ATLANTA, Oct. 25, 2018 (GLOBE NEWSWIRE) -- Atlantic Capital Bancshares, Inc. (NASDAQ: ACBI) announced net income of $6.5 million, or $0.25 per diluted share, for the third quarter of 2018, compared to $8.2 million, or $0.31 per diluted share, in the second quarter of 2018. Operating net income for the third quarter of 2018 was $6.5 million, compared to $6.9 million in the second quarter of 2018.
Net income for the first nine months of 2018 was $19.7 million, or $0.75 per diluted share, compared to $11.6 million, or $0.45 per diluted share, for the first nine months of 2017. Operating net income for the first nine months of 2018 was $18.4 million, or $0.71 per diluted share, compared to $11.6 million, or $0.45 per diluted share, for the first nine months of 2017.
Third Quarter Highlights(1)
• Grew loans held for investment $104 million, or 21.5% annualized, compared to the second quarter of 2018.
• Grew average deposits $118 million, or 22.1% annualized, compared to the second quarter of 2018.
• Decreased noninterest expense $766,000 to $16.6 million compared to the second quarter of 2018.
• Improved efficiency ratio to 64.8% compared to 67.7% in the second quarter of 2018.
• Reported nonperforming assets to total assets of 0.13%.
“With record loan and deposit growth in the third quarter, Atlantic Capital is well positioned for above average growth in strong markets, further improvement in profitability, and superior through-the-cycle credit quality,” remarked Douglas Williams, President and Chief Executive Officer.
Income Statement
Net interest income increased to $22.7 million in the third quarter of 2018 from $22.1 million in the second quarter of 2018, primarily as a result of higher loan balances in the third quarter. Net accretion income on acquired loans totaled $336,000 in the third quarter of 2018 compared to $331,000 in the second quarter of 2018.
Net interest margin was 3.47% in the third quarter of 2018, a decrease of 7 basis points from the second quarter of 2018, as a result of an increase in cash balances from higher deposit balances and a higher cost of deposits. The accretion from the acquired loan discount and amortization of time deposit premium contributed 6 basis points to the net interest margin in the third quarter of 2018 compared to 7 basis points in the second quarter of 2018.
Loan yields in the third quarter of 2018 increased 2 basis points to 4.97% from the second quarter of 2018. The benefit to loan yields from higher rates was reduced in the third quarter mainly due to the limited increases in 1 month LIBOR during most of the third quarter.
The cost of total deposits in the third quarter of 2018 was 0.77%, an increase of 8 basis points from the second quarter of 2018. The cost of interest bearing deposits increased 15 basis points to 1.12% from the second quarter of 2018, driven by an increase in short term interest rates and competitive pressure.
The provision for loan losses was $845,000 in the third quarter of 2018, an increase compared to ($173,000) in the second quarter of 2018, primarily as a result of an increase in loan balances partially offset by improved credit quality.
Noninterest income totaled $3.1 million in the third quarter of 2018 compared to $5.3 million in the second quarter of 2018. The second quarter included a gain of $1.7 million from the sale of Southeastern Trust Company and $507,000 in trust income earned prior to the sale.
(1) Commentary is on a fully taxable-equivalent basis unless otherwise noted. Consistent with SEC guidance in Industry Guide 3 that contemplates the calculation of tax-exempt income on a tax equivalent basis, net interest income and net interest margin are provided on a fully taxable-equivalent basis, which generally assumes a 21% marginal tax rate for 2018 and 35% for 2017 and prior. We provide detailed reconciliations in the Non-GAAP Performance and Financial Measures Reconciliation table beginning on page 12.
SBA income totaled $882,000, a decrease of $115,000 from the second quarter of 2018 due to a decrease in premiums on the sale of SBA loans and the resulting decision to hold the guaranteed portion of some loans.
Noninterest expense totaled $16.6 million in the third quarter of 2018, a decrease of $766,000 compared to $17.4 million in the second quarter of 2018. Salaries and employee benefits expense decreased by $769,000 to $10.2 million, primarily from the savings associated with the sale of the trust company, lower incentive expense and lower payroll taxes.
Balance Sheet
Total loans held for investment were $2.04 billion at September 30, 2018, an increase of $104.4 million from June 30, 2018. This included growth of $59.6 million in commercial and industrial and owner occupied commercial real estate loans from June 30, 2018.
At September 30, 2018, the allowance for loan losses was $20.4 million, or 1.00% of loans held for investment, compared to $19.6 million, or 1.01% of loans held for investment as of June 30, 2018. Annualized net charge-offs to average loans were 0.00% in the third quarter of 2018 compared to 0.03% in the second quarter of 2018. Nonperforming assets totaled $3.7 million, or 0.13% of total assets, as of September 30, 2018, compared to $3.7 million, or 0.14% of total assets, as of June 30, 2018.
Total average deposits for the third quarter of 2018 were $2.25 billion, an increase of $118.2 million from the second quarter of 2018. This increase included some increases in large, temporary deposits that we anticipate to decrease in late 2018 and early 2019. Average transaction deposits, which includes DDA and NOW accounts, increased $90.1 million in the third quarter of 2018, compared to the second quarter.
Earnings Conference Call
The Company will host a conference call at 9:30 a.m. EST on Friday, October 26, 2018, to discuss the financial results for the quarter ended September 30, 2018. Individuals wishing to participate in the conference call may do so by dialing 844.868.8848 from the United States and entering Conference ID 89772886. The call will also be available live via webcast on the Investor Relations page of the Company's website, www.atlanticcapitalbank.com.
Non-GAAP Financial Measures
Statements included in this press release include non-GAAP financial measures and should be read along with the accompanying tables, which provide a reconciliation of non-GAAP financial measures to GAAP financial measures. Atlantic Capital management uses non-GAAP financial measures, including: (i) operating net income; (ii) operating noninterest income; (iii) taxable equivalent interest income; (iv) taxable equivalent net interest income; (v) taxable equivalent net interest margin; (vi) operating income before taxes; (vii) operating income tax expense; (viii) operating return on average assets; (ix) operating return on average equity; (x) tangible common equity; (xi) tangible book value per common share; (xii) efficiency ratio; and (xiii) operating diluted earnings per share, in its analysis of the Company's performance. Operating net income excludes the net gain on the sale of the trust company and the revaluation of net deferred tax assets. Tangible common equity excludes goodwill and other intangible assets from shareholders' equity.
Management believes that non-GAAP financial measures provide a greater understanding of ongoing performance and operations, and enhance comparability with prior periods. Non-GAAP financial measures should not be considered as an alternative to any measure of performance or financial condition as determined in accordance with GAAP, and investors should consider Atlantic Capital’s performance and financial condition as reported under GAAP and all other relevant information when assessing the performance or financial condition of the Company. Non-GAAP financial measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the results or financial condition as reported under GAAP. Non-GAAP financial measures may not be comparable to non-GAAP financial measures presented by other companies.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections and statements of our beliefs concerning future events, business plans, objectives, expected operating results and the assumptions upon which those statements are based. Forward-looking statements include without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and are typically identified with words such as “may,” “could,” “should,” “will,” “would,” “believe,” “anticipate,” “estimate,” “project,” “expect,” “intend,” “plan,” or words or phases of similar meaning. Forward-looking statements may include, among other things, statements about Atlantic Capital’s confidence in its strategies and its expectations about financial performance, market growth, market and regulatory trends and developments, acquisitions and divestitures, new technologies, services and opportunities and earnings. The forward-looking statements are based largely on Atlantic Capital’s expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond Atlantic Capital’s control. Atlantic Capital undertakes no obligation to publicly update any forward-looking statement to reflect developments occurring after the statement is made, except as otherwise required by law. Actual results, performance or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements as a result of, among other factors, the risks and uncertainties described in “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Atlantic Capital’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Please refer to the SEC’s website at www.sec.gov where you can review those documents.
