Hanover Bancorp, Inc. Reports Earnings for the Fourth Calendar Quarter, Strong Net Loan Growth and Declar

Fourth Calendar Quarter Performance Highlights

• Net Income: Net income for the quarter ended December31, 2022 totaled $5.3million or $0.72 per diluted share (includes Series A preferred shares), versus $6.5million or $1.16 per diluted share in the same period a year ago. Excluding the impact of net purchase accounting accretion, the Company's net income was $5.1million or $0.69 per diluted share (includes Series A preferred shares) in the quarter ended December31, 2022 versus net income of $5.3million or $0.93 per diluted share in the comparable 2021 quarter.
• Pre-Provision Net Revenue: Pre-provision net revenue was $8.4million or 1.86% of average assets for the quarter ended December31, 2022 versus $9.4million or 2.59% of average assets in the comparable 2021 quarter and $9.6million or 2.28% of average assets in the prior linked quarter of 2022.
• Quarterly Cash Dividend: The Company's Board of Directors approved a $0.10 per share cash dividend on both common and Series A preferred shares payable on February14, 2023 to stockholders of record on February7, 2023.
• Financial Performance Metrics: Returns on average total assets and average stockholders' equity were 1.18% and 12.04%, respectively, in the quarter ended December31, 2022, versus 1.80% and 20.52% in the comparable 2021 period, and 1.39% and 13.45% in the linked 2022 quarter. The Company's return on average tangible common equity was 13.54% in the quarter ended December31, 2022.
• Net Interest Income: Net interest income was $15.3million for the quarter ended December31, 2022, a decrease of $1.2million, or 7.1% versus the prior linked quarter. Net interest income was $15.3million for the quarter ended December31, 2021.
• Net Interest Margin: The Company's net interest margin during the quarter ended December31, 2022 was 3.49% versus 4.04% in the quarter ended September30, 2022 and 4.39% in the quarter ended December31, 2021. Excluding the impact of net purchase accounting accretion, the Company's net interest margin was 3.43% in the quarter ended December31, 2022, 3.93% in the quarter ended September30, 2022 and 3.90% in the quarter ended December31, 2021.
• Balance Sheet: Assets totaled $1.98billion at December31, 2022 versus $1.84billion at September30, 2022 and $1.46billion at December31, 2021.
• Capital Strength: The Bank's Tier1 leverage ratio was 10.34% and its Total Risk-Based capital ratio was 15.30% at December31, 2022, each significantly above the regulatory minimums for a well-capitalized institution. The Company's Tangible Common Equity ratio was 8.05% at December31, 2022, 8.41% at September30, 2022, and 7.63% at December31, 2021.
• Tangible Book Value Per Share: Tangible book value per share (includes Series A preferred shares) increased to $21.66 at December31, 2022 from $21.00 at September30, 2022 and $19.73 at December31, 2021.
• Strong Lending Activity: On a linked quarter basis, the Company exhibited another quarter of strong net loan growth of $123.3million, a 30.4% increase on an annualized basis. At December31, 2022, the Company's loan pipeline was approximately $142million.

MINEOLA, N.Y., Jan. 25, 2023 (GLOBE NEWSWIRE) -- Hanover Bancorp, Inc. ("Hanover" or "the Company" NASDAQ:HNVR), the holding company for Hanover Community Bank ("the Bank"), today reported significant performance achievements for the quarter ended December31, 2022 highlighted by strong loan growth in addition to record levels of assets, loans and tangible book value per share. Further, the Company's Board of Directors approved the payment of a $0.10 per share cash dividend on both common and Series A preferred shares payable on February14, 2023 to stockholders of record on February7, 2023.