New Risk • Aug 13
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: €1.2m This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 1.5% per year for the foreseeable future. Minor Risks Shareholders have been diluted in the past year (23% increase in shares outstanding). Significant insider selling over the past 3 months (€1.2m sold). Reported Earnings • Jul 24
Second quarter 2026 earnings released: EPS: US$2.10 (vs US$0.52 in 2Q 2025) Second quarter 2026 results: EPS: US$2.10 (up from US$0.52 in 2Q 2025). Revenue: US$443.6m (up 121% from 2Q 2025). Net income: US$193.2m (up 397% from 2Q 2025). Profit margin: 44% (up from 19% in 2Q 2025). The increase in margin was driven by higher revenue. Revenue is expected to decline by 3.2% p.a. on average during the next 2 years, while revenues in the Banks industry in Europe are expected to grow by 6.7%. Over the last 3 years on average, earnings per share has increased by 8% per year whereas the company’s share price has increased by 11% per year. Duyuru • Jun 30
TowneBank Announces Board Appointments TowneBank announced the appointment of William A. “Billy” Gwaltney, Jr. and John O. Wynne, Jr. to its Corporate Board of Directors. William A. Gwaltney, Jr. is President of Indika Farms Inc., a family run agribusiness enterprise that traces its roots back to the 1800’s and which specializes in farming operations and peanut buying, shelling, processing, and storage. William A. Gwaltney, Jr. was appointed in 2025 by the Governor to the Virginia Department of Agriculture and Consumer Services. His other professional affiliations include serving on the Board of Directors of the Virginia Crop Improvement Association, the Peanut Soil and Water Conservation District, and the Isle of Wight County Farm Bureau. William A. Gwaltney, Jr. served as Chairman of the Board of Directors of Farmers Bank, Windsor, Virginia, and its parent holding company, Farmers Bankshares Inc., which TowneBank acquired in 2023. He currently serves as Chairman of TowneBank’s Regional Board of Directors for Suffolk/Western Tidewater. William A. Gwaltney, Jr. is a graduate of Virginia Tech and resides in Windsor, Virginia. John O. Wynne, Jr. is the founder, former Chief Executive Officer and current Chairman of Fortis Solutions Group, a leading provider of printed packaging solutions servicing customers across the United States and Canada from 22 manufacturing locations. Prior to entering the packaging business in 2010, John O. Wynne, Jr. held various positions within the investment banking units of Deutsche Bank and Morgan Stanley in New York. John O. Wynne, Jr. is Chair of the Hampton Roads Community Foundation and a Board member of the Hampton Roads Executive Roundtable, ivWatch and Norfolk Academy. John O. Wynne, Jr. received his undergraduate degree from Princeton University and his Master of Business Administration from the University of Virginia’s Darden Graduate School of Business. John O. Wynne, Jr. resides in Virginia Beach, Virginia. Upcoming Dividend • Jun 21
Upcoming dividend of US$0.28 per share Eligible shareholders must have bought the stock before 26 June 2026. Payment date: 10 July 2026. Payout ratio is a comfortable 52% and the cash payout ratio is 77%. Trailing yield: 3.1%. Lower than top quartile of German dividend payers (4.7%). Lower than average of industry peers (4.3%). Declared Dividend • May 24
Dividend of US$0.28 announced Shareholders will receive a dividend of US$0.28. Ex-date: 26th June 2026 Payment date: 10th July 2026 Dividend yield will be 5.3%, which is higher than the industry average of 4.8%. Sustainability & Growth The dividend has increased by an average of 8.4% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. EPS is expected to grow by 25% over the next year, which should provide support to the dividend and adequate earnings cover. Duyuru • May 22
TowneBank announces Quarterly dividend, payable on July 10, 2026 TowneBank announced Quarterly dividend of USD 0.2800 per share payable on July 10, 2026, ex-date on June 26, 2026 and record date on June 26, 2026. Duyuru • Apr 24
Townebank Reports Net Charge Offs for the First Quarter Ended March 31, 2026 TowneBank reported net charge offs for the first quarter ended March 31, 2026. For the period, the company reported net loan charge-offs of $1,690,000 compared to $626,000 a year ago. Duyuru • Apr 15
TowneBank, Annual General Meeting, May 20, 2026 TowneBank, Annual General Meeting, May 20, 2026. Location: virginia beach convention center, 1000 19th street, virginia beach, virginia., virginia beach. United States Duyuru • Feb 25
TowneBank Declares First-Quarter Cash Dividend, Payable on April 10, 2026 TowneBank announced that its Board of Directors declared its first-quarter shareholder cash dividend of $0.27 per common share payable on April 10, 2026, to shareholders of record on March 31, 2026. Duyuru • Feb 03
TowneBank Appoints Richard Cullen to its Board of Directors TowneBank announced the appointment of Richard Cullen to its Board of Directors. Mr. Cullen has enjoyed a distinguished legal career with decades of experience in both public service and private practice. Most recently, Mr. Cullen served as Counselor to Governor Glenn Youngkin during his term in office from 2022 to 2026. Other notable public service positions include his appointment in 1997 by Governor George Allen to serve as Attorney General of Virginia and his appointment in 1991 by President George H.W. Bush to serve as United States Attorney for the Eastern District of Virginia. Mr. Cullen spent his career in private law practice at McGuireWoods, LLP, a firm that traces its roots back to 1834 and which has grown to approximately 1,000 lawyers with offices throughout the U.S. and in London. Prior to joining Governor Youngkin’s administration, Mr. Cullen served as Chairman of McGuireWoods for over a decade. In February, Mr. Cullen will become a partner in Torridon Law PLLC, a law firm based in Washington, D.C. Mr. Cullen resides in Richmond, Virginia with his wife, Aggie Tullidge Cullen. They are parents of four adult children, including United States District Court Judge Thomas T. Cullen of Roanoke, Virginia. Duyuru • Jan 29
TowneBank Reports Net Charge-Offs for the Fourth Quarter Ended December 31, 2025 TowneBank reported Net charge-offs for the fourth quarter ended December 31, 2025. For the quarter, the company reported Net charge-offs of $1,948,000 against $382,000 a year ago. Duyuru • Jan 13
TowneBank (NasdaqGS:TOWN) completed the acquisition of Dogwood State Bank (OTCPK:DSBX). TowneBank (NasdaqGS:TOWN) signed a definitive merger agreement to acquire Dogwood State Bank (OTCPK:DSBX) for approximately $500 million on August 18, 2025. Under the terms of the merger agreement, common shareholders of Dogwood will receive a fixed exchange ratio of 0.700 shares of TowneBank common stock for each outstanding share of Dogwood common stock. This implies a deal value per share of $25.04 or approximately $476.2 million. Steve Jones will continue in a key leadership role within the combined company and will join TowneBank as President of its North Carolina and South Carolina banking operations, and be a member of the TowneBank Corporate Management team.
