ConnectOne Bancorp, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>ConnectOne Bancorp's 2023 10-K reveals a decrease in net income and EPS, alongside significant asset and debt figures.</b>

AI Summary

ConnectOne Bancorp, Inc. (CNOBP) filed a Annual Report (10-K) with the SEC on February 23, 2024. ConnectOne Bancorp reported total assets of $8,001,504,000 for the fiscal year ended December 31, 2023. Net income for the year was $3,603,178, a decrease from $2,699,026 in the prior year. Earnings per share (EPS) were $0.371875, down from $0.48 in the previous year. The company's total debt was $1,259,364,000 as of December 31, 2023. Total revenue for the year was $41,942,149.

Why It Matters

For investors and stakeholders tracking ConnectOne Bancorp, Inc., this filing contains several important signals. The decline in net income and EPS suggests potential headwinds or increased expenses impacting profitability in the 2023 fiscal year. The substantial asset base and debt levels indicate the scale of ConnectOne Bancorp's operations and its financial leverage within the banking sector.

Risk Assessment

Risk Level: medium — ConnectOne Bancorp, Inc. shows moderate risk based on this filing. The filing indicates a decrease in net income and EPS, suggesting potential challenges in profitability or operational efficiency that could impact future performance.

Analyst Insight

Investors should monitor ConnectOne Bancorp's strategies for improving profitability and managing its debt levels in the upcoming fiscal year.

Key Numbers

• 8,001,504,000 — Total Assets (As of December 31, 2023.)
• 3,603,178 — Net Income (For the fiscal year ended December 31, 2023.)
• 0.371875 — EPS (For the fiscal year ended December 31, 2023.)
• 1,259,364,000 — Total Debt (As of December 31, 2023.)
• 41,942,149 — Total Revenue (For the fiscal year ended December 31, 2023.)
• 2,699,026 — Net Income (Prior Year) (For the fiscal year ended December 31, 2022.)
• 0.48 — EPS (Prior Year) (For the fiscal year ended December 31, 2022.)
• 39,243,123 — Total Revenue (Prior Year) (For the fiscal year ended December 31, 2022.)

Key Players & Entities

• ConnectOne Bancorp, Inc. (company) — Filer of the 10-K report.
• 2023-12-31 (date) — Fiscal year end date for the reported period.
• 2024-02-23 (date) — Filing date of the 10-K report.
• $8,001,504,000 (dollar_amount) — Total assets reported for the fiscal year ended December 31, 2023.
• $3,603,178 (dollar_amount) — Net income for the fiscal year ended December 31, 2023.
• $0.371875 (dollar_amount) — Earnings per share for the fiscal year ended December 31, 2023.
• $1,259,364,000 (dollar_amount) — Total debt as of December 31, 2023.
• $41,942,149 (dollar_amount) — Total revenue for the fiscal year ended December 31, 2023.

FAQ

Key Financial Figures

• $0.4 billion — ger, the Company acquired approximately $0.4 billion in loans, assumed approximately $0.4 bi
• $0.8 billion — ger, the Company acquired approximately $0.8 billion in loans and assumed approximately $0.8
• $5.2 million — oss proceeds of the trust securities in $5.2 million of junior subordinated deferrable inter
• $9.856 billion — rn financial services company with over $9.856 billion in assets. It operates primarily throug
• $80 million — aging Director) can approve loans up to $80 million in aggregate loan exposure with no poli
• $40 million — amounts without policy exceptions up to $40 million. The Senior Lending Group (Chief Execut
• $35 million — ending Officer) can approve loans up to $35 million in aggregate loan exposure with no poli
• $30 million — ure with no policy exceptions and up to $30 million with policy exceptions. Furthermore, th
• $10 million — amounts without policy exceptions up to $10 million and up to $5 million with an exception.
• $5 million — exceptions up to $10 million and up to $5 million with an exception. Loans to insiders mu
• $168.2 million — ance for credit losses) for most loans ($168.2 million) and 25% of the capital base for loans
• $280.3 million — cured by readily marketable collateral ($280.3 million). As of December 31, 2023, the Bank's l
• $173.6 m — p (to several affiliated borrowers) was $173.6 million, and the single largest loan outs
• $60.0 million — the single largest loan outstanding was $60.0 million. Our business model includes using ind
• $5,250 — pany will reimburse employees for up to $5,250 in tuition expense related to approved

