Plumas Bancorp Reports Record 2022 Quarterly Results
RENO, Nev., April 20, 2022 (GLOBE NEWSWIRE) -- Plumas Bancorp (Nasdaq: PLBC), the parent company of Plumas Bank, today announced record first quarter earnings of $5.7 million or $0.98 per share, an increase of $1.3 million from $4.4 million or $0.86 per share during the first quarter of 2021. Diluted earnings per share increased to $0.97 during the three months ended March 31, 2022, up from $0.85 per share during the quarter ended March 31, 2021. Return on average assets was 1.42% during the current quarter, down from 1.55% during the first quarter of 2021. Return on average equity was 17.6% for the three months ended March 31, 2022, down slightly from 17.7% during the first quarter of 2021.
Financial Highlights
March 31, 2022 compared to March 31, 2021
Net income increased by $1.3 million, or 29%, to $5.7 million.
Net interest income increased by $1.5 million, or 15%, to $12.0 million.
Total assets increased by $415 million, or 34%, to $1.6 billion.
Gross loans increased by $108 million, or 15%, to $839 million.
Loans held for sale increased by $11.4 million to $14.0 million
Total deposits increased by $398 million, or 37%, to $1.5 billion.
Total equity increased by $21.1 million, or 21%, to $123 million.
President’s Comments
Andrew J. Ryback, director, president and chief executive officer of Plumas Bancorp and Plumas Bank stated, “The Fed’s recent rate increase is expected to improve margins while excess liquidity in the system will continue to present headwinds. We remain disciplined in credit decision making as we put funds to work, balancing competitive rates with appropriate risk pricing.”
“Continued developments in technology, accounting standards, climate and other disclosures, and fee income drive opportunity and change across the banking landscape. We proactively prepare for these changes by implementing innovative solutions, remaining abreast of industry developments, and building on our earlier efforts,” Ryback remarked.
In conclusion Ryback stated, “We continue to report strong earnings and balances, invest in technology to better serve our clients and execute on expansion initiatives.”
Loans, Deposits, Investments and Cash
Mostly related to our acquisition of Bank of Feather River (BFR) on July 1, 2021, gross loans increased by $108 million, or 15%, from $731 million at March 31, 2021, to $839 million at March 31, 2022. Increases in loans included $54 million in agricultural loans, $71 million in commercial real estate loans, $25 million in construction loans and $5 million in residential real estate loans; these items were partially offset by a decrease of $43 million in commercial loans and $5 million in all other loan categories. Excluding PPP loan activity, commercial loans would have increased by $34 million. PPP loans totaled $19 million at March 31, 2022, and $96 million at March 31, 2021. Unamortized loan fees net of unamortized loan costs on PPP loans totaled $668 thousand at March 31, 2022.
Beginning in 2020 we instituted a loan forbearance program to assist borrowers with managing cash flows disrupted due to COVID-19; we ended this program in the fourth quarter of 2021 and there are no loan balances on deferral related to this program at March 31, 2022.
On March 31, 2022, approximately 77% of the Company's loan portfolio was comprised of variable rate loans. The rates of interest charged on variable rate loans are set at specific increments in relation to the Company's lending rate or other indexes such as the published prime interest rate or U.S. Treasury rates and vary with changes in these indexes. The frequency in which variable rate loans reprice can vary from one day to several years. Loans indexed to the prime interest rate excluding loans at their floor rate, were approximately 20% of the Company’s loan portfolio; these loans reprice within one day to three months of a change in the prime rate. At March 31, 2022 approximately 48% of the variable loans were at their floor rate.
Total deposits increased by $398 million from $1.1 billion at March 31, 2021, to $1.5 billion at March 31, 2022. Deposits at our Yuba City, California branch, which was acquired from BFR, totaled $159 million at March 31, 2022. Excluding these deposits, we attribute much of this increase to Pandemic related economic stimulus, a more cautious consumer, and continued growth in our customer base. The increase in deposits includes increases of $188 million in demand deposits, $124 million in savings accounts, $63 million in money market accounts, and $23 million in time deposits. At March 31, 2022, 51% of the Company’s deposits were in the form of non-interest bearing demand deposits. The Company has no brokered deposits.
