BETHESDA, Md., Oct. 24, 2011 (CRWENEWSWIRE) — Eagle Bancorp, Inc. (the “Company”) (Nasdaq:EGBN), the parent company of EagleBank, today announced net income of $6.5 million for the quarter ended September 30, 2011, a 36% increase over the $4.8 million net income for the quarter ended September 30, 2010, constituting another record quarter. Net income available to common shareholders increased 43% to $6.3 million ($0.32 per basic common share and $0.31 per diluted common share), as compared to $4.4 million ($0.22 per basic and diluted common share) for the same three month period in 2010. The higher growth in net income available to common shareholders is due to lower aggregate dividends on preferred stock issued under the Small Business Lending Fund (”SBLF”), which has a dividend rate of 1.00% compared to a 5.00% rate applicable to the TARP preferred stock. The Company is eligible for the lowest dividend rate available in the SBLF program due to its growth of SBLF qualified loans during the initial and supplemental reporting periods.
For the nine months ended September 30, 2011, the Company’s net income was $17.4 million, a 50% increase over the $11.6 million for the nine months ended September 30, 2010. Net income available to common shareholders was $16.0 million ($0.81 per basic common share and $0.79 per diluted common share), as compared to $10.6 million ($0.54 per basic common share and $0.53 per diluted common share) for the same nine month period in 2010, a 51% increase.
“We are extremely pleased to report continuing trends of strong earnings and balance sheet growth through the third quarter of 2011. These results reflect substantial revenue growth, continued growth in loans and core deposits while maintaining solid asset quality,” noted Ronald D. Paul, Chairman and Chief Executive Officer of Eagle Bancorp, Inc. “Our third quarter 2011 results represent the eleventh consecutive quarter of increasing net income. The Company’s financial results in the third quarter of 2011, as compared to the same quarter in 2010, have been highlighted by balanced growth in both loans and core deposits, a favorable and improving core net interest margin, enhanced noninterest income derived substantially from higher sales of residential mortgages, and improved operating efficiency while continuing to expand our infrastructure” added Mr. Paul. “Additionally, the Company has maintained solid asset quality during the quarter. As a growth-oriented Company, our financial results reflect the organization’s desire and ability to continue lending in the Washington, D.C. metropolitan area and our ability to continue building new and expanding existing client relationships. This balance sheet growth is evidenced by a $499 million increase in portfolio loans in the past twelve months and by a $483 million increase in deposits in the past twelve months, excluding a very substantial short-term deposit position at September 30, 2011, discussed below. Importantly, the Company continues to successfully manage credit risk in lending and investment activities,” noted Mr. Paul.
In mid September, EagleBank became the escrow depository for approximately $618 million of noninterest bearing deposits resulting from a very large class action lawsuit settlement (the “settlement deposit”). Due to the expected short-term nature of these funds, they are being invested in excess reserves at the Federal Reserve Bank. We estimate that these funds contributed approximately $30 thousand to earnings in the third quarter. The funds are expected to be substantially disbursed to other financial institutions by year end 2011. The funds are expected to be re-deposited with EagleBank for disbursement to claim holders in 2012. These funds positively impact earnings but have a negative impact on our net interest margin, return on assets, and the capital leverage position. For this reason, we make various parenthetical comments in this earnings press release, in order to compute the relevant non-GAAP ratios on a basis which excludes this large and unusual short-term transaction.
For the three months ended September 30, 2011, the Company reported an annualized return on average assets (ROAA) of 1.00% (1.04% excluding the effect of the settlement deposit) as compared to 0.96% for the three months ended September 30, 2010. The annualized return on average common equity (ROAE) for the most recent quarter was 12.55%, as compared to 9.89% for the three months ended September 30, 2010. The higher ROAA ratio (as adjusted) and the higher ROAE ratio for the third quarter of 2011 as compared to 2010, are due to a 33% increase in average earning assets, a higher net interest margin excluding the settlement transaction noted above (4.15% versus 4.10%), lower levels of credit losses and improved operating efficiency and in case of ROAE, additional balance sheet leverage.
For the third quarter of 2011, the Company recognized investment gains amounting to $854 thousand, and also recorded in noninterest expenses one-time charges relating to merger and system conversion costs, which had a pretax cost to the Company of $479 thousand. Taken together, these items positively impacted third quarter earnings by $225 thousand after tax ($0.01 per share).
At September 30, 2011, total assets were $3.22 billion ($2.60 billion excluding the effect of the settlement deposit), compared to $2.00 billion at September 30, 2010, a 61% increase (30% excluding the effect of the settlement deposit). Total loans were $2.03 billion at September 30, 2011 compared to loans of $1.53 billion at September 30, 2010, a 33% increase. Total deposits were $2.75 billion ($2.13 billion excluding the effect of the settlement deposit) at September 30, 2011 compared to deposits of $1.65 billion at September 30, 2010, a 67% increase (29% excluding the effect of the settlement deposit). Due to substantial loan originations by our Residential Lending division in September 2011 in excess of loans sold in the month, loans held for sale amounted to $107.9 million at September 30, 2011 as compared to $70.9 million at September 30, 2010. The investment portfolio totaled $292.3 million at September 30, 2011, a 13% increase from the $258.9 million balance at September 30, 2010. Total borrowed funds (excluding customer repurchase agreements) were stable at $49.3 million at September 30, 2011 and September 30, 2010. Total shareholders’ equity increased to $258.5 million at September 30, 2011, from $202.3 million at September 30, 2010. The Company’s capital position remains substantially in excess of regulatory requirements for well capitalized status, with a total risk based capital ratio of 12.12% at September 30, 2011. In addition, the tangible common equity ratio (tangible common equity to tangible assets) was 6.15% (7.61% excluding the effect of the settlement deposit) at September 30, 2011.
At September 30, 2011, the Company’s nonperforming assets amounted to $34.4 million, representing 1.07% (1.32% excluding the effect of the settlement deposit) of total assets, compared to $29.2 million of nonperforming assets, or 1.46% of total assets, at September 30, 2010 and $34.7 million, or 1.47% of total assets, at June 30, 2011. Management remains attentive to early signs of deterioration in borrowers’ financial conditions and to taking the appropriate action to mitigate risk. Furthermore, the Company is diligent in placing loans on nonaccrual status and believes, based on its loan portfolio risk analysis, that its allowance for loan losses, at 1.41% of total loans at September 30, 2011, is adequate to absorb potential credit losses within the loan portfolio at that date. Included in nonperforming assets at September 30, 2011 were $2.9 million of other real estate owned (”OREO”) as compared to $4.6 million at September 30, 2010 and $3.4 million at June 30, 2011.