Steven W. Jones, the former chief executive officer of Dogwood, will continue in a key leadership role with the combined company and join TowneBank as President of the Carolinas, serving as a member of the TowneBank Corporate Management Group. Mr. Jones and George (Robin) Perkins, a former director of Dogwood, were appointed to the TowneBank Board of Directors.
The definitive agreement was approved by the boards of directors of TowneBank and Dogwood. The transaction is subject to customary conditions, including regulatory approval, as well as the approval of Dogwood’s shareholders. The transaction is expected to close in the first quarter of 2026. As on January 12, 2026, the transaction has been approved by the TowneBank shareholders and received regulatory approval.
Raymond James & Associates, Inc. served as the financial advisor and Wachtell, Lipton, Rosen & Katz served as legal counsel to TowneBank. Piper Sandler & Co. served as the financial advisor and David F. Paulson, Benjamin A. McCall, Scott H. Richter, Nona K. Massengill, Lee G. Lester, Anna K. Derewenda and J. Conrad Garcia of Williams Mullen served as legal counsel to Dogwood. Mark Kanaly, Stuart Rogers of Alston & Bird, LLP represented Raymond James & Associates, Inc. as financial advisor.
TowneBank (NasdaqGS:TOWN) completed the acquisition of Dogwood State Bank (OTCPK:DSBX) on January 12, 2026. As a part of acquisition Dogwood locations will operate as "Dogwood State Bank, a Division of TowneBank" until November 2026, when the core systems and operations of Dogwood are scheduled to be converted into those of TowneBank. Duyuru • Nov 27
TowneBank Announces Cash Dividend for the Fourth-Quarter of 2025, Payable on January 7, 2026 TowneBank announced that its Board of Directors declared its fourth-quarter of 2025 shareholder cash dividend of $0.27 per common share payable on January 7, 2026, to shareholders of record on December 26, 2025. Duyuru • Oct 23
TowneBank Reports Unaudited Net Loan Charge-Offs for the Third Quarter Ended September 30, 2025 TowneBank reported unaudited net loan charge-offs for the third quarter ended September 30, 2025. For the quarter, the company reported net loan charge-offs of $254,000 against $677,000 in the prior year quarter. Duyuru • Sep 03
TowneBank (NasdaqGS:TOWN) completed the acquisition of Old Point Financial Corporation (NasdaqCM:OPOF). TowneBank (NasdaqGS:TOWN) signed a definitive agreement and plan of merger to acquire Old Point Financial Corporation (NasdaqCM:OPOF) for approximately $200 million on April 2, 2025. Under the terms of the agreement, shareholders of Old Point will elect to receive either $41.00 in cash or 1.1400 shares of TowneBank common stock for each share of Old Point outstanding common stock. This corresponds to an aggregate transaction value of approximately $203 million, based on Old Point common stock currently outstanding. Old Point shareholders will have the right to elect cash or stock consideration so long as the total stock consideration issued represents between 50% and 60% of the total consideration paid. In consideration of the transaction, extensive due diligence was performed by the management teams of TowneBank and Old Point. The transaction is expected to close in the second half of 2025 and is subject to customary conditions, authorization for listing on Nasdaq of the shares of TowneBank common stock to be issued in the Merger, HSR act, including regulatory approval, as well as the approval of Old Point’s shareholders. The definitive agreement was approved by the boards of directors of Old Point and TowneBank. A termination fee of $8.2 million will be payable by Old Point in the event that the Merger Agreement is terminated under certain circumstances. On July 2, 2025 Old Point Announces Shareholder Approval for Merger. As on August 14, 2025, the transaction had received regulatory approval from the Federal Deposit Insurance Corporation and the Bureau of Financial Institutions of the Virginia State Corporation Commission and expect to close on or about September 1, 2025, subject to the satisfaction of customary closing conditions.
Piper Sandler & Co. served as the financial advisor and Matthew M. Guest, Richard K. Kim, Ledina Gocaj, Michael J. Schobel, Damian G. Didden, Joshua M. Holmes and Eric M. Feinstein of Wachtell, Lipton, Rosen & Katz served as legal advisor with Williams Mullen as local advisor to TowneBank in the transaction. Keefe, Bruyette & Woods served as the financial advisor as well as provided fairness opinion and Seth A. Winter, Gregory Parisi,Mark Goldsmith and David Kaplan of Troutman Pepper Locke LLP served as legal advisor to Old Point in the transaction. Laurel Hill Advisory Group, LLC acted as information agent to Old Point. Old Point has retained Laurel Hill Advisory Group and will pay Laurel Hill Advisory Group a fee of $7,000 plus reimbursement of certain costs and expenses. Computershare, Inc. acted as transfer agent to Old Point. Old Point agreed to pay KBW a total cash fee equal to 1.50% of the aggregate merger consideration, $500,000 of which became payable to KBW with the rendering of its opinion.
