Parent Company Only Financial Statements |
Parent Company Only Financial Statements The following balance sheets, statements of income and statements of cash flows for Live Oak Bancshares, Inc. should be read in conjunction with the consolidated financial statements and the notes thereto. Balance Sheets | | | | | | | | | | 2016 | | 2015 | Assets | | | | Cash and cash equivalents | $ | 14,029 |
| | $ | 74,991 |
| Investment in subsidiaries | 174,957 |
| | 108,242 |
| Premises & equipment, net | 30,290 |
| | 31,320 |
| Other assets | 32,391 |
| | 14,549 |
| Total assets | $ | 251,667 |
| | $ | 229,102 |
| | | | | Liabilities and Shareholders' Equity | | | | Long term borrowings | $ | 27,843 |
| | $ | 28,375 |
| Other liabilities | 977 |
| | 1,239 |
| Total liabilities | 28,820 |
| | 29,614 |
| | | | | Shareholders' equity: | | | | Common stock | 199,981 |
| | 187,507 |
| Retained earnings | 23,518 |
| | 12,140 |
| Accumulated other comprehensive loss | (652 | ) | | (192 | ) | Total shareholders' equity attributed to Live Oak Bancshares, Inc. | 222,847 |
| | 199,455 |
| Noncontrolling interest | — |
| | 33 |
| Total equity | 222,847 |
| | 199,488 |
| Total liabilities & shareholders' equity | $ | 251,667 |
| | $ | 229,102 |
|
Statements of Income | | | | | | | | | | | | | | 2016 | | 2015 | | 2014 | Interest income | $ | 50 |
| | $ | 70 |
| | $ | 49 |
| Interest expense | 964 |
| | 1,156 |
| | 864 |
| Net interest loss | (914 | ) | | (1,086 | ) | | (815 | ) | Noninterest income: | | | | | | Dividends from banking subsidiary | — |
| | 4,205 |
| | 10,368 |
| Equity in loss of non-consolidated affiliates | — |
| | — |
| | (2,221 | ) | Gain on sale of investment in non-consolidated affiliate | — |
| | 3,782 |
| | — |
| Other noninterest income | 2,041 |
| | 1,360 |
| | 260 |
| Total noninterest income | 2,041 |
| | 9,347 |
| | 8,407 |
| Noninterest expense: | | | | | | Salaries and employee benefits | 12,785 |
| | 2,592 |
| | 5,028 |
| Professional services expense | 675 |
| | 812 |
| | 2,323 |
| Renewable energy tax credit investment impairment | 3,197 |
| | — |
| | — |
| Other expense | 2,076 |
| | 1,719 |
| | 643 |
| Total noninterest expense | 18,733 |
| | 5,123 |
| | 7,994 |
| Net (loss) income before equity in undistributed income of subsidiaries | (17,606 | ) | | 3,138 |
| | (402 | ) | Income tax benefit | (10,065 | ) | | (41 | ) | | (755 | ) | Net (loss) income | (7,541 | ) | | 3,179 |
| | 353 |
| Equity in undistributed income of subsidiaries in excess of dividends from subsidiaries | 21,305 |
| | 17,422 |
| | 9,695 |
| Net income | 13,764 |
| | 20,601 |
| | 10,048 |
| Net loss attributable to noncontrolling interest | 9 |
| | 24 |
| | — |
| Net income attributable to Live Oak Bancshares, Inc. | $ | 13,773 |
| | $ | 20,625 |
| | $ | 10,048 |
|
Statements of Cash Flows | | | | | | | | | | | | | | 2016 | | 2015 | | 2014 | Cash flows from operating activities | | | | | | Net income | $ | 13,764 |
| | $ | 20,601 |
| | $ | 10,048 |
| Adjustments to reconcile net income to net cash (used in) provided by operating activities: | | | | | | Equity in undistributed net income of subsidiaries in excess of dividends of subsidiaries | (21,305 | ) | | (17,422 | ) | | (9,695 | ) | Depreciation | 1,173 |
| | 739 |
| | 112 |
| Deferred income tax | (2,695 | ) | | 582 |
| | (305 | ) | Equity in loss of non-consolidated affiliates | — |
| | — |
| | 2,221 |
| Renewable energy tax credit investment impairment | 3,197 |
| | — |
| | — |
| Stock option based compensation expense | 2,349 |
| | 1,277 |
| | 272 |
| Restricted stock expense | 9,724 |
| | 148 |
| | 143 |
| Stock grants | — |
| | — |
| | 2,992 |
| Gain on sale of investment in non-consolidated affiliate | — |
| | (3,782 | ) | | — |
| Net change in other assets | (17,930 | ) | | (8,785 | ) | | (6,899 | ) | Net change in other liabilities | (358 | ) | | 1,422 |
| | 1,656 |
| Net cash (used in) provided by operating activities | (12,081 | ) | | (5,220 | ) | | 545 |
| Cash flows from investing activities | | | | | | Capital investment in subsidiaries | (45,870 | ) | | (28,250 | ) | | (950 | ) | Capital investment in non-consolidated affiliates | — |
| | — |
| | (6,614 | ) | Proceeds from sale of investment in non-consolidated affiliate | — |
| | 9,896 |
| | — |
| Capital contribution from non-controlling interest | — |
| | 22 |
| | — |
| Purchases of premises and equipment | (143 | ) | | (11,397 | ) | | (20,339 | ) | Net cash used in investing activities | (46,013 | ) | | (29,729 | ) | | (27,903 | ) | Cash flows from financing activities | | | | | | Proceeds from borrowings | — |
| | 12,960 |
| | 35,224 |
| Repayments of borrowings | (532 | ) | | (26,609 | ) | | (571 | ) | Stock option exercises | 401 |
| | 239 |
| | 177 |
| Sale of common stock, net | — |
| | 87,171 |
| | 75,235 |
| Shareholder dividend distributions | (2,737 | ) | | (2,732 | ) | | (43,848 | ) | Net cash (used in) provided by financing activities | (2,868 | ) | | 71,029 |
| | 66,217 |
| Net change in cash and cash equivalents | (60,962 | ) | | 36,080 |
| | 38,859 |
| Cash and cash equivalents at beginning of year | 74,991 |
| | 38,911 |
| | 52 |
| Cash and cash equivalents at end of year | $ | 14,029 |
| | $ | 74,991 |
| | $ | 38,911 |
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