NASDAQ$CNOB

ConnectOne Bancorp Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

Reported net income and earnings per share for the fourth quarter and full year, highlighted by strategic growth and strong deposit and loan growth.

ConnectOne Bancorp reported a strong fourth quarter and year-end for 2019, marked by record earnings, strong deposit and loan growth, and solid credit quality. The company also completed the acquisition of Bancorp of New Jersey, enhancing its franchise and growth opportunities.

  • Net income for the fourth quarter of 2019 was $20.8 million, compared to $18.7 million for the fourth quarter of 2018.
  • Diluted earnings per share were $0.59 for the fourth quarter of 2019, compared to $0.58 for the fourth quarter of 2018.
  • Adjusted net income for the fourth quarter of 2019 was $21.4 million, or $0.61 per diluted share.
  • New loan originations were $243 million for the quarter, with a focus on the C&I segment.

Headline financials

Total Revenue

$47.4M

Previous: $40.2M+18.1%
EPS (adj)

$0.61

Previous: $0.59+3.4%
Operating Return on Avg. Tangible Common Equity

15.0%

No prior period
Operating Return on Avg. Assets

1.4%

No prior period
Net Interest Margin (non-GAAP)

3.4%

No prior period
Tangible Book Value per Share (non-GAAP)

$16.06

No prior period
Capital Expenditures

$191K

Previous: $422K-54.7%
Free Cash Flow

-$2.86M

Previous: $21.3M-113.4%
Net Income

$20.8M

Previous: $18.6M+11.6%
Cash & Equivalents

$201M

Previous: $172M+16.9%
Total Assets

$6.2B

Previous: $5.46B+13.5%
Stock-Based Comp

$799K

Previous: $1.39M-42.3%

Revenue & EPS history

ConnectOne Bancorp · Revenue · Quarterly

$47.4M

Q4 2019+18.1%vs Q4 2018
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Forward guidance

ConnectOne remains focused on strategic priorities including organic growth, operating efficiency improvements, and superior returns on investor capital, while also focusing on flawless execution on completed transactions and remaining opportunistic regarding potential future deals.

Tailwinds

  • Solid organic growth in loans and deposits
  • Improvements in operating efficiency through use of technology
  • Superior returns on investor capital
  • Flawless execution on completed transactions
  • Opportunistic approach to potential future deals

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 2019

Historical avgQ4 2019

+0.3%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+3.3%

Avg return

30 days after

57%

37 / 65 earnings

Positive

+8.7%

Q1 2010

Best reaction

-12.5%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.7%+6.2%+6.2%
Q4 2025-0.9%-1.1%-4.7%
Q3 2025+0.2%+1.0%+5.9%
Q1 2025+2.0%+1.7%+2.0%
Q4 2024+5.2%+10.2%+7.1%
Q3 2024-4.9%-3.5%+9.4%
Q2 2024+7.2%+4.6%+8.9%
Q1 2024-7.2%-9.2%+2.5%
Q4 2023-1.8%+1.0%-14.7%
Q3 2023-3.1%+0.4%+18.1%
Q2 2023+1.7%+3.9%-6.0%
Q1 2023+0.4%-6.7%-11.3%
Q4 2022-9.3%-2.7%+0.2%
Q3 2022+0.2%-0.5%+6.2%
Q2 2022+5.2%+7.6%+4.0%
Q1 2022-2.0%-1.2%-4.0%
Q4 2021-3.0%-5.3%-3.9%
Q3 2021+6.6%+7.4%+4.8%
Q2 2021+2.0%+2.4%+14.2%
Q1 2021+0.7%+4.0%+2.7%
Q4 2020+7.4%+13.9%+17.4%
Q3 2020+2.9%+8.9%+22.9%
Q2 2020-1.7%-1.0%+9.3%
Q1 2020-12.5%-13.0%-10.2%
Q4 2019-1.7%-3.6%-7.3%
Q3 2019+6.6%+8.6%+9.9%
Q2 2019-1.6%-1.6%-13.4%
Q1 2019+3.8%+5.1%+5.0%
Q4 2018+0.1%-0.4%+8.7%
Q3 2018+3.3%+6.9%+3.8%
Q2 2018+1.0%+0.6%+3.2%
Q1 2018-6.5%-10.3%-8.4%
Q4 2017+2.1%+3.6%+4.3%
Q3 2017+7.8%+6.8%+5.2%
Q2 2017-0.9%+0.7%+0.0%
Q1 2017-9.0%-7.2%-10.2%
Q4 2016+0.2%-4.3%-0.8%
Q3 2016+2.5%+1.9%+34.3%
Q2 2016+7.1%+8.0%+8.2%
Q1 2016+1.9%
Q4 2015-1.1%
Q3 2015+1.7%
Q2 2015-1.6%
Q1 2015-1.1%
Q4 2014+0.8%
Q3 2014-0.1%
Q2 2014-4.5%
Q1 2014-1.7%
Q4 2013+8.0%
Q3 2013+1.2%
Q2 2013+1.3%
Q1 2013-1.9%
Q4 2012+0.4%
Q3 2012+1.1%
Q2 2012-0.8%
Q1 2011+1.5%
Q1 2012+1.0%
Q4 2009+1.9%
Q4 2011+1.9%
Q3 2010-5.5%
Q3 2011-5.5%
Q4 2010-0.1%
Q2 2011-0.1%
Q2 2010-0.1%
Q1 2010+8.7%

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