First Savings Financial Group, Inc. (NASDAQ: FSFG - news) (the
"Company"), the holding company for First Savings Bank (the
"Bank"), today reported net income of $13.6 million, or $1.98 per
diluted share, for the year ended September 30, 2024, compared to
net income of $8.2 million, or $1.19 per diluted share, for the
year ended September 30, 2023. The core banking segment reported
net income of $16.9 million, or $2.47 per diluted share for the
year ended September 30, 2024, compared to $14.9 million, or $2.18
per diluted share for the year ended September 30, 2023.
Commenting on the Company’s performance, Larry
W. Myers, President and CEO, stated “Fiscal 2024 was, in many ways,
a year of rebuilding, repositioning and refinement. A summary of
these enhancement actions is provided below. While we’re not
entirely pleased with the financial performance in fiscal 2024, we
are confident that the Company is well positioned to better perform
in fiscal 2025 and the years thereafter regardless of the economic
environment. For fiscal 2025 we’ll remain focused on core banking;
strong asset quality; selective high-quality lending; core deposit
growth; increased SBA lending volume; continued improvement of
liquidity, capital and interest rate sensitivity positions; and
strategic opportunities. We believe the efforts of fiscal 2024
along with the focus for fiscal 2025 will deliver enhanced
shareholder value. Additionally, we’ll continue to evaluate options
and strategies that we believe will further position the Company
for future success and deliver shareholder value.”
Net interest income decreased $3.5 million, or
5.7%, to $58.1 million for the year ended September 30, 2024 as
compared to the prior year. The tax equivalent net interest margin
for the year ended September 30, 2024 was 2.68% as compared to
3.10% for the prior year. The decrease in net interest income was
due to a $22.3 million increase in interest expense, partially
offset by an $18.8 million increase in interest income. A table of
average balance sheets, including average asset yields and average
liability costs, is included at the end of this release.
The Company recognized a provision for credit
losses for loans of $3.5 million, a credit for unfunded lending
commitments of $421,000, and a provision for credit losses for
securities of $21,000 for the year ended September 30, 2024,
compared to a provision for loan losses of $2.6 million only for
the prior year. The provision for credit losses for loans increased
primarily due to loan growth and the effects of adopting the
Current Expected Credit Loss (CECL) methodology during the year
ended September 30, 2024. The Company recognized net charge-offs
totaling $527,000 during the year, of which $104,000 was related to
unguaranteed portions of SBA loans, compared to net charge-offs of
$1.1 million during the prior year, of which $872,000 was related
to unguaranteed portions of SBA loans. Nonperforming loans, which
consist of nonaccrual loans and loans over 90 days past due and
still accruing interest, increased $3.0 million from $13.9 million
at September 30, 2023 to $16.9 million at September 30, 2024.
Noninterest income decreased $12.8 million for
the year ended September 30, 2024 as compared to the prior year.
The decrease was due primarily to a $14.1 million decrease in
mortgage banking income due to the cessation of national mortgage
banking operations in the quarter ended December 31, 2023.
Noninterest expense decreased $23.2 million for
the year ended September 30, 2024 as compared to the prior year.
The decrease was due primarily to decreases in compensation and
benefits, data processing expense and other operating expenses of
$12.0 million, $2.2 million and $7.8 million, respectively. The
decrease in compensation and benefits expense was due primarily to
a reduction in staffing related to the cessation of national
mortgage banking operations in the quarter ended December 31, 2023.
The decrease in data processing expense was due primarily to
expenses recognized in the prior year related to the implementation
of the new core operating system in August 2023. The decrease in
other operating expense was due primarily to a $1.9 decrease in net
loss on captive insurance operations due to the dissolution of the
captive insurance company in September 2023; a decrease in loss
contingency accrual for SBA-guaranteed loans of $754,000 in 2024
compared to an increase of $1.5 million in 2023; a decrease in the
loss contingency accrual for restitution to mortgage borrowers of
$283,000 in 2024 compared to an increase of $609,000 in 2023; and a
decrease of $853,000 in loan expense for 2024 as compared to 2023
due primarily to lower mortgage loan originations related to the
cessation of national mortgage banking operations in the quarter
ended December 31, 2023.
The Company recognized income tax expense of
$1.0 million for the year ended September 30, 2024 compared to tax
expense of $10,000 for the prior year. The increase is primarily
due to higher taxable income in the 2024 period. The effective tax
rate for 2024 was 7.0%, which was an increase from the effective
tax rate of 0.1% in 2023. The effective tax rate is well below the
statutory tax rate primarily due to the recognition of investment
tax credits related to solar projects in both the 2024 and 2023
periods.
The Company reported net income of $3.7 million,
or $0.53 per diluted share, for the three months ended September
30, 2024, compared to a net loss of $747,000, or $0.11 per diluted
share, for the three months ended September 30, 2023. The core
banking segment reported net income of $4.1 million, or $0.60 per
diluted share, for the three months ended September 30, 2024,
compared to $2.3 million, or $0.33 per diluted share, for the three
months ended September 30, 2023.
Net interest income decreased $459,000, or 3.0%,
to $15.1 million for the three months ended September 30, 2024 as
compared to the same period in 2023. The tax equivalent net
interest margin was 2.72% for the three months ended September 30,
2024 as compared to 3.03% for the same period in 2023. The decrease
in net interest income was due to a $4.5 million increase in
interest expense, partially offset by a $4.1 million increase in
interest income. A table of average balance sheets, including
average asset yields and average liability costs, is included at
the end of this release.
The Company recognized a provision for credit
losses for loans of $1.8 million, a credit for unfunded lending
commitments of $262,000, and a credit for credit losses for
securities of $86,000 for the three months ended September 30,
2024, compared to a provision for loan losses of $815,000 only for
the same period in 2023. The provision for credit losses for loans
increased primarily due to loan growth and the effects of adopting
the Current Expected Credit Loss (CECL) methodology during the year
ended September 30, 2024. The Company recognized net charge-offs
totaling $304,000 during the 2024 period, of which $120,000 was
related to unguaranteed portions of SBA loans, compared to net
charge-offs of $753,000 during the 2023 period, of which $609,000
was related to unguaranteed portions of SBA loans.
Noninterest income decreased $2.6 million for
the three months ended September 30, 2024 as compared to the same
period in 2023. The decrease was due primarily to a $3.0 million
decrease in mortgage banking income due to the cessation of
national mortgage banking operations in the quarter ended December
31, 2023.
Noninterest expense decreased $9.0 million for
the three months ended September 30, 2024 as compared to the same
period in 2023. The decrease was due primarily to decreases in
compensation and benefits expense, data processing expense, and
other operating expenses of $4.5 million, $1.5 million and $3.5
million, respectively. The decrease in compensation and benefits
expense was due primarily to a reduction in staffing related to the
cessation of national mortgage banking operations in the quarter
ended December 31, 2023. The decrease in data processing expense
was due primarily to expenses recognized in the prior year period
related to the implementation of the new core operating system in
August 2023. The decrease in other operating expense was due
primarily to a $978,000 decrease in the net loss on captive
insurance operations due to the dissolution of the captive
insurance company in September 2023; a decrease in loss contingency
accrual for SBA-guaranteed loans of $14,000 in 2024 compared to an
increase of $1.0 million in 2023; and a decrease of $270,000 in
loan expense for 2024 as compared to 2023 due primarily to lower
mortgage loan originations related to the cessation of the national
mortgage banking operations in the quarter ended December 31,
2023.
The Company recognized income tax expense of
$145,000 for the three months ended September 30, 2024 compared to
income tax benefit of $737,000 for the same period in 2023. The
increase was primarily due to higher taxable income in the 2024
period.
Total assets increased $161.5 million, from
$2.29 billion at September 30, 2023 to $2.45 billion at September
30, 2024. Net loans held for investment increased $193.6 million
during the year ended September 30, 2024 due primarily to growth in
residential real estate, residential construction, and commercial
real estate loans. Loans held for sale decreased by $20.1 million
from $45.9 million at September 30, 2023 to $25.7 million,
primarily due to the winddown of the national mortgage banking
operations. Residential mortgage loan servicing rights decreased
$59.8 million during the year ended September 30, 2024, due to the
sale of the entire residential mortgage loan servicing rights
portfolio during the year.
Total liabilities increased $135.4 million due
primarily to increases in total deposits of $199.1 million, which
included an increase in brokered deposits of $70.8 million,
partially offset by a decrease in FHLB borrowings of $61.5 million.