Total investment securities increased by $111 million from $205 million at March 31, 2021, to $316 million at March 31, 2022. The Bank’s investment security portfolio consists of debt securities issued by US Government agencies, US Government sponsored agencies and municipalities. Cash and due from banks increased by $155 million from $234 million at March 31, 2021, to $389 million at March 31, 2022.
Asset Quality
Nonperforming assets (which are comprised of nonperforming loans, other real estate owned (“OREO”) and repossessed vehicle holdings) at March 31, 2022 were $5.2 million, up from $4.4 million at March 31, 2021. Nonperforming assets as a percentage of total assets decreased slightly to 0.32% at March 31, 2022 down from 0.36% at March 31, 2021. OREO decreased by $93 thousand from $580 thousand at March 31, 2021 to $487 thousand at March 31, 2022. Nonperforming loans were $4.7 million at March 31, 2022 and $3.8 million at March 31, 2021. Nonperforming loans as a percentage of total loans increased to 0.56% at March 31, 2022, up slightly from 0.52% at March 31, 2021.
The provision for loan losses decreased from $375 thousand during the first quarter of 2021 to $300 thousand during the current quarter. Net charge-offs totaled $250 thousand and $315 thousand during the three months ended March 31, 2022 and 2021, respectively. The allowance for loan losses totaled $10.4 million at March 31, 2022 and $10.0 million at March 31, 2021. The allowance for loan losses as a percentage of total loans decreased from 1.36% at March 31, 2021 to 1.24% at March 31, 2022.
Shareholders’ Equity
Total shareholders’ equity increased by $21.1 million from $102.0 million at March 31, 2021, to $123.1 million at March 31, 2022. The $21.1 million includes earnings during the twelve-month period totaling $22.3 million, common stock issued in the acquisition of Feather River Bancorp totaling $18.7 million and stock option activity totaling $0.5 million. These items were partially offset by the payment of cash dividends totaling $3.3 million and a decrease in accumulated other comprehensive income of $17.1 million.
Net Interest Income and Net Interest Margin
Net interest income was $12.0 million for the three months ended March 31, 2022, an increase of $1.5 million from the same period in 2021. The increase in net interest income includes an increase of $1.6 million in interest income and an increase of $45 thousand in interest expense. Interest and fees on loans increased by $558 million as a decline of $1 million in fees net of costs on PPP loans was offset by growth in the loan portfolio. During the current quarter we recorded amortization of loan fees net of loan costs on PPP loans totaling $604 thousand. This compares to $1.6 million during the first quarter of 2021. This includes normal amortization on our PPP portfolio and the effect of PPP loan forgiveness.
Average loan balances increased by $116 million, while the average yield on loans decreased by 50 basis points from 5.53% during the first quarter of 2021 to 5.03% during the current quarter. The reduction in loan yield includes the effect of a reduction in market rates during 2021 and a decline in PPP fee income as described above. Interest on investment securities increased by $630 thousand, mostly related to an increase in average investment securities of $123 million to $311 million. Interest on cash balances increased by $116 thousand related to both an increase in the rate paid on these balances and an increase in average cash balances. The rate paid on cash balances increased from 0.11% during the first quarter of 2021 to 0.19% during the current quarter mostly related to an increase in the rate paid on balances held at the Federal Reserve Bank effective March 17, 2022, from 15 basis points to 40 basis points. Average interest-bearing cash balances increased by $158 million to $353.2 million during the current quarter. Net interest margin for the three months ended March 31, 2022 decreased 65 basis points to 3.21%, down from 3.86% for the same period in 2021.
Non-Interest Income/Expense
During the three months ended March 31, 2022, non-interest income totaled $3.6 million, an increase of $1.3 million from the three months ended March 31, 2021. The largest component of this increase was an increase in gain on sale of SBA loans of $1.1 million to $1.7 million. We did not sell SBA loans during the second and third quarters of 2021 resulting in an inventory of loans held for sale of $31.3 million at December 31, 2021. During the current quarter we sold $24.1 million in guaranteed portions of SBA loans and ended the quarter with loans held for sale totaling $14.0 million.
