Toggle SGML Header (+)


Section 1: 8-K (8-K)


UNITED STATES SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
 Pursuant to Section 13 or 15(d) of the
 Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):  July 26, 2018

MACATAWA BANK CORPORATION
 (Exact name of registrant as specified in its charter)

Michigan
000-25927
38-3391345
(State or other jurisdiction of Incorporation)
(Commission File Number)
(I.R.S. Employer Identification No.)

10753 Macatawa Drive, Holland, Michigan
 
49424
(Address of principal executive offices)
 
(Zip Code)

(616) 820-1444
 (Registrant's Telephone Number, Including Area Code)

Not Applicable
 (Former name or former address, if changed since last year)

          Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425).

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12).

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)).

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)).

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.



Item 2.02
Results of Operations and Financial Condition.

On July 26, 2018, Macatawa Bank Corporation issued the press release furnished with this report as Exhibit 99.1, which is here incorporated by reference. This report and the exhibit are furnished to, and not filed with, the Commission.

Item 9.01
Financial Statements and Exhibits.

  (d)
Exhibits
 
  99.1
Press Release dated July 26, 2018. This exhibit is furnished to, and not filed with, the Commission.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated:  July 26, 2018
MACATAWA BANK CORPORATION
 
 
 
By
/s/ Jon W. Swets
 
 
Jon W. Swets
Chief Financial Officer



(Back To Top)

Section 2: EX-99.1 (EXHIBIT 99.1)


Exhibit 99.1



For Immediate Release
NASDAQ Stock Market:
MCBC

Macatawa Bank Corporation Reports
Second Quarter 2018 Results

HOLLAND, Mich. (July 26, 2018) – Macatawa Bank Corporation (NASDAQ: MCBC) today announced its results for the second quarter of 2018, reflecting continued strong financial performance.

·
Net income of $6.7 million in second quarter 2018 versus $4.8 million in second quarter 2017 – up 41%
·
Growth in net interest income – up 15% from second quarter 2017
·
Overhead expense increase held to 2% over second quarter 2017
·
Loan portfolio balances and bond financing to businesses up by $90.4 million (7%), from a year ago
·
Core deposit balances up by $120.5 million (8%), from a year ago
·
Asset quality metrics remained strong

Macatawa reported net income of $6.7 million, or $0.20 per diluted share, in the second quarter 2018 compared to $4.8 million, or $0.14 per diluted share, in the second quarter 2017.  For the first six months of 2018, Macatawa reported net income of $12.5 million, or $0.37 per diluted share, compared to $9.2 million, or $0.27 per diluted share, for the same period in 2017.  Macatawa’s 2018 earnings were positively impacted by continued earning asset growth, net interest margin improvement and a lower corporate federal income tax rate, due to tax reform enacted at the end of 2017.

"Macatawa Bank Corporation achieved consistent and profitable growth in the second quarter of 2018.  Trends noted in the first quarter continued and strengthened into the second quarter of 2018,” said Ronald L. Haan, President and CEO of the Company.  “Revenue growth, primarily higher net interest income, along with a reduction in the federal corporate income tax rate and continued expense management resulted in a 41 percent increase in net income compared to the second quarter of 2017.  Continued growth in our balances of loans and bond financing to businesses, along with increases in market interest rates have positively affected our net interest income.  While net interest income grew by 15 percent, our core operating expenses, excluding problem asset costs, increased by only 2 percent.”

Mr. Haan concluded:  "Our commitment to providing excellent service while operating a well-disciplined company continues to produce strong and consistent financial performance for our shareholders.  While our service quality standards have resulted in additional business and revenue from our customers, our credit quality and expense discipline continue to allow more of that revenue to drop to the bottom line.  These results demonstrate that Macatawa Bank Corporation remains well-positioned for continued growth and success in the second half of 2018.”


Macatawa Bank Corporation 2Q Results / page 2 of 5

Operating Results
Net interest income for the second quarter 2018 totaled $14.7 million, an increase of $471,000 from the first quarter 2018 and an increase of $1.9 million from the second quarter 2017.  Net interest margin was 3.37 percent, up 3 basis points from the first quarter 2018, and up 13 basis points from the second quarter 2017.

Average interest earning assets for the second quarter 2018 increased $26.3 million from the first quarter 2018 and were up $162.1 million from the second quarter 2017.  This growth along with increases in yields on interest earning assets were the primary contributors to the improvement in net interest income.

