Civista Bancshares, Inc. Announces First Quarter 2021 Financial Results
SANDUSKY, Ohio, April 23, 2021 /PRNewswire/ -- Civista Bancshares, Inc. (NASDAQ: CIVB) ("Civista") announced its unaudited financial results for the three months ending March 31, 2021.
First quarter highlights
- Net income of $10.8 million, or $0.68 per diluted share, for the first quarter of 2021, compared to $7.8 million, or $0.47 per diluted share, for the first quarter of 2020.
- COVID–19 loan deferrals in effect were 3.4% of total loans at period end, compared to 3.6% at December 31, 2020 and 21.3% at June 30, 2020. The bank has not experienced any specific loan losses attributed to COVID–19 closures in 2020 or 2021.
- Quarterly dividend increased to $0.12 which is equivalent to a yield of 2.09% based on the March 31, 2021 market close of $22.94 and a dividend payout ratio of 17.65%.
- Recorded quarterly gain on sale of mortgage loans of $2.7 million compared to $827 thousand for the same period last year.
"I am very pleased with the results of the first quarter of 2021. Our mortgage business set a record for the most revenue in a quarter in our Company's history. We continue to work toward a digital transformation with our online and mobile banking and expect to have new offerings in these areas before the end of the second quarter. In the midst of increasing our digital offerings we are constantly looking at our branch footprint. We will be closing two of our smaller offices in July. We have continued to manage capital through our stock repurchase program as well as dividends. We announced this week a new stock repurchase authorization and increased in our dividend in January 2021." said Dennis G. Shaffer, President and CEO of Civista.
Results of Operations:
For the three-month period ended March 31, 2021 and 2020
Net interest income increased $1.7 million, or 7.7%, for the first quarter of 2021 compared to the same period of 2020, due to a $723 thousand increase in interest income of as well as a decrease in interest expense of $1.0 million. Interest income included $3.1 million of accretion of Paycheck Protection Program ("PPP") loan fees during the quarter.
Interest income increased $723 thousand, or 2.9%, for the first quarter of 2021. Average yields decreased 107 basis points which resulted in a $3.6 million decrease in interest income. Average earning assets increased $774.5 million, which resulted in a $4.3 million increase in interest income. PPP loans accounted for $248.7 million of the increase in average earning assets at a yield of 6.07%, including fee accretion. Removing the impact of PPP loans, the yield on earning assets would have been 22 basis points lower. Included in interest income is $3.1 million of accretion of PPP fees as well as accretion income associated with purchased loan portfolios of $622 thousand.
Interest expense decreased $1.0 million, or 34.3%, for the first quarter of 2021, compared to the same period last year. The average rate paid on interest-bearing liabilities decreased 39 basis points, while average interest-bearing liabilities increased $332.9 million.
Net interest margin decreased 80 basis points to 3.30% for the first quarter of 2021, compared to 4.10% for the same period a year ago.
In addition to the PPP loans, earning assets were inflated by a $5.6 billion influx of stimulus funds in early January. While the funds were only in the Company's Fed account for a short time, they increased average earning assets by $258 million for the quarter and reduced net interest margin by 30 basis points.
These funds were in addition to the cash normally generated by the Company's tax refund processing program that contributed $126 million in average interest-bearing cash balances during the quarter.
PPP loans averaged $258.7 million during the quarter at an average yield of 6.07% including the related fee accretion which increased the margin by 26 basis points.
