EX-99.1 3 ctbi0622er8kex99.htm CTBI 2ND QUARTER 2022 EARNINGS RELEASE 8-K EXHIBIT 99.1
Exhibit 99.1





FOR IMMEDIATE RELEASE
July 20, 2022

FOR ADDITIONAL INFORMATION, PLEASE CONTACT MARK A. GOOCH, VICE CHAIRMAN, PRESIDENT, AND CEO, COMMUNITY TRUST BANCORP, INC. AT (606) 437-3229

Pikeville, Kentucky:

COMMUNITY TRUST BANCORP, INC. REPORTS EARNINGS FOR THE 2ND QUARTER 2022

Earnings Summary
                              
(in thousands except per share data)
  
2Q
2022
    
1Q
2022
    
2Q
2021
    
YTD
2022
    
YTD
2021
  
Net income
  
$
20,271
    
$
19,728
    
$
23,931
    
$
39,999
    
$
47,549
  
Earnings per share
  
$
1.14
    
$
1.11
    
$
1.35
    
$
2.24
    
$
2.67
  
Earnings per share - diluted
  
$
1.14
    
$
1.11
    
$
1.34
    
$
2.24
    
$
2.67
  
                                         
Return on average assets
    
1.49
%
    
1.48
%
    
1.76
%
    
1.48
%
    
1.80
%
Return on average equity
    
12.75
%
    
11.77
%
    
14.20
%
    
12.25
%
    
14.34
%
Efficiency ratio
    
53.77
%
    
53.25
%
    
53.17
%
    
53.51
%
    
51.76
%
Tangible common equity
    
10.53
%
    
10.93
%
    
11.39
%
                
                                         
Dividends declared per share
  
$
0.400
    
$
0.400
    
$
0.385
    
$
0.800
    
$
0.770
  
Book value per share
  
$
35.32
    
$
36.53
    
$
38.36
                  
                                         
Weighted average shares
    
17,835
      
17,820
      
17,784
      
17,827
      
17,779
  
Weighted average shares - diluted
    
17,843
      
17,832
      
17,800
      
17,838
      
17,794
  

Community Trust Bancorp, Inc. (NASDAQ-CTBI) achieved earnings for the second quarter 2022 of $20.3 million, or $1.14 per basic share, compared to $19.7 million, or $1.11 per basic share, earned during the first quarter 2022 and $23.9 million, or $1.35 per basic share, earned during the second quarter 2021.  Total revenue was $0.3 million above prior quarter but $0.2 million below prior year same quarter.  Net interest revenue increased $0.8 million compared to prior quarter and prior year same quarter; however, noninterest income decreased $0.5 million compared to prior quarter and $1.0 million compared to prior year same quarter.  The decrease in noninterest income quarter over quarter was primarily the result of a variance in the valuation of our mortgage servicing rights, while the decrease year over year was primarily the result of a decrease in gains on sales of loans.  Provision for credit losses for the quarter was $0.1 million, compared to provision of $0.9 million for the quarter ended March 31, 2022 and a recovery of provision of $4.3 million for the second quarter 2022.  Noninterest expense increased $0.6 million compared to prior quarter and $0.5 million compared to prior year same quarter.  Net income for the six months ended June 30, 2022 was below prior year by $7.5 million, primarily due to the $6.8 million recovery of provision for credit losses taken in 2021.

2nd Quarter 2022 Highlights

❖
Net interest income for the quarter of $40.8 million was $0.8 million above prior quarter and prior year same quarter.

❖
Provision for loan losses for the quarter was $0.1 million, compared to provision of $0.9 million for the quarter ended March 31, 2022 and a recovery of provision of $4.3 million for the second quarter 2021.

❖
Our loan portfolio increased $42.9 million, an annualized 4.9%, during the quarter and $110.0 million, or 3.2%, from June 30, 2021.

❖
Net loan charge-offs were $42 thousand, or less than 0.01% of average loans annualized, for the quarter ended June 30, 2022 compared to net loan charge-offs of $0.3 million, or 0.04% of average loans annualized, for the first quarter 2022 and a net recovery of loan charge-offs for the second quarter 2021 of $0.6 million.

