UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) April 27, 2018
MUTUALFIRST FINANCIAL, INC.
(Exact name of registrant as specified in its chapter)
Maryland | 000-27905 | 35-2085640 | ||
(State or other jurisdiction |
(Commission |
(IRS Employer |
110 E. Charles Street, Muncie, Indiana |
47305-2419 | |
(Address of principal executive offices) | (Zip Code) |
Registrant's telephone number, including area code (765) 747-2800
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
¨ | 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)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Item 2.02. Results of Operations and Financial Condition
On April 27, 2018 the Registrant issued a press release announcing results for the first quarter ended March 31, 2018. A copy of the press release, including unaudited financial information released as a part thereof, is attached as Exhibit 99 to this Current Report on Form 8-K and incorporated by reference herein.
Item 9.01. Financial Statements and Exhibits
(d) | Exhibits | ||
99 | Press release dated April 27, 2018. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.
MUTUALFIRST FINANCIAL, INC. | |||
Date: April 27, 2018 | By: |
/s/ David W. Heeter |
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David W. Heeter | |||
President and Chief Executive Officer |
EXHIBIT INDEX
Exhibit Number |
Description | |
99 | Press Release, dated April 27, 2018 |
MutualFirst Financial Announces First Quarter Earnings
MUNCIE, Ind., April 27, 2018 /PRNewswire/ -- MutualFirst Financial, Inc. (NASDAQ: MFSF), the holding company of MutualBank (the "Bank"), announced today adjusted net income available to common shareholders, excluding $605,000 of one-time merger related expenses, for the first quarter ended March 31, 2018 was $4.5 million, or $0.57 diluted earnings per common share. This compares to net income available to common shareholders for the same period in 2017 of $3.2 million, or $0.43 diluted earnings per common share. The adjusted net income for the first quarter ended March 31, 2018 represents an annualized return on average assets of 1.05% and return on average tangible common equity of 11.90% compared to 0.82% and 9.23%, respectively, for the same period of last year.
Including the one-time merger related expenses, net income available to common shareholders for the first quarter ended March 31, 2018 was $4.0 million, or $0.50 diluted earnings per common share. Annualized return on average assets was 0.93% and return on average tangible common equity was 10.53% for the first quarter of 2018.
On February 28, 2018, MutualFirst Financial, Inc. closed its acquisition of Universal Bancorp and merged Universal's wholly owned subsidiary, BloomBank, into MutualFirst Financial's wholly owned subsidiary, MutualBank. At closing, this acquisition increased total assets by approximately $398 million, total investments by $88 million, total loans by $253 million and total deposits by $315 million. The initial goodwill generated by the acquisition was $22 million and a core deposit intangible of $4.5 million.
"We believe our expansion into central and southern Indiana, through this acquisition, allows us to continue the momentum we have created over the last several years," said David W. Heeter, President and CEO.
Balance Sheet
Assets increased $407 million as of March 31, 2018 compared to December 31, 2017 primarily due to the acquisition of Universal. The gross loan portfolio increased by $269 million primarily due to acquiring a $253 million net loan portfolio in the first quarter of 2018. Organic loan growth of $16 million was primarily in commercial loans in the first quarter of 2018. The mix of loans in our portfolio as of March 31, 2018 compared to December 31, 2017 shifted toward our desired strategic objective through the acquisition. Commercial loans increased to 45.2% compared to 40.3%, residential loans decreased to 40.7% compared to 43.3% and non-residential consumer loans decreased to 14.1% compared to 16.4%.
Deposits increased by $338 million as of March 31, 2018 compared to December 31, 2017 primarily due to an increase of $315 million in the acquisition. As of March 31, 2018, core deposits totaled $1.1 billion, or 70.4% of total deposits and certificates of deposit totaled $458 million, or 29.6% of total deposits. This is compared to a mix of core deposits of 69.1% and certificates of deposit of 30.9 % as of December 31, 2017.
Mr. Heeter commented, "The acquisition of Universal met our strategic objectives by providing us an increase in commercial lending, a strong core deposit base and attractive new markets with growth potential."
