W T B Financial : Third Quarter 2021

Summary Financial Statements,

Selected Financial Highlights and

Selected Credit Performance Highlights

Q3 2021

(unaudited)

W.T.B. Financial Corporation

Condensed Consolidated Statements of Financial Condition

(unaudited)

		September 30,			June 30,		September 30,
ASSETS		2021			2021			2020
	129,303,180
Cash and due from banks		$	111,332,899		$	109,193,825
Interest-bearing deposits with banks		1,806,151,265			1,330,547,291			903,065,828
Securities available for sale, at fair value		387,940,890			403,692,368			1,711,102,209
Securities held to maturity, at amortized cost		2,606,021,411			2,661,838,499			566,225,808
Federal Home Loan Bank and Pacific Coast Bankers' Bancshares		10,060,000
stock, at cost				10,060,000			8,642,400
Loans receivable		5,482,823,353			5,675,804,551			5,871,073,297
Allowance for loan losses		(139,315,575)			(139,112,930)			(121,077,177)
Loans, net of allowance for loan losses		5,343,507,778			5,536,691,621			5,749,996,120
Premises and equipment, net		87,828,618			88,987,871			91,523,731
Accrued interest receivable		25,311,301			27,589,783			28,159,479
Other assets		187,322,829			110,123,472			76,075,912
Total assets	$	10,583,447,272		$	10,280,863,804		$	9,243,985,312
LIABILITIES
Deposits:	$	4,266,671,173
Noninterest-bearing	$	4,316,714,723		$	3,798,531,120
Interest-bearing		5,130,332,287			4,803,369,864			4,353,387,684
Total deposits		9,397,003,460			9,120,084,587			8,151,918,804
Securites sold under agreements to repurchase		242,293,447			235,736,087			205,480,849
Other borrowings		20,063,287			20,063,287			-
Accrued interest payable		299,749			427,357			693,227
Other liabilities		104,180,181			98,724,089			86,553,103
Total liabilities		9,763,840,124			9,475,035,407			8,444,645,983
SHAREHOLDERS' EQUITY		19,152,179
Common stock				25,057,245			23,233,755
Surplus		32,665,000			32,665,000			32,665,000
Undivided profits		764,317,151			741,698,974			693,291,429
		816,134,330			799,421,219			749,190,184
Less treasury stock, at cost		(154,006)			-			-
		815,980,324			799,421,219			749,190,184
Accumulated other comprehensive gain, net of tax		3,626,824			6,407,178			50,149,145
Total shareholders' equity		819,607,148			805,828,397			799,339,329
Total liabilities and shareholders' equity	$	10,583,447,272		$	10,280,863,804		$	9,243,985,312

W.T.B. Financial Corporation

Condensed Consolidated Statements of Income

(unaudited)

			Three Months Ended
	September 30,				June 30,	September 30,
INTEREST REVENUE		2021				2021				2020
Loans, including fees	$	61,713,229	$	61,255,688			$	60,582,662
Deposits with banks		583,130				312,414				224,357
Securities		14,569,917				14,137,707				11,505,316
Other interest and dividend income		86,757				80,682				76,260
Total interest revenue		76,953,033				75,786,491				72,388,595
INTEREST EXPENSE
Deposits		1,802,376				2,289,786				3,086,395
Funds purchased and other borrowings		96,744				217,663				297,905
Total interest expense		1,899,120				2,507,449				3,384,300
Net interest revenue		75,053,913				73,279,042				69,004,295
Provision for loan losses		-				3,000,000				9,000,000
Net interest revenue after provision for loan losses		75,053,913				70,279,042				60,004,295
NONINTEREST REVENUE
Fiduciary income		5,411,728				5,643,578				4,733,665
Investment services fees		1,213,051				966,166				880,868
Bank and credit card fees, net		4,629,972				4,324,851				3,725,160
Mortgage banking revenue, net		1,344,664				1,804,678				4,681,839
Other fees on loans		320,591				465,859				219,924
Service charges on deposits		1,576,381				1,433,817				1,368,941
Other income		2,202,656				1,893,619				1,778,367
Total noninterest revenue		16,699,043				16,532,568				17,388,764
NONINTEREST EXPENSE
Salaries and benefits		35,358,469				35,527,713				32,592,089
Occupancy, furniture and equipment expense		5,901,188				6,143,861				5,576,155
Other expense		15,567,633				15,605,585				13,673,985
Total noninterest expense		56,827,290				57,277,159				51,842,229
Income before provision for income taxes		34,925,666				29,534,451				25,550,830
Provision for income taxes		7,631,757				6,481,574				5,663,480
NET INCOME	$	27,293,909			$	23,052,877			$	19,887,350
PER SHARE DATA
Weighted average number of common stock shares outstanding
Basic		2,535,537				2,541,723				2,534,504
Diluted		2,540,458				2,545,526				2,535,688
Earnings per common share (based on weighted average
shares outstanding)
Basic	$	10.76	$	9.07			$	7.85
Diluted	$	10.74	$	9.06			$	7.84

W.T.B. Financial Corporation

Condensed Consolidated Statements of Income

(unaudited)

