EX-99.1 2 fusb-ex99_1.htm EX-99.1 EX-99.1

 

Exhibit 99.1

 

img154360647_0.jpg 

 

 

FIRST US BANCSHARES, INC.

REPORTS 60.6% YEAR-OVER-YEAR DILUTED EPS GROWTH

────────

Fourth Quarter and Full Year 2022 Results

 

BIRMINGHAM, AL (January 25, 2023) – First US Bancshares, Inc. (Nasdaq: FUSB) (the “Company”), the parent company of First US Bank (the “Bank”), today reported net income of $2.2 million, or $0.35 per diluted share, for the quarter ended December 31, 2022 (“4Q2022”), compared to $1.9 million, or $0.29 per diluted share, for the quarter ended September 30, 2022 (“3Q2022”) and $1.7 million, or $0.25 per diluted share, for the quarter ended December 31, 2021 (“4Q2021”). For the year ended December 31, 2022, the Company's net income totaled $6.9 million, or $1.06 per diluted share, compared to $4.5 million, or $0.66 per diluted share, for the year ended December 31, 2021, an increase of 60.6% in diluted earnings per share.

 

Comparing 2022 to 2021, earnings improvement was driven primarily by reductions in non-interest expense following strategic initiatives that were initiated by the Company beginning in the third quarter of 2021. The strategic initiatives included the cessation of new business development at the Bank’s wholly owned subsidiary, Acceptance Loan Company, Inc. (“ALC”), as well as efforts to reorganize the Bank’s retail banking, technology and deposit operations functions. As a result of these efforts, non-interest expense was reduced by $4.7 million, or 14.3%, comparing 2022 to 2021.

 

“We are pleased to wrap up a very strong year of earnings growth,” stated James F. House, President and CEO of the Company. “The strategic initiatives that we began 15 to 18 months ago to improve both operating efficiency and asset quality are reaping significant rewards in the current environment. The coming year is expected to present many challenges as we continue to face a rising interest rate environment and a slowing economy. However, we continue to believe that our balance sheet is well-positioned for the volatile environment in which we find ourselves,” continued Mr. House.

 

Net income grew by $0.4 million, or 19.8%, in 4Q2022, compared to 3Q2022 due, in part, to growth in net interest income. Quarter-over-quarter net interest margin improved by 17 basis points in 4Q2022 compared to 3Q2022. In addition, the Company’s provision for loan and lease losses decreased by $0.6 million as loan growth slowed, particularly in the indirect consumer category, during the last quarter of the year.

 

Other Fourth Quarter Financial Highlights

 

Loan Growth – The table below summarizes loan balances by portfolio category at the end of each of the most recent five quarters as of December 31, 2022.

 

 

Quarter Ended

 

 

 

2022

 

 

2021

 

 

 

December
31,

 

 

September
30,

 

 

June
30,

 

 

March
31,

 

 

December
31,

 

 

 

(Dollars in Thousands)

 

 

 

(Unaudited)

 

 

(Unaudited)

 

 

(Unaudited)

 

 

(Unaudited)

 

 

 

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

54,396

 

 

$

36,740

 

 

$

40,625

 

 

$

52,817

 

 

$

67,048

 

Secured by 1-4 family residential properties

 

 

88,426

 

 

 

84,911

 

 

 

69,098

 

 

 

69,760

 

 

 

72,727

 

Secured by multi-family residential properties

 

 

67,917

 

 

 

72,446

 

 

 

66,848

 

 

 

50,796

 

 

 

46,000

 

Secured by non-farm, non-residential properties

 

 

199,965

 

 

 

200,505

 

 

 

187,041

 

 

 

177,752

 

 

 

197,901

 

Commercial and industrial loans

 

 

73,555

 

 

 

65,920

 

 

 

65,792

 

 

 

67,455

 

 

 

72,286

 

Paycheck Protection Program ("PPP") loans

 

 

6

 

 

 

31

 

 

 

116

 

 

 

643

 

 

 

1,661

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Direct consumer

 

 

10,053

 

 

 

12,279

 

 

 

15,419

 

 

 

18,023

 

 

 

21,689

 

Branch retail

 

 

14,237

 

 

 

16,278

 

 

 

18,634

 

 

 

21,891

 

 

 

25,692

 

Indirect

 

 

266,567

 

 

 

262,742

 

 

 

252,206

 

 

 

220,931

 

 

 

205,940

 

Total loans

 

$

775,122

 

 

$

751,852

 

 

$

715,779

 

 

$

680,068

 

 

$

710,944

 

Less unearned interest, fees and deferred costs

 

 

1,249

 

 

 

1,581

 

 

 

1,142

 

 

 

1,738

 

 

 

2,594

 

Allowance for loan and lease losses

 

 

9,422

 

 

 

9,373

 

 

 

8,751

 

 

 

8,484

 

 

 

8,320

 

Net loans

 

$

764,451

 

 

$

740,898

 

 

$

705,886

 

 

$

669,846

 

 

$

700,030

 

 

 

 

First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

 

The Company’s total loan portfolio increased by $23.3 million, or 3.1%, during 4Q2022. Loan volume increases during the quarter were driven primarily by growth in the Bank’s construction, commercial and industrial, consumer indirect, and 1-4 family residential secured categories. Growth in these categories was consistent with continued commercial economic activity and resiliency in consumer demand during the quarter. Loan growth was partially offset by decreases in the multi-family residential, direct consumer, and branch retail categories. The decreases in direct consumer and branch retail loans were consistent with management’s expectations related to the Company’s business cessation strategy at ALC. As of December 31, 2022, loans totaled $775.1 million, an increase of $64.2 million, or 9.0%, since December 31, 2021. The majority of year-over-year growth resulted from the consumer indirect and multi-family residential categories.