Average Balance Analysis |
|||||||
(Unaudited - Dollars in thousands) |
|||||||
Three Months Ended March 31, |
|||||||
2021 |
2020 |
||||||
Average |
Yield/ |
Average |
Yield/ |
||||
Assets: |
balance |
Interest |
rate * |
balance |
Interest |
rate * |
|
Interest-earning assets: |
|||||||
Loans ** |
$ 2,069,419 |
$ 22,783 |
4.47% |
$ 1,725,685 |
$ 21,673 |
5.05% |
|
Taxable securities |
174,740 |
1,275 |
3.08% |
187,604 |
1,416 |
3.13% |
|
Non-taxable securities |
207,573 |
1,518 |
4.12% |
197,583 |
1,512 |
4.22% |
|
Interest-bearing deposits in other banks |
554,921 |
149 |
0.11% |
121,296 |
401 |
1.33% |
|
Total interest-earning assets |
$ 3,006,653 |
25,725 |
3.55% |
$ 2,232,168 |
25,002 |
4.62% |
|
Noninterest-earning assets: |
|||||||
Cash and due from financial institutions |
27,760 |
168,350 |
|||||
Premises and equipment, net |
22,509 |
22,737 |
|||||
Accrued interest receivable |
8,569 |
6,751 |
|||||
Intangible assets |
84,862 |
85,083 |
|||||
Bank owned life insurance |
46,062 |
28,550 |
|||||
Other assets |
37,162 |
45,086 |
|||||
Less allowance for loan losses |
(25,590) |
(14,927) |
|||||
Total Assets |
$ 3,207,987 |
$ 2,573,798 |
|||||
Liabilities and Shareholders' Equity: |
|||||||
Interest-bearing liabilities: |
|||||||
Demand and savings |
$ 1,248,717 |
$ 343 |
0.11% |
$ 894,892 |
$ 606 |
0.27% |
|
Time |
284,042 |
917 |
1.31% |
280,701 |
1,379 |
1.98% |
|
FHLB |
125,000 |
443 |
1.44% |
157,749 |
581 |
1.48% |
|
Other borrowings |
- |
- |
0.00% |
610 |
2 |
1.32% |
|
Subordinated debentures |
29,427 |
186 |
2.56% |
29,427 |
313 |
4.28% |
|
Repurchase agreements |
31,178 |
8 |
0.10% |
22,123 |
6 |
0.11% |
|
Total interest-bearing liabilities |
$ 1,718,364 |
1,897 |
0.45% |
$ 1,385,502 |
2,887 |
0.84% |
|
Noninterest-bearing deposits |
1,100,023 |
799,540 |
|||||
Other liabilities |
39,975 |
56,154 |
|||||
Shareholders' equity |
349,625 |
332,602 |
|||||
Total Liabilities and Shareholders' Equity |
$ 3,207,987 |
$ 2,573,798 |
|||||
Net interest income and interest rate spread |
$ 23,828 |
3.10% |
$ 22,115 |
3.78% |
|||
Net interest margin |
3.30% |
4.10% |
|||||
* - Average yields are presented on a tax equivalent basis. The tax equivalent effect associated with loans and investments, included in the yields above, was $407 thousand and $406 thousand for the periods ended March 31, 2021 and 2020, respectively. |
|||||||
** - Average balance includes nonaccrual loans |
Provision for loan losses was $830 thousand for the first quarter of 2021 compared to $2.1 million for the first quarter of 2020. As the pandemic has progressed, restrictions have been eased and additional stimulus was injected into the economy. With the government relief and the vaccination programs, and resumption of many business activities, the negative impacts of the pandemic have not yet been realized.
For the first quarter of 2021, noninterest income totaled $9.2 million, an increase of $2.3 million, or 33.7%, compared to the prior year's first quarter.
Noninterest income |
|||||||
(unaudited - dollars in thousands) |
Three months ended March 31, |
||||||
2021 |
2020 |
$ change |
% change |
||||
Service charges |
$ 1,256 |
$ 1,468 |
$ (212) |
-14.4% |
|||
Net loss on sale of securities |
(1) |
- |
(1) |
0.0% |
|||
Net gain/(loss) on equity securities |
88 |
(141) |
229 |
162.4% |
|||
Net gain on sale of loans |
2,745 |
827 |
1,918 |
231.9% |
|||
ATM/Interchange fees |
1,248 |
894 |
354 |
39.6% |
|||
Wealth management fees |
1,146 |
1,006 |
140 |
13.9% |
|||
Bank owned life insurance |
243 |
250 |
(7) |
-2.8% |
|||
Tax refund processing fees |
1,900 |
1,900 |
- |
0.0% |
|||
Swap fees |
76 |
338 |
(262) |
-77.5% |
|||
Other |
489 |
334 |
155 |
46.4% |
|||
Total noninterest income |
$ 9,190 |
$ 6,876 |
$ 2,314 |
33.7% |
Service charge income decreased primarily due to a $275.5 thousand decrease in overdraft fees. Since the beginning of the COVID-19 pandemic, customer behavior has changed, resulting in fewer overdrafts.
Net gain on sale of loans increased due to an increase in the volume of loans sold of $42.2 million as well as an increase in the premium on sold loans of 120 basis points, compared to a year ago.
ATM/Interchange fees increased as a result of increased transaction volume and incentives from our network providers.
Wealth management fees increased as a result of increased assets under management, primarily driven by market gains.
