EX-99.1 2 a09302022obnkexhibit991er.htm EX-99.1 Document


Exhibit 99.1
For Immediate Release
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ORIGIN BANCORP, INC. REPORTS EARNINGS FOR THIRD QUARTER 2022
RUSTON, Louisiana (October 26, 2022) - Origin Bancorp, Inc. (Nasdaq: OBNK) (“Origin” or the “Company”), the holding company for Origin Bank (the “Bank”), today announced net income of $16.2 million, or $0.57 diluted earnings per share for the quarter ended September 30, 2022, compared to $21.3 million, or $0.90 diluted earnings per share, for the quarter ended June 30, 2022, and compared to net income of $27.0 million, or $1.14 diluted earnings per share for the quarter ended September 30, 2021. Adjusted net income(1) for the quarter ended September 30, 2022, was $31.1 million, or $1.09 adjusted diluted earnings per share(1). Pre-tax, pre-provision net income ("PTPP")(1) was $36.0 million.
"This was a significant and exciting quarter for Origin as we showed strong core profitability and completed the merger with BT Holdings,” said Drake Mills, chairman, president and CEO of Origin Bancorp, Inc. “Origin now has meaningful expansion across the I-20 corridor in East Texas and adds impressive depth in Dallas and Fort Worth.”
(1) Adjusted net income, adjusted diluted earnings per share and PTPP are non-GAAP financial measures, please see the last few pages of this document for a reconciliation of these alternative financial measures to their comparable GAAP measures.
Third Quarter Financial Highlights
•On August 1, 2022, the Company completed its previously announced merger with BT Holdings, Inc., (“BTH”). As a result of the merger with BTH, the Company recorded a $14.9 million provision expense for loan credit losses for the Current Expected Credit Loss ("CECL") requirement on non-Purchased Credit Deteriorated ("PCD") loans, along with a $5.5 million allowance for loan credit losses on PCD loans. In total, the Company incurred $18.5 million in merger-related expenses during the quarter ended September 30, 2022, which includes the $14.9 million provision expense for loan credit losses.
•The Company's annualized returns on average assets ("ROA") and average equity ("ROE") were 0.70% and 6.86%, respectively, for the quarter ended September 30, 2022. Additionally, the Company's annualized adjusted returns on average assets ("Adjusted ROA") and adjusted return on average equity ("Adjusted ROE") were 1.34% and 13.14%, respectively, for the quarter ended September 30, 2022.
•Net interest income for the quarter ended September 30, 2022, was $78.5 million, reflecting a $19.0 million, or 32.0% increase, compared to the linked quarter, and a $26.0 million, or 49.5% increase, compared to the prior year quarter.
•The fully tax-equivalent net interest margin (“NIM”) was 3.68% for the quarter ended September 30, 2022, reflecting a 45 basis point increase from the linked quarter and a 66 basis point increase from the quarter ended September 30, 2021. The fully tax-equivalent NIM, excluding the net purchase accounting accretion (“PAA”) from the net interest income for the quarter ended September 30, 2022, was 3.61%.
•Total loans held for investment (“LHFI”) at September 30, 2022, were $6.88 billion. Adjusting for the impact of the BTH merger, and excluding mortgage warehouse lines of credit, loan growth during the quarter was $215.3 million, or 3.5%.
•Provision for credit losses was a net expense of $16.9 million for the quarter ended September 30, 2022, compared to a net expense of $3.5 million and a net benefit of $3.9 million for the linked quarter and the quarter ended September 30, 2021, respectively. The increase was primarily due to the merger with BTH, which required a Day 1 CECL loan provision of $14.9 million.
•The allowance for loan credit losses ("ALCL") to LHFI was 1.21% at September 30, 2022, compared to 1.14% at June 30, 2022. The ALCL to LHFI, adjusted(2) was 1.29% at September 30, 2022, compared to 1.25% at June 30, 2022.
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•Total nonperforming LHFI to total LHFI was 0.20% at September 30, 2022, compared to 0.25% at June 30, 2022, and 0.47% at September 30, 2021, reflecting a 20.0% and 57.4% decrease in the ratio when compared to the linked quarter and prior year quarter, respectively. The ALCL to nonperforming LHFI was 594.1% at September 30, 2022, compared to 448.2% and 284.9% at the linked quarter and prior year quarter, respectively.
(2) The ALCL to total LHFI, adjusted, is calculated at September 30, 2022, by excluding the ALCL for warehouse loans from the total LHFI ALCL in the numerator and excluding the warehouse loans from the LHFI in the denominator. For the periods prior to September 30, 2022, it is calculated by excluding the ALCL for warehouse loans from the total LHFI ALCL in the numerator and excluding the PPP and warehouse loans from the LHFI in the denominator. Due to their low-risk profile, mortgage warehouse loans require a disproportionately low allocation of the ALCL and PPP loans are fully guaranteed by the Small Business Administration ("SBA").
Results of Operations for the Three Months Ended September 30, 2022
Net Interest Income and Net Interest Margin
Net interest income for the quarter ended September 30, 2022, was $78.5 million, an increase of $19.0 million, or 32.0%, compared to the linked quarter. Purchase accounting accretion on acquired loans was $1.2 million during the current quarter, with remaining purchase accounting net loan discounts totaling $3.9 million at September 30, 2022. Net purchase accounting accretion income on deposits and sub-debt totaled $228,000, bringing the total impact from purchase accounting treatment on net interest income to $1.4 million for the three months ended September 30, 2022. Excluding the net purchase accounting accretion, the increase in net interest income was almost equally due to increases in average interest-earning assets and increases in market interest rates, partially offset by higher interest expense primarily due to rate increases on average savings and interest-bearing deposit balances and borrowings, as explained further in the paragraph below.
The table below presents the estimated loan and deposit accretion and sub-debt amortization schedule resulting from the BTH merger purchase accounting adjustments for the periods shown.
Loan
Accretion Income		Deposit Accretion IncomeSub-Debt
Amortization Expense		Total Expected Impact to Net Interest Income
3Q2022 (actual, realized)$1,187 $238 $(10)$1,415 
4Q2022 (estimated)$1,653 $250 $(15)$1,888 
For the years ending (estimated):
20232,023 218 (62)2,179 
Thereafter223 23 (706)(460)
Total remaining purchase accounting adjustment at September 30, 2022$3,899 $491 $(783)$3,607 
The increase in net interest income for the three-month period ended September 30, 2022, was the result of a $25.4 million increase in total interest income partially offset by a $6.4 million increase in interest expense. Increases in market interest rates drove a $13.6 million increase in total interest income, while increases in average interest-earning assets drove an $11.8 million increase in total interest income. The increase in interest expense was primarily due to market rate increases, which drove a $4.2 million increase in interest expense on deposits and a $1.0 million increase in interest expense on FHLB advances and subordinated debt.