Analysis of the three months ended September 30, 2011 compared to 2010
For the three months ended September 30, 2011, the Company reported an ROAA of 1.00% (1.04% excluding the effect of the settlement deposit) as compared to 0.96% for the three months ended September 30, 2010. The ROAE for the most recent quarter was 12.55%, as compared to 9.89% for the three months ended September 30, 2010. The increase in the ROAA ratio (as adjusted) and the ROAE ratio is due primarily to a higher net interest margin in the current period versus 2010, increased noninterest income, improved operating efficiency, and balance sheet leverage.
Net interest income increased 29% for the three months ended September 30, 2011 over the same period in 2010, resulting from a 5 basis point increase in the net interest margin (excluding the effect of the settlement deposit) and strong balance sheet growth. For the three months ended September 30, 2011, the net interest margin was 3.98% (4.15% excluding the effect of the settlement deposit) as compared to 4.10% for the three months ended September 30, 2010.
The provision for credit losses was $2.9 million for the three months ended September 30, 2011 as compared to $2.0 million for the three months ended September 30, 2010. At September 30, 2011, the allowance for credit losses represented 1.41% of loans outstanding, as compared to 1.45% at September 30, 2010 and 1.41% at June 30, 2011. The higher provisioning in the third quarter of 2011, as compared to the third quarter of 2010, is attributable to substantially higher loan growth, $81.2 million in 2011 as compared to $26.5 million in 2010. Net charge-offs of $1.8 million represented 0.36% of average loans, excluding loans held for sale, in the third quarter of 2011, as compared to $1.5 million or 0.39% of average loans, excluding loans held for sale, in the third quarter of 2010. Net charge-offs in the third quarter of 2011 were primarily attributable to charge-offs of construction loans ($213 thousand), commercial and industrial loans ($1.2 million), the unguaranteed portion of SBA loans ($85 thousand) and consumer loans ($286 thousand).
At September 30, 2011, the allowance for credit losses represented 91% of nonperforming loans as compared to 88% at June 30, 2011 and 90% at September 30, 2010, representing a slight increase in the coverage ratio as compared to the previous quarter-end.
Noninterest income for the three months ended September 30, 2011 increased to $3.5 million from $2.3 million for the three months ended September 30, 2010, a 51% increase. This increase was due primarily to increases of $594 thousand in investment gains realized in the third quarter of 2011, as compared to the third quarter of 2010 and increases of $409 thousand in gains realized on the increased sales of residential mortgage loans and to increases of $317 thousand from other income primarily associated with loan fee income. Excluding investment securities gains, total noninterest income was $2.7 million for the third quarter of 2011 as compared to $2.1 million for the third quarter of 2010, a 28% increase.
The efficiency ratio, which measures the ratio of noninterest expense to total revenue, was 54.43% for the third quarter of 2011, as compared to 58.68% for the third quarter of 2010. As compared to the second quarter of 2011, the third quarter efficiency ratio was lower (from 55.13% to 54.43%) due to increases in revenue (net interest income and noninterest income) more than offsetting increases in noninterest expenses. Noninterest expenses were $15.7 million for the three months ended September 30, 2011, as compared to $12.9 million for the three months ended September 30, 2010, a 22% increase. This increase includes $479 thousand of non-recurring expenses ($267 thousand of merger related expenses and $212 thousand of system conversion related expenses from a bank wide conversion in April 2011). Cost increases were incurred for salaries and benefits of $2.7 million due substantially to additional commercial lending and support and residential mortgage staff, and to increases in incentive compensation. Premises and equipment expenses were $82 thousand lower due primarily to the benefits from consolidation of two branches during 2010. Marketing and advertising costs decreased by $157 thousand due primarily to non-recurring special event marketing incurred during 2010. Data processing costs increased by $179 thousand due to system enhancements, growth in client accounts, and non-recurring conversion related costs of $58 thousand. FDIC insurance premiums were $407 thousand less due to lower FDIC premiums rates which took effect on April 1, 2011. Other expenses increased by $471 thousand for the period ended September 30, 2011 compared to the same period in 2010, primarily due to $267 thousand of merger related expenses and $172 thousand increase for the operations, disposition and valuation adjustments of OREO properties.
Analysis of the nine months ended September 30, 2011 compared to 2010
For the nine months ended September 30, 2011, the Company reported an ROAA of 1.00% (1.01% excluding the effect of the settlement deposit) as compared to 0.82% for the nine months of 2010, while the ROAE was 11.10% in 2011, as compared to 8.21% for the same nine month period in 2010. The increase in these ratios was due to a combination of an increase in the net interest margin, resulting primarily from lower funding costs, lower credit losses, increases in noninterest income, improved operating efficiency and in the case of ROAE additional balance sheet leverage.
For the first nine months of 2011 as compared to 2010, the Company recognized investment gains amounting to $1.4 million, and also recorded in noninterest expenses one-time charges relating to merger, system conversion costs, and special marketing expenses which had a pretax cost to the Company of $1.2 million. Taken together, these items positively impacted earnings for the period by $144 thousand after tax ($0.01 per share).
For the nine months of 2011, net interest income increased 27% over the same period for 2010. Average loans (excluding loans held for sale) increased $384 million (26%) and average deposits (excluding the settlement deposit) increased by $355 million (23%). The net interest margin was 4.15% (4.21% excluding the effect of the settlement deposit) for the nine months of 2011, as compared to 4.06% for the nine months of 2010. The Company has been able to maintain its loan yields in 2011 close to 2010 levels due to loan pricing practices, and has been able to reduce its funding costs while maintaining a favorable deposit mix; much of which has occurred from sales efforts to increase and deepen client relationships.
The provision for credit losses was $8.2 million for the nine months of 2011 as compared to $5.8 million in 2010. The higher provisioning in 2011 as compared to 2010 is attributable to substantially higher loan growth in the nine months of 2011 compared to 2010, $354.1 million as compared to $131.6 million in 2010, while net charge-offs were only slightly higher in 2011 as compared to 2010. For the nine months ended September 30, 2011, net charge-offs totaled $4.4 million (0.32% of average loans) compared to $4.1 million (0.38% of average loans) for the nine months ended September 30, 2010. Net charge-offs in the nine months ended September 30, 2011 were primarily attributable to charge-offs of commercial real estate loans ($151 thousand), commercial and industrial loans ($2.6 million), construction loans ($787 thousand), the unguaranteed portion of SBA loans ($425 thousand), and consumer loans ($385 thousand).
Noninterest income for the nine months of 2011 was $9.6 million compared to $5.6 million in 2010, an increase of 73%. This increase was due primarily to a $2.7 million increase in gains realized on the sale of residential loans, $612 thousand increase in gains realized on the sale of investments and $139 thousand increase in gains realized on the sale of SBA loans. Other noninterest income increased by $601 thousand primarily due to other loan income and ATM fees. Excluding investment securities gains, total noninterest income was $8.2 million for the nine months of 2011 as compared to $4.7 million for 2010, a 73% increase.
