Exhibit 99.1

EARNINGS RELEASE

 

CONTACT

 

Rob Anderson

Chief Financial Officer and Chief Administrative Officer

(615) 732-6470

 

 

 

 

 

CapStar Announces Fully Diluted EPS of $0.28 (GAAP) and $0.31 (Operating) for 3Q18

 

CapStar Appoints Myra NanDora Jenne and Jeffrey L. Cunningham to Board of Directors

 

CapStar Announces Quarterly Dividend

 

 

NASHVILLE, TN, October 24, 2018/GlobeNewswire/ -- CapStar Financial Holdings, Inc. (“CapStar”) (NASDAQ:CSTR) reported net income of $3.7 million, or $0.28 per share on a fully diluted basis, for the three months ended September 30, 2018, compared to net income of $4.4 million, or $0.35 per share on a fully diluted basis, for the three months ended September 30, 2017.  Operating(1) net income was $4.1 million, or $0.31 per share on a fully diluted basis, for the three months ended September 30, 2018.  Net income for the nine months ended September 30, 2018 was $10.4 million, or $0.79 per share on a fully diluted basis, compared to net income of $1.4 million, or $0.11 per share on a fully diluted basis, for the nine months ended September 30, 2017.

 

In respect of CapStar’s third quarter financial performance and the anticipated performance of CapStar after its merger (the “Merger”) with Athens Bancshares Corporation (“Athens”), on October 24, 2018, the board of directors of CapStar (the “Board”) approved a quarterly dividend of $0.04 per share that will be paid on or about November 15, 2018 to all shareholders of record of CapStar’s common stock and preferred stock as of the close of business on October 31, 2018.

 

As previously announced and in connection with the closing of the Merger, the Board increased the size of its membership from 11 to 13 and appointed Myra NanDora Jenne and Jeffrey L. Cunningham, former directors of Athens, to fill the resulting vacancies, effective immediately.  In addition, Ms. Jenne was appointed as a member of the Compensation and Human Resources Committee and the Nominating, Governance and Community Affairs Committee of the Board, and Mr. Cunningham was appointed as a member of the Risk Committee and the Credit Committee of the Board, in each case, effective immediately.

 

“CapStar’s strategy remains one of sound, profitable growth,” said Claire W. Tucker, CapStar’s president and chief executive officer.  “During the third quarter, our team of bankers continued to take market share through organic growth opportunities as they focused on obtaining primary bank status with more clients.”

 

Soundness

 

The allowance for loan losses represented 1.42% of total loans at September 30, 2018 compared to 1.45% at September 30, 2017.

 

(1) For a discussion and reconciliation of the Non-GAAP operating measures that exclude merger-related costs unrelated to CapStar’s normal operations, see the section titled “Non-GAAP Disclaimer” and the Non-GAAP financial measures section of the financial statements.


 

 

Non-performing assets as a percentage of total loans and other real estate owned was 0.52% at September 30, 2018 compared to 0.32% at September 30, 2017.

 

 

Annualized net charge-offs (recoveries) to average loans was -0.01% for the three months ended September 30, 2018 compared to -0.75% for the same period in 2017.  

 

 

The total risk based capital ratio was 12.62% at September 30, 2018 compared to 12.41% at September 30, 2017.

 

Profitability

Operating measures exclude merger-related expenses unrelated to CapStar’s normal operations. CapStar believes these measures are useful to investors as they exclude certain costs resulting from acquisition activity and allow investors to more clearly see the economic results of the organization's operations.

 

 

Operating return on average assets ("ROAA") for the three months ended September 30, 2018 was 1.13% compared to 1.28% for the same period in 2017.

 

 

Operating return on average tangible equity ("ROATE") for the three months ended September 30, 2018 was 10.72% compared to 12.96% for the same period in 2017.

 

 

The net interest margin (“NIM”) for the three months ended September 30, 2018 was 3.35% compared to 3.31% for the same period in 2017.  