 

Net Interest Income and Margin – Net interest income totaled $9.9 million in 4Q2022, compared to $9.5 million in 3Q2022 and $9.3 million in 4Q2021. The improvement compared to both prior quarters resulted from loan growth, as well as margin expansion as earning assets repriced faster than interest-bearing liabilities amid the rising interest rate environment. Net interest margin was 4.27% in 4Q2022, compared to 4.10% in both 3Q2022 and 4Q2021. For the year ended December 31, 2022, net interest income totaled $36.9 million, slightly below $37.0 million for the year ended December 31, 2021. The decrease in 2022 was attributable to reductions in interest and fees on ALC loans in connection with the ALC cessation of business strategy, as well as increases in interest expense resulting from the rising rate environment. Comparing 2022 to 2021, interest and fees on ALC loans decreased by $4.3 million, while the Company's interest expense increased by $1.3 million. These reductions in net interest income were mostly offset by growth of $5.6 million in interest income attributable to the Bank’s other earning asset categories comparing 2022 to 2021. Full-year net interest margin was 4.07% in 2022, compared to 4.23% in 2021. As ALC’s loan portfolio continues to pay down, there will be continued reduction in interest and fees attributable to ALC’s loans. As of December 31, 2022, remaining loans, net of unearned interest and fees, in ALC’s portfolio totaled $20.2 million. This amount represents a reduction of 57.9% of total loans in ALC’s portfolio from September 30, 2021, immediately following implementation of the cessation of business strategy. As the pay down of ALC’s loans continues, the Company is continuing efforts to deploy funds in the Bank’s other loan and investment categories in order to offset reductions in interest income resulting from the pay down.

 

Deposit Growth and Deployment of Funds – Deposits totaled $870.0 million as of December 31, 2022, compared to $846.5 million as of September 30, 2022, and $838.1 million as of December 31, 2021. Core deposits, which exclude time deposits of $250 thousand or more, totaled $778.1 million, or 89.4% of total deposits, as of December 31, 2022, compared to $775.1 million, or 92.5% of total deposits, as of December 31, 2021. Total average funding costs, including both interest- and noninterest-bearing deposits and borrowings, was 0.77% in 4Q2022, compared to 0.51% in 3Q2022, and 0.33% in 4Q2021. For the year ended December 31, 2022, average funding costs totaled 0.48%, compared to 0.35% for the year ended December 31, 2021. As the cost of deposits and borrowings continues to rise, management seeks to deploy earning assets in an efficient manner to maximize net interest income amid the rising interest rate environment. During 4Q2022, the Company sold investment securities with a principal balance totaling $8.6 million at a net loss of $83 thousand. The intent of these sales was to effectively prune the investment portfolio and allow for reinvestment in higher-earning assets in future periods. Investment securities, including both the available-for-sale and held-to-maturity portfolios, totaled $132.7 million as of December 31, 2022, compared to $145.9 million as of September 30, 2022, and $134.3 million as of December 31, 2021.

 

Loan Loss Provision – The Company's loan loss provision totaled $0.5 million in 4Q2022, compared to $1.2 million in 3Q2022, and $0.5 million in 4Q2021. The reduction in provision compared to 3Q2022 resulted primarily from reduced loan growth in 4Q2022, particularly in the Bank’s indirect consumer portfolio. For the year ended December 31, 2022, loan loss provisions totaled $3.3 million, compared to $2.0 million for the year ended December 31, 2021. The increase in provision expense comparing 2022 to 2021 reflected both an increase in charge-offs associated with ALC’s loan portfolio, as well as qualitative adjustments applied to the portfolio in response to heightened inflationary trends and other economic uncertainties that emerged in 2022. In management’s view, the combination of the business cessation strategy, coupled with deteriorating economic conditions, including elevated inflation levels, increased overall credit risk during 2022, particularly in ALC’s loan portfolio. Loan loss provisions recorded by the Company during 2022 included expense of $2.0 million associated with ALC’s loans and $1.3 million associated with the Bank’s portfolio. While loan loss provisions at ALC resulted primarily from increased charge-offs and heightened economic risk factors, provisions at the Bank resulted primarily from loan growth. Due to its classification as a smaller reporting company by the Securities and Exchange Commission, the Company is not required to adopt the Current Expected Credit Loss (CECL) model to account for credit losses until 2023. Management has calculated a preliminary allowance for credit losses under the CECL accounting model as of January 1, 2023. Although the calculation is not final, and is subject to further evaluation, management currently expects to record an increase to credit loss reserves upon the adoption of CECL of approximately $2.4 million. Of this amount, approximately $0.7 million, or 29%, is associated with ALC’s run-off loan portfolio, while the remainder is associated with the Bank’s loan portfolio. In accordance with CECL transition accounting guidance, the adjustment will be recorded directly to retained earnings during the first quarter of 2023 and will not impact the Company’s current period earnings.

 

2

 

 

First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

Non-interest Income – Non-interest income totaled $0.7 million in 4Q2022, compared to $1.1 million in 3Q2022 and $0.9 million in 4Q2021. The decrease comparing 4Q2022 to 3Q2022 resulted primarily from gains on the sale of premises and equipment in 3Q2022 that were not repeated in 4Q2022, as well as losses associated with investment securities sales in 4Q2022. Compared to 4Q2021, the reduction in 4Q2022 resulted from the losses on sales of investment securities, combined with reduced service charge and other ancillary revenues comparing the two periods. For both years ended December 31, 2022 and 2021, non-interest income totaled $3.5 million.

 

Non-interest Expense – Non-interest expense totaled $7.1 million in 4Q2022, compared to $7.0 million in 3Q2022, and $7.4 million in 4Q2021. The increase in expense comparing 4Q2022 to 3Q2022 resulted primarily from various miscellaneous expense categories, combined with a modest increase in salaries and benefits. For the year ended December 31, 2022, non-interest expense totaled $28.1 million, compared to $32.8 million for the year ended December 31, 2021, a decrease of 14.3%. The year-over-year expense decrease resulted primarily from the cessation of ALC's business, as well as other efficiency efforts conducted by the Bank. As a result of these efforts, significant reductions were realized associated with salaries and employee benefits, occupancy and equipment, and other expenses associated with technology and professional services. Non-interest expense during 2022 was further reduced by $0.3 million in nonrecurring net gains on the sale of other real estate owned (OREO). Due primarily to the significant reduction in non-interest expense, the Company's efficiency ratio improved to 69.5% for the year ended December 31, 2022, compared to 80.9% for the year ended December 31, 2021.

