CBB Bancorp, Inc. Reports Second Quarter 2022 Financial Results

Jul 29th, 2022 13:00 EST

LOS ANGELES--(BUSINESS WIRE)--CBB Bancorp, Inc. ("CBB" or the "Company') (OTCQX: CBBI), the holding company of Commonwealth Business Bank (the "Bank"), announced today net income for second quarter 2022 of $6.5 million, or $0.62 per diluted share, a decrease of 23.2% compared to $8.4 million, or $0.80 per diluted share, in the prior quarter and an increase of 2.4% compared to $6.3 million, or $0.61 per diluted share, in the same period last year.

Overall Results

Net income for second quarter 2022 was affected by higher loan loss provisions during the quarter as a result of increases in past due and classified loans and growth in the loan portfolio. Core earnings remained strong, as our net interest margin and efficiency ratio improved from the prior quarter. Our return on average assets for second quarter 2022 was 1.43% compared to 1.91% for first quarter 2022 and 1.70% for second quarter 2021. Our return on average equity for second quarter 2022 was 13.30%, compared to 18.08% for first quarter 2022 and 14.91% for second quarter 2021. Our net interest margin for second quarter 2022 was 3.75%, compared to 3.68% for first quarter 2022 and 3.75% for second quarter 2021. Our efficiency ratio for second quarter 2022 was 49.45%, compared to 50.71% for first quarter 2022 and 52.24% for second quarter 2021.

James Hong, President and CEO, commented, “We are pleased to announce strong core earnings for the second quarter of 2022, despite the uncertain economic climate. We continue to see opportunities to add to our core earnings going forward through the addition of quality loan and deposit customers.”

Net Interest Income and Margin

Net Interest Income

Net interest income for second quarter 2022 was $16.4 million, an increase of $615 thousand, or 3.9%, from first quarter 2022, and an increase of $2.9 million, or 21.2%, from second quarter 2021. The increase in net interest income compared with the prior quarter was driven by loan growth, as well as an increase in variable rate asset yields due to recent increases in interest rates by the Federal Reserve Bank. Net interest income growth compared with the second quarter of 2021 also benefited from the merger with Ohana Pacific Bank (OPB) as of July 1, 2021.

Net Interest Margin

Our net interest margin for second quarter 2022 was 3.75%, compared to 3.68% for first quarter 2022 and 3.75% for second quarter 2021. The increase in net interest margin compared to first quarter 2022 was due to increased interest income on cash and due from banks balances, which are immediately affected by the Federal Reserve’s interest rate changes. Our cost of funds for second quarter 2022 increased to 0.34% from 0.31% for first quarter 2022 and decreased from 0.42% for second quarter 2021.

Provision for Loan Losses:

The Company had a provision for loan losses for second quarter 2022 of $1.6 million, compared to a recovery of $1.2 million for first quarter 2022 and no provision for loan losses for second quarter 2021. The provision recorded for the current quarter was due to moderate increases in delinquencies and classified assets and growth in the loan portfolio. See Table 10 in this press release for additional information and trends.

Noninterest Income:

Noninterest income for second quarter 2022 was $4.5 million, compared to $5.6 million for first quarter 2022 and $5.0 million for second quarter 2021. The decrease in noninterest income in second quarter 2022 was primarily the result of decreased gains on sales of loans. Sales of SBA loans were $50.8 million with an average premium percentage received of 8.0% during the second quarter of 2022, compared with SBA loan sales of $50.5 million with an average premium percentage received of 11.0% during the first quarter of 2022 and SBA loan sales of $42.2 million with an average premium percentage received of 11.9% during the second quarter of 2021.

Noninterest Expense:

Noninterest expense for second quarter 2022 was $10.4 million, compared to $10.9 million for first quarter 2022 and $9.7 million for second quarter 2021. Salaries and employee benefits were substantially unchanged at $7.0 million in second quarter 2022 compared with the prior quarter, and up from $6.0 million in the second quarter of 2021. The decrease in other expenses compared to the first quarter of 2022 was in part due to the reversal of a provision for probable loss of $800 thousand that had been established with respect to an anticipated repurchase of SBA loans sold. The reversal was recorded to reflect the final settlement that was made with the SBA on the loans in question. The increased noninterest expense levels in the second quarter of 2022 compared to the prior year is primarily due to the inclusion of the operations of OPB, acquired as of July 1, 2021, for the full period.

Income Taxes:

The Company’s effective tax rate for second quarter 2022 was 28.3% compared to 28.4% for first quarter 2022 and 28.9% for second quarter 2021.

Balance Sheet:

Investment Securities:

Investment securities were $77.5 million at June 30, 2022, a decrease of $2.6 million from March 31, 2022 and $4.9 million from June 30, 2021. The decreases were due to principal paydowns. There were no portfolio additions in second quarter 2022, or in the comparable period of 2021.

Loans Receivable:

Loans receivable (including loans held for sale) at June 30, 2022 was $1.4 billion, an increase of $26.6 million, or 1.9%, from loans receivable at March 31, 2022, and an increase of $172.1 million, or 14.0%, from loans receivable at June 30, 2021. The increase in loan balances compared with the second quarter of 2021 was due to the $149.2 million in loans receivable that were acquired in the OPB merger as of July 1, 2021, as well as organic growth.

Our weighted average loan-to-value ratio of commercial real estate loans was 69.9% at June 30, 2022. Excluding SBA loans, our weighted average loan-to-value of CRE loans was 53.8%. For additional information, please go to www.cbb-bank.com under tab “About Us” and select “Investors Relations” to see 2Q 2022 Overview and COVID-19 update presentation.

Paycheck Protection Program (PPP):

PPP loans totaled $10.7 million at June 30, 2022. Net unearned fees on PPP loans as of June 30, 2022 were $271 thousand, and these fees are being accreted to income based on a two-year contractual maturity. The SBA approved $10.2 million in PPP loan forgiveness applications processed for our PPP loans in second quarter 2022.

