EXHIBIT 99.1
For immediate release
April 20, 2005
MEDIA CONTACT
Tricia Linderman, 214.932.6798
tricia.linderman@texascapitalbank.com
INVESTOR CONTACT
Myrna Vance, 214.932.6646
myrna.vance@texascapitalbank.com
TEXAS CAPITAL BANCSHARES ANNOUNCES OPERATING RESULTS FOR Q1 2005
Dallas, Texas – April 20, 2005 — Texas Capital Bancshares (Nasdaq: TCBI), the parent company of Texas Capital Bank, announced earnings for the first quarter of 2005.
• | Net income increased 34% | |||
• | EPS increased 33% | |||
• | Loans held for investment grew 28% | |||
• | Total loans grew 26% | |||
• | Demand deposits grew 31% | |||
• | Total deposits grew 32% |
“Continued strong growth in loans and deposits in the first quarter of 2005, along with exceptionally good credit quality, enabled us to report another great quarter,” said Jody Grant, Chairman and CEO. “We are on plan for the year and ended the quarter with accelerating loan growth and margin expansion.”
FINANCIAL SUMMARY
(dollars and shares in thousands)
Q1 2005 | Q1 2004 | % Change | ||||||||||
OPERATING RESULTS | ||||||||||||
Net Income | 5,276 | 3,937 | 34 | % | ||||||||
Diluted EPS | $ | .20 | $ | .15 | 33 | % | ||||||
ROA | .82 | % | .71 | % | ||||||||
ROE | 10.89 | % | 8.96 | % | ||||||||
Diluted Shares | 26,623 | 26,076 | 2 | % | ||||||||
BALANCE SHEET | ||||||||||||
Total Assets | $ | 2,636,920 | $ | 2,233,135 | 18 | % | ||||||
Demand Deposits | 405,162 | 309,927 | 31 | % | ||||||||
Total Deposits | 1,981,701 | 1,495,891 | 32 | % | ||||||||
Loans Held for Investment | 1,676,799 | 1,311,511 | 28 | % | ||||||||
Total Loans | 1,747,471 | 1,384,300 | 26 | % | ||||||||
Stockholders’ Equity | 194,511 | 182,587 | 7 | % |
Loans Held for Investment are stated net of unearned income.
1
DETAILED FINANCIALS
Texas Capital Bancshares, Inc. reported net income of $5.3 million for the first quarter of 2005 compared to $3.9 million for the first quarter of 2004. On a fully diluted basis, earnings per share were $.20 for the three months ended March 31, 2005, compared to $.15 for the same quarter last year, representing an increase of 33 percent.
The first quarter of each year is uniquely impacted by certain events, such as the timing of FICA and other employment taxes generated by our incentive and compensation structure. The first quarter of 2005 was additionally influenced by a vesting of restricted stock triggered by the attainment of certain price targets of the company’s common stock. In aggregate, these events, plus the quarter being the shortest of the year, negatively impacted earnings by 3.5 cents per share on a linked quarter basis.
Return on average equity was 10.89 percent and return on average assets was .82 percent for the first quarter of 2005 compared to 8.96 percent and .71 percent, respectively, for the first quarter of 2004. The increase in net income and improvement in return on assets in 2005 are attributed to growth in net interest income which came from continued earning asset growth, as well as an improvement in net interest margin.
Net interest income was $21.7 million for the first quarter of 2005, compared to $16.6 million for the first quarter of 2004. The increase was due to an increase in average earning assets of $386.9 million over levels reported in the first quarter of 2004 and an improvement in the net interest margin. The increase in average earning assets included a $324.4 million increase in average loans held for investment (core loans) and an increase of $19.7 million in average securities. The average balance of loans held for sale increased to $82.0 million in the first quarter of 2005 from $61.2 million in the first quarter of 2004. The net interest margin in the first quarter of 2005 was 3.61 percent, a 37 basis point increase from the first quarter of 2004 and a 3 basis point increase from the fourth quarter of 2004. The improvement in the net interest margin resulted primarily from a 95 basis point increase in the yield on earning assets offset by a 76 basis point increase in the cost of interest bearing liabilities from the prior year.
