EX-99.1 2 cstr-ex991_7.htm EX-99.1 cstr-ex991_7.htm

 

Exhibit 99.1

EARNINGS RELEASE

 

CONTACT

 

Rob Anderson

Chief Financial Officer and Chief Administrative Officer

(615) 732-6470

 

 

 

CAPSTAR FINANCIAL HOLDINGS, INC. ANNOUNCES FOURTH QUARTER 2016 RESULTS

 

NASHVILLE, TN, January 30, 2017/GlobeNewswire/ -- CapStar Financial Holdings, Inc. (“CapStar”) (NASDAQ:CSTR) reported net income of $2.9 million, or $0.23 per share on a fully diluted basis, for the three months ended December 31, 2016, compared to $2.1 million, or $0.20 per share, for the three months ended December 31, 2015.  For the year ended December 31, 2016, CapStar reported net income of $9.1 million, or $0.81 per share on a fully diluted basis, compared to $7.6 million, or $0.73 per share, for the year ended December 31, 2015.

 

“CapStar experienced an exciting year in 2016 with the completion of our initial public offering in September,” said Claire W. Tucker, president and chief executive officer of CapStar “Our team of experienced bankers did an excellent job delivering sound, profitable growth as evidenced by 19% growth in loans and leases and 38% growth in demand and NOW deposits. In addition, 2016 was a record year for net income, excluding the reversal of our valuation allowance of our deferred tax asset in 2012.”

Profitability

 

•

Return on average assets ("ROAA") for the three months ended December 31, 2016 was 0.88% compared to 0.73% for the same period in 2015.  ROAA for 2016 was 0.72% compared to 0.66% in 2015.

 

 

•

Return on average equity ("ROAE") for the three months ended December 31, 2016 was 8.35% compared to 7.61% for the same period in 2015.  ROAE for 2016 was 7.57% compared to 7.08% in 2015.

 

 

•

The net interest margin (“NIM”) for the three months ended December 31, 2016 was 3.17% compared to 3.22% for the same period in 2015.  NIM for 2016 was 3.17% compared to 3.19% in 2015.

 

 

•

The efficiency ratio for the three months ended December 31, 2016 was 65.8% compared to 68.1% for the same period in 2015.  The efficiency ratio for 2016 was 66.9% compared to 71.0% in 2015.

 

Growth

 

•

Average gross loans and leases for the quarter increased 18.7%, to $939 million for the three months ended December 31, 2016 compared to $791 million for the same period in 2015.

 

 

•

Average total deposits for the quarter increased 17.0%, to $1.1 billion for the three months ended December 31, 2016 compared to $973 million for the same period in 2015.

 

 

•

Average Demand and NOW deposits for the quarter increased 38.1%, to $482 million for the three months ended December 31, 2016 compared to $349 million for the same period in 2015.

 

 

 

•

Mortgage loan originations increased 36.2%, to $128 million for the three months ended December 31, 2016 compared to $94 million for the same period in 2015.

“By many measures, 2016 was a successful year. Our team produced 13% revenue growth, contained expense growth to 7%, maintained sound credit quality, and delivered 20% net income growth.  We believe our shareholders will be similarly pleased with these results,” said Rob Anderson, chief financial officer and chief administrative officer of CapStar.    

 

Soundness

 

•

The allowance for loan and lease losses represented 1.24% of total loans at December 31, 2016 compared to 1.25% at December 31, 2015.

 

 

•

Non-performing assets as a percent of total loans and other real estate owned was 0.39% at December 31, 2016 compared to 0.36% at December 31, 2015.

 

 

•

Net recoveries totaled 0.02% for the three months ended December 31, 2016 compared to 0.04% for the same period in 2015.  Net charge-offs for the year ended December 31, 2016 totaled 0.15% compared to 0.36% for the same period in 2015.

 

 

•

The total risk based capital ratio increased to 12.6% at December 31, 2016 compared to 11.42% at December 31, 2015.

 

Conference Call and Webcast Information

 

CapStar will host a conference call and webcast at 5:00 p.m. Central Time on Monday, January 30, 2017. During the call, management will review the fourth quarter results and operational highlights. Interested parties may listen to the call by dialing (844) 412-1002. The conference ID number is 50977213. A simultaneous webcast may be accessed on CapStar’s website at www.capstarbank.com. An archived version of the webcast will be available in the same location shortly after the live call has ended.

 

About CapStar Financial Holdings, Inc.

