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Jun 30, 2021
Tompkins Q2 2021 Earnings Report
Reported record earnings per share, driven by growth in all fee income categories.
Key Takeaways
Tompkins Financial Corporation reported a strong second quarter with diluted earnings per share of $1.54, a 6.9% increase from the same period last year. Net income also rose to $22.8 million, compared to $21.4 million in the second quarter of 2020. The company saw growth in all three primary business lines: banking, insurance, and wealth management.
Diluted earnings per share increased by 6.9% to $1.54 compared to Q2 2020.
Net income rose to $22.8 million, up from $21.4 million in the same period last year.
Noninterest income increased by 9.8%, driven by growth in insurance commissions, investment services income, service charges, and card services income.
Average total deposits increased by 10.1% compared to the same period in 2020.
Tompkins
Tompkins
Forward Guidance
The company did not provide specific forward guidance in this report. The report mentions potential impacts from general economic, market, and regulatory conditions, the COVID-19 pandemic, interest rate environment, and legislative and regulatory changes.
Positive Outlook
- Continued favorable earnings trends.
- Strong quarter of earnings.
- Revenue for the first half of 2021 compared favorably to the prior year in all three primary business lines.
- Capital ratios remained well above the regulatory minimums.
- Implemented a payment deferral program in 2020 to assist borrowers experiencing financial hardship due to COVID-19.
Challenges Ahead
- Current interest rate environment resulted in a narrowing of net interest margin.
- Increase in nonperforming loans and leases.
- The severity and duration of the COVID-19 pandemic and the impact of COVID-19
- Reliance on large customers
- Uncertainties arising from national and global events