Western New England Bancorp Inc (WNEB, Financial) released its earnings report for Q3 2023 on October 24, 2023. The company reported a net income of $4.5 million, or $0.21 per diluted share, for the three months ended September 30, 2023. This represents a decrease from the net income of $6.0 million, or $0.28 per diluted share, reported for the same period in 2022. However, it is an increase from the net income of $2.8 million, or $0.13 per diluted share, reported for Q2 2023.
Financial Performance and Highlights
For the nine months ended September 30, 2023, the net income was $12.6 million, or $0.58 per diluted share. This is a decrease from the net income of $16.9 million, or $0.77 per diluted share, reported for the same period in 2022. The company also announced that the Board of Directors declared a quarterly cash dividend of $0.07 per share on the company’s common stock, payable on or about November 22, 2023, to shareholders of record on November 8, 2023.
James C. Hagan, President and Chief Executive Officer, commented on the company's performance, stating,
We are pleased overall with our third quarter results and the success of our deposit growth, as well as our continued expense management initiatives. We were able to successfully grow deposits by $18.3 million in the third quarter, and at September 30, 2023, 72% of total deposits were insured."
Loans and Deposits
As of September 30, 2023, total loans of $2.0 billion increased by $23.4 million, or 1.2%, from December 31, 2022. During the same period, total deposits decreased by $53.1 million, or 2.4%, to $2.2 billion. However, deposits increased by $18.3 million, or 0.9%, from June 30, 2023. The loan-to-deposit ratio increased from 89.3% at December 31, 2022 to 92.6% at September 30, 2023.
Stock Repurchase Program
During the nine months ended September 30, 2023, the company repurchased 404,905 shares of its common stock at an average price per share of $7.27. As of September 30, 2023, there were 651,439 shares of common stock available for repurchase under the 2022 Plan.
Outlook
The company remains focused on its growth, customer, and expense initiatives, which it believes are creating positive impacts on its performance and positioning the company for future growth and increased profitability.
