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Live Oak Bancshares, Inc. Reports Fourth Quarter 2018 Results

WILMINGTON, N.C., Jan. 23, 2019 (GLOBE NEWSWIRE) -- Live Oak Bancshares, Inc. (LOB) (“Live Oak” or “the Company”) today reported fourth quarter net earnings available to common shareholders of $10.5 million, or $0.26 per diluted share, compared to $71.7 million, or $1.74 per diluted share, for the fourth quarter of 2017.  Net earnings for the year ended December 31, 2018 totaled $51.4 million, or $1.24 per diluted share, compared to $100.5 million for the year ended December 31, 2017, or $2.65 per diluted share.  The fourth quarter of 2017 included a one-time pretax gain of $68.0 million related to an equity method investment in Apiture, LLC ("Apiture"), an $18.9 million revaluation of the Company's net deferred tax liability, and several other smaller non-routine costs.

During the fourth quarter of 2018, the Company implemented a strategic decision to retain a larger portion of its loans eligible for sale on balance sheet in order to reduce earnings volatility and maximize long-term profitability with what the Company believes is a more predictable earnings model.

“We are very pleased with the contributions Live Oak made in 2018 to the success of small business owners and to the changing landscape of the financial services industry.  We exited the year having originated just under $1.8 billion in loans and leases.  Recurring revenue grew 34% compared to 2017 with ample capital and strong sustained liquidity, further reflecting traction in strategic initiatives designed to maximize our unique business model.  We anticipate that our recent decision to retain more of our loan production will bring more predictability to our growing revenue streams.  Our technology and people investments have us well-positioned to serve more small businesses across the U.S. while also meaningfully contributing to the transformation of the financial services industry.  As we head into 2019, we will continue to focus on investments in our employees, customers and our community,” said James S. Mahan, III, Chief Executive Officer of Live Oak.

Year over Year Highlights

                       
 (Dollars in thousands, except per share data)                   Increase (Decrease)  
    2018     2017     Dollars     Percent  
Net interest income and servicing revenues   $ 137,164     $ 102,622     $ 34,542       34 %
Net income     51,448       100,499       (49,051 )     (49 )
Diluted earnings per share     1.24       2.65       (1.41 )     (53 )
Non-GAAP net income (1)     54,571       47,187       7,384       16  
Non-GAAP diluted earnings per share (1)     1.32       1.25       0.07       5  
Total assets     3,670,449       2,758,474       911,975       33  
Total loans and leases     2,530,812       2,024,427       506,385       25  
Loan and lease production:                                
Loans and leases originated   $ 1,765,680     $ 1,934,238     $ (168,558 )     (9 )%
% Fully funded     56.5 %     50.9 %   n/a     n/a  
Loan sales:                                
Guaranteed loans sold   $ 945,178     $ 787,926     $ 157,252       20 %
Net gains on sales of guaranteed loans     76,473       79,090       (2,617 )     (3 )
Average net gain on sale of guaranteed loans, per million sold     80.91       100.38       (19.47 )     (19 )
                                 
(1) See accompanying GAAP to Non-GAAP Reconciliation.
 


Fourth Quarter 2018 Key Measures

                               
 (Dollars in thousands, except per share data)                   Increase (Decrease)          
    Q4 2018     Q4 2017     Dollars     Percent     Q3 2018  
Net interest income and servicing revenues   $ 36,547     $ 28,977     $ 7,570       26 %   $ 35,230  
Net income     10,490       71,730       (61,240 )     (85 )     14,252  
Diluted earnings per share     0.26       1.74       (1.48 )     (85 )     0.34  
Non-GAAP net income (1)     10,764       16,875       (6,111 )     (36 )     16,562  
Non-GAAP diluted earnings per share (1)     0.26       0.41       (0.15 )     (36 )     0.40  
Loan and lease production:                                        
Loans and leases originated   $ 498,987     $ 483,422     $ 15,565       3 %   $ 377,337  
% Fully funded     49.8 %     42.9 %   n/a     n/a       48.2 %
Loan sales:                                        
Guaranteed loans sold   $ 104,646     $ 211,654     $ (107,008 )     (51 )%   $ 298,073  
Net gains on sales of guaranteed loans     6,261       23,314       (17,053 )     (73 )     21,406  
Average net gain on sale of guaranteed loans, per million sold     59.83       110.15       (50.32 )     (46 )     71.81  
                                         
(1) See accompanying GAAP to Non-GAAP Reconciliation.
 

