EX-99 2 tcbx-ex99_1.htm EX-99.1 EX-99

Exhibit 99.1

 

img69977408_0.jpg

News Release

Contact:

Ken Dennard / Natalie Hairston

Dennard Lascar Investor Relations

(713) 529-6600

TCBX@dennardlascar.com

FOR IMMEDIATE RELEASE

 

THIRD COAST BANCSHARES, INC. REPORTS

2023 FIRST QUARTER FINANCIAL RESULTS

Continued progress results in 1.02% ROAA on improved margins
 

HOUSTON, TX – April 26, 2023 – Third Coast Bancshares, Inc. (NASDAQ: TCBX) (the “Company,” “Third Coast,” “we,” “us,” or “our”), the bank holding company for Third Coast Bank, SSB, today reported its 2023 first quarter financial results.

2023 First Quarter Financial Highlights

•
Loans held for investment grew $105.8 million to $3.21 billion, or 3.4%, over the $3.11 billion reported as of December 31, 2022 and 31.3% over the $2.45 billion reported as of March 31, 2022.
•
Deposits reached $3.32 billion, an increase of $86.4 million, or 2.7%, over the $3.24 billion reported as of December 31, 2022 and 28.4% over the $2.59 billion reported as of March 31, 2022. Noninterest-bearing deposits represented 15.6% of total deposits compared to 15.0% as of December 31, 2022.
•
Total assets reached $3.86 billion, an increase of $86.5 million, or 2.3%, over the $3.77 billion reported as of December 31, 2022 and 26.9% over the $3.04 billion reported as of March 31, 2022.
•
Net income for the first quarter of 2023 totaled $9.2 million compared to $7.5 million for the fourth quarter of 2022 and $2.1 million for the first quarter of 2022.
•
Book value per share and tangible book value per share(1) increased to $23.63 and $22.22, respectively, as of March 31, 2023 compared to $23.32 and $21.90, respectively, as of December 31, 2022 and to $22.40 and $20.97, respectively, as of March 31, 2022.
•
Return on average assets increased to 1.02% annualized for the first quarter of 2023 compared to 0.84% annualized for the fourth quarter of 2022 and 0.32% annualized for the first quarter of 2022.

“Third Coast’s first quarter performance underscores the many positive trends from the preceding fourth quarter,” said, Bart Caraway, Third Coast’s Chairman, President and Chief Executive Officer. “The industry wide liquidity crisis gave us the opportunity to reach out to both customers and prospects, which resulted in deposit growth of $86.4 million for the quarter with $30.8 million being noninterest bearing demand. We had no need to take on brokered deposits, or public funds. At March 31, 2023, our uninsured deposits were $932 million, or 28% of total deposits, well below industry average.

_____________________________

(1)
Non-GAAP financial measure. Please refer to the table titled “GAAP Reconciliation and Management's Explanation of Non-GAAP Financial Measures” at the end of this press release for a reconciliation of these non-GAAP financial measures.

 

 

“While no one is immune from market headwinds, Third Coast is well positioned and is focused on improving performance. For the quarter our net interest margin improved 4 basis points to 3.79% and our noninterest expense was down $583,000. Non-performing assets declined 16.3% and we delivered net recoveries of $364,000. We were especially pleased to report $9.2 million in net income, or $0.55 per diluted share, in the quarter, representing a 25% increase from the sequential fourth quarter.

“As we start the second quarter, we are optimistic regarding our deposit opportunities. We expect another quarter of similar loan growth as we navigate an increasingly uncertain environment. We also expect our net interest margin to continue to improve in the second quarter due to a recently purchased pay fixed SWAP. We will continue to be prudent in our lending practices from a risk return standpoint, conservative in our expenditures, and poised and ready to take advantage of future growth opportunities,” Caraway concluded.

Loan Portfolio and Composition

For the quarter ended March 31, 2023, gross loans increased to $3.21 billion, an increase of $105.8 million, or 3.4%, from $3.11 billion as of December 31, 2022, and an increase of $765.4 million, or 31.3%, from $2.45 billion as of March 31, 2022. We believe the loan growth was well diversified with real estate loans up $57.2 million and commercial loans up $53.7 million from December 31, 2022.

Asset Quality

Asset quality improved during the first quarter of 2023 with non-performing assets decreasing to $10.3 million as of March 31, 2023, or 16.3%, from $12.3 million as of December 31, 2022. On January 1, 2023, the Company adopted ASU 2016-13 Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASC 326”), such that the allowance calculation is based on current expected credit loss methodology (“CECL”) and recorded an increase of $4.0 million to the allowance for credit losses for the cumulative effect of adopting ASC 326 for its loans held for investment portfolio. In addition, the provision for credit loss recorded for the first quarter of 2023 was $1.2 million and related to provisioning for new loans. The entries combined served to increase the allowance to $35.9 million, or 1.12% of the $3.21 billion in gross loans outstanding as of March 31, 2023.

As of March 31, 2023, the nonperforming loans to loans held for investment ratio remained low at 0.32%, a decrease from 0.39% as of December 31, 2022 and 0.44% as of March 31, 2022. During the three months ended March 31, 2023 and 2022, the Company recorded net recoveries of $364,000 and $17,000, respectively.

Deposits and Composition

Deposits totaled $3.32 billion as of March 31, 2023, an increase of 2.7% from $3.24 billion as of December 31, 2022, and an increase of 28.4% from $2.59 billion as of March 31, 2022. Noninterest-bearing demand deposits increased from $486.1 million as of December 31, 2022 to $516.9 million as of March 31, 2023. Noninterest-bearing demand deposits represented 15.6% of total deposits as of March 31, 2023, up from 15.0% of total deposits as of December 31, 2022. As of March 31, 2023, interest-bearing demand deposits increased $32.0 million, or 1.3%, time deposits increased $23.1 million, or 10.7%, and savings accounts increased $525,000, or 1.5%, from December 31, 2022.