 

 

The operating efficiency ratio for the three months ended September 30, 2018 was 64.6% compared to 59.6% for the same period in 2017.

 

“The increase in non-interest expense and efficiency ratio in 2018 is driven by an increase in FTE and a higher incentive accrual reflecting improved performance thus far in 2018,” said Rob Anderson, chief financial officer and chief administrative officer of CapStar. “Nevertheless, through the efforts of our associates, we have delivered a 1.13% operating ROAA in the third quarter that builds upon similar performances in the first and second quarter of 2018.”

 

Growth

 

Average gross loans for the quarter ended September 30, 2018 increased 8.0% to $1.07 billion, compared to $991.2 million for the same period in 2017.

 

 

Average deposits for the quarter ended September 30, 2018 increased 4.8% to $1.15 billion, compared to $1.09 billion for the same period in 2017.

 

 

Average total assets for the quarter ended September 30, 2018 increased 3.9% to $1.42 billion, compared to $1.37 billion for the same period in 2017.

 

Merger Update

 

As previously announced, on October 1, 2018, CapStar completed the Merger with Athens.  As part of the Merger, Athens Federal Community Bank, National Association (“Athens Federal”), Athens’ wholly owned bank subsidiary, was also merged into CapStar Bank.  The Merger adds eight (8) branch locations in Southeast Tennessee, $463 million in assets and $403 million in deposits to CapStar.

 

Claire W. Tucker previously commented that “The completion of this transaction results in a notable expansion of CapStar’s community banking business and geographic footprint along the attractive Eastern Tennessee corridor.  Just as importantly, the acquisition is aligned with CapStar’s deep commitment to building a high performing bank in Tennessee. I’m pleased to welcome Athens Federal customers and employees to CapStar.  I’m confident the combined organization will bring even stronger value to our shareholders, our customers and the communities we serve.”

 

 


 

The Merger combines two growing Tennessee financial institutions with a common vision, compatible cultures and proven credit risk management practices. Athens Federal is an established and profitable community bank with strong deposit market share, excess liquidity and capital to support growth.  CapStar believes that the Merger will result in a strong financial institution with an expanded product set, attractive funding profile and enhanced scale to drive efficiency and that the complementary strengths of Athens Federal’s strong retail presence combined with CapStar’s commercial and business banking expertise will afford additional financial solutions to current and future customers.

 

CapStar and Athens have played an active role in supporting their communities historically and will continue this commitment in the markets the combined companies will serve. As a sign of this commitment, CapStar will contribute $1.5 million to the Athens Federal Foundation over the next four years.

 

Conference Call and Webcast Information

 

CapStar will host a conference call and webcast at 9:00 a.m. Central Time on Thursday, October 25, 2018.  During the call, management will review the third quarter results and operational highlights.  Interested parties may listen to the call by dialing (844) 412-1002.  The conference ID number is 1187647.  A simultaneous webcast may be accessed on CapStar’s website at ir.capstarbank.com by clicking on “News & Events”.  An archived version of the webcast will be available in the same location shortly after the live call has ended.

 

About CapStar Financial Holdings, Inc.

 

CapStar Financial Holdings, Inc. is a bank holding company headquartered in Nashville, Tennessee and operates primarily through its wholly owned subsidiary, CapStar Bank, a Tennessee-chartered state bank.  CapStar Bank is a commercial bank that seeks to establish and maintain comprehensive relationships with its clients by delivering customized and creative banking solutions and superior client service.  As of September 30, 2018, on a consolidated basis, CapStar had total assets of $1.4 billion, gross loans of $1.1 billion, total deposits of $1.1 billion, and shareholders’ equity of $157.5 million.  Visit www.capstarbank.com for more information.