Allowance for Loan Losses and Asset Quality:

Our allowance for loan losses at June 30, 2022 was $14.7 million, or 1.17% of portfolio loans, compared to $13.1 million, or 1.07% of portfolio loans, at March 31 2022 and compared to $14.9 million, or 1.32% of portfolio loans, at June 30, 2021. Excluding PPP loans of $10.7. million, which are government guaranteed, the allowance for loan losses at June 30, 2022 was 1.18%, compared to 1.09% and 1.42%, respectively, at March 31, 2022 and June 30, 2021. The decrease in the allowance as a percentage of the portfolio in the current quarter compared with the prior year is primarily due to loans acquired in the OPB merger, which have been recorded at market value and do not currently carry any loan loss allowance. Non-performing loans were $2.5 million at June 30, 2022, compared to $723 thousand at March 31, 2022 and $1.3 million at June 30, 2021. Loans with payment deferments are considered to be performing loans in accordance with regulatory guidance. Our coverage ratio of allowance for loan losses to nonperforming assets exceeded 500%. For additional information, please go to www.cbb-bank.com under tab “About Us” and select “Investors Relations” to see 2Q 2022 Overview and COVID-19 update presentation.

SBA Loans Held for Sale:

SBA loans held for sale at June 30, 2022 were $141.1 million, compared to $149.7 million at March 31, 2022 and $96.6 million at June 30, 2021. We continue to assess SBA loan sale premiums and plan to sell loans when we believe it is advantageous to do so. See comments under “Noninterest Income,” and Table 7 for additional SBA loan origination and sale data.

Deposits:

Deposits were $1.5 billion at June 30, 2022, down $18.6 million, or 1.2%, from March 31, 2022 and up $136.7 million, or 9.9%, from June 30, 2021. Noninterest-bearing demand deposits (“DDAs”) decreased $9.8 million, or 1.7%, to $566.6 million at June 30, 2022 from March 31, 2022 and decreased $5.7 million, or 1.0%, from June 30, 2021. DDAs were 38.2% of total deposits at June 30, 2022, compared to 38.4% at March 31, 2022 and 41.5% at June 30, 2021. NOW and MMDA accounts decreased $17.0 million, or 4.9%, to $327.5 million at June 30, 2022 from March 31, 2022 and increased $36.0 million, or 12.4%, from June 30, 2021. Time deposits increased $13.4 million, or 2.6%, at June 30, 2022 from March 31, 2022 and increased $61.1 million, or 12.9%, from June 30, 2021. Time deposits at June 30, 2022 were $534.7 million, or 35.3% of total deposits, compared to $521.4 million, or 34.0% of total deposits, at March 31, 2022, and $473.7 million, or 34.4% of total deposits, at June 30, 2021. The primary cause of the decreases in noninterest bearing deposit balances during 2022 compared with earlier quarters was a decline in escrow-related deposits sourced from our Specialty Deposit Group. The increase in total deposits compared with the second quarter of 2021 was due to normal growth combined with the completion of the merger with OPB during the third quarter of 2021.

Borrowings:

Borrowings at June 30, 2022, March 31, 2022 and June 30, 2021 consisted of $50.0 million of Federal Home Loan Bank of San Francisco advances at each date.

Capital:

Stockholders’ equity was $197.1 million at June 30, 2022, representing an increase of $6.0 million, or 3.2%, over stockholders’ equity of $191.1 million at March 31, 2022. Tangible book value per share at June 30, 2022 was $18.68, compared with $18.31 at March 31, 2022, an increase of $0.37 per share or 2.0%.

All of our regulatory capital ratios continue to exceed the minimum levels required to be considered “Well Capitalized” as defined for bank regulatory purposes and in compliance with the fully phased-in Basel III requirements, as shown on Table 11 in this press release. Our Common Equity Tier 1 risked-based capital at June 30, 2022 was 14.47% at the Company level and 14.38% at the Bank level.

About CBB Bancorp, Inc.:

CBB Bancorp, Inc. is the holding company of Commonwealth Business Bank, a full-service commercial bank which specializes in loans to small- to medium-sized businesses and does business as “CBB Bank.” As of June 30, 2022, the Bank has ten full-service banking offices in Los Angeles and Orange Counties in California, Dallas County in Texas and Honolulu, Hawaii; two SBA regional offices in Los Angeles and Dallas Counties; and five loan production offices in Texas, Georgia, Colorado and Washington. For additional information, please go to www.cbb-bank.com under tab “About Us” and select “Investors Relations” to see 2Q 2022 Overview and COVID-19 update presentation.

FORWARD-LOOKING STATEMENTS:

This press release contains forward-looking statements. These statements typically include words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “likely,” “may,” “outlook,” “plan,” “potential,” “predict,” “project,” “should,” “will,” “would” and similar terms and phrases, including references to assumptions. You should not place undue reliance on such statements. Forward-looking statements are based upon various assumptions and analyses made by the Company in light of management’s experience and its perception of historical trends, current conditions and expected future developments, as well as other factors it believes are appropriate under the circumstances. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors (many of which are beyond the Company’s control) that could cause actual results to differ materially from the anticipated future results expressed or implied by such forward-looking statements. Factors that could affect our results include, without limitation, the following: the timing and occurrence or non-occurrence of anticipated events may be subject to circumstances beyond the Company’s control; increases in competitive pressure among financial institutions or from non-financial institutions may occur; changes in the interest rate environment may reduce interest margins; changes in deposit flows, loan demand or real estate values may adversely affect the business of the Company and the Bank; significant increases in loan losses may occur; changes in accounting principles, policies or guidelines may cause the Company’s financial condition to be perceived differently by investors and stock market analysts; changes in corporate and/or individual income tax laws may adversely affect the Company’s financial condition or results of operations or the behavior of our loan and deposit customers; changes in general economic conditions, either nationally or locally in some or all areas in which the Company conducts business, the effects of the COVID-19 pandemic, and of other widespread outbreaks of disease or pandemics, together with related impacts on general economic conditions, including adverse impacts on our customers’ ability to make timely payments on their loans from us, reduced fee income due to reduced loan origination activity, reductions in or absence of gains on loan sales due to uncertainty in the loan sale market, and increased operating expense due to required changes in how we conduct our business may adversely affect us; conditions in the securities markets or the banking industry may be less favorable than the Company currently anticipates; legislation or regulatory changes may adversely affect the Company’s business; technological changes may be more difficult or expensive to implement or accommodate than the Company anticipates; there may be failures or breaches of our information technology security systems or those of our third party service providers; success or consummation of new business initiatives may be more difficult or expensive than the Company anticipates; or litigation or matters before regulatory agencies, whether currently existing or commencing in the future, may delay the occurrence or non-occurrence of events longer than the Company anticipates; we may encounter greater difficulty, delay and expense than we anticipate in integrating the personnel and operations of Ohana Pacific Bank or any other companies we acquire. The Company undertakes no obligation to revise any forward-looking statement contained herein to reflect any future events or circumstances, except to the extent required by law.

