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Section 1: 8-K (8-K)

pub-8k_20190725.htm

 

 

 

 

 

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 25, 2019

 

People’s Utah Bancorp

(Exact name of Registrant as Specified in Its Charter)

 

 

Utah

001-37416

87-0622021

(State or Other Jurisdiction

of Incorporation)

(Commission File Number)

(IRS Employer

Identification No.)

 

 

 

1 East Main Street,

American Fork, UT

 

84003

(Address of Principal Executive Offices)

 

(Zip Code)

Registrant’s Telephone Number, Including Area Code: (801) 642-3998

Not Applicable

(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 Instructions 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))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange on which registered

Common Stock, par value $0.01 per share

 

PUB

 

The Nasdaq Stock Market LLC

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 July 25, 2019, the Company issued a press release announcing its financial results for the quarter ended June 30, 2019 and the quarterly dividend. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein in its entirety by reference.

The information in this Item 2.02 and the Exhibit attached hereto is furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such document or filing.

 

Item 9.01Financial Statements and Exhibits.

 

 

(d) Exhibits

 

Exhibit Number

Description

99.1

Press Release dated July 25, 2019, announcing financial results for the quarter ended June 30, 2019 and quarterly dividend.

 

 

2


 

SIGNATURE

 

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.

 

 

     People’s Utah Bancorp

 

 

 

 

Date: July 25, 2019

By:

/s/ Mark K. Olson

 

 

Mark K. Olson

 

 

Executive Vice President and

Chief Financial Officer

 

3

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Section 2: EX-99.1 (EX-99.1)

pub-ex991_6.htm

Exhibit 99.1

,

PEOPLE’S UTAH BANCORP REPORTS SECOND QUARTER 2019 RESULTS; ANNOUNCES INCREASE IN QUARTERLY DIVIDEND PAYMENT

Second Quarter 2019 Highlights

Achieved return on average assets of 1.96% for the second quarter

Realized return on average equity of 14.33% for the second quarter

Earnings per diluted share increased 5.5% to $0.58 year-over-year

Net interest margin narrowed 2 bps to 5.24% for the second quarter

Total deposits grew $200 million, or 11.2%, to $1.98 billion year-over-year

Total loans held for investment declined 1.1% to $1.67 billion year-over-year

Total assets exceed $2.3 billion at June 30, 2019

AMERICAN FORK, UTAH, July 25, 2019 – People’s Utah Bancorp (the “Company” or “PUB”) (Nasdaq: PUB) reported net income of $11.0 million for the second quarter of 2019 compared with $10.5 million for the first quarter of 2019, and $10.5 million for the second quarter of 2018.  Diluted earnings per common share were $0.58 for the second quarter of 2019 compared with $0.55 for the first quarter of 2019, and $0.55 for the second quarter of 2018.  

Return on average assets was 1.96% for the second quarter of 2019 compared with 1.95% for first quarter of 2019, and 1.93% for the second quarter of 2018.  Return on average equity was 14.33% for the second quarter of 2019 compared with 14.38% for the first quarter of 2019, and 15.60% for the second quarter of 2018.  

The Board of Directors declared an increase in the quarterly dividend payment to $0.13 per common share. The dividend will be payable on August 12, 2019 to shareholders of record as of August 5, 2019. The dividend payout ratio for earnings for the second quarter of 2019 was 22.3%.  This continues the over 50-year trend of paying dividends by the Company.

“People’s Utah Bancorp achieved another strong quarter with a return on average equity of 14.3% as we continue to position, strengthen, and fortify our balance sheet,” said Len Williams, President and Chief Executive Officer.  “We have increased our average equity to average assets from 12.4% a year ago to 13.7% for the second quarter of 2019, while increasing our allowance for loan losses from 1.3% a year ago to 1.7% at the end of the second quarter.”

