04/25/2024 | Press release | Distributed by Public on 04/25/2024 14:48
($ in thousands, except per share data) | As of and For the Three Months Ended | % Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Selected Income Statement Data: | ||||||||||
Net interest income | $ | 15,979 | $ | 16,230 | $ | 17,892 | (1.5) | % | (10.7) | % |
Provision for (reversal of) credit losses | 145 | 630 | (338) | (77.0) | (142.9) | |||||
Noninterest income | 3,586 | 3,680 | 4,295 | (2.6) | (16.5) | |||||
Noninterest expense | 12,157 | 11,983 | 11,908 | 1.5 | 2.1 | |||||
Income tax expense | 2,037 | 2,125 | 3,083 | (4.1) | (33.9) | |||||
Net income | 5,226 | 5,172 | 7,534 | 1.0 | (30.6) | |||||
Diluted earnings per share | 0.34 | 0.34 | 0.48 | - | (29.2) | |||||
Selected Balance Sheet Data: | ||||||||||
Gross loans
|
$ | 1,804,987 | $ | 1,765,845 | $ | 1,692,485 | 2.2 | % | 6.6 | % |
Total deposits | 1,895,411 | 1,807,558 | 1,904,818 | 4.9 | (0.5) | |||||
Total assets | 2,234,520 | 2,147,730 | 2,170,594 | 4.0 | 2.9 | |||||
Average loans(1)
|
1,808,932 | 1,787,540 | 1,725,392 | 1.2 | 4.8 | |||||
Average deposits | 1,836,331 | 1,813,411 | 1,867,684 | 1.3 | (1.7) | |||||
Credit Quality: | ||||||||||
Nonperforming loans | $ | 4,343 | $ | 6,082 | $ | 2,504 | (28.6) | % | 73.4 | % |
Nonperforming loans to gross loans | 0.24 | % | 0.34 | % | 0.15 | % | (0.10) | 0.09 | ||
Criticized loans(2) to gross loans
|
0.64 | 0.76 | 0.34 | (0.12) | 0.30 | |||||
Net charge-offs(3) to average gross loans(1)
|
0.01 | 0.04 | 0.02 | (0.03) | (0.01) | |||||
Allowance for credit losses to gross loans | 1.23 | 1.25 | 1.23 | (0.02) | - | |||||
Allowance for credit losses to nonperforming loans | 510 | 362 | 831 | 148.00 | (321.00) | |||||
Financial Ratios: | ||||||||||
Return on average assets(3)
|
0.96 | % | 0.96 | % | 1.43 | % | - | % | (0.47) | % |
Return on average equity(3)
|
10.83 | 11.18 | 16.82 | (0.35) | (5.99) | |||||
Net interest margin(3)
|
3.06 | 3.12 | 3.57 | (0.06) | (0.51) | |||||
Efficiency ratio(4)
|
62.14 | 60.19 | 53.67 | 1.95 | 8.47 | |||||
Common equity tier 1 capital ratio | 12.34 | 12.52 | 12.06 | (0.18) | 0.28 | |||||
Leverage ratio | 9.65 | 9.57 | 9.43 | 0.08 | 0.22 | |||||
Book value per common share | $ | 13.00 | $ | 12.84 | $ | 12.02 | 1.2 | 8.2 | ||
($ in thousands) | For the Three Months Ended | % Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Interest Income | ||||||||||
Interest income | $ | 32,913 | $ | 31,783 | $ | 28,594 | 3.6 | % | 15.1 | % |
Interest expense | 16,934 | 15,553 | 10,702 | 8.9 | 58.2 | |||||
Net interest income | $ | 15,979 | $ | 16,230 | $ | 17,892 | (1.5) | % | (10.7) | % |
($ in thousands) | For the Three Months Ended | |||||||||||||||||
1Q2024 | 4Q2023 | 1Q2023 | ||||||||||||||||
Average Balance |
Interest and Fees |
Yield/Rate(1)
|
Average Balance |
Interest and Fees |
Yield/Rate(1)
|
Average Balance |
Interest and Fees |
Yield/Rate(1)
|
||||||||||
Interest-earning Assets: | ||||||||||||||||||
Loans | $ | 1,808,932 | $ | 30,142 | 6.69 | % | $ | 1,787,540 | $ | 28,914 | 6.43 | % | $ | 1,725,392 | $ | 26,011 | 6.10 | % |
Total interest-earning assets | 2,089,627 | 32,913 | 6.32 | 2,071,613 | 31,783 | 6.10 | 2,022,146 | 28,594 | 5.71 | |||||||||
Interest-bearing Liabilities: | ||||||||||||||||||
Interest-bearing deposits | 1,321,828 | 15,675 | 4.77 | 1,243,446 | 14,127 | 4.51 | 1,196,194 | 10,382 | 3.52 | |||||||||