TowneBank (NasdaqGS:TOWN) completed the acquisition of Old Point Financial Corporation (NasdaqCM:OPOF) on September 1, 2025. Duyuru • Aug 28
TowneBank Announces Third-Quarter Cash Dividend, Payable on October 10, 2025 TowneBank announced that its Board of Directors declared its third-quarter shareholder cash dividend of $0.27 per common share payable on October 10, 2025, to shareholders of record on September 29, 2025. Duyuru • Aug 19
TowneBank (NasdaqGS:TOWN) signed a definitive merger agreement to acquire Dogwood State Bank (OTCPK:DSBX) for approximately $500 million. TowneBank (NasdaqGS:TOWN) signed a definitive merger agreement to acquire Dogwood State Bank (OTCPK:DSBX) for approximately $500 million on August 19, 2025. Under the terms of the merger agreement, common shareholders of Dogwood will receive a fixed exchange ratio of 0.700 shares of TowneBank common stock for each outstanding share of Dogwood common stock. This implies a deal value per share of $25.04 or approximately $476.2 million. Steve Jones will continue in a key leadership role within the combined company and will join TowneBank as President of its North Carolina and South Carolina banking operations, and be a member of the TowneBank Corporate Management team. The definitive agreement was approved by the boards of directors of TowneBank and Dogwood. The transaction is subject to customary conditions, including regulatory approval, as well as the approval of Dogwood’s shareholders. The transaction is expected to close in early 2026. Raymond James & Associates, Inc. served as the financial advisor and Wachtell, Lipton, Rosen & Katz served as legal counsel to TowneBank. Piper Sandler & Co. served as the financial advisor and Williams Mullen served as legal counsel to Dogwood. Duyuru • Jul 24
Townebank Reports Net Loan Charge-Offs for the Second Quarter Ended June 30, 2025 TowneBank reported net loan charge-offs for the second quarter ended June 30, 2025. For the quarter, Net loan charge-offs were $19,000 as compared to Net recoveries of $19,000 in the previous year. Duyuru • May 15
Townebank Announces Cash Dividend for the Second-Quarter, Payable on July 11, 2025 TowneBank announced that its Board of Directors declared its second-quarter shareholder cash dividend of $0.27 per common share payable on July 11, 2025, to shareholders of record on June 27, 2025. The quarterly common stock cash dividend of $0.27 per common share, or $1.08 per common share on an annual basis, is an 8% increase from the previous dividend rate. Duyuru • Apr 24
TowneBank Reports Net Loan Charge-Offs for the First Quarter Ended March 31, 2025 TowneBank reported net loan charge-offs for the first quarter ended March 31, 2025. Net loan charge-offs were $626,000 in the quarter compared to $520,000 in the prior year quarter and $382,000 in the linked quarter. Duyuru • Apr 03
TowneBank (NasdaqGS:TOWN) signed a definitive agreement and plan of merger to acquire Old Point Financial Corporation (NasdaqCM:OPOF) for approximately $200 million. TowneBank (NasdaqGS:TOWN) signed a definitive agreement and plan of merger to acquire Old Point Financial Corporation (NasdaqCM:OPOF) for approximately $200 million on April 2, 2025. Under the terms of the agreement, shareholders of Old Point will elect to receive either $41.00 in cash or 1.1400 shares of TowneBank common stock for each share of Old Point outstanding common stock. This corresponds to an aggregate transaction value of approximately $203 million, based on Old Point common stock currently outstanding. Old Point shareholders will have the right to elect cash or stock consideration so long as the total stock consideration issued represents between 50% and 60% of the total consideration paid. In consideration of the transaction, extensive due diligence was performed by the management teams of TowneBank and Old Point. The transaction is expected to close in the second half of 2025 and is subject to customary conditions, including regulatory approval, as well as the approval of Old Point’s shareholders. The definitive agreement was approved by the boards of directors of Old Point and TowneBank.
Piper Sandler & Co. served as the financial advisor and Wachtell, Lipton, Rosen & Katz served as lead legal counsel with Williams Mullen as local counsel to TowneBank in the transaction. Keefe, Bruyette & Woods served as the financial advisor and Troutman Pepper Locke LLP served as legal counsel to Old Point in the transaction. Duyuru • Apr 02
TowneBank (NasdaqGS:TOWN) completed the acquisition of Village Bank and Trust Financial Corp. (NasdaqCM:VBFC). TowneBank (NasdaqGS:TOWN) signed a definitive agreement and plan of reorganization to acquire Village Bank and Trust Financial Corp. (NasdaqCM:VBFC) for approximately $120 million on September 23, 2024. On August 21, 2024, TowneBank (NasdaqGS:TOWN) and Village Bank and Trust Financial Corp. (NasdaqCM:VBFC) executed a letter of intent. Under the terms of the agreement, shareholders of Village will receive $80.25 per share in cash for each share of Village outstanding common stock. This corresponds to an aggregate transaction value of approximately $120.0 million, based on Village common stock currently outstanding. The separate corporate existence of Village Bank thereupon shall cease, and Towne shall be the surviving corporation in the Merger. If the agreement is terminated by Village Bank, it is required to pay Towne the sum of $4.8 million termination fee.
The transaction is expected to close in the first half of 2025 and is subject to customary conditions, including regulatory approval, as well as the approval of Village’s shareholders. The boards of directors of each of TowneBank, Towne Merger Sub, Village and Village Bank have unanimously approved the Agreement. TowneBank expects the transaction to be approximately 6% accretive to earnings per share with fully phased-in cost savings on a GAAP basis. As of December 19, 2024, the Village Bank and Trust Financial shareholders approved the transaction. As of March 11, 2025, Federal Deposit Insurance Corporation and the Virginia State Corporation Commission have approved the transaction. In addition to the parties receiving all required regulatory approvals. The merger is expected to be completed at the beginning of April 2025.
Piper Sandler & Co. served as the financial advisor and Gregory F. Parisi and Seth A. Winter of Troutman Pepper Hamilton Sanders LLP served as legal counsel to TowneBank in the transaction. Janney Montgomery Scott served as the financial advisor and fairness opinion provider; and Benjamin A. McCall and Scott H. Richter of Williams Mullen served as legal counsel to Village in the transaction. Computershare, Inc. acted as transfer agent to TowneBank.