About Atlantic Capital Bancshares
Atlantic Capital Bancshares, Inc. is a $2.88 billion publicly traded bank holding company headquartered in Atlanta, Georgia. Atlantic Capital offers banking, treasury management, capital markets and mortgage services to privately held companies and individuals in Atlanta, eastern Tennessee, and northwest Georgia. Atlantic Capital also provides specialized financial services to select clients nationally.
Media Contact:
Ashley Carson
Email: ashley.carson@atlcapbank.com
Phone: 404-995-6050
Financial Contact:
Patrick Oakes
Email: patrick.oakes@atlcapbank.com
Phone: 404-995-6050
ATLANTIC CAPITAL BANCSHARES, INC. | |||||||||||||||||||||||||||||
Selected Financial Information | |||||||||||||||||||||||||||||
2018 | 2017 | For the nine months ended September 30, | |||||||||||||||||||||||||||
(in thousands, except share and per share data; taxable equivalent) | Third Quarter | Second Quarter | First Quarter | Fourth Quarter | Third Quarter | 2018 | 2017 | ||||||||||||||||||||||
INCOME SUMMARY | |||||||||||||||||||||||||||||
Interest income (1) | $ | 28,616 | $ | 27,444 | $ | 26,085 | $ | 25,350 | $ | 24,566 | $ | 82,145 | $ | 71,827 | |||||||||||||||
Interest expense | 5,956 | 5,332 | 4,465 | 4,028 | 4,060 | 15,753 | 11,101 | ||||||||||||||||||||||
Net interest income | 22,660 | 22,112 | 21,620 | 21,322 | 20,506 | 66,392 | 60,726 | ||||||||||||||||||||||
Provision for loan losses | 845 | (173 | ) | 772 | 282 | 322 | 1,444 | 2,936 | |||||||||||||||||||||
Net interest income after provision for loan losses | 21,815 | 22,285 | 20,848 | 21,040 | 20,184 | 64,948 | 57,790 | ||||||||||||||||||||||
Operating noninterest income (2) | 3,066 | 3,650 | 3,983 | 3,568 | 3,477 | 10,699 | 12,621 | ||||||||||||||||||||||
Noninterest expense | 16,595 | 17,361 | 18,392 | 20,594 | 17,504 | 52,348 | 52,871 | ||||||||||||||||||||||
Operating income before income taxes (2) | 8,286 | 8,574 | 6,439 | 4,014 | 6,157 | 23,299 | 17,540 | ||||||||||||||||||||||
Operating income tax expense (3) | 1,773 | 1,684 | 1,401 | 1,953 | 2,105 | 4,858 | 5,929 | ||||||||||||||||||||||
Operating net income (2)(3) | 6,513 | 6,890 | 5,038 | 2,061 | 4,052 | 18,441 | 11,611 | ||||||||||||||||||||||
Net gain on sale of trust company, net of income tax | — | 1,261 | — | — | — | 1,261 | — | ||||||||||||||||||||||
Revaluation of net deferred tax asset | — | — | — | 17,398 | — | — | — | ||||||||||||||||||||||
Net income (loss) - GAAP | $ | 6,513 | $ | 8,151 | $ | 5,038 | $ | (15,337 | ) | $ | 4,052 | $ | 19,702 | $ | 11,611 | ||||||||||||||
PER SHARE DATA | |||||||||||||||||||||||||||||
Diluted earnings (loss) per share - GAAP | $ | 0.25 | $ | 0.31 | $ | 0.19 | $ | (0.60 | ) | $ | 0.16 | $ | 0.75 | $ | 0.45 | ||||||||||||||
Diluted earnings per share - operating (2)(3) | 0.25 | 0.26 | 0.19 | 0.08 | 0.16 | 0.71 | 0.45 | ||||||||||||||||||||||
Book value per share | 12.27 | 12.14 | 11.91 | 11.99 | 12.63 | 12.27 | 12.63 | ||||||||||||||||||||||
Tangible book value per common share (4) | 11.37 | 11.23 | 10.98 | 11.05 | 11.67 | 11.37 | 11.67 | ||||||||||||||||||||||
PERFORMANCE MEASURES | |||||||||||||||||||||||||||||
Return on average equity - GAAP | 8.07 | % | 10.46 | % | 6.66 | % | (18.66 | ) | % | 4.96 | % | 8.41 | % | 4.91 | % | ||||||||||||||
Return on average equity - operating (2)(3) | 8.07 | 8.84 | 6.66 | 2.51 | 4.96 | 7.87 | 4.91 | ||||||||||||||||||||||
Return on average assets - GAAP | 0.92 | 1.20 | 0.76 | (2.24 | ) | 0.60 | 0.96 | 0.57 | |||||||||||||||||||||
Return on average assets - operating (2)(3) | 0.92 | 1.02 | 0.76 | 0.30 | 0.60 | 0.90 | 0.57 | ||||||||||||||||||||||
Taxable equivalent net interest margin | 3.47 | 3.54 | 3.51 | 3.39 | 3.26 | 3.50 | 3.24 | ||||||||||||||||||||||
Efficiency ratio | 64.75 | 67.65 | 72.13 | 83.45 | 73.65 | 68.17 | 72.77 | ||||||||||||||||||||||
CAPITAL | |||||||||||||||||||||||||||||
Average equity to average assets | 11.41 | % | 11.50 | % | 11.34 | % | 11.99 | % | 11.99 | % | 11.42 | % | 11.63 | % | |||||||||||||||
Tangible common equity to tangible assets | 10.38 | 10.99 | 10.50 | 9.91 | 11.48 | 10.38 | 11.48 | ||||||||||||||||||||||
Tier 1 capital ratio | 11.8 | (6) | 12.0 | 11.3 | 11.2 | 11.3 | 11.8 | (6) | 11.3 | ||||||||||||||||||||
Total risk based capital ratio | 14.7 | (6) | 15.0 | 14.3 | 14.1 | 14.3 | 14.7 | (6) | 14.3 | ||||||||||||||||||||
Number of common shares outstanding - basic | 26,103,666 | 26,102,217 | 25,772,208 | 25,712,909 | 25,716,418 | 26,103,666 | 25,716,418 | ||||||||||||||||||||||
Number of common shares outstanding - diluted | 26,281,849 | 26,336,871 | 26,000,216 | 25,891,225 | 25,967,575 | 26,281,849 | 25,967,575 | ||||||||||||||||||||||
ASSET QUALITY | |||||||||||||||||||||||||||||
Allowance for loan losses to loans held for investment | 1.00 | % | 1.01 | % | 1.01 | % | 1.00 | % | 0.99 | % | 1.00 | % | 0.99 | % | |||||||||||||||
Net charge-offs to average loans (5) | — | 0.03 | 0.05 | (0.04 | ) | 0.68 | 0.02 | 0.32 | |||||||||||||||||||||
Non-performing assets to total assets | 0.13 | 0.14 | 0.13 | 0.14 | 0.23 | 0.13 | 0.23 | ||||||||||||||||||||||
(1)Interest income on tax-exempt securities has been increased to reflect comparable interest on taxable securities. The rate used was 21% for all periods ending in 2018 and 35% for all periods ending in 2017, reflecting the statutory federal income tax rates. (2)Excludes gain on sale of trust company. (3)Excludes revaluation of net deferred tax asset. (4)Excludes effect of acquisition related intangibles. (5)Annualized. (6)Amounts are estimates as of 9/30/18. |