Loans and Leases

At December 31, 2018, the total loan and lease portfolio of $2.53 billion increased 25.0% from its level a year ago and 11.1% from its level at September 30, 2018.  Compared to the third quarter of 2018, loans and leases held for investment increased $212.1 million, or 13.0%, to $1.84 billion while loans held for sale increased $40.9 million, or 6.3%, to $687.4 million. Loan and lease originations totaled $499.0 million during the fourth quarter of 2018, an increase of $121.7 million, or 32.2%, from the third quarter of 2018.  Originations for year ended December 31, 2018 declined by 8.7% to $1.77 billion compared to $1.93 billion for the year ended December 31, 2017.  The total loan and lease portfolio at December 31, 2018, and September 30, 2018, of $2.53 billion and $2.28 billion, respectively, comprised approximately 62.0% and 64.4% of unguaranteed loans and leases, respectively.

Average loans and leases were $2.40 billion during the fourth quarter of 2018 compared to $2.31 billion during the third quarter of 2018.

Deposits

Total deposits increased by $225.3 million, or 7.7%, to $3.15 billion at December 31, 2018 from $2.92 billion at September 30, 2018, consistent with desired liquidity levels and the growing loan and lease portfolio. Average total interest-bearing deposits for the fourth quarter of 2018 increased $31.9 million, or 1.1%, to $2.94 billion, compared to $2.91 billion for the third quarter of 2018. The ratio of average total loans and leases to average interest-bearing deposits was 81.7% for the fourth quarter of 2018, compared to 79.3% for the third quarter of 2018.

Net Interest Income

Net interest income for the fourth quarter of 2018 rose to $28.8 million compared to $23.0 million for the fourth quarter of 2017 and $27.7 million for the third quarter of 2018. The increase from the prior year was driven by the significant growth in the combined held for sale and held for investment loan and lease portfolios along with higher investment security holdings reflecting the Company's ongoing initiative to grow recurring revenue sources.  The increase from the third quarter of 2018 arose from a higher average loan and lease portfolio balance and an improved yield on interest earning assets of thirty-three basis points.  The net interest margin for the fourth quarter of 2018 increased eleven basis points to 3.72% versus 3.61% in the third quarter of 2018 as the increased yield on the loan and lease portfolio outpaced the increase in the average rate of interest bearing deposits.  The Company anticipates that it is positioned to benefit from a rising rate environment with 72.3% of the total held for sale and held for investment loan and lease portfolio priced at variable rates that adjust on either a calendar monthly or quarterly basis.

Noninterest Income

Noninterest income for the fourth quarter of 2018 decreased to $18.1 million compared to $95.4 million for the fourth quarter of 2017 and $24.3 million for the third quarter of 2018. 

The primary driver of the decrease in noninterest income compared to the fourth quarter of 2017 was the $68.0 million one-time gain arising from the Company’s equity method investment in Apiture.

Also, largely contributing to the decrease in noninterest income compared to the fourth quarter of 2017 and third quarter of 2018 were lower net gains on sales of loans.  The Company’s net gains on sales of loans decreased to $5.7 million in the fourth quarter of 2018 compared to $23.3 million in the fourth quarter of 2017 and $22.0 million in the third quarter of 2018.  The volume of guaranteed loan sales in the fourth quarter of 2018 declined to $104.6 million compared to $211.7 million in the fourth quarter of 2017 and $298.1 million in the third quarter of 2018. The decline in loan sale volumes is consistent with the Company’s recent strategic shift to hold substantially more of its production on balance sheet.  The average net gains on guaranteed loan sales decreased to $59.8 thousand per million sold in the fourth quarter of 2018 versus $110.2 thousand in the fourth quarter of 2017 and $71.8 thousand in the third quarter of 2018. The decline in average net gains on guaranteed loan sales for the fourth quarter of 2018 compared to the fourth quarter of 2017 and third quarter of 2018 was impacted by fair value fluctuations in exchange-traded interest rate lock commitments amounting to a net loss of $1.8 million and $38 thousand for the fourth quarter of 2018 and 2017, respectively, and a net gain of $770 thousand for the third quarter of 2018.  This resulted in a reduction to the average net gains on guaranteed loan sales of $17.6 thousand per million sold and $0.2 thousand in the fourth quarter of 2018 and 2017, respectively, and an increase of $2.6 thousand per million sold in the third quarter of 2018.  The decline in average loan sale pricing from the fourth quarter of 2017 was also largely influenced by deteriorating market conditions and the higher interest rate environment which led to increased prepayment speeds.  Other factors contributing to the decline from the third quarter of 2018 was the specific mix of loans sold by the Company rather than market conditions for the purchase of guaranteed loans which were generally improved during the fourth quarter.

