Year-over-year earnings per share growth of 14% and loan growth of 15%
DEFIANCE, Ohio, Oct. 20, 2016 — SB Financial Group, Inc. (NASDAQ: SBFG) (“SB Financial” or the “Company”), a diversified financial services company providing full-service community banking, mortgage banking, wealth management, item and statement processing services, today reported earnings for the third-quarter and nine-months ended September 30, 2016.
Third-quarter 2016 highlights over prior-year third quarter include:
Net income of $2.5 million, an increase of 12.5 percent, or $0.3 million
Diluted earnings per share (EPS) of $0.40, an increase of 14.3 percent, or $0.05 per share
Loan growth of $78.5 million, or 14.5 percent
Deposit growth of $88.6 million, or 15.4 percent
Fully Taxable Equivalent (FTE) net interest margin of 3.82 percent, down 5 basis points
Mortgage origination volume of $117.2 million, an increase of 34.8 percent, or $30.2 million; servicing portfolio of $868.8 million, up 15.7 percent, or $117.8 million
Nine-months ended September 30, 2016, highlights over prior-year nine months include:
Net income of $6.5 million, an increase of 12.5 percent, or $0.7 million
Diluted earnings per share of $1.01, an increase of 14.6 percent, or $0.13 per share
Return on average assets of 1.10 percent
Highlights
Three Months Ended
Nine Months Ended
($000’s except ratios and share data)
Sep. 2016
Sep. 2015
% Change
Sep. 2016
Sep. 2015
% Change
Operating revenue (FTE)
$ 11,772
$ 10,119
16.3%
$ 32,227
$29,641
8.7%
Interest income (FTE)
7,585
6,811
11.4
21,799
19,588
11.3
Interest expense
828
644
28.6
2,333
1,938
20.4
Net interest income (FTE)
6,757
6,167
9.6
19,466
17,650
10.3
Noninterest income
5,015
3,952
26.9
12,761
11,991
6.4
Noninterest expense
7,930
6,626
19.7
22,232
20,088
10.7
Net income
2,547
2,264
12.5
6,467
5,751
12.5
Earnings per diluted share
0.40
0.35
14.3
1.01
0.89
14.6
Net interest margin (FTE)
3.82%
3.87%
(1.3)
3.72%
3.78%
(1.6)
Return on average assets
1.28%
1.26%
1.6
1.10%
1.07%
2.8
Return on average equity
11.90%
11.42%
4.2
10.27%
9.84%
4.4
“Our third-quarter performance was highlighted by our strongest mortgage origination quarter ever, and included double-digit loan and deposit growth and the resolution of a $3.5 million non-performing credit,” said Mark Klein, Chairman, President, and CEO of SB Financial. “Additionally this quarter, our $0.40 per share earnings represented a meaningful contribution from each of our six primary business lines. This strong performance further highlights our successful execution of our key strategic initiatives to drive growth for our company and value for our shareholders.”
RESULTS OF OPERATIONS
Consolidated Revenue
Total operating revenue, consisting of net interest income (FTE) and noninterest income, was up 16.3 percent from the third quarter of 2015, and up 8.8 percent from the linked quarter.
Net interest income (FTE) was up 9.6 percent from the year-ago quarter, and up 3.8 percent from the linked quarter.
Net interest margin (FTE) was down 5 basis points from the year-ago quarter, but up 7 basis points from the linked quarter.
Noninterest income was up 26.9 percent from the year-ago quarter, and up 16.4 percent from the linked quarter.
Total revenue (FTE) for the first nine months of 2016 was $32.2 million, compared to $29.6 million for the first nine months of 2015, which is an 8.7 percent increase.
Mortgage Loan Business
Mortgage loan originations for the third quarter of 2016 were $117.2 million, up $30.2 million, or 34.8 percent, from the year-ago quarter. Total sales of originated loans were $101.1 million, up $31.1 million, or 44.3 percent, from the year-ago quarter.
Net mortgage banking income, consisting of gains on the sale of mortgage loans and net loan servicing fees, was $2.7 million for the third quarter of 2016, compared to $1.8 million for the year-ago quarter, or a 51.6 percent increase. The mortgage servicing valuation adjustment for the third-quarter 2016 was a positive $0.1 million, compared to a negative adjustment for the third quarter of 2015 of $0.1 million. The aggregate servicing valuation impairment ended the quarter at $1.5 million. The mortgage servicing portfolio at September 30, 2016, was $868.8 million, up $117.8 million, or 15.7 percent, from $751.0 million at September 30, 2015.
