Independent Bank falls after office provision weighs on Q3 profit

Independent Bank (Massachusetts)

18/10/2024 19:13

** Shares of regional lender Independent Bank Corp  INDB.O 
fall as much as 5.1%; last down 4.5% at $62.15
    ** INDB late on Thursday reported Q3 profit of $1.01/shr vs
analysts' average expectation of $1.06/shr - LSEG data
    ** Q3 provision for credit losses more than tripled to $19.5
mln from a year earlier, driven by reserve allocation related to
one commercial real estate loan
    ** Vacant buildings and elevated interest rates have
resulted in late payments and defaults on loans behind offices 
and CRE properties 
    ** Piper Sandler says while problems in INDB's office loan
book are manageable, there could be more bumps in the road for
the bank on credit 
    ** The Rockland, Massachusetts-based bank's large CRE and
office loan portfolios has kept us on the sidelines recently -
Piper Sandler 
    ** As of last close, INDB shares down 1.1% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com;))