ATLANTIC CAPITAL BANCSHARES, INC. | ||||||||||||||||
Consolidated Balance Sheets (unaudited) | ||||||||||||||||
September 30, | June 30, | December 31, | September 30, | |||||||||||||
(in thousands, except share data) | 2018 | 2018 | 2017 | 2017 | ||||||||||||
ASSETS | ||||||||||||||||
Cash and due from banks | $ | 28,007 | $ | 55,612 | $ | 38,086 | $ | 35,504 | ||||||||
Interest-bearing deposits in banks | 140,682 | 42,477 | 281,247 | 40,558 | ||||||||||||
Other short-term investments | 20,898 | 14,712 | 10,681 | 5,189 | ||||||||||||
Cash and cash equivalents | 189,587 | 112,801 | 330,014 | 81,251 | ||||||||||||
Investment securities available-for-sale | 465,756 | 453,968 | 449,117 | 447,005 | ||||||||||||
Other investments | 33,021 | 36,190 | 32,174 | 35,818 | ||||||||||||
Loans held for sale | 1,886 | 1,612 | 1,487 | 3,274 | ||||||||||||
Loans held for investment | 2,038,434 | 1,934,311 | 1,933,839 | 1,905,432 | ||||||||||||
Less: allowance for loan losses | (20,443 | ) | (19,583 | ) | (19,344 | ) | (18,870 | ) | ||||||||
Loans held for investment, net | 2,017,991 | 1,914,728 | 1,914,495 | 1,886,562 | ||||||||||||
Premises and equipment, net | 17,371 | 16,878 | 12,054 | 11,747 | ||||||||||||
Bank owned life insurance | 64,769 | 64,391 | 63,667 | 63,284 | ||||||||||||
Goodwill and intangible assets, net | 26,557 | 27,012 | 27,633 | 27,945 | ||||||||||||
Other real estate owned | 968 | 1,288 | 1,215 | 1,494 | ||||||||||||
Other assets | 64,815 | 61,806 | 59,565 | 80,032 | ||||||||||||
Total assets | $ | 2,882,721 | $ | 2,690,674 | $ | 2,891,421 | $ | 2,638,412 | ||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||||||
Deposits: | ||||||||||||||||
Noninterest-bearing demand | $ | 653,816 | $ | 595,867 | $ | 732,442 | $ | 599,292 | ||||||||
Interest-bearing checking | 486,456 | 332,481 | 306,331 | 270,740 | ||||||||||||
Savings | 27,192 | 27,559 | 26,573 | 30,131 | ||||||||||||
Money market | 977,552 | 865,913 | 1,117,891 | 865,238 | ||||||||||||
Time | 155,689 | 152,111 | 138,612 | 144,250 | ||||||||||||
Brokered deposits | 79,119 | 92,656 | 128,816 | 193,994 | ||||||||||||
Total deposits | 2,379,824 | 2,066,587 | 2,450,665 | 2,103,645 | ||||||||||||
Federal funds purchased and securities sold under agreements to repurchase | 8,904 | 73,024 | — | — | ||||||||||||
Federal Home Loan Bank borrowings | 83,000 | 150,000 | 45,000 | 125,000 | ||||||||||||
Long-term debt | 49,662 | 49,620 | 49,535 | 49,493 | ||||||||||||
Other liabilities | 41,094 | 34,673 | 37,796 | 35,520 | ||||||||||||
Total liabilities | 2,562,484 | 2,373,904 | 2,582,996 | 2,313,658 | ||||||||||||
SHAREHOLDERS' EQUITY | ||||||||||||||||
Preferred stock, no par value; 10,000,000 shares authorized; no shares issued and outstanding as of September 30, 2018, June 30, 2018, December 31, 2017, and September 30, 2017 | — | — | — | — | ||||||||||||
Common stock, no par value; 100,000,000 shares authorized; 26,103,666, 26,102,217, 25,712,909, and 25,716,418 shares issued and outstanding as of September 30, 2018, June 30, 2018, December 31, 2017, and September 30, 2017 | 305,300 | 304,793 | 299,474 | 298,469 | ||||||||||||
Retained earnings | 33,357 | 26,844 | 12,810 | 28,147 | ||||||||||||
Accumulated other comprehensive (loss) income | (18,420 | ) | (14,867 | ) | (3,859 | ) | (1,862 | ) | ||||||||
Total shareholders’ equity | 320,237 | 316,770 | 308,425 | 324,754 | ||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 2,882,721 | $ | 2,690,674 | $ | 2,891,421 | $ | 2,638,412 |
ATLANTIC CAPITAL BANCSHARES, INC. | ||||||||||||||||||||||||||||
Consolidated Statements of Income (unaudited) | ||||||||||||||||||||||||||||
(in thousands, except share and per share data) | Three months ended | Nine months ended | ||||||||||||||||||||||||||
September 30, 2018 | June 30, 2018 | March 31, 2018 | December 31, 2017 | September 30, 2017 | September 30, 2018 | September 30, 2017 | ||||||||||||||||||||||
INTEREST INCOME | ||||||||||||||||||||||||||||
Loans, including fees | $ | 24,619 | $ | 23,779 | $ | 22,675 | $ | 22,043 | $ | 21,491 | $ | 71,073 | $ | 62,846 | ||||||||||||||
Investment securities available-for-sale | 2,789 | 2,687 | 2,592 | 2,510 | 2,298 | 8,068 | 6,671 | |||||||||||||||||||||
Interest and dividends on other interest‑earning assets | 1,111 | 880 | 715 | 584 | 562 | 2,706 | 1,617 | |||||||||||||||||||||
Total interest income | 28,519 | 27,346 | 25,982 | 25,137 | 24,351 | 81,847 | 71,134 | |||||||||||||||||||||
INTEREST EXPENSE | ||||||||||||||||||||||||||||
Interest on deposits | 4,403 | 3,651 | 3,044 | 2,856 | 2,693 | 11,098 | 7,221 | |||||||||||||||||||||
Interest on Federal Home Loan Bank advances | 637 | 766 | 509 | 323 | 459 | 1,912 | 1,213 | |||||||||||||||||||||
Interest on federal funds purchased and securities sold under agreements to repurchase | 92 | 92 | 83 | 26 | 84 | 267 | 196 | |||||||||||||||||||||
Interest on long-term debt | 824 | 823 | 829 | 823 | 824 | 2,476 | 2,471 | |||||||||||||||||||||
Total interest expense | 5,956 | 5,332 | 4,465 | 4,028 | 4,060 | 15,753 | 11,101 | |||||||||||||||||||||
NET INTEREST INCOME BEFORE PROVISION FOR LOAN LOSSES | 22,563 | 22,014 | 21,517 | 21,109 | 20,291 | 66,094 | 60,033 | |||||||||||||||||||||
Provision for loan losses | 845 | (173 | ) | 772 | 282 | 322 | 1,444 | 2,936 | ||||||||||||||||||||
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES | 21,718 | 22,187 | 20,745 | 20,827 | 19,969 | 64,650 | 57,097 | |||||||||||||||||||||
NONINTEREST INCOME | ||||||||||||||||||||||||||||