 

Forward-Looking Statements

 

Certain statements in this earnings release are forward-looking statements that reflect CapStar’s current views with respect to, among other things, CapStar’s assets, business, cash flows, condition (financial or otherwise), credit quality, financial performance, liquidity, short and long-term performance goals, prospects, results of operations, strategic initiatives and the timing, benefits, costs and synergies of recently completed and future acquisition, disposition and other growth opportunities, including, without limitation, those relating to the acceptance by customers of Athens Federal of CapStar’s products and services, the ability of CapStar to meet expectations regarding the benefits, costs, synergies, and financial and operational impact of the Merger, the possibility that any of the anticipated benefits, costs, synergies and financial and operational improvements of the Merger will not be realized or will not be realized as expected, the possibility that the Merger integration may be more expensive or take more time to complete than anticipated, the opportunities to enhance market share in certain markets and market acceptance of CapStar are generally in new markets and CapStar’s commitment to make contributions to Athens Federal Foundation.. These statements are often, but not always, made through the use of words or phrases such as “may,” “should,” “could,” “predict,” “potential,” “believe,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “aspire,” “achieve,” “estimate,” “intend,” “plan,” “project,” “projection,” “forecast,” “roadmap,” “goal,” “guidance,” “target,” “would,” and “outlook,” or the negative version of those words or other comparable words of a future or forward-looking nature. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about CapStar’s industry, management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond CapStar’s control. The inclusion of these forward-looking statements should not be regarded as a representation by CapStar or any other person that such expectations, estimates and projections will be achieved. Accordingly, CapStar cautions you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties that are difficult to predict. Although CapStar believes that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements. There are or will be important factors that could cause CapStar’s actual results to differ materially from those indicated in these forward-looking statements, including, but not limited to, any factors identified in this earnings release as well as those factors that are detailed from time to time in

 


 

CapStar’s periodic and current reports filed with the Securities and Exchange Commission, including those factors included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017 under the headings “Item 1A. Risk Factors” and “Cautionary Note Regarding Forward Looking Statements” and in the Company’s Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.  If one or more events related to these or other risks or uncertainties materialize, or if CapStar’s underlying assumptions prove to be incorrect, actual results may differ materially from its forward-looking statements. Accordingly, you should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date of this earnings release, and CapStar does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law. New risks and uncertainties may emerge from time to time, and it is not possible for CapStar to predict their occurrence or how they will affect CapStar.

 

Non-GAAP Disclaimer

 

This earnings release includes the following financial measures that were prepared other than in accordance with generally accepted accounting principles in the United States (“non-GAAP financial measure”): operating net income, operating diluted net income per share, operating return on average assets, operating return on average tangible equity, tangible book value per share and operating efficiency ratio. These non-GAAP financial measures (i) provide useful information to management and investors that is supplementary to CapStar’s financial condition, results of operations and cash flows computed in accordance with GAAP, (ii) enable a more complete understanding of factors and trends affecting CapStar’s business, and (iii) allow investors to evaluate CapStar’s performance in a manner similar to management, the financial services industry, bank stock analysts and bank regulators; however, CapStar acknowledges that these non-GAAP financial measures have a number of limitations.  As such, you should not view these non-GAAP financial measures as a substitute for results determined in accordance with GAAP, and they are not necessarily comparable to non-GAAP financial measures that other companies use.  See below for a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measure.  

 


 

CAPSTAR FINANCIAL HOLDINGS, INC. AND SUBSIDIARY

Consolidated Statements of Income (unaudited) (dollars in thousands, except share data)

Third Quarter 2018 Earnings Release

 

Three Months Ended

 

 

Nine Months Ended

 

 

 

September 30,

 

 

September 30,

 

 

 

2018

 

 

2017

 

 

2018

 

 

2017

 

Interest income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans, including fees

 

$

14,167

 

 

$

12,095

 

 

$

40,197

 

 

$

33,935

 

Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable

 

 

951

 

 

 

838

 

 

 

2,775

 

 

 

2,827

 

Tax-exempt

 

 

248

 

 

 

304

 

 

 

784

 

 

 

944

 

