First Quarter 2024 Highlights Over the First Quarter Prior Year Include:
- Net income of
$2.4 million down 3.3 percent from$2.5 million in the same quarter last year. Diluted Earnings Per Share (“EPS”) remained steady at$0.35 . - Net interest income totaled
$9.2 million , a 11.1 percent decrease from the$10.3 million reported in the first quarter of the prior year. - Loan growth saw an increase to
$991.6 million , up by$15.2 million or 1.6 percent from the$976.3 million in the first quarter of the previous year. - Nonperforming assets improved to 0.22 percent of total assets, down from 0.30 percent in the same quarter of the prior year.
Trailing Twelve Months Ended
- EPS was
$1.75 for the twelve months endedMarch 2024 , an increase of 1.7 percent from the prior twelve months of$1.72 . - Total deposits were
$1.112 billion at the end ofMarch 2024 , representing a marginal increase of 0.2 percent from$1.110 billion at the end ofMarch 2023 . - Mortgage origination volume was
$209.1 million for the trailing twelve months, with a servicing portfolio of$1.37 billion , which increased by 2.1 percent from the prior year.
Earnings Highlights | Three Months Ended | |||||||||
($ in thousands, except per share & ratios) | % Change | |||||||||
Operating revenue | $ | 13,131 | $ | 13,990 | -6.1 | % | ||||
Interest income | 15,300 | 13,824 | 10.7 | % | ||||||
Interest expense | 6,120 | 3,500 | 74.9 | % | ||||||
Net interest income | 9,180 | 10,324 | -11.1 | % | ||||||
Provision for credit losses | - | 250 | -100.0 | % | ||||||
Noninterest income | 3,951 | 3,666 | 7.8 | % | ||||||
Noninterest expense | 10,282 | 10,773 | -4.6 | % | ||||||
Net income | 2,368 | 2,450 | -3.3 | % | ||||||
Earnings per diluted share | 0.35 | 0.35 | 0.0 | % | ||||||
Return on average assets | 0.71 | % | 0.73 | % | -2.7 | % | ||||
Return on average equity | 7.70 | % | 8.22 | % | -6.3 | % | ||||
"
"Our loan portfolio expanded to
RESULTS OF OPERATIONS
Consolidated Revenue
In the first quarter of 2024, SB Financial Group’s total operating revenue, encompassing net interest income before provision for credit losses and noninterest income, faced significant economic headwinds. Our operating revenue saw a decline of 6.1 percent from the prior year quarter and 13.1 percent from the linked quarter. Although robust, net interest income decreased by 11.1 percent compared to the same period last year, primarily due to increased deposit and funding costs. This also contributed to a 38 basis-point reduction in our net interest margin 1Q 2024 compared to 1Q2023.
Noninterest income, however, showed a positive trajectory, increasing by 7.8 percent from the same quarter last year. This growth was significantly bolstered by a 30.4 percent increase in gains from the sale of mortgages and OMSR. Additionally, mortgage loan servicing fees saw a substantial increase of 25.5 percent. These gains, along with steady customer service fees, built a solid revenue foundation. Despite these strengths, we observed a downturn in revenues from wealth management and title insurance, illustrating the varied performance across our noninterest income streams.
Amid these variances, our strategic focus remains firm. We are dedicated to maintaining a balanced revenue portfolio and dynamically adjusting our strategies to effectively respond to the economic environment. This approach is vital for continuing to create value for our clients and shareholders and demonstrates our commitment to navigating cyclical economic challenges with resilience and foresight.