Allowance for loan losses increased to $12.5 million as of March 31, 2018 compared to $12.4 million as of December 31, 2017. The allowance for loan losses to non-performing loans as of March 31, 2018 was 211% compared to 236% as of December 31, 2017. The allowance for loan losses to total loans as of March 31, 2018 was 0.86% compared to 1.05% as of December 31, 2017. Non-performing loans to total loans at March 31, 2018 were 0.41% compared to 0.44% at December 31, 2017. Non-performing assets to total assets were 0.39% at March 31, 2018 compared to 0.38% at December 31, 2017. Loans acquired from Universal in the first quarter of 2018 had an initial credit mark of $4.0 million.
Stockholders' equity was $191.1 million at March 31, 2018, an increase of $40.8 million from December 31, 2017. The increase was primarily due to $42.3 million of capital issued as part of the acquisition of Universal. Other increases included net income available to common shareholders of $4.0 million. These increases were partially offset by a decrease in accumulated other comprehensive income of $4.0 million, due market value changes in the investment portfolio, and common stock cash dividends paid of $1.5 million during the first quarter of 2018. The Company's tangible book value per common share as of March 31, 2018 decreased to $18.92 compared to $20.08 as of December 31, 2017 and the tangible common equity ratio decreased to 8.25% as of March 31, 2018 compared to 9.35% as of December 31, 2017. These declines are primarily a result of the acquisition in the first quarter of 2018. MFSF's and the Bank's risk-based capital ratios remained in excess of "well-capitalized" levels as defined by all regulatory standards as of March 31, 2018.
Income Statement
Net interest income before the provision for loan losses increased $1.9 million for the quarter ended March 31, 2018 compared to the same period in 2017. The increase in net interest income was a result of an increase of $162.9 million in average interest earning assets, due to the acquisition in the first quarter 2018 and organic loan growth, and an increase of fourteen basis points in net interest margin to 3.35%.
Provision for loan losses in the first quarter of 2018 was $450,000, a $250,000 increase from last year's comparable period. Provision for loan losses was calculated based on management's ongoing evaluation of the adequacy of the allowance for loan losses, which is partially attributable to an increasing loan portfolio and net charge offs of $300,000, or 0.09% of total average loans on an annualized basis, in the first quarter of 2018 compared to net charge offs of $200,000, or 0.07% of total average loans on an annualized basis, in the first quarter of 2017.
Non-interest income for the first quarter of 2018 was $4.4 million, an increase of $311,000 compared to the first quarter of 2017. Increases in non-interest income included an increase of $164,000 in service fee income on deposit accounts aided by increases in interchange fee income along with increases due to the acquisition. An increase in other income was a result of $325,000 of death benefits received on bank-owned life insurance policies. This increase was partially offset by a $135,000 decrease in net gain on loan sales due to slower mortgage loan production and a $122,000 increase in losses on sale of repossessed assets, due to losses on one former commercial relationship.
Non-interest expense increased $1.6 million when comparing the first quarter of 2018 with the same period in 2017. The increase was primarily due to the acquisition in the first quarter of 2018. One-time merger related expenses, primarily in professional fees and other expenses, were $605,000 in the first quarter of 2018 with no similar activity in the same period of 2017.
The effective tax rate for the first quarter of 2018 was 12.7% compared to 24.2% in the same quarter of 2017. The reason for the decline was the reduction of the corporate tax rate to 21% and an increase in tax free income partially due to an increase in holdings of tax free municipal securities.
"We are off to a good start in 2018 and we believe that the enhancements in the first quarter will help continue the momentum that we have seen over the last several years. We believe our larger market presence, along with a strong Indiana economy, will provide us more opportunities as we continue to focus on increasing shareholder value," Mr. Heeter concluded.
MutualFirst Financial, Inc. is the parent company of MutualBank, an Indiana-based financial institution since 1889. MutualBank has thirty-nine full-service retail financial centers throughout Indiana. MutualBank has two offices located in Fishers and Crawfordsville, Indiana specializing in wealth management and trust services and a loan origination office in New Buffalo, Michigan. MutualBank also operates a wholly owned subsidiary named Summit Mortgage which operates out of Fort Wayne, Indiana. MutualBank provides a full range of financial services including commercial and business banking, personal banking, wealth management, trust services, investments and internet banking services. The Company's stock is traded on the NASDAQ National Market under the symbol "MFSF". Additional information can be found online at www.bankwithmutual.com.