 

CapStar Financial Holdings, Inc. is a bank holding company headquartered in Nashville, Tennessee, and operates primarily through its wholly owned subsidiary, CapStar Bank, a Tennessee-chartered state bank.  CapStar Bank is a commercial bank that seeks to establish and maintain comprehensive relationships with its clients by delivering customized and creative banking solutions and superior client service.  As of December 31, 2016, on a consolidated basis, CapStar had total assets of $1.3 billion, net loans of $923.6 million, total deposits of $1.1 billion, and shareholders’ equity of $139.2 million.  Visit www.capstarbank.com for more information.

 

Forward-Looking Statements

 

Certain statements in this earnings release are forward-looking statements that reflect CapStar’s current views with respect to, among other things, future events and CapStar’s financial and operational performance. These statements are often, but not always, made through the use of words or phrases such as “may,” “should,” “could,” “predict,” “potential,” “believe,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “estimate,” “intend,” “plan,” “project,” “projection,” “forecast,” “goal,” “target,” “would,” and “outlook,” or the negative version of those words or other comparable words of a future or forward-looking nature. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about CapStar’s industry, management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond CapStar’s control. The inclusion of these forward-looking statements should not be regarded as a representation by CapStar or any other person that such expectations, estimates and projections will be achieved. Accordingly, CapStar cautions you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties that are difficult to predict. Although CapStar believes that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results

 

expressed or implied by the forward-looking statements. There are or will be important factors that could cause CapStar’s actual results to differ materially from those indicated in these forward-looking statements, including, but not limited to, the risk factors previously disclosed in the “Risk Factors” section included in our prospectus filed with the SEC on September 23, 2016 pursuant to Rule 424(b)(4) under the Securities Act.   If one or more events related to these or other risks or uncertainties materialize, or if CapStar’s underlying assumptions prove to be incorrect, actual results may differ materially from our forward-looking statements. Accordingly, you should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date of this earnings release, and CapStar does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law. New risks and uncertainties may emerge from time to time, and it is not possible for CapStar to predict their occurrence or how they will affect CapStar.

 

 

 

CAPSTAR FINANCIAL HOLDINGS, INC. AND SUBSIDIARY

Consolidated Statements of Income (unaudited)

Fourth Quarter 2016 Earnings Release

 

Three Months Ended

 

 

Year Ended

 

 

 

December 31,

 

 

December 31,

 

 

 

2016

 

 

2015

 

 

2016

 

 

2015

 

Interest income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans, including fees

 

$

10,680,975

 

 

$

9,009,779

 

 

$

40,212,379

 

 

$

34,844,200

 

Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable

 

 

851,621

 

 

 

874,971

 

 

 

3,447,684

 

 

 

4,152,507

 

Tax-exempt

 

 

316,800

 

 

 

277,980

 

 

 

1,158,061

 

 

 

1,080,008

 

Federal funds sold

 

 

7,052

 

 

 

5,342

 

 

 

19,159

 

 

 

18,480

 

Restricted equity securities

 

 

71,332

 

 

 

67,997

 

 

 

280,985

 

 

 

268,171

 

Interest-bearing deposits in financial institutions

 

 

79,454

 

 

 

35,304

 

 

 

276,488

 

 

 

140,367

 

Total interest income

 

 

12,007,234

 

 

 

10,271,373

 

 

 

45,394,756

 

 

 

40,503,733

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing deposits

 

 

393,486

 

 

 

214,335

 

 

 

1,489,470

 

 

 

748,082

 

Savings and money market accounts

 

 

718,660

 

 

 

693,235

 

 

 

2,859,064

 

 

 

2,732,985

 

Time deposits

 

 

518,398

 

 

 

466,514

 

 

 

2,084,771

 

 

 

2,031,267

 

Federal funds purchased

 

 

694

 

 

 

9,083

 

 

 

21,612

 

 

 

23,687

 

Securities sold under agreements to repurchase

 

 

—

 

 

 

1,894

 

 

 

1,311

 

 

 

14,625

 

Federal Home Loan Bank advances

 

 

195,723

 

 

 

48,865

 

 

 

475,308

 

 

 

179,866

 

Total interest expense

 

 

1,826,961

 

 

 

1,433,926

 

 

 

6,931,536

 

 

 

5,730,512

 

Net interest income

 

 

10,180,273

 

 

 

8,837,447

 

 

 

38,463,220

 

 

 

34,773,221

 

Provision for loan and lease losses

 

 

69,884

 

 

 

350,000

 

 

 

2,828,633

 

 

 

1,650,675

 

Net interest income after provision for loan and lease losses

 

 

10,110,389

 

 

 

8,487,447

 

 

 

35,634,587

 

 

 

33,122,546

 

Noninterest income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on deposit accounts

 

 

302,831

 

 

 

242,282

 

 

 

1,108,153

 

 

 

909,698

 

Loan commitment fees

 

 

217,042

 

 

 

191,032

 

 

 

1,118,565

 

 

 

822,162

 

Net gain (loss) on sale of securities

 

 

—

 

 

 

(40,561

)

 

 

120,873

 

 

 

55,023

 

Mortgage banking income

 

 

2,033,459

 

 

 

1,262,590

 

 

 

7,375,064

 

 

 

5,961,766

 

Other noninterest income

 

 

400,689

 

 

 

262,814

 

 

 

1,361,794

 

 

 

1,134,861

 

Total noninterest income

 

 

2,954,021

 

 

 

1,918,157

 

 

 

11,084,449

 

 

 

8,883,510

 

Noninterest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

5,185,016

 

 

 

4,650,035

 

 

 

20,460,510

 

 

 

19,278,328

 

Data processing and software

 

 

542,300

 

 

 

539,752

 

 

 

2,372,854

 

 

 

2,316,707

 

Professional fees

 

 

405,947

 

 

 

355,255

 

 

 

1,553,680

 

 

 

1,469,031

 

Occupancy

 

 

365,741

 

 

 

365,994

 

 

 

1,498,405

 

 

 

1,538,157

 

Equipment

 

 

442,547

 

 

 

397,072

 

 

 

1,743,340

 

 

 

1,598,156

 

Regulatory fees

 

 

348,427

 

 

 

225,994

 

 

 

1,090,735

 

 

 

914,959

 

Other operating

 

 

1,351,527

 

 

 

788,918

 

 

 

4,409,324

 

 

 

3,861,435

 

Total noninterest expense

 

 

8,641,505

 

 

 

7,323,020

 

 

 

33,128,848

 

 

 

30,976,773

 

Income before income taxes

 

 

4,422,905

 

 

 

3,082,584

 

 

 

13,590,188

 

 

 

11,029,283

 

Income tax expense

 

 

1,495,445

 

 

 

989,615

 

 

 

4,493,410

 

 

 

3,469,847

 

Net income

 

$

2,927,460

 

 

$

2,092,969

 

 

$

9,096,778

 

 

$

7,559,436

 

Per share information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic net income per common share

 

$

0.26

 

 

$

0.24

 

 

$

0.98

 

 

$

0.89

 

Diluted net income per common share

 

$

0.23

 

 

$

0.20

 

 

$

0.81

 

 

$

0.73

 

Weighted average shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

11,194,534

 

 

 

8,574,964

 

 

 

9,328,236

 

 

 

8,538,970

 

Diluted

 

 

12,787,677

 

 

 

10,434,171

 

 

 

11,212,026

 

 

 

10,381,895

 

 

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

 

CAPSTAR FINANCIAL HOLDINGS, INC. AND SUBSIDIARY

Selected Quarterly Financial Data (unaudited)

Fourth Quarter 2016 Earnings Release

 

Five Quarter Comparison

 

 

 

12/31/16

 

 

9/30/16

 

 

6/30/16

 

 

3/31/16

 

 

12/31/15

 

Income Statement Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

 

$

10,180,273

 

 

$

10,125,515

 

 

$

9,201,155

 

 

$

8,956,275

 

 

$

8,837,447

 

Provision for loan and lease losses

 

 

69,884

 

 

 

1,638,669

 

 

 

182,863

 

 

 

937,216

 

 

 

350,000

 

Net interest income after provision for loan and lease losses

 

 

10,110,389

 

 

 

8,486,845

 

 

 

9,018,292

 

 

 

8,019,059

 

 

 

8,487,447

 

Service charges on deposit accounts

 

 

302,831

 

 

 

276,751

 

 

 

303,144

 

 

 

225,427

 

 

 

242,282

 

Loan commitment fees

 

 

217,042

 

 

 

328,785

 

 

 

142,618

 

 

 

430,122

 

 

 

191,032

 

Net gain (loss) on sale of securities

 

 

—

 

 

 

(3,964

)