Mortgage Loan Business
Mortgage loan originations for the first quarter of 2024 totaled
For this quarter, our mortgage banking net revenue stood at
"In a period marked by variable interest rates and a cautious market,
Mortgage Banking | |||||||||||||||||||||||
($ in thousands) | Prior Year Growth | ||||||||||||||||||||||
Mortgage originations | $ | 42,912 | $ | 39,566 | $ | 61,200 | $ | 65,387 | $ | 49,366 | $ | (6,454 | ) | ||||||||||
Mortgage sales | 36,623 | 33,362 | 54,085 | 47,933 | 25,803 | 10,820 | |||||||||||||||||
Mortgage servicing portfolio | 1,371,713 | 1,366,667 | 1,367,209 | 1,353,904 | 1,344,158 | 27,555 | |||||||||||||||||
Mortgage servicing rights | 14,191 | 13,906 | 13,893 | 13,723 | 13,548 | 643 | |||||||||||||||||
Revenue | |||||||||||||||||||||||
Loan servicing fees | 763 | 855 | 850 | 844 | 844 | (81 | ) | ||||||||||||||||
OMSR amortization | (273 | ) | (282 | ) | (334 | ) | (334 | ) | (292 | ) | 19 | ||||||||||||
Net administrative fees | 490 | 573 | 516 | 510 | 552 | (62 | ) | ||||||||||||||||
OMSR valuation adjustment | 181 | (12 | ) | (78 | ) | (16 | ) | 56 | 125 | ||||||||||||||
Net loan servicing fees | 671 | 561 | 438 | 494 | 608 | 63 | |||||||||||||||||
Gain on sale of mortgages | 781 | 747 | 1,207 | 1,056 | 599 | 182 | |||||||||||||||||
Mortgage banking revenue, net | $ | 1,452 | $ | 1,308 | $ | 1,645 | $ | 1,550 | $ | 1,207 | $ | 245 | |||||||||||
Noninterest Income and Noninterest Expense
For the first quarter of 2024, noninterest income at
Noninterest expenses for the first quarter were reported at
"Our noninterest income has shown consistent growth compared to the same period last year." commented
Noninterest Income/Noninterest Expense | |||||||||||||||||||||||
($ in thousands, except ratios) | Prior Year Growth | ||||||||||||||||||||||
Noninterest Income (NII) | $ | 3,951 | $ | 5,531 | $ | 4,163 | $ | 4,361 | $ | 3,666 | $ | 285 | |||||||||||
NII / Total Revenue | 30.1 | % | 36.6 | % | 30.4 | % | 30.7 | % | 26.2 | % | 3.9 | % | |||||||||||
NII / Average Assets | 1.2 | % | 1.7 | % | 1.2 | % | 1.3 | % | 1.1 | % | 0.1 | % | |||||||||||
Total Revenue Growth | -6.1 | % | 3.4 | % | -5.3 | % | -0.5 | % | -2.0 | % | -6.1 | % | |||||||||||
Noninterest Expense (NIE) | $ | 10,282 | $ | 10,369 | $ | 10,481 | $ | 10,339 | $ | 10,773 | $ | (491 | ) | ||||||||||
Efficiency Ratio | 78.2 | % | 68.4 | % | 76.4 | % | 72.7 | % | 76.9 | % | 1.3 | % | |||||||||||
NIE / Average Assets | 3.1 | % | 3.1 | % | 3.1 | % | 3.1 | % | 3.2 | % | -0.1 | % | |||||||||||
Net Noninterest Expense/Avg. Assets | -1.9 | % | -1.4 | % | -1.9 | % | -1.8 | % | -2.1 | % | 0.2 | % | |||||||||||
Total Expense Growth | -4.6 | % | 1.0 | % | 0.9 | % | -4.3 | % | -0.8 | % | -4.6 | % | |||||||||||
Balance Sheet
As of
Shareholders’ equity has slightly contracted by 0.5 percent to
Loan Balances | |||||||||||||||||||||||
($ in thousands, except ratios) | Annual Growth | ||||||||||||||||||||||
Commercial | $ | 120,016 | $ | 126,716 | $ | 120,325 | $ | 123,226 | $ | 126,066 | $ | (6,050 | ) | ||||||||||
% of Total | 12.1 | % | 12.7 | % | 12.2 | % | 12.5 | % | 12.9 | % | -4.8 | % | |||||||||||
Commercial RE | 429,362 | 424,041 | 421,736 | 417,412 | 419,024 | 10,338 | |||||||||||||||||
% of Total | 43.3 | % | 42.4 | % | 42.6 | % | 42.4 | % | 42.9 | % | 2.5 | % | |||||||||||
Agriculture | 62,365 | 65,659 | 60,928 | 58,222 | 57,761 | 4,604 | |||||||||||||||||
% of Total | 6.3 | % | 6.6 | % | 6.2 | % | 5.9 | % | 5.9 | % | 8.0 | % | |||||||||||
Residential RE | 314,668 | 318,123 | 320,306 | 321,365 | 309,684 | 4,984 | |||||||||||||||||
% of Total | 31.7 | % | 31.8 | % | 32.4 | % | 32.6 | % | 31.7 | % | 1.6 | % | |||||||||||
