DAMARISCOTTA, Maine - The First Bancorp (NASDAQ:FBNC) (NASDAQ: FNLC), parent company of First National Bank, has announced an increase in its quarterly cash dividend to 36 cents per share, marking a one-cent rise from the previous dividend. The upcoming payment, set for July 19, 2024, will be distributed to shareholders who are on record as of July 9, 2024.
Tony C. McKim, President & CEO of The First Bancorp, expressed satisfaction with the board's decision to enhance shareholder value through the dividend increase. The revised annualized dividend rate of $1.44 per share corresponds to a yield of 6.12%, based on the stock's closing price of $23.53 on June 26, 2024.
Established in 1864, First National Bank operates eighteen branches across various counties in Maine, providing a comprehensive suite of banking services to both consumer and commercial clients. Moreover, through First National Wealth Management, the bank offers investment management and trust services.
This dividend announcement is part of The First Bancorp's ongoing commitment to its shareholders and reflects the company's financial position and outlook. It should be noted that forward-looking statements related to the company's performance are subject to risks and uncertainties, which are detailed in filings with the Securities and Exchange Commission.
The information regarding The First Bancorp's dividend increase is based on a press release statement.
InvestingPro Insights
The recent dividend increase by The First Bancorp (NASDAQ: FNLC) is a testament to the company's consistent shareholder returns, as evidenced by the fact that FNLC has raised its dividend for 5 consecutive years. This pattern of reliability is further strengthened by the impressive streak of maintaining dividend payments for 26 consecutive years, a clear indicator of the company’s commitment to its shareholders.
Analyzing the company's financial metrics provides additional context to the dividend announcement. The First Bancorp's market capitalization stands at $268.72M, with a price-to-earnings (P/E) ratio of 9.65, which is slightly adjusted to 9.79 when considering the last twelve months as of Q1 2024. The company also boasts a robust operating income margin of 45.56% for the same period, demonstrating its efficiency in managing operations to generate profits.
Investors looking for additional insights into The First Bancorp's performance and valuation can find them with InvestingPro, which offers a comprehensive analysis including more InvestingPro Tips. For those interested in a deeper dive, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. There are a total of 4 additional InvestingPro Tips available for FNLC, which may further guide investment decisions.
While the company has shown a commitment to dividends, it's important to acknowledge the challenges in revenue growth, with a reported decrease of 12.74% over the last twelve months as of Q1 2024. Nevertheless, the company remains profitable and its dividend yield of 5.95% as of the most recent data point reflects a compelling income opportunity for investors.
With the next earnings date scheduled for July 17, 2024, investors and shareholders will be keenly watching The First Bancorp's performance as it continues to navigate the financial landscape and uphold its tradition of rewarding its shareholders.
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