❖
Our nonperforming loans, excluding troubled debt restructurings, increased slightly to $13.8 million at June 30, 2022 from $13.7 million at March 31, 2022 but were $7.3 million below the $21.1 million at June 30, 2021.  Nonperforming assets at $15.8 million decreased $0.2 million from March 31, 2022 and $11.2 million from June 30, 2021.

❖
Deposits, including repurchase agreements, increased $28.7 million, an annualized 2.5%, during the quarter and $17.4 million, or 0.4%, from June 30, 2021.

❖
Shareholders’ equity declined $21.3 million, or an annualized 13.1%, during the quarter and $52.0 million, or 7.6%, from June 30, 2021, as a result of the continued increase in unrealized losses on our securities portfolio.

❖
Noninterest income for the quarter ended June 30, 2022 of $14.5 million was $0.5 million, or 3.1%, below prior quarter and $1.0 million, or 6.6%, below prior year same quarter.

❖
Noninterest expense for the quarter ended June 30, 2022 of $30.0 million was $0.6 million, or 2.1%, higher than prior quarter and $0.5 million, or 1.6%, above prior year same quarter.

Net Interest Income

                     
Percent Change
                    
                     
2Q 2022 Compared to:
                    
($ in thousands)
  
2Q
2022
    
1Q
2022
    
2Q
2021
    
1Q
2022
    
2Q
2021
    
YTD
2022
    
YTD
2021
    
Percent Change
  
Components of net interest income:
                                                
Income on earning assets
  
$
45,352
    
$
43,527
    
$
43,875
      
4.2
%
    
3.4
%
  
$
88,879
    
$
88,086
      
0.9
%
Expense on interest bearing liabilities
    
4,562
      
3,495
      
3,868
      
30.5

   
17.9

   
8,057
      
7,837
      
2.8

Net interest income
  

40,790
    

40,032
    

40,007
      
1.9

   
2.0

 

80,822
    

80,249
      
0.7

TEQ
    
232
      
235
      
230
      
(1.3
)
    
0.9

   
467
      
447
      
4.5

Net interest income, tax equivalent
  
$
41,022
    
$
40,267
    
$
40,237
      
1.9
%
    
1.9
%
  
$
81,289
    
$
80,696
      
0.7
%
                                                                 
Average yield and rates paid:
                                                                
Earning assets yield
    
3.56
%
    
3.46
%
    
3.41
%
    
2.9
%
    
4.2
%
    
3.51
%
    
3.52
%
    
(0.4
)%
Rate paid on interest bearing liabilities
    
0.54

   
0.42

   
0.45

   
28.2

   
19.7

   
0.48

   
0.47

   
3.4

Gross interest margin
    
3.02
%
    
3.04
%
    
2.96
%
    
(0.6
)%
    
1.9
%
    
3.03
%
    
3.05
%
    
(0.9
)%
Net interest margin
    
3.20
%
    
3.18
%
    
3.11
%
    
0.6
%
    
2.8
%
    
3.19
%
    
3.21
%
    
(0.5
)%
                                                                 
Average balances:
                                                                