Consumer & Other | 65,141 | 65,673 | 65,726 | 64,599 | 63,777 | 1,364 | |||||||||||||||||
% of Total | 6.6 | % | 6.6 | % | 6.6 | % | 6.6 | % | 6.5 | % | 2.1 | % | |||||||||||
Total Loans | $ | 991,552 | $ | 1,000,212 | $ | 989,021 | $ | 984,824 | $ | 976,312 | $ | 15,240 | |||||||||||
Total Growth Percentage | 1.6 | % | |||||||||||||||||||||
Deposit Balances | |||||||||||||||||||||||
($ in thousands, except ratios) | Annual Growth | ||||||||||||||||||||||
Non-Int DDA | $ | 219,395 | $ | 228,713 | $ | 224,182 | $ | 218,411 | $ | 237,175 | $ | (17,780 | ) | ||||||||||
% of Total | 19.7 | % | 21.4 | % | 20.7 | % | 20.4 | % | 21.4 | % | -7.5 | % | |||||||||||
Interest DDA | 169,171 | 166,413 | 174,729 | 170,282 | 188,497 | (19,326 | ) | ||||||||||||||||
% of Total | 15.2 | % | 15.5 | % | 16.1 | % | 15.9 | % | 17.0 | % | -10.3 | % | |||||||||||
Savings | 244,157 | 216,965 | 226,077 | 225,065 | 227,974 | 16,183 | |||||||||||||||||
% of Total | 21.9 | % | 20.3 | % | 20.8 | % | 21.0 | % | 20.5 | % | 7.1 | % | |||||||||||
Money Market | 221,362 | 202,605 | 216,565 | 217,681 | 222,203 | (841 | ) | ||||||||||||||||
% of Total | 19.9 | % | 18.9 | % | 20.0 | % | 20.3 | % | 20.0 | % | -0.4 | % | |||||||||||
Time Deposits | 258,257 | 255,509 | 243,766 | 239,717 | 234,295 | 23,962 | |||||||||||||||||
% of Total | 23.2 | % | 23.9 | % | 22.5 | % | 22.4 | % | 21.1 | % | 10.2 | % | |||||||||||
Total Deposits | $ | 1,112,342 | $ | 1,070,205 | $ | 1,085,319 | $ | 1,071,156 | $ | 1,110,144 | $ | 2,198 | |||||||||||
Total Growth Percentage | 0.2 | % | |||||||||||||||||||||
Asset Quality
Significantly, the allowance for credit losses to nonperforming loans ratio has reached a strong 643 percent. This not only emphasizes our proactive and preemptive measures in managing asset quality but also exceeds the performance benchmark set in the previous year. This ratio reflects our structured approach to risk management, which is aligned with the Current Expected Credit Loss (CECL) methodology, ensuring we remain well-prepared for any contingencies.
Furthermore, the net loan charge-offs to average loans ratio, annualized at 0.02%, underlines our effective handling of loan repayments and the high quality of our credit portfolio. With such solid metrics, we continue to uphold our strong reputation for risk management and credit excellence.
Nonperforming Assets | |||||||||||||||||||||||
($ in thousands, except ratios) | Annual Change | ||||||||||||||||||||||
Commercial & Agriculture | $ | 897 | $ | 748 | $ | 717 | $ | 170 | $ | 185 | $ | 712 | |||||||||||
% of Total Com./Ag. loans | 0.49 | % | 0.39 | % | 0.40 | % | 0.09 | % | 0.10 | % | 384.9 | % | |||||||||||
Commercial RE | 49 | 168 | 222 | 192 | 199 | (150 | ) | ||||||||||||||||
% of Total CRE loans | 0.01 | % | 0.04 | % | 0.05 | % | 0.05 | % | 0.05 | % | -75.4 | % | |||||||||||
Residential RE | 1,295 | 1,690 | 2,182 | 2,266 | 2,742 | (1,447 | ) | ||||||||||||||||
% of Total Res. RE loans | 0.41 | % | 0.53 | % | 0.68 | % | 0.71 | % | 0.89 | % | -52.8 | % | |||||||||||
Consumer & Other | 193 | 212 | 208 | 282 | 270 | (77 | ) | ||||||||||||||||
% of Total Con./Oth. loans | 0.30 | % | 0.32 | % | 0.32 | % | 0.44 | % | 0.42 | % | -28.5 | % | |||||||||||
Total Nonaccruing Loans | 2,434 | 2,818 | 3,329 | 2,910 | 3,396 | (962 | ) | ||||||||||||||||
% of Total loans | 0.25 | % | 0.28 | % | 0.34 | % | 0.30 | % | 0.35 | % | -28.3 | % | |||||||||||
Foreclosed Assets and Other Assets | 510 | 511 | 629 | 625 | 650 | (140 | ) | ||||||||||||||||
Total Change (%) | -21.5 | % | |||||||||||||||||||||
Total Nonperforming Assets | $ | 2,944 | $ | 3,329 | $ | 3,958 | $ | 3,535 | $ | 4,046 | $ | (1,102 | ) | ||||||||||