Schedules and Financial Data: All tables and data to follow

 

STATEMENT OF INCOME AND PERFORMANCE HIGHLIGHT (Unaudited) - Table 1

(Dollars in thousands, except per share amounts)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Six Months Ended

 

 

June 30,

 

March 31,

 

$

 

%

 

June 30,

 

$

 

%

 

June 30,

 

June 30,

 

$

 

%

 

 

2022

 

2022

 

Change

 

Change

 

2021

 

Change

 

Change

 

2022

 

2021

 

Change

 

Change

 
Interest income

$

17,807

 

$

17,032

 

$

775

 

4.6

%

$

14,923

 

$

2,884

 

19.3

%

$

34,839

 

$

29,295

 

$

5,544

 

18.9

%

Interest expense

 

1,369

 

 

1,209

 

 

160

 

13.2

%

 

1,358

 

 

11

 

0.8

%

 

2,578

 

 

2,891

 

 

(313

)

(10.8

%)

Net interest income

 

16,438

 

 

15,823

 

 

615

 

3.9

%

 

13,565

 

 

2,873

 

21.2

%

 

32,261

 

 

26,404

 

 

5,857

 

22.2

%

 
Provision for loan losses

 

1,600

 

 

(1,167

)

 

2,767

 

(237.1

%)

 

-

 

 

1,600

 

100.0

%

 

433

 

 

500

 

 

(67

)

(13.4

%)

Net interest income after provision for loan losses

 

14,838

 

 

16,990

 

 

(2,152

)

(12.7

%)

 

13,565

 

 

1,273

 

9.4

%

 

31,828

 

 

25,904

 

 

5,924

 

22.9

%

 
Gain on sale of loans

 

3,298

 

 

4,668

 

 

(1,370

)

(29.3

%)

 

3,988

 

 

(690

)

(17.3

%)

 

7,966

 

 

6,444

 

 

1,522

 

23.6

%

Gain (loss) on sale of OREO

 

-

 

 

-

 

 

-

 

-

 

 

-

 

 

-

 

-

 

 

-

 

 

-

 

 

-

 

-

 

SBA servicing fee income, net

 

778

 

 

469

 

 

309

 

65.9

%

 

622

 

 

156

 

25.1

%

 

1,247

 

 

1,469

 

 

(222

)

(15.1

%)

Reversal of valuation allowance on servicing assets

 

-

 

 

-

 

 

-

 

-

 

 

-

 

 

-

 

-

 

 

-

 

 

-

 

 

-

 

-

 

Service charges and other income

 

462

 

 

498

 

 

(36

)

(7.2

%)

 

395

 

 

67

 

17.0

%

 

960

 

 

774

 

 

186

 

24.0

%

Noninterest income

 

4,538

 

 

5,635

 

 

(1,097

)

(19.5

%)

 

5,005

 

 

(467

)

(9.3

%)

 

10,173

 

 

8,687

 

 

1,486

 

17.1

%

 
Salaries and employee benefits

 

6,994

 

 

7,065

 

 

(71

)

(1.0

%)

 

6,000

 

 

994

 

16.6

%

 

14,059

 

 

10,853

 

 

3,206

 

29.5

%

Occupancy and equipment

 

1,114

 

 

1,120

 

 

(6

)

(0.5

%)

 

945

 

 

169

 

17.9

%

 

2,234

 

 

1,924

 

 

310

 

16.1

%

Marketing expense

 

511

 

 

485

 

 

26

 

5.4

%

 

309

 

 

202

 

65.4

%

 

996

 

 

596

 

 

400

 

67.1

%

Professional expense

 

517

 

 

415

 

 

102

 

24.6

%

 

491

 

 

26

 

5.3

%

 

932

 

 

946

 

 

(14

)

(1.5

%)

Merger related expense

 

123

 

 

-

 

 

123

 

100.0

%

 

600

 

 

(477

)

(79.5

%)

 

123

 

 

1,281

 

 

(1,158

)

(90.4

%)

Other expenses

 

1,114

 

 

1,796

 

 

(682

)

(38.0

%)

 

1,356

 

 

(242

)

(17.8

%)

 

2,910

 

 

2,656

 

 

254

 

9.6

%

Noninterest expense

 

10,373

 

 

10,881

 

 

(508

)

(4.7

%)

 

9,701

 

 

672

 

6.9

%

 

21,254

 

 

18,256

 

 

2,998

 

16.4

%

 
Income before income tax expense

 

9,003

 

 

11,744

 

 

(2,741

)

(23.3

%)

 

8,869

 

 

134

 

1.5

%

 

20,747

 

 

16,335

 

 

4,412

 

27.0

%

 
Income tax expense

 

2,547

 

 

3,336

 

 

(789

)

(23.7

%)

 

2,566

 

 

(19

)

(0.7

%)

 

5,883

 

 

4,698

 

 

1,185

 

25.2

%

Net income

$

6,456

 

$

8,408

 

$

(1,952

)

(23.2

%)

$

6,303

 

$

153

 

2.4

%

$

14,864

 

$

11,637

 

$

3,227

 

27.7

%

 
Effective tax rate

 

28.3

%

 

28.4

%

 

(0.1

%)

(0.4

%)

 

28.9

%

 

(0.6

%)

(2.2

%)

 

28.4

%

 

28.8

%

 

(0.4

%)

(1.4

%)

 
Outstanding number of shares

 

10,416,601

 

 

10,299,361

 

 

117,240

 

1.1

%

 

10,279,962

 

 

136,639

 

1.3

%

 

10,416,601

 

 

10,279,962

 

 

136,639

 

1.3

%

 
Weighted average shares for basic EPS

 

10,305,014

 

 

10,291,071

 

 

13,943

 

0.1

%

 

10,262,956

 

 

42,058

 

0.4

%

 

10,298,081

 

 

10,255,167

 

 

42,914

 

0.4

%

Weighted average shares for diluted EPS

 

10,409,663

 

 

10,479,488

 

 

(69,825

)

(0.7

%)

 

10,392,427

 

 

17,236

 

0.2

%

 

10,441,230

 

 

10,346,516

 