1

 


 

Mr. Williams continued, “Our total deposits grew $200 million, or 11.2% year-over-year, as our retail branches and commercial treasury management team have focused on raising commercial deposits from existing commercial clients, as well as the acquisition of new client relationships.  Our increased selectivity and concentration management has slowed our loan growth.  However, we believe this focus will ensure greater strength and safety, given our expectations for a slower economy going forward.  The economic outlook for the Utah market continues to be strong relative to the U.S. economy overall, which provides us further opportunities to grow our organization.  We continue to actively evaluate potential acquisition opportunities throughout the Intermountain West.”

Net Interest Income and Margin

For the second quarter of 2019, net interest income grew 2.8%, or $0.7 million, to $27.7 million compared with $27.0 million for the same period a year earlier.  The increase is primarily the result of average interest earning assets growing 3.1%, or $64.8 million, and yields on interest earning assets increasing 8 basis points to 5.68% for the same comparable period. Higher yields on interest earning assets was primarily the result of yields on loans increasing 23 basis points to 6.57% for the same comparable period, offset by a 1.5%, or $25.8 million decline in average loan balances and by the percentage of loans to total interest earning assets decreasing to 79.5% for the second quarter of 2019 compared with 83.2% for the second quarter of 2018.  

For the second quarter of 2019, total cost of interest bearing liabilities increased 17 basis points to 0.74% compared with the same period a year ago and is the result of the cost of interest bearing deposits increasing 34 basis points to 0.74% for the same comparable periods.  The Company had no short-term borrowing for the second quarter of 2019 compared with $128.3 million of short-term borrowings for the second quarter of 2018.

Acquisition accounting adjustments, including the accretion of loan discounts and amortization of certificate of deposits premium, added 7 basis points to the net interest margin for the second quarter of 2019.

Provision for Loan Losses

For the second quarter of 2019, provision for loan losses was $2.2 million compared with $1.5 million for the same period a year earlier. The increase in provision for loan losses in the second quarter of 2019 is due primarily to $3.3 million in specific reserves, of which $2.2 million were reserved for the unguaranteed portion of four Government-guaranteed loans acquired in the Town & Country acquisition.  For the second quarter of 2019, the Company incurred net charge-offs of $34 thousand compared with net recoveries of $0.1 million for the same period a year ago.

2

 


 

Noninterest Income

For the second quarter of 2019, noninterest income was $3.6 million compared with $4.1 million the same period a year ago.  The decrease was primarily due to a one-time gain on sale of securities of $0.3 million in the second quarter of 2018 and $0.2 million loss on the disposal of assets in the second quarter of 2019.

Noninterest Expense

For the second quarter of 2019, noninterest expense was $14.7 million compared with $15.8 million for the the same period a year earlier and is primarily the result of $0.7 million in lower salaries and employee benefits, $0.3 million in lower other non-interest expense primarily related to lower legal expenses, $0.2 million in lower FDIC premiums, and $0.1 million in lower marketing costs.  For the second quarter of 2019, the Company’s efficiency ratio was 46.93% compared with 50.97% for the same period a year ago.  

“Our lower marketing and adverstising costs are directly the result of us deciding to simplify our branding strategy to a single, unified name for our Bank, a new logo, and a more contemporary look.  We expect to roll out our new single brand strategy around the end of the year and anticipate higher marketing and advertising costs over the next several quarters,” said Mr. Williams.

Income Tax Provision

For the second quarter of 2019, income tax expense was $3.5 million compared with $3.3 million for the same period a year earlier.  For the second quarter of 2019, the effective tax rate was 24.1% compared with 23.9% for the same period a year ago.

Loans and Credit Quality

Loans held for investment decreased $6.3 million, or 0.4%, to $1.67 billion at June 30, 2019 compared with $1.68 billion at December 31, 2018, and decreased $19.4 million, or 1.1%. compared with $1.69 billion at June 30, 2018.  The decline is primarily the result of declines in the acquisition, development, and construction loan portfolio of $17.1 million, or 5.26% from December 31, 2018 to June 30, 2019 and $66.4 million, or 17.76%, from a year ago, as the Company has managed loan concentration levels and become more selective with the type and size of construction projects that it is willing to finance, given its perspective on a slowing economy.  