During the three months ended March 31, 2022, total non-interest expense increased by $1.4 million from $6.3 million during the first quarter of 2021 to $7.7 million during the current quarter. The largest component of this increase was an increase in salary expense of $559 thousand of which $240 thousand is related to our Yuba City branch. Occupancy and equipment costs increased by $247 thousand of which $151 thousand relates to the Yuba City branch.
Plumas Bancorp is headquartered in Reno, Nevada. Plumas Bancorp’s principal subsidiary is Plumas Bank, which was founded in 1980. Plumas Bank is a full-service community bank headquartered in Quincy, California. The bank operates fourteen branches: twelve located in the California counties of Lassen, Modoc, Nevada, Placer, Plumas, Shasta and Sutter and two branches located in Nevada in the counties of Carson City and Washoe. The bank also operates three loan production offices located in the California Counties of Butte and Placer and Klamath Falls, Oregon. Plumas Bank offers a wide range of financial and investment services to consumers and businesses and has received nationwide Preferred Lender status with the United States Small Business Administration. For more information on Plumas Bancorp and Plumas Bank, please visit our website at www.plumasbank.com.
This news release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act of 1934, as amended and Plumas Bancorp intends for such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Future events are difficult to predict, and the expectations described above are necessarily subject to risk and uncertainty that may cause actual results to differ materially and adversely.
Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may." These forward-looking statements are not guarantees of future performance, 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 news release. Factors that might cause such differences include, but are not limited to: the Company's ability to successfully execute its business plans and achieve its objectives; changes in general economic and financial market conditions, either nationally or locally in areas in which the Company conducts its operations; changes in interest rates; continuing consolidation in the financial services industry; new litigation or changes in existing litigation; increased competitive challenges and expanding product and pricing pressures among financial institutions; legislation or regulatory changes which adversely affect the Company's operations or business; loss of key personnel; and changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board or other regulatory agencies
Contact: Jamie Huynh
Investor Relations
Plumas Bancorp
5525 Kietzke Lane Ste. 100
Reno, NV 89511
775.786.0907 x8908
investorrelations@plumasbank.com
PLUMAS BANCORP | ||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||
(In thousands) | ||||||||||
(Unaudited) | ||||||||||
As of March 31, | ||||||||||
2022 | 2021 | Dollar | Percentage | |||||||
ASSETS | ||||||||||
Cash and due from banks | $ | 389,023 | $ | 233,623 | $ | 155,400 | 66.5% | |||
Investment securities | 316,188 | 204,656 | 111,532 | 54.5% | ||||||
Loans, net of allowance for loan losses | 830,176 | 719,894 | 110,282 | 15.3% | ||||||