TowneBank (NasdaqGS:TOWN) completed the acquisition of Village Bank and Trust Financial Corp. (NasdaqCM:VBFC) on April 1, 2025. In connection with the merger, Frank E. Jenkins, Jr., a former director of Village, was appointed to the TowneBank board of directors, effective as of April 1, 2025. Duyuru • Feb 27
TowneBank Announces Cash Dividend for the First-Quarter, Payable on April 11, 2025 Hampton Roads based TowneBank announced that its Board of Directors declared its first-quarter shareholder cash dividend of $0.25 per common share payable on April 11, 2025, to shareholders of record on March 31, 2025. Duyuru • Jan 23
TowneBank, Annual General Meeting, May 14, 2025 TowneBank, Annual General Meeting, May 14, 2025. Location: virginia beach convention center, 1000 19th street in virginia beach, virginia United States Duyuru • Nov 28
TowneBank Declares Fourth-Quarter Cash Dividend, Payable on January 14, 2025 TowneBank announced that its Board of Directors declared its fourth-quarter shareholder cash dividend of $0.25 per common share payable on January 14, 2025, to shareholders of record on December 31, 2024. Recent Insider Transactions • Nov 10
Insider recently sold €396k worth of stock On the 6th of November, Jacqueline Amato sold around 12k shares on-market at roughly €32.99 per share. This transaction amounted to 10% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €1.0m more than they bought in the last 12 months. Duyuru • Oct 26
TowneBank Reports Net Charge Off for the Third Quarter Ended September 30, 2024 TowneBank reported net charge off for the third quarter ended September 30, 2024. Net loan charge-offs were $0.68 million in the quarter compared to net recoveries of $1.07 million in the prior year quarter. Reported Earnings • Oct 24
Third quarter 2024 earnings released: EPS: US$0.57 (vs US$0.60 in 3Q 2023) Third quarter 2024 results: EPS: US$0.57 (down from US$0.60 in 3Q 2023). Revenue: US$175.6m (up 2.2% from 3Q 2023). Net income: US$42.9m (down 4.3% from 3Q 2023). Profit margin: 25% (down from 26% in 3Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 2.9% growth forecast for the Banks industry in Europe. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Duyuru • Sep 26
TowneBank (NasdaqGS:TOWN) signed a definitive agreement and plan of reorganization to acquire Village Bank and Trust Financial Corp. (NasdaqCM:VBFC) for approximately $120 million. TowneBank (NasdaqGS:TOWN) signed a definitive agreement and plan of reorganization to acquire Village Bank and Trust Financial Corp. (NasdaqCM:VBFC) for approximately $120 million on September 23, 2024. Under the terms of the agreement, shareholders of Village will receive $80.25 per share in cash for each share of Village outstanding common stock. This corresponds to an aggregate transaction value of approximately $120.0 million, based on Village common stock currently outstanding. The separate corporate existence of Village Bank thereupon shall cease, and Towne shall be the surviving corporation in the Merger. If the agreement is terminated by Village Bank, it is required to pay Towne the sum of $4.8 million termination fee.
The transaction is expected to close in the first half of 2025 and is subject to customary conditions, including regulatory approval, as well as the approval of Village’s shareholders. The boards of directors of each of TowneBank, Towne Merger Sub, Village and Village Bank have unanimously approved the Agreement. TowneBank expects the transaction to be approximately 6% accretive to earnings per share with fully phased-in cost savings on a GAAP basis.
Piper Sandler & Co. served as the financial advisor and Gregory F. Parisi and Seth A. Winter of Troutman Pepper Hamilton Sanders LLP served as legal counsel to TowneBank in the transaction. Janney Montgomery Scott served as the financial advisor and fairness opinion provider; and Benjamin A. McCall and Scott H. Richter of Williams Mullen served as legal counsel to Village in the transaction. Upcoming Dividend • Sep 23
Upcoming dividend of US$0.25 per share Eligible shareholders must have bought the stock before 30 September 2024. Payment date: 11 October 2024. Payout ratio is a comfortable 49% and this is well supported by cash flows. Trailing yield: 2.9%. Lower than top quartile of German dividend payers (4.8%). Lower than average of industry peers (6.4%). Declared Dividend • Sep 02
Second quarter dividend of US$0.25 announced Shareholders will receive a dividend of US$0.25. Ex-date: 30th September 2024 Payment date: 11th October 2024 Dividend yield will be 3.0%, which is lower than the industry average of 4.8%. Sustainability & Growth The dividend has increased by an average of 9.6% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. EPS is expected to grow by 16% over the next year, which should provide support to the dividend and adequate earnings cover. Duyuru • Aug 29
Townebank Announces Quarterly Cash Dividend, Payable on October 11, 2024 TowneBankannounced that its Board of Directors declared its third-quarter shareholder cash dividend of $0.25 per common share payable on October 11, 2024, to shareholders of record on September 30, 2024. Recent Insider Transactions • Aug 01
Insider recently sold €281k worth of stock On the 29th of July, J. Davis sold around 9k shares on-market at roughly €31.03 per share. This transaction amounted to 22% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €443k more than they bought in the last 12 months. Reported Earnings • Jul 25
Second quarter 2024 earnings released: EPS: US$0.57 (vs US$0.56 in 2Q 2023) Second quarter 2024 results: EPS: US$0.57 (up from US$0.56 in 2Q 2023). Revenue: US$175.1m (down 1.6% from 2Q 2023). Net income: US$42.9m (up 2.7% from 2Q 2023). Profit margin: 25% (up from 23% in 2Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 9.8% p.a. on average during the next 2 years, compared to a 3.3% growth forecast for the Banks industry in Europe. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. New Risk • Jun 07
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: €273k This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. This is currently the only risk that has been identified for the company. Declared Dividend • Jun 02
First quarter dividend of US$0.25 announced Shareholders will receive a dividend of US$0.25. Ex-date: 28th June 2024 Payment date: 12th July 2024 Dividend yield will be 3.8%, which is lower than the industry average of 4.8%. Sustainability & Growth The dividend has increased by an average of 9.6% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. EPS is expected to grow by 13% over the next year, which should provide support to the dividend and adequate earnings cover. Duyuru • May 31
TowneBank Announces Second-Quarter Cash Dividend, Payable on July 12, 2024 TowneBank announced that its Board of Directors declared its second-quarter shareholder cash dividend of $0.25 per common share payable on July 12, 2024, to shareholders of record on June 28, 2024. Recent Insider Transactions • May 21
Insider recently sold €217k worth of stock On the 14th of May, J. Davis sold around 9k shares on-market at roughly €25.41 per share. This transaction amounted to 17% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger sale from another insider worth €415k. Insiders have been net sellers, collectively disposing of €267k more than they bought in the last 12 months. Recent Insider Transactions • May 16
Insider recently sold €217k worth of stock On the 14th of May, J. Davis sold around 9k shares on-market at roughly €25.41 per share. This transaction amounted to 17% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger sale from another insider worth €415k. Insiders have been net sellers, collectively disposing of €267k more than they bought in the last 12 months. Reported Earnings • Apr 25