Investment securities
  
$
1,454,371
    
$
1,486,799
    
$
1,225,369
      
(2.2
)%
    
18.7
%
  
$
1,470,495
      
1,145,018
      
28.4
%
Loans
  
$
3,538,324
    
$
3,440,439
    
$
3,495,655
      
2.8
%
    
1.2
%
  
$
3,489,652
      
3,521,861
      
(0.9
)%
 Earning assets
  
$
5,140,656
    
$
5,134,150
    
$
5,184,923
      
0.1
%
    
(0.9
)%
  
$
5,137,421
      
5,071,907
      
1.3
%
Interest-bearing liabilities
  
$
3,373,741
    
$
3,350,208
    
$
3,424,218
      
0.7
%
    
(1.5
)%
  
$
3,362,039
      
3,379,958
      
(0.5
)%

Net interest income for the quarter of $40.8 million was $0.8 million above prior quarter and prior year same quarter.  Our net interest income excluding PPP loans for the quarter ended June 30, 2022 was $40.3 million compared to $38.6 million for the quarter ended March 31, 2022 and $36.4 million for the quarter ended June 30, 2021.  Our net interest margin, on a fully tax equivalent basis, at 3.20% increased 2 basis points from prior quarter and 9 basis points from prior year same quarter, as our average earning assets increased $6.5 million from prior quarter but decreased $44.3 million from prior year same quarter.  Our yield on average earning assets increased 10 basis points from prior quarter and 15 basis points from prior year same quarter, and our cost of funds increased 12 basis points from prior quarter and 9 basis points from prior year same quarter.  As discussed more fully below, the impact of the PPP loans to the net interest margin for the second quarter 2022 was 3 basis points.

The PPP loan portfolio had an annualized yield for the quarter of 13.56% compared to 17.03% for the first quarter 2022.  Interest income on the portfolio was $45 thousand during the quarter, down $51 thousand from prior quarter, while the amortization of net loan origination fees from current outstanding loans and recognition of net fee income from paid and forgiven loans was $463 thousand, down $915 thousand from prior quarter.  These fees are amortized over the life of the loan with any unamortized balance fully recognized at the time of loan forgiveness.  The impact of the PPP loan portfolio to the net interest margin was an increase of 3 basis points for the second quarter 2022 compared to an increase of 11 basis points for the first quarter 2022.

Our ratio of average loans to deposits, including repurchase agreements, was 75.2% for the quarter ended June 30, 2022 compared to 74.2% for the quarter ended March 31, 2022 and 75.0% for the quarter ended June 30, 2021.

Noninterest Income

                     
Percent Change
                    
                     
2Q 2022 Compared to:
                    
($ in thousands)
  
2Q
2022
    
1Q
2022
    
2Q
2021
    
1Q
2022
    
2Q
2021
    
YTD
2022
    
YTD
2021
    
Percent Change
  
Deposit related fees
  
$
7,263
    
$
6,746
    
$
6,358
      
7.7
%
    
14.2
%
  
$
14,009
    
$
12,380
      
13.2
%
Trust revenue
    
3,198
      
3,248
      
3,349
      
(1.5
)
    
(4.5
)
    
6,446
      
6,300
      
2.3

Gains on sales of loans
    
519
      
597
      
1,907
      
(13.0
)
    
(72.8
)
    
1,116
      
4,340
      
(74.3
)
Loan related fees
    
1,415
      
2,062
      
1,004
      
(31.4
)
    
41.0

   
3,477
      
3,274
      
6.2

Bank owned life insurance revenue
    
702
      
691
      
581
      
1.7

   
20.8

   
1,393
      
1,154
      
20.7

Brokerage revenue
    
459
      
590
      
554
      
(22.2
)
    
(17.2
)
    
1,049
      
1,011
      
3.8

Other
    
945
      
1,031
      
1,768
      
(8.5
)
    
(46.7
)
    
1,976
      
2,639
      
(25.2
)
Total noninterest income
  
$
14,501
    
$
14,965
    
$
15,521
      
(3.1
)%
    
(6.6
)%
  
$
29,466
    
$
31,098
      
(5.2
)%

Noninterest income for the quarter ended June 30, 2022 of $14.5 million was $0.5 million, or 3.1%, below prior quarter and $1.0 million, or 6.6%, below prior year same quarter.  The quarter over quarter decrease included a $0.6 million decrease in loan related fees and a $0.3 million decrease in securities gains, partially offset by a $0.5 million increase in deposit related fees.  The decrease from prior year same quarter included a $1.4 million decrease in gains on sales of loans and a $0.5 million decrease in securities gains, partially offset by a $0.9 million increase in deposit related fees.  Year-to-date noninterest income decreased $1.6 million from the six months ended June 30, 2021 due to a $3.2 million decline in gains on sales of loans, partially offset by a $1.6 million increase in deposit related fees.  Gains on sales of loans were impacted by the slowdown in the industry-wide mortgage refinancing boom.  Deposit related fees were primarily impacted by debit card income and overdraft charges.  Loan related fees were primarily impacted by the change in the fair market value of mortgage servicing rights.

