0000750686-26-000010
SEC filingCamden National Corporation (CAC) reported strong FY 2025 results with net income of $65.2M, up 23% from $53.0M in 2024, driven by the January 2, 2025 acquisition of Northway Financial, Inc. Total assets grew to $7.0B from $5.8B, reflecting $1.11B in non-cash assets acquired. Net interest income rose 54% to $203.3M (FTE $204.6M), with NIM expanding to 3.17% from 2.46%, aided by purchase accounting accretion of $20.5M and organic yield improvements. Non-interest income increased 18% to $52.5M, boosted by debit card ($15.3M) and brokerage commissions ($7.0M). Non-interest expense rose 38% to $154.8M due to $9.3M merger costs and amortization of $5.9M CDI assets. Provision for credit losses was $22.3M, reflecting $16.1M net charge-offs and $6.3M for acquired non-PCD loans. Diluted EPS was $3.84 ($4.39 adjusted), with ROA at 0.94% (1.07% adjusted) and ROE at 9.96% (11.38% adjusted). Deposits grew 20% to $5.5B, loans 21% to $4.97B, with strong capital (CET1 11.69%) and asset quality (NPA 0.10%). Forward-looking, CAC targets organic growth and M&A in Northern New England.
Camden National Corporation delivered robust FY 2025 performance with net income of $65.2M, a 23% increase from $53.0M in 2024. Diluted EPS rose to $3.84 from $3.62. Total revenues reached $255.8M, up 45% YoY, driven by the Northway acquisition adding scale. Net interest income surged 54% to $203.3M (3.17% NIM vs. 2.46%), supported by $20.5M purchase accounting accretion. Non-interest income grew 18% to $52.5M. Expenses increased 38% to $154.8M, including $9.3M merger costs. ROA improved to 0.94% (1.07% adjusted), ROE to 9.96% (11.38% adjusted), and ROTCE to 15.24% (17.27% adjusted). Balance sheet expanded with assets at $7.0B (+20%), loans $4.97B (+21%), deposits $5.5B (+20%).
Net interest income, 79% of revenues, increased 54% to $203.3M from higher earning assets ($6.45B avg. vs. $5.42B) and yield expansion (4.99% vs. 4.62%). Key drivers: Northway acquisition added $776M loans/$972M deposits; organic growth $74M loans. Non-interest income +18% to $52.5M: debit card +21% to $15.3M (28K new cards), service charges +17% to $9.9M (50K new accounts), brokerage +27% to $7.0M. Mortgage banking stable at $3.5M. No segment breakdown beyond interest/non-interest; growth concentrated in Northern New England post-acquisition.
Core NIM (ex-PAA) expanded to 2.82% from 2.46%, reflecting deposit repricing and asset yield gains amid Fed rate cuts. Efficiency ratio improved to 54.46% (non-GAAP) from 62.05%, driven by scale despite merger costs. Provision $22.3M vs. ($0.4M) credit in 2024, reflecting $16.1M charge-offs (0.31% NCO ratio) and acquired loan reserves. Pre-tax pre-provision income $100.9M (+55%). Adjusted ROTCE 17.27% vs. 12.94%. Cost control post-integration key to sustaining margins.
Operating cash flow $63.9M. Investing cash outflow ($56.4M) from $236M securities purchases, $70M loan growth, offset by $48M acquisition cash. Financing outflow ($125.0M) from $67M deposit decline, $45M FHLB repayment, $28.5M dividends. Cash declined to $215M from $215M YE (net -$117.5M). Liquidity strong: HQLA ratio excess, $1.8B available liquidity. Capital robust: CET1 11.69%, TCE 7.41%. Uninsured deposits 15%, fully collateralized.
Management emphasizes 'Running, Evolving, Growing the Bank': organic expansion in NH/Southern ME, digital enhancements, M&A opportunities. NIM trajectory improving (Q4 3.29%), cost synergies realized post-Northway integration. Credit quality resilient (NPA 0.10%), but monitors CRE/office amid economic uncertainty. Committed to 150th anniversary community focus, $1.68/share dividend. Risks: interest rates, deposit competition, credit losses.