Camden National Bank owner Camden National Corp. reported net income of $10.9 million for the third quarter, up 69 percent from the same period a year earlier.

The Camden-based bank holding company’s president and CEO, Greg Dufour, attributed the year-over-year growth in large part to its acquisition of The Bank of Maine owner SBM Financial Inc. in October 2015. Dufour said the acquisition, combined with organic customer growth, is part of a strategy to keep the $3.9 billion company based in Maine despite ongoing consolidation in the banking industry.

Camden National reported Wednesday that its third-quarter earnings per share of 70 cents represented an increase of 13 percent over the second quarter. The company’s average return on assets for the third quarter was 1.1 percent.

“We had another strong quarter leading to year-to-date net income of $29.2 million and driving year-to-date diluted EPS growth of 10 percent over the same period last year,” Dufour said. “Our strong performance reflects the growth from our acquisition of SBM Financial Inc. in October 2015 and within our traditional markets, as well as our continued focus on operating efficiencies.”

The merger of Bank of Maine into Camden National created what is now Maine’s largest community bank, with 64 branches, $3.9 billion in assets and about 700 employees. The combined entity operates entirely under the Camden National brand.

The bank announced two major strategic initiatives in the third quarter: It completed a 3-for-2 stock split on Sept. 30, and announced the proposed merger of its wholly owned wealth-management subsidiary, Acadia Trust, into Camden National. If approved, Acadia will be renamed Camden National Wealth Management. Dufour said the purpose of the stock split was reduce the company’s price per share, which had been approaching $50 and was relatively high for a bank. He said a share price in the mid-$30 range is more investor-friendly and has boosted trading activity significantly.

Dufour said the Acadia Trust merger and renaming is a way to emphasize Camden National’s desire to serve all of its customers’ needs, from their first checking account to the management of their retirement funds.

“(It) would align all of our brands, including our brokerage group, Camden Financial Consultants, to provide a comprehensive offering of banking, wealth management and brokerage products and services,” he said.

Dufour said the company expects to complete the application process for the proposed merger by Nov. 30.

Camden National Corp. stock was up 2.09 percent, to $33.18, at the end of trading Wednesday.

 


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