Pennsylvania | 0-7617 | 23-1886144 | ||
(State or other jurisdiction | (Commission | (I.R.S. Employer | ||
of incorporation) | File Number) | Identification No.) |
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ | Pre-commencement communications pursuant to Rule 14d-2 (b) under the Exchange Act (17 CFR 240.14d-2 (b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4 (c) under the Exchange Act (17 CFR 240.13e-4 (c)) |
Item 2.02 | Results of Operations and Financial Condition. |
Item 5.02 | Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangement of Certain Officers. |
Item 9.01 | Financial Statements and Exhibits. |
Exhibit No. | Description of Document | |
99.1 |
Univest Corporation of Pennsylvania | ||
By: | /s/ Roger S. Deacon | |
Name: | Roger S. Deacon | |
Title: | Senior Executive Vice President, | |
Chief Financial Officer |
Exhibit No. | Description of Document | |
99.1 |
NEWS |
Univest Corporation of Pennsylvania | |||||||||||||||||||
Consolidated Selected Financial Data | |||||||||||||||||||
March 31, 2017 | |||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||
Balance Sheet (Period End) | 3/31/2017 | 12/31/2016 | 9/30/2016 | 6/30/2016 | 3/31/2016 | ||||||||||||||
Assets | $ | 4,273,931 | $ | 4,230,528 | $ | 4,140,444 | $ | 3,107,617 | $ | 2,824,777 | |||||||||
Investment securities | 464,639 | 468,518 | 484,213 | 286,980 | 329,357 | ||||||||||||||
Loans held for sale | 1,110 | 5,890 | 3,844 | 4,657 | 3,818 | ||||||||||||||
Loans and leases held for investment, gross | 3,341,916 | 3,285,886 | 3,190,361 | 2,345,037 | 2,183,256 | ||||||||||||||
Allowance for loan and lease losses | 19,528 | 17,499 | 16,899 | 17,153 | 16,452 | ||||||||||||||
Loans and leases held for investment, net | 3,322,388 | 3,268,387 | 3,173,462 | 2,327,884 | 2,166,804 | ||||||||||||||
Total deposits | 3,365,951 | 3,257,567 | 3,178,509 | 2,377,084 | 2,334,361 | ||||||||||||||
Noninterest-bearing deposits | 947,495 | 918,337 | 874,581 | 689,916 | 559,827 | ||||||||||||||
NOW, money market and savings | 1,865,280 | 1,713,041 | 1,652,696 | 1,326,976 | 1,391,626 | ||||||||||||||
Time deposits | 553,176 | 626,189 | 651,232 | 360,192 | 382,908 | ||||||||||||||
Borrowings | 355,580 | 417,780 | 398,341 | 309,666 | 75,265 | ||||||||||||||
Shareholders' equity | 511,880 | 505,209 | 509,249 | 369,160 | 367,003 | ||||||||||||||
Balance Sheet (Average) | For the three months ended, | ||||||||||||||||||
3/31/2017 | 12/31/2016 | 9/30/2016 | 6/30/2016 | 3/31/2016 | |||||||||||||||
Assets | $ | 4,230,428 | $ | 4,134,976 | $ | 4,147,468 | $ | 2,854,561 | $ | 2,834,557 | |||||||||
Investment securities | 470,300 | 473,890 | 503,790 | 302,492 | 342,218 | ||||||||||||||
Loans and leases, gross | 3,306,877 | 3,208,171 | 3,164,273 | 2,239,674 | 2,177,091 | ||||||||||||||
Deposits | 3,290,285 | 3,237,778 | 3,177,060 | 2,340,959 | 2,351,816 | ||||||||||||||
Shareholders' equity | 509,055 | 507,832 | 506,464 | 368,466 | 364,092 | ||||||||||||||
Asset Quality Data (Period End) | |||||||||||||||||||
3/31/2017 | 12/31/2016 | 9/30/2016 | 6/30/2016 | 3/31/2016 | |||||||||||||||
Nonaccrual loans and leases, including nonaccrual troubled debt restructured loans and leases | $ | 19,856 | $ | 17,916 | $ | 15,050 | $ | 13,265 | $ | 13,482 | |||||||||
Accruing loans and leases 90 days or more past due | 919 | 987 | 1,128 | 748 | 693 | ||||||||||||||
Accruing troubled debt restructured loans and leases | 2,818 | 3,252 | 3,286 | 4,413 | 4,279 | ||||||||||||||
Other real estate owned | 3,712 | 4,969 | 6,041 | 3,131 | 3,073 | ||||||||||||||
Nonperforming assets | 27,305 | 27,124 | 25,505 | 21,557 | 21,527 | ||||||||||||||
Allowance for loan and lease losses | 19,528 | 17,499 | 16,899 | 17,153 | 16,452 | ||||||||||||||
Nonaccrual loans and leases / Loans and leases held for investment | 0.59 | % | 0.55 | % | 0.47 | % | 0.57 | % | 0.62 | % | |||||||||
Nonperforming loans and leases / Loans and leases held for investment | 0.71 | % | 0.67 | % | 0.61 | % | 0.79 | % | 0.85 | % | |||||||||
Allowance for loan and lease losses / Loans and leases held for investment | 0.58 | % | 0.53 | % | 0.53 | % | 0.73 | % | 0.75 | % | |||||||||
Allowance for loan and lease losses/Loans and leases held for investment (excluding acquired loans at period-end) | 0.74 | % | 0.73 | % | 0.77 | % | 0.82 | % | 0.86 | % | |||||||||
Allowance for loan and lease losses / Nonaccrual loans and leases held for investment | 98.35 | % | 97.67 | % | 112.29 | % | 129.31 | % | 122.03 | % | |||||||||
Allowance for loan and lease losses / Nonperforming loans and leases held for investment | 82.77 | % | 78.98 | % | 86.82 | % | 93.09 | % | 89.15 | % | |||||||||
Acquired credit impaired loans | $ | 6,616 | $ | 7,352 | $ | 14,575 | $ | 942 | $ | 1,267 | |||||||||
For the three months ended, | |||||||||||||||||||
3/31/2017 | 12/31/2016 | 9/30/2016 | 6/30/2016 | 3/31/2016 | |||||||||||||||
Net loan and lease charge-offs | $ | 416 | $ | 1,650 | $ | 1,669 | $ | 129 | $ | 1,502 | |||||||||
Net loan and lease charge-offs (annualized)/Average loans and leases | 0.05 | % | 0.20 | % | 0.21 | % | 0.02 | % | 0.28 | % |
Univest Corporation of Pennsylvania | |||||||||||||||||||
Consolidated Selected Financial Data | |||||||||||||||||||
March 31, 2017 | |||||||||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||||||||
For the three months ended, | |||||||||||||||||||
For the period: | 3/31/2017 | 12/31/2016 | 9/30/2016 | 6/30/2016 | 3/31/2016 | ||||||||||||||
Interest income | $ | 38,396 | $ | 38,056 | $ | 36,705 | $ | 26,112 | $ | 25,734 | |||||||||
Interest expense | 4,113 | 3,884 | 3,836 | 2,451 | 2,211 | ||||||||||||||
Net interest income | 34,283 | 34,172 | 32,869 | 23,661 | 23,523 | ||||||||||||||
Provision for loan and lease losses | 2,445 | 2,250 | 1,415 | 830 | 326 | ||||||||||||||
Net interest income after provision | 31,838 | 31,922 | 31,454 | 22,831 | 23,197 | ||||||||||||||
Noninterest income: | |||||||||||||||||||
Trust fee income | 1,907 | 1,921 | 1,958 | 1,997 | 1,865 | ||||||||||||||
Service charges on deposit accounts | 1,243 | 1,293 | 1,344 | 1,056 | 998 | ||||||||||||||
Investment advisory commission and fee income | 3,181 | 3,072 | 2,905 | 2,776 | 2,671 | ||||||||||||||
Insurance commission and fee income | 4,410 | 3,275 | 3,267 | 3,503 | 4,558 | ||||||||||||||
Bank owned life insurance income | 783 | 1,215 | 711 | 535 | 470 | ||||||||||||||
Net gain on sales of investment securities | 15 | 31 | 30 | 413 | 44 | ||||||||||||||
Net gain on mortgage banking activities | 1,113 | 1,092 | 2,006 | 1,711 | 1,218 | ||||||||||||||
Other income | 2,318 | 2,095 | 1,916 | 2,010 | 2,007 | ||||||||||||||
Total noninterest income | 14,970 | 13,994 | 14,137 | 14,001 | 13,831 | ||||||||||||||
Noninterest expense: | |||||||||||||||||||
Salaries and benefits | 16,657 | 16,546 | 16,710 | 14,080 | 14,182 | ||||||||||||||
Commissions | 2,050 | 2,618 | 2,485 | 2,363 | 1,895 | ||||||||||||||