Non-interest income increased $336,000 in the second quarter 2018 compared to the first quarter 2018 and decreased $10,000 from the second quarter 2017.  These changes were largely due to fluctuations in gains on sales of mortgage loans.  Gains on sales of mortgage loans in the second quarter 2018 were up $81,000 compared to the first quarter 2018 and down $254,000 from the second quarter 2017.  While overall mortgage volume was down in the second quarter 2018 compared to the second quarter 2017, the reduction in gains was also significantly impacted by the Bank holding more of 2018 production in portfolio.  The Bank originated $18.8 million in portfolio mortgage loans in the second quarter 2018 compared to $16.1 million in the first quarter 2018 and $12.2 million in the second quarter 2017.  The Bank originated $8.4 million in mortgage loans for sale in the second quarter 2018 compared to $5.1 million in the first quarter 2018 and $16.8 million in the second quarter 2017.  Also positively impacting non-interest income in the second quarter 2018 was a $135,000 increase in debit card and interchange income compared to the first quarter 2018 and an increase of $75,000 compared to the second quarter 2017.

Non-interest expense was $11.3 million for the second quarter 2018, compared to $11.4 million for the first quarter 2018 and $10.8 million for the second quarter 2017.  The largest component of non-interest expense was salaries and benefit expenses.  Salaries and benefit expenses were up $195,000 compared to the first quarter 2018 and were up $236,000 compared to the second quarter 2017.  The increase compared to the first quarter 2018 and the second quarter 2017 was due to annual performance-related increases in salaries, partially offset by lower variable based compensation from mortgage production volume.

Nonperforming asset expenses decreased $378,000 compared to the first quarter 2018 and increased $241,000 compared to the second quarter 2017.  The second quarter 2017 total was unusually low due to net gains on sales of foreclosed properties of $321,000, while net losses were incurred on sales in the second quarter 2018 and first quarter 2018.  Additionally, writedowns on other real estate totaled $11,000 in the second quarter 2018 compared to $280,000 in first quarter 2018 and $21,000 in second quarter 2017.  Other categories of non-interest expense were relatively flat compared to the first quarter 2018 and the second quarter 2017.

On December 22, 2017, “H.R.1”, formerly known as the “Tax Cuts and Jobs Act”, was signed into law.  This new tax law, among other items, reduced the Company’s federal corporate tax rate from 35 percent to 21 percent effective January 1, 2018. Since the enactment took place in December 2017, the Company revalued downward its net deferred tax assets in its reporting periods ended December 31, 2017 resulting in a $2.5 million increase to federal income tax expense in the fourth quarter 2017.


Macatawa Bank Corporation 2Q Results / page 3 of 5

Federal income tax expense was $1.4 million for the second quarter 2018 compared to $1.2 million for the first quarter 2018 and $2.1 million for the second quarter 2017.  The effective tax rate was 17.6 percent for the second quarter 2018, compared to 17.6 percent for the first quarter 2018 and 30.9 percent for the second quarter 2017.  The effective tax rate in the first and second quarters of 2018 reflect the impact of the lower federal corporate tax rates from the enactment of the Tax Cuts and Jobs Act at the end of 2017.

Asset Quality
As a result of the consistent improvements in nonperforming loans and past due loans over the past several quarters, the continued low historical loan loss ratios, and net loan recoveries experienced in the second quarter 2018, a negative provision for loan losses of $300,000 was recorded in the second quarter 2018.  Net loan recoveries for the second quarter 2018 were $320,000, compared to first quarter 2018 net loan recoveries of $175,000 and second quarter 2017 net loan recoveries of $374,000.  The Company has experienced net loan recoveries in each of the past fourteen quarters. Total loans past due on payments by 30 days or more amounted to $525,000 at June 30, 2018, down 47 percent from $995,000 at December 31, 2017 and down 36 percent from $815,000 at June 30, 2017.  Delinquency as a percentage of total loans was 0.04 percent at June 30, 2018.

The allowance for loan losses of $16.7 million was 1.26 percent of total loans at June 30, 2018, compared to 1.26 percent of total loans at December 31, 2017, and 1.32 percent at June 30, 2017.  The coverage ratio of allowance for loan losses to nonperforming loans continued to be strong and significantly exceeded 1-to-1 coverage at 134-to-1 as of June 30, 2018.