The average cost of deposits was 2.92% for the first quarter of 2023, representing a 75 basis point increase from the fourth quarter of 2022 and a 259 basis point increase from the first quarter of 2022 due primarily to the increase in rates paid on interest-bearing demand deposits.

2

 

 

Net Interest Margin and Net Interest Income

The net interest margin for the first quarter of 2023 was 3.79% compared to 3.75% for the fourth quarter of 2022 and 4.09% for the first quarter of 2022. The yield on loans for the first quarter of 2023 was 6.90% compared to 6.27% for the fourth quarter of 2022 and 4.90% for the first quarter of 2022. The increase in yield on loans during the first quarter of 2023 was primarily due to the increase in the Prime Rate.

Net interest income totaled $32.8 million for the first quarter of 2023, an increase of 2.1% from $32.2 million for the fourth quarter of 2022. Interest income totaled $57.4 million for the first quarter of 2023, an increase of 12.2% from $51.2 million for the fourth quarter of 2022. Interest and fees on loans increased $5.8 million, or 12.1%, compared to the fourth quarter of 2022, and increased $27.2 million, or 102.1%, from the first quarter of 2022. Interest expense was $24.5 million for the first quarter of 2023, an increase of $5.5 million, or 29.2% from $19.0 million for the fourth quarter of 2022 and an increase of $22.6 million, or 1,143.6%, from $2.0 million for the first quarter of 2022. The increase in interest expense was primarily due to interest-bearing deposit growth and increases in interest rates paid on interest-bearing deposit accounts.

Noninterest Income and Noninterest Expense

Noninterest income totaled $1.9 million for the first quarter of 2023, compared to $1.8 million for the fourth quarter of 2022, and $1.7 million for the first quarter of 2022.

Noninterest expense totaled $22.0 million for the first quarter of 2023, down from $22.6 million for the fourth quarter of 2022 and up from $20.2 million for the first quarter of 2022. The year-over-year increase was primarily attributed to increased salary expenses related to additional employees hired in 2022 and administrative expenses related to opening of four branches during 2022. The employee headcount increased from 339 as of March 31, 2022 to 370 as of March 31, 2023.

The efficiency ratio improved to 63.47% for the first quarter of 2023, from 66.74% for the fourth quarter of 2022, and 75.09% for the first quarter of 2022. The improvement was primarily due to the increase in interest and fees on loans while maintaining noninterest expense consistent with prior quarters.

Net Income and Earnings Per Share

Net income totaled $9.2 million for the first quarter of 2023, compared to $7.5 million for the fourth quarter of 2022. Net income available to common shareholders totaled $8.1 million for the first quarter of 2023 compared to $6.1 million for the fourth quarter of 2022. Dividends on our Series A Convertible Non-Cumulative Preferred Stock totaled $1.2 million for the first quarter of 2023 and $1.4 million for the fourth quarter of 2022. Basic earnings per share and diluted earnings per share were $0.60 per share and $0.55 per share, respectively, in the first quarter of 2023 compared to $0.45 per share and $0.44 per share, respectively, in the fourth quarter of 2022.

Earnings Conference Call

Third Coast has scheduled a conference call to discuss 2023 first quarter results, which will be broadcast live over the Internet, on Thursday, April 27, 2023, at 11:00 a.m. Eastern Time / 10:00 a.m. Central Time. To participate in the call, dial 201-389-0869 and ask for the Third Coast Bancshares, Inc. call at least 10 minutes prior to the start time, or access it live over the Internet at https://ir.tcbssb.com/events-and-presentations/events. For those who cannot listen to the live call, a replay will be available through May 4, 2023, and may be accessed by dialing 201-612-7415 and using passcode 13735405#. Also, an archive of the webcast will be available shortly after the call at https://ir.tcbssb.com/events-and-presentations/events for 90 days.

3

 

 

About Third Coast Bancshares, Inc.

Third Coast Bancshares, Inc. is a commercially focused, Texas-based bank holding company operating primarily in the Greater Houston, Dallas-Fort Worth, and Austin-San Antonio markets through its wholly owned subsidiary, Third Coast Bank, SSB. Founded in 2008 in Humble, Texas, Third Coast Bank, SSB conducts banking operations through 16 branches and one loan production office encompassing the four largest metropolitan areas in Texas. Please visit https://www.tcbssb.com for more information.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties and are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements reflect our current views with respect to, among other things, future events and our financial performance. These statements are often, but not always, made through the use of words or phrases such as “may,” “should,” “could,” “predict,” “potential,” “believe,” “looking ahead,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “estimate,” “intend,” “plan,” “projection,” “would” and “outlook,” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about our industry, management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond our control. Accordingly, we caution you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties that are difficult to predict. Although we believe that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements. There are or will be important factors that could cause our actual results to differ materially from those indicated in these forward-looking statements, including, but not limited to, the following: interest rate risk and fluctuations in interest rates; market conditions and economic trends generally and in the banking industry; our ability to maintain important deposit relationships; our ability to grow or maintain our deposit base; our ability to implement our expansion strategy; credit risk associated with our business; and changes in key management personnel. For a discussion of additional factors that could cause our actual results to differ materially from those described in the forward-looking statements, please see the risk factors discussed in our Annual Report on Form 10-K for the year ended December 31, 2022 filed with the U.S. Securities and Exchange Commission (the “SEC”), and our other filings with the SEC.

The foregoing factors should not be construed as exhaustive and should be read together with the other cautionary statements included in this press release. If one or more events related to these or other risks or uncertainties materialize, or if our underlying assumptions prove to be incorrect, actual results may differ materially from what we anticipate. Accordingly, you should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and we do 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 factors emerge from time to time, and it is not possible for us to predict which will arise. In addition, we cannot assess the impact of each factor on our 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.

