The First Bancshares, Inc. Reports Results for Second Quarter ended June 30, 2024
Highlights for the Quarter:
-
Net income available to common shareholders totaled
$19.7 million for the quarter endedJune 30, 2024 , representing a decrease of 4.5% when compared to$20.6 million for the quarter endedMarch 31, 2024 . The Company recorded$1.7 million provision for credit losses for the quarter endedJune 30, 2024 and no provision for credit losses for the quarter endedMarch 31, 2024 .
-
Pre-tax pre-provision operating earnings (non-GAAP) totaled
$27.4 million for the quarter endedJune 30, 2024 , representing an increase of 2.9% when compared to$26.6 million for the quarter endedMarch 31, 2024 .
-
Total loans increased
$110.9 million during the quarter endedJune 30, 2024 , which represented an annualized increase of 8.6%.
-
Annualized net interest margin increased 6 basis points to 3.26% for the quarter ended
June 30, 2024 from 3.20% for the quarter endedMarch 31, 2024 .
-
Core net interest margin increased 9 basis points during the quarter ended
June 30, 2024 from 3.10% to 3.19%.
- Cost of deposits averaged 178 basis points for the second and first quarter of 2024.
-
Past due loans to total loans were
$20.8 million or 0.40% for the quarter endingJune 30, 2024 , compared to$13.4 million , or 0.26% for the quarter endingMarch 31, 2024 , and$12.6 million , or 0.25% for the quarter endingJune 30, 2023 .
-
Annualized quarter-to-date net charge-offs to total loans were
$0.5 million , or 0.04% for the quarter endingJune 30, 2024 , compared to$0.1 million , or 0.01% for the quarter endingMarch 31, 2024 and$0.8 million , or 0.07% for the quarter endingJune 30, 2023 .
-
Nonperforming assets to total assets were
$21.1 million , or 0.26% for the quarter endingJune 30, 2024 , compared to$18.4 million , or 0.23% for the quarter endingMarch 31, 2024 , and$21.6 million , 0.28% for the quarter endingJune 30, 2023 .
-
On
May 17, 2024 , the Company, acting pursuant to authorization from its Board of Directors, provided written notice toThe Nasdaq Stock Market LLC ("Nasdaq") of its determination to voluntarily withdraw the principal listing of the Company's voting common stock,$1.00 par value per share (the "Common Stock"), from Nasdaq and transfer the listing to theNew York Stock Exchange ("NYSE"). The listing and trading of the Common Stock on Nasdaq ended at market close onMay 29, 2024 , and trading commenced on the NYSE at market open onMay 30, 2024 . The Common Stock is traded on the NYSE under the symbol "FBMS."
- For additional information, see the investor presentation filed and available under presentations and press releases included in the investor relations section of the Company's website: www.thefirstbank.com.
Quarterly Earnings
Net income available to common shareholders totaled
Excluding one-time items detailed in the tables included with this press release, net earnings available to common shareholders, operating (non-GAAP) decreased
The Company recorded
Earnings Per Share
For the second quarter of 2024, diluted earnings per share were
Diluted earnings per share, operating (non-GAAP) were
Balance Sheet
Consolidated assets increased
Total loans were
Total deposits were
Asset Quality
Nonperforming assets totaled
Nonaccrual loans totaled
The ratio of the allowance for credit losses (ACL) to total loans was 1.05% at
Second Quarter 2024 vs First Quarter 2024 Earnings Comparison
Net income available to common shareholders for the second quarter of 2024 decreased
Excluding one-time items detailed in the tables included with this press release, net earnings available to common shareholders, operating (non-GAAP) decreased
Net interest income for the second quarter of 2024 was
Second quarter 2024 net interest margin of 3.26% included 12 basis points related to purchase accounting adjustments compared to 3.20% for the first quarter in 2024, which included 15 basis points related to purchase accounting adjustments.
Core net interest margin increased 9 basis points to 3.19% for the second quarter of 2024 from 3.10% for the first quarter of 2024.
Investment securities increased
The average yield on all earning assets (non-GAAP) increased in sequential-quarter comparison from 5.12% to 5.14%. Interest expense on average interest bearing liabilities decreased 3 basis points from 2.65% for the first quarter of 2024 to 2.62% for the second quarter of 2024.
Cost of all deposits averaged 178 basis points for the second and first quarter of 2024.
Non-interest income increased
Non-interest expense for the second quarter of 2024 was
Second Quarter 2024 vs. Second Quarter 2023 Earnings Comparison
Net income available to common shareholders for the second quarter of 2024 totaled
Excluding one-time items detailed in the tables included with this press release, net earnings available to common shareholders, operating (non-GAAP) decreased
Net interest income for the second quarter of 2024 was
Second quarter of 2024 net interest margin was 3.26%, which included 12 basis points related to purchase accounting adjustments compared to 3.76% for the same quarter in 2023, which included 37 basis points related to purchase accounting adjustments. Excluding the purchase accounting adjustments, the core net interest margin (non-GAAP) decreased 25 basis points in prior year quarterly comparison primarily due to an increase in rates on interest bearing liabilities.
Non-interest income increased
Second quarter 2024 non-interest expense was
Investment securities totaled
The average yield on all earning assets increased 23 basis points in prior year quarterly comparison, from 4.91% for the second quarter of 2023 to 5.14% for the second quarter of 2024. Interest expense on average interest bearing liabilities increased 97 basis points from 1.65% for the second quarter of 2023 to 2.62% for the second quarter of 2024.
Cost of all deposits averaged 178 basis points for the second quarter of 2024 compared to 91 basis points for the second quarter of 2023.
Year-to-Date Earnings Comparison
In the year-over-year comparison, net income available to common shareholders increased
Net interest income was
Non-interest income was
Non-interest expense was
Declaration of Cash Dividend
The Company announced that its Board of Directors declared a cash dividend of
Conference Call
The Company will host a conference call for analysts and investors to discuss the Company’s financial results at
About
Non-GAAP Financial Measures
Our accounting and reporting policies conform to generally accepted accounting principles (“GAAP”) in
Forward Looking Statements
This news release and certain of our other filings with the
All statements other than statements of historical fact are forward-looking statements. Such statements can generally be identified by such words as “believes,” “anticipates,” “expects,” “may,” “will,” “assumes,” “should,” “predicts,” “could,” “would,” “intends,” “targets,” “estimates,” “projects,” “plans,” “potential,” “positioned” and other similar words and expressions of the future or otherwise regarding the outlook for the Company’s future business and financial performance and/or the performance of the banking industry and economy in general. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve known and unknown risk and uncertainties which may cause the actual results, performance or achievements of the Company to be materially different from the future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are based on the information known to, and current beliefs and expectations of, the Company’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those contemplated by such forward-looking statements. Factors that might cause such differences include, but are not limited to: (1) competitive pressures among financial institutions increasing significantly; (2) prevailing, or changes in, economic or political conditions, either nationally or locally, particularly in areas in which the Company conducts operations, including the effects of declines in the real estate market, high unemployment rates, inflationary pressure, elevated interest rates and slowdowns in economic growth, as well as the financial stress on borrowers as a result of the foregoing; (3) interest rate risk, including the effects of rising interest rates; (4) developments in our mortgage banking business, including loan modifications, general demand, and the effects of judicial or regulatory requirements or guidance; (5) changes in applicable laws, rules, or regulations; (6) risks related to the Company’s recently completed acquisitions, including that the anticipated benefits from the recently completed acquisitions are not realized in the time frame anticipated or at all as a result of changes in general economic and market conditions or other unexpected factors or events; (7) changes in management’s plans for the future; (8) credit risk associated with our lending activities; (9) changes in loan demand, real estate values, or competition; (10) changes in accounting principles, policies, or guidelines; (11) adverse results from current or future litigation, regulatory examinations or other legal and/or regulatory actions, including as a result of the Company's participation in and execution of government programs related to the COVID-19 pandemic and related variants; (12) higher inflation and its impacts; (13) significant turbulence or disruption in the capital or financial markets and the effect of a fall in stock market prices on our investment securities; (14) potential impacts of the adverse developments in the banking industry highlighted by high-profile bank failures, including impacts on customer confidence, deposit outflows, liquidity and the regulatory response thereto; (15) the effects of war or other conflicts including the impacts relating to or resulting from
These and other factors that could cause results to differ materially from those described in the forward-looking statements, as well as a discussion of the risks and uncertainties that may affect our business, can be found in our Annual Report on Form 10-K and in other filings we make with the
Condensed Consolidated Financial Information (unaudited) (Dollars in thousands except per share data) |
|||||||||||||||||||
EARNINGS DATA |
Quarter Ended
|
|
Quarter Ended
|
|
Quarter Ended
|
|
Quarter Ended
|
|
Quarter Ended
|
||||||||||
Total Interest Income |
$ |
91,027 |
|
|
$ |
91,663 |
|
|
$ |
88,720 |
|
|
$ |
85,681 |
|
|
$ |
86,194 |
|
Total Interest Expense |
|
33,233 |
|
|
|
34,322 |
|
|
|
31,055 |
|
|
|
24,977 |
|
|
|
20,164 |
|
Net Interest Income |
|
57,794 |
|
|
|
57,341 |
|
|
|
57,665 |
|
|
|
60,704 |
|
|
|
66,030 |
|
Net Interest Income excluding PPP Fee Income |
|
57,793 |
|
|
|
57,340 |
|
|
|
57,664 |
|
|
|
60,703 |
|
|
|
66,029 |
|
FTE net interest income* |
|
58,797 |
|
|
|
58,339 |
|
|
|
58,651 |
|
|
|
61,696 |
|
|
|
67,028 |
|
Provision for credit losses |
|
1,650 |
|
|
|
— |
|
|
|
1,250 |
|
|
|
1,000 |
|
|
|
1,250 |
|
Non-interest income |
|
13,319 |
|
|
|
12,679 |
|
|
|
2,346 |
|
|
|
19,324 |
|
|
|
12,423 |
|
Non-interest expense |
|
44,089 |
|
|
|
43,425 |
|
|
|
44,433 |
|
|
|
47,724 |
|
|
|
46,899 |
|
Earnings before income taxes |
|
25,374 |
|
|
|
26,595 |
|
|
|
14,328 |
|
|
|
31,304 |
|
|
|
30,304 |
|
Income tax expense |
|
5,677 |
|
|
|
5,967 |
|
|
|
3,281 |
|
|
|
6,944 |
|
|
|
6,525 |
|
Net income available to common shareholders |
$ |
19,697 |
|
|
$ |
20,628 |
|
|
$ |
11,047 |
|
|
$ |
24,360 |
|
|
$ |
23,779 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
PER COMMON SHARE DATA |
|
|
|
|
|
|
|
|
|
||||||||||
Basic earnings per share |
$ |
0.62 |
|
|
$ |
0.66 |
|
|
$ |
0.35 |
|
|
$ |
0.78 |
|
|
$ |
0.76 |
|
Diluted earnings per share |
|
0.62 |
|
|
|
0.65 |
|
|
|
0.35 |
|
|
|
0.77 |
|
|
|
0.75 |
|
Diluted earnings per share, operating* |
|
0.63 |
|
|
|
0.65 |
|
|
|
0.59 |
|
|
|
0.76 |
|
|
|
0.85 |
|
Quarterly dividends per share |
|
0.25 |
|
|
|
0.25 |
|
|
|
0.24 |
|
|
|
0.23 |
|
|
|
0.22 |
|
Book value per common share at end of period |
|
30.83 |
|
|
|
30.45 |
|
|
|
30.22 |
|
|
|
28.57 |
|
|
|
28.64 |
|
Tangible book value per common share at period end* |
|
20.15 |
|
|
|
19.70 |
|
|
|
19.35 |
|
|
|
17.62 |
|
|
|
17.62 |
|
Market price at end of period |
|
25.98 |
|
|
|
25.95 |
|
|
|
29.33 |
|
|
|
26.97 |
|
|
|
25.84 |
|
Shares outstanding at period end |
|
31,525,232 |
|
|
|
31,528,748 |
|
|
|
31,399,803 |
|
|
|
31,404,231 |
|
|
|
31,406,220 |
|
Weighted average shares outstanding: |
|
|
|
|
|
|
|
|
|
||||||||||
Basic |
|
31,527,592 |
|
|
|
31,475,254 |
|
|
|
31,401,612 |
|
|
|
31,405,439 |
|
|
|
31,378,364 |
|
Diluted |
|
31,679,827 |
|
|
|
31,630,745 |
|
|
|
31,587,506 |
|
|
|
31,609,564 |
|
|
|
31,591,665 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
AVERAGE BALANCE SHEET DATA |
|
|
|
|
|
|
|
|
|
||||||||||
Total assets |
$ |
7,939,783 |
|
|
$ |
8,005,574 |
|
|
$ |
7,917,303 |
|
|
$ |
7,873,345 |
|
|
$ |
7,882,130 |
|
Loans and leases |
|
5,202,006 |
|
|
|
5,158,071 |
|
|
|
5,145,228 |
|
|
|
5,038,928 |
|
|
|
4,982,368 |
|
Total deposits |
|
6,625,500 |
|
|
|
6,599,287 |
|
|
|
6,440,774 |
|
|
|
6,466,141 |
|
|
|
6,501,372 |
|
Total common equity |
|
963,445 |
|
|
|
952,708 |
|
|
|
901,530 |
|
|
|
905,070 |
|
|
|
901,499 |
|
Total tangible common equity* |
|
625,586 |
|
|
|
612,470 |
|
|
|
558,889 |
|
|
|
560,071 |
|
|
|
554,792 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
SELECTED RATIOS |
|
|
|
|
|
|
|
|
|
||||||||||
Annualized return on avg assets (ROA) |
|
0.99 |
% |
|
|
1.03 |
% |
|
|
0.56 |
% |
|
|
1.24 |
% |
|
|
1.21 |
% |
Annualized return on avg assets, operating* |
|
1.01 |
% |
|
|
1.03 |
% |
|
|
0.95 |
% |
|
|
1.22 |
% |
|
|
1.36 |
% |
Annualized pre-tax, pre-provision, operating* |
|
1.38 |
% |
|
|
1.33 |
% |
|
|
1.31 |
% |
|
|
1.62 |
% |
|
|
1.81 |
% |
Annualized return on avg common equity, operating* |
|
8.29 |
% |
|
|
8.66 |
% |
|
|
8.32 |
% |
|
|
10.63 |
% |
|
|
11.91 |
% |
Annualized return on avg tangible common equity, operating* |
|
12.76 |
% |
|
|
13.48 |
% |
|
|
13.41 |
% |
|
|
17.17 |
% |
|
|
19.35 |
% |
Average loans to average deposits |
|
78.51 |
% |
|
|
78.16 |
% |
|
|
79.89 |
% |
|
|
77.93 |
% |
|
|
76.64 |
% |
FTE Net Interest Margin* |
|
3.32 |
% |
|
|
3.26 |
% |
|
|
3.33 |
% |
|
|
3.52 |
% |
|
|
3.82 |
% |
Efficiency Ratio |
|
61.14 |
% |
|
|
61.15 |
% |
|
|
72.84 |
% |
|
|
58.90 |
% |
|
|
59.02 |
% |
Efficiency Ratio, operating* |
|
60.65 |
% |
|
|
61.14 |
% |
|
|
62.00 |
% |
|
|
56.06 |
% |
|
|
53.87 |
% |
*See reconciliation of non-GAAP financial measures |
|
|
|
|
|
|
|
|
|
||||||||||
CREDIT QUALITY |
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for credit losses (ACL) as a % of total loans |
|
1.05 |
% |
|
|
1.05 |
% |
|
|
1.05 |
% |
|
|
1.05 |
% |
|
|
1.05 |
% |
Nonperforming assets to tangible equity + ACL |
|
3.05 |
% |
|
|
2.72 |
% |
|
|
3.05 |
% |
|
|
3.69 |
% |
|
|
3.57 |
% |
Nonperforming assets to total loans + OREO |
|
0.40 |
% |
|
|
0.36 |
% |
|
|
0.39 |
% |
|
|
0.44 |
% |
|
|
0.43 |
% |
Annualized QTD net charge-offs (recoveries) to total loans |
|
0.036 |
% |
|
|
0.006 |
% |
|
|
0.061 |
% |
|
|
0.004 |
% |
|
|
0.070 |
% |
|
|
|
|
|
|
|
|
|
|
Condensed Consolidated Financial Information (unaudited) (in thousands) |
|||||||||||||||||||
BALANCE SHEET |
|
|
|
|
|
|
|
|
|
||||||||||
Assets |
|
|
|
|
|
|
|
|
|
||||||||||
Cash and cash equivalents |
$ |
207,606 |
|
|
$ |
339,964 |
|
|
$ |
355,147 |
|
|
$ |
197,632 |
|
|
$ |
194,050 |
|
Securities available for sale |
|
1,124,462 |
|
|
|
1,088,568 |
|
|
|
1,042,365 |
|
|
|
1,141,971 |
|
|
|
1,199,103 |
|
Securities held to maturity |
|
607,502 |
|
|
|
622,574 |
|
|
|
654,539 |
|
|
|
658,524 |
|
|
|
663,473 |
|
Other investments |
|
39,293 |
|
|
|
34,094 |
|
|
|
37,754 |
|
|
|
35,872 |
|
|
|
35,725 |
|
Total investment securities |
|
1,771,257 |
|
|
|
1,745,236 |
|
|
|
1,734,658 |
|
|
|
1,836,367 |
|
|
|
1,898,301 |
|
Loans held for sale |
|
5,892 |
|
|
|
4,241 |
|
|
|
2,914 |
|
|
|
5,960 |
|
|
|
6,602 |
|
Total loans |
|
5,250,893 |
|
|
|
5,139,952 |
|
|
|
5,170,042 |
|
|
|
5,089,800 |
|
|
|
5,010,925 |
|
Allowance for credit losses |
|
(55,133 |
) |
|
|
(53,959 |
) |
|
|
(54,032 |
) |
|
|
(53,565 |
) |
|
|
(52,614 |
) |
Loans, net |
|
5,195,760 |
|
|
|
5,085,993 |
|
|
|
5,116,010 |
|
|
|
5,036,235 |
|
|
|
4,958,311 |
|
Premises and equipment |
|
179,289 |
|
|
|
181,194 |
|
|
|
182,162 |
|
|
|
183,740 |
|
|
|
186,381 |
|
Other Real Estate Owned |
|
6,356 |
|
|
|
6,743 |
|
|
|
8,320 |
|
|
|
4,920 |
|
|
|
5,588 |
|
|
|
336,561 |
|
|
|
338,946 |
|
|
|
341,332 |
|
|
|
343,869 |
|
|
|
346,104 |
|
Other assets |
|
263,079 |
|
|
|
261,442 |
|
|
|
258,802 |
|
|
|
275,562 |
|
|
|
266,771 |
|
Total assets |
$ |
7,965,800 |
|
|
$ |
7,963,759 |
|
|
$ |
7,999,345 |
|
|
$ |
7,884,285 |
|
|
$ |
7,862,108 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Liabilities and Shareholders’ Equity |
|
|
|
|
|
|
|
|
|
||||||||||
Non-interest bearing deposits |
$ |
1,870,305 |
|
|
$ |
1,836,952 |
|
|
$ |
1,849,013 |
|
|
$ |
1,967,661 |
|
|
$ |
2,086,666 |
|
Interest-bearing deposits |
|
4,755,812 |
|
|
|
4,873,403 |
|
|
|
4,613,859 |
|
|
|
4,512,364 |
|
|
|
4,405,601 |
|
Total deposits |
|
6,626,117 |
|
|
|
6,710,355 |
|
|
|
6,462,872 |
|
|
|
6,480,025 |
|
|
|
6,492,267 |
|
Borrowings |
|
182,400 |
|
|
|
110,000 |
|
|
|
390,000 |
|
|
|
302,000 |
|
|
|
280,000 |
|
Subordinated debentures |
|
123,558 |
|
|
|
123,472 |
|
|
|
123,386 |
|
|
|
128,300 |
|
|
|
128,214 |
|
Other liabilities |
|
61,840 |
|
|
|
60,020 |
|
|
|
74,053 |
|
|
|
76,739 |
|
|
|
62,181 |
|
Total liabilities |
|
6,993,915 |
|
|
|
7,003,847 |
|
|
|
7,050,311 |
|
|
|
6,987,064 |
|
|
|
6,962,662 |
|
Total shareholders’ equity |
|
971,885 |
|
|
|
959,912 |
|
|
|
949,034 |
|
|
|
897,221 |
|
|
|
899,446 |
|
Total liabilities and shareholders’ equity |
$ |
7,965,800 |
|
|
$ |
7,963,759 |
|
|
$ |
7,999,345 |
|
|
$ |
7,884,285 |
|
|
$ |
7,862,108 |
|
|
Condensed Consolidated Financial Information (unaudited) (in thousands except per share data) |
||||||||||||||||||
EARNINGS STATEMENT |
Three Months Ended |
|||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||||
Interest Income: |
|
|
|
|
|
|
|
|
|
|||||||||
Loans, including fees |
$ |
76,269 |
|
$ |
76,172 |
|
|
$ |
74,357 |
|
|
$ |
70,349 |
|
|
$ |
68,057 |
|
Investment securities |
|
11,833 |
|
|
11,248 |
|
|
|
10,803 |
|
|
|
10,614 |
|
|
|
10,815 |
|
Accretion of purchase accounting adjustments |
|
2,067 |
|
|
2,627 |
|
|
|
3,235 |
|
|
|
4,277 |
|
|
|
6,533 |
|
Other interest income |
|
858 |
|
|
1,616 |
|
|
|
325 |
|
|
|
441 |
|
|
|
789 |
|
Total interest income |
|
91,027 |
|
|
91,663 |
|
|
|
88,720 |
|
|
|
85,681 |
|
|
|
86,194 |
|
Interest Expense: |
|
|
|
|
|
|
|
|
|
|||||||||
Deposits |
|
29,247 |
|
|
29,182 |
|
|
|
24,489 |
|
|
|
19,314 |
|
|
|
14,613 |
|
Borrowings |
|
1,956 |
|
|
3,022 |
|
|
|
4,500 |
|
|
|
3,556 |
|
|
|
3,264 |
|
Subordinated debentures |
|
1,814 |
|
|
1,887 |
|
|
|
1,807 |
|
|
|
1,849 |
|
|
|
2,138 |
|
Accretion of purchase accounting adjustments |
|
216 |
|
|
231 |
|
|
|
259 |
|
|
|
258 |
|
|
|
149 |
|
Total interest expense |
|
33,233 |
|
|
34,322 |
|
|
|
31,055 |
|
|
|
24,977 |
|
|
|
20,164 |
|
Net interest income |
|
57,794 |
|
|
57,341 |
|
|
|
57,665 |
|
|
|
60,704 |
|
|
|
66,030 |
|
Provision for credit losses |
|
1,650 |
|
|
— |
|
|
|
1,250 |
|
|
|
1,000 |
|
|
|
1,250 |
|
Net interest income after provision for credit losses |
|
56,144 |
|
|
57,341 |
|
|
|
56,415 |
|
|
|
59,704 |
|
|
|
64,780 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Non-interest Income: |
|
|
|
|
|
|
|
|
|
|||||||||
Service charges on deposit accounts |
|
3,334 |
|
|
3,367 |
|
|
|
3,447 |
|
|
|
3,646 |
|
|
|
3,425 |
|
Mortgage Income |
|
972 |
|
|
704 |
|
|
|
582 |
|
|
|
878 |
|
|
|
773 |
|
Interchange Fee Income |
|
4,893 |
|
|
4,195 |
|
|
|
4,593 |
|
|
|
5,280 |
|
|
|
4,543 |
|
Gain (Loss) on securities, net |
|
14 |
|
|
(48 |
) |
|
|
(9,670 |
) |
|
|
2 |
|
|
|
(48 |
) |
Treasury Awards |
|
— |
|
|
— |
|
|
|
— |
|
|
|
6,197 |
|
|
|
— |
|
Loss on sale of premises and equipment |
|
163 |
|
|
— |
|
|
|
(524 |
) |
|
|
(104 |
) |
|
|
— |
|
Other charges and fees |
|
3,943 |
|
|
4,461 |
|
|
|
3,918 |
|
|
|
3,425 |
|
|
|
3,730 |
|
Total non-interest income |
|
13,319 |
|
|
12,679 |
|
|
|
2,346 |
|
|
|
19,324 |
|
|
|
12,423 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Non-interest expense: |
|
|
|
|
|
|
|
|
|
|||||||||
Salaries and employee benefits |
|
25,045 |
|
|
24,508 |
|
|
|
23,717 |
|
|
|
22,807 |
|
|
|
23,315 |
|
Occupancy expense |
|
5,490 |
|
|
5,714 |
|
|
|
5,688 |
|
|
|
5,343 |
|
|
|
5,041 |
|
|
|
1,020 |
|
|
1,008 |
|
|
|
1,263 |
|
|
|
1,158 |
|
|
|
758 |
|
Marketing |
|
59 |
|
|
139 |
|
|
|
71 |
|
|
|
559 |
|
|
|
45 |
|
Amortization of core deposit intangibles |
|
2,385 |
|
|
2,385 |
|
|
|
2,385 |
|
|
|
2,385 |
|
|
|
2,391 |
|
Other professional services |
|
2,028 |
|
|
1,833 |
|
|
|
2,309 |
|
|
|
1,499 |
|
|
|
1,570 |
|
Acquisition and charter conversion charges |
|
352 |
|
|
8 |
|
|
|
593 |
|
|
|
588 |
|
|
|
4,101 |
|
Other non-interest expense |
|
7,710 |
|
|
7,830 |
|
|
|
8,407 |
|
|
|
13,385 |
|
|
|
9,678 |
|
Total non-interest expense |
|
44,089 |
|
|
43,425 |
|
|
|
44,433 |
|
|
|
47,724 |
|
|
|
46,899 |
|
Earnings before income taxes |
|
25,374 |
|
|
26,595 |
|
|
|
14,328 |
|
|
|
31,304 |
|
|
|
30,304 |
|
Income tax expense |
|
5,677 |
|
|
5,967 |
|
|
|
3,281 |
|
|
|
6,944 |
|
|
|
6,525 |
|
Net income available to common shareholders |
$ |
19,697 |
|
$ |
20,628 |
|
|
$ |
11,047 |
|
|
$ |
24,360 |
|
|
$ |
23,779 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Diluted earnings per common share |
$ |
0.62 |
|
$ |
0.65 |
|
|
$ |
0.35 |
|
|
$ |
0.77 |
|
|
$ |
0.75 |
|
Diluted earnings per common share, operating* |
$ |
0.63 |
|
$ |
0.65 |
|
|
$ |
0.59 |
|
|
$ |
0.76 |
|
|
$ |
0.85 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
*See reconciliation of non-GAAP financial measures |
Condensed Consolidated Financial Information (unaudited) (in thousands except per share data) |
|||||||
EARNINGS STATEMENT |
Year to Date |
||||||
|
2024 |
|
|
|
2023 |
|
|
Interest Income: |
|
|
|
||||
Loans, including fees |
$ |
152,440 |
|
|
$ |
132,113 |
|
PPP loan fee income |
|
1 |
|
|
|
209 |
|
Investment securities |
|
23,081 |
|
|
|
22,522 |
|
Accretion of purchase accounting adjustments |
|
4,694 |
|
|
|
10,002 |
|
Other interest income |
|
2,474 |
|
|
|
1,686 |
|
Total interest income |
|
182,690 |
|
|
|
166,532 |
|
Interest Expense: |
|
|
|
||||
Deposits |
|
58,429 |
|
|
|
26,796 |
|
Borrowings |
|
4,978 |
|
|
|
4,223 |
|
Subordinated debentures |
|
3,701 |
|
|
|
4,314 |
|
Amortization of purchase accounting adjustments |
|
447 |
|
|
|
243 |
|
Total interest expense |
|
67,555 |
|
|
|
35,576 |
|
Net interest income |
|
115,135 |
|
|
|
130,956 |
|
Provision for credit losses |
|
1,650 |
|
|
|
12,250 |
|
Net interest income after provision for credit losses |
|
113,485 |
|
|
|
118,706 |
|
|
|
|
|
||||
Non-interest Income: |
|
|
|
||||
Service charges on deposit accounts |
|
6,701 |
|
|
|
7,082 |
|
Mortgage Income |
|
1,676 |
|
|
|
1,406 |
|
Interchange Fee Income |
|
9,088 |
|
|
|
9,041 |
|
Gain (loss) on securities, net |
|
(34 |
) |
|
|
(48 |
) |
Bargain Purchase Gain and gain on sale of premises and equipment |
|
163 |
|
|
|
— |
|
Other charges and fees |
|
8,404 |
|
|
|
7,554 |
|
Total non-interest income |
|
25,998 |
|
|
|
25,035 |
|
|
|
|
|
||||
Non-interest expense: |
|
|
|
||||
Salaries and employee benefits |
|
49,553 |
|
|
|
46,888 |
|
Occupancy expense |
|
11,204 |
|
|
|
10,337 |
|
|
|
2,028 |
|
|
|
1,428 |
|
Marketing |
|
198 |
|
|
|
203 |
|
Amortization of core deposit intangibles |
|
4,770 |
|
|
|
4,793 |
|
Other professional services |
|
3,861 |
|
|
|
2,638 |
|
Acquisition & charter conversion charges |
|
360 |
|
|
|
7,894 |
|
Other non-interest expense |
|
15,540 |
|
|
|
18,388 |
|
Total non-interest expense |
|
87,514 |
|
|
|
92,569 |
|
Earnings before income taxes |
|
51,969 |
|
|
|
51,172 |
|
Income tax expense |
|
11,644 |
|
|
|
11,122 |
|
Net income available to common shareholders |
|
40,325 |
|
|
|
40,050 |
|
|
|
|
|
||||
Diluted earnings per common share |
$ |
1.27 |
|
|
$ |
1.27 |
|
Diluted earnings per common share, operating* |
$ |
1.28 |
|
|
$ |
1.71 |
|
*See reconciliation of non-GAAP financial measures |
|||||||
|
|
|
|
Condensed Consolidated Financial Information (unaudited) (Dollars in thousands) |
||||||||||||||||||||||||||
COMPOSITION OF LOANS |
|
|
|
Percent of Total |
|
|
|
|
|
|
|
|
|
Percent of Total |
||||||||||||
Commercial, financial and agricultural |
|
$ |
710,808 |
|
|
13.5 |
% |
|
$ |
737,511 |
|
|
$ |
765,422 |
|
|
$ |
753,120 |
|
|
$ |
753,415 |
|
|
15.0 |
% |
Real estate – construction |
|
|
639,931 |
|
|
12.2 |
% |
|
|
633,804 |
|
|
|
629,660 |
|
|
|
633,682 |
|
|
|
634,120 |
|
|
12.6 |
% |
Real estate – commercial |
|
|
2,435,853 |
|
|
46.4 |
% |
|
|
2,356,552 |
|
|
|
2,377,864 |
|
|
|
2,317,666 |
|
|
|
2,251,710 |
|
|
44.9 |
% |
Real estate – residential |
|
|
1,387,102 |
|
|
26.4 |
% |
|
|
1,330,589 |
|
|
|
1,311,395 |
|
|
|
1,298,980 |
|
|
|
1,286,343 |
|
|
25.6 |
% |
Lease Financing Receivable |
|
|
1,749 |
|
|
— |
% |
|
|
1,794 |
|
|
|
1,292 |
|
|
|
1,548 |
|
|
|
1,187 |
|
|
— |
% |
Obligations of States & subdivisions |
|
|
27,286 |
|
|
0.5 |
% |
|
|
28,541 |
|
|
|
29,316 |
|
|
|
29,650 |
|
|
|
31,137 |
|
|
0.6 |
% |
Consumer |
|
|
48,164 |
|
|
0.9 |
% |
|
|
51,161 |
|
|
|
55,094 |
|
|
|
55,154 |
|
|
|
53,013 |
|
|
1.1 |
% |
Loans held for sale |
|
|
5,892 |
|
|
0.1 |
% |
|
|
4,241 |
|
|
|
2,914 |
|
|
|
5,960 |
|
|
|
6,602 |
|
|
0.1 |
% |
Total loans |
|
$ |
5,256,785 |
|
|
100 |
% |
|
$ |
5,144,193 |
|
|
$ |
5,172,957 |
|
|
$ |
5,095,760 |
|
|
$ |
5,017,527 |
|
|
100.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
COMPOSITION OF DEPOSITS |
|
|
|
Percent of Total |
|
|
|
|
|
|
|
|
|
Percent of Total |
||||||||||||
Non-interest bearing |
|
$ |
1,870,305 |
|
|
28.2 |
% |
|
$ |
1,836,952 |
|
|
$ |
1,849,013 |
|
|
$ |
1,967,661 |
|
|
$ |
2,086,666 |
|
|
32.1 |
% |
NOW and other |
|
|
2,075,566 |
|
|
31.4 |
% |
|
|
2,135,343 |
|
|
|
1,914,792 |
|
|
|
1,962,383 |
|
|
|
2,014,420 |
|
|
31.0 |
% |
Money Market/Savings |
|
|
1,573,194 |
|
|
23.7 |
% |
|
|
1,656,688 |
|
|
|
1,623,311 |
|
|
|
1,532,822 |
|
|
|
1,565,212 |
|
|
24.1 |
% |
Time Deposits of less than |
|
|
825,460 |
|
|
12.5 |
% |
|
|
816,153 |
|
|
|
813,877 |
|
|
|
766,553 |
|
|
|
627,782 |
|
|
9.7 |
% |
Time Deposits of |
|
|
281,591 |
|
|
4.2 |
% |
|
|
265,219 |
|
|
|
261,879 |
|
|
|
250,606 |
|
|
|
198,187 |
|
|
3.1 |
% |
Total Deposits |
|
$ |
6,626,116 |
|
|
100 |
% |
|
$ |
6,710,355 |
|
|
$ |
6,462,872 |
|
|
$ |
6,480,025 |
|
|
$ |
6,492,267 |
|
|
100.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
ASSET QUALITY DATA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Nonaccrual loans |
|
$ |
13,553 |
|
|
|
|
$ |
10,961 |
|
|
$ |
10,691 |
|
|
$ |
17,423 |
|
|
$ |
16,037 |
|
|
|
||
Loans past due 90 days and over |
|
|
1,174 |
|
|
|
|
|
687 |
|
|
|
1,163 |
|
|
|
53 |
|
|
|
— |
|
|
|
||
Total nonperforming loans |
|
|
14,727 |
|
|
|
|
|
11,648 |
|
|
|
11,854 |
|
|
|
17,476 |
|
|
|
16,037 |
|
|
|
||
Other real estate owned |
|
|
6,356 |
|
|
|
|
|
6,743 |
|
|
|
8,320 |
|
|
|
4,920 |
|
|
|
5,588 |
|
|
|
||
Total nonperforming assets |
|
$ |
21,083 |
|
|
|
|
$ |
18,391 |
|
|
$ |
20,174 |
|
|
$ |
22,396 |
|
|
$ |
21,625 |
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Nonperforming assets to total assets |
|
|
0.26 |
% |
|
|
|
|
0.23 |
% |
|
|
0.25 |
% |
|
|
0.28 |
% |
|
|
0.28 |
% |
|
|
||
Nonperforming assets to total loans + OREO |
|
|
0.40 |
% |
|
|
|
|
0.36 |
% |
|
|
0.39 |
% |
|
|
0.44 |
% |
|
|
0.43 |
% |
|
|
||
ACL to nonperforming loans |
|
|
374.37 |
% |
|
|
|
|
463.25 |
% |
|
|
455.81 |
% |
|
|
306.51 |
% |
|
|
328.08 |
% |
|
|
||
ACL to total loans |
|
|
1.05 |
% |
|
|
|
|
1.05 |
% |
|
|
1.05 |
% |
|
|
1.05 |
% |
|
|
1.05 |
% |
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Qtr-to-date net charge-offs (recoveries) |
|
$ |
476 |
|
|
|
|
$ |
73 |
|
|
$ |
783 |
|
|
$ |
49 |
|
|
$ |
837 |
|
|
|
||
Annualized QTD net chg-offs (recs) to loans |
|
|
0.036 |
% |
|
|
|
|
0.006 |
% |
|
|
0.061 |
% |
|
|
0.004 |
% |
|
|
0.070 |
% |
|
|
||
|
|
||||||||||||||||||||||||||||||||||
Condensed Consolidated Financial Information (unaudited) |
||||||||||||||||||||||||||||||||||
(in thousands) |
||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
Yield |
Three Months Ended |
|
Three Months Ended |
|
Three Months Ended |
|
Three Months Ended |
|
Three Months Ended |
|||||||||||||||||||||||||
Analysis |
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
|
|
Tax |
|
|
|
Tax |
|
|
|
Tax |
|
|
|
Tax |
|
|
|
Tax |
|
|||||||||||||||
|
Avg |
Equivalent |
Yield/ |
|
Avg |
Equivalent |
Yield/ |
|
Avg |
Equivalent |
Yield/ |
|
Avg |
Equivalent |
Yield/ |
|
Avg |
Equivalent |
Yield/ |
|||||||||||||||
|
Balance |
interest |
Rate |
|
Balance |
interest |
Rate |
|
Balance |
interest |
Rate |
|
Balance |
interest |
Rate |
|
Balance |
interest |
Rate |
|||||||||||||||
Taxable securities |
$ |
1,328,780 |
$ |
8,868 |
2.67 |
% |
|
$ |
1,342,644 |
$ |
8,303 |
2.47 |
% |
|
$ |
1,375,695 |
$ |
7,892 |
2.29 |
% |
|
$ |
1,419,343 |
$ |
7,685 |
2.17 |
% |
|
$ |
1,473,166 |
$ |
7,867 |
2.14 |
% |
Tax-exempt securities |
|
458,752 |
|
3,968 |
3.46 |
% |
|
|
468,432 |
|
3,944 |
3.37 |
% |
|
|
446,348 |
|
3,897 |
3.49 |
% |
|
|
463,329 |
|
3,921 |
3.39 |
% |
|
|
470,742 |
|
3,946 |
3.35 |
% |
Total investment securities |
|
1,787,532 |
|
12,836 |
2.87 |
% |
|
|
1,811,076 |
|
12,247 |
2.70 |
% |
|
|
1,822,043 |
|
11,789 |
2.59 |
% |
|
|
1,882,672 |
|
11,606 |
2.47 |
% |
|
|
1,943,908 |
|
11,813 |
2.43 |
% |
Int bearing dep in other banks |
|
99,290 |
|
858 |
3.46 |
% |
|
|
189,785 |
|
1,616 |
3.41 |
% |
|
|
70,193 |
|
325 |
1.85 |
% |
|
|
79,448 |
|
441 |
2.22 |
% |
|
|
93,464 |
|
789 |
3.38 |
% |
Loans |
|
5,202,006 |
|
78,336 |
6.02 |
% |
|
|
5,158,071 |
|
78,798 |
6.11 |
% |
|
|
5,145,228 |
|
77,592 |
6.03 |
% |
|
|
5,038,928 |
|
74,626 |
5.92 |
% |
|
|
4,982,368 |
|
74,590 |
5.99 |
% |
Total interest earning assets |
|
7,088,828 |
|
92,030 |
5.19 |
% |
|
|
7,158,932 |
|
92,661 |
5.18 |
% |
|
|
7,037,464 |
|
89,706 |
5.10 |
% |
|
|
7,001,048 |
|
86,673 |
4.95 |
% |
|
|
7,019,740 |
|
87,192 |
4.97 |
% |
Other assets |
|
850,955 |
|
|
|
|
846,642 |
|
|
|
|
879,839 |
|
|
|
|
872,297 |
|
|
|
|
862,390 |
|
|
||||||||||
Total assets |
$ |
7,939,783 |
|
|
|
$ |
8,005,574 |
|
|
|
$ |
7,917,303 |
|
|
|
$ |
7,873,345 |
|
|
|
$ |
7,882,130 |
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Deposits |
$ |
4,795,120 |
$ |
29,463 |
2.46 |
% |
|
$ |
4,803,277 |
$ |
29,412 |
2.45 |
% |
|
$ |
4,533,386 |
$ |
24,748 |
2.18 |
% |
|
$ |
4,459,869 |
$ |
19,572 |
1.76 |
% |
|
$ |
4,465,800 |
$ |
14,762 |
1.32 |
% |
Borrowed Funds |
|
157,045 |
|
1,956 |
4.98 |
% |
|
|
254,505 |
|
3,023 |
4.75 |
% |
|
|
361,445 |
|
4,500 |
4.98 |
% |
|
|
296,963 |
|
3,556 |
4.79 |
% |
|
|
277,531 |
|
3,264 |
4.70 |
% |
Subordinated debentures |
|
123,510 |
|
1,814 |
5.87 |
% |
|
|
123,424 |
|
1,887 |
6.12 |
% |
|
|
126,925 |
|
1,807 |
5.69 |
% |
|
|
128,251 |
|
1,849 |
5.77 |
% |
|
|
145,418 |
|
2,138 |
5.88 |
% |
Total interest bearing |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
liabilities |
|
5,075,675 |
|
33,233 |
2.62 |
% |
|
|
5,181,206 |
|
34,322 |
2.65 |
% |
|
|
5,021,756 |
|
31,055 |
2.47 |
% |
|
|
4,885,083 |
|
24,977 |
2.05 |
% |
|
|
4,888,749 |
|
20,164 |
1.65 |
% |
Other liabilities |
|
1,900,663 |
|
|
|
|
1,871,660 |
|
|
|
|
1,994,017 |
|
|
|
|
2,083,192 |
|
|
|
|
2,091,882 |
|
|
||||||||||
Shareholders' equity |
|
963,445 |
|
|
|
|
952,708 |
|
|
|
|
901,530 |
|
|
|
|
905,070 |
|
|
|
|
901,499 |
|
|
||||||||||
Total liabilities and |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
shareholders' equity |
$ |
7,939,783 |
|
|
|
$ |
8,005,574 |
|
|
|
$ |
7,917,303 |
|
|
|
$ |
7,873,345 |
|
|
|
$ |
7,882,130 |
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net interest |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
income (FTE)* |
|
$ |
58,797 |
2.57 |
% |
|
|
$ |
58,339 |
2.53 |
% |
|
|
$ |
58,651 |
2.63 |
% |
|
|
$ |
61,696 |
2.91 |
% |
|
|
$ |
67,028 |
3.32 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net interest margin (FTE)* |
|
|
3.32 |
% |
|
|
|
3.26 |
% |
|
|
|
3.33 |
% |
|
|
|
3.52 |
% |
|
|
|
3.82 |
% |
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Core net interest margin* |
|
|
3.19 |
% |
|
|
|
3.10 |
% |
|
|
|
3.14 |
% |
|
|
|
3.27 |
% |
|
|
|
3.43 |
% |
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
*See reconciliation for non-GAAP financial measures |
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|
|
|
|
|
|
|
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|
|
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|
|
|
|
|
|
|
|
Reconciliation of Non-GAAP Financial Measures (unaudited) (in thousands except per share data) |
||||||||||||||||||
|
Three Months Ended |
|||||||||||||||||
Per Common Share Data |
|
|
|
|
|
|
|
|
|
|||||||||
Book value per common share |
$ |
30.83 |
|
$ |
30.45 |
|
|
$ |
30.22 |
|
|
$ |
28.57 |
|
|
$ |
28.64 |
|
Effect of intangible assets per share |
|
10.68 |
|
|
10.75 |
|
|
|
10.87 |
|
|
|
10.95 |
|
|
|
11.02 |
|
Tangible book value per common share |
$ |
20.15 |
|
$ |
19.70 |
|
|
$ |
19.35 |
|
|
$ |
17.62 |
|
|
$ |
17.62 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Diluted earnings per share |
$ |
0.62 |
|
$ |
0.65 |
|
|
$ |
0.35 |
|
|
$ |
0.77 |
|
|
$ |
0.75 |
|
Effect of acquisition and charter conversion charges |
|
0.01 |
|
|
— |
|
|
|
0.02 |
|
|
|
0.02 |
|
|
|
0.13 |
|
Tax on acquisition and charter conversion charges |
|
— |
|
|
— |
|
|
|
(0.01 |
) |
|
|
(0.01 |
) |
|
|
(0.03 |
) |
Effect of |
|
— |
|
|
— |
|
|
|
— |
|
|
|
(0.20 |
) |
|
|
— |
|
Tax on |
|
— |
|
|
— |
|
|
|
— |
|
|
|
0.05 |
|
|
|
— |
|
Effect on contributions/consulting/advertising related to |
|
— |
|
|
— |
|
|
|
— |
|
|
|
0.17 |
|
|
|
— |
|
Tax on contributions/consulting/advertising related to |
|
— |
|
|
— |
|
|
|
— |
|
|
|
(0.04 |
) |
|
|
— |
|
Loss on securities repositioning |
|
— |
|
|
— |
|
|
|
0.31 |
|
|
|
— |
|
|
|
— |
|
Tax loss on securities repositioning |
|
— |
|
|
— |
|
|
|
(0.08 |
) |
|
|
— |
|
|
|
— |
|
Diluted earnings per share, operating |
$ |
0.63 |
|
$ |
0.65 |
|
|
$ |
0.59 |
|
|
$ |
0.76 |
|
|
$ |
0.85 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
|
|
Year to Date |
|
|
|||||||||||||
|
|
|
|
2024 |
|
|
|
|
|
2023 |
|
|
|
|||||
Diluted earnings per share |
|
|
$ |
1.27 |
|
|
|
|
$ |
1.27 |
|
|
|
|||||
Effect of acquisition and charter conversion charges |
|
|
|
0.01 |
|
|
|
|
|
0.25 |
|
|
|
|||||
Tax on acquisition and charter conversion charges |
|
|
|
— |
|
|
|
|
|
(0.06 |
) |
|
|
|||||
Initial provision for acquired loans |
|
|
|
— |
|
|
|
|
|
0.34 |
|
|
|
|||||
Tax on initial provision for acquired loans |
|
|
|
— |
|
|
|
|
|
(0.09 |
) |
|
|
|||||
Diluted earnings per share, operating |
|
|
$ |
1.28 |
|
|
|
|
$ |
1.71 |
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|||||||||
|
|
|
Year to Date |
|
|
|||||||||||||
|
|
|
|
2024 |
|
|
|
|
|
2023 |
|
|
|
|||||
Net income available to common shareholders |
|
|
$ |
40,325 |
|
|
|
|
$ |
40,050 |
|
|
|
|||||
Acquisition and charter conversion charges |
|
|
|
360 |
|
|
|
|
|
7,894 |
|
|
|
|||||
Tax on acquisition and charter conversion charges |
|
|
|
(91 |
) |
|
|
|
|
(1,997 |
) |
|
|
|||||
Initial provision for acquired loans |
|
|
|
— |
|
|
|
|
|
10,727 |
|
|
|
|||||
Tax on initial provision for acquired loans |
|
|
|
— |
|
|
|
|
|
(2,714 |
) |
|
|
|||||
Net earnings available to common shareholders, operating |
|
|
$ |
40,594 |
|
|
|
|
$ |
53,960 |
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
||||||||||||||
Average Balance Sheet Data |
|
|
|
|
|
|
||||||||||
Total average assets |
A |
$ |
7,939,783 |
|
$ |
8,005,574 |
|
$ |
7,917,303 |
|
$ |
7,873,345 |
|
$ |
7,882,130 |
|
Total average earning assets |
B |
$ |
7,088,828 |
|
$ |
7,158,932 |
|
$ |
7,037,464 |
|
$ |
7,001,048 |
|
$ |
7,019,740 |
|
|
|
|
|
|
|
|
||||||||||
Common Equity |
C |
$ |
963,445 |
|
$ |
952,708 |
|
$ |
901,530 |
|
$ |
905,070 |
|
$ |
901,499 |
|
Less intangible assets |
|
|
337,859 |
|
|
340,238 |
|
|
342,641 |
|
|
344,999 |
|
|
346,707 |
|
Total Tangible common equity |
D |
$ |
625,586 |
|
$ |
612,470 |
|
$ |
558,889 |
|
$ |
560,071 |
|
$ |
554,792 |
|
|
|
|
|
|
|
|
||||||||||
|
|
|
||||||||||||||
|
|
Three Months Ended |
||||||||||||||
Net Interest Income Fully Tax Equivalent |
|
|
|
|
|
|
||||||||||
Net interest income |
E |
$ |
57,794 |
|
$ |
57,341 |
|
$ |
57,665 |
|
$ |
60,704 |
|
$ |
66,030 |
|
Tax-exempt investment income |
|
|
(2,965 |
) |
|
(2,946 |
) |
|
(2,911 |
) |
|
(2,929 |
) |
|
(2,948 |
) |
Taxable investment income |
|
|
3,968 |
|
|
3,944 |
|
|
3,897 |
|
|
3,921 |
|
|
3,946 |
|
Net Interest Income Fully Tax Equivalent |
F |
$ |
58,797 |
|
$ |
58,339 |
|
$ |
58,651 |
|
$ |
61,696 |
|
$ |
67,028 |
|
|
|
|
|
|
|
|
||||||||||
Annualized Net Interest Margin |
E/B |
|
3.26 |
% |
|
3.20 |
% |
|
3.28 |
% |
|
3.47 |
% |
|
3.76 |
% |
Annualized Net Interest Margin, Fully Tax Equivalent |
F/B |
|
3.32 |
% |
|
3.26 |
% |
|
3.33 |
% |
|
3.52 |
% |
|
3.82 |
% |
|
|
|
|
|
|
|
||||||||||
Total Interest Income, Fully Tax Equivalent |
|
|
|
|
|
|
||||||||||
Total Interest Income |
R |
$ |
91,027 |
|
$ |
91,663 |
|
$ |
88,720 |
|
$ |
85,681 |
|
$ |
86,194 |
|
Tax-exempt investment income |
|
|
(2,965 |
) |
|
(2,946 |
) |
|
(2,911 |
) |
|
(2,929 |
) |
|
(2,948 |
) |
Taxable investment income |
|
|
3,968 |
|
|
3,944 |
|
|
3,897 |
|
|
3,921 |
|
|
3,946 |
|
Total Interest Income, Fully Tax Equivalent |
G |
$ |
92,030 |
|
$ |
92,661 |
|
$ |
89,706 |
|
$ |
86,673 |
|
$ |
87,192 |
|
|
|
|
|
|
|
|
||||||||||
Yield on Average Earning Assets |
R/B |
|
5.14 |
% |
|
5.12 |
% |
|
5.04 |
% |
|
4.90 |
% |
|
4.91 |
% |
Yield on Average Earning Assets, Fully Tax Equivalent |
G/B |
|
5.19 |
% |
|
5.18 |
% |
|
5.10 |
% |
|
4.95 |
% |
|
4.97 |
% |
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
||||||||||
|
S |
$ |
11,833 |
|
$ |
11,248 |
|
$ |
10,803 |
|
$ |
10,614 |
|
$ |
10,815 |
|
Tax-exempt investment income |
|
|
(2,965 |
) |
|
(2,946 |
) |
|
(2,911 |
) |
|
(2,929 |
) |
|
(2,948 |
) |
Taxable investment Income |
|
|
3,968 |
|
|
3,944 |
|
|
3,897 |
|
|
3,921 |
|
|
3,946 |
|
|
H |
$ |
12,836 |
|
$ |
12,246 |
|
$ |
11,789 |
|
$ |
11,606 |
|
$ |
11,813 |
|
|
|
|
|
|
|
|
||||||||||
|
I |
$ |
1,787,532 |
|
$ |
1,811,076 |
|
$ |
1,822,043 |
|
$ |
1,882,672 |
|
$ |
1,943,908 |
|
|
|
|
|
|
|
|
||||||||||
Yield on |
S/I |
|
2.65 |
% |
|
2.48 |
% |
|
2.37 |
% |
|
2.26 |
% |
|
2.23 |
% |
Yield on |
H/I |
|
2.87 |
% |
|
2.70 |
% |
|
2.59 |
% |
|
2.47 |
% |
|
2.43 |
% |
|
|
|
|
|
|
|
||||||||||
|
|
Three Months Ended |
||||||||||||||
Core Net Interest Margin |
|
|
|
|
|
|
||||||||||
Net interest income (FTE) |
|
$ |
58,797 |
|
$ |
58,339 |
|
$ |
58,651 |
|
$ |
61,696 |
|
$ |
67,028 |
|
Less purchase accounting adjustments |
|
|
2,067 |
|
|
2,627 |
|
|
3,235 |
|
|
4,276 |
|
|
6,533 |
|
Net interest income, net of purchase accounting adj |
J |
$ |
56,730 |
|
$ |
55,712 |
|
$ |
55,416 |
|
$ |
57,420 |
|
$ |
60,495 |
|
|
|
|
|
|
|
|
||||||||||
Total average earning assets |
|
$ |
7,088,828 |
|
$ |
7,158,932 |
|
$ |
7,037,464 |
|
$ |
7,001,048 |
|
$ |
7,019,740 |
|
Add average balance of loan valuation discount |
|
|
22,341 |
|
|
24,675 |
|
|
27,573 |
|
|
31,269 |
|
|
38,306 |
|
Avg earning assets, excluding loan valuation discount |
K |
$ |
7,111,169 |
|
$ |
7,183,607 |
|
$ |
7,065,037 |
|
$ |
7,032,317 |
|
$ |
7,058,046 |
|
|
|
|
|
|
|
|
||||||||||
Core net interest margin |
J/K |
|
3.19 |
% |
|
3.10 |
% |
|
3.14 |
% |
|
3.27 |
% |
|
3.43 |
% |
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
||||||||||
|
|
Three Months Ended |
||||||||||||||
Efficiency Ratio |
|
|
|
|
|
|
||||||||||
Operating Expense |
|
|
|
|
|
|
||||||||||
Total non-interest expense |
|
$ |
44,089 |
|
$ |
43,425 |
|
$ |
44,433 |
|
$ |
47,724 |
|
$ |
46,899 |
|
Pre-tax non-operating expenses |
|
|
(352 |
) |
|
(8 |
) |
|
(594 |
) |
|
(5,777 |
) |
|
(4,101 |
) |
Adjusted Operating Expense |
L |
$ |
43,737 |
|
$ |
43,417 |
|
$ |
43,839 |
|
$ |
41,947 |
|
$ |
42,798 |
|
|
|
|
|
|
|
|
||||||||||
Operating Revenue |
|
|
|
|
|
|
||||||||||
Net interest income, FTE |
|
$ |
58,797 |
|
$ |
58,339 |
|
$ |
58,651 |
|
$ |
61,696 |
|
$ |
67,028 |
|
Total non-interest income |
|
|
13,319 |
|
|
12,679 |
|
|
2,346 |
|
|
19,324 |
|
|
12,423 |
|
Pre-tax non-operating items |
|
|
— |
|
|
— |
|
|
9,708 |
|
|
(6,197 |
) |
|
— |
|
Adjusted Operating Revenue |
M |
$ |
72,116 |
|
$ |
71,018 |
|
$ |
70,705 |
|
$ |
74,823 |
|
$ |
79,451 |
|
|
|
|
|
|
|
|
||||||||||
Efficiency Ratio, operating |
L/M |
|
60.65 |
% |
|
61.14 |
% |
|
62.00 |
% |
|
56.06 |
% |
|
53.87 |
% |
|
|
|
|
|
|
|
||||||||||
|
|
Three Months Ended |
||||||||||||||
Return Ratios |
|
|
|
|
|
|
||||||||||
Net income available to common shareholders |
N |
$ |
19,697 |
|
$ |
20,628 |
|
$ |
11,047 |
|
$ |
24,360 |
|
$ |
23,779 |
|
Acquisition and charter conversion charges |
|
|
352 |
|
|
8 |
|
|
593 |
|
|
588 |
|
|
4,101 |
|
Tax on acquisition and charter conversion charges |
|
|
(89 |
) |
|
(2 |
) |
|
(150 |
) |
|
(149 |
) |
|
(1,037 |
) |
|
|
|
— |
|
|
— |
|
|
— |
|
|
(6,197 |
) |
|
— |
|
Tax on |
|
|
— |
|
|
— |
|
|
— |
|
|
1,568 |
|
|
— |
|
Contributions/consulting/advertising related to |
|
|
— |
|
|
— |
|
|
— |
|
|
5,190 |
|
|
— |
|
Tax on contributions/consulting/advertising related to |
|
|
— |
|
|
— |
|
|
— |
|
|
(1,313 |
) |
|
— |
|
Loss on securities repositioning |
|
|
— |
|
|
— |
|
|
9,708 |
|
|
— |
|
|
— |
|
Tax loss on securities repositioning |
|
|
— |
|
|
— |
|
|
(2,457 |
) |
|
— |
|
|
— |
|
Net earnings available to common shareholders, operating |
O |
$ |
19,960 |
|
$ |
20,634 |
|
$ |
18,741 |
|
$ |
24,047 |
|
$ |
26,843 |
|
|
|
|
|
|
|
|
||||||||||
|
|
Three Months Ended |
||||||||||||||
Pre-Tax Pre-Provision Operating Earnings |
|
|
|
|
|
|
||||||||||
Earnings before income taxes |
P |
$ |
25,374 |
|
$ |
26,595 |
|
$ |
14,328 |
|
$ |
31,304 |
|
$ |
30,304 |
|
Acquisition and charter conversion charges |
|
|
352 |
|
|
8 |
|
|
593 |
|
|
588 |
|
|
4,101 |
|
Provision for credit losses |
|
|
1,650 |
|
|
— |
|
|
1,250 |
|
|
1,000 |
|
|
1,250 |
|
|
|
|
— |
|
|
— |
|
|
— |
|
|
(6,197 |
) |
|
— |
|
Contributions/consulting/advertising related to |
|
|
— |
|
|
— |
|
|
— |
|
|
5,190 |
|
|
— |
|
Loss on securities repositioning |
|
|
— |
|
|
— |
|
|
9,708 |
|
|
— |
|
|
— |
|
Pre-Tax, Pre-Provision Operating Earnings |
Q |
$ |
27,376 |
|
$ |
26,603 |
|
$ |
25,879 |
|
$ |
31,885 |
|
$ |
35,655 |
|
|
|
|
|
|
|
|
||||||||||
Annualized return on avg assets |
N/A |
|
0.99 |
% |
|
1.03 |
% |
|
0.56 |
% |
|
1.24 |
% |
|
1.21 |
% |
Annualized return on avg assets, oper |
O/A |
|
1.01 |
% |
|
1.03 |
% |
|
0.95 |
% |
|
1.22 |
% |
|
1.36 |
% |
Annualized pre-tax, pre-provision, oper |
Q/A |
|
1.38 |
% |
|
1.33 |
% |
|
1.31 |
% |
|
1.62 |
% |
|
1.81 |
% |
Annualized return on avg common equity, oper |
O/C |
|
8.29 |
% |
|
8.66 |
% |
|
8.32 |
% |
|
10.63 |
% |
|
11.91 |
% |
Annualized return on avg tangible common equity, operating |
O/D |
|
12.76 |
% |
|
13.48 |
% |
|
13.41 |
% |
|
17.17 |
% |
|
19.35 |
% |
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
||||||||||
|
|
Three Months Ended |
||||||||||||||
Capital Ratios |
|
|
|
|
|
|
||||||||||
Common equity tier 1 (CET1) ratio |
|
|
12.4 |
% |
|
12.2 |
% |
|
12.1 |
% |
|
12.0 |
% |
|
11.5 |
% |
Leverage (Tier 1) ratio |
|
|
10.0 |
% |
|
9.7 |
% |
|
9.7 |
% |
|
9.6 |
% |
|
9.1 |
% |
Total risk based capital ratio |
|
|
15.3 |
% |
|
15.2 |
% |
|
15.0 |
% |
|
15.1 |
% |
|
14.5 |
% |
Tangible common equity ratio |
|
|
8.3 |
% |
|
8.1 |
% |
|
7.9 |
% |
|
7.3 |
% |
|
7.4 |
% |
*estimated |
|
|
|
|
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20240723507823/en/
Chief Executive Officer
Chief Financial Officer
(601) 268-8998
Source: