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): October 19, 2018

 

Ameris Bancorp

 

(Exact Name of Registrant as Specified in Charter)

  

Georgia 001-13901 58-1456434
(State or Other (Commission File Number) (IRS Employer
Jurisdiction of   Identification No.)
Incorporation)    

 

310 First Street, S.E., Moultrie, Georgia 31768
(Address of Principal Executive Offices) (Zip Code)

  

Registrant’s telephone number, including area code: (229) 890-1111

 

 

 

(Former Name or Former Address, if Changed Since Last Report)

 

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 (see General Instruction A.2. below):

 

¨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 2.02Results of Operations and Financial Condition.

 

On October 19, 2018, Ameris Bancorp (the “Company”) issued a press release announcing its unaudited financial results for the quarter ended September 30, 2018. A copy of that press release is attached to this Current Report on Form 8-K (this “Report”) as Exhibit 99.1.

 

The information contained in this Item 2.02 and in Exhibit 99.1 attached to this Report is being furnished and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of such section. Furthermore, such information shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.

 

Item 7.01Regulation FD Disclosure.

 

A copy of the investor presentation material that the Company will present regarding its earnings during the teleconference beginning at 10:00 a.m. Eastern time on October 19, 2018 is attached to this Report as Exhibit 99.2. The investor presentation material is also available on the “Investor Relations” page of the Company’s website (http://www.amerisbank.com).

 

The information contained in this Item 7.01 and in Exhibit 99.2 attached to this Report is being furnished and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of such section. Furthermore, such information shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.

 

Item 9.01Financial Statements and Exhibits.

 

(d)Exhibits.

 

  99.1 Press release dated October 19, 2018
  99.2 Investor Presentation dated October 19, 2018

 

SIGNATURE

 

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

 

  AMERIS BANCORP  
       
       
  By: /s/ Nicole S. Stokes  
    Nicole S. Stokes  
    Executive Vice President and Chief Financial Officer  

 

Date:  October 19, 2018

  

 

(Back To Top)

Section 2: EX-99.1 (EXHIBIT 99.1)

 

Exhibit 99.1

Ameris Bancorp Announces Record Earnings For Third Quarter 2018

JACKSONVILLE, Fla., Oct. 19, 2018 /PRNewswire/ -- Ameris Bancorp (Nasdaq: ABCB) (the "Company") today reported net income of $41.4 million, or $0.87 per diluted share, for the quarter ended September 30, 2018, compared with $20.2 million, or $0.54 per diluted share, for the quarter ended September 30, 2017. The Company reported adjusted net income of $43.3 million, or $0.91 per diluted share, for the quarter ended September 30, 2018, compared with $23.6 million, or $0.63 per diluted share, for the third quarter of 2017. Adjusted net income for the period excludes after-tax merger and conversion charges, executive retirement benefits, restructuring charges related to recently announced branch consolidations and loss on the sale of bank premises.

For the year-to-date period ending September 30, 2018, the Company reported net income of $77.5 million, or $1.85 per diluted share, compared with $64.4 million, or $1.74 per diluted share, for the same period in 2017. The Company reported adjusted net income of $100.3 million, or $2.40 per diluted share, for the nine months ended September 30, 2018, compared with $68.7 million, or $1.86 per diluted share, for the same period of 2017. Adjusted net income for the year-to-date period excludes the same items listed above for the Company's quarter-to-date results and as reflected in the table below.

Commenting on the Company's quarterly results, Dennis J. Zember, Jr., the Company's President and Chief Executive Officer, said, "We had an outstanding quarter of operating results where we saw a material move in our efficiency ratio, a stable margin, and solid deposit growth. Realizing the remaining cost savings on Hamilton and our recently announced cost saving initiatives will move our efficiency closer to 50% and have a material impact on our earnings. Our operating return on assets and return on tangible capital of 1.53% and 20.50% are already best in class before these additional drivers are fully realized and our operating strategies will deliver the earnings and book value growth that we have forecasted."

Highlights of the Company's performance and results for the third quarter of 2018 include the following:

Following is a summary of the adjustments between reported net income and adjusted net income:

Adjusted Net Income Reconciliation









Three Months Ended


Nine Months Ended


September 30,


September 30,

(dollars in thousands except per share data)

2018


2017


2018


2017

Net income available to common shareholders

$

41,444



$

20,158



$

77,491



$

64,398










Adjustment items:








Merger and conversion charges

276



92



19,502



494


Executive retirement benefits

962





6,419




Restructuring charge

229





229




Certain compliance resolution expenses



4,729





4,729


Financial impact of Hurricane Irma



410





410


Loss on sale of premises

4



91



783



956


Tax effect of  adjustment items

377



(1,863)



(4,113)



(2,306)


After-tax adjustment items

1,848



3,459



22,820



4,283










Adjusted net income

$

43,292



$

23,617



$

100,311



$

68,681










Reported net income per diluted share

$

0.87



$

0.54



$

1.85



$

1.74


Adjusted net income per diluted share

$

0.91



$

0.63



$

2.40



$

1.86










Reported return on average assets

1.47

%


1.07

%


1.12

%


1.20

%

Adjusted return on average assets

1.53

%


1.26

%


1.46

%


1.28

%









Reported return on average common equity

11.78

%


10.04

%


9.47

%


11.39

%

Adjusted return on average tangible common equity

20.50

%


14.28

%


18.47

%


14.94

%

Credit Quality
During the third quarter of 2018, the Company recorded provision for loan loss expense of $2.1 million, compared with $9.1 million in the second quarter of 2018. Credit quality in the premium finance division loan portfolio was stable and there was no unexpected additional provision expense in the third quarter, compared to the increased provision in the second quarter of 2018. As expected, credit costs returned to normal compared with quarters prior to the second quarter of 2018. Nonperforming assets as a percentage of total assets decreased seven basis points to 0.60% during the quarter. The net charge-off ratio for non-purchased loans increased 18 basis points, all of which was due to the elevated charge offs in the premium finance division, which were provided for in the second quarter of 2018.

Net Interest Income and Net Interest Margin
Net interest income on a tax-equivalent basis increased to $100.1 million in the current quarter of 2018, an increase of $31.4 million, or 45.8%, from the same quarter in 2017. The Company's net interest margin, excluding the effects of accretion income, decreased during the quarter to 3.77%, compared with 3.81% in the second quarter of 2018. Compared with the same quarter in 2017, net interest margin, excluding the effects of accretion income, has decreased by three basis points, while average earning assets grew $3.25 billion during this period.

Interest income on a tax-equivalent basis increased to $122.2 million in the current quarter of 2018, an increase of $44.1 million, or 56.4%, from the same quarter in 2017. Yields on total earning assets moved higher during the quarter to 4.78%, compared with 4.66% for the second quarter in 2018 and 4.50% in the third quarter of 2017. Yields on all loans excluding the effect of accretion increased to 4.95% in the current quarter of 2018, compared with 4.81% in the second quarter of 2018 and 4.65% in the third quarter of 2017. Accretion income in the current quarter increased to $3.7 million, compared with $2.7 million in the second quarter of 2018 and $2.7 million in the third quarter of 2017. Loan production in the banking division during the third quarter of 2018 totaled $467.5 million, with a weighted average yield of 5.51%, compared with $439.3 million and 5.46%, respectively, in the second quarter of 2018 and $409.2 million and 4.74%, respectively, in the third quarter of 2017. Loan production in the lines of business (including retail mortgage, warehouse lending, SBA and premium finance) amounted to an additional $2.0 billion during the third quarter of 2018.

Interest expense during the third quarter of 2018 moved higher to $22.1 million, compared with $13.9 million in the second quarter of 2018 and $9.5 million in the third quarter of 2017. The Company's total cost of funds moved 15 basis points higher to 0.90% in the third quarter of 2018 as compared with the second quarter of 2018. Deposit costs increased 22 basis points during the third quarter of 2018 to 0.69%, compared with 0.47% in the second quarter of 2018. Costs of interest-bearing deposits increased during the quarter from 0.67% in the second quarter of 2018 to 0.93% in the third quarter, with approximately 12 basis points of this increase relating to the increase in brokered funds.

Non-interest Income
Non-interest income in the third quarter of 2018 was $30.2 million, an increase of $3.2 million, or 11.7%, compared with the same quarter in 2017. Service charge revenue increased $2.2 million, or 20.5%, in the third quarter of 2018, as compared with the same period of 2017, due to the Company's recently completed acquisitions.

Revenue in the retail mortgage group totaled $17.6 million in the third quarter of 2018, an increase of 6.8% compared with $16.5 million in the third quarter of 2017. Total production in the third quarter of 2018 for the retail mortgage group amounted to $479.1 million (87% purchase and 13% refinance), compared with $401.7 million in the same quarter of 2017 (89% purchase and 11% refinance). Gain on sale spreads improved in the third quarter, moving to 3.00% from 2.94% in the second quarter. The Company's open pipeline at the end of the third quarter of 2018 was $162.4 million, compared with $228.7 million at June 30, 2018 and $158.4 million at the end of the third quarter of 2017.

The Company's warehouse lending group continued to increase its profitability, as revenues from the division increased by $854,000, or 40.3%, during the third quarter of 2018, compared with the same period in 2017. Net income for the division increased 94.0% from $1.1 million in the third quarter of 2017 to $2.2 million in the third quarter of 2018. Loan production increased from $957.3 million in the third quarter of 2017 to approximately $1.22 billion in the current quarter.

Revenues from the Company's SBA division were $2.5 million during the third quarter of 2018, compared with $2.1 million during the third quarter of 2017, and net income for the division increased 62.8% from $734,000 for the third quarter of 2017 to $1.2 million for the third quarter of 2018. The open pipeline increased to $99.5 million at the end of the quarter, compared with $56.0 million at the same time last year.

Non-interest Expense
Non-interest expense totaled $72.4 million in the third quarter of 2018, a decrease of $14.0 million compared with $86.4 million in the second quarter of 2018. During the third quarter of 2018, the Company recorded $276,000 of merger and conversion charges, $962,000 of expense related to executive retirement, $229,000 of restructuring charges related to the Company's recently announced branch consolidation plan and $4,000 of loss on sale of bank premises, compared with $18.4 million of merger and conversion charges, $5.5 million of expense related to executive retirement and $196,000 of loss on sale of bank premises recorded in the second quarter of 2018. Excluding these charges, operating expenses increased approximately $8.5 million, or 13.7%, to $70.9 million in the third quarter of 2018, up from $62.3 million in the second quarter of 2018. Substantially all of the increase in operating expenses related to additional compensation and occupancy costs associated with the acquisitions of Atlantic Coast Financial Corporation ("Atlantic") and Hamilton State Bancshares, Inc. ("Hamilton") during the second quarter of 2018.

The Company continues to focus on improving its operating efficiency ratio. During the third quarter of 2018, the Company's adjusted efficiency ratio declined to 54.42%, compared with 57.53% in the second quarter of 2018. Management expects to continue improving efficiency in future quarters as a result of the recently completed acquisitions of Atlantic and Hamilton, as well as from the recently announced cost savings strategies and branch consolidation plan. Atlantic was fully integrated and cost savings were realized in the third quarter of 2018, while Hamilton was not fully integrated until early October 2018, with full cost savings benefits expected to be realized beginning in the fourth quarter of 2018. The Company's additional branch consolidation and cost saving initiatives will take effect the first quarter of 2019.

Exclusive of the executive retirement expense in each quarter, salaries and benefits increased $3.2 million during the third quarter of 2018 to $37.5 million, from $34.3 million in the second quarter of 2018. The increase is attributable to $4.8 million of additional salary expense from the acquisitions, offset by decreased expense in the retail mortgage division and reduced incentive and commission accruals based on production. Management anticipates decreases in salary expense in the fourth quarter of 2018, when the full benefit of cost savings from the Hamilton acquisition and data conversion will become effective.

Occupancy costs increased 34.6% from $6.4 million in the second quarter of 2018 to $8.6 million in the third quarter of 2018, and data processing increased 32.3% from $6.4 million in the second quarter of 2018 to $8.5 million in the third quarter of 2018. Both of these increases were directly attributable to the increased number of branches from the Hamilton acquisition, which was acquired the last business day of the second quarter of 2018. Other operating costs increased by only $301,000, or 2.8%, to $11.1 million in the third quarter of 2018, primarily as a result of expenses from the increased branch network, offset by re-engineering efforts in the administrative and support cost centers.

Total credit costs (including provision and non-provision credit resolution-related costs) totaled $3.3 million in the third quarter of 2018, compared with $3.1 million in the same quarter in 2017 and $10.2 million in the second quarter of 2018.

Income Tax Expense
The Company's effective tax rate for the third quarter of 2018 was 24.3%, compared with 20.5% in the second quarter of 2018 and 28.8% during the third quarter of 2017. The Company's effective tax rate for the nine months ended September 30, 2018 was 23.2% and management expects that its effective tax rates in the future will be consistent with the year-to-date blended rate of 22% to 24%. The decrease in effective tax rates in 2018, compared with 2017, is a result of the Tax Cuts and Jobs Act that was enacted in the fourth quarter of 2017.

Balance Sheet Trends
Total assets at September 30, 2018 were $11.43 billion, compared with $7.86 billion at December 31, 2017. Loans, including loans held for sale, totaled $8.66 billion at September 30, 2018, compared with $6.24 billion at December 31, 2017 and $8.63 billion at June 30, 2018. Excluding the effects of recent acquisitions, growth in core loans (including legacy and purchased non-covered loans) during the quarter amounted to $68.5 million, or 3.4% on an annualized basis, and amounted to $490.3 million, or 11.5%, for the year-to-date period. Net loan growth slowed in the third quarter due to the negative impact of early paydowns while production remained strong, increasing by over 14% as compared with the third quarter of 2017. The growth in legacy loans was realized in commercial real estate, residential real estate and consumer installment loans, while the commercial and industrial and agriculture and real estate construction and development categories both declined during the quarter. Loans held for sale, which includes both residential mortgage and SBA-guaranteed loans, decreased $7.1 million during the third quarter of 2018. The Company's efforts to manage a diversified loan portfolio have resulted in concentration levels that are solidly below applicable regulatory guidance.

Investment securities at the end of the third quarter of 2018 were $1.20 billion, or 11.6% of earning assets, compared with $853.1 million, or 11.7% of earning assets, at December 31, 2017.

At September 30, 2018, total deposits amounted to $9.18 billion, or 92.4% of total funding, compared with $6.63 billion and 94.8%, respectively, at December 31, 2017. Compared with the same period in 2017, deposits have increased by $3.29 billion, or 55.7%. Excluding the recently completed acquisitions, deposits increased $191.1 million, or 11.1%. Non-interest bearing deposits at the end of the current quarter were $2.33 billion, or 25.4% of total deposits, compared with $1.78 billion, or 26.8%, at December 31, 2017. Non-rate sensitive deposits (including non-interest bearing, NOW and savings) totaled $4.35 billion at September 30, 2018, compared with $3.52 billion at the end of 2017. These funds represented 47.4% of the Company's total deposits at September 30, 2018, compared with 53.1% at the end of 2017.

Shareholders' equity at September 30, 2018 totaled $1.40 billion, compared with $804.5 million at December 31, 2017. The increase in shareholders' equity resulted from the issuance of new shares of common stock in the Company's acquisitions of Atlantic, Hamilton and US Premium Finance Holding Company, plus earnings of $77.5 million during the year. Tangible book value per share at September 30, 2018 was $17.78, compared with $17.12 per share at June 30, 2018.

