FT Markets Data
Camden National Corp

Camden National Corporation Reports Second Quarter 2025 Earnings

Net Income of $14.1 Million and Diluted EPS of $0.83 for the Second Quarter

CAMDEN, Maine , July 29, 2025 /PRNewswire/ -- Camden National Corporation (NASDAQ: CAC; "Camden National" or the "Company") reported earnings for the quarter ended June 30, 2025, of $14.1 million and diluted earnings per share ("EPS") of $0.83, increases of 92% and 93%, respectively, compared to the first quarter of 2025.

"We're pleased to report strong results in our first full quarter as a unified organization following the Northway Financial acquisition," said Simon Griffiths, President and Chief Executive Officer of Camden National. "During the quarter, we began to unlock the financial potential of the combined franchise, with pre-tax, pre-provision income—excluding one-time merger-related expenses—increasing 13% over the prior quarter. This performance reflects achievement of cost synergies and solid revenue growth, reinforcing the strategic value of the acquisition and positioning us for continued net interest margin expansion and earnings growth in the second half of 2025."

SECOND QUARTER 2025 HIGHLIGHTS

  • Net interest margin for the second quarter of 2025 increased 2 basis points to 3.06%, compared to the first quarter of 2025. On a non-GAAP basis, our core net interest margin was 2.70% for the second quarter of 2025, compared to 2.68% for the first quarter of 2025.
  • The GAAP efficiency ratio for the second quarter of 2025 decreased to 60.37% and, on a non-GAAP basis, decreased to 55.47%, down from 74.02% and 58.72%, respectively, for the first quarter of 2025.
  • Loans for the second quarter grew 4% on an annualized basis. At June 30, 2025, committed loan pipelines, excluding loans held for sale, were strong and totaled $149.5 million, an increase of 40% since March 31, 2025.
  • Book value per share at June 30, 2025 totaled $38.54, and, on a non-GAAP basis, tangible book value per share totaled $26.90, an increase of 2% and 3%, respectively, for the second quarter of 2025.
  • Loans 30-89 days past due were 0.08% of total loans at June 30, 2025, and annualized net charge-offs for the second quarter of 2025 were 0.02% of average loans.

FINANCIAL CONDITION

As of June 30, 2025, total assets were $6.9 billion, a decrease of 1% since March 31, 2025.

Investments totaled $1.4 billion on June 30, 2025, an increase of 1% since March 31, 2025. The duration of the Company's total investment portfolio was 5.3 years for both June 30, 2025, and March 31, 2025.

Loans totaled $4.9 billion on June 30, 2025, an increase of 1% since the first quarter of 2025. Linked-quarter growth in loan balances was across all segments, except for the residential loan portfolio, as we sold 39% of our residential mortgage production during the second quarter of 2025.

The allowance for credit losses ("ACL") on loans was 1.08% of total loans as of June 30, 2025, an increase of 12 basis points during the second quarter of 2025. The increase was driven by one commercial loan as the borrower filed for bankruptcy during the quarter, which resulted in an increase in non-performing loans of 22 basis points during the second quarter of 2025 to 0.37% of total loans at June 30, 2025. The Company currently anticipates the commercial loan will be resolved in the second half of this year.

Deposits totaled $5.5 billion on June 30, 2025, a decrease of 1% since March 31, 2025. The Company saw normal outflows early in the second quarter and has since begun to see normal deposit inflows as we enter the summer months across our markets. As of June 30, 2025, the Company's loan-to-deposit ratio was 89%, compared to 87% at March 31, 2025.

As of June 30, 2025, the Company's common equity Tier 1 risk-based capital ratio was 10.88%, Tier 1 risk-based capital ratio was 12.18%, total risk-based capital ratio was 13.35% and Tier 1 leverage ratio was 8.74%. The Company's regulatory capital ratios continue to be well in excess of regulatory capital requirements and continue to rebuild following the acquisition of Northway Financial, Inc. ("Northway") on January 2, 2025.

The Company announced a cash dividend of $0.42 per share, representing an annualized dividend yield of 4.14%, based on the Company's closing share price of $40.58 as reported by NASDAQ on June 30, 2025. The dividend will be payable on July 31, 2025, to shareholders of record on July 15, 2025.

FINANCIAL OPERATING RESULTS (Q2 2025 vs. Q1 2025)

Net interest income for the second quarter of 2025 was $49.2 million, an increase of $351,000, or 1%, compared to the first quarter of 2025. The increase between periods was driven by the expansion of net interest margin and, on a non-GAAP basis, core net interest margin, which excludes fair value mark accretion, of 2 basis points between periods to 3.06% and 2.70%, respectively, for the second quarter of 2025. The Company recognized $5.0 million of fair value mark accretion income in net interest income for both periods.