Average interest bearing liabilities increased $271.7 million from the first quarter of 2004, which included a $357.9 million increase in interest bearing deposits offset by an $86.2 million decrease in other borrowings. For the same periods, the average balance of demand deposits increased to $363.4 million from $265.0 million.
Key measures of credit quality showed improvement during the first quarter. In the first quarter of 2005, net recoveries were $17,000, compared to net charge-offs of $466,000, or .15 percent of average loans, in the first quarter of 2004 and $233,000, or .06 percent of average loans, in the fourth quarter of 2004. The Company also reported that the ratio of non-performing loans to total loans decreased to .36 percent. Due to continued improvement in key measures of credit quality, the Company did not record a provision for possible loan losses during the first quarter of 2005, down from $200,000 in the fourth quarter of 2004 and $750,000 in the first quarter of 2004. Reserve coverage of losses, non-performing assets and classified loans remained at especially high levels. In management’s opinion, the reserve, which represents an allocation of total capital, is sufficient to cover all reasonably expected losses in the portfolio and is derived from consistent application of the methodology for establishing the adequacy of reserves for Texas Capital Bank’s loan portfolio.
Non-interest income for the first quarter of 2005 increased $864,000, or 26%, to $4.2 million from $3.3 million in the first quarter of 2004. The increase is primarily related to a $1.3 million increase in gains on sale of mortgage loans to $1.8 million from $463,000. Trust fee income increased $149,000 due to continued growth of trust
2
assets. Offsetting these increases was a decrease in cash processing fees, which were $587,000 lower in the first quarter of 2005 compared to the same period in 2004. These fees were related to a special project that occurred in the first quarters of 2002, 2003, and 2004.
Non-interest expense for the first quarter of 2005 increased $4.5 million, or 34 percent, to $17.9 million in the first quarter of 2005 from $13.3 million in the first quarter of 2004. The increase is primarily related to a $3.4 million increase in salaries and employee benefits to $11.5 million from $8.1 million. The increase in salaries and employee benefits resulted from an increase in the total number of employees related to general business growth, substantial additions to staffing for the Houston office, expansion of the residential mortgage lending division, and increased incentive compensation reflective of the Company’s performance.
ABOUT TEXAS CAPITAL BANCSHARES
Texas Capital Bancshares (Nasdaq: TCBI) is the parent company of Texas Capital Bank, a commercial bank that delivers highly personalized financial services to businesses and private clients. Headquartered in Dallas, the Bank has full-service locations in Austin, Dallas, Fort Worth, Houston, Plano, and San Antonio.
This release contains forward-looking statements, which are subject to risks and uncertainties. A number of factors, many of which are beyond Texas Capital Bancshares’ control, could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. These risks and uncertainties include the risk of adverse impacts from general economic conditions, competition, interest rate sensitivity and exposure to regulatory and legislative changes. These and other factors that could cause results to differ materially from those described in the forward-looking statements can be found in the Form 10-K and other filings made by Texas Capital Bancshares with the Securities and Exchange Commission.
3
TEXAS CAPITAL BANCSHARES, INC.