 

94,714

 

0.9

%

 
Basic EPS

$

0.62

 

$

0.82

 

$

(0.20

)

(24.4

%)

$

0.61

 

$

0.01

 

1.6

%

$

1.44

 

$

1.13

 

$

0.31

 

27.4

%

Diluted EPS

$

0.62

 

$

0.80

 

$

(0.18

)

(22.5

%)

$

0.61

 

$

0.01

 

1.6

%

$

1.42

 

$

1.13

 

$

0.29

 

25.7

%

 
Return on average assets

 

1.43

%

 

1.91

%

 

(0.48

%)

(25.1

%)

 

1.70

%

 

(0.27

%)

(15.9

%)

 

1.67

%

 

1.65

%

 

0.02

%

1.2

%

Return on average equity

 

13.30

%

 

18.08

%

 

(4.78

%)

(26.4

%)

 

14.91

%

 

(1.61

%)

(10.8

%)

 

15.64

%

 

14.11

%

 

1.53

%

10.8

%

 
Efficiency ratio¹

 

49.45

%

 

50.71

%

 

(1.26

%)

(2.5

%)

 

52.24

%

 

(2.79

%)

(5.3

%)

 

50.09

%

 

52.02

%

 

(1.93

%)

(3.7

%)

Yield on interest-earning assets²

 

4.06

%

 

3.96

%

 

0.10

%

2.5

%

 

4.12

%

 

(0.06

%)

(1.5

%)

 

4.01

%

 

4.24

%

 

(0.23

%)

(5.4

%)

Cost of funds

 

0.34

%

 

0.31

%

 

0.03

%

9.7

%

 

0.42

%

 

(0.08

%)

(19.0

%)

 

0.33

%

 

0.47

%

 

(0.14

%)

(29.8

%)

Net interest margin²

 

3.75

%

 

3.68

%

 

0.07

%

1.9

%

 

3.75

%

 

0.00

%

0.0

%

 

3.71

%

 

3.82

%

 

(0.11

%)

(2.9

%)

1

Represents the ratio of noninterest expense less other real estate owned operations to the sum of net interest income before provision for credit losses and total noninterest income, less gains/(loss) on sale of securities, other-than-temporary impairment recovery/(loss) on investment securities and gain/(loss) from other real estate owned.

2

Amounts calculated on a fully taxable equivalent basis using the current statutory federal tax rate

 

BALANCE SHEET, CAPITAL AND OTHER DATA (Unaudited) - Table 2

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30,

 

March 31,

 

$

 

%

 

June 30,

 

$

 

%

 

 

2022

 

2022

 

Change

 

Change

 

2021

 

Change

 

Change

ASSETS
Cash and due from banks

$

18,087

 

$

14,579

 

$

3,508

 

24.1

%

$

10,509

 

$

7,578

 

72.1

%

Interest-earning deposits at the FRB and other banks

 

243,072

 

 

288,603

 

 

(45,531

)

(15.8

%)

 

240,932

 

 

2,140

 

0.9

%

Investment securities¹

 

77,469

 

 

80,104

 

 

(2,635

)

(3.3

%)

 

82,354

 

 

(4,885

)

(5.9

%)

Loans held-for-sale, at the lower of cost or fair value

 

141,104

 

 

149,733

 

 

(8,629

)

(5.8

%)

 

96,554

 

 

44,550

 

46.1

%

 
Loans receivable

 

1,260,939

 

 

1,225,739

 

 

35,200

 

2.9

%

 

1,133,371

 

 

127,568

 

11.3

%

Allowance for loan losses

 

(14,739

)

 

(13,089

)

 

(1,650

)

(12.6

%)

 

(14,908

)

 

169

 

1.1

%

Loans receivable, net

 

1,246,200

 

 

1,212,650

 

 

33,550

 

2.8

%

 

1,118,463

 

 

127,737

 

11.4

%

 
OREO

 

-

 

 

-

 

 

-

 

-

 

 

-

 

 

-

 

-

 

Restricted stock investments

 

10,111

 

 

8,850

 

 

1,261

 

14.2

%

 

8,850

 

 

1,261

 

14.2

%

Servicing assets

 

10,996

 

 

10,671

 

 

325

 

3.0

%

 

10,189

 

 

807

 

7.9

%

Goodwill

 

2,185

 

 

2,185

 

 

-

 

0.0

%

 

-

 

 

2,185

 

100.0

%

Intangible assets

 

331

 

 

346

 

 

(15

)

(4.3

%)

 

-

 

 

331

 

100.0

%

Other assets

 

28,060

 

 

24,061

 

 

3,999

 

16.6

%

 

45,071

 

 

(17,011

)

(37.7

%)

Total assets

$

1,777,615

 

$

1,791,782

 

$

(14,167

)

(0.8

%)

$

1,612,922

 

$

164,693

 

10.2

%

 
LIABILITIES AND STOCKHOLDERS' EQUITY
Noninterest-bearing

$

566,610

 

$

576,378

 

$

(9,768

)

(1.7

%)

$

572,284

 

$

(5,674

)

(1.0

%)

Interest-bearing

 

948,760

 

 

957,633

 

 

(8,873

)

(0.9

%)

 

806,397

 

 

142,363

 

17.7

%

Total deposits

 

1,515,370

 

 

1,534,011

 

 

(18,641

)

(1.2

%)

 

1,378,681

 

 

136,689

 

9.9

%

 
FHLB advances and other borrowing

 

50,000

 

 

50,000

 

 

-

 

-

 

 

50,000

 

 

-

 

0.0

%

Other liabilities

 

15,134

 

 

16,687

 

 

(1,553

)

(9.3

%)

 

13,026

 

 

2,108

 

16.2

%

Total liabilities

 

1,580,504

 

 

1,600,698

 

 

(20,194

)

(1.3

%)

 

1,441,707

 

 

138,797

 

9.6

%

 
Stockholders' Equity

 

197,111

 

 

191,084

 

 

6,027

 

3.2

%

 

171,215

 

 

25,896

 

15.1

%

TOTAL LIABILITIES & STOCKHOLDERS' EQUITY

$

1,777,615

 

$

1,791,782

 

$

(14,167

)

(0.8

%)

$

1,612,922

 

$

164,693

 

10.2

%

 
CAPITAL RATIOS
Leverage ratio
Company

 

10.80

%

 

10.56

%

 