Provision expense of $6.9 million was recorded for the second quarter of 2025, compared to provision expense of $9.4 million recorded for the first quarter of 2025, which included the $6.3 million provision for non-purchase credit deteriorated ("non-PCD") loans acquired from Northway. The driver for the provision for loan losses for the second quarter of 2025 was the aforementioned commercial loan that was placed on non-accrual during the quarter.

Non-interest income for the second quarter of 2025 was $13.1 million, an increase of $1.9 million, or 17%, compared to the first quarter of 2025. The increase between periods was driven by: (1) an increase in mortgage banking income of $552,000, (2) an increase in debit card income of $413,000, and (3) an increase in bank-owned life insurance of $343,000.

Non-interest expense for the second quarter of 2025 was $37.6 million, a decrease of $6.9 million, or 15%, compared to the first quarter of 2025. The decrease in non-interest expense between periods reflects the decrease in merger and acquisition costs of $6.2 million associated with the Northway acquisition and expense synergies following the integration of teams, branches and systems in late-March 2025. The Company anticipates run-rate operating expenses to continue to improve during the second half of 2025 as the full benefit of cost savings is realized.

Q2 2025 CONFERENCE CALL

Camden National Corporation will host a conference call and webcast at 3:00 p.m., Eastern Time, Tuesday, July 29, 2025 to discuss its second quarter 2025 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) 470-1428

Live dial-in (All other locations):

https://www.netroadshow.com/conferencing/global-numbers?confId=84905

Participant access code:

118700

Live webcast:

https://events.q4inc.com/attendee/238427677

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 $6.9 billion in assets. Founded in 1875, Camden National Bank has 72 banking centers in Maine and New Hampshire, 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, 2024, as updated by other filings with the Securities and Exchange Commission ("SEC"). Further, statements regarding the potential effects of notable and global current events 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. Statements relating to the Company's recent acquisition of Northway may also be forward-looking statements. Factors that could cause actual results to differ materially from the forward-looking statements include the reaction to the transaction of the Company's customers, employees and counterparties; customer disintermediation; expected synergies, cost savings and other financial benefits of the transaction might not be realized within the expected timeframes or might be less than projected; and credit and interest rate risks associated with Camden's and Northway's respective businesses, customers, borrowings, repayment, investment and deposit practices. 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


At or For The

Six Months Ended

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


June 30,
2025


March 31,
2025


June 30,
2024


June 30,
2025


June 30,
2024

Financial Condition Data











Loans


$  4,931,369


$   4,885,086


$   4,139,361


$   4,931,369


$   4,139,361

Total assets


6,920,044


6,964,785


5,724,380


6,920,044


5,724,380

Deposits


5,514,712


5,597,478


4,514,020


5,514,712


4,514,020

Shareholders' equity


652,148


640,054


508,286


652,148


508,286

Operating Data and Per Share Data











Net income


$       14,081


$          7,326


$        11,993


$        21,407


$        25,265

Adjusted net income (non-GAAP)(1)


15,191


16,047


11,993


31,238


24,546

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


26,085


23,128


15,519


49,213


29,752

Diluted EPS


0.83


0.43


0.81


1.26


1.72

Adjusted diluted EPS (non-GAAP)(1)


0.89


0.95


0.81


1.84


1.67

Profitability Ratios











Return on average assets


0.82 %


0.43 %


0.84 %


0.63 %


0.89 %

Adjusted return on average assets (non-GAAP)(1)


0.89 %


0.94 %


0.84 %


0.91 %


0.87 %

Return on average equity


8.77 %


4.75 %


9.60 %


6.80 %


10.18 %

Adjusted return on average equity (non-GAAP)(1)


9.47 %


10.40 %


9.60 %


9.92 %


9.89 %

Adjusted return on average tangible equity (non-GAAP)(1)


14.71 %


16.40 %


11.96 %


15.53 %


12.34 %

GAAP efficiency ratio


60.37 %


74.02 %


63.77 %


67.07 %


64.76 %

Efficiency ratio (non-GAAP)(1)


55.47 %


58.72 %


63.21 %


57.06 %


64.19 %

Net interest margin (fully-taxable equivalent)


3.06 %


3.04 %


2.36 %


3.05 %


2.32 %

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


2.70 %


2.68 %


2.36 %


2.69 %


2.32 %

Asset Quality Ratios











ACL on loans to total loans


1.08 %


0.96 %


0.86 %


1.08 %


0.86 %

Non-performing loans to total loans


0.37 %


0.15 %


0.19 %


0.37 %


0.19 %

Loans 30-89 days past due to total loans


0.08 %


0.07 %


0.05 %


0.08 %


0.05 %

Annualized net charge-offs to average loans


0.02 %


0.08 %


0.04 %


0.05 %


0.03 %

Capital Ratios











Common equity ratio


9.42 %


9.19 %


8.88 %


9.42 %


8.88 %

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


6.77 %


6.49 %


7.34 %


6.77 %


7.34 %

Book value per share


$         38.54


$          37.91


$          34.89


$          38.54


$          34.89

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


$         26.90


$          26.02


$          28.34


$          26.90


$          28.34

Tier 1 leverage capital ratio


8.74 %


8.58 %


9.64 %


8.74 %


9.64 %

Total risk-based capital ratio


13.35 %


13.13 %


14.46 %


13.35 %


14.46 %



(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)