Federal funds sold

 

 

17

 

 

 

7

 

 

 

56

 

 

 

26

 

Restricted equity securities

 

 

132

 

 

 

108

 

 

 

389

 

 

 

271

 

Interest-bearing deposits in financial institutions

 

 

267

 

 

 

169

 

 

 

679

 

 

 

387

 

Total interest income

 

 

15,782

 

 

 

13,521

 

 

 

44,880

 

 

 

38,390

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing deposits

 

 

1,146

 

 

 

635

 

 

 

2,793

 

 

 

1,839

 

Savings and money market accounts

 

 

1,409

 

 

 

772

 

 

 

3,827

 

 

 

2,360

 

Time deposits

 

 

985

 

 

 

706

 

 

 

2,468

 

 

 

1,750

 

Federal funds purchased

 

 

1

 

 

 

2

 

 

 

3

 

 

 

13

 

Federal Home Loan Bank advances

 

 

698

 

 

 

563

 

 

 

1,813

 

 

 

1,083

 

Total interest expense

 

 

4,239

 

 

 

2,678

 

 

 

10,904

 

 

 

7,045

 

Net interest income

 

 

11,543

 

 

 

10,843

 

 

 

33,976

 

 

 

31,345

 

Provision for loan losses

 

 

481

 

 

 

(195

)

 

 

1,328

 

 

 

12,900

 

Net interest income after provision for loan losses

 

 

11,062

 

 

 

11,038

 

 

 

32,648

 

 

 

18,445

 

Noninterest income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Treasury management and other deposit service charges

 

 

528

 

 

 

427

 

 

 

1,357

 

 

 

1,097

 

Net gain on sale of securities

 

 

(1

)

 

 

9

 

 

 

2

 

 

 

42

 

Tri-Net fees

 

 

373

 

 

 

367

 

 

 

1,227

 

 

 

748

 

Mortgage banking income

 

 

1,634

 

 

 

2,030

 

 

 

4,329

 

 

 

4,617

 

Other noninterest income

 

 

684

 

 

 

539

 

 

 

2,157

 

 

 

1,667

 

Total noninterest income

 

 

3,218

 

 

 

3,372

 

 

 

9,072

 

 

 

8,171

 

Noninterest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

6,514

 

 

 

5,119

 

 

 

19,111

 

 

 

14,989

 

Data processing and software

 

 

803

 

 

 

709

 

 

 

2,411

 

 

 

2,040

 

Professional fees

 

 

255

 

 

 

336

 

 

 

1,074

 

 

 

1,050

 

Occupancy

 

 

544

 

 

 

531

 

 

 

1,600

 

 

 

1,518

 

Equipment

 

 

520

 

 

 

564

 

 

 

1,661

 

 

 

1,604

 

Regulatory fees

 

 

228

 

 

 

270

 

 

 

664

 

 

 

877

 

Merger related expenses

 

 

540

 

 

 

 

 

 

875

 

 

 

 

Other operating

 

 

666

 

 

 

946

 

 

 

2,259

 

 

 

2,988

 

Total noninterest expense

 

 

10,070

 

 

 

8,475

 

 

 

29,655

 

 

 

25,066

 

Income before income taxes

 

 

4,210

 

 

 

5,935

 

 

 

12,065

 

 

 

1,550

 

Income tax expense

 

 

554

 

 

 

1,516

 

 

 

1,702

 

 

 

141

 

Net income

 

$

3,656

 

 

$

4,419

 

 

$

10,363

 

 

$

1,409

 

Per share information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic net income per share of common stock

 

$

0.30

 

 

$

0.39

 

 

$

0.87

 

 

$

0.13

 

Diluted net income per share of common stock

 

$

0.28

 

 

$

0.35

 

 

$

0.79

 

 

$

0.11

 

Weighted average shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

12,040,229

 

 

 

11,279,364

 

 

 

11,851,476

 

 

 

11,239,093

 

Diluted

 

 

13,113,775

 

 

 

12,750,423

 

 

 

13,052,758

 

 

 

12,758,091

 

 

This information is preliminary and based on company data available at the time of the presentation.