The Federal Reserve Board sets various benchmark rates, including the Federal Funds rate, and thereby influences the general market rates of interest, including the loan and deposit rates offered by financial institutions. In early 2020, the Federal Reserve lowered the target rate range to 0.00% to 0.25%. These rates remained in effect throughout all of 2021. On March 17, 2022, the target rate range was increased to 0.25% to 0.50%, then subsequently increased four more times during 2022, with the most recent and current Federal Funds target rate range being set at September 21, 2022, to 3.00% to 3.25%. At September 30, 2022, the Federal Funds target rate range had increased 300 basis points on a year-to-date basis. Increases in market interest rates contributed $11.6 million to the total increase in interest income earned on total LHFI, while market interest rates increased our total deposit interest expense by $4.2 million during the current quarter compared to the linked quarter.
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The yield on LHFI was 4.94% and 4.26% for the three months ended September 30, 2022, and June 30, 2022, respectively, and average LHFI balances increased to $6.39 billion for the quarter ended September 30, 2022, compared to $5.24 billion for the linked quarter. The yield on total investment securities was 2.12% for the three months ended September 30, 2022, compared to 1.85% for the linked quarter. Additionally, the rate on interest-bearing deposits increased to 0.64% for the quarter ended September 30, 2022, compared to 0.29% for the quarter ended June 30, 2022, and average interest-bearing deposit balances increased to $4.83 billion from $4.27 billion for the linked quarter. Average balances of subordinated debentures also increased to $186.8 million for the quarter ended September 30, 2022, compared to $157.5 million for the linked quarter due to subordinated indebtedness assumed in the merger, and reflected a rate of 4.81% for the current quarter compared to 4.64% for the linked quarter.
The fully tax-equivalent NIM was 3.68% for the quarter ended September 30, 2022, a 45 basis point increase and a 66 basis point increase compared to the linked quarter and the prior year quarter, respectively. The yield earned on interest-earning assets for the quarter ended September 30, 2022, was 4.23%, an increase of 70 basis points and an increase of 90 basis points compared to the linked quarter and the prior year quarter, respectively. The rate paid on total deposits for the quarter ended September 30, 2022, was 0.41%, representing a 22 basis point increase from the linked quarter and a 20 basis point increase compared to the prior year quarter. The rate paid on subordinated debentures also increased to 4.81%, reflecting a 17 and an 18 basis point increase compared to the linked quarter and prior year quarter, respectively. The net increase in accretion income due to the BTH merger increased the fully tax-equivalent NIM by approximately seven basis points during the current quarter.
Credit Quality
The table below includes key credit quality information:
At and For the Three Months Ended$ Change% Change
(Dollars in thousands)September 30,
2022		June 30,
2022		Linked
 Quarter		Linked
 Quarter
Past due LHFI$10,866 $7,186 $3,680 51.2 %
ALCL83,359 63,123 20,236 32.1 
Classified loans69,781 52,115 17,666 33.9 
Total nonperforming LHFI14,031 14,085 (54)(0.4)
Provision for credit losses16,942 3,452 13,490 390.8 
Net charge-offs1,078 1,553 (475)(30.6)
Credit quality ratios(1):
ALCL to nonperforming LHFI594.11 %448.16 %N/A14595 bp
ALCL to total LHFI1.21 1.14 N/A7 bp
ALCL to total LHFI, adjusted(2)
1.29 1.25 N/A4 bp
Nonperforming LHFI to LHFI0.20 0.25 N/A-5 bp
Net charge-offs to total average LHFI (annualized)0.07 0.12 N/A-5 bp
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(1)Please see the Loan Data schedule at the back of this document for additional information.
(2)The ALCL to total LHFI, adjusted, is calculated at September 30, 2022, by excluding the ALCL for warehouse loans from the total LHFI ALCL in the numerator and excluding the warehouse loans from the LHFI in the denominator. For the periods prior to September 30, 2022, it is calculated by excluding the ALCL for warehouse loans from the total LHFI ALCL in the numerator and excluding the PPP and warehouse loans from the LHFI in the denominator. Due to their low-risk profile, mortgage warehouse loans require a disproportionately low allocation of the ALCL and PPP loans are fully guaranteed by the SBA.
The Company recorded a credit loss provision of $16.9 million during the quarter ended September 30, 2022, compared to a credit loss provision of $3.5 million recorded during the linked quarter. The increase is primarily due to the merger with BTH, completed on August 1, 2022, which required a Day 1 CECL loan provision of $14.9 million. The remaining $2.1 million provision for credit losses in excess of the loan credit loss provision recorded in conjunction with the BTH merger was primarily due to a $1.2 million provision expense for off-balance sheet items due to an increase in unfunded loan commitments unrelated to those acquired in the BTH merger.
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Overall, absent the impact of the BTH merger and its effect on the following: provision of $14.9 million, classified loans of $17.5 million, past due loans of $3.1 million, and nonperforming LHFI of $3.0 million, most credit metrics improved at September 30, 2022, when compared to the linked quarter. The ALCL to nonperforming LHFI increased to 594.1% at September 30, 2022, compared to 448.2% at June 30, 2022, driven by the $20.2 million increase in the Company’s ALCL for the quarter, which was predominately driven by the BTH merger. Quarterly net charge-offs decreased to $1.1 million from $1.6 million for the linked quarter, decreasing to 0.07% (annualized) to total average LHFI for the quarter ending September 30, 2022, compared to 0.12% (annualized) for the quarter ending June 30, 2022. Also, primarily due to the BTH merger, classified loans increased $17.7 million at September 30, 2022, compared to the linked quarter and represented 1.01% of LHFI, at September 30, 2022, compared to 0.94% at June 30, 2022. The ALCL to total LHFI increased to 1.21% at September 30, 2022, compared to 1.14% at June 30, 2022.
Noninterest Income
Noninterest income for the quarter ended September 30, 2022, was $13.7 million, a decrease of $493,000, or 3.5%, from the linked quarter. The decrease from the linked quarter was primarily driven by decreases of $3.3 million in mortgage banking revenue, offset by an increase of $1.7 million in gain on sales of securities, net.
The $3.3 million decrease in mortgage banking revenue compared to the linked quarter was primarily driven by an 11% reduction in origination volume, a 30% reduction in sales volume and a 45% reduction in sales margin experienced in the current quarter. Also contributing to the decline was a $2.0 million impairment of the GNMA MSR portfolio.
The gain on sales of securities, net, increased $1.7 million when compared to the quarter ended June 30, 2022, due to the sale of primarily legacy BTH securities during the current quarter as a result of investment strategy and liquidity management. The proceeds from the sale were primarily used to pay down our short-term FHLB borrowings.
Noninterest Expense
Noninterest expense for the quarter ended September 30, 2022, was $56.2 million, an increase of $12.1 million compared to the linked quarter. The increase from the linked quarter was primarily driven by increases of $4.5 million, $2.8 million and $1.3 million in salaries and employee benefits expense, merger-related expenses, and intangible asset amortization expense, respectively.
The $4.5 million increase in salaries and employee benefits expense was primarily driven by the addition of 123 full-time equivalent employees due to the BTH merger, which contributed $2.3 million to the total increase. Additionally, incentive accruals increased by $995,000 due to exceeding performance metrics during the period. We made the decision last quarter to implement inflationary raises for a large segment of our employees.
Merger-related expenses associated with the BTH merger were $3.6 million during the current quarter.
The $1.3 million increase in intangible asset amortization expense was due to the core deposit intangible established in conjunction with the BTH merger.