June 30,
2025


March 31,
2025


June 30,
2024


% Change
Jun 2025
vs. Mar
2025


% Change
Jun 2025
vs. Jun
2024

ASSETS











Cash, cash equivalents and restricted cash


$          113,815


$          219,414


$          105,560


(48) %


8 %

Investments:











Trading securities


5,326


4,860


4,959


10 %


7 %

Available-for-sale securities, at fair value


860,217


836,130


579,534


3 %


48 %

Held-to-maturity securities, at amortized cost


509,298


516,682


533,600


(1) %


(5) %

Other investments


26,879


26,284


17,105


2 %


57 %

Total investments


1,401,720


1,383,956


1,135,198


1 %


23 %

Loans held for sale, at fair value


22,567


11,059


14,321


104 %


58 %

Loans:











Commercial real estate


2,089,977


2,067,098


1,697,979


1 %


23 %

Commercial


506,883


487,409


409,682


4 %


24 %

Residential real estate


2,018,332


2,028,062


1,768,357


— %


14 %

Consumer and home equity


316,177


302,517


263,343


5 %


20 %

Total loans


4,931,369


4,885,086


4,139,361


1 %


19 %

      Less: allowance for credit losses on loans


(53,022)


(46,723)


(35,412)


13 %


50 %

       Net loans


4,878,347


4,838,363


4,103,949


1 %


19 %

Goodwill and core deposit intangible assets


197,031


200,770


95,390


(2) %


107 %

Other assets


306,564


311,223


269,962


(1) %


14 %

Total assets


$       6,920,044


$       6,964,785


$       5,724,380


(1) %


21 %

LIABILITIES AND SHAREHOLDERS' EQUITY











Liabilities











Deposits:











Non-interest checking


$       1,118,080


$       1,132,648


$          921,605


(1) %


21 %

Interest checking


1,663,335


1,714,944


1,465,560


(3) %


13 %

Savings and money market


1,823,275


1,828,332


1,399,464


— %


30 %

Certificates of deposit


698,185


703,873


576,563


(1) %


21 %

Brokered deposits


211,837


217,681


150,828


(3) %


40 %

Total deposits


5,514,712


5,597,478


4,514,020


(1) %


22 %

Short-term borrowings


599,367


567,436


552,606


6 %


8 %

Junior subordinated debentures


61,365


61,290


44,331


— %


38 %

Accrued interest and other liabilities


92,452


98,527


105,137


(6) %


(12) %

Total liabilities


6,267,896


6,324,731


5,216,094


(1) %


20 %

Commitments and Contingencies











Shareholders' Equity











Common stock, no par value


214,365


213,589


115,543


— %


86 %

Retained earnings


515,662


508,720


493,974


1 %


4 %

Accumulated other comprehensive loss:











Net unrealized loss on debt securities, net of tax


(84,324)


(89,613)


(110,308)


(6) %


(24) %

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


6,045


6,953


9,327


(13) %


(35) %

Net unrecognized loss on postretirement plans, net of tax


400


405


(250)


(1) %


(260) %

 Total accumulated other comprehensive loss


(77,879)


(82,255)


(101,231)


(5) %


(23) %

 Total shareholders' equity


652,148


640,054


508,286


2 %


28 %

 Total liabilities and shareholders' equity


$       6,920,044


$       6,964,785


$       5,724,380


(1) %


21 %

 

Consolidated Statements of Income Data

(unaudited)




For The

Three Months Ended





(In thousands, except per share data)


June 30,
2025


March 31,
2025


June 30,
2024


% Change
Jun 2025 vs.
Mar 2025


% Change
Jun 2025 vs.
Jun 2024

Interest Income











Interest and fees on loans


$            67,477


$            66,549


$            53,422


1 %


26 %

Taxable interest on investments


10,257


9,772


6,807


5 %


51 %

Nontaxable interest on investments


455


468


461


(3) %


(1) %

Dividend income


493


520


521


(5) %


(5) %

Other interest income


641


1,086


951


(41) %


(33) %

Total interest income


79,323


78,395


62,162


1 %


28 %

Interest Expense











Interest on deposits


24,594


24,621


24,169


— %


2 %

Interest on borrowings


4,620


4,018


5,285


15 %


(13) %

Interest on junior subordinated debentures


900


898


524


— %


72 %

Total interest expense


30,114


29,537


29,978


2 %


— %

Net interest income


49,209


48,858


32,184


1 %


53 %

Provision for credit losses


6,920


9,429


650


(27) %


N.M.

