Mid Penn Bancorp Q3 profit rises on acquisitions

Overview

• U.S. regional bank's Q3 net income rose 18% yr/yr, driven by recent acquisitions

• Adjusted EPS for Q3 increased to $0.88, reflecting expense discipline post-acquisitions

• Company closed financial centers in Q3 to improve operating efficiency

Outlook

• Mid Penn expects loan growth and noninterest income performance to improve in Q4 and into 2027

• Company anticipates ongoing expense savings from recent financial center closures

Result Drivers

• ACQUISITIONS - Co said yr/yr net income growth was primarily attributable to William Penn and 1st Colonial acquisitions

• DEPOSIT GROWTH - Co reported strong deposit growth, mainly from interest-bearing transaction accounts

• EXPENSE MANAGEMENT - Co said expense discipline following acquisitions helped keep results in line with expectations

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy"

• Wall Street's median 12-month price target for Mid Penn Bancorp Inc is $41.50, about 14.2% above its October 21 closing price of $36.35

• The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

Reuters Recommended Reads

• Oct 21 - Pinnacle Financial Partners Q3 adjusted profit beats estimates on loan, fee income growth

• Oct 19 - Zions Bancorp Q3 EPS rises 20% on improved credit quality

• Oct 20 - East West Bancorp Q3 revenue beats estimates on loan and deposit growth

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)