SELECTED FINANCIAL HIGHLIGHTS
(Dollars in thousands except per share data)
1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | 1st Quarter | ||||||||||||||||
2005 | 2004 | 2004 | 2004 | 2004 | ||||||||||||||||
CONSOLIDATED STATEMENT OF OPERATIONS | ||||||||||||||||||||
Interest income | $ | 34,187 | $ | 32,529 | $ | 29,019 | $ | 25,056 | $ | 24,274 | ||||||||||
Interest expense | 12,519 | 11,069 | 9,633 | 7,804 | 7,630 | |||||||||||||||
Net interest income | 21,668 | 21,460 | 19,386 | 17,252 | 16,644 | |||||||||||||||
Provision for loan losses | – | 200 | 375 | 363 | 750 | |||||||||||||||
Net interest income after provision for loan losses | 21,668 | 21,260 | 19,011 | 16,889 | 15,894 | |||||||||||||||
Non-interest income | 4,179 | 3,738 | 3,463 | 3,116 | 3,315 | |||||||||||||||
Non-interest expense | 17,854 | 15,917 | 14,595 | 13,496 | 13,332 | |||||||||||||||
Income before income taxes | 7,993 | 9,081 | 7,879 | 6,509 | 5,877 | |||||||||||||||
Income tax expense | 2,717 | 3,054 | 2,643 | 2,149 | 1,940 | |||||||||||||||
Net income | $ | 5,276 | $ | 6,027 | $ | 5,236 | $ | 4,360 | $ | 3,937 | ||||||||||
Diluted EPS | $ | .20 | $ | .23 | $ | .20 | $ | .17 | $ | .15 | ||||||||||
Diluted shares | 26,622,813 | 26,457,466 | 26,263,714 | 26,140,080 | 26,075,754 | |||||||||||||||
CONSOLIDATED BALANCE SHEET DATA | ||||||||||||||||||||
Total assets | $ | 2,636,920 | $ | 2,611,163 | $ | 2,487,371 | $ | 2,399,603 | $ | 2,233,135 | ||||||||||
Loans held for investment | 1,676,799 | 1,564,578 | 1,485,156 | 1,364,106 | 1,311,511 | |||||||||||||||
Loans held for sale | 70,672 | 119,537 | 79,010 | 58,058 | 72,789 | |||||||||||||||
Securities | 754,154 | 804,544 | 820,661 | 783,234 | 752,861 | |||||||||||||||
Demand deposits | 405,162 | 397,629 | 324,292 | 359,628 | 309,927 | |||||||||||||||
Total deposits | 1,981,701 | 1,789,887 | 1,612,762 | 1,628,397 | 1,495,891 | |||||||||||||||
Other borrowings | 431,682 | 594,991 | 653,168 | 569,404 | 524,502 | |||||||||||||||
Long-term debt | 20,620 | 20,620 | 20,620 | 20,620 | 20,620 | |||||||||||||||
Stockholders’ equity | 194,511 | 195,275 | 190,314 | 174,327 | 182,587 | |||||||||||||||
End of period shares | 25,557,896 | 25,461,602 | 25,292,206 | 25,259,574 | 25,145,617 | |||||||||||||||
Book value (excluding securities gains/losses) | 7.79 | 7.57 | 7.31 | 7.09 | 6.91 | |||||||||||||||
SELECTED FINANCIAL RATIOS | ||||||||||||||||||||
Net interest margin | 3.61 | % | 3.58 | % | 3.38 | % | 3.24 | % | 3.24 | % | ||||||||||
Return on average assets | .82 | % | .94 | % | .85 | % | .77 | % | .71 | % | ||||||||||
Return on average equity | 10.89 | % | 12.50 | % | 11.25 | % | 10.04 | % | 8.96 | % | ||||||||||
Non-interest expense to earning assets | 2.94 | % | 2.63 | % | 2.53 | % | 2.52 | % | 2.58 | % | ||||||||||
Efficiency ratio | 69.1 | % | 63.2 | % | 63.9 | % | 66.3 | % | 66.8 | % | ||||||||||
Tier 1 capital ratio | 10.4 | % | 10.7 | % | 11.0 | % | 11.4 | % | 11.7 | % | ||||||||||
Total capital ratio | 11.3 | % | 11.7 | % | 12.0 | % | 12.5 | % | 12.8 | % | ||||||||||
Tier 1 leverage ratio | 8.3 | % | 8.3 | % | 8.3 | % | 8.6 | % | 8.7 | % | ||||||||||
ASSET QUALITY SUMMARY | ||||||||||||||||||||
Non-performing loans | $ | 6,065 | $ | 6,059 | $ | 7,016 | $ | 10,816 | $ | 13,203 | ||||||||||
Net charge-offs (recoveries) | (17 | ) | 233 | (78 | ) | 96 | 466 | |||||||||||||
Net charge-offs (recoveries) to average loans(1) | (.00 | )% | .06 | % | (.02 | )% | .03 | % | .15 | % | ||||||||||
Allowance to loans(1) | 1.12 | % | 1.20 | % | 1.26 | % | 1.34 | % | 1.37 | % | ||||||||||
Non-performing loans to total loans(1) | .36 | % | .39 | % | .47 | % | .79 | % | 1.01 | % | ||||||||||
Allowance to non-performing loans(1) | 3.1x | 3.1x | 2.7x | 1.7x | 1.4x |
(1) | Excludes loans held for sale. |
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TEXAS CAPITAL BANCSHARES, INC.