Conference Call
The Company will host a teleconference at 10:00 a.m. Eastern time today (October 19, 2018) to discuss the Company's results and answer appropriate questions. The conference call can be accessed by dialing 1-877-504-1190 (or 1-855-669-9657 for participants in Canada and 1-412-902-6630 for other international participants). The conference ID name is Ameris Bancorp ABCB. A replay of the call will be available one hour after the end of the conference call until November 2, 2018. To listen to the replay, dial 1-877-344-7529 (or 1-855-669-9658 for participants in Canada and 1-412-317-0088 for other international participants). The conference replay access code is 10124934. The conference call replay and the financial information discussed will also be available on the Investor Relations page of the Ameris Bank website at www.amerisbank.com.

About Ameris Bancorp
Ameris Bancorp is a bank holding company headquartered in Moultrie, Georgia. The Company's banking subsidiary, Ameris Bank, had 125 locations in Georgia, Alabama, northern Florida and South Carolina at the end of the most recent quarter.

This news release contains certain performance measures determined by methods other than in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Management of Ameris Bancorp (the "Company") uses these non-GAAP measures in its analysis of the Company's performance. These measures are useful when evaluating the underlying performance and efficiency of the Company's operations and balance sheet. The Company's management believes that these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results with prior periods and demonstrate the effects of significant gains and charges in the current period. The Company's management believes that investors may use these non-GAAP financial measures to evaluate the Company's financial performance without the impact of unusual items that may obscure trends in the Company's underlying performance. These disclosures should not be viewed as a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

This news release contains statements that constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The words "believe", "estimate", "expect", "intend", "anticipate" and similar expressions and variations thereof identify certain of such forward-looking statements, which speak only as of the dates on which they were made. The forward-looking statements in this news release are based on current expectations and are provided to assist in the understanding of potential future performance. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those indicated in the forward-looking statements as a result of various factors, including, without limitation, the following: general competitive, economic, political and market conditions and fluctuations, including, without limitation, movements in interest rates; competitive pressures on product pricing and services; the businesses of the Company and Hamilton may not be integrated successfully or such integration may take longer to accomplish than expected; the expected cost savings and any revenue synergies from the merger transactions may not be fully realized within the expected timeframes; disruption from the merger transactions may make it more difficult to maintain relationships with customers, employees or others; diversion of management time to merger-related issues; and the success and timing of other business strategies. For a discussion of some of the other risks and other factors that may cause such forward-looking statements to differ materially from actual results, please refer to the Company's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2017 and subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.


AMERIS BANCORP AND SUBSIDIARIES

FINANCIAL TABLES


Financial Highlights



Table 1


Three Months Ended


Nine Months Ended


Sep


Jun


Mar


Dec


Sep


Sep


Sep

(dollars in thousands except per share data)

2018


2018


2018


2017


2017


2018


2017















EARNINGS














Net income

$

41,444



$

9,387



$

26,660



$

9,150



$

20,158



$

77,491



$

64,398


Adjusted net income

$

43,292



$

29,239



$

27,780



$

23,590



$

23,617



$

100,311



$

68,681
















COMMON SHARE DATA














Earnings per share available to common

shareholders














Basic

$

0.87



$

0.24



$

0.70



$

0.25



$

0.54



$

1.86



$

1.76


Diluted

$

0.87



$

0.24



$

0.70



$

0.24



$

0.54



$

1.85



$

1.74


Adjusted Diluted EPS

$

0.91



$

0.74



$

0.73



$

0.63



$

0.63



$

2.40



$

1.86


Cash dividends per share

$

0.10



$

0.10



$

0.10



$

0.10



$

0.10



$

0.30



$

0.30


Book value per share (period end)

$

29.58



$

28.87



$

22.67



$

21.59



$

21.54



$

29.58



$

21.54


Tangible book value per share (period end)