0.24

%

2.3

%

 

11.35

%

 

(0.55

%)

(4.9

%)

Bank

 

10.73

%

 

10.55

%

 

0.18

%

1.7

%

 

11.33

%

 

(0.60

%)

(5.3

%)

Common equity tier 1 risk-based capital ratio
Company

 

14.47

%

 

14.50

%

 

(0.03

%)

(0.2

%)

 

14.39

%

 

0.08

%

0.6

%

Bank

 

14.38

%

 

14.50

%

 

(0.12

%)

(0.8

%)

 

14.37

%

 

0.01

%

0.1

%

Tier 1 risk-based capital ratio
Company

 

14.47

%

 

14.50

%

 

(0.03

%)

(0.2

%)

 

14.39

%

 

0.08

%

0.6

%

Bank

 

14.38

%

 

14.50

%

 

(0.12

%)

(0.8

%)

 

14.37

%

 

0.01

%

0.1

%

Total risk-based capital ratio
Company

 

15.63

%

 

15.57

%

 

0.06

%

0.4

%

 

15.64

%

 

(0.01

%)

(0.1

%)

Bank

 

15.53

%

 

15.57

%

 

(0.04

%)

(0.2

%)

 

15.62

%

 

(0.09

%)

(0.6

%)

Tangible common equity per share

$

18.68

 

$

18.31

 

$

0.37

 

2.0

%

$

16.66

 

$

2.02

 

12.1

%

Loan-to-Deposit (LTD) ratio

 

83.21

%

 

79.90

%

 

3.31

%

4.1

%

 

82.21

%

 

1.00

%

1.2

%

Nonperforming assets

$

2,532

 

$

723

 

$

1,809

 

250.2

%

$

1,339

 

$

1,193

 

89.1

%

Nonperforming assets as a % of loans receivable

 

0.20

%

 

0.06

%

 

0.14

%

233.3

%

 

0.12

%

 

0.08

%

66.7

%

ALLL as a % of loans receivable

 

1.17

%

 

1.07

%

 

0.10

%

9.3

%

 

1.32

%

 

(0.15

%)

(11.4

%)

ALLL as a % of loans receivable exc. SBA PPP loans

 

1.18

%

 

1.09

%

 

0.09

%

8.3

%

 

1.42

%

 

(0.24

%)

(16.9

%)

1

Includes AFS and HTM

 

FIVE-QUARTER STATEMENT OF INCOME (Unaudited) - Table 3

(Dollars in thousands, except per share amounts)

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

June 30,

 

March 31,

 

December 31,

 

September 30,

 

June 30,

 

 

2022

 

2022

 

2021

 

2021

 

2021

 
Interest income

$

17,807

 

$

17,032

 

$

17,553

 

$

17,437

 

$

14,923

 

Interest expense

 

1,369

 

 

1,209

 

 

1,265

 

 

1,337

 

 

1,358

 

Net interest income

 

16,438

 

 

15,823

 

 

16,288

 

 

16,100

 

 

13,565

 

 
Provision for loan losses

 

1,600

 

 

(1,167

)

 

(800

)

 

-

 

 

-

 

 
Net interest income after provision for loan losses

 

14,838

 

 

16,990

 

 

17,088

 

 

16,100

 

 

13,565

 

 
Gain on sale of loans

 

3,298

 

 

4,668

 

 

4,151

 

 

4,305

 

 

3,988

 

Gain (loss) on sale of OREO

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

SBA servicing fee income, net

 

778

 

 

469

 

 

683

 

 

698

 

 

622

 

Reversal of valuation allowance on servicing assets

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Service charges and other income

 

462

 

 

498

 

 

499

 

 

540

 

 

395

 

Noninterest income

 

4,538

 

 

5,635

 

 

5,333

 

 

5,543

 

 

5,005

 

 
Salaries and employee benefits

 

6,994

 

 

7,065

 

 

6,614

 

 

6,500

 

 

6,000

 

Occupancy and equipment

 

1,114

 

 

1,120

 

 

1,028

 

 

1,067

 

 

945

 

Marketing expense

 

511

 

 

485

 

 

111

 

 

287

 

 

309

 

Professional expense

 

517

 

 

415

 

 

368

 

 

495

 

 

491

 

Merger related expense

 

123

 

 

-

 

 

454

 

 

450

 

 

600

 

Other expenses

 

1,114

 

 

1,796

 

 

2,850

 

 

1,807

 

 

1,356

 

Noninterest expense

 

10,373

 

 

10,881

 

 

11,425

 

 

10,606

 

 

9,701

 

 
Income before income tax expense

 

9,003

 

 

11,744

 

 

10,996

 

 

11,037

 

 

8,869

 

 
Income tax expense

 

2,547

 

 

3,336

 

 

2,984

 

 

3,156

 

 

2,566

 

Net income

$

6,456

 

$

8,408

 

$

8,012

 

$

7,881

 

$

6,303

 

 
Effective tax rate

 

28.3

%

 

28.4

%

 

27.1

%

 

28.6

%

 

28.9

%

 
Outstanding number of shares

 

10,416,601

 

 

10,299,361

 

 

10,284,962

 

 

10,284,962

 

 

10,279,962

 

 
Weighted average shares for basic EPS

 

10,305,014

 

 

10,291,071

 

 

10,284,962

 

 

10,280,016

 

 

10,262,956

 

Weighted average shares for diluted EPS

 

10,409,663

 

 

10,479,488

 

 

10,424,771

 

 

10,427,687

 

 

10,392,427

 

 
Basic EPS

$

0.62

 

$

0.82

 

$

0.78

 

$

0.77

 

$

0.61

 

Diluted EPS

$

0.62

 

$

0.80

 

$

0.77

 

$

0.75

 

$

0.61

 

 

FIVE-QUARTER SALARIES BENEFIT METRICS (Unaudited) - Table 4

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

At or for the Three Months Ended

 

 

June 30,

 

March 31,

 

December 31,

 

September 30,

 

June 30,

 

 

2022

 

2022

 

2021

 

2021

 

2021

 
Salaries and benefits

$

6,994

 

$

7,065

 

$

6,614

 

$

6,500

 

$

6,000

 

FTE at the end of period

 

199

 

 

208

 

 

205

 

 

200

 

 

183

 

Average FTE during the period

 

201

 

 

206

 

 

201

 

 

202

 

 