Premises and equipment | 3,658 | 3,929 | 3,476 | 2,846 | 2,876 | ||||||||||||||
Data processing | 2,058 | 2,001 | 2,169 | 1,530 | 1,281 | ||||||||||||||
Professional fees | 1,239 | 1,258 | 1,322 | 947 | 1,020 | ||||||||||||||
Marketing and advertising | 379 | 619 | 345 | 513 | 538 | ||||||||||||||
Deposit insurance premiums | 402 | 521 | 327 | 418 | 447 | ||||||||||||||
Intangible expense | 759 | 2,917 | 854 | 991 | 766 | ||||||||||||||
Acquisition-related costs | — | 101 | 8,784 | 1,158 | 214 | ||||||||||||||
Integration costs | — | 269 | 5,365 | 27 | 6 | ||||||||||||||
Restructuring charges (recoveries) | — | 1,816 | (85 | ) | — | — | |||||||||||||
Other expense | 4,828 | 5,835 | 5,314 | 4,673 | 3,714 | ||||||||||||||
Total noninterest expense | 32,030 | 38,430 | 47,066 | 29,546 | 26,939 | ||||||||||||||
Income before taxes | 14,778 | 7,486 | (1,475 | ) | 7,286 | 10,089 | |||||||||||||
Income tax expense (benefit) | 3,922 | 568 | (1,533 | ) | 2,046 | 2,800 | |||||||||||||
Net income | $ | 10,856 | $ | 6,918 | $ | 58 | $ | 5,240 | $ | 7,289 | |||||||||
Per common share data: | |||||||||||||||||||
Book value per share | $ | 19.21 | $ | 19.00 | $ | 19.17 | $ | 18.88 | $ | 18.73 | |||||||||
Net income per share: | |||||||||||||||||||
Basic | $ | 0.41 | $ | 0.26 | $ | — | $ | 0.27 | $ | 0.37 | |||||||||
Diluted | $ | 0.41 | $ | 0.26 | $ | — | $ | 0.27 | $ | 0.37 | |||||||||
Dividends declared per share | $ | 0.20 | $ | 0.20 | $ | 0.20 | $ | 0.20 | $ | 0.20 | |||||||||
Weighted average shares outstanding | 26,630,698 | 26,577,948 | 26,554,626 | 19,603,310 | 19,578,438 | ||||||||||||||
Period end shares outstanding | 26,645,520 | 26,589,353 | 26,558,412 | 19,557,958 | 19,592,798 |
Univest Corporation of Pennsylvania | |||||||||||||||||||
Consolidated Selected Financial Data | |||||||||||||||||||
March 31, 2017 | |||||||||||||||||||
For the three months ended, | |||||||||||||||||||
Profitability Ratios (annualized) | 3/31/2017 | 12/31/2016 | 9/30/2016 | 6/30/2016 | 3/31/2016 | ||||||||||||||
Return on average assets | 1.04 | % | 0.67 | % | 0.01 | % | 0.74 | % | 1.03 | % | |||||||||
Return on average assets, excluding integration and acquisition-related costs and restructuring charges (1), (2) | 1.04 | % | 0.78 | % | 0.88 | % | 0.90 | % | 1.07 | % | |||||||||
Return on average shareholders' equity | 8.65 | % | 5.42 | % | 0.05 | % | 5.72 | % | 8.05 | % | |||||||||
Return on average shareholder's equity, excluding integration and acquisition-related costs and restructuring charges (1), (2) | 8.65 | % | 6.37 | % | 7.24 | % | 6.99 | % | 8.29 | % | |||||||||
Return on average tangible common equity, excluding integration and acquisition-related costs and restructuring charges (1), (2), (5) | 13.48 | % | 9.95 | % | 11.32 | % | 10.31 | % | 12.33 | % | |||||||||
Net interest margin (FTE) | 3.80 | % | 3.81 | % | 3.68 | % | 3.93 | % | 3.91 | % | |||||||||
Efficiency ratio (3) | 62.70 | % | 76.48 | % | 96.45 | % | 75.22 | % | 69.23 | % | |||||||||
Efficiency ratio, excluding integration and acquisition-related costs and restructuring charges (1), (3), (4) | 62.70 | % | 72.13 | % | 67.63 | % | 72.20 | % | 68.67 | % | |||||||||
Capitalization Ratios | |||||||||||||||||||
Dividends declared to net income | 49.02 | % | 76.76 | % | N/M | 74.64 | % | 53.62 | % | ||||||||||
Shareholders' equity to assets (Period End) | 11.98 | % | 11.94 | % | 12.30 | % | 11.88 | % | 12.99 | % | |||||||||