4

 

 

Non-GAAP Financial Measures

This press release contains certain non-GAAP financial measures, including Tangible Common Equity, Tangible Book Value Per Share, Tangible Common Equity to Tangible Assets and Return on Average Tangible Common Equity, which are supplemental measures that are not required by, or are not presented in accordance with GAAP. Please refer to the table titled “GAAP Reconciliation and Management’s Explanation of Non-GAAP Financial Measures” at the end of this press release for a reconciliation of these non-GAAP financial measures.

5

 

 

Third Coast Bancshares, Inc. and Subsidiary

Financial Highlights

(unaudited)

 

 

 

2023

 

 

2022

 

(Dollars in thousands)

 

March 31

 

 

December 31

 

 

September 30

 

 

June 30

 

 

March 31

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and due from banks

 

$

309,153

 

 

$

329,864

 

 

$

216,623

 

 

$

317,462

 

 

$

369,782

 

Federal funds sold

 

 

1,789

 

 

 

2,150

 

 

 

1,225

 

 

 

2,741

 

 

 

1,538

 

Total cash and cash equivalents

 

 

310,942

 

 

 

332,014

 

 

 

217,848

 

 

 

320,203

 

 

 

371,320

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest bearing time deposits in other banks

 

 

-

 

 

 

-

 

 

 

132

 

 

 

132

 

 

 

132

 

Investment securities available-for-sale

 

 

180,376

 

 

 

176,067

 

 

 

160,437

 

 

 

157,261

 

 

 

126,218

 

Loans held for investment

 

 

3,213,326

 

 

 

3,107,551

 

 

 

2,972,852

 

 

 

2,749,177

 

 

 

2,447,945

 

Less: allowance for credit losses

 

 

(35,915

)

 

 

(30,351

)

 

 

(29,109

)

 

 

(26,666

)

 

 

(23,312

)

Loans, net

 

 

3,177,411

 

 

 

3,077,200

 

 

 

2,943,743

 

 

 

2,722,511

 

 

 

2,424,633

 

Accrued interest receivable

 

 

19,026

 

 

 

18,340

 

 

 

16,246

 

 

 

12,568

 

 

 

12,648

 

Premises and equipment, net

 

 

28,504

 

 

 

28,662

 

 

 

25,449

 

 

 

22,888

 

 

 

20,846

 

Other real estate owned

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

1,666

 

Bank-owned life insurance

 

 

64,235

 

 

 

60,761

 

 

 

60,263

 

 

 

51,919

 

 

 

26,671

 

Non-marketable securities, at cost

 

 

14,751

 

 

 

15,405

 

 

 

27,136

 

 

 

15,213

 

 

 

11,327

 

Deferred tax asset, net

 

 

7,146

 

 

 

6,303

 

 

 

8,097

 

 

 

7,179

 

 

 

4,258

 

Fair value hedge assets

 

 

8,793

 

 

 

9,213

 

 

 

11,508

 

 

 

6,892

 

 

 

3,873

 

Right-of-use assets

 

 

19,328

 

 

 

17,872

 

 

 

18,266

 

 

 

12,648

 

 

 

10,697

 

Core Deposit Intangible, net

 

 

1,090

 

 

 

1,131

 

 

 

1,171

 

 

 

1,211

 

 

 

1,252

 

Goodwill

 

 

18,034

 

 

 

18,034

 

 

 

18,034

 

 

 

18,034

 

 

 

18,034

 

Other assets

 

 

10,021

 

 

 

12,146

 

 

 

8,515

 

 

 

9,403

 

 

 

6,813

 

Total assets

 

$

3,859,657

 

 

$

3,773,148

 

 

$

3,516,845

 

 

$

3,358,062

 

 

$

3,040,388

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest bearing

 

$

516,909

 

 

$

486,114

 

 

$

517,265

 

 

$

519,614

 

 

$

931,622

 

Interest bearing

 

 

2,805,624

 

 

 

2,750,032

 

 

 

2,467,049

 

 

 

2,378,650

 

 

 

1,655,547

 

Total deposits

 

 

3,322,533

 

 

 

3,236,146

 

 

 

2,984,314

 

 

 

2,898,264

 

 

 

2,587,169

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accrued interest payable

 

 

1,636

 

 

 

2,545

 

 

 

2,925

 

 

 

1,683

 

 

 

387

 

Fair value hedge liabilities

 

 

7,271

 

 

 

9,221

 

 

 

11,514

 

 

 

6,912

 

 

 

3,909

 

Lease liability - operating leases

 

 

19,845

 

 

 

18,209

 

 

 

18,407

 

 

 

12,650

 

 

 

10,629

 

Other liabilities

 

 

10,054

 

 

 

14,024

 

 

 

12,158

 

 

 

7,344

 

 

 

5,584

 

FHLB advances

 

 

-

 

 

 

-

 

 

 

-

 

 

 

18,000

 

 

 

50,000

 

Note payable - Line of Credit - Senior Debt

 

 

30,875

 

 

 

30,875

 

 

 

30,875

 

 

 

30,875

 

 

 

1,000

 

Note payable - Subordinated Debentures, net

 

 

80,399

 

 

 

80,348

 

 

 

80,298

 

 

 

80,367

 

 

 

80,507

 

Total liabilities

 

 

3,472,613

 

 

 

3,391,368

 

 

 

3,140,491

 

 

 

3,056,095

 

 

 

2,739,185

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SHAREHOLDERS' EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Series A Convertible Non-Cumulative Preferred Stock

 

 

69

 

 

 

69

 

 

 

69

 

 

 

-

 

 

 

-

 

Series B Convertible Perpetual Preferred Stock

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Common stock

 

 

13,658

 

 

 

13,610

 

 

 

13,600

 

 

 

13,543

 

 

 

13,524

 

Additional paid-in capital

 

 

318,350

 

 

 

318,033

 

 

 

317,798

 

 

 

250,413

 

 

 

249,775

 

Retained earnings

 

 

58,182

 

 

 

53,270

 

 

 