Loans held for sale | 13,953 | 2,522 | 11,431 | 453.3% | ||||||
Premises and equipment, net | 18,220 | 13,803 | 4,417 | 32.0% | ||||||
Bank owned life insurance | 15,938 | 13,616 | 2,322 | 17.1% | ||||||
Real estate acquired through foreclosure | 487 | 580 | (93) | (16.0)% | ||||||
Goodwill | 5,502 | - | 5,502 | 100.0% | ||||||
Accrued interest receivable and other assets | 32,745 | 18,787 | 13,958 | 74.3% | ||||||
Total assets | $ | 1,622,232 | $ | 1,207,481 | $ | 414,751 | 34.3% | |||
LIABILITIES AND | ||||||||||
SHAREHOLDERS’ EQUITY | ||||||||||
Deposits | $ | 1,467,658 | $ | 1,069,218 | $ | 398,440 | 37.3% | |||
Accrued interest payable and other liabilities | 21,191 | 25,937 | (4,746) | (18.3)% | ||||||
Junior subordinated deferrable interest debentures | 10,310 | 10,310 | - | 0.0% | ||||||
Total liabilities | 1,499,159 | 1,105,465 | 393,694 | 35.6% | ||||||
Common stock | 26,990 | 7,858 | 19,132 | 243.5% | ||||||
Retained earnings | 110,467 | 91,468 | 18,999 | 20.8% | ||||||
Accumulated other comprehensive income, net | (14,384) | 2,690 | (17,074) | (634.7)% | ||||||
Shareholders’ equity | 123,073 | 102,016 | 21,057 | 20.6% | ||||||
Total liabilities and shareholders’ equity | $ | 1,622,232 | $ | 1,207,481 | $ | 414,751 | 34.3% | |||
PLUMAS BANCORP | ||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | ||||||||||
(In thousands, except per share data) | ||||||||||
(Unaudited) | ||||||||||
FOR THE THREE MONTHS ENDED MARCH 31, | 2022 | 2021 | Dollar | Percentage | ||||||
Interest income | $ | 12,315 | $ | 10,734 | $ | 1,581 | 14.7% | |||
Interest expense | 300 | 255 | 45 | 17.6% | ||||||
Net interest income before provision for loan losses | 12,015 | 10,479 | 1,536 | 14.7% | ||||||
Provision for loan losses | 300 | 375 | (75) | (20.0)% | ||||||
Net interest income after provision for loan losses | 11,715 | 10,104 | 1,611 | 15.9% | ||||||
Non-interest income | 3,650 | 2,350 | 1,300 | 55.3% | ||||||
Non-interest expense | 7,673 | 6,292 | 1,381 | 21.9% | ||||||
Income before income taxes | 7,692 | 6,162 | 1,530 | 24.8% | ||||||
Provision for income taxes | 1,974 | 1,721 | 253 | 14.7% | ||||||
Net income | $ | 5,718 | $ | 4,441 | $ | 1,277 | 28.8% | |||
Basic earnings per share | $ | 0.98 | $ | 0.86 | $ | 0.12 | 14.0% | |||
Diluted earnings per share | $ | 0.97 | $ | 0.85 | $ | 0.12 | 14.1% | |||
PLUMAS BANCORP | |||||||||||||||
SELECTED FINANCIAL INFORMATION | |||||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||||
(Unaudited) | |||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||
3/31/2022 | 12/31/2021 | 3/31/2021 | 12/31/2021 | 12/31/2020 | |||||||||||
EARNINGS PER SHARE | |||||||||||||||
Basic earnings per share | $ | 0.98 | $ | 0.95 | $ | 0.86 | $ | 3.82 | $ | 2.80 | |||||
Diluted earnings per share | $ | 0.97 | $ | 0.93 | $ | 0.85 | $ | 3.76 | $ | 2.77 | |||||
Weighted average shares outstanding | 5,824 | 5,814 | 5,187 | 5,502 | 5,177 | ||||||||||
Weighted average diluted shares outstanding | 5,920 | 5,903 | 5,253 | 5,583 | 5,230 | ||||||||||
Cash dividends paid per share1 | $ | 0.16 | $ | 0.14 | $ | 0.14 | $ | 0.56 | $ | 0.36 | |||||
PERFORMANCE RATIOS (annualized for the three months) | |||||||||||||||
Return on average assets | 1.42% | 1.35% | 1.55% | 1.52% | 1.43% | ||||||||||
