presented


12.58 %


13.01 %


4.75 %

Adjustments before taxes:







Provision for non-PCD acquired loans


— %


— %


4.08 %

Provision for acquired unfunded commitments


— %


— %


0.16 %

Merger and acquisition costs


— %


0.02 %


4.88 %

Total adjustments before taxes


— %


0.02 %


9.12 %

Tax impact of above adjustments, as applicable(1)


— %


— %


(2.08) %

Adjustment for deferred tax valuation adjustment(2)


— %


— %


(1.57) %

Adjusted return on average equity


12.58 %


13.03 %


10.22 %

(1)

Calculated using an estimated combined marginal income tax rate of 23%.

(2)

A one-time deferred tax valuation adjustment of $2.4 million resulted from a change in the apportionment of state income taxes due to the Northway acquisition.

 

Pre-Tax, Pre-Provision Income and Adjusted Pre-Tax, Pre-Provision Income:



For the

Three Months Ended

(In thousands)


March 31,
2026


December 31,
2025


March 31,
2025

Net income, as presented


$         21,883


$         22,559


$          7,326

Adjustment for provision for credit losses


553


2,969


9,429

Adjustment for income tax expense (benefit)


6,194


5,664


(1,152)

 Pre-tax, pre-provision income


28,630


31,192


15,603

Adjustment for merger and acquisition costs


—


41


7,525

Adjusted pre-tax, pre-provision income


$         28,630


$         31,233


$         23,128

 

Efficiency Ratio:









For the

Three Months Ended

(Dollars in thousands)


March 31,
2026


December 31,
2025


March 31,
2025

Non-interest expense, as presented


$       35,708


$       36,860


$       44,451

Adjustment for merger and acquisition costs


—


(41)


(7,525)

Adjustment for amortization of core deposit intangible assets


(1,354)


(1,474)


(1,473)

Adjusted non-interest expense


$       34,354


$       35,345


$       35,453

Net interest income, as presented


$       52,358


$       53,918


$       48,858

Adjustment for the effect of tax-exempt income(1)


225


331


326

Non-interest income, as presented


11,980


14,134


11,196

Adjusted net interest income plus non-interest income


$       64,563


$       68,383


$       60,380

GAAP efficiency ratio


55.50 %


54.16 %


74.02 %

Non-GAAP efficiency ratio


53.21 %


51.69 %


58.72 %

(1)

Reported on a tax-equivalent basis using a 21% income tax rate.

 

Return on Average Tangible Equity and Adjusted Return on Average Tangible Equity:



For the

Three Months Ended

(Dollars in thousands)


March 31,
2026


December 31,
2025


March 31,
2025

Return on Average Tangible Equity:







Net income, as presented


$       21,883


$       22,559


$        7,326

Adjustment for amortization of core deposit intangible assets


1,354


1,474


1,473

Tax impact of above adjustment(1)


(311)


(339)


(339)

Net income, adjusted for amortization of core deposit intangible assets


$       22,926


$       23,694


$        8,460

Average equity, as presented


$      705,336


$      687,936


$      625,789

Adjustment for average goodwill and core deposit intangible assets


(193,554)


(194,800)


(200,125)

Average tangible equity


$      511,782


$      493,136


$      425,664

Return on average equity


12.58 %


13.01 %


4.75 %

Return on average tangible equity


18.17 %


19.06 %


8.06 %

Adjusted Return on Average Tangible Equity:







Adjusted net income (refer to the "Adjusted Net Income" non-GAAP reconciliation table)


$       21,883


$       22,591


$       15,768

Adjustment for amortization of core deposit intangible assets


1,354


1,474


1,473

Tax impact of above adjustment(1)


(311)


(339)


(339)

Adjusted net income, adjusted for amortization of core deposit intangible assets


$       22,926


$       23,726


$       16,902

Adjusted return on average tangible equity


18.17 %


19.09 %


16.10 %

(1)

Calculated using an estimated combined marginal income tax rate of 23%.

 

Core Net Interest Margin (fully-taxable equivalent):



For the

Three Months Ended

(In thousands)


March 31,
2026


December 31,
2025


March 31,
2025

Net interest margin, tax equivalent, as presented


3.24 %


3.29 %


3.04 %

Net accretion income on loans from purchase accounting(1)


(0.26) %


(0.31) %


(0.30) %

Net accretion income on investments from purchase accounting(2)


(0.06) %


(0.07) %


(0.07) %

Net amortization on time deposits and borrowings from purchase accounting(3)


— %


0.01 %


0.01 %

Core net interest margin (fully-taxable equivalent)


2.92 %


2.92 %


2.68 %



(1)

Recognized $3.7 million, $4.6 million and $4.3 million of net accretion income on loans from purchase accounting for the three months ended March 31, 2026, December 31, 2025 and March 31, 2025, respectively.

(2)

Recognized $759,000, $857,000 and $831,000 of net accretion income on investments from purchase accounting for the three ended March 31, 2026, December 31, 2025 and March 31, 2025, respectively.

(3)

Recognized $75,000 of amortization expense on borrowings from purchase accounting for the three months ended March, 31, 2026 and $131,000 of amortization expense on time deposits and borrowings from purchase accounting for the three months ended December 31, 2025 and March 31, 2025.

 

Tangible Book Value Per Share and Tangible Common Equity Ratio:

(In thousands, except number of shares, per share data and ratios)


March 31,
2026


December 31,
2025


March 31,
2025

Tangible Book Value Per Share:







Shareholders' equity, as presented


$     710,007


$     696,558


$     640,054

Adjustment for goodwill and core deposit intangible assets


(192,731)


(194,085)


(200,770)

Tangible shareholders' equity


$     517,276


$     502,473


$     439,284

Shares outstanding at period end


16,914,371


16,924,310


16,885,571

Book value per share


$        41.98


$        41.16


$        37.91

Tangible book value per share


$        30.58


$        29.69


$        26.02

Tangible Common Equity Ratio:

Total assets


$   6,961,581


$   6,974,584


$   6,964,785

Adjustment for goodwill and core deposit intangible assets


(192,731)


(194,085)


(200,770)

Tangible assets


$   6,768,850


$   6,780,499


$   6,764,015

Common equity ratio


10.20 %


9.99 %


9.19 %

Tangible common equity ratio


7.64 %


7.41 %


6.49 %

 

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SOURCE Camden National Corporation