2023 Financial Highlights (on a year-over-year basis unless noted):
- Net income increased 10.8% to a record
$17.4 million - Earnings were
$2.14 per diluted share compared to$2.59 per diluted share, reflecting a 34.5% increase in the average diluted shares outstanding related to theLiberty Bancshares, Inc. merger - Pre-tax, pre-provision net income increased 25.7% to a record
$23.8 million (1) - Net interest income increased 29.9% to a record
$65.2 million , supported by a strong net interest margin of 4.04% - Total loans were a record
$1.48 billion , compared to$1.35 billion atDecember 31, 2022 - Total deposits were
$1.43 billion , compared to$1.40 billion atDecember 31, 2022 - Return on average assets was 0.99%, compared to 1.17%
- Return on average equity was 8.83%, compared to 11.25%
- Return on average tangible common equity(1) was 11.20%, compared to 12.95%
- Strong asset quality continues with nonperforming assets to total assets of 0.60% at year end
- Allowance for credit losses was 1.47% of total loans, compared to 1.07%
- Equity to assets remained strong at 11.28%
- Book value increased 6.0% to
$25.41 per share - Declared
$0.85 per share in dividends, a 4.9% increase
(1) See non-GAAP reconciliation under the section “GAAP to Non-GAAP Reconciliations”
"As we look to 2024, we are focused on executing against our long-term strategic plan, benefiting from the synergies of the Liberty merger, and realizing the value from the investments we have made across our business this past year. While we expect uncertainty about
Income Statement
Net interest income for the 2023 twelve-month period increased 29.9% to
Pre-tax income for the 2022 twelve-month period benefited from
For the 2023 twelve-month period, noninterest income was
For the 2023 twelve-month period, noninterest expense was
Net income for the 2023 twelve-month period ended
Pre-tax, pre-provision net income for the 2023 twelve-months was
Balance Sheet
Total assets at
Total liabilities at
The investment securities available for sale portfolio was
CRE Category | Balance (in thousands) | Percent of CRE Portfolio | Percent of Loan Portfolio | ||||||
Multi-Family | $ | 82,506 | 12.4 | % | 5.6 | % | |||
Office Space | $ | 81,032 | 12.1 | % | 5.5 | % | |||
Shopping Plazas | $ | 75,024 | 11.3 | % | 5.1 | % | |||
Self-Storage | $ | 60,233 | 9.0 | % | 4.1 | % | |||
Hospitality | $ | 40,155 | 6.0 | % | 2.7 | % | |||
Senior Living | $ | 37,543 | 5.6 | % | 2.5 | % | |||
Other | $ | 291,138 | 43.6 | % | 19.7 | % | |||
Total CRE | $ | 667,631 | 100.0 | % | 45.2 | % |
Stockholders' Equity and Dividends
At
At
For the 2023 full year, the Company declared cash dividends of
At
Asset Quality
For the 2023 twelve-month period and fourth quarter, the Company recorded provisions for credit losses of
For the year ended
Nonperforming loans at
About
Additional information is available at www.middlefieldbank.bank
NON-GAAP FINANCIAL MEASURES
This press release includes disclosure of
FORWARD-LOOKING STATEMENTS
This press release of
Consolidated Selected Financial Highlights | |||||||||||||||||||||||||||||
(Dollar amounts in thousands, unaudited) | |||||||||||||||||||||||||||||
Balance Sheets (period end) | 2023 | 2023 | 2023 | 2023 | 2022 | ||||||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||||||
Cash and due from banks | $ | 56,397 | $ | 56,228 | $ | 49,422 | $ | 59,609 | $ | 51,404 | |||||||||||||||||||
Federal funds sold | 4,439 | 9,274 | 9,654 | 7,048 | 2,405 | ||||||||||||||||||||||||
Cash and cash equivalents | 60,836 | 65,502 | 59,076 | 66,657 | 53,809 | ||||||||||||||||||||||||
Investment securities available for sale, at fair value | 170,779 | 159,414 | 167,209 | 169,605 | 164,967 | ||||||||||||||||||||||||
Other investments | 955 | 958 | 711 | 777 | 915 | ||||||||||||||||||||||||
Loans held for sale | - | 632 | 171 | 104 | - | ||||||||||||||||||||||||
Loans: | |||||||||||||||||||||||||||||
Commercial real estate: | |||||||||||||||||||||||||||||
