Brookline Bancorp, Inc. (BRKL) Bundle
A Brief History of Brookline Bancorp, Inc.
Brookline Bancorp, Inc. (NASDAQ: BRKL) is a bank holding company that primarily operates through its subsidiary, Brookline Bank. Established in 1871, Brookline Bancorp has evolved significantly over the years, expanding its services and geographical reach.
Recent Financial Performance
As of September 30, 2024, Brookline Bancorp reported a net income of $20.1 million, up from $16.4 million in the previous quarter. The net interest income for Q3 2024 was $83.0 million, reflecting an increase from $80.0 million in Q2 2024. The net interest margin improved to 3.07%, compared to 3.00% in the previous quarter.
| Financial Metric | Q3 2024 | Q2 2024 | Q3 2023 |
|---|---|---|---|
| Net Income | $20.1 million | $16.4 million | $22.7 million |
| Net Interest Income | $83.0 million | $80.0 million | $84.1 million |
| Net Interest Margin | 3.07% | 3.00% | 3.18% |
| Provision for Credit Losses | $4.8 million | $5.6 million | $2.9 million |
Asset Quality and Loan Performance
Brookline Bancorp reported total assets of $11.45 billion as of September 30, 2024, with total loans and leases amounting to $9.71 billion. The allowance for loan and lease losses was $127.3 million, representing 1.31% of total loans. Nonperforming assets totaled $72.8 million, which is 0.62% of total assets.
| Asset Quality Metric | As of September 30, 2024 | As of June 30, 2024 |
|---|---|---|
| Total Assets | $11.45 billion | $11.45 billion |
| Total Loans and Leases | $9.71 billion | $9.69 billion |
| Allowance for Loan and Lease Losses | $127.3 million | $121.8 million |
| Nonperforming Assets | $72.8 million | $62.7 million |
Capital Ratios
As of September 30, 2024, Brookline Bancorp maintained a strong capital position with a total stockholders' equity of $1.23 billion, which is approximately 10.54% of total assets. The tangible equity to tangible assets ratio stood at 8.50%.
| Capital Ratios | As of September 30, 2024 | As of June 30, 2024 |
|---|---|---|
| Total Stockholders' Equity | $1.23 billion | $1.20 billion |
| Equity to Total Assets Ratio | 10.54% | 10.30% |
| Tangible Equity to Tangible Assets Ratio | 8.50% | 8.23% |
Market Position and Future Outlook
Brookline Bancorp continues to focus on expanding its community banking services, enhancing digital banking capabilities, and improving overall customer experience. The company’s strategy includes targeted growth in its commercial real estate and small business lending segments.
Despite the competitive landscape, Brookline Bancorp's financial health and strategic initiatives position it well for future growth. The bank remains committed to maintaining its strong capital ratios while effectively managing credit risks.
A Who Owns Brookline Bancorp, Inc. (BRKL)
Ownership Structure
As of 2024, Brookline Bancorp, Inc. (BRKL) has a diverse ownership structure comprising institutional, retail, and insider shareholders. The following table details the primary shareholders along with their respective ownership percentages:
| Shareholder Type | Number of Shares | Ownership Percentage |
|---|---|---|
| Institutional Investors | 55,000,000 | 58.7% |
| Insider Holdings | 12,000,000 | 12.8% |
| Retail Investors | 25,000,000 | 26.5% |
| Total Shares Outstanding | 92,000,000 | 100% |
Major Institutional Shareholders
The following table lists the top institutional shareholders of Brookline Bancorp, Inc. as of 2024:
| Institution | Shares Held | Ownership Percentage |
|---|---|---|
| BlackRock, Inc. | 10,500,000 | 11.4% |
| Vanguard Group, Inc. | 9,800,000 | 10.7% |
| State Street Corporation | 8,700,000 | 9.5% |
| Wellington Management Co. LLP | 7,500,000 | 8.2% |
| Other Institutions | 18,500,000 | 20.1% |
Insider Ownership
Insider ownership is significant within Brookline Bancorp, with key executives and board members holding a substantial number of shares. The following table summarizes insider ownership:
| Insider Name | Position | Shares Held | Ownership Percentage |
|---|---|---|---|
| Paul Perrault | CEO | 2,500,000 | 2.7% |
| Michael L. McCarthy | President | 1,800,000 | 2.0% |
| Board Members | — | 1,200,000 | 1.3% |
| Total Insider Shares | — | 5,500,000 | 6.0% |
Recent Stock Performance
Brookline Bancorp's stock performance has shown resilience in the market, with the following data reflecting its recent trading history:
| Date | Stock Price ($) | Market Capitalization ($ Billion) |
|---|---|---|
| January 2024 | 10.09 | 0.93 |
| April 2024 | 10.91 | 1.01 |
| July 2024 | 9.96 | 0.92 |
| October 2024 | 10.53 | 0.97 |
Dividend Information
Brookline Bancorp has maintained a consistent dividend payout. The following table outlines the dividend history for the year 2024:
| Quarter | Dividend per Share ($) | Ex-Dividend Date |
|---|---|---|
| Q1 2024 | 0.135 | February 15, 2024 |
| Q2 2024 | 0.135 | May 15, 2024 |
| Q3 2024 | 0.135 | August 15, 2024 |
| Q4 2024 (Projected) | 0.135 | November 15, 2024 |
Market Trends and Outlook
The banking sector, including Brookline Bancorp, is poised for growth as interest rates stabilize, and economic conditions improve. The company reported a net income of $20.1 million for Q3 2024, a significant increase from previous quarters, indicating a positive financial trajectory.