For the six months ended June 30, 2019, average loans declined $6.8 million, or 0.4%, to $1.68 billion compared with $1.69 billion for the same period a year earlier.

3

 


 

Non-performing loans were $5.1 million at June 30, 2019 compared with $4.5 million at December 31, 2018, and $8.6 million at June 30, 2018  Non-performing loans to total loans were 0.31% at June 30, 2019 compared with 0.27% at December 31, 2018, and 0.51% at June 30, 2018.  Non-performing assets were $5.1 million at June 30, 2019 compared with $4.5 million at December 31, 2018, and $8.6 million at June 30, 2018.  Non-performing assets to total assets were 0.22% at June 30, 2019 compared with 0.21% at December 31, 2018, and 0.40% at June 30, 2018.  The allowance for loan losses increased $5.7 million, or 25.7%, to $28.0 million at June 30, 2019 compared with the same period a year ago.  The allowance for loan losses to loans held for investment was 1.68% at June 30, 2019 compared with 1.50% at December 31, 2018, and 1.32% at June 30, 2018.  In accordance with acquisition accounting, loans acquired from the Utah branches of Banner Bank and from Town & Country Bank were recorded at their estimated fair value, which resulted in a net discount to the loans’ contractual amounts, a portion of which reflects a discount for possible credit losses. Credit discounts are included in the determination of fair value, and as a result, no allowance for loan and lease losses is recorded for acquired loans at the acquisition date.  The discount recorded on the acquired loans is not reflected in the allowance for loan losses or related allowance coverage ratios.  Remaining credit discounts on acquired loans was $6.7 million at June 30, 2019.

Deposits and Liabilities

Total deposits increased $105 million, or 5.6%, to $1.98 billion at June 30, 2019 compared with $1.88 billion at December 31, 2018, and increased $200 million, or 11.2%, compared with $1.78 billion at June 30, 2018.  The increase in total deposits was primarily the result of organic commercial deposit growth. Non-interest bearing deposits were 35.7% of total deposits as of June 30, 2019 compared with 34.2% as of December 31, 2018, and 36.3% as of June 30, 2018.

Shareholders’ Equity

Shareholders’ equity increased by $22.6 million to $313 million at June 30, 2019 compared with $290 million at December 31, 2018, and increased by $41.2 million compared with $272 million at June 30, 2018. The increase resulted primarily from net income earned during the intervening periods, net of cash dividends paid to shareholders; and a reduction in accumulated other comprehensive losses resulting from an improvement in the fair value of investment securities as overall interest rates declined.

 

 

 

4

 


 

Conference Call and Webcast

Management will host a conference call on Friday, July 26, 2019 at 10:00 a.m. MDT (12:00 p.m. EDT) to discuss the second quarter 2019 results. Interested investors may listen to the call live at www.peoplesutah.com.  Investment professionals are invited to dial 888-317-6003 (international calls 412-317-6061) and the participant entry number is 7584075. Please dial in 10-15 minutes early so the name and company information can be collected prior to the start of the conference.

If you are unable to participate during the live webcast, the call will be archived on our website www.peoplesutah.com, or at the same URL above for one month after the call. Forward-looking and other material information may be discussed on this conference call.

Forward-Looking Statements

Statements in this release that are based on information other than historical data or that express the Company’s expectations regarding future events or determinations are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. Statements based on historical data are not intended and should not be understood to indicate the Company’s expectations regarding future events. Forward-looking statements provide current expectations or forecasts of future events or determinations. These forward-looking statements are not guarantees of future performance or determinations, nor should they be relied upon as representing management’s views as of any subsequent date.

Forward-looking statements involve significant risks and uncertainties, and actual results may differ materially from those presented, either expressed or implied, in this release. Factors that could cause actual results to differ materially from those expressed in the forward-looking statements include: (i) market and economic conditions; (ii) capital sufficiency; (iii) operational, liquidity, interest rate and credit risks; (iv) deterioration of asset quality; (v) achieving loan and deposit growth; (vi) increased competition; (vii) adequacy of reserves; (viii) investments in new branches and new business opportunities; and (ix) changes in the regulatory or legal environment; as well as other factors discussed in the section titled “Risk Factors,” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 filed with the Securities and Exchange Commission.