Income Taxes
The effective tax rate was 14.8% during the quarter ended September 30, 2022, compared to 18.4% during the linked quarter and 18.8% during the quarter ended September 30, 2021. The effective tax rate for the quarter ended September 30, 2022, was lower due to tax-exempt items having a larger than proportional effect on the Company's effective income tax rate as income before taxes was lower for the quarter ended September 30, 2022, compared to both the linked quarter and same quarter last year primarily due to merger-related expense during the current quarter.
Financial Condition
Loans
•Total LHFI increased $1.35 billion compared to the linked quarter and $1.70 billion compared to September 30, 2021.
•On August 1, 2022, we acquired $1.24 billion in loans, net of fair value adjustments, from BTH.
•Adjusting for the impact of BTH and excluding mortgage warehouse loans, loan growth during the current quarter totaled $215.3 million, or 3.5%, when compared to the linked quarter.
•Mortgage warehouse lines of credit totaled $460.6 million at September 30, 2022, a decrease of $71.3 million, or 13.4%, compared to the linked quarter and a decrease of $252.8 million, or 35.4%, compared to September 30, 2021.
•Total LHFI at September 30, 2022, were $6.88 billion, reflecting an increase of 24.5% compared to the linked quarter and 32.7% compared to September 30, 2021.
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Securities
•Total securities at September 30, 2022, were $1.69 billion, a decrease of $125.5 million, or 6.9%, compared to the linked quarter and an increase of $154.7 million, or 10.1%, compared to September 30, 2021.
•The fair value of acquired BTH securities totaled $456.8 million.
•The Company sold $447.5 million of primarily legacy BTH available for sale ("AFS") securities during the quarter ended September 30, 2022, and used the majority of the funds to pay down short-term Federal Home Loan Bank ("FHLB") advances.
•The steepening of the short end of the yield curve during the year-to-date 2022 period negatively impacted the fair value of the AFS portfolio and caused an accumulated other comprehensive loss of $175.2 million, $59.3 million of which was recorded during the current quarter.
•The total securities portfolio effective duration was 5.2 years as of September 30, 2022, compared to 4.4 years as of June 30, 2022.

Deposits
•Total deposits increased $1.47 billion compared to the linked quarter and increased $1.62 billion compared to September 30, 2021, respectively.
•The merger with BTH reflected the addition of $1.57 billion of deposits, net of fair value adjustments, at August 1, 2022, and contributed $865.9 million in interest-bearing demand, $398.1 million in noninterest-bearing and $302.5 million in time deposits.
•Adjusting for the impact of BTH, deposits decreased $139.7 million during the quarter ended September 30, 2022, compared to June 30, 2022, and grew $4.7 million compared to September 30, 2021. The quarterly decrease was due in large part to one customer moving deposits out of the bank due to a business transaction combined with our strategic decision to allow some non-core funding to leave the bank.
•For both the quarter ended September 30, 2022, and the linked quarter, average noninterest-bearing deposits as a percentage of total average deposits were 34.9% compared to 31.7% for the quarter ended September 30, 2021.

Borrowings
•The Company assumed $37.6 million of subordinated promissory notes ("Notes") from BTH in conjunction with the merger, $10.1 million in repurchase agreements with former BTH depositors and $7.2 million in junior subordinated debt.
•During the quarter ended September 30, 2022, short-term FHLB advances decreased from $600.0 million to $150.0 million. As mentioned above, the Company sold primarily legacy BTH AFS securities during the quarter ended September 30, 2022, and used the majority of the funds to pay down short-term FHLB advances.

Stockholders’ Equity
•Stockholders’ equity was $907.0 million at September 30, 2022, an increase of $260.7 million compared to $646.4 million at June 30, 2022, and an increase of $201.4 million compared to $705.7 million at September 30, 2021.
•The increase in stockholders’ equity is primarily associated with the BTH merger, which drove a $306.3 million increase in stockholders' equity and net income for the quarter of $16.2 million. These increases were partially offset by a $59.3 million other comprehensive loss, net of tax, and dividend during the current quarter of $4.6 million.
•Book value and tangible book value were negatively impacted by an accumulated other comprehensive loss, net of tax, experienced primarily on the Company's AFS securities portfolio of $175.2 million at September 30, 2022, with $59.3 million of the loss recorded during the current quarter.
Conference Call
Origin will hold a conference call to discuss its third quarter 2022 results on Thursday, October 27, 2022, at 8:00 a.m. Central Time (9:00 a.m. Eastern Time). To participate in the live conference call, please dial (888) 437-3179 (U.S. and Canada); and (862) 298-0702 (International), and request to be joined into the Origin Bancorp, Inc. (OBNK) call. A simultaneous audio-only webcast may be accessed via Origin’s website at www.origin.bank under the Investor Relations, News & Events, Events & Presentations link or directly by visiting: https://www.webcaster4.com/Webcast/Page/2864/46747.

If you are unable to participate during the live webcast, the webcast will be archived on the Investor Relations section of Origin’s website at www.origin.bank, under Investor Relations, News & Events, Events & Presentations.
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About Origin
Origin Bancorp, Inc. is a financial holding company headquartered in Ruston, Louisiana. Origin’s wholly owned bank subsidiary, Origin Bank, was founded in 1912 in Choudrant, Louisiana. Deeply rooted in Origin’s history is a culture committed to providing personalized, relationship banking to businesses, municipalities, and personal clients to enrich the lives of the people in the communities it serves. Origin provides a broad range of financial services and currently operates 59 banking centers located from Dallas/Fort Worth, East Texas and Houston, across North Louisiana and into Mississippi. For more information, visit www.origin.bank.