 


 

CAPSTAR FINANCIAL HOLDINGS, INC. AND SUBSIDIARY

Selected Quarterly Financial Data (unaudited) (dollars in thousands, except share data)

Third Quarter 2018 Earnings Release

 

Five Quarter Comparison

 

 

 

9/30/18

 

 

6/30/18

 

 

3/31/18

 

 

12/31/17

 

 

9/30/17

 

Income Statement Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

 

$

11,543

 

 

$

11,587

 

 

$

10,846

 

 

$

10,518

 

 

$

10,843

 

Provision for loan losses

 

 

481

 

 

 

169

 

 

 

678

 

 

 

(30

)

 

 

(195

)

Net interest income after provision for loan losses

 

 

11,062

 

 

 

11,418

 

 

 

10,168

 

 

 

10,548

 

 

 

11,038

 

Treasury management and other deposit service charges

 

 

528

 

 

 

427

 

 

 

402

 

 

 

419

 

 

 

427

 

Net gain (loss) on sale of securities

 

 

(1

)

 

 

3

 

 

 

 

 

 

(108

)

 

 

9

 

Tri-Net fees

 

 

373

 

 

 

325

 

 

 

528

 

 

 

254

 

 

 

367

 

Mortgage banking income

 

 

1,634

 

 

 

1,383

 

 

 

1,313

 

 

 

1,621

 

 

 

2,030

 

Other noninterest income

 

 

684

 

 

 

627

 

 

 

845

 

 

 

550

 

 

 

539

 

Total noninterest income

 

 

3,218

 

 

 

2,765

 

 

 

3,088

 

 

 

2,736

 

 

 

3,372

 

Salaries and employee benefits

 

 

6,514

 

 

 

6,340

 

 

 

6,257

 

 

 

5,411

 

 

 

5,119

 

Data processing and software

 

 

803

 

 

 

810

 

 

 

798

 

 

 

746

 

 

 

709

 

Professional fees

 

 

255

 

 

 

344

 

 

 

474

 

 

 

473

 

 

 

336

 

Occupancy

 

 

544

 

 

 

535

 

 

 

521

 

 

 

507

 

 

 

531

 

Equipment

 

 

520

 

 

 

602

 

 

 

539

 

 

 

467

 

 

 

564

 

Regulatory fees

 

 

228

 

 

 

233

 

 

 

203

 

 

 

234

 

 

 

270

 

Merger related expenses

 

 

540

 

 

 

335

 

 

 

 

 

 

 

 

 

 

Other operating

 

 

666

 

 

 

806

 

 

 

788

 

 

 

861

 

 

 

945

 

Total noninterest expense

 

 

10,070

 

 

 

10,005

 

 

 

9,580

 

 

 

8,699

 

 

 

8,474

 

Net income before income tax expense

 

 

4,210

 

 

 

4,178

 

 

 

3,676

 

 

 

4,585

 

 

 

5,936

 

Income tax expense

 

 

554

 

 

 

665

 

 

 

483

 

 

 

4,494

 

 

 

1,516

 

Net income

 

$

3,656

 

 

$

3,513

 

 

$

3,193

 

 

$

91

 

 

$

4,420

 

Weighted average shares - basic

 

 

12,040,229

 

 

 

11,845,822

 

 

 

11,664,467

 

 

 

11,403,689

 

 

 

11,279,364

 

Weighted average shares - diluted

 

 

13,113,775

 

 

 

13,067,223

 

 

 

12,975,981

 

 

 

12,938,288

 

 

 

12,750,423

 

Net income per share, basic

 

$

0.30

 

 

$

0.30

 

 

$

0.27

 

 

$

0.01

 

 

$

0.39

 

Net income per share, diluted

 