Net interest income after provision for credit losses


42,289


39,429


31,534


7 %


34 %

Non-Interest Income











Debit card income


3,646


3,233


3,069


13 %


19 %

Service charges on deposit accounts


2,405


2,318


2,113


4 %


14 %

Income from fiduciary services


1,981


1,838


1,870


8 %


6 %

Brokerage and insurance commissions


1,794


1,697


1,441


6 %


24 %

Bank-owned life insurance


1,003


660


694


52 %


45 %

Mortgage banking income, net


1,060


508


516


109 %


105 %

Other income


1,178


942


942


25 %


25 %

Total non-interest income


13,067


11,196


10,645


17 %


23 %

Non-Interest Expense











Salaries and employee benefits


19,392


20,243


15,601


(4) %


24 %

Furniture, equipment and data processing


4,294


4,731


3,497


(9) %


23 %

Net occupancy costs


2,693


3,033


1,981


(11) %


36 %

Debit card expense


1,725


1,690


1,311


2 %


32 %

Amortization of core deposit intangible assets


1,473


1,473


139


— %


N.M.

Merger and acquisition costs


1,405


7,525


—


(81) %


N.M.

Consulting and professional fees


1,310


1,498


1,149


(13) %


14 %

Regulatory assessments


1,127


986


813


14 %


39 %

Other real estate owned and collection costs, net


91


90


47


1 %


94 %

Other expenses


4,086


3,182


2,772


28 %


47 %

Total non-interest expense


37,596


44,451


27,310


(15) %


38 %

Income before income tax expense (benefit)


17,760


6,174


14,869


188 %


19 %

Income Tax Expense (Benefit)


3,679


(1,152)


2,876


(419) %


28 %

Net Income


$            14,081


$              7,326


$            11,993


92 %


17 %

Per Share Data











Basic earnings per share


$                0.84


$                 0.43


$                 0.82


95 %


2 %

Diluted earnings per share


$                0.83


$                 0.43


$                 0.81


93 %


2 %


N.M. = Not meaningful

 

Consolidated Statements of Income Data

(unaudited)




For The

Six Months Ended



(In thousands, except per share data)


June 30,
2025


June 30,
2024


% Change
Jun 2025 vs.
Jun 2024

Interest Income







Interest and fees on loans


$          134,026


$          105,131


27 %

Taxable interest on investments


20,029


13,834


45 %

Nontaxable interest on investments


923


926


— %

Dividend income


1,013


833


22 %

Other interest income


1,727


1,621


7 %

Total interest income


157,718


122,345


29 %

Interest Expense







Interest on deposits


49,215


47,347


4 %

Interest on borrowings


8,638


10,483


(18) %

Interest on junior subordinated debentures


1,798


1,058


70 %

Total interest expense


59,651


58,888


1 %

Net interest income


98,067


63,457


55 %

Provision (credit) for credit losses


16,349


(1,452)


N.M.

Net interest income after provision (credit) for credit losses


81,718


64,909


26 %

Non-Interest Income







Debit card income


6,879


5,935


16 %

Service charges on deposit accounts


4,723


4,140


14 %

Income from fiduciary services


3,819


3,619


6 %

Brokerage and insurance commissions


3,491


2,680


30 %

Bank-owned life insurance


1,663


1,377


21 %

Mortgage banking income, net


1,568


1,324


18 %

Other income


2,120


1,892


12 %

Total non-interest income


24,263


20,967


16 %

Non-Interest Expense







Salaries and employee benefits


39,635


31,555


26 %

Furniture, equipment and data processing


9,025


7,126


27 %

Merger and acquisition costs


8,930


—


N.M.

Net occupancy costs


5,726


4,051


41 %

Debit card expense


3,415


2,575


33 %

Amortization of core deposit intangible assets


2,946


278


N.M.

Consulting and professional fees


2,808


2,009


40 %

Regulatory assessments


2,113


1,670


27 %

Other real estate owned and collection costs, net


181


57


218 %

Other expenses


7,268


5,351


36 %

Total non-interest expense


82,047


54,672


50 %

Income before income tax expense


23,934


31,204


(23) %

Income Tax Expense


2,527


5,939


(57) %

Net Income


$            21,407


$            25,265


(15) %

Per Share Data







Basic earnings per share


$                1.27


$                 1.73


(27) %

Diluted earnings per share


$                1.26


$                 1.72


(27) %


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)


June 30,
2025


March 31,
2025


June 30,
2024


June 30,
2025


March 31,
2025


June 30,
2024

Assets













Interest-earning assets:













Interest-bearing deposits in other banks
and other interest-earning assets


$           43,530


$            84,211


$            50,266


4.47 %


4.44 %


6.06 %

Investments - taxable


1,396,669


1,375,818


1,162,941


3.12 %


3.04 %


2.58 %

Investments - nontaxable(1)


61,044


62,485


61,794


3.78 %


3.79 %


3.78 %

Loans(2):