47,163

 

 

 

40,393

 

 

 

38,116

 

Accumulated other comprehensive (loss) income

 

 

(2,116

)

 

 

(2,103

)

 

 

(1,177

)

 

 

(1,283

)

 

 

887

 

Treasury stock, at cost

 

 

(1,099

)

 

 

(1,099

)

 

 

(1,099

)

 

 

(1,099

)

 

 

(1,099

)

Total shareholders' equity

 

 

387,044

 

 

 

381,780

 

 

 

376,354

 

 

 

301,967

 

 

 

301,203

 

Total liabilities and shareholders' equity

 

$

3,859,657

 

 

$

3,773,148

 

 

$

3,516,845

 

 

$

3,358,062

 

 

$

3,040,388

 

 

6

 

 

Third Coast Bancshares, Inc. and Subsidiary

Financial Highlights

(unaudited)

 

 

 

Three Months Ended

 

 

Year Ended

 

 

 

 

2023

 

 

2022

 

 

2022

 

 

(Dollars in thousands, except per share data)

 

March 31

 

 

December 31

 

 

September 30

 

 

June 30

 

 

March 31

 

 

December 31

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

INTEREST INCOME:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans, including fees

 

$

53,911

 

 

$

48,081

 

 

$

40,498

 

 

$

31,164

 

 

$

26,682

 

 

$

146,425

 

 

Investment securities available-for-sale

 

 

1,548

 

 

 

1,388

 

 

 

1,367

 

 

 

894

 

 

 

276

 

 

 

3,925

 

 

Federal funds sold and deposits in other banks

 

 

1,920

 

 

 

1,682

 

 

 

1,237

 

 

 

451

 

 

 

226

 

 

 

3,596

 

 

Total interest income

 

 

57,379

 

 

 

51,151

 

 

 

43,102

 

 

 

32,509

 

 

 

27,184

 

 

 

153,946

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

INTEREST EXPENSE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposit accounts

 

 

22,092

 

 

 

15,682

 

 

 

9,727

 

 

 

3,443

 

 

 

1,844

 

 

 

30,696

 

 

FHLB advances and notes payable

 

 

2,457

 

 

 

3,318

 

 

 

2,020

 

 

 

1,328

 

 

 

130

 

 

 

6,796

 

 

Total interest expense

 

 

24,549

 

 

 

19,000

 

 

 

11,747

 

 

 

4,771

 

 

 

1,974

 

 

 

37,492

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

 

 

32,830

 

 

 

32,151

 

 

 

31,355

 

 

 

27,738

 

 

 

25,210

 

 

 

116,454

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Provision for credit losses

 

 

1,200

 

 

 

1,950

 

 

 

2,900

 

 

 

3,350

 

 

 

4,000

 

 

 

12,200

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income after credit loss expense

 

 

31,630

 

 

 

30,201

 

 

 

28,455

 

 

 

24,388

 

 

 

21,210

 

 

 

104,254

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NONINTEREST INCOME:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges and fees

 

 

779

 

 

 

706

 

 

 

772

 

 

 

617

 

 

 

619

 

 

 

2,714

 

 

Gain on sale of SBA loans

 

 

-

 

 

 

123

 

 

 

729

 

 

 

98

 

 

 

-

 

 

 

950

 

 

Gain on sale of securities

 

 

97

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

Earnings on bank-owned life insurance

 

 

475

 

 

 

497

 

 

 

424

 

 

 

248

 

 

 

143

 

 

 

1,312

 

 

Derivative fees

 

 

(1

)

 

 

117

 

 

 

313

 

 

 

123

 

 

 

706

 

 

 

1,259

 

 

Other

 

 

552

 

 

 

310

 

 

 

300

 

 

 

180

 

 

 

198

 

 

 

988

 

 

Total noninterest income

 

 

1,902

 

 

 

1,753

 

 

 

2,538

 

 

 

1,266

 

 

 

1,666

 

 

 

7,223

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NONINTEREST EXPENSE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

13,712

 

 

 

14,473

 

 

 

14,719

 

 

 

13,994

 

 

 

13,324

 

 

 

56,510

 

 

Data processing and network expense

 

 

1,203

 

 

 

837

 

 

 

1,256

 

 

 

932

 

 

 

922

 

 

 

3,947

 

 

Occupancy and equipment expense

 

 

2,633

 

 

 

2,591

 

 

 

2,232

 

 

 

1,830

 

 

 

1,873

 

 

 

8,526

 

 

Legal and professional

 

 

1,930

 

 

 

1,887

 

 

 

1,353

 

 

 

2,001

 

 

 

1,746

 

 

 

6,987

 

 

Loan operations and other real estate owned

 

 

(35

)

 

 

144

 

 

 

284

 

 

 

282

 

 

 

278

 

 

 

988

 

 

Advertising and marketing

 

 

686

 

 

 

580

 

 

 

438

 

 

 

467

 

 

 

427

 

 

 

1,912

 

 

Telephone and communications

 

 

139

 

 

 

175

 

 

 

122

 

 

 

99

 

 

 

100

 

 

 

496

 

 

Software purchases and maintenance

 

 

352

 

 

 

295

 

 

 

318

 

 

 

201

 

 

 

198

 

 

 

1,012

 

 

Regulatory assessments

 

 

666

 

 

 

863

 

 

 

1,000

 

 

 

956

 

 

 

645

 

 

 

3,464

 

 

Loss on sale of other real estate owned

 

 

-

 

 

 

-

 

 

 

-

 

 

 

350

 

 

 

-

 

 

 

350

 

 

Other

 

 

758

 

 

 

782

 

 

 

1,006

 

 

 

1,661

 

 

 

668

 

 

 

4,117

 

 

Total noninterest expense

 

 

22,044

 

 

 

22,627

 

 

 

22,728

 

 

 

22,773

 

 

 

20,181

 

 

 

88,309

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NET INCOME BEFORE INCOME TAX EXPENSE