Partially offsetting the overall decline in noninterest income compared to the fourth quarter of 2017 and third quarter of 2018 were increases in loan servicing revenues, lower losses from the loan servicing asset revaluation and higher lease income.

Loan servicing revenues of $7.8 million in the fourth quarter of 2018 rose by $1.8 million, or 29.2%, from the fourth quarter of 2017 and by $246 thousand, or 3.3%, from the third quarter of 2018. The net loss resulting from the revaluation of the servicing asset totaled $627 thousand for the fourth quarter of 2018, a decrease of $5.7 million compared to the fourth quarter of 2017 and a decrease of $8.8 million compared to the third quarter of 2018, largely because of the aforementioned improvement in market conditions during the fourth quarter.

Lease income from solar panels contributed $2.2 million in noninterest income in the fourth quarter of 2018, compared to $1.2 million in the fourth quarter of 2017 and $2.2 million in the third quarter of 2018.  The Company began offering operating lease agreements for solar panels to third parties at the end of the first quarter of 2017.

Noninterest Expense

Noninterest expense for the fourth quarter of 2018 decreased to $32.6 million compared to $41.0 million for the fourth quarter of 2017 and $41.2 million for the third quarter of 2018.

Salaries and employee benefits for the fourth quarter of 2018 decreased to $14.5 million compared to $19.0 million for the fourth quarter of 2017 and $20.6 million for the third quarter of 2018.  These declines were largely influenced by the Company’s reversal of accrued incentive compensation due to not meeting budgeted performance metrics for the year ending December 31, 2018 along with the exit from the title insurance business during the prior quarter.  These decreases were partially offset by the ongoing expansion of the Company’s workforce and infrastructure to support its initiatives.

Another factor contributing to the lower noninterest expense level was the absence of impairment expense related to Reltco which was $3.6 million for the fourth quarter of 2017 and $2.7 million for the third quarter of 2018 associated with its sale.

Partially offsetting the decrease in noninterest expense from the fourth quarter of 2017 were increases in travel expense of $1.2 million attributable to routine maintenance for corporate aircraft and equipment expense of $1.2 million related to higher levels of depreciation related to solar panels acquired for the Company’s renewable energy leasing business.  Travel expense increased $1.3 million compared to the third quarter of 2018 also attributable to routine maintenance for corporate aircraft during the fourth quarter of 2018. 

Asset Quality

The unguaranteed exposure of nonperforming loans increased to $14.5 million, or 0.79% of total loans and leases held for investment, at December 31, 2018, compared to $12.9 million, or 0.79%, at September 30, 2018.  Total nonperforming loans increased to $57.7 million in the fourth quarter of 2018 from $52.7 million at the end of the prior quarter.

The unguaranteed exposure of foreclosed assets decreased to $148 thousand at December 31, 2018, from $158 thousand at September 30, 2018.  Foreclosed assets decreased $335 thousand to $1.1 million at December 31, 2018, from $1.4 million at September 30, 2018.

Net charge-offs of $1.2 million in the fourth quarter of 2018 decreased compared to $2.3 million in the third quarter of 2018 and increased compared to $892 thousand in the fourth quarter of 2017.  Net charge-offs as a percentage of average held for investment loans and leases, annualized, for both quarters ended December 31, 2018 and 2017, was 0.28%.  Net charge-offs for the twelve months of 2018 totaled $4.8 million compared to $3.6 million for the twelve months of 2017.