		Nine Months Ended
	September 30,	September 30,
INTEREST REVENUE		2021			2020
Loans, including fees	$	181,610,216		$	173,697,231
Deposits with banks		1,197,939			2,189,801
Securities		42,532,219			35,042,605
Other interest and dividend income		244,784			231,468
Total interest revenue		225,585,158			211,161,105
INTEREST EXPENSE
Deposits		6,707,522			10,802,485
Funds purchased and other borrowings		629,519			1,298,246
Total interest expense		7,337,041			12,100,731
Net interest revenue		218,248,117			199,060,374
Provision for loan losses		9,000,004			23,500,000
Net interest revenue after provision for loan losses		209,248,113			175,560,374
NONINTEREST REVENUE
Fiduciary income		16,167,099			14,052,483
Investment services fees		3,096,907			2,410,162
Bank and credit card fees		12,553,895			9,403,567
Mortgage banking revenue, net		7,095,628			8,114,916
Other fees on loans		1,045,398			714,972
Service charges on deposits		4,456,130			4,379,522
Other income		6,097,077			9,932,680
Total noninterest revenue		50,512,134			49,008,302
NONINTEREST EXPENSE
Salaries and benefits		105,565,876			94,615,151
Occupancy, furniture and equipment expense		18,059,783			16,237,163
Other expense		45,187,673			39,906,166
Total noninterest expense		168,813,332			150,758,480
Income before provision for income taxes		90,946,915			73,810,196
Provision for income taxes		19,938,433			16,284,621
NET INCOME	$	71,008,482		$	57,525,575
PER SHARE DATA
Weighted average number of common stock shares outstanding
Basic		2,538,459			2,536,290
Diluted		2,542,605			2,538,692
Earnings per common share (based on weighted average shares
outstanding)
Basic	$	27.97		$	22.68
Diluted	$	27.93		$	22.66

W.T.B. Financial Corporation

Selected Financial Highlights

(unaudited)

			(dollars in thousands)
			Quarters Ended
	September 30,	June 30,		March 31,	December 31,	September 30,
	2021	2021		2021	2020		2020
SELECTED DATA
Interest-bearing deposits with banks	$ 1,806,151	$ 1,330,547	$	961,600	$ 1,463,300	$	903,066
Securities	2,993,962	3,065,531		3,102,849	2,578,360		2,277,328
Total loans	5,482,823	5,675,805		5,832,079	5,591,532		5,871,073
Allowance for loan losses	139,316	139,113		139,160	132,811		121,077
Earning assets 1	10,282,215	10,068,641		9,884,576	9,561,272		8,968,308
Total assets	10,583,447	10,280,864		10,108,189	9,813,963		9,243,985
Deposits	9,397,003	9,120,085		9,003,460	8,698,791		8,151,919
Interest-bearing liabilities	5,392,689	5,059,169		4,983,178	4,763,925		4,558,869
Total shareholders' equity	819,607	805,828		776,568	806,518		799,339
Total equity to total assets	7.74%	7.84%		7.68%	8.22%		8.65%
Full-time equivalent employees	1,101	1,100		1,087	1,066		1,060
ASSET QUALITY RATIOS
Allowance for loan losses to total loans	2.54%	2.45%		2.39%	2.38%		2.06%
Allowance for loan losses to noncurrent loans	267%	257%		406%	1162%		853%
Net charge-offs (recoveries) to total average loans	0.00%	0.05%		-0.01%	-0.04%		-0.01%
Noncurrent loans and ORE to assets	0.49%	0.53%		0.34%	0.12%		0.15%
Noncurrent loans, ORE and TDRs to assets	0.50%	0.54%		0.35%	0.13%		0.17%

(1) Includes only the amortized cost for securities. Includes non-accrual loans.
				(dollars in thousands, except per share data)
			Quarters Ended			% Change
	September 30,		June 30,	September 30,	Sequential	Year over
		2021		2021		2020	Quarter	Year
PERFORMANCE
Net interest revenue, fully tax-equivalent	$	75,117	$	73,349	$	69,084	2.4%	8.7%
Fully tax-equivalent adjustment		63		70		80	-10.0%	-21.3%
Net interest revenue		75,054		73,279		69,004	2.4%	8.8%
Provision for loan losses		-		3,000		9,000	-100.0%	-100.0%
Net interest revenue after provision for loan losses		75,054		70,279		60,004	6.8%	25.1%
Noninterest revenue		16,699		16,533		17,389	1.0%	-4.0%
Noninterest expense		56,827		57,278		51,842	-0.8%	9.6%
Income before provision for income taxes		34,926		29,534		25,551	18.3%	36.7%
Provision for income taxes		7,632		6,481		5,664	17.8%	34.7%
Net income	$	27,294	$	23,053	$	19,887	18.4%	37.2%
PER COMMON SHARE
Earnings per common share - basic	$	10.76	$	9.07	$	7.85	18.6%	37.1%
Earnings per common share - diluted		10.74		9.06		7.84	18.5%	37.0%
Common cash dividends		1.84		1.85		1.85	-0.5%	-0.5%
Common shareholders' equity		322.79		315.29		313.70	2.4%	2.9%
			Quarters Ended			% Change
	September 30,		June 30,	September 30,	Sequential	Year over
		2021		2021		2020	Quarter	Year
PERFORMANCE RATIOS
Return on average assets		1.03%		0.90%		0.88%	0.13%	0.15%
Return on average shareholders' equity		13.28%		11.60%		9.97%	1.68%	3.31%
Margin on average earning assets 1		2.90%		2.94%		3.14%	-0.04%	-0.24%
Noninterest expense to average assets		2.14%		2.25%		2.29%	-0.11%	-0.15%
Noninterest revenue to average assets		0.63%		0.65%		0.77%	-0.02%	-0.14%
Efficiency ratio		61.9%		63.7%		60.0%	-1.8%	1.9%
Common cash dividends to net income		17.13%		20.40%		23.58%	-3.27%	-3.18%

1. Tax exempt interest has been adjusted to a taxable equivalent basis using a tax rate of 21%. NM = not meaningful