Owner occupied | 183,545 | 185,593 | 187,919 | 185,661 | 191,748 | ||||||||||||||||||||||||
Non-owner occupied | 401,580 | 382,676 | 385,846 | 400,314 | 380,580 | ||||||||||||||||||||||||
Multifamily | 82,506 | 82,578 | 58,579 | 63,892 | 58,251 | ||||||||||||||||||||||||
Residential real estate | 328,854 | 321,331 | 312,196 | 306,179 | 296,308 | ||||||||||||||||||||||||
Commercial and industrial | 221,508 | 214,334 | 209,349 | 195,024 | 195,602 | ||||||||||||||||||||||||
Home equity lines of credit | 127,818 | 127,494 | 126,894 | 126,555 | 128,065 | ||||||||||||||||||||||||
Construction and other | 125,105 | 127,106 | 118,851 | 97,406 | 94,199 | ||||||||||||||||||||||||
Consumer installment | 7,214 | 7,481 | 9,801 | 7,816 | 8,119 | ||||||||||||||||||||||||
Total loans | 1,478,130 | 1,448,593 | 1,409,435 | 1,382,847 | 1,352,872 | ||||||||||||||||||||||||
Less allowance for credit losses | 21,693 | 20,986 | 20,591 | 20,162 | 14,438 | ||||||||||||||||||||||||
Net loans | 1,456,437 | 1,427,607 | 1,388,844 | 1,362,685 | 1,338,434 | ||||||||||||||||||||||||
Premises and equipment, net | 21,339 | 21,708 | 21,629 | 21,775 | 21,961 | ||||||||||||||||||||||||
36,356 | 36,197 | 36,197 | 31,735 | 31,735 | |||||||||||||||||||||||||
Core deposit intangibles | 6,642 | 6,906 | 7,171 | 7,436 | 7,701 | ||||||||||||||||||||||||
Bank-owned life insurance | 34,349 | 34,153 | 34,235 | 34,015 | 33,811 | ||||||||||||||||||||||||
Other real estate owned | - | 5,792 | 5,792 | 5,792 | 5,821 | ||||||||||||||||||||||||
Accrued interest receivable and other assets | 35,190 | 34,551 | 30,472 | 27,258 | 28,528 | ||||||||||||||||||||||||
TOTAL ASSETS | $ | 1,822,883 | $ | 1,793,420 | $ | 1,751,507 | $ | 1,727,839 | $ | 1,687,682 | |||||||||||||||||||
2023 | 2023 | 2023 | 2023 | 2022 | |||||||||||||||||||||||||
LIABILITIES | |||||||||||||||||||||||||||||
Deposits: | |||||||||||||||||||||||||||||
Noninterest-bearing demand | $ | 401,384 | $ | 424,055 | $ | 441,102 | $ | 474,977 | $ | 503,907 | |||||||||||||||||||
Interest-bearing demand | 205,582 | 243,973 | 229,633 | 196,086 | 164,677 | ||||||||||||||||||||||||
Money market | 274,682 | 275,766 | 241,537 | 221,723 | 187,498 | ||||||||||||||||||||||||
Savings | 210,639 | 216,453 | 231,508 | 287,859 | 307,917 | ||||||||||||||||||||||||
Time | 334,315 | 296,732 | 287,861 | 244,962 | 238,020 | ||||||||||||||||||||||||
Total deposits | 1,426,602 | 1,456,979 | 1,431,641 | 1,425,607 | 1,402,019 | ||||||||||||||||||||||||
163,000 | 118,000 | 100,000 | 85,000 | 65,000 | |||||||||||||||||||||||||
Other borrowings | 11,862 | 11,912 | 11,961 | 12,010 | 12,059 | ||||||||||||||||||||||||
Accrued interest payable and other liabilities | 15,738 | 12,780 | 10,678 | 10,057 | 10,913 | ||||||||||||||||||||||||
TOTAL LIABILITIES | 1,617,202 | 1,599,671 | 1,554,280 | 1,532,674 | 1,489,991 | ||||||||||||||||||||||||
STOCKHOLDERS' EQUITY | |||||||||||||||||||||||||||||
Common stock, no par value; 25,000,000 shares authorized, 9,930,704 | |||||||||||||||||||||||||||||
shares issued, 8,095,252 shares outstanding as of | 161,388 | 161,312 | 161,211 | 161,248 | 161,029 | ||||||||||||||||||||||||
Retained earnings | 100,237 | 98,717 | 96,500 | 93,024 | 94,154 | ||||||||||||||||||||||||
Accumulated other comprehensive loss | (16,090 | ) | (26,426 | ) | (20,630 | ) | (19,253 | ) | (22,144 | ) | |||||||||||||||||||
(39,854 | ) | (39,854 | ) | (39,854 | ) | (39,854 | ) | (35,348 | ) | ||||||||||||||||||||
TOTAL STOCKHOLDERS' EQUITY | 205,681 | 193,749 | 197,227 | 195,165 | 197,691 | ||||||||||||||||||||||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 1,822,883 | $ | 1,793,420 | $ | 1,751,507 | $ | 1,727,839 | $ | 1,687,682 | |||||||||||||||||||
Consolidated Selected Financial Highlights | |||||||||||||||||||||||||||||
(Dollar amounts in thousands, unaudited) | |||||||||||||||||||||||||||||
For the Three Months Ended | For the Twelve Months Ended | ||||||||||||||||||||||||||||
Statements of Income | 2023 | 2023 | 2023 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