Mr. Klein noted, “The entire mortgage production team turned in the best quarter in our history. We have again maintained a high level of new money production in the quarter, at 88 percent of total volume. Construction volume has been a key factor in our success this year, and we continue to see momentum in this area.”
Mortgage Banking ($000’s)
Sep. 2016
Jun. 2016
Mar. 2016
Dec. 2015
Sep. 2015
Mortgage originations
$ 117,209
$ 110,210
$ 71,941
$ 67,149
$ 86,965
Mortgage sales
101,147
95,150
59,383
56,302
70,081
Mortgage servicing portfolio
868,783
831,781
792,666
772,533
750,958
Mortgage servicing rights
6,887
6,494
6,608
7,152
6,798
Mortgage servicing revenue:
Loan servicing fees
531
505
491
476
459
OMSR amortization
(397)
(309)
(170)
(157)
(223)
Net administrative fees
134
196
321
319
236
OMSR valuation adjustment
71
(469)
(767)
64
(138)
Net loan servicing fees
205
(273)
(446)
383
98
Gain on sale of mortgages
2,503
2,284
1,383
1,372
1,687
Mortgage banking revenue, net
$2,708
$2,011
$937
$1,755
$1,785
Fee Income and Noninterest Expense
SB Financial’s fee income includes revenue from a diverse group of services, such as wealth management, deposit fees and from sales of small business loans (SBA). Wealth management assets under our management stood at $375.8 million as of September 30, 2016. For the third quarter of 2016, fee income as a percentage of total revenue was 42.9 percent. The servicing rights recapture positively impacted the quarter by $0.1 million.
For the third quarter of 2016, noninterest expense (NIE) of $7.9 million, was up $1.3 million, or 19.7 percent, compared to the same quarter last year. Total staffing levels were up 7.2 percent, due to our new branch locations and increased support in our compliance and mortgage divisions. We also had higher commission expenses related to our mortgage loan volume. Compared to the linked quarter, NIE was up $0.5 million, or 7.1 percent.
Mr. Klein stated, “Once again, total fee income was above 40 percent of total revenue. Mortgage banking delivered record levels of both origination and sales during the quarter. We continued to diversify our fee income, with both SBA lending and wealth management turning in strong quarters.”
Fee Income / Noninterest Expense
($000’s)
Sep. 2016
Jun. 2016
Mar. 2016
Dec. 2015
Sep. 2015
Fee Income
$ 5,015
$ 4,307
$ 3,439
$ 3,716
$ 3,952
Fee Income / Total Revenue
42.9%
40.1%
36.0%
38.3%
39.4%
Fee Income / Average Assets
2.5%
2.2%
1.8%
2.0%
2.2%
Noninterest Expense
$ 7,930
$ 7,407
$ 6,895
$ 6,839
$ 6,626
Efficiency Ratio
67.8%
69.0%
72.2%
70.2%
65.6%
NIE / Average Assets
4.0%
3.8%
3.6%
3.7%
3.7%
Net Noninterest Expense
(1.5)
(1.6)
(1.8)
(1.7)
(1.5)
Balance Sheet
Total assets as of September 30, 2016, were $801.8 million, up $82.6 million, or 11.5 percent, from a year ago. Total equity as of September 30, 2016, was $86.3 million, up 7.4 percent, from a year ago, and was at 10.8 percent of total assets.
Total loans held for investment were $619.4 million at September 30, 2016, up $78.5 million, or 14.5 percent, from September 30, 2015. Commercial real estate loans were up $37.2 million, or 16.1 percent, and accounted for the majority of the total loan growth. Commercial and Residential real estate loans also rose $17.5 million and $12.9 million, or 20.9 percent and 10.2 percent, respectively.
The investment portfolio, including Federal Reserve Bank and Federal Home Loan Bank stock, of $96.4 million represented 12.0 percent of assets at September 30, 2016, and was down 2.8 percent from the year-ago period. Deposit balances of $662.1 million at September 30, 2016, increased by $88.6 million, or 15.4 percent, since September 30, 2015. Growth from the prior year included $23.4 million in checking and $65.2 million in savings and time deposit balances.
Mr. Klein said, “We continued to add high-quality loan volume this quarter, with growth from the linked quarter of $15 million, and from the prior year we are up $79 million. Our net interest margin came in at 3.82 percent, reflecting that growth, as well as the recapture of interest from the large, non-performing credit that paid off during the quarter.”