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
% | ||||||||||||
March 31, 2005 | March 31, 2004 | Change | ||||||||||
Assets | ||||||||||||
Cash and due from banks | $ | 86,846 | $ | 55,203 | 57 | % | ||||||
Federal funds sold | – | 4,620 | (100 | )% | ||||||||
Securities, available-for-sale | 754,154 | 752,861 | – | |||||||||
Loans held for sale | 70,672 | 72,789 | (3 | )% | ||||||||
Loans held for investment (net of unearned income) | 1,676,799 | 1,311,511 | 28 | % | ||||||||
Less: Allowance for loan losses | 18,715 | 18,011 | 4 | % | ||||||||
Loans held for investment, net | 1,658,084 | 1,293,500 | 28 | % | ||||||||
Premises and equipment, net | 4,581 | 4,635 | (1 | )% | ||||||||
Accrued interest receivable and other assets | 61,087 | 48,031 | 27 | % | ||||||||
Goodwill, net | 1,496 | 1,496 | – | |||||||||
Total assets | $ | 2,636,920 | $ | 2,233,135 | 18 | % | ||||||
Liabilities and Stockholders’ Equity | ||||||||||||
Liabilities: | ||||||||||||
Deposits: | ||||||||||||
Non-interest bearing | $ | 405,162 | $ | 309,927 | 31 | % | ||||||
Interest bearing | 1,276,529 | 1,131,598 | 13 | % | ||||||||
Interest bearing in foreign branches | 300,010 | 54,366 | 452 | % | ||||||||
Total deposits | 1,981,701 | 1,495,891 | 32 | % | ||||||||
Accrued interest payable | 3,125 | 2,226 | 40 | % | ||||||||
Other liabilities | 5,281 | 7,309 | (28 | )% | ||||||||
Federal funds purchased | 147,684 | 90,203 | 64 | % | ||||||||
Repurchase agreements | 282,964 | 432,291 | (35 | )% | ||||||||
Other borrowings | 1,034 | 2,008 | (49 | )% | ||||||||
Long-term debt | 20,620 | 20,620 | – | |||||||||
Total liabilities | 2,442,409 | 2,050,548 | 19 | % | ||||||||
Stockholders’ equity: | ||||||||||||
Common stock, $.01 par value: | ||||||||||||
Authorized shares – 100,000,000 | ||||||||||||
Issued shares – 25,557,896 and 24,858,683 at March 31, 2005 and 2004, respectively | 256 | 248 | ||||||||||
Series A-1 non-voting common stock, $.01 par value: | ||||||||||||
Issued shares – 286,934 at March 31, 2004 | – | 3 | ||||||||||
Additional paid-in capital | 173,397 | 169,074 | ||||||||||
Retained earnings | 25,323 | 4,424 | ||||||||||
Treasury stock (shares at cost: 84,274 at March 31, 2005 and 2004, respectively) | (573 | ) | (573 | ) | ||||||||
Deferred compensation | 573 | 573 | ||||||||||
Accumulated other comprehensive income (loss) | (4,465 | ) | 8,838 | |||||||||
Total stockholders’ equity | 194,511 | 182,587 | 7 | % | ||||||||
Total liabilities and stockholders’ equity | $ | 2,636,920 | $ | 2,233,135 | 18 | % | ||||||
5
TEXAS CAPITAL BANCSHARES, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands except per share data)
Three Months Ended March 31 | ||||||||
2005 | 2004 | |||||||
Interest income | ||||||||
Interest and fees on loans | $ | 25,692 | $ | 16,706 | ||||
Securities | 8,296 | 7,551 | ||||||
Federal funds sold | 80 | 15 | ||||||
Deposits in other banks | 119 | 2 | ||||||
Total interest income | 34,187 | 24,274 | ||||||
Interest expense | ||||||||
Deposits | 8,933 | 4,743 | ||||||
Federal funds purchased | 861 | 320 | ||||||
Repurchase agreements | 2,394 | 2,085 | ||||||
Other borrowings | 4 | 226 | ||||||
Long-term debt | 327 | 256 | ||||||
Total interest expense | 12,519 | 7,630 | ||||||
Net interest income | 21,668 | 16,644 | ||||||
Provision for loan losses | – | 750 | ||||||