INTEREST AND DIVIDEND INCOME | |||||||||||||||||||||||||||||
Interest and fees on loans | $ | 22,027 | $ | 20,899 | $ | 20,762 | $ | 18,275 | $ | 14,368 | $ | 81,963 | $ | 48,513 | |||||||||||||||
Interest-earning deposits in other institutions | 370 | 300 | 369 | 250 | 240 | 1,289 | 472 | ||||||||||||||||||||||
Federal funds sold | 94 | 266 | 158 | 253 | 119 | 771 | 219 | ||||||||||||||||||||||
Investment securities: | |||||||||||||||||||||||||||||
Taxable interest | 479 | 477 | 479 | 458 | 477 | 1,893 | 1,811 | ||||||||||||||||||||||
Tax-exempt interest | 976 | 980 | 978 | 980 | 986 | 3,914 | 3,707 | ||||||||||||||||||||||
Dividends on stock | 144 | 148 | 91 | 88 | 68 | 471 | 184 | ||||||||||||||||||||||
Total interest and dividend income | 24,090 | 23,070 | 22,837 | 20,304 | 16,258 | 90,301 | 54,906 | ||||||||||||||||||||||
INTEREST EXPENSE | |||||||||||||||||||||||||||||
Deposits | 6,522 | 5,632 | 3,851 | 2,990 | 1,771 | 18,995 | 4,018 | ||||||||||||||||||||||
Short-term borrowings | 2,013 | 1,258 | 1,462 | 653 | 263 | 5,386 | 307 | ||||||||||||||||||||||
Other borrowings | 179 | 213 | 170 | 155 | 142 | 717 | 404 | ||||||||||||||||||||||
Total interest expense | 8,714 | 7,103 | 5,483 | 3,798 | 2,176 | 25,098 | 4,729 | ||||||||||||||||||||||
NET INTEREST INCOME | 15,376 | 15,967 | 17,354 | 16,506 | 14,082 | 65,203 | 50,177 | ||||||||||||||||||||||
Provision for credit losses | 554 | 1,127 | 814 | 507 | - | 3,002 | - | ||||||||||||||||||||||
NET INTEREST INCOME AFTER PROVISION | |||||||||||||||||||||||||||||
FOR CREDIT LOSSES | 14,822 | 14,840 | 16,540 | 15,999 | 14,082 | 62,201 | 50,177 | ||||||||||||||||||||||
NONINTEREST INCOME | |||||||||||||||||||||||||||||
Service charges on deposit accounts | 997 | 954 | 940 | 987 | 976 | 3,878 | 3,850 | ||||||||||||||||||||||
Loss on equity securities | (4 | ) | 48 | (67 | ) | (138 | ) | (77 | ) | (161 | ) | (173 | ) | ||||||||||||||||
(Loss) gain on other real estate owned | (172 | ) | - | - | 2 | - | (170 | ) | - | ||||||||||||||||||||
Earnings on bank-owned life insurance | 196 | 207 | 220 | 200 | 137 | 823 | 459 | ||||||||||||||||||||||
Gain (loss) on sale of loans | 23 | 45 | 6 | 23 | (4 | ) | 97 | 24 | |||||||||||||||||||||
Revenue from investment services | 193 | 190 | 174 | 186 | 147 | 743 | 674 | ||||||||||||||||||||||
Gross rental income | 132 | 110 | 77 | 102 | 951 | 421 | 951 | ||||||||||||||||||||||
Other income | 237 | 263 | 242 | 318 | 284 | 1,060 | 961 | ||||||||||||||||||||||
Total noninterest income | 1,602 | 1,817 | 1,592 | 1,680 | 2,414 | 6,691 | 6,746 | ||||||||||||||||||||||
NONINTEREST EXPENSE | |||||||||||||||||||||||||||||
Salaries and employee benefits | 6,646 | 5,994 | 6,019 | 5,852 | 4,886 | 24,511 | 17,548 | ||||||||||||||||||||||
Occupancy expense | 512 | 699 | 659 | 696 | 487 | 2,566 | 2,033 | ||||||||||||||||||||||
Equipment expense | 273 | 297 | 354 | 317 | 252 | 1,241 | 1,074 | ||||||||||||||||||||||
Data processing costs | 1,348 | 1,209 | 1,137 | 1,070 | 1,050 | 4,764 | 3,701 | ||||||||||||||||||||||
397 | 398 | 398 | 385 | 279 | 1,578 | 1,157 | |||||||||||||||||||||||
Federal deposit insurance expense | 285 | 207 | 249 | 120 | 105 | 861 | 329 | ||||||||||||||||||||||
Professional fees | 660 | 545 | 550 | 538 | 382 | 2,293 | 1,500 | ||||||||||||||||||||||
Other real estate owned writedowns | - | - | - | - | 1,000 | - | 1,200 | ||||||||||||||||||||||
Advertising expense | 162 | 414 | 415 | 486 | 308 | 1,477 | 1,033 | ||||||||||||||||||||||
Software amortization expense | 22 | 24 | 23 | 26 | 28 | 95 | 143 | ||||||||||||||||||||||
Core deposit intangible amortization | 264 | 265 | 265 | 265 | 140 | 1,059 | 372 | ||||||||||||||||||||||
Gross other real estate owned expenses | 120 | 195 | 63 | 132 | 692 | 510 | 707 | ||||||||||||||||||||||
Merger-related costs | - | 22 | 206 | 245 | 1,413 | 473 | 2,382 | ||||||||||||||||||||||
Other expense | 1,483 | 1,849 | 1,716 | 1,661 | 1,321 | 6,709 | 4,851 | ||||||||||||||||||||||