Total interest-bearing liabilities | 1,430,509 | 16,934 | 4.76 | 1,362,210 | 15,553 | 4.53 | 1,222,362 | 10,702 | 3.55 | |||||||||
Ratios: | ||||||||||||||||||
Net interest income / interest rate spreads | 15,979 | 1.56 | 16,230 | 1.57 | 17,892 | 2.16 | ||||||||||||
Net interest margin | 3.06 | 3.12 | 3.57 | |||||||||||||||
Total deposits / cost of deposits | 1,836,331 | 15,675 | 3.43 | 1,813,411 | 14,127 | 3.09 | 1,867,684 | 10,382 | 2.25 | |||||||||
Total funding liabilities / cost of funds | 1,945,012 | 16,934 | 3.50 | 1,932,175 | 15,553 | 3.19 | 1,893,852 | 10,702 | 2.29 | |||||||||
($ in thousands) | For the Three Months Ended | Yield Change 1Q2024 vs. | ||||||||||||||
1Q2024 | 4Q2023 | 1Q2023 | ||||||||||||||
Interest & Fees |
Yield(1)
|
Interest & Fees |
Yield(1)
|
Interest & Fees |
Yield(1)
|
4Q2023 | 1Q2023 | |||||||||
Loan Yield Component: | ||||||||||||||||
Contractual interest rate | $ | 28,877 | 6.41 | % | $ | 28,596 | 6.36 | % | $ | 25,477 | 5.97 | % | 0.05 | % | 0.44 | % |
SBA loan discount accretion | 881 | 0.20 | 960 | 0.21 | 974 | 0.23 | (0.01) | (0.03) | ||||||||
Amortization of net deferred fees | 54 | 0.01 | (67) | (0.01) | 79 | 0.02 | 0.02 | (0.01) | ||||||||
Amortization of premium | (428) | (0.10) | (423) | (0.09) | (392) | (0.09) | (0.01) | (0.01) | ||||||||
Net interest recognized on nonaccrual loans | 492 | 0.11 | (345) | (0.08) | (243) | (0.06) | 0.19 | 0.17 | ||||||||
Prepayment penalties(2) and other fees
|
266 | 0.06 | 193 | 0.04 | 116 | 0.03 | 0.02 | 0.03 | ||||||||
Yield on loans | $ | 30,142 | 6.69 | % | $ | 28,914 | 6.43 | % | $ | 26,011 | 6.10 | % | 0.26 | % | 0.59 | % |
($ in thousands) | For the Three Months Ended | |||||
1Q2024 | 4Q2023 | 1Q2023 | ||||
Provision for (reversal of) credit losses on loans | $ | 193 | $ | 537 | $ | (258) |
Provision for (reversal of ) credit losses on off-balance sheet exposure | (48) | 93 | (80) | |||
Total provision for (reversal of) credit losses | $ | 145 | $ | 630 | $ | (338) |
($ in thousands) | For the Three Months Ended | % Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Noninterest Income | ||||||||||
Service charges on deposits | $ | 612 | $ | 557 | $ | 418 | 9.9 | % | 46.4 | % |
Loan servicing fees, net of amortization | 772 | 540 | 846 | 43.0 | (8.7) | |||||
Gain on sale of loans | 1,703 | 1,996 | 2,570 | (14.7) | (33.7) | |||||
Other income | 499 | 587 | 461 | (15.0) | 8.2 | |||||
Total noninterest income | $ | 3,586 | $ | 3,680 | $ | 4,295 | (2.6) | % | (16.5) | % |
($ in thousands) | For the Three Months Ended | % Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Noninterest Expense | ||||||||||
Salaries and employee benefits | $ | 7,841 | $ | 7,646 | $ | 7,252 | 2.6 | % | 8.1 | % |
Occupancy and equipment | 1,655 | 1,616 | 1,570 | 2.4 | 5.4 | |||||
Data processing and communication | 487 | 644 | 550 | (24.4) | (11.5) | |||||
Professional fees | 395 | 391 | 359 | 1.0 | 10.0 | |||||
FDIC insurance and regulatory assessments | 374 | 237 | 467 | 57.8 | (19.9) | |||||
Promotion and advertising | 149 | 86 | 162 | 73.3 | (8.0) | |||||
Directors' fees | 157 | 145 | 161 | 8.3 | (2.5) | |||||
Foundation donation and other contributions | 540 | 524 | 753 | 3.1 | (28.3) | |||||
Other expenses | 559 | 694 | 634 | (19.5) | (11.8) | |||||
Total noninterest expense | $ | 12,157 | $ | 11,983 | $ | 11,908 | 1.5 | % | 2.1 | % |
