Chesapeake Financial reports first quarter 2021 earnings of $5,262,879, a 56.3% increase over the first quarter of 2020

Chesapeake Financial Shares, Inc. (OTCQX:CPKF), the parent company of both Chesapeake Bank and Chesapeake Wealth Management has reported earnings for the first quarter of 2021 of $5,262,879, a 56.3% increase over the first quarter of 2020.   The reported earnings per share were $1.085 fully diluted compared to $0.679 fully diluted for the first quarter of 2020. Total assets ended the quarter at $1,238,292,086, a 30.2% increase over March 31, 2020.  READ: Chesapeake Financial Shares posts record earnings in 2020 thanks to asset growth and strong mortgage market The company said the large increases in both net income and total assets over the prior year were largely driven by governmental programs – both the Paycheck Protection Program (PPP) and other Federal stimulus payments. PPP fees of $1.87 million were recognized in the first quarter of 2021.   Non-performing assets also decreased to 1.026% on March 31, 2021, compared to 1.034% on December 31, 2020.   “Asset quality remains extremely good especially as we slowly come out of the pandemic and related shutdowns,” said Jeffrey M. Szyperski, chairman of the board & CEO of Chesapeake Financial. “Specialty lines of business have continued their recovery through the first quarter, and it is anticipated they will continue this same trend.  Mortgage operations continue at close to full capacity and have provided strong fee income," he added. At a meeting on April 16, 2021, Chesapeake Financial's board declared a quarterly dividend of $0.130 per share effective June 1, 2021, payable on or before June 15, 2021.   Currently the stock has a 2.14% dividend yield.  With a $0.005 increase last quarter, the company has continued a 29-year tradition of increasing dividends annually. Contact the author at jon.hopkins@proactiveinvestors.com