Statements contained in this release, which are not historical facts, are forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ from those currently anticipated due to a number of factors, which include, but are not limited to, factors discussed in documents filed by the Company with the Securities and Exchange Commission from time to time.
MutualFirst Financial, Inc. Selected Financials |
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| (Audited) |
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| March 31, | December 31, | March 31, |
Balance Sheet (Unaudited): | 2018 | 2017 | 2017 |
| (000) | (000) | (000) |
Assets |
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Cash and cash equivalents | $ 41,069 | $ 27,341 | $ 22,304 |
Interest-bearing time deposits | 4,627 | 1,853 | 1,905 |
Investment securities - AFS | 354,145 | 277,378 | 254,966 |
Loans held for sale | 3,686 | 4,577 | 5,077 |
Loans, gross | 1,449,426 | 1,180,145 | 1,167,325 |
Allowance for loan losses | (12,537) | (12,387) | (12,382) |
Net loans | 1,436,889 | 1,167,758 | 1,154,943 |
Premises and equipment, net | 26,208 | 21,539 | 21,041 |
FHLB of Indianapolis stock | 12,820 | 11,183 | 11,183 |
Deferred tax asset, net | 10,665 | 7,530 | 11,769 |
Cash value of life insurance | 59,209 | 52,707 | 51,866 |
Other real estate owned and repossessed assets | 1,753 | 733 | 1,035 |
Goodwill | 23,869 | 1,800 | 1,800 |
Core deposit and other intangibles | 4,509 | 127 | 307 |
Other assets | 16,656 | 14,406 | 13,225 |
Total assets | $ 1,996,105 | $ 1,588,932 | $ 1,551,421 |
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Liabilities and Stockholders' Equity |
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Deposits | $ 1,540,452 | $ 1,202,034 | $ 1,170,923 |
FHLB advances | 230,546 | 217,163 | 218,191 |
Other borrowings | 18,110 | 4,232 | 4,490 |
Other liabilities | 15,935 | 15,221 | 15,219 |
Stockholders' equity | 191,062 | 150,282 | 142,598 |
Total liabilities and stockholders' equity | $ 1,996,105 | $ 1,588,932 | $ 1,551,421 |
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| Three Months | Three Months | Three Months |
| Ended | Ended | Ended |
| March 31, | December 31, | March 31, |
Income Statement (Unaudited): | 2018 | 2017 | 2017 |
| (000) | (000) | (000) |
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Total interest and dividend income | $ 16,748 | $15,081 | $ 14,109 |
Total interest expense | 3,164 | 2,888 | 2,396 |
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Net interest income | 13,584 | 12,193 | 11,713 |
Provision for loan losses | 450 | 350 | 200 |
Net interest income after provision |
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for loan losses | 13,134 | 11,843 | 11,513 |
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Non-interest income |
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Service fee income | 1,564 | 1,819 | 1,400 |
Net realized gain on sales of AFS securities | 154 | 255 | 129 |
Commissions | 1,262 | 1,253 | 1,196 |
Net gain on sale of loans | 635 | 1,162 | 770 |
Net servicing fees | 150 | 85 | 101 |
Increase in cash value of life insurance | 289 | 278 | 272 |
Net gain (loss) on sale of other real estate and repossessed assets | (68) | (87) | 54 |
Other income | 449 | 83 | 202 |
Total non-interest income | 4,435 | 4,848 | 4,124 |
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Non-interest expense |
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Salaries and employee benefits | 7,289 | 7,098 | 6,726 |
Net occupancy expenses | 897 | 773 | 809 |
Equipment expenses | 556 | 466 | 427 |
Data processing fees | 593 | 622 | 554 |
Advertising and promotion | 360 | 318 | 312 |
ATM and debit card expense | 471 | 392 | 418 |
Deposit insurance | 257 | 162 | 213 |
Professional fees | 782 | 680 | 396 |
Software subscriptions and maintenance | 594 | 541 | 569 |
Other real estate and repossessed assets | 45 | 45 | 47 |
Other expenses | 1,133 | 840 | 935 |
Total non-interest expense | 12,977 | 11,937 | 11,406 |
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Income before income taxes | 4,592 | 4,754 | 4,231 |
Income tax provision | 585 | 3,294 | 1,025 |
Net income available to common shareholders | $ 4,007 | $1,460 | $ 3,206 |
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Pre-tax pre-provision earnings (1) | $ 5,042 | $5,104 | $ 4,431 |
Average Balances, Net Interest Income, Yield Earned and Rates Paid |
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| 3/31/2017 |
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| Average | Interest | Average | Average | Interest | Average |
| Outstanding | Earned/ | Yield/ | Outstanding | Earned/ | Yield/ |
| Balance | Paid | Rate | Balance | Paid | Rate |
| (000) | (000) | (annualized) | (000) | (000) | (annualized) |
Interest-earning Assets: |
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Interest -bearing deposits | $ 21,686 | $ 67 | 1.24% | $ 21,425 | $ 25 | 0.47% |
Mortgage-backed securities: |
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Available-for-sale | 175,951 | 1,127 | 2.56 | 161,169 | 998 | 2.48 |
Investment securities: |
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Available-for-sale | 130,858 | 1,039 | 3.18 | 91,578 | 722 | 3.15 |
Loans receivable | 1,280,521 | 14,325 | 4.47 | 1,172,551 | 12,249 | 4.18 |
Stock in FHLB of Indianapolis | 11,765 | 190 | 6.46 | 11,117 | 115 | 4.14 |
Total interest-earning assets (2) | 1,620,781 | 16,748 | 4.13 | 1,457,840 | 14,109 | 3.87 |
Non-interest earning assets, net of allowance |
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for loan losses and unrealized gain/loss | 108,909 |
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| 97,384 |
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Total assets | $ 1,729,690 |