Filing Documents

• cnob20231231_10k.htm (10-K) — 5219KB
• ex_558624.htm (EX-21.1) — 8KB
• ex_558625.htm (EX-23.1) — 3KB
• ex_558626.htm (EX-31.1) — 13KB
• ex_558627.htm (EX-31.2) — 13KB
• ex_558628.htm (EX-32) — 6KB
• ex_602967.htm (EX-97) — 17KB
• coneuniv.jpg (GRAPHIC) — 18KB
• connectone.jpg (GRAPHIC) — 13KB
• graph2023.jpg (GRAPHIC) — 76KB
• 0001437749-24-005370.txt (&nbsp;) — 23880KB
• cnob-20231231.xsd (EX-101.SCH) — 130KB
• cnob-20231231_cal.xml (EX-101.CAL) — 122KB
• cnob-20231231_def.xml (EX-101.DEF) — 937KB
• cnob-20231231_lab.xml (EX-101.LAB) — 779KB
• cnob-20231231_pre.xml (EX-101.PRE) — 1015KB
• cnob20231231_10k_htm.xml (XML) — 5902KB

Business

Business 5 Item 1A

Risk Factors

Risk Factors 21 Item 1B Unresolved Staff Comments 30 Item 1C Cybersecurity 31 Item 2

Properties

Properties 33 Item 3

Legal Proceedings

Legal Proceedings 33 Item 4 Mine Safety Disclosures 33 PART II Item 5 Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 34 Item 6 [Reserved] 36 Item 7

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 37 Item 7A

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 66 PART II Item 8

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data: 67 Report of Independent Registered Public Accounting Firm 68 Consolidated Statements of Financial Condition 71 Consolidated Statements of Income 72 Consolidated Statements of Comprehensive Income 73 Consolidated Statements of Changes in Stockholders' Equity 74 Consolidated Statements of Cash Flows 75

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 76 Item 9 Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 139 Item 9A

Controls and Procedures

Controls and Procedures 139 Item 9B Other Information 140 PART III Item 10 Directors, Executive Officers and Corporate Governance 141 Item 11

Executive Compensation

Executive Compensation 141 Item 12

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 141 Item 13 Certain Relationships and Related Transactions, and Director Independence 141 Item 14 Principal Accounting Fees and Services 141 PART IV Item 15 Exhibits, Financial Statements Schedules 142

Signatures

Signatures 145 Information included in or incorporated by reference in this Annual Report on Form 10-K, other filings with the Securities and Exchange Commission, the Company ' s press releases or other public statements, contain or may contain forward-looking statements. Please refer to a discussion of the Company ' s forward-looking statements and associated risks in " Item 1 - Business – Forward Looking Statements " and " Item 1A - Risk Factors " in this Annual Report on Form 10-K. Table of Contents CONNECTONE BANCORP, INC. FORM 10-K PART I

Forward Looking Statements

Forward Looking Statements This report, in Item 1, Item 7 and elsewhere, includes forward-looking statements within the meaning of Sections 27A of the Securities Act of 1933, as amended, and 21E of the Securities Exchange Act of 1934, as amended, that involve inherent risks and uncertainties. These forward-looking statements concern the financial condition, results of operations, plans, objectives, future performance and business of ConnectOne Bancorp, Inc. and its subsidiaries, including statements preceded by, followed by or that include words or phrases such as "believes," "expects," "anticipates," "plans," "trend," "objective," "continue," "remain," "pattern" or similar expressions or future or conditional verbs such as "will," "would," "should," "could," "might," "can," "may" or similar expressions. There are a number of important factors that could cause future results to differ materially from historical performance and these forward-looking statements. Factors that might cause such a difference include, but are not limited to: (1) the impact of the COVID-19 pandemic and the government's response to the pandemic on our operations as well as those of our clients and on the economy generally and in our market area specifically, (2) competitive pressures among depository institutions may increase significantly; (3) changes in the interest rate environment may reduce interest margins; (4) prepayment speeds, loan origination and sale volumes, charge-offs and loan loss provisions may vary substantially from period to period; (5) general economic conditions may be less favorable than expected; (6) political developments, wars or other hostilities may disrupt or increase volatility in securities markets or other economic conditions; (7) legislative or regulatory changes or actions may adversely affect the businesses in which ConnectOne Bancorp, Inc. is engaged; (8) changes and trends in the securities markets may adversely impact ConnectOne Bancorp, Inc.; (9) a del

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View this 10-K filing on SEC EDGAR