Total noninterest expense | 12,172 | 12,118 | 12,054 | 11,793 | 12,343 | 48,137 | 38,030 | ||||||||||||||||||||||
Income before income taxes | 4,252 | 4,539 | 6,078 | 5,886 | 4,153 | 20,755 | 18,893 | ||||||||||||||||||||||
Income taxes | 709 | 703 | 986 | 989 | 651 | 3,387 | 3,220 | ||||||||||||||||||||||
NET INCOME | $ | 3,543 | $ | 3,836 | $ | 5,092 | $ | 4,897 | $ | 3,502 | $ | 17,368 | $ | 15,673 | |||||||||||||||
PTPP(1) | $ | 4,806 | $ | 5,666 | $ | 6,892 | $ | 6,393 | $ | 4,153 | $ | 23,757 | $ | 18,893 | |||||||||||||||
(1)See section “GAAP to Non-GAAP Reconciliations” for the reconciliation of GAAP performance measures to non-GAAP measures. | |||||||||||||||||||||||||||||
Consolidated Selected Financial Highlights | |||||||||||||||||||||||||||||
(Dollar amounts in thousands, except per share and share amounts, unaudited) | |||||||||||||||||||||||||||||
For the Three Months Ended | For the Twelve Months Ended | ||||||||||||||||||||||||||||
2023 | 2023 | 2023 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||
Per common share data | |||||||||||||||||||||||||||||
Net income per common share - basic | $ | 0.44 | $ | 0.47 | $ | 0.63 | $ | 0.60 | $ | 0.53 | $ | 2.14 | $ | 2.60 | |||||||||||||||
Net income per common share - diluted | $ | 0.44 | $ | 0.47 | $ | 0.63 | $ | 0.60 | $ | 0.53 | $ | 2.14 | $ | 2.59 | |||||||||||||||
Dividends declared per share | $ | 0.25 | $ | 0.20 | $ | 0.20 | $ | 0.20 | $ | 0.30 | $ | 0.85 | $ | 0.81 | |||||||||||||||
Book value per share (period end) | $ | 25.41 | $ | 23.94 | $ | 24.38 | $ | 24.13 | $ | 23.98 | $ | 25.41 | $ | 23.98 | |||||||||||||||
Tangible book value per share (period end)(1) (2) | $ | 20.10 | $ | 18.62 | $ | 19.02 | $ | 19.29 | $ | 19.19 | $ | 20.10 | $ | 19.19 | |||||||||||||||
Dividends declared | $ | 2,023 | $ | 1,619 | $ | 1,616 | $ | 1,605 | $ | 2,514 | $ | 6,864 | $ | 5,490 | |||||||||||||||
Dividend yield | 3.06 | % | 3.12 | % | 2.99 | % | 2.89 | % | 4.34 | % | 2.63 | % | 2.96 | % | |||||||||||||||
Dividend payout ratio | 57.10 | % | 42.21 | % | 31.74 | % | 32.78 | % | 71.79 | % | 39.52 | % | 37.23 | % | |||||||||||||||
Average shares outstanding - basic | 8,093,478 | 8,092,494 | 8,088,793 | 8,138,771 | 6,593,616 | 8,103,230 | 6,027,091 | ||||||||||||||||||||||
Average shares outstanding - diluted | 8,116,609 | 8,101,306 | 8,101,984 | 8,152,629 | 6,610,907 | 8,126,361 | 6,044,382 | ||||||||||||||||||||||
Period ending shares outstanding | 8,095,252 | 8,092,576 | 8,088,793 | 8,088,793 | 8,245,235 | 8,095,252 | 8,245,235 | ||||||||||||||||||||||
Selected ratios | |||||||||||||||||||||||||||||
Return on average assets (Annualized) | 0.78 | % | 0.86 | % | 1.17 | % | 1.16 | % | 0.97 | % | 0.99 | % | 1.17 | % | |||||||||||||||
Return on average equity (Annualized) | 7.13 | % | 7.73 | % | 10.41 | % | 10.19 | % | 9.35 | % | 8.83 | % | 11.25 | % | |||||||||||||||
Return on average tangible common equity(1) (3) | 9.11 | % | 9.91 | % | 13.12 | % | 12.77 | % | 11.13 | % | 11.20 | % | 12.95 | % | |||||||||||||||
Efficiency(4) | 68.99 | % | 65.65 | % | 61.27 | % | 62.44 | % | 72.75 | % | 64.49 | % | 64.96 | % | |||||||||||||||
Equity to assets at period end | 11.28 | % | 10.80 | % | 11.26 | % | 11.30 | % | 11.71 | % | 11.28 | % | 11.71 | % | |||||||||||||||
Noninterest expense to average assets | 0.68 | % | 0.68 | % | 0.69 | % | 0.69 | % | 0.86 | % | 2.74 | % | 2.84 | % | |||||||||||||||
(1)See section “GAAP to Non-GAAP Reconciliations” for the reconciliation of GAAP performance measures to non-GAAP measures. | |||||||||||||||||||||||||||||
(2)Calculated by dividing tangible common equity by shares outstanding. | |||||||||||||||||||||||||||||
(3)Calculated by dividing annualized net income for each period by average tangible common equity. | |||||||||||||||||||||||||||||
(4)The efficiency ratio is calculated by dividing noninterest expense less amortization of intangibles by the sum of net interest income on a fully taxable equivalent basis plus noninterest income. | |||||||||||||||||||||||||||||
Consolidated Selected Financial Highlights | |||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||
For the Three Months Ended | For the Twelve Months Ended | ||||||||||||||||||||||||||||
Yields | 2023 | 2023 | 2023 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Interest-earning assets: | |||||||||||||||||||||||||||||
Loans receivable(1) | 6.01 | % | 5.82 | % | 5.96 | % | 5.45 | % | 5.11 | % | 5.82 | % | 4.79 | % | |||||||||||||||
Investment securities(1) | 4.26 | % | 4.09 | % | 4.08 | % | 4.11 | % | 3.83 | % | 4.13 | % | 3.73 | % | |||||||||||||||
Interest-earning deposits with other banks | 3.71 | % | 4.13 | % | 3.98 | % | 3.46 | % | 3.42 | % | 3.82 | % | 1.31 | % | |||||||||||||||
Total interest-earning assets | 5.76 | % | 5.58 | % | 5.69 | % | 5.22 | % | 4.88 | % | 5.57 | % | 4.45 | % | |||||||||||||||
Deposits: | |||||||||||||||||||||||||||||
Interest-bearing demand deposits | 1.67 | % | 1.51 | % | 1.11 | % | 0.83 | % | 0.83 | % | 1.32 | % | 0.34 | % | |||||||||||||||
Money market deposits | 3.58 | % | 2.94 | % | 2.21 | % | 1.52 | % | 1.00 | % | 2.65 | % | 0.61 | % | |||||||||||||||
Savings deposits | 0.59 | % | 0.58 | % | 0.73 | % | 1.03 | % | 0.49 | % | 0.76 | % | 0.20 | % | |||||||||||||||
Certificates of deposit | 3.68 | % | 3.27 | % | 2.35 | % | 1.71 | % | 1.30 | % | 2.83 | % | 1.00 | % | |||||||||||||||
Total interest-bearing deposits | 2.56 | % | 2.16 | % | 1.60 | % | 1.28 | % | 0.87 | % | 1.92 | % | 0.51 | % | |||||||||||||||
Non-Deposit Funding: | |||||||||||||||||||||||||||||
Borrowings | 5.57 | % | 5.66 | % | 5.26 | % | 4.78 | % | 4.25 | % | 5.40 | % | 3.35 | % | |||||||||||||||
Total interest-bearing liabilities | 2.96 | % | 2.48 | % | 2.02 | % | 1.52 | % | 1.02 | % | 2.28 | % | 0.59 | % | |||||||||||||||
Cost of deposits | 1.81 | % | 1.53 | % | 1.09 | % | 0.84 | % | 0.57 | % | 1.32 | % | 0.34 | % | |||||||||||||||
Cost of funds | 2.18 | % | 1.80 | % | 1.43 | % | 1.02 | % | 0.68 | % | 1.62 | % | 0.40 | % | |||||||||||||||
Net interest margin(2) | 3.70 | % | 3.88 | % | 4.34 | % | 4.26 | % | 4.23 | % | 4.04 | % | 4.08 | % | |||||||||||||||
(1)Tax-equivalent adjustments to calculate the yield on tax-exempt securities and loans were determined using an effective tax rate of 21%. | |||||||||||||||||||||||||||||
(2)Net interest margin represents net interest income as a percentage of average interest-earning assets. | |||||||||||||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||||||||||||
Asset quality data | 2023 | 2023 | 2023 | 2023 | 2022 | ||||||||||||||||||||||||
(Dollar amounts in thousands, unaudited) | |||||||||||||||||||||||||||||
Nonperforming loans(1) | $ | 10,877 | $ | 7,717 | $ | 7,116 | $ | 6,882 | $ | 2,111 | |||||||||||||||||||
Other real estate owned | - | 5,792 | 5,792 | 5,792 | 5,821 | ||||||||||||||||||||||||
Nonperforming assets | $ | 10,877 | $ | 13,509 | $ | 12,908 | $ | 12,674 | $ | 7,932 | |||||||||||||||||||
Allowance for credit losses | $ | 21,693 | $ | 20,986 | $ | 20,591 | $ | 20,162 | $ | 14,438 | |||||||||||||||||||
Allowance for credit losses/total loans | 1.47 | % | 1.45 | % | 1.46 | % | 1.46 | % | 1.07 | % | |||||||||||||||||||
Net charge-offs (recoveries): | |||||||||||||||||||||||||||||
Quarter-to-date | $ | (117 | ) | $ | (16 | ) | $ | 111 | $ | (8 | ) | $ | 94 | ||||||||||||||||
Year-to-date | (31 | ) | 87 | 103 | (8 | ) | (96 | ) | |||||||||||||||||||||
Net charge-offs (recoveries) to average loans, annualized: | |||||||||||||||||||||||||||||
Quarter-to-date | (0.03 | %) | 0.00 | % | 0.03 | % | 0.00 | % | 0.03 | % | |||||||||||||||||||
Year-to-date | 0.00 | % | 0.01 | % | 0.01 | % | 0.00 | % | (0.01 | %) | |||||||||||||||||||
Nonperforming loans/total loans | 0.74 | % | 0.53 | % | 0.50 | % | 0.50 | % | 0.16 | % | |||||||||||||||||||
Allowance for credit losses/nonperforming loans | 199.44 | % | 271.95 | % | 289.36 | % | 292.97 | % | 683.94 | % | |||||||||||||||||||
Nonperforming assets/total assets | 0.60 | % | 0.75 | % | 0.74 | % | 0.73 | % | 0.47 | % | |||||||||||||||||||
(1)On | |||||||||||||||||||||||||||||
GAAP to Non-GAAP Reconciliations | |||||||||||||||||||||||||||||
Reconciliation of Common Stockholders' Equity to Tangible Common Equity | |||||||||||||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||||||||||||
(Dollar amounts in thousands, unaudited) | |||||||||||||||||||||||||||||
2023 | 2023 | 2023 | 2023 | 2022 | |||||||||||||||||||||||||
Stockholders' equity | $ | 205,681 | $ | 193,749 | $ | 197,227 | $ | 195,165 | $ | 197,691 | |||||||||||||||||||
Less goodwill and other intangibles | 42,998 | 43,103 | 43,368 | 39,171 | 39,436 | ||||||||||||||||||||||||
Tangible common equity | $ | 162,683 | $ | 150,646 | $ | 153,859 | $ | 155,994 | $ | 158,255 | |||||||||||||||||||
Shares outstanding | 8,095,252 | 8,092,576 | 8,088,793 | 8,088,793 | 8,245,235 | ||||||||||||||||||||||||
Tangible book value per share | $ | 20.10 | $ | 18.62 | $ | 19.02 | $ | 19.29 | $ | 19.19 | 0 | ||||||||||||||||||
Reconciliation of Average Equity to Return on Average Tangible Common Equity | |||||||||||||||||||||||||||||
For the Three Months Ended | For the Twelve Months Ended | ||||||||||||||||||||||||||||
2023 | 2023 | 2023 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||
Average stockholders' equity | $ | 197,208 | $ | 196,795 | $ | 196,183 | $ | 194,814 | $ | 148,616 | $ | 196,602 | $ | 139,270 | |||||||||||||||
Less average goodwill and other intangibles | 42,972 | 43,232 | 40,522 | 39,300 | 23,731 | 41,507 | 18,200 | ||||||||||||||||||||||
Average tangible common equity | $ | 154,236 | $ | 153,563 | $ | 155,661 | $ | 155,514 | $ | 124,885 | $ | 155,095 | $ | 121,070 | |||||||||||||||
Net income | $ | 3,543 | $ | 3,836 | $ | 5,092 | $ | 4,897 | $ | 3,502 | $ | 17,368 | $ | 15,673 | |||||||||||||||
Return on average tangible common equity (annualized) | 9.11 | % | 9.91 | % | 13.12 | % | 12.77 | % | 11.13 | % | 11.20 | % | 12.95 | % | |||||||||||||||
Reconciliation of Pre-Tax Pre-Provision Income (PTPP) | |||||||||||||||||||||||||||||
For the Three Months Ended | For the Twelve Months Ended | ||||||||||||||||||||||||||||
2023 | 2023 | 2023 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||
Net income | $ | 3,543 | $ | 3,836 | $ | 5,092 | $ | 4,897 | $ | 3,502 | $ | 17,368 | $ | 15,673 | |||||||||||||||
Add income taxes | 709 | 703 | 986 | 989 | 651 | 3,387 | 3,220 | ||||||||||||||||||||||
Add provision for credit losses | 554 | 1,127 | 814 | 507 | - | 3,002 | - | ||||||||||||||||||||||
PTPP | $ | 4,806 | $ | 5,666 | $ | 6,892 | $ | 6,393 | $ | 4,153 | $ | 23,757 | $ | 18,893 | |||||||||||||||
Average Balance Sheets | |||||||||||||||||||||||||||||
(Dollar amounts in thousands, unaudited) | |||||||||||||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||||||||||||
2023 | 2022 | ||||||||||||||||||||||||||||
Average | Average | Average | Average | ||||||||||||||||||||||||||
Balance | Interest | Yield/Cost | Balance | Interest | Yield/Cost | ||||||||||||||||||||||||
Interest-earning assets: | |||||||||||||||||||||||||||||
Loans receivable ⁽¹⁾ | $ | 1,454,688 | $ | 22,027 | 6.01 | % | $ | 1,117,221 | $ | 14,368 | 5.11 | % | |||||||||||||||||
Investment securities ⁽¹⁾ | 159,493 | 1,455 | 4.26 | % | 178,772 | 1,463 | 3.83 | % | |||||||||||||||||||||
Interest-earning deposits with other banks ⁽²⁾ | 64,989 | 608 | 3.71 | % | 49,569 | 427 | 3.42 | % | |||||||||||||||||||||
Total interest-earning assets | 1,679,170 | 24,090 | 5.76 | % | 1,345,562 | 16,258 | 4.88 | % | |||||||||||||||||||||
Noninterest-earning assets | 116,160 | 89,740 | |||||||||||||||||||||||||||
Total assets | $ | 1,795,330 | $ | 1,435,302 | |||||||||||||||||||||||||
Interest-bearing liabilities: | |||||||||||||||||||||||||||||
Interest-bearing demand deposits | $ | 222,517 | $ | 935 | 1.67 | % | $ | 165,267 | $ | 344 | 0.83 | % | |||||||||||||||||
Money market deposits | 276,354 | 2,493 | 3.58 | % | 172,437 | 435 | 1.00 | % | |||||||||||||||||||||
Savings deposits | 211,997 | 317 | 0.59 | % | 266,613 | 330 | 0.49 | % | |||||||||||||||||||||
Certificates of deposit | 299,427 | 2,777 | 3.68 | % | 201,972 | 662 | 1.30 | % | |||||||||||||||||||||
Short-term borrowings | 144,344 | 2,013 | 5.53 | % | 25,750 | 263 | 4.05 | % | |||||||||||||||||||||
Other borrowings | 11,890 | 179 | 5.97 | % | 12,086 | 142 | 4.66 | % | |||||||||||||||||||||
Total interest-bearing liabilities | 1,166,529 | 8,714 | 2.96 | % | 844,125 | 2,176 | 1.02 | % | |||||||||||||||||||||
Noninterest-bearing liabilities: | |||||||||||||||||||||||||||||
Noninterest-bearing demand deposits | 422,151 | 428,155 | |||||||||||||||||||||||||||
Other liabilities | 9,442 | 14,406 | |||||||||||||||||||||||||||
Stockholders' equity | 197,208 | 148,616 | |||||||||||||||||||||||||||
Total liabilities and stockholders' equity | $ | 1,795,330 | $ | 1,435,302 | |||||||||||||||||||||||||
Net interest income | $ | 15,376 | $ | 14,082 | |||||||||||||||||||||||||
Interest rate spread ⁽³⁾ | 2.80 | % | 3.86 | % | |||||||||||||||||||||||||
Net interest margin ⁽⁴⁾ | 3.70 | % | 4.23 | % | |||||||||||||||||||||||||
Ratio of average interest-earning assets to average interest-bearing liabilities | 143.95 | % | 159.40 | % | |||||||||||||||||||||||||
(1)Tax-equivalent adjustments to calculate the yield on tax-exempt securities and loans were | |||||||||||||||||||||||||||||
(2)Includes dividends received on restricted stock. | |||||||||||||||||||||||||||||
(3)Interest rate spread represents the difference between the average yield on interest-earning assets and the average cost of interest-bearing liabilities. | |||||||||||||||||||||||||||||
(4)Net interest margin represents net interest income as a percentage of average interest-earning assets. | |||||||||||||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||||||||||||
2023 | 2023 | ||||||||||||||||||||||||||||
Average | Average | Average | Average | ||||||||||||||||||||||||||
Balance | Interest | Yield/Cost | Balance | Interest | Yield/Cost | ||||||||||||||||||||||||
Interest-earning assets: | |||||||||||||||||||||||||||||
Loans receivable ⁽¹⁾ | $ | 1,454,688 | $ | 22,027 | 6.01 | % | $ | 1,425,375 | $ | 20,899 | 5.82 | % | |||||||||||||||||
Investment securities ⁽¹⁾ | 159,493 | 1,455 | 4.26 | % | 166,671 | 1,457 | 4.09 | % | |||||||||||||||||||||
Interest-earning deposits with other banks ⁽²⁾ | 64,989 | 608 | 3.71 | % | 68,587 | 714 | 4.13 | % | |||||||||||||||||||||
Total interest-earning assets | 1,679,170 | 24,090 | 5.76 | % | 1,660,633 | 23,070 | 5.58 | % | |||||||||||||||||||||
Noninterest-earning assets | 116,160 | 115,353 | |||||||||||||||||||||||||||
Total assets | $ | 1,795,330 | $ | 1,775,986 | |||||||||||||||||||||||||
Interest-bearing liabilities: | |||||||||||||||||||||||||||||
Interest-bearing demand deposits | $ | 222,517 | $ | 935 | 1.67 | % | $ | 256,153 | $ | 975 | 1.51 | % | |||||||||||||||||
Money market deposits | 276,354 | 2,493 | 3.58 | % | 259,802 | 1,928 | 2.94 | % | |||||||||||||||||||||
Savings deposits | 211,997 | 317 | 0.59 | % | 225,216 | 327 | 0.58 | % | |||||||||||||||||||||
Certificates of deposit | 299,427 | 2,777 | 3.68 | % | 291,409 | 2,402 | 3.27 | % | |||||||||||||||||||||
Short-term borrowings | 144,344 | 2,013 | 5.53 | % | 91,201 | 1,258 | 5.47 | % | |||||||||||||||||||||
Other borrowings | 11,890 | 179 | 5.97 | % | 11,940 | 213 | 7.08 | % | |||||||||||||||||||||
Total interest-bearing liabilities | 1,166,529 | 8,714 | 2.96 | % | 1,135,721 | 7,103 | 2.48 | % | |||||||||||||||||||||
Noninterest-bearing liabilities: | |||||||||||||||||||||||||||||
Noninterest-bearing demand deposits | 422,151 | 431,775 | |||||||||||||||||||||||||||
Other liabilities | 9,442 | 11,695 | |||||||||||||||||||||||||||
Stockholders' equity | 197,208 | 196,795 | |||||||||||||||||||||||||||
Total liabilities and stockholders' equity | $ | 1,795,330 | $ | 1,775,986 | |||||||||||||||||||||||||
Net interest income | $ | 15,376 | $ | 15,967 | |||||||||||||||||||||||||
Interest rate spread ⁽³⁾ | 2.80 | % | 3.10 | % | |||||||||||||||||||||||||
Net interest margin ⁽⁴⁾ | 3.70 | % | 3.88 | % | |||||||||||||||||||||||||
Ratio of average interest-earning assets to average interest-bearing liabilities | 143.95 | % | 146.22 | % | |||||||||||||||||||||||||
(1)Tax-equivalent adjustments to calculate the yield on tax-exempt securities and loans were | |||||||||||||||||||||||||||||
(2)Includes dividends received on restricted stock. | |||||||||||||||||||||||||||||
(3)Interest rate spread represents the difference between the average yield on interest-earning assets and the average cost of interest-bearing liabilities. | |||||||||||||||||||||||||||||
(4)Net interest margin represents net interest income as a percentage of average interest-earning assets. | |||||||||||||||||||||||||||||
For the Twelve Months Ended | |||||||||||||||||||||||||||||
2023 | 2022 | ||||||||||||||||||||||||||||
Average | Average | Average | Average | ||||||||||||||||||||||||||
Balance | Interest | Yield/Cost | Balance | Interest | Yield/Cost | ||||||||||||||||||||||||
Interest-earning assets: | |||||||||||||||||||||||||||||
Loans receivable ⁽¹⁾ | $ | 1,410,251 | $ | 81,963 | 5.82 | % | $ | 1,014,896 | $ | 48,513 | 4.79 | % | |||||||||||||||||
Investment securities ⁽¹⁾ | 165,910 | 5,807 | 4.13 | % | 174,514 | 5,518 | 3.73 | % | |||||||||||||||||||||
Interest-earning deposits with other banks ⁽²⁾ | 66,295 | 2,531 | 3.82 | % | 67,030 | 875 | 1.31 | % | |||||||||||||||||||||
Total interest-earning assets | 1,642,456 | 90,301 | 5.57 | % | 1,256,440 | 54,906 | 4.45 | % | |||||||||||||||||||||
Noninterest-earning assets | 116,459 | 84,484 | |||||||||||||||||||||||||||
Total assets | $ | 1,758,915 | $ | 1,340,924 | |||||||||||||||||||||||||
Interest-bearing liabilities: | |||||||||||||||||||||||||||||
Interest-bearing demand deposits | $ | 217,662 | $ | 2,870 | 1.32 | % | $ | 164,569 | $ | 554 | 0.34 | % | |||||||||||||||||
Money market deposits | 244,765 | 6,498 | 2.65 | % | 174,377 | 1,055 | 0.61 | % | |||||||||||||||||||||
Savings deposits | 253,962 | 1,925 | 0.76 | % | 259,225 | 527 | 0.20 | % | |||||||||||||||||||||
Certificates of deposit | 272,443 | 7,702 | 2.83 | % | 188,617 | 1,882 | 1.00 | % | |||||||||||||||||||||
Short-term borrowings | 101,088 | 5,386 | 5.33 | % | 8,576 | 307 | 3.58 | % | |||||||||||||||||||||
Other borrowings | 11,965 | 717 | 5.99 | % | 12,626 | 404 | 3.20 | % | |||||||||||||||||||||
Total interest-bearing liabilities | 1,101,885 | 25,098 | 2.28 | % | 807,990 | 4,729 | 0.59 | % | |||||||||||||||||||||
Noninterest-bearing liabilities: | |||||||||||||||||||||||||||||
Noninterest-bearing demand deposits | 449,102 | 386,296 | |||||||||||||||||||||||||||
Other liabilities | 11,326 | 7,368 | |||||||||||||||||||||||||||
Stockholders' equity | 196,602 | 139,270 | |||||||||||||||||||||||||||
Total liabilities and stockholders' equity | $ | 1,758,915 | $ | 1,340,924 | |||||||||||||||||||||||||
Net interest income | $ | 65,203 | $ | 50,177 | |||||||||||||||||||||||||
Interest rate spread ⁽³⁾ | 3.29 | % | 3.86 | % | |||||||||||||||||||||||||
Net interest margin ⁽⁴⁾ | 4.04 | % | 4.08 | % | |||||||||||||||||||||||||
Ratio of average interest-earning assets to average interest-bearing liabilities | 149.06 | % | 155.50 | % | |||||||||||||||||||||||||
(1)Tax-equivalent adjustments to calculate the yield on tax-exempt securities and loans were | |||||||||||||||||||||||||||||
(2)Includes dividends received on restricted stock. | |||||||||||||||||||||||||||||
(3)Interest rate spread represents the difference between the average yield on interest-earning assets and the average cost of interest-bearing liabilities. | |||||||||||||||||||||||||||||
(4)Net interest margin represents net interest income as a percentage of average interest-earning assets. | |||||||||||||||||||||||||||||
Company Contact: | Investor and Media Contact: |
President and Chief Executive Officer (419) 673-1217 rzimmerly@middlefieldbank.com | Managing Director (216) 464-6400 andrew@smberger.com |
Source:
2024 GlobeNewswire, Inc., source