Central Pacific Financial Corp. (CPF, Financial)
Central Pacific Financial, based in Hawaii, maintained consistent performance even in the face of a disruptive economic environment. The company's most recent quarter saw revenue growth at its highest level since before the pandemic began. Management has attributed the company's success to the completion of their RISE2020 initiative which aimed to increase their digital presence and revitalize their ATMs and physical locations. The company's new online and mobile banking platforms have become popular ways for customers to meet their banking needs. Central Pacific has also been consolidating low-earning branches and their most recent consolidation is expected to bring annual expense savings of $1.8 million. Central Pacific has benefited from a relatively rapid recovery in the Hawaiian market as it has the 2nd lowest per capita COVID-19 case rate in the nation. The company's loan portfolio is diversified with consumers making up 55% of loans and commercial making up 45%. Central Pacific has strong annual free cash flow generation of $50 million and maintains nearly $100 million in cash on their balance sheet.
From Jeff Auxier (Trades, Portfolio)'s Auxier Asset Management first-quarter 2021 commentary.