 

Asset Quality – The Company’s nonperforming assets, including loans in non-accrual status and OREO, totaled $2.3 million as of December 31, 2022, compared to $2.8 million as of September 30, 2022, and $4.2 million as of December 31, 2021. The reduction in nonperforming assets during 2022 resulted mostly from the sale of OREO properties during the period. Reductions in OREO totaled $1.5 million during 2022 and included the sales of banking centers that were closed in 2021. As a percentage of total assets, non-performing assets totaled 0.24% as of December 31, 2022, compared to 0.28% as of September 30, 2022, and 0.43% as of December 31, 2021. Net charge-offs as a percentage of average loans increased in 2022 to 0.30% as of December 31, 2022, compared to 0.16% as of December 31, 2021. The increase resulted from accelerated charge-offs of ALC’s run-off portfolio of loans.

 

Shareholders’ Equity – As of December 31, 2022, shareholders’ equity totaled $85.1 million, compared to $90.1 million as of December 31, 2021. The decrease in shareholders’ equity resulted from reductions in accumulated other comprehensive income due to declines in the market value of the Company’s available-for-sale investment portfolio, as well as repurchases of shares of the Company’s common stock during the year ended December 31, 2022. The market value declines in investment securities available-for-sale were the direct result of the increasing interest rate environment in 2022. No other-than-temporary impairment was recognized in the portfolio as of December 31, 2022. The market value decrease in available-for-sale securities was partially offset by an increase in the market value of cash flow derivative instruments that hedge certain deposits and borrowings on the Company’s balance sheet. As of December 31, 2022, the Company’s ratio of tangible common equity to tangible assets totaled 7.84%, compared to 7.67% as of September 30, 2022, and 8.63% as of December 31, 2021.

 

Share Repurchases - During 2022, the Company completed share repurchases totaling 412,400 shares of its common stock at a weighted average price per share of $10.87. The repurchases were completed under the Company’s existing share repurchase program, which was amended in April 2021 to allow for the repurchase of additional shares. During 4Q2022, the share repurchase program was extended through December 31, 2023. Under the program, 596,813 shares remain available for repurchase as of December 31, 2022. No shares were repurchased during 4Q2022.

 

Cash Dividend – Commensurate with the earnings growth experienced in 2022, the Company increased its quarterly dividend to $0.05 per share of common stock in 4Q2022, a 67% increase over the dividend of $0.03 per share paid during the previous three quarters of 2022 and all four quarters of 2021.

 

Regulatory Capital –During 4Q2022, the Bank continued to maintain capital ratios at higher levels than required to be considered a “well-capitalized” institution under applicable banking regulations. As of December 31, 2022, the Bank’s common equity Tier 1 capital and Tier 1 risk-based capital ratios were each 11.07%. As of December 31, 2022, its total capital ratio was 12.19%, and its Tier 1 leverage ratio was 9.39%.

 

Liquidity – As of December 31, 2022, the Company continued to maintain excess funding capacity sufficient to provide adequate liquidity for loan growth, capital expenditures and ongoing operations. The Company benefits from a strong core deposit base, a liquid investment securities portfolio and access to funding from a variety of sources, including federal funds lines, Federal Home Loan Bank advances and brokered deposits.

 

 

3

 

 

First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

About First US Bancshares, Inc.

 

First US Bancshares, Inc. (the “Company”) is a bank holding company that operates banking offices in Alabama, Tennessee, and Virginia through First US Bank (the “Bank”). In addition, the Company’s operations include Acceptance Loan Company, Inc. (“ALC”), a consumer loan company, and FUSB Reinsurance, Inc., an underwriter of credit life and credit accident and health insurance policies sold to the Bank’s and ALC’s consumer loan customers. The Company files periodic reports with the U.S. Securities and Exchange Commission (the “SEC”). Copies of its filings may be obtained through the SEC’s website at www.sec.gov or at www.firstusbank.com. More information about the Company and the Bank may be obtained at www.firstusbank.com. The Company’s stock is traded on the Nasdaq Capital Market under the symbol “FUSB.”

 

Forward-Looking Statements

 

This press release contains forward-looking statements, as defined by federal securities laws. Statements contained in this press release that are not historical facts are forward-looking statements. These statements may address issues that involve significant risks, uncertainties, estimates and assumptions made by management. The Company undertakes no obligation to update these statements following the date of this press release, except as required by law. In addition, the Company, through its senior management, may make from time to time forward-looking public statements concerning the matters described herein. Such forward-looking statements are necessarily estimates reflecting the best judgment of the Company’s senior management based upon current information and involve a number of risks and uncertainties.