% of Total assets | 0.22 | % | 0.25 | % | 0.30 | % | 0.26 | % | 0.30 | % | -27.24 | % | |||||||||||
Webcast and Conference Call
The Company will hold the first quarter 2024 earnings conference call and webcast on
About
Headquartered in
In
Forward-Looking Statements
Certain statements within this document, which are not statements of historical fact, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties, and actual results may differ materially from those predicted by the forward-looking statements. These risks and uncertainties include, but are not limited to, risks and uncertainties inherent in the national and regional banking industry, changes in economic conditions in the market areas in which
Non-GAAP Financial Measures
This press release contains financial information determined by methods other than in accordance with
Investor Contact Information:
Chairman, President and
Chief Executive Officer
Mark.Klein@YourStateBank.com
Executive Vice President and
Chief Financial Officer
Tony.Cosentino@YourStateBank.com
| |||||||||||||||||||
CONSOLIDATED BALANCE SHEETS - (Unaudited) | |||||||||||||||||||
March | December | September | June | March | |||||||||||||||
($ in thousands) | 2024 | 2023 | 2023 | 2023 | 2023 | ||||||||||||||
ASSETS | |||||||||||||||||||
Cash and due from banks | $ | 26,602 | $ | 22,965 | $ | 19,049 | $ | 20,993 | $ | 21,625 | |||||||||
Interest bearing time deposits | 2,417 | 1,535 | 1,180 | 1,180 | 1,380 | ||||||||||||||
Available-for-sale securities | 213,239 | 219,708 | 212,768 | 227,996 | 237,607 | ||||||||||||||
Loans held for sale | 4,730 | 2,525 | 3,206 | 5,684 | 5,592 | ||||||||||||||
Loans, net of unearned income | 991,552 | 1,000,212 | 989,021 | 984,824 | 976,312 | ||||||||||||||
Allowance for credit losses | (15,643 | ) | (15,786 | ) | (15,790 | ) | (15,795 | ) | (15,442 | ) | |||||||||
Premises and equipment, net | 20,985 | 21,378 | 21,934 | 22,230 | 22,621 | ||||||||||||||
6,512 | 7,279 | 6,261 | 7,634 | 6,054 | |||||||||||||||
Foreclosed assets and other assets | 510 | 511 | 629 | 625 | 650 | ||||||||||||||
Interest receivable | 4,584 | 4,657 | 4,457 | 4,079 | 3,926 | ||||||||||||||
23,239 | 23,239 | 23,239 | 23,239 | 23,239 | |||||||||||||||
Cash value of life insurance | 30,103 | 29,121 | 29,291 | 29,183 | 29,024 | ||||||||||||||
Mortgage servicing rights | 14,191 | 13,906 | 13,893 | 13,723 | 13,548 | ||||||||||||||
Other assets | 12,991 | 11,999 | 17,336 | 15,840 | 15,157 | ||||||||||||||
Total assets | $ | 1,336,012 | $ | 1,343,249 | $ | 1,326,474 | $ | 1,341,435 | $ | 1,341,293 | |||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||||||||||
Deposits | |||||||||||||||||||
Non interest bearing demand | $ | 219,395 | $ | 228,713 | $ | 224,182 | $ | 218,411 | $ | 237,175 | |||||||||
Interest bearing demand | 169,171 | 166,413 | 174,729 | 170,282 | 188,497 | ||||||||||||||
Savings | 244,157 | 216,965 | 226,077 | 225,065 | 227,974 | ||||||||||||||
Money market | 221,362 | 202,605 | 216,565 | 217,681 | 222,203 | ||||||||||||||
Time deposits | 258,257 | 255,509 | 243,766 | 239,717 | 234,295 | ||||||||||||||
Total deposits | 1,112,342 | 1,070,205 | 1,085,319 | 1,071,156 | 1,110,144 | ||||||||||||||
Short-term borrowings | 12,916 | 13,387 | 16,519 | 21,118 | 15,998 | ||||||||||||||
35,000 | 83,600 | 59,500 | 81,300 | 44,500 | |||||||||||||||
Trust preferred securities | 10,310 | 10,310 | 10,310 | 10,310 | 10,310 | ||||||||||||||
Subordinated debt net of issuance costs | 19,654 | 19,642 | 19,630 | 19,618 | 19,606 | ||||||||||||||
Interest payable | 2,772 | 2,443 | 2,216 | 1,866 | 1,441 | ||||||||||||||
Other liabilities | 19,295 | 19,320 | 20,632 | 18,401 | 19,535 | ||||||||||||||