Loan Portfolio ($000’s)
Sep. 2016
Jun. 2016
Mar. 2016
Dec. 2015
Sep. 2015
Variance YOY
Commercial
$ 101,245
$ 100,651
$ 92,086
$ 86,586
$ 83,741
$ 17,504
% of Total
16.4%
16.6%
16.0%
15.5%
15.5%
20.9%
Commercial RE
268,408
261,923
256,461
242,208
231,249
37,159
% of Total
43.3%
43.3%
44.4%
43.4%
42.8%
16.1%
Agriculture
54,609
52,375
42,467
43,835
46,102
8,507
% of Total
8.8%
8.7%
7.4%
7.9%
8.5%
18.5%
Residential RE
139,757
135,506
132,627
130,806
126,840
12,917
% of Total
22.6%
22.4%
23.0%
23.5%
23.5%
10.2%
Consumer & Other
55,333
54,321
53,493
54,224
52,957
2,376
% of Total
8.9%
9.0%
9.3%
9.7%
9.7%
4.5%
Total Loans
$619,352
$604,776
$577,134
$557,659
$540,889
$ 78,463
Total Growth Percentage
14.5%
Deposit Bal. ($000’s)
Sep. 2016
Jun. 2016
Mar. 2016
Dec. 2015
Sep. 2015
Variance YOY
Non-Int DDA
$ 116,976
$ 110,899
$ 112,209
$ 113,113
$ 102,460
$ 14,516
% of Total
17.7%
17.1%
17.6%
19.3%
17.9%
14.2%
Interest DDA
135,729
129,658
138,235
126,443
126,816
8,913
% of Total
20.5%
20.0%
21.7%
21.6%
22.1%
7.0%
Savings
89,265
84,975
86,038
83,447
77,809
11,456
% of Total
13.5%
13.1%
13.5%
14.2%
13.6%
14.7%
Money Market
126,501
134,365
120,672
104,412
107,538
18,963
% of Total
19.1%
20.7%
18.9%
17.8%
18.7%
17.6%
Certificates
193,673
188,403
180,874
159,038
158,945
34,728
% of Total
29.3%
29.1%
28.4%
27.1%
27.7%
21.9%
Total Deposits
$662,144
$648,300
$638,028
$586,453
$573,568
$ 88,576
Total Growth Percentage
15.4%
Asset Quality
SB Financial returned to high-performing peer asset quality during the quarter, reporting non-performing assets of $4.6 million as of September 30, 2016, down $4.0 million, or 46.5 percent, from the year-ago quarter, and down $3.7 million, or 44.7 percent, from the linked quarter. The decrease from the prior year was the result of an existing delinquent commercial real estate credit that moved through foreclosure with full principal payoff. SB Financial’s 0.6 percent of nonperforming assets to total assets is above the top quartile in its 65-bank peer group. The coverage of problem loans by the loan loss allowance was at 163.5 percent at September 30, 2016, up from the 85.1 percent at September 30, 2015.
Summary of Nonperforming Assets ($000’s)
Nonperforming Category
Sep. 2016
Jun. 2016
Mar. 2016
Dec. 2015
Sep. 2015
Variance YOY
Commercial & Agriculture
$ 151
$ 158
$ 164
$ 196
$ 453
$(302)
% of Total Com./Ag. loans
0.10%
0.12%
0.12%
0.15%
0.35%
(66.7%)
Commercial RE
1,393
5,309
5,218
5,670
5,393
(4,000)
% of Total CRE loans
0.52%
2.02%
2.03%
2.34%
2.33%
(74.2%)
Residential RE
1,152
1,088
1,156
749
795
357
% of Total Res. RE loans
0.82%
0.80%
0.87%
0.57%
0.63%
44.9%
Consumer & Other
193
138
46
32
101
92
% of Total Con./Oth. loans
0.35%
0.25%
0.09%
0.06%
0.20%
91.1%
Total Nonaccruing Loans
2,889
6,693
6,584
6,646
6,742
(3,853)
% of Total loans
0.47%
1.11%
1.14%
1.19%
1.25%
(57.2%)
Accruing Restructured Loans
1,588
1,381
1,482
1,500
1,576
Total Nonaccruing & Restructured Loans
$ 4,477
$ 8,074
$ 8,066
$ 8,146
$ 8,318
$ (3,841)
% of Total loans
0.72%
1.34%
1.40%
1.46%
1.54%
(46.2%)
Foreclosed Assets
73
157
406
286
188
Total Nonperforming Assets
$ 4,550
$ 8,231
$ 8,472
$ 8,432
$ 8,506
$ (3,956)
% of Total assets
0.57%
1.04%
1.09%
1.15%
1.18%
(46.5%)
Webcast and Conference Call
The Company will hold a related conference call and webcast on October 21, 2016, at 11:00 a.m. EDT. Interested parties may access the conference call by dialing 1-888-338-9469. The webcast can be accessed at http://www.yoursbfinancial.com/investorrelations.html. An audio replay of the call will be available on the SB Financial website.