For the first quarter of 2021, noninterest expense totaled $19.4 million, an increase of $1.5 million, or 8.6%, compared to the prior year's first quarter.
Noninterest expense |
|||||||
(unaudited - dollars in thousands) |
Three months ended March 31, |
||||||
2021 |
2020 |
$ change |
% change |
||||
Compensation expense |
$ 11,782 |
$ 10,871 |
$ 911 |
8.4% |
|||
Net occupancy and equipment |
1,638 |
1,482 |
156 |
10.5% |
|||
Contracted data processing |
443 |
450 |
(7) |
-1.6% |
|||
Taxes and assessments |
884 |
579 |
305 |
52.7% |
|||
Professional services |
738 |
737 |
1 |
0.1% |
|||
Amortization of intangible assets |
223 |
231 |
(8) |
-3.5% |
|||
ATM/Interchange expense |
593 |
447 |
146 |
32.7% |
|||
Marketing |
299 |
356 |
(57) |
-16.0% |
|||
Software maintenance expense |
508 |
437 |
71 |
16.2% |
|||
Other |
2,282 |
2,266 |
16 |
0.7% |
|||
Total noninterest expense |
$ 19,390 |
$ 17,856 |
$ 1,534 |
8.6% |
Compensation expense increased primarily due to annual pay increases, which occur every year in April and commissions. Annual pay increases in April 2020 averaged 3.3%. Commissions increased $421.2 thousand, or 32.8% as a result of increased loan activity.
The increase in net occupancy is the result of increased COVID-19 pandemic related expenses to janitorial services and supplies of $129 thousand and an increase in grounds maintenance of $150 thousand for snow removal. These increases were partially offset by a decrease in equipment expense of $104.8 thousand.
The quarter-over-quarter increase in taxes and assessments was primarily attributable to an increase in the FDIC assessment of $159.0 thousand due to credit for small banks applied to the March 2020 assessments.
The efficiency ratio was 54.9% for the quarter ended March 31, 2021 compared to 60.7% for the quarter ended March 31, 2020. The change in the efficiency ratio is primarily due to increases in both noninterest income and net interest income.
Civista's effective income tax rate for the first quarter 2021 was 15.9% compared to 13.1% in 2020.
Balance Sheet
Total assets increased $294.5 million, or 10.7%, from December 31, 2020 to March 31, 2021, primarily due to an increase in cash of $297.7 million, or 213.4%. Loans held for sale increased $3.8 million, or 53.8%. The loan portfolio increased $2.7 million, which includes an increase in PPP loans of $29.3 million.
End of period loan balances |
|||||||
(unaudited - dollars in thousands) |
|||||||
March 31, |
December 31, |
||||||
2021 |
2020 |
$ Change |
% Change |
||||
Commercial and Agriculture 1 |
$ 419,666 |
$ 409,876 |
$ 9,790 |
2.4% |
|||
Commercial Real Estate: |
|||||||
Owner Occupied |
274,747 |
278,413 |
(3,666) |
-1.3% |
|||
Non-owner Occupied |
723,656 |
705,072 |
18,584 |
2.6% |
|||
Residential Real Estate |
431,506 |
442,588 |
(11,082) |
-2.5% |
|||
Real Estate Construction |
171,121 |
175,609 |
(4,488) |
-2.6% |
|||
Farm Real Estate |
28,043 |
33,102 |
(5,059) |
-15.3% |
|||
Consumer and Other |
11,500 |
12,842 |
(1,342) |
-10.5% |
|||
Total Loans |
$ 2,060,239 |
$ 2,057,502 |
$ 2,737 |
0.1% |
|||
1March 31, 2021 includes PPP loans totaling $246,636 and December 31, 2020 includes PPP loans totaling $217,295. |
Loan balances were flat in the first quarter, including the PPP balances. Removing the effect of the PPP loans, the loan portfolio declined $26.6 million or 1.4%. Commercial Real Estate continued to grow due to consistent demand in the Non-owner Occupied category. Due to an influx of governmental stimulus money through PPP and individual incentives, revolving lines of credit reduced $21.2 million ($17.9 million commercial and $3.3 million consumer). Real Estate Construction fell slightly as a few projects that were completed moved to other categories and construction draws slow down due to the weather. Construction demand remains strong and construction availability remains near all-time highs. The decrease in Residential Real Estate continues as a result of portfolio loans refinanced into saleable mortgage products.
