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BHB

Bar Harbor Bankshares Impresses with Strong Q3 2025 Performance

Bar Harbor Bankshares (NYSE American: BHB) has reported its third-quarter 2025 results, showcasing impressive growth and performance across various metrics. Let's delve into the specific figures and changes observed since the last period.

Financial Performance: GAAP net income for the third quarter of 2025 was $8.9 million or $0.54 per diluted share, a significant increase from the second quarter of 2025, which stood at $6.1 million or $0.40 per diluted share. Core earnings (non-GAAP) for the third quarter of 2025 amounted to $15.4 million or $0.95 per diluted share, up from $10.8 million or $0.70 per diluted share in the second quarter of 2025.

Acquisition and Integration: The acquisition of Guaranty Bancorp, Inc. on August 1, 2025, contributed to the increase in total assets, which surged by 15% to $4.7 billion by the end of the third quarter of 2025. The successful integration of Woodsville Guaranty Savings Bank resulted in the seamless operation across the entire footprint, with a 56.70% efficiency ratio, an improvement from 62.10% in the prior quarter.

Financial Condition: Total deposits grew to $4.0 billion at the end of the third quarter of 2025, driven by 16% annualized quarter-to-date organic growth compared to the second quarter of 2025. Total loans increased to $3.6 billion from $3.2 billion in the second quarter, primarily due to the acquisition of $413.4 million from Woodsville.

Interest Margin and Income: The net interest margin expanded to 3.56% from 3.23% in the prior quarter, reflecting the strategic deployment of excess liquidity to fund new growth and pay off more expensive wholesale borrowings. Total interest and dividend income increased by 15.1% to $55.9 million in the third quarter of 2025 compared to the same period in 2024, driven by the repricing of commercial adjustable-rate loans and higher average loan balances.

Non-Interest Income and Expenses: Non-interest income increased to $10.6 million in the third quarter of 2025, primarily driven by customer service fees and customer derivative income. Non-interest expenses increased to $32.7 million in the third quarter of 2025, with $4.9 million attributed to acquisition expenses related to Woodsville.

Dividend: * The board of directors declared a cash dividend of $0.32 per share, showcasing a 4.20% annualized yield based on the closing share price of $30.46 on September 30, 2025.

As a result of these announcements, the company's shares have moved 0.27% on the market, and are now trading at a price of $29.51. For the full picture, make sure to review BAR HARBOR BANKSHARES's 8-K report.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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