Level One Bancorp, Inc. reports third quarter 2021 net income of $9.5 million, representing $1.16 diluted earnings per common share
FARMINGTON HILLS, Mich., Oct. 29, 2021 (GLOBE NEWSWIRE) -- Level One Bancorp, Inc. ("Level One") (NASDAQ:LEVL) today reported its financial results for the third quarter of 2021, which included net income of $9.5 million, or $1.16 diluted earnings per common share. This compares to net income of $5.2 million, or $0.67 diluted earnings per common share, in the third quarter of 2020.
Patrick J. Fehring, Chief Executive Officer of Level One, commented, "The Level One team delivered solid operating results in the third quarter 2021 with net income of $9.5 million or $1.16 diluted earnings per common share. This represents a 38.10% increase over diluted earnings per common share of $0.84 for the prior quarter and an increase of 73.13% over the third quarter of 2020 diluted earnings per common share of $0.67. Our quarterly performance was driven by growth in total loans of $56.1 million (excluding Paycheck Protection Program ("PPP") loans), or 14.81% annualized for the period and an increase in fees from mortgage banking activities of $1.5 million or 55.51% over the prior quarter. As announced over the summer, Level One added talent to our mortgage origination team, and the impact was evident in our business results."
Mr. Fehring continued, "Level One also experienced improved credit quality with a decrease in our nonperforming assets as a percentage of total assets to 0.48% at the end of the third quarter compared to 0.55% at the end of the prior quarter. Our financial results also reflect an increase of the net interest margin to 3.47% in the third quarter compared to 3.30% in the prior quarter. The improvement in the net interest margin during the quarter was a result of decreased deposit cost, lower subordinated debt expense along with higher loan interest income including PPP revenue. We are pleased with these positive operating results for the quarter, and we appreciate the efforts of the Level One team."
Third Quarter 2021 Highlights
- Total loans decreased 3.13% to $1.72 billion at September 30, 2021, compared to $1.78 billion at June 30, 2021
- Total loans, excluding a decrease of $111.7 million of PPP loans, increased $56.1 million, or 14.81% annualized, during the third quarter of 2021
- Total assets increased 1.49% to $2.54 billion at September 30, 2021, compared to $2.51 billion at June 30, 2021
- Total deposits increased 1.73% to $2.07 billion at September 30, 2021, compared to $2.03 billion at June 30, 2021
- Book value per common share increased 4.08% to $27.56 per common share at September 30, 2021, compared to $26.48 per common share at June 30, 2021
- Tangible book value per common share increased 5.04% to $21.89 per common share at September 30, 2021, compared to $20.84 per common share at June 30, 2021
- Net income of $9.5 million increased 35.62% from $7.0 million in the preceding quarter
- Diluted earnings per common share of $1.16 increased 38.10% compared to $0.84 in the preceding quarter
- Net interest margin, on a fully taxable equivalent ("FTE") basis, was 3.47%, compared to 3.30% in the preceding quarter and 2.80% in the third quarter of 2020
- Noninterest income increased $1.7 million to $6.0 million in the third quarter of 2021, compared to $4.3 million in the preceding quarter
- Noninterest expense increased $1.4 million to $16.0 million in the third quarter of 2021, compared to $14.6 million in the preceding quarter
- Provision for loan loss decreased $1.7 million to a $1.2 million recovery of provision in the third quarter of 2021, compared to a $540 thousand provision expense in the preceding quarter
Net Interest Income and Net Interest Margin
Level One's net interest income increased $899 thousand, or 4.58%, to $20.5 million in the third quarter of 2021, compared to $19.6 million in the preceding quarter, and increased $3.9 million, or 23.61%, compared to $16.6 million in the third quarter of 2020. The increase in net interest income compared to the preceding quarter was primarily due to an increase of $500 thousand of interest income on loans and decreases of $126 thousand in interest expense on deposits and $181 thousand in interest expense on subordinated notes. The increase in net interest income compared to the third quarter of 2020 was primarily due to increases of $1.7 million of interest income on loans primarily as a result of the accelerated recognition of fees on PPP loans that were forgiven and $419 thousand of interest income on investment securities due to increased volumes of investment securities. In addition, between the third quarter of 2020 and the third quarter of 2021, interest expense on deposits decreased $1.4 million and interest expense on borrowed funds and subordinated notes decreased $483 thousand. The decrease in interest expense on deposits was primarily due to lower interest rates paid as a result of revised internal deposit rates and maturity of higher cost time deposits. The decrease in interest expense on borrowed funds and subordinated notes was primarily due to the redemption of $15.0 million of subordinated notes during the second quarter of 2021 and a decrease in Federal Reserve Bank borrowings.
Level One's net interest margin, on a FTE basis, was 3.47% in the third quarter of 2021, compared to 3.30% in the preceding quarter and 2.80% in the third quarter of 2020. The increase in the net interest margin year over year was primarily a result of an increase in loan yields of 62 basis points to 4.60% in the third quarter of 2021, compared to 3.98% in the third quarter of 2020 due primarily to the recognition of fees on PPP loans, as well as a decrease in the cost of interest-bearing liabilities, which declined 40 basis points to 0.48% in the third quarter of 2021, compared to 0.88% in the third quarter of 2020 primarily due to lower interest rates paid as a result of revised internal deposit rates and maturity of higher cost time deposits.
Noninterest Income
Level One's noninterest income increased $1.7 million, or 39.64%, to $6.0 million in the third quarter of 2021, compared to $4.3 million in the preceding quarter, and decreased $3.1 million, or 33.80%, compared to $9.1 million in the third quarter of 2020. The increase in noninterest income compared to the preceding quarter was primarily attributable to an increase of $1.5 million in mortgage banking activities and an increase of $151 thousand in other charges and fees. The increase in the mortgage banking activities income compared to the preceding quarter was primarily due to $26.2 million higher residential loan originations held for sale and $11.2 million higher residential loans sold primarily as a result of increased hiring efforts and efficiencies created within the mortgage department. The increase in other charges and fees was primarily due to tax credits as a result of legislation enacted in response to the COVID-19 pandemic recognized during the quarter.