Paycheck Protection Program
In total, we processed over 3,500 loans totaling $387.6 million, of which $141.0 million have been forgiven or have paid off. Prepaid SBA fees totaling approximately $15.6 million have been booked and are being recognized in interest income over the life of the PPP loans, or as the underlying loan is forgiven by the SBA. During the quarter, $3.1 million of PPP fees were accreted to income. At March 31, 2021, $7.8 million of prepaid SBA fees remain.
"We believe that the PPP program has been instrumental in assisting small businesses and their employees. The SBA tightened the rules for PPP Round 2 to focus aid to smaller businesses and reduce potential fraud. This resulted in a lower number or applications. During the quarter, we approved 1,238 new loans, funding a total of $119.8 million. We expect to continue to support our customers until the funding runs out" said Dennis G. Shaffer, President and CEO of Civista.
COVID-19 Loan Modifications
In the 2nd quarter of 2020, in the initial days of the pandemic, Civista booked 90-day payment modifications on 813 loans totaling $431.3 million. Additional 90-day modifications were extended on 100 of these loans, totaling $124.4 million. Both deferral programs primarily consisting of the deferral of principal and/or interest payments. All subsequent modifications were on loans which were performing at December 31, 2019 and comply with the provisions of the CARES Act to not be considered a troubled debt restructuring. As of March 31, 2021, the remaining loans modified under the CARES Act total $70.7 million.
Details with respect to the loan modifications that remain on deferred status are as follows:
Loans currently modified under COVID-19 programs |
||||||
(unaudited - dollars in thousands) |
||||||
Type of Loan |
Number of |
Balance |
Percent of |
|||
Commercial and Agriculture |
21 |
$ 4,514 |
0.25% |
|||
Commercial Real Estate: |
||||||
Owner Occupied |
8 |
10,876 |
0.60% |
|||
Non-owner Occupied |
18 |
48,882 |
2.70% |
|||
Real Estate Construction |
2 |
5,905 |
0.33% |
|||
Residential Real Estate |
2 |
483 |
0.03% |
|||
51 |
$ 70,660 |
3.43% |
Deposits
Total deposits increased $286.5 million, or 13.1%, from December 31, 2020 to March 31, 2021.
End of period deposit balances |
|||||||
(unaudited - dollars in thousands) |
|||||||
March 31, |
December 31, |
||||||
2021 |
2020 |
$ Change |
% Change |
||||
Noninterest-bearing demand |
$ 917,598 |
$ 720,809 |
$ 196,789 |
27.3% |
|||
Interest-bearing demand |
487,956 |
410,139 |
77,817 |
19.0% |
|||
Savings and money market |
794,521 |
771,612 |
22,909 |
3.0% |
|||
Time deposits |
275,832 |
286,838 |
(11,006) |
-3.8% |
|||
Total Deposits |
$ 2,475,907 |
$ 2,189,398 |
$ 286,509 |
13.1% |
The increase in noninterest-bearing demand of $196.8 million was primarily due to a $136.9 million increase in balances related to the tax refund processing program, which is temporary. Additionally, business demand deposit accounts increased $37.9 million, primarily due to the deposit of PPP loan proceeds. Interest-bearing demand deposits increased due to a $62.5 million increase in public fund accounts and a $27.9 million increase in non-public fund accounts. The increase in savings and money market was primarily due to a $34.7 million increase in personal money markets, a $27.9 million increase in statement savings and a $4.3 million increase in business money markets. These increases were partially offset by a decrease of $48.8 million increase in brokered money market accounts.
FHLB advances totaled $125.0 million at March 31, 2021, unchanged from December 31, 2020.
Stock Repurchase Program
During the first quarter of 2021, Civista repurchased 181,627 shares for $3.9 million at a weighted average price of $21.39 per share. These repurchases were part of the $13.5 million repurchase authorization which was approved in April 2020.
Mr. Shaffer continued, "We view share repurchase as an integral part of our capital management. In April of 2020 our board authorized a $13.5 million repurchase. With the uncertainty of the pandemic, we paused on our share repurchases until the third quarter of 2020 and as a result, did not repurchase all $13.5 million. Earlier this week, our board of directors authorized another $13.5 million repurchase."
Shareholder Equity
Total shareholders' equity was unchanged from December 31, 2020 to March 31, 2021. Retained earnings increased $8.9 million and was offset by a decrease in other comprehensive income of $5.1 million and by a $4.0 million repurchase of treasury shares.