 Commercial real estate


2,076,129


2,065,534


1,701,431


5.72 %


5.69 %


5.09 %

 Commercial(1)


407,677


409,037


387,337


6.17 %


6.37 %


6.51 %

 Municipal(1)


82,768


90,554


16,351


4.68 %


6.17 %


4.84 %

 Residential real estate


2,037,852


2,034,024


1,772,707


4.84 %


4.71 %


4.48 %

 Consumer and home equity


308,938


303,147


260,384


7.36 %


7.39 %


7.93 %

      Total loans 


4,913,364


4,902,296


4,138,210


5.48 %


5.45 %


5.14 %

Total interest-earning assets


6,414,607


6,424,810


5,413,211


4.94 %


4.91 %


4.58 %

Other assets


471,188


477,556


323,065







Total assets


$      6,885,795


$       6,902,366


$       5,736,276




















Liabilities & Shareholders' Equity













Deposits:













Non-interest checking


$      1,103,025


$       1,107,398


$          901,774


— %


— %


— %

Interest checking


1,636,620


1,703,056


1,479,201


1.84 %


1.85 %


2.52 %

Savings


959,987


894,803


624,034


1.20 %


0.98 %


0.52 %

Money market


848,604


918,637


760,844


2.66 %


2.63 %


3.41 %

Certificates of deposit


703,091


706,851


583,282


3.57 %


3.72 %


3.90 %

 Total deposits


5,251,327


5,330,745


4,349,135


1.70 %


1.70 %


2.05 %

Borrowings:













Brokered deposits


207,672


196,510


150,799


4.53 %


4.62 %


5.28 %

Customer repurchase agreements


234,491


236,437


185,729


1.31 %


1.29 %


1.81 %

Junior subordinated debentures


61,325


61,282


44,331


5.88 %


5.94 %


4.75 %

Other borrowings


398,408


348,402


401,144


3.88 %


3.80 %


4.46 %

 Total borrowings


901,896


842,631


782,003


3.50 %


3.44 %


4.00 %

Total funding liabilities


6,153,223


6,173,376


5,131,138


1.96 %


1.94 %


2.35 %

Other liabilities


88,790


103,201


102,658







Shareholders' equity


643,782


625,789


502,480







Total liabilities & shareholders' equity


$      6,885,795


$       6,902,366


$       5,736,276







Net interest rate spread (fully-taxable equivalent)


2.98 %


2.97 %


2.23 %

Net interest margin (fully-taxable equivalent)


3.06 %


3.04 %


2.36 %

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


2.70 %


2.68 %


2.36 %



(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)."

 

Year-to-Date Average Balance and Yield/Rate Analysis

(unaudited)




Average Balance


Yield/Rate



For The Six Months Ended


For The Six Months Ended

(Dollars in thousands)


June 30,
2025


June 30,
2024


June 30,
2025


June 30,
2024

Assets









Interest-earning assets:









Interest-bearing deposits in other banks and other interest-earning assets


$            63,971


$            47,376


4.44 %


5.25 %

Investments - taxable


1,386,239


1,175,320


3.08 %


2.56 %

Investments - nontaxable(1)


61,766


62,090


3.78 %


3.78 %

Loans(2):









 Commercial real estate


2,070,874


1,692,015


5.70 %


5.02 %

 Commercial(1)


408,327


388,678


6.27 %


6.28 %

 Municipal(1)


86,627


15,502


5.46 %


4.63 %

 Residential real estate


2,035,954


1,772,892


4.78 %


4.45 %

 Consumer and home equity


306,062


258,844


7.38 %


7.91 %

      Total loans 


4,907,844


4,127,931


5.47 %


5.07 %

Total interest-earning assets


6,419,820


5,412,717


4.92 %


4.51 %

Other assets


474,347


314,411





Total assets


$       6,894,167


$       5,727,128














Liabilities & Shareholders' Equity









Deposits:









Non-interest checking


$       1,105,239


$          917,547


— %


— %

Interest checking


1,669,786


1,484,693


1.84 %


2.53 %

Savings


927,622


611,913


1.09 %


0.37 %

Money market


883,374


762,715


2.65 %


3.35 %

Certificates of deposit


704,952


583,044


3.65 %


3.84 %

 Total deposits


5,290,973


4,359,912


1.70 %


2.01 %

Borrowings:









Brokered deposits


202,339


142,092


4.57 %


5.29 %

Customer repurchase agreements


235,479


184,108


1.30 %


1.71 %

Junior subordinated debentures


61,304


44,331


5.91 %


4.80 %

Other borrowings


373,277


401,413


3.85 %


4.47 %

 Total borrowings


872,399


771,944


3.47 %


3.98 %

Total funding liabilities


6,163,372


5,131,856


1.95 %


2.31 %

Other liabilities


95,944


96,275





Shareholders' equity


634,851


498,997





Total liabilities & shareholders' equity


$       6,894,167


$       5,727,128





Net interest rate spread (fully-taxable equivalent)


2.97 %


2.20 %

Net interest margin (fully-taxable equivalent)


3.05 %


2.32 %

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


2.69 %


2.32 %



(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)."

