- Meridian Corporation (MRBK, Financial) reported a Q1 2025 net income of $2.4 million, a decline from $2.7 million in Q1 2024.
- Pre-provision net revenue increased by 30.2% year-over-year to $8.4 million, showcasing strong operational growth.
- The Board declared a quarterly cash dividend of $0.125 per share, payable on May 19, 2025.
Meridian Corporation (MRBK) experienced a mixed Q1 2025, with net income dropping to $2.4 million or $0.21 per diluted share from $2.7 million in the previous year. This reduction was primarily attributed to increased provisioning for distressed SBA loans, which were significantly impacted by rising interest rates. Despite this, the bank's pre-provision net revenue saw a robust year-over-year growth of 30.2%, reaching $8.4 million, indicative of underlying operational strength.
Commercial loan activity showed positive momentum, with loans growing by $49.5 million, representing a 3% increase quarter-over-quarter. Deposits exhibited a significant uptick, increasing by $123.4 million or 6%, with a notable rise in non-interest-bearing deposits by 34%, which contributed to a broader asset increase to $2.5 billion.
In light of ongoing financial resilience and growth, Meridian’s Board of Directors announced a consistent quarterly dividend of $0.125 per share, with payment scheduled for May 19, 2025, to shareholders recorded by May 12, 2025. The dividend announcement reflects the management's confidence in the bank's core financial health, despite current credit quality challenges.