Provision for Loan and Lease Losses

The provision for loan and lease losses for the fourth quarter of 2018 totaled $6.8 million compared to a negative provision expense of $243 thousand for the third quarter of 2018 and a provision expense of $4.1 million for the fourth quarter of 2017.  The increase in provision expense was largely the result of growth in the loan and lease portfolio combined with increases in classified and past due loans over the past year.  The quarter over quarter change was further magnified by the $2.9 million reduction in provision during the third quarter of 2018 due to updated loss factors, consistent with our methodology for estimating the allowance for loan and lease losses.

The allowance for loan and lease losses totaled $32.4 million at December 31, 2018, compared to $26.8 million at September 30, 2018. The allowance for loan and lease losses as a percentage of total loans and leases held for investment was 1.76% and 1.64% at December 31, 2018, and September 30, 2018, respectively.

Income Tax

There was a net income tax benefit in the fourth quarter of 2018 of $3.0 million compared to net income tax expense of $1.6 million in the fourth quarter of 2017 and a net income tax benefit of $3.2 million in the third quarter of 2018.  The Company’s effective tax rate is predominantly driven by the leasing of renewable energy assets which generated $20.3 million and $24.9 million in investment tax credits for the years ended December 31, 2018 and 2017, respectively.  As the lessor of these assets, the Company is accomplishing broader strategic initiatives in the renewable energy sector.

Conference Call

Live Oak will host a conference call to discuss quarterly results at 9:00 a.m. ET tomorrow morning (January 24, 2019). Media representatives, analysts and the public are invited to listen to this discussion by calling (844) 743-2494 (domestic) or (661) 378-9528 (international) with conference ID 9893275. A live webcast of the conference call along with presentation materials referenced during the conference call will be available on the Investor Relations page of the Company’s website at http://investor.liveoakbank.com. A replay of the webcast will be archived on the Company's website for one year.  A replay of the conference call will also be available until 5:00 p.m. ET January 31, 2019 and can be accessed by dialing (855) 859-2056 (domestic) or (404) 537-3406 (international).

CFO Commentary

Additional commentary on the quarter by Brett Caines, Chief Financial Officer of the Company, is available at http://investor.liveoakbank.com in the supporting materials for the conference call.

Important Note Regarding Forward-Looking Statements

Statements in this press release that are based on other than historical data or that express the Company’s plans or expectations regarding future events or determinations are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. Statements based on historical data are not intended and should not be understood to indicate the Company’s expectations regarding future events. Forward-looking statements provide current expectations or forecasts of future events or determinations. These forward-looking statements are not guarantees of future performance or determinations, nor should they be relied upon as representing management’s views as of any subsequent date. Forward-looking statements involve significant risks and uncertainties, and actual results may differ materially from those presented, either expressed or implied, in this press release. Factors that could cause actual results to differ materially from those expressed in the forward-looking statements include changes in Small Business Administration (“SBA”) rules, regulations or loan products, including the Section 7(a) program, changes in SBA standard operating procedures or changes in Live Oak Banking Company's status as an SBA Preferred Lender; changes in rules, regulations or procedures for other government loan programs, including those of the United States Department of Agriculture; a reduction in or the termination of the Company's ability to use the technology-based platform that is critical to the success of its business model, including a failure in or a breach of operational or security systems; competition from other lenders; the Company's ability to attract and retain key personnel; market and economic conditions and the associated impact on the Company; operational, liquidity and credit risks associated with the Company's business; the impact of heightened regulatory scrutiny of financial products and services and the Company's ability to comply with regulatory requirements and expectations; and the other factors discussed in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) and available at the SEC’s Internet site (http://www.sec.gov). Except as required by law, the Company specifically disclaims any obligation to update any factors or to publicly announce the result of revisions to any of the forward-looking statements included herein to reflect future events or developments.

About Live Oak Bancshares, Inc.

Live Oak Bancshares, Inc. (LOB) is a financial holding company and the parent company of Live Oak Banking Company.  Live Oak Bancshares and its subsidiaries partner with businesses that have a common focus of changing the banking industry by bringing efficiency and excellence to customers using technology and innovation.

Contacts:

Brett Caines | CFO | Investor Relations | 910.796.1645 & Micah Davis | CMO | Media Relations | 910.550.2255

Live Oak Bancshares, Inc.
Quarterly Statements of Income (unaudited)
(Dollars in thousands, except per share data)

       
    Three months ended  
    4Q 2018     3Q 2018     2Q 2018     1Q 2018     4Q 2017  
Interest income                                        
Loans and fees on loans   $ 40,628     $ 37,724     $ 36,267     $ 32,691     $ 29,343  
Investment securities, taxable     2,558       2,528       2,530       1,117       468  
Other interest earning assets     1,568       1,638       2,179       1,215       725  
Total interest income     44,754       41,890       40,976       35,023       30,536  
Interest expense                                        
Deposits     15,959       14,165       13,927       10,418       7,330  
Borrowings           1       1       129       230  
Total interest expense     15,959       14,166       13,928       10,547       7,560  
Net interest income     28,795       27,724       27,048       24,476       22,976  
Provision for (recovery of) loan and leases losses     6,822       (243 )     2,087       4,392       4,055  
Net interest income after provision for loan and lease losses     21,973       27,967       24,961       20,084       18,921  
Noninterest income                                        
Loan servicing revenue     7,752       7,506       6,965       6,898       6,001  
Loan servicing asset revaluation     (627 )     (9,380 )     (3,670 )     (5,088 )     (6,307 )
Net gains on sales of loans     5,687       22,004       23,061       24,418       23,314  
Lease income     2,244       2,194       1,920       1,608       1,165  
Gain on contribution to equity method investment                             68,000  
Construction supervision fee income     323       578       597       779       699  
Title insurance income           479       996       1,300       1,762  
Other noninterest income     2,686       950       744       841       807  
Total noninterest income     18,065       24,331       30,613       30,756       95,441  
Noninterest expense                                        
Salaries and employee benefits     14,503       20,553       22,146       20,209       18,982  
Travel expense     3,269       2,003       2,041       1,843       2,089  
Professional services expense     1,233       1,228       1,119       1,298       709  
Advertising and marketing expense     1,023       1,462       1,868       1,662       1,386  
Occupancy expense     1,738       1,588       1,882       1,857       2,177  
Data processing expense     2,606       3,661       2,906       2,837       2,913  
Equipment expense     3,630       3,649       3,368       3,077       2,474  
Other loan origination and maintenance expense     1,482       1,742       1,414       1,329       1,383  
Renewable energy tax credit investment impairment                             690  
FDIC insurance     547       1,105       1,010       572       898  
Title insurance closing services expense           114       372       426       541  
Impairment expense on goodwill and other intangibles, net           2,680                   3,648  
Other expense     2,527       1,459       2,704       2,962       3,134  
Total noninterest expense     32,558       41,244       40,830       38,072       41,024  
Income before taxes     7,480       11,054       14,744       12,768       73,338  
Income tax expense (benefit)     (3,010 )     (3,198 )     491       315       1,608  
Net income   $ 10,490     $ 14,252     $ 14,253     $ 12,453     $ 71,730  
Earnings per share                                        
Basic   $ 0.26     $ 0.36     $ 0.36     $ 0.31     $ 1.80  
Diluted   $ 0.26     $ 0.34     $ 0.34     $ 0.30     $ 1.74  
Weighted average shares outstanding                                        
Basic     40,148,115       40,119,561       40,027,336       39,926,781       39,879,345  
Diluted     41,075,864       41,688,430       41,619,647       41,399,930       41,184,793  
                                         

Live Oak Bancshares, Inc.
Quarterly Balance Sheets (unaudited)
(Dollars in thousands)

       
    As of the quarter ended  
    4Q 2018     3Q 2018     2Q 2018     1Q 2018     4Q 2017  
Assets                                        
Cash and due from banks   $ 316,823     $ 368,565     $ 392,941     $ 527,952     $ 295,271  
Certificates of deposit with other banks     7,250       750       2,250       2,250       3,000  
Investment securities available-for-sale     380,490       374,284       382,890       376,453       93,355  
Loans held for sale     687,393       646,475       757,494       720,511       680,454  
Loans and leases held for investment     1,843,419       1,631,337       1,534,368       1,442,077       1,343,973  
Allowance for loan and lease losses     (32,434 )     (26,797 )     (29,350 )     (28,050 )     (24,190 )
Net loans and leases     1,810,985       1,604,540       1,505,018       1,414,027       1,319,783  
Premises and equipment, net     262,524       263,861       234,817       216,831       178,790  
Foreclosed assets     1,094       1,429       1,725       1,519       1,281  
Servicing assets     47,641       49,261       52,689       53,120       52,298  
Other assets     156,249       135,592       143,145       148,200       134,242  
Total assets   $ 3,670,449     $ 3,444,757     $ 3,472,969     $ 3,460,863     $ 2,758,474  
Liabilities and Shareholders Equity                                        
Liabilities                                        
Deposits:                                        
Noninterest-bearing   $ 53,993     $ 48,622     $ 46,192     $ 48,755     $ 57,868  
Interest-bearing     3,095,590       2,875,666       2,923,044       2,924,586       2,202,395  
Total deposits     3,149,583       2,924,288       2,969,236       2,973,341       2,260,263  
Long term borrowings     1,457       1,506       3,385       3,489       26,564  
Other liabilities     25,849       41,733       37,362       35,197       34,714  
Total liabilities     3,176,889       2,967,527       3,009,983       3,012,027       2,321,541  
Shareholders equity                                        
Preferred stock, no par value, 1,000,000 shares authorized, none issued or outstanding                              
Class A common stock (voting)     278,945       276,831       274,043       271,451       268,557  
Class B common stock (non-voting)     49,168       49,168       49,168       49,168       49,168  
Retained earnings     167,124       157,839       144,791       131,739       120,241  
Accumulated other comprehensive loss     (1,677 )     (6,608 )     (5,016 )     (3,522 )     (1,033 )
Total equity     493,560       477,230       462,986       448,836       436,933  
Total liabilities and shareholders equity   $ 3,670,449     $ 3,444,757     $ 3,472,969     $ 3,460,863     $ 2,758,474  
                                         

Live Oak Bancshares, Inc.
Statements of Income (unaudited)
(Dollars in thousands, except per share data)

       
    Twelve months ended  
    December 31, 2018     December 31, 2017  
Interest income                
Loans and fees on loans   $ 147,310     $ 99,633  
Investment securities, taxable     8,733       1,432  
Other interest earning assets     6,600       2,407  
Total interest income     162,643       103,472  
Interest expense                
Deposits     54,469       24,223  
Borrowings     131       1,215  
Total interest expense     54,600       25,438  
Net interest income     108,043       78,034  
Provision for loan and lease losses     13,058       9,536  
Net interest income after provision for loan and lease losses     94,985       68,498  
Noninterest income                
Loan servicing revenue     29,121       24,588  
Loan servicing asset revaluation     (18,765 )     (13,171 )
Net gains on sales of loans     75,170       78,590  
Lease income     7,966       1,856  
Gain on contribution to equity method investment           68,000  
Construction supervision fee income     2,277       1,776  
Title insurance income     2,775       7,565  
Other noninterest income     5,221       3,717  
Total noninterest income     103,765       172,921  
Noninterest expense                
Salaries and employee benefits     77,411       74,669  
Travel expense     9,156       8,124  
Professional services expense     4,878       4,937  
Advertising and marketing expense     6,015       6,363  
Occupancy expense     7,065       6,195  
Data processing expense     12,010       8,449  
Equipment expense     13,724       7,479  
Other loan origination and maintenance expense     5,967       4,970  
Renewable energy tax credit investment impairment           690  
FDIC insurance     3,234       3,206  
Title insurance closing services expense     912       2,418  
Impairment expense on goodwill and other intangibles, net     2,680       3,648  
Other expense     9,652       12,017  
Total noninterest expense     152,704       143,165  
Income before taxes     46,046       98,254  
Income tax benefit     (5,402 )     (2,245 )
Net income   $ 51,448     $ 100,499  
Earnings per share                
Basic   $ 1.28     $ 2.75  
Diluted   $ 1.24     $ 2.65  
Weighted average shares outstanding                
Basic     40,056,230       36,592,893  
Diluted     41,446,750       37,859,535  
                 

Live Oak Bancshares, Inc.
Quarterly Selected Financial Data
(Dollars in thousands, except per share data)

...
       
    As of and for the three months ended  
    4Q 2018     3Q 2018     2Q 2018     1Q 2018     4Q 2017  
Income Statement Data                                        
Net income   $ 10,490     $ 14,252     $ 14,253     $ 12,453     $ 71,730  
Per Common Share                                        
Net income, basic   $ 0.26     $ 0.36     $ 0.36     $ 0.31     $ 1.80  
Net income, diluted     0.26       0.34       0.34       0.30