Noninterest expenses were $45.0 million for the nine months of 2011, as compared to $37.5 million for 2010, a 20% increase. This increase includes $1.21 million of non-recurring merger related expenses, system enhancements from a bank wide conversion in April 2011, and special events marketing. Cost increases for salaries and benefits were $6.1 million primarily due to salaries, incentive compensation and benefits increases including staffing increases primarily as a result of expansion of commercial lending and residential mortgage divisions. Legal, accounting, and professional fees increases of $689 thousand were due substantially to higher problem loan collection costs. Premises and equipment expenses were $743 thousand lower due primarily to the consolidation of two branches during 2010. Marketing and advertising costs increased by $296 thousand due primarily to non-recurring special event marketing noted above. Data processing costs increased by $522 thousand due to system enhancements, noted above and to an expanded customer base. FDIC insurance premiums on the higher levels of deposits were $399 thousand lower for the nine months in 2011 as compared to 2010 due to a lower FDIC premium rate which took effect on April 1, 2011. Other expenses increases for the nine months of 2011 versus 2010 amounted to $933 thousand associated primarily with merger expenses of $333 thousand and $496 thousand of bank wide conversion expenses.
For the nine months of 2011, the efficiency ratio improved to 55.92% as compared to 61.42% for the same period in 2010. Cost control remains a key operating objective of the Company.
At September 30, 2011, the Company had a total risk based capital ratio of 12.12%, a Tier 1 risk based capital ratio of 10.48%, and a Tier 1 leverage ratio of 9.61%, all measures substantially above the regulatory requirements for well capitalized status.
The financial information which follows provides more detail on the Company’s financial performance for the nine and three months ended September 30, 2011 as compared to the nine and three months ended September 30, 2010, as well as providing eight quarters of trend data. Persons wishing additional information should refer to the Company’s Form 10-K for the year ended December 31, 2010 and other reports filed with the Securities and Exchange Commission (the “SEC”).
About Eagle Bancorp: The Company is the holding company for EagleBank which commenced operations in 1998. The Bank is headquartered in Bethesda, Maryland, and conducts full service commercial banking through fifteen offices, located in Montgomery County, Maryland, Washington, D.C., Arlington County, Virginia, and Fairfax County, Virginia. The Company focuses on building relationships with businesses, professionals and individuals in its marketplace.
Conference Call: Eagle Bancorp will host a conference call to discuss the third quarter 2011 financial results on Tuesday October 25, 2011 at 10:00 a.m. eastern daylight time. The public is invited to listen to this conference call by dialing 877-303-6220, conference ID Code is 13649994, or by accessing the call on the Company’s website, www.eaglebankcorp.com. A replay of the conference call will be available on the Company’s website through November 8, 2011.
Forward-looking Statements: This press release contains forward-looking statements within the meaning of the Securities and Exchange Act of 1934, as amended, including statements of goals, intentions, and expectations as to future trends, plans, events or results of Company operations and policies and regarding general economic conditions. In some cases, forward-looking statements can be identified by use of words such as “may,” “will,” “anticipates,” “believes,” “expects,” “plans,” “estimates,” “potential,” “continue,” “should,” and similar words or phrases. These statements are based upon current and anticipated economic conditions, nationally and in the Company’s market, interest rates and interest rate policy, competitive factors, and other conditions which by their nature, are not susceptible to accurate forecast and are subject to significant uncertainty. Because of these uncertainties and the assumptions on which this discussion and the forward-looking statements are based, actual future operations and results in the future may differ materially from those indicated herein. For details on factors that could affect these expectations, see the risk factors and other cautionary language included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010 and in other periodic and current reports filed with the SEC. Readers are cautioned against placing undue reliance on any such forward-looking statements. The Company’s past results are not necessarily indicative of future performance.
ADDITIONAL INFORMATION ABOUT THE MERGER AND WHERE TO FIND IT
Eagle Bancorp, Inc (”Eagle”) and Alliance Bankshares Corporation (”Alliance”) will file a proxy statement/prospectus and other relevant documents concerning the merger with the Securities and Exchange Commission (the “SEC”). The proxy statement/prospectus will be mailed to the shareholders of Alliance. Investors and security holders of Eagle and Alliance are urged to read the proxy statement/prospectus, the documents incorporated by reference in the proxy statement/prospectus, the other documents filed with the SEC and the other relevant materials when they become available, because they will contain important information about Eagle, Alliance, the merger and the transactions contemplated by the merger. Investors will be able to obtain these documents free of charge at the SEC’s web site (http://www.sec.gov). In addition, documents filed with the SEC by Eagle Bancorp, Inc. will be available free of charge from Eagle’s Investor Relations at (301) 986-1800, on Eagle’s website at www.eaglebankcorp.com under the tab “Investor Relations” and then under the heading “SEC Filings” or from Alliance’s Investor Relations at (703) 814-7200 or on Alliance’s website at www.alliancebankva.com under the tab “Investor Relations” and then under the heading “Press Releases” or under the heading “Documents/SEC Filings.”
Eagle, Alliance and their respective directors, executive officers, and certain other members of management and employees of Eagle, Alliance and their respective subsidiaries may be deemed to be participants in the solicitation of proxies from shareholders of Alliance in connection with the proposed merger. Information about the directors and executive officers of Eagle is set forth in Eagle’s proxy statement for the 2011 annual meeting of shareholders filed with the SEC on April 7, 2011. Information about the directors and executive officers of Alliance is set forth in Alliance’s Amendment No. 1 to its Annual Report on Form 10-K filed with the SEC on May 2, 2011. Additional information regarding the interests of such participants will be included in the proxy statement/prospectus and the other relevant documents filed with the SEC when they become available.
Source: Eagle Bancorp, Inc.