 

 

11,488

 

 

 

9,327

 

 

 

8,265

 

 

 

2,881

 

 

 

2,695

 

 

 

23,168

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income tax expense

 

 

2,245

 

 

 

1,802

 

 

 

1,495

 

 

 

604

 

 

 

608

 

 

 

4,509

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NET INCOME

 

 

9,243

 

 

 

7,525

 

 

 

6,770

 

 

 

2,277

 

 

 

2,087

 

 

 

18,659

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred stock dividends declared

 

 

1,171

 

 

 

1,418

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

1,418

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NET INCOME AVAILABLE TO COMMON SHAREHOLDERS

 

$

8,072

 

 

$

6,107

 

 

$

6,770

 

 

$

2,277

 

 

$

2,087

 

 

$

17,241

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EARNINGS PER COMMON SHARE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic earnings per share

 

$

0.60

 

 

$

0.45

 

 

$

0.50

 

 

$

0.17

 

 

$

0.16

 

 

$

1.28

 

 

Diluted earnings per share

 

$

0.55

 

 

$

0.44

 

 

$

0.49

 

 

$

0.16

 

 

$

0.15

 

 

$

1.25

 

 

 

7

 

 

Third Coast Bancshares, Inc. and Subsidiary

Financial Highlights

(unaudited)

 

 

 

Three Months Ended

 

 

Year Ended

 

 

 

2023

 

 

2022

 

 

2022

 

(Dollars in thousands, except share and per share data)

 

March 31

 

 

December 31

 

 

September 30

 

 

June 30

 

 

March 31

 

 

December 31

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share, basic

 

$

0.60

 

 

$

0.45

 

 

$

0.50

 

 

$

0.17

 

 

$

0.16

 

 

$

1.28

 

Earnings per share, diluted

 

$

0.55

 

 

$

0.44

 

 

$

0.49

 

 

$

0.16

 

 

$

0.15

 

 

$

1.25

 

Dividends on common stock

 

$

-

 

 

$

-

 

 

$

-

 

 

$

-

 

 

$

-

 

 

$

-

 

Dividends on Series A Convertible Non-Cumulative Preferred Stock

 

$

16.88

 

 

$

20.44

 

 

$

-

 

 

$

-

 

 

$

-

 

 

$

20.44

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets (A)

 

 

1.02

%

 

 

0.84

%

 

 

0.78

%

 

 

0.29

%

 

 

0.32

%

 

 

0.58

%

Return on average common equity (A)

 

 

10.28

%

 

 

7.69

%

 

 

8.74

%

 

 

3.01

%

 

 

2.81

%

 

 

5.62

%

Return on average tangible common
        equity (A) (B)

 

 

10.93

%

 

 

8.19

%

 

 

9.32

%

 

 

3.22

%

 

 

3.00

%

 

 

6.00

%

Net interest margin (A) (C)

 

 

3.79

%

 

 

3.75

%

 

 

3.77

%

 

 

3.77

%

 

 

4.09

%

 

 

3.82

%

Efficiency ratio (D)

 

 

63.47

%

 

 

66.74

%

 

 

67.06

%

 

 

78.52

%

 

 

75.09

%

 

 

71.40

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Third Coast Bancshares, Inc. (consolidated):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total common equity to total assets

 

 

8.31

%

 

 

8.36

%

 

 

8.82

%

 

 

8.99

%

 

 

9.91

%

 

 

8.36

%

Tangible common equity to tangible
         assets (B)

 

 

7.86

%

 

 

7.90

%

 

 

8.32

%

 

 

8.47

%

 

 

9.33

%

 

 

7.90

%

Common equity tier 1 (to risk weighted assets)

 

 

7.89

%

 

N/A

 

 

N/A

 

 

N/A

 

 

N/A

 

 

N/A

 

Tier 1 capital (to risk weighted assets)

 

 

9.61

%

 

N/A

 

 

N/A

 

 

N/A

 

 

N/A

 

 

N/A

 

Total capital (to risk weighted assets)

 

 

12.63

%

 

N/A

 

 

N/A

 

 

N/A

 

 

N/A

 

 

N/A

 

Tier 1 capital (to average assets)

 

 

10.14

%

 

N/A

 

 

N/A

 

 

N/A

 

 

N/A

 

 

N/A

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Third Coast Bank, SSB:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common equity tier 1 (to risk weighted assets)

 

 

12.32

%

 

 

12.95

%

 

 

13.04

%

 

 

11.60

%

 

 

12.36

%

 

 

12.95

%

Tier 1 capital (to risk weighted assets)

 

 

12.32

%

 

 

12.95

%

 

 

13.04

%

 

 

11.60

%

 

 

12.36

%

 

 

12.95

%

Total capital (to risk weighted assets)

 

 

13.25

%

 

 

13.79

%

 

 

13.87

%

 

 

12.40

%

 

 

13.17

%

 

 

13.79

%

Tier 1 capital (to average assets)

 

 

13.00

%

 

 

13.11

%

 

 

13.29

%

 

 

12.47

%

 

 

13.66

%

 

 

13.11

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

13,532,545

 

 

 

13,528,504

 

 

 

13,490,680

 

 

 

13,454,423

 

 

 

13,385,324

 

 

 

13,465,196

 

Diluted

 

 

16,801,815

 

 

 

13,760,076

 

 

 

13,678,962

 

 

 

13,822,522

 

 

 

13,755,026

 

 

 

13,754,610

 

Period end shares outstanding

 

 

13,579,498

 

 

 

13,531,736

 

 

 

13,521,826

 

 

 

13,464,093

 

 

 

13,445,782

 

 

 

13,531,736

 

Book value per share

 

$

23.63

 

 

$

23.32

 

 

$

22.93

 

 

$

22.43

 

 

$

22.40

 

 

$

23.32

 

Tangible book value per share (B)

 

$

22.22

 

 

$

21.90

 

 

$

21.51

 

 

$

21.00

 

 

$

20.97

 

 

$

21.90

 

___________

(A) Interim periods annualized.