 

 

85,876

 

 

 

38,961

 

 

 

(40,561

)

Mortgage banking income

 

 

2,033,459

 

 

 

2,339,310

 

 

 

1,654,843

 

 

 

1,347,452

 

 

 

1,262,590

 

Other noninterest income

 

 

400,689

 

 

 

250,582

 

 

 

381,711

 

 

 

328,809

 

 

 

262,814

 

Total noninterest income

 

 

2,954,021

 

 

 

3,191,463

 

 

 

2,568,192

 

 

 

2,370,772

 

 

 

1,918,157

 

Salaries and employee benefits

 

 

5,185,016

 

 

 

5,119,356

 

 

 

4,938,383

 

 

 

5,217,755

 

 

 

4,650,035

 

Data processing and software

 

 

542,300

 

 

 

627,335

 

 

 

634,742

 

 

 

568,477

 

 

 

539,752

 

Professional fees

 

 

405,947

 

 

 

390,862

 

 

 

426,132

 

 

 

330,738

 

 

 

355,255

 

Occupancy

 

 

365,741

 

 

 

351,691

 

 

 

371,092

 

 

 

409,881

 

 

 

365,994

 

Equipment

 

 

442,547

 

 

 

458,053

 

 

 

436,168

 

 

 

406,571

 

 

 

397,072

 

Regulatory fees

 

 

348,427

 

 

 

250,424

 

 

 

264,625

 

 

 

227,260

 

 

 

225,994

 

Other operating

 

 

1,351,527

 

 

 

1,329,084

 

 

 

879,652

 

 

 

849,059

 

 

 

788,918

 

Total noninterest expense

 

 

8,641,505

 

 

 

8,526,805

 

 

 

7,950,794

 

 

 

8,009,741

 

 

 

7,323,020

 

Net income before income tax expense

 

 

4,422,905

 

 

 

3,151,504

 

 

 

3,635,690

 

 

 

2,380,090

 

 

 

3,082,584

 

Income tax expense

 

 

1,495,445

 

 

 

1,042,282

 

 

 

1,159,438

 

 

 

796,245

 

 

 

989,615

 

Net income

 

$

2,927,460

 

 

$

2,109,222

 

 

$

2,476,252

 

 

$

1,583,845

 

 

$

2,092,969

 

Weighted average shares - basic

 

 

11,194,534

 

 

 

8,792,665

 

 

 

8,682,438

 

 

 

8,628,683

 

 

 

8,574,964

 

Weighted average shares - diluted

 

 

12,787,677

 

 

 

10,799,536

 

 

 

10,675,916

 

 

 

10,572,193

 

 

 

10,434,171

 

Net income per share, basic

 

$

0.26

 

 

$

0.24

 

 

$

0.29

 

 

$

0.18

 

 

$

0.24

 

Net income per share, diluted

 

 

0.23

 

 

 

0.20

 

 

 

0.23

 

 

 

0.15

 

 

 

0.20

 

Balance Sheet Data (at period end):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

80,110,806

 

 

$

73,450,735

 

 

$

97,546,046

 

 

$

76,706,579

 

 

$

100,184,841

 

Securities available for sale

 

 

182,354,987

 

 

 

167,213,109

 

 

 

171,336,596

 

 

 

189,807,985

 

 

 

173,382,957

 

Securities held to maturity

 

 

46,863,640

 

 

 

46,227,968

 

 

 

43,331,042

 

 

 

42,953,364

 

 

 

43,093,951

 

Loans held for sale

 

 

42,110,581

 

 

 

61,251,662

 

 

 

57,014,256

 

 

 

29,530,174

 

 

 

35,729,353

 

Total loans and leases

 

 

935,250,703

 

 

 

924,030,515

 

 

 

887,437,485

 

 

 

837,690,395

 

 

 

808,396,064

 

Allowance for loan and lease losses

 

 

(11,633,531

)

 

 

(11,510,464

)

 

 

(10,453,603

)

 

 

(10,298,559

)

 

 

(10,131,729

)

Total assets

 

 

1,333,675,063

 

 

 

1,318,057,325

 

 

 

1,310,417,841

 

 

 

1,223,179,646

 

 

 

1,206,800,280

 

Non-interest-bearing deposits

 

 

197,787,618

 

 

 

191,469,462

 

 

 

193,541,662

 

 

 

220,686,364

 

 

 

190,580,468

 

Interest-bearing deposits

 