($ in thousands) | As of | % Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
CRE loans | $ | 905,534 | $ | 885,585 | $ | 833,615 | 2.3 | % | 8.6 | % |
SBA loans | 247,550 | 239,692 | 238,994 | 3.3 | 3.6 | |||||
C&I loans | 147,508 | 120,970 | 117,841 | 21.9 | 25.2 | |||||
Home mortgage loans | 502,995 | 518,024 | 500,635 | (2.9) | 0.5 | |||||
Consumer & other loans | 1,400 | 1,574 | 1,400 | (11.1) | - | |||||
Gross loans | $ | 1,804,987 | $ | 1,765,845 | $ | 1,692,485 | 2.2 | % | 6.6 | % |
($ in thousands) | For the Three Months Ended | % Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
CRE loans | $ | 44,596 | $ | 15,885 | $ | 24,200 | 180.7 | % | 84.3 | % |
SBA loans
|
52,379 | 51,855 | 16,258 | 1.0 | 222.2 | |||||
C&I loans | 23,775 | 15,270 | 7,720 | 55.7 | 208.0 | |||||
Home mortgage loans | 2,478 | 12,417 | 20,617 | (80.0) | (88.0) | |||||
Consumer & other loans | - | 1,500 | - | (100.0) | - | |||||
Gross loans | $ | 123,228 | $ | 96,927 | $ | 68,795 | 27.1 | % | 79.1 | % |
($ in thousands) | For the Three Months Ended | |||||
1Q2024 | 4Q2023 | 1Q2023 | ||||
Loan Activities: | ||||||
Gross loans, beginning | $ | 1,765,845 | $ | 1,759,525 | $ | 1,678,292 |
New originations | 123,228 | 96,927 | 68,795 | |||
Net line advances | 15,313 | (7,350) | 10,356 | |||
Purchases | - | 2,371 | 12,142 | |||
Sales | (32,106) | (40,122) | (45,021) | |||
Paydowns | (24,557) | (19,901) | (40,190) | |||
Payoffs | (28,539) | (23,590) | (28,326) | |||
PPP payoffs | - | - | (200) | |||
Decrease (increase) in loans held for sale | (14,280) | (1,795) | 36,802 | |||
Other | 83 | (220) | (165) | |||
Total | 39,142 | 6,320 | 14,193 | |||
Gross loans, ending | $ | 1,804,987 | $ | 1,765,845 | $ | 1,692,485 |
($ in thousands) | As of | |||||||||||
1Q2024 | 4Q2023 | 1Q2023 | ||||||||||
% | Rate | % | Rate | % | Rate | |||||||
Fixed rate | 35.1 | % | 5.17 | % | 35.1 | % | 5.07 | % | 36.5 | % | 4.76 | % |
Hybrid rate | 32.8 | 5.22 | 33.9 | 5.15 | 34.2 | 4.94 | ||||||
Variable rate | 32.1 | 9.16 | 31.0 | 9.15 | 29.3 | 8.76 | ||||||
Gross loans | 100.0 | % | 6.47 | % | 100.0 | % | 6.35 | % | 100.0 | % | 5.99 | % |
($ in thousands) | As of March 31, 2024 | |||||||||||||||
Within One Year | One Year Through Five Years | After Five Years | Total | |||||||||||||
Amount | Rate | Amount | Rate | Amount | Rate | Amount | Rate | |||||||||
Fixed rate | $ | 125,369 | 5.81 | % | $ | 282,814 | 4.93 | % | $ | 226,332 | 5.11 | % | $ | 634,515 | 5.17 | % |
Hybrid rate | - | - | 138,336 | 4.17 | 453,281 | 5.54 | 591,617 | 5.22 | ||||||||
Variable rate | 113,184 | 8.79 | 130,126 | 9.02 | 335,545 | 9.34 | 578,855 | 9.16 | ||||||||
Gross loans | $ | 238,553 | 7.22 | % | $ | 551,276 | 5.71 | % | $ | 1,015,158 | 6.70 | % | $ | 1,804,987 | 6.47 | % |
($ in thousands) | As of and For the Three Months Ended | % Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Allowance for credit losses on loans, beginning | $ | 21,993 | $ | 21,617 | $ | 19,241 | 1.7 | % | 14.3 | % |
Impact of CECL adoption | - | - | 1,924 | n/m | n/m | |||||
Provision for (reversal of) credit losses
|
193 | 537 | (258) | (64.1) | (174.8) | |||||
Gross charge-offs | (68) | (236) | (116) | (71.2) | (41.4) | |||||
Gross recoveries | 11 | 75 | 23 | (85.3) | (52.2) | |||||
Net charge-offs | (57) | (161) | (93) | (64.6) | (38.7) | |||||
