United Bank Touts 'Strong Balance Sheet' In Latest Report

United Financial Bancorp, Inc., the holding company for United Bank has announced earnings results for the quarter ended Dec. 31, 2018.

The bank reported net income of $12.2 million, or $0.24 per diluted share, for the quarter. That compared to net income for the linked quarter of $16.3 million, or $0.32 per diluted share. The Company reported net income of $9.5 million, or $0.19 per diluted share, for the quarter ended Dec. 31, 2017.

Net income for the year ended Dec. 31, 2018 was $59.9 million, or $1.17 per diluted share, compared to net income of $54.6 million, or $1.07 per diluted share, for the year ended Dec. 31, 2017.

United Bank stock trades on the NASDAQ Global Select Market under the ticker symbol UBNK. It was trading at $15.23 per share mid-Wednesday morning.

"In the fourth quarter of 2018, United Financial Bancorp, Inc. delivered annualized linked quarter loan growth of 9 percent and deposit growth of 12 percent, while maintaining pristine asset quality and a strong balance sheet," said William H.W. Crawford, IV, United Bank's chief executive officer and president. "I would like to thank our United employees for their continued steadfast focus on serving the needs of our customers and communities."

The United Bank Board of Directors declared a cash dividend on the Company’s common stock of $0.12 per share to shareholders of record at the close of business on Feb. 1, 2019 and payable on Feb. 13, 2019. The dividend equates to a 3.04 percent annualized yield based on the $15.78 average closing price of the Company’s common stock in the fourth quarter of 2018. The Company has paid dividends for 51 consecutive quarters.

Here are some highlights:

• Assets totaled $7.36 billion at Dec. 31, 2018, increasing by $149.4 million from $7.21 billion at
• Sept. 30, 2018.
• At December 31, 2018, total loans were $5.66 billion, representing an increase of
• $127.9 million, or 2.3 percent, from the linked quarter.
• Deposits totaled $5.67 billion at Dec. 31, 2018 and increased by $170.2 million, or 3.1 percent, from $5.50 billion at Sept. 30, 2018. The increase in deposits was positively impacted by the Webster Bank deposit acquisition of $109.4 million that occurred in the beginning of October 2018.
• Total Federal Home Loan Bank advances decreased by $15.7 million, or 1.9 percent, over the linked quarter as the Company utilized excess cash from deposit growth to pay off maturing advances.
• Net interest income decreased by $67,000, or 0.1 percent, on a linked quarter basis, to $48.4 million, primarily attributable to an increase in loan interest income of $2.2 million, or 3.5 percent, to $63.2 million, offset by an increase in interest expense of $2.1 million, or 9.6 percent, to $23.9 million.
• Interest expense increased by $2.1 million, or 9.6 percent, to $23.9 million during the fourth quarter of 2018, from $21.8 million in the linked quarter.

Photo Credit: Chris Dehnel

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