As of September 30, 2024, deposits exceeding the FDIC insurance
limit of $250,000 per insured account were 30.1% of total deposits
and 13.7% of total deposits when excluding public funds insured by
the Indiana Public Deposit Insurance Fund.
Common stockholders’ equity increased $26.1
million, from $151.0 million at September 30, 2023 to $177.1
million at September 30, 2024, due primarily to a $18.4 million
decrease in accumulated other comprehensive loss and an increase in
retained net income of $7.0 million. The decrease in accumulated
other comprehensive loss was due primarily to decreasing long term
market interest rates during the year ended September 30, 2024,
which resulted in an increase in the fair value of securities
available for sale. At September 30, 2024 and September 30, 2023,
the Bank was considered “well-capitalized” under applicable
regulatory capital guidelines.
First Savings Bank is an entrepreneurial
community bank headquartered in Jeffersonville, Indiana, which is
directly across the Ohio River from Louisville, Kentucky, and
operates fifteen depository branches within Southern Indiana. The
Bank also has two national lending programs, including
single-tenant net lease commercial real estate and SBA lending,
with offices located predominately in the Midwest. The Bank is a
recognized leader, both in its local communities and nationally for
its lending programs. The employees of First Savings Bank strive
daily to achieve the organization’s vision, We Expect To Be The
BEST community BANK, which fuels our success. The Company’s common
shares trade on The NASDAQ Stock Market under the symbol
“FSFG.”
This release may contain forward-looking
statements within the meaning of the federal securities laws. These
statements are not historical facts; rather, they are statements
based on the Company's current expectations regarding its business
strategies and their intended results and its future performance.
Forward-looking statements are preceded by terms such as "expects,"
"believes," "anticipates," "intends" and similar expressions.
Forward-looking statements are not guarantees of
future performance. Numerous risks and uncertainties could cause or
contribute to the Company's actual results, performance and
achievements to be materially different from those expressed or
implied by the forward-looking statements. Factors that may cause
or contribute to these differences include, without limitation,
changes in general economic conditions; changes in market interest
rates; changes in monetary and fiscal policies of the federal
government; legislative and regulatory changes; and other factors
disclosed periodically in the Company's filings with the Securities
and Exchange Commission.
Because of the risks and uncertainties inherent
in forward-looking statements, readers are cautioned not to place
undue reliance on them, whether included in this report or made
elsewhere from time to time by the Company or on its behalf. Except
as may be required by applicable law or regulation, the Company
assumes no obligation to update any forward-looking statements.
Contact: Tony A. Schoen, CPA Chief Financial
Officer 812-283-0724
| FIRST
SAVINGS FINANCIAL GROUP, INC. |
|
| CONSOLIDATED
FINANCIAL HIGHLIGHTS |
|
| (Unaudited) |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
Three Months
Ended |
|
Years
Ended |
|
|
|
|
OPERATING DATA: |
September 30, |
|
September 30, |
|
|
|
| (In
thousands, except share and per share data) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Total
interest income |
$ |
32,223 |
|
|
$ |
28,137 |
|
|
$ |
121,988 |
|
|
$ |
103,229 |
|
|
|
|
| Total
interest expense |
|
17,146 |
|
|
|
12,601 |
|
|
|
63,926 |
|
|
|
41,655 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Net interest
income |
|
15,077 |
|
|
|
15,536 |
|
|
|
58,062 |
|
|
|
61,574 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Provision
for credit losses - loans |
|
1,808 |
|
|
|
815 |
|
|
|
3,492 |
|
|
|
2,612 |
|
|
|
|
| Provision
(credit) for unfunded lending commitments |
|
(262 |
) |
|
|
- |
|
|
|
(421 |
) |
|
|
- |
|
|
|
|
| Provision
(credit) for credit losses - securities |
|
(86 |
) |
|
|
- |
|
|
|
21 |
|
|
|
- |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Total
provision for credit losses |
|
1,460 |
|
|
|
815 |
|
|
|
3,092 |
|
|
|
2,612 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Net interest
income after provision for credit losses |
|
13,617 |
|
|
|
14,721 |
|
|
|
54,970 |
|
|
|
58,962 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Total
noninterest income |
|
2,842 |
|
|
|
5,442 |
|
|
|
12,530 |
|
|
|
25,342 |
|
|
|
|
| Total
noninterest expense |
|
12,642 |
|
|
|
21,647 |
|
|
|
52,890 |
|
|
|
76,122 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Income
(loss) before income taxes |
|
3,817 |
|
|
|
(1,484 |
) |
|
|
14,610 |
|
|
|
8,182 |
|
|
|
|
| Income tax
expense (benefit) |
|
145 |
|
|
|
(737 |
) |
|
|
1,018 |
|
|
|
10 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Net income
(loss) |
$ |
3,672 |
|
|
$ |
(747 |
) |
|
$ |
13,592 |
|
|
$ |
8,172 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Net income
(loss) per share, basic |
$ |
0.54 |
|
|
$ |
(0.11 |
) |
|
$ |
1.99 |
|
|
$ |
1.19 |
|
|
|
|
| Weighted
average shares outstanding, basic |
|
6,833,376 |
|
|
|
6,817,365 |
|
|
|
6,830,466 |
|
|
|
6,848,311 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Net income
(loss) per share, diluted |
$ |
0.53 |
|
|
$ |
(0.11 |
) |
|
$ |
1.98 |
|
|
$ |
1.19 |
|
|
|
|
| Weighted
average shares outstanding, diluted |
|
6,877,518 |
|
|
|
6,837,919 |
|
|
|
6,856,520 |
|
|
|
6,880,072 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Performance
ratios (annualized) |
|
|
|
|
|
|
|
|
|
|
|
Return on average assets |
|
0.61 |
% |
|
|
(0.13 |
%) |
|
|
0.58 |
% |
|
|
0.37 |
% |
|
|
|
|
Return on average equity |
|
8.52 |
% |
|
|
(1.82 |
%) |
|
|
8.31 |
% |
|
|
5.04 |
% |
|
|
|
|
Return on average common stockholders' equity |
|
8.52 |
% |
|
|
(1.82 |
%) |
|
|
8.31 |
% |
|
|
5.04 |
% |
|
|
|
|
Net interest margin (tax equivalent basis) |
|
2.72 |
% |
|
|
3.03 |
% |
|
|
2.68 |
% |
|
|
3.10 |
% |
|
|
|
|
Efficiency ratio |
|
70.55 |
% |
|
|
103.19 |
% |
|
|
74.92 |
% |
|
|
87.58 |
% |
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
QTD |
|
|
|
FYTD |
|
|
FINANCIAL CONDITION DATA: |
September
30, |
|
June
30, |
|
Increase |
|
September
30, |
|
Increase |
|
| (In
thousands, except per share data) |
|
2024 |
|
|
|
2024 |
|
|
(Decrease) |
|
|
2023 |
|
|
(Decrease) |
|
| |
|
|
|
|
|
|
|
|
|
|
| Total
assets |
$ |
2,450,368 |
|
|
$ |
2,393,491 |
|
|
$ |
56,877 |
|
|
$ |
2,288,854 |
|
|
