Thank you, Michael.
decline of income just balance The the the down the result statement additional decline result the by which where in increase volume Revenue, which I'm quarter. of the growth through non-interest income on lower interest from of second loans of walk to net $X.X $XXX,XXX interest in items decrease As I discussion held partially million, offset expense, loan the and is income, warranted. in those quarter. books. going non-interest was a the X% was million some was on loans The our sheet, in to income, already is and focus repricing of net $XX due was a
very are quarter, our able been just interest the we've margin with the was previous quarter. margin. net point The We in pleased basis X.XX% maintain to X the from down stability in
loan increase, have the able we to largely the our offset continue average been on margin costs deposit our to yields. our with increase in While pressure
repricing seeing expected. We are the we that benefits of
$XXX average loans repriced This the points average quarter, of that quarter. in an of basis we During approximately loan higher. yields mortgage X.XX% million our in XX points increasing third the mainly resulted LIBOR-based XXX to had basis
our $XXX addition, mortgage prime-based rising our In million approximately us loans from continues production portfolio or which for provides positive loan XX the X-year of to is will X-year entire Most increase. our benefit rates. reset exposure interest our late average be of ARMs, and months, to September
higher. increase basis seeing points are average yields an deposit We are the increase deposit increase interest-bearing expect XXX an a LIBOR-based maturities. of cost offset we in approximately that monthly average is XX the by we of least basis to of issue at and partially loan our implementing payoffs, to that million our prior point XX strategy loans cost driven saw on XX in to CDs we reprice will at month to $XX rate average basis continue in extend mostly is our The liabilities. level The
and quarter, million million in third XX we month CDs. CDs XX-month the in $XX issued During $XX
results longer in manage ultimately better will deposit term. a deposit the strategy this us the cost believe help While over near-term higher to we our beta,
the Looking quarter. to ahead fourth
some continued our are aggressive markets, would benefit will we given to we see net While we in compression in our repricings, the expect from margin. interest loan deposit seeing pricing
sale non-interest the sold of prior premiums second result gain income from decrease the in on decline increased level mortgages million total quarter, the our million down in secondary strictly was actually sale the loan from amount was residential discussed. lower quarter. the due of Our loans due of a market Michael $X.X was The for quarter. $X.X to sold to the that the as the loans of This for
costs, to from and assessments. accrual to expense third is This the million, expansion decline largely quarter. the in partially for and increases in occupancy for $XX.X newer was higher non-interest as The professional as $XX.X totaled was fees. on slight advertising both primarily FDIC expense offset and million marketing which salary attributable well decrease equipment Our the and costs markets adjustments our related nonrecurring a prior quarter by
grow increase to expenses fourth to hire open high expect to range talent in help the continue gather ratio and in of within But XXXX we branches XXs. deposits efficiency core even move we will the with operating We keep and targeted up the as quarter our expect early expenses, our in us lending. mid to and
third increase a held $XX for $XX increase the to sale in real sale, previous an decrease mortgage the of a Total residential for in and quarter. sheet. A quarter. $X loans the million include and had investment to loans, loans for held balance billion We of $XXX partially at and sale the increase in quarter, held from commercial at million by residential million loans million Moving $X.XX which end investment. the for $XX contributed mortgage of for the in approximately held and construction offset held end growth loans was loans million the were mortgage estate
remains the demand We this loans, of similar these process are in strong most in potentially of likely fourth institutional on for loans result sales a our in loan to higher as selling will the gain quarter. and
were billion broker Total million an million increase Turning the time increase million and was in offset in increase to by increase a quarter. September $XX $XX deposits $X.XX a from partially to previous million deposits non-maturity of retail the $XX primarily in end XX, decrease attributable $XX deposits. The deposits, at a of deposits.
that had for when totaled assets we this restructuring troubled total maturity a to Moving of basis at had of basis loan up on again, end end accrual payments, to the was the from primarily and Non-performing as XX the due at quality. we is quarter, Once do points the and became not quarter. recoveries million increase any the recoveries. on losses credit. we quarter extended. debt The and no $X.X was points charge-offs anticipate asset XX the assets loan remains The current on a of construction in $XX,XXX prior net
mention special $XXX,XXX, Our loan due losses loans. an increase to for was was primarily provision in which
special on mention don't this loans. these there some downgrades were quarter, Although losses anticipate any to we
lack for points allowance provision loan ready for the questions. losses of up the the at XX total that, quarter, With are basis charge-offs for we loans had will September open increased and call X XX. this basis your Operator, of our to we questions. we With points