Contact:
Michael T. Flynn
301.986.1800
| Eagle Bancorp, Inc. | | | | |
| Financial Highlights | | | | |
| (in thousands, except per share data) | | |
| Nine Months Ended September 30, | Three Months Ended September 30, |
| 2011 | 2010 | 2011 | 2010 |
| Income Statements: | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) |
| Total interest income | $ 86,033 | $ 70,618 | $ 30,741 | $ 24,421 |
| Total interest expense | 15,257 | 15,079 | 5,365 | 4,722 |
| Net interest income | 70,776 | 55,539 | 25,376 | 19,699 |
| Provision for credit losses | 8,218 | 5,752 | 2,887 | 1,962 |
| Net interest income after provision for credit losses | 62,558 | 49,787 | 22,489 | 17,737 |
| Noninterest income (before investment gains) | 8,192 | 4,732 | 2,657 | 2,073 |
| Investment gains | 1,445 | 833 | 854 | 260 |
| Total noninterest income | 9,637 | 5,565 | 3,511 | 2,333 |
| Total noninterest expense | 44,969 | 37,529 | 15,723 | 12,929 |
| Income before income tax expense | 27,226 | 17,823 | 10,277 | 7,141 |
| Income tax expense | 9,842 | 6,219 | 3,783 | 2,375 |
| Net income | 17,384 | 11,604 | 6,494 | 4,766 |
| Preferred stock dividends and discount accretion | 1,369 | 971 | 166 | 327 |
| Net Income Available to Common Shareholders’ | $ 16,015 | $ 10,633 | $ 6,328 | $ 4,439 |
| | | | |
| Per Share Data: | | | | |
| Earnings per weighted average common share, basic | $ 0.81 | $ 0.54 | $ 0.32 | $ 0.22 |
| Earnings per weighted average common share, diluted | $ 0.79 | $ 0.53 | $ 0.31 | $ 0.22 |
| Weighted average common shares outstanding, basic | 19,806,007 | 19,636,978 | 19,867,533 | 19,659,934 |
| Weighted average common shares outstanding, diluted | 20,258,446 | 20,009,713 | 20,281,294 | 20,015,404 |
| Actual shares outstanding | 19,890,597 | 19,671,797 | 19,890,597 | 19,671,797 |
| Book value per common share at period end | $ 10.15 | $ 9.14 | $ 10.15 | $ 9.14 |
| Tangible book value per common share at period end (1) | $ 9.94 | $ 8.92 | $ 9.94 | $ 8.92 |
| | | | |
| Performance Ratios (annualized): | | | | |
| Return on average assets (3) | 1.00% | 0.82% | 1.00% | 0.96% |
| Return on average common equity (3) | 11.10% | 8.21% | 12.55% | 9.89% |
| Net interest margin (3) | 4.15% | 4.06% | 3.98% | 4.10% |
| Efficiency ratio (2) | 55.92% | 61.42% | 54.43% | 58.68% |
| | | | |
| Other Ratios: | | | | |
| Allowance for credit losses to total loans | 1.41% | 1.45% | 1.41% | 1.45% |
| Allowance for credit losses to total nonperforming loans | 90.98% | 90.18% | 90.98% | 90.18% |
| Nonperforming loans to total loans | 1.55% | 1.61% | 1.55% | 1.61% |
| Nonperforming assets to total assets (3) | 1.07% | 1.46% | 1.07% | 1.46% |
| Net charge-offs (annualized) to average loans | 0.32% | 0.38% | 0.36% | 0.39% |
| Common equity to total assets (3) | 6.27% | 8.96% | 6.27% | 8.96% |
| Tier 1 leverage ratio | 9.61% | 9.66% | 9.61% | 9.66% |
| Tier 1 risk based capital ratio | 10.48% | 10.88% | 10.48% | 10.88% |
| Total risk based capital ratio | 12.12% | 12.66% | 12.12% | 12.66% |
| Tangible common equity to tangible assets (1) (3) | 6.15% | 8.77% | 6.15% | 8.77% |
| | | | |
| Loan Balances - Period End (in thousands): | | | | |
| Commercial and Industrial | $ 470,103 | $ 388,401 | $ 470,103 | $ 388,401 |
| Commercial real estate - owner occupied | $ 245,497 | $ 210,053 | $ 245,497 | $ 210,053 |
| Commercial real estate - income producing | $ 772,727 | $ 573,753 | $ 772,727 | $ 573,753 |
| 1-4 Family mortgage | $ 37,662 | $ 11,523 | $ 37,662 | $ 11,523 |
| Construction - commercial and residential | $ 405,429 | $ 251,869 | $ 405,429 | $ 251,869 |
| Home equity | $ 94,008 | $ 88,251 | $ 94,008 | $ 88,251 |
| Other consumer | $ 4,219 | $ 7,096 | $ 4,219 | $ 7,096 |
| | | | |
| Average Balances (in thousands): | | | | |
| Total assets (3) | $ 2,325,317 | $ 1,887,932 | $ 2,569,970 | $ 1,964,827 |
| Total earning assets (3) | $ 2,284,041 | $ 1,828,508 | $ 2,531,768 | $ 1,907,900 |
| Total loans held for sale | $ 24,809 | $ 18,259 | $ 35,320 | $ 46,360 |
| Total loans | $ 1,849,531 | $ 1,465,438 | $ 1,967,214 | $ 1,506,894 |
| Total deposits (3) | $ 1,931,813 | $ 1,537,960 | $ 2,124,274 | $ 1,610,813 |
| Total borrowings | $ 159,642 | $ 148,197 | $ 184,874 | $ 146,711 |
| Total shareholders’ equity | $ 225,403 | $ 195,638 | $ 251,916 | $ 200,556 |
| | | | |
| (1) Tangible common equity to tangible assets (the “tangible common equity ratio”) and tangible book value per common share are non-GAAP financial measures derived from GAAP-based amounts. We calculate tangible common equity to tangible assets by excluding the balance of intangible assets from common shareholders’ equity and dividing by tangible assets. We calculate tangible book value per common share by dividing tangible common equity by common shares outstanding, as compared to book value per common share, which we calculate by dividing common shareholders’ equity by common shares outstanding. We believe that this information is important to shareholders’ as tangible equity is a measure that is consistent with the calculation of capital for bank regulatory purposes, which excludes intangible assets from the calculation of risk based ratios. |
| (2) Computed by dividing noninterest expense by the sum of net interest income and noninterest income. | | |