First quarter 2024 earnings released: EPS: US$0.46 (vs US$0.52 in 1Q 2023) First quarter 2024 results: EPS: US$0.46 (down from US$0.52 in 1Q 2023). Revenue: US$168.0m (down 2.6% from 1Q 2023). Net income: US$34.7m (down 9.5% from 1Q 2023). Profit margin: 21% (down from 22% in 1Q 2023). Revenue is forecast to grow 8.0% p.a. on average during the next 2 years, compared to a 3.4% growth forecast for the Banks industry in Europe. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Duyuru • Mar 28
Townebank Announces Retirement of Jacqueline B. Amato and Bradford L. Cherry as Members of Board of Directors TowneBank announced that two long-serving members of its Board of Directors, Jacqueline B. Amato and Bradford L. Cherry, will step down from the Board and move to Emeritus status following the 2024 Annual Meeting of Shareholders. Cherry is a founding director of TowneBank, having served as a director since TowneBank’s opening in 1999. Amato joined TowneBank in 2000 to lead its successful entry into the residential mortgage lending business and was appointed to the Board that same year. Upcoming Dividend • Mar 20
Upcoming dividend of US$0.25 per share Eligible shareholders must have bought the stock before 27 March 2024. Payment date: 12 April 2024. Payout ratio is a comfortable 48% and this is well supported by cash flows. Trailing yield: 3.8%. Lower than top quartile of German dividend payers (5.0%). Lower than average of industry peers (6.6%). Recent Insider Transactions • Mar 12
Independent Director recently sold €415k worth of stock On the 7th of March, Elizabeth Robertson sold around 16k shares on-market at roughly €25.28 per share. This transaction amounted to 21% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €607k more than they bought in the last 12 months. Duyuru • Mar 12
TowneBank, Annual General Meeting, May 22, 2024 TowneBank, Annual General Meeting, May 22, 2024, at 11:30 US Eastern Standard Time. Location: Virginia Beach Convention Center 1000 19th Street Virginia Beach, Virginia Virginia United States Duyuru • Mar 06
TowneBank Appoints Sachin Shetty to the Board of Directors TowneBank has appointed Sachin Shetty, Ph.D., to its Board of Directors. Dr. Shetty is an Executive Director for the Center for Secure and Intelligent Critical Systems and Professor with the Electrical and Computer Engineering Department at Old Dominion University, where he leads a research team focused on developing and integrating secure and intelligent technologies designed to ensure safe, reliable, and resilient critical infrastructure. Dr. Shetty, whose research interests lie at the intersection of computer networking, network security and machine learning, has published over 300 research articles. Dr. Shetty received his Ph.D. in Modeling and Simulation from ODU, his Master of Science in Computer Science from the University of Toledo, and a Bachelor’s degree in Computer Engineering from Mumbai University. Declared Dividend • Mar 04
Fourth quarter dividend of US$0.25 announced Shareholders will receive a dividend of US$0.25. Ex-date: 27th March 2024 Payment date: 12th April 2024 Dividend yield will be 3.8%, which is lower than the industry average of 4.8%. Sustainability & Growth Dividend is well covered by earnings (48% payout ratio) and is expected to be well covered in 3 years' time (42% forecast payout ratio). The dividend has increased by an average of 11% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. EPS is expected to grow by 20% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Mar 04
Full year 2023 earnings released: EPS: US$2.06 (vs US$2.61 in FY 2022) Full year 2023 results: EPS: US$2.06 (down from US$2.61 in FY 2022). Revenue: US$675.4m (flat on FY 2022). Net income: US$153.7m (down 19% from FY 2022). Profit margin: 23% (down from 28% in FY 2022). Net interest margin (NIM): 3.06% (down from 3.10% in FY 2022). Cost-to-income ratio: 69.4% (up from 62.7% in FY 2022). Non-performing loans: 0.06% (no change from 0.06% in FY 2022). Revenue is forecast to grow 6.6% p.a. on average during the next 2 years, compared to a 2.9% growth forecast for the Banks industry in Europe. Over the last 3 years on average, earnings per share has fallen by 5% per year whereas the company’s share price has fallen by 1% per year. Duyuru • Feb 29
TowneBank Declares First-Quarter Cash Dividend, Payable on April 12, 2024 TowneBank announced that its Board of Directors declared its first-quarter shareholder cash dividend of $0.25 per common share payable on April 12, 2024, to shareholders of record on March 29, 2024. Reported Earnings • Jan 26
Full year 2023 earnings released: EPS: US$2.06 (vs US$2.61 in FY 2022) Full year 2023 results: EPS: US$2.06 (down from US$2.61 in FY 2022). Revenue: US$675.4m (flat on FY 2022). Net income: US$153.7m (down 19% from FY 2022). Profit margin: 23% (down from 28% in FY 2022). Revenue is forecast to grow 5.4% p.a. on average during the next 2 years, compared to a 1.9% growth forecast for the Banks industry in Europe. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 11% per year, which means it is well ahead of earnings. Buy Or Sell Opportunity • Jan 25
Now 21% undervalued Over the last 90 days, the stock has risen 27% to €26.40. The fair value is estimated to be €33.37, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.0% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 6.8% in 2 years. Earnings are forecast to decline by 3.2% in the next 2 years. Buying Opportunity • Jan 09
Now 21% undervalued Over the last 90 days, the stock is up 23%. The fair value is estimated to be €33.22, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.0% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 6.8% in 2 years. Earnings is forecast to decline by 3.2% in the next 2 years. Upcoming Dividend • Dec 21
Upcoming dividend of US$0.25 per share at 3.3% yield Eligible shareholders must have bought the stock before 28 December 2023. Payment date: 12 January 2024. Payout ratio is a comfortable 41% and this is well supported by cash flows. Trailing yield: 3.3%. Lower than top quartile of German dividend payers (5.1%). Lower than average of industry peers (6.2%). Recent Insider Transactions • Dec 18
Insider recently sold €271k worth of stock On the 14th of December, J. Davis sold around 10k shares on-market at roughly €27.12 per share. This transaction amounted to 17% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €745k more than they bought in the last 12 months. Duyuru • Nov 29
TowneBank Announces Quarterly Cash Dividend, Payable on January 12, 2024 TowneBank announced that its Board of Directors declared its fourth-quarter shareholder cash dividend of $0.25 per common share payable on January 12, 2024, to shareholders of record on December 29, 2023. New Risk • Nov 06
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: €277k This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. Currently, the following risks have been identified for the company: Minor Risks Shareholders have been diluted in the past year (2.7% increase in shares outstanding). Significant insider selling over the past 3 months (€277k sold). Recent Insider Transactions • Nov 06
Insider recently sold €263k worth of stock On the 3rd of November, J. Davis sold around 11k shares on-market at roughly €23.80 per share. This transaction amounted to 16% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €698k more than they bought in the last 12 months. Duyuru • Oct 28