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Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include information regarding Origin’s future financial performance, business and growth strategy, projected plans and objectives, including the Company’s loan loss reserves and allowance for credit losses related to the COVID-19 pandemic and any expected purchases of its outstanding common stock, and related transactions and other projections based on macroeconomic and industry trends, including expectations regarding and efforts to respond to the COVID-19 pandemic and changes to interest rates by the Federal Reserve and the resulting impact on Origin’s results of operations, estimated forbearance amounts and expectations regarding the Company’s liquidity, including in connection with advances obtained from the FHLB, which are all subject to change and may be inherently unreliable due to the multiple factors that impact broader economic and industry trends, and any such changes may be material. Such forward-looking statements are based on various facts and derived utilizing important assumptions and current expectations, estimates and projections about Origin and its subsidiaries, any of which may change over time and some of which may be beyond Origin’s control. Statements or statistics preceded by, followed by or that otherwise include the words “assumes,” “anticipates,” “believes,” “estimates,” “expects,” “foresees,” “intends,” “plans,” “projects,” and similar expressions or future or conditional verbs such as “could,” “may,” “might,” “should,” “will,” and “would” and variations of such terms are generally forward-looking in nature and not historical facts, although not all forward-looking statements include the foregoing words. Further, certain factors that could affect Origin’s future results and cause actual results to differ materially from those expressed in the forward-looking statements include, but are not limited to: deterioration of Origin’s asset quality; factors that can impact the performance of Origin’s loan portfolio, including real estate values and liquidity in Origin’s primary market areas; the financial health of Origin’s commercial borrowers and the success of construction projects that Origin finances; changes in the value of collateral securing Origin’s loans; developments in our mortgage banking business, including loan modifications, general demand, and the effects of judicial or regulatory requirements or guidance; Origin’s ability to anticipate interest rate changes and manage interest rate risk, (including the impact of higher interest rates on macroeconomic conditions, and customer and client behavior); the effectiveness of Origin’s risk management framework and quantitative models; the risk of widespread inflation; Origin’s inability to receive dividends from Origin Bank and to service debt, pay dividends to Origin’s common stockholders, repurchase Origin’s shares of common stock and satisfy obligations as they become due; business and economic conditions generally and in the financial services industry, nationally and within Origin’s primary market areas, including the impact of supply-chain disruptions and labor pressures; changes in Origin’s operation or expansion strategy or Origin’s ability to prudently manage its growth and execute its strategy; changes in management personnel; Origin’s ability to maintain important customer relationships, reputation or otherwise avoid liquidity risks; increasing costs as Origin grows deposits; operational risks associated with Origin’s business; volatility and direction of market interest rates; significant turbulence or a disruption in the capital or financial markets and the effect of a fall in stock market prices on our investment securities; increased competition in the financial services industry, particularly from regional and national institutions; difficult market conditions and unfavorable economic trends in the United States generally, and particularly in the market areas in which Origin operates and in which its loans are concentrated; an increase in unemployment levels and slowdowns in economic growth; Origin’s level of nonperforming assets and the costs associated with resolving any problem loans including litigation and other costs; the credit risk associated with the substantial amount of commercial real estate, construction and land development, and commercial loans in Origin’s loan portfolio; changes in laws, rules, regulations, interpretations or policies relating to financial institutions, and potential expenses associated with complying with such regulations; periodic changes to the extensive body of accounting rules and best practices; further government intervention in the U.S. financial system; compliance with governmental and regulatory requirements, including the Dodd-Frank Wall Street Reform and Consumer Protection Act and others relating to banking, consumer protection, securities, and tax matters; Origin’s ability to comply with applicable capital and liquidity requirements, including its ability to generate liquidity internally or raise capital on favorable terms, including continued access to the debt and equity capital markets; changes in the utility of Origin’s non-GAAP liquidity measurements and its underlying assumptions or estimates; uncertainty regarding the transition away from the London Interbank Offered Rate (“LIBOR”) and the impact of any replacement alternatives such as the Secured Overnight Financing Rate (“SOFR”) on Origin’s business; possible changes in trade, monetary and fiscal policies, laws and regulations and other activities of governments, agencies and similar organizations; natural disasters and adverse weather events, acts of terrorism, an outbreak of hostilities (including the impacts related to or resulting from Russia's military action in Ukraine, including the imposition of additional sanctions and export controls, as well as the broader impacts to financial markets and the global macroeconomic and geopolitical environments, regional or national protests and civil unrest (including any resulting branch closures or property damage), widespread illness or public health outbreaks or other international or domestic calamities, and other matters beyond Origin’s control; and system failures, cybersecurity threats or security breaches and the cost of defending against them. For a discussion of these and other risks that may cause actual results to differ from expectations, please refer to the sections titled “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors” in Origin’s most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) and any updates to those sections set forth in Origin’s subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. If one or more events related to these or other risks or uncertainties materialize, or if Origin’s underlying assumptions prove to be incorrect, actual results may differ materially from what Origin
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anticipates. Accordingly, you should not place undue reliance on any forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and Origin does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.
New risks and uncertainties arise from time to time, and it is not possible for Origin to predict those events or how they may affect Origin. In addition, Origin cannot assess the impact of each factor on Origin’s business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. All forward-looking statements, expressed or implied, included in this communication are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that Origin or persons acting on Origin’s behalf may issue. Annualized, pro forma, adjusted, projected, and estimated numbers are used for illustrative purposes only, are not forecasts, and may not reflect actual results.
Contact:
Investor Relations
Chris Reigelman
318-497-3177
chris@origin.bank

Media Contact
Ryan Kilpatrick
318-232-7472
rkilpatrick@origin.bank
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Origin Bancorp, Inc.
Selected Quarterly Financial Data
Three Months Ended
September 30,
2022		June 30,
2022		March 31,
 2022		December 31,
2021		September 30,
2021
Income statement and share amounts (Dollars in thousands, except per share amounts, unaudited)
Net interest income
$78,523 $59,504 $52,502 $54,180 $52,541 
Provision for credit losses16,942 3,452 (327)(2,647)(3,921)
Noninterest income
13,723 14,216 15,906 16,701 15,923 
Noninterest expense56,241 44,150 42,774 40,346 39,165 
Income before income tax expense
19,063 26,118 25,961 33,182 33,220 
Income tax expense2,820 4,807 5,278 4,860 6,242 
Net income
$16,243 $21,311 $20,683 $28,322 $26,978 
Adjusted net income(1)
$31,087 $21,949 $21,134 $24,155 $26,978 
PTPP(1)
36,005 29,570 25,634 30,535 29,299 
Basic earnings per common share
0.57 0.90 0.87 1.21 1.15 
Diluted earnings per common share
0.57 0.90 0.87 1.20 1.14 
Adjusted diluted earnings per common share(1)
1.09 0.92 0.89 1.02 1.14 
Dividends declared per common share0.15 0.15 0.13 0.13 0.13 
Weighted average common shares outstanding - basic
28,298,984 23,740,611 23,700,550 23,484,056 23,429,705 
Weighted average common shares outstanding - diluted
28,481,619 23,788,164 23,770,791 23,609,874 23,613,010 
Balance sheet data
Total LHFI
$6,882,681 $5,528,093 $5,194,406 $5,231,331 $5,187,288 
Total assets
9,462,639 8,111,524 8,112,295 7,861,285 7,470,478 
Total deposits7,777,327 6,303,158 6,767,179 6,570,693 6,158,768 
Total stockholders’ equity907,024 646,373 676,865 730,211 705,667 
Performance metrics and capital ratios
Yield on LHFI4.94 %4.26 %4.08 %4.11 %4.05 %
Yield on interest-earnings assets4.23 3.53 3.13 3.35 3.33 
Cost of interest-bearing deposits0.64 0.29 0.26 0.28 0.30 
Cost of total deposits0.41 0.19 0.17 0.19 0.21 
NIM - fully tax equivalent ("FTE")3.68 3.23 2.86 3.06 3.02 
NIM - FTE, adjusted (2)
3.61 3.20 2.76 2.92 2.94 
Return on average assets (annualized) ("ROA")0.70 1.08 1.04 1.49 1.43 
Adjusted ROA (annualized) (1)
1.34 1.11 1.07 1.27 1.43 
PTPP ROA (1)
1.55 1.49 1.29 1.60 1.56 
Return on average stockholders’ equity (annualized) ("ROE")6.86 12.81 11.61 15.70 15.21 
Adjusted ROE (annualized) (1)
13.14 13.19 11.86 13.39 15.21 
PTPP ROE (1)
15.22 17.77 14.39 16.93 16.52 
Book value per common share$29.58 $27.15 $28.50 $30.75 $30.03 
Tangible book value per common share (1)(3)
23.41 25.05 26.37 28.59 28.76 
Adjusted tangible book value per common share (1)
29.13 29.92 29.15 28.35 28.26 
Efficiency ratio (4)
60.97 %59.89 %62.53 %56.92 %57.21 %
Core efficiency ratio(1)
52.16 54.10 58.93 57.25 53.03 
Common equity tier 1 to risk-weighted assets (5)
10.51 10.82 11.20 11.20 11.27 
Tier 1 capital to risk-weighted assets (5)
10.70 10.96 11.35 11.36 11.42 
Total capital to risk-weighted assets (5)
13.98 14.09 14.64 14.77 14.95 
Tier 1 leverage ratio (5)
9.63 9.09 8.84 9.20 9.20 
9
Origin Bancorp, Inc.