Service charges | 1,278 | 1,308 | 1,192 | 1,206 | 1,247 | 3,778 | 3,870 | |||||||||||||||||||||
Gains (losses) on sale of securities | — | (2 | ) | — | 17 | (80 | ) | (2 | ) | (80 | ) | |||||||||||||||||
Gains (losses) on sale of other assets | 58 | (166 | ) | (46 | ) | (46 | ) | 44 | (154 | ) | 788 | |||||||||||||||||
Mortgage income | 315 | 363 | 304 | 290 | 320 | 982 | 965 | |||||||||||||||||||||
Trust income | — | 507 | 518 | 482 | 437 | 1,025 | 1,332 | |||||||||||||||||||||
Derivatives income | 20 | 20 | 114 | 94 | (3 | ) | 154 | 62 | ||||||||||||||||||||
Bank owned life insurance | 379 | 378 | 369 | 384 | 384 | 1,126 | 1,146 | |||||||||||||||||||||
SBA lending activities | 882 | 997 | 1,302 | 843 | 888 | 3,181 | 3,286 | |||||||||||||||||||||
Gains on sale of branches | — | — | — | — | — | — | 302 | |||||||||||||||||||||
Gain on sale of trust company | — | 1,681 | — | — | — | 1,681 | — | |||||||||||||||||||||
Other noninterest income | 134 | 245 | 230 | 298 | 240 | 609 | 950 | |||||||||||||||||||||
Total noninterest income | 3,066 | 5,331 | 3,983 | 3,568 | 3,477 | 12,380 | 12,621 | |||||||||||||||||||||
NONINTEREST EXPENSE | ||||||||||||||||||||||||||||
Salaries and employee benefits | 10,152 | 10,921 | 12,077 | 13,298 | 10,409 | 33,150 | 32,077 | |||||||||||||||||||||
Occupancy | 1,288 | 1,211 | 1,355 | 1,156 | 1,129 | 3,854 | 3,433 | |||||||||||||||||||||
Equipment and software | 964 | 904 | 787 | 872 | 776 | 2,655 | 2,577 | |||||||||||||||||||||
Professional services | 803 | 960 | 832 | 1,280 | 1,595 | 2,595 | 3,472 | |||||||||||||||||||||
Postage, printing and supplies | 75 | 61 | 58 | 114 | 63 | 194 | 226 | |||||||||||||||||||||
Communications and data processing | 947 | 1,003 | 1,043 | 1,111 | 982 | 2,993 | 3,038 | |||||||||||||||||||||
Marketing and business development | 281 | 191 | 190 | 225 | 272 | 662 | 721 | |||||||||||||||||||||
FDIC premiums | 208 | 197 | 147 | 212 | 308 | 552 | 754 | |||||||||||||||||||||
Merger and conversion costs | — | — | — | — | — | — | 304 | |||||||||||||||||||||
Amortization of intangibles | 296 | 319 | 343 | 367 | 391 | 958 | 1,286 | |||||||||||||||||||||
Foreclosed property/problem asset expense | 12 | 2 | 282 | 7 | 7 | 296 | 117 | |||||||||||||||||||||
Other noninterest expense | 1,569 | 1,592 | 1,278 | 1,952 | 1,572 | 4,439 | 4,866 | |||||||||||||||||||||
Total noninterest expense | 16,595 | 17,361 | 18,392 | 20,594 | 17,504 | 52,348 | 52,871 | |||||||||||||||||||||
INCOME BEFORE PROVISION FOR INCOME TAXES | 8,189 | 10,157 | 6,336 | 3,801 | 5,942 | 24,682 | 16,847 | |||||||||||||||||||||
Provision for income taxes | 1,676 | 2,006 | 1,298 | 19,138 | 1,890 | 4,980 | 5,236 | |||||||||||||||||||||
NET INCOME (LOSS) | $ | 6,513 | $ | 8,151 | $ | 5,038 | $ | (15,337 | ) | $ | 4,052 | $ | 19,702 | $ | 11,611 | |||||||||||||
Net income (loss) per common share ‑ basic | $ | 0.25 | $ | 0.31 | $ | 0.20 | $ | (0.60 | ) | $ | 0.16 | $ | 0.76 | $ | 0.45 | |||||||||||||
Net income (loss) per common share ‑ diluted | $ | 0.25 | $ | 0.31 | $ | 0.19 | $ | (0.60 | ) | $ | 0.16 | $ | 0.75 | $ | 0.45 | |||||||||||||
Weighted average shares - basic | 26,103,397 | 26,010,914 | 25,750,824 | 25,723,548 | 25,699,179 | 25,956,336 | 25,548,646 | |||||||||||||||||||||
Weighted average shares - diluted | 26,254,772 | 26,200,026 | 25,945,773 | 25,888,064 | 25,890,779 | 26,134,655 | 25,799,851 |
ATLANTIC CAPITAL BANCSHARES, INC. | ||||||||||||||||||||||||
Average Balance Sheets and Net Interest Margin Analysis | ||||||||||||||||||||||||
Selected Financial Information | ||||||||||||||||||||||||
Three months ended | ||||||||||||||||||||||||
September 30, 2018 | June 30, 2018 | |||||||||||||||||||||||
(dollars in thousands; taxable equivalent) | Average Balance | Interest Income/ Expense | Tax Equivalent Yield/Rate | Average Balance | Interest Income/ Expense | Tax Equivalent Yield/Rate | ||||||||||||||||||
Assets | ||||||||||||||||||||||||
Interest bearing deposits in other banks | $ | 128,248 | $ | 647 | 2.00 | % | $ | 97,501 | $ | 562 | 2.31 | % | ||||||||||||
Other short-term investments | 21,985 | 157 | 2.83 | 9,262 | 64 | 2.77 | ||||||||||||||||||
Investment securities: | ||||||||||||||||||||||||
Taxable investment securities | 385,834 | 2,315 | 2.38 | 378,291 | 2,212 | 2.35 | ||||||||||||||||||
Non-taxable investment securities(1) | 75,514 | 571 | 3.00 | 76,343 | 573 | 3.01 | ||||||||||||||||||
Total investment securities | 461,348 | 2,886 | 2.48 | 454,634 | 2,785 | 2.46 | ||||||||||||||||||
Total loans | 1,963,817 | 24,619 | 4.97 | 1,927,063 | 23,779 | 4.95 | ||||||||||||||||||
FHLB and FRB stock | 17,624 | 307 | 6.91 | 19,357 | 254 | 5.26 | ||||||||||||||||||
Total interest-earning assets | 2,593,022 | 28,616 | 4.38 | 2,507,817 | 27,444 | 4.39 | ||||||||||||||||||
Non-earning assets | 212,718 | 210,254 | ||||||||||||||||||||||
Total assets | $ | 2,805,740 | $ | 2,718,071 | ||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||
Interest bearing deposits: | ||||||||||||||||||||||||
NOW, money market, and savings | 1,333,701 | 3,491 | 1.04 | 1,254,153 | 2,798 | 0.89 | ||||||||||||||||||
Time deposits | 154,507 | 551 | 1.41 | 148,134 | 385 | 1.04 | ||||||||||||||||||
Brokered deposits | 67,937 | 361 | 2.11 | 100,425 | 468 | 1.87 | ||||||||||||||||||
Total interest-bearing deposits | 1,556,145 | 4,403 | 1.12 | 1,502,712 | 3,651 | 0.97 | ||||||||||||||||||
Total borrowings | 143,148 | 729 | 2.02 | 185,856 | 858 | 1.85 | ||||||||||||||||||