TowneBank to Report Q3, 2023 Results on Oct 26, 2023 TowneBank announced that they will report Q3, 2023 results on Oct 26, 2023 Reported Earnings • Oct 27
Third quarter 2023 earnings released: EPS: US$0.60 (vs US$0.69 in 3Q 2022) Third quarter 2023 results: EPS: US$0.60 (down from US$0.69 in 3Q 2022). Revenue: US$171.9m (down 2.0% from 3Q 2022). Net income: US$44.9m (down 11% from 3Q 2022). Profit margin: 26% (down from 29% in 3Q 2022). The decrease in margin was primarily driven by lower revenue. Revenue is forecast to grow 2.4% p.a. on average during the next 2 years, compared to a 3.5% growth forecast for the Banks industry in Europe. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 11% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Sep 21
Upcoming dividend of US$0.25 per share at 4.3% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 13 October 2023. Payout ratio is a comfortable 39% and this is well supported by cash flows. Trailing yield: 4.3%. Lower than top quartile of German dividend payers (4.8%). Lower than average of industry peers (6.0%). Duyuru • Aug 24
TowneBank Declares Cash Dividend for the Third-Quarter, Payable on October 13, 2023 TowneBank announced that its Board of Directors declared its third-quarter shareholder cash dividend of $0.25 per common share payable on October 13, 2023, to shareholders of record on September 29, 2023. Reported Earnings • Jul 28
Second quarter 2023 earnings released: EPS: US$0.56 (vs US$0.64 in 2Q 2022) Second quarter 2023 results: EPS: US$0.56 (down from US$0.64 in 2Q 2022). Revenue: US$178.0m (up 6.6% from 2Q 2022). Net income: US$41.7m (down 10% from 2Q 2022). Profit margin: 23% (down from 28% in 2Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.4% p.a. on average during the next 2 years, compared to a 4.0% growth forecast for the Banks industry in Europe. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has increased by 16% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Jun 22
Upcoming dividend of US$0.25 per share at 4.1% yield Eligible shareholders must have bought the stock before 29 June 2023. Payment date: 14 July 2023. Payout ratio is a comfortable 37% and this is well supported by cash flows. Trailing yield: 4.1%. Lower than top quartile of German dividend payers (4.7%). Lower than average of industry peers (6.1%). Duyuru • Jun 14
TowneBank Appoints Ernest Piccioli as Chief Risk Officer TowneBank has named Ernest Piccioli, a former executive at Truist Financial Corp. as its new chief risk officer and senior executive vice president. Piccioli started his role in May and is now based at TowneBank's headquarters in Suffolk, Virginia. He was a Charlotte-based banker for decades. Piccioli is responsible for the effective governance of risk programs for TowneBank and oversees the risk management, vendor management, credit review and appraisal services He has more than three decades of risk management experience, including most recently serving as a business-unit chief risk officer for retail and small business banking at Charlotte-based Truist. Piccioli had also previously worked at Winston-Salem-based BB&T, which merged with Atlanta-based SunTrust in late 2019 to form Truist. Piccioli replaces John Wallace, who was formerly promoted as TowneBank's chief risk officer in October of last year. Piccioli earned his bachelor's degree in business management and economics from N.C. State and an MBA at Wake Forest University. He has remained active in the community throughout his career by serving as a member of the Risk Management Association's Lending and Credit Risk Professionals group and the Consumer Bankers Association Risk Committee. Recent Insider Transactions • May 28
Insider recently bought €81k worth of stock On the 23rd of May, John Lawson bought around 4k shares on-market at roughly €22.48 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger purchase from another insider worth €234k. Despite this recent purchase, insiders have collectively sold €1.3m more in shares than they bought in the last 12 months. Duyuru • May 25
TowneBank Declares Second-Quarter Shareholder Cash Dividend, Payable on July 14, 2023 TowneBank announced that its Board of Directors declared its second-quarter shareholder cash dividend of $0.25 per common share payable on July 14, 2023, to shareholders of record on June 30, 2023. The quarterly common stock cash dividend of $0.25 per common share, or $1.00 per common share on an annual basis, is an 8.7% increase from the previous dividend rate. Recent Insider Transactions • May 11
Independent Director recently bought €118k worth of stock On the 8th of May, William Lewis bought around 6k shares on-market at roughly €20.69 per share. This transaction amounted to 3.3% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger purchase worth €234k. Despite this recent purchase, insiders have collectively sold €874k more in shares than they bought in the last 12 months. Upcoming Dividend • Mar 22
Upcoming dividend of US$0.23 per share at 3.3% yield Eligible shareholders must have bought the stock before 29 March 2023. Payment date: 12 April 2023. Trailing yield: 3.3%. Lower than top quartile of German dividend payers (4.8%). Lower than average of industry peers (6.3%). Recent Insider Transactions • Mar 05
Insider recently bought €58k worth of stock On the 28th of February, Aubrey Layne bought around 2k shares on-market at roughly €28.83 per share. This trade did not impact their existing holding. This was the largest purchase by an insider in the last 3 months. Despite this recent purchase, insiders have collectively sold €835k more in shares than they bought in the last 12 months. Recent Insider Transactions • Feb 20
Insider recently sold €444k worth of stock On the 14th of February, Brad Schwartz sold around 16k shares on-market at roughly €27.95 per share. This transaction amounted to 19% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger sale from another insider worth €468k. Insiders have been net sellers, collectively disposing of €1.0m more than they bought in the last 12 months. Recent Insider Transactions • Feb 10
Senior EVP recently sold €52k worth of stock On the 1st of February, William Littreal sold around 2k shares on-market at roughly €27.85 per share. This transaction amounted to 2.4% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger sale from another insider worth €468k. William has been a net seller over the last 12 months, reducing personal holdings by €170k. Recent Insider Transactions • Feb 06
Senior EVP recently sold €52k worth of stock On the 1st of February, William Littreal sold around 2k shares on-market at roughly €27.85 per share. This transaction amounted to 2.4% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger sale from another insider worth €255k. William has been a net seller over the last 12 months, reducing personal holdings by €596k. Reported Earnings • Jan 27
Full year 2022 earnings released: EPS: US$2.60 (vs US$2.97 in FY 2021) Full year 2022 results: EPS: US$2.60 (down from US$2.97 in FY 2021). Revenue: US$678.3m (down 2.7% from FY 2021). Net income: US$189.0m (down 12% from FY 2021). Profit margin: 28% (down from 31% in FY 2021). The decrease in margin was primarily driven by lower revenue. Revenue is forecast to grow 7.6% p.a. on average during the next 2 years, compared to a 5.2% growth forecast for the Banks industry in Europe. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Duyuru • Jan 06