 

930,934,634

 

 

 

944,590,330

 

 

 

949,759,113

 

 

 

865,650,400

 

 

 

847,879,843

 

Federal Home Loan Bank advances

 

 

55,000,000

 

 

 

30,000,000

 

 

 

40,000,000

 

 

 

15,000,000

 

 

 

45,000,000

 

Total liabilities

 

 

1,194,467,666

 

 

 

1,179,630,825

 

 

 

1,196,099,660

 

 

 

1,112,320,842

 

 

 

1,098,214,173

 

Shareholders' equity

 

$

139,207,396

 

 

$

138,426,500

 

 

$

114,318,181

 

 

$

110,858,804

 

 

$

108,586,107

 

Total common shares outstanding

 

 

11,204,515

 

 

 

11,191,021

 

 

 

8,683,902

 

 

 

8,677,902

 

 

 

8,577,051

 

Total preferred shares outstanding

 

 

878,049

 

 

 

878,049

 

 

 

1,609,756

 

 

 

1,609,756

 

 

 

1,609,756

 

Book value per common share

 

$

11.62

 

 

$

11.57

 

 

$

11.26

 

 

$

10.87

 

 

$

10.74

 

Market value per common share (1)

 

 

21.96

 

 

 

16.92

 

 

 

-

 

 

 

-

 

 

 

-

 

Capital ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total risk based capital

 

 

12.60

%

 

 

12.45

%

 

 

10.67

%

 

 

11.26

%

 

 

11.42

%

Tier 1 risk based capital

 

 

11.61

%

 

 

11.46

%

 

 

9.73

%

 

 

10.26

%

 

 

10.41

%

Common equity tier 1 capital

 

 

10.90

%

 

 

10.75

%

 

 

8.34

%

 

 

8.75

%

 

 

8.89

%

Leverage

 

 

10.46

%

 

 

10.47

%

 

 

8.90

%

 

 

9.16

%

 

 

9.33

%

 

(1) CapStar Financial Holdings, Inc. completed its initial public offering during the third quarter of 2016.  As such, market values per share of common stock are not provided for previous periods.

 

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

 

 

CAPSTAR FINANCIAL HOLDINGS, INC. AND SUBSIDIARY

Selected Quarterly Financial Data (unaudited)

Fourth Quarter 2016 Earnings Release

 

 

Five Quarter Comparison

 

 

 

12/31/16

 

 

9/30/16

 

 

6/30/16

 

 

3/31/16

 

 

12/31/15

 

Average Balance Sheet Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average cash and cash equivalents

 

$

66,757,676

 

 

$

55,054,076

 

 

$

56,458,924

 

 

$

67,706,162

 

 

$

63,187,062

 

Average investment securities

 

 

226,032,691

 

 

 

218,462,999

 

 

 

232,587,954

 

 

 

220,281,801

 

 

 

216,982,746

 

Average loans held for sale

 

 

52,483,255

 

 

 

63,640,373

 

 

 

43,055,160

 

 

 

29,798,738

 

 

 

27,338,722

 

Average loans and leases

 

 

938,887,232

 

 

 

918,301,556

 

 

 

873,984,373

 

 

 

822,111,590

 

 

 

790,899,319

 

Average assets

 

 

1,324,620,495

 

 

 

1,296,870,515

 

 

 

1,247,076,866

 

 

 

1,181,427,683

 

 

 

1,140,126,959

 

Average interest bearing deposits

 

 

942,922,989

 

 

 

944,794,017

 

 

 

909,027,610

 

 

 

837,952,639

 

 

 

781,893,266

 

Average total deposits

 

 

1,138,778,930

 

 

 

1,132,037,604

 

 

 

1,093,452,418

 

 

 

1,027,457,215

 

 

 

973,109,277

 

Average Federal Home Loan Bank advances

 

 

33,478,261

 

 

 

29,565,217

 

 

 

27,417,582

 

 

 

28,021,978

 

 

 

39,891,304

 

Average liabilities

 

 

1,185,091,445

 

 

 

1,179,480,497

 

 

 

1,134,506,177

 

 

 

1,070,607,967

 

 

 

1,030,995,222

 

Average shareholders' equity

 

 

139,529,051

 

 

 

117,390,018

 

 

 

112,570,689

 

 

 

110,819,715

 

 

 

109,131,737

 

Performance Ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Annualized return on average assets

 

 

0.88

%

 

 

0.65

%

 

