Burke & Herbert Bank Declares First-Quarter Dividend
Follows Strong Earnings Results for 2018
Alexandria, VA – Burke & Herbert Bank announced that at a meeting of its Board of Directors held on January 24, 2019, a regular cash dividend of $20 per share was declared, to be paid on March 1, 2019 to shareholders of record as of the close of business on February 15, 2019. The dividend payment represents an increase of $1 per share over the dividend paid in the first quarter of 2018.
"The Bank continues to produce solid financial results," said E. Hunt Burke, the Bank's Chairman & Chief Executive Officer. "Our net income for 2018 was our highest in the last five years and earnings per share increased to more than $181. This strong earnings performance is reflected in the cash dividends that we are able to deliver to our shareholders. While there always are new challenges to address in this business, we see continued opportunity for growth and success in 2019 and beyond," he added.
Burke & Herbert Bank posted net income of $34.4 million for 2018, ahead of the prior year by nearly $6.6 million, or 23.7%. Net income was boosted by a significant reduction in income tax expenses for the year, resulting from changes in the tax laws. On a pre-tax basis, earnings increased over the prior year by 7.1%.
The Bank's assets stood at $3.01 billion at year-end, with total loans, the largest single component of earning assets, totaling $1.85 billion. Credit quality remained exceptional; the year-end loan delinquency rate was only 0.6%. The Bank's deposit base was $2.3 billion as of December 31, 2018, slightly ahead (0.5%) of total deposits at the same time the year prior.
Burke & Herbert Bank, established in 1852, is the oldest bank in the Commonwealth of Virginia and the oldest continuously operating bank in the Washington, D.C. area. The Bank offers a full range of personal and business banking products and services designed to meet customers' banking, borrowing, and investing needs. Burke & Herbert Bank is headquartered in Alexandria and operates 25 branches in Northern Virginia.