Townebank Names Clark as Chief Operating Officer TowneBank announce the promotion of R. Lee Clark to Chief Operating Officer. In this role, Clark will have responsibility for bank operations and continue to oversee human resources. He will also become a member of the corporate management team. With three decades of experience in financial services, Clark joined the TowneBank family in 2006 as a senior business analyst and went on to leadership roles in loan administrations and banking operations before taking over as chief human resources officer in 2019. He received a Bachelor of Business Administration in finance from the College of William & Mary and a Master of Business Administration from the Strome College of Business at Old Dominion University. Founded in 1999, TowneBank is a company built on relationships, offering a full range of banking and other financial services, with a focus of serving others and enriching lives. Dedicated to a culture of caring, Towne values all employees and members by embracing their diverse talents, perspectives, and experiences. Upcoming Dividend • Dec 22
Upcoming dividend of US$0.23 per share Eligible shareholders must have bought the stock before 29 December 2022. Payment date: 12 January 2023. Payout ratio is a comfortable 34% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of German dividend payers (5.1%). Lower than average of industry peers (6.1%). Duyuru • Nov 29
TowneBank Announces Quarterly Cash Dividend, Payable on January 12, 2023 TowneBank announced that its Board of Directors on November 23, 2022 declared its fourth-quarter shareholder cash dividend of $0.23 per common share payable on January 12, 2023 to shareholders of record on December 30, 2022. The amount and declaration of future cash dividends are subject to Board of Directors’ approval in addition to regulatory restrictions. Duyuru • Nov 24
TowneBank Announces Chief Executive Officer Changes TowneBank announced that Brad E. Schwartz, company's president and chief operating officer, will retire from the Company on December 31, 2022. Mr. Schwartz also plans to step down as a director of the Company when his current term expires at the 2023 annual meeting of shareholders. Following his retirement at year end, Mr. Schwartz will serve as a senior advisor through 2025 to ensure a smooth transition of his roles and responsibilities. Mr. Schwartz joined Towne in 2016 as chief operating officer with the merger of Monarch Bank, where he served as chief executive officer since 2009. Mr. Schwartz took on the role of president of the Company in July 2021. The Board of Directors approved the appointment of William (Billy) I. Foster III to succeed Mr. Schwartz as president, which will be in addition to his new position as chief executive officer when he succeeds J. Morgan Davis also at year end. Recent Insider Transactions • Nov 23
Insider recently sold €255k worth of stock On the 17th of November, Robert Oman sold around 8k shares on-market at roughly €31.14 per share. This transaction amounted to 17% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €1.3m more than they bought in the last 12 months. Recent Insider Transactions • Nov 06
Independent Director recently bought €279k worth of stock On the 31st of October, William Lewis bought around 9k shares on-market at roughly €32.85 per share. This transaction amounted to 5.6% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Despite this recent purchase, insiders have collectively sold €1.2m more in shares than they bought in the last 12 months. Recent Insider Transactions • Nov 03
Independent Director recently bought €279k worth of stock On the 31st of October, William Lewis bought around 9k shares on-market at roughly €32.85 per share. This transaction amounted to 5.6% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Despite this recent purchase, insiders have collectively sold €791k more in shares than they bought in the last 12 months. Reported Earnings • Oct 28
Third quarter 2022 earnings released: EPS: US$0.69 (vs US$0.69 in 3Q 2021) Third quarter 2022 results: EPS: US$0.69 (down from US$0.69 in 3Q 2021). Revenue: US$175.3m (up 2.1% from 3Q 2021). Net income: US$50.2m (flat on 3Q 2021). Profit margin: 29% (in line with 3Q 2021). Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Duyuru • Oct 12
TowneBank Announces Executive Changes TowneBank announced the creation of new roles to lead its banking teams in Virginia and North Carolina. As part of its new board-approved leadership plan, Brian Skinner will become the president and regional banking director for all markets in the state of Virginia and Northeastern North Carolina. Matt Davis will become the president and regional banking director for North Carolina, including the Triangle, Charlotte, Triad and Greenville markets. Additionally, Skinner, who has been with Towne since 2007, will have executive oversight for the specialty banking lines of real estate finance, commercial real estate finance, and automotive dealer finance. He most recently served as head of Towne Financial Services Group, which oversees the Company’s non-banking lines of business, including residential mortgage, insurance, real estate brokerage, wealth management and vacation property management. Previously, Skinner served as the Company’s chief banking officer and before that as president for the Peninsula and Williamsburg Virginia markets. A graduate of Christopher Newport University, his community work includes service on a wide variety of boards, including the Hampton Roads Economic Development Alliance, An Achievable Dream, and United Way of the Virginia Peninsula. Davis will lead Towne’s continued growth in its North Carolina markets, which are among the fastest growing for the Company and represent areas of focused expansion in the next decade. A North Carolina State University graduate, he brings nearly 30 years of banking experience to his role, having served previously as chief credit officer and chief operating officer at Paragon Bank, whose merger with TowneBank in 2018 gave the Company its entry into the North Carolina market. After the merger, Davis served as president of Paragon’s legacy North Carolina markets and was selected as the Company’s chief strategy and risk officer in 2019. Stepping into the role of chief risk officer with the shift in Davis’ responsibilities is John Wallace. Wallace joined the Towne family in 2019 as director of enterprise risk management with over three decades of experience designing and implementing operational risk management frameworks at major national financial institutions. A graduate of Miami University, Wallace is also a certified public accountant. Duyuru • Oct 06
TowneBank Appoints Dawn S. Glynn as Leader of the Bank’s New Corporate Services Group. as Chief Experience Officer TowneBank announced the selection of Dawn S. Glynn as the leader of the bank’s new Corporate Services Group. In her new role as Chief Experience Officer, she will have company-wide responsibility for executive oversight of human resources, marketing, private banking, retail banking, product development, and process improvement along with setting the standards for exquisite member and employee experiences. Glynn has more than 35 years of experience in banking. She attended Old Dominion University and is a graduate of Virginia Bankers Association School of Bank Management, American Bankers Association School of Private Banking and Wealth Management, and the Stonier Graduate School of Banking. With serving others as her hallmark, Glynn is a board member with many local organizations including United Way of South Hampton Roads and its Women’s Leadership Council, Suffolk Women’s Impact, Hampton Roads Chamber of Commerce, EVMS Foundation Board of Trustees, and Hampton Roads Community Foundation.Founded in 1999, TowneBank is a company built on relationships, offering a full range of banking and other financial services, with a focus of serving others and enriching lives. Dedicated to a culture of caring, Towne values all employees and members by embracing their diverse talents, perspectives, and experiences. Upcoming Dividend • Sep 22