$

17.78



$

17.12



$

16.90



$

17.86



$

17.78



$

17.78



$

17.78


Weighted average number of shares














Basic

47,514,653



39,432,021



37,966,781



37,238,564



37,225,418



41,672,792



36,689,934


Diluted

47,685,334



39,709,503



38,250,122



37,556,335



37,552,667



41,844,900



37,017,486


Period end number of shares

47,496,966



47,518,662



38,327,081



37,260,012



37,231,049



47,496,966



37,231,049


Market data














High intraday price

$

54.35



$

58.10



$

59.05



$

51.30



$

51.28



$

59.05



$

51.28


Low intraday price

$

45.15



$

50.20



$

47.90



$

44.75



$

41.05



$

45.15



$

41.05


Period end closing price

$

45.70



$

53.35



$

52.90



$

48.20



$

48.00



$

45.70



$

48.00


Average daily volume

382,622



253,413



235,964



206,178



168,911



291,061



193,555
















PERFORMANCE RATIOS














Return on average assets

1.47

%


0.44

%


1.38

%


0.47

%


1.07

%


1.12

%


1.20

%

Adjusted return on average assets

1.53

%


1.38

%


1.44

%


1.20

%


1.26

%


1.46

%


1.28

%

Return on average common equity

11.78

%


3.86

%


12.73

%


4.47

%


10.04

%


9.47

%


11.39

%

Adjusted return on average tangible common

equity

20.50

%


17.26

%


17.09

%


13.91

%


14.28

%


18.47

%


14.94

%

Earning asset yield (TE)

4.78

%


4.66

%


4.52

%


4.49

%


4.50

%


4.67

%


4.44

%

Total cost of funds

0.90

%


0.75

%


0.63

%


0.57

%


0.57

%


0.78

%


0.51

%

Net interest margin (TE)

3.92

%


3.95

%


3.92

%


3.94

%


3.95

%


3.93

%


3.96

%

Noninterest income excluding securities

transactions, as a percent of total revenue

(TE)

19.77

%


25.72

%


24.71

%


22.41

%


25.68

%


23.06

%


26.90

%

Efficiency ratio

56.00

%


80.50

%


62.04

%


63.74

%


67.94

%


65.66

%


63.57

%

Adjusted efficiency ratio (TE)

54.42

%


57.53

%


59.95

%


60.88

%


61.09

%


57.02

%


60.06

%















CAPITAL ADEQUACY (period end)














Shareholders' equity to assets

12.29

%


12.26

%


10.83

%


10.24

%


10.48

%


12.29

%


10.48

%

Tangible common equity to tangible assets

7.77

%


7.65

%


8.30

%


8.62

%


8.81

%


7.77

%


8.81

%















EQUITY TO ASSETS RECONCILIATION














Tangible common equity to tangible assets

7.77

%


7.65

%


8.30

%


8.62

%


8.81

%


7.77

%


8.81

%

Effect of goodwill and other intangibles

4.52

%


4.61

%


2.53

%


1.62

%


1.67

%


4.52

%


1.67

%

Equity to assets (GAAP)

12.29

%


12.26

%


10.83

%


10.24

%


10.48

%


12.29

%


10.48

%















OTHER DATA (period end)














Full time equivalent employees














Banking Division

1,432



1,477



1,072



1,085



1,080



1,432



1,080


Retail Mortgage Division

317



308



290



279



272



317



272


Warehouse Lending Division

8



7



7



8



8



8



8


SBA Division

23



22



21



20



23



23



23


Premium Finance Division

67



68



67



68



62



67



62


Total Ameris Bancorp FTE headcount

1,847



1,882



1,457



1,460



1,445



1,847



1,445
















Assets per Banking Division FTE

$

7,981



$

7,577



$

7,484



$

7,241



$

7,083



$

7,981



$

7,083


Branch locations

125



126



97



97



97



125



97


Deposits per branch location

$

73,451



$

69,536



$

66,455



$

68,308



$

60,778



$

73,451



$

60,778


AMERIS BANCORP AND SUBSIDIARIES

FINANCIAL TABLES


Income Statement



Table 2


Three Months Ended


Nine Months Ended


Sep


Jun


Mar


Dec


Sep


Sep


Sep

(dollars in thousands except per share data)

