For the year ended
On
“We finished the year with solid net interest income generation, and steady loan and deposit growth,” stated
Fourth Quarter 2019 Financial Highlights:
- Fourth quarter net income of
$1.35 million , or$0.17 per diluted share, which included$837,000 of acquisition related expenses. - Loans held for investment grew
$33.2 million during the quarter, compared to three months earlier. - Return on average assets was 0.80%.
- Return on average equity was 7.37%.
- Nonperforming assets were 0.31% of total assets.
- Tangible book value increased 16.5% to
$8.27 per share from$7.10 per share a year earlier.
Net interest margin was 3.82% in the fourth quarter 2019, compared to 3.78% in the preceding quarter, and 3.90% in the fourth quarter a year ago. Average cost of funds decreased to 49 basis points, as the Company lowered its overall deposit rates.
The provision for loan losses was
Total assets were
Total deposits were
Nonperforming assets were
Shareholder equity increased to
Capital Management
The Company’s consolidated capital ratios and the Bank’s capital ratios continue to exceed the regulatory guidelines for a well-capitalized financial institution. At
Common Equity Tier 1 Capital Ratio | 14.00% | |
Tier 1 Leverage Ratio | 10.81% | |
Tier 1 Capital Ratio | 14.00% | |
Total Capital Ratio | 14.94% |
About the Company
In
Forward-looking Statements
This press release may include forward-looking statements about
UNAUDITED FINANCIAL STATEMENTS FOLLOW
Statement of Operations | ||||||||||||||||
For the Quarter Ended | Year to Date | |||||||||||||||
Dollars in thousands - Unaudited | ||||||||||||||||
Statements of Operations | ||||||||||||||||
Interest income | ||||||||||||||||
Loans, including fees | $ | 5,891 | $ | 5,806 | $ | 5,612 | $ | 23,528 | $ | 21,251 | ||||||
Securities | 832 | 884 | 891 | 3,387 | 3,588 | |||||||||||
Fed funds and other | 176 | 271 | 100 | 850 | 446 | |||||||||||
Total interest income | 6,899 | 6,961 | 6,603 | 27,765 | 25,285 | |||||||||||
Interest expense | ||||||||||||||||
Deposits | 623 | 730 | 338 | 2,686 | 1,033 | |||||||||||
Borrowings | 115 | 121 | 205 | 641 | 611 | |||||||||||
Total interest expense | 738 | 851 | 543 | 3,327 | 1,644 | |||||||||||
Net interest income | 6,161 | 6,110 | 6,060 | 24,438 | 23,641 | |||||||||||
Provision for loan losses | 315 | - | 137 | 665 | 490 | |||||||||||
Net interest income after loan loss provision | 5,846 | 6,110 | 5,923 | 23,773 | 23,151 | |||||||||||
Noninterest income | ||||||||||||||||
Service charges on deposits | 184 | 181 | 190 | 711 | 648 | |||||||||||
Mortgage loan fees | 396 | 335 | 394 | 1,293 | 1,225 | |||||||||||
Gain on sale of loans | 946 | 691 | 360 | 2,510 | 1,744 | |||||||||||
Other income | 407 | 371 | 618 | 1,659 | 2,069 | |||||||||||
Total noninterest income | 1,933 | 1,578 | 1,562 | 6,173 | 5,686 | |||||||||||
Noninterest expense | ||||||||||||||||
Salaries and employee benefits | 3,233 | 2,910 | 2,892 | 11,868 | 10,907 | |||||||||||
Net occupancy expense | 201 | 207 | 195 | 787 | 783 | |||||||||||
Equipment expense | 51 | 59 | 91 | 248 | 348 | |||||||||||
Data processing | 457 | 485 | 525 | 1,988 | 1,871 | |||||||||||
Director fees & expenses | 102 | 54 | 133 | 317 | 355 | |||||||||||
Insurance | 106 | 35 | 36 | 212 | 136 | |||||||||||
Marketing & promotion | 109 | 203 | 82 | 574 | 570 | |||||||||||
Professional fees | 341 | 247 | 98 | 841 | 726 | |||||||||||
Office expense | 27 | 32 | 62 | 131 | 141 | |||||||||||
Regulatory assessments | 11 | 9 | 53 | 132 | 228 | |||||||||||
OREO and repossessed assets | (19 | ) | 12 | (95 | ) | 117 | (53 | ) | ||||||||
Other expenses | 442 | 491 | 672 | 1,880 | 1,962 | |||||||||||
5,061 | 4,744 | 4,744 | 19,095 | 17,974 | ||||||||||||
Acquisition related costs | 873 | - | - | 873 | - | |||||||||||
Total noninterest expense | 5,934 | 4,744 | 4,744 | 19,968 | 17,974 | |||||||||||
Income (loss) before provision (benefit) for income taxes | 1,845 | 2,944 | 2,741 | 9,978 | 10,863 | |||||||||||
Provision (benefit) for income taxes | 491 | 554 | 458 | 2,157 | 2,282 | |||||||||||
Net Income (Loss) | $ | 1,354 | $ | 2,390 | $ | 2,283 | $ | 7,821 | $ | 8,581 | ||||||
Per Share Data | ||||||||||||||||
Basic EPS | $ | 0.17 | $ | 0.30 | $ | 0.28 | $ | 0.97 | $ | 1.06 | ||||||
Diluted EPS | $ | 0.17 | $ | 0.29 | $ | 0.28 | $ | 0.96 | $ | 1.06 | ||||||
Average shares outstanding | ||||||||||||||||
Basic | 8,093,299 | 8,093,299 | 8,065,709 | 8,088,153 | 8,060,929 | |||||||||||
Effect of dilutive shares | 21,467 | 21,524 | 26,581 | 25,218 | 30,352 | |||||||||||
Diluted | 8,114,766 | 8,114,823 | 8,092,290 | 8,113,371 | 8,091,281 |
Balance Sheets | |||||||||
Dollars in thousands - Unaudited | |||||||||
Consolidated Balance Sheets | |||||||||
Assets | |||||||||
Cash and cash equivalents | $ | 3,391 | $ | 4,042 | $ | 4,061 | |||
Interest bearing deposits | 7,431 | 6,793 | 4,106 | ||||||
Overnight Funds | 37,300 | 46,030 | 17,960 | ||||||
Available for sale securities | 151,968 | 168,470 | 179,589 | ||||||
Total cash and securities | 200,090 | 225,335 | 205,716 | ||||||
Loans held for sale, before reserves | 8,841 | 15,497 | 2,375 | ||||||
Gross loans held for investment | 430,396 | 397,187 | 407,264 | ||||||
Loan loss reserve | (4,801 | ) | (4,546 | ) | (3,824 | ) | |||
Total net loans | 434,436 | 408,138 | 405,815 | ||||||
Premises and equipment, net | 14,719 | 14,912 | 14,315 | ||||||
Other real estate owned | 307 | 307 | 266 | ||||||
5,985 | 6,051 | 6,249 | |||||||
Company owned life insurance | 11,554 | 11,489 | 11,802 | ||||||
Other assets | 10,563 | 10,680 | 11,174 | ||||||
Total Assets | $ | 677,654 | $ | 676,912 | $ | 655,337 | |||
Liabilities | |||||||||
Non interest bearing demand | $ | 133,299 | $ | 136,287 | $ | 135,485 | |||
Money market, NOW and savings | 365,118 | 358,733 | 362,202 | ||||||
Time deposits < | 64,347 | 67,717 | 51,845 | ||||||
Time deposits > | 23,924 | 24,079 | 8,299 | ||||||
