Annual Review 2018

financial highlights

Total Assets

Pre-Tax Net Income

$200,000,000 $400,000,000 $600,000,000 $800,000,000 $1,000,000,000 $1,200,000,000 $1,400,000,000 $1,600,000,000 $1,800,000,000 $200,000,000 $400,000,000 $600,000,000 $800,000,000 $1,000,000,000 $1,200,000,000 $1,400,000,000 $1,600,000,000 $1,800,000,000 $500,000,000 $700,000,000 $900,000,000 $1,100,000,000 $1,300,000,000 $1,500,000,000 $1,700,000,000 $1,900,000,000 $2,100,000,000

$0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000

Total Assets

Pre-Tax Net Income

2014

2015

2016

2017

2018

2014

2015

2016

2017

2018

Total Loans

Total Loans originated ($ volume)

$200,000,000 $300,000,000 $400,000,000 $500,000,000 $600,000,000 $700,000,000 $800,000,000 $900,000,000 $1,000,000,000

Total Loans

Total Loans Originated ($ Volume)

2014

2015

2016

2017

2018

2014

2015

2016

2017

2018

Total deposits

Total classified assets

$16,000,000

$14,000,000

$12,000,000

$10,000,000

$8,000,000

$6,000,000

Total Deposits

$4,000,000

Total Classified Assets

$2,000,000

2014

2015

2016

2017

2018

2014

2015

2016

2017

2018

financial performance & growth Bridgewater achieved another year of strong financial performance while sustaining growth across all facets of the organization. For the year-ended December 31, 2018, Bridgewater earned a record pre-tax net income of $32.1 million, up 19% over 2017. Total consolidated assets reached $1.97 billion as of December 31, 2018, which was $357.1 million in growth over 2017’s year-end. This 22% growth in assets was driven by our largest earning asset, our loan portfolio, which reached $1.64 billion with $313.9 million in growth or 24% year-over-year. While real estate lending continues to be our niche and the primary source of loan growth in 2018, diversification within different types of real estate, as well as a broadening exposure in other asset classes such as commercial and industrial, was experienced.

Bridgewater continues to experience a reduction in the level of non-performing assets, indicating strong credit quality in the loan portfolio. At December 31, 2018, total non-performing assets represented 0.03% of total assets. On the liability side of the balance sheet, deposits were $1.56 billion, increasing $221.6 million or 17% as of December 31, 2018 compared to December 31, 2017. The strong growth is a testament to our strategic branch network and responsive support.

With such earnings momentum and solid capital levels, we are well positioned to continue strong growth and earnings in 2019.

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