 

Year-to-Date Organic Loans And Deposits Growth

 (Unaudited)




(A)


(B)


(C)


(D) = (A) - (B) - (C)

(In thousands)


June 30,

2025


December 31,

2024


Northway
Acquisition
Purchase
Accounting(1)


Six Months Ended

June 30, 2025

Organic Growth

Loans:











Commercial real estate


$       2,089,977


$       1,711,964


$          360,272


$          17,741


1 %

Commercial


506,883


382,785


106,487


17,611


5 %

Residential real estate


2,018,332


1,752,249


273,349


(7,266)


— %

Consumer and home equity


316,177


268,261


35,555


12,361


5 %

    Total loans


$       4,931,369


$       4,115,259


$          775,663


$          40,447


1 %

Deposits:











Non-interest checking


$       1,118,080


$          925,571


$          197,320


$           (4,811)


(1) %

Interest checking


1,663,335


1,483,589


315,891


(136,145)


(9) %

Savings and money market


1,823,275


1,511,589


285,889


25,797


2 %

Certificates of deposit


698,185


532,424


172,573


(6,812)


(1) %

Brokered deposits


211,837


179,994


—


31,843


18 %

Total deposits


$       5,514,712


$       4,633,167


$          971,673


$         (90,128)


(2) %



(1)

Represents fair value marks recorded on loans and deposits as of the acquisition date, January 2, 2025.

 

Asset Quality Data

(unaudited)

 

(In thousands)


At or for the

Six Months Ended

June 30,

2025


At or for the

Three Months Ended

March 31,

2025


At or for the

Year Ended

December 31,

2024


At or for the

Nine Months Ended

September 30,

2024


At or for the

Six Months Ended

June 30,

2024

Non-accrual loans:











Residential real estate


$             3,678


$             4,322


$             1,891


$             2,497


$             2,497

Commercial real estate


145


271


559


130


79

Commercial


13,514


1,803


1,927


2,057


4,409

Consumer and home equity


840


855


452


666


810

Total non-accrual loans


18,177


7,251


4,829


5,350


7,795

Accruing loans past due 90 days


—


—


—


—


—

Total non-performing loans


18,177


7,251


4,829


5,350


7,795

Other real estate owned


72


72


—


—


—

Total non-performing assets


$           18,249


$             7,323


$             4,829


$             5,350


$             7,795

Loans 30-89 days past due:











Residential real estate


$             1,519


$             1,754


$                558


$                216


$                400

Commercial real estate


1,120


380


689


239


678

Commercial


884


767


393


578


539

Consumer and home equity


591


440


621


358


628

Total loans 30-89 days past due


$             4,114


$             3,341


$             2,261


$             1,391


$             2,245

ACL on loans at the beginning of the period


$           35,728


$           35,728


$           36,935


$           36,935


$           36,935

ACL established on acquired PCD loans(1)


3,071


3,071


—


—


—

Provision (credit) for loan losses


15,469


8,873


53


(693)


(976)

Charge-offs:











Residential real estate


4


4


—


—


—

Commercial real estate


191


191


—


—


—

Commercial


1,245


896


1,784


1,157


763

Consumer and home equity


105


29


99


83


55

Total charge-offs 


1,545


1,120


1,883


1,240


818

Total recoveries 


(299)


(171)


(623)


(412)


(271)

Net charge-offs


1,246


949


1,260


828


547

ACL on loans at the end of the period


$           53,022


$           46,723


$           35,728


$           35,414


$           35,412

Components of ACL:











ACL on loans


$           53,022


$           46,723


$           35,728


$           35,414


$           35,412

ACL on off-balance sheet credit exposures(2)


3,685


3,362


2,806


2,743


2,787

ACL, end of period


$           56,707


$           50,085


$           38,534


$           38,157


$           38,199

Ratios:











Non-performing loans to total loans


0.37 %


0.15 %


0.12 %


0.13 %


0.19 %

Non-performing assets to total assets


0.26 %


0.11 %


0.08 %


0.09 %


0.14 %

ACL on loans to total loans


1.08 %


0.96 %


0.87 %


0.86 %


0.86 %

Net charge-offs to average loans (annualized):











Quarter-to-date


0.02 %


0.08 %


0.04 %


0.03 %


0.04 %

Year-to-date


0.05 %


0.08 %


0.03 %


0.03 %


0.03 %

ACL on loans to non-performing loans


291.70 %


644.37 %


553.07 %


506.28 %


367.31 %

Loans 30-89 days past due to total loans


0.08 %


0.07 %


0.05 %


0.03 %


0.05 %



(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


For the

Six Months Ended

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


June 30,
2025


March 31,
2025


June 30,
2024


June 30,
2025


June 30,
2024

Adjusted Net Income:











