Bank First Q3 net income boosted by Centre acquisition

By Reuters News


Overview

  • U.S. regional bank's Q3 net income and adjusted EPS rose yr/yr after Centre acquisition

  • Net interest income and noninterest income grew, driven by Centre acquisition and retail lending

  • Company raised quarterly dividend by 8.3% from prior quarter


Outlook

  • Bank First anticipates full realization of cost savings from operational synergies in future quarters

  • Company expects continued growth as it prepares to surpass $10 bln in assets


Result Drivers

  • CENTRE ACQUISITION - Co said results were significantly impacted by the acquisition of Centre, which increased total assets by 33% and contributed to higher net interest income and noninterest income

  • SERVICE CHARGE INCOME - Co said consumer behavior in the new Stateline region (from Centre acquisition) drove a significant increase in service charge income

  • WEALTH MANAGEMENT CONTRIBUTION - Co said trust and wealth management income, a new business line from Centre acquisition, was a strong contributor to noninterest income


Company press release: Full Story


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 EPS

Miss

$2.15

$2.63 (2 Analysts)

Q3 Net Income

Miss

$23.8 mln

$29.20 mln (1 Analyst)

Q3 Net Interest Income

$55.2 mln

Q3 Dividend

$0.65

Q3 Loan Loss Provision

$800,000

Q3 Net Interest Margin

4.07%


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "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 Bank First Corp is $160.50, about 9.9% above its October 19 closing price of $146.01

  • The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago


Reuters Recommended Reads

  • Oct 20 - Southern First Bancshares Q3 revenue rises 21% on loan growth

  • Oct 19 - ServisFirst Bancshares Q3 profit jumps on loan growth, wider interest margin

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


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(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.)

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