(NASDAQ:CNOB),
ENGLEWOOD CLIFFS, N.J., Jan. 30, 2025 (GLOBE NEWSWIRE) — ConnectOne Bancorp, Inc. (Nasdaq: CNOB) (the “Company” or “ConnectOne”), parent company of ConnectOne Bank (the “Bank”), today reported net income available to common stockholders of $18.9 million for the fourth quarter of 2024 compared with $15.7 million for the third quarter of 2024 and $17.8 million for the fourth quarter of 2023. Diluted earnings per share were $0.49 for the fourth quarter of 2024 compared with $0.41 for the third quarter of 2024 and $0.46 for the fourth quarter of 2023. Full-year 2024 net income available to common stockholders was $67.8 million, compared to $81.0 million for the full-year 2023. Diluted earnings per share for the full-year 2024 were $1.76, compared with $2.07 for the full-year 2023. Return on average assets was 0.84%, 0.70% and 0.79% for the three months ended December 31, 2024, September 30, 2024 and December 31, 2023, respectively. Return on average tangible common equity was 8.27%, 6.93% and 8.18% for the three months ended December 31, 2024, September 30, 2024 and December 31, 2023, respectively.
Operating net income available to common stockholders, which excludes non-operating items, as set forth in the reconciliation of GAAP earnings to operating earnings included in the supplemental table attached hereto, was $20.2 million for the fourth quarter of 2024, $16.1 million for the third quarter of 2024 and $19.1 million for the fourth quarter of 2023. Operating diluted earnings per share were $0.52 for the fourth quarter of 2024, $0.42 for the third quarter of 2024 and $0.49 for the fourth quarter of 2023. Operating return on average assets was 0.90%, 0.72% and 0.84% for the three months ended December 31, 2024, September 30, 2024 and December 31, 2023, respectively. Operating return on average tangible common equity was 8.77%, 7.03% and 8.67% for the three months ended December 31, 2024, September 30, 2024 and December 31, 2023, respectively.
“I'm extremely pleased with ConnectOne's fourth quarter 2024 financial results highlighted by a 20.5% quarter-over-quarter and an 6.2% year-over-year increase in quarterly net income available to common stockholders, significant margin expansion and growth in both loans and core deposits,” stated Frank Sorrentino, ConnectOne's Chairman and Chief Executive Officer. “On a quarter-over-quarter basis, our loan portfolio grew by 2.0% while core deposits grew by 3.2%. The bank's net interest margin improved by nearly 20 basis-points, benefiting from a more than 25 basis-point improvement in our cost of deposits. This improvement reflects an approximately 40% cycle-to-date beta on interest-bearing deposits and a 3.6% sequential quarterly increase in average noninterest-bearing demand deposits. Moreover, credit quality trends remain stable and, once again, tangible book value advanced despite higher longer-term interest rates.”
“As we move into 2025, we are experiencing strong operating momentum bolstered by improving industry fundamentals, favorable economic conditions, and a potentially more supportive regulatory environment. Importantly, the proposed merger with The First of Long Island Corporation is moving forward as planned. We're well along in the merger process and anticipate the transaction to close in the second quarter of 2025.” Mr. Sorrentino added, “The strategic rationale behind this financially attractive transaction remains highly compelling, which will meaningfully enhance ConnectOne's presence on Long Island and further our position as a premier New York Metro community bank. We are equally excited about the opportunity to serve The First of Long Island's clients and to leverage the expertise of its team, creating a significantly enhanced platform for sustained growth at ConnectOne.”
Mr. Sorrentino concluded “Looking ahead, we remain focused and committed to our client-first culture and relationship banking model and are well-positioned to grow and strengthen our valuable franchise.”
Dividend Declarations
The Company announced that its Board of Directors declared a cash dividend on both its common stock and its outstanding preferred stock. A cash dividend on common stock of $0.18 per share will be paid on March 3, 2025, to common stockholders of record on February 18, 2025. A dividend of $0.328125 per depositary share, representing a 1/40th interest in a share of the Company's 5.25% Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock, Series A, will also be paid on March 3, 2025 to holders of record on February 18, 2025.