Selected Quarterly Financial Data
__________________________

(1)Adjusted net income, PTPP earnings, adjusted diluted earnings per common share, adjusted ROA, PTPP ROA, adjusted ROE, PTPP ROE, tangible book value per common share, adjusted tangible book value per common share and core efficiency ratio are either non-GAAP financial measures or use a non-GAAP contributor in the formula. For a reconciliation of these alternative financial measures to their comparable GAAP measures, please see the last few pages of this release.
(2)NIM - FTE, adjusted, is a non-GAAP financial measure, and is calculated for the quarter ended September 30, 2022, by removing the net Purchase Accounting ("PAA") accretion from the net interest income. For periods prior to September 30, 2022, it is calculated by removing average PPP loans from average interest-earning assets and removing the associated interest income (net of 35 basis points assumed cost of funds on average PPP loan balances) from net interest income.
(3)A decline in accumulated other comprehensive loss during the YTD period ended September 30, 2022, negatively impacted total stockholders' equity and tangible common equity and caused tangible book value per common share to decline primarily due to the steepening of the short end of the yield curve that occurred during 2022 and its impact on our investment portfolio.
(4)Calculated by dividing noninterest expense by the sum of net interest income plus noninterest income.
(5)September 30, 2022, ratios are estimated and calculated at the Company level, which is subject to the capital adequacy requirements of the Federal Reserve Board.
10
Origin Bancorp, Inc.
Selected Year-to-Date Financial Data
Nine Months Ended September 30,
(Dollars in thousands, except per share amounts)20222021
Income statement and share amounts(Unaudited)
Net interest income
$190,529 $162,072 
Provision for credit losses20,067 (8,118)
Noninterest income
43,845 45,492 
Noninterest expense143,165 116,433 
Income before income tax expense
71,142 99,249 
Income tax expense
12,905 19,025 
Net income
$58,237 $80,224 
Adjusted net income(1)
$74,170 $78,902 
PTPP earnings(1)
91,209 91,131 
Basic earnings per common share (2)
2.31 3.43 
Diluted earnings per common share(2)
2.30 3.40 
Adjusted diluted earnings per common share(1)
2.92 3.34 
Dividends declared per common share0.43 0.36 
Weighted average common shares outstanding - basic
25,263,681 23,413,794 
Weighted average common shares outstanding - diluted
25,366,807 23,606,597 
Performance metrics
Yield on LHFI4.47 %4.03 %
Yield on interest-earning assets3.66 3.45 
Cost of interest-bearing deposits0.40 0.33 
Cost of total deposits0.27 0.23 
NIM, FTE3.28 3.12 
NIM - FTE, adjusted (3)
3.25 3.05 
ROA (annualized)0.93 1.44 
Adjusted ROA (annualized)(1)
1.18 1.42 
PTPP ROA (annualized)(1)
1.45 1.64 
ROE (annualized)10.02 15.81 
Adjusted ROE (annualized)(1)
12.76 15.55 
PTPP ROE (annualized)(1)
15.69 17.96 
Efficiency ratio (4)
61.08 56.09 
Core efficiency ratio(1)
54.64 51.46 
____________________________
(1)Adjusted net income, PTPP earnings, adjusted diluted earnings per common share, adjusted ROA, PTPP ROA, adjusted ROE, PTPP ROE, and core efficiency ratio are either non-GAAP financial measures or use a non-GAAP contributor in the formula. For a reconciliation of these alternative financial measures to their comparable GAAP measures, please see the last few pages of this release.
(2)Due to the combined impact of the issuance of common stock shares due to the BTH merger on the quarterly average common shares outstanding calculation compared to the impact of the issuance of common stock shares due to the BTH merger on the year-to-date average common outstanding calculation, and the effect of rounding, the sum of the quarterly earnings per common share may not equal the year-to-date earnings per common share amount.
(3)NIM - FTE, adjusted, is a non-GAAP financial measure and is calculated for the nine months ended September 30, 2022, by removing the net PAA accretion from the net interest income. For the nine months ended September 30, 2021, it is calculated by removing average PPP loans from average interest-earning assets and removing the associated interest income (net of 35 basis points assumed cost of funds on average PPP loan balances) from net interest income.
(4)Calculated by dividing noninterest expense by the sum of net interest income plus noninterest income.
11
Origin Bancorp, Inc.
Consolidated Quarterly Statements of Income

Three Months Ended
September 30,
2022		June 30,
2022		March 31,
 2022		December 31,
2021		September 30,
2021
Interest and dividend income(Dollars in thousands, except per share amounts, unaudited)
Interest and fees on loans$79,803 $55,986 $51,183 $53,260 $53,182 
Investment securities-taxable7,801 7,116 5,113 4,691 3,449 
Investment securities-nontaxable2,151 1,493 1,400 1,493 1,582 
Interest and dividend income on assets held in other financial institutions1,482 1,193 587 686 538 
Total interest and dividend income91,237 65,788 58,283 60,130 58,751 
Interest expense
Interest-bearing deposits7,734 3,069 2,886 2,957 3,255 
FHLB advances and other borrowings2,717 1,392 1,094 1,161 1,118 
Subordinated debentures2,263 1,823 1,801 1,832 1,837 
Total interest expense12,714 6,284 5,781 5,950 6,210 
Net interest income
78,523 59,504 52,502 54,180 52,541 
Provision for credit losses16,942 3,452 (327)(2,647)(3,921)
Net interest income after provision for credit losses61,581 56,052 52,829 56,827 56,462 
Noninterest income
Service charges and fees4,734 4,274 3,998 3,994 3,973 
Insurance commission and fee income5,666 5,693 6,456 2,826 3,451 
Mortgage banking (loss) revenue(929)2,354 4,096 2,857 2,728 
Other fee income1,162 638 598 702 783 
Gain on sales of securities, net1,664 — — 75 — 
Gain (loss) on sales and disposals of other assets, net70 (279)— (97)(8)
Limited partnership investment income (loss)112 282 (363)50 3,078 
Swap fee income (loss)25 1 139 (285)727 
Other income1,219 1,253 982 6,579 1,191 
Total noninterest income13,723 14,216 15,906 16,701 15,923 
Noninterest expense
Salaries and employee benefits31,834 27,310 26,488 24,718 23,629 
Occupancy and equipment, net5,399 4,514 4,427 4,306 4,353 
Data processing2,689 2,413 2,486 2,302 2,329 
Office and operations2,121 2,162 1,560 1,849 1,598 
Loan related expenses1,599 1,517 1,305 1,880 1,949 
Professional services1,188 420 1,060 923 912 
Electronic banking1,087 896 917 616 997 
Advertising and marketing1,196 859 871 1,147 863 
Franchise tax expense957 838 770 692 598 
Regulatory assessments877 802 626 526 664 
Intangible asset amortization1,872 525 537 194 194 
Communications279 252 281 286 359 
Merger-related expense3,614 807 571 — — 
Other expenses1,529 835 875 907 720 
Total noninterest expense56,241 44,150 42,774 40,346 39,165 
Income before income tax expense19,063 26,118 25,961 33,182 33,220 
Income tax expense2,820 4,807 5,278 4,860 6,242 
Net income$16,243 $21,311 $20,683 $28,322 $26,978 
Basic earnings per common share$0.57 $0.90 $0.87 $1.21 $1.15 
Diluted earnings per common share0.57 0.90 0.87 1.20 1.14 

12
Origin Bancorp, Inc.