Allowance for credit losses on loans, ending
|
$ | 22,129 | $ | 21,993 | $ | 20,814 | 0.6 | % | 6.3 | % |
Allowance for credit losses on off-balance sheet exposure, beginning | $ | 516 | $ | 423 | $ | 263 | 22.0 | % | 96.2 | % |
Impact of CECL adoption | - | - | 184 | n/m | n/m | |||||
Provision for (reversal of) credit losses
|
(48) | 93 | (80) | (151.6) | (40.0) | |||||
Allowance for credit losses on off-balance sheet exposure, ending
|
$ | 468 | $ | 516 | $ | 367 | (9.3) | % | 27.5 | % |
($ in thousands) | As of and For the Three Months Ended | Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Loans 30-89 days past due and still accruing | $ | 3,904 | $ | 9,607 | $ | 4,866 | (59.4) | % | (19.8) | % |
As a % of gross loans | 0.22 | % | 0.54 | % | 0.29 | % | (0.32) | (0.07) | ||
Nonperforming loans(1)
|
$ | 4,343 | $ | 6,082 | $ | 2,504 | (28.6) | % | 73.4 | % |
Nonperforming assets(1)
|
5,580 | 6,082 | 2,504 | (8.3) | 122.8 | |||||
Nonperforming loans to gross loans | 0.24 | % | 0.34 | % | 0.15 | % | (0.10) | 0.09 | ||
Nonperforming assets to total assets | 0.25 | % | 0.28 | % | 0.12 | % | (0.03) | 0.13 | ||
Criticized loans(1)(2)
|
$ | 11,564 | $ | 13,349 | $ | 5,772 | (13.4) | % | 100.3 | % |
Criticized loans to gross loans | 0.64 | % | 0.76 | % | 0.34 | % | (0.12) | 0.30 | ||
Allowance for credit losses ratios: | ||||||||||
As a % of gross loans | 1.23 | % | 1.25 | % | 1.23 | % | (0.02) | % | - | % |
As a % of nonperforming loans | 510 | 362 | 831 | 148 | (321) | |||||
As a % of nonperforming assets | 397 | 362 | 831 | 35 | (434) | |||||
As a % of criticized loans | 191 | 165 | 361 | 26 | (170) | |||||
Net charge-offs(3) to average gross loans(4)
|
0.01 | 0.04 | 0.02 | (0.03) | (0.01) | |||||
($ in thousands) | As of | % Change 1Q2024 vs. | ||||||||||||||
1Q2024 | 4Q2023 | 1Q2023 | ||||||||||||||
Amount | % | Amount | % | Amount | % | 4Q2023 | 1Q2023 | |||||||||
Noninterest-bearing deposits | $ | 539,396 | 28.5 | % | $ | 522,751 | 28.9 | % | $ | 643,902 | 33.8 | % | 3.2 | % | (16.2) | % |
Money market deposits and others | 327,718 | 17.3 | 399,018 | 22.1 | 436,796 | 22.9 | (17.9) | (25.0) | ||||||||
Time deposits | 1,028,297 | 54.2 | 885,789 | 49.0 | 824,120 | 43.3 | 16.1 | 24.8 | ||||||||
Total deposits | $ | 1,895,411 | 100.0 | % | $ | 1,807,558 | 100.0 | % | $ | 1,904,818 | 100.0 | % | 4.9 | % | (0.5) | % |
Estimated uninsured deposits | $ | 1,248,644 | 65.9 | % | $ | 1,156,270 | 64.0 | % | $ | 900,579 | 47.3 | % | 8.0 | % | 38.6 | % |
As of March 31, 2024 | ||||||||||||
($ in thousands) |
Within Three Months |
Three to Six Months |
Six to Nine Months |
Nine to Twelve Months |
After Twelve Months |
Total | ||||||
Time deposits (more than $250) | $ | 95,516 | $ | 65,321 | $ | 143,382 | $ | 142,830 | $ | 4,448 | $ | 451,497 |
Time deposits ($250 or less) | 151,358 | 102,471 | 186,340 | 104,481 | 32,150 | 576,800 | ||||||
Total time deposits | $ | 246,874 | $ | 167,792 | $ | 329,722 | $ | 247,311 | $ | 36,598 | $ | 1,028,297 |
Weighted average rate | 4.97 | % | 4.99 | % | 5.18 | % | 5.04 | % | 4.25 | % | 5.03 | % |
($ in thousands) | 1Q2024 | 4Q2023 | 1Q2023 | |||
Liquidity Assets: | ||||||
Cash and cash equivalents | $ | 139,246 | $ | 91,216 | $ | 181,509 |
Available-for-sale debt securities | 187,225 | 194,250 | 212,767 | |||
Liquid assets | $ | 326,471 | $ | 285,466 | $ | 394,276 |