Asset Quality
Civista recorded net recoveries of $275 thousand for the three months of 2021 compared to net recoveries of $55 thousand for the same period of 2020. The allowance for loan losses to loans was 1.27% at March 31, 2021 and 1.22% at December 31, 2020. Without the PPP loans, the allowance ratio would have been 17 basis points higher.
Allowance for Loan Losses |
|||
(dollars in thousands) |
|||
March 31, |
March 31, |
||
2021 |
2020 |
||
Beginning of period |
$ 25,028 |
$ 14,767 |
|
Charge-offs |
(46) |
(24) |
|
Recoveries |
321 |
79 |
|
Provision |
830 |
2,126 |
|
End of period |
$ 26,133 |
$ 16,948 |
Non-performing assets at March 31, 2021 were $6.2 million, a 15.7% decrease from December 31, 2020. The non-performing assets to assets ratio decreased to 0.20% from 0.27% at December 31, 2020. The allowance for loan losses to non-performing loans increased to 423.09% from 343.05% at December 31, 2020.
Non-performing Assets |
|||
(dollars in thousands) |
March 31, |
December 31, |
|
2021 |
2020 |
||
Non-accrual loans |
$ 4,360 |
$ 5,399 |
|
Restructured loans |
1,817 |
1,897 |
|
Total non-performing loans |
6,177 |
7,296 |
|
Other Real Estate Owned |
- |
31 |
|
Total non-performing assets |
$ 6,177 |
$ 7,327 |
Conference Call and Webcast
Civista Bancshares, Inc. will also host a conference call to discuss the Company's financial results for the first quarter of 2021 at 1:00 p.m. ET on Friday, April 23, 2021. Interested parties can access the live webcast of the conference call through the Investor Relations section of the Company's website, www.civb.com. Participants can also listen to the conference call by dialing 855-238-2712 and ask to be joined into the Civista Bancshares, Inc. first quarter 2021 earnings call. Please log in or dial in at least 10 minutes prior to the start time to ensure a connection.
An archive of the webcast will be available for one year on the Investor Relations section of the Company's website (www.civb.com).
Forward Looking Statements
This press release may contain forward-looking statements regarding the financial performance, business prospects, growth and operating strategies of Civista. For these statements, Civista claims the protections of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Statements in this press release should be considered in conjunction with the other information available about Civista, including the information in the filings we make with the Securities and Exchange Commission. Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward-looking statements are based on management's expectations and are subject to a number of risks and uncertainties. We have tried, wherever possible, to identify such statements by using words such as "anticipate," "estimate," "project," "intend," "plan," "believe," "will" and similar expressions in connection with any discussion of future operating or financial performance. Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include risk factors relating to the banking industry and the other factors detailed from time to time in Civista' reports filed with the Securities and Exchange Commission, including those described in "Item 1A Risk Factors" of Part I of Civista's Annual Report on Form 10-K for the fiscal year ended December 31, 2020, and any additional risks identified in the Company's subsequent Form 10-Q's. Undue reliance should not be placed on the forward-looking statements, which speak only as of the date hereof. Civista does not undertake, and specifically disclaims any obligation, to update any forward-looking statement to reflect the events or circumstances after the date on which the forward-looking statement is made, or reflect the occurrence of unanticipated events, except to the extent required by law.
Civista Bancshares, Inc. is a $3.1 billion financial holding company headquartered in Sandusky, Ohio. The Company's banking subsidiary, Civista Bank, operates 37 locations in Northern, Central and Southwestern Ohio, Southeastern Indiana and Northern Kentucky. Civista Bancshares, Inc. may be accessed at HUwww.civb.comUH. The Company's common shares are traded on the NASDAQ Capital Market under the symbol "CIVB".