Net income, as presented


$          14,081


$            7,326


$          11,993


$          21,407


$          25,265

Adjustments before taxes:











Provision for non-PCD acquired loans


—


6,294


—


6,294


—

Provision for acquired unfunded commitments


—


249


—


249


—

Merger and acquisition costs


1,405


7,525


—


8,930


—

Signature Bank bond recovery


—


—


—


—


(910)

Total adjustments before taxes


1,405


14,068


—


15,473


(910)

Tax impact of above adjustments(1)


(295)


(2,926)


—


(3,221)


191

Adjustment for deferred tax valuation adjustment(2)


—


(2,421)


—


(2,421)


—

Adjusted net income


$          15,191


$          16,047


$          11,993


$          31,238


$          24,546












Adjusted Diluted Earnings per Share:











Diluted earnings per share, as presented


$              0.83


$              0.43


$              0.81


$              1.26


$              1.72

Adjustments before taxes:











Provision for non-PCD acquired loans


—


0.37


—


0.37


—

Provision for acquired unfunded commitments


—


0.01


—


0.01


—

Merger and acquisition costs


0.08


0.45


—


0.53


—

Signature Bank bond recovery


—


—


—


—


(0.06)

Total adjustments before taxes


0.08


0.83


—


0.91


(0.06)

Tax impact of above adjustments(1)


(0.02)


(0.17)


—


(0.19)


0.01

Adjustment for deferred tax valuation adjustment(2)


—


(0.14)


—


(0.14)


—

Adjusted diluted earnings per share


$              0.89


$              0.95


$              0.81


$              1.84


$              1.67












Adjusted Return on Average Assets:











Return on average assets, as presented


0.82 %


0.43 %


0.84 %


0.63 %


0.89 %

Adjustments before taxes:











Provision for non-PCD acquired loans


— %


0.37 %


— %


0.18 %


— %

Provision for acquired unfunded commitments


— %


0.01 %


— %


0.01 %


— %

Merger and acquisition costs


0.09 %


0.44 %


— %


0.26 %


— %

Signature Bank bond recovery


— %


— %


— %


— %


(0.03) %

Total adjustments before taxes


0.09 %


0.82 %


— %


0.45 %


(0.03) %

Tax impact of above adjustments(1)


(0.02) %


(0.17) %


— %


(0.10) %


0.01 %

Adjustment for deferred tax valuation adjustment(2)


— %


(0.14) %


— %


(0.07) %


— %

Adjusted return on average assets


0.89 %


0.94 %


0.84 %


0.91 %


0.87 %












Adjusted Return on Average Equity:











Return on average equity, as presented


8.77 %


4.75 %


9.60 %


6.80 %


10.18 %

Adjustments before taxes:











Provision for non-PCD acquired loans


— %


4.08 %


— %


2.00 %


— %

Provision for acquired unfunded commitments


— %


0.16 %


— %


0.08 %


— %

Merger and acquisition costs


0.88 %


4.88 %


— %


2.83 %


— %

Signature Bank bond recovery


— %


— %


— %


— %


(0.37) %

Total adjustments before taxes


0.88 %


9.12 %


— %


4.91 %


(0.37) %

Tax impact of above adjustments(1)


(0.18) %


(1.90) %


— %


(1.02) %


0.08 %

Adjustment for deferred tax valuation adjustment(2)


— %


(1.57) %


— %


(0.77) %


— %

Adjusted return on average equity


9.47 %


10.40 %


9.60 %


9.92 %


9.89 %



(1)

Assumed a 21% tax rate.

(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 merger.

 

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







For the

Three Months Ended


For the

Six Months Ended

(In thousands)


June 30,
2025


March 31,
2025


June 30,
2024


June 30,
2025


June 30,
2024

Net income, as presented


$              14,081


$                7,326


$              11,993


$              21,407


$              25,265

Adjustment for provision (credit) for credit losses


6,920


9,429


650


16,349


(1,452)

Adjustment for income tax expense (benefit)


3,679


(1,152)


2,876


2,527


5,939

 Pre-tax, pre-provision income


24,680


15,603


15,519


40,283


29,752

Adjustment for merger and acquisition costs


1,405


7,525


—


$                8,930


$                     —

Adjusted pre-tax, pre-provision income


$              26,085


$              23,128


$              15,519


$              49,213


$              29,752

 

Efficiency Ratio:













For the

Three Months Ended


For the

Six Months Ended

(Dollars in thousands)


June 30,
2025


March 31,
2025


June 30,
2024


June 30,
2025


June 30,
2024

Non-interest expense, as presented


$           37,596


$           44,451


$           27,310


$           82,047


$           54,672

Adjustment for merger and acquisition costs


(1,405)


(7,525)


—


(8,930)


—

Adjustment for amortization of core deposit intangible assets


(1,473)


(1,473)


(139)


(2,946)


(278)

Adjusted non-interest expense


$           34,718


$           35,453


$           27,171


$           70,171


$           54,394

Net interest income, as presented


$           49,209


$           48,858


$           32,184


$           98,067


$           63,457

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


312


326


159


638


309

Non-interest income, as presented


13,067


11,196


10,645


24,263


20,967

Adjusted net interest income plus non-interest income


$           62,588


$           60,380


$           42,988


$         122,968


$           84,733

GAAP efficiency ratio


60.37 %


74.02 %


63.77 %


67.07 %


64.76 %

Non-GAAP efficiency ratio


55.47 %


58.72 %


63.21 %


57.06 %


64.19 %



(1)

Assumed a 21% tax rate.

