• CTBI's net income for Q3 2023 reached $20.6 million, marking an increase from $19.4 million in Q2 2023 and $19.4 million in Q3 2022.

• Earnings per share for Q3 2023 stood at $1.15, up from $1.09 in Q2 2023 and Q3 2022.

• Net interest income for the quarter was $43.1 million, slightly above the prior quarter but $0.4 million below the same quarter of the previous year.

• Noninterest income for Q3 2023 was $15.5 million, a 5.0% increase from the prior quarter and a 5.6% increase from the same quarter of the previous year.

• Warning! GuruFocus has detected 4 Warning Signs with UNF.

Community Trust Bancorp Inc (NASDAQ:CTBI) released its earnings report for the third quarter of 2023 on October 18, 2023. The company reported a net income of $20.6 million, or $1.15 per basic share, marking an increase from $19.4 million, or $1.09 per basic share, earned during the second quarter of 2023 and the third quarter of 2022. The total revenue was $0.8 million above the prior quarter and $0.4 million above the same quarter of the previous year.

Financial Performance Overview

CTBI's net interest income for the quarter stood at $43.1 million, a slight increase from the prior quarter but $0.4 million below the same quarter of the previous year. The company's net interest margin, on a fully tax equivalent basis, decreased 8 basis points from the prior quarter and 9 basis points from the same quarter of the previous year. The average earning assets increased $84.8 million from the prior quarter and $110.9 million from the same quarter of the previous year.

Noninterest income for the quarter ended September 30, 2023, was $15.5 million, a 5.0% increase from the prior quarter and a 5.6% increase from the same quarter of the previous year. The increase was primarily driven by a $0.3 million increase in deposit related fees, a $0.2 million increase in securities gains, and a $0.4 million increase in bank owned life insurance.

Balance Sheet and Asset Quality

CTBI's total assets as of September 30, 2023, stood at $5.6 billion, marking an increase of $114.1 million from June 30, 2023, and $160.6 million from September 30, 2022. Loans outstanding at the end of the quarter were $4.0 billion, an increase of $55.3 million from the end of the second quarter of 2023 and $354.4 million from the end of the third quarter of 2022.

The company's total nonperforming loans increased to $13.0 million at the end of the third quarter of 2023, up from $11.7 million at the end of the second quarter of 2023, but down from $13.7 million at the end of the third quarter of 2022. The company had net loan charge-offs of $1.2 million for the third quarter of 2023, compared to $0.7 million for the second quarter of 2023 and $0.3 million for the third quarter of 2022.