Recent Developments
During the second quarter of 2024, Butterfield continued to deliver strong returns with sustainable non-interest income, disciplined expense management, a stable balance sheet, and a conservative credit profile. The Bank’s capital management strategy produces consistent and attractive shareholder returns through quarterly cash dividends and active share repurchases, which includes a new share repurchase authorization. Growth through M&A remains a priority but, in the absence of a near term acquisition, excess capital will be allocated to support organic growth, dividends, and share repurchases.
On July 22nd, Stephen Cummings, a highly qualified and experienced financial services industry professional, joined the Board as an Independent Director. His long and successful career in banking and finance will further strengthen the Bank’s governance and financial expertise at the Board level.
Tangible book value per share improved by $0.58 or 3.0% this quarter to $20.03 per share.
The Bank maintained its balanced capital return policy. The Board again declared a quarterly dividend of $0.44 per common share to be paid on August 19, 2024 to shareholders of record on August 5, 2024. During the second quarter of 2024, Butterfield repurchased 1.1 million common shares under the Bank’s existing share repurchase program. On July 22, 2024, the Board approved a new share repurchase program authorizing the purchase of up to 2.1 million common shares through to December 31, 2024.
Capital Ratios
COMMON EQUITY TIER 1
31 Dec 2023 23.0%
TOTAL CAPITAL RATIO
31 Dec 2023 25.4%
Credit Ratings
Short-Term K1
Long-Term Senior A+
Short-Term P2
Long-Term Senior A3
Short-Term A2
Long-Term Senior BBB+