(B) Refer to the calculation of these non-GAAP financial measures and a reconciliation to their most directly comparable GAAP financial measures on pages 11 and 12 of this News Release.

(C) Net interest margin represents net interest income divided by average interest-earning assets.

(D) Represents total noninterest expense divided by the sum of net interest income plus noninterest income. Taxes and provision for credit losses are not part of this calculation.

 

8

 

 

Third Coast Bancshares, Inc. and Subsidiary

Financial Highlights

(unaudited)

 

 

 

Three Months Ended

 

 

March 31, 2023

 

December 31, 2022

 

March 31, 2022

(Dollars in thousands)

 

Average
Outstanding
Balance

 

 

Interest
Earned/
Paid(3)

 

 

Average
Yield/
Rate

 

Average
Outstanding
Balance

 

 

Interest
Earned/
Paid(3)

 

 

Average
Yield/
Rate

 

Average
Outstanding
Balance

 

 

Interest
Earned/
Paid(3)

 

 

Average
Yield/
Rate

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-earnings assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities

 

$

178,197

 

 

$

1,548

 

 

3.52%

 

$

170,463

 

 

$

1,388

 

 

3.23%

 

$

28,170

 

 

$

276

 

 

3.97%

Loans, gross

 

 

3,170,828

 

 

 

53,911

 

 

6.90%

 

 

3,041,923

 

 

 

48,081

 

 

6.27%

 

 

2,208,462

 

 

 

26,682

 

 

4.90%

Federal funds sold and other interest-earning assets

 

 

167,694

 

 

 

1,920

 

 

4.64%

 

 

185,887

 

 

 

1,682

 

 

3.59%

 

 

260,275

 

 

 

226

 

 

0.35%

Total interest-earning assets

 

 

3,516,719

 

 

 

57,379

 

 

6.62%

 

 

3,398,273

 

 

 

51,151

 

 

5.97%

 

 

2,496,907

 

 

 

27,184

 

 

4.42%

Less allowance for loan losses

 

 

(34,879

)

 

 

 

 

 

 

 

(29,563

)

 

 

 

 

 

 

 

(20,395

)

 

 

 

 

 

Total interest-earning assets, net of allowance

 

 

3,481,840

 

 

 

 

 

 

 

 

3,368,710

 

 

 

 

 

 

 

 

2,476,512

 

 

 

 

 

 

Noninterest-earning assets

 

 

182,869

 

 

 

 

 

 

 

 

203,834

 

 

 

 

 

 

 

 

150,871

 

 

 

 

 

 

Total assets

 

$

3,664,709

 

 

 

 

 

 

 

$

3,572,544

 

 

 

 

 

 

 

$

2,627,383

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities and Shareholders’ Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing deposits

 

$

2,595,750

 

 

$

22,092

 

 

3.45%

 

$

2,354,990

 

 

$

15,682

 

 

2.64%

 

$

1,640,273

 

 

$

1,844

 

 

0.46%

Notes payable

 

 

111,250

 

 

 

1,814

 

 

6.61%

 

 

111,199

 

 

 

1,761

 

 

6.28%

 

 

1,891

 

 

 

23

 

 

4.93%

FHLB advances

 

 

52,803

 

 

 

643

 

 

4.94%

 

 

166,783

 

 

 

1,557

 

 

3.70%

 

 

50,000

 

 

 

107

 

 

0.87%

Total interest-bearing liabilities

 

 

2,759,803

 

 

 

24,549

 

 

3.61%

 

 

2,632,972

 

 

 

19,000

 

 

2.86%

 

 

1,692,164

 

 

 

1,974

 

 

0.47%

Noninterest-bearing deposits

 

 

477,706

 

 

 

 

 

 

 

 

517,075

 

 

 

 

 

 

 

 

620,900

 

 

 

 

 

 

Other liabilities

 

 

42,406

 

 

 

 

 

 

 

 

41,226

 

 

 

 

 

 

 

 

12,782

 

 

 

 

 

 

Total liabilities

 

 

3,279,915

 

 

 

 

 

 

 

 

3,191,273

 

 

 

 

 

 

 

 

2,325,846

 

 

 

 

 

 

Shareholders’ equity

 

 

384,794

 

 

 

 

 

 

 

 

381,271

 

 

 

 

 

 

 

 

301,537

 

 

 

 

 

 

Total liabilities and shareholders’ equity

 

$

3,664,709

 

 

 

 

 

 

 

$

3,572,544

 

 

 

 

 

 

 

$

2,627,383

 

 

 

 

 

 

Net interest income

 

 

 

 

$

32,830

 

 

 

 

 

 

 

$

32,151

 

 

 

 

 

 

 

$

25,210

 

 

 

Net interest spread (1)

 

 

 

 

 

 

 

3.01%

 

 

 

 

 

 

 

3.11%

 

 

 

 

 

 

 

3.95%

Net interest margin (2)

 

 

 

 

 

 

 

3.79%

 

 

 

 

 

 

 

3.75%

 

 

 

 

 

 

 

4.09%

___________

(1) Net interest spread is the average yield on interest earning assets minus the average rate on interest-bearing liabilities.

(2) Net interest margin represents net interest income divided by average interest-earning assets.

(3) Interest earned/paid includes accretion of deferred loan fees, premiums and discounts.