The foregoing factors should not be construed as exhaustive. The Company does not intend, or undertake any obligation to publicly update these forward-looking statements.

5

 


 

About People’s Utah Bancorp

People’s Utah Bancorp is the holding company for People’s Intermountain Bank.  People’s Intermountain Bank is a full-service community bank providing loans, deposit and cash management services to individuals and businesses. The Company offers its clients direct access to decision makers, unparalleled responsiveness, seasoned relationship managers, and technology solutions. People’s Intermountain Bank has 26 locations in three banking divisions, Bank of American Fork, Lewiston State Bank, and People’s Town & Country Bank; and a mortgage division, People’s Intermountain Bank Mortgage. The Company has been serving communities in Utah and southern Idaho for more than 100 years. More information about PUB is available at www.peoplesutah.com.

 

Investor Relations Contact:

Mark K. Olson

Executive Vice President and Chief Financial Officer

1 East Main Street

American Fork UT 84003

investorrelations@peoplesutah.com

Phone: 801-642-3998

6

 


 

PEOPLE’S UTAH BANCORP

UNAUDITED CONSOLIDATED STATEMENTS OF INCOME

 

 

 

Three Months Ended

 

 

Six Months Ended

 

(Dollars in thousands, except share

 

June 30,

 

 

March 31,

 

 

June 30,

 

 

June 30,

 

 

June 30,

 

and per share data)

 

2019

 

 

2019

 

 

2018

 

 

2019

 

 

2018

 

Interest income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest and fees on loans

 

$

27,628

 

 

$

26,980

 

 

$

27,073

 

 

$

54,608

 

 

$

52,856

 

Interest and dividends on investments

 

 

2,422

 

 

 

2,172

 

 

 

1,683

 

 

 

4,594

 

 

 

3,339

 

Total interest income

 

 

30,050

 

 

 

29,152

 

 

 

28,756

 

 

 

59,202

 

 

 

56,195

 

Interest expense

 

 

2,330

 

 

 

2,245

 

 

 

1,778

 

 

 

4,575

 

 

 

3,273

 

Net interest income

 

 

27,720

 

 

 

26,907

 

 

 

26,978

 

 

 

54,627

 

 

 

52,922

 

Provision for loan losses

 

 

2,150

 

 

 

1,550

 

 

 

1,475

 

 

 

3,700

 

 

 

3,525

 

Net interest income after provision for loan losses

 

 

25,570

 

 

 

25,357

 

 

 

25,503

 

 

 

50,927

 

 

 

49,397

 

Non-interest income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage banking

 

 

1,621

 

 

 

1,417

 

 

 

1,505

 

 

 

3,038

 

 

 

3,143

 

Card processing

 

 

814

 

 

 

615

 

 

 

799

 

 

 

1,429

 

 

 

1,522

 

Service charges on deposit accounts

 

 

705

 

 

 

657

 

 

 

704

 

 

 

1,362

 

 

 

1,377

 

Net gain on sale of investment securities

 

 

-

 

 

 

-

 

 

 

333

 

 

 

-

 

 

 

335

 

Other

 

 

458

 

 

 

648

 

 

 

725

 

 

 

1,106

 

 

 

1,407

 

Total non-interest income

 

 

3,598

 

 

 

3,337

 

 

 

4,066

 

 

 

6,935

 

 

 

7,784

 

Non-interest expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

9,526

 

 

 

9,886

 

 

 

10,196

 

 

 

19,412

 

 

 

20,619

 

Occupancy, equipment and depreciation

 

 

1,558

 

 

 

1,456

 

 

 

1,411

 

 

 

3,014

 

 

 

2,954

 

Data processing

 

 

1,018

 

 

 

964

 

 

 

1,063

 

 

 

1,982

 

 

 

