Overview

* TowneBank ( TOWN ) Q2 revenue grows 18.56%, beating analyst expectations, per LSEG data

* Adjusted EPS for Q2 beats consensus, driven by strategic acquisitions

* Company completed Village Bank acquisition, boosting loans and deposits

Outlook

* TowneBank expects tax rate to normalize in H2 2025

* Company anticipates earnings momentum from strategic partnerships

Result Drivers

* VILLAGE BANK ACQUISITION - Acquisition contributed $576.57 mln in loans and $637.49 mln in deposits

* LOAN GROWTH - Organic loan growth climbed nearly 5% on an annualized basis

* MARGIN EXPANSION - Net interest margin expanded 24 basis points, aided by Village Bank partnership

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $207.44 $200.70

Revenue mln mln (4

Analysts

)

Q2 Beat $0.81 $0.64 (4

Adjusted Analysts

EPS )

Q2 EPS $0.51

Q2 Net $39.27

Income mln

Q2 $134.19

Credit mln

Loss

Allowanc

e

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

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

* Wall Street's median 12-month price target for TowneBank ( TOWN ) is $38.50, about 7.3% above its July 22 closing price of $35.70

* The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 12 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.)