Overview

* BankUnited ( BKU ) Q2 net income rises 18% qtr/qtr, driven by strong NIDDA growth

* Company announces $100 mln share repurchase program

* Net interest income for Q2 grows 5.6% qtr/qtr, driven by higher loan yields

Outlook

* BankUnited ( BKU ) did not provide specific financial guidance for future quarters

* Company highlights strategic exits impacting C&I loan growth

* BankUnited ( BKU ) focuses on balance sheet strategy for loan portfolio

* Company plans new wholesale banking offices in Morristown, NJ and Charlotte, NC

Result Drivers

* NIDDA GROWTH - Non-interest bearing demand deposits grew by $1.0 bln, increasing to 32% of total deposits

* MARGIN EXPANSION - Net interest margin expanded by 0.12% to 2.93%

* LOAN PORTFOLIO - Total loans declined by $56 mln due to strategic exits and unscheduled payoffs in C&I loans

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 EPS $0.91

Q2 Net $68.77

Income mln

Q2 Net $246.10

Interest mln

Income

Q2 $15.70

Credit mln

Loss

Provisio

n

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the banks peer group is "buy."

* Wall Street's median 12-month price target for BankUnited Inc ( BKU ) is $41.00, about 5.6% above its July 22 closing price of $38.72

* The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)