1,933

 

Marketing and advertising

 

 

226

 

 

 

116

 

 

 

321

 

 

 

342

 

 

 

767

 

FDIC premiums

 

 

148

 

 

 

90

 

 

 

299

 

 

 

238

 

 

 

628

 

Acquisition-related costs

 

 

-

 

 

 

-

 

 

 

1

 

 

 

-

 

 

 

350

 

Other

 

 

2,223

 

 

 

2,404

 

 

 

2,532

 

 

 

4,627

 

 

 

4,620

 

Total non-interest expense

 

 

14,699

 

 

 

14,916

 

 

 

15,823

 

 

 

29,615

 

 

 

31,871

 

Income before income tax expense

 

 

14,469

 

 

 

13,778

 

 

 

13,746

 

 

 

28,247

 

 

 

25,310

 

Income tax expense

 

 

3,480

 

 

 

3,273

 

 

 

3,279

 

 

 

6,753

 

 

 

5,839

 

Net income

 

$

10,989

 

 

$

10,505

 

 

$

10,467

 

 

$

21,494

 

 

$

19,471

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.58

 

 

$

0.56

 

 

$

0.56

 

 

$

1.14

 

 

$

1.04

 

Diluted

 

$

0.58

 

 

$

0.55

 

 

$

0.55

 

 

$

1.13

 

 

$

1.03

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

18,805,760

 

 

 

18,781,210

 

 

 

18,679,908

 

 

 

18,793,553

 

 

 

18,639,397

 

Diluted

 

 

19,007,297

 

 

 

18,989,565

 

 

 

18,989,176

 

 

 

18,998,480

 

 

 

18,963,549

 

 

 

 


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PEOPLE’S UTAH BANCORP

UNAUDITED CONSOLIDATED BALANCE SHEETS

 

 

June 30,

 

 

March 31,

 

 

December 31,

 

 

June 30,

 

(Dollars in thousands, except share data)

 

2019

 

 

2019

 

 

2018

 

 

2018

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and due from banks

 

$

38,121

 

 

$

36,659

 

 

$

39,471

 

 

$

33,484

 

Interest bearing deposits

 

 

64,064

 

 

 

106,467

 

 

 

7,456

 

 

 

17,930

 

Federal funds sold

 

 

90,281

 

 

 

896

 

 

 

1,620

 

 

 

908

 

Total cash and cash equivalents

 

 

192,466

 

 

 

144,022

 

 

 

48,547

 

 

 

52,322

 

Investment securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Available for sale, at fair value

 

 

334,762

 

 

 

347,123

 

 

 

280,964

 

 

 

236,699

 

Held to maturity, at historical cost

 

 

-

 

 

 

-

 

 

 

65,462

 

 

 

67,922

 

Total investment securities

 

 

334,762

 

 

 

347,123

 

 

 

346,426

 

 

 

304,621

 

Non-marketable equity securities

 

 

2,623

 

 

 

2,623

 

 

 

2,551

 

 

 

6,151

 

Loans held for sale

 

 

18,446

 

 

 

7,184

 

 

 

10,267

 

 

 

11,058

 

Loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans held for investment

 

 

1,672,584

 

 

 

1,676,889

 

 

 

1,678,902

 

 

 

1,691,959

 

Allowance for loan losses

 

 

(28,039

)

 

 

(25,923

)

 

 

(25,245

)

 

 

(22,308

)

Total loans held for investment, net

 

 

1,644,545

 

 

 

1,650,966

 

 

 

1,653,657

 

 

 

1,669,651

 

Premises and equipment, net

 

 

37,925

 

 

 

37,836

 

 

 

36,532

 

 

 

29,335

 

Goodwill

 

 

25,673

 

 

 

25,673

 

 

 

25,673

 

 

 

25,673

 

Bank-owned life insurance

 

 

26,734

 

 

 

26,581

 

 

 

26,433

 

 

 

26,120

 

Deferred income tax assets

 

 

9,178

 

 

 

10,354

 

 

 

11,514

 