Net interest income after provision for loan losses | 21,668 | 15,894 | ||||||
Non-interest income | 781 | 857 | ||||||
Service charges on deposit accounts | 781 | 857 | ||||||
Trust fee income | 586 | 437 | ||||||
Cash processing fees | – | 587 | ||||||
Bank owned life insurance (BOLI) income | 288 | 321 | ||||||
Mortgage warehouse fees | 219 | 238 | ||||||
Gain on sale of mortgage loans | 1,765 | 463 | ||||||
Other | 540 | 412 | ||||||
Total non-interest income | 4,179 | 3,315 | ||||||
Non-interest expense | ||||||||
Salaries and employee benefits | 11,529 | 8,130 | ||||||
Net occupancy expense | 1,683 | 1,334 | ||||||
Marketing | 699 | 534 | ||||||
Legal and professional | 1,097 | 793 | ||||||
Communications and data processing | 655 | 859 | ||||||
Franchise taxes | 45 | 97 | ||||||
Other | 2,146 | 1,585 | ||||||
Total non-interest expense | 17,854 | 13,332 | ||||||
Income before income taxes | 7,993 | 5,877 | ||||||
Income tax expense | 2,717 | 1,940 | ||||||
Net income | $ | 5,276 | $ | 3,937 | ||||
Earnings per share: | ||||||||
Basic | $ | .21 | $ | .16 | ||||
Diluted | $ | .20 | $ | .15 |
6
TEXAS CAPITAL BANCSHARES, INC.
SUMMARY OF LOAN LOSS EXPERIENCE
(Dollars in thousands)
1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | 1st Quarter | ||||||||||||||||
2005 | 2004 | 2004 | 2004 | 2004 | ||||||||||||||||
Beginning balance | $ | 18,698 | $ | 18,731 | $ | 18,278 | $ | 18,011 | $ | 17,727 | ||||||||||
Loans charged-off: | ||||||||||||||||||||
Commercial | 266 | 258 | – | – | – | |||||||||||||||
Real estate | – | – | – | – | – | |||||||||||||||
Consumer | 1 | 16 | 135 | 6 | – | |||||||||||||||
Leases | 58 | 115 | 65 | 266 | 493 | |||||||||||||||
Total | 325 | 389 | 200 | 272 | 493 | |||||||||||||||
Recoveries: | ||||||||||||||||||||
Commercial | 282 | 6 | 142 | – | – | |||||||||||||||
Leases | 60 | 150 | 136 | 176 | 27 | |||||||||||||||
Total recoveries | 342 | 156 | 278 | 176 | 27 | |||||||||||||||
Net charge-offs (recoveries) | (17 | ) | 233 | (78 | ) | 96 | 466 | |||||||||||||
Provision for loan losses | – | 200 | 375 | 363 | 750 | |||||||||||||||
Ending balance | $ | 18,715 | $ | 18,698 | $ | 18,731 | $ | 18,278 | $ | 18,011 | ||||||||||
Reserve to loans held for investment(2) | 1.12 | % | 1.20 | % | 1.26 | % | 1.34 | % | 1.37 | % | ||||||||||
Reserve to average loans held for investment(2) | 1.18 | % | 1.23 | % | 1.31 | % | 1.38 | % | 1.42 | % | ||||||||||
Net charge-offs (recoveries) to average loans(1)(2) | (.00 | )% | .06 | % | (.02 | )% | .03 | % | .15 | % | ||||||||||
Provision for loan losses to average loans(1) (2) | – | .05 | % | .10 | % | .11 | % | .24 | % | |||||||||||
Recoveries to total charge-offs | 105.2 | % | 40.1 | % | 139.0 | % | 64.7 | % | 5.5 | % | ||||||||||
Reserve as a multiple of net charge-offs | N/M | 80.2x | N/M | 190.4x | 38.7x | |||||||||||||||
Non-performing loans: | ||||||||||||||||||||
Loans past due (90 days)(2) | $ | 18 | $ | 209 | $ | 117 | $ | 4,423 | $ | 6,250 | ||||||||||
Non-accrual | 6,047 | 5,850 | 6,899 | 6,393 | 6,953 | |||||||||||||||
Total | $ | 6,065 | $ | 6,059 | $ | 7,016 | $ | 10,816 | $ | 13,203 | ||||||||||
Reserve as a percent of non-performing loans(2) | 3.1x | 3.1x | 2.7x | 1.7x | 1.4x |
(1) | Interim period ratios are annualized. | |||
(2) | Excludes loans held for sale. |
7
TEXAS CAPITAL BANCSHARES, INC.