 

0.80

%

 

 

0.54

%

 

 

0.73

%

Annualized return on average equity

 

 

8.35

%

 

 

7.15

%

 

 

8.85

%

 

 

5.75

%

 

 

7.61

%

Net interest margin

 

 

3.17

%

 

 

3.23

%

 

 

3.09

%

 

 

3.18

%

 

 

3.22

%

Annualized Non-interest income to average assets

 

 

0.89

%

 

 

0.98

%

 

 

0.83

%

 

 

0.81

%

 

 

0.67

%

Efficiency ratio

 

 

65.8

%

 

 

64.0

%

 

 

67.6

%

 

 

70.7

%

 

 

68.1

%

Loans by Type:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

379,619,518

 

 

$

389,717,893

 

 

$

389,087,927

 

 

$

381,548,046

 

 

$

353,442,069

 

Commercial real estate - owner occupied

 

 

106,734,888

 

 

 

108,920,619

 

 

 

104,345,021

 

 

 

104,243,080

 

 

 

108,132,048

 

Commercial real estate - non-owner occupied

 

 

195,586,977

 

 

 

163,625,512

 

 

 

171,426,074

 

 

 

161,466,867

 

 

 

143,064,438

 

Construction and development

 

 

94,491,256

 

 

 

91,366,437

 

 

 

63,744,151

 

 

 

52,479,785

 

 

 

52,521,802

 

Consumer real estate

 

 

97,014,959

 

 

 

96,918,661

 

 

 

91,090,508

 

 

 

90,393,165

 

 

 

93,785,260

 

Consumer

 

 

5,974,465

 

 

 

7,045,978

 

 

 

7,486,178

 

 

 

8,291,223

 

 

 

8,668,242

 

Other

 

 

56,795,954

 

 

 

67,805,899

 

 

 

61,669,965

 

 

 

40,698,880

 

 

 

50,196,845

 

Asset Quality Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for loan and lease losses to total loans

 

 

1.24

%

 

 

1.25

%

 

 

1.18

%

 

 

1.23

%

 

 

1.25

%

Allowance for loan and lease losses to non-performing loans

 

 

321

%

 

 

279

%

 

 

179

%

 

 

184

%

 

 

377

%

Nonaccrual loans

 

$

3,619,422

 

 

$

4,122,942

 

 

$

5,829,423

 

 

$

5,586,503

 

 

$

2,689,000

 

Troubled debt restructurings

 

 

1,271,897

 

 

 

1,288,324

 

 

 

-

 

 

 

-

 

 

 

125,000

 

Loans - 90 days past due & still accruing

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Total non-performing loans

 

 

3,619,422

 

 

 

4,122,942

 

 

 

5,829,423

 

 

 

5,586,503

 

 

 

2,689,000

 

OREO and repossessed assets

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

216,254

 

Total non-performing assets

 

 

3,619,422

 

 

 

4,122,942

 

 

 

5,829,423

 

 

 

5,586,503

 

 

 

2,905,000

 

Non-performing loans to total loans

 

 

0.39

%

 

 

0.45

%

 

 

0.66

%

 

 

0.67

%

 

 

0.33

%

Non-performing assets to total assets

 

 

0.27

%

 

 

0.31

%

 

 

0.44

%

 

 

0.46

%

 

 

0.24

%

Non-performing assets to total loans and OREO

 

 

0.39

%

 

 

0.45

%

 

 

0.66

%

 

 

0.67

%

 

 

0.36

%

Annualized net charge-offs to average loans

 

 

-0.02

%

 

 

0.25

%

 

 

0.01

%

 

 

0.38

%

 

 

-0.04

%

Net charge-offs (recoveries)

 

$

(53,183

)

 

$

581,809

 

 

$

27,819

 

 

$

770,386

 

 

$

(81,689

)

Other Information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Full-time equivalent employees

 

170

 

 

168

 

 

166

 

 

163

 

 

162

 

 

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

 

 

CAPSTAR FINANCIAL HOLDINGS, INC. AND SUBSIDIARY

Analysis of Interest Income and Expense, Rates and Yields (unaudited)

Fourth Quarter 2016 Earnings Release

  

 

For the Three Months Ended December 31,

 

 

 

2016

 

 

2015

 

 

 

Average

Outstanding

Balance

 

 

Interest

Income/

Expense

 

 

Average

Yield/

Rate

 

 

Average

Outstanding

Balance

 

