Burke & Herbert Financial Services (BHRB) came out with quarterly earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.91 per share. This compares to earnings of $1.77 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +3.67%. A quarter ago, it was expected that this bank holding company would post earnings of $1.88 per share when it actually produced earnings of $1.97, delivering a surprise of +4.79%.Over the ...

https://files.reportify.cc/media/production/BHRB1 Burke & Herbert Financial Services Corp. Announces Fourth Quarter and Full Year 2025 Results and Declares Common Stock Dividend For Immediate Release January 22, 2026 Alexandria, VA – Burke & Herbert Financial Services Corp. (the "Company" or "Burke & Herbert") (Nasdaq: BHRB) reported financial results for the quarter and the year ended December 31, 2025. In addition, at its meeting on January 22, 2026, the board of directors declared a $0.55 per share regul ...

Core Viewpoint - Burke & Herbert Financial Services Corp. reported strong financial results for Q4 2025, highlighting disciplined execution and a solid foundation for future growth, including a regular cash dividend declaration of $0.55 per share [1][2]. Financial Performance - The company achieved a net income of $30.0 million for Q4 2025, translating to $1.98 per diluted common share, an increase from $29.7 million or $1.97 per diluted common share in Q3 2025 [4][5]. - For the full year 2025, net income applicable to common shares totaled $116.4 million, with diluted earnings per share at $7.72 [5]. - The annualized return on average assets was 1.48% and return on average equity was 14.76% for the year ended December 31, 2025 [5]. Balance Sheet and Asset Quality - Total gross loans were reported at $5.4 billion as of December 31, 2025, a decrease of $171.8 million from the previous quarter, primarily due to the exit of non-strategic loans [4][5]. - Total deposits stood at $6.4 billion, reflecting a decrease of $8.1 million from the previous quarter, with core deposits increasing by $51.9 million [5][11]. - The company maintained a strong liquidity position with total liquidity of $4.8 billion at the end of Q4 2025 [5]. Capital Ratios - The company ended Q4 2025 with a Common Equity Tier 1 capital ratio of 13.2% and a Total risk-based capital ratio of 15.9%, both significantly above regulatory requirements [7][8]. - The leverage ratio was reported at 10.9%, indicating a well-capitalized status [7][8]. Non-Interest Income and Expenses - Non-interest income for Q4 2025 was $11.6 million, consistent with the previous quarter, although there were fluctuations in various categories [11]. - Non-interest expenses increased slightly to $48.5 million in Q4 2025 from $48.1 million in Q3 2025, with all categories remaining relatively flat [11]. Strategic Initiatives - The company announced a definitive merger agreement with LINKBANCORP, which, if completed, will create a financial holding company with approximately $11 billion in assets and over 100 locations [5][11]. - The merger is subject to shareholder and regulatory approvals, with expectations of enhanced value creation for stakeholders [5][11].

4Q25 Update (Nasdaq: BHRB) January 2026 1 Cautionary Statement Regarding Forward-Looking Information Cautionary Note Regarding Forward Looking Statements This presentation includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including with respect to (or based on) the beliefs, goals, intentions, and expectations of Burke & Her ...

NEW YORK--(BUSINESS WIRE)-- #creditratingagency--On December 18, 2025, Burke & Herbert Financial Services Corp. (NASDAQ: BHRB) (KBRA senior unsecured rating of BBB / Stable Outlook), the parent company of Burke and Herbert Bank and Trust Company, announced a definitive merger agreement with LINKBANCORP, Inc. (NASDAQ: LNKB), the parent company of LINKBANK, pursuant to which BHRB will acquire LNKB in an all-stock transaction. The transaction, which had an estimated value of approximately $354 million, is expe ...

Core Viewpoint - Halper Sadeh LLC is investigating the fairness of the merger between Burke & Herbert Financial Services Corp. and LINKBANCORP, Inc. for Burke & Herbert shareholders [1] Group 1: Merger Details - Upon completion of the proposed transaction, Burke & Herbert shareholders are expected to own approximately 75% of the combined company [1]

ALEXANDRIA, Va. and CAMP HILL, Pa., Dec. 18, 2025 /PRNewswire/ -- Burke & Herbert Financial Services Corp. (the "Company" or "Burke & Herbert") (Nasdaq: BHRB) and LINKBANCORP, Inc. ("LINK") (Nasdaq: LNKB), the parent company of LINKBANK, today announced the signing of a definitive merger agreement pursuant to which Burke & Herbert will acquire LINK in an all-stock transaction valued at approximately $354.2 million or $9.38 per share of LINK common stock, based on a closing price for Burke & Herbert's common ...