CONSOLIDATED STATEMENT OF OPERATIONS
(Dollars in thousands)
1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | 1st Quarter | ||||||||||||||||
2005 | 2004 | 2004 | 2004 | 2004 | ||||||||||||||||
Interest income | ||||||||||||||||||||
Interest and fees on loans | $ | 25,692 | $ | 23,941 | $ | 20,455 | $ | 17,498 | $ | 16,706 | ||||||||||
Securities | 8,296 | 8,567 | 8,546 | 7,536 | 7,551 | |||||||||||||||
Federal funds sold | 80 | 17 | 15 | 18 | 15 | |||||||||||||||
Deposits in other banks | 119 | 4 | 3 | 4 | 2 | |||||||||||||||
Total interest income | 34,187 | 32,529 | 29,019 | 25,056 | 24,274 | |||||||||||||||
Interest expense | ||||||||||||||||||||
Deposits | 8,933 | 7,315 | 6,231 | 4,948 | 4,743 | |||||||||||||||
Federal funds purchased | 861 | 740 | 437 | 294 | 320 | |||||||||||||||
Repurchase agreements | 2,394 | 2,631 | 2,572 | 2,250 | 2,085 | |||||||||||||||
Other borrowings | 4 | 80 | 112 | 56 | 226 | |||||||||||||||
Long-term debt | 327 | 303 | 281 | 256 | 256 | |||||||||||||||
Total interest expense | 12,519 | 11,069 | 9,633 | 7,804 | 7,630 | |||||||||||||||
Net interest income | 21,668 | 21,460 | 19,386 | 17,252 | 16,644 | |||||||||||||||
Provision for loan losses | – | 200 | 375 | 363 | 750 | |||||||||||||||
Net interest income after provision for loan losses | 21,668 | 21,260 | 19,011 | 16,889 | 15,894 | |||||||||||||||
Non-interest income | ||||||||||||||||||||
Service charges on deposit accounts | 781 | 797 | 825 | 891 | 857 | |||||||||||||||
Trust fee income | 586 | 559 | 482 | 454 | 437 | |||||||||||||||
Cash processing fees | – | – | – | – | 587 | |||||||||||||||
Bank owned life insurance (BOLI) income | 288 | 292 | 346 | 329 | 321 | |||||||||||||||
Mortgage warehouse fees | 219 | 243 | 241 | 274 | 238 | |||||||||||||||
Gain on sale of mortgage loans | 1,765 | 1,145 | 1,083 | 729 | 463 | |||||||||||||||
Other | 540 | 702 | 486 | 439 | 412 | |||||||||||||||
Total non-interest income | 4,179 | 3,738 | 3,463 | 3,116 | 3,315 | |||||||||||||||
Non-interest expense | ||||||||||||||||||||
Salaries and employee benefits | 11,529 | 9,786 | 8,914 | 7,964 | 8,130 | |||||||||||||||
Net occupancy expense | 1,683 | 1,577 | 1,443 | 1,341 | 1,334 | |||||||||||||||
Marketing | 699 | 837 | 669 | 569 | 534 | |||||||||||||||
Legal and professional | 1,097 | 814 | 755 | 779 | 793 | |||||||||||||||
Communications and data processing | 655 | 540 | 764 | 995 | 859 | |||||||||||||||
Franchise taxes | 45 | 41 | 52 | 56 | 97 | |||||||||||||||
Other | 2,146 | 2,322 | 1,998 | 1,792 | 1,585 | |||||||||||||||
Total non-interest expense | 17,854 | 15,917 | 14,595 | 13,496 | 13,332 | |||||||||||||||
Income before income taxes | 7,993 | 9,081 | 7,879 | 6,509 | 5,877 | |||||||||||||||