Tangible common equity to tangible assets (5) | 8.06 | % | 7.97 | % | 8.24 | % | 8.39 | % | 9.17 | % | |||||||||
Tangible book value per share (5) | $ | 12.38 | $ | 12.13 | $ | 12.28 | $ | 12.82 | $ | 12.66 | |||||||||
Tangible book value per share - Core (5), (6) | $ | 12.56 | $ | 12.32 | $ | 12.21 | $ | 12.72 | $ | 12.62 | |||||||||
Regulatory Capital Ratios (Period End) | |||||||||||||||||||
Tier 1 leverage ratio | 8.75 | % | 8.84 | % | 8.80 | % | 9.90 | % | 9.93 | % | |||||||||
Common equity tier 1 risk-based capital ratio | 9.41 | % | 9.42 | % | 9.58 | % | 10.24 | % | 10.81 | % | |||||||||
Tier 1 risk-based capital ratio | 9.41 | % | 9.42 | % | 9.58 | % | 10.24 | % | 10.81 | % | |||||||||
Total risk-based capital ratio | 12.45 | % | 12.44 | % | 12.64 | % | 12.77 | % | 13.47 | % | |||||||||
(1) This consolidated selected financial data schedule contains supplemental financial information determined by methods other than in accordance with U.S. generally accepted accounting principles (“GAAP”). The management of Univest Corporation of Pennsylvania uses these non-GAAP measures in its analysis of the Corporation's performance. These measures should not be considered a substitute for GAAP basis measures nor should they be viewed as a substitute for operating results determined in accordance with GAAP. Management believes the presentation of the non-GAAP financial measures, which exclude the impact of the specified items, provides useful supplemental information that is essential to a proper understanding of the financial results of the Corporation. See below table for additional information. | |||||||||||||||||||
(a) Integration and acquisition-related costs and restructuring charges | $ | — | $ | 2,186 | $ | 14,064 | $ | 1,185 | $ | 220 | |||||||||
Tax effect on integration and acquisition-related cost and restructuring charges | — | 969 | 4,910 | 22 | 2 | ||||||||||||||
(b) Integration and acquisition-related costs and restructuring charges, net of tax | $ | — | $ | 1,217 | $ | 9,154 | $ | 1,163 | $ | 218 | |||||||||
(2) Net income in this ratio excludes integration and acquisition-related costs and restructuring charges, net of tax. See (1)(b) above. | |||||||||||||||||||
(3) Noninterest expense to net interest income before loan loss provision plus noninterest income adjusted for tax equivalent income. | |||||||||||||||||||
(4) Noninterest expense in this ratio excludes integration and acquisition-related costs and restructuring charges. See (1)(a) above. | |||||||||||||||||||
(5) Tangible equity represents total shareholders' equity less goodwill and other intangible assets, but includes servicing rights which were $6,502 at March 31, 2017, $6,485 at December 31, 2016, $6,167 at September 30, 2016, $5,896 at June 30, 2016 and $5,839 at March 31, 2016. | |||||||||||||||||||
(6) Tangible equity as defined in (5), excluding the impact of accumulated other comprehensive (loss) income on available-for-sale investment securities, net (($4,726) at March 31, 2017, ($4,989) at December 31, 2016, $1,789 at September 30, 2016, $1,907 at June 30, 2016 and $821 at March 31, 2016), divided by total shares outstanding. | |||||||||||||||||||
N/M Not Meaningful |
Univest Corporation of Pennsylvania | |||||||||||||||||||||||
Distribution of Assets, Liabilities and Shareholders' Equity: Interest Rates and Interest Differential | |||||||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||||||
Tax Equivalent Basis | March 31, 2017 | December 31, 2016 | |||||||||||||||||||||
Average | Income/ | Average | Average | Income/ | Average | ||||||||||||||||||
(Dollars in thousands) | Balance | Expense | Rate | Balance | Expense | Rate | |||||||||||||||||
Assets: | |||||||||||||||||||||||
Interest-earning deposits with other banks | $ | 8,592 | $ | 16 | 0.76 | % | $ | 10,235 | $ | 10 | 0.39 | % | |||||||||||
U.S. government obligations | 34,038 | 106 | 1.26 | 33,341 | 98 | 1.17 | |||||||||||||||||
Obligations of state and political subdivisions | 85,854 | 922 | 4.36 | 90,499 | 921 | 4.05 | |||||||||||||||||
Other debt and equity securities | 350,408 | 1,582 | 1.83 | 350,050 | 1,337 | 1.52 | |||||||||||||||||
Federal funds sold and other earning assets (1) | 25,909 | 358 | 5.60 | 20,578 | 217 | 4.20 | |||||||||||||||||
Total interest-earning deposits, investments, federal funds sold and other earning assets | 504,801 | 2,984 | 2.40 | 504,703 | 2,583 | 2.04 | |||||||||||||||||
Commercial, financial, and agricultural loans | 721,050 | 7,841 | 4.41 | 683,746 | 7,247 | 4.22 | |||||||||||||||||
Real estate—commercial and construction loans | 1,460,029 | 15,740 | 4.37 | 1,411,104 | 16,391 | 4.62 | |||||||||||||||||
Real estate—residential loans | 738,211 | 8,236 | 4.52 | 723,193 | 8,097 | 4.45 | |||||||||||||||||
Loans to individuals | 29,575 | 400 | 5.49 | 30,796 | 432 | 5.58 | |||||||||||||||||
Municipal loans and leases | 279,379 | 3,120 | 4.53 | 282,297 | 3,178 | 4.48 | |||||||||||||||||
Lease financings | 78,633 | 1,483 | 7.65 | 77,035 | 1,555 | 8.03 | |||||||||||||||||
Gross loans and leases | 3,306,877 | 36,820 | 4.52 | 3,208,171 | 36,900 | 4.58 | |||||||||||||||||
Total interest-earning assets | 3,811,678 | 39,804 | 4.24 | 3,712,874 | 39,483 | 4.23 | |||||||||||||||||
Cash and due from banks | 41,942 | 42,946 | |||||||||||||||||||||
Reserve for loan and lease losses | (18,200 | ) | (16,921 | ) | |||||||||||||||||||
Premises and equipment, net | 64,507 | 63,712 | |||||||||||||||||||||
Other assets | 330,501 | 332,365 | |||||||||||||||||||||
Total assets | $ | 4,230,428 | $ | 4,134,976 | |||||||||||||||||||
Liabilities: | |||||||||||||||||||||||
Interest-bearing checking deposits | $ | 426,373 | $ | 105 | 0.10 | $ | 402,247 | $ | 89 | 0.09 | |||||||||||||
Money market savings | 531,658 | 563 | 0.43 | 472,461 | 450 | 0.38 | |||||||||||||||||
Regular savings | 807,802 | 349 | 0.18 | 792,778 | 327 | 0.16 | |||||||||||||||||
Time deposits | 591,813 | 1,174 | 0.80 | 647,665 | 1,277 | 0.78 | |||||||||||||||||
Total time and interest-bearing deposits | 2,357,646 | 2,191 | 0.38 | 2,315,151 | 2,143 | 0.37 | |||||||||||||||||
Short-term borrowings | 150,155 | 262 | 0.71 | 128,498 | 149 | 0.46 | |||||||||||||||||
Long-term debt | 148,031 | 399 | 1.09 | 121,895 | 331 | 1.08 | |||||||||||||||||
Subordinated notes (2) | 94,116 | 1,261 | 5.43 | 94,055 | 1,261 | 5.33 | |||||||||||||||||
Total borrowings | 392,302 | 1,922 | 1.99 | 344,448 | 1,741 | 2.01 | |||||||||||||||||
Total interest-bearing liabilities | 2,749,948 | 4,113 | 0.61 | 2,659,599 | 3,884 | 0.58 | |||||||||||||||||
Noninterest-bearing deposits | 932,639 | 922,627 | |||||||||||||||||||||
Accrued expenses and other liabilities | 38,786 | 44,918 | |||||||||||||||||||||
Total liabilities | 3,721,373 | 3,627,144 | |||||||||||||||||||||
Shareholders' Equity: | |||||||||||||||||||||||
Common stock | 144,559 | 144,559 | |||||||||||||||||||||
Additional paid-in capital | 230,104 | 230,037 | |||||||||||||||||||||
Retained earnings and other equity | 134,392 | 133,236 | |||||||||||||||||||||
Total shareholders' equity | 509,055 | 507,832 | |||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 4,230,428 | $ | 4,134,976 | |||||||||||||||||||
Net interest income | $ | 35,691 | $ | 35,599 | |||||||||||||||||||
Net interest spread | 3.63 | 3.65 | |||||||||||||||||||||
Effect of net interest-free funding sources | 0.17 | 0.16 | |||||||||||||||||||||
Net interest margin | 3.80 | % | 3.81 | % | |||||||||||||||||||
Ratio of average interest-earning assets to average interest-bearing liabilities | 138.61 | % | 139.60 | % | |||||||||||||||||||
(1) Other earning assets include Federal Home Loan Bank, Federal Reserve Bank and other stock, at cost. | |||||||||||||||||||||||
(2) The interest rate on subordinated notes is calculated on a 30/360 day basis with a weighted average note rate of 5.05% for both the three months ended March 31, 2017 and December 31, 2016. The balance is net of debt issuance costs which are amortized to interest expense. | |||||||||||||||||||||||
Notes: For rate calculation purposes, average loan and lease categories include unearned discount. | |||||||||||||||||||||||
Nonaccrual loans and leases have been included in the average loan and lease balances. | |||||||||||||||||||||||
Loans held for sale have been included in the average loan balances. | |||||||||||||||||||||||
Tax-equivalent amounts for the three months ended March 31, 2017 and December 31, 2016 have been calculated using the Corporation’s federal applicable rate of 35.0%. |
Univest Corporation of Pennsylvania | |||||||||||||||||||||||
Distribution of Assets, Liabilities and Shareholders' Equity: Interest Rates and Interest Differential | |||||||||||||||||||||||
For the Three Months Ended March 31, | |||||||||||||||||||||||
Tax Equivalent Basis | 2017 | 2016 | |||||||||||||||||||||
Average | Income/ | Average | Average | Income/ | Average | ||||||||||||||||||
(Dollars in thousands) | Balance | Expense | Rate | Balance | Expense | Rate | |||||||||||||||||
Assets: | |||||||||||||||||||||||
Interest-earning deposits with other banks | $ | 8,592 | $ | 16 | 0.76 | % | $ | 19,619 | $ | 28 | 0.57 | % | |||||||||||
U.S. government obligations | 34,038 | 106 | 1.26 | 82,488 | 250 | 1.22 | |||||||||||||||||
Obligations of state and political subdivisions | 85,854 | 922 | 4.36 | 101,061 | 1,129 | 4.49 | |||||||||||||||||
Other debt and equity securities | 350,408 | 1,582 | 1.83 | 158,669 | 1,024 | 2.60 | |||||||||||||||||
Federal funds sold and other earning assets (1) | 25,909 | 358 | 5.60 | 14,821 | 132 | 3.58 | |||||||||||||||||
Total interest-earning deposits, investments, federal funds sold and other earning assets | 504,801 | 2,984 | 2.40 | 376,658 | 2,563 | 2.74 | |||||||||||||||||
Commercial, financial, and agricultural loans | 721,050 | 7,841 | 4.41 | 411,999 | 4,014 | 3.92 | |||||||||||||||||
Real estate—commercial and construction loans | 1,460,029 | 15,740 | 4.37 | 887,118 | 9,919 | 4.50 | |||||||||||||||||
Real estate—residential loans | 738,211 | 8,236 | 4.52 | 541,976 | 5,976 | 4.43 | |||||||||||||||||
Loans to individuals | 29,575 | 400 | 5.49 | 29,478 | 399 | 5.44 | |||||||||||||||||
Municipal loans and leases | 279,379 | 3,120 | 4.53 | 231,498 | 2,625 | 4.56 | |||||||||||||||||
Lease financings | 78,633 | 1,483 | 7.65 | 75,022 | 1,542 | 8.27 | |||||||||||||||||
Gross loans and leases | 3,306,877 | 36,820 | 4.52 | 2,177,091 | 24,475 | 4.52 | |||||||||||||||||
Total interest-earning assets | 3,811,678 | 39,804 | 4.24 | 2,553,749 | 27,038 | 4.26 | |||||||||||||||||
Cash and due from banks | 41,942 | 31,665 | |||||||||||||||||||||
Reserve for loan and lease losses | (18,200 | ) | (17,771 | ) | |||||||||||||||||||
Premises and equipment, net | 64,507 | 42,873 | |||||||||||||||||||||
Other assets | 330,501 | 224,041 | |||||||||||||||||||||
Total assets | $ | 4,230,428 | $ | 2,834,557 | |||||||||||||||||||
Liabilities: | |||||||||||||||||||||||
Interest-bearing checking deposits | $ | 426,373 | $ | 105 | 0.10 | $ | 402,160 | $ | 84 | 0.08 | |||||||||||||
Money market savings | 531,658 | 563 | 0.43 | 361,788 | 340 | 0.38 | |||||||||||||||||
Regular savings | 807,802 | 349 | 0.18 | 626,894 | 174 | 0.11 | |||||||||||||||||
Time deposits | 591,813 | 1,174 | 0.80 | 418,547 | 935 | 0.90 | |||||||||||||||||
Total time and interest-bearing deposits | 2,357,646 | 2,191 | 0.38 | 1,809,389 | 1,533 | 0.34 | |||||||||||||||||
Short-term borrowings | 150,155 | 262 | 0.71 | 27,388 | 3 | 0.04 | |||||||||||||||||
Long-term debt | 148,031 | 399 | 1.09 | — | — | — | |||||||||||||||||
Subordinated notes (2) | 94,116 | 1,261 | 5.43 | 49,394 | 675 | 5.50 | |||||||||||||||||
Total borrowings | 392,302 | 1,922 | 1.99 | 76,782 | 678 | 3.55 | |||||||||||||||||
Total interest-bearing liabilities | 2,749,948 | 4,113 | 0.61 | 1,886,171 | 2,211 | 0.47 | |||||||||||||||||
Noninterest-bearing deposits | 932,639 | 542,427 | |||||||||||||||||||||
Accrued expenses and other liabilities | 38,786 | 41,867 | |||||||||||||||||||||
Total liabilities | 3,721,373 | 2,470,465 | |||||||||||||||||||||
Shareholders' Equity: | |||||||||||||||||||||||
Common stock | 144,559 | 110,271 | |||||||||||||||||||||
Additional paid-in capital | 230,104 | 120,824 | |||||||||||||||||||||
Retained earnings and other equity | 134,392 | 132,997 | |||||||||||||||||||||
Total shareholders' equity | 509,055 | 364,092 | |||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 4,230,428 | $ | 2,834,557 | |||||||||||||||||||
Net interest income | $ | 35,691 | $ | 24,827 | |||||||||||||||||||
Net interest spread | 3.63 | 3.79 | |||||||||||||||||||||
Effect of net interest-free funding sources | 0.17 | 0.12 | |||||||||||||||||||||
Net interest margin | 3.80 | % | 3.91 | % | |||||||||||||||||||
Ratio of average interest-earning assets to average interest-bearing liabilities | 138.61 | % | 135.39 | % | |||||||||||||||||||
(1) Other earning assets include Federal Home Loan Bank, Federal Reserve Bank and other stock, at cost. | |||||||||||||||||||||||
(2) The interest rate on subordinated notes is calculated on a 30/360 day basis with a weighted average note rate of 5.05% and 5.10% for the three months ended March 31, 2017 and 2016, respectively. The balance is net of debt issuance costs which are amortized to interest expense. | |||||||||||||||||||||||
Notes: For rate calculation purposes, average loan and lease categories include unearned discount. | |||||||||||||||||||||||
Nonaccrual loans and leases have been included in the average loan and lease balances. | |||||||||||||||||||||||
Loans held for sale have been included in the average loan balances. | |||||||||||||||||||||||
Tax-equivalent amounts for the three months ended March 31, 2017 and 2016 have been calculated using the Corporation’s federal applicable rate of 35.0%. |
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