Operating Results
Fully taxable equivalent net interest income for the fourth quarter of 2024 was $64.7 million, an increase of $3.8 million, or 6.3%, from the third quarter of 2024, due to a 19 basis-point widening of the net interest margin to 2.86% from 2.67%. Average loans for the fourth quarter of 2024 remained essentially flat from the sequential third quarter, decreasing by $19.8 million, or 0.2%. The widening of the net interest margin was primarily due to a 27 basis-point decrease in the average costs of deposits, including noninterest-bearing deposits, partially offset by a 3 basis-point decline in the rate earned on interest-earning assets. The interest-earning asset rate for the fourth quarter of 2024 was strengthened by an increase in loan prepayment fees and recapture of nonaccrual loan interest. Excluding these aforementioned items, management estimates the net interest margin for the quarter would have been approximately 2.82%. The net interest margin, excluding any non-operating items, is expected to increase to more than 2.90% in the first quarter of 2025 as a result of further improvement in the cost of funds and the deployment of excess cash-on-hand.
Fully taxable equivalent net interest income for the fourth quarter of 2024 increased by $3.0 million, or 4.7%, from the fourth quarter of 2023. The increase from the fourth quarter of 2023 resulted primarily from a 15 basis-point widening in the net interest margin to 2.86% from 2.71%, partially offset by a $164.7 million, or 2.0%, decrease in average loans. The widening of the net interest margin for the fourth quarter of 2024 when compared to the fourth quarter of 2023 was primarily due to a 102 basis-point decrease in the average cost of borrowings, a 9 basis-point decrease in average cost of deposits, including noninterest-bearing deposits, and a 3 basis-point increase in the loan portfolio yield, partially offset by an increase in average cash balances during the fourth quarter of 2024.
Noninterest income was $3.7 million in the fourth quarter of 2024, $4.7 million in the third quarter of 2024 and $4.2 million in the fourth quarter of 2023. The $1.0 million decrease in noninterest income for the fourth quarter of 2024 when compared to the third quarter of 2024 was due to a $0.7 million decrease in net gains on equity securities, a $0.5 million decrease in BOLI income, primarily due to reduced death benefits, partially offset by a $0.2 million increase in net gains on sale of loans held-for-sale. The $0.5 million decrease in noninterest income for the fourth quarter of 2024 when compared to the fourth quarter of 2023 was due to a $0.9 million decrease in net gains on equity securities, partially offset a $0.3 million increase in other deposit, loan and other income and an increase in net gains on sale of loans held-for-sale of $0.1 million.
Noninterest expenses were $38.5 million for the fourth quarter of 2024, $38.6 million for the third quarter of 2024 and $37.8 million for the fourth quarter of 2023. The $0.1 million decrease in noninterest expenses for the fourth quarter of 2024 when compared to the third quarter of 2024 was primarily due to a $0.7 million decrease in salaries and employee benefits, a $0.2 million decrease in other expenses, a $0.1 million decrease in marketing and advertising expenses and a $0.1 million decrease in occupancy and equipment expense, partially offset by a $0.5 million charge related to a branch closing, a $0.3 million increase in professional and consulting expenses, a $0.1 million increase in merger expenses and a $0.1 million increase in information and technology communications.
The $0.7 million increase in noninterest expenses for the fourth quarter of 2024 when compared to the fourth quarter of 2023 was primarily due to a $0.9 million increase merger expenses, a $0.9 million increase in professional and consulting expenses, a $0.5 million increase in branch closing expenses, a $0.4 million increase in information technology and communications, a $0.2 million increase in salaries and employee benefits, a $0.1 million increase in marketing and advertising expenses and a $0.1 million increase in occupancy and equipment expenses, partially offset by decreases in FDIC insurance of $2.1 million and $0.3 million decrease in other expenses. The $0.9 million increase in merger expenses compared to the fourth quarter of 2023 was due to the planned merger with The First of Long Island Corporation. The $0.9 million increase in professional and consulting expenses was primarily due to increases in legal and audit accruals, as well as an increase in loan work-out expenses. The $0.5 million increase in branch closing expenses is due to the aforementioned branch closing. The $2.1 million decrease in FDIC insurance expense is due to the FDIC special assessment charge that was accrued during the fourth quarter of 2023.