Total liabilities | 1,212,289 | 1,218,907 | 1,214,126 | 1,223,769 | 1,221,534 | ||||||||||||||
Shareholders' Equity | |||||||||||||||||||
Common stock | 61,319 | 61,319 | 61,319 | 61,319 | 61,319 | ||||||||||||||
Additional paid-in capital | 14,978 | 15,124 | 15,037 | 15,154 | 14,953 | ||||||||||||||
Retained earnings | 109,938 | 108,486 | 105,521 | 103,725 | 101,548 | ||||||||||||||
Accumulated other comprehensive loss | (31,547 | ) | (29,831 | ) | (39,517 | ) | (32,894 | ) | (29,671 | ) | |||||||||
(30,965 | ) | (30,756 | ) | (30,012 | ) | (29,638 | ) | (28,390 | ) | ||||||||||
Total shareholders' equity | 123,723 | 124,342 | 112,348 | 117,666 | 119,759 | ||||||||||||||
Total liabilities and shareholders' equity | $ | 1,336,012 | $ | 1,343,249 | $ | 1,326,474 | $ | 1,341,435 | $ | 1,341,293 | |||||||||
CONSOLIDATED STATEMENTS OF INCOME - (Unaudited) | ||||||||||||||||||||
($ in thousands, except per share & ratios) | At and for the Three Months Ended | |||||||||||||||||||
March | December | September | June | March | ||||||||||||||||
Interest income | 2024 | 2023 | 2023 | 2023 | 2023 | |||||||||||||||
Loans | ||||||||||||||||||||
Taxable | $ | 13,547 | $ | 13,438 | $ | 13,128 | $ | 12,715 | $ | 12,126 | ||||||||||
Tax exempt | 123 | 124 | 122 | 121 | 116 | |||||||||||||||
Securities | ||||||||||||||||||||
Taxable | 1,593 | 1,526 | 1,507 | 1,524 | 1,535 | |||||||||||||||
Tax exempt | 37 | 38 | 39 | 46 | 47 | |||||||||||||||
Total interest income | 15,300 | 15,126 | 14,796 | 14,406 | 13,824 | |||||||||||||||
Interest expense | ||||||||||||||||||||
Deposits | 5,090 | 4,398 | 4,194 | 3,538 | 2,578 | |||||||||||||||
Repurchase agreements & other | 34 | 39 | 16 | 9 | 10 | |||||||||||||||
613 | 720 | 666 | 664 | 553 | ||||||||||||||||
Trust preferred securities | 188 | 191 | 189 | 172 | 164 | |||||||||||||||
Subordinated debt | 195 | 194 | 195 | 194 | 195 | |||||||||||||||
Total interest expense | 6,120 | 5,542 | 5,260 | 4,577 | 3,500 | |||||||||||||||
Net interest income | 9,180 | 9,584 | 9,536 | 9,829 | 10,324 | |||||||||||||||
Provision for credit losses | - | (74 | ) | (6 | ) | 145 | 250 | |||||||||||||
Net interest income after provision for loan losses | 9,180 | 9,658 | 9,542 | 9,684 | 10,074 | |||||||||||||||
Noninterest income | ||||||||||||||||||||
Wealth management fees | 865 | 838 | 837 | 940 | 917 | |||||||||||||||
Customer service fees | 880 | 844 | 863 | 871 | 825 | |||||||||||||||
Gain on sale of mtg. loans & OMSR | 781 | 747 | 1,207 | 1,056 | 599 | |||||||||||||||
Mortgage loan servicing fees, net | 671 | 561 | 438 | 494 | 608 | |||||||||||||||
Gain on sale of non-mortgage loans | 10 | 177 | 10 | 218 | 24 | |||||||||||||||
Title insurance revenue | 266 | 378 | 429 | 455 | 373 | |||||||||||||||
Net gain on sales of securities | - | 1,453 | - | - | - | |||||||||||||||
Gain (loss) on sale of assets | - | 16 | - | 15 | (11 | ) | ||||||||||||||
Other | 478 | 517 | 379 | 312 | 331 | |||||||||||||||
Total noninterest income | 3,951 | 5,531 | 4,163 | 4,361 | 3,666 | |||||||||||||||
Noninterest expense | ||||||||||||||||||||
Salaries and employee benefits | 5,352 | 5,652 | 5,491 | 5,721 | 5,913 | |||||||||||||||
Net occupancy expense | 769 | 746 | 764 | 802 | 784 | |||||||||||||||
Equipment expense | 1,077 | 1,027 | 1,068 | 1,002 | 981 | |||||||||||||||
Data processing fees | 769 | 680 | 648 | 685 | 646 | |||||||||||||||
Professional fees | 758 | 926 | 623 | 612 | 863 | |||||||||||||||
Marketing expense | 197 | 182 | 189 | 213 | 198 | |||||||||||||||
Telephone and communication expense | 105 | 132 | 124 | 124 | 121 | |||||||||||||||
Postage and delivery expense | 97 | 167 | 100 | 78 | 87 | |||||||||||||||