About SB Financial Group
Headquartered in Defiance, Ohio, SB Financial is a diversified financial services holding company with two operating subsidiaries: State Bank and DCM. State Bank provides a full range of financial services for consumers and small businesses, including wealth management, mortgage banking and commercial and agricultural lending, operating through a total of 19 banking centers; 18 in nine Ohio counties and one center in Fort Wayne, Indiana, and 22 full-service ATMs. The Company has six loan production offices located throughout the Tri-State region of Ohio, Indiana and Michigan. DCM provides item processing services to community banks located primarily in the Midwest. SB Financial’s common stock is listed on the NASDAQ Capital Market under the symbol “SBFG”. SB Financial’s preferred stock is listed on the NASDAQ Capital Market under the symbol “SBFGP”.
In May 2016, SB Financial was ranked #160 on the American Banker Magazine’s list of Top 200 Publicly Traded Community Banks and Thrifts based on three-year average return on equity (“ROE”).
Forward-Looking Statements
Certain statements within this document, which are not statements of historical fact, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties and actual results may differ materially from those predicted by the forward-looking statements. These risks and uncertainties include, but are not limited to, risks and uncertainties inherent in the national and regional banking industry, changes in economic conditions in the market areas in which SB Financial and its subsidiaries operate, changes in policies by regulatory agencies, changes in accounting standards and policies, changes in tax laws, fluctuations in interest rates, demand for loans in the market areas in SB Financial and its subsidiaries operate, increases in FDIC insurance premiums, changes in the competitive environment, losses of significant customers, geopolitical events, the loss of key personnel and other risks identified in SB Financial’s Annual Report on Form 10-K and documents subsequently filed by SB Financial with the Securities and Exchange Commission. Forward-looking statements speak only as of the date on which they are made, and SB Financial undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made, except as required by law. All subsequent written and oral forward-looking statements attributable to SB Financial or any person acting on its behalf are qualified by these cautionary statements.
Non-GAAP Financial Measures
In addition to results presented in accordance with GAAP, this release contains certain non-GAAP financial measures. Management believes that including certain non-GAAP financial measures will provide investors with information useful in understanding the Company’s financial performance, its performance trends and financial position. These non-GAAP measures should not be considered a substitute for GAAP basis measures and results.
SB FINANCIAL GROUP, INC.
CONSOLIDATED BALANCE SHEETS – (Unaudited)
September
June
March
December
September
($ in Thousands)
2016
2016
2016
2015
2015
ASSETS
Cash and due from banks
$
25,167
29,945
35,529
20,459
18,372
Securities available for sale, at fair value
92,689
92,472
97,990
89,789
95,482
Other securities – FRB and FHLB Stock
3,748
3,748
3,748
3,748
3,748
Total investment securities
96,437
96,220
101,738
93,537
99,230
Loans held for sale
5,865
8,441
6,890
7,516
8,517
Loans, net of unearned income
619,352
604,776
577,134
557,659
540,889
Allowance for loan losses
(7,320)
(7,450)
(7,205)
(6,990)
(7,076)
Net loans
612,032
597,326
569,929
550,669
533,813
Premises, equipment and software, net
18,673
18,806
18,994
19,010
17,619
Cash surrender value of life insurance
13,653
13,581
13,509
13,437
13,364
Goodwill & other intangibles
16,426
16,429
16,432
16,435
16,473
Foreclosed assets held for sale, net
73
157
406
286
188
Mortgage servicing rights
6,887
6,494
6,608
7,152
6,798
Accrued interest receivable
1,641
1,397
1,489
1,260
1,817
Other assets
4,946
4,367
3,296
3,310
3,046
Total assets
$
801,800
793,163
774,820
733,071
719,237
LIABILITIES AND EQUITY