| (3) The reported figure includes the effect of a $618 million deposit received in connection with a class action settlement September 13, 2011 and which is expected to be disbursed by year end. In the interim the deposit is invested in excess reserves at the Federal Reserve. As the magnitude of the deposit distorts the operational results of the Company, we present in the GAAP reconciliation below and in the accompanying text certain performance ratios excluding the effect of this deposit, which resulted in approximately $72,000 of interest income and $30,000 of income, net of tax, during the three and nine months periods ended September 30, 2011. We believe this information is important to enable shareholders and other interested parties to assess the core operational performance of the Company. | | |
| | |
| GAAP Reconciliation | | |
| (dollars in thousands except per share data) | | |
| |
| Nine Months Ended September 30, |
| 2011 | 2010 |
| (Unaudited) | (Unaudited) |
| Nonperforming assets | $ 34,375 | $ 29,242 |
| Total assets | 3,219,746 | 2,006,146 |
| Nonperforming assets to total assets | 1.07% | 1.46% |
| Total assets | $ 3,219,746 | $ 2,006,146 |
| Less: settlement deposit | (618,000) | – |
| Adjusted total assets | $ 2,601,746 | $ 2,006,146 |
| Nonperforming assets | $ 34,375 | $ 29,242 |
| Adjusted total assets | 2,601,746 | 2,006,146 |
| Nonperforming assets to total adjusted assets | 1.32% | 1.46% |
| Total deposits | $ 2,747,349 | $ 1,646,091 |
| Less: settlement deposit | (618,000) | – |
| Adjusted total deposits | $ 2,129,349 | $ 1,646,091 |
| | |
| Common shareholders’ equity | $ 201,863 | $ 179,764 |
| Less: Intangible assets | (4,154) | (4,242) |
| Tangible common equity | $ 197,709 | $ 175,522 |
| Book value per common share | $ 10.15 | $ 9.14 |
| Less: Intangible book value per common share | (0.21) | (0.22) |
| Tangible book value per common share | $ 9.94 | $ 8.92 |
| Total assets | $ 3,219,746 | $ 2,006,146 |
| Less: Intangible assets | (4,154) | (4,242) |
| Tangible assets | $ 3,215,592 | $ 2,001,904 |
| Tangible common equity ratio | 6.15% | 8.77% |
| | |
| Common shareholders’ equity | $ 201,863 | $ 179,764 |
| Less: settlement deposit | (30) | – |
| Less: Intangible assets | (4,154) | (4,242) |
| Tangible common equity | $ 197,679 | $ 175,522 |
| Total assets | $ 3,219,746 | $ 2,006,146 |
| Less: settlement deposit | (618,000) | – |
| Less: Intangible assets | (4,154) | (4,242) |
| Adjusted tangible assets | $ 2,597,592 | $ 2,001,904 |
| Adjusted tangible common equity ratio | 7.61% | 8.77% |
| | |
| Common shareholders’ equity | $ 201,863 | $ 179,764 |
| Less: settlement deposit | (30) | – |
| Adjusted common equity | $ 201,833 | $ 179,764 |
| Adjusted total assets | 2,601,746 | 2,006,146 |
| Adjusted common equity to adjusted total assets | 7.76% | 8.96% |
| | | | | | |
| GAAP Reconciliation | | | | | | |
| (dollars in thousands except per share data) | | | | | | |
| | | | | | |
| Three Months Ended September 30, |
| 2011 | 2010 |
| Average Balance | Interest | Average Yield/Rate | Average Balance | Interest | Average Yield/Rate |
| | | | | | |
| Total interest earning assets | $ 2,531,768 | $ 30,741 | 4.82% | $ 1,907,900 | $ 24,421 | 5.08% |
| Less: settlement deposit | (114,000) | (72) | -0.25% | – | – | – |
| Adjusted interest earning assets | $ 2,417,768 | $ 30,669 | 5.03% | $ 1,907,900 | $ 24,421 | 5.08% |
| | | | | | |
| Total interest bearing liabilities | $ 1,718,118 | $ 5,365 | 1.24% | $ 1,409,980 | $ 4,722 | 1.33% |
| | | | | | |
| Adjusted interest spread | | | 3.79% | | | 3.75% |
| Adjusted interest margin | | | 4.15% | | | 4.10% |
| | | | | | |
| Nine Months Ended September 30, |
| 2011 | 2010 |
| Average Balance | Interest | Average Yield/Rate | Average Balance | Interest | Average Yield/Rate |
| | | | | | |
| Total interest earning assets | $ 2,284,041 | $ 86,033 | 5.04% | $ 1,828,508 | $ 70,618 | 5.16% |
| Less: settlement deposit | (38,000) | (72) | -0.25% | – | – | – |
| Adjusted interest earning assets | $ 2,246,041 | $ 85,961 | 5.12% | $ 1,828,508 | $ 70,618 | 5.16% |
| | | | | | |
| Total interest bearing liabilities | $ 1,619,514 | $ 15,257 | 1.26% | $ 1,371,659 | $ 15,079 | 1.47% |
| | | | | | |
| Adjusted interest spread | | | 3.86% | | | 3.69% |
| Adjusted interest margin | | | 4.21% | | | 4.06% |
| | | | | | |
| Nine Months Ended September 30, | Three Months Ended September 30, | | |
| 2011 | 2010 | 2011 | 2010 | | |
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | | |
| Net income | $ 17,384 | $ 11,604 | $ 6,494 | $ 4,766 | | |
| Less: settlement deposit | (30) | – | (30) | – | | |
| Adjusted net income | $ 17,354 | $ 11,604 | $ 6,464 | $ 4,766 | | |
| | | | | | |
| Average total assets | 2,325,317 | 1,887,932 | 2,569,970 | 1,964,827 | | |
| Less: settlement deposit | (38,000) | – | (114,000) | – | | |
| Adjusted average total assets | 2,287,317 | 1,887,932 | 2,455,970 | 1,964,827 | | |
| | | | | | |
| Adjusted return on average assets | 1.01% | 0.82% | 1.04% | 0.96% | | |
| | | |
| Eagle Bancorp, Inc. | | | |
| Statements of Financial Condition | | | |
| (dollars in thousands) | | | |
| September 30, 2011 (Unaudited) | December 31, 2010 (Audited) | September 30, 2010 (Unaudited) |
| Assets | | | |
| Cash and due from banks | $ 5,914 | $ 12,414 | $ 19,734 |
| Federal funds sold | 22,088 | 34,048 | 72,101 |
| Interest bearing deposits with banks and other short-term investments | 718,848 | 11,652 | 7,577 |
| Investment securities available for sale, at fair value | 292,257 | 228,048 | 258,902 |