Noninterest Expense

                     
Percent Change
                    
                     
2Q 2022 Compared to:
                    
($ in thousands)
  
2Q
2022
    
1Q
2022
    
2Q
2021
    
1Q
2022
    
2Q
2021
    
YTD
2022
    
YTD
2021
    
Percent Change
  
Salaries
  
$
12,219
    
$
11,739
    
$
11,706
      
4.1
%
    
4.4
%
  
$
23,958
    
$
23,118
      
3.6
%
Employee benefits
    
6,315
      
5,799
      
7,254
      
8.9

   
(12.9
)
    
12,114
      
12,675
      
(4.4
)
Net occupancy and equipment
    
2,756
      
2,854
      
2,668
      
(3.4
)
    
3.3

   
5,610
      
5,496
      
2.1

Data processing
    
2,095
      
2,201
      
1,870
      
(4.8
)
    
12.0

   
4,296
      
4,029
      
6.6

Legal and professional fees
    
884
      
867
      
753
      
1.9

   
17.2

   
1,751
      
1,646
      
6.4

Advertising and marketing
    
659
      
752
      
710
      
(12.6
)
    
(7.3
)
    
1,411
      
1,432
      
(1.4
)
Taxes other than property and payroll
    
425
      
426
      
375
      
(0.3
)
    
13.3

   
851
      
745
      
14.2

Net other real estate owned expense
    
43
      
353
      
488
      
(87.6
)
    
(91.1
)
    
396
      
806
      
(50.8
)
Other
    
4,582
      
4,368
      
3,674
      
4.9

   
24.8

   
8,950
      
7,861
      
13.8

Total noninterest expense
  
$
29,978
    
$
29,359
    
$
29,498
      
2.1
%
    
1.6
%
  
$
59,337
    
$
57,808
      
2.6
%

Noninterest expense for the quarter ended June 30, 2022 of $30.0 million was $0.6 million, or 2.1%, higher than prior quarter and $0.5 million, or 1.6%, above prior year same quarter.  The increase in noninterest expense quarter over quarter was primarily the result of an increase in personnel expense ($1.0 million), partially offset by a $0.3 million decrease in net other real estate owned expense.  The increase in personnel expense was due to increases in salaries and a higher accrual for bonuses and incentives.  Noninterest expense for the six months ended June 30, 2022 was $1.5 million higher than the six months ended June 30, 2021.  The year-to-date increase was primarily the result of increases in personnel expense, data processing expense, and loan related expenses.

Balance Sheet Review

Total Loans
                              
                     
Percent Change
  
                     
2Q 2022 Compared to:
  
($ in thousands)
  
2Q
2022
    
1Q
2022
    
2Q
2021
    
1Q
2022
    
2Q
2021
  
Commercial nonresidential real estate
  
$
758,227
    
$
774,791
    
$
718,338
      
(2.1
)%
    
5.6
%
Commercial residential real estate
    
354,668
      
337,447
      
309,627
      
5.1

   
14.5

Hotel/motel
    
280,956
      
274,256
      
261,422
      
2.4

   
7.5

SBA guaranteed PPP loans
    
7,788
      
22,482
      
175,983
      
(65.4
)
    
(95.6
)
Other commercial
    
395,876
      
394,875
      
356,359
      
0.3

   
11.1

Total commercial
    
1,797,515
      
1,803,851
      
1,821,729
      
(0.4
)
    
(1.3
)
                                         
Residential mortgage
    
793,249
      
780,453
      
762,649
      
1.6

   
4.0

Home equity loans/lines
    
110,828
      
107,230
      
102,551
      
3.4

   
8.1

Total residential
    
904,077
      
887,683
      
865,200
      
1.8

   
4.5

                                         
Consumer indirect
    
697,060
      
667,387
      
610,025
      
4.4

   
14.3

Consumer direct
    
159,791
      
156,620
      
151,539
      
2.0

   
5.4

Total consumer
    
856,851
      
824,007
      
761,564
      
4.0

   
12.5

                                         
Total loans
  
$
3,558,443
    
$
3,515,541
    
$
3,448,493
      
1.2
%
    
3.2
%

Total Deposits and Repurchase Agreements
                              
                     
Percent Change
  
                     
2Q 2022 Compared to:
  