Consolidated Balance Sheets
(Dollars in thousands)September 30,
2022		June 30,
2022		March 31,
 2022		December 31,
2021		September 30,
2021
Assets(Unaudited)(Unaudited)(Unaudited)(Unaudited)
Cash and due from banks$118,505 $123,499 $129,825 $133,334 $124,515 
Interest-bearing deposits in banks181,965 200,421 454,619 572,284 227,450 
Total cash and cash equivalents300,470 323,920 584,444 705,618 351,965 
Securities:
AFS1,672,170 1,804,370 1,905,687 1,504,728 1,486,543 
Held to maturity, net of allowance for credit losses11,285 4,288 4,831 22,767 37,702 
Securities carried at fair value through income6,347 6,630 7,058 7,497 10,876 
Total securities1,689,802 1,815,288 1,917,576 1,534,992 1,535,121 
Non-marketable equity securities held in other financial institutions53,899 76,822 45,242 45,192 45,144 
Loans held for sale59,714 62,493 80,295 80,387 109,956 
Loans6,882,681 5,528,093 5,194,406 5,231,331 5,187,288 
Less: ALCL83,359 63,123 62,173 64,586 69,947 
Loans, net of ALCL6,799,322 5,464,970 5,132,233 5,166,745 5,117,341 
Premises and equipment, net99,291 81,950 80,421 80,691 80,740 
Mortgage servicing rights21,654 22,127 21,187 16,220 16,000 
Cash surrender value of bank-owned life insurance38,885 38,742 38,547 38,352 38,162 
Goodwill 136,793 34,153 34,153 34,368 26,741 
Other intangible assets, net52,384 15,900 16,425 16,962 3,089 
Accrued interest receivable and other assets210,425 175,159 161,772 141,758 146,219 
Total assets$9,462,639 $8,111,524 $8,112,295 $7,861,285 $7,470,478 
Liabilities and Stockholders’ Equity
Noninterest-bearing deposits$2,667,489 $2,214,919 $2,295,682 $2,163,507 $1,980,107 
Interest-bearing deposits4,361,423 3,598,417 3,947,714 3,864,058 3,600,654 
Time deposits748,415 489,822 523,783 543,128 578,007 
Total deposits7,777,327 6,303,158 6,767,179 6,570,693 6,158,768 
FHLB advances and other borrowings450,456 894,581 305,560 309,801 309,152 
Subordinated debentures201,687 157,540 157,478 157,417 157,357 
Accrued expenses and other liabilities126,145 109,872 205,213 93,163 139,534 
Total liabilities8,555,615 7,465,151 7,435,430 7,131,074 6,764,811 
Stockholders’ equity:
Common stock
153,309 119,038 118,744 118,733 117,480 
Additional paid-in capital518,376 244,368 242,789 242,114 237,928 
Retained earnings410,572 398,946 381,222 363,635 338,387 
Accumulated other comprehensive (loss) income(175,233)(115,979)(65,890)5,729 11,872 
Total stockholders’ equity907,024 646,373 676,865 730,211 705,667 
Total liabilities and stockholders’ equity$9,462,639 $8,111,524 $8,112,295 $7,861,285 $7,470,478 
13
Origin Bancorp, Inc.
Loan Data
At and For the Three Months Ended
September 30,
2022		June 30,
2022		March 31,
 2022		December 31,
2021		September 30,
2021
LHFI(Dollars in thousands, unaudited)
Commercial real estate$2,174,347 $1,909,054 $1,801,382 $1,693,512 $1,590,519 
Construction/land/land development853,311 635,556 593,350 530,083 518,920 
Residential real estate1,399,182 1,005,623 922,054 909,739 913,411 
Total real estate loans4,426,840 3,550,233 3,316,786 3,133,334 3,022,850 
Commercial and industrial1,967,037 1,430,239 1,358,597 1,454,235 1,435,203 
Mortgage warehouse lines of credit460,573 531,888 503,249 627,078 713,339 
Consumer28,231 15,733 15,774 16,684 15,896 
Total LHFI6,882,681 5,528,093 5,194,406 5,231,331 5,187,288 
Less: allowance for loan credit losses ("ALCL")83,359 63,123 62,173 64,586 69,947 
LHFI, net$6,799,322 $5,464,970 $5,132,233 $5,166,745 $5,117,341 
Nonperforming assets
Nonperforming LHFI
Commercial real estate$431 $224 $233 $512 $672 
Construction/land/land development366 373 256 338 592 
Residential real estate7,641 7,478 11,609 11,647 9,377 
Commercial and industrial5,134 5,930 8,987 12,306 13,873 
Mortgage warehouse lines of credit385 — — — — 
Consumer74 80 96 100 41 
Total nonperforming LHFI14,031 14,085 21,181 24,903 24,555 
Nonperforming loans held for sale2,698 2,461 2,698 1,754 2,074 
Total nonperforming loans16,729 16,546 23,879 26,657 26,629 
Repossessed assets1,781 2,009 1,703 1,860 4,574 
Total nonperforming assets$18,510 $18,555 $25,582 $28,517 $31,203 
Classified assets$71,562 $54,124 $72,082 $71,232 $80,165 
Past due LHFI (1)
10,866 7,186 21,753 25,615 25,954 
Allowance for loan credit losses
Balance at beginning of period$63,123 $62,173 $64,586 $69,947 $77,104 
Provision for loan credit losses15,787 2,503 (659)(2,668)(4,266)
ALCL - BTH merger5,527 — — — — 
Loans charged off1,628 2,192 2,402 3,162 3,035 
Loan recoveries550 639 648 469 144 
Net charge-offs1,078 1,553 1,754 2,693 2,891 
Balance at end of period$83,359 $63,123 $62,173 $64,586 $69,947 
14
Origin Bancorp, Inc.