Income tax expense was $6.1 million for the fourth quarter of 2024, $6.0 million for the third quarter of 2024 and $6.2 million for the fourth quarter of 2023. The effective tax rates for the fourth quarter of 2024, third quarter of 2024 and fourth quarter of 2023 were 23%, 26% and 24%, respectively. The effective tax rate for the fourth quarter reflects a year-end adjustment for the effective tax rate for the full-year 2024. Our projected tax rate for 2025 is in the range of 26%-27%.
Asset Quality
The provision for credit losses was $3.5 million for the fourth quarter of 2024, $3.8 million for the third quarter of 2024 and $2.7 million for the fourth quarter of 2023, reflecting loan growth, economic outlook and specific reserves. The provision for credit losses was $13.8 million for the full-year 2024 compared to $8.2 million for the full-year 2023. The increase in the full-year 2024 provision for credit losses when compared to the full-year 2023 was primarily due to increases in specific reserves, partially offset by a decrease in the level of general reserves.
Nonperforming assets, which includes nonaccrual loans and other real estate owned (the Bank had no other real estate owned during the periods reported), was $57.3 million as of December 31, 2024, $51.3 million as of September 30, 2024 and $52.5 million as of December 31, 2023. Nonperforming assets as a percentage of total assets was 0.58% as of December 31, 2024, 0.53% as of September 31, 2024 and 0.53% as of December 31, 2023. The ratio of nonaccrual loans to loans receivable was 0.69%, 0.63% and 0.63%, as of December 31, 2024, September 30, 2024 and December 31, 2023, respectively. The annualized net loan charge-offs ratio was 0.16% for the fourth quarter of 2024, 0.17% for the third quarter of 2024 and 0.43% for the fourth quarter of 2023. The allowance for credit losses represented 1.00%, 1.02%, and 0.98% of loans receivable as of December 31, 2024, September 31, 2024, and December 31, 2023, respectively. The allowance for credit losses as a percentage of nonaccrual loans was 144.3% as of December 31, 2024, 160.8% as of September 30, 2024 and 156.1% as of December 31, 2023. Criticized and classified loans as a percentage of loans receivable was 2.66% as of December 31, 2024, up from 2.23% as of September 30, 2024 and 1.35% as of December 31, 2023. Loans delinquent 30 to 89 days was 0.04% of loans receivable as of December 31, 2024, down from 0.16% as of September 30, 2024 and 0.30% as of December 31, 2023. The overall credit quality metrics of the Bank's loan portfolio remain sound, with expected levels of charge-offs, nonaccruals, delinquencies, and classified loans expected to remain within historical ranges.
Selected Balance Sheet Items
The Company's total assets were $9.880 billion as of December 31, 2024, compared to $9.856 billion as of December 31, 2023. Loans receivable were $8.275 billion as of December 31, 2024 and $8.345 billion as of December 31, 2023. Total deposits were $7.820 billion as of December 31, 2024 and $7.536 billion as of December 31, 2023.
The Company's total stockholders' equity was $1.242 billion as of December 31, 2024 and $1.217 billion as of December 31, 2023. The increase in total stockholders' equity was primarily due to an increase in retained earnings of $40.5 million, partially offset by an increase in accumulated other comprehensive losses of approximately $12.7 million and an increase in treasury stock of approximately $5.8 million. As of December 31, 2024, the Company's tangible common equity ratio and tangible book value per share were 9.49% and $23.92, respectively, compared to 9.25% and $23.14, respectively, as of December 31, 2023. Total goodwill and other intangible assets were $213.0 million as of December 31, 2024, and $214.2 million as of December 31, 2023.
Use of Non-GAAP Financial Measures
In addition to the results presented in accordance with Generally Accepted Accounting Principles (“GAAP”), ConnectOne routinely supplements its evaluation with an analysis of certain non-GAAP measures. ConnectOne believes these non-GAAP financial measures, in addition to the related GAAP measures, provide meaningful information to investors in understanding our operating performance and trends. These non-GAAP measures have inherent limitations and are not required to be uniformly applied and are not audited. They should not be considered in isolation or as a substitute for an analysis of results reported under GAAP. These non-GAAP measures may not be comparable to similarly titled measures reported by other companies. Reconciliations of non-GAAP financial measures disclosed in this earnings release to the comparable GAAP measures are provided in the accompanying tables.