Total Deposits | 586,688 | 586,816 | 557,831 | ||||||
Securities sold under repurchase agreements | 7,450 | 7,136 | 5,001 | ||||||
- | - | 18,000 | |||||||
Subordinated debt, net of debt issuance costs | 6,572 | 6,690 | 7,045 | ||||||
Total Debt | 14,022 | 13,826 | 30,046 | ||||||
Other Liabilities | 3,303 | 3,519 | 3,086 | ||||||
Total Liabilities | 604,013 | 604,161 | 590,963 | ||||||
Shareholders' Equity | |||||||||
Common stock | 39,892 | 39,850 | 39,597 | ||||||
Accumulated retained earnings | 33,225 | 32,478 | 27,831 | ||||||
Accumulated other comprehensive income | 524 | 423 | (3,054 | ) | |||||
Total shareholders equity | 73,641 | 72,751 | 64,374 | ||||||
Total liabilities and shareholders' equity | $ | 677,654 | $ | 676,912 | $ | 655,337 | |||
Five-Quarter Performance Summary | |||||||||||||||
For the Quarter Ended | |||||||||||||||
Dollars in thousands - Unaudited | |||||||||||||||
Performance Highlights | |||||||||||||||
Earnings: | |||||||||||||||
Total revenue (Net int. income + nonint. income) | $ | 8,094 | $ | 7,688 | $ | 7,449 | $ | 7,379 | $ | 7,622 | |||||
Net interest income | $ | 6,161 | $ | 6,110 | $ | 6,071 | $ | 6,095 | $ | 6,060 | |||||
Provision for loan losses | $ | 315 | $ | - | $ | 50 | $ | 300 | $ | 137 | |||||
Noninterest income | $ | 1,933 | $ | 1,578 | $ | 1,378 | $ | 1,284 | $ | 1,562 | |||||
Noninterest expense | $ | 5,934 | $ | 4,744 | $ | 4,524 | $ | 4,766 | $ | 4,744 | |||||
Net income (loss) | $ | 1,354 | $ | 2,390 | $ | 2,252 | $ | 1,824 | $ | 2,282 | |||||
Per Share Data: | |||||||||||||||
Net income (loss), basic | $ | 0.17 | $ | 0.30 | $ | 0.28 | $ | 0.23 | $ | 0.28 | |||||
Net income (loss), diluted | $ | 0.17 | $ | 0.29 | $ | 0.28 | $ | 0.22 | $ | 0.28 | |||||
Cash dividends declared | $ | 0.075 | $ | 0.075 | $ | 0.075 | $ | 0.08 | $ | 0.06 | |||||
Book value | $ | 9.10 | $ | 8.99 | $ | 8.71 | $ | 8.28 | $ | 7.98 | |||||
Tangible book value | $ | 8.27 | $ | 8.14 | $ | 7.86 | $ | 7.42 | $ | 7.10 | |||||
Performance Ratios: | |||||||||||||||
Return on average assets | 0.80% | 1.41% | 1.32% | 1.10% | 1.41% | ||||||||||
Return on average equity | 7.37% | 13.23% | 13.07% | 11.06% | 14.53% | ||||||||||
Net interest margin, taxable equivalent | 3.82% | 3.78% | 3.75% | 3.85% | 3.90% | ||||||||||
Average cost of funds | 0.49% | 0.56% | 0.61% | 0.54% | 0.38% | ||||||||||
Average yield on loans | 5.55% | 5.63% | 5.68% | 5.70% | 5.61% | ||||||||||
Efficiency ratio | 73.31% | 61.71% | 60.73% | 64.59% | 62.24% | ||||||||||
Non-interest income to total revenue | 23.88% | 20.53% | 18.50% | 17.40% | 20.49% | ||||||||||
Capital & Liquidity: | |||||||||||||||
Total equity to total assets (EOP) | 10.87% | 10.75% | 10.39% | 9.94% | 9.82% | ||||||||||
Tangible equity to tangible assets | 9.97% | 9.84% | 9.47% | 9.00% | 8.84% | ||||||||||
Total loans to total deposits | 74.87% | 70.33% | 69.87% | 71.25% | 73.43% | ||||||||||
Common equity tier 1 ratio | 14.00% | 14.44% | 13.91% | 13.49% | 13.18% | ||||||||||