The decrease in noninterest income in the third quarter of 2021 compared to the same period in 2020 was primarily due to decreases of $2.9 million in mortgage banking activities and $434 thousand in net gains on sales of investment securities. This was partially offset by an increase of $243 thousand in service charges on deposits. The decrease in mortgage banking activities compared to the third quarter of 2020 was primarily due to $84.2 million fewer residential loan originations held for sale and $54.5 million fewer residential loans sold. The higher volumes in the third quarter of 2020 were primarily as a result of the significant decrease in interest rates during the first half of 2020 while interest rates have remained relatively stable in 2021. The decrease in net gains on sales of investment securities was due to no securities sold in the third quarter of 2021. The increase in service charges on deposits was primarily due to higher transaction volumes and deposit balances.
Noninterest Expense
Level One's noninterest expense increased $1.4 million, or 9.60%, to $16.0 million in the third quarter of 2021, compared to $14.6 million in the preceding quarter, and increased $863 thousand, or 5.71%, compared to $15.1 million in the third quarter of 2020. The increase in noninterest expense compared to the preceding quarter was primarily attributable to increases of $1.2 million in salary and employee benefits and $147 thousand in marketing expense. The increase in salary and employee benefits compared to the second quarter of 2021 was primarily due to an increase of $902 thousand in mortgage commissions as well as an increase of 15 full-time equivalent employees. The increase in marketing expense between the periods was due to an increase in advertising efforts.
The increase in noninterest expense in the third quarter of 2021 compared to the same period in 2020 was mainly attributable to an increase of $689 thousand in salary and employee benefits and $171 thousand in marketing expense. The increase in salary and employee benefits between the periods was primarily due to an increase of 20 full-time equivalent employees as well as incentive compensation. The increase in marketing expense between the periods was due to an increase in advertising efforts.
The efficiency ratio, which is a measure of operating expenses as a percentage of net interest income and noninterest income, was 60.21% for the third quarter of 2021, compared to 60.93% for the preceding quarter and 58.81% in the third quarter of 2020.
Income Tax Expense
Level One's income tax provision was $2.3 million, or 19.49% of pretax income, in the third quarter of 2021, as compared to $1.8 million, or 20.82% of pretax income, in the preceding quarter and $1.1 million, or 17.66% of pretax income, in the third quarter of 2020.
Loan Portfolio
Total loans were $1.72 billion at September 30, 2021, a decrease of $55.5 million, or 3.13%, from $1.78 billion at June 30, 2021, and down $124.2 million, or 6.73%, from $1.84 billion at September 30, 2020. The decrease in total loans compared to June 30, 2021 was primarily due to $111.7 million of PPP loans forgiven by the SBA during the third quarter partially offset by a net increase of $56.1 million, or 14.81% annualized growth, in the remainder of the loan portfolio. The decrease in total loans compared to September 30, 2020, was primarily due to a $244.9 million net decrease in PPP loans (originated and forgiven) which was partially offset by a net increase of $120.7 million in the remainder of the loan portfolio.
Investment Securities
The investment securities portfolio grew $13.0 million, or 3.47%, to $389.5 million at September 30, 2021, from $376.5 million at June 30, 2021, and up $136.0 million, or 53.64%, from $253.5 million at September 30, 2020. The increase in the investment securities portfolio compared to June 30, 2021 was primarily due to the purchase of $19.6 million of investment securities using excess cash balances generated by payoffs of PPP loans, partially offset in part by $6.6 million of sales, calls, or maturity of investment securities and principal pay downs. The increase in investment securities compared to September 30, 2020, was primarily due to the purchase of $172.2 million of securities between the two dates using excess cash balances generated by the payoffs of PPP loans, partially offset by $36.2 million of sales, calls, or maturity of investment securities and principal pay downs.
Deposits
Total deposits were $2.07 billion at September 30, 2021, an increase of $35.2 million, or 1.73%, from $2.03 billion at June 30, 2021, and up $123.6 million, or 6.36%, from $1.94 billion at September 30, 2020. The growth in deposits compared to June 30, 2021 and September 30, 2020 was primarily due to organic deposit growth as a result of increased customer liquidity and new customers. Total deposit composition at September 30, 2021 consisted of 47.01% of demand deposit accounts, 30.55% of savings and money market accounts and 22.44% of time deposits.
Borrowings
Total debt outstanding was $211.7 million at September 30, 2021, a decrease of $564 thousand, or 0.27%, from $212.3 million at June 30, 2021, and down $49.6 million, or 18.99%, from $261.4 million at September 30, 2020. The decrease in total borrowings compared to September 30, 2020 was primarily due to a decrease of $34.1 million in Federal Reserve Bank borrowings under the Paycheck Protection Program Liquidity Facility as well as the redemption of $15.0 million of subordinated notes. The Company would have paid approximately $721 thousand per year in interest on the redeemed subordinated notes.
Asset Quality
Nonaccrual loans were $12.1 million, or 0.71% of total loans, at September 30, 2021, a decrease of $1.6 million from nonaccrual loans of $13.7 million, or 0.77% of total loans, at June 30, 2021, and a decrease of $7.1 million from nonaccrual loans of $19.3 million, or 1.04% of total loans, at September 30, 2020. The decrease in nonaccrual loans compared to the prior quarter-end was primarily due to a $2.9 million pay off of one commercial loan relationship partially offset by two commercial loan relationships moving to nonaccrual status totaling $1.9 million. The decrease in nonaccrual loans compared to September 30, 2020 was primarily due to pay offs of five commercial loan relationships totaling $5.9 million, paydowns on two commercial loan relationships totaling $3.3 million, and the transfer of a $1.8 million residential real estate loan relationship to other real estate owned. This was partially offset by three commercial loan relationships and one residential real estate loan moving to nonaccrual status totaling $3.0 million.
Nonperforming assets, consisting of nonaccrual loans and other real estate owned, as a percentage of total assets were 0.48% at September 30, 2021, compared to 0.55% at June 30, 2021, and 0.79% at September 30, 2020.
Performing troubled debt restructured loans, which are not reported as nonaccrual loans but rather as part of impaired loans, were $762 thousand at September 30, 2021 compared to $765 thousand at June 30, 2021, and $1.1 million at September 30, 2020. Loans to borrowers who are in financial difficulty and who have been granted concessions that may include interest rate reductions, forbearance agreements, and principal deferral or reduction, are categorized as troubled debt restructured loans. In accordance with bank regulatory guidance, troubled debt restructurings do not include short-term modifications made on a good-faith basis in response to the COVID-19 pandemic to borrowers who were current prior to any relief. As of September 30, 2021, there were $1.1 million of loans that remained on a COVID-related deferral compared to $7.5 million as of June 30, 2021. As of September 30, 2021, there were no loans that had payments deferred greater than six months compared to $7.4 million as of June 30, 2021.