 

Certain factors that could affect the accuracy of such forward-looking statements and cause actual results to differ materially from those projected in such forward-looking statements are identified in the public filings made by the Company with the SEC, and forward-looking statements contained in this press release or in other public statements of the Company or its senior management should be considered in light of those factors. Such factors may include the rate of growth (or lack thereof) in the economy generally and in the Company’s service areas; the impact of the current COVID-19 pandemic on the Company’s business, the Company’s customers, the communities that the Company serves and the United States economy, including the impact of actions taken by governmental authorities to try to contain the virus and protect against it, through vaccinations and otherwise, or address the impact of the virus on the United States economy (including, without limitation, the Coronavirus Aid, Relief and Economic Security (CARES) Act and subsequent federal legislation) and the resulting effect on the Company’s operations, liquidity and capital position and on the financial condition of the Company’s borrowers and other customers; the impact of changing accounting standards and tax laws on the Company’s allowance for loan losses and financial results; the impact of national and local market conditions on the Company’s business and operations; strong competition in the banking industry; the impact of changes in interest rates and monetary policy on the Company’s performance and financial condition; the pending discontinuation of LIBOR as an interest rate benchmark; the impact of technological changes in the banking and financial service industries and potential information system failures; cybersecurity and data privacy threats; the costs of complying with extensive governmental regulation; the possibility that acquisitions may not produce anticipated results and result in unforeseen integration difficulties; and other risk factors described from time to time in the Company’s public filings, including, but not limited to, the Company’s most recent Annual Report on Form 10-K. Relative to the Company’s dividend policy, the payment of cash dividends is subject to the discretion of the Board of Directors and will be determined in light of then-current conditions, including the Company’s earnings, leverage, operations, financial conditions, capital requirements and other factors deemed relevant by the Board of Directors. In the future, the Board of Directors may change the Company’s dividend policy, including the frequency or amount of any dividend, in light of then-existing conditions.

 

4

 

 

First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

 

FIRST US BANCSHARES, INC. AND SUBSIDIARIES

SELECTED FINANCIAL DATA – LINKED QUARTERS

(Dollars in Thousands, Except Per Share Data)

 

 

 

Quarter Ended

 

 

Year Ended

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

 

 

December
31,

 

 

September
30,

 

 

June
30,

 

 

March
31,

 

 

December
31,

 

 

December
31,

 

 

December
31,

 

Results of Operations:

 

(Unaudited)

 

 

(Unaudited)

 

 

(Unaudited)

 

 

(Unaudited)

 

 

(Unaudited)

 

 

(Unaudited)

 

 

 

 

Interest income

 

$

11,621

 

 

$

10,670

 

 

$

9,525

 

 

$

9,381

 

 

$

9,987

 

 

$

41,197

 

 

$

39,921

 

Interest expense

 

 

1,730

 

 

 

1,155

 

 

 

699

 

 

 

672

 

 

 

727

 

 

 

4,256

 

 

 

2,950

 

Net interest income

 

 

9,891

 

 

 

9,515

 

 

 

8,826

 

 

 

8,709

 

 

 

9,260

 

 

 

36,941

 

 

 

36,971

 

Provision for loan and lease losses

 

 

527

 

 

 

1,165

 

 

 

895

 

 

 

721

 

 

 

493

 

 

 

3,308

 

 

 

2,010

 

Net interest income after provision for loan
   and lease losses

 

 

9,364

 

 

 

8,350

 

 

 

7,931

 

 

 

7,988

 

 

 

8,767

 

 

 

33,633

 

 

 

34,961

 

Non-interest income

 

 

678

 

 

 

1,088

 

 

 

856

 

 

 

829

 

 

 

865

 

 

 

3,451

 

 

 

3,521

 

Non-interest expense

 

 

7,106

 

 

 

7,032

 

 

 

6,878

 

 

 

7,056

 

 

 

7,414

 

 

 

28,072

 

 

 

32,756

 

Income before income taxes

 

 

2,936

 

 

 

2,406

 

 

 

1,909

 

 

 

1,761

 

 

 

2,218

 

 

 

9,012

 

 

 

5,726

 

Provision for income taxes

 

 

708

 

 

 

546

 

 

 

494

 

 

 

400

 

 

 

507

 

 

 

2,148

 

 

 

1,275

 

Net income

 

$

2,228

 

 

$

1,860

 

 

$

1,415

 

 

$

1,361

 

 

$

1,711

 

 

$

6,864

 

 

$

4,451

 

Per Share Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic net income per share

 

$

0.37

 

 

$

0.31

 

 

$

0.23

 

 

$

0.22

 

 

$

0.27

 

 

$

1.13

 

 

$

0.70

 

Diluted net income per share

 

$

0.35

 

 

$

0.29

 

 

$

0.22

 

 

$

0.20

 

 

$

0.25

 

 

$

1.06

 

 

$

0.66

 

Dividends declared

 

$

0.05

 

 

$

0.03

 

 

$

0.03

 

 

$

0.03

 

 

$

0.03

 

 

$

0.14

 

 

$

0.12

 

Key Measures (Period End):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

$

994,667

 

 

$

989,277

 

 

$

955,385

 

 

$

968,646

 

 

$

958,302

 

 

 

 

 

 

 

Tangible assets (1)

 

 

986,866

 

 

 

981,421

 

 

 

947,462

 

 

 

960,650

 

 

 

950,233

 

 

 

 

 

 

 

Loans, net of allowance for loan losses

 

 

764,451

 

 

 

740,898

 

 

 

705,886

 

 

 

669,846

 

 

 

700,030

 

 

 

 

 

 

 

Allowance for loan and lease losses

 

 

9,422

 

 

 

9,373

 

 

 

8,751

 

 

 

8,484

 

 

 

8,320

 

 

 

 

 

 

 

Investment securities, net

 

 

132,657

 

 

 

145,903

 

 

 

152,536

 

 

 

137,736

 

 

 

134,319

 

 

 

 

 

 

 

Total deposits

 

 

870,025

 

 

 

846,537

 

 

 

844,296

 

 

 

853,117

 

 

 

838,126

 

 

 

 

 

 

 

Short-term borrowings

 

 

20,038

 

 

 

40,106

 

 

 

10,088

 

 

 

10,062

 

 

 

10,046

 

 

 

 

 

 

 

Long-term borrowings

 

 

10,726

 

 

 

10,708

 

 

 

10,690

 

 

 

10,671

 

 

 

10,653

 

 

 

 

 

 

 

Total shareholders’ equity

 

 

85,135

 

 

 

83,103

 

 

 

82,576

 

 

 

87,807

 

 

 

90,064

 

 

 

 

 

 

 

Tangible common equity (1)

