CLINTON, N.J., Jan. 12, 2024 (GLOBE NEWSWIRE) -- Unity Bancorp, Inc. (NASDAQ: UNTY), parent company of Unity Bank, reported net income of $9.8 million, or $0.96 per diluted share, for the quarter ended December 31, 2023, compared to net income of $9.9 million, or $0.97 per diluted share for the quarter ended September 30, 2023. This represents a 1.8% decrease in net income and a 1.0% decrease in net income per diluted share. For the twelve months ended December 31, 2023, the Company reported net income of $39.7 million or $3.84 per diluted share, compared to net income of $38.5 million or $3.59 per diluted share for the twelve months ended December 31, 2022. This represents a 3.3% increase in net income and a 7.0% increase in net income per diluted share.
James A. Hughes, President and CEO, commented on the financial results: "I am proud to share with you the outstanding financial results of Unity Bancorp Inc. for the 2023 fiscal year, a period that was marked by unprecedented challenges in the banking sector. We achieved a record year of earnings with $39.7 million in net income, or $3.84 per diluted share. For the fourth quarter, we generated $9.8 million in net income, or $0.96 per diluted share.
In the fourth quarter, we saw NIM expansion, partially attributable to core deposit growth allowing us to pay down more expensive wholesale funding sources. We also benefited from higher interest rates on our loan portfolio. Moreover, we improved our loan to deposit ratio to approximately 113% at the end of 2023, compared to approximately 118% at the end of 2022.
We faced a turbulent operating environment in 2023, with persistent inflation and an inverted yield curve. We successfully navigated these headwinds by staying focused on delivering top-notch financial products and best-in-class customer service.
We remain confident that we have a solid foundation for continued growth and profitability in 2024. We will remain true to our values of customer satisfaction, community engagement and employee empowerment. We will seek to continue to manage our risks prudently, while pursuing our strategic objectives, including generating industry leading returns for our shareholders."
For the full version of the Company's 2023 fourth quarter earnings release, including financial tables, please visit News - Unity Bank (q4ir.com).
Unity Bancorp, Inc. is a financial services organization headquartered in Clinton, New Jersey, with approximately $2.6 billion in assets and $1.9 billion in deposits. Unity Bank, the Company's wholly owned subsidiary, provides financial services to retail, corporate and small business customers through its robust branch network located in Bergen, Hunterdon, Middlesex, Morris, Ocean, Somerset, Union and Warren Counties in New Jersey and Northampton County in Pennsylvania. For additional information about Unity, visit our website at www.unitybank.com, or call 800-618-BANK.
This news release contains certain forward-looking statements, either expressed or implied, which are provided to assist the reader in understanding anticipated future financial performance. These statements may be identified by use of the words "believe", "expect", "intend", "anticipate", "estimate", "project" or similar expressions. These statements involve certain risks, uncertainties, estimates and assumptions made by management, which are subject to factors beyond the Company's control and could impede its ability to achieve these goals. These factors include those items included in our Annual Report on Form 10-K under the heading "Item IA-Risk Factors" as amended or supplemented by our subsequent filings with the SEC, as well as general economic conditions, trends in interest rates, the ability of our borrowers to repay their loans, our ability to manage and reduce the level of our nonperforming assets, results of regulatory exams, and the impact of COVID-19 on the Bank, its employees and customers, among other factors.
This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
News Media & Financial Analyst Contact:
George Boyan, EVP and CFO
(908) 713-4565
