Washington Trust Reports Third Quarter 2024 Earnings

Washington Trust Bancorp, Inc., the parent company of The Washington Trust Company, has released its financial results for the third quarter of 2024. The company reported steady performance, reflecting the strength of its diversified business model and commitment to customers.

Financial Highlights

For the third quarter of 2024, Washington Trust reported a net income of $11.0 million, or $0.64 per diluted share, compared to $10.8 million, or $0.63 per diluted share, in the second quarter of 2024. The net interest margin increased slightly to 1.85% from 1.83% in the previous quarter. Wealth management revenues saw a 3% increase, while total loans decreased by 2% to $5.5 billion.

Business and Operational Highlights

During the quarter, Washington Trust expanded its presence in Providence by opening a new full-service branch in Olneyville. The company also reported an all-time high in in-market deposits, which reached $4.8 billion, up by 3% from the previous quarter. Asset and credit quality metrics remained solid, with a provision for credit losses of $200 thousand, down by $300 thousand from the second quarter.

Strategic Initiatives and Corporate Developments

The Board of Directors declared a quarterly dividend of 56 cents per share for the quarter ended September 30, 2024. The dividend was paid on October 11, 2024, to shareholders of record on October 1, 2024. Total shareholders' equity increased by $31.3 million, or 7%, from the previous quarter, driven by net income and an increase in accumulated other comprehensive income.

Management's Perspective

Edward O. Handy III, Washington Trust Chairman and Chief Executive Officer, stated, "Washington Trust’s third quarter results remained steady, demonstrating the strength of our diversified business model, and commitment to our customers. We continue to carefully manage our balance sheet, while focusing on our customers, who rely on us for financial solutions and trusted advice."

Future Outlook

The company expects its full-year 2024 effective tax rate to be approximately 21%, based on current federal and applicable state income tax statutes. Washington Trust will host a conference call to discuss its third quarter results, business highlights, and outlook on October 22, 2024.

SEC Filing: WASHINGTON TRUST BANCORP INC [ WASH ] - 8-K - Oct. 21, 2024