Total long-term debt | 49,634 | 824 | 6.59 | 49,592 | 823 | 6.66 | ||||||||||||||||||
Total interest-bearing liabilities | 1,748,927 | 5,956 | 1.35 | 1,738,160 | 5,332 | 1.23 | ||||||||||||||||||
Demand deposits | 697,927 | 633,113 | ||||||||||||||||||||||
Other liabilities | 38,796 | 34,255 | ||||||||||||||||||||||
Shareholders' equity | 320,090 | 312,543 | ||||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 2,805,740 | $ | 2,718,071 | ||||||||||||||||||||
Net interest spread | 3.03 | % | 3.16 | % | ||||||||||||||||||||
Net interest income and net interest margin(2) | $ | 22,660 | 3.47 | % | $ | 22,112 | 3.54 | % | ||||||||||||||||
Non-taxable equivalent net interest margin | 3.45 | % | 3.52 | % | ||||||||||||||||||||
(1) Interest revenue on tax-exempt securities has been increased to reflect comparable interest on taxable securities. The rate used was 21%, reflecting the statutory federal income tax rates. | ||||||||||||||||||||||||
(2) Tax equivalent net interest income divided by total interest-earning assets using the appropriate day count convention based on the type of interest-earning asset. |
ATLANTIC CAPITAL BANCSHARES, INC. | ||||||||||||||||||||||||
Average Balance Sheets and Net Interest Margin Analysis | ||||||||||||||||||||||||
Selected Financial Information | ||||||||||||||||||||||||
Nine months ended | ||||||||||||||||||||||||
September 30, 2018 | September 30, 2017 | |||||||||||||||||||||||
(dollars in thousands; taxable equivalent) | Average Balance | Interest Income/ Expense | Tax Equivalent Yield/Rate | Average Balance | Interest Income/ Expense | Tax Equivalent Yield/Rate | ||||||||||||||||||
Assets | ||||||||||||||||||||||||
Interest bearing deposits in other banks | $ | 101,502 | $ | 1,606 | 2.12 | % | $ | 76,079 | $ | 614 | 1.08 | % | ||||||||||||
Other short-term investments | 13,907 | 284 | 2.73 | 16,198 | 231 | 1.91 | ||||||||||||||||||
Investment securities: | ||||||||||||||||||||||||
Taxable investment securities | 380,002 | 6,643 | 2.34 | 362,080 | 5,197 | 1.92 | ||||||||||||||||||
Non-taxable investment securities(1) | 76,658 | 1,723 | 3.01 | 81,485 | 2,167 | 3.56 | ||||||||||||||||||
Total investment securities | 456,660 | 8,366 | 2.45 | 443,565 | 7,364 | 2.22 | ||||||||||||||||||
Total loans | 1,943,369 | 71,073 | 4.89 | 1,948,700 | 62,846 | 4.31 | ||||||||||||||||||
FHLB and FRB stock | 18,291 | 816 | 5.96 | 19,147 | 772 | 5.39 | ||||||||||||||||||
Total interest-earning assets | 2,533,729 | 82,145 | 4.33 | 2,503,689 | 71,827 | 3.84 | ||||||||||||||||||
Non-earning assets | 209,518 | 215,830 | ||||||||||||||||||||||
Total assets | $ | 2,743,247 | $ | 2,719,519 | ||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||
Interest bearing deposits: | ||||||||||||||||||||||||
NOW, money market, and savings | 1,296,370 | 8,637 | 0.89 | 1,171,369 | 4,842 | 0.55 | ||||||||||||||||||
Time deposits | 147,531 | 1,249 | 1.13 | 152,190 | 833 | 0.73 | ||||||||||||||||||
Brokered deposits | 80,920 | 1,212 | 2.00 | 182,195 | 1,546 | 1.13 | ||||||||||||||||||
Total interest-bearing deposits | 1,524,821 | 11,098 | 0.97 | 1,505,754 | 7,221 | 0.64 | ||||||||||||||||||
Total borrowings | 161,892 | 2,179 | 1.80 | 196,352 | 1,409 | 0.96 | ||||||||||||||||||
Total long-term debt | 49,592 | 2,476 | 6.68 | 49,423 | 2,471 | 6.68 | ||||||||||||||||||
Total interest-bearing liabilities | 1,736,305 | 15,753 | 1.21 | 1,751,529 | 11,101 | 0.85 | ||||||||||||||||||
Demand deposits | 656,807 | 624,923 | ||||||||||||||||||||||
Other liabilities | 36,935 | 26,706 | ||||||||||||||||||||||
Shareholders' equity | 313,200 | 316,361 | ||||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 2,743,247 | $ | 2,719,519 | ||||||||||||||||||||
Net interest spread | 3.12 | % | 2.99 | % | ||||||||||||||||||||
Net interest income and net interest margin(2) | $ | 66,392 | 3.50 | % | $ | 60,726 | 3.24 | % | ||||||||||||||||
Non-taxable equivalent net interest margin | 3.49 | % | 3.21 | % | ||||||||||||||||||||
(1) Interest revenue on tax-exempt securities has been increased to reflect comparable interest on taxable securities. The rate used was 21% for the nine months ended September 30, 2018 and 35% for the nine months ended September 30, 2017, reflecting the statutory federal income tax rates. | ||||||||||||||||||||||||
(2) Tax equivalent net interest income divided by total interest-earning assets using the appropriate day count convention based on the type of interest-earning asset. |
ATLANTIC CAPITAL BANCSHARES, INC. | ||||||||||||||||||||||||||||
Period End Loans | ||||||||||||||||||||||||||||
(dollars in thousands) | September 30, 2018 | June 30, 2018 | March 31, 2018 | December 31, 2017 | September 30, 2017 | Linked Quarter Change | Year Over Year Change | |||||||||||||||||||||
Loans held for sale | ||||||||||||||||||||||||||||
Loans held for sale | $ | 1,886 | $ | 1,612 | $ | 835 | $ | 1,487 | $ | 3,274 | $ | 274 | $ | (1,388 | ) | |||||||||||||
Total loans held for sale | $ | 1,886 | $ | 1,612 | $ | 835 | $ | 1,487 | $ | 3,274 | $ | 274 | $ | (1,388 | ) | |||||||||||||
Loans held for investment | ||||||||||||||||||||||||||||
Commercial loans: | ||||||||||||||||||||||||||||
Commercial and industrial | $ | 648,349 | $ | 610,024 | $ | 636,181 | $ | 615,359 | $ | 562,426 | $ | 38,325 | $ | 85,923 | ||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||
Multifamily | 115,254 | 99,140 | 99,227 | 99,553 | 91,219 | 16,114 | 24,035 | |||||||||||||||||||||
Owner occupied | 390,563 | 367,441 | 353,235 | 346,746 | 348,447 | 23,122 | 42,116 | |||||||||||||||||||||