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| $ 1,555,224 |
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Interest-Bearing Liabilities: |
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Demand and NOW accounts | $ 344,426 | 437 | 0.51 | $ 292,641 | 200 | 0.27 |
Savings deposits | 157,519 | 5 | 0.01 | 139,435 | 4 | 0.01 |
Money market accounts | 183,643 | 220 | 0.48 | 175,048 | 125 | 0.29 |
Certificate accounts | 405,893 | 1,445 | 1.42 | 385,155 | 1,137 | 1.18 |
Total deposits | 1,091,481 | 2,107 | 0.77 | 992,279 | 1,466 | 0.59 |
Borrowings | 234,946 | 1,057 | 1.80 | 229,919 | 930 | 1.62 |
Total interest-bearing liabilities | 1,326,427 | 3,164 | 0.95 | 1,222,198 | 2,396 | 0.78 |
Non-interest bearing deposit accounts | 223,763 |
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| 176,455 |
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Other liabilities | 16,047 |
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| 15,489 |
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Total liabilities | 1,566,237 |
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| 1,414,142 |
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Stockholders' equity | 163,453 |
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| 141,082 |
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Total liabilities and stockholders' equity | $ 1,729,690 |
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| $ 1,555,224 |
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Net interest earning assets | $ 294,354 |
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| $ 235,642 |
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Net interest income |
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| $ 11,713 |
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Net interest rate spread (4) |
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| 3.18% |
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| 3.09% |
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Net yield on average interest-earning assets (4) |
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| 3.35% |
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| 3.21% |
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Net yield on average interest-earning assets, tax equivalent (3)(4) |
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| 3.42% |
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| 3.32% |
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Average interest-earning assets to |
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average interest-bearing liabilities |
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| 122.19% |
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| 119.28% |
| Three Months | Three Months | Three Months |
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| Ended | Ended | Ended |
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| March 31, | December 31, | March 31, |
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Selected Financial Ratios and Other Financial Data (Unaudited): | 2018 | 2017 | 2017 |
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Share and per share data: |
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Average common shares outstanding: |
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Basic | 7,810,916 | 7,389,394 | 7,332,455 |
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Diluted | 7,965,893 | 7,526,416 | 7,480,481 |
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Per common share: |
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Basic earnings | $ 0.51 | $0.20 | $ 0.44 |
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Diluted earnings | $ 0.50 | $0.19 | $ 0.43 |
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Dividends | $ 0.18 | $0.18 | $ 0.16 |
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Dividend payout ratio | 36.00% | 94.74% | 37.21% |
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Performance Ratios: |
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Return on average assets (ratio of net |
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income to average total assets)(4) | 0.93% | 0.37% | 0.82% |
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Return on average tangible common equity (ratio of net |
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income to average tangible common equity)(4) | 10.53% | 3.89% | 9.23% |
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Interest rate spread information: |
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Average during the period(4) | 3.18% | 3.11% | 3.09% |
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Net interest margin(4)(5) | 3.35% | 3.27% | 3.21% |
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Efficiency Ratio | 72.02% | 70.05% | 72.02% |
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Ratio of average interest-earning |
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assets to average interest-bearing |
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liabilities | 122.19% | 121.44% | 119.28% |
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Allowance for loan losses: |
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Balance beginning of period | $ 12,387 | $12,378 | $ 12,382 |
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Net charge-offs (recoveries): |
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Real Estate: |
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Commercial | 53 | 0 | 0 |
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Commercial construction and development | 0 | 0 | 0 |
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Consumer closed end first mortgage | 12 | 24 | 41 |