 

0.28

 

 

 

0.27

 

 

 

0.25

 

 

 

0.01

 

 

 

0.35

 

Balance Sheet Data (at period end):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

52,589

 

 

$

58,222

 

 

$

51,125

 

 

$

82,797

 

 

$

69,789

 

Securities available-for-sale

 

 

187,469

 

 

 

183,364

 

 

 

189,580

 

 

 

192,621

 

 

 

146,600

 

Securities held-to-maturity

 

 

3,740

 

 

 

3,746

 

 

 

3,752

 

 

 

3,759

 

 

 

45,635

 

Loans held for sale

 

 

50,499

 

 

 

65,320

 

 

 

62,286

 

 

 

74,093

 

 

 

53,225

 

Total loans

 

 

1,073,870

 

 

 

1,046,525

 

 

 

1,031,821

 

 

 

947,537

 

 

 

974,530

 

Allowance for loan losses

 

 

(15,218

)

 

 

(14,705

)

 

 

(14,563

)

 

 

(13,721

)

 

 

(14,122

)

Total assets

 

 

1,416,907

 

 

 

1,401,181

 

 

 

1,382,745

 

 

 

1,344,429

 

 

 

1,338,559

 

Non-interest-bearing deposits

 

 

239,792

 

 

 

223,579

 

 

 

258,161

 

 

 

301,742

 

 

 

250,007

 

Interest-bearing deposits

 

 

886,611

 

 

 

921,435

 

 

 

869,393

 

 

 

818,124

 

 

 

841,488

 

Federal Home Loan Bank advances

 

 

125,000

 

 

 

95,000

 

 

 

100,000

 

 

 

70,000

 

 

 

95,000

 

Total liabilities

 

 

1,259,397

 

 

 

1,248,035

 

 

 

1,234,052

 

 

 

1,197,483

 

 

 

1,194,355

 

Shareholders' equity

 

$

157,510

 

 

$

153,146

 

 

$

148,693

 

 

$

146,946

 

 

$

144,204

 

Total shares of common stock outstanding

 

 

12,125,122

 

 

 

11,931,131

 

 

 

11,773,358

 

 

 

11,582,026

 

 

 

11,346,498

 

Total shares of preferred stock outstanding

 

 

878,048

 

 

 

878,049

 

 

 

878,049

 

 

 

878,049

 

 

 

878,049

 

Book value per share of common stock

 

$

12.25

 

 

$

12.08

 

 

$

11.87

 

 

$

11.91

 

 

$

11.92

 

Tangible book value per share of common stock*

 

 

11.74

 

 

 

11.56

 

 

 

11.34

 

 

 

11.37

 

 

 

11.36

 

Market value per share of common stock

 

$

16.72

 

 

$

18.53

 

 

$

18.83

 

 

$

20.77

 

 

$

19.58

 

Capital ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total risk based capital

 

 

12.62

%

 

 

12.53

%

 

 

12.22

%

 

 

12.52

%

 

 

12.41

%

Tier 1 risk based capital

 

 

11.49

%

 

 

11.41

%

 

 

11.11

%

 

 

11.41

%

 

 

11.28

%

Common equity tier 1 capital

 

 

10.83

%

 

 

10.73

%

 

 

10.43

%

 

 

10.70

%

 

 

10.58

%

Leverage

 

 

11.02

%

 

 

10.87

%

 

 

10.91

%

 

 

10.77

%

 

 

10.36

%

_____________________

*This metric is a non-GAAP financial measure.  See below for discussion and reconciliation to the most directly comparable GAAP financial measure.

 

This information is preliminary and based on company data available at the time of the presentation.