Net charge-offs in the third quarter of 2021 were $224 thousand, or 0.05% of average loans on an annualized basis, compared to $26 thousand of net recoveries, or 0.01% of average loans on an annualized basis for the preceding quarter and $78 thousand of net charge-offs, or 0.02% of average loans on an annualized basis, in the third quarter of 2020.
Level One's provision for loan losses in the third quarter of 2021 was a provision recovery of $1.2 million, compared to provision expense of $540 thousand in the preceding quarter and provision expense of $4.3 million in the third quarter of 2020. The decrease in the provision expense quarter over quarter was primarily due to a decrease of $2.0 million in general reserves as a result of a reduction in qualitative factors within the allowance for loan loss model as a result of improved credit quality, partially offset by an increase in specific reserves of $252 thousand. The decrease in the provision expense in the third quarter of 2021 compared to the same period in 2020 was primarily due to a decrease in general reserves of $5.1 million resulting from a decrease in qualitative factors and a decrease of $531 thousand in specific reserves. The Company will continue to evaluate the fluid situation in regard to the COVID-19 pandemic and will take further action to appropriately record additional provision for loan losses or decrease the level of the provision for loan losses should there be any indications of significant changes in the credit quality of our portfolio as a result of the COVID-19 pandemic.
The allowance for loan losses was $21.7 million, or 1.26% of total loans, at September 30, 2021, compared to $23.1 million, or 1.30% of total loans, at June 30, 2021, and $21.3 million, or 1.15% of total loans, at September 30, 2020. Excluding PPP loans of $147.6 million, $259.3 million, and $392.5 million as of these dates respectively, the allowance for loan losses as a percentage of total loans was 1.38% as of September 30, 2021, compared to 1.53% as of June 30, 2021 and 1.46% as of September 30, 2020 (see section entitled "GAAP Reconciliation of Non-GAAP Financial Measures" for further details). The allowance for loan losses as a percentage of total loans decreased compared to June 30, 2021 primarily due to a reduction in qualitative factors within the allowance for loan loss model as a result of improved credit quality. The allowance for loan losses as a percentage of total loans increased compared to September 30, 2020 as a result of the forgiveness of $244.9 million of PPP loans. As of September 30, 2021, the allowance for loan losses as a percentage of nonaccrual loans was 179.11%, compared to 168.64% at June 30, 2021, and 110.32% at September 30, 2020. The Company will continue to evaluate the appropriateness of the allowance for loan losses in future quarters as needed.
Capital
Total shareholders' equity was $233.9 million at September 30, 2021, an increase of $8.5 million, or 3.78%, compared with $225.4 million at June 30, 2021 primarily as a result of an increase in retained earnings. Total shareholders' equity increased $24.4 million, or 11.68%, from $209.5 million at September 30, 2020, primarily as a result of an increase in retained earnings.
Recent Developments
Third Quarter Common Stock Dividend: On September 15, 2021, Level One's Board of Directors declared a quarterly cash dividend of $0.06 per share. This dividend was paid on October 15, 2021, to stockholders of record at the close of business on September 30, 2021.
Third Quarter Preferred Stock Dividend: On October 20, 2021, Level One's Board of Directors declared a quarterly cash dividend of $46.88 per share on its 7.50% Non-Cumulative Perpetual Preferred Stock, Series B. Holders of depositary shares will receive $0.4688 per depositary share. The dividend is payable on November 15, 2021, to shareholders of record at the close of business on October 31, 2021.
Level One's Response to the COVID-19 Pandemic: Level One has taken comprehensive steps to help our customers, team members and communities during the current COVID-19 pandemic health crisis. For our customers, we have provided loan payment deferrals and offered fee waivers, among other actions. In addition, from January 18 through June 30, 2021, Level One funded 1,532 PPP loans for $234.3 million, of which 1,187 applications were for loans $150,000 or below.
We are continuing to enable the vast majority of our main office team members to work remotely each day. We have also taken significant actions to help ensure the safety of our team members whose roles require them to come into the office, which includes the development, implementation and communication of protocols necessary for those who return. As of March 31, 2021, we opened branches for walk in services. We will continue to evaluate this fluid situation and take additional actions as necessary.
About Level One Bancorp, Inc.
Level One Bancorp, Inc. is the holding company for Level One Bank, a full-service commercial and consumer bank headquartered in Michigan with assets of approximately $2.54 billion as of September 30, 2021. It operates sixteen banking centers throughout Metro Detroit, Ann Arbor, Grand Rapids, and Jackson and provides a variety of commercial, small business, and consumer banking services. Level One Bank's success has been recognized both locally and nationally as the U.S. Small Business Administration's (SBA) "Community Lender of the Year," one of American Banker Magazine's "Top 200 Community Banks in the Nation," one of Metro Detroit's "Best & Brightest Companies to Work For" and more. Level One Bank's business banking division provides a broad spectrum of products including lines of credit, term loans, leases, commercial mortgages, SBA loans, MEDC loans, export-import financing, and a full suite of treasury management services. The consumer banking division offers a range of personal checking, savings and CD products and a complete array of consumer loan products including residential mortgages, new construction and renovation loans, home equity lines of credit, auto loans, and credit card services. Level One Bank offers a variety of digital banking services including online banking, robust mobile banking apps, online account opening and online loan applications for individuals and businesses. Level One Bank offers the sophistication of a big bank, the heart of a community bank, and the spirit of an entrepreneur. For more information, visit www.levelonebank.com.