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Consumer open end and junior liens | 0 | 0 | 0 |
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Total real estate loans | 65 | 24 | 41 |
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Other loans: |
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Auto | (10) | 5 | 7 |
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Boat/RV | 131 | 208 | 143 |
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Other | 30 | 37 | 16 |
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Commercial and industrial | 84 | 67 | (7) |
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Total other | 235 | 317 | 159 |
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Net charge-offs (recoveries) | 300 | 341 | 200 |
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Provision for loan losses | 450 | 350 | 200 |
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Balance end of period | $ 12,537 | $12,387 | $ 12,382 |
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Net loan charge-offs to average loans (4) | 0.09% | 0.11% | 0.07% |
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| March 31, | December 31, | March 31, |
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| 2018 | 2017 | 2017 |
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Total shares outstanding | 8,574,924 | 7,389,394 | 7,344,233 |
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Tangible book value per common share | $ 18.97 | $ 20.08 | $ 19.13 |
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Tangible common equity to tangible assets | 8.27% | 9.35% | 9.07% |
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Nonperforming assets (000's) |
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Non-accrual loans |
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Real Estate: |
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Commercial | $ 1,415 | $ 1,107 | $ 1,054 |
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Commercial construction and development | 17 | - | - |
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Consumer closed end first mortgage | 3,633 | 3,409 | 3,179 |
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Consumer open end and junior liens | 223 | 309 | 286 |
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Total real estate loans | 5,288 | 4,825 | 4,519 |
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Other loans: |
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Auto | 11 | 22 | 5 |
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Boat/RV | 367 | 198 | 128 |
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Other | 21 | 16 | 34 |
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Commercial and industrial | 208 | 159 | 86 |
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Total other | 607 | 395 | 253 |
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Total non-accrual loans | 5,895 | 5,220 | 4,772 |
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Accruing loans past due 90 days or more | 38 | 31 | 0 |
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Total nonperforming loans | 5,933 | 5,251 | 4,772 |
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Real estate owned | 1,390 | 251 | 403 |
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Other repossessed assets | 363 | 482 | 631 |
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Total nonperforming assets | $ 7,686 | $ 5,984 | $ 5,806 |
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Performing restructured loans (6) | $ 913 | $ 1,389 | $ 1,816 |
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Asset Quality Ratios: |
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Non-performing assets to total assets | 0.39% | 0.38% | 0.37% |
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Non-performing loans to total loans | 0.41% | 0.44% | 0.41% |
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Allowance for loan losses to non-performing loans | 211% | 236% | 259% |
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Allowance for loan losses to loans receivable | 0.86% | 1.05% | 1.06% |
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| Three Months | Three Months | Three Months |
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| Ended | Ended | Ended |
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| March 31, | December 31, | March 31, |
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Non-GAAP Measurements (7) | 2018 | 2017 | 2017 |
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Total stockholders' equity (GAAP) | $ 191,062 | $ 150,282 | $ 142,598 |
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Less: Intangible assets | 28,378 | 1,927 | 2,107 |
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Tangible common equity (non-GAAP) | $ 162,684 | $ 148,355 | $ 140,491 |
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Total assets (GAAP) | $ 1,996,105 | $ 1,588,932 | $ 1,551,421 |
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Less: Intangible assets | 28,378 | 1,927 | 2,107 |
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Tangible assets (non-GAAP) | $ 1,967,727 | $ 1,587,005 | $ 1,549,314 |
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Tangible common equity to tangible assets (non-GAAP) | 8.27% | 9.35% | 9.07% |
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Book value per common share (GAAP) | $ 22.28 | $ 20.34 | $ 19.42 |
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Less: Effect of intangible assets | 3.31 | 0.26 | 0.29 |
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Tangible book value per common share | $ 18.97 | $ 20.08 | $ 19.13 |
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Return on average stockholders' equity (GAAP) | 9.81% | 3.84% | 9.09% |
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Add: Effect of intangible assets | 0.72% | 0.05% | 0.14% |
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Return on average tangible common equity (non-GAAP) | 10.53% | 3.89% | 9.23% |
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Total tax free interest income (GAAP) |
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Loans receivable | $ 100 | $ 104 | $ 107 |
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Investment securities | 944 | 743 | 647 |
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Total tax free interest income | $ 1,044 | $ 847 | $ 754 |
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Total tax free interest income, gross (at 21%, or 34% prior to 2018) | $ 1,322 | $ 1,283 | $ 1,142 |
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Net interest margin, tax equivalent (non-GAAP) |
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Net interest income (GAAP) | $ 13,584 | $ 12,193 | $ 11,713 |
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Add: Tax effect tax free interest income (3) | 278 | 436 | 388 |
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Net interest income (non-GAAP) | 13,862 | 12,629 | 12,101 |
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Divided by: Average interest-earning assets | 1,620,871 | 1,489,596 | 1,457,840 |
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Net interest margin, tax equivalent | 3.42% | 3.39% | 3.32% |
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One-time merger related expenses |
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Non-tax deductible | $ 220 |
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Tax deductible | 385 |
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Total one-time merger related expenses | $ 605 |
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Subract tax benefit | 81 |
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Net one-time merger related expenses | $ 524 |
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Net income (GAAP) | 4,007 |
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Net income with out one-time merger expenses (non-GAAP) | $ 4,531 |
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Adjusted diluted earnings per share |
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Net income without one-time merger expenses (non-GAAP) | $ 4,531 |
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Average diluted shares | 7,965,893 |
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Adjusted diluted earnings per share (non-GAAP) | $ 0.57 |
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Adjusted return on assets |
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Net income with out one-time merger expenses (non-GAAP) | $ 4,531 |
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Average assets | 1,729,690 |
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Adjusted return on average assets (non-GAAP) | 1.05% |
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Adjusted return on tangible common equity |
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Net income with out one-time merger expenses (non-GAAP) | $ 4,531 |
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Average tangible common equity | 152,276 |
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Adjusted return on average tangible common equity (non-GAAP) | 11.90% |
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Ratio Summary: |
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Return on average equity | 9.81% | 3.84% | 9.09% |
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Return on average tangible common equity | 10.53% | 3.89% | 9.23% |
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Return on average assets | 0.93% | 0.37% | 0.82% |
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Tangible common equity to tangible assets | 8.27% | 9.35% | 9.07% |
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Net interest margin, tax equivalent | 3.42% | 3.39% | 3.32% |
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(1) Pre-tax pre-provision income is calculated by taking net income available to common shareholders and adding income tax provision and provision for loan losses. |
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(2) Calculated net of deferred loan fees, loan discounts, loans in process and loss reserves. |
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(3) Tax equivalent margin is calculated by taking non-taxable interest and grossing up by 21% applicable tax rate for 2018 and 34% applicable tax rate prior to 2018. |
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(4) Ratios for the three month periods have been annualized. |
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(5) Net interest income divided by average interest earning assets. |
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(6) Performing restructured loans are excluded from non-performing ratios. Restructured loans that are on non-accrual are in the non-accrual loan categories. |
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(7) This earnings release and selected financials contain GAAP financial measures and non-GAAP financial measures where management believes it to be helpful in understanding MutualFirst's results of operations or financial position. This table shows non-GAAP financial measures and the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure. |
CONTACT: Chris Cook, Senior Vice President, Treasurer and CFO of, MutualFirst Financial, Inc., (765) 747-2945