 

 

10,764

 

Accrued interest receivable

 

 

8,642

 

 

 

8,593

 

 

 

8,282

 

 

 

7,658

 

Other intangibles

 

 

3,191

 

 

 

3,301

 

 

 

3,412

 

 

 

3,633

 

Other real estate owned

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Other assets

 

 

7,680

 

 

 

6,551

 

 

 

11,000

 

 

 

14,784

 

Total assets

 

$

2,311,865

 

 

$

2,270,807

 

 

$

2,184,294

 

 

$

2,161,770

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest bearing deposits

 

$

707,135

 

 

$

655,866

 

 

$

642,594

 

 

$

646,574

 

Interest bearing deposits

 

 

1,274,771

 

 

 

1,295,459

 

 

 

1,234,461

 

 

 

1,135,366

 

Total deposits

 

 

1,981,906

 

 

 

1,951,325

 

 

 

1,877,055

 

 

 

1,781,940

 

Short-term borrowings

 

 

-

 

 

 

-

 

 

 

-

 

 

 

90,000

 

Accrued interest payable

 

 

546

 

 

 

521

 

 

 

483

 

 

 

369

 

Other liabilities

 

 

16,614

 

 

 

17,634

 

 

 

16,594

 

 

 

17,862

 

Total liabilities

 

 

1,999,066

 

 

 

1,969,480

 

 

 

1,894,132

 

 

 

1,890,171

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shareholders’ equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred shares, $0.01 par value

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Common shares, $0.01 par value

 

 

188

 

 

 

188

 

 

 

187

 

 

 

187

 

Additional paid-in capital

 

 

87,275

 

 

 

86,892

 

 

 

86,308

 

 

 

85,620

 

Retained earnings

 

 

224,950

 

 

 

216,216

 

 

 

207,779

 

 

 

190,735

 

Accumulated other comprehensive income/(loss)

 

 

386

 

 

 

(1,969

)

 

 

(4,112

)

 

 

(4,943

)

Total shareholders’ equity

 

 

312,799

 

 

 

301,327

 

 

 

290,162

 

 

 

271,599

 

Total liabilities and shareholders’ equity

 

$

2,311,865

 

 

$

2,270,807

 

 

$

2,184,294

 

 

$

2,161,770

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common shares outstanding

 

 

18,819,332

 

 

 

18,797,280

 

 

 

18,728,823

 

 

 

18,683,883

 

8

 


 

PEOPLE’S UTAH BANCORP

SUMMARY FINANCIAL INFORMATION

 

 

 

 

 

 

June 30,

 

 

March 31,

 

 

December 31,

 

 

June 30,

 

(Dollars in thousands, except share data)

 

2019

 

 

2019

 

 

2018

 

 

2018

 

Selected Balance Sheet Information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Book value per share

 

$

16.62

 

 

$

16.03

 

 

$

15.49

 

 

$

14.54

 

Tangible book value per share

 

$

15.09

 

 

$

14.49

 

 

$

13.94

 

 

$

12.97

 

Non-performing loans to total loans

 

 

0.31

%

 

 

0.28

%

 

 

0.27

%

 

 

0.51

%

Non-performing assets to total assets

 

 

0.22

%

 

 

0.21

%

 

 

0.21

%

 

 

0.40

%

Allowance for loan losses to loans held for investment

 

 

1.68

%

 

 

1.55

%

 

 

1.50

%

 

 

1.32

%

Loans to Deposits

 

 

83.91

%

 

 

84.98

%

 

 

88.65

%

 

 

94.32

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Asset Quality Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-performing loans

 

$

5,104

 

 

$

4,706

 

 

$

4,499

 

 

$

8,649

 

Non-performing assets

 

$

5,104

 

 

$

4,706

 

 

$

4,499

 

 

$

8,649

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 leverage capital (1)

 

 

12.78

%

 

 

12.70

%

 

 

12.27

%

 

 

11.48

%

Total risk-based capital (1)

 

 

17.24

%

 

 

16.86

%

 

 

16.36

%

 

 

15.22

%

Average equity to average assets

 

 

13.69

%

 

 

13.55

%

 

 

13.04

%

 

 

12.36

%

Tangible common equity to tangible assets (3)

 

 

12.44

%

 

 

12.15

%

 

 

12.11

%

 

 

11.36

%

 

  

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 30,

 

 

March 31,

 

 

June 30,

 

 

June 30,

 

 

June 30,

 

 

 

2019

 

 

2019

 

 

2018

 

 

2019

 

 

2018

 

Selected Financial Information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic earnings per share

 

$

0.58

 

 

$

0.56

 

 

$

0.56

 

 

$

1.14

 

 

$

1.04

 

Diluted earnings per share

 

$

0.58

 

 

$

0.55

 

 

$

0.55

 

 

$

1.13

 

 

$

1.03

 

Net interest margin (2)

 

 

5.24

%

 

 

5.29

%

 

 

5.26

%

 

 

5.26

%

 

 

5.24

%

Efficiency ratio

 

 

46.93

%

 

 

49.32

%

 

 

50.97

%

 

 

48.11

%

 

 

52.50

%

Non-interest income to average assets

 

 

0.64

%

 

 

0.62

%

 

 

0.75

%

 

 

0.63

%

 

 

0.73

%

Non-interest expense to average assets

 

 

2.63

%

 

 

2.77

%

 

 

2.91

%

 

 

2.69

%

 

 

2.97

%

Return on average assets

 

 

1.96

%

 

 

1.95

%

 

 

1.93

%

 

 

1.96

%

 

 

1.82

%

Return on average equity

 

 

14.33

%

 

 

14.38

%

 

 

15.60

%

 

 

14.35

%

 

 

14.79

%

Net charge-offs / (recoveries)

 

$

34

 

 

$

872

 

 

$

(102

)

 

$

906

 

 

$

(480

)

Annualized net charge-offs / (recoveries) to average loans

 

 

0.01

%

 

 

0.21

%

 

 

-0.02

%

 

 

0.11

%

 

 

-0.06

%

________________________________

 

(1)

Tier 1 leverage capital and Total risk-based capital as of June 30, 2019 are estimates.

 

 

(2)

Net interest margin is defined as net interest income divided by average earning assets.

 

 

(3)

Represents the sum of total shareholders’ equity less intangible assets all divided by the sum of total assets less intangible assets. Intangible assets were $28,864,000, 28,974,000, $29,085,000, and $29,306,000 at June 30, 2019, March 31, 2019, December 31, 2018, and June 30, 2018, respectively.

 

9

 


 

PEOPLE’S UTAH BANCORP

SELECTED AVERAGE BALANCES AND YIELDS

 

 

Three Months Ended

 

 

 

June 30, 2019

 

 

June 30, 2018

 

 

 

 

 

 

 

Interest

 

 

Average

 

 

 

 

 

 

Interest

 

 

Average

 

 

 

Average

 

 

Income/

 

 

Yield/

 

 

Average

 

 

Income/

 

 

Yield/

 

(Dollars in thousands, except footnotes)

 

Balance

 

 

Expense

 

 

Rate

 

 

Balance

 

 

Expense

 

 

Rate

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest earning deposits in other banks and federal funds sold

 

$

89,461

 

 

$

511

 

 

 

2.29

%

 

$

15,533

 

 

$

64

 

 

 

1.65

%

Securities: (1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable securities

 

 

276,993

 

 

 

1,572

 

 

 

2.28

%

 

 

241,724

 

 

 

1,192

 

 

 

1.98

%

Non-taxable securities (2)

 

 

66,425

 

 

 

312

 

 

 

1.88

%

 

 

79,949

 

 

 

369

 

 

 

1.85

%

Total securities

 

 

343,418

 

 

 

1,884

 

 

 

2.20

%

 

 

321,673

 

 

 

1,561

 

 

 

1.95

%

Loans (3)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate term

 

 

902,214

 

 

 

13,447

 

 

 

5.98

%