Liquid assets to total assets | 14.6 | % | 13.3 | % | 18.2 | % |
Available borrowings: | ||||||
Federal Home Loan Bank-San Francisco | $ | 331,917 | $ | 363,615 | $ | 406,500 |
Federal Reserve Bank | 185,913 | 182,989 | 174,284 | |||
Pacific Coast Bankers Bank | 50,000 | 50,000 | 50,000 | |||
Zions Bank | 25,000 | 25,000 | 25,000 | |||
First Horizon Bank | 25,000 | 25,000 | 24,950 | |||
Total available borrowings | $ | 617,830 | $ | 646,604 | $ | 680,734 |
Total available borrowings to total assets | 27.6 | % | 30.1 | % | 31.4 | % |
Liquid assets and available borrowings to total deposits | 49.8 | % | 51.6 | % | 56.4 | % |
Basel III | ||||||||
OP Bancorp(1)
|
Open Bank |
Minimum Well Capitalized Ratio |
Minimum
Capital Ratio+
Conservation
Buffer(2)
|
|||||
Risk-Based Capital Ratios: | ||||||||
Total risk-based capital ratio | 13.59 | % | 13.53 | % | 10.00 | % | 10.50 | % |
Tier 1 risk-based capital ratio | 12.34 | 12.28 | 8.00 | 8.50 | ||||
Common equity tier 1 ratio | 12.34 | 12.28 | 6.50 | 7.00 | ||||
Leverage ratio | 9.65 | 9.60 | 5.00 | 4.00 | ||||
OP Bancorp | Basel III | Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Risk-Based Capital Ratios: | ||||||||||
Total risk-based capital ratio | 13.59 | % | 13.77 | % | 13.27 | % | (0.18) | % | 0.32 | % |
Tier 1 risk-based capital ratio | 12.34 | 12.52 | 12.06 | (0.18) | 0.28 | |||||
Common equity tier 1 ratio | 12.34 | 12.52 | 12.06 | (0.18) | 0.28 | |||||
Leverage ratio | 9.65 | 9.57 | 9.43 | 0.08 | 0.22 | |||||
Risk-weighted Assets ($ in thousands) | $ | 1,715,185 | $ | 1,667,067 | $ | 1,659,584 | 2.89 | 3.35 | ||
($ in thousands) | As of | % Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Assets | ||||||||||
Cash and due from banks | $ | 20,513 | $ | 16,948 | $ | 16,781 | 21.0 | % | 22.2 | % |
Interest-bearing deposits in other banks | 118,733 | 74,268 | 164,728 | 59.9 | (27.9) | |||||
Cash and cash equivalents | 139,246 | 91,216 | 181,509 | 52.7 | (23.3) | |||||
Available-for-sale debt securities, at fair value | 187,225 | 194,250 | 212,767 | (3.6) | (12.0) | |||||
Other investments | 16,264 | 16,276 | 12,172 | (0.1) | 33.6 | |||||
Loans held for sale | 16,075 | 1,795 | 7,534 | 795.5 | 113.4 | |||||
CRE loans | 905,534 | 885,585 | 833,615 | 2.3 | 8.6 | |||||
SBA loans | 247,550 | 239,692 | 238,994 | 3.3 | 3.6 | |||||
C&I loans | 147,508 | 120,970 | 117,841 | 21.9 | 25.2 | |||||
Home mortgage loans | 502,995 | 518,024 | 500,635 | (2.9) | 0.5 | |||||
Consumer loans | 1,400 | 1,574 | 1,400 | (11.1) | - | |||||
Gross loans receivable | 1,804,987 | 1,765,845 | 1,692,485 | 2.2 | 6.6 | |||||
Allowance for credit losses | (22,129) | (21,993) | (20,814) | 0.6 | 6.3 | |||||
Net loans receivable | 1,782,858 | 1,743,852 | 1,671,671 | 2.2 | 6.7 | |||||
Premises and equipment, net | 4,971 | 5,248 | 4,647 | (5.3) | 7.0 | |||||
Accrued interest receivable, net | 8,370 | 8,259 | 7,302 | 1.3 | 14.6 | |||||
Servicing assets | 11,405 | 11,741 | 12,898 | (2.9) | (11.6) | |||||
Company owned life insurance | 22,399 | 22,233 | 21,762 | 0.7 | 2.9 | |||||
Deferred tax assets, net | 13,802 | 13,309 | 12,323 | 3.7 | 12.0 | |||||
Other real estate owned | 1,237 | - | - | n/m | n/m | |||||
Operating right-of-use assets | 8,864 | 8,497 | 9,459 | 4.3 | (6.3) | |||||
Other assets | 21,804 | 31,054 | 16,550 | (29.8) | 31.7 | |||||
Total assets | $ | 2,234,520 | $ | 2,147,730 | $ | 2,170,594 | 4.0 | % | 2.9 | % |
