Note 22 - Business Segment Information

12 Months Ended

Dec. 31, 2017

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

Note

22.

Business Segment Information

Selected financial and descriptive information is required to be disclosed for reportable operating segments, applying a

“management perspective” as the basis for identifying reportable segments. The management perspective is determined by the view that management takes of the segments within the Company when making operating decisions, allocating resources, and measuring performance. The segments of the Company have been defined by the structure of the Company’s internal organization, focusing on the financial information that the Company’s operating decision-makers routinely use to make decisions about operating matters.

The Company

’s primary segment, Commercial Banking, is geographically divided by markets into the secondary segments which are the

four

subsidiary banks wholly-owned by the Company: QCBT, CRBT, CSB and RB&T. Each of these secondary segments offer similar products and services, but are managed separately due to different pricing, product demand, and consumer markets. Each offers commercial, consumer, and mortgage loans and deposit services.

The Company

’s Wealth Management segment represents trust and asset management and investment management and advisory services offered at the Company’s

three

subsidiary banks in aggregate. This segment generates income primarily from fees charged based on assets under administration for corporate and personal trusts, custodial services, and investments managed.

No

assets of the subsidiary banks have been allocated to the Wealth Management segment.

The Company

’s All Other segment includes the corporate operations of the parent and operations of all other consolidated subsidiaries and/or defined operating segments that fall below the segment reporting thresholds.

Selected financial information on the Company's business segments, with all intercompany accounts and transactions eliminated, is presented as follows

as of and for the years ended

December 31, 2017,

2016,

and

2015:

	Commercial Banking
	QCBT		CRBT		Guaranty Bank*		CSB		RB&T		Wealth Management		All other			Intercompany Eliminations			Consolidated Total
Twelve Months Ended December 31, 2017
Total revenue	$	58,055,715	$	45,367,035	$	1,806,078	$	31,944,152	$	18,035,971	$	11,057,519	$	232,660		$	(499,520	)	$	165,999,610
Net interest income		46,407,078		31,042,302		1,551,356		27,020,674		12,707,651		-		(2,663,780	)		-			116,065,281
Provision for loan/lease losses		3,908,919		1,050,000		-		2,783,000		728,000		-		-			-			8,469,919
Net income		22,095,055		10,712,174		346,835		7,047,671		2,660,364		2,241,494		(9,397,086	)		-			35,706,507
Goodwill		3,222,688		15,223,179		-		9,888,225		-		-		-			-			28,334,092
Core deposit intangible		-		3,693,592		-		5,385,361		-		-		-			-			9,078,953
Total assets		1,541,777,558		1,307,376,687		-		670,516,373		461,650,765		-		28,267,478			(26,924,088	)		3,982,664,773
Twelve Months Ended December 31, 2016
Total revenue	$	59,442,052	$	37,242,901	$	-	$	11,406,291	$	16,043,894	$	9,156,948	$	109,563		$	4,100,975		$	137,502,624
Net interest income		45,081,080		29,205,047		-		10,004,729		11,887,201		-		(1,661,280	)		-			94,516,777
Provision for loan/lease losses		4,168,166		950,000		-		1,460,000		900,000		-		-			-			7,478,166
Net income		14,116,751		12,317,545		-		2,132,252		3,235,711		1,665,453		(5,780,925	)		-			27,686,787
Goodwill		3,222,688		-		-		9,888,225		-		-		-			-			13,110,913
Core deposit intangible		-		1,271,897		-		6,109,316		-		-		-			-			7,381,213
Total assets		1,395,785,241		913,055,738		-		600,075,798		391,154,780		-		34,998,902			(33,126,711	)		3,301,943,748
Twelve Months Ended December 31, 2015
Total revenue	$	52,914,705	$	37,593,652	$	-	$	-	$	14,816,300	$	9,103,173	$	363,432		$	(424,688	)	$	114,366,574
Net interest income		40,416,563		26,635,659		-		-		10,854,637		-		(1,610,135	)		-			76,296,724
Provision for loan/lease losses		4,367,234		1,750,000		-		-		753,666		-		-			-			6,870,900
Net income		10,333,111		7,695,867		-		-		2,402,522		1,627,586		(5,131,205	)		-			16,927,881
Goodwill		3,222,688		-		-		-		-		-		-			-			3,222,688
Core deposit intangible		-		1,471,409		-		-		-		-		-			-			1,471,409
Total assets		1,336,571,694		866,872,406		-		-		367,471,639		-		27,605,704			(5,323,168	)		2,593,198,275

* Represents financial results for Guaranty Bank for the period from

October 1, 2017

through

December 2, 2017,

when Guaranty Bank was merged into CRBT.