Loan Data - Continued
At and For the Three Months Ended
September 30,
2022		June 30,
2022		March 31,
 2022		December 31,
2021		September 30,
2021
Credit quality ratios(Dollars in thousands, unaudited)
Total nonperforming assets to total assets0.20 %0.23 %0.32 %0.36 %0.42 %
Total nonperforming loans to total loans0.24 0.30 0.45 0.50 0.50 
Nonperforming LHFI to LHFI0.20 0.25 0.41 0.48 0.47 
Past due LHFI to LHFI0.16 0.13 0.42 0.49 0.50 
ALCL to nonperforming LHFI594.11 448.16 293.53 259.35 284.86 
ALCL to total LHFI1.21 1.14 1.20 1.23 1.35 
ALCL to total LHFI, adjusted (2)
1.29 1.25 1.33 1.43 1.63 
Net charge-offs to total average LHFI (annualized)0.07 0.12 0.14 0.21 0.22 
____________________________
(1)Past due LHFI are defined as loans 30 days or more past due.
(2)The ALCL to total LHFI, adjusted is calculated at September 30, 2022, by excluding the ALCL for warehouse loans from the total LHFI ALCL in the numerator and excluding the warehouse loans from the LHFI in the denominator. For the periods prior to September 30, 2022, it is calculated by excluding the ALCL for warehouse loans from the total LHFI ALCL in the numerator and excluding the PPP and warehouse loans from the LHFI in the denominator. Due to their low-risk profile, mortgage warehouse loans require a disproportionately low allocation of the ALCL and PPP loans are fully guaranteed by the SBA.
15
Origin Bancorp, Inc.
Average Balances and Yields/Rates
Three Months Ended
September 30, 2022June 30, 2022September 30, 2021
Average BalanceYield/RateAverage BalanceYield/RateAverage BalanceYield/Rate
Assets(Dollars in thousands, unaudited)
Commercial real estate$2,046,411 4.64 %$1,828,700 4.17 %$1,505,731 4.08 %
Construction/land/land development760,682 5.20 587,872 4.52 527,881 4.10 
Residential real estate1,249,746 4.36 966,363 4.30 936,375 4.14 
Commercial and industrial ("C&I")1,816,912 5.64 1,398,802 4.26 1,492,375 4.14 
Mortgage warehouse lines of credit491,584 4.53 444,851 4.10 660,715 3.58 
Consumer24,137 6.80 15,979 6.03 16,222 5.81 
LHFI6,389,472 4.94 5,242,567 4.26 5,139,299 4.05 
Loans held for sale29,927 4.12 37,678 3.69 72,739 3.85 
Loans receivable6,419,399 4.93 5,280,245 4.25 5,212,038 4.05 
Investment securities-taxable1,547,848 2.00 1,610,400 1.77 853,277 1.60 
Investment securities-nontaxable317,175 2.69 258,178 2.32 280,189 2.24 
Non-marketable equity securities held in other financial institutions73,819 2.10 51,052 4.79 43,725 2.22 
Interest-bearing balances due from banks206,781 2.09 277,800 0.84 610,863 0.19 
Total interest-earning assets8,565,022 4.23 7,477,675 3.53 7,000,092 3.33 
Noninterest-earning assets(1)
637,399 467,045 464,721 
Total assets$9,202,421 $7,944,720 $7,464,813 
Liabilities and Stockholders’ Equity
Liabilities
Interest-bearing liabilities
Savings and interest-bearing transaction accounts$4,157,092 0.66 %$3,767,275 0.26 %$3,657,625 0.25 %
Time deposits669,900 0.51 503,325 0.49 582,384 0.67 
Total interest-bearing deposits4,826,992 0.64 4,270,600 0.29 4,240,009 0.30 
FHLB advances and other borrowings538,020 2.00 417,121 1.34 263,956 1.68 
Subordinated debentures186,803 4.81 157,517 4.64 157,321 4.63 
Total interest-bearing liabilities5,551,815 0.91 4,845,238 0.52 4,661,286 0.53 
Noninterest-bearing liabilities
Noninterest-bearing deposits2,582,500 2,288,732 1,965,843 
Other liabilities(1)
129,354 143,427 134,079 
Total liabilities8,263,669 7,277,397 6,761,208 
Stockholders’ Equity938,752 667,323 703,605 
Total liabilities and stockholders’ equity$9,202,421 $7,944,720 $7,464,813 
Net interest spread3.32 %3.01 %2.80 %
NIM3.64 3.19 2.98 
NIM - (FTE)(2)
3.68 3.23 3.02 
NIM - FTE, adjusted (3)
3.61 3.20 2.94 
____________________________
(1)Includes Government National Mortgage Association (“GNMA”) repurchase average balances of $29.1 million, $35.8 million, and $51.3 million for the three months ended September 30, 2022, June 30, 2022, and September 30, 2021, respectively. The GNMA repurchase asset and liability are recorded as equal offsetting amounts in the consolidated balance sheets, with the asset included in Loans held for sale and the liability included in FHLB advances and other borrowings.
(2)In order to present pre-tax income and resulting yields on tax-exempt investments comparable to those on taxable investments, a tax-equivalent adjustment has been computed. This adjustment also includes income tax credits received on Qualified School Construction Bonds.
(3)NIM - FTE, adjusted, is calculated for the quarter ended September 30, 2022, by removing the net PAA accretion from the net interest income. For periods prior to September 30, 2022, it is calculated by removing average PPP loans from average interest-earning assets and removing the associated interest income (net of 35 basis points assumed cost of funds on average PPP loan balances) from net interest income.
16
Origin Bancorp, Inc.
Non-GAAP Financial Measures

At and For the Three Months Ended
September 30,
2022		June 30,
2022		March 31,
2022		December 31,
2021		September 30,
2021
Calculation of PTPP earnings:(Dollars in thousands, except per share amounts, unaudited)
Net income$16,243 $21,311 $20,683 $28,322 $26,978 
Plus: provision for credit losses16,942 3,452 (327)(2,647)(3,921)
Plus: income tax expense2,820 4,807 5,278 4,860 6,242 
PTPP Earnings$36,005 $29,570 $25,634 $30,535 $29,299 
Calculation of PTPP ROA and PTPP ROE:
PTPP earnings$36,005 $29,570 $25,634 $30,535 $29,299 
Divided by number of days in the quarter92 91 90 92 92 
Multiplied by the number of days in the year365 365 365 365 365 
PTPP earnings, annualized$142,846 $118,605 $103,960 $121,144 $116,241 
Divided by total average assets9,202,421 7,944,720 8,045,246 7,559,570 7,464,813 
PTPP ROA (annualized)1.55 %1.49 %1.29 %1.60 %1.56 %
Divided by total average stockholders' equity$938,752 $667,323 $722,504 $715,614 $703,605 
PTPP ROE (annualized)15.22 %17.77 %14.39 %16.93 %16.52 %
Calculation of core efficiency ratio:
Net interest income$78,523 $59,504 $52,502 $54,180 $52,541 
   Less: insurance and mortgage net interest income1,208 1,082 875 946 1,048 
Total noninterest income13,723 14,216 15,906 16,701 15,923 
   Less: insurance and mortgage noninterest income4,737 8,047 10,552 5,683 6,179 
Less: gain on fair value of the Lincoln Agency— — — 5,200 — 
Less: gain on sale of securities, net1,664 — — 75 — 
Adjusted total revenue$84,637 $64,591 $56,981 $58,977 $61,237 
Total noninterest expense$56,241 $44,150 $42,774 $40,346 $39,165 
   Less: insurance and mortgage noninterest expense8,479 8,397 8,626 6,580 6,688 
Less: merger-related expenses3,614 807 571 — — 
Adjusted total noninterest expense44,148 34,946 33,577 33,766 32,477 
Efficiency ratio60.97 %59.89 %62.53 %56.92 %57.21 %
Core efficiency ratio52.16 54.10 58.93 57.25 53.03 
Calculation of tangible book value per common share and adjusted tangible book value per common share:
Total common stockholders’ equity$907,024 $646,373 $676,865 $730,211 $705,667 
Less: goodwill 136,793 34,153 34,153 34,368 26,741 
Less: other intangible assets, net52,384 15,900 16,425 16,962 3,089 
Tangible common equity717,847 596,320 626,287 678,881 675,837 
Less: accumulated other comprehensive (loss) income(175,233)(115,979)(65,890)5,729 11,872 
Adjusted tangible common equity893,080 712,299 692,177 673,152 663,965 
Divided by common shares outstanding at the end of the period30,661,734 23,807,677 23,748,748 23,746,502 23,496,058 
Tangible book value per common share$23.41 $25.05 $26.37 $28.59 $28.76 
Adjusted tangible book value per common share$29.13 $29.92 $29.15 $28.35 $28.26 
17
Origin Bancorp, Inc.
Non-GAAP Financial Measures
At and For the Three Months Ended
September 30,
2022		June 30,
2022		March 31,
2022		December 31,
2021		September 30,
2021
Calculation of adjusted net income:
Net interest income after provision for credit losses$61,581 $56,052 $52,829 $56,827 $56,462 
Add: CECL provision for non-PCD loans14,890 — — — — 
Adjusted net interest income after provision for credit losses76,471 56,052 52,829 56,827 56,462 
Total noninterest income13,723 14,216 15,906 16,701 15,923 
Less: GNMA MSR impairment(1,950)— — — — 
Less: gain on sales of securities, net1,664 — — 75 — 
Less: Gain on fair value of the Lincoln Agency— — — 5,200 — 
Adjusted total noninterest income14,009 14,216 15,906 11,426 15,923 
Total noninterest expense56,241 44,150 42,774 40,346 39,165 
Less: merger-related expenses3,614 807 571 — — 
Adjusted total noninterest expense52,627 43,343 42,203 40,346 39,165 
Income tax expense2,820 4,807 5,278 4,860 6,242 
Add: income tax expense3,946 169 120 (1,108)— 
Adjusted income tax expense6,766 4,976 5,398 3,752 6,242 
Adjusted net income$31,087 $21,949 $21,134 $24,155 $26,978 
Calculation of adjusted ROA and adjusted ROE:
Adjusted net income$31,087 $21,949 $21,134 $24,155 $26,978 
Divided by number of days in the quarter92 91 90 92 92 
Multiplied by number of days in the year365 365 365 365 365 
Annualized adjusted net income$123,334 $88,037 $85,710 $95,832 $107,032 
Divided by total average assets$9,202,421 $7,944,720 $8,045,246 $7,559,570 $7,464,813 
Adjusted ROA (annualized)1.34 %1.11 %1.07 %1.27 %1.43 %
Divided by total average stockholders equity$938,752 $667,323 $722,504 $715,614 $703,605 
Adjusted ROE (annualized)13.14 %13.19 %11.86 %13.39 %15.21 %
Calculation of adjusted EPS and adjusted dilutive EPS:
Numerator:
Adjusted net income$31,087 $21,949 $21,134 $24,155 $26,978 
Denominator:
Weighted average common shares outstanding28,298,984 23,740,611 23,700,550 23,484,056 23,429,705 
Weighted average diluted common shares outstanding28,481,619 23,788,164 23,770,791 23,609,874 23,613,010 
Adjusted basic earnings per share$1.10 $0.92 $0.89 $1.03 $1.15 
Adjusted diluted earnings per share1.09 0.92 0.89 1.02 1.14 







18
Origin Bancorp, Inc.
Non-GAAP Financial Measures
Nine Months Ended September 30,
(Dollars in thousands, except per share amounts, unaudited)20222021
Calculation of PTPP earnings:
Net income$58,237 $80,224 
Plus: provision for credit losses20,067 (8,118)
Plus: income tax expense12,905 19,025 
PTPP earnings$91,209 $91,131 
Calculation of PTPP ROA and PTPP ROE:
PTPP earnings$91,209 $91,131 
Divided by number of days in this period273 273 
Multiplied by the number of days in the year365 365 
PTPP earnings, annualized$121,946 $121,842 
Divided by total average assets$8,401,701 $7,441,055 
PTPP ROA1.45 %1.64 %
Divided by total average stockholders' equity$776,985 $678,223 
PTPP ROE15.69 %17.96 %
Calculation of core efficiency ratio:
Net interest income$190,529 $162,072 
   Less: insurance and mortgage net interest income3,165 3,030 
Total noninterest income43,845 45,492 
   Less: insurance and mortgage noninterest income23,336 20,342 
Less: gain on sale of securities, net1,664 1,673 
Adjusted total revenue$206,209 $182,519 
Total noninterest expense$143,165 $116,433 
   Less: insurance and mortgage noninterest expense25,502 20,904 
Less: merger-related expenses4,992 — 
Less: other noninterest expense — 1,613 
Adjusted total expense$112,671 $93,916 
Efficiency ratio61.08 %56.09 %
Core efficiency ratio54.64 %51.46 %
19
Origin Bancorp, Inc.
Non-GAAP Financial Measures
Nine Months Ended September 30,
(Dollars in thousands, except per share amounts, unaudited)20222021
Calculation of adjusted net income:
Net interest income after provision for credit losses$170,462 $170,190 
Add: CECL provision for non-PCD loans14,890 — 
Adjusted net interest income after provision for credit losses185,352 170,190 
Total noninterest income43,845 45,492 
Less: GNMA MSR impairment(1,950)— 
Less: gain on sales of securities, net1,664 1,673 
Adjusted total noninterest income44,131 43,819 
Total noninterest expense143,165 116,433 
Less: merger-related expense4,992 — 
Adjusted total noninterest expense138,173 116,433 
Income tax expense12,905 19,025 
Add: income tax expense4,235 (351)
Adjusted income tax expense17,140 18,674 
Adjusted net income$74,170 $78,902 
Calculation of adjusted ROA and adjusted ROE:
Adjusted net income $74,170 $78,902 
Divided by number of days in the quarter273 273 
Multiplied by number of days in the year365 365 
Annualized adjusted net income $99,165 $105,492 
Divided by total average assets $8,401,701 $7,441,055 
Adjusted ROA (annualized)1.18 %1.42 %
Divided by total average stockholders' equity $776,985 $678,223 
Adjusted ROE (annualized) 12.76 %15.55 %
Calculation of adjusted EPS and Dilutive EPS:
Numerator:
Adjusted net income$74,170 $78,902 
Denominator:
Weighted average common shares outstanding25,263,681 23,413,794 
Weighted average diluted common shares outstanding25,366,807 23,606,597 
Adjusted basic earnings per share$2.94 $3.37 
Adjusted diluted earnings per share2.92 3.34 
20