Liabilities and Shareholders' Equity | ||||||||||
Liabilities: | ||||||||||
Noninterest-bearing | $ | 539,396 | $ | 522,751 | $ | 643,902 | 3.2 | % | (16.2) | % |
Money market and others | 327,718 | 399,018 | 436,796 | (17.9) | (25.0) | |||||
Time deposits greater than $250 | 451,497 | 433,892 | 411,648 | 4.1 | 9.7 | |||||
Other time deposits | 576,800 | 451,897 | 412,472 | 27.6 | 39.8 | |||||
Total deposits | 1,895,411 | 1,807,558 | 1,904,818 | 4.9 | (0.5) | |||||
Federal Home Loan Bank advances | 105,000 | 105,000 | 50,000 | - | 110.0 | |||||
Accrued interest payable | 12,270 | 12,628 | 5,751 | (2.8) | 113.4 | |||||
Operating lease liabilities | 9,614 | 9,341 | 10,513 | 2.9 | (8.6) | |||||
Other liabilities | 17,500 | 20,577 | 15,731 | (15.0) | 11.2 | |||||
Total liabilities | 2,039,795 | 1,955,104 | 1,986,813 | 4.3 | 2.7 | |||||
Shareholders' equity: | ||||||||||
Common stock | 75,957 | 76,280 | 79,475 | (0.4) | (4.4) | |||||
Additional paid-in capital | 11,240 | 10,942 | 10,056 | 2.7 | 11.8 | |||||
Retained earnings | 124,280 | 120,855 | 109,908 | 2.8 | 13.1 | |||||
Accumulated other comprehensive loss | (16,752) | (15,451) | (15,658) | 8.4 | 7.0 | |||||
Total shareholders' equity | 194,725 | 192,626 | 183,781 | 1.1 | 6.0 | |||||
Total liabilities and shareholders' equity | $ | 2,234,520 | $ | 2,147,730 | $ | 2,170,594 | 4.0 | % | 2.9 | % |
($ in thousands, except share and per share data) | For the Three Months Ended | % Change 1Q2024 vs. | ||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Interest income | ||||||||||
Interest and fees on loans | $ | 30,142 | $ | 28,914 | $ | 26,011 | 4.2 | % | 15.9 | % |
Interest on available-for-sale debt securities | 1,460 | 1,484 | 1,566 | (1.6) | (6.8) | |||||
Other interest income | 1,311 | 1,385 | 1,017 | (5.3) | 28.9 | |||||
Total interest income | 32,913 | 31,783 | 28,594 | 3.6 | 15.1 | |||||
Interest expense | ||||||||||
Interest on deposits | 15,675 | 14,127 | 10,382 | 11.0 | 51.0 | |||||
Interest on borrowings | 1,259 | 1,426 | 320 | (11.7) | 293.4 | % | ||||
Total interest expense | 16,934 | 15,553 | 10,702 | 8.9 | 58.2 | |||||
Net interest income | 15,979 | 16,230 | 17,892 | (1.5) | (10.7) | |||||
Provision for (reversal of) credit losses | 145 | 630 | (338) | (77.0) | n/m | |||||
Net interest income after provision for credit losses | 15,834 | 15,600 | 18,230 | 1.5 | (13.1) | |||||
Noninterest income | ||||||||||
Service charges on deposits | 612 | 557 | 418 | 9.9 | 46.4 | |||||
Loan servicing fees, net of amortization | 772 | 540 | 846 | 43.0 | (8.7) | |||||
Gain on sale of loans | 1,703 | 1,996 | 2,570 | (14.7) | (33.7) | |||||
Other income | 499 | 587 | 461 | (15.0) | 8.2 | |||||
Total noninterest income | 3,586 | 3,680 | 4,295 | (2.6) | (16.5) | |||||
Noninterest expense | ||||||||||
Salaries and employee benefits | 7,841 | 7,646 | 7,252 | 2.6 | 8.1 | |||||
Occupancy and equipment | 1,655 | 1,616 | 1,570 | 2.4 | 5.4 | |||||
Data processing and communication | 487 | 644 | 550 | (24.4) | (11.5) | |||||
Professional fees | 395 | 391 | 359 | 1.0 | 10.0 | |||||
FDIC insurance and regulatory assessments | 374 | 237 | 467 | 57.8 | (19.9) | |||||
Promotion and advertising | 149 | 86 | 162 | 73.3 | (8.0) | |||||
Directors' fees | 157 | 145 | 161 | 8.3 | (2.5) | |||||
Foundation donation and other contributions | 540 | 524 | 753 | 3.1 | (28.3) | |||||