 

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







For the

Three Months Ended


For the

Six Months Ended

(Dollars in thousands)


June 30,
2025


March 31,
2025


June 30,
2024


June 30,
2025


June 30,
2024

Return on Average Tangible Equity:











Net income, as presented


$           14,081


$             7,326


$           11,993


$           21,407


$           25,265

Adjustment for amortization of core deposit intangible assets


1,473


1,473


139


2,946


278

Tax impact of above adjustment(1)


(309)


(309)


(29)


(619)


(58)

Net income, adjusted for amortization of core deposit intangible assets


$           15,245


$             8,490


$           12,103


$           23,734


$           25,485

Average equity, as presented


$         643,782


$         625,789


$         502,480


$         634,851


$         498,997

Adjustment for average goodwill and core deposit intangible assets


(197,863)


(200,125)


(95,458)


(198,984)


(95,531)

Average tangible equity


$         445,919


$         425,664


$         407,022


$         435,867


$         403,466

Return on average equity


8.77 %


4.75 %


9.60 %


6.80 %


10.18 %

Return on average tangible equity


13.71 %


8.09 %


11.96 %


10.98 %


12.70 %

Adjusted Return on Average Tangible Equity:











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


$           15,191


$           16,047


$           11,993


$           31,238


$           24,546

Adjustment for amortization of core deposit intangible assets


1,473


1,473


139


2,946


278

Tax impact of above adjustment(1)


(309)


(309)


(29)


(619)


(58)

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


$           16,355


$           17,211


$           12,103


$           33,565


$           24,766

Adjusted return on average tangible equity


14.71 %


16.40 %


11.96 %


15.53 %


12.34 %



(1)

Assumed a 21% tax rate.

 

Core Net Interest Margin (fully-taxable equivalent):







For the

Three Months Ended


For the

Six Months Ended

(In thousands)


June 30,
2025


March 31,
2025


June 30,
2024


June 30,
2025


June 30,
2024

Net interest margin, tax equivalent, as presented


3.06 %


3.04 %


2.36 %


3.05 %


2.32 %

Net accretion income on loans from purchase accounting(1)


(0.30) %


(0.30) %


—


(0.30) %


—

Net accretion income on investments from purchase accounting(2)


(0.07) %


(0.07) %


—


(0.07) %


—

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


0.01 %


0.01 %


—


0.01 %


—

Core net interest margin (fully-taxable equivalent)


2.70 %


2.68 %


2.36 %


2.69 %


2.32 %



(1)

Recognized $4.3 million and $8.6 million of net accretion income on loans from purchase accounting for the three and six months ended June 30, 2025, respectively, and $4.3 million for the three months ended March 31, 2025.

(2)

Recognized $863,000 and $1.7 million of net accretion income on investments from purchase accounting for the three and six months ended June 30, 2025, respectively, and $831,000 for the three months ended March 31, 2025.

(3)

Recognized $131,000 and $262,000 million of amortization expense on time deposits and borrowings from purchase accounting for the three and six months ended June 30, 2025, respectively, and $131,000 for the three months ended March 31, 2025.

 

Tangible Book Value Per Share and Tangible Common Equity Ratio:

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


June 30,
2025


March 31,
2025


June 30,
2024

Tangible Book Value Per Share:







Shareholders' equity, as presented


$        652,148


$        640,054


$        508,286

Adjustment for goodwill and core deposit intangible assets


(197,031)


(200,770)


(95,390)

Tangible shareholders' equity


$        455,117


$        439,284


$        412,896

Shares outstanding at period end


16,919,689


16,885,571


14,569,262

Book value per share


$            38.54


$            37.91


$            34.89

Tangible book value per share


$            26.90


$            26.02


$            28.34

Tangible Common Equity Ratio:

Total assets


$     6,920,044


$     6,964,785


$     5,724,380

Adjustment for goodwill and core deposit intangible assets


(197,031)


(200,770)


(95,390)

Tangible assets


$     6,723,013


$     6,764,015


$     5,628,990

Common equity ratio


9.42 %


9.19 %


8.88 %

Tangible common equity ratio


6.77 %


6.49 %


7.34 %

 

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SOURCE Camden National Corporation