 

Interest

Income/

Expense

 

 

Average

Yield/

Rate

 

Interest-Earning Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans (1)

 

$

938,887

 

 

$

10,198

 

 

 

4.32

%

 

$

790,899

 

 

$

8,756

 

 

 

4.39

%

Loans held for sale

 

 

52,483

 

 

 

483

 

 

 

3.66

%

 

 

27,339

 

 

 

254

 

 

 

3.69

%

Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable investment securities

 

 

172,771

 

 

 

923

 

 

 

2.14

%

 

 

175,527

 

 

 

943

 

 

 

2.15

%

Investment securities exempt from

   federal income tax (2)

 

 

53,262

 

 

 

317

 

 

 

2.38

%

 

 

41,456

 

 

 

278

 

 

 

2.68

%

Total securities

 

 

226,033

 

 

 

1,240

 

 

 

2.19

%

 

 

216,983

 

 

 

1,221

 

 

 

2.25

%

Cash balances in other banks

 

 

56,263

 

 

 

79

 

 

 

0.56

%

 

 

51,636

 

 

 

35

 

 

 

0.27

%

Funds sold

 

 

2,449

 

 

 

7

 

 

 

1.15

%

 

 

3,039

 

 

 

5

 

 

 

0.70

%

Total interest-earning assets

 

 

1,276,115

 

 

 

12,007

 

 

 

3.74

%

 

 

1,089,896

 

 

 

10,271

 

 

 

3.74

%

Noninterest-earning assets

 

 

48,505

 

 

 

 

 

 

 

 

 

 

 

50,231

 

 

 

 

 

 

 

 

 

Total assets

 

$

1,324,620

 

 

 

 

 

 

 

 

 

 

$

1,140,127

 

 

 

 

 

 

 

 

 

Interest-Bearing Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing transaction accounts

 

$

286,572

 

 

 

393

 

 

 

0.55

%

 

$

158,122

 

 

 

214

 

 

 

0.54

%

Savings and money market deposits

 

 

455,201

 

 

 

719

 

 

 

0.63

%

 

 

448,667

 

 

 

693

 

 

 

0.61

%

Time deposits

 

 

201,151

 

 

 

518

 

 

 

1.03

%

 

 

175,103

 

 

 

467

 

 

 

1.06

%

Borrowings and repurchase agreements

 

 

33,696

 

 

 

197

 

 

 

2.32

%

 

 

45,986

 

 

 

60

 

 

 

0.52

%

Total interest-bearing liabilities

 

 

976,620

 

 

 

1,827

 

 

 

0.74

%

 

 

827,878

 

 

 

1,434

 

 

 

0.69

%

Noninterest-bearing deposits

 

 

195,856

 

 

 

 

 

 

 

 

 

 

 

191,216

 

 

 

 

 

 

 

 

 

Total funding sources

 

 

1,172,475

 

 

 

 

 

 

 

 

 

 

 

1,019,094

 

 

 

 

 

 

 

 

 

Noninterest-bearing liabilities

 

 

12,617

 

 

 

 

 

 

 

 

 

 

 

11,900

 

 

 

 

 

 

 

 

 

Shareholders’ equity

 

 

139,529

 

 

 

 

 

 

 

 

 

 

 

109,132

 

 

 

 

 

 

 

 

 

Total liabilities and shareholders’ equity

 

$

1,324,621

 

 

 

 

 

 

 

 

 

 

$

1,140,126

 

 

 

 

 

 

 

 

 

Net interest spread (3)

 

 

 

 

 

 

 

 

 

 

3.00

%

 

 

 

 

 

 

 

 

 

 

3.05

%

Net interest income/margin (4)

 

 

 

 

 

$

10,180

 

 

 

3.17

%

 

 

 

 

 

$

8,837

 

 

 

3.22

%

 

(1)

Average loan balances include nonaccrual loans.  Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs.

(2)

Balances for investment securities exempt from federal income tax are not calculated on a tax equivalent basis.

(3)

Net interest spread is the average yield on total interest-earning assets minus the average rate on total interest-bearing liabilities.

(4)

Net interest margin is net interest income divided by total interest-earning assets.