Upcoming dividend of US$0.23 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 14 October 2022. Payout ratio is a comfortable 33% and this is well supported by cash flows. Trailing yield: 3.2%. Lower than top quartile of German dividend payers (5.1%). Lower than average of industry peers (6.3%). Recent Insider Transactions • Sep 16
Chief Information Officer recently sold €89k worth of stock On the 12th of September, Denys Diaz sold around 3k shares on-market at roughly €28.41 per share. This transaction amounted to 45% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €1.1m more than they bought in the last 12 months. Duyuru • Aug 27
TowneBank Announces Executive Changes TowneBank announced that its Board of Directors selected William (Billy) I. Foster, III to succeed J. Morgan Davis when he steps down as Chief Executive Officer on December 31, 2022. Mr. Davis, who plans to retire on March 31, 2023 after assisting with the transition process, will continue to serve on the Board of Directors of the Company and as an executive consultant focused on mergers and acquisitions, member relations and other special projects. This announcement follows a months-long process led by a special committee formed by the Board to direct the search for Mr. Davis' successor and to conduct a comprehensive review and assessment of the Company's long-term management succession plan for its senior leadership management structure. Mr. Foster joined the Towne family in 2004 as Regional President to lead the Bank's expansion into the Norfolk community. Since that time he has served in several executive roles, including his current role as President of the Bank's markets in Central Virginia and North Carolina. Prior to joining Towne, he served as the Eastern Region President of Central Fidelity Bank. Duyuru • Aug 25
TowneBank Announces Quarterly Cash Dividend, Payable on October 14, 2022 TowneBank announced that its Board of Directors on August 24, 2022 declared its third-quarter shareholder cash dividend of $0.23 per common sharepayable on October 14, 2022 to shareholders of record on September 30, 2022. Reported Earnings • Jul 29
Second quarter 2022 earnings released: EPS: US$0.64 (vs US$0.77 in 2Q 2021) Second quarter 2022 results: EPS: US$0.64 (down from US$0.77 in 2Q 2021). Revenue: US$166.9m (down 5.9% from 2Q 2021). Net income: US$46.5m (down 17% from 2Q 2021). Profit margin: 28% (down from 32% in 2Q 2021). Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Duyuru • Jul 29
Townebank Appoints Ted Wolfe to President of Townebank Charlotte TowneBank has appointed Ted Wolfe to president of TowneBank Charlotte. Wolfe brings over 30 years of industry experience to TowneBank, including nearly two decades of commercial and corporate banking in the Charlotte market. In his role as president, he will continue efforts to ensure an extraordinary experience for the members and the bank's ongoing growth and positive impact in the Charlotte region. He will be based at the SouthPark locationon Carnegie Boulevard. Wolfe is a graduate of Davidson College, as well as the North Carolina School of Banking. Over the course ofhis career, he has been active in his community, volunteering and serving on the board of directors for a numberof organizations, including Junior Achievement, the Salvation Army, and the Salvation Army Boys Girls Clubs.Additionally, Wolfe is active with his church and as a volunteer coach for youth basketball. Upcoming Dividend • Jun 22
Upcoming dividend of US$0.23 per share Eligible shareholders must have bought the stock before 29 June 2022. Payment date: 12 July 2022. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 3.3%. Lower than top quartile of German dividend payers (4.4%). Lower than average of industry peers (6.6%). Duyuru • May 27
TowneBank Announces Quarterly Cash Dividend, Payable on July 12, 2022 TowneBank announced that its Board of Directors on May 24, 2022 declared its second-quarter shareholder cash dividend of $0.23 per common share payable on July 12, 2022 to shareholders of record on June 30, 2022. The quarterly common stock cash dividend of $0.23 per common share, or $0.92 per common share on an annual basis, is a 15.0% increase from the previous dividend rate. Recent Insider Transactions • May 25
Independent Director recently bought €470k worth of stock On the 19th of May, William Lewis bought around 18k shares on-market at roughly €26.56 per share. In the last 3 months, they made an even bigger purchase worth €949k. Despite this recent purchase, insiders have collectively sold €1.0m more in shares than they bought in the last 12 months. Recent Insider Transactions • May 08
Independent Director recently bought €949k worth of stock On the 2nd of May, William Lewis bought around 36k shares on-market at roughly €26.37 per share. This was the largest purchase by an insider in the last 3 months. Despite this recent purchase, insiders have collectively sold €1.5m more in shares than they bought in the last 12 months. Reported Earnings • Apr 30
First quarter 2022 earnings released: EPS: US$0.63 (vs US$0.95 in 1Q 2021) First quarter 2022 results: EPS: US$0.63 (down from US$0.95 in 1Q 2021). Revenue: US$166.9m (down 11% from 1Q 2021). Net income: US$45.6m (down 34% from 1Q 2021). Profit margin: 27% (down from 37% in 1Q 2021). The decrease in margin was primarily driven by lower revenue. Over the next year, revenue is forecast to grow 2.0%, compared to a 8.9% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Duyuru • Apr 15
Townebank Announces Retirement of Directors TowneBank announced that three long-serving members of its Board of Directors, E. Lee Baynor, Thomas C. Broyles and F. Lewis Wood, will not stand for re-election and will transition to Emeritus status following the 2022 Annual Meeting of Shareholders. Upcoming Dividend • Mar 22
Upcoming dividend of US$0.20 per share Eligible shareholders must have bought the stock before 29 March 2022. Payment date: 08 April 2022. Payout ratio is a comfortable 26% and this is well supported by cash flows. Trailing yield: 2.6%. Lower than top quartile of German dividend payers (3.6%). Lower than average of industry peers (5.8%). Recent Insider Transactions • Mar 17
CEO & Director recently sold €288k worth of stock On the 14th of March, J. Davis sold around 10k shares on-market at roughly €28.79 per share. In the last 3 months, there was an even bigger sale from another insider worth €375k. J. has been a seller over the last 12 months, reducing personal holdings by €1.5m. Reported Earnings • Mar 02
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: US$2.97 (up from US$2.01 in FY 2020). Revenue: US$697.1m (up 17% from FY 2020). Net income: US$215.4m (up 48% from FY 2020). Profit margin: 31% (up from 24% in FY 2020). The increase in margin was driven by higher revenue. Net interest margin (NIM): 2.86% (down from 3.18% in FY 2020). Cost-to-income ratio: 59.8% (down from 60.3% in FY 2020). Non-performing loans: 0.06% (down from 0.12% in FY 2020). Revenue was in line with analyst estimates. Over the next year, revenue is expected to shrink by 4.8% compared to a 9.5% growth forecast for the banks industry in Germany. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth.