First Community Corporation Announces Second Quarter Results and Increased Cash Dividend
Highlights for Second Quarter of 2024
- Net income of
$3.265 million during the second quarter of 2024, an increase of 25.7% on a linked quarter basis, and$5.862 million throughJune 30, 2024 . - Diluted EPS of
$0.42 per common share for the second quarter of 2024 and$0.76 throughJune 30, 2024 , an increase of 23.5% on a linked quarter basis. - Net interest margin on a tax equivalent basis of 2.93% with margin expansion of 14 basis points during the second quarter of 2024 compared to the first quarter of 2024.
- Total loans increased by
$31.9 million during the second quarter of 2024, an annualized growth rate of 11.1%. - Total deposits were
$1.605 billion and customer deposits (excludes brokered CDs) were$1.562 billion atJune 30, 2024 . Customer deposit growth was$44.1 million during the second quarter, an 11.7% annualized growth rate. - Investment advisory revenue of
$1.508 million . Assets under management (AUM) were a record$865.6 million atJune 30, 2024 , which is a 14.6% increase year-to-date throughJune 30, 2024 . - Mortgage line of business total production of
$49.0 million which is the highest quarter since 2020. - Key credit quality metrics continue to be excellent with net charge-offs, including overdrafts, during the second quarter of 2024 of
$5 thousand ; net loan recoveries, excluding overdrafts, during the quarter of$1,000 ; non-performing assets of 0.04%; and past due loans of 0.07% atJune 30, 2024 . - Increased cash dividend to
$0.15 per common share, which is the 90th consecutive quarter of cash dividends paid to common shareholders.
Year-to-date through
Cash Dividend and Capital
The Board of Directors approved an increased cash dividend for the second quarter of 2024. The company will pay a
As previously announced on
Each of the regulatory capital ratios for the bank exceed the well capitalized minimum levels currently required by regulatory statute. At
Tangible Book Value (TBV) per share increased during the quarter to
Loan Portfolio Quality/Allowance for Loan Losses
The company's asset quality metrics as of
As a community bank focused on local businesses, professionals, organizations, and individuals, the bank has no individual or industry concentrations. In order to provide additional clarity to our commercial real estate exposure, the information below includes only non-owner occupied loans. As of
Collateral |
Outstanding |
% of Loan |
Average |
Weighted |
Retail |
|
7.7 % |
|
55 % |
Warehouse & Industrial |
|
6.6 % |
|
61 % |
Office |
|
5.6 % |
|
57 % |
Hotel |
|
5.5 % |
|
63 % |
In the office exposure noted above, there are only four loans where the collateral is an office building in excess of 50,000 square feet of rentable space. These four loans represent
Balance Sheet
Total loans increased during the second quarter of 2024 by
Total deposits were
Costs of deposits increased on a linked quarter basis to 1.98% in the second quarter of 2024 from 1.90% in the first quarter of 2024. Cost of funds increased just 0.01% on a linked quarter basis to 2.17% in the second quarter of 2024 from 2.16% in the first quarter of 2024. As additional information, the cost of deposits were 1.95% in the month of
As of
The bank has other short-term investments, primarily interest bearing cash at the
The bank also has substantial borrowing capacity at the
Combined, at
The investment portfolio was
Revenue
Net Interest Income/Net Interest Margin
Net interest income was
As previously disclosed, effective
Non-Interest Income
Non-interest income in the second quarter of 2024 was
Total production in the mortgage line of business in the second quarter of 2024 was
Total assets under management (AUM) in the investment advisory line of business were
Other non-recurring non-interest income during the second quarter of 2024 was
Non-Interest Expense
Non-interest expense was
On a related note, the effective income tax rate for the second quarter of 2024 was 19.16% compared to 21.66% in the second quarter of 2023 and 21.94% in the first quarter of 2024. The reduction in the effective tax rate this quarter was due to a non-recurring tax adjustment of
Other
In December of 2023,
As announced during the first quarter of 2024, the company closed its banking office located at
About
FORWARD-LOOKING STATEMENTS
This news release and certain statements by our management may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to future plans, goals, projections and expectations, and are thus prospective. Forward looking statements can be identified by words such as "anticipate", "expects", "intends", "believes", "may", "likely", "will", "plans", "positions", "future", "forward", or other statements that indicate future periods. Such forward-looking statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Such risks, uncertainties and other factors, include, among others, the following: (1) competitive pressures among depository and other financial institutions may increase significantly and have an effect on pricing, spending, third-party relationships and revenues; (2) the strength of
Although we believe that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove to be inaccurate. We can give no assurance that the results contemplated in the forward-looking statements will be realized. The inclusion of this forward-looking information should not be construed as a representation by our company or any person that the future events, plans, or expectations contemplated by our company will be achieved. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.
|
|
|
|
|
|
|
BALANCE SHEET DATA |
|
|
|
|
|
|
(Dollars in thousands, except per share data) |
|
|
|
|
|
|
|
|
As of |
||||
|
|
|
|
|
|
|
|
|
2024 |
2024 |
2023 |
2023 |
2023 |
|
|
|
|
|
|
|
Total Assets |
|
$ 1,884,844 |
$ 1,886,991 |
$ 1,827,688 |
$ 1,793,722 |
$ 1,740,982 |
Other Short-term Investments and CD's1 |
|
86,172 |
122,778 |
66,787 |
69,703 |
28,710 |
|
|
|
|
|
|
|
Investments Held-to-Maturity |
|
213,706 |
215,260 |
217,200 |
219,903 |
221,429 |
Investments Available-for-Sale |
|
269,918 |
274,349 |
282,226 |
280,549 |
328,239 |
Other Investments at Cost |
|
5,029 |
5,504 |
6,800 |
6,305 |
6,208 |
|
|
488,653 |
495,113 |
506,226 |
506,757 |
555,876 |
Loans Held-for-Sale |
|
6,701 |
1,719 |
4,433 |
5,509 |
4,195 |
Loans |
|
1,189,189 |
1,157,305 |
1,134,019 |
1,091,645 |
1,032,165 |
Allowance for Credit Losses - Investments |
|
27 |
29 |
30 |
32 |
37 |
Allowance for Credit Losses - Loans |
|
12,932 |
12,459 |
12,267 |
11,818 |
11,554 |
Allowance for Credit Losses - Unfunded Commitments |
|
490 |
512 |
597 |
643 |
429 |
|
|
14,637 |
14,637 |
14,637 |
14,637 |
14,637 |
Other Intangibles |
|
525 |
564 |
604 |
643 |
682 |
Total Deposits |
|
1,604,528 |
1,578,067 |
1,511,001 |
1,492,026 |
1,420,753 |
Securities Sold Under Agreements to Repurchase |
|
59,286 |
81,833 |
62,863 |
67,173 |
72,103 |
Federal Funds Purchased |
|
- |
- |
- |
- |
- |
Federal Home Loan Bank Advances |
|
50,000 |
60,000 |
90,000 |
80,000 |
95,000 |
Junior Subordinated Debt |
|
14,964 |
14,964 |
14,964 |
14,964 |
14,964 |
Accumulated Other Comprehensive Loss (AOCL) |
|
(27,288) |
(27,442) |
(28,191) |
(33,057) |
(31,488) |
Shareholders' Equity |
|
136,179 |
133,493 |
131,059 |
123,601 |
124,148 |
|
|
|
|
|
|
|
Book Value Per Common Share |
|
$ 17.84 |
$ 17.50 |
$ 17.23 |
$ 16.26 |
$ 16.35 |
Tangible Book Value Per Common Share |
|
$ 15.85 |
$ 15.51 |
$ 15.23 |
$ 14.25 |
$ 14.33 |
Equity to Assets |
|
7.22 % |
7.07 % |
7.17 % |
6.89 % |
7.13 % |
Tangible Common Equity to Tangible Assets (TCE Ratio) |
|
6.47 % |
6.32 % |
6.39 % |
6.09 % |
6.31 % |
Loan to Deposit Ratio (Includes Loans Held-for-Sale) |
|
74.53 % |
73.45 % |
75.34 % |
73.53 % |
72.94 % |
Loan to Deposit Ratio (Excludes Loans Held-for-Sale) |
|
74.11 % |
73.34 % |
75.05 % |
73.17 % |
72.65 % |
Allowance for Credit Losses - Loans/Loans |
|
1.09 % |
1.08 % |
1.08 % |
1.08 % |
1.12 % |
|
|
|
|
|
|
|
Regulatory Capital Ratios (Bank): |
|
|
|
|
|
|
Leverage Ratio |
|
8.44 % |
8.35 % |
8.45 % |
8.63 % |
8.63 % |
Tier 1 Capital Ratio |
|
12.55 % |
12.65 % |
12.53 % |
12.47 % |
13.29 % |
Total Capital Ratio |
|
13.62 % |
13.71 % |
13.58 % |
13.50 % |
14.35 % |
Common Equity Tier 1 Capital Ratio |
|
12.55 % |
12.65 % |
12.53 % |
12.47 % |
13.29 % |
Tier 1 |
|
$ 158,080 |
$ 155,590 |
$ 153,859 |
$ 151,360 |
$ 150,414 |
|
|
$ 171,529 |
$ 168,590 |
$ 166,752 |
$ 163,853 |
$ 162,434 |
Common Equity Tier 1 Capital |
|
$ 158,080 |
$ 155,590 |
$ 153,859 |
$ 151,360 |
$ 150,414 |
|
|
|
|
|
|
|
1 Includes federal funds sold and interest-bearing deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Balances: |
|
Three months ended |
|
Six months ended |
||
|
|
|
|
|
||
|
|
2024 |
2023 |
|
2024 |
2023 |
|
|
|
|
|
|
|
Average Total Assets |
|
$ 1,862,009 |
$ 1,737,044 |
|
$ 1,859,862 |
$ 1,716,463 |
Average Loans (Includes Loans Held-for-Sale) |
|
1,178,342 |
1,017,215 |
|
1,163,803 |
1,001,942 |
|
|
491,187 |
562,629 |
|
495,277 |
563,866 |
Average Short-term Investments and CDs1 |
|
79,996 |
42,576 |
|
88,674 |
36,391 |
Average Earning Assets |
|
1,749,525 |
1,622,420 |
|
1,747,754 |
1,602,199 |
Average Deposits |
|
1,569,939 |
1,409,131 |
|
1,545,669 |
1,395,495 |
Average Other Borrowings |
|
139,165 |
189,409 |
|
162,461 |
184,496 |
Average Shareholders' Equity |
|
133,729 |
124,179 |
|
132,855 |
122,129 |
|
|
|
|
|
|
|
Asset Quality: |
|
As of |
||||
|
|
|
|
|
|
|
|
|
2024 |
2024 |
2023 |
2023 |
2023 |
Loan Risk Rating by Category (End of Period) |
|
|
|
|
|
|
Special Mention |
|
$ 673 |
$ 833 |
$ 331 |
$ 550 |
$ 565 |
Substandard |
|
1,528 |
1,418 |
1,449 |
1,241 |
1,312 |
Doubtful |
|
- |
- |
- |
- |
- |
Pass |
|
1,186,988 |
1,155,054 |
1,132,239 |
1,089,854 |
1,030,288 |
Total Loans |
|
$ 1,189,189 |
$ 1,157,305 |
$ 1,134,019 |
$ 1,091,645 |
$ 1,032,165 |
Nonperforming Assets |
|
|
|
|
|
|
Non-accrual Loans |
|
$ 173 |
$ 56 |
$ 27 |
$ 61 |
$ 83 |
Other Real Estate Owned and Repossessed Assets |
|
544 |
622 |
622 |
666 |
927 |
Accruing Loans Past Due 90 Days or More |
|
- |
157 |
215 |
3 |
1 |
Total Nonperforming Assets |
|
$ 717 |
$ 835 |
$ 864 |
$ 730 |
$ 1,011 |
|
|
|
|
|
|
|
|
|
Three months ended |
|
Six months ended |
||
|
|
|
|
|
||
|
|
2024 |
2023 |
|
2024 |
2023 |
Loans Charged-off |
|
$ 6 |
$ 1 |
|
$ 31 |
$ 3 |
Overdrafts Charged-off |
|
10 |
26 |
|
35 |
33 |
Loan Recoveries |
|
(7) |
(15) |
|
(33) |
(32) |
Overdraft Recoveries |
|
(4) |
(2) |
|
(6) |
(5) |
Net Charge-offs (Recoveries) |
|
$ 5 |
$ 10 |
|
$ 27 |
$ (1) |
Net Charge-offs / (Recoveries) to Average Loans2 |
|
0.00 % |
0.00 % |
|
0.00 % |
(0.00 %) |
2 Annualized |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INCOME STATEMENT DATA |
|
|
|
|
|
|
|
|
|
(Dollars in thousands, except per share data) |
|
|
|
|
|
|
|
|
|
|
|
Three months ended |
|
Three months ended |
|
Six months ended |
|||
|
|
|
|
|
|
|
|||
|
|
2024 |
2023 |
|
2024 |
2023 |
|
2024 |
2023 |
|
|
|
|
|
|
|
|
|
|
Interest income |
|
$ 21,931 |
$ 17,497 |
|
$ 21,256 |
$ 15,890 |
|
$ 43,187 |
$ 33,387 |
Interest expense |
|
9,237 |
5,360 |
|
9,179 |
3,533 |
|
18,416 |
8,893 |
Net interest income |
|
12,694 |
12,137 |
|
12,077 |
12,357 |
|
24,771 |
24,494 |
Provision for (release of) credit losses |
|
454 |
186 |
|
129 |
70 |
|
583 |
256 |
Net interest income after provision for (release of) credit losses |
|
12,240 |
11,951 |
|
11,948 |
12,287 |
|
24,188 |
24,238 |
Non-interest income |
|
|
|
|
|
|
|
|
|
Deposit service charges |
|
235 |
220 |
|
259 |
232 |
|
494 |
452 |
Mortgage banking income |
|
659 |
371 |
|
425 |
155 |
|
1,084 |
526 |
Investment advisory fees and non-deposit commissions |
|
1,508 |
1,081 |
|
1,358 |
1,067 |
|
2,866 |
2,148 |
Gain (loss) on sale of other assets |
|
- |
105 |
|
- |
- |
|
- |
105 |
Other non-recurring income |
|
95 |
121 |
|
- |
- |
|
95 |
121 |
Other |
|
1,145 |
1,153 |
|
1,142 |
1,121 |
|
2,287 |
2,274 |
Total non-interest income |
|
3,642 |
3,051 |
|
3,184 |
2,575 |
|
6,826 |
5,626 |
Non-interest expense |
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
7,303 |
6,508 |
|
7,101 |
6,331 |
|
14,404 |
12,839 |
Occupancy |
|
738 |
813 |
|
790 |
830 |
|
1,528 |
1,643 |
Equipment |
|
317 |
377 |
|
330 |
336 |
|
647 |
713 |
Marketing and public relations |
|
258 |
370 |
|
566 |
346 |
|
824 |
716 |
|
|
302 |
221 |
|
278 |
182 |
|
580 |
403 |
Other real estate expenses |
|
90 |
(30) |
|
12 |
(133) |
|
102 |
(163) |
Amortization of intangibles |
|
39 |
40 |
|
39 |
39 |
|
78 |
79 |
Other |
|
2,796 |
2,456 |
|
2,689 |
2,505 |
|
5,485 |
4,961 |
Total non-interest expense |
|
11,843 |
10,755 |
|
11,805 |
10,436 |
|
23,648 |
21,191 |
Income before taxes |
|
4,039 |
4,247 |
|
3,327 |
4,426 |
|
7,366 |
8,673 |
Income tax expense |
|
774 |
920 |
|
730 |
963 |
|
1,504 |
1,883 |
Net income |
|
$ 3,265 |
$ 3,327 |
|
$ 2,597 |
$ 3,463 |
|
$ 5,862 |
$ 6,790 |
|
|
|
|
|
|
|
|
|
|
Per share data |
|
|
|
|
|
|
|
|
|
Net income, basic |
|
$ 0.43 |
$ 0.44 |
|
$ 0.34 |
$ 0.46 |
|
$ 0.77 |
$ 0.90 |
Net income, diluted |
|
$ 0.42 |
$ 0.43 |
|
$ 0.34 |
$ 0.45 |
|
$ 0.76 |
$ 0.89 |
|
|
|
|
|
|
|
|
|
|
Average number of shares outstanding - basic |
|
7,617,266 |
7,564,928 |
|
7,600,450 |
7,555,080 |
|
7,608,232 |
7,559,691 |
Average number of shares outstanding - diluted |
|
7,695,476 |
7,654,817 |
|
7,679,771 |
7,644,440 |
|
7,684,913 |
7,648,595 |
Shares outstanding period end |
|
7,635,145 |
7,593,759 |
|
7,629,005 |
7,587,763 |
|
7,635,145 |
7,593,759 |
|
|
|
|
|
|
|
|
|
|
Return on average assets |
|
0.71 % |
0.77 % |
|
0.56 % |
0.83 % |
|
0.63 % |
0.80 % |
Return on average common equity |
|
9.82 % |
10.75 % |
|
7.91 % |
11.70 % |
|
8.87 % |
11.21 % |
Return on average tangible common equity |
|
11.08 % |
12.26 % |
|
8.95 % |
13.42 % |
|
10.02 % |
12.82 % |
Net interest margin (non taxable equivalent) |
|
2.92 % |
3.00 % |
|
2.78 % |
3.17 % |
|
2.85 % |
3.08 % |
Net interest margin (taxable equivalent) |
|
2.93 % |
3.02 % |
|
2.79 % |
3.19 % |
|
2.86 % |
3.10 % |
Efficiency ratio1 |
|
72.75 % |
71.52 % |
|
77.15 % |
69.43 % |
|
74.88 % |
70.47 % |
1 Calculated by dividing non-interest expense by net interest income on tax equivalent basis and non interest income, excluding loss on sale of securities, gain (loss) on sale of other assets and other non-recurring noninterest income. |
|
|
||||||||
Yields on Average Earning Assets and |
||||||||
Rates on Average Interest-Bearing Liabilities |
||||||||
|
|
|
|
|
|
|
|
|
|
Three months ended |
|
Three months ended |
|
||||
|
Average |
Interest |
Yield/ |
|
Average |
Interest |
Yield/ |
|
|
Balance |
Earned/Paid |
Rate |
|
Balance |
Earned/Paid |
Rate |
|
Assets |
|
|
|
|
|
|
|
|
Earning assets |
|
|
|
|
|
|
|
|
Loans |
$ 1,178,342 |
$ 16,400 |
5.60 % |
|
$ 1,017,215 |
$ 12,314 |
4.86 % |
|
Non-taxable securities |
48,982 |
359 |
2.95 % |
|
50,729 |
368 |
2.91 % |
|
Taxable securities |
442,205 |
4,114 |
3.74 % |
|
511,900 |
4,223 |
3.31 % |
|
Int bearing deposits in other banks |
79,956 |
1,057 |
5.32 % |
|
42,576 |
592 |
5.58 % |
|
Fed funds sold |
40 |
1 |
10.05 % |
|
- |
- |
NA |
|
Total earning assets |
1,749,525 |
21,931 |
5.04 % |
|
1,622,420 |
17,497 |
4.33 % |
|
Cash and due from banks |
23,636 |
|
|
|
25,490 |
|
|
|
Premises and equipment |
30,469 |
|
|
|
31,320 |
|
|
|
|
15,181 |
|
|
|
15,339 |
|
|
|
Other assets |
55,810 |
|
|
|
54,074 |
|
|
|
Allowance for credit losses - investments |
(29) |
|
|
|
(42) |
|
|
|
Allowance for credit losses - loans |
(12,583) |
|
|
|
(11,557) |
|
|
|
Total assets |
$ 1,862,009 |
|
|
|
$ 1,737,044 |
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities |
|
|
|
|
|
|
|
|
Interest-bearing liabilities |
|
|
|
|
|
|
|
|
Interest-bearing transaction accounts |
$ 303,825 |
$ 809 |
1.07 % |
|
$ 313,627 |
$ 374 |
0.48 % |
|
Money market accounts |
400,656 |
3,344 |
3.36 % |
|
359,274 |
2,230 |
2.49 % |
|
Savings deposits |
113,620 |
113 |
0.40 % |
|
133,823 |
60 |
0.18 % |
|
Time deposits |
308,164 |
3,454 |
4.51 % |
|
149,899 |
728 |
1.95 % |
|
Fed funds purchased |
6 |
- |
0.00 % |
|
181 |
2 |
4.43 % |
|
Securities sold under agreements to repurchase |
68,591 |
497 |
2.91 % |
|
70,582 |
363 |
2.06 % |
|
FHLB Advances |
55,604 |
712 |
5.15 % |
|
103,682 |
1,310 |
5.07 % |
|
Other long-term debt |
14,964 |
308 |
8.28 % |
|
14,964 |
293 |
7.85 % |
|
Total interest-bearing liabilities |
1,265,430 |
9,237 |
2.94 % |
|
1,146,032 |
5,360 |
1.88 % |
|
Demand deposits |
443,674 |
|
|
|
452,508 |
|
|
|
Allowance for credit losses - unfunded commitments |
512 |
|
|
|
382 |
|
|
|
Other liabilities |
18,664 |
|
|
|
13,943 |
|
|
|
Shareholders' equity |
133,729 |
|
|
|
124,179 |
|
|
|
Total liabilities and shareholders' equity |
$ 1,862,009 |
|
|
|
$ 1,737,044 |
|
|
|
|
|
|
|
|
|
|
|
|
Cost of deposits, including demand deposits |
|
|
1.98 % |
|
|
|
0.97 % |
|
Cost of funds, including demand deposits |
|
|
2.17 % |
|
|
|
1.34 % |
|
Net interest spread |
|
|
2.10 % |
|
|
|
2.45 % |
|
Net interest income/margin |
|
$ 12,694 |
2.92 % |
|
|
$ 12,137 |
3.00 % |
|
Net interest income/margin (tax equivalent) |
|
$ 12,733 |
2.93 % |
|
|
$ 12,213 |
3.02 % |
|
|
||||||||
Yields on Average Earning Assets and |
||||||||
Rates on Average Interest-Bearing Liabilities |
||||||||
|
|
|
|
|
|
|
|
|
|
Six months ended |
|
Six months ended |
|
||||
|
Average |
Interest |
Yield/ |
|
Average |
Interest |
Yield/ |
|
|
Balance |
Earned/Paid |
Rate |
|
Balance |
Earned/Paid |
Rate |
|
Assets |
|
|
|
|
|
|
|
|
Earning assets |
|
|
|
|
|
|
|
|
Loans |
$ 1,163,803 |
$ 31,951 |
5.52 % |
|
$ 1,001,942 |
$ 23,473 |
4.72 % |
|
Non-taxable securities |
49,119 |
716 |
2.93 % |
|
51,143 |
743 |
2.93 % |
|
Taxable securities |
446,158 |
8,303 |
3.74 % |
|
512,723 |
8,284 |
3.26 % |
|
Int bearing deposits in other banks |
88,623 |
2,216 |
5.03 % |
|
36,328 |
886 |
4.92 % |
|
Fed funds sold |
51 |
1 |
3.94 % |
|
63 |
1 |
3.20 % |
|
Total earning assets |
1,747,754 |
43,187 |
4.97 % |
|
1,602,199 |
33,387 |
4.20 % |
|
Cash and due from banks |
24,010 |
|
|
|
25,749 |
|
|
|
Premises and equipment |
30,471 |
|
|
|
31,347 |
|
|
|
|
15,201 |
|
|
|
15,358 |
|
|
|
Other assets |
54,925 |
|
|
|
53,317 |
|
|
|
Allowance for credit losses - investments |
(29) |
|
|
|
(43) |
|
|
|
Allowance for credit losses - loans |
(12,470) |
|
|
|
(11,464) |
|
|
|
Total assets |
$ 1,859,862 |
|
|
|
$ 1,716,463 |
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities |
|
|
|
|
|
|
|
|
Interest-bearing liabilities |
|
|
|
|
|
|
|
|
Interest-bearing transaction accounts |
$ 297,295 |
$ 1,487 |
1.01 % |
|
$ 317,039 |
$ 596 |
0.38 % |
|
Money market accounts |
403,917 |
6,729 |
3.35 % |
|
335,460 |
3,559 |
2.14 % |
|
Savings deposits |
114,999 |
227 |
0.40 % |
|
143,353 |
120 |
0.17 % |
|
Time deposits |
296,049 |
6,480 |
4.40 % |
|
144,096 |
1,110 |
1.55 % |
|
Fed funds purchased |
4 |
- |
0.00 % |
|
1,411 |
33 |
4.72 % |
|
Securities sold under agreements to repurchase |
77,823 |
1,106 |
2.86 % |
|
78,485 |
719 |
1.85 % |
|
FHLB Advances |
69,670 |
1,770 |
5.11 % |
|
89,636 |
2,192 |
4.93 % |
|
Other long-term debt |
14,964 |
617 |
8.29 % |
|
14,964 |
564 |
7.60 % |
|
Total interest-bearing liabilities |
1,274,721 |
18,416 |
2.91 % |
|
1,124,444 |
8,893 |
1.59 % |
|
Demand deposits |
433,409 |
|
|
|
455,547 |
|
|
|
Allowance for credit losses - unfunded commitments |
554 |
|
|
|
390 |
|
|
|
Other liabilities |
18,323 |
|
|
|
13,953 |
|
|
|
Shareholders' equity |
132,855 |
|
|
|
122,129 |
|
|
|
Total liabilities and shareholders' equity |
$ 1,859,862 |
|
|
|
$ 1,716,463 |
|
|
|
|
|
|
|
|
|
|
|
|
Cost of deposits, including demand deposits |
|
|
1.94 % |
|
|
|
0.78 % |
|
Cost of funds, including demand deposits |
|
|
2.17 % |
|
|
|
1.14 % |
|
Net interest spread |
|
|
2.06 % |
|
|
|
2.61 % |
|
Net interest income/margin |
|
$ 24,771 |
2.85 % |
|
|
$ 24,494 |
3.08 % |
|
Net interest income/margin (tax equivalent) |
|
$ 24,850 |
2.86 % |
|
|
$ 24,669 |
3.10 % |
|
The tables below provide a reconciliation of non GAAP measures to GAAP for the periods indicated:
|
|
|
June 30, |
|
|
March 31, |
|
|
December 31, |
|
|
September 30, |
|
|
June 30, |
|
|
Tangible book value per common share |
|
|
2024 |
|
|
2024 |
|
|
2023 |
|
|
2023 |
|
|
2023 |
|
|
Tangible common equity per common share (non‑GAAP) |
|
$ |
15.85 |
|
$ |
15.51 |
|
$ |
15.23 |
|
$ |
14.25 |
|
$ |
14.33 |
|
|
Effect to adjust for intangible assets |
|
|
1.99 |
|
|
1.99 |
|
|
2.00 |
|
|
2.01 |
|
|
2.02 |
|
|
Book value per common share (GAAP) |
|
$ |
17.84 |
|
$ |
17.50 |
|
$ |
17.23 |
|
$ |
16.26 |
|
$ |
16.35 |
|
|
Tangible common shareholders' equity to tangible assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible common equity to tangible assets (non‑GAAP) |
|
|
6.47 |
% |
|
6.32 |
% |
|
6.39 |
% |
|
6.09 |
% |
|
6.31 |
% |
|
Effect to adjust for intangible assets |
|
|
0.75 |
% |
|
0.75 |
% |
|
0.78 |
% |
|
0.80 |
% |
|
0.82 |
% |
|
Common equity to assets (GAAP) |
|
|
7.22 |
% |
|
7.07 |
% |
|
7.17 |
% |
|
6.89 |
% |
|
7.13 |
% |
Return on average tangible |
Three months ended
|
Three months ended |
|
Six months ended
|
|
|||||||
|
2024 |
|
2023 |
|
2024 |
2023 |
|
2024 |
|
2023 |
|
|
Return on average tangible |
11.08 |
% |
12.26 |
% |
8.95 |
% |
13.42 |
% |
10.02 |
% |
12.82 |
% |
Effect to adjust for intangible |
(1.26) |
% |
(1.51) |
% |
(1.04) |
% |
(1.72) |
% |
(1.15) |
% |
(1.61) |
% |
Return on average common |
9.82 |
% |
10.75 |
% |
7.91 |
% |
11.70 |
% |
8.87 |
% |
11.21 |
% |
|
Three months ended |
Six months ended |
||||||||||
|
June 30, |
|
March 31, |
June 30, |
|
|
||||||
Pre-tax, pre-provision earnings |
|
2024 |
|
|
2024 |
|
|
2023 |
|
2024 |
|
2023 |
Pre-tax, pre-provision earnings (non‑GAAP) |
$ |
4,493 |
|
$ |
3,456 |
|
$ |
4,433 |
$ |
7,949 |
$ |
8,929 |
Effect to adjust for pre-tax, pre-provision earnings |
|
(1,228) |
|
|
(859) |
|
|
(1,106) |
|
(2,087) |
|
(2,139) |
Net Income (GAAP) |
$ |
3,265 |
|
$ |
2,597 |
|
$ |
3,327 |
$ |
5,862 |
$ |
6,790 |
Certain financial information presented above is determined by methods other than in accordance with generally accepted accounting principles ("GAAP"). These non-GAAP financial measures include "Tangible book value per common share," "Tangible common shareholders' equity to tangible assets," "Return on average tangible common equity," and "Pre-tax, pre-provision earnings."
- "Tangible book value per common share" is defined as total equity reduced by recorded intangible assets divided by total common shares outstanding.
- "Tangible common shareholders' equity to tangible assets" is defined as total common equity reduced by recorded intangible assets divided by total assets reduced by recorded intangible assets.
- "Return on average tangible common equity" is defined as net income on an annualized basis divided by average total equity reduced by average recorded intangible assets.
- "Pre-tax, pre-provision earnings" is defined as net interest income plus non-interest income, reduced by non-interest expense.
Our management believes that these non-GAAP measures are useful because they enhance the ability of investors and management to evaluate and compare our operating results from period-to-period in a meaningful manner. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the company's results as reported under GAAP.
View original content to download multimedia:https://www.prnewswire.com/news-releases/first-community-corporation-announces-second-quarter-results-and-increased-cash-dividend-302199064.html
SOURCE