 

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

 

 

CAPSTAR FINANCIAL HOLDINGS, INC. AND SUBSIDIARY

Analysis of Interest Income and Expense, Rates and Yields (unaudited)

Fourth Quarter 2016 Earnings Release

  

 

For the Year Ended December 31,

 

 

 

2016

 

 

2015

 

 

 

Average

Outstanding

Balance

 

 

Interest

Income/

Expense

 

 

Average

Yield/

Rate

 

 

Average

Outstanding

Balance

 

 

Interest

Income/

Expense

 

 

Average

Yield/

Rate

 

Interest-Earning Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans (1)

 

$

888,541

 

 

$

38,450

 

 

 

4.33

%

 

$

744,151

 

 

$

33,722

 

 

 

4.53

%

Loans held for sale

 

 

47,303

 

 

 

1,763

 

 

 

3.73

%

 

 

29,324

 

 

 

1,123

 

 

 

3.83

%

Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable investment securities

 

 

176,977

 

 

 

3,729

 

 

 

2.11

%

 

 

220,167

 

 

 

4,421

 

 

 

2.01

%

Investment securities exempt from

   federal income tax (2)

 

 

47,353

 

 

 

1,158

 

 

 

2.45

%

 

 

40,160

 

 

 

1,080

 

 

 

2.69

%

Total securities

 

 

224,330

 

 

 

4,887

 

 

 

2.18

%

 

 

260,327

 

 

 

5,501

 

 

 

2.11

%

Cash balances in other banks

 

 

51,147

 

 

 

276

 

 

 

0.54

%

 

 

54,143

 

 

 

140

 

 

 

0.26

%

Funds sold

 

 

2,153

 

 

 

19

 

 

 

0.89

%

 

 

3,094

 

 

 

18

 

 

 

0.60

%

Total interest-earning assets

 

 

1,213,475

 

 

 

45,395

 

 

 

3.74

%

 

 

1,091,039

 

 

 

40,504

 

 

 

3.71

%

Noninterest-earning assets

 

 

49,288

 

 

 

 

 

 

 

 

 

 

 

49,721

 

 

 

 

 

 

 

 

 

Total assets

 

$

1,262,763

 

 

 

 

 

 

 

 

 

 

$

1,140,760

 

 

 

 

 

 

 

 

 

Interest-Bearing Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing transaction accounts

 

$

269,113

 

 

 

1,489

 

 

 

0.55

%

 

$

143,939

 

 

 

748

 

 

 

0.52

%

Savings and money market deposits

 

 

445,873

 

 

 

2,859

 

 

 

0.64

%

 

 

465,622

 

 

 

2,733

 

 

 

0.59

%

Time deposits

 

 

193,881

 

 

 

2,085

 

 

 

1.08

%

 

 

197,535

 

 

 

2,031

 

 

 

1.03

%

Borrowings and repurchase agreements

 

 

32,371

 

 

 

499

 

 

 

1.54

%

 

 

39,581

 

 

 

219

 

 

 

0.55

%

Total interest-bearing liabilities

 

 

941,238

 

 

 

6,932

 

 

 

0.74

%

 

 

846,677

 

 

 

5,731

 

 

 

0.68

%

Noninterest-bearing deposits

 

 

189,270

 

 

 

 

 

 

 

 

 

 

 

176,577

 

 

 

 

 

 

 

 

 

Total funding sources

 

 

1,130,507

 

 

 

 

 

 

 

 

 

 

 

1,023,255

 

 

 

 

 

 

 

 

 

Noninterest-bearing liabilities

 

 

12,133

 

 

 

 

 

 

 

 

 

 

 

10,778

 

 

 

 

 

 

 

 

 

Shareholders’ equity

 

 

120,123

 

 

 

 

 

 

 

 

 

 

 

106,727

 

 

 

 

 

 

 

 

 

Total liabilities and shareholders’ equity

 

$

1,262,763

 

 

 

 

 

 

 

 

 

 

$

1,140,760

 

 

 

 

 

 

 

 

 

Net interest spread (3)

 

 

 

 

 

 

 

 

 

 

3.00

%

 

 

 

 

 

 

 

 

 

 

3.04

%

Net interest income/margin (4)

 

 

 

 

 

$

38,463

 

 

 

3.17

%

 

 

 

 

 

$

34,773

 

 

 

3.19

%

 

(1)

Average loan balances include nonaccrual loans.  Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs.

(2)

Balances for investment securities exempt from federal income tax are not calculated on a tax equivalent basis.

(3)

Net interest spread is the average yield on total interest-earning assets minus the average rate on total interest-bearing liabilities.

(4)

Net interest margin is net interest income divided by total interest-earning assets.

 

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