ES Bancshares Q3 profit rises from prior quarter as margin improves on lower interest expense
ESBS•ES Bancshares reported Q3 net income of $1 million and EPS of $0.14, both higher than the prior quarter. Net interest margin increased to 3.21% from 3.10% in Q2 as interest expense on borrowings decreased.
1. Quarterly results
Higher net interest income drove Q3 net income growth despite lower average loan balances. Higher service charges and fees on loans also contributed to increased non-interest income.
2. Margin and outlook
Net interest margin rose to 3.21% from 3.10% in Q2, reflecting lower interest expense on borrowings. Book value per share increased for the tenth consecutive quarter; the company provided no specific guidance for future quarters or the full year.