| Financial Metric | Q3 2024 | Q2 2024 | Q3 2023 |
|---|---|---|---|
| Net Income ($ Million) | 20.1 | 16.4 | 22.7 |
| Earnings per Share ($) | 0.23 | 0.18 | 0.26 |
| Total Assets ($ Billion) | 11.7 | 11.6 | 11.2 |
Brookline Bancorp, Inc. (BRKL) Mission Statement
Overview of Mission Statement
Brookline Bancorp, Inc. focuses on providing exceptional financial services tailored to meet the needs of its customers, with a commitment to integrity, accountability, and community involvement. The company aims to foster long-term relationships with customers by offering personalized banking solutions and maintaining a strong emphasis on customer service.
Financial Performance Metrics
As of the third quarter of 2024, Brookline Bancorp reported significant financial metrics that reflect its operational effectiveness and commitment to its mission:
| Metric | Value |
|---|---|
| Total Assets | $11.7 billion |
| Total Loans and Leases | $9.8 billion |
| Total Deposits | $8.7 billion |
| Net Income | $20.1 million |
| Earnings Per Share (EPS) | $0.23 |
| Net Interest Income | $83.0 million |
| Non-Interest Income | $6.3 million |
| Return on Average Assets | 0.70% |
| Return on Average Equity | 5.67% |
Customer-Centric Approach
Brookline Bancorp emphasizes a customer-centric approach, ensuring that its mission aligns with the needs of its clients. This is reflected in the growth of customer deposits, which increased by $166.3 million year-over-year, driven by an increase in demand checking accounts.
Community Engagement
The company's commitment to community engagement is evident through its various initiatives aimed at supporting local businesses and nonprofit organizations. This engagement reinforces its mission to be a responsible corporate citizen.
Operational Efficiency
Brookline Bancorp has focused on improving operational efficiency, as indicated by its decreased non-interest expenses, which fell to $57.9 million in Q3 2024 from $59.2 million in Q2 2024. This efficiency is crucial for sustaining profitability and enhancing shareholder value.
Market Position and Strategy
In a competitive banking landscape, Brookline Bancorp positions itself through strategic growth initiatives, including expanding its loan portfolio and enhancing its digital banking services. This aligns with its mission to provide high-quality financial solutions that adapt to changing market conditions.
How Brookline Bancorp, Inc. (BRKL) Works
Company Overview
Brookline Bancorp, Inc. operates as a bank holding company headquartered in Boston, Massachusetts. As of September 30, 2024, the company reported total assets of $11.7 billion, with total loans and leases amounting to $9.8 billion.
Financial Performance
For the third quarter of 2024, Brookline Bancorp reported net income of $20.1 million, resulting in earnings per share (EPS) of $0.23. This represents an increase from $16.4 million in net income for the previous quarter and $22.7 million for the same quarter in 2023.
| Financial Metric | Q3 2024 | Q2 2024 | Q3 2023 |
|---|---|---|---|
| Net Income | $20.1 million | $16.4 million | $22.7 million |
| EPS (Basic & Diluted) | $0.23 | $0.18 | $0.26 |
| Average Total Assets | $11.4 billion | $11.4 billion | $11.2 billion |
Net Interest Income
Brookline Bancorp's net interest income for the third quarter of 2024 was $83.0 million, an increase from $80.0 million in the previous quarter. The net interest margin rose to 3.07% from 3.00%.
Non-Interest Income
Total non-interest income for Q3 2024 was $6.3 million, slightly down from $6.4 million in Q2 2024.
Provision for Credit Losses
The provision for credit losses recorded was $4.8 million, down from $5.6 million in the previous quarter. Total net charge-offs were $3.8 million, significantly reduced from $8.4 million in Q2 2024.
Asset Quality
The ratio of nonperforming loans and leases to total loans and leases was 0.73% as of September 30, 2024, up from 0.62% in the previous quarter. Total nonperforming assets reached $72.8 million, rising from $62.7 million.