 

 

 

9

 

 

Third Coast Bancshares, Inc. and Subsidiary

Financial Highlights

(unaudited)

 

 

 

Three Months Ended

 

 

 

 

2023

 

 

2022

 

 

(Dollars in thousands)

 

March 31

 

 

December 31

 

 

September 30

 

 

June 30

 

 

March 31

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Period-end Loan Portfolio:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-farm non-residential owner occupied

 

$

508,936

 

 

$

493,791

 

 

$

529,046

 

 

$

508,864

 

 

$

477,573

 

 

Non-farm non-residential non-owner occupied

 

 

511,546

 

 

 

506,012

 

 

 

490,503

 

 

 

464,530

 

 

 

463,618

 

 

Residential

 

 

286,358

 

 

 

308,775

 

 

 

283,432

 

 

 

273,415

 

 

 

225,649

 

 

Construction, development & other

 

 

627,143

 

 

 

567,851

 

 

 

500,879

 

 

 

440,925

 

 

 

414,653

 

 

Farmland

 

 

22,512

 

 

 

22,820

 

 

 

22,770

 

 

 

23,895

 

 

 

13,467

 

 

Commercial & industrial

 

 

1,112,638

 

 

 

1,058,910

 

 

 

1,029,231

 

 

 

914,845

 

 

 

756,005

 

 

Consumer

 

 

3,280

 

 

 

3,872

 

 

 

3,728

 

 

 

3,706

 

 

 

3,304

 

 

Municipal and other

 

 

140,913

 

 

 

145,520

 

 

 

113,263

 

 

 

118,997

 

 

 

93,676

 

 

Total loans

 

$

3,213,326

 

 

$

3,107,551

 

 

$

2,972,852

 

 

$

2,749,177

 

 

$

2,447,945

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Asset Quality:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonaccrual loans

 

$

9,482

 

 

$

10,963

 

 

$

9,439

 

 

$

9,806

 

 

$

9,896

 

 

Loans > 90 days and still accruing

 

 

-

 

 

 

518

 

 

 

98

 

 

 

387

 

 

 

40

 

 

Restructured loans--accruing

 

 

780

 

 

 

780

 

 

 

781

 

 

 

785

 

 

 

790

 

 

Total nonperforming loans

 

$

10,262

 

 

$

12,261

 

 

$

10,318

 

 

$

10,978

 

 

$

10,726

 

 

Other real estate owned

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

1,666

 

 

Total nonperforming assets

 

$

10,262

 

 

$

12,261

 

 

$

10,318

 

 

$

10,978

 

 

$

12,392

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

QTD Net (recoveries) charge-offs

 

$

(364

)

 

$

708

 

 

$

457

 

 

$

(4

)

 

$

(17

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonaccrual loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-farm non-residential owner occupied

 

$

855

 

 

$

1,699

 

 

$

921

 

 

$

964

 

 

$

986

 

 

Non-farm non-residential non-owner occupied

 

 

282

 

 

 

296

 

 

 

309

 

 

 

323

 

 

 

334

 

 

Residential

 

 

506

 

 

 

513

 

 

 

111

 

 

 

116

 

 

 

121

 

 

Construction, development & other

 

 

39

 

 

 

40

 

 

 

227

 

 

 

232

 

 

 

238

 

 

Commercial & industrial

 

 

7,800

 

 

 

8,390

 

 

 

7,846

 

 

 

8,165

 

 

 

8,210

 

 

Consumer

 

 

-

 

 

 

20

 

 

 

20

 

 

 

-

 

 

 

-

 

 

Purchased credit impaired

 

 

-

 

 

 

5

 

 

 

5

 

 

 

6

 

 

 

7

 

 

Total nonaccrual loans

 

$

9,482

 

 

$

10,963

 

 

$

9,439

 

 

$

9,806

 

 

$

9,896

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Asset Quality Ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonperforming assets to total assets

 

 

0.27

%

 

 

0.32

%

 

 

0.29

%

 

 

0.33

%

 

 

0.41

%

 

Nonperforming loans to total loans

 

 

0.32

%

 

 

0.39

%

 

 

0.35

%

 

 

0.40

%

 

 

0.44

%

 

Allowance for credit losses to total loans

 

 

1.12

%

 

 

0.98

%

 

 

0.98

%

 

 

0.97

%

 

 

0.95

%

 

QTD Net (recoveries) charge-offs to average loans (annualized)

 

 

(0.05

%)

 

 

0.09

%

 

 

0.06

%

 

 

0.00

%

 

 

0.00

%

 

 

10

 

 

Third Coast Bancshares, Inc. and Subsidiary

GAAP Reconciliation and Management's Explanation of Non-GAAP Financial Measures

(unaudited)

 

Our accounting and reporting policies conform to GAAP (generally accepted accounting principles) and the prevailing practices in the banking industry. However, we also evaluate our performance based on certain additional financial measures discussed in this earnings release as being non-GAAP financial measures. Specifically, we review Tangible Common Equity, Tangible Book Value Per Share, Tangible Common Equity to Tangible Assets, and Return on Average Tangible Common Equity for internal planning and forecasting purposes. We classify a financial measure as a non-GAAP financial measure if that financial measure excludes or includes amounts, or is subject to adjustments that have the effect of excluding or including amounts, that are not included or excluded, as the case may be, in the most directly comparable measure calculated and presented in accordance with GAAP as in effect from time to time in the United States in our statements of income, balance sheets or statements of cash flows. Non-GAAP financial measures do not include operating and other statistical measures or ratios or statistical measures calculated using exclusively financial measures calculated in accordance with GAAP.

The non-GAAP financial measures that we discuss in this earnings release should not be considered in isolation or as a substitute for the most directly comparable or other financial measures calculated in accordance with GAAP. Moreover, the manner in which we calculate the non-GAAP financial measures that we discuss in this earnings release may differ from that of other companies reporting measures with similar names. It is important to understand how other banking organizations calculate their financial measures with names similar to the non-GAAP financial measures we have discussed in this earnings release when comparing such non-GAAP financial measures.