Income tax expense | 2,717 | 3,054 | 2,643 | 2,149 | 1,940 | |||||||||||||||
Net income | $ | 5,276 | $ | 6,027 | $ | 5,236 | $ | 4,360 | $ | 3,937 | ||||||||||
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QUARTERLY FINANCIAL SUMMARY – UNAUDITED
Consolidated Daily Average Balances, Average Yields and Rates
(Dollars in thousands)
1st Quarter 2005 | 4th Quarter 2004 | 3rd Quarter 2004 | 2nd Quarter 2004 | 1st Quarter 2004 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Average | Revenue/ | Yield/ | Average | Revenue/ | Yield/ | Average | Revenue/ | Yield/ | Average | Revenue/ | Yield/ | Average | Revenue/ | Yield/ | ||||||||||||||||||||||||||||||||||||||||||||||
Balance | Expense(1)(2) | Rate | Balance | Expense(1)(2) | Rate | Balance | Expense(1)(2) | Rate | Balance | Expense(1)(2) | Rate | Balance | Expense(1)(2) | Rate | ||||||||||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities – Taxable | $ | 729,907 | $ | 7,861 | 4.37 | % | $ | 765,943 | $ | 8,168 | 4.24 | % | $ | 776,302 | $ | 8,337 | 4.27 | % | $ | 748,343 | $ | 7,396 | 3.97 | % | $ | 745,042 | $ | 7,442 | 4.02 | % | ||||||||||||||||||||||||||||||
Securities – Non-taxable | 48,715 | 669 | 5.57 | % | 44,907 | 614 | 5.44 | % | 24,925 | 322 | 5.14 | % | 17,664 | 215 | 4.90 | % | 13,924 | 168 | 4.85 | % | ||||||||||||||||||||||||||||||||||||||||
Federal funds sold | 12,377 | 80 | 2.62 | % | 3,159 | 17 | 2.14 | % | 4,192 | 15 | 1.42 | % | 7,686 | 18 | 0.94 | % | 6,058 | 15 | 1.00 | % | ||||||||||||||||||||||||||||||||||||||||
Deposits in other banks | 17,858 | 119 | 2.70 | % | 773 | 4 | 2.06 | % | 1,128 | 3 | 1.06 | % | 995 | 4 | 1.62 | % | 829 | 2 | 0.97 | % | ||||||||||||||||||||||||||||||||||||||||
Loans held for sale | 81,956 | 2,281 | 11.29 | % | 94,510 | 2,191 | 9.22 | % | 70,730 | 1,765 | 9.93 | % | 68,922 | 1,456 | 8.50 | % | 61,177 | 1,157 | 7.61 | % | ||||||||||||||||||||||||||||||||||||||||
Loans | 1,590,207 | 23,411 | 5.97 | % | 1,516,672 | 21,750 | 5.71 | % | 1,432,860 | 18,690 | 5.19 | % | 1,326,066 | 16,042 | 4.87 | % | 1,265,840 | 15,549 | 4.94 | % | ||||||||||||||||||||||||||||||||||||||||
Less reserve for loan losses | 18,930 | – | – | 18,870 | – | – | 18,440 | – | – | 18,205 | – | – | 17,720 | – | – | |||||||||||||||||||||||||||||||||||||||||||||
Loans, net of reserve | 1,653,233 | 25,692 | 6.30 | % | 1,592,312 | 23,941 | 5.98 | % | 1,485,150 | 20,455 | 5.48 | % | 1,376,783 | 17,498 | 5.11 | % | 1,309,297 | 16,706 | 5.13 | % | ||||||||||||||||||||||||||||||||||||||||
Total earning assets | 2,462,090 | 34,421 | 5.67 | % | 2,407,094 | 32,744 | 5.41 | % | 2,291,697 | 29,132 | 5.06 | % | 2,151,471 | 25,131 | 4.70 | % | 2,075,150 | 24,333 | 4.72 | % | ||||||||||||||||||||||||||||||||||||||||