Balance Sheet Highlights
Brookline Bancorp's total deposits at September 30, 2024, were $8.7 billion, a slight decrease from $8.7 billion at June 30, 2024. Customer deposits increased by $103.2 million, offset by a decrease in brokered deposits.
| Balance Sheet Item | September 30, 2024 | June 30, 2024 | September 30, 2023 |
|---|---|---|---|
| Total Assets | $11.7 billion | $11.6 billion | $11.2 billion |
| Total Loans and Leases | $9.8 billion | $9.8 billion | $9.4 billion |
| Total Deposits | $8.7 billion | $8.7 billion | $8.6 billion |
| Total Stockholders' Equity | $1.230 billion | $1.198 billion | $1.157 billion |
Capital Ratios
The ratio of stockholders’ equity to total assets was 10.54% at September 30, 2024. The tangible book value per common share increased to $10.89.
Dividends
Brookline Bancorp declared a quarterly dividend of $0.135 per share, payable on November 29, 2024.
Market Performance
As of the end of September 2024, Brookline Bancorp's stock price was approximately $10.09, reflecting a stable market position.
How Brookline Bancorp, Inc. (BRKL) Makes Money
Business Model Overview
Brookline Bancorp, Inc. primarily generates revenue through two main channels: net interest income and non-interest income.
Net Interest Income
As of the third quarter of 2024, Brookline Bancorp reported net interest income of $83.0 million, an increase from $80.0 million in the previous quarter. The net interest margin improved to 3.07% from 3.00% in the prior quarter, driven by higher yields on loans and leases.
| Period | Net Interest Income (in millions) | Net Interest Margin (%) |
|---|---|---|
| Q3 2024 | $83.0 | 3.07 |
| Q2 2024 | $80.0 | 3.00 |
| Q1 2024 | $81.6 | 3.18 |
Loan Portfolio
As of September 30, 2024, total loans and leases amounted to $9.8 billion, reflecting an increase of $34.1 million from the previous quarter. The composition of the loan portfolio includes:
- Commercial real estate loans: $5.8 billion
- Commercial loans: $1.1 billion
- Equipment financing: $1.4 billion
- Consumer loans: $1.5 billion
Non-Interest Income
For the third quarter of 2024, Brookline Bancorp reported total non-interest income of $6.3 million, slightly down from $6.4 million in the previous quarter. Key components include:
- Deposit fees: $2.4 million
- Loan fees: $0.5 million
- Gain on sales of loans and leases: $0.4 million
- Other income: $3.1 million
| Component | Q3 2024 (in millions) | Q2 2024 (in millions) |
|---|---|---|
| Deposit Fees | $2.4 | $3.0 |
| Loan Fees | $0.5 | $0.7 |
| Gain on Sales of Loans | $0.4 | $0.1 |
| Other Income | $3.1 | $2.5 |
Credit Loss Provisioning
Brookline Bancorp recorded a provision for credit losses of $4.8 million for Q3 2024, down from $5.6 million in Q2 2024. The total net charge-offs were $3.8 million, reflecting a decrease from $8.4 million in the prior quarter.
Non-Interest Expenses
Total non-interest expenses for Q3 2024 were $57.9 million, a decrease from $59.2 million in Q2 2024. Major expense categories include:
- Compensation and employee benefits: $35.1 million
- Occupancy: $5.3 million
- Equipment and data processing: $6.8 million
- Professional services: $2.1 million
| Expense Category | Q3 2024 (in millions) | Q2 2024 (in millions) |
|---|---|---|
| Compensation and Employee Benefits | $35.1 | $34.8 |
| Occupancy | $5.3 | $5.6 |
| Equipment and Data Processing | $6.8 | $6.7 |
| Professional Services | $2.1 | $1.7 |
Financial Performance Metrics
Brookline Bancorp reported net income of $20.1 million for Q3 2024, yielding an earnings per share (EPS) of $0.23. The effective tax rate was 24.6%.
| Metric | Q3 2024 | Q2 2024 |
|---|---|---|
| Net Income (in millions) | $20.1 | $16.4 |
| EPS | $0.23 | $0.18 |
| Effective Tax Rate | 24.6% | 24.4% |
Conclusion on Revenue Streams
Brookline Bancorp, Inc. effectively leverages its core banking operations through interest income from loans and leases, supplemented by a range of non-interest income sources. The company's focus on maintaining asset quality and managing expenses plays a crucial role in sustaining profitability.
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Article updated on 8 Nov 2024
Resources:
- Brookline Bancorp, Inc. (BRKL) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Brookline Bancorp, Inc. (BRKL)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Brookline Bancorp, Inc. (BRKL)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.