Investment | 468,237 | 455,401 | 461,638 | 494,116 | 505,188 | 12,836 | (36,951 | ) | ||||||||||||||||||||
Construction and land: | ||||||||||||||||||||||||||||
1-4 family residential construction | 4,381 | 6,178 | 6,571 | 6,906 | 9,644 | (1,797 | ) | (5,263 | ) | |||||||||||||||||||
Other construction, development, and land | 155,400 | 140,026 | 139,333 | 108,589 | 122,436 | 15,374 | 32,964 | |||||||||||||||||||||
Mortgage warehouse loans | 27,838 | 38,352 | 44,575 | 39,981 | 41,551 | (10,514 | ) | (13,713 | ) | |||||||||||||||||||
Total commercial loans | 1,810,022 | 1,716,562 | 1,740,760 | 1,711,250 | 1,680,911 | 93,460 | 129,111 | |||||||||||||||||||||
Residential: | ||||||||||||||||||||||||||||
Residential mortgages | 109,522 | 103,468 | 105,255 | 104,484 | 101,976 | 6,054 | 7,546 | |||||||||||||||||||||
Home equity | 66,847 | 66,974 | 70,712 | 76,244 | 78,773 | (127 | ) | (11,926 | ) | |||||||||||||||||||
Total residential loans | 176,369 | 170,442 | 175,967 | 180,728 | 180,749 | 5,927 | (4,380 | ) | ||||||||||||||||||||
Consumer | 33,540 | 32,231 | 30,966 | 29,393 | 31,750 | 1,309 | 1,790 | |||||||||||||||||||||
Other | 21,399 | 17,997 | 15,181 | 16,278 | 16,106 | 3,402 | 5,293 | |||||||||||||||||||||
2,041,330 | 1,937,232 | 1,962,874 | 1,937,649 | 1,909,516 | 104,098 | 131,814 | ||||||||||||||||||||||
Less net deferred fees and other unearned income | (2,896 | ) | (2,921 | ) | (3,453 | ) | (3,810 | ) | (4,084 | ) | 25 | 1,188 | ||||||||||||||||
Total loans held for investment | $ | 2,038,434 | $ | 1,934,311 | $ | 1,959,421 | $ | 1,933,839 | $ | 1,905,432 | $ | 104,123 | $ | 133,002 | ||||||||||||||
Total loans | $ | 2,040,320 | $ | 1,935,923 | $ | 1,960,256 | $ | 1,935,326 | $ | 1,908,706 | $ | 104,397 | $ | 131,614 | ||||||||||||||
ATLANTIC CAPITAL BANCSHARES, INC. | |||||||||||||||||||||
Allowance for Loan Losses Activity and Credit Quality | |||||||||||||||||||||
2018 | 2017 | ||||||||||||||||||||
(dollars in thousands) | Third Quarter | Second Quarter | First Quarter | Fourth Quarter | Third Quarter | ||||||||||||||||
Balance at beginning of period | $ | 19,583 | $ | 19,885 | $ | 19,344 | $ | 18,870 | $ | 21,870 | |||||||||||
Provision for loan losses | 758 | (173 | ) | 811 | 312 | 314 | |||||||||||||||
Provision for PCI loan losses | 87 | — | (39 | ) | (30 | ) | 8 | ||||||||||||||
Loans charged-off: | |||||||||||||||||||||
Commercial and industrial | — | — | (126 | ) | — | (3,292 | ) | ||||||||||||||
Commercial real estate | — | (50 | ) | — | — | — | |||||||||||||||
Construction and land | — | — | — | — | (16 | ) | |||||||||||||||
Residential mortgages | — | — | (70 | ) | — | — | |||||||||||||||
Home equity | — | (102 | ) | (58 | ) | — | (31 | ) | |||||||||||||
Consumer | — | (10 | ) | (3 | ) | (13 | ) | (7 | ) | ||||||||||||
Other | — | — | — | — | — | ||||||||||||||||
Total loans charged-off | — | (162 | ) | (257 | ) | (13 | ) | (3,346 | ) | ||||||||||||
Recoveries on loans previously charged-off: | |||||||||||||||||||||
Commercial and industrial | — | — | 19 | 192 | 1 | ||||||||||||||||
Commercial real estate | — | 28 | — | — | — | ||||||||||||||||
Construction and land | — | — | — | 1 | 15 | ||||||||||||||||
Residential mortgages | — | — | — | — | — | ||||||||||||||||
Home equity | — | — | — | — | — | ||||||||||||||||
Consumer | 15 | 5 | 7 | 12 | 8 | ||||||||||||||||
Other | — | — | — | — | — | ||||||||||||||||
Total recoveries | 15 | 33 | 26 | 205 | 24 | ||||||||||||||||
Net charge-offs | $ | 15 | $ | (129 | ) | $ | (231 | ) | $ | 192 | $ | (3,322 | ) | ||||||||
Balance at period end | $ | 20,443 | $ | 19,583 | $ | 19,885 | $ | 19,344 | $ | 18,870 | |||||||||||
Loans held for investment | |||||||||||||||||||||
PCI Loans | $ | 6,307 | $ | 10,620 | $ | 11,837 | $ | 11,754 | $ | 12,090 | |||||||||||
Non-PCI Loans | 2,032,127 | 1,923,691 | 1,947,584 | 1,922,085 | 1,893,342 | ||||||||||||||||
$ | 2,038,434 | $ | 1,934,311 | $ | 1,959,421 | $ | 1,933,839 | $ | 1,905,432 | ||||||||||||
Non-performing loans - PCI | $ | 750 | $ | 969 | $ | 1,217 | $ | 1,211 | $ | 1,289 | |||||||||||
Non-performing loans - Non-PCI | $ | 2,716 | $ | 2,406 | $ | 2,501 | $ | 2,912 | $ | 4,553 | |||||||||||
Foreclosed properties (OREO) | 968 | 1,288 | 927 | 1,215 | 1,494 | ||||||||||||||||
Total nonperforming assets | $ | 3,684 | $ | 3,694 | $ | 3,428 | $ | 4,127 | $ | 6,047 | |||||||||||
Allowance for loan losses to loans held for investment | 1.00 | % | 1.01 | % | 1.01 | % | 1.00 | % | 0.99 | % | |||||||||||
Net charge-offs to average loans (1) | — | 0.03 | 0.05 | (0.04 | ) | 0.68 | |||||||||||||||
Nonperforming loans as a percentage of total loans (2) | 0.13 | 0.12 | 0.13 | 0.15 | 0.24 | ||||||||||||||||
Nonperforming assets as a percentage of total assets (2) | 0.13 | 0.14 | 0.13 | 0.14 | 0.23 | ||||||||||||||||
(1)Annualized. (2)Excludes non-performing PCI loans. |
ATLANTIC CAPITAL BANCSHARES, INC. | ||||||||||||||||||||||||||||
Period End Deposits | ||||||||||||||||||||||||||||
(dollars in thousands) | September 30, 2018 | June 30, 2018 | March 31, 2018 | December 31, 2017 | September 30, 2017 | Linked Quarter Change | Year Over Year Change | |||||||||||||||||||||
DDA | $ | 653,816 | $ | 595,867 | $ | 599,838 | $ | 732,442 | $ | 599,292 | $ | 57,949 | $ | 54,524 | ||||||||||||||
NOW | 486,456 | 332,481 | 302,636 | 306,331 | 270,740 | 153,975 | 215,716 | |||||||||||||||||||||
Savings | 27,192 | 27,559 | 29,407 | 26,573 | 30,131 | (367 | ) | (2,939 | ) | |||||||||||||||||||
Money Market | 977,552 | 865,913 | 911,449 | 1,117,891 | 865,238 | 111,639 | 112,314 | |||||||||||||||||||||
Time | 155,689 | 152,111 | 140,594 | 138,612 | 144,250 | 3,578 | 11,439 | |||||||||||||||||||||
Brokered | 79,119 | 92,656 | 112,376 | 128,816 | 193,994 | (13,537 | ) | (114,875 | ) | |||||||||||||||||||
Total Deposits | $ | 2,379,824 | $ | 2,066,587 | $ | 2,096,300 | $ | 2,450,665 | $ | 2,103,645 | $ | 313,237 | $ | 276,179 | ||||||||||||||
Payments Clients | $ | 258,320 | $ | 251,748 | $ | 311,943 | $ | 405,873 | $ | 239,079 | $ | 6,572 | $ | 19,241 | ||||||||||||||
Average Deposits | ||||||||||||||||||||||||||||
2018 | 2017 | Linked Quarter Change | Year Over Year Change | |||||||||||||||||||||||||
(dollars in thousands) | Third Quarter | Second Quarter | First Quarter | Fourth Quarter | Third Quarter | |||||||||||||||||||||||
DDA | $ | 697,927 | $ | 633,113 | $ | 638,730 | $ | 649,218 | $ | 628,029 | $ | 64,814 | $ | 69,898 | ||||||||||||||
NOW | 389,649 | 364,362 | 329,171 | 338,741 | 291,810 | 25,287 | 97,839 | |||||||||||||||||||||
Savings | 27,257 | 28,239 | 29,609 | 29,851 | 30,236 | (982 | ) | (2,979 | ) | |||||||||||||||||||
Money Market | 916,795 | 861,552 | 898,800 | 907,524 | 870,618 | 55,243 | 46,177 | |||||||||||||||||||||
Time | 154,507 | 148,134 | 139,788 | 140,921 | 143,862 | 6,373 | 10,645 | |||||||||||||||||||||
Brokered | 67,937 | 100,425 | 117,787 | 128,594 | 156,708 | (32,488 | ) | (88,771 | ) | |||||||||||||||||||
Total Deposits | $ | 2,254,072 | $ | 2,135,825 | $ | 2,153,885 | $ | 2,194,849 | $ | 2,121,263 | $ | 118,247 | $ | 132,809 | ||||||||||||||
Payments Clients | $ | 227,029 | $ | 219,016 | $ | 256,794 | $ | 234,558 | $ | 209,851 | $ | 8,013 | $ | 17,178 | ||||||||||||||
Noninterest bearing deposits as a percentage of average deposits | 31.0 | % | 29.6 | % | 29.7 | % | 29.6 | % | 29.6 | % | ||||||||||||||||||
Cost of deposits | 0.77 | % | 0.69 | % | 0.57 | % | 0.52 | % | 0.50 | % |
ATLANTIC CAPITAL BANCSHARES, INC. | |||||||||||||||||||||||||||||
Non-GAAP Performance and Financial Measures Reconciliation | |||||||||||||||||||||||||||||
2018 | 2017 | For the nine months ended September 30, | |||||||||||||||||||||||||||
(in thousands, except share and per share data) | Third Quarter | Second Quarter | First Quarter | Fourth Quarter | Third Quarter | 2018 | 2017 | ||||||||||||||||||||||
Taxable equivalent interest income reconciliation | |||||||||||||||||||||||||||||
Interest income - GAAP | $ | 28,519 | $ | 27,346 | $ | 25,982 | $ | 25,137 | $ | 24,351 | $ | 81,847 | $ | 71,134 | |||||||||||||||
Taxable equivalent adjustment | 97 | 98 | 103 | 213 | 215 | 298 | 693 | ||||||||||||||||||||||
Interest income - taxable equivalent | $ | 28,616 | $ | 27,444 | $ | 26,085 | $ | 25,350 | $ | 24,566 | $ | 82,145 | $ | 71,827 | |||||||||||||||
Taxable equivalent net interest income reconciliation | |||||||||||||||||||||||||||||
Net interest income - GAAP | $ | 22,563 | $ | 22,014 | $ | 21,517 | $ | 21,109 | $ | 20,291 | $ | 66,094 | $ | 60,033 | |||||||||||||||
Taxable equivalent adjustment | 97 | 98 | 103 | 213 | 215 | 298 | 693 | ||||||||||||||||||||||
Net interest income - taxable equivalent | $ | 22,660 | $ | 22,112 | $ | 21,620 | $ | 21,322 | $ | 20,506 | $ | 66,392 | $ | 60,726 | |||||||||||||||
Taxable equivalent net interest margin reconciliation | |||||||||||||||||||||||||||||
Net interest margin - GAAP | 3.45 | % | 3.52 | % | 3.49 | % | 3.35 | % | 3.23 | % | 3.49 | % | 3.21 | % | |||||||||||||||
Impact of taxable equivalent adjustment | 0.02 | 0.02 | 0.02 | 0.04 | 0.03 | 0.01 | 0.03 | ||||||||||||||||||||||
Net interest margin - taxable equivalent | 3.47 | % | 3.54 | % | 3.51 | % | 3.39 | % | 3.26 | % | 3.50 | % | 3.24 | % | |||||||||||||||
Operating noninterest income reconciliation | |||||||||||||||||||||||||||||
Noninterest income - GAAP | $ | 3,066 | $ | 5,331 | $ | 3,983 | $ | 3,568 | $ | 3,477 | $ | 12,380 | $ | 12,621 | |||||||||||||||
Gain on sale of trust company | — | (1,681 | ) | — | — | — | (1,681 | ) | — | ||||||||||||||||||||
Operating noninterest income | $ | 3,066 | $ | 3,650 | $ | 3,983 | $ | 3,568 | $ | 3,477 | $ | 10,699 | $ | 12,621 | |||||||||||||||
Operating income before income taxes reconciliation | |||||||||||||||||||||||||||||
Income before income taxes - GAAP | $ | 8,189 | $ | 10,157 | $ | 6,336 | $ | 3,801 | $ | 5,942 | $ | 24,682 | $ | 16,847 | |||||||||||||||
Taxable equivalent adjustment | 97 | 98 | 103 | 213 | 215 | 298 | 693 | ||||||||||||||||||||||
Gain on sale of trust company | — | (1,681 | ) | — | — | — | (1,681 | ) | — | ||||||||||||||||||||
Operating income before income taxes | $ | 8,286 | $ | 8,574 | $ | 6,439 | $ | 4,014 | $ | 6,157 | $ | 23,299 | $ | 17,540 | |||||||||||||||
Operating income tax reconciliation | |||||||||||||||||||||||||||||
Income tax expense - GAAP | $ | 1,676 | $ | 2,006 | $ | 1,298 | $ | 19,138 | $ | 1,890 | $ | 4,980 | $ | 5,236 | |||||||||||||||
Taxable equivalent adjustment | 97 | 98 | 103 | 213 | 215 | 298 | 693 | ||||||||||||||||||||||
Gain on sale of trust company, tax expense | — | (420 | ) | — | — | — | (420 | ) | — | ||||||||||||||||||||
Revaluation of net deferred tax asset | — | — | — | (17,398 | ) | — | — | — | |||||||||||||||||||||
Operating income tax expense | $ | 1,773 | $ | 1,684 | $ | 1,401 | $ | 1,953 | $ | 2,105 | $ | 4,858 | $ | 5,929 | |||||||||||||||
Operating net income reconciliation | |||||||||||||||||||||||||||||
Net income (loss) - GAAP | $ | 6,513 | $ | 8,151 | $ | 5,038 | $ | (15,337 | ) | $ | 4,052 | $ | 19,702 | $ | 11,611 | ||||||||||||||
Gain on sale of trust company, net of income tax | — | (1,261 | ) | — | — | — | (1,261 | ) | — | ||||||||||||||||||||
Revaluation of net deferred tax asset | — | — | — | 17,398 | — | — | — | ||||||||||||||||||||||
Operating net income | $ | 6,513 | $ | 6,890 | $ | 5,038 | $ | 2,061 | $ | 4,052 | $ | 18,441 | $ | 11,611 | |||||||||||||||
Operating diluted earnings per share reconciliation | |||||||||||||||||||||||||||||
Diluted earnings (loss) per share - GAAP | $ | 0.25 | $ | 0.31 | $ | 0.19 | $ | (0.60 | ) | $ | 0.16 | $ | 0.75 | $ | 0.45 | ||||||||||||||
Net gain on sale of trust company | — | (0.05 | ) | — | — | — | (0.04 | ) | — | ||||||||||||||||||||
Revaluation of net deferred tax asset | — | — | — | 0.68 | — | — | — | ||||||||||||||||||||||
Diluted earnings per share - operating | $ | 0.25 | $ | 0.26 | $ | 0.19 | $ | 0.08 | $ | 0.16 | $ | 0.71 | $ | 0.45 | |||||||||||||||
Tangible book value per common share reconciliation | |||||||||||||||||||||||||||||
Total shareholders’ equity | $ | 320,237 | $ | 316,770 | $ | 307,059 | $ | 308,425 | $ | 324,754 | $ | 320,237 | $ | 324,754 | |||||||||||||||
Intangible assets | (23,367 | ) | (23,662 | ) | (24,050 | ) | (24,393 | ) | (24,760 | ) | (23,367 | ) | (24,760 | ) | |||||||||||||||
Total tangible common equity | $ | 296,870 | $ | 293,108 | $ | 283,009 | $ | 284,032 | $ | 299,994 | $ | 296,870 | $ | 299,994 | |||||||||||||||
Common shares outstanding | 26,103,666 | 26,102,217 | 25,772,208 | 25,712,909 | 25,716,418 | 26,103,666 | 25,716,418 | ||||||||||||||||||||||
Book value per common share - GAAP | $ | 12.27 | $ | 12.14 | $ | 11.91 | $ | 11.99 | $ | 12.63 | $ | 12.27 | $ | 12.63 | |||||||||||||||
Tangible book value | 11.37 | 11.23 | 10.98 | 11.05 | 11.67 | 11.37 | 11.67 | ||||||||||||||||||||||
Return on average equity reconciliation | |||||||||||||||||||||||||||||
Net income (loss) - GAAP | $ | 6,513 | $ | 8,151 | $ | 5,038 | $ | (15,337 | ) | $ | 4,052 | $ | 19,702 | $ | 11,611 | ||||||||||||||
Gain on sale of trust company, net of income tax | — | (1,261 | ) | — | — | — | (1,261 | ) | — | ||||||||||||||||||||
Revaluation of net deferred tax asset | — | — | — | 17,398 | — | — | — | ||||||||||||||||||||||
Operating net income | $ | 6,513 | $ | 6,890 | $ | 5,038 | $ | 2,061 | $ | 4,052 | $ | 18,441 | $ | 11,611 | |||||||||||||||
Average shareholders' equity | $ | 320,090 | $ | 312,543 | $ | 306,821 | $ | 326,059 | $ | 323,832 | $ | 313,200 | $ | 316,361 | |||||||||||||||
Return on average equity - GAAP | 8.07 | % | 10.46 | % | 6.66 | % | (18.66 | ) | % | 4.96 | % | 8.41 | % | 4.91 | % | ||||||||||||||
Return on average equity - operating | 8.07 | 8.84 | 6.66 | 2.51 | 4.96 | 7.87 | 4.91 | ||||||||||||||||||||||
Return on average assets reconciliation | |||||||||||||||||||||||||||||
Net income (loss) - GAAP | $ | 6,513 | $ | 8,151 | $ | 5,038 | $ | (15,337 | ) | $ | 4,052 | $ | 19,702 | $ | 11,611 | ||||||||||||||
Gain on sale of trust company, net of income tax | — | (1,261 | ) | — | — | — | (1,261 | ) | — | ||||||||||||||||||||
Revaluation of net deferred tax asset | — | — | — | 17,398 | — | — | — | ||||||||||||||||||||||
Operating net income | $ | 6,513 | $ | 6,890 | $ | 5,038 | $ | 2,061 | $ | 4,052 | $ | 18,441 | $ | 11,611 | |||||||||||||||
Average assets | $ | 2,805,740 | $ | 2,718,071 | $ | 2,704,822 | $ | 2,720,070 | $ | 2,701,387 | $ | 2,743,247 | $ | 2,719,519 | |||||||||||||||
Return on average assets - GAAP | 0.92 | % | 1.20 | % | 0.76 | % | (2.24 | ) | % | 0.60 | % | 0.96 | % | 0.57 | % | ||||||||||||||
Return on average assets - operating | 0.92 | 1.02 | 0.76 | 0.30 | 0.60 | 0.90 | 0.57 | ||||||||||||||||||||||
Efficiency ratio reconciliation | |||||||||||||||||||||||||||||
Noninterest income - GAAP | $ | 3,066 | $ | 5,331 | $ | 3,983 | $ | 3,568 | $ | 3,477 | $ | 12,380 | $ | 12,621 | |||||||||||||||
Gain on sale of trust company | — | (1,681 | ) | — | — | — | (1,681 | ) | — | ||||||||||||||||||||
Operating noninterest income | $ | 3,066 | $ | 3,650 | $ | 3,983 | $ | 3,568 | $ | 3,477 | $ | 10,699 | $ | 12,621 | |||||||||||||||
Noninterest expense - GAAP | $ | 16,595 | $ | 17,361 | $ | 18,392 | $ | 20,594 | $ | 17,504 | $ | 52,348 | $ | 52,871 | |||||||||||||||
Net interest income | $ | 22,563 | $ | 22,014 | $ | 21,517 | $ | 21,109 | $ | 20,291 | $ | 66,094 | $ | 60,033 | |||||||||||||||
Efficiency ratio | 64.75 | % | 67.65 | % | 72.13 | % | 83.45 | % | 73.65 | % | 68.17 | % | 72.77 | % | |||||||||||||||
Tangible common equity to tangible assets reconciliation | |||||||||||||||||||||||||||||
Total shareholders’ equity | $ | 320,237 | $ | 316,770 | $ | 307,059 | $ | 308,425 | $ | 324,754 | $ | 320,237 | $ | 324,754 | |||||||||||||||
Intangible assets | (23,367 | ) | (23,662 | ) | (24,050 | ) | (24,393 | ) | (24,760 | ) | (23,367 | ) | (24,760 | ) | |||||||||||||||
Total tangible common equity | $ | 296,870 | $ | 293,108 | $ | 283,009 | $ | 284,032 | $ | 299,994 | $ | 296,870 | $ | 299,994 | |||||||||||||||
Total assets | $ | 2,882,721 | $ | 2,690,674 | $ | 2,718,665 | $ | 2,891,421 | $ | 2,638,412 | $ | 2,882,721 | $ | 2,638,412 | |||||||||||||||
Intangible assets | (23,367 | ) | (23,662 | ) | (24,050 | ) | (24,393 | ) | (24,760 | ) | (23,367 | ) | (24,760 | ) | |||||||||||||||
Total tangible assets | $ | 2,859,354 | $ | 2,667,012 | $ | 2,694,615 | $ | 2,867,028 | $ | 2,613,652 | $ | 2,859,354 | $ | 2,613,652 | |||||||||||||||
Tangible common equity to tangible assets | 10.38 | % | 10.99 | % | 10.50 | % | 9.91 | % | 11.48 | % | 10.38 | % | 11.48 | % |