182

 

Salaries and benefits/average FTE¹

$

140

 

$

139

 

$

131

 

$

127

 

$

132

 

Salaries and benefits/average assets¹

 

1.55

%

 

1.60

%

 

1.39

%

 

1.43

%

 

1.62

%

Noninterest expense/average assets¹

 

2.30

%

 

2.47

%

 

2.40

%

 

2.33

%

 

2.62

%

1

Annualized

 

FIVE-QUARTER BALANCE SHEET (Unaudited) - Table 5

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30,

 

March 31,

 

December 31,

 

September 30,

 

June 30,

 

 

2022

 

2022

 

2021

 

2021

 

2021

ASSETS
Cash and due from banks

$

18,087

 

$

14,579

 

$

7,702

 

$

11,621

 

$

10,509

 

Interest-earning deposits at the FRB and other banks

 

243,072

 

 

288,603

 

 

284,583

 

 

386,087

 

 

240,932

 

Investment securities¹

 

77,469

 

 

80,104

 

 

84,238

 

 

86,440

 

 

82,354

 

Loans held-for-sale, at the lower of cost or fair value

 

141,104

 

 

149,733

 

 

158,128

 

 

136,394

 

 

96,554

 

 
Loans receivable

 

1,260,939

 

 

1,225,739

 

 

1,241,319

 

 

1,255,814

 

 

1,133,371

 

Allowance for loan losses

 

(14,739

)

 

(13,089

)

 

(14,192

)

 

(15,000

)

 

(14,908

)

Loans receivable, net

 

1,246,200

 

 

1,212,650

 

 

1,227,127

 

 

1,240,814

 

 

1,118,463

 

 
OREO

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Restricted stock investments

 

10,111

 

 

8,850

 

 

8,850

 

 

8,850

 

 

8,850

 

Servicing assets

 

10,996

 

 

10,671

 

 

10,632

 

 

10,392

 

 

10,189

 

Goodwill

 

2,185

 

 

2,185

 

 

2,185

 

 

2,269

 

 

-

 

Intangible assets

 

331

 

 

346

 

 

360

 

 

375

 

 

-

 

Other assets

 

28,060

 

 

24,061

 

 

25,450

 

 

25,859

 

 

45,071

 

Total assets

$

1,777,615

 

$

1,791,782

 

$

1,809,255

 

$

1,909,101

 

$

1,612,922

 

 
LIABILITIES AND STOCKHOLDERS' EQUITY
Noninterest-bearing

$

566,610

 

$

576,378

 

$

619,774

 

$

670,489

 

$

572,284

 

Interest-bearing

 

948,760

 

 

957,633

 

 

938,338

 

 

995,574

 

 

806,397

 

Total deposits

 

1,515,370

 

 

1,534,011

 

 

1,558,112

 

 

1,666,063

 

 

1,378,681

 

 
FHLB advances

 

50,000

 

 

50,000

 

 

50,000

 

 

50,000

 

 

50,000

 

Other liabilities

 

15,134

 

 

16,687

 

 

15,901

 

 

14,719

 

 

13,026

 

Total liabilities

 

1,580,504

 

 

1,600,698

 

 

1,624,013

 

 

1,730,782

 

 

1,441,707

 

 
Stockholders' Equity

 

197,111

 

 

191,084

 

 

185,242

 

 

178,319

 

 

171,215

 

TOTAL LIABILITIES & STOCKHOLDERS' EQUITY

$

1,777,615

 

$

1,791,782

 

$

1,809,255

 

$

1,909,101

 

$

1,612,922

 

1

Includes AFS and HTM

 

FIVE-QUARTER LOANS RECEIVABLE COMPONENTS (Unaudited) - Table 6

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30, 2022

 

March 31, 2022

 

December 31, 2021

 

September 30, 2021

 

June 30, 2021

 

 

Balance

 

%

 

Balance

 

%

 

Balance

 

%

 

Balance

 

%

 

Balance

 

%

 
Construction

$

23,431

1.9

%

$

18,541

1.5

%

$

23,939

1.9

%

$

21,725

1.7

%

$

18,753

1.7

%

Commercial real estate

 

1,023,298

81.1

%

 

976,924

79.7

%

 

978,995

78.9

%

 

971,387

77.3

%

 

893,700

78.8

%

Commercial and industrial

 

146,175

11.6

%

 

159,111

13.0

%

 

169,489

13.7

%

 

198,217

15.8

%

 

217,350

19.2

%

Home mortgage

 

57,612

4.57

%

 

59,836

4.9

%

 

61,030

4.9

%

 

60,075

4.8

%

 

-

-

 

Consumer

 

6,609

0.5

%

 

7,589

0.6

%

 

4,269

0.3

%

 

2,185

0.2

%

 

2,236

0.2

%

Gross loans

 

1,257,125

99.7

%

 

1,222,001

99.7

%

 

1,237,722

99.7

%

 

1,253,589

99.8

%

 

1,132,039

99.9

%

 
Net deferred loan fees/costs

 

3,814

0.3

%

 

3,738

0.3

%

 

3,597

0.3

%

 

2,225

0.2

%

 

1,332

0.1

%

Loans receivable

$

1,260,939

100.0

%

$

1,225,739

100.0

%

$

1,241,319

100.0

%

$

1,255,814

100.0

%

$

1,133,371

100.0

%

 
Loans held-for-sale

$

141,104

$

149,733

$

158,128

$

136,394

$

96,554

Loans receivable, including loans held-for-sale

$

1,402,043

$

1,375,472

$

1,399,447

$

1,392,208

$

1,229,925

 

FIVE-QUARTER SBA LOAN PRODUCTIONS/SALES DATA (Unaudited) - Table 7

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

June 30,

 

March 31,

 

December 31,

 

September 30,

 

June 30,

 

2022

 

2022

 

2021

 

2021

 

2021

 
SBA loans held-for-sale at beginning of the quarter/year

$

149,733

 

$

158,128

 

$

136,394

 

$

96,554

 

$

76,066

 

SBA loans originated/transferred from/to held-for-investment during the quarter/year

 

43,451

 

 

43,132

 

 

68,136

 

 

82,303

 

 

62,864

 

SBA loans sold during the quarter/year

 

(50,845

)

 

(50,531

)

 

(42,210

)

 

(42,019

)

 

(42,163

)

SBA loans principal payment, net of advance

 