($ in thousands)
  
2Q
2022
    
1Q
2022
    
2Q
2021
    
1Q
2022
    
2Q
2022
  
Non-interest bearing deposits
  
$
1,408,148
    
$
1,398,529
    
$
1,286,989
      
0.7
%
    
9.4
%
Interest bearing deposits
                                        
Interest checking
    
99,055
      
89,863
      
99,226
      
10.2

   
(0.2
)
Money market savings
    
1,243,817
      
1,200,408
      
1,281,431
      
3.6

   
(2.9
)
Savings accounts
    
671,349
      
666,874
      
596,426
      
0.7

   
12.6

Time deposits
    
1,050,559
      
1,072,630
      
1,059,630
      
(2.1
)
    
(0.9
)
Repurchase agreements
    
238,733
      
254,623
      
370,568
      
(6.2
)
    
(35.6
)
Total interest bearing deposits and repurchase agreements
    
3,303,513
      
3,284,398
      
3,407,281
      
0.6

   
(3.0
)
Total deposits and repurchase agreements
  
$
4,711,661
    
$
4,682,927
    
$
4,694,270
      
0.6
%
    
0.4
%

CTBI’s total assets at $5.4 billion increased $4.2 million, or 0.3% annualized, from March 31, 2022 but decreased $46.8 million, or 0.9%, from June 30, 2021.  Loans outstanding at June 30, 2022 were $3.6 billion, an increase of $42.9 million, an annualized 4.9%, from March 31, 2022 and $110.0 million, or 3.2%, from June 30, 2021.  Loans, excluding PPP loans, increased $57.6 million during the quarter, with an $8.4 million increase in the commercial loan portfolio,  $16.4 million increase in the residential loan portfolio, a $29.7 million increase in the indirect consumer loan portfolio, and a $3.1 million increase in the consumer direct loan portfolio.  The PPP loan portfolio declined during the quarter $14.7 million as a result of SBA forgiveness.  CTBI’s investment portfolio decreased $101.3 million, or an annualized 27.0%, from March 31, 2022 but increased $44.1 million, or 3.2%, from June 30, 2021.  Deposits in other banks increased $30.2 million from prior quarter but decreased $254.2 million from prior year same quarter.  Deposits, including repurchase agreements, at $4.7 billion increased $28.7 million, or an annualized 2.5%, from March 31, 2022 and $17.4 million, or 0.4%, from June 30, 2021.

Shareholders’ equity declined $21.3 million, or an annualized 13.1%, during the quarter and $52.0 million, or 7.6%, from June 30, 2021, as a result of the continued increase in unrealized losses on our securities portfolio.  We experienced a $34.9 million increase in accumulated other comprehensive loss, net of tax, resulting from increases in unrealized losses on our securities portfolio during the quarter.  CTBI’s annualized dividend yield to shareholders as of June 30, 2022 was 3.96%.

Asset Quality

Our total nonperforming loans, excluding troubled debt restructurings, increased slightly to $13.8 million at June 30, 2022 from $13.7 million at March 31, 2022 but were $7.3 million below the $21.1 million at June 30, 2021.  Accruing loans 90+ days past due at $5.0 million increased $0.2 million from prior quarter but decreased $3.3 million from June 30, 2021.  Nonaccrual loans remained at $8.8 million from prior quarter but decreased $4.0 million from June 30, 2021.  Accruing loans 30-89 days past due at $10.6 million decreased $0.2 million from prior quarter and $0.3 million from June 30, 2021.  Our loan portfolio management processes focus on the immediate identification, management, and resolution of problem loans to maximize recovery and minimize loss.

Our level of foreclosed properties were $2.0 million at June 30, 2022 compared to $2.3 million at March 31, 2022 and $5.8 million at June 30, 2021.  Sales of foreclosed properties for the quarter ended June 30, 2022 totaled $0.7 million while new foreclosed properties totaled $0.3 million.  At June 30, 2022, the book value of properties under contracts to sell was $0.4 million; however, the closings had not occurred at quarter-end.