Fourth Quarter 2024 Results Conference Call
Management will also host a conference call and audio webcast at 10:00 a.m. ET on January 30, 2025 to review the Company's financial performance and operating results. The conference call dial-in number is 1 (646) 307-1963, access code 1691400. Please dial in at least five minutes before the start of the call to register. An audio webcast of the conference call will be available to the public, on a listen-only basis, via the “Investor Relations” link on the Company's website https://www.ConnectOneBank.com or at http://ir.connectonebank.com.
A replay of the conference call will be available beginning at approximately 1:00 p.m. ET on Thursday, January 30, 2025 and ending on Thursday, February 6, 2025 by dialing 1 (609) 800-9909, access code 1691400. An online archive of the webcast will be available following the completion of the conference call at https://www.ConnectOneBank.com or at http://ir.connectonebank.com.
About ConnectOne Bancorp, Inc.
ConnectOne Bancorp, Inc., is a modern financial services company that operates, through its subsidiary, ConnectOne Bank, and the Bank's fintech subsidiary, BoeFly, Inc. ConnectOne Bank is a high-performing commercial bank offering a full suite of banking & lending products and services that focus on small to middle-market businesses. BoeFly, Inc. is a fintech marketplace that connects borrowers in the franchise space with funding solutions through a network of partner banks. ConnectOne Bancorp, Inc. is traded on the Nasdaq Global Market under the trading symbol “CNOB,” and information about ConnectOne may be found at https://www.connectonebank.com.
This news release contains certain forward-looking statements which are based on certain assumptions and describe future plans, strategies, and expectations of the Company. These forward-looking statements are generally identified by use of the words “believe,” “expect,” “intend,” “anticipate,” “estimate,” “project,” or similar expressions. The Company's ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations of the Company and its subsidiaries include, but are not limited to, those factors set forth in Item 1A – Risk Factors of the Company's Annual Report on Form 10-K, as filed with the U.S. Securities and Exchange Commission, as supplemented by the Company's subsequent filings with the U.S. Securities and Exchange Commission, and changes in interest rates, general economic conditions, legislative/regulatory changes, monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Federal Reserve Board, the quality or composition of the loan or investment portfolios, demand for loan products, deposit flows, competition, demand for financial services in the Company's market area, changes in accounting principles and guidelines and the impact of the health emergencies and natural disasters on the Company, its employees and operations, and its customers. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
Investor Contact:
William S. Burns
Senior Executive Vice President & CFO
201.816.4474: bburns@cnob.com
Media Contact:
Shannan Weeks
MikeWorldWide
732.299.7890: sweeks@mww.com
| CONNECTONE BANCORP, INC. AND SUBSIDIARIES | ||||||||
| CONSOLIDATED CONDENSED STATEMENTS OF FINANCIAL CONDITION | ||||||||