$ |
161,514 |
|
|
| Cash and
cash equivalents |
|
52,142 |
|
|
|
42,423 |
|
|
|
9,719 |
|
|
|
30,845 |
|
|
|
21,297 |
|
|
| Investment
securities |
|
249,719 |
|
|
|
238,785 |
|
|
|
10,934 |
|
|
|
229,039 |
|
|
|
20,680 |
|
|
| Loans held
for sale |
|
25,716 |
|
|
|
125,859 |
|
|
|
(100,143 |
) |
|
|
45,855 |
|
|
|
(20,139 |
) |
|
| Gross
loans |
|
1,985,146 |
|
|
|
1,846,769 |
|
|
|
138,377 |
|
|
|
1,787,143 |
|
|
|
198,003 |
|
|
| Allowance
for credit losses (1) |
|
21,294 |
|
|
|
19,789 |
|
|
|
1,505 |
|
|
|
16,900 |
|
|
|
4,394 |
|
|
| Interest
earning assets |
|
2,277,512 |
|
|
|
2,239,109 |
|
|
|
38,403 |
|
|
|
2,083,397 |
|
|
|
194,115 |
|
|
|
Goodwill |
|
9,848 |
|
|
|
9,848 |
|
|
|
- |
|
|
|
9,848 |
|
|
|
- |
|
|
| Core deposit
intangibles |
|
398 |
|
|
|
438 |
|
|
|
(40 |
) |
|
|
561 |
|
|
|
(163 |
) |
|
| Loan
servicing rights |
|
2,754 |
|
|
|
2,860 |
|
|
|
(106 |
) |
|
|
62,819 |
|
|
|
(60,065 |
) |
|
|
Noninterest-bearing deposits |
|
191,528 |
|
|
|
201,854 |
|
|
|
(10,326 |
) |
|
|
242,237 |
|
|
|
(50,709 |
) |
|
|
Interest-bearing deposits (customer) |
|
1,180,196 |
|
|
|
1,111,143 |
|
|
|
69,053 |
|
|
|
1,001,238 |
|
|
|
178,958 |
|
|
|
Interest-bearing deposits (brokered) |
|
509,157 |
|
|
|
399,151 |
|
|
|
110,006 |
|
|
|
438,319 |
|
|
|
70,838 |
|
|
| Federal Home
Loan Bank borrowings |
|
301,640 |
|
|
|
425,000 |
|
|
|
(123,360 |
) |
|
|
363,183 |
|
|
|
(61,543 |
) |
|
| Subordinated
debt and other borrowings |
|
48,603 |
|
|
|
48,563 |
|
|
|
40 |
|
|
|
48,444 |
|
|
|
159 |
|
|
| Total
liabilities |
|
2,273,253 |
|
|
|
2,225,491 |
|
|
|
47,762 |
|
|
|
2,137,873 |
|
|
|
135,380 |
|
|
| Accumulated
other comprehensive loss |
|
(11,195 |
) |
|
|
(17,415 |
) |
|
|
6,220 |
|
|
|
(29,587 |
) |
|
|
18,392 |
|
|
|
Stockholders' equity |
|
177,115 |
|
|
|
168,000 |
|
|
|
9,115 |
|
|
|
150,981 |
|
|
|
26,134 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Book value
per share |
$ |
25.72 |
|
|
$ |
24.41 |
|
|
|
$ |
1.31 |
|
|
$ |
21.99 |
|
|
$ |
3.73 |
|
|
| Tangible
book value per share - Non-GAAP (2) |
|
24.23 |
|
|
|
22.91 |
|
|
|
1.32 |
|
|
|
20.47 |
|
|
|
3.76 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Non-performing assets: |
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans - SBA guaranteed |
$ |
5,036 |
|
|
$ |
5,049 |
|
|
$ |
(13 |
) |
|
$ |
5,091 |
|
|
$ |
(55 |
) |
|
|
Nonaccrual loans |
|
11,906 |
|
|
|
11,705 |
|
|
|
201 |
|
|
|
8,857 |
|
|
|
3,049 |
|
|
|
Total nonaccrual loans |
$ |
16,942 |
|
|
$ |
16,754 |
|
|
$ |
188 |
|
|
$ |
13,948 |
|
|
$ |
2,994 |
|
|
|
Accruing loans past due 90 days |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
Total non-performing loans |
|
16,942 |
|
|
|
16,754 |
|
|
|
188 |
|
|
|
13,948 |
|
|
|
2,994 |
|
|
|
Foreclosed real estate |
|
444 |
|
|
|
444 |
|
|
|
- |
|
|
|
474 |
|
|
|
(30 |
) |
|
|
Troubled debt restructurings classified as performing loans |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
1,266 |
|
|
|
(1,266 |
) |
|
|
Total non-performing assets |
$ |
17,386 |
|
|
$ |
17,198 |
|
|
$ |
188 |
|
|
$ |
15,688 |
|
|
$ |
1,698 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Asset
quality ratios: |
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses as a percent of total gross loans |
|
1.07 |
% |
|
|
1.07 |
% |
|
|
0.00 |
% |
|
|
0.95 |
% |
|
|
0.13 |
% |
|
|
Allowance for credit losses as a percent of nonperforming
loans |
|
125.69 |
% |
|
|
118.12 |
% |
|
|
7.57 |
% |
|
|
121.16 |
% |
|
|
4.52 |
% |
|
|
Nonperforming loans as a percent of total gross loans |
|
0.85 |
% |
|
|
0.91 |
% |
|
|
(0.05 |
%) |
|
|
0.78 |
% |
|
|
0.07 |
% |
|
|
Nonperforming assets as a percent of total assets |
|
0.71 |
% |
|
|
0.72 |
% |
|
|
(0.01 |
%) |
|
|
0.69 |
% |
|
|
0.02 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) The Company
adopted ASU 2016-13 Topic 326 on October 1, 2023. Allowance was
determined using current expected credit loss methodology (CECL)
for the quarters ended September, June, and March 2024 and
December 2023. Allowance was determined using the previous incurred
loss methodology as of September 30, 2023. |
| (2) See reconciliation
of GAAP and non-GAAP financial measures for additional information
relating to calculation of these figures. |
| |
|
|
|
|
|
|
|
|
|
|
|
RECONCILIATION OF GAAP AND NON-GAAP FINANCIAL MEASURES
(UNAUDITED): |
|
|
|
|
|
|
|
|
| The following non-GAAP
financial measures used by the Company provide information useful
to investors in understanding the Company's performance. The
Company believes the financial measures presented below are
important because of their widespread use by investors as a means
to evaluate capital adequacy and earnings. The following table
summarizes the non-GAAP financial measures derived from amounts
reported in the evaluate capital adequacy and earnings. The
following table summarizes the non-GAAP financial measures derived
from amounts reported in the evaluate capital adequacy and
earnings. The following table summarizes the non-GAAP financial
measures derived from amounts reported in the Company's
consolidated financial statements and reconciles those non-GAAP
financial measures with the comparable GAAP financial
measures. |
| |
|
|
|
|
|
|
|
|
|
|
| |
Three Months
Ended |
|
Fiscal Year
Ended |
|
|
|
| |
September 30, |
|
September 30, |
|
|
|
| |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
|
| Net
Income (In thousands) |
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to the Company (non-GAAP) |
$ |
3,660 |
|
|
$ |
2,824 |
|
|
$ |
11,674 |
|
|
$ |
12,731 |
|
|
|
|
|
Plus: Reversal of contingent liability, net of tax effect |
|
- |
|
|
|
- |
|
|
|
212 |
|
|
|
- |
|
|
|
|
|
Plus: Record Visa Class C shares, net of tax effect |
|
15 |
|
|
|
- |
|
|
|
342 |
|
|
|
- |
|
|
|
|
|
Plus: Decrease in loss contingency for SBA-guaranteed loans, net of
tax effect |
|
- |
|
|
|
- |
|
|
|
492 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to MSR valuation allowance, net of tax effect |
|
- |
|
|
|
- |
|
|
|
583 |
|
|
|
- |
|
|
|
|
|
Plus: Gain (loss) on premises and equipment, net of tax effect |
|
(3 |
) |
|
|
- |
|
|
|
87 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to previous data processing contract termination
accrual, net of tax effect |
|
- |
|
|
|
- |
|
|
|
117 |
|
|
|
- |
|
|
|
|
|
Plus: Distribution from equity investment, net of tax effect |
|
- |
|
|
|
- |
|
|
|
85 |
|
|
|
- |
|
|
|
|
|
Plus: Gain from repurchase of subordinated debt, net of tax
effect |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
513 |
|
|
|
|
|
Less: Net loss on sales of available for sale securities and time
