CWB Financial Group (TSX: CWB) (CWB) today announced financial performance for the three and nine month periods ended July 31, 2023. Third quarter net income available to common shareholders of $83 million and adjusted earnings per common share (EPS)(1) of $0.88 increased by 19% from the previous quarter. The sequential growth in earnings was driven by a significant increase in net interest margin(1), prudent expense management, and three additional interest earning days. Compared to the same quarter last year, net income available to common shareholders was up 3%.
Our Board of Directors declared a cash dividend of $0.33 per common share, up two cents from the dividend declared last year and consistent with last quarter.
“Through the focused performance of our teams, we delivered the strong financial results that we expected this quarter, supported by branch-raised deposit(1) growth, improved revenues, and disciplined management of our expenses,” said Chris Fowler, President and CEO. “We have targeted lending opportunities that provide strong returns within a prudent risk appetite for the current uncertain economic environment. Our secured lending model, prudent underwriting practices and proactive loan management have continued to support provisions for credit losses that remain below the low end of our historical range.”
“CWB’s strategic focus to meet the full-service financial needs of businesses and their owners differentiates us from our Canadian peers. Our high client satisfaction levels demonstrate the value we create for mid-market commercial businesses, which represents a significant segment of the Canadian economy. In the fourth quarter, we expect to benefit from continued revenue growth and management of our expenses to deliver an annual adjusted return on equity(1) within our 2023 target range of 10 to 11%.”
(1) Adjusted EPS, net interest margin, branch-raised deposits and adjusted return on equity are non-GAAP measures. Refer to definitions and detail provided on page 5.
FOR FURTHER INFORMATION CONTACT:
AVP, Investor Relations
CWB Financial Group
Email: [email protected]