 

 

77,334

 

 

 

75,247

 

 

 

74,653

 

 

 

79,811

 

 

 

81,995

 

 

 

 

 

 

 

Book value per common share

 

 

14.65

 

 

 

14.30

 

 

 

14.05

 

 

 

14.33

 

 

 

14.59

 

 

 

 

 

 

 

Tangible book value per common share (1)

 

 

13.31

 

 

 

12.95

 

 

 

12.70

 

 

 

13.02

 

 

 

13.28

 

 

 

 

 

 

 

Key Ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets (annualized)

 

 

0.90

%

 

 

0.75

%

 

 

0.58

%

 

 

0.58

%

 

 

0.71

%

 

 

0.70

%

 

 

0.47

%

Return on average common equity (annualized)

 

 

10.60

%

 

 

8.78

%

 

 

6.55

%

 

 

6.17

%

 

 

7.54

%

 

 

7.99

%

 

 

5.01

%

Return on average tangible common equity (annualized) (1)

 

 

11.70

%

 

 

9.69

%

 

 

7.21

%

 

 

6.77

%

 

 

8.29

%

 

 

8.80

%

 

 

5.52

%

Net interest margin

 

 

4.27

%

 

 

4.10

%

 

 

3.91

%

 

 

3.97

%

 

 

4.10

%

 

 

4.07

%

 

 

4.23

%

Efficiency ratio (2)

 

 

67.2

%

 

 

66.3

%

 

 

71.0

%

 

 

74.0

%

 

 

73.2

%

 

 

69.5

%

 

 

80.9

%

Net loans to deposits

 

 

87.9

%

 

 

87.5

%

 

 

83.6

%

 

 

78.5

%

 

 

83.5

%

 

 

 

 

 

 

Net loans to assets

 

 

76.9

%

 

 

74.9

%

 

 

73.9

%

 

 

69.2

%

 

 

73.0

%

 

 

 

 

 

 

Tangible common equity to tangible assets (1)

 

 

7.84

%

 

 

7.67

%

 

 

7.88

%

 

 

8.31

%

 

 

8.63

%

 

 

 

 

 

 

Tier 1 leverage ratio (3)

 

 

9.39

%

 

 

9.23

%

 

 

9.33

%

 

 

9.38

%

 

 

9.17

%

 

 

 

 

 

 

Allowance for loan losses as % of loans

 

 

1.22

%

 

 

1.25

%

 

 

1.22

%

 

 

1.25

%

 

 

1.17

%

 

 

 

 

 

 

Nonperforming assets as % of total assets

 

 

0.24

%

 

 

0.28

%

 

 

0.18

%

 

 

0.32

%

 

 

0.43

%

 

 

 

 

 

 

Net charge-offs as a percentage of average loans

 

 

0.25

%

 

 

0.29

%

 

 

0.36

%

 

 

0.32

%

 

 

0.18

%

 

 

0.30

%

 

 

0.16

%

 

(1)  Refer to Non-GAAP reconciliation of tangible balances and measures beginning on page 11.

(2)  Efficiency ratio = non-interest expense / (net interest income + non-interest income)

(3)  First US Bank Tier 1 leverage ratio

 

 

 

5

 

 

First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

 

FIRST US BANCSHARES, INC. AND SUBSIDIARIES

NET INTEREST MARGIN

THREE MONTHS ENDED December 31, 2022 AND 2021

(Dollars in Thousands)

(Unaudited)

 

 

 

Three Months Ended

 

 

Three Months Ended

 

 

 

December 31, 2022

 

 

December 31, 2021

 

 

 

Average
Balance

 

 

Interest

 

 

Annualized
Yield/
Rate %

 

 

Average
Balance

 

 

Interest

 

 

Annualized
Yield/
Rate %

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-earning assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans

 

$

759,128

 

 

$

10,677

 

 

 

5.58

%

 

$

715,882

 

 

$

9,503

 

 

 

5.27

%

Taxable investment securities

 

 

137,894

 

 

 

735

 

 

 

2.11

%

 

 

127,605

 

 

 

444

 

 

 

1.38

%

Tax-exempt investment securities

 

 

1,746

 

 

 

5

 

 

 

1.14

%

 

 

3,091

 

 

 

13

 

 

 

1.67

%

Federal Home Loan Bank stock

 

 

1,491

 

 

 

20

 

 

 

5.32

%

 

 

870

 

 

 

8

 

 

 

3.65

%

Federal funds sold

 

 

995

 

 

 

10

 

 

 

3.99

%

 

 

80

 

 

 

—

 

 

 

—

 

Interest-bearing deposits in banks

 

 

18,340

 

 

 

174

 

 

 

3.76

%

 

 

48,310

 

 

 

19

 

 

 

0.16

%

Total interest-earning assets

 

 

919,594

 

 

 

11,621

 

 

 

5.01

%

 

 

895,838

 

 

 

9,987

 

 

 

4.42

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-earning assets

 

 

66,369

 

 

 

 

 

 

 

 

 

66,147

 

 

 

 

 

 

 

Total

 

$

985,963

 

 

 

 

 

 

 

 

$

961,985

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing deposits:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Demand deposits

 

$

237,049

 

 

$

200

 

 

 

0.33

%

 

$

244,258

 

 

$

128

 

 

 

0.21

%

Savings deposits

 

 

215,728

 

 

 

510

 

 

 

0.94

%

 

 

204,063

 

 

 

145

 

 

 

0.28

%

Time deposits

 

 

224,373

 

 

 

707

 

 

 

1.25

%

 

 

212,891

 

 

 

295

 

 

 

0.55

%

Total interest-bearing deposits

 

 

677,150

 

 

 

1,417

 

 

 

0.83

%

 

 

661,212

 

 

 

568

 

 

 

0.34

%

Noninterest-bearing demand deposits

 

 

179,568

 

 

 

—

 

 

 

—

 

 