| (in thousands) | ||||||||
| December 31, | December 31, | |||||||
| 2024 | 2023 | |||||||
| (unaudited) | ||||||||
| ASSETS | ||||||||
| Cash and due from banks | $ | 57,816 | $ | 61,421 | ||||
| Interest-bearing deposits with banks | 298,672 | 181,293 | ||||||
| Cash and cash equivalents | 356,488 | 242,714 | ||||||
| Investment securities | 612,847 | 617,162 | ||||||
| Equity securities | 20,092 | 18,564 | ||||||
| Loans held-for-sale | 743 | – | ||||||
| Loans receivable | 8,274,810 | 8,345,145 | ||||||
| Less: Allowance for credit losses – loans | 82,685 | 81,974 | ||||||
| Net loans receivable | 8,192,125 | 8,263,171 | ||||||
| Investment in restricted stock, at cost | 40,449 | 51,457 | ||||||
| Bank premises and equipment, net | 28,447 | 30,779 | ||||||
| Accrued interest receivable | 45,498 | 49,108 | ||||||
| Bank owned life insurance | 243,672 | 237,644 | ||||||
| Right of use operating lease assets | 14,489 | 12,007 | ||||||
| Goodwill | 208,372 | 208,372 | ||||||
| Core deposit intangibles | 4,639 | 5,874 | ||||||
| Other assets | 111,739 | 118,751 | ||||||
| Total assets | $ | 9,879,600 | $ | 9,855,603 | ||||
| LIABILITIES | ||||||||
| Deposits: | ||||||||
| Noninterest-bearing | $ | 1,422,044 | $ | 1,259,364 | ||||
| Interest-bearing | 6,398,070 | 6,276,838 | ||||||
| Total deposits | 7,820,114 | 7,536,202 | ||||||
| Borrowings | 688,064 | 933,579 | ||||||
| Subordinated debentures, net | 79,944 | 79,439 | ||||||
| Operating lease liabilities | 15,498 | 13,171 | ||||||
| Other liabilities | 34,276 | 76,592 | ||||||
| Total liabilities | 8,637,896 | 8,638,983 | ||||||
| COMMITMENTS AND CONTINGENCIES | ||||||||
| STOCKHOLDERS' EQUITY | ||||||||
| Preferred stock | 110,927 | 110,927 | ||||||
| Common stock | 586,946 | 586,946 | ||||||
| Additional paid-in capital | 36,347 | 33,182 | ||||||
| Retained earnings | 631,446 | 590,970 | ||||||
| Treasury stock | (76,116 | ) | (70,296 | ) | ||||
| Accumulated other comprehensive loss | (47,846 | ) | (35,109 | ) | ||||
| Total stockholders' equity | 1,241,704 | 1,216,620 | ||||||
| Total liabilities and stockholders' equity | $ | 9,879,600 | $ | 9,855,603 | ||||
| CONNECTONE BANCORP, INC. AND SUBSIDIARIES | ||||||||||||||
| CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||
| (dollars in thousands, except for per share data) | ||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||
| 12/31/24 | 12/31/23 | 12/31/24 | 12/31/23 | |||||||||||
| Interest income | ||||||||||||||
| Interest and fees on loans | $ | 118,346 | $ | 120,636 | $ | 477,859 | $ | 453,992 | ||||||
| Interest and dividends on investment securities: | ||||||||||||||
| Taxable | 4,804 | 4,280 | 18,561 | 16,666 | ||||||||||
| Tax-exempt | 1,109 | 1,166 | 4,503 | 4,641 | ||||||||||
| Dividends | 959 | 912 | 4,349 | 3,662 | ||||||||||
| Interest on federal funds sold and other short-term investments | 2,815 | 1,963 | 12,617 | 11,104 | ||||||||||
| Total interest income | 128,033 | 128,957 | 517,889 | 490,065 | ||||||||||
| Interest expense | ||||||||||||||
| Deposits | 58,568 | 59,332 | 244,846 | 206,176 | ||||||||||
| Borrowings | 4,754 | 7,803 | 25,706 | 28,783 | ||||||||||
| Total interest expense | 63,322 | 67,135 | 270,552 | 234,959 | ||||||||||