Financial Position - As of September 30, 2025, the company reported total consolidated assets of $7.9 billion, gross loans of $5.6 billion, total deposits of $6.4 billion, and total shareholders' equity of $822.2 million[178]. - As of September 30, 2025, total assets increased to $7,889,037, compared to $7,864,913 as of September 30, 2024, reflecting a growth of approximately 0.31%[227]. - Total deposits decreased to $6,412,052 from $6,600,825, representing a decline of approximately 2.85%[227]. - Total shareholders' equity increased to $822,200,000 as of September 30, 2025, up from $730,200,000 at December 31, 2024, reflecting an increase of $92,100,000[330]. - The investment portfolio's fair value was $1.598 billion as of September 30, 2025, with gross unrealized losses of $89.2 million[299]. - The overall weighted average duration of the investment portfolio is 4.6 years as of September 30, 2025[300]. Loan Portfolio - The bank's loan portfolio includes a substantial portion secured by real estate, indicating a focus on real estate-backed lending[176]. - As of September 30, 2025, the Bank's exposure to commercial real estate (CRE) was $2.8 billion, representing 50.4% of its gross loan portfolio[197]. - Total exposure to commercial real estate, including owner-occupied properties and acquisition, construction & development, was $3.8 billion, or 68.1% of total gross loans[197]. - The total amount of commercial real estate loans was $2,804,175,000 as of September 30, 2025, compared to $2,637,802,000 at the end of 2024[303]. - The company’s loan portfolio includes $1,127,952,000 in single-family residential loans, a decrease from $1,173,749,000 at December 31, 2024[303]. - The owner-occupied commercial real estate segment accounted for $612.56 million, or 11.0% of the total gross loan portfolio[198]. - The acquisition, construction & development loans totaled $375.03 million, representing 6.7% of the total gross loan portfolio[198]. - As of September 30, 2025, total loans outstanding were $5,559,479,000, a slight decrease from $5,574,037,000 as of September 30, 2024[315]. Income and Expenses - Net interest income for the three months ended September 30, 2025, was $73,770, compared to $73,179 for the same period in 2024, showing a growth of about 0.81%[227]. - Net income applicable to common shares for the three months ended September 30, 2025, was $29,739 for the three months ended September 30, 2025, up from $27,397 in 2024, reflecting an increase of approximately 4.88%[227]. - Non-interest income increased by $10.1 million, or 41.5%, to $34.5 million for the nine months ended September 30, 2025, compared to $24.4 million for the same period in 2024[235]. - Non-interest expense increased by $10.6 million, or 7.8%, to $147.1 million for the nine months ended September 30, 2025, compared to $136.4 million for the same period in 2024[236]. - Total interest income for the nine months ended September 30, 2025, was $333.9 million, up from $253.4 million for the same period in 2024[251]. - Total net interest income for the nine months ended September 30, 2025, was $220.99 million, compared to $155.08 million for the same period in 2024[251]. - Total interest expense was $112.9 million for the nine months ended September 30, 2025, up from $98.3 million in the same period of 2024, reflecting a full nine months of combined operations after the Merger[257]. Credit Quality - The company maintains an allowance for credit losses (ACL) to absorb expected credit losses, which is critical for evaluating the loan portfolio's risk characteristics[187]. - Non-performing loans as a percentage of total loans increased to 1.60% as of September 30, 2025, compared to 0.64% in 2024, highlighting a potential increase in credit risk[228]. - The allowance for credit losses (ACL) as a percentage of gross loans was 1.22% as of September 30, 2025, unchanged from the previous year[313]. - The company’s non-performing loans, which include non-accrual loans and loans 90 days past due, totaled $89,051,000 as of September 30, 2025[309]. - Total non-performing assets reached $91,793,000, an increase of $50.6 million from $41,151,000 at December 31, 2024[309]. - Provision for credit losses decreased significantly to $1.4 million for the nine months ended September 30, 2025, compared to $23.4 million for the same period in 2024[258]. Interest Rate Risk Management - The Company actively manages its interest rate sensitivity position to control exposure of net interest income to risks associated with interest rate movements[338]. - The Company utilizes interest rate sensitivity analysis, market value of portfolio equity analysis, and interest rate simulations to manage interest rate risk[339]. - The ALCO is responsible for managing the Company's interest rate sensitivity position through policies approved by the Board[338]. - Interest rate risk sensitivity cannot be predicted with certainty due to varying economic and market conditions[340]. - The Company models a set of interest rate scenarios to understand its sensitivity to interest rate changes[341]. - The analysis of interest rate risk includes assessing the impact of embedded options within the balance sheet[341].

Core Viewpoint - Burke & Herbert Financial Services (BHRB) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][4]. Earnings Estimates and Revisions - The Zacks Consensus Estimate for Burke & Herbert for the fiscal year ending December 2025 is projected at $7.65 per share, remaining unchanged from the previous year [9]. - Over the past three months, analysts have increased their earnings estimates for Burke & Herbert by 1.9% [9]. Zacks Rating System - The Zacks rating system is based solely on a company's changing earnings picture, which is tracked through the consensus of EPS estimates from sell-side analysts [2]. - The system classifies stocks into five groups, with Zacks Rank 1 (Strong Buy) to Zacks Rank 5 (Strong Sell), and has shown a strong track record, with Zacks Rank 1 stocks averaging an annual return of +25% since 1988 [8]. - The upgrade to Zacks Rank 2 places Burke & Herbert in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [11]. Impact of Institutional Investors - Changes in earnings estimates significantly influence institutional investors' valuation models, leading to stock price movements based on their buying or selling actions [5][6].

Core Insights - Burke & Herbert Financial Services (BHRB) reported quarterly earnings of $1.97 per share, exceeding the Zacks Consensus Estimate of $1.88 per share, but slightly down from $1.98 per share a year ago, resulting in an earnings surprise of +4.79% [1] - The company posted revenues of $85.36 million for the quarter ended September 2025, missing the Zacks Consensus Estimate by 1.78%, compared to $83.79 million in the same quarter last year [2] - The stock has underperformed the market, losing about 1.9% year-to-date, while the S&P 500 has gained 13.9% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.86 on revenues of $86.8 million, and for the current fiscal year, it is $7.52 on revenues of $342 million [7] - The estimate revisions trend for Burke & Herbert was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Financial - Miscellaneous Services industry, to which Burke & Herbert belongs, is currently in the top 34% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]