Other expenses | 559 | 694 | 634 | (19.5) | (11.8) | |||||
Total noninterest expense | 12,157 | 11,983 | 11,908 | 1.5 | 2.1 | |||||
Income before income tax expense | 7,263 | 7,297 | 10,617 | (0.5) | (31.6) | |||||
Income tax expense | 2,037 | 2,125 | 3,083 | (4.1) | (33.9) | |||||
Net income | $ | 5,226 | $ | 5,172 | $ | 7,534 | 1.0 | % | (30.6) | % |
Book value per share | $ | 13.00 | $ | 12.84 | $ | 12.02 | 1.2 | % | 8.2 | % |
Earnings per share - basic | 0.34 | 0.34 | 0.48 | - | (29.2) | |||||
Earnings per share - diluted | 0.34 | 0.34 | 0.48 | - | (29.2) | |||||
Shares of common stock outstanding, at period end | 14,982,555 | 15,000,436 | 15,286,558 | (0.1) | % | (2.0) | % | |||
Weighted average shares: | ||||||||||
- Basic | 14,991,835 | 15,027,110 | 15,284,350 | (0.2) | % | (1.9) | % | |||
- Diluted | 14,991,835 | 15,034,822 | 15,312,673 | (0.3) | (2.1) | |||||
For the Three Months Ended | % Change 1Q2024 vs. | |||||||||
1Q2024 | 4Q2023 | 1Q2023 | 4Q2023 | 1Q2023 | ||||||
Return on average assets (ROA)(1)
|
0.96 | % | 0.96 | % | 1.43 | % | - | % | (0.5) | % |
Return on average equity (ROE)(1)
|
10.83 | 11.18 | 16.82 | (0.4) | (6.0) | |||||
Net interest margin(1)
|
3.06 | 3.12 | 3.57 | (0.1) | (0.5) | |||||
Efficiency ratio | 62.14 | 60.19 | 53.67 | 2.0 | 8.5 | |||||
Total risk-based capital ratio | 13.59 | % | 13.77 | % | 13.27 | % | (0.2) | % | 0.3 | % |
Tier 1 risk-based capital ratio | 12.34 | 12.52 | 12.06 | (0.2) | 0.3 | |||||
Common equity tier 1 ratio | 12.34 | 12.52 | 12.06 | (0.2) | 0.3 | |||||
Leverage ratio | 9.65 | 9.57 | 9.43 | 0.1 | 0.2 | |||||
($ in thousands) | As of and For the Three Months Ended | |||||
1Q2024 | 4Q2023 | 1Q2023 | ||||
Nonaccrual loans(1)
|
$ | 4,343 | $ | 6,082 | $ | 2,504 |
Loans 90 days or more past due, accruing(2)
|
- | - | - | |||
Nonperforming loans | 4,343 | 6,082 | 2,504 | |||
OREO | 1,237 | - | - | |||
Nonperforming assets | $ | 5,580 | $ | 6,082 | $ | 2,504 |
Criticized loans by risk categories: | ||||||
Special mention loans | $ | 1,415 | $ | 1,428 | $ | 2,617 |
Classified loans(1)(3)
|
10,149 | 11,921 | 3,155 | |||
Total criticized loans | $ | 11,564 | $ | 13,349 | $ | 5,772 |
Criticized loans by loan type: | ||||||
CRE loans | $ | 5,292 | $ | 4,995 | $ | 560 |
SBA loans | 6,055 | 5,864 | 3,676 | |||
C&I loans | - | - | 271 | |||
Home mortgage loans | 217 | 2,490 | 1,265 | |||
Total criticized loans | $ | 11,564 | $ | 13,349 | $ | 5,772 |
Nonperforming loans / gross loans | 0.24 | % | 0.34 | % | 0.15 | % |
Nonperforming assets / gross loans plus OREO | 0.31 | 0.34 | 0.15 | |||
Nonperforming assets / total assets | 0.25 | 0.28 | 0.12 | |||
Classified loans / gross loans | 0.56 | 0.68 | 0.19 | |||
Criticized loans / gross loans | 0.64 | 0.76 | 0.34 | |||
Allowance for credit losses ratios: | ||||||
As a % of gross loans | 1.23 | % | 1.25 | % | 1.23 | % |
As a % of nonperforming loans | 510 | 362 | 831 | |||
As a % of nonperforming assets | 397 | 362 | 831 | |||
As a % of classified loans | 218 | 184 | 660 | |||
As a % of criticized loans | 191 | 165 | 361 | |||
Net charge-offs | $ | 57 | $ | 161 | $ | 93 |
Net charge-offs(5) to average gross loans(6)
|
0.01 | % | 0.04 | % | 0.02 | % |
($ in thousands) | 1Q2024 | 4Q2023 | 1Q2023 | |||
Accruing delinquent loans 30-89 days past due | ||||||
30-59 days | $ | 801 | $ | 5,945 | $ | 4,866 |