Cash and other assets | 148,557 | 137,702 | 157,255 | 138,399 | 146,414 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 2,610,647 | $ | 2,544,796 | $ | 2,448,952 | $ | 2,289,870 | $ | 2,221,564 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities and Stockholders’ Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Transaction deposits | $ | 107,162 | $ | 255 | 0.97 | % | $ | 104,621 | $ | 230 | 0.87 | % | $ | 99,245 | $ | 150 | 0.60 | % | $ | 95,031 | $ | 140 | 0.59 | % | $ | 88,635 | $ | 132 | .60 | % | ||||||||||||||||||||||||||||||
Savings deposits | 613,391 | 3,147 | 2.08 | % | 587,020 | 2,548 | 1.73 | % | 581,616 | 2,005 | 1.37 | % | 560,182 | 1,639 | 1.18 | % | 504,530 | 1,499 | 1.19 | % | ||||||||||||||||||||||||||||||||||||||||
Time deposits | 765,497 | 5,531 | 2.93 | % | 658,447 | 4,537 | 2.74 | % | 631,115 | 4,076 | 2.57 | % | 566,369 | 3,169 | 2.25 | % | 534,981 | 3,112 | 2.34 | % | ||||||||||||||||||||||||||||||||||||||||
Total interest bearing deposits | 1,486,050 | 8,933 | 2.44 | % | 1,350,088 | 7,315 | 2.16 | % | 1,311,976 | 6,231 | 1.89 | % | 1,221,582 | 4,948 | 1.63 | % | 1,128,146 | 4,743 | 1.69 | % | ||||||||||||||||||||||||||||||||||||||||
Other borrowings | 534,773 | 3,259 | 2.47 | % | 635,552 | 3,451 | 2.16 | % | 617,394 | 3,121 | 2.01 | % | 574,942 | 2,600 | 1.82 | % | 620,982 | 2,631 | 1.70 | % | ||||||||||||||||||||||||||||||||||||||||
Long-term debt | 20,620 | 327 | 6.43 | % | 20,620 | 303 | 5.85 | % | 20,620 | 281 | 5.42 | % | 20,620 | 256 | 4.99 | % | 20,620 | 256 | 4.99 | % | ||||||||||||||||||||||||||||||||||||||||
Total interest bearing liabilities | 2,041,443 | 12,519 | 2.49 | % | 2,006,260 | 11,069 | 2.19 | % | 1,949,990 | 9,633 | 1.97 | % | 1,817,144 | 7,804 | 1.73 | % | 1,769,748 | 7,630 | 1.73 | % | ||||||||||||||||||||||||||||||||||||||||
Demand deposits | 363,398 | 335,914 | 302,338 | 289,973 | 265,039 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other liabilities | 9,241 | 10,732 | 11,395 | 8,047 | 10,013 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders’ equity | 196,565 | 191,890 | 185,229 | 174,706 | 176,764 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,610,647 | $ | 2,544,796 | $ | 2,448,952 | $ | 2,289,870 | $ | 2,221,564 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income | $ | 21,902 | $ | 21,675 | $ | 19,499 | $ | 17,327 | $ | 16,703 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income to earning assets | 3.61 | % | 3.58 | % | 3.38 | % | 3.24 | % | 3.24 | % |
(1) | The loan averages include loans on which the accrual of interest has been discontinued and are stated net of unearned income. | |||
(2) | Taxable equivalent rates used where applicable. |
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