State, local and other taxes | 245 | 285 | 218 | 218 | 228 | |||||||||||||||
Employee expense | 178 | 146 | 141 | 156 | 188 | |||||||||||||||
Other expenses | 735 | 426 | 1,115 | 728 | 764 | |||||||||||||||
Total noninterest expense | 10,282 | 10,369 | 10,481 | 10,339 | 10,773 | |||||||||||||||
Income before income tax expense | 2,849 | 4,820 | 3,224 | 3,706 | 2,967 | |||||||||||||||
Income tax expense | 481 | 937 | 537 | 631 | 517 | |||||||||||||||
Net income | $ | 2,368 | $ | 3,883 | $ | 2,687 | $ | 3,075 | $ | 2,450 | ||||||||||
Common share data: | ||||||||||||||||||||
Basic earnings per common share | $ | 0.35 | $ | 0.58 | $ | 0.40 | $ | 0.45 | $ | 0.35 | ||||||||||
Diluted earnings per common share | $ | 0.35 | $ | 0.57 | $ | 0.39 | $ | 0.44 | $ | 0.35 | ||||||||||
Average shares outstanding (in thousands): | ||||||||||||||||||||
Basic: | 6,715 | 6,748 | 6,791 | 6,847 | 6,933 | |||||||||||||||
Diluted: | 6,723 | 6,851 | 6,878 | 6,910 | 7,008 | |||||||||||||||
CONSOLIDATED FINANCIAL HIGHLIGHTS - (Unaudited) | ||||||||||||||||||||
($ in thousands, except per share & ratios) | At and for the Three Months Ended | |||||||||||||||||||
March | December | September | June | March | ||||||||||||||||
SUMMARY OF OPERATIONS | 2024 | 2023 | 2023 | 2023 | 2023 | |||||||||||||||
Net interest income | $ | 9,180 | $ | 9,584 | $ | 9,536 | $ | 9,829 | $ | 10,324 | ||||||||||
Tax-equivalent adjustment | 43 | 43 | 43 | 44 | 43 | |||||||||||||||
Tax-equivalent net interest income | 9,223 | 9,627 | 9,579 | 9,873 | 10,367 | |||||||||||||||
Provision for credit loss | - | (74 | ) | (6 | ) | 145 | 250 | |||||||||||||
Noninterest income | 3,951 | 5,531 | 4,163 | 4,361 | 3,666 | |||||||||||||||
Total operating revenue | 13,131 | 15,115 | 13,699 | 14,190 | 13,990 | |||||||||||||||
Noninterest expense | 10,282 | 10,369 | 10,481 | 10,339 | 10,773 | |||||||||||||||
Pre-tax pre-provision income | 2,849 | 4,746 | 3,218 | 3,851 | 3,217 | |||||||||||||||
Pretax income | 2,849 | 4,820 | 3,224 | 3,706 | 2,967 | |||||||||||||||
Net income | 2,368 | 3,883 | 2,687 | 3,075 | 2,450 | |||||||||||||||
PER SHARE INFORMATION: | ||||||||||||||||||||
Basic earnings per share (EPS) | 0.35 | 0.58 | 0.40 | 0.45 | 0.35 | |||||||||||||||
Diluted earnings per share | 0.35 | 0.57 | 0.39 | 0.44 | 0.35 | |||||||||||||||
Common dividends | 0.135 | 0.135 | 0.130 | 0.130 | 0.125 | |||||||||||||||
Book value per common share | 18.46 | 18.50 | 16.59 | 17.30 | 17.37 | |||||||||||||||
Tangible book value per common share (TBV) | 14.93 | 14.98 | 13.09 | 13.81 | 13.93 | |||||||||||||||
Market price per common share | 13.78 | 15.35 | 13.50 | 12.62 | 14.13 | |||||||||||||||
Market price to TBV | 92.3 | % | 102.5 | % | 103.1 | % | 91.4 | % | 101.4 | % | ||||||||||
Market price to trailing 12 month EPS | 7.9 | 8.8 | 8.0 | 7.1 | 8.2 | |||||||||||||||
PERFORMANCE RATIOS: | ||||||||||||||||||||
Return on average assets (ROAA) | 0.71 | % | 1.17 | % | 0.80 | % | 0.91 | % | 0.73 | % | ||||||||||
Pre-tax pre-provision ROAA | 0.85 | % | 1.43 | % | 0.96 | % | 1.14 | % | 0.96 | % | ||||||||||
Return on average equity | 7.70 | % | 13.23 | % | 9.25 | % | 10.32 | % | 8.22 | % | ||||||||||
Return on average tangible equity | 9.53 | % | 16.57 | % | 11.62 | % | 12.89 | % | 10.26 | % | ||||||||||
Efficiency ratio | 78.17 | % | 68.44 | % | 76.34 | % | 72.71 | % | 76.85 | % | ||||||||||
Earning asset yield | 4.97 | % | 4.89 | % | 4.78 | % | 4.61 | % | 4.49 | % | ||||||||||
Cost of interest bearing liabilities | 2.55 | % | 2.33 | % | 2.18 | % | 1.90 | % | 1.46 | % | ||||||||||
Net interest margin | 2.98 | % | 3.10 | % | 3.08 | % | 3.15 | % | 3.35 | % | ||||||||||
Tax equivalent effect | 0.01 | % | 0.01 | % | 0.01 | % | 0.01 | % | 0.02 | % | ||||||||||
Net interest margin, tax equivalent | 2.99 | % | 3.11 | % | 3.09 | % | 3.16 | % | 3.37 | % | ||||||||||
Non interest income/Average assets | 1.19 | % | 1.67 | % | 1.24 | % | 1.30 | % | 1.10 | % | ||||||||||
Non interest expense/Average assets | 3.08 | % | 3.12 | % | 3.13 | % | 3.07 | % | 3.23 | % | ||||||||||
Net noninterest expense/Average assets | -1.90 | % | -1.46 | % | -1.89 | % | -1.78 | % | -2.13 | % | ||||||||||
ASSET QUALITY RATIOS: | ||||||||||||||||||||
Gross charge-offs | 66 | 5 | 12 | 32 | 69 | |||||||||||||||
Recoveries | 9 | 1 | 7 | 10 | 8 | |||||||||||||||
Net charge-offs | 57 | 4 | 5 | 22 | 61 | |||||||||||||||
Nonperforming loans/Total loans | 0.25 | % | 0.28 | % | 0.34 | % | 0.30 | % | 0.35 | % | ||||||||||
Nonperforming assets/Loans & OREO | 0.30 | % | 0.33 | % | 0.40 | % | 0.36 | % | 0.41 | % | ||||||||||
Nonperforming assets/Total assets | 0.22 | % | 0.25 | % | 0.30 | % | 0.26 | % | 0.30 | % | ||||||||||
Allowance for credit loss/Nonperforming loans | 642.69 | % | 560.18 | % | 474.32 | % | 542.78 | % | 454.71 | % | ||||||||||
Allowance for credit loss/Total loans | 1.58 | % | 1.58 | % | 1.60 | % | 1.60 | % | 1.58 | % | ||||||||||
Net loan charge-offs/Average loans (ann.) | 0.02 | % | 0.00 | % | 0.00 | % | 0.01 | % | 0.03 | % | ||||||||||
CAPITAL & LIQUIDITY RATIOS: | ||||||||||||||||||||
Loans/ Deposits | 89.14 | % | 93.46 | % | 91.13 | % | 91.94 | % | 87.94 | % | ||||||||||
Equity/ Assets | 9.26 | % | 9.26 | % | 8.47 | % | 8.77 | % | 8.93 | % | ||||||||||
Tangible equity/Tangible assets | 7.63 | % | 7.63 | % | 6.81 | % | 7.13 | % | 7.29 | % | ||||||||||
Common equity tier 1 ratio (Bank) | 13.63 | % | 13.42 | % | 13.56 | % | 13.18 | % | 13.44 | % | ||||||||||
END OF PERIOD BALANCES | ||||||||||||||||||||
Total assets | 1,336,012 | 1,343,249 | 1,326,474 | 1,341,435 | 1,341,293 | |||||||||||||||
Total loans | 991,552 | 1,000,212 | 989,021 | 984,824 | 976,312 | |||||||||||||||
Deposits | 1,112,342 | 1,070,205 | 1,085,319 | 1,071,156 | 1,110,144 | |||||||||||||||
Shareholders equity | 123,723 | 124,342 | 112,348 | 117,666 | 119,759 | |||||||||||||||
23,646 | 23,662 | 23,687 | 23,710 | 23,732 | ||||||||||||||||
Tangible equity | 100,077 | 100,680 | 88,661 | 93,956 | 96,027 | |||||||||||||||
Mortgage servicing portfolio | 1,371,713 | 1,366,667 | 1,367,209 | 1,353,904 | 1,344,158 | |||||||||||||||
Wealth/Brokerage assets under care | 525,517 | 501,829 | 478,236 | 499,255 | 518,009 | |||||||||||||||
Total assets under care | 3,233,242 | 3,211,745 | 3,171,919 | 3,194,594 | 3,203,460 | |||||||||||||||
Full-time equivalent employees | 245 | 251 | 252 | 253 | 255 | |||||||||||||||
Period end common shares outstanding | 6,702 | 6,720 | 6,773 | 6,803 | 6,894 | |||||||||||||||
Market capitalization (all) | 92,359 | 103,147 | 91,437 | 85,857 | 97,419 | |||||||||||||||
AVERAGE BALANCES | ||||||||||||||||||||
Total assets | 1,333,236 | 1,327,415 | 1,339,870 | 1,346,010 | 1,335,056 | |||||||||||||||
Total earning assets | 1,230,736 | 1,236,165 | 1,239,145 | 1,248,813 | 1,232,018 | |||||||||||||||
Total loans | 993,310 | 992,337 | 989,089 | 988,348 | 970,813 | |||||||||||||||
Deposits | 1,091,803 | 1,084,939 | 1,095,414 | 1,100,344 | 1,098,935 | |||||||||||||||
Shareholders equity | 123,058 | 117,397 | 116,165 | 119,177 | 119,237 | |||||||||||||||
23,654 | 23,675 | 23,698 | 23,721 | 23,743 | ||||||||||||||||
Tangible equity | 99,404 | 93,722 | 92,467 | 95,456 | 95,494 | |||||||||||||||
Average basic shares outstanding | 6,715 | 6,748 | 6,791 | 6,847 | 6,933 | |||||||||||||||
Average diluted shares outstanding | 6,723 | 6,851 | 6,878 | 6,910 | 7,008 | |||||||||||||||
Rate Volume Analysis - (Unaudited) | |||||||||||||||
For the Three Months Ended | |||||||||||||||
($ in thousands) | Three Months Ended | Three Months Ended | |||||||||||||
Average | Average | Average | Average | ||||||||||||
Assets | Balance | Interest | Rate | Balance | Interest | Rate | |||||||||
Taxable securities/cash | $ | 230,981 | $ | 1,593 | 2.76 | % | $ | 253,449 | $ | 1,535 | 2.42 | % | |||
Nontaxable securities | 6,445 | 37 | 2.30 | % | 7,756 | 47 | 2.42 | % | |||||||
Loans, net | 993,310 | 13,670 | 5.50 | % | 970,813 | 12,242 | 5.04 | % | |||||||
Total earning assets | 1,230,736 | 15,300 | 4.97 | % | 1,232,018 | 13,824 | 4.49 | % | |||||||
Cash and due from banks | 4,512 | 11,067 | |||||||||||||
Allowance for loan losses | (15,830 | ) | (14,763 | ) | |||||||||||
Premises and equipment | 21,281 | 22,858 | |||||||||||||
Other assets | 92,537 | 83,876 | |||||||||||||
Total assets | $ | 1,333,236 | $ | 1,335,056 | |||||||||||
Liabilities | |||||||||||||||
Savings, MMDA and interest bearing demand | $ | 605,243 | $ | 2,525 | 1.67 | % | $ | 643,081 | $ | 1,285 | 0.80 | % | |||
Time deposits | 258,592 | 2,565 | 3.97 | % | 214,978 | 1,293 | 2.41 | % | |||||||
Repurchase agreements & other | 15,993 | 34 | 0.85 | % | 18,618 | 10 | 0.21 | % | |||||||
Advances from | 51,030 | 613 | 4.81 | % | 49,177 | 553 | 4.50 | % | |||||||
Trust preferred securities | 10,310 | 188 | 7.29 | % | 10,310 | 164 | 6.36 | % | |||||||
Subordinated debt | 19,646 | 195 | 3.97 | % | 19,598 | 195 | 3.98 | % | |||||||
Total interest bearing liabilities | 960,814 | 6,120 | 2.55 | % | 955,762 | 3,500 | 1.46 | % | |||||||
Non interest bearing demand | 227,968 | - | 240,876 | - | |||||||||||
Total funding | 1,188,782 | 2.06 | % | 1,196,638 | 1.17 | % | |||||||||
Other liabilities | 21,396 | 21,347 | |||||||||||||
Total liabilities | 1,210,178 | 1,217,985 | |||||||||||||
Equity | 123,058 | 117,071 | |||||||||||||
Total liabilities and equity | $ | 1,333,236 | $ | 1,335,056 | |||||||||||
Net interest income | $ | 9,180 | $ | 10,324 | |||||||||||
Net interest income as a percent of average interest-earning assets - GAAP measure | 2.98 | % | 3.35 | % | |||||||||||
Net interest income as a percent of average interest-earning assets - non GAAP | 2.99 | % | 3.37 | % | |||||||||||
- Computed on a fully tax equivalent (FTE) basis |
Non-GAAP reconciliation | Three Months Ended | ||||||
($ in thousands, except per share & ratios) | |||||||
Total Operating Revenue | $ | 13,131 | $ | 13,990 | |||
Adjustment to (deduct)/add OMSR recapture/impairment * | (181 | ) | (56 | ) | |||
Adjusted Total Operating Revenue | 12,950 | 13,934 | |||||
Income before Income Taxes | 2,849 | 2,967 | |||||
Adjustment for OMSR * | (181 | ) | (56 | ) | |||
Adjusted Income before Income Taxes | 2,668 | 2,911 | |||||
Provision for Income Taxes | 481 | 517 | |||||
Adjustment for OMSR ** | (38 | ) | (12 | ) | |||
Adjusted Provision for Income Taxes | 443 | 505 | |||||
Net Income | 2,368 | 2,450 | |||||
Adjustment for OMSR * | (143 | ) | (44 | ) | |||
Adjusted Net Income | 2,225 | 2,406 | |||||
Diluted Earnings per Share | 0.35 | 0.35 | |||||
Adjustment for OMSR * | (0.02 | ) | (0.01 | ) | |||
Adjusted Diluted Earnings per Share | $ | 0.33 | $ | 0.34 | |||
Return on Average Assets | 0.71 | % | 0.73 | % | |||
Adjustment for OMSR * | -0.04 | % | -0.01 | % | |||
Adjusted Return on Average Assets | 0.67 | % | 0.72 | % | |||
*valuation adjustment to the Company's mortgage servicing rights | |||||||
**tax effect is calculated using a 21% statutory federal corporate income tax rate |
Source:
2024 GlobeNewswire, Inc., source