60-89 days | 3,103 | 3,662 | - | |||
Total | $ | 3,904 | $ | 9,607 | $ | 4,866 |
For the Three Months Ended | ||||||||||||||||||
1Q2024 | 4Q2023 | 1Q2023 | ||||||||||||||||
($ in thousands) |
Average Balance |
Interest and Fees |
Yield/
Rate(1)
|
Average Balance |
Interest and Fees |
Yield/
Rate(1)
|
Average Balance |
Interest and Fees |
Yield/
Rate(1)
|
|||||||||
Interest-earning assets: | ||||||||||||||||||
Interest-bearing deposits in other banks | $ | 73,047 | $ | 989 | 5.35 | % | $ | 78,496 | $ | 1,076 | 5.36 | % | $ | 74,162 | $ | 846 | 4.56 | % |
Federal funds sold and other investments | 16,265 | 322 | 7.92 | 16,115 | 309 | 7.66 | 12,130 | 171 | 5.65 | |||||||||
Available-for-sale debt securities, at fair value | 191,383 | 1,460 | 3.05 | 189,462 | 1,484 | 3.13 | 210,462 | 1,566 | 2.98 | |||||||||
CRE loans | 901,262 | 13,729 | 6.13 | 892,092 | 13,104 | 5.83 | 840,402 | 11,179 | 5.39 | |||||||||
SBA loans | 259,368 | 7,213 | 11.19 | 255,692 | 7,055 | 10.95 | 274,889 | 6,982 | 10.30 | |||||||||
C&I loans | 134,893 | 2,670 | 7.96 | 122,950 | 2,416 | 7.80 | 121,915 | 2,200 | 7.32 | |||||||||
Home mortgage loans | 512,023 | 6,495 | 5.07 | 515,840 | 6,315 | 4.90 | 486,800 | 5,633 | 4.63 | |||||||||
Consumer loans | 1,386 | 35 | 10.10 | 966 | 24 | 9.92 | 1,386 | 17 | 5.07 | |||||||||
Loans(2)
|
1,808,932 | 30,142 | 6.69 | 1,787,540 | 28,914 | 6.43 | 1,725,392 | 26,011 | 6.10 | |||||||||
Total interest-earning assets | 2,089,627 | 32,913 | 6.32 | 2,071,613 | 31,783 | 6.10 | 2,022,146 | 28,594 | 5.71 | |||||||||
Noninterest-earning assets | 87,586 | 86,874 | 82,538 | |||||||||||||||
Total assets | $ | 2,177,213 | $ | 2,158,487 | $ | 2,104,684 | ||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||
Money market deposits and others | $ | 367,386 | $ | 3,940 | 4.31 | % | $ | 377,304 | $ | 3,993 | 4.20 | % | $ | 409,813 | $ | 3,150 | 3.12 | % |
Time deposits | 954,442 | 11,735 | 4.94 | 866,142 | 10,134 | 4.64 | 786,381 | 7,232 | 3.73 | |||||||||
Total interest-bearing deposits | 1,321,828 | 15,675 | 4.77 | 1,243,446 | 14,127 | 4.51 | 1,196,194 | 10,382 | 3.52 | |||||||||
Borrowings | 108,681 | 1,259 | 4.66 | 118,764 | 1,426 | 4.76 | 26,168 | 320 | 4.95 | |||||||||
Total interest-bearing liabilities | 1,430,509 | 16,934 | 4.76 | 1,362,210 | 15,553 | 4.53 | 1,222,362 | 10,702 | 3.55 | |||||||||
Noninterest-bearing liabilities: | ||||||||||||||||||
Noninterest-bearing deposits | 514,503 | 569,965 | 671,490 | |||||||||||||||
Other noninterest-bearing liabilities | 39,207 | 41,312 | 31,648 | |||||||||||||||
Total noninterest-bearing liabilities | 553,710 | 611,277 | 703,138 | |||||||||||||||
Shareholders' equity | 192,994 | 185,000 | 179,184 | |||||||||||||||
Total liabilities and shareholders' equity | $ | 2,177,213 | 2,158,487 | 2,104,684 | ||||||||||||||
Net interest income / interest rate spreads | $ | 15,979 | 1.56 | % | $ | 16,230 | 1.57 | % | $ | 17,892 | 2.16 | % | ||||||
Net interest margin | 3.06 | % | 3.12 | % | 3.57 | % | ||||||||||||
Cost of deposits & cost of funds: | ||||||||||||||||||
Total deposits / cost of deposits | $ | 1,836,331 | $ | 15,675 | 3.43 | % | $ | 1,813,411 | $ | 14,127 | 3.09 | % | $ | 1,867,684 | $ | 10,382 | 2.25 | % |
Total funding liabilities / cost of funds | 1,945,012 | 16,934 | 3.50 | 1,932,175 | 15,553 | 3.19 | 1,893,852 | 10,702 | 2.29 | |||||||||