Burke & Herbert Reports $27.1M Q1 Income, Declares $0.55 Dividend
Burke & Herbert reported Q1 net income of $27.1 million, translated into $1.79 diluted EPS (adjusted $1.87), while ROE reached 12.62% (adjusted 13.30%). The board declared a $0.55 cash dividend per share and expects to complete its merger with LINKBANCORP on May 1, 2026.
1. Q1 Financial Results
Burke & Herbert reported net income applicable to common shares of $27.1 million for Q1 2026, or $1.79 diluted EPS, with adjusted net income of $28.2 million and adjusted EPS of $1.87. Annualized returns were strong with a ROA of 1.39% (1.45% adjusted), ROE of 12.62% (13.30% adjusted), and ROATCE of 13.87% (14.44% adjusted).
2. Balance Sheet Strength and Capital Ratios
The company ended March 31 with $5.4 billion in gross loans, $6.3 billion in deposits (85.4% loan-to-deposit ratio), a 4.09% net interest margin, and $4.8 billion in total liquidity. Capital metrics remained robust with a 13.8% CET1 ratio, 16.5% total risk-based capital ratio, and an 11.3% leverage ratio.
3. Dividend Declaration and Merger Update
The board declared a $0.55 per share cash dividend payable June 1 to shareholders of record May 15. Regulatory approval has been received for the LINKBANCORP merger, which is expected to close on May 1, 2026, creating expanded scale for customers and shareholders.