Forward-Looking Statements
This release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect management's current views of future events and operations. These forward-looking statements are based on the information currently available to the Company as of the date of this release. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "will," "propose," "may," "plan," "seek," "expect," "intend," "estimate," "anticipate," "believe," "continue," "annualized" or similar terminology. It is important to note that these forward-looking statements are not guarantees of future performance and involve risk and uncertainties, including, but not limited to, the effects of the COVID-19 pandemic, including its effects on the economic environment, our customers and our operations, as well as any changes to federal, state or local government laws, regulations or orders in connection with the pandemic, the ability of the Company to implement its strategy and expand its lending operations, changes in interest rates and other general economic, business and political conditions, including changes in the financial markets, changes in benchmark interest rates used to price loans and deposits including the expected elimination of LIBOR, and changes in tax laws, regulations and guidance, as well as other risks described in the Company's filings with the Securities and Exchange Commission. The Company does not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.
| Summary Consolidated Financial Information | ||||||||||||||||||||
| (Unaudited) | As of or for the three months ended, | |||||||||||||||||||
| (Dollars in thousands, except per share data) | September 2021 | June 30, 2021 | March 31, 2021 | December 31, 2020 | September 30, 2020 | |||||||||||||||
| Earnings Summary | ||||||||||||||||||||
| Interest income | $ | 22,322 | $ | 21,737 | $ | 21,551 | $ | 22,181 | $ | 20,245 | ||||||||||
| Interest expense | 1,807 | 2,121 | 2,394 | 3,075 | 3,648 | |||||||||||||||
| Net interest income | 20,515 | 19,616 | 19,157 | 19,106 | 16,597 | |||||||||||||||
| Provision expense (recovery) for loan losses | (1,189 | ) | 540 | 265 | 1,538 | 4,270 | ||||||||||||||
| Noninterest income | 6,041 | 4,326 | 7,278 | 8,110 | 9,125 | |||||||||||||||
| Noninterest expense | 15,989 | 14,588 | 15,139 | 15,461 | 15,126 | |||||||||||||||
| Income before income taxes | 11,756 | 8,814 | 11,031 | 10,217 | 6,326 | |||||||||||||||
| Income tax provision | 2,291 | 1,835 | 2,072 | 1,844 | 1,117 | |||||||||||||||
| Net income | $ | 9,465 | $ | 6,979 | $ | 8,959 | $ | 8,373 | $ | 5,209 | ||||||||||
| Preferred stock dividends | 468 | 469 | 469 | 479 | — | |||||||||||||||
| Net income available to common shareholders | 8,997 | 6,510 | 8,490 | 7,894 | 5,209 | |||||||||||||||
| Net income allocated to participating securities | 138 | 92 | 111 | 65 | 40 | |||||||||||||||
| Net income attributable to common shareholders | $ | 8,859 | $ | 6,418 | $ | 8,379 | $ | 7,829 | $ | 5,169 | ||||||||||
| Per Share Data | ||||||||||||||||||||
| Basic earnings per common share | $ | 1.19 | $ | 0.85 | $ | 1.11 | $ | 1.02 | $ | 0.68 | ||||||||||
| Diluted earnings per common share | 1.16 | 0.84 | 1.10 | 1.02 | 0.67 | |||||||||||||||
| Diluted earnings per common share, excluding acquisition and due diligence fees (1) | 1.16 | 0.84 | 1.10 | 1.02 | 0.67 | |||||||||||||||
| Book value per common share | 27.56 | 26.48 | 25.40 | 25.14 | 24.06 | |||||||||||||||
| Tangible book value per common share (1) | 21.89 | 20.84 | 19.78 | 19.63 | 18.74 | |||||||||||||||
| Preferred shares outstanding (in thousands) | 10 | 10 | 10 | 10 | 10 | |||||||||||||||
| Common shares outstanding (in thousands) | 7,640 | 7,629 | 7,630 | 7,634 | 7,734 | |||||||||||||||
| Average basic common shares (in thousands) | 7,519 | 7,520 | 7,528 | 7,642 | 7,675 | |||||||||||||||
| Average diluted common shares (in thousands) | 7,638 | 7,633 | 7,612 | 7,695 | 7,712 | |||||||||||||||
| Selected Period End Balances | ||||||||||||||||||||
| Total assets | $ | 2,543,883 | $ | 2,506,523 | $ | 2,572,726 | $ | 2,442,982 | $ | 2,446,447 | ||||||||||
| Securities available-for-sale | 389,528 | 376,453 | 346,266 | 302,732 | 253,527 | |||||||||||||||
| Total loans | 1,719,717 | 1,775,243 | 1,861,691 | 1,723,537 | 1,843,888 | |||||||||||||||
| Total deposits | 2,066,992 | 2,031,808 | 2,093,965 | 1,963,312 | 1,943,435 | |||||||||||||||
| Total liabilities | 2,309,949 | 2,281,114 | 2,355,539 | 2,227,655 | 2,236,979 | |||||||||||||||
| Total shareholders' equity | 233,934 | 225,409 | 217,187 | 215,327 | 209,468 | |||||||||||||||
| Total common shareholders' equity | 210,562 | 202,037 | 193,815 | 191,955 | 186,098 | |||||||||||||||
| Tangible common shareholders' equity (1) | 167,262 | 159,022 | 150,887 | 149,844 | 144,963 | |||||||||||||||
| Performance and Capital Ratios | ||||||||||||||||||||
| Return on average assets (annualized) | 1.50 | % | 1.09 | % | 1.44 | % | 1.35 | % | 0.83 | % | ||||||||||
| Return on average equity (annualized) | 16.32 | 12.52 | 16.31 | 15.61 | 10.48 | |||||||||||||||
| Net interest margin (fully taxable equivalent)(2) | 3.47 | 3.30 | 3.33 | 3.27 | 2.80 | |||||||||||||||
| Efficiency ratio (noninterest expense/net interest income plus noninterest income) | 60.21 | 60.93 | 57.27 | 56.81 | 58.81 | |||||||||||||||
| Dividend payout ratio | 5.08 | 7.02 | 4.50 | 4.90 | 7.41 | |||||||||||||||
| Total shareholders' equity to total assets | 9.20 | 8.99 | 8.44 | 8.81 | 8.56 | |||||||||||||||
| Tangible common equity to tangible assets (1) | 6.69 | 6.46 | 5.96 | 6.24 | 6.03 | |||||||||||||||
| Common equity tier 1 to risk-weighted assets | 9.82 | 9.66 | 9.63 | 9.30 | 8.83 | |||||||||||||||
| Tier 1 capital to risk-weighted assets | 11.19 | 11.09 | 11.11 | 10.80 | 10.31 | |||||||||||||||
| Total capital to risk-weighted assets | 14.19 | 14.15 | 15.18 | 14.91 | 14.39 | |||||||||||||||
| Tier 1 capital to average assets (leverage ratio) | 7.68 | 7.24 | 7.15 | 6.93 | 7.17 | |||||||||||||||
| Asset Quality Ratios: | ||||||||||||||||||||
| Net charge-offs (recoveries) to average loans | 0.05 | % | (0.01 | )% | — | % | 0.11 | % | 0.02 | % | ||||||||||
| Nonperforming assets as a percentage of total assets | 0.48 | 0.55 | 0.60 | 0.77 | 0.79 | |||||||||||||||
| Nonaccrual loans as a percent of total loans | 0.71 | 0.77 | 0.83 | 1.09 | 1.04 | |||||||||||||||
| Allowance for loan losses as a percentage of total loans | 1.26 | 1.30 | 1.21 | 1.29 | 1.15 | |||||||||||||||
| Allowance for loan losses as a percentage of nonaccrual loans | 179.11 | 168.64 | 146.95 | 118.50 | 110.32 | |||||||||||||||
| Allowance for loan losses as a percentage of nonaccrual loans, excluding allowance allocated to loans accounted for under ASC 310-30 | 173.58 | 163.76 | 142.62 | 114.95 | 105.46 | |||||||||||||||
(1) See section entitled "GAAP Reconciliation of Non-GAAP Financial Measures" below.