Management believes the following non-GAAP financial measures assist investors in understanding the financial condition of the company:

•
Tangible Common Equity. The most directly comparable GAAP financial measure for tangible common equity is total shareholders’ equity. We believe that this measure is important to many investors in the marketplace who are interested in the relative changes from period to period of tangible common equity.
•
Tangible Book Value Per Share. The most directly comparable GAAP financial measure for tangible book value per share is book value per share. We believe that the tangible book value per share measure is important to many investors in the marketplace who are interested in changes from period to period in book value per share exclusive of changes in intangible assets. Goodwill and other intangible assets have the effect of increasing total book value while not increasing our tangible book value.
•
Tangible Common Equity to Tangible Assets. The most directly comparable GAAP financial measure for tangible common equity is total shareholders’ equity, the most directly comparable GAAP financial measure for tangible assets is total assets, and the most directly comparable GAAP financial measure for tangible common equity to tangible assets is total shareholders’ equity to total assets. We believe that this measure is important to many investors in the marketplace who are interested in the relative changes from period to period of tangible common equity to tangible assets, each exclusive of changes in intangible assets. Goodwill and other intangible assets have the effect of increasing both total shareholders’ equity and assets while not increasing our tangible common equity or tangible assets.
•
Return on Average Tangible Common Equity. The most directly comparable GAAP financial measure for average tangible common equity is average shareholders' equity, and the most directly comparable GAAP financial measure for return on average tangible common equity is return on average common

11

 

 

equity. We believe that this measure is important to many investors in the marketplace who are interested in the relative changes from period to period of return on average tangible common equity, exclusive of changes in intangible assets. Goodwill and other intangible assets have the effect of increasing average shareholders’ equity while not increasing our tangible common equity.

The calculations of these non-GAAP financial measures are as follows:

 

 

Three Months Ended

 

 

Year Ended

 

 

 

2023

 

 

2022

 

 

2022

 

(Dollars in thousands, except share and per share data)

 

March 31

 

 

December 31

 

 

September 30

 

 

June 30

 

 

March 31

 

 

December 31

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible Common Equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total shareholders' equity

 

$

387,044

 

 

$

381,780

 

 

$

376,354

 

 

$

301,967

 

 

$

301,203

 

 

$

381,780

 

Less: Preferred stock including additional paid in capital

 

 

66,225

 

 

 

66,225

 

 

 

66,273

 

 

 

-

 

 

 

-

 

 

 

66,225

 

Total common equity

 

 

320,819

 

 

 

315,555

 

 

 

310,081

 

 

 

301,967

 

 

 

301,203

 

 

 

315,555

 

Less: Goodwill and core deposit intangibles, net

 

 

19,124

 

 

 

19,165

 

 

 

19,205

 

 

 

19,245

 

 

 

19,286

 

 

 

19,165

 

Tangible common equity

 

$

301,695

 

 

$

296,390

 

 

$

290,876

 

 

$

282,722

 

 

$

281,917

 

 

$

296,390

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common shares outstanding at end of period

 

 

13,579,498

 

 

 

13,531,736

 

 

 

13,521,826

 

 

 

13,464,093

 

 

 

13,445,782

 

 

 

13,531,736

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Book Value Per Share

 

$

23.63

 

 

$

23.32

 

 

$

22.93

 

 

$

22.43

 

 

$

22.40

 

 

$

23.32

 

Tangible Book Value Per Share

 

$

22.22

 

 

$

21.90

 

 

$

21.51

 

 

$

21.00

 

 

$

20.97

 

 

$

21.90

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

$

3,859,657

 

 

$

3,773,148

 

 

$

3,516,845

 

 

$

3,358,062

 

 

$

3,040,388

 

 

$

3,773,148

 

Adjustments: Goodwill and core deposit intangibles, net

 

 

19,124

 

 

 

19,165

 

 

 

19,205

 

 

 

19,245

 

 

 

19,286

 

 

 

19,165

 

Tangible assets

 

$

3,840,533

 

 

$

3,753,983

 

 

$

3,497,640

 

 

$

3,338,817

 

 

$

3,021,102

 

 

$

3,753,983

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Common Equity to Total Assets

 

 

8.31

%

 

 

8.36

%

 

 

8.82

%

 

 

8.99

%

 

 

9.91

%

 

 

8.36

%

Tangible Common Equity to Tangible Assets

 

 

7.86

%

 

 

7.90

%

 

 

8.32

%

 

 

8.47

%

 

 

9.33

%

 

 

7.90

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average Tangible Common Equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average shareholders' equity

 

$

384,794

 

 

$

381,271

 

 

$

308,092

 

 

$

303,135

 

 

$

301,537

 

 

$

323,685

 

Less: Average preferred stock including additional paid in capital

 

 

66,225

 

 

 

66,329

 

 

 

720

 

 

 

-

 

 

 

-

 

 

 

16,900

 

Average common equity

 

 

318,569

 

 

 

314,942

 

 

 

307,372

 

 

 

303,135

 

 

 

301,537

 

 

 

306,785

 

Less: Average goodwill and core deposit intangibles, net

 

 

19,149

 

 

 

19,184

 

 

 

19,225

 

 

 

19,265

 

 

 

19,306

 

 

 

19,245

 

Average tangible common equity

 

$

299,420

 

 

$

295,758

 

 

$

288,147

 

 

$

283,870

 

 

$

282,231

 

 

$

287,540

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

9,243

 

 

$

7,525

 

 

$

6,770

 

 

$

2,277

 

 

$

2,087

 

 

$

18,659

 

Less: Dividends paid on preferred stock

 

 

1,171

 

 

 

1,418

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

1,418

 

Net Income Available to Common Shareholders

 

$

8,072

 

 

$

6,107

 

 

$

6,770

 

 

$

2,277

 

 

$

2,087

 

 

$

17,241

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on Average Common Equity

 

 

10.28

%

 

 

7.69

%

 

 

8.74

%

 

 

3.01

%

 

 

2.81

%

 

 

5.62

%

Return on Average Tangible Common Equity

 

 

10.93

%

 

 

8.19

%

 

 

9.32

%

 

 

3.22

%

 

 

3.00

%

 

 

6.00

%

 

12