| Federal Reserve and Federal Home Loan Bank stock | 9,430 | 9,528 | 9,774 |
| Loans held for sale | 107,907 | 80,571 | 70,889 |
| Loans | 2,029,645 | 1,675,500 | 1,530,946 |
| Less allowance for credit losses | (28,599) | (24,754) | (22,240) |
| Loans, net | 2,001,046 | 1,650,746 | 1,508,706 |
| Premises and equipment, net | 11,162 | 9,367 | 8,658 |
| Deferred income taxes | 14,091 | 14,471 | 12,350 |
| Bank owned life insurance | 13,643 | 13,342 | 13,237 |
| Intangible assets, net | 4,154 | 4,188 | 4,242 |
| Other real estate owned | 2,941 | 6,701 | 4,581 |
| Other assets | 16,265 | 14,294 | 15,395 |
| Total Assets | $ 3,219,746 | $ 2,089,370 | $ 2,006,146 |
| | | |
| Liabilities and Shareholders’ Equity | | | |
| Liabilities | | | |
| Deposits: | | | |
| Noninterest bearing demand | $ 1,106,689 | $ 400,291 | $ 380,167 |
| Interest bearing transaction | 69,762 | 61,771 | 62,722 |
| Savings and money market | 986,585 | 737,071 | 693,381 |
| Time, $100,000 or more | 351,128 | 344,747 | 324,399 |
| Other time | 233,185 | 182,918 | 185,422 |
| Total deposits | 2,747,349 | 1,726,798 | 1,646,091 |
| Customer repurchase agreements | 147,671 | 97,584 | 99,147 |
| Long-term borrowings | 49,300 | 49,300 | 49,300 |
| Other liabilities | 16,963 | 10,972 | 9,307 |
| Total liabilities | 2,961,283 | 1,884,654 | 1,803,845 |
| | | |
| Shareholders’ Equity | | | |
| Preferred stock, par value $.01 per share, shares authorized 1,000,000, Series A, $1,000 per share liquidation preference, shares issued and outstanding 23,235 at December 31, 2010 and September 30, 2010, discount of $601 and $645 respectively, net | – | 22,582 | 22,537 |
| Preferred stock, par value $.01 per share, shares authorized 1,000,000, Series B, $1,000 per share liquidation preference, shares issued and outstanding 56,600 at September 30, 2011 | 56,600 | – | – |
| Common stock, par value $.01 per share; shares authorized 50,000,000, shares issued and outstanding 19,890,957, 19,700,387 and 19,671,797, respectively | 197 | 197 | 197 |
| Warrant | 946 | 946 | 946 |
| Additional paid in capital | 136,466 | 130,382 | 129,958 |
| Retained earnings | 59,870 | 48,551 | 43,833 |
| Accumulated other comprehensive income | 4,384 | 2,058 | 4,830 |
| Total shareholders’ equity | 258,463 | 204,716 | 202,301 |
| Total Liabilities and Shareholders’ Equity | $ 3,219,746 | $ 2,089,370 | $ 2,006,146 |
| | | | |
| Eagle Bancorp, Inc. | | | | |
| Consolidated Statements of Operations | | | | |
| For the Nine and Three Month Periods Ended September 30, 2011 and 2010 (Unaudited) | | | |
| (dollars in thousands, except per share data) | | | | |
| Nine Months Ended September 30, | Three Months Ended September 30, |
| Interest Income | 2011 | 2010 | 2011 | 2010 |
| Interest and fees on loans | $ 81,013 | $ 64,995 | $ 29,119 | $ 22,655 |
| Interest and dividends on investment securities | 4,754 | 5,412 | 1,469 | 1,697 |
| Interest on balances with other banks and short-term investments | 172 | 83 | 136 | 24 |
| Interest on federal funds sold | 94 | 128 | 17 | 45 |
| Total interest income | 86,033 | 70,618 | 30,741 | 24,421 |
| Interest Expense | | | | |
| Interest on deposits | 13,121 | 12,860 | 4,613 | 4,005 |
| Interest on customer repurchase agreements | 533 | 545 | 212 | 167 |
| Interest on short-term borrowings | – | 27 | – | – |
| Interest on long-term borrowings | 1,603 | 1,647 | 540 | 550 |
| Total interest expense | 15,257 | 15,079 | 5,365 | 4,722 |
| Net Interest Income | 70,776 | 55,539 | 25,376 | 19,699 |
| Provision for Credit Losses | 8,218 | 5,752 | 2,887 | 1,962 |
| Net Interest Income After Provision For Credit Losses | 62,558 | 49,787 | 22,489 | 17,737 |
| | | | |
| Noninterest Income | | | | |
| Service charges on deposits | 2,301 | 2,300 | 880 | 814 |
| Gain on sale of loans | 3,872 | 990 | 1,065 | 739 |
| Gain on sale of investment securities | 1,445 | 833 | 854 | 260 |
| Increase in the cash surrender value of bank owned life insurance | 301 | 325 | 100 | 108 |
| Other income | 1,718 | 1,117 | 612 | 412 |
| Total noninterest income | 9,637 | 5,565 | 3,511 | 2,333 |
| Noninterest Expense | | | | |
| Salaries and employee benefits | 24,335 | 18,193 | 9,263 | 6,549 |
| Premises and equipment expenses | 5,982 | 6,725 | 1,939 | 2,021 |
| Marketing and advertising | 1,215 | 919 | 234 | 391 |
| Data processing | 2,477 | 1,955 | 876 | 697 |
| Legal, accounting and professional fees | 2,870 | 2,181 | 731 | 655 |
| FDIC insurance | 1,628 | 2,027 | 285 | 692 |
| Other expenses | 6,462 | 5,529 | 2,395 | 1,924 |
| Total noninterest expense | 44,969 | 37,529 | 15,723 | 12,929 |
| Income Before Income Tax Expense | 27,226 | 17,823 | 10,277 | 7,141 |
| Income Tax Expense | 9,842 | 6,219 | 3,783 | 2,375 |
| Net Income | 17,384 | 11,604 | 6,494 | 4,766 |
| Preferred Stock Dividends and Discount Accretion | 1,369 | 971 | 166 | 327 |
| Net Income Available to Common Shareholders | $ 16,015 | $ 10,633 | $ 6,328 | $ 4,439 |
| | | | |
| Earnings Per Common Share | | | | |
| Basic | $ 0.81 | $ 0.54 | $ 0.32 | $ 0.22 |
| Diluted | $ 0.79 | $ 0.53 | $ 0.31 | $ 0.22 |
| | | | |
|
| Eagle Bancorp, Inc. |
| Average Balances, Interest Yields And Rates, And Net Interest Margin |
| (dollars in thousands) |
| | | | | | |
| Three Months Ended September 30, |
| 2011 | 2010 |
| Average Balance | Interest | Average Yield/Rate | Average Balance | Interest | Average Yield/Rate |
| ASSETS | | | | | | |
| Interest earning assets: | | | | | | |
| Interest bearing deposits with other banks and other short-term investments | $ 229,242 | $ 136 | 0.24% | $ 7,926 | $ 24 | 1.20% |
| Loans held for sale (1) | 35,320 | 360 | 4.06% | 46,360 | 519 | 4.44% |
| Loans (1) (2) | 1,967,214 | 28,759 | 5.80% | 1,506,894 | 22,136 | 5.83% |
| Investment securities available for sale (2) | 275,213 | 1,469 | 2.12% | 266,498 | 1,697 | 2.53% |
| Federal funds sold | 24,779 | 17 | 0.27% | 80,222 | 45 | 0.22% |
| Total interest earning assets | 2,531,768 | 30,741 | 4.82% | 1,907,900 | 24,421 | 5.08% |
| | | | | | |
| Total noninterest earning assets | 66,042 | | | 78,627 | | |
| Less: allowance for credit losses | 27,840 | | | 21,700 | | |
| Total noninterest earning assets | 38,202 | | | 56,927 | | |
| TOTAL ASSETS | $ 2,569,970 | | | $ 1,964,827 | | |
| | | | | | |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | |
| Interest bearing liabilities: | | | | | | |
| Interest bearing transaction | $ 62,610 | $ 51 | 0.32% | $ 55,839 | $ 54 | 0.38% |
| Savings and money market | 874,433 | 2,429 | 1.10% | 705,751 | 1,828 | 1.03% |
| Time deposits | 596,201 | 2,133 | 1.42% | 501,679 | 2,123 | 1.68% |
| Total interest bearing deposits | 1,533,244 | 4,613 | 1.19% | 1,263,269 | 4,005 | 1.26% |
| Customer repurchase agreements | 135,574 | 212 | 0.62% | 97,411 | 167 | 0.68% |
| Long-term borrowings | 49,300 | 540 | 4.29% | 49,300 | 550 | 4.43% |
| Total interest bearing liabilities | 1,718,118 | 5,365 | 1.24% | 1,409,980 | 4,722 | 1.33% |
| | | | | | |
| Noninterest bearing liabilities: | | | | | | |
| Noninterest bearing demand | 591,030 | | | 347,544 | | |
| Other liabilities | 8,906 | | | 6,747 | | |
| Total noninterest bearing liabilities | 599,936 | | | 354,291 | | |
| | | | | | |
| Shareholders’ equity | 251,916 | | | 200,556 | | |
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ 2,569,970 | | | $ 1,964,827 | | |
| | | | | | |
| | | | | | |
| Net interest income | | $ 25,376 | | | $ 19,699 | |
| Net interest spread | | | 3.58% | | | 3.75% |
| Net interest margin | | | 3.98% | | | 4.10% |
| | | | | | |
| (1) Loans placed on nonaccrual status are included in average balances. Net loan fees and late charges included in interest income on loans totaled $1.1 million and $601 thousand for the three months ended September 30, 2011 and 2010, respectively. |
| (2) Interest and fees on loans and investments exclude tax equivalent adjustments. | | | | | |
|
| Eagle Bancorp, Inc. |
| Average Balances, Interest Yields And Rates, And Net Interest Margin |
| (dollars in thousands) |
| | | | | | |
| Nine Months Ended September 30, |
| 2011 | 2010 |
| Average Balance | Interest | Average Yield/Rate | Average Balance | Interest | Average Yield/Rate |
| ASSETS | | | | | | |
| Interest earning assets: | | | | | | |
| Interest bearing deposits with other banks and other short-term investments | $ 94,665 | $ 171 | 0.24% | $ 7,724 | $ 83 | 1.44% |
| Loans held for sale (1) | 24,809 | 734 | 4.14% | 18,259 | 615 | 4.50% |
| Loans (1) (2) | 1,849,531 | 80,279 | 5.80% | 1,465,438 | 64,380 | 5.87% |
| Investment securities available for sale (2) | 255,044 | 4,755 | 2.49% | 260,605 | 5,412 | 2.78% |
| Federal funds sold | 59,992 | 94 | 0.21% | 76,482 | 128 | 0.22% |
| Total interest earning assets | 2,284,041 | 86,033 | 5.04% | 1,828,508 | 70,618 | 5.16% |
| | | | | | |
| Total noninterest earning assets | 67,591 | | | 80,724 | | |
| Less: allowance for credit losses | 26,315 | | | 21,300 | | |
| Total noninterest earning assets | 41,276 | | | 59,424 | | |
| TOTAL ASSETS | $ 2,325,317 | | | $ 1,887,932 | | |
| | | | | | |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | |
| Interest bearing liabilities: | | | | | | |
| Interest bearing transaction | $ 61,908 | $ 163 | 0.35% | $ 53,296 | $ 140 | 0.35% |
| Savings and money market | 815,678 | 6,404 | 1.05% | 668,688 | 5,959 | 1.19% |
| Time deposits | 582,286 | 6,554 | 1.50% | 501,478 | 6,761 | 1.80% |
| Total interest bearing deposits | 1,459,872 | 13,121 | 1.20% | 1,223,462 | 12,860 | 1.41% |
| Customer repurchase agreements | 110,313 | 533 | 0.65% | 93,901 | 545 | 0.78% |
| Other short-term borrowings | 29 | – | – | 4,996 | 27 | 0.72% |
| Long-term borrowings | 49,300 | 1,603 | 4.29% | 49,300 | 1,647 | 4.47% |
| Total interest bearing liabilities | 1,619,514 | 15,257 | 1.26% | 1,371,659 | 15,079 | 1.47% |
| | | | | | |
| Noninterest bearing liabilities: | | | | | | |
| Noninterest bearing demand | 471,941 | | | 314,498 | | |
| Other liabilities | 8,459 | | | 6,137 | | |
| Total noninterest bearing liabilities | 480,400 | | | 320,635 | | |
| | | | | | |
| Shareholders’ equity | 225,403 | | | 195,638 | | |
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ 2,325,317 | | | $ 1,887,932 | | |
| | | | | | |
| | | | | | |
| Net interest income | | $ 70,776 | | | $ 55,539 | |
| Net interest spread | | | 3.78% | | | 3.69% |
| Net interest margin | | | 4.15% | | | 4.06% |
| | | | | | |
| (1) Loans placed on nonaccrual status are included in average balances. Net loan fees and late charges included in interest income on loans totaled $3.1 million and $1.8 million for the nine months ended September 30, 2011 and 2010, respectively. |
| (2) Interest and fees on loans and investments exclude tax equivalent adjustments. | | | | | |
| | | | | | | | |
| Eagle Bancorp, Inc. | | | | | | | | |
| Statements of Income and Highlights (Quarterly Trends) | | | | | | | | |
| (in thousands, except per share data) (Unaudited) | | | | | | | | |
| Three Months Ended |
| Income Statements: | September 30, 2011 | June 30, 2011 | March 31, 2011 | December 31, 2010 | September 30, 2010 | June 30, 2010 | March 31, 2010 | December 31, 2009 |
| Total interest income | $ 30,741 | $ 28,996 | $ 26,296 | $ 26,040 | $ 24,421 | $ 23,689 | $ 22,508 | $ 22,413 |
| Total interest expense | 5,365 | 5,102 | 4,790 | 4,753 | 4,722 | 5,072 | 5,285 | 5,685 |
| Net interest income | 25,376 | 23,894 | 21,506 | 21,287 | 19,699 | 18,617 | 17,223 | 16,728 |
| Provision for credit losses | 2,887 | 3,215 | 2,116 | 3,556 | 1,962 | 2,101 | 1,689 | 2,528 |
| Net interest income after provision for credit losses | 22,489 | 20,679 | 19,390 | 17,731 | 17,737 | 16,516 | 15,534 | 14,200 |
| Noninterest income (before investment gains or losses) | 2,657 | 2,602 | 2,933 | 3,180 | 2,073 | 1,437 | 1,222 | 1,275 |
| Investment gains (losses) | 854 | 591 | – | 497 | 260 | 573 | – | 1 |
| Total noninterest income | 3,511 | 3,193 | 2,933 | 3,677 | 2,333 | 2,010 | 1,222 | 1,276 |
| Salaries and employee benefits | 9,263 | 7,761 | 7,311 | 7,318 | 6,549 | 5,969 | 5,675 | 5,412 |
| Premises and equipment | 1,939 | 2,052 | 1,991 | 1,735 | 2,021 | 2,612 | 2,092 | 1,843 |
| Marketing and advertising | 234 | 747 | 234 | 139 | 391 | 281 | 247 | 314 |
| Other expenses | 4,287 | 4,373 | 4,777 | 4,283 | 3,968 | 4,275 | 3,449 | 3,058 |
| Total noninterest expense | 15,723 | 14,933 | 14,313 | 13,475 | 12,929 | 13,137 | 11,463 | 10,627 |
| Income before income tax expense | 10,277 | 8,939 | 8,010 | 7,933 | 7,141 | 5,389 | 5,293 | 4,849 |
| Income tax expense | 3,783 | 3,185 | 2,874 | 2,879 | 2,375 | 1,942 | 1,902 | 1,898 |
| Net income | 6,494 | 5,754 | 5,136 | 5,054 | 4,766 | 3,447 | 3,391 | 2,951 |
| Preferred stock dividends and discount accretion | 166 | 883 | 320 | 328 | 327 | 324 | 320 | 540 |
| Net Income Available to Common Shareholders | $ 6,328 | $ 4,871 | $ 4,816 | $ 4,726 | $ 4,439 | $ 3,123 | $ 3,071 | $ 2,411 |
| | | | | | | | |
| | | | | | | | |
| Per Share Data: | | | | | | | | |
| Earnings per weighted average common share, basic | $ 0.32 | $ 0.25 | $ 0.24 | $ 0.24 | $ 0.22 | $ 0.16 | $ 0.16 | $ 0.12 |
| Earnings per weighted average common share, diluted | $ 0.31 | $ 0.24 | $ 0.24 | $ 0.23 | $ 0.22 | $ 0.16 | $ 0.15 | $ 0.12 |
| Weighted average common shares outstanding, basic | 19,867,533 | 20,050,894 | 19,716,814 | 19,683,052 | 19,659,934 | 19,641,247 | 19,609,197 | 19,521,574 |
| Weighted average common shares outstanding, diluted | 20,281,294 | 20,495,291 | 20,215,244 | 20,130,854 | 20,015,404 | 20,071,945 | 19,951,246 | 19,779,726 |
| Actual shares outstanding | 19,890,597 | 19,849,042 | 19,811,532 | 19,700,387 | 19,671,797 | 19,652,918 | 19,633,763 | 19,534,226 |
| Book value per common share at period end | $ 10.15 | $ 9.76 | $ 9.46 | $ 9.25 | $ 9.14 | $ 8.87 | $ 8.66 | $ 8.48 |
| | | | | | | | |
| Performance Ratios (annualized): | | | | | | | | |
| Return on average assets | 1.00% | 1.01% | 0.98% | 0.96% | 0.96% | 0.73% | 0.76% | 0.68% |
| Return on average common equity | 12.55% | 10.16% | 10.49% | 9.89% | 9.89% | 7.27% | 7.38% | 5.76% |
| Net interest margin | 3.98% | 4.32% | 4.23% | 4.18% | 4.10% | 4.10% | 3.98% | 3.96% |
| Efficiency ratio (1) | 54.43% | 55.13% | 58.57% | 53.98% | 58.68% | 63.69% | 62.15% | 59.02% |
| | | | | | | | |
| Other Ratios: | | | | | | | | |
| Allowance for credit losses to total loans (2) | 1.41% | 1.41% | 1.43% | 1.48% | 1.45% | 1.45% | 1.47% | 1.47% |
| Nonperforming loans to total loans | 1.55% | 1.60% | 1.85% | 1.51% | 1.61% | 1.68% | 1.47% | 1.57% |
| Nonperforming assets to total assets | 1.07% | 1.47% | 1.68% | 1.53% | 1.46% | 1.49% | 1.36% | 1.50% |
| Net charge-offs (annualized) to average loans | 0.36% | 0.28% | 0.30% | 0.26% | 0.39% | 0.38% | 0.36% | 0.54% |
| Tier 1 leverage ratio | 9.61% | 9.07% | 9.44% | 9.32% | 9.66% | 9.84% | 10.00% | 10.29% |
| Tier 1 risk based capital ratio | 10.48% | 9.68% | 10.03% | 9.91% | 10.88% | 11.15% | 11.77% | 11.82% |
| Total risk based capital ratio | 12.12% | 11.36% | 11.75% | 11.64% | 12.66% | 12.85% | 13.50% | 13.57% |
| | | | | | | | |
| Average Balances (in thousands): | | | | | | | | |
| Total assets | $ 2,569,970 | $ 2,278,329 | $ 2,122,677 | $ 2,079,392 | $ 1,964,827 | $ 1,881,761 | $ 1,815,383 | $ 1,732,168 |
| Total earning assets | $ 2,531,768 | $ 2,220,137 | $ 2,063,557 | $ 2,021,492 | $ 1,907,900 | $ 1,821,943 | $ 1,753,989 | $ 1,677,573 |
| Total loans held for sale | $ 35,320 | $ 19,419 | $ 19,532 | $ 74,123 | $ 46,360 | $ 6,721 | $ 1,200 | $ 1,655 |
| Total loans | $ 1,967,214 | $ 1,864,722 | $ 1,713,854 | $ 1,598,449 | $ 1,506,894 | $ 1,482,604 | $ 1,405,704 | $ 1,350,421 |
| Total deposits | $ 2,124,274 | $ 1,902,837 | $ 1,764,373 | $ 1,710,088 | $ 1,610,813 | $ 1,529,498 | $ 1,472,061 | $ 1,381,305 |
| Total borrowings | $ 184,874 | $ 153,108 | $ 140,456 | $ 154,950 | $ 146,711 | $ 151,240 | $ 146,638 | $ 141,406 |
| Total stockholders’ equity | $ 251,916 | $ 214,926 | $ 208,833 | $ 206,191 | $ 200,556 | $ 194,866 | $ 191,393 | $ 202,004 |
| | | | | | | | |
| (1) Computed by dividing noninterest expense by the sum of net interest income and noninterest income. | | | | | |
| (2) Excludes loans held for sale. |
THIS IS NOT A RECOMMENDATION TO BUY OR SELL ANY SECURITY!