Tier 1 leverage ratio | 10.81% | 10.66% | 10.40% | 10.39% | 10.42% | ||||||||||
Tier 1 risk based capital | 14.00% | 14.44% | 13.91% | 13.49% | 13.18% | ||||||||||
Total risk based capital | 14.94% | 15.37% | 14.83% | 14.32% | 13.94% | ||||||||||
Asset Quality: | |||||||||||||||
Gross charge-offs | $ | 70 | $ | 2 | $ | 15 | $ | 88 | $ | - | |||||
Net charge-offs (NCOs) | $ | 58 | $ | 1 | $ | (356 | ) | $ | (15 | ) | $ | (2 | ) | ||
NCO to average loans, annualized | 0.05% | 0.00% | -0.34% | -0.01% | 0.00% | ||||||||||
Non-accrual loans/securities | $ | 1,768 | $ | 2,051 | $ | 2,415 | $ | 1,302 | $ | 1,391 | |||||
Other real estate owned | $ | 307 | $ | 307 | $ | - | $ | 174 | $ | 266 | |||||
Repossessed assets | $ | - | $ | - | $ | - | $ | - | $ | - | |||||
Non-performing assets (NPAs) | $ | 2,075 | $ | 2,358 | $ | 2,415 | $ | 1,476 | $ | 1,657 | |||||
NPAs to total assets | 0.31% | 0.35% | 0.36% | 0.22% | 0.25% | ||||||||||
Loans >90 days past due | $ | - | $ | - | $ | - | $ | - | $ | - | |||||
NPAs + 90 days past due | $ | 2,075 | $ | 2,358 | $ | 2,415 | $ | 1,476 | $ | 1,657 | |||||
NPAs + loans 90 days past due to total assets | 0.31% | 0.35% | 0.36% | 0.22% | 0.25% | ||||||||||
Allowance for loan losses to total loans | 1.09% | 1.10% | 1.10% | 0.99% | 0.93% | ||||||||||
Allowance for loan losses to NPAs | 231.37% | 192.79% | 188.24% | 280.42% | 230.78% | ||||||||||
Period End Balances: | |||||||||||||||
Assets | $ | 677,654 | $ | 676,912 | $ | 678,570 | $ | 673,336 | $ | 655,337 | |||||
Total Loans (before reserves) | $ | 439,237 | $ | 412,684 | $ | 413,636 | $ | 417,333 | $ | 409,639 | |||||
Deposits | $ | 586,688 | $ | 586,816 | $ | 591,989 | $ | 585,732 | $ | 557,831 | |||||
Stockholders' equity | $ | 73,641 | $ | 72,751 | $ | 70,514 | $ | 66,919 | $ | 64,374 | |||||
Common stock market capitalization | $ | 149,726 | $ | 105,213 | $ | 97,120 | $ | 104,646 | $ | 99,208 | |||||
Full-time equivalent employees | 117 | 120 | 120 | 122 | 124 | ||||||||||
Shares outstanding | 8,093,299 | 8,093,299 | 8,093,299 | 8,080,791 | 8,065,709 | ||||||||||
Average Balances: | |||||||||||||||
Assets | $ | 678,173 | $ | 680,038 | $ | 680,037 | $ | 664,121 | $ | 649,673 | |||||
Earning assets | $ | 647,793 | $ | 649,501 | $ | 650,744 | $ | 636,755 | $ | 623,584 | |||||
Total Loans (before reserves) | $ | 424,857 | $ | 412,295 | $ | 415,774 | $ | 415,998 | $ | 400,116 | |||||
Deposits | $ | 587,653 | $ | 591,694 | $ | 596,079 | $ | 562,399 | $ | 560,343 | |||||
Other borrowings | $ | 13,681 | $ | 13,422 | $ | 12,457 | $ | 33,995 | $ | 17,649 | |||||
Stockholders' equity | $ | 73,499 | $ | 72,272 | $ | 68,902 | $ | 65,986 | $ | 62,844 | |||||
Shares outstanding, basic - wtd | 8,093,299 | 8,093,299 | 8,090,000 | 8,075,764 | 8,065,709 | ||||||||||
Shares outstanding, diluted - wtd | 8,114,766 | 8,114,823 | 8,115,299 | 8,108,423 | 8,092,290 |
Contact: | ||
928 855 0000 | ||
www.mohavestbank.com |
Source:
2020 GlobeNewswire, Inc., source