 

 


 

CAPSTAR FINANCIAL HOLDINGS, INC. AND SUBSIDIARY

Selected Quarterly Financial Data (unaudited) (dollars in thousands, except share data)

Third Quarter 2018 Earnings Release

 

 

Five Quarter Comparison

 

 

 

9/30/18

 

 

6/30/18

 

 

3/31/18

 

 

12/31/17

 

 

9/30/17

 

Average Balance Sheet Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

62,787

 

 

$

63,064

 

 

$

60,965

 

 

$

64,850

 

 

$

59,352

 

Investment securities

 

 

196,031

 

 

 

197,933

 

 

 

203,274

 

 

 

202,818

 

 

 

207,926

 

Loans held for sale

 

 

54,701

 

 

 

58,297

 

 

 

68,084

 

 

 

66,311

 

 

 

67,886

 

Loans

 

 

1,070,060

 

 

 

1,041,835

 

 

 

983,496

 

 

 

956,441

 

 

 

991,238

 

Assets

 

 

1,421,873

 

 

 

1,396,359

 

 

 

1,351,129

 

 

 

1,329,621

 

 

 

1,367,993

 

Interest bearing deposits

 

 

913,534

 

 

 

901,076

 

 

 

840,871

 

 

 

827,732

 

 

 

857,344

 

Deposits

 

 

1,147,274

 

 

 

1,138,400

 

 

 

1,111,182

 

 

 

1,081,380

 

 

 

1,094,500

 

Federal Home Loan Bank advances

 

 

109,728

 

 

 

99,121

 

 

 

84,533

 

 

 

92,554

 

 

 

123,315

 

Liabilities

 

 

1,265,610

 

 

 

1,244,824

 

 

 

1,202,854

 

 

 

1,181,954

 

 

 

1,226,438

 

Shareholders' equity

 

 

156,264

 

 

 

151,535

 

 

 

148,276

 

 

 

147,667

 

 

 

141,556

 

Performance Ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Annualized return on average assets

 

 

1.02

%

 

 

1.01

%

 

 

0.96

%

 

 

0.03

%

 

 

1.28

%

Annualized return on average equity

 

 

9.28

%

 

 

9.30

%

 

 

8.74

%

 

 

0.25

%

 

 

12.38

%

Net interest margin (1)

 

 

3.35

%

 

 

3.46

%

 

 

3.39

%

 

 

3.30

%

 

 

3.31

%

Annualized Non-interest income to average assets

 

 

0.90

%

 

 

0.79

%

 

 

0.93

%

 

 

0.82

%

 

 

0.98

%

Efficiency ratio

 

 

68.2

%

 

 

69.7

%

 

 

68.8

%

 

 

65.6

%

 

 

59.6

%

Loans by Type (at period end):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

398,626

 

 

$

386,065

 

 

$

408,353

 

 

$

373,248

 

 

$

394,600

 

Commercial real estate - owner occupied

 

 

117,904

 

 

 

121,475

 

 

 

131,741

 

 

 

101,132

 

 

 

103,183

 

Commercial real estate - non-owner occupied

 

 

286,849

 

 

 

286,769

 

 

 

258,016

 

 

 

249,489

 

 

 

263,594

 

Construction and development

 

 

129,799

 

 

 

96,580

 

 

 

91,953

 

 

 

82,586

 

 

 

79,951

 

Consumer real estate

 

 

112,957

 

 

 

109,915

 

 

 

104,224

 

 

 

102,581

 

 

 

100,811

 

Consumer

 

 

8,274

 

 

 

9,671

 

 

 

9,524

 

 

 

6,862

 

 

 

6,289

 

Other

 

 

19,793

 

 

 

36,428

 

 

 

28,750

 

 

 

31,984

 

 

 

26,461

 

Asset Quality Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for loan losses to total loans

 

 

1.42

%

 

 

1.41

%

 

 

1.41

%

 

 

1.45

%

 

 

1.45

%

Allowance for loan losses to non-performing loans

 

 

271

%

 

 

271

%

 

 

1096

%

 

 

509

%

 

 

446

%

Nonaccrual loans

 

$

5,610

 

 

$

5,419

 

 

$

1,329

 

 

$

2,695