deposits, net of tax effect |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(429 |
) |
|
|
|
|
Less: Data processing system conversion, net of tax effect |
|
- |
|
|
|
(979 |
) |
|
|
- |
|
|
|
(1,119 |
) |
|
|
|
|
Less: MSR valuation allowance for intended sale, net of tax
effect |
|
- |
|
|
|
(598 |
) |
|
|
- |
|
|
|
(598 |
) |
|
|
|
|
Less: Loss contingency for SBA-guaranteed loans, net of tax
effect |
|
- |
|
|
|
(779 |
) |
|
|
- |
|
|
|
(1,160 |
) |
|
|
|
|
Less: Mortgage banking loss contingencies, net of tax effect |
|
- |
|
|
|
(296 |
) |
|
|
- |
|
|
|
(847 |
) |
|
|
|
|
Less: Professional fees related to mortgage banking loss
contingencies, net of tax effect |
|
- |
|
|
|
(919 |
) |
|
|
- |
|
|
|
(919 |
) |
|
|
|
|
Net income attributable to the Company (GAAP) |
$ |
3,672 |
|
|
$ |
(747 |
) |
|
$ |
13,592 |
|
|
$ |
8,172 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Net
Income per Share, Diluted |
|
|
|
|
|
|
|
|
|
|
|
Net income per share, diluted (non-GAAP) |
$ |
0.53 |
|
|
$ |
0.41 |
|
|
$ |
1.70 |
|
|
$ |
1.85 |
|
|
|
|
|
Plus: Reversal of contingent liability, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.03 |
|
|
|
- |
|
|
|
|
|
Plus: Record Visa Class C shares, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.05 |
|
|
|
- |
|
|
|
|
|
Plus: Decrease in loss contingency for SBA-guaranteed loans, net of
tax effect |
|
- |
|
|
|
- |
|
|
|
0.07 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to MSR valuation allowance, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.09 |
|
|
|
- |
|
|
|
|
|
Plus: Gain (loss) on premises and equipment, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.01 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to previous data processing contract termination
accrual, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.02 |
|
|
|
- |
|
|
|
|
|
Plus: Distribution from equity investment, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.01 |
|
|
|
- |
|
|
|
|
|
Plus: Gain from repurchase of subordinated debt, net of tax
effect |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
0.07 |
|
|
|
|
|
Less: Net loss on sales of available for sale securities and time
deposits, net of tax effect |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(0.06 |
) |
|
|
|
|
Less: Data processing system conversion, net of tax effect |
|
- |
|
|
|
(0.14 |
) |
|
|
- |
|
|
|
(0.16 |
) |
|
|
|
|
Less: MSR valuation allowance for intended sale, net of tax
effect |
|
- |
|
|
|
(0.09 |
) |
|
|
- |
|
|
|
(0.09 |
) |
|
|
|
|
Less: Loss contingency for SBA-guaranteed loans, net of tax
effect |
|
- |
|
|
|
(0.11 |
) |
|
|
- |
|
|
|
(0.17 |
) |
|
|
|
|
Less: Mortgage banking loss contingencies, net of tax effect |
|
- |
|
|
|
(0.05 |
) |
|
|
- |
|
|
|
(0.12 |
) |
|
|
|
|
Less: Professional fees related to mortgage banking loss
contingencies, net of tax effect |
|
- |
|
|
|
(0.13 |
) |
|
|
- |
|
|
|
(0.13 |
) |
|
|
|
|
Net income per share, diluted (GAAP) |
$ |
0.53 |
|
|
$ |
(0.11 |
) |
|
$ |
1.98 |
|
|
$ |
1.19 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Core
Banking Net Income (In thousands) |
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to the Core Bank (non-GAAP) |
$ |
4,081 |
|
|
$ |
5,046 |
|
|
$ |
15,449 |
|
|
$ |
18,338 |
|
|
|
|
|
Plus: Reversal of contingent liability, net of tax effect |
|
- |
|
|
|
- |
|
|
|
212 |
|
|
|
- |
|
|
|
|
|
Plus: Record Visa Class C shares, net of tax effect |
|
15 |
|
|
|
- |
|
|
|
342 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to MSR valuation allowance, net of tax effect |
|
- |
|
|
|
- |
|
|
|
583 |
|
|
|
- |
|
|
|
|
|
Plus: Gain (loss) on premises and equipment, net of tax effect |
|
(3 |
) |
|
|
- |
|
|
|
87 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to previous data processing contract termination
accrual, net of tax effect |
|
- |
|
|
|
- |
|
|
|
117 |
|
|
|
- |
|
|
|
|
|
Plus: Distribution from equity investment, net of tax effect |
|
- |
|
|
|
- |
|
|
|
85 |
|
|
|
- |
|
|
|
|
|
Plus: Gain from repurchase of subordinated debt, net of tax
effect |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
513 |
|
|
|
|
|
Less: Net loss on sales of available for sale securities and time
deposits, net of tax effect |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(429 |
) |
|
|
|
|
Less: Data processing system conversion, net of tax effect |
|
- |
|
|
|
(979 |
) |
|
|
- |
|
|
|
(1,119 |
) |
|
|
|
|
Less: MSR valuation allowance for intended sale, net of tax
effect |
|
- |
|
|
|
(598 |
) |
|
|
- |
|
|
|
(598 |
) |
|
|
|
|
Less: Mortgage banking loss contingencies, net of tax effect |
|
- |
|
|
|
(296 |
) |
|
|
- |
|
|
|
(847 |
) |
|
|
|
|
Less: Professional fees related to mortgage banking loss
contingencies, net of tax effect |
|
- |
|
|
|
(919 |
) |
|
|
- |
|
|
|
(919 |
) |
|
|
|
|
Net income (loss) attributable to the Core Bank (GAAP) |
$ |
4,093 |
|
|
$ |
2,254 |
|
|
$ |
16,875 |
|
|
$ |
14,939 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Core
Bank Net Income per Share, Diluted |
|
|
|
|
|
|
|
|
|
|
|
Core Bank net income per share, diluted (non-GAAP) |
$ |
0.60 |
|
|
$ |
0.74 |
|
|
$ |
2.26 |
|
|
$ |
2.67 |
|
|
|
|
|
Plus: Reversal of contingent liability, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.03 |
|
|
|
- |
|
|
|
|
|
Plus: Record Visa Class C shares, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.05 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to MSR valuation allowance, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.09 |
|
|
|
- |
|
|
|
|
|
Plus: Gain (loss) on premises and equipment, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.01 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to previous data processing contract termination
accrual, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.02 |
|
|
|
- |
|
|
|
|
|
Plus: Distribution from equity investment, net of tax effect |
|
- |
|
|
|
- |
|
|
|
0.01 |
|
|
|
- |
|
|
|
|
|
Plus: Gain from repurchase of subordinated debt, net of tax
effect |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
0.07 |
|
|
|
|
|
Less: Net loss on sales of available for sale securities and time
deposits, net of tax effect |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(0.06 |
) |
|
|
|
|
Less: Data processing system conversion, net of tax effect |
|
- |
|
|
|
(0.14 |
) |
|
|
- |
|
|
|
(0.16 |
) |
|
|
|
|
Less: MSR valuation allowance for intended sale, net of tax
effect |
|
- |
|
|
|
(0.09 |
) |
|
|
- |
|
|
|
(0.09 |
) |
|
|
|
|
Less: Mortgage banking loss contingencies, net of tax effect |
|
- |
|
|
|
(0.05 |
) |
|
|
- |
|
|
|
(0.12 |
) |
|
|
|
|
Less: Professional fees related to mortgage banking loss
contingencies, net of tax effect |
|
- |
|
|
|
(0.13 |
) |
|
|
- |
|
|
|
(0.13 |
) |
|
|
|
|
Core Bank net income per share, diluted (GAAP) |
$ |
0.60 |
|
|
$ |
0.33 |
|
|
$ |
2.47 |
|
|
$ |
2.18 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Efficiency Ratio (In thousands) |
|
|
|
|
|
|
|
|
|
|
|
Net interest income (GAAP) |
$ |
15,077 |
|
|
$ |
15,536 |
|
|
$ |
58,062 |
|
|
$ |
61,574 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest income (GAAP) |
|
2,842 |
|
|
|
5,442 |
|
|
|
12,530 |
|
|
|
25,342 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest expense (GAAP) |
|
12,646 |
|
|
|
21,647 |
|
|
|
52,890 |
|
|
|
76,122 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency ratio (GAAP) |
|
70.55 |
% |
|
|
103.19 |
% |
|
|
74.92 |
% |
|
|
87.58 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest income (GAAP) |
$ |
2,842 |
|
|
$ |
5,442 |
|
|
$ |
12,530 |
|
|
$ |
25,342 |
|
|
|
|
|
Plus: Record Visa Class C shares |
|
20 |
|
|
|
- |
|
|
|
456 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to MSR valuation allowance |
|
- |
|
|
|
- |
|
|
|
777 |
|
|
|
- |
|
|
|
|
|
Plus: Gain (loss) on premises and equipment |
|
(4 |
) |
|
|
- |
|
|
|
116 |
|
|
|
- |
|
|
|
|
|
Plus: Distribution from equity investment |
|
- |
|
|
|
- |
|
|
|
113 |
|
|
|
- |
|
|
|
|
|
Plus: Gain from repurchase of subordinated debt |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
684 |
|
|
|
|
|
Less: Net loss on sales of available for sale securities and time
deposits |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(572 |
) |
|
|
|
|
Less: MSR valuation allowance for intended sale |
|
- |
|
|
|
(797 |
) |
|
|
- |
|
|
|
(797 |
) |
|
|
|
|
Noninterest income (Non-GAAP) |
|
2,858 |
|
|
|
4,645 |
|
|
|
13,992 |
|
|
|
24,657 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Noninterest expense (GAAP) |
$ |
12,642 |
|
|
$ |
21,647 |
|
|
$ |
52,890 |
|
|
$ |
76,122 |
|
|
|
|
|
Plus: Reversal of contingent liability |
|
- |
|
|
|
- |
|
|
|
283 |
|
|
|
- |
|
|
|
|
|
Plus: Decrease in loss contingency for SBA-guaranteed loans |
|
- |
|
|
|
- |
|
|
|
656 |
|
|
|
- |
|
|
|
|
|
Plus: Adjustment to previous data processing contract termination
accrual |
|
- |
|
|
|
- |
|
|
|
156 |
|
|
|
- |
|
|
|
|
|
Less: Data processing system conversion |
|
- |
|
|
|
(1,305 |
) |
|
|
- |
|
|
|
(1,492 |
) |
|
|
|
|
Less: Loss contingency for SBA-guaranteed loans |
|
- |
|
|
|
(1,039 |
) |
|
|
- |
|
|
|
(1,547 |
) |
|
|
|
|
Less: Mortgage banking loss contingencies |
|
- |
|
|
|
(395 |
) |
|
|
- |
|
|
|
(1,129 |
) |
|
|
|
|
Less: Professional fees related to mortgage banking loss
contingencies |
|
- |
|
|
|
(1,225 |
) |
|
|
- |
|
|
|
(1,225 |
) |
|
|
|
|
Noninterest expense (Non-GAAP) |
|
12,642 |
|
|
|
17,683 |
|
|
|
53,985 |
|
|
|
70,729 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency ratio (excluding nonrecurring items) (non-GAAP) |
|
70.49 |
% |
|
|
87.62 |
% |
|
|
74.92 |
% |
|
|
82.02 |
% |
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Tangible Book Value Per Share |
September
30, |
|
June
30, |
|
Increase |
|
September
30, |
|
Increase |
|
| (In
thousands, except share and per share data) |
|
2024 |
|
|
|
2024 |
|
|
(Decrease) |
|
|
2023 |
|
|
(Decrease) |
|
| |
|
|
|
|
|
|
|
|
|
|
|
Stockholders' equity, net of noncontrolling interests (GAAP) |
$ |
177,115 |
|
|
$ |
168,000 |
|
|
$ |
9,115 |
|
|
$ |
150,981 |
|
|
$ |
26,134 |
|
|
|
Less: goodwill and core deposit intangibles |
|
(10,246 |
) |
|
|
(10,286 |
) |
|
|
40 |
|
|
|
(10,409 |
) |
|
|
163 |
|
|
|
Tangible equity (non-GAAP) |
$ |
166,869 |
|
|
$ |
157,714 |
|
|
$ |
9,155 |
|
|
$ |
140,572 |
|
|
|
26,297 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Outstanding common shares |
|
6,887,106 |
|
|
|
6,883,656 |
|
|
$ |
3,450 |
|
|
|
6,867,121 |
|
|
|
19,985 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Tangible
book value per share (non-GAAP) |
$ |
24.23 |
|
|
$ |
22.91 |
|
|
$ |
1.32 |
|
|
$ |
20.47 |
|
|
$ |
3.76 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Book value
per share (GAAP) |
$ |
25.72 |
|
|
$ |
24.41 |
|
|
$ |
1.31 |
|
|
$ |
21.99 |
|
|
$ |
3.73 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
SUMMARIZED FINANCIAL INFORMATION (UNAUDITED): |
As of |
|
|
Summarized Consolidated Balance Sheets |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
| (In
thousands, except per share data) |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Total cash
and cash equivalents |
$ |
52,142 |
|
|
$ |
42,423 |
|
|
$ |
62,969 |
|
|
$ |
33,366 |
|
|
$ |
30,845 |
|
|
| Total
investment securities |
|
249,719 |
|
|
|
238,785 |
|
|
|
240,142 |
|
|
|
246,801 |
|
|
|
229,039 |
|
|
| Total loans
held for sale |
|
25,716 |
|
|
|
125,859 |
|
|
|
19,108 |
|
|
|
22,866 |
|
|
|
45,855 |
|
|
| Total loans,
net of allowance for credit losses |
|
1,963,852 |
|
|
|
1,826,980 |
|
|
|
1,882,458 |
|
|
|
1,841,953 |
|
|
|
1,770,243 |
|
|
| Loan
servicing rights |
|
2,754 |
|
|
|
2,860 |
|
|
|
3,028 |
|
|
|
3,711 |
|
|
|
62,819 |
|
|
| Total
assets |
|
2,450,368 |
|
|
|
2,393,491 |
|
|
|
2,364,983 |
|
|
|
2,308,092 |
|
|
|
2,288,854 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Customer deposits |
$ |
1,371,724 |
|
|
$ |
1,312,997 |
|
|
$ |
1,239,271 |
|
|
$ |
1,180,951 |
|
|
$ |
1,243,475 |
|
|
|
Brokered deposits |
|
509,157 |
|
|
|
399,151 |
|
|
|
548,175 |
|
|
|
502,895 |
|
|
|
438,319 |
|
|
| Total
deposits |
|
1,880,881 |
|
|
|
1,712,148 |
|
|
|
1,787,446 |
|
|
|
1,683,846 |
|
|
|
1,681,794 |
|
|
| Federal Home
Loan Bank borrowings |
|
301,640 |
|
|
|
425,000 |
|
|
|
315,000 |
|
|
|
356,699 |
|
|
|
363,183 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Common stock and additional paid-in capital |
$ |
27,725 |
|
|
$ |
27,592 |
|
|
$ |
27,475 |
|
|
$ |
27,397 |
|
|
$ |
27,064 |
|
|
|
Retained earnings - substantially restricted |
|
173,337 |
|
|
|
170,688 |
|
|
|
167,648 |
|
|
|
163,753 |
|
|
|
166,306 |
|
|
|
Accumulated other comprehensive income (loss) |
|
(11,195 |
) |
|
|
(17,415 |
) |
|
|
(17,144 |
) |
|
|
(13,606 |
) |
|
|
(29,587 |
) |
|
|
Unearned stock compensation |
|
(901 |
) |
|
|
(999 |
) |
|
|
(1,096 |
) |
|
|
(1,194 |
) |
|
|
(1,015 |
) |
|
|
Less treasury stock, at cost |
|
(11,851 |
) |
|
|
(11,866 |
) |
|
|
(11,827 |
) |
|
|
(11,827 |
) |
|
|
(11,787 |
) |
|
| Total
stockholders' equity |
|
177,115 |
|
|
|
168,000 |
|
|
|
165,056 |
|
|
|
164,523 |
|
|
|
150,981 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Outstanding
common shares |
|
6,887,106 |
|
|
|
6,883,656 |
|
|
|
6,883,160 |
|
|
|
6,883,160 |
|
|
|
6,867,121 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
Three Months Ended |
|
|
Summarized Consolidated Statements of Income |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
| (In
thousands, except per share data) |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Total
interest income |
$ |
32,223 |
|
|
$ |
31,094 |
|
|
$ |
30,016 |
|
|
$ |
28,655 |
|
|
$ |
28,137 |
|
|
| Total
interest expense |
|
17,146 |
|
|
|
16,560 |
|
|
|
15,678 |
|
|
|
14,542 |
|
|
|
12,601 |
|
|
| Net interest
income |
|
15,077 |
|
|
|
14,534 |
|
|
|
14,338 |
|
|
|
14,113 |
|
|
|
15,536 |
|
|
| Provision
for credit losses - loans |
|
1,808 |
|
|
|
501 |
|
|
|
713 |
|
|
|
412 |
|
|
|
815 |
|
|
| Provision
(credit) for unfunded lending commitments |
|
(262 |
) |
|
|
158 |
|
|
|
(259 |
) |
|
|
- |
|
|
|
- |
|
|
| Provision
(credit) for credit losses - securities |
|
(86 |
) |
|
|
84 |
|
|
|
23 |
|
|
|
- |
|
|
|
- |
|
|
| Net interest
income after provision for credit losses |
|
13,617 |
|
|
|
13,791 |
|
|
|
13,861 |
|
|
|
13,701 |
|
|
|
14,721 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Total
noninterest income |
|
2,842 |
|
|
|
3,196 |
|
|
|
3,710 |
|
|
|
2,782 |
|
|
|
5,442 |
|
|
| Total
noninterest expense |
|
12,642 |
|
|
|
12,431 |
|
|
|
11,778 |
|
|
|
16,039 |
|
|
|
21,647 |
|
|
| Income
(loss) before income taxes |
|
3,817 |
|
|
|
4,556 |
|
|
|
5,793 |
|
|
|
444 |
|
|
|
(1,484 |
) |
|
| Income tax
expense (benefit) |
|
145 |
|
|
|
483 |
|
|
|
866 |
|
|
|
(476 |
) |
|
|
(737 |
) |
|
| Net income
(loss) |
$ |
3,672 |
|
|
$ |
4,073 |
|
|
$ |
4,927 |
|
|
$ |
920 |
|
|
$ |
(747 |
) |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Net income
(loss) per share, basic |
$ |
0.54 |
|
|
$ |
0.60 |
|
|
$ |
0.72 |
|
|
$ |
0.13 |
|
|
$ |
(0.11 |
) |
|
| Weighted
average shares outstanding, basic |
|
6,833,376 |
|
|
|
6,832,452 |
|
|
|
6,832,130 |
|
|
|
6,823,948 |
|
|
|
6,817,365 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Net income
(loss) per share, diluted |
$ |
0.53 |
|
|
$ |
0.60 |
|
|
$ |
0.72 |
|
|
$ |
0.13 |
|
|
$ |
(0.11 |
) |
|
| Weighted
average shares outstanding, diluted |
|
6,877,518 |
|
|
|
6,842,336 |
|
|
|
6,859,611 |
|
|
|
6,839,704 |
|
|
|
6,837,919 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
SUMMARIZED FINANCIAL INFORMATION (UNAUDITED)
(CONTINUED): |
Three Months Ended |
|
|
Noninterest Income Detail |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
| (In
thousands) |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Service charges on deposit accounts |
$ |
552 |
|
|
$ |
538 |
|
|
$ |
387 |
|
|
$ |
473 |
|
|
$ |
479 |
|
|
|
ATM and interchange fees |
|
642 |
|
|
|
593 |
|
|
|
585 |
|
|
|
449 |
|
|
|
816 |
|
|
|
Net loss on sales of available for sale securities |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(11 |
) |
|
|
Net unrealized gain on equity securities |
|
28 |
|
|
|
419 |
|
|
|
6 |
|
|
|
38 |
|
|
|
11 |
|
|
|
Net gain on sales of loans, Small Business Administration |
|
647 |
|
|
|
581 |
|
|
|
951 |
|
|
|
834 |
|
|
|
538 |
|
|
|
Mortgage banking income |
|
6 |
|
|
|
49 |
|
|
|
53 |
|
|
|
89 |
|
|
|
3,018 |
|
|
|
Increase in cash surrender value of life insurance |
|
363 |
|
|
|
353 |
|
|
|
333 |
|
|
|
329 |
|
|
|
311 |
|
|
|
Commission income |
|
294 |
|
|
|
220 |
|
|
|
220 |
|
|
|
222 |
|
|
|
182 |
|
|
|
Real estate lease income |
|
122 |
|
|
|
154 |
|
|
|
115 |
|
|
|
115 |
|
|
|
116 |
|
|
|
Net gain on premises and equipment |
|
(4 |
) |
|
|
- |
|
|
|
120 |
|
|
|
- |
|
|
|
20 |
|
|
|
Other income |
|
192 |
|
|
|
289 |
|
|
|
940 |
|
|
|
233 |
|
|
|
(38 |
) |
|
|
Total noninterest income |
$ |
2,842 |
|
|
$ |
3,196 |
|
|
$ |
3,710 |
|
|
$ |
2,782 |
|
|
$ |
5,442 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
Three Months Ended |
|
| |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
|
Consolidated Performance Ratios (Annualized) |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Return on average assets |
|
0.61 |
% |
|
|
0.69 |
% |
|
|
0.92 |
% |
|
|
0.16 |
% |
|
|
(0.13 |
%) |
|
|
Return on average equity |
|
8.52 |
% |
|
|
9.86 |
% |
|
|
13.06 |
% |
|
|
2.42 |
% |
|
|
(1.82 |
%) |
|
|
Return on average common stockholders' equity |
|
8.52 |
% |
|
|
9.86 |
% |
|
|
13.06 |
% |
|
|
2.42 |
% |
|
|
(1.82 |
%) |
|
|
Net interest margin (tax equivalent basis) |
|
2.72 |
% |
|
|
2.67 |
% |
|
|
2.66 |
% |
|
|
2.69 |
% |
|
|
3.03 |
% |
|
|
Efficiency ratio |
|
70.55 |
% |
|
|
70.11 |
% |
|
|
65.26 |
% |
|
|
94.93 |
% |
|
|
103.19 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
As of or for the Three Months Ended |
|
| |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
|
Consolidated Asset Quality Ratios |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Nonperforming loans as a percentage of total loans |
|
0.85 |
% |
|
|
0.91 |
% |
|
|
0.82 |
% |
|
|
0.83 |
% |
|
|
0.78 |
% |
|
|
Nonperforming assets as a percentage of total assets |
|
0.71 |
% |
|
|
0.72 |
% |
|
|
0.68 |
% |
|
|
0.69 |
% |
|
|
0.69 |
% |
|
|
Allowance for credit losses as a percentage of total loans |
|
1.07 |
% |
|
|
1.07 |
% |
|
|
1.02 |
% |
|
|
1.01 |
% |
|
|
0.95 |
% |
|
|
Allowance for credit losses as a percentage of nonperforming
loans |
|
125.69 |
% |
|
|
118.12 |
% |
|
|
124.01 |
% |
|
|
121.16 |
% |
|
|
121.16 |
% |
|
|
Net charge-offs to average outstanding loans |
|
0.02 |
% |
|
|
0.01 |
% |
|
|
0.01 |
% |
|
|
0.00 |
% |
|
|
0.04 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
SUMMARIZED FINANCIAL INFORMATION (UNAUDITED)
(CONTINUED): |
Three Months Ended |
|
|
Segmented Statements of Income Information |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
| (In
thousands) |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Core
Banking Segment: |
|
|
|
|
|
|
|
|
|
|
| Net interest
income |
$ |
14,083 |
|
|
$ |
13,590 |
|
|
$ |
13,469 |
|
|
$ |
13,113 |
|
|
$ |
14,167 |
|
|
| Provision
(credit) for credit losses - loans |
|
1,339 |
|
|
|
320 |
|
|
|
909 |
|
|
|
(49 |
) |
|
|
1,266 |
|
|
| Provision
(credit) for unfunded lending commitments |
|
78 |
|
|
|
64 |
|
|
|
(259 |
) |
|
|
- |
|
|
|
- |
|
|
| Provision
(credit) for credit losses - securities |
|
(86 |
) |
|
|
84 |
|
|
|
23 |
|
|
|
- |
|
|
|
- |
|
|
| Net interest
income after provision for credit losses |
|
12,752 |
|
|
|
13,122 |
|
|
|
12,796 |
|
|
|
13,162 |
|
|
|
12,901 |
|
|
| Noninterest
income |
|
2,042 |
|
|
|
2,474 |
|
|
|
2,537 |
|
|
|
1,679 |
|
|
|
2,136 |
|
|
| Noninterest
expense |
|
10,400 |
|
|
|
10,192 |
|
|
|
10,093 |
|
|
|
10,252 |
|
|
|
13,559 |
|
|
| Income
before income taxes |
|
4,394 |
|
|
|
5,404 |
|
|
|
5,240 |
|
|
|
4,589 |
|
|
|
1,478 |
|
|
| Income tax
expense |
|
301 |
|
|
|
689 |
|
|
|
729 |
|
|
|
541 |
|
|
|
3 |
|
|
| Net
income |
$ |
4,093 |
|
|
$ |
4,715 |
|
|
$ |
4,511 |
|
|
$ |
4,048 |
|
|
$ |
1,475 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| SBA
Lending Segment (Q2 Business Capital, LLC): |
|
|
|
|
|
|
|
|
|
|
| Net interest
income |
$ |
994 |
|
|
$ |
944 |
|
|
$ |
869 |
|
|
$ |
1,003 |
|
|
$ |
990 |
|
|
| Provision
(credit) for credit losses - loans |
|
469 |
|
|
|
181 |
|
|
|
(196 |
) |
|
|
461 |
|
|
|
(451 |
) |
|
| Provision
(credit) for unfunded lending commitments |
|
(340 |
) |
|
|
94 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
| Net interest
income after provision for credit losses |
|
865 |
|
|
|
669 |
|
|
|
1,065 |
|
|
|
542 |
|
|
|
1,441 |
|
|
| Noninterest
income |
|
800 |
|
|
|
722 |
|
|
|
1,173 |
|
|
|
1,003 |
|
|
|
367 |
|
|
| Noninterest
expense |
|
2,242 |
|
|
|
2,239 |
|
|
|
1,685 |
|
|
|
2,146 |
|
|
|
2,907 |
|
|
| Income
(loss) before income taxes |
|
(577 |
) |
|
|
(848 |
) |
|
|
553 |
|
|
|
(601 |
) |
|
|
(1,099 |
) |
|
| Income tax
expense (benefit) |
|
(156 |
) |
|
|
(206 |
) |
|
|
137 |
|
|
|
(131 |
) |
|
|
(273 |
) |
|
| Net income
(loss) |
$ |
(421 |
) |
|
$ |
(642 |
) |
|
$ |
416 |
|
|
$ |
(470 |
) |
|
$ |
(826 |
) |
|
| |
|
|
|
|
|
|
|
|
|
|
|
Mortgage Banking Segment: (3) |
|
|
|
|
|
|
|
|
|
|
| Net interest
income (loss) |
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
(3 |
) |
|
$ |
379 |
|
|
| Provision
for credit losses - loans |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
| Provision
for unfunded lending commitments |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
| Net interest
income (loss) after provision for credit losses |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(3 |
) |
|
|
379 |
|
|
| Noninterest
income |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
100 |
|
|
|
2,939 |
|
|
| Noninterest
expense |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
3,641 |
|
|
|
5,181 |
|
|
| Loss before
income taxes |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(3,544 |
) |
|
|
(1,863 |
) |
|
| Income tax
benefit |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(886 |
) |
|
|
(467 |
) |
|
| Net
loss |
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
(2,658 |
) |
|
$ |
(1,396 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| (3) National mortgage
banking operations were ceased in the quarter ended December 31,
2023 and subsequent immaterial mortgage lending activity is
reported within the Core Banking segment. |
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
SUMMARIZED FINANCIAL INFORMATION (UNAUDITED)
(CONTINUED): |
Three Months Ended |
|
|
Segmented Statements of Income Information |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
| (In
thousands, except percentage data) |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Net
Income (Loss) Per Share by Segment |
|
|
|
|
|
|
|
|
|
|
| Net income
per share, basic - Core Banking |
$ |
0.60 |
|
|
$ |
0.69 |
|
|
$ |
0.66 |
|
|
$ |
0.59 |
|
|
$ |
0.22 |
|
|
| Net income
(loss) per share, basic - SBA Lending (Q2 Business Capital,
LLC) |
|
(0.06 |
) |
|
|
(0.09 |
) |
|
|
0.06 |
|
|
|
(0.07 |
) |
|
|
(0.12 |
) |
|
| Net income
(loss) per share, basic - Mortgage Banking |
|
0.00 |
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
(0.40 |
) |
|
|
(0.21 |
) |
|
|
Total net income (loss) per share, basic |
$ |
0.54 |
|
|
$ |
0.60 |
|
|
$ |
0.72 |
|
|
$ |
0.12 |
|
|
$ |
(0.11 |
) |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net
Income (Loss) Per Diluted Share by Segment |
|
|
|
|
|
|
|
|
|
|
| Net income
per share, diluted - Core Banking |
$ |
0.60 |
|
|
$ |
0.69 |
|
|
$ |
0.66 |
|
|
$ |
0.59 |
|
|
$ |
0.22 |
|
|
| Net income
(loss) per share, diluted - SBA Lending (Q2 Business Capital,
LLC) |
|
(0.06 |
) |
|
|
(0.09 |
) |
|
|
0.06 |
|
|
|
(0.07 |
) |
|
|
(0.12 |
) |
|
| Net loss per
share, diluted - Mortgage Banking |
|
0.00 |
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
(0.40 |
) |
|
|
(0.21 |
) |
|
|
Total net income (loss) per share, diluted |
$ |
0.54 |
|
|
$ |
0.60 |
|
|
$ |
0.72 |
|
|
$ |
0.12 |
|
|
$ |
(0.11 |
) |
|
| |
|
|
|
|
|
|
|
|
|
|
|
Return on Average Assets by Segment (annualized)
(4) |
|
|
|
|
|
|
|
|
|
|
| Core
Banking |
|
0.71 |
% |
|
|
0.83 |
% |
|
|
0.80 |
% |
|
|
0.73 |
% |
|
|
0.28 |
% |
|
| SBA
Lending |
|
(1.71 |
%) |
|
|
(2.91 |
%) |
|
|
1.81 |
% |
|
|
(2.11 |
%) |
|
|
(3.81 |
%) |
|
| |
|
|
|
|
|
|
|
|
|
|
|
Efficiency Ratio by Segment (annualized) (4) |
|
|
|
|
|
|
|
|
|
|
| Core
Banking |
|
64.50 |
% |
|
|
63.45 |
% |
|
|
63.06 |
% |
|
|
69.31 |
% |
|
|
83.17 |
% |
|
| SBA
Lending |
|
124.97 |
% |
|
|
134.39 |
% |
|
|
82.52 |
% |
|
|
106.98 |
% |
|
|
214.22 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
Three Months Ended |
|
|
Noninterest Expense Detail by Segment |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
| (In
thousands) |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Core
Banking Segment: |
|
|
|
|
|
|
|
|
|
|
|
Compensation |
$ |
5,400 |
|
|
$ |
5,587 |
|
|
$ |
5,656 |
|
|
$ |
5,691 |
|
|
$ |
6,528 |
|
|
|
Occupancy |
|
1,554 |
|
|
|
1,573 |
|
|
|
1,615 |
|
|
|
1,481 |
|
|
|
1,418 |
|
|
|
Advertising |
|
399 |
|
|
|
253 |
|
|
|
205 |
|
|
|
189 |
|
|
|
404 |
|
|
| Other |
|
3,047 |
|
|
|
2,779 |
|
|
|
2,617 |
|
|
|
2,891 |
|
|
|
5,209 |
|
|
| Total
Noninterest Expense |
$ |
10,400 |
|
|
$ |
10,192 |
|
|
$ |
10,093 |
|
|
$ |
10,252 |
|
|
$ |
13,559 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| SBA
Lending Segment (Q2 Business Capital, LLC): |
|
|
|
|
|
|
|
|
|
|
|
Compensation |
$ |
1,854 |
|
|
$ |
1,893 |
|
|
$ |
1,933 |
|
|
$ |
1,826 |
|
|
$ |
1,533 |
|
|
|
Occupancy |
|
55 |
|
|
|
51 |
|
|
|
58 |
|
|
|
91 |
|
|
|
68 |
|
|
|
Advertising |
|
17 |
|
|
|
12 |
|
|
|
7 |
|
|
|
10 |
|
|
|
10 |
|
|
| Other |
|
316 |
|
|
|
283 |
|
|
|
(313 |
) |
|
|
219 |
|
|
|
1,296 |
|
|
| Total
Noninterest Expense |
$ |
2,242 |
|
|
$ |
2,239 |
|
|
$ |
1,685 |
|
|
$ |
2,146 |
|
|
$ |
2,907 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Mortgage Banking Segment: (4) |
|
|
|
|
|
|
|
|
|
|
|
Compensation |
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
2,146 |
|
|
$ |
3,647 |
|
|
|
Occupancy |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
469 |
|
|
|
395 |
|
|
|
Advertising |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
119 |
|
|
|
129 |
|
|
| Other |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
907 |
|
|
|
1,010 |
|
|
| Total
Noninterest Expense |
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
3,641 |
|
|
$ |
5,181 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (4) Ratios for
Mortgage Banking Segment are not considered meaningful due to
cessation of national mortgage banking operations in the quarter
ended December 31, 2023. |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
SUMMARIZED FINANCIAL INFORMATION (UNAUDITED)
(CONTINUED): |
|
|
| |
Three Months Ended |
|
| SBA
Lending (Q2 Business Capital, LLC) Data |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
| (In
thousands, except percentage data) |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Final funded
loans guaranteed portion sold, SBA |
$ |
10,880 |
|
|
$ |
7,515 |
|
|
$ |
15,144 |
|
|
$ |
14,098 |
|
|
$ |
8,431 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Gross gain
on sales of loans, SBA |
$ |
1,029 |
|
|
$ |
811 |
|
|
$ |
1,443 |
|
|
$ |
1,303 |
|
|
$ |
809 |
|
|
| Weighted
average gross gain on sales of loans, SBA |
|
9.46 |
% |
|
|
10.79 |
% |
|
|
9.53 |
% |
|
|
9.24 |
% |
|
|
9.60 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net gain on
sales of loans, SBA (5) |
$ |
647 |
|
|
$ |
581 |
|
|
$ |
951 |
|
|
$ |
834 |
|
|
$ |
538 |
|
|
| Weighted
average net gain on sales of loans, SBA |
|
5.95 |
% |
|
|
7.73 |
% |
|
|
6.28 |
% |
|
|
5.92 |
% |
|
|
6.38 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
| (5) Inclusive of gains
on servicing assets and net of commissions, referral fees, SBA
repair fees and discounts on unguaranteed portions
held-for-investment. |
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
SUMMARIZED FINANCIAL INFORMATION (UNAUDITED)
(CONTINUED): |
Three Months Ended |
|
|
Summarized Consolidated Average Balance
Sheets |
September
30, |
|
June
30, |
|
March
31, |
|
December
31, |
|
September
30, |
|
| (In
thousands) |
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
Interest-earning assets |
|
|
|
|
|
|
|
|
|
|
| Average
balances: |
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits with banks |
$ |
16,841 |
|
|
$ |
26,100 |
|
|
$ |
24,587 |
|
|
$ |
20,350 |
|
|
$ |
21,631 |
|
|
|
Loans |
|
1,988,997 |
|
|
|
1,943,716 |
|
|
|
1,914,609 |
|
|
|
1,857,654 |
|
|
|
1,796,749 |
|
|
|
Investment securities - taxable |
|
99,834 |
|
|
|
101,350 |
|
|
|
102,699 |
|
|
|
103,728 |
|
|
|
105,393 |
|
|
|
Investment securities - nontaxable |
|
158,917 |
|
|
|
157,991 |
|
|
|
157,960 |
|
|
|
159,907 |
|
|
|
160,829 |
|
|
|
FRB and FHLB stock |
|
24,986 |
|
|
|
24,986 |
|
|
|
24,986 |
|
|
|
24,968 |
|
|
|
24,939 |
|
|
|
Total interest-earning assets |
$ |
2,289,575 |
|
|
$ |
2,254,143 |
|
|
$ |
2,224,841 |
|
|
$ |
2,166,607 |
|
|
$ |
2,109,541 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Interest
income (tax equivalent basis): |
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits with banks |
$ |
209 |
|
|
$ |
324 |
|
|
$ |
261 |
|
|
$ |
249 |
|
|
$ |
266 |
|
|
|
Loans |
|
29,450 |
|
|
|
28,155 |
|
|
|
27,133 |
|
|
|
26,155 |
|
|
|
25,214 |
|
|
|
Investment securities - taxable |
|
910 |
|
|
|
918 |
|
|
|
923 |
|
|
|
942 |
|
|
|
969 |
|
|
|
Investment securities - nontaxable |
|
1,685 |
|
|
|
1,665 |
|
|
|
1,662 |
|
|
|
1,687 |
|
|
|
1,695 |
|
|
|
FRB and FHLB stock |
|
471 |
|
|
|
519 |
|
|
|
499 |
|
|
|
74 |
|
|
|
428 |
|
|
|
Total interest income (tax equivalent basis) |
$ |
32,725 |
|
|
$ |
31,581 |
|
|
$ |
30,478 |
|
|
$ |
29,107 |
|
|
$ |
28,572 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Weighted
average yield (tax equivalent basis, annualized): |
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits with banks |
|
4.96 |
% |
|
|
4.97 |
% |
|
|
4.25 |
% |
|
|
4.89 |
% |
|
|
4.92 |
% |
|
|
Loans |
|
5.92 |
% |
|
|
5.79 |
% |
|
|
5.67 |
% |
|
|
5.63 |
% |
|
|
5.61 |
% |
|
|
Investment securities - taxable |
|
3.65 |
% |
|
|
3.62 |
% |
|
|
3.59 |
% |
|
|
3.63 |
% |
|
|
3.68 |
% |
|
|
Investment securities - nontaxable |
|
4.24 |
% |
|
|
4.22 |
% |
|
|
4.21 |
% |
|
|
4.22 |
% |
|
|
4.22 |
% |
|
|
FRB and FHLB stock |
|
7.54 |
% |
|
|
8.31 |
% |
|
|
7.99 |
% |
|
|
1.19 |
% |
|
|
6.86 |
% |
|
|
Total interest-earning assets |
|
5.72 |
% |
|
|
5.60 |
% |
|
|
5.48 |
% |
|
|
5.37 |
% |
|
|
5.42 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities |
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits |
$ |
1,563,258 |
|
|
$ |
1,572,871 |
|
|
$ |
1,549,012 |
|
|
$ |
1,389,384 |
|
|
$ |
1,385,994 |
|
|
|
Fed funds purchased |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
76 |
|
|
|
Federal Home Loan Bank borrowings |
|
378,956 |
|
|
|
351,227 |
|
|
|
333,275 |
|
|
|
440,786 |
|
|
|
353,890 |
|
|
|
Subordinated debt and other borrowings |
|
48,576 |
|
|
|
48,537 |
|
|
|
48,497 |
|
|
|
48,458 |
|
|
|
48,406 |
|
|
|
Total interest-bearing liabilities |
$ |
1,990,790 |
|
|
$ |
1,972,635 |
|
|
$ |
1,930,784 |
|
|
$ |
1,878,628 |
|
|
$ |
1,788,366 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Interest
expense: |
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits |
$ |
12,825 |
|
|
$ |
12,740 |
|
|
$ |
12,546 |
|
|
$ |
9,989 |
|
|
$ |
9,457 |
|
|
|
Fed funds purchased |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
1 |
|
|
|
Federal Home Loan Bank borrowings |
|
3,521 |
|
|
|
3,021 |
|
|
|
2,298 |
|
|
|
3,769 |
|
|
|
2,459 |
|
|
|
Subordinated debt and other borrowings |
|
800 |
|
|
|
799 |
|
|
|
833 |
|
|
|
784 |
|
|
|
684 |
|
|
|
Total interest expense |
$ |
17,146 |
|
|
$ |
16,560 |
|
|
$ |
15,677 |
|
|
$ |
14,542 |
|
|
$ |
12,601 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Weighted
average cost (annualized): |
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits |
|
3.28 |
% |
|
|
3.24 |
% |
|
|
3.24 |
% |
|
|
2.88 |
% |
|
|
2.73 |
% |
|
|
Fed funds purchased |
|
0.00 |
% |
|
|
0.00 |
% |
|
|
0.00 |
% |
|
|
0.00 |
% |
|
|
5.26 |
% |
|
|
Federal Home Loan Bank borrowings |
|
3.72 |
% |
|
|
3.44 |
% |
|
|
2.76 |
% |
|
|
3.42 |
% |
|
|
2.78 |
% |
|
|
Subordinated debt and other borrowings |
|
6.59 |
% |
|
|
6.58 |
% |
|
|
6.87 |
% |
|
|
6.47 |
% |
|
|
5.65 |
% |
|
|
Total interest-bearing liabilities |
|
3.45 |
% |
|
|
3.36 |
% |
|
|
3.25 |
% |
|
|
3.10 |
% |
|
|
2.82 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net interest
income (taxable equivalent basis) |
$ |
15,579 |
|
|
$ |
15,021 |
|
|
$ |
14,801 |
|
|
$ |
14,565 |
|
|
$ |
15,971 |
|
|
| Less:
taxable equivalent adjustment |
|
(502 |
) |
|
|
(487 |
) |
|
|
(463 |
) |
|
|
(452 |
) |
|
|
(435 |
) |
|
| Net interest
income |
$ |
15,077 |
|
|
$ |
14,534 |
|
|
$ |
14,338 |
|
|
$ |
14,113 |
|
|
$ |
15,536 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Interest
rate spread (tax equivalent basis, annualized) |
|
2.27 |
% |
|
|
2.24 |
% |
|
|
2.23 |
% |
|
|
2.27 |
% |
|
|
2.60 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net interest
margin (tax equivalent basis, annualized) |
|
2.72 |
% |
|
|
2.67 |
% |
|
|
2.66 |
% |
|
|
2.69 |
% |
|
|
3.03 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