Deposits
Non interest bearing demand
$
116,976
110,899
112,209
113,113
102,460
Interest bearing demand
135,729
129,658
138,235
126,443
126,816
Savings
89,265
84,975
86,038
83,447
77,809
Money market
126,501
134,365
120,672
104,412
107,538
Time deposits
193,673
188,403
180,874
159,038
158,945
Total deposits
662,144
648,300
638,028
586,453
573,568
Advances from Federal Home Loan Bank
23,000
23,000
21,000
35,000
30,000
Repurchase agreements
11,363
17,797
14,524
12,406
16,911
Trust preferred securities
10,310
10,310
10,310
10,310
10,310
Accrued interest payable
427
384
343
264
341
Other liabilities
8,293
8,422
7,564
7,397
7,782
Total liabilities
715,537
708,213
691,769
651,830
638,912
Equity
Preferred stock
13,983
13,983
13,983
13,983
13,983
Common stock
12,569
12,569
12,569
12,569
12,569
Additional paid-in capital
15,370
15,367
15,365
15,438
15,444
Retained earnings
44,933
42,925
41,199
40,059
38,705
Accumulated other comprehensive income
1,237
1,552
1,296
650
1,157
Treasury stock
(1,829)
(1,446)
(1,361)
(1,458)
(1,533)
Total equity
86,263
84,950
83,051
81,241
80,325
Total liabilities and equity
$
801,800
793,163
774,820
733,071
719,237
SB FINANCIAL GROUP, INC.
CONSOLIDATED STATEMENTS OF INCOME – (Unaudited)
($ in thousands – except share data)
At and for the Three Months Ended
Nine Months Ended
September
June
March
December
September
September
September
Interest income
2016
2016
2016
2015
2015
2016
2015
Loans
Taxable
$
6,954
6,648
6,260
6,086
6,152
19,862
17,606
Nontaxable
22
24
9
10
10
55
25
Securities
Taxable
378
392
402
357
382
1,172
1,149
Nontaxable
145
149
156
169
173
450
525
Total interest income
7,499
7,213
6,827
6,622
6,717
21,539
19,305
Interest expense
Deposits
677
647
545
492
492
1,869
1,487
Repurchase Agreements & Other
5
4
5
3
5
14
14
Federal Home Loan Bank advances
83
77
106
95
94
266
280
Trust preferred securities
63
62
59
56
53
184
157
Total interest expense
828
790
715
646
644
2,333
1,938
Net interest income
6,671
6,423
6,112
5,976
6,073
19,206
17,367
Provision for loan losses
–
–
250
150
100
250
950
Net interest income after provision
for loan losses
6,671
6,423
5,862
5,826
5,973
18,956
16,417
Noninterest income
Wealth Management Fees
695
643
633
645
636
1,971
1,961
Customer service fees
692
680
680
711
734
2,052
2,068
Gain on sale of mtg. loans & OMSR’s
2,503
2,284
1,383
1,372
1,687
6,170
4,892
Mortgage loan servicing fees, net
205
(273)
(446)
383
98
(514)
642
Gain on sale of non-mortgage loans
327
151
449
75
296
927
872
Data service fees
223
233
277
273
294
733
917
Net gain on sales of securities
59
92
111
–
–
262
–
Gain/(loss) on sale/disposal of assets
(31)
186
22
38
–
177
(20)
Other income
342
311
330
219
207
983
659
Total non-interest income
5,015
4,307
3,439
3,716
3,952
12,761
11,991
Noninterest expense
Salaries and employee benefits
4,672
4,314
3,779
3,855
3,650
12,765
11,062
Net occupancy expense
523
524
565
479
481
1,612
1,464
Equipment expense
649
639
595
566
568
1,883
1,657
Data processing fees
352
339
305
264
286
996
796
Professional fees
380
326
316
381
416
1,022
1,282
Marketing expense
123
199
171
157
146
493
437
Telephone and communication
101
102
99
103
96
302
284
Postage and delivery expense
154
162
197
168
198
513
633
State, local and other taxes
170
171
99
130
130
440
387
Employee expense
117
128
118
126
126
363
417
Intangible amortization expense
3
3
3
37
54
9
163
Other expenses
686
500
648
573
475
1,834
1,506
Total non-interest expense
7,930
7,407
6,895
6,839
6,626
22,232
20,088
Income before income tax expense
3,756
3,323
2,406
2,703
3,299
9,485
8,320
Income tax expense
1,209
1,058
751
835
1,035
3,018
2,569
Net income
$
2,547
2,265
1,655
1,868
2,264
6,467
5,751
Preferred Stock Dividends
244
244
244
244
244
731
712
Net income available to common shares
2,303
2,021
1,411
1,624
2,020
5,736
5,039
Common share data:
Basic earnings per common share
$
0.47
0.41
0.29
0.33
0.41
1.17
1.03
Diluted earnings per common share
$
0.40
0.35
0.26
0.29
0.35
1.01
0.89
Average shares outstanding ($ in thousands):
Basic:
4,874
4,893
4,896
4,890
4,884
4,888
4,882
Diluted:
6,376
6,390
6,401
6,396
6,390
6,384
6,422
SB FINANCIAL GROUP, INC.