 

179,331

 

 

 

—

 

 

 

—

 

Total deposits

 

 

856,718

 

 

 

1,417

 

 

 

0.66

%

 

 

840,543

 

 

 

568

 

 

 

0.27

%

Borrowings

 

 

36,144

 

 

 

313

 

 

 

3.44

%

 

 

20,678

 

 

 

159

 

 

 

3.05

%

Total funding costs

 

 

892,862

 

 

 

1,730

 

 

 

0.77

%

 

 

861,221

 

 

 

727

 

 

 

0.33

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other noninterest-bearing liabilities

 

 

9,711

 

 

 

 

 

 

 

 

 

10,758

 

 

 

 

 

 

 

Shareholders’ equity

 

 

83,390

 

 

 

 

 

 

 

 

 

90,006

 

 

 

 

 

 

 

Total

 

$

985,963

 

 

 

 

 

 

 

 

$

961,985

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

 

 

 

 

$

9,891

 

 

 

 

 

 

 

 

$

9,260

 

 

 

 

Net interest margin

 

 

 

 

 

 

 

 

4.27

%

 

 

 

 

 

 

 

 

4.10

%

 

 

 

6

 

 

First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

 

FIRST US BANCSHARES, INC. AND SUBSIDIARIES

NET INTEREST MARGIN

year ended December 31, 2022 AND 2021

(Dollars in Thousands)

(Unaudited)

 

 

 

Year Ended

 

 

Year Ended

 

 

 

December 31, 2022

 

 

December 31, 2021

 

 

 

Average
Balance

 

 

Interest

 

 

Annualized Yield/
Rate %

 

 

Average
Balance

 

 

Interest

 

 

Annualized Yield/
Rate %

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-earning assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans

 

$

724,639

 

 

$

38,015

 

 

 

5.25

%

 

$

685,010

 

 

$

38,229

 

 

 

5.58

%

Taxable investment securities

 

 

141,283

 

 

 

2,631

 

 

 

1.86

%

 

 

107,141

 

 

 

1,503

 

 

 

1.40

%

Tax-exempt investment securities

 

 

2,342

 

 

 

36

 

 

 

1.54

%

 

 

3,370

 

 

 

60

 

 

 

1.78

%

Federal Home Loan Bank stock

 

 

1,247

 

 

 

53

 

 

 

4.25

%

 

 

928

 

 

 

34

 

 

 

3.66

%

Federal funds sold

 

 

584

 

 

 

22

 

 

 

3.77

%

 

 

83

 

 

 

—

 

 

 

—

 

Interest-bearing deposits in banks

 

 

38,379

 

 

 

440

 

 

 

1.15

%

 

 

76,972

 

 

 

95

 

 

 

0.12

%

Total interest-earning assets

 

 

908,474

 

 

 

41,197

 

 

 

4.53

%

 

 

873,504

 

 

 

39,921

 

 

 

4.57

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-earning assets

 

 

65,855

 

 

 

 

 

 

 

 

 

66,782

 

 

 

 

 

 

 

Total

 

$

974,329

 

 

 

 

 

 

 

 

$

940,286

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing deposits:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Demand deposits

 

$

246,124

 

 

$

638

 

 

 

0.26

%

 

$

236,084

 

 

$

553

 

 

 

0.23

%

Savings deposits

 

 

208,672

 

 

 

1,204

 

 

 

0.58

%

 

 

193,766

 

 

 

599

 

 

 

0.31

%

Time deposits

 

 

212,591

 

 

 

1,540

 

 

 

0.72

%

 

 

226,425

 

 

 

1,517

 

 

 

0.67

%

Total interest-bearing deposits

 

 

667,387

 

 

 

3,382

 

 

 

0.51

%

 

 

656,275

 

 

 

2,669

 

 

 

0.41

%

Noninterest-bearing demand deposits

 

 

182,032

 

 

 

—

 

 

 

—

 

 

 

172,187

 

 

 

—

 

 

 

—

 

Total deposits

 

 

849,419

 

 

 

3,382

 

 

 

0.40

%

 

 

828,462

 

 

 

2,669

 

 

 

0.32

%

Borrowings

 

 

30,048

 

 

 

874

 

 

 

2.91

%

 

 

13,512

 

 

 

281

 

 

 

2.08

%

Total funding costs

 

 

879,467

 

 

 

4,256

 

 

 

0.48

%

 

 

841,974

 

 

 

2,950

 

 

 

0.35

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other noninterest-bearing liabilities

 

 

8,977

 

 

 

 

 

 

 

 

 

9,416

 

 

 

 

 

 

 

Shareholders’ equity

 

 

85,885

 

 

 

 

 

 

 

 

 

88,896

 

 

 

 

 

 

 

Total

 

$

974,329

 

 

 

 

 

 

 

 

$

940,286

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

 

 

 

 

$

36,941

 

 

 

 

 

 

 

 

$

36,971

 

 

 

 

Net interest margin

 

 

 

 

 

 

 

 

4.07

%

 

 

 

 

 

 

 

 

4.23

%

 

 

7

 

 

First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

 

FIRST US BANCSHARES, INC. AND SUBSIDIARIES

YEAR-END CONDENSED CONSOLIDATED BALANCE SHEETS

(Dollars in Thousands, Except Per Share Data)

 

 

 

December 31,

 

 

December 31,

 

 

 

2022

 

 

2021

 

 

 

(Unaudited)

 

 

 

 

ASSETS

 

Cash and due from banks

 

$

11,844

 

 

$

10,843

 

Interest-bearing deposits in banks

 

 

18,308

 

 

 

50,401

 

Total cash and cash equivalents

 

 

30,152

 

 

 

61,244

 

Federal funds sold

 

 

1,768

 

 

 

82

 

Investment securities available-for-sale, at fair value

 

 

130,795

 

 

 

130,883

 

Investment securities held-to-maturity, at amortized cost

 

 

1,862

 

 

 

3,436

 

Federal Home Loan Bank stock, at cost

 

 

1,359

 

 

 

870

 

Loans, net of allowance for loan and lease losses of $9,422 and $8,320, respectively

 

 

764,451

 

 

 

700,030

 

Premises and equipment, net of accumulated depreciation of $21,623 and $21,916,
   respectively

 

 

24,439

 

 

 

25,123

 

Cash surrender value of bank-owned life insurance

 

 

16,399

 

 

 

16,141

 

Accrued interest receivable

 

 

3,011

 

 

 

2,556

 

Goodwill and core deposit intangible, net

 

 

7,801

 

 

 

8,069

 

Other real estate owned

 

 

686

 

 

 

2,149

 

Other assets

 

 

11,944

 

 

 

7,719

 

Total assets

 

$

994,667

 

 

$

958,302

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

Deposits:

 

 

 

 

 

 

Non-interest-bearing

 

$

169,822

 

 

$

174,501

 

Interest-bearing

 

 

700,203

 

 

 

663,625

 

Total deposits

 

 

870,025

 

 

 

838,126

 

Accrued interest expense

 

 

607

 

 

 

224

 

Other liabilities

 

 

8,136

 

 

 

9,189

 

Short-term borrowings

 

 

20,038

 

 

 

10,046

 

Long-term borrowings

 

 

10,726

 

 

 

10,653

 

Total liabilities

 

 

909,532

 

 

 

868,238

 

Shareholders’ equity:

 

 

 

 

 

 

Common stock, par value $0.01 per share, 10,000,000 shares authorized; 7,679,659 and
    7,634,918 shares issued, respectively; 5,812,258 and 6,172,378 shares outstanding,
   respectively

 

 

75

 

 

 

75

 

Additional paid-in capital

 

 

14,510

 

 

 

14,163

 

Accumulated other comprehensive loss, net of tax

 

 

(7,241

)

 

 

(276

)

Retained earnings

 

 

104,460

 

 

 

98,428

 

Less treasury stock: 1,867,401 and 1,462,540 shares at cost, respectively

 

 

(26,669

)

 

 

(22,326

)

Total shareholders’ equity

 

 

85,135

 

 

 

90,064

 

Total liabilities and shareholders’ equity

 

$

994,667

 

 

$

958,302

 

 

8

 

 

First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

 

FIRST US BANCSHARES, INC. AND SUBSIDIARIES

YEAR-END CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Dollars in Thousands, Except Per Share Data)

 

 

 

Three Months Ended

 

 

Year Ended

 

 

 

December 31,

 

 

December 31,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

 

 

(Unaudited)

 

 

(Unaudited)

 

 

(Unaudited)

 

 

 

 

Interest income:

 

 

 

 

 

 

 

 

 

 

 

 

Interest and fees on loans

 

$

10,676

 

 

$

9,503

 

 

$

38,015

 

 

$

38,229

 

Interest on investment securities

 

 

945

 

 

 

484

 

 

 

3,182

 

 

 

1,692

 

Total interest income

 

 

11,621

 

 

 

9,987

 

 

 

41,197

 

 

 

39,921

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

Interest on deposits

 

 

1,418

 

 

 

569

 

 

 

3,382

 

 

 

2,669

 

Interest on borrowings

 

 

312

 

 

 

158

 

 

 

874

 

 

 

281

 

Total interest expense

 

 

1,730

 

 

 

727

 

 

 

4,256

 

 

 

2,950

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

 

 

9,891

 

 

 

9,260

 

 

 

36,941

 

 

 

36,971

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Provision for loan and lease losses

 

 

527

 

 

 

493

 

 

 

3,308

 

 

 

2,010

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income after provision for loan and lease losses

 

 

9,364

 

 

 

8,767

 

 

 

33,633

 

 

 

34,961

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest income:

 

 

 

 

 

 

 

 

 

 

 

 

Service and other charges on deposit accounts

 

 

250

 

 

 

292

 

 

 

1,154

 

 

 

1,069

 

Net (loss) gain on sales and prepayments of investment securities

 

 

(83

)

 

 

—

 

 

 

(83

)

 

 

22

 

Lease income

 

 

229

 

 

 

211

 

 

 

864

 

 

 

830

 

Other income, net

 

 

282

 

 

 

362

 

 

 

1,516

 

 

 

1,600

 

Total non-interest income

 

 

678

 

 

 

865

 

 

 

3,451

 

 

 

3,521

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

4,029

 

 

 

4,206

 

 

 

16,418

 

 

 

19,157

 

Net occupancy and equipment

 

 

813

 

 

 

1,070

 

 

 

3,281

 

 

 

4,388

 

Computer services

 

 

415

 

 

 

421

 

 

 

1,639

 

 

 

1,832

 

Fees for professional services

 

 

249

 

 

 

272

 

 

 

1,060

 

 

 

1,275

 

Other expense

 

 

1,600

 

 

 

1,445

 

 

 

5,674

 

 

 

6,104

 

Total non-interest expense

 

 

7,106

 

 

 

7,414

 

 

 

28,072

 

 

 

32,756

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before income taxes

 

 

2,936

 

 

 

2,218

 

 

 

9,012

 

 

 

5,726

 

Provision for income taxes

 

 

708

 

 

 

507

 

 

 

2,148

 

 

 

1,275

 

Net income

 

$

2,228

 

 

$

1,711

 

 

$

6,864

 

 

$

4,451

 

Basic net income per share

 

$

0.37

 

 

$

0.27

 

 

$

1.13

 

 

$

0.70

 

Diluted net income per share

 

$

0.35

 

 

$

0.25

 

 

$

1.06

 

 

$

0.66

 

Dividends per share

 

$

0.05

 

 

$

0.03

 

 

$

0.14

 

 

$

0.12

 

 

 

9

 

 

First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

Non-GAAP Financial Measures

 

In addition to the financial results presented in this press release that have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), the Company’s management believes that certain non-GAAP financial measures and ratios are beneficial to the reader. These non-GAAP measures have been provided to enhance overall understanding of the Company’s current financial performance and position. Management believes that these presentations provide meaningful comparisons of financial performance and position in various periods and can be used as a supplement to the GAAP-based measures presented in this press release. The non-GAAP financial results presented should not be considered a substitute for the GAAP-based results. Management believes that both GAAP measures of the Company’s financial performance and the respective non-GAAP measures should be considered together.

 

The non-GAAP measures and ratios that have been provided in this press release include measures of tangible assets and equity and certain ratios that include tangible assets and equity. Discussion of these measures and ratios is included below, along with reconciliations of such non-GAAP measures to GAAP amounts included in the financial statements previously presented in this press release.

 

Tangible Balances and Measures

 

In addition to capital ratios defined by GAAP and banking regulators, the Company utilizes various tangible common equity measures when evaluating capital utilization and adequacy. These measures, which are presented in the financial tables in this press release, may also include calculations of tangible assets. As defined by the Company, tangible common equity represents shareholders’ equity less goodwill and identifiable intangible assets, while tangible assets represent total assets less goodwill and identifiable intangible assets.

 

Management believes that the measures of tangible equity are important because they reflect the level of capital available to withstand unexpected market conditions. In addition, presentation of these measures allows readers to compare certain aspects of the Company’s capitalization to other organizations. In management’s experience, many stock analysts use tangible common equity measures in conjunction with more traditional bank capital ratios to compare capital adequacy of banking organizations with significant amounts of goodwill or other intangible assets that typically result from the use of the purchase accounting method in accounting for mergers and acquisitions.

 

These calculations are intended to complement the capital ratios defined by GAAP and banking regulators. Because GAAP does not include these measures, management believes that there are no comparable GAAP financial measures to the tangible common equity ratios that the Company utilizes. Despite the importance of these measures to the Company, there are no standardized definitions for the measures, and, therefore, the Company’s calculations may not be comparable with those of other organizations. In addition, there may be limits to the usefulness of these measures to investors. Accordingly, management encourages readers to consider the Company’s consolidated financial statements in their entirety and not to rely on any single financial measure. The table below reconciles the Company’s calculations of these measures to amounts reported in accordance with GAAP.

 

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First US Bancshares, Inc. Reports Fourth Quarter and Full Year 2022 Results

January 25, 2023

 

 

 

 

 

 

 

Quarter Ended

 

 

Year Ended

 

 

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

 

 

 

 

December
31,

 

 

September
30,

 

 

June
30,

 

 

March
31,

 

 

December
31,

 

 

December 31,

 

 

December 31,

 

 

 

 

 

(Dollars in Thousands, Except Per Share Data)

 

 

 

 

 

(Unaudited Reconciliation)

 

TANGIBLE BALANCES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

 

 

$

994,667

 

 

$

989,277

 

 

$

955,385

 

 

$

968,646

 

 

$

958,302

 

 

 

 

 

 

 

Less: Goodwill

 

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

 

 

 

 

Less: Core deposit intangible

 

 

 

 

366

 

 

 

421

 

 

 

488

 

 

 

561

 

 

 

634

 

 

 

 

 

 

 

Tangible assets

 

(a)

 

$

986,866

 

 

$

981,421

 

 

$

947,462

 

 

$

960,650

 

 

$

950,233

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total shareholders’ equity

 

 

 

$

85,135

 

 

$

83,103

 

 

$

82,576

 

 

$

87,807

 

 

$

90,064

 

 

 

 

 

 

 

Less: Goodwill

 

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

 

 

 

 

Less: Core deposit intangible

 

 

 

 

366

 

 

 

421

 

 

 

488

 

 

 

561

 

 

 

634

 

 

 

 

 

 

 

Tangible common equity

 

(b)

 

$

77,334

 

 

$

75,247

 

 

$

74,653

 

 

$

79,811

 

 

$

81,995

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average shareholders’ equity

 

 

 

$

83,390

 

 

$

84,085

 

 

$

86,650

 

 

$

89,502

 

 

$

90,010

 

 

$

85,885

 

 

$

88,896

 

Less: Average goodwill

 

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

 

 

7,435

 

Less: Average core deposit intangible

 

 

 

 

392

 

 

 

451

 

 

 

523

 

 

 

596

 

 

 

669

 

 

 

490

 

 

 

794

 

Average tangible shareholders’ equity

 

(c)

 

$

75,563

 

 

$

76,199

 

 

$

78,692

 

 

$

81,471

 

 

$

81,906

 

 

$

77,960

 

 

$

80,667

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

 

(d)

 

$

2,228

 

 

$

1,860

 

 

$

1,415

 

 

$

1,361

 

 

$

1,711

 

 

$

6,864

 

 

$

4,451

 

Common shares outstanding (in thousands)

 

(e)

 

 

5,812

 

 

 

5,812

 

 

 

5,876

 

 

 

6,130

 

 

 

6,172

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

TANGIBLE MEASURES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible book value per common share

 

(b)/(e)

 

$

13.31

 

 

$

12.95

 

 

$

12.70

 

 

$

13.02

 

 

$

13.28

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible common equity to tangible assets

 

(b)/(a)

 

 

7.84

%

 

 

7.67

%

 

 

7.88

%

 

 

8.31

%

 

 

8.63

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average tangible common equity (annualized)

 

(1)

 

 

11.70

%

 

 

9.69

%

 

 

7.21

%

 

 

6.77

%

 

 

8.29

%

 

 

8.80

%

 

 

5.52

%

 

(1)
Calculation of Return on average tangible common equity (annualized) = ((net income (d) / number of days in period) * number of days in year) / average tangible shareholders’ equity (c)

 

 

 

 

 

 

 

 

Contact:

Thomas S. Elley

 

205-582-1200

 

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