| Net interest income | 64,711 | 61,822 | 247,337 | 255,106 | ||||||||||
| Provision for credit losses | 3,500 | 2,700 | 13,800 | 8,200 | ||||||||||
| Net interest income after provision for credit losses | 61,211 | 59,122 | 233,537 | 246,906 | ||||||||||
| Noninterest income | ||||||||||||||
| Deposit, loan and other income | 1,798 | 1,545 | 6,861 | 6,098 | ||||||||||
| Income on bank owned life insurance | 1,656 | 1,635 | 7,142 | 6,316 | ||||||||||
| Net gains on sale of loans held-for-sale | 597 | 472 | 2,723 | 1,704 | ||||||||||
| Net losses (gains) on equity securities | (307 | ) | 557 | 2 | (117 | ) | ||||||||
| Total noninterest income | 3,744 | 4,209 | 16,728 | 14,001 | ||||||||||
| Noninterest expenses | ||||||||||||||
| Salaries and employee benefits | 22,244 | 22,010 | 90,053 | 88,223 | ||||||||||
| Occupancy and equipment | 2,818 | 2,708 | 11,615 | 10,884 | ||||||||||
| FDIC insurance | 1,800 | 3,900 | 7,200 | 8,365 | ||||||||||
| Professional and consulting | 2,449 | 1,587 | 8,447 | 7,547 | ||||||||||
| Marketing and advertising | 495 | 323 | 2,420 | 1,965 | ||||||||||
| Information technology and communications | 4,523 | 4,148 | 17,574 | 14,340 | ||||||||||
| Merger expenses | 863 | – | 1,605 | – | ||||||||||
| Branch closing expenses | 477 | – | 477 | – | ||||||||||
| Amortization of core deposit intangibles | 296 | 348 | 1,235 | 1,438 | ||||||||||
| Other expenses | 2,533 | 2,821 | 11,172 | 11,187 | ||||||||||
| Total noninterest expenses | 38,498 | 37,845 | 151,798 | 143,949 | ||||||||||
| Income before income tax expense | 26,457 | 25,486 | 98,467 | 116,958 | ||||||||||
| Income tax expense | 6,086 | 6,213 | 24,674 | 29,955 | ||||||||||
| Net income | 20,371 | 19,273 | 73,793 | 87,003 | ||||||||||
| Preferred dividends | 1,509 | 1,509 | 6,036 | 6,036 | ||||||||||
| Net income available to common stockholders | $ | 18,862 | $ | 17,764 | $ | 67,757 | $ | 80,967 | ||||||
| Earnings per common share: | ||||||||||||||
| Basic | $ | 0.49 | $ | 0.46 | $ | 1.77 | $ | 2.08 | ||||||
| Diluted | 0.49 | 0.46 | 1.76 | 2.07 | ||||||||||
| ConnectOne's management believes that the supplemental financial information, including non-GAAP measures provided below, is useful to investors. The non-GAAP measures should not be viewed as a substitute for financial results determined in accordance with GAAP, and are not necessarily comparable to non-GAAP financial measures presented by other companies. | |||||||||||||||||||||
| CONNECTONE BANCORP, INC. | |||||||||||||||||||||
| SUPPLEMENTAL GAAP AND NON-GAAP FINANCIAL MEASURES | |||||||||||||||||||||
| As of | |||||||||||||||||||||
| Dec. 31, | Sept. 30, | Jun. 30, | Mar. 31, | Dec. 31, | |||||||||||||||||
| 2024 | 2024 | 2024 | 2024 | 2023 | |||||||||||||||||
| Selected Financial Data | (dollars in thousands) | ||||||||||||||||||||
| Total assets | $ | 9,879,600 | $ | 9,639,603 | $ | 9,723,731 | $ | 9,853,964 | $ | 9,855,603 | |||||||||||
| Loans receivable: | |||||||||||||||||||||
| Commercial | $ | 1,522,308 | $ | 1,505,743 | $ | 1,491,079 | $ | 1,561,063 | $ | 1,564,768 | |||||||||||
| Commercial real estate | 3,384,319 | 3,261,160 | 3,274,941 | 3,333,488 | 3,342,603 | ||||||||||||||||