(2) Presented on a tax equivalent basis using a 21% tax rate.
| Consolidated Balance Sheets | ||||||||||||
| (Unaudited) | As of | |||||||||||
| (Dollars in thousands) | September 30, 2021 | June 30, 2021 | September 30, 2020 | |||||||||
| Assets | ||||||||||||
| Cash and cash equivalents | $ | 293,824 | $ | 218,366 | $ | 176,486 | ||||||
| Securities available-for-sale | 389,528 | 376,453 | 253,527 | |||||||||
| Other investments | 14,398 | 14,398 | 14,398 | |||||||||
| Mortgage loans held for sale, at fair value | 15,351 | 9,305 | 60,635 | |||||||||
| Loans: | ||||||||||||
| Originated loans | 1,537,145 | 1,580,175 | 1,603,893 | |||||||||
| Acquired loans | 182,572 | 195,068 | 239,995 | |||||||||
| Total loans | 1,719,717 | 1,775,243 | 1,843,888 | |||||||||
| Less: Allowance for loan losses | (21,731 | ) | (23,144 | ) | (21,254 | ) | ||||||
| Net loans | 1,697,986 | 1,752,099 | 1,822,634 | |||||||||
| Premises and equipment, net | 15,170 | 15,524 | 15,646 | |||||||||
| Goodwill | 35,554 | 35,554 | 35,554 | |||||||||
| Mortgage servicing rights, net | 5,051 | 4,599 | 2,194 | |||||||||
| Other intangible assets, net | 2,695 | 2,862 | 3,387 | |||||||||
| Bank-owned life insurance | 29,774 | 29,576 | 18,083 | |||||||||
| Income tax benefit | 4,041 | 5,491 | 3,791 | |||||||||
| Interest receivable and other assets | 40,511 | 42,296 | 40,112 | |||||||||
| Total assets | $ | 2,543,883 | $ | 2,506,523 | $ | 2,446,447 | ||||||
| Liabilities | ||||||||||||
| Deposits: | ||||||||||||
| Noninterest-bearing demand deposits | $ | 791,879 | $ | 734,451 | $ | 632,427 | ||||||
| Interest-bearing demand deposits | 179,814 | 142,862 | 115,395 | |||||||||
| Money market and savings deposits | 631,551 | 629,378 | 595,471 | |||||||||
| Time deposits | 463,748 | 525,117 | 600,142 | |||||||||
| Total deposits | 2,066,992 | 2,031,808 | 1,943,435 | |||||||||
| Borrowings | 182,058 | 182,639 | 216,809 | |||||||||
| Subordinated notes | 29,668 | 29,651 | 44,555 | |||||||||
| Other liabilities | 31,231 | 37,016 | 32,180 | |||||||||
| Total liabilities | 2,309,949 | 2,281,114 | 2,236,979 | |||||||||
| Shareholders' equity | ||||||||||||
| Preferred stock, no par value per share; authorized-50,000 shares; issued and outstanding - 10,000 shares, with a liquidation preference of $2,500 per share, at September 30, 2021, June 30, 2021 and September 30, 2020 | 23,372 | 23,372 | 23,370 | |||||||||
| Common stock, no par value per share; authorized - 20,000,000 shares; issued and outstanding - 7,639,544 shares at September 30, 2021, 7,628,944 shares at June 30, 2021 and 7,734,322 shares at September 30, 2020 | 86,926 | 86,723 | 89,409 | |||||||||
| Retained earnings | 118,781 | 110,243 | 88,646 | |||||||||
| Accumulated other comprehensive income, net of tax | 4,855 | 5,071 | 8,043 | |||||||||
| Total shareholders' equity | 233,934 | 225,409 | 209,468 | |||||||||
| Total liabilities and shareholders' equity | $ | 2,543,883 | $ | 2,506,523 | $ | 2,446,447 | ||||||
| Consolidated Statements of Income | ||||||||||||||||||||
| (Unaudited) | Three months ended | Nine months ended | ||||||||||||||||||
| (In thousands, except per share data) | September 30, 2021 | June 30, 2021 | September 30, 2020 | September 30, 2021 | September 30, 2020 | |||||||||||||||
| Interest income | ||||||||||||||||||||
| Originated loans, including fees | $ | 17,796 | $ | 17,167 | $ | 15,274 | $ | 51,785 | $ | 44,630 | ||||||||||
| Acquired loans, including fees | 2,651 | 2,780 | 3,456 | 8,532 | 11,187 | |||||||||||||||
| Securities: | ||||||||||||||||||||
| Taxable | 1,054 | 991 | 652 | 2,895 | 1,930 | |||||||||||||||
| Tax-exempt | 630 | 627 | 613 | 1,880 | 1,894 | |||||||||||||||
| Federal funds sold and other | 191 | 172 | 250 | 518 | 817 | |||||||||||||||
| Total interest income | 22,322 | 21,737 | 20,245 | 65,610 | 60,458 | |||||||||||||||
| Interest Expense | ||||||||||||||||||||
| Deposits | 965 | 1,091 | 2,323 | 3,443 | 9,039 | |||||||||||||||
| Borrowed funds | 468 | 475 | 693 | 1,409 | 1,866 | |||||||||||||||
| Subordinated notes | 374 | 555 | 632 | 1,470 | 1,903 | |||||||||||||||
| Total interest expense | 1,807 | 2,121 | 3,648 | 6,322 | 12,808 | |||||||||||||||
| Net interest income | 20,515 | 19,616 | 16,597 | 59,288 | 47,650 | |||||||||||||||
| Provision expense (recovery) for loan losses | (1,189 | ) | 540 | 4,270 | (384 | ) | 10,334 | |||||||||||||
| Net interest income after provision for loan losses | 21,704 | 19,076 | 12,327 | 59,672 | 37,316 | |||||||||||||||
| Noninterest income | ||||||||||||||||||||
| Service charges on deposits | 859 | 800 | 616 | 2,436 | 1,798 | |||||||||||||||
| Net gain on sales of securities | — | — | 434 | 20 | 1,862 | |||||||||||||||
| Mortgage banking activities | 4,216 | 2,711 | 7,108 | 12,738 | 15,380 | |||||||||||||||
| Other charges and fees | 966 | 815 | 967 | 2,451 | 2,564 | |||||||||||||||
| Total noninterest income | 6,041 | 4,326 | 9,125 | 17,645 | 21,604 | |||||||||||||||