At June 30, 2018, the Company's nonperforming loans had declined to $125,000, representing 0.01 percent of total loans.  This compares to $395,000 (0.03 percent of total loans) at December 31, 2017 and $670,000 (0.05 percent of total loans) at June 30, 2017.  Other real estate owned and repossessed assets were $3.9 million at June 30, 2018, compared to $5.8 million at December 31, 2017 and $7.1 million at June 30, 2017. Total nonperforming assets, including other real estate owned and nonperforming loans, have decreased by $3.8 million, or 49 percent, from June 30, 2017 to June 30, 2018.

A break-down of non-performing loans is shown in the table below.

Dollars in 000s
 
Jun 30,
2018
   
Mar 31,
2018
   
Dec 31,
2017
   
Sept 30,
2017
   
Jun 30,
2017
 
                               
Commercial Real Estate
 
$
121
   
$
121
   
$
385
   
$
440
   
$
436
 
Commercial and Industrial
   
2
     
201
     
4
     
4
     
6
 
Total Commercial Loans
   
123
     
322
     
389
     
444
     
442
 
Residential Mortgage Loans
   
2
     
2
     
2
     
58
     
206
 
Consumer Loans
   
---
     
---
     
4
     
19
     
22
 
Total Non-Performing Loans
 
$
125
   
$
324
   
$
395
   
$
521
   
$
670
 


Macatawa Bank Corporation 2Q Results / page 4 of 5

Total non-performing assets were $4.0 million, or 0.21 percent of total assets, at June 30, 2018.  A break-down of non-performing assets is shown in the table below.

Dollars in 000s
 
Jun 30,
2018
   
Mar 31,
2018
   
Dec 31,
2017
   
Sept 30,
2017
   
Jun 30,
2017
 
                               
Non-Performing Loans
 
$
125
   
$
324
   
$
395
   
$
521
   
$
670
 
Other Repossessed Assets
   
---
     
---
     
11
     
---
     
---
 
Other Real Estate Owned
   
3,872
     
5,223
     
5,767
     
6,661
     
7,097
 
Total Non-Performing Assets
 
$
3,997
   
$
5,547
   
$
6,173
   
$
7,182
   
$
7,767
 

Balance Sheet, Liquidity and Capital
Total assets were $1.87 billion at June 30, 2018, an increase of $8.8 million from $1.86 billion at March 31, 2018 and an increase of $113.5 million from $1.76 billion at June 30, 2017.  Total loans were $1.33 billion at June 30, 2018, an increase of $2.1 million from $1.33 billion at March 31, 2018 and an increase of $76.3 million from $1.25 billion at June 30, 2017.

Commercial loans increased by $55.7 million from June 30, 2017 to June 30, 2018, along with an increase of $25.7 million in our residential mortgage portfolio, partially offset by a decrease of $5.1 million in our consumer loan portfolio.  Commercial real estate loans increased by $32.5 million while commercial and industrial loans increased by $23.3 million during the same period.

The composition of the commercial loan portfolio is shown in the table below:

Dollars in 000s
 
Jun 30,
2018
   
Mar 31,
2018
   
Dec 31,
2017
   
Sept 30,
2017
   
Jun 30,
2017
 
                               
Construction and Development
 
$
85,193
   
$
81,948
   
$
92,241
   
$
84,659
   
$
82,317
 
Other Commercial Real Estate
   
461,808
     
447,922
     
449,694
     
445,703
     
432,223
 
Commercial Loans Secured by Real Estate
   
547,001
     
529,870
     
541,935
     
530,362
     
514,540
 
Commercial and Industrial
   
458,468
     
477,088
     
465,208
     
418,838
     
435,218
 
Total Commercial Loans
 
$
1,005,469
   
$
1,006,958
   
$
1,007,143
   
$
949,200
   
$
949,758
 

Bond financing to commercial customers increased by $14.1 million from June 30, 2017 to June 30, 2018.  This financing combined with the loan portfolio led to a total growth rate of 7 percent from June 30, 2017 to June 30, 2018.

Total deposits were $1.58 billion at June 30, 2018, up $19.6 million from $1.56 billion at March 31, 2018 and were up $120.5 million, or 8 percent, from $1.46 billion at June 30, 2017.  Demand deposits, money market deposits, savings deposits and certificates of deposit were all up in the second quarter 2018 compared to March 31, 2018 and June 30, 2017.  The Bank continues to be successful at attracting and retaining core deposit customers.  Customer deposit accounts remain insured to the highest levels available under FDIC deposit insurance.


Macatawa Bank Corporation 2Q Results / page 5 of 5

The Bank's risk-based regulatory capital ratios were higher at June 30, 2018 compared to March 31, 2018 and June 30, 2017 due to earnings growth, and continue to be at levels comfortably above those required to be categorized as “well capitalized” under applicable regulatory capital guidelines.  As such, the Bank was categorized as "well capitalized" at June 30, 2018.

About Macatawa Bank
Headquartered in Holland, Mich., Macatawa Bank offers a full range of banking, retail and commercial lending, wealth management and ecommerce services to individuals, businesses and governmental entities from a network of 26 full-service branches located throughout communities in Kent, Ottawa and northern Allegan counties.  The bank is recognized for its local management team and decision making, along with providing customers excellent service, a rewarding experience and superior financial products. Macatawa Bank has been recognized for the past eight consecutive years as one of “West Michigan’s 101 Best and Brightest Companies to Work For”. For more information, visit www.macatawabank.com.

CAUTIONARY STATEMENT:  This press release contains forward-looking statements that are based on management's current beliefs, expectations, assumptions, estimates, plans and intentions.  Forward-looking statements are identifiable by words or phrases such as “anticipates,” "believe," "expect," "may," "should," "will," ”intend,” "continue," "improving," "additional," "focus," "forward," "future," "efforts," "strategy," "momentum," "positioned," and other similar words or phrases.  Such statements are based upon current beliefs and expectations and involve substantial risks and uncertainties which could cause actual results to differ materially from those expressed or implied by such forward-looking statements.  These statements include, among others, statements related to trends in our key operating metrics and financial performance, future levels of earnings and profitability, future levels of earning assets, future asset quality, future growth, and future net interest margin.  All statements with references to future time periods are forward-looking.  Management's determination of the provision and allowance for loan losses, the appropriate carrying value of intangible assets (including deferred tax assets) and other real estate owned and the fair value of investment securities (including whether any impairment on any investment security is temporary or other-than-temporary and the amount of any impairment) involves judgments that are inherently forward-looking. Our ability to sell other real estate owned at its carrying value or at all, reduce non-performing asset expenses, utilize our deferred tax asset, reduce future tax liabilities, successfully implement new programs and initiatives, increase efficiencies, maintain our current level of deposits and other sources of funding, maintain liquidity, respond to declines in collateral values and credit quality, improve profitability, and produce consistent core earnings is not entirely within our control and is not assured.  The future effect of changes in the real estate, financial and credit markets and the national and regional economy on the banking industry, generally, and Macatawa Bank Corporation, specifically, are also inherently uncertain.  These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions ("risk factors") that are difficult to predict with regard to timing, extent, likelihood and degree of occurrence.  Therefore, actual results and outcomes may materially differ from what may be expressed in or implied by such forward-looking statements. Macatawa Bank Corporation does not undertake to update forward-looking statements to reflect the impact of circumstances or events that may arise after the date of the forward-looking statements.

Risk factors include, but are not limited to, the risk factors described in "Item 1A - Risk Factors" of our Annual Report on Form 10-K for the year ended December 31, 2017.  These and other factors are representative of the risk factors that may emerge and could cause a difference between an ultimate actual outcome and a preceding forward-looking statement.


MACATAWA BANK CORPORATION
CONSOLIDATED FINANCIAL SUMMARY
(Unaudited)
(Dollars in thousands except per share information)


   
Quarterly
   
Six Months Ended
 
   
2nd Qtr
   
1st Qtr
   
2nd Qtr
   
June 30
 
EARNINGS SUMMARY
 
2018
   
2018
   
2017
   
2018
   
2017
 
Total interest income
 
$
16,836
   
$
16,019
   
$
14,042
   
$
32,855
   
$
27,890
 
Total interest expense
   
2,183
     
1,837
     
1,337
     
4,019
     
2,602
 
Net interest income
   
14,653
     
14,182
     
12,705
     
28,836
     
25,288
 
Provision for loan losses
   
(300
)
   
(100
)
   
(500
)
   
(400
)
   
(1,000
)
Net interest income after provision for loan losses
   
14,953
     
14,282
     
13,205
     
29,236
     
26,288
 
                                         
NON-INTEREST INCOME
                                       
Deposit service charges
   
1,060
     
1,049
     
1,110
     
2,110
     
2,170
 
Net gains on mortgage loans
   
222
     
141
     
476
     
363
     
904
 
Trust fees
   
945
     
925
     
833
     
1,870
     
1,611
 
Other
   
2,241
     
2,017
     
2,059
     
4,256
     
4,024
 
Total non-interest income
   
4,468
     
4,132
     
4,478
     
8,599
     
8,709
 
                                         
NON-INTEREST EXPENSE
                                       
Salaries and benefits
   
6,389
     
6,194
     
6,153
     
12,583
     
12,152
 
Occupancy
   
973
     
1,072
     
991
     
2,045
     
2,017
 
Furniture and equipment
   
773
     
805
     
750
     
1,578
     
1,482
 
FDIC assessment
   
132
     
132
     
134
     
264
     
270
 
Problem asset costs, including losses and (gains)
   
83
     
461
     
(158
)
   
544
     
(63
)
Other
   
2,909
     
2,770
     
2,922
     
5,679
     
5,821
 
Total non-interest expense
   
11,259
     
11,434
     
10,792
     
22,693
     
21,679
 
Income before income tax
   
8,162
     
6,980
     
6,891
     
15,142
     
13,318
 
Income tax expense
   
1,434
     
1,225
     
2,129
     
2,659
     
4,095
 
Net income
 
$
6,728
   
$
5,755
   
$
4,762
   
$
12,483
   
$
9,223
 
                                         
Basic earnings per common share
 
$
0.20
   
$
0.17
   
$
0.14
   
$
0.37
   
$
0.27
 
Diluted earnings per common share
 
$
0.20
   
$
0.17
   
$
0.14
   
$
0.37
   
$
0.27
 
Return on average assets
   
1.44
%
   
1.25
%
   
1.11
%
   
1.34
%
   
1.08
%
Return on average equity
   
15.23
%
   
13.24
%
   
11.32
%
   
14.24
%
   
11.09
%
Net interest margin (fully taxable equivalent)
   
3.37
%
   
3.34
%
   
3.24
%
   
3.35
%
   
3.25
%
Efficiency ratio
   
58.88
%
   
62.43
%
   
62.81
%
   
60.62
%
   
63.77
%

BALANCE SHEET DATA
 
June 30
   
March 31
   
June 30
 
Assets
 
2018
   
2018
   
2017
 
Cash and due from banks
 
$
37,105
   
$
26,954
   
$
31,165
 
Federal funds sold and other short-term investments
   
107,416
     
103,898
     
114,104
 
Debt securities available for sale
   
218,770
     
214,269
     
183,283
 
Debt securities held to maturity
   
79,569
     
90,513
     
68,818
 
Federal Home Loan Bank Stock
   
11,558
     
11,558
     
11,558
 
Loans held for sale
   
61
     
-
     
3,184
 
Total loans
   
1,327,686
     
1,325,545
     
1,251,355
 
Less allowance for loan loss
   
16,695
     
16,675
     
16,570
 
Net loans
   
1,310,991
     
1,308,870
     
1,234,785
 
Premises and equipment, net
   
45,907
     
46,110
     
48,626
 
Bank-owned life insurance
   
40,744
     
40,494
     
39,781
 
Other real estate owned
   
3,872
     
5,223
     
7,097
 
Other assets
   
16,548
     
15,891
     
16,662
 
                         
Total Assets
 
$
1,872,541
   
$
1,863,780
   
$
1,759,063
 
                         
Liabilities and Shareholders' Equity
                       
Noninterest-bearing deposits
 
$
496,605
   
$
453,993
   
$
481,769
 
Interest-bearing deposits
   
1,083,856
     
1,106,879
     
978,221
 
Total deposits
   
1,580,461
     
1,560,872
     
1,459,990
 
Other borrowed funds
   
65,667
     
80,667
     
82,785
 
Long-term debt
   
41,238
     
41,238
     
41,238
 
Other liabilities
   
5,461
     
5,627
     
4,875
 
Total Liabilities
   
1,692,827
     
1,688,404
     
1,588,888
 
                         
Shareholders' equity
   
179,714
     
175,376
     
170,175
 
                         
Total Liabilities and Shareholders' Equity
 
$
1,872,541
   
$
1,863,780
   
$
1,759,063
 


MACATAWA BANK CORPORATION
SELECTED CONSOLIDATED FINANCIAL DATA
(Unaudited)
(Dollars in thousands except per share information)


   
Quarterly
   
Year to Date
 
                                           
     
2nd Qtr
2018
     
1st Qtr
2018
     
4th Qtr
2017
     
3rd Qtr
2017
     
2nd Qtr
2017
       
2018
       
2017
  
EARNINGS SUMMARY
                                         
Net interest income
 
$
14,653
   
$
14,182
   
$
13,517
   
$
13,138
   
$
12,705
   
$
28,836
   
$
25,288
 
Provision for loan losses
   
(300
)
   
(100
)
   
-
     
(350
)
   
(500
)
   
(400
)
   
(1,000
)
Total non-interest income
   
4,468
     
4,132
     
4,410
     
4,300
     
4,478
     
8,599
     
8,709
 
Total non-interest expense
   
11,259
     
11,434
     
11,253
     
10,756
     
10,792
     
22,693
     
21,679
 
Federal income tax expense
   
1,434
     
1,225
     
4,480
     
2,157
     
2,129
     
2,659
     
4,095
 
Net income
 
$
6,728
   
$
5,755
   
$
2,194
   
$
4,875
   
$
4,762
   
$
12,483
   
$
9,223
 
                                                         
Basic earnings per common share
 
$
0.20
   
$
0.17
   
$
0.06
   
$
0.14
   
$
0.14
   
$
0.37
   
$
0.27
 
Diluted earnings per common share
 
$
0.20
   
$
0.17
   
$
0.06
   
$
0.14
   
$
0.14
   
$
0.37
   
$
0.27
 
                                                         
MARKET DATA
                                                       
Book value per common share
 
$
5.28
   
$
5.16
   
$
5.10
   
$
5.11
   
$
5.01
   
$
5.28
   
$
5.01
 
Tangible book value per common share
 
$
5.28
   
$
5.16
   
$
5.10
   
$
5.11
   
$
5.01
   
$
5.28
   
$
5.01
 
Market value per common share
 
$
12.14
   
$
10.27
   
$
10.00
   
$
10.26
   
$
9.54
   
$
12.14
   
$
9.54
 
Average basic common shares
   
34,016,679
     
34,010,396
     
33,958,992
     
33,942,248
     
33,942,318
     
34,013,555
     
33,941,668
 
Average diluted common shares
   
34,016,679
     
34,011,592
     
33,965,344
     
33,947,269
     
33,948,127
     
34,014,152
     
33,948,371
 
Period end common shares
   
34,014,319
     
34,017,525
     
33,972,977
     
33,941,953
     
33,938,486
     
34,014,319
     
33,938,486
 
                                                         
PERFORMANCE RATIOS
                                                       
Return on average assets
   
1.44
%
   
1.25
%
   
0.49
%
   
1.10
%
   
1.11
%
   
1.34
%
   
1.08
%
Return on average equity
   
15.23
%
   
13.24
%
   
5.03
%
   
11.34
%
   
11.32
%
   
14.24
%
   
11.09
%
Net interest margin (fully taxable equivalent)
   
3.37
%
   
3.34
%
   
3.25
%
   
3.21
%
   
3.24
%
   
3.35
%
   
3.25
%
Efficiency ratio
   
58.88
%
   
62.43
%
   
62.77
%
   
61.68
%
   
62.81
%
   
60.62
%
   
63.77
%
Full-time equivalent employees (period end)
   
339
     
332
     
340
     
343
     
344
     
339
     
344
 
                                                         
ASSET QUALITY
                                                       
Gross charge-offs
 
$
30
   
$
97
   
$
45
   
$
55
   
$
139
   
$
126
   
$
165
 
Net charge-offs/(recoveries)
 
$
(320
)
 
$
(175
)
 
$
(166
)
 
$
(214
)
 
$
(374
)
 
$
(495
)
 
$
(608
)
Net charge-offs to average loans (annualized)
   
-0.10
%
   
-0.05
%
   
-0.05
%
   
-0.07
%
   
-0.12
%
   
-0.07
%
   
-0.10
%
Nonperforming loans
 
$
125
   
$
324
   
$
395
   
$
521
   
$
670
   
$
125
   
$
670
 
Other real estate and repossessed assets
 
$
3,872
   
$
5,223
   
$
5,778
   
$
6,661
   
$
7,097
   
$
3,872
   
$
7,097
 
Nonperforming loans to total loans
   
0.01
%
   
0.02
%
   
0.03
%
   
0.04
%
   
0.05
%
   
0.01
%
   
0.05
%
Nonperforming assets to total assets
   
0.21
%
   
0.30
%
   
0.33
%
   
0.40
%
   
0.44
%
   
0.21
%
   
0.44
%
Allowance for loan losses
 
$
16,695
   
$
16,675
   
$
16,600
   
$
16,434
   
$
16,570
   
$
16,695
   
$
16,570
 
Allowance for loan losses to total loans
   
1.26
%
   
1.26
%
   
1.26
%
   
1.30
%
   
1.32
%
   
1.26
%
   
1.32
%
Allowance for loan losses to nonperforming loans
   
13356.00
%
   
5146.60
%
   
4202.53
%
   
3154.32
%
   
2473.13
%
   
13356.00
%
   
2473.13
%
                                                         
CAPITAL
                                                       
Average equity to average assets
   
9.44
%
   
9.42
%
   
9.68
%
   
9.69
%
   
9.76
%
   
9.44
%
   
9.76
%
Common equity tier 1 to risk weighted assets (Consolidated)
   
11.83
%
   
11.67
%
   
11.31
%
   
11.70
%
   
11.60
%
   
11.83
%
   
11.60
%
Tier 1 capital to average assets (Consolidated)
   
11.91
%
   
11.83
%
   
11.88
%
   
12.04
%
   
12.21
%
   
11.91
%
   
12.21
%
Total capital to risk-weighted assets (Consolidated)
   
15.49
%
   
15.36
%
   
14.99
%
   
15.50
%
   
15.45
%
   
15.49
%
   
15.45
%
Common equity tier 1 to risk weighted assets (Bank)
   
14.01
%
   
13.87
%
   
13.54
%
   
13.99
%
   
13.89
%
   
14.01
%
   
13.89
%
Tier 1 capital to average assets (Bank)
   
11.58
%
   
11.50
%
   
11.56
%
   
11.72
%
   
11.87
%
   
11.58
%
   
11.87
%
Total capital to risk-weighted assets (Bank)
   
15.09
%
   
14.96
%
   
14.62
%
   
15.10
%
   
15.02
%
   
15.09
%
   
15.02
%
Tangible common equity to assets
   
9.60
%
   
9.42
%
   
9.15
%
   
9.63
%
   
9.70
%
   
9.60
%
   
9.70
%

                                                       
END OF PERIOD BALANCES
                                                       
Total portfolio loans
 
$
1,327,686
   
$
1,325,545
   
$
1,320,309
   
$
1,260,037
   
$
1,251,355
   
$
1,327,686
   
$
1,251,355
 
Earning assets
   
1,751,167
     
1,751,315
     
1,767,752
     
1,680,458
     
1,633,383
     
1,751,167
     
1,633,383
 
Total assets
   
1,872,541
     
1,863,780
     
1,890,232
     
1,803,046
     
1,759,063
     
1,872,541
     
1,759,063
 
Deposits
   
1,580,461
     
1,560,872
     
1,579,010
     
1,506,178
     
1,459,990
     
1,580,461
     
1,459,990
 
Total shareholders' equity
   
179,714
     
175,376
     
172,986
     
173,464
     
170,175
     
179,714
     
170,175
 
                                                         
AVERAGE BALANCES
                                                       
Total portfolio loans
 
$
1,327,408
   
$
1,314,838
   
$
1,285,688
   
$
1,252,075
   
$
1,260,051
   
$
1,321,158
   
$
1,262,430
 
Earning assets
   
1,756,909
     
1,730,576
     
1,681,297
     
1,652,028
     
1,594,849
     
1,743,815
     
1,587,345
 
Total assets
   
1,872,559
     
1,845,911
     
1,802,386
     
1,775,302
     
1,723,575
     
1,859,309
     
1,715,156
 
Deposits
   
1,575,408
     
1,537,376
     
1,497,213
     
1,481,539
     
1,419,775
     
1,556,497
     
1,408,747
 
Total shareholders' equity
   
176,749
     
173,913
     
174,427
     
171,987
     
168,240
     
175,339
     
166,289
 



(Back To Top)