Bar Habour Bankshares | 10-K: FY2025 Revenue: USD 168.93 B

Revenue: As of FY2025, the actual value is USD 168.93 B.

EPS: As of FY2025, the actual value is USD 2.31, missing the estimate of USD 2.485.

EBIT: As of FY2025, the actual value is USD 120.98 B.

Net Income

Bar Harbor Bankshares reported a net income of $36.9 million for the year ended December 31, 2025, a decrease from $43.5 million in 2024.

Segment Revenue

• Net Interest Income: Increased to $134.5 million in 2025 from $113.8 million in 2024.
• Non-interest Income: Decreased to $34.6 million in 2025 from $36.9 million in 2024.
  • Trust and Investment Management Fee Income: Rose to $16.1 million in 2025 from $15.7 million in 2024, driven by higher assets under management (AUM) of $3.0 billion in 2025 compared to $2.8 billion in 2024.
  • Customer Service Fees: Increased 8% to $16.0 million in 2025 from $14.8 million in 2024.
  • Customer Derivative Income: Increased $1.1 million year-over-year.
  • Loss on Available-for-Sale Debt Securities, Net: Resulted in a -$5,329 thousand loss in 2025, compared to a $50 thousand gain in 2024, primarily due to a -$4.5 million loss on corporate debt securities and a -$549 thousand loss on a matured debt security.

Operating Costs

• Total Non-interest Expense: Increased to $117.7 million in 2025 from $96.0 million in 2024.
  • Acquisition, Conversion, and Other Expenses: Totaled $10.6 million in 2025, related to the Woodsville acquisition.
  • Salaries and Employee Benefits: Increased $5.7 million to $60.5 million in 2025, mainly due to increased personnel from the acquisition.
  • Other Expenses: Increased $5.5 million, including a $1.5 million increase in the provision for unfunded commitments, a $742 thousand increase in occupancy and equipment, and a $582 thousand increase in amortization of other intangibles, all related to the Woodsville acquisition.
• Efficiency Ratio: Improved to 59.23% in 2025 from 61.83% in 2024.

Asset Quality and Credit Losses

• Provision for Credit Losses on Loans: Increased to $4.6 million in 2025 from $955 thousand in 2024, primarily due to a $4.0 million reserve on non-PCD loans from the Woodsville acquisition.
• Provision for Credit Losses on Available-for-Sale Debt Securities: Was $636 thousand in 2025, down from $1.2 million in 2024.
• Allowance for Credit Losses on Loans: Stood at $34.1 million at December 31, 2025, up from $28.7 million at December 31, 2024.
• Net Charge-offs: Were $950 thousand in 2025, compared to $353 thousand in 2024, with the net charge-offs to average loans ratio remaining strong at 0.03% in 2025.
• Non-accruing loans/total loans: Increased to 0.32% in 2025 from 0.22% in 2024.

Balance Sheet Metrics

• Total Assets: Increased to $4.7 billion at year-end 2025 from $4.1 billion at year-end 2024.
• Total Loans: Reached $3.6 billion at year-end 2025, up from $3.1 billion at year-end 2024, with organic annualized commercial loan growth at 6%.
• Total Deposits: Increased to $3.8 billion at year-end 2025 from $3.3 billion at year-end 2024.
• Total Borrowings: Decreased to $269.6 million at December 31, 2025, from $290.6 million at December 31, 2024.
• Net Interest Margin: Was 3.41% in 2025, an increase from 3.15% in the prior year.
• Yield on Earning Assets: Totaled 5.28% at December 31, 2025, up from 5.18% at December 31, 2024.
• Cost of Interest-Bearing Deposits: Decreased to 2.17% in 2025 from 2.37% in 2024, while borrowing costs increased to 4.69% from 4.40%.

Cash Flow

• Net Cash Provided by Operating Activities: Was $48,276 thousand in 2025, compared to $52,371 thousand in 2024.
• Net Cash Provided by Investing Activities: Was $88,710 thousand in 2025, compared to -$141,885 thousand in 2024.
• Net Cash Used in Financing Activities: Was -$128,311 thousand in 2025, compared to $66,834 thousand in 2024.

Outlook / Guidance

Bar Harbor Bankshares’ management anticipates that a 200 basis point decline in short-term and long-term interest rates over the next twelve months would lead to a deterioration in net interest income over one and two years. Conversely, a 200 basis point increase in rates is expected to improve net interest income over both one- and two-year horizons. The company maintains substantial liquidity, totaling approximately $1.0 billion as of December 31, 2025, from various sources.