Return on average equity | 17.6% | 16.5% | 17.7% | 17.8% | 15.5% | ||||||||||
Yield on earning assets | 3.29% | 3.52% | 3.95% | 3.72% | 4.15% | ||||||||||
Rate paid on interest-bearing liabilities | 0.17% | 0.17% | 0.20% | 0.19% | 0.25% | ||||||||||
Net interest margin | 3.21% | 3.44% | 3.86% | 3.63% | 4.02% | ||||||||||
Noninterest income to average assets | 0.91% | 0.61% | 0.82% | 0.63% | 0.83% | ||||||||||
Noninterest expense to average assets | 1.90% | 1.92% | 2.19% | 1.88% | 2.34% | ||||||||||
Efficiency ratio2 | 49.0% | 50.5% | 49.0% | 46.8% | 50.6% | ||||||||||
3/31/2022 | 3/31/2021 | 12/31/2021 | 12/31/2020 | 12/31/2019 | |||||||||||
CREDIT QUALITY RATIOS AND DATA | |||||||||||||||
Allowance for loan losses | $ | 10,402 | $ | 9,962 | $ | 10,352 | $ | 9,902 | $ | 7,243 | |||||
Allowance for loan losses as a percentage of total loans | 1.24% | 1.36% | 1.23% | 1.40% | 1.17% | ||||||||||
Allowance for loan losses as a percentage of total loans - | |||||||||||||||
excluding PPP loans | 1.27% | 1.56% | 1.29% | 1.55% | 1.17% | ||||||||||
Nonperforming loans | $ | 4,733 | $ | 3,804 | $ | 4,863 | $ | 2,536 | $ | 2,050 | |||||
Nonperforming assets | $ | 5,243 | $ | 4,401 | $ | 5,397 | $ | 2,970 | $ | 2,813 | |||||
Nonperforming loans as a percentage of total loans | 0.56% | 0.52% | 0.58% | 0.36% | 0.33% | ||||||||||
Nonperforming assets as a percentage of total assets | 0.32% | 0.36% | 0.33% | 0.27% | 0.33% | ||||||||||
Year-to-date net charge-offs | $ | 250 | $ | 315 | $ | 675 | $ | 516 | $ | 1,215 | |||||
Year-to-date net charge-offs as a percentage of average | 0.12% | 0.18% | 0.09% | 0.07% | 0.21% | ||||||||||
loans (annualized) | |||||||||||||||
CAPITAL AND OTHER DATA | |||||||||||||||
Common shares outstanding at end of period | 5,837 | 5,197 | 5,817 | 5,182 | 5,166 | ||||||||||
Shareholders' equity | $ | 123,073 | $ | 102,016 | $ | 134,082 | $ | 100,154 | $ | 84,505 | |||||
Book value per common share | $ | 21.08 | $ | 19.63 | $ | 23.05 | $ | 19.33 | $ | 16.36 | |||||
Tangible common equity3 | $ | 116,130 | $ | 101,335 | $ | 127,067 | $ | 99,432 | $ | 83,584 | |||||
Tangible book value per common share4 | $ | 19.90 | $ | 19.50 | $ | 21.84 | $ | 19.19 | $ | 16.18 | |||||
Tangible common equity to total assets | 7.2% | 8.4% | 7.9% | 8.9% | 9.7% | ||||||||||
Gross loans to deposits | 57.1% | 68.3% | 58.3% | 72.9% | 82.6% | ||||||||||
PLUMAS BANK REGULATORY CAPITAL RATIOS | |||||||||||||||
Tier 1 Leverage Ratio | 8.5% | 9.3% | 8.4% | 9.2% | 10.4% | ||||||||||
Common Equity Tier 1 Ratio | 14.8% | 14.7% | 14.4% | 14.2% | 13.1% | ||||||||||
Tier 1 Risk-Based Capital Ratio | 14.8% | 14.7% | 14.4% | 14.2% | 13.1% | ||||||||||
Total Risk-Based Capital Ratio | 16.0% | 16.0% | 15.5% | 15.4% | 14.2% | ||||||||||
(1) The Company paid a quarterly cash dividend of 16 cents per share on February 15, 2022 and quarterly cash dividend of 14 cents per share on February 15, 2021, May 17, 2021, August 16, 2021 and November 15, 2021. | |||||||||||||||
(2) Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and total noninterest income). | |||||||||||||||
(3) Tangible common equity is defined as common equity less core deposit intangibles. | |||||||||||||||
(4) Tangible common book value per share is defined as tangible common equity divided by common shares outstanding. | |||||||||||||||
PLUMAS BANCORP | ||||||||||
SELECTED FINANCIAL INFORMATION | ||||||||||
(Dollars in thousands) | ||||||||||
(Unaudited) | ||||||||||
The following table shows the distribution of loans by type at March 31, 2022 and 2021. | ||||||||||
Percent of | Percent of | |||||||||
Loans in Each | Loans in Each | |||||||||
Balance at End | Category to | Balance at End | Category to | |||||||
of Period | Total Loans | of Period | Total Loans | |||||||
3/31/2022 | 3/31/2022 | 03/31/2021 | 03/31/2021 | |||||||
Commercial | $ | 96,787 | 11.5% | $ | 139,777 | 19.1% | ||||
Agricultural | 123,416 | 14.7% | 68,953 | 9.4% | ||||||
Real estate – residential | 15,637 | 1.9% | 10,385 | 1.4% | ||||||
Real estate – commercial | 423,511 | 50.5% | 352,032 | 48.2% | ||||||
Real estate – construction & land | 55,668 | 6.6% | 30,694 | 4.2% | ||||||
Equity Lines of Credit | 32,602 | 3.9% | 34,068 | 4.7% | ||||||
Auto | 86,768 | 10.4% | 90,418 | 12.4% | ||||||
Other | 4,297 | 0.5% | 4,303 | 0.6% | ||||||
Total Gross Loans | $ | 838,686 | 100% | $ | 730,630 | 100% | ||||
The following table shows the distribution of deposits by type at March 31, 2022 and 2021. | ||||||||||
Percent of | Percent of | |||||||||
Deposits in Each | Deposits in Each | |||||||||
Balance at End | Category to | Balance at End | Category to | |||||||
of Period | Total Deposits | of Period | Total Deposits | |||||||
3/31/2022 | 3/31/2022 | 03/31/2021 | 03/31/2021 | |||||||
Non-interest bearing | $ | 752,246 | 51.3% | $ | 564,337 | 52.8% | ||||
Money Market | 257,404 | 17.5% | 194,304 | 18.1% | ||||||
Savings | 394,198 | 26.9% | 270,192 | 25.3% | ||||||
Time | 63,810 | 4.3% | 40,385 | 3.8% | ||||||
Total Deposits | $ | 1,467,658 | 100% | $ | 1,069,218 | 100% | ||||
PLUMAS BANCORP | ||||||||||||||||
SELECTED FINANCIAL INFORMATION | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||
(Unaudited) | ||||||||||||||||
The following table presents for the three-month periods indicated the distribution of consolidated average assets, liabilities and shareholders' equity. | ||||||||||||||||
For the Three Months Ended | For the Three Months Ended | |||||||||||||||
3/31/2022 | 3/31/2021 | |||||||||||||||
Average | Yield/ | Average | Yield/ | |||||||||||||
Balance | Interest | Rate | Balance | Interest | Rate | |||||||||||
Interest-earning assets: | ||||||||||||||||
Loans(2) (3) | $ | 831,289 | $ | 10,311 | 5.03% | $ | 715,648 | $ | 9,753 | 5.53% | ||||||
Loans held for sale | 22,727 | 305 | 5.44% | 2,022 | 28 | 5.62% | ||||||||||
Investment securities | 214,609 | 997 | 1.88% | 128,160 | 557 | 1.76% | ||||||||||
Non-taxable investment securities(1) | 96,844 | 534 | 2.24% | 60,382 | 344 | 2.31% | ||||||||||
Interest-bearing deposits | 353,155 | 168 | 0.19% | 194,837 | 52 | 0.11% | ||||||||||
Total interest-earning assets | 1,518,624 | 12,315 | 3.29% | 1,101,049 | 10,734 | 3.95% | ||||||||||
Cash and due from banks | 54,507 | 27,481 | ||||||||||||||
Other assets | 60,704 | 36,594 | ||||||||||||||
Total assets | $ | 1,633,835 | $ | 1,165,124 | ||||||||||||
Interest-bearing liabilities: | ||||||||||||||||
Money market deposits | 262,619 | 66 | 0.10% | 188,616 | 69 | 0.15% | ||||||||||
Savings deposits | 384,689 | 81 | 0.09% | 256,013 | 67 | 0.11% | ||||||||||
Time deposits | 64,148 | 47 | 0.30% | 40,590 | 38 | 0.38% | ||||||||||
Total deposits | 711,456 | 194 | 0.11% | 485,219 | 174 | 0.15% | ||||||||||
Junior subordinated debentures | 10,310 | 88 | 3.46% | 10,310 | 79 | 3.11% | ||||||||||
Other interest-bearing liabilities | 13,861 | 18 | 0.53% | 12,878 | 2 | 0.06% | ||||||||||
Total interest-bearing liabilities | 735,627 | 300 | 0.17% | 508,407 | 255 | 0.20% | ||||||||||
Non-interest-bearing deposits | 754,285 | 541,253 | ||||||||||||||
Other liabilities | 11,900 | 13,564 | ||||||||||||||
Shareholders' equity | 132,023 | 101,900 | ||||||||||||||
Total liabilities & equity | $ | 1,633,835 | $ | 1,165,124 | ||||||||||||
Cost of funding interest-earning assets(4) | 0.08% | 0.09% | ||||||||||||||
Net interest income and margin(5) | $ | 12,015 | 3.21% | $ | 10,479 | 3.86% | ||||||||||
(1) Not computed on a tax-equivalent basis. | ||||||||||||||||
(2) Average nonaccrual loan balances of $5.0 million for 2022 and $2.3 million for 2021 are included in average loan balances for computational purposes. | ||||||||||||||||
(3) Net fees included in loan interest income for the three-month periods ended March 31, 2022 and 2021 were $311 thousand and $1.5 million, respectively. | ||||||||||||||||
(4) Total annualized interest expense divided by the average balance of total earning assets. | ||||||||||||||||
(5) Annualized net interest income divided by the average balance of total earning assets. | ||||||||||||||||
The following table presents the components of non-interest income for the three-month periods ended March 31, 2022 and 2021. | |||||||||||
For the Three Months Ended | |||||||||||
March 31, | |||||||||||
2022 | 2021 | Dollar | Percentage | ||||||||
Gain on sale of loans, net | 1,701 | 591 | 1,110 | 187.8% | |||||||
Interchange income | 762 | 715 | 47 | 6.6% | |||||||
Service charges on deposit accounts | 566 | 540 | 26 | 4.8% | |||||||
Loan servicing fees | 209 | 227 | (18) | (7.9)% | |||||||
Earnings on life insurance policies | 93 | 90 | 3 | 3.3% | |||||||
Other | 319 | 187 | 132 | 70.6% | |||||||
Total non-interest income | $ | 3,650 | $ | 2,350 | $ | 1,300 | 55.3% | ||||
The following table presents the components of non-interest expense for the three-month periods ended March 31, 2021 and 2020. | |||||||||||
For the Three Months Ended | |||||||||||
March 31, | |||||||||||
2022 | 2021 | Dollar | Percentage | ||||||||
Salaries and employee benefits | $ | 4,082 | $ | 3,524 | $ | 558 | 15.8% | ||||
Occupancy and equipment | 1,137 | 890 | 247 | 27.8% | |||||||
Outside service fees | 908 | 742 | 166 | 22.4% | |||||||
Professional fees | 279 | 342 | (63) | (18.4)% | |||||||
Deposit insurance | 197 | 74 | 123 | 166.2% | |||||||
Telephone and data communication | 191 | 155 | 36 | 23.2% | |||||||
Armored car and courier | 148 | 108 | 40 | 37.0% | |||||||
Director compensation and expense | 141 | 91 | 50 | 54.9% | |||||||
Business development | 115 | 66 | 49 | 74.2% | |||||||
Advertising and shareholder relations | 112 | 68 | 44 | 64.7% | |||||||
Amortization of Core Deposit Intangible | 72 | 42 | 30 | 71.4% | |||||||
Loan collection expenses | 68 | 49 | 19 | 38.8% | |||||||
Other | 223 | 141 | 82 | 58.2% | |||||||
Total non-interest expense | $ | 7,673 | $ | 6,292 | $ | 1,381 | 21.9% | ||||