Net loan charge-offs were $42 thousand, or less than 0.01% of average loans annualized, for the quarter ended June 30, 2022 compared to net loan charge-offs of $0.3 million, or 0.04% of average loans annualized, for the first quarter 2022 and a net recovery of loan charge-offs for the second quarter 2021 of $0.6 million.  Year-to-date net loan charge-offs were $0.4 million, or 0.02% of average loans annualized, compared to a net recovery of loan charge-offs of $0.4 million for the first six months of 2021.

Allowance for Credit Losses

Provision for credit losses for the quarter was $0.1 million, compared to provision of $0.9 million for the quarter ended March 31, 2022 and a recovery of provision of $4.3 million for the second quarter 2021.  Year-to-date provision was $1.0 million compared to a recovery of $6.8 million during the first six months of 2021.  Our reserve coverage (allowance for credit losses to nonperforming loans) at June 30, 2022 was 305.9% compared to 309.1% at March 31, 2022 and 197.2% at June 30, 2021.  Our credit loss reserve as a percentage of total loans outstanding at June 30, 2022 was 1.19% (1.19% excluding PPP loans) compared to 1.20% at March 31, 2022 (1.21% excluding PPP loans) and 1.21% at June 30, 2021 (1.27% excluding PPP loans).

Forward-Looking Statements

Certain of the statements contained herein that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Community Trust Bancorp, Inc.’s (“CTBI”) actual results may differ materially from those included in the forward-looking statements. Forward-looking statements are typically identified by words or phrases such as “believe,” “expect,” “anticipate,” “intend,” “estimate,” “may increase,” “may fluctuate,” and similar expressions or future or conditional verbs such as “will,” “should,” “would,” and “could.” These forward-looking statements involve risks and uncertainties including, but not limited to, economic conditions, portfolio growth, the credit performance of the portfolios, including bankruptcies, and seasonal factors; changes in general economic conditions including the performance of financial markets, prevailing inflation and interest rates, realized gains from sales of investments, gains from asset sales, and losses on commercial lending activities; the effects of the COVID-19 pandemic on our business operations and credit quality and on general economic and financial market conditions, as well as our ability to respond to the related challenges; results of various investment activities; the effects of competitors’ pricing policies, changes in laws and regulations, competition, and demographic changes on target market populations’ savings and financial planning needs; industry changes in information technology systems on which we are highly dependent; failure of acquisitions to produce revenue enhancements or cost savings at levels or within the time frames originally anticipated or unforeseen integration difficulties; and the resolution of legal  proceedings and related matters.  In addition, the banking industry in general is subject to various monetary, operational, and fiscal policies and regulations, which include, but are not limited to, those determined by the Federal Reserve Board, the Federal Deposit Insurance Corporation, the Consumer Financial Protection Bureau, and state regulators, whose policies, regulations, and enforcement actions could affect CTBI’s results.  These statements are representative only on the date hereof, and CTBI undertakes no obligation to update any forward-looking statements made.

Community Trust Bancorp, Inc., with assets of $5.4 billion, is headquartered in Pikeville, Kentucky and has 68 banking locations across eastern, northeastern, central, and south central Kentucky, six banking locations in southern West Virginia, three banking locations in northeastern Tennessee, four trust offices across Kentucky, and one trust office in Tennessee.

Additional information follows.


Community Trust Bancorp, Inc.
  
Financial Summary (Unaudited)
  
 June 30, 2022
  
(in thousands except per share data and # of employees)
  
                               
   
Three
    
Three
    
Three
    
Six
    
Six
  
   
Months
    
Months
    
Months
    
Months
    
Months
  
   
Ended
    
Ended
    
Ended
    
Ended
    
Ended
  
   
June 30, 2022
    
March 31, 2022
    
June 30, 2021
    
June 30, 2022
    
June 30, 2021
  
Interest income
  
$
45,352
    
$
43,527
    
$
43,875
    
$
88,879
    
$
88,086
  
Interest expense
    
4,562
      
3,495
      
3,868
      
8,057
      
7,837
  
Net interest income
    
40,790
      
40,032
      
40,007
      
80,822
      
80,249
  
Credit loss provision (recovery)
    