CONSOLIDATED FINANCIAL HIGHLIGHTS – (Unaudited)
($ in thousands, except per share data)
At and for the Three Months Ended
Nine Months Ended
September
June
March
December
September
September
September
SUMMARY OF OPERATIONS
2016
2016
2016
2015
2015
2016
2015
Net interest income
$
6,671
6,423
6,112
5,976
6,073
19,206
17,367
Tax-equivalent adjustment
$
86
89
85
92
94
260
283
Tax-equivalent net interest income
$
6,757
6,512
6,197
6,068
6,167
19,466
17,650
Provision for loan loss
$
–
–
250
150
100
250
950
Noninterest income
$
5,015
4,307
3,439
3,716
3,952
12,761
11,991
Total revenue, tax-equivalent
$
11,772
10,819
9,636
9,784
10,119
32,227
29,641
Noninterest expense
$
7,930
7,407
6,895
6,839
6,626
22,232
20,088
Pre-tax pre-provision income
$
3,756
3,323
2,656
2,853
3,399
9,735
9,270
Pretax income
$
3,756
3,323
2,406
2,703
3,299
9,485
8,320
Net income
$
2,547
2,265
1,655
1,868
2,264
6,466
5,751
Income available to common shareholders
$
2,303
2,021
1,411
1,624
2,020
5,735
5,039
PER SHARE INFORMATION:
Basic earnings per share
$
0.47
0.41
0.29
0.33
0.41
1.17
1.03
Diluted earnings per share
$
0.40
0.35
0.26
0.29
0.35
1.01
0.89
Common dividends
$
0.060
0.060
0.055
0.055
0.050
0.175
0.145
Book value per common share
$
13.66
13.39
13.07
12.81
12.68
13.66
12.68
Tangible book value per common share
$
11.49
11.15
10.74
10.39
10.21
11.49
10.21
Market price per common share
$
12.53
10.87
10.31
11.14
10.27
12.53
10.27
Market price per preferred share
$
13.50
11.83
11.19
12.65
13.00
13.50
13.00
PERFORMANCE RATIOS:
Return on average assets (ROAA)
1.28%
1.15%
0.87%
1.02%
1.26%
1.10%
1.07%
Pre-tax pre-provision ROAA
1.89%
1.69%
1.40%
1.56%
1.89%
1.66%
1.73%
Return on average equity
11.90%
10.80%
8.03%
9.23%
11.42%
10.27%
9.84%
Return on average tangible equity
18.45%
16.94%
12.74%
14.80%
18.55%
16.10%
16.20%
Efficiency ratio
67.83%
69.00%
72.16%
70.18%
65.56%
69.52%
67.87%
Earning asset yield
4.29%
4.20%
4.18%
4.17%
4.27%
4.22%
4.20%
Cost of interest bearing liabilities
0.56%
0.55%
0.51%
0.49%
0.49%
0.54%
0.49%
Net interest margin
3.77%
3.69%
3.69%
3.71%
3.81%
3.72%
3.72%
Tax equivalent effect
0.05%
0.06%
0.06%
0.05%
0.06%
0.05%
0.06%
Net interest margin, tax equivalent
3.82%
3.75%
3.75%
3.76%
3.87%
3.77%
3.78%
Non interest income/Average assets
2.52%
2.20%
1.81%
2.03%
2.20%
2.18%
2.23%
Non interest expense/Average assets
3.98%
3.78%
3.62%
3.74%
3.69%
3.80%
3.74%
Net noninterest expense/Average assets
1.46%
1.58%
1.82%
1.71%
1.49%
1.62%
1.51%
ASSET QUALITY RATIOS:
Gross charge-offs
$
136
2
94
241
58
232
711
Recoveries
$
6
247
59
5
29
312
66
Net charge-offs
$
130
(245)
35
236
29