Civista Bancshares, Inc. Financial Highlights (Unaudited, dollars in thousands, except share and per share amounts) |
||||
Consolidated Condensed Statement of Income |
||||
Three Months Ended |
||||
March 31, |
||||
2021 |
2020 |
|||
Interest income |
$ 25,725 |
$ 25,002 |
||
Interest expense |
1,897 |
2,887 |
||
Net interest income |
23,828 |
22,115 |
||
Provision for loan losses |
830 |
2,126 |
||
Net interest income after provision |
22,998 |
19,989 |
||
Noninterest income |
9,190 |
6,876 |
||
Noninterest expense |
19,390 |
17,856 |
||
Income before taxes |
12,798 |
9,009 |
||
Income tax expense |
2,040 |
1,176 |
||
Net income |
$ 10,758 |
$ 7,833 |
||
Dividends paid per common share |
$ 0.12 |
$ 0.11 |
||
Earnings per common share, |
||||
basic and diluted |
$ 0.68 |
$ 0.47 |
||
Average shares outstanding, |
||||
basic and diluted |
15,867,588 |
16,517,745 |
||
Selected financial ratios: |
||||
Return on average assets (annualized) |
1.36% |
1.22% |
||
Return on average equity (annualized) |
12.48% |
9.47% |
||
Dividend payout ratio |
17.65% |
23.40% |
||
Net interest margin (tax equivalent) |
3.30% |
4.10% |
Selected Balance Sheet Items |
|||
(Dollars in thousands, except share and per share amounts) |
|||
March 31, |
December 31, |
||
2021 |
2020 |
||
(unaudited) |
(unaudited) |
||
Cash and due from financial institutions |
$ 437,238 |
$ 139,522 |
|
Investment securities |
357,798 |
364,350 |
|
Loans held for sale |
10,769 |
7,001 |
|
Loans |
2,060,239 |
2,057,502 |
|
Less: allowance for loan losses |
(26,133) |
(25,028) |
|
Net loans |
2,034,106 |
2,032,474 |
|
Other securities |
20,537 |
20,537 |
|
Premises and equipment, net |
22,265 |
22,580 |
|
Goodwill and other intangibles |
84,682 |
84,926 |
|
Bank owned life insurance |
46,219 |
45,976 |
|
Other assets |
43,754 |
45,552 |
|
Total assets |
$ 3,057,368 |
$ 2,762,918 |
|
Total deposits |
$ 2,475,907 |
$ 2,189,398 |
|
Federal Home Loan Bank advances |
125,000 |
125,000 |
|
Securities sold under agreements to repurchase |
29,513 |
28,914 |
|
Subordinated debentures |
29,427 |
29,427 |
|
Accrued expenses and other liabilities |
47,463 |
40,071 |
|
Total shareholders' equity |
350,058 |
350,108 |
|
Total liabilities and shareholders' equity |
$ 3,057,368 |
$ 2,762,918 |
|
Shares outstanding at period end |
15,750,479 |
15,898,032 |
|
Book value per share |
$ 22.23 |
$ 22.02 |
|
Equity to asset ratio |
11.45% |
12.67% |
|
Selected asset quality ratios: |
|||
Allowance for loan losses to total loans |
1.27% |
1.22% |
|
Non-performing assets to total assets |
0.20% |
0.27% |
|
Allowance for loan losses to non-performing loans |
423.09% |
343.05% |
|
Non-performing asset analysis |
|||
Nonaccrual loans |
$ 4,360 |
$ 5,399 |
|
Troubled debt restructurings |
1,817 |
1,897 |
|
Other real estate owned |
- |
31 |
|
Total |
$ 6,177 |
$ 7,327 |
Supplemental Financial Information |
|||||||||
(Unaudited - dollars in thousands except share data) |
|||||||||
March 31, |
December 31, |
September 30, |
June 30, |
March 31, |
|||||
End of Period Balances |
2021 |
2020 |
2020 |
2020 |
2020 |
||||
Assets |
|||||||||
Cash and due from banks |
$ 437,238 |
$ 139,522 |
$ 194,773 |
$ 196,520 |
$ 256,023 |
||||
Investment securities |
357,798 |
364,350 |
366,691 |
369,181 |
366,689 |
||||
Loans held for sale |
10,769 |
7,001 |
13,256 |
18,523 |
7,632 |
||||
Loans |
2,060,239 |
2,057,502 |
2,040,940 |
2,022,965 |
1,743,125 |
||||
Allowance for loan losses |
(26,133) |
(25,028) |
(22,637) |
(20,420) |
(16,948) |
||||
Net Loans |
2,034,106 |
2,032,474 |
2,018,303 |
2,002,545 |
1,726,177 |
||||
Other securities |
20,537 |
20,537 |
20,537 |
20,537 |
20,280 |
||||
Premises and equipment, net |
22,265 |
22,580 |
22,958 |
23,137 |
22,443 |
||||
Goodwill and other intangibles |
84,682 |
84,926 |
84,896 |
84,852 |
84,919 |
||||
Bank owned life insurance |
46,219 |
45,976 |
45,732 |
45,489 |
45,249 |
||||
Other assets |
43,754 |
45,552 |
50,847 |
51,369 |
46,444 |
||||
Total Assets |
$ 3,057,368 |
$ 2,762,918 |
$ 2,817,993 |
$ 2,812,153 |
$ 2,575,856 |
||||
Liabilities |
|||||||||
Total deposits |
$ 2,475,907 |
$ 2,189,398 |
$ 2,068,769 |
$ 2,069,261 |
$ 1,991,939 |
||||
Federal Home Loan Bank advances |
125,000 |
125,000 |
125,000 |
125,000 |
142,000 |
||||
Securities sold under agreement to repurchase |
29,513 |
28,914 |
25,813 |
23,608 |
22,699 |
||||
Other borrowings |
- |
- |
183,695 |
183,695 |
- |
||||
Subordinated debentures |
29,427 |
29,427 |
29,427 |
29,427 |
29,427 |
||||
Accrued expenses and other liabilities |
47,463 |
40,071 |
43,234 |
44,549 |
61,624 |
||||
Total liabilities |
2,707,310 |
2,412,810 |
2,475,938 |
2,475,540 |
2,247,689 |
||||
Shareholders' Equity |
|||||||||
Common shares |
277,164 |
277,039 |
276,940 |
276,841 |
276,546 |
||||
Retained earnings |
101,899 |
93,048 |
84,628 |
78,712 |
73,972 |
||||
Treasury shares |
(38,574) |
(34,598) |
(33,900) |
(32,594) |
(32,239) |
||||
Accumulated other comprehensive income |
9,569 |
14,619 |
14,387 |
13,654 |
9,888 |
||||
Total shareholders' equity |
350,058 |
350,108 |
342,055 |
336,613 |
328,167 |
||||
Total Liabilities and Shareholders' Equity |
$ 3,057,368 |
$ 2,762,918 |
$ 2,817,993 |
$ 2,812,153 |
$ 2,575,856 |
||||
Quarterly Average Balances |
|||||||||
Assets: |
|||||||||
Earning assets |
$ 3,006,653 |
$ 2,603,961 |
$ 2,617,884 |
$ 2,528,006 |
$ 2,232,168 |
||||
Securities |
382,313 |
386,179 |
388,594 |
386,838 |
385,187 |
||||
Loans |
2,069,419 |
2,072,477 |
2,040,492 |
1,972,969 |
1,725,685 |
||||
Liabilities and Shareholders' Equity |
|||||||||
Total deposits |
$ 2,632,782 |
$ 2,144,865 |
$ 2,084,791 |
$ 2,108,227 |
$ 1,975,133 |
||||
Interest-bearing deposits |
1,532,759 |
1,458,967 |
1,401,318 |
1,317,336 |
1,175,593 |
||||
Other interest-bearing liabilities |
185,605 |
278,357 |
362,965 |
302,267 |
209,909 |
||||
Total shareholders' equity |
349,625 |
343,335 |
339,278 |
330,524 |
332,602 |
Supplemental Financial Information |
|||||||||
(Unaudited - dollars in thousands except share data) |
|||||||||
Three Months Ended |
|||||||||
March 31, |
December 31, |
September 30, |
June 30, |
March 31, |
|||||
Income statement |
2021 |
2020 |
2020 |
2020 |
2020 |
||||
Total interest and dividend income |
$ 25,725 |
$ 25,721 |
$ 24,558 |
$ 24,584 |
$ 25,002 |
||||
Total interest expense |
1,897 |
2,190 |
2,552 |
2,509 |
2,887 |
||||
Net interest income |
23,828 |
23,531 |
22,006 |
22,075 |
22,115 |
||||
Provision for loan losses |
830 |
2,250 |
2,250 |
3,486 |
2,126 |
||||
Noninterest income |
9,190 |
7,666 |
6,786 |
6,854 |
6,876 |
||||
Noninterest expense |
19,390 |