2018


2018


2018


2017


2017


2018


2017















Interest income














Interest and fees on loans

$

110,470



$

82,723



$

73,267



$

73,440



$

70,462



$

266,460



$

197,447


Interest on taxable securities

8,792



6,321



5,207



5,097



5,062



20,320



15,057


Interest on nontaxable securities

204



179



322



372



392



705



1,209


Interest on deposits in other banks

1,581



723



716



655



406



3,020



1,070


Interest on federal funds sold

72











72




Total interest income

121,119



89,946



79,512



79,564



76,322



290,577



214,783
















Interest expense














Interest on deposits

15,630



7,794



6,772



6,398



5,136



30,196



13,479


Interest on other borrowings

6,451



6,153



3,939



3,643



4,331



16,543



10,702


Total interest expense

22,081



13,947



10,711



10,041



9,467



46,739



24,181
















Net interest income

99,038



75,999



68,801



69,523



66,855



243,838



190,602


Provision for loan losses

2,095



9,110



1,801



2,536



1,787



13,006



5,828


Net interest income after provision for loan

losses

96,943



66,889



67,000



66,987



65,068



230,832



184,774
















Noninterest income














Service charges on deposits accounts

12,690



10,613



10,228



10,340



10,535



33,531



31,714


Mortgage banking activity

13,413



14,890



11,900



10,037



13,340



40,203



38,498


Other service charges, commissions and fees

777



697



719



735



699



2,193



2,137


Gain (loss) on securities

48



(123)



37







(38)



37


Other noninterest income

3,243



5,230



3,580



2,451



2,425



12,053



8,508


Total noninterest income

30,171



31,307



26,464



23,563



26,999



87,942



80,894
















Noninterest expense














Salaries and employee benfits

38,446



39,776



32,089



30,507



32,583



110,311



89,509


Occupancy and equipment expenses

8,598



6,390



6,198



6,010



6,036



21,186



18,059


Data processing and telecommunications expenses

8,518



6,439



7,135



7,219



7,050



22,092



20,650


Credit resolution related expenses(1)

1,248



1,045



549



614



1,347



2,842



2,879


Advertising and marketing expenses

1,453



1,256



1,229



1,519



1,247



3,938



3,612


Amortization of intangible assets

2,676



2,252



934



942



941



5,862



2,990


Merger and conversion charges

276



18,391



835



421



92



19,502



494


Other noninterest expenses

11,138



10,837



10,129



12,105



14,471



32,104



34,406


Total noninterest expense

72,353



86,386



59,098



59,337



63,767



217,837



172,599
















Income before income tax expense

54,761



11,810



34,366



31,213



28,300



100,937



93,069


Income tax expense

13,317



2,423



7,706



22,063



8,142



23,446



28,671


Net income

$

41,444



$

9,387



$

26,660



$

9,150



$

20,158



$

77,491



$

64,398
















Diluted earnings per common share

$

0.87



$

0.24



$

0.70



$

0.24



$

0.54



$

1.85



$

1.74
















(1) Includes expenses associated with problem loans and OREO, as well as OREO losses and writedowns.





AMERIS BANCORP AND SUBSIDIARIES

FINANCIAL TABLES


Period End Balance Sheet

Table 3


Three Months Ended


Sep


Jun


Mar


Dec


Sep

(dollars in thousands)

2018


2018


2018


2017


2017











Assets










Cash and due from banks

$

158,453



$

151,539



$

123,945



$

139,313



$

131,071


Federal funds sold and interest-bearing deposits in banks

470,804



273,170



210,930



191,345



112,844


Time deposits in other banks

11,558



11,558








Investment securities available for sale, at fair value

1,162,570



1,153,703



848,585



810,873



819,593


Other investments

35,929



44,769



32,227



42,270



47,977


Loans held for sale, at fair value

130,179



137,249



111,135



197,442



137,392












Loans

5,543,306



5,380,515



5,051,986



4,856,514



4,574,678


Purchased loans

2,711,460



2,812,510



818,587



861,595



917,126


Purchased loan pools

274,752



297,509



319,598



328,246



465,218


Loans, net of unearned income

8,529,518



8,490,534



6,190,171



6,046,355



5,957,022


Allowance for loan losses

(28,116)