(1,235

)

 

(996

)

 

(4,193

)

 

(444

)

 

(213

)

SBA loans held-for-sale at end of the quarter/year

$

141,104

 

$

149,733

 

$

158,128

 

$

136,394

 

$

96,554

 

 
Gain on sale of SBA loans

$

3,298

 

$

4,668

 

$

4,151

 

$

4,305

 

$

3,988

 

Premium on sale (weighted average)

 

8.0

%

 

11.0

%

 

11.1

%

 

11.5

%

 

11.9

%

 
SBA loan production

$

56,676

 

$

54,523

 

$

82,448

 

$

93,986

 

$

78,058

 

Non-PPP loans

 

56,676

 

 

54,523

 

 

82,448

 

 

93,986

 

 

75,065

 

PPP loans

 

-

 

 

-

 

 

-

 

 

-

 

 

2,994

 

 
FIVE QUARTER SBA SERVICING ASSETS AND SERVICING FEES (Unaudited) - Table 8
(Dollars in thousands)
 

Three Months Ended

June 30,

 

March 31,

 

December 31,

 

September 30,

 

June 30,

2022

 

2022

 

2021

 

2021

 

2021

 
 
SBA servicing assets @ beginning of the quarter/year

$

10,671

 

$

10,632

 

$

10,392

 

$

10,189

 

$

10,000

 

 
Newly added SBA servicing assets from SBA loans sold

 

1,081

 

 

1,052

 

 

1,006

 

 

920

 

 

897

 

Regular quarterly/annual servicing assets amortization

 

(478

)

 

(462

)

 

(453

)

 

(421

)

 

(422

)

SBA servicing assets amortized from SBA loans paid off/charged off

 

(278

)

 

(551

)

 

(313

)

 

(296

)

 

(286

)

 
Subtotal before impairment

 

10,996

 

 

10,671

 

 

10,632

 

 

10,392

 

 

10,189

 

 
Reversal of valuation allowance on servicing assets

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

 
SBA servicing assets @ the end of the quarter/year

$

10,996

 

$

10,671

 

$

10,632

 

$

10,392

 

$

10,189

 

 

FIVE-QUARTER DEPOSIT COMPONENTS (Unaudited) - Table 9

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30, 2022

 

March 31, 2022

 

December 31, 2021

 

September 30, 2021

 

June 30, 2021

 

 

Balance

 

%

 

Balance

 

%

 

Balance

 

%

 

Balance

 

%

 

Balance

 

%

 
Noninterest-bearing demand

$

566,610

37.4

%

$

576,378

37.6

%

$

619,774

39.8

%

$

670,489

40.2

%

$

572,284

41.5

%

Interest-bearing demand

 

12,754

0.8

%

 

12,059

0.8

%

 

10,723

0.7

%

 

10,904

0.7

%

 

-

-

 

NOW & MMDA

 

327,477

21.6

%

 

344,501

22.5

%

 

325,313

20.9

%

 

376,549

22.6

%

 

291,437

21.1

%

Savings

 

73,791

4.9

%

 

79,685

5.2

%

 

76,588

4.9

%

 

75,497

4.5

%

 

41,284

3.0

%

TCDs of $250K and under

 

245,203

16.2

%

 

253,617

16.5

%

 

259,758

16.7

%

 

264,130

15.9

%

 

219,174

15.9

%

TCDs of $250K over

 

198,518

13.1

%

 

176,754

11.5

%

 

174,939

11.2

%

 

177,477

10.7

%

 

158,485

11.5

%

Wholesale TCDs

 

91,017

6.0

%

 

91,017

5.9

%

 

91,017

5.8

%

 

91,017

5.5

%

 

96,017

7.0

%

Total Deposits

$

1,515,370

100.0

%

$

1,534,011

100.0

%

$

1,558,112

100.0

%

$

1,666,063

100.0

%

$

1,378,681

100.0

%

 
Recap:
Noninterest-bearing demand

$

566,610

37.4

%

$

576,378

37.6

%

$

619,774

39.8

%

$

670,489

40.2

%

$

572,284

41.5

%

Interest-bearing demand

 

12,754

0.8

%

 

12,059

0.8

%

 

10,723

0.7

%

 

10,904

0.7

%

 

-

-

 

NOW & MMDA

 

327,477

21.6

%

 

344,501

22.5

%

 

325,313

20.9

%

 

376,549

22.6

%

 

291,437

21.1

%

Savings

 

73,791

4.9

%

 

79,685

5.2

%

 

76,588

4.9

%

 

75,497

4.5

%

 

41,284

3.0

%

TCDs of $250K and under

 

245,203

16.2

%

 

253,617

16.5

%

 

259,758

16.7

%

 

264,130

15.9

%

 

219,174

15.9

%

Core Deposits

 

1,225,835

80.9

%

 

1,266,240

82.6

%

 

1,292,156

83.0

%

 

1,397,569

83.9

%

 

1,124,179

81.5

%

 
TCDs of $250K over

 

198,518

13.1

%

 

176,754

11.5

%

 

174,939

11.2

%

 

177,477

10.7

%

 

158,485

11.5

%

Wholesale TCDs

 

91,017

6.0

%

 

91,017

5.9

%

 

91,017

5.8

%

 

91,017

5.4

%

 

96,017

7.0

%

Noncore Deposits

 

289,535

19.1

%

 

267,771

17.4

%

 

265,956

17.0

%

 

268,494

16.1

%

 

254,502

18.5

%

Total Deposits

$

1,515,370

100.0

%

$

1,534,011

100.0

%

$

1,558,112

100.0

%

$

1,666,063

100.0

%

$

1,378,681

100.0

%

 

FIVE-QUARTER SELECTED LOAN AND ASSET QUALITY HIGHLIGHTS (Unaudited) - Table 10

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

2nd Qtr.

 

1st Qtr.

 

4th Qtr.

 

3rd Qtr.

 

2nd Qtr.

 

 

2022

 

2022

 

2021

 

2021

 

2021

Allowance for Loan Losses
Balance at beginning of period

$

13,089

 

$

14,192

 

$

15,000

 

$

14,908

 

$

14,888

 

Provision for loan losses

 

1,600

 

 

(1,167

)

 

(800

)

 

-

 

 

-

 

Charge-offs

 

-

 

 

-

 

 

(89

)

 

-

 

 

-

 

Recoveries

 

50

 

 

64

 

 

81

 

 

92

 

 

20

 

Balance at the end of period

$

14,739

 

$

13,089

 

$

14,192

 

$

15,000

 

$

14,908

 

 
Nonperforming Assets:¹
Over 90 days still accruing

$

-

 

$

-

 

$

-

 

$

-

 

$

-

 

Nonaccrual loans

 

2,532

 

 

723

 

 

747

 

 

768

 

 

1,339

 

Total nonperforming loans

 

2,532

 

 

723

 

 

747

 

 

768

 

 

1,339

 

 
Other real estate owned

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Total nonperforming assets

$

2,532

 

$

723

 

$

747

 

$

768

 

$

1,339

 

 
Classified Assets:¹
Substandard

$

11,133

 

$

9,300

 

$

11,156

 

$

10,672

 

$

10,052

 

Doubtful

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Loss

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Total classified loans

$

11,133

 

$

9,300

 

$

11,156

 

$

10,672

 

$

10,052

 

 
Other real estate owned

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Total classified assets

$

11,133

 

$

9,300

 

$

11,156

 

$

10,672

 

$

10,052

 

 
Performing TDR loans:

$

4,744

 

$

3,253

 

$

3,521

 

$

3,658

 

$

3,776

 

 
Delinquent Loans:¹
Loans 30-89 days past due

$

11,553

 

$

6,275

 

$

267

 

$

1,688

 

$

2,524

 

90 days or more past due and still accruing

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Nonaccrual

 

2,532

 

 

723

 

 

747

 

 

768

 

 

1,339

 

Total delinquent loans

$

14,085

 

$

6,998

 

$

1,014

 

$

2,456

 

$

3,863

 

 
Asset Quality Ratios:
Net (recoveries) charge-offs to average loans²

 

(0.01

%)

 

(0.02

%)

 

0.00

%

 

(0.03

%)

 

(0.01

%)

Nonaccrual loans to loans receivable

 

0.20

%

 

0.06

%

 

0.06

%

 

0.06

%

 

0.12

%

Nonperforming loans to loans receivable

 

0.20

%

 

0.06

%

 

0.06

%

 

0.06

%

 

0.12

%

Nonperforming assets to total assets

 

0.14

%

 

0.04

%

 

0.04

%

 

0.04

%

 

0.08

%

Classified loans to loans receivable

 

0.88

%

 

0.76

%

 

0.90

%

 

0.85

%

 

0.89

%

Classified loans to Tier 1 and ALLL

 

5.32

%

 

4.61

%

 

5.67

%

 

5.53

%

 

5.40

%

Classified assets to total assets

 

0.63

%

 

0.52

%

 

0.62

%

 

0.56

%

 

0.62

%

Classified assets to Tier 1 and ALLL

 

5.32

%

 

4.61

%

 

5.67

%

 

5.53

%

 

5.40

%

ALLL to loans receivable

 

1.17

%

 

1.07

%

 

1.14

%

 

1.19

%

 

1.32

%

ALLL to loans receivable exc. SBA PPP loans

 

1.18

%

 

1.09

%

 

1.18

%

 

1.26

%

 

1.42

%

ALLL to nonaccrual loans

 

582.11

%

 

1810.37

%

 

1899.87

%

 

1953.13

%

 

1113.37

%

ALLL to nonperforming loans

 

582.11

%

 

1810.37

%

 

1899.87

%

 

1953.13

%

 

1113.37

%

ALLL to nonperforming assets

 

582.11

%

 

1810.37

%

 

1899.87

%

 

1953.13

%

 

1113.37

%

Texas ratio³

 

1.21

%

 

0.36

%

 

0.38

%

 

0.40

%

 

0.72

%

1

Net of SBA guaranteed balance

2

Includes loans held-for-sale

3

Nonperforming assets divided by tangible common equity and ALLL

 

FIVE-QUARTER CAPITAL RATIOS (Unaudited) - Table 11

 

 

 

 

 

 

 

 

 

Well Capitalized

 

Adequately Capitalized

 

June 30,

 

March 31,

 

December 31,

 

September 30,

 

June 30,

 

 

Regulatory

 

BASEL III

 

 

 

 

 

 

 

 

 

 

 

 

Requirement

 

Fully Phased In

 

2022

 

2022

 

2021

 

2021

 

2021

 
Leverage ratio
Company

N/A

N/A

 

10.80

%

 

10.56

%

 

9.55

%

 

9.61

%

 

11.35

%

Bank

5.00%

4.00%

 

10.73

%

 

10.55

%

 

9.55

%

 

9.60

%

 

11.33

%

Common equity tier 1 risk-based capital ratio

 

 

Company

N/A

N/A

 

14.47

%

 

14.50

%

 

13.83

%

 

13.61

%

 

14.39

%

Bank

6.50%

7.00%

 

14.38

%

 

14.50

%

 

13.82

%

 

13.59

%

 

14.37

%

Tier 1 risk-based capital ratio

 

 

Company

N/A

N/A

 

14.47

%

 

14.50

%

 

13.83

%

 

13.61

%

 

14.39

%

Bank

8.00%

8.50%

 

14.38

%

 

14.50

%

 

13.82

%

 

13.59

%

 

14.37

%

Total risk-based capital ratio

 

 

Company

N/A

N/A

 

15.63

%

 

15.57

%

 

14.98

%

 

14.86

%

 

15.64

%

Bank

10.00%

10.50%

 

15.53

%

 

15.57

%

 

14.97

%

 

14.84

%

 

15.62

%

 
Tangible common equity/total assets

 

10.96

%

 

10.54

%

 

10.11

%

 

9.21

%

 

10.62

%

Tangible common equity per share

$

18.68

 

$

18.31

 

$

17.76

 

$

17.08

 

$

16.66

 

 

FIVE-QUARTER MARGIN ANALYSIS (Unaudited) -Table 12

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

June 30, 2021

 

March 31, 2022

 

December 31, 2021

 

September 30, 2021

 

June 30, 2021

 

 

Avg Balance

 

Interest

 

Yield

 

Avg Balance

 

Interest

 

Yield

 

Avg Balance

 

Interest

 

Yield

 

Avg Balance

 

Interest

 

Yield

 

Avg Balance

 

Interest

 

Yield

Number of Days in the Period
INTEREST-EARNING ASSETS
Loans¹

$

1,389,968