16,968 |
17,727 |
18,114 |
17,856 |
||||
Income before taxes |
12,798 |
11,979 |
8,815 |
7,329 |
9,009 |
||||
Income tax expense |
2,040 |
1,806 |
1,133 |
825 |
1,176 |
||||
Net income |
$ 10,758 |
$ 10,173 |
$ 7,682 |
$ 6,504 |
$ 7,833 |
||||
Common shares dividend paid |
$ 1,907 |
$ 1,753 |
$ 1,766 |
$ 1,764 |
$ 1,835 |
||||
Per share data |
|||||||||
Earnings per common share |
|||||||||
Basic and diluted |
$ 0.68 |
$ 0.64 |
$ 0.48 |
$ 0.41 |
$ 0.47 |
||||
Dividends paid per common share |
0.12 |
0.11 |
0.11 |
0.11 |
0.11 |
||||
Average common shares outstanding, |
|||||||||
Basic and diluted |
15,867,588 |
15,915,369 |
16,045,544 |
16,044,125 |
16,517,745 |
||||
Asset quality |
|||||||||
Allowance for loan losses, beginning of period |
$ 25,028 |
$ 22,637 |
$ 20,420 |
$ 16,948 |
$ 14,767 |
||||
Charge-offs |
(46) |
(139) |
(185) |
(116) |
(24) |
||||
Recoveries |
321 |
280 |
152 |
102 |
79 |
||||
Provision |
830 |
2,250 |
2,250 |
3,486 |
2,126 |
||||
Allowance for loan losses, end of period |
$ 26,133 |
$ 25,028 |
$ 22,637 |
$ 20,420 |
$ 16,948 |
||||
Ratios |
|||||||||
Allowance to total loans |
1.27% |
1.22% |
1.11% |
1.01% |
0.97% |
||||
Allowance to nonperforming assets |
423.09% |
341.59% |
292.88% |
262.14% |
197.97% |
||||
Allowance to nonperforming loans |
423.09% |
343.05% |
292.88% |
262.14% |
197.97% |
||||
Nonperforming assets |
|||||||||
Nonperforming loans |
$ 6,177 |
$ 7,296 |
$ 7,729 |
$ 7,790 |
$ 8,561 |
||||
Other real estate owned |
- |
31 |
- |
- |
- |
||||
Total nonperforming assets |
$ 6,177 |
$ 7,327 |
$ 7,729 |
$ 7,790 |
$ 8,561 |
||||
Capital and liquidity |
|||||||||
Tier 1 leverage ratio |
9.23% |
10.77% |
10.73% |
10.43% |
10.66% |
||||
Tier 1 risk-based capital ratio |
15.20% |
14.74% |
14.73% |
12.99% |
14.33% |
||||
Total risk-based capital ratio |
16.45% |
15.99% |
15.94% |
13.97% |
15.25% |
||||
Tangible common equity ratio (1) |
9.00% |
9.98% |
9.47% |
9.29% |
9.82% |
||||
(1) See reconciliation of non-GAAP measures at the end of this press release. |
Reconciliation of Non-GAAP Financial Measures |
|||||||||
(Unaudited - dollars in thousands except share data) |
|||||||||
Three Months Ended |
|||||||||
March 31, |
December 31, |
September 30, |
June 30, |
March 31, |
|||||
2021 |
2020 |
2020 |
2020 |
2020 |
|||||
Tangible Common Equity |
|||||||||
Total Shareholder's Equity - GAAP |
$ 350,058 |
$ 350,108 |
$ 342,055 |
$ 336,613 |
$ 328,167 |
||||
Less: Goodwill and intangible assets |
82,458 |
82,681 |
82,907 |
83,135 |
83,363 |
||||
Tangible common equity (Non-GAAP) |
$ 267,600 |
$ 267,427 |
$ 259,148 |
$ 253,478 |
$ 244,804 |
||||
Total Shares Outstanding |
15,750,479 |
15,898,032 |
15,945,479 |
16,052,979 |
16,064,010 |
||||
Tangible book value per share |
$ 16.99 |
$ 16.82 |
$ 16.25 |
$ 15.79 |
$ 15.24 |
||||
Tangible Assets |
|||||||||
Total Assets - GAAP |
$ 3,057,368 |
$ 2,762,918 |
$ 2,817,993 |
$ 2,812,153 |
$ 2,575,856 |
||||
Less: Goodwill and intangible assets |
82,458 |
82,681 |
82,907 |
83,135 |
83,363 |
||||
Tangible assets (Non-GAAP) |
$ 2,974,910 |
$ 2,680,237 |
$ 2,735,086 |
$ 2,729,018 |
$ 2,492,493 |
||||
Tangible common equity to tangible assets |
9.00% |
9.98% |
9.47% |
9.29% |
9.82% |
SOURCE Civista Bancshares, Inc.

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