NASDAQ$BWB

Bridgewater Bancshares Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Bridgewater Bank reported net income decline due to FHLB prepayment fees.

Bridgewater Bancshares, Inc. reported net income of $5.0 million, or $0.17 per diluted common share, for the fourth quarter of 2020. The net income decline in the fourth quarter of 2020 was primarily attributable to FHLB prepayment fees of $5.6 million.

  • The fourth quarter results included $5.6 million of prepayment fees related to the early extinguishment of $69.0 million of FHLB term advances, which had a weighted average rate of 2.85%.
  • Net income for the fourth quarter of 2020 totaled $9.3 million, or $0.32 per diluted common share, when excluding the FHLB prepayment fees and tax-adjusting at an effective rate of 23.8%.
  • Annualized pre-provision net revenue return on average assets (PPNR ROA), a non-GAAP financial measure, was 2.30% for the fourth quarter of 2020, compared to 1.94% for the third quarter of 2020.
  • The adjusted efficiency ratio, a non-GAAP financial measure which excludes the impact of certain non-routine income and expenses from noninterest expense, was 36.6% for the fourth quarter of 2020, compared to 41.7% for the third quarter of 2020.

Headline financials

Total Revenue

$25.8M

Previous: $21M+22.8%
EPS (adj)

$0.17

Previous: $0.29-41.4%
Pre-Provision Net Revenue Return on Average Assets

2.3%

No prior period
Efficiency Ratio

36.6%

No prior period
Nonperforming Assets to Total Assets

0.0%

No prior period
Return on Average Shareholders' Equity

7.5%

No prior period
Capital Expenditures

$2.65M

Previous: $2.22M+19.3%
Free Cash Flow

$2.45M

Previous: $5.4M-54.7%
Net Income

$4.98M

Previous: $8.57M-41.9%
Operating Income

$6.67M

No prior period
Cash & Equivalents

$161M

Previous: $31.9M+403.1%
Total Assets

$2.93B

Previous: $2.27B+29.0%
Stock-Based Comp

$462K

Previous: $228K+102.6%

Revenue & EPS history

Bridgewater Bank · Revenue · Quarterly

$25.8M

Q4 2020+22.8%vs Q4 2019
Beat estimate in 10 of 14 quarters(71%)
ActualEstimate

Revenue by segment

Bridgewater Bank · $3.57B total across 4 segments · Q4 2022

  • Real Estate Mortgage Loans
    $2.76B
  • Commercial Loans
    $435M
  • Construction and Land Development
    $366M
  • Consumer and Other Loans
    $8.13M

Forward guidance

The Company intends to participate in originating additional PPP loans under the Economic Aid Act through the new application deadline of March 31, 2021.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

+1.1%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+1.2%

Avg return

30 days after

63%

24 / 38 earnings

Positive

+9.3%

Q1 2021

Best reaction

-4.5%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.4%-0.2%+0.5%
Q4 2025+2.0%+6.3%-1.0%
Q3 2025-3.3%-2.2%-2.9%
Q2 2025-1.3%-0.4%+4.3%
Q1 2025+2.3%+12.9%+8.8%
Q4 2024+4.1%+0.9%+6.1%
Q3 2024-0.9%-0.7%+0.0%
Q2 2024+3.2%-0.8%-2.0%
Q1 2024-1.6%-1.8%-2.5%
Q4 2023+2.2%-0.9%-11.7%
Q3 2023+6.0%+5.5%+16.3%
Q2 2023-1.1%-1.3%-6.5%
Q1 2023+2.1%+0.0%-5.3%
Q4 2022-3.8%-10.8%-15.0%
Q3 2022+5.1%+7.2%+8.1%
Q2 2022+2.0%+0.2%+1.7%
Q1 2022-0.8%-0.8%+0.6%
Q4 2021+2.2%-0.6%-1.9%
Q3 2021+2.3%+5.3%+0.5%
Q2 2021-0.6%-1.1%+2.4%
Q1 2021+9.3%+5.8%+12.2%
Q4 2020-0.8%+2.1%+8.5%
Q3 2020-1.9%-1.1%+6.0%
Q2 2020-1.1%-0.3%+6.1%
Q1 2020-4.5%-9.1%-0.5%
Q4 2019+1.3%+1.4%+4.0%
Q3 2019-0.2%+1.7%+3.7%
Q2 2019+2.2%+2.2%-4.2%
Q1 2019+0.5%+1.1%+4.1%
Q4 2016+2.5%+0.6%-6.2%
Q4 2018+6.7%+6.1%+8.7%
Q3 2017+2.7%+2.7%+0.6%
Q3 2018+2.7%+2.7%+0.6%
Q2 2017-0.2%-1.0%+5.5%
Q2 2018+1.8%+0.2%+0.3%
Q1 2017+0.2%+0.2%-1.6%
Q1 2018+0.2%+0.2%-1.6%
Q4 2017+0.2%+1.4%-0.5%

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