Parent Company Only Condensed Financial Information

12 Months Ended

Dec. 31, 2021

PARENT COMPANY ONLY CONDENSED FINANCIAL INFORMATION

Condensed financial information of BayFirst Financial Corp. follows:


BALANCE SHEETS - PARENT COMPANY
	December 31,
	2021		2020
Assets:
Cash on deposit with subsidiary	$	2,551	$	2,438
Loans held for investment, at amortized cost	36		63
Investment in subsidiary	103,481		78,410
Other assets	158		53
Total Assets	$	106,226	$	80,964
Liabilities:
Subordinated debentures	$	5,985	$	5,948
Notes payable	3,299		3,754
Accrued interest payable	8		8
Accrued expenses and other liabilities	644		185
Total liabilities	9,936		9,895
Stockholders' equity:
Preferred stock, Series A; no par value, 10,000 shares authorized, 6,395 and 6,395 shares issued and outstanding; aggregate liquidation preference of $6,395 and $6,395	6,161		6,161
Preferred stock, Series B; no par value, 20,000 shares authorized, 3,210 and 8,760 shares issued and outstanding; aggregate liquidation preference of $3,210 and $8,760	3,123		8,516
Common stock and additional paid-in capital; no par value, 15,000,000 shares authorized, 3,981,117 and 3,485,018 shares issued and outstanding	51,496		43,043
Accumulated other comprehensive income (loss), net	(420)		—
Unearned compensation	(17)		(41)
Retained earnings	35,947		13,390
Total stockholders' equity	96,290		71,069
Total liabilities and stockholders' equity	$	106,226	$	80,964


STATEMENTS OF INCOME - PARENT COMPANY
	For the Years Ended December 31,
	2021		2020
Income:
Dividend income from bank subsidiary	$	1,000	$	—
Expense:
Interest expense	567		596


Other expenses	1,279		397
Total expense	1,846		993
Loss before taxes and equity in earnings of subsidiary	(846)		(993)
Income tax benefits	(434)		(298)
Loss before equity in earnings of subsidiary	(412)		(695)
Equity in undistributed earnings of subsidiary	25,030		13,398
Net income	$	24,618	$	12,703


STATEMENTS OF CASH FLOWS - PARENT COMPANY
	For the Years Ended December 31,
	2021		2020
Cash flows from operating activities:
Net income	$	24,618	$	12,703
Adjustments to reconcile net income
to net cash from operating activities -
Equity in earnings from subsidiary	(25,030)		(13,398)
Amortization of debt issuance costs	105		13

Stock based compensation expense	51		24

Change in other assets	(105)		(8)
Change in other liabilities and accrued interest payable	459		67
Net cash from operating activities	98		(599)
Cash flows from investing activities:
Contributions to subsidiary	—		(4,500)

Loan origination and payments, net	27		9
Net cash from investing activities	27		(4,491)
Cash flows from financing activities:

Payments on notes payable	(455)		(342)
Proceeds from issuance of subordinated debt, net of costs	5,932		—
Redemption of subordinated debt	(6,000)		—
Proceeds from issuance of preferred stock, net	727		6,516
Proceeds from sale of common stock, net	1,850		1,096
ESOP contribution	366		260
Unearned ESOP shares allocation	(371)		—
Dividends paid on common stock	(1,056)		(915)
Dividends paid on preferred stock	(1,005)		(863)
Net cash from financing activities	(12)		5,752
Net change in cash	113		662
Cash at beginning of year	2,438		1,776
Cash at end of year	$	2,551	$	2,438
Supplemental noncash disclosures
Conversion of Series B preferred stock to common stock	$	6,120	$	—
Conversion of subordinated debt to preferred stock, Series B	—		500
Conversion of Series A preferred stock to Series B preferred stock	—		1,500