| Multifamily | 2,506,782 | 2,482,258 | 2,499,581 | 2,507,893 | 2,566,904 | ||||||||||||||||
| Commercial construction | 616,246 | 616,087 | 639,168 | 646,593 | 620,496 | ||||||||||||||||
| Residential | 249,691 | 250,249 | 256,786 | 254,214 | 256,041 | ||||||||||||||||
| Consumer | 1,136 | 835 | 945 | 850 | 1,029 | ||||||||||||||||
| Gross loans | 8,280,482 | 8,116,332 | 8,162,500 | 8,304,101 | 8,351,841 | ||||||||||||||||
| Net deferred loan fees | (5,672 | ) | (4,356 | ) | (4,597 | ) | (6,144 | ) | (6,696 | ) | |||||||||||
| Loans receivable | 8,274,810 | 8,111,976 | 8,157,903 | 8,297,957 | 8,345,145 | ||||||||||||||||
| Loans held-for-sale | 743 | – | 435 | – | – | ||||||||||||||||
| Total loans | $ | 8,275,553 | $ | 8,111,976 | $ | 8,158,338 | $ | 8,297,957 | $ | 8,345,145 | |||||||||||
| Investment and equity securities | $ | 632,939 | $ | 667,112 | $ | 640,322 | $ | 638,854 | $ | 635,726 | |||||||||||
| Goodwill and other intangible assets | 213,011 | 213,307 | 213,604 | 213,925 | 214,246 | ||||||||||||||||
| Deposits: | |||||||||||||||||||||
| Noninterest-bearing demand | $ | 1,422,044 | $ | 1,262,568 | $ | 1,268,882 | $ | 1,290,523 | $ | 1,259,364 | |||||||||||
| Time deposits | 2,557,200 | 2,614,187 | 2,593,165 | 2,623,391 | 2,531,371 | ||||||||||||||||
| Other interest-bearing deposits | 3,840,870 | 3,647,350 | 3,713,967 | 3,674,740 | 3,745,467 | ||||||||||||||||
| Total deposits | $ | 7,820,114 | $ | 7,524,105 | $ | 7,576,014 | $ | 7,588,654 | $ | 7,536,202 | |||||||||||
| Borrowings | $ | 688,064 | $ | 742,133 | $ | 756,144 | $ | 877,568 | $ | 933,579 | |||||||||||
| Subordinated debentures (net of debt issuance costs) | 79,944 | 79,818 | 79,692 | 79,566 | 79,439 | ||||||||||||||||
| Total stockholders' equity | 1,241,704 | 1,239,496 | 1,224,227 | 1,216,609 | 1,216,620 | ||||||||||||||||
| Quarterly Average Balances | |||||||||||||||||||||
| Total assets | $ | 9,653,446 | $ | 9,742,853 | $ | 9,745,853 | $ | 9,860,753 | $ | 9,690,746 | |||||||||||
| Loans receivable: | |||||||||||||||||||||
| Commercial | $ | 1,487,850 | $ | 1,485,777 | $ | 1,517,446 | $ | 1,552,360 | $ | 1,510,634 | |||||||||||
| Commercial real estate (including multifamily) | 5,733,188 | 5,752,467 | 5,789,498 | 5,890,853 | 5,874,854 | ||||||||||||||||
| Commercial construction | 631,022 | 628,740 | 652,227 | 637,993 | 630,468 | ||||||||||||||||
| Residential | 250,589 | 252,975 | 254,284 | 252,965 | 253,200 | ||||||||||||||||
| Consumer | 5,204 | 7,887 | 5,155 | 5,091 | 6,006 | ||||||||||||||||
| Gross loans | 8,107,853 | 8,127,846 | 8,218,610 | 8,339,262 | 8,275,162 | ||||||||||||||||
| Net deferred loan fees | (4,727 | ) | (4,513 | ) | (5,954 | ) | (6,533 | ) | (6,894 | ) | |||||||||||
| Loans receivable | 8,103,126 | 8,123,333 | 8,212,656 | 8,332,729 | 8,268,268 | ||||||||||||||||
| Loans held-for-sale | 498 | 83 | 169 | 99 | 31 | ||||||||||||||||
| Total loans | $ | 8,103,624 | $ | 8,123,416 | $ | 8,212,825 | $ | 8,332,828 | $ | 8,268,299 | |||||||||||
| Investment and equity securities | $ | 653,988 | $ | 650,897 | $ | 637,551 | $ | 633,270 | $ | 602,287 | |||||||||||
| Goodwill and other intangible assets | 213,205 | 213,502 | 213,813 | 214,133 | 214,472 | ||||||||||||||||
| Deposits: | |||||||||||||||||||||