(31,532)



(26,200)



(25,791)



(25,966)


Loans, net

8,501,402



8,459,002



6,163,971



6,020,564



5,931,056












Other real estate owned

9,375



8,003



9,171



8,464



9,391


Purchased other real estate owned

7,692



7,272



6,723



9,011



9,946


Total other real estate owned

17,067



15,275



15,894



17,475



19,337












Premises and equipment, net

145,885



144,484



116,381



117,738



119,458


Goodwill

505,604



504,764



208,513



125,532



125,532


Other intangible assets, net

54,729



53,561



12,562



13,496



14,437


Deferred income taxes, net

38,217



40,240



28,677



28,320



39,365


Cash value of bank owned life insurance

103,588



103,059



80,007



79,641



79,241


Other assets

93,009



98,324



70,001



72,194



72,517


Total assets

$

11,428,994



$

11,190,697



$

8,022,828



$

7,856,203



$

7,649,820












Liabilities










Deposits










Noninterest-bearing

$

2,333,992



$

2,356,420



$

1,867,900



$

1,777,141



$

1,718,022


Interest-bearing

6,847,371



6,405,173



4,578,265



4,848,704



4,177,482


Total deposits

9,181,363



8,761,593



6,446,165



6,625,845



5,895,504


Federal funds purchased and securities sold under agreements to repurchase

14,071



11,002



23,270



30,638



14,156


Other borrowings

656,831



862,136



555,535



250,554



808,572


Subordinated deferrable interest debentures

88,986



88,646



85,881



85,550



85,220


FDIC loss-share payable, net

18,740



18,716



9,255



8,803



8,190


Other liabilities

64,026



76,708



33,778



50,334



36,257


Total liabilities

10,024,017



9,818,801



7,153,884



7,051,724



6,847,899












Shareholders' Equity










Preferred stock










Common stock

49,012



49,012



39,820



38,735



38,706


Capital stock

1,050,752



1,049,283



559,040



508,404



506,779


Retained earnings

338,350



301,656



296,366



273,119



267,694


Accumulated other comprehensive income (loss), net of tax

(16,576)



(12,571)



(10,823)



(1,280)



3,241


Treasury stock

(16,561)



(15,484)



(15,459)



(14,499)



(14,499)


Total shareholders' equity

1,404,977



1,371,896



868,944



804,479



801,921


Total liabilities and shareholders' equity

$

11,428,994



$

11,190,697



$

8,022,828



$

7,856,203



$

7,649,820












Other Data










Earning assets

$

10,340,558



$

10,110,983



$

7,393,048



$

7,288,285



$

7,074,828


Intangible assets

560,333



558,325



221,075



139,028



139,969


Interest-bearing liabilities

7,607,259



7,366,957



5,242,951



5,215,446



5,085,430


Average assets

11,204,504



8,529,035



7,823,451



7,777,996



7,461,367


Average common shareholders' equity

1,395,479



974,494



849,346



812,264



796,856


AMERIS BANCORP AND SUBSIDIARIES

FINANCIAL TABLES


Asset Quality Information



Table 4


Three Months Ended


Nine Months Ended


Sep


Jun


Mar


Dec


Sep


Sep


Sep

(dollars in thousands)

2018


2018


2018


2017


2017


2018


2017















Allowance for Loan Losses














Balance at beginning of period

$

31,532



$

26,200



$

25,791



$

25,966



$

25,101



$

25,791



$

23,920
















Provision for loan losses

2,095



9,110



1,801



2,536



1,787



13,006



5,828
















Charge-offs

8,112



5,717



2,872



3,638



2,443



16,701



6,829


Recoveries

2,601



1,939



1,480



927



1,521



6,020



3,047


Net charge-offs (recoveries)

5,511



3,778



1,392



2,711



922



10,681



3,782
















Ending balance