| Noninterest expense | ||||||||||||||||||||
| Salary and employee benefits | 10,551 | 9,352 | 9,862 | 29,825 | 28,090 | |||||||||||||||
| Occupancy and equipment expense | 1,680 | 1,583 | 1,678 | 4,971 | 4,773 | |||||||||||||||
| Professional service fees | 847 | 774 | 808 | 2,264 | 2,141 | |||||||||||||||
| Acquisition and due diligence fees | — | — | 17 | — | 1,664 | |||||||||||||||
| FDIC premium expense | 244 | 210 | 287 | 778 | 722 | |||||||||||||||
| Marketing expense | 428 | 281 | 257 | 842 | 709 | |||||||||||||||
| Loan processing expense | 231 | 193 | 262 | 755 | 690 | |||||||||||||||
| Data processing expense | 928 | 1,057 | 844 | 3,209 | 2,601 | |||||||||||||||
| Core deposit premium amortization | 167 | 166 | 192 | 501 | 576 | |||||||||||||||
| Other expense | 913 | 972 | 919 | 2,571 | 2,805 | |||||||||||||||
| Total noninterest expense | 15,989 | 14,588 | 15,126 | 45,716 | 44,771 | |||||||||||||||
| Income before income taxes | 11,756 | 8,814 | 6,326 | 31,601 | 14,149 | |||||||||||||||
| Income tax provision | 2,291 | 1,835 | 1,117 | 6,198 | 2,109 | |||||||||||||||
| Net income | 9,465 | 6,979 | 5,209 | 25,403 | 12,040 | |||||||||||||||
| Preferred stock dividends | 468 | 469 | — | 1,406 | — | |||||||||||||||
| Net income attributable to common shareholders | $ | 8,997 | $ | 6,510 | $ | 5,209 | $ | 23,997 | $ | 12,040 | ||||||||||
| Earnings per common share: | ||||||||||||||||||||
| Basic earnings per common share | $ | 1.19 | $ | 0.85 | $ | 0.68 | $ | 3.15 | $ | 1.56 | ||||||||||
| Diluted earnings per common share | $ | 1.16 | $ | 0.84 | $ | 0.67 | $ | 3.10 | $ | 1.55 | ||||||||||
| Cash dividends declared per common share | $ | 0.06 | $ | 0.06 | $ | 0.05 | $ | 0.18 | $ | 0.15 | ||||||||||
| Weighted average common shares outstanding—basic | 7,519 | 7,520 | 7,675 | 7,526 | 7,640 | |||||||||||||||
| Weighted average common shares outstanding—diluted | 7,638 | 7,633 | 7,712 | 7,631 | 7,701 | |||||||||||||||
| Net Interest Income and Net Interest Margin | ||||||||||||||||||||
| (Unaudited) | For the three months ended | For the nine months ended | ||||||||||||||||||
| (Dollars in thousands) | September 30, 2021 | June 30, 2021 | September 30, 2020 | September 30, 2021 | September 30, 2020 | |||||||||||||||
| Average Balance Sheets: | ||||||||||||||||||||
| Gross loans(1) | $ | 1,763,214 | $ | 1,853,438 | $ | 1,871,164 | $ | 1,823,888 | $ | 1,696,073 | ||||||||||
| Investment securities: (2) | ||||||||||||||||||||
| Taxable | 265,885 | 248,739 | 139,237 | 243,377 | 124,169 | |||||||||||||||
| Tax-exempt | 104,063 | 103,184 | 94,526 | 103,158 | 97,104 | |||||||||||||||
| Interest earning cash balances | 221,261 | 186,186 | 259,349 | 192,309 | 188,179 | |||||||||||||||
| Other investments | 14,398 | 14,398 | 12,419 | 14,398 | 12,401 | |||||||||||||||
| Total interest-earning assets | $ | 2,368,821 | $ | 2,405,945 | $ | 2,376,695 | $ | 2,377,130 | $ | 2,117,926 | ||||||||||
| Non-earning assets | 151,077 | 147,607 | 140,480 | 145,971 | 133,968 | |||||||||||||||
| Total assets | $ | 2,519,898 | $ | 2,553,552 | $ | 2,517,175 | $ | 2,523,101 | $ | 2,251,894 | ||||||||||
| Interest-bearing demand deposits | 156,977 | 143,290 | 116,285 | 144,449 | 112,579 | |||||||||||||||
| Money market and savings deposits | 624,190 | 640,471 | 513,420 | 623,123 | 458,438 | |||||||||||||||
| Time deposits | 489,261 | 550,751 | 575,179 | 541,018 | 564,396 | |||||||||||||||
| Borrowings | 181,911 | 184,391 | 394,020 | 183,983 | 311,024 | |||||||||||||||
| Subordinated notes | 29,657 | 41,809 | 44,468 | 38,633 | 44,463 | |||||||||||||||
| Total interest-bearing liabilities | $ | 1,481,996 | $ | 1,560,712 | $ | 1,643,372 | $ | 1,531,206 | $ | 1,490,900 | ||||||||||
| Noninterest bearing demand deposits | 774,926 | 737,038 | 640,095 | 735,162 | 546,066 | |||||||||||||||
| Other liabilities | 31,012 | 32,852 | 34,846 | 31,822 | 30,047 | |||||||||||||||
| Shareholders' equity | 231,964 | 222,950 | 198,862 | 224,911 | 184,881 | |||||||||||||||
| Total liabilities and shareholders' equity | $ | 2,519,898 | $ | 2,553,552 | $ | 2,517,175 | $ | 2,523,101 | $ | 2,251,894 | ||||||||||
| Yields: (3) | ||||||||||||||||||||
| Earning Assets | ||||||||||||||||||||
| Gross loans | 4.60 | % | 4.32 | % | 3.98 | % | 4.42 | % | 4.40 | % | ||||||||||
| Investment securities: | ||||||||||||||||||||
| Taxable | 1.57 | % | 1.60 | % | 1.86 | % | 1.59 | % | 2.08 | % | ||||||||||
| Tax-exempt | 2.99 | % | 3.03 | % | 3.19 | % | 3.04 | % | 3.20 | % | ||||||||||
| Interest earning cash balances | 0.15 | % | 0.11 | % | 0.12 | % | 0.12 | % | 0.28 | % | ||||||||||
| Other investments | 2.95 | % | 3.40 | % | 5.57 | % | 3.18 | % | 4.49 | % | ||||||||||
| Total interest earning assets | 3.76 | % | 3.65 | % | 3.41 | % | 3.72 | % | 3.84 | % | ||||||||||
| Interest-bearing liabilities | ||||||||||||||||||||
| Interest-bearing demand deposits | 0.14 | % | 0.15 | % | 0.22 | % | 0.15 | % | 0.31 | % | ||||||||||
| Money market and savings deposits | 0.17 | % | 0.18 | % | 0.43 | % | 0.20 | % | 0.65 | % | ||||||||||
| Time deposits | 0.53 | % | 0.54 | % | 1.18 | % | 0.58 | % | 1.55 | % | ||||||||||
| Borrowings | 1.02 | % | 1.03 | % | 0.70 | % | 1.02 | % | 0.80 | % | ||||||||||
| Subordinated notes | 5.00 | % | 5.32 | % | 5.65 | % | 5.09 | % | 5.72 | % | ||||||||||
| Total interest-bearing liabilities | 0.48 | % | 0.55 | % | 0.88 | % | 0.55 | % | 1.15 | % | ||||||||||
| Interest Spread | 3.28 | % | 3.10 | % | 2.53 | % | 3.17 | % | 2.69 | % | ||||||||||
| Net interest margin(4) | 3.44 | % | 3.27 | % | 2.78 | % | 3.33 | % | 3.01 | % | ||||||||||
| Tax equivalent effect | 0.03 | % | 0.03 | % | 0.02 | % | 0.03 | % | 0.03 | % | ||||||||||
| Net interest margin on a fully tax equivalent basis | 3.47 | % | 3.30 | % | 2.80 | % | 3.36 | % | 3.04 | % | ||||||||||
(1) Includes nonaccrual loans.
(2) For presentation in this table, average balances and the corresponding average rates for investment securities are based upon historical cost, adjusted for amortization of premiums and accretion of discounts.
(3) Average rates and yields are presented on an annual basis and includes a taxable equivalent adjustment to interest income of $155 thousand, $153 thousand, and $144 thousand on tax-exempt securities for the three months ended September 30, 2021, June 30, 2021, and September 30, 2020, respectively, and $462 thousand and $431 thousand for the nine months ended September 30, 2021 and 2020, respectively, using a federal income tax rate of 21%.
(4) Net interest margin represents net interest income divided by average total interest-earning assets.
| Loan Composition | ||||||||||||||||||||
| As of | ||||||||||||||||||||
| (Dollars in thousands) | September 30, 2021 | June 30, 2021 | March 31, 2021 | December 31, 2020 | September 30, 2020 | |||||||||||||||
| Commercial real estate: | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||||||
| Non-owner occupied | $ | 479,633 | $ | 477,715 | $ | 449,690 | $ | 445,810 | $ | 460,708 | ||||||||||
| Owner-occupied | 295,228 | 301,615 | 300,175 | 275,022 | 269,481 | |||||||||||||||
| Total commercial real estate | 774,861 | 779,330 | 749,865 | 720,832 | 730,189 | |||||||||||||||
| Commercial and industrial | 540,546 | 642,606 | 794,096 | 685,504 | 807,923 | |||||||||||||||
| Residential real estate | 403,517 | 352,513 | 316,089 | 315,476 | 304,088 | |||||||||||||||
| Consumer | 793 | 794 | 1,641 | 1,725 | 1,688 | |||||||||||||||
| Total loans | $ | 1,719,717 | $ | 1,775,243 | $ | 1,861,691 | $ | 1,723,537 | $ | 1,843,888 | ||||||||||
| Impaired Assets | ||||||||||||||||||||
| As of | ||||||||||||||||||||
| (Dollars in thousands) | September 30, 2021 | June 30, 2021 | March 31, 2021 | December 31, 2020 | September 30, 2020 | |||||||||||||||
| Nonaccrual loans | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||||||
| Commercial real estate | $ | 3,768 | $ | 4,536 | $ | 4,542 | $ | 7,320 | $ | 7,022 | ||||||||||
| Commercial and industrial | 4,746 | 5,247 | 6,822 | 7,490 | 8,078 | |||||||||||||||
| Residential real estate | 3,610 | 3,931 | 3,987 | 3,991 | 4,151 | |||||||||||||||
| Consumer | 9 | 10 | 13 | 15 | 15 | |||||||||||||||
| Total nonaccrual loans | 12,133 | 13,724 | 15,364 | 18,816 | 19,266 | |||||||||||||||
| Other real estate owned | — | — | — | — | — | |||||||||||||||
| Total nonperforming assets | 12,133 | 13,724 | 15,364 | 18,816 | 19,266 | |||||||||||||||
| Performing troubled debt restructurings | ||||||||||||||||||||
| Commercial and industrial | 336 | 336 | 335 | 546 | 550 | |||||||||||||||
| Residential real estate | 426 | 429 | 430 | 432 | 599 | |||||||||||||||
| Total performing troubled debt restructurings | 762 | 765 | 765 | 978 | 1,149 | |||||||||||||||
| Total impaired assets | $ | 12,895 | $ | 14,489 | $ | 16,129 | $ | 19,794 | $ | 20,415 | ||||||||||
| Loans 90 days or more past due and still accruing | $ | 162 | $ | 387 | $ | 328 | $ | 269 | $ | 552 | ||||||||||
GAAP Reconciliation of Non-GAAP Financial Measures
Some of the financial measures included in this report are not measures of financial condition or performance recognized by GAAP. These non-GAAP financial measures include tangible common shareholders' equity, tangible book value per common share, the ratio of tangible common equity to tangible assets, net income and diluted earnings per common share excluding acquisition and due diligence fees, and allowance for loan loss as a percentage of total loans, excluding PPP loans. Our management uses these non-GAAP financial measures in its analysis of our performance, and we believe that providing this information to financial analysts and investors allows them to evaluate capital adequacy, as well as better understand and evaluate the Company's core financial results for the periods in question.
The following presents these non-GAAP financial measures along with their most directly comparable financial measure calculated in accordance with GAAP:
| Tangible Common Shareholders' Equity, Tangible Common Equity to Tangible Assets Ratio and Tangible Book Value Per Common Share | ||||||||||||||||||||
| As of | ||||||||||||||||||||
| (Dollars in thousands, except per share data) | September 2021 | June 30, 2021 | March 31, 2021 | December 31, 2020 | September 30, 2020 | |||||||||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||||
| Total shareholders' equity | $ | 233,934 | $ | 225,409 | $ | 217,187 | $ | 215,327 | $ | 209,468 | ||||||||||
| Less: | ||||||||||||||||||||
| Preferred stock | 23,372 | 23,372 | 23,372 | 23,372 | 23,370 | |||||||||||||||
| Total common shareholders' equity | 210,562 | 202,037 | 193,815 | 191,955 | 186,098 | |||||||||||||||
| Less: | ||||||||||||||||||||
| Goodwill | 35,554 | 35,554 | 35,554 | 35,554 | 35,554 | |||||||||||||||
| Mortgage servicing rights, net | 5,051 | 4,599 | 4,346 | 3,361 | 2,193 | |||||||||||||||
| Other intangible assets, net | 2,695 | 2,862 | 3,028 | 3,196 | 3,388 | |||||||||||||||
| Tangible common shareholders' equity | $ | 167,262 | $ | 159,022 | $ | 150,887 | $ | 149,844 | $ | 144,963 | ||||||||||
| Common shares outstanding (in thousands) | 7,640 | 7,629 | 7,630 | 7,634 | 7,734 | |||||||||||||||
| Tangible book value per common share | $ | 21.89 | $ | 20.84 | $ | 19.78 | $ | 19.63 | $ | 18.74 | ||||||||||
| Total assets | $ | 2,543,883 | $ | 2,506,523 | $ | 2,572,726 | $ | 2,442,982 | $ | 2,446,447 | ||||||||||
| Less: | ||||||||||||||||||||
| Goodwill | 35,554 | 35,554 | 35,554 | 35,554 | 35,554 | |||||||||||||||
| Mortgage servicing rights, net | 5,051 | 4,599 | 4,346 | 3,361 | 2,193 | |||||||||||||||
| Other intangible assets, net | 2,695 | 2,862 | 3,028 | 3,196 | 3,388 | |||||||||||||||
| Tangible assets | $ | 2,500,583 | $ | 2,463,508 | $ | 2,529,798 | $ | 2,400,871 | $ | 2,405,312 | ||||||||||
| Tangible common equity to tangible assets | 6.69 | % | 6.46 | % | 5.96 | % | 6.24 | % | 6.03 | % | ||||||||||
| Adjusted Income and Diluted Earnings Per Share | ||||||||||||||||||||
| For the three months ended | ||||||||||||||||||||
| (Dollars in thousands, except per share data) | September 2021 | June 30, 2021 | March 31, 2021 | December 31, 2020 | September 30, 2020 | |||||||||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||||
| Net income, as reported | $ | 9,465 | $ | 6,979 | $ | 8,959 | $ | 8,373 | $ | 5,209 | ||||||||||
| Acquisition and due diligence fees | — | — | — | — | 17 | |||||||||||||||
| Income tax (benefit) expense (1) | — | — | — | 2 | (4 | ) | ||||||||||||||
| Net income, excluding acquisition and due diligence fees | $ | 9,465 | $ | 6,979 | $ | 8,959 | $ | 8,375 | $ | 5,222 | ||||||||||
| Diluted earnings per share, as reported | $ | 1.16 | $ | 0.84 | $ | 1.10 | $ | 1.02 | $ | 0.67 | ||||||||||
| Effect of acquisition and due diligence fees, net of income tax benefit | — | — | — | — | — | |||||||||||||||
| Diluted earnings per common share, excluding acquisition and due diligence fees | $ | 1.16 | $ | 0.84 | $ | 1.10 | $ | 1.02 | $ | 0.67 | ||||||||||
(1) Assumes income tax rate of 21% on deductible acquisition expenses.
| Allowance for Loan Loss as a Percentage of Total Loans, Excluding PPP Loans | ||||||||||||||||||||
| As of | ||||||||||||||||||||
| (Dollars in thousands, except per share data) | September 2021 | June 30, 2021 | March 31, 2021 | December 31, 2020 | September 30, 2020 | |||||||||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||||
| Total loans | $ | 1,719,717 | $ | 1,775,243 | $ | 1,861,691 | $ | 1,723,537 | $ | 1,843,888 | ||||||||||
| Less: | ||||||||||||||||||||
| PPP loans | 147,645 | 259,303 | 405,770 | 290,135 | 392,521 | |||||||||||||||
| Total loans, excluding PPP loans | $ | 1,572,072 | $ | 1,515,940 | $ | 1,455,921 | $ | 1,433,402 | $ | 1,451,367 | ||||||||||
| Allowance for loan loss | $ | 21,731 | $ | 23,144 | $ | 22,578 | $ | 22,297 | $ | 21,254 | ||||||||||
| Allowance for loan loss as a percentage of total loans | 1.26 | % | 1.30 | % | 1.21 | % | 1.29 | % | 1.15 | % | ||||||||||
| Allowance for loan loss as a percentage of total loans, excluding PPP loans | 1.38 | % | 1.53 | % | 1.55 | % | 1.56 | % | 1.46 | % | ||||||||||
Media Contact: Nicole Ransom (248) 538-2183 Investor Relations Contact: Peter Root (248) 538-2186