| Noninterest-bearing demand | $ | 1,304,699 | $ | 1,259,912 | $ | 1,256,251 | $ | 1,254,201 | $ | 1,248,132 | |||||||||||
| Time deposits | 2,478,163 | 2,625,329 | 2,587,706 | 2,567,767 | 2,495,091 | ||||||||||||||||
| Other interest-bearing deposits | 3,838,575 | 3,747,427 | 3,721,167 | 3,696,374 | 3,747,093 | ||||||||||||||||
| Total deposits | $ | 7,621,437 | $ | 7,632,668 | $ | 7,565,124 | $ | 7,518,342 | $ | 7,490,316 | |||||||||||
| Borrowings | $ | 648,300 | $ | 717,586 | $ | 787,256 | $ | 947,003 | $ | 823,123 | |||||||||||
| Subordinated debentures (net of debt issuance costs) | 79,862 | 79,735 | 79,609 | 79,483 | 79,356 | ||||||||||||||||
| Total stockholders' equity | 1,241,738 | 1,234,724 | 1,220,621 | 1,220,818 | 1,198,389 | ||||||||||||||||
| Three Months Ended | |||||||||||||||||||||
| Dec. 31, | Sept. 30, | Jun. 30, | Mar. 31, | Dec. 31, | |||||||||||||||||
| 2024 | 2024 | 2024 | 2024 | 2023 | |||||||||||||||||
| (dollars in thousands, except for per share data) | |||||||||||||||||||||
| Net interest income | $ | 64,711 | $ | 60,887 | $ | 61,439 | $ | 60,300 | $ | 61,822 | |||||||||||
| Provision for credit losses | 3,500 | 3,800 | 2,500 | 4,000 | 2,700 | ||||||||||||||||
| Net interest income after provision for credit losses | 61,211 | 57,087 | 58,939 | 56,300 | 59,122 | ||||||||||||||||
| Noninterest income | |||||||||||||||||||||
| Deposit, loan and other income | 1,798 | 1,817 | 1,654 | 1,592 | 1,545 | ||||||||||||||||
| Income on bank owned life insurance | 1,656 | 2,145 | 1,677 | 1,664 | 1,635 | ||||||||||||||||
| Net gains on sale of loans held-for-sale | 597 | 343 | 1,277 | 506 | 472 | ||||||||||||||||
| Net (losses) gains on equity securities | (307 | ) | 432 | (209 | ) | 86 | 557 | ||||||||||||||
| Total noninterest income | 3,744 | 4,737 | 4,399 | 3,848 | 4,209 | ||||||||||||||||
| Noninterest expenses | |||||||||||||||||||||
| Salaries and employee benefits | 22,244 | 22,957 | 22,721 | 22,131 | 22,010 | ||||||||||||||||
| Occupancy and equipment | 2,818 | 2,889 | 2,899 | 3,009 | 2,708 | ||||||||||||||||
| FDIC insurance | 1,800 | 1,800 | 1,800 | 1,800 | 3,900 | ||||||||||||||||
| Professional and consulting | 2,449 | 2,147 | 1,923 | 1,928 | 1,587 | ||||||||||||||||
| Marketing and advertising | 495 | 635 | 613 | 677 | 323 | ||||||||||||||||
| Information technology and communications | 4,523 | 4,464 | 4,198 | 4,389 | 4,148 | ||||||||||||||||
| Merger expenses | 863 | 742 | – | – | – | ||||||||||||||||
| Branch closing expenses | 477 | – | – | – | – | ||||||||||||||||
| Amortization of core deposit intangible | 296 | 297 | 321 | 321 | 348 | ||||||||||||||||
| Other expenses | 2,533 | 2,710 | 3,119 | 2,810 | 2,821 | ||||||||||||||||
| Total noninterest expenses | 38,498 | 38,641 | 37,594 | 37,065 | 37,845 | ||||||||||||||||
| Income before income tax expense | 26,457 | 23,183 | 25,744 | 23,083 | 25,486 | ||||||||||||||||
| Income tax expense | 6,086 | 6,022 | 6,688 | 5,878 | 6,213 | ||||||||||||||||
| Net income | 20,371 | 17,161 | 19,056 | 17,205 | 19,273 | ||||||||||||||||
| Preferred dividends | 1,509 | 1,509 | 1,509 | 1,509 | 1,509 | ||||||||||||||||
| Net income available to common stockholders | $ | 18,862 | $ | 15,652 | $ | 17,547 | $ | 15,696 | $ | 17,764 | |||||||||||
| Weighