Overview
LINKBANCORP Q2 net income falls to $7.4 mln, misses analyst estimates
Co's adjusted EPS meets expectations, per LSEG data
Total loans saw a quarterly rise of $82.7 mln, indicating robust balance sheet growth
Non-performing assets decline, improving credit quality
Outlook
Company focuses on improving operating efficiency and expanding noninterest income
Result Drivers
CORE EARNINGS - Stable core earnings with annualized return on average assets at 1.05% for Q2, unchanged from Q1
BALANCE SHEET GROWTH - Total loans increased by $82.7 mln or 14.58% annualized, and total deposits grew by $22.7 mln, or 3.74% annualized, excluding the impact of the Branch Sale
CREDIT QUALITY - Non-performing assets declined by $4.2 mln to $21.9 mln, driven by resolutions to several loan relationships, improving the ratio of allowance for credit losses-loans to nonperforming assets to 112.68%
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Adjusted EPS | Meet | $0.2 | $0.2 (4 Analysts) |
Q2 EPS | $0.2 | ||
Q2 Adjusted Net Income | Miss | $7.40 mln | $7.72 mln (4 Analysts) |
Q2 Net Income | $7.40 mln | ||
Q2 Net Interest Margin | 3.8% |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "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 LINKBANCORP Inc is $8.25, about 11% above its July 25 closing price of $7.34
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago
Press Release: ID:nPn5rwryRa
(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.)