77
      
875
      
(4,257
)
    
952
      
(6,756
)
                                         
Gains on sales of loans
    
519
      
597
      
1,907
      
1,116
      
4,340
  
Deposit related fees
    
7,263
      
6,746
      
6,358
      
14,009
      
12,380
  
Trust revenue
    
3,198
      
3,248
      
3,349
      
6,446
      
6,300
  
Loan related fees
    
1,415
      
2,062
      
1,004
      
3,477
      
3,274
  
Securities gains (losses)
    
(225
)
    
99
      
280
      
(126
)
    
112
  
Other noninterest income
    
2,331
      
2,213
      
2,623
      
4,544
      
4,692
  
Total noninterest income
    
14,501
      
14,965
      
15,521
      
29,466
      
31,098
  
                                         
Personnel expense
    
18,534
      
17,538
      
18,960
      
36,072
      
35,793
  
Occupancy and equipment
    
2,756
      
2,854
      
2,668
      
5,610
      
5,496
  
Data processing expense
    
2,095
      
2,201
      
1,870
      
4,296
      
4,029
  
FDIC insurance premiums
    
358
      
355
      
323
      
713
      
649
  
Other noninterest expense
    
6,235
      
6,411
      
5,677
      
12,646
      
11,841
  
Total noninterest expense
    
29,978
      
29,359
      
29,498
      
59,337
      
57,808
  
                                         
Net income before taxes
    
25,236
      
24,763
      
30,287
      
49,999
      
60,295
  
Income taxes
    
4,965
      
5,035
      
6,356
      
10,000
      
12,746
  
Net income
  
$
20,271
    
$
19,728
    
$
23,931
    
$
39,999
    
$
47,549
  
                                         
Memo: TEQ interest income
  
$
45,584
    
$
43,762
    
$
44,105
    
$
89,346
    
$
88,533
  
                                         
Average shares outstanding
    
17,835
      
17,820
      
17,784
      
17,827
      
17,779
  
Diluted average shares outstanding
    
17,843
      
17,832
      
17,800
      
17,838
      
17,794
  
Basic earnings per share
  
$
1.14
    
$
1.11
    
$
1.35
    
$
2.24
    
$
2.67
  
Diluted earnings per share
  
$
1.14
    
$
1.11
    
$
1.34
    
$
2.24
    
$
2.67
  
Dividends per share
  
$
0.400
    
$
0.400
    
$
0.385
    
$
0.800
    
$
0.770
  
                                         
Average balances:
                                        
Loans
  
$
3,538,324
    
$
3,440,439
    
$
3,495,655
    
$
3,489,652
    
$
3,521,861
  
Earning assets
    
5,140,656
      
5,134,150
      
5,184,923
      
5,137,421
      
5,071,907
  
Total assets
    
5,446,263
      
5,417,800
      
5,450,182
      
5,432,110
      
5,335,432
  
Deposits, including repurchase agreements
    
4,705,492
      
4,633,988
      
4,661,615
      
4,669,938
      
4,552,736
  
Interest bearing liabilities
    
3,373,741
      
3,350,208
      
3,424,218
      
3,362,039
      
3,379,958
  
Shareholders' equity
    
637,542
      
679,527
      
675,727
      
658,419
      
668,555
  
                                         
Performance ratios:
                                        
Return on average assets
    
1.49
%
    
1.48
%
    
1.76
%
    
1.48
%
    
1.80
%
Return on average equity
    
12.75
%
    
11.77
%
    
14.20
%
    
12.25
%
    
14.34
%
Yield on average earning assets (tax equivalent)
    
3.56
%
    
3.46
%
    
3.41
%
    
3.51
%
    
3.52
%
Cost of interest bearing funds (tax equivalent)
    
0.54
%
    
0.42
%
    
0.45
%
    
0.48
%
    
0.47
%
Net interest margin (tax equivalent)
    
3.20
%
    
3.18
%
    
3.11
%
    
3.19
%
    
3.21
%
Efficiency ratio (tax equivalent)
    
53.77
%
    
53.25
%
    
53.17
%
    
53.51
%
    
51.76
%
                                         
Loan charge-offs
  
$
828
    
$
1,320
    
$
948
    
$
2,148
    
$
2,418
  
Recoveries
    
(786
)
    
(998
)
    
(1,554
)
    
(1,784
)
    
(2,847
)
Net charge-offs
  
$
42
    
$
322
    
$
(606
)
  
$
364
    
$
(429
)
                                         
Market Price:
                                        
High
  
$
42.91
    
$
46.30
    
$
45.95
    
$
46.30
    
$
47.53
  
Low
  
$
39.10
    
$
40.53
    
$
39.76
    
$
39.10
    
$
36.02
  
Close
  
$
40.44
    
$
41.20
    
$
40.38
    
$
40.44
    
$
40.38
  


Community Trust Bancorp, Inc.
  
Financial Summary (Unaudited)
  
 June 30, 2022
  
(in thousands except per share data and # of employees)
  
   
   
As of
    
As of
    
As of
  
   
June 30, 2022
    
March 31, 2022
    
June 30, 2021
  
Assets:
                  
Loans
  
$
3,558,443
    
$
3,515,541
    
$
3,448,493
  
Loan loss reserve
    
(42,344
)
    
(42,309
)
    
(41,695
)
Net loans
    
3,516,099
      
3,473,232
      
3,406,798
  
Loans held for sale
    
936
      
1,941
      
4,912
  
Securities AFS
    
1,402,127
      
1,503,165
      
1,357,597
  
Equity securities at fair value
    
2,128
      
2,352
      
2,523
  
Other equity investments
    
13,026
      
13,026
      
13,915
  
Other earning assets
    
140,384
      
108,222
      
392,591
  
Cash and due from banks
    
75,373
      
58,352
      
63,917
  
Premises and equipment
    
40,704
      
40,738
      
40,391
  
Right of use asset
    
12,005
      
11,941
      
12,729
  
Goodwill and core deposit intangible
    
65,490
      
65,490
      
65,490
  
Other assets
    
179,078
      
164,674
      
133,300
  
Total Assets
  
$
5,447,350
    
$
5,443,133
    
$
5,494,163
  
                         
Liabilities and Equity:
                        
Interest bearing checking
  
$
99,055
    
$
89,863
    
$
99,226
  
Savings deposits
    
1,915,166
      
1,867,282
      
1,877,857
  
CD's >=$100,000
    
573,519
      
590,476
      
561,269
  
Other time deposits
    
477,040
      
482,154
      
498,361
  
Total interest bearing deposits
    
3,064,780
      
3,029,775
      
3,036,713
  
Noninterest bearing deposits
    
1,408,148
      
1,398,529
      
1,286,989
  
Total deposits
    
4,472,928
      
4,428,304
      
4,323,702
  
Repurchase agreements
    
238,733
      
254,623
      
370,568
  
Other interest bearing liabilities
    
58,706
      
58,711
      
58,726
  
Lease liability
    
12,479
      
12,796
      
13,529
  
Other noninterest bearing liabilities
    
32,454
      
35,328
      
43,555
  
Total liabilities
    
4,815,300
      
4,789,762
      
4,810,080
  
Shareholders' equity
    
632,050
      
653,371
      
684,083
  
Total Liabilities and Equity
  
$
5,447,350
    
$
5,443,133
    
$
5,494,163
  
                         
Ending shares outstanding
    
17,895
      
17,884
      
17,831
  
                         
30 - 89 days past due loans
  
$
10,595
    
$
10,838
    
$
10,847
  
90 days past due loans
    
5,018
      
4,858
      
8,283
  
Nonaccrual loans
    
8,824
      
8,832
      
12,863
  
Restructured loans (excluding 90 days past due and nonaccrual)
    
75,264
      
70,814
      
66,887
  
Foreclosed properties
    
1,954
      
2,299
      
5,848
  
                         
Community bank leverage ratio
    
13.14
%
    
13.15
%
    
12.45
%
Tangible equity to tangible assets ratio
    
10.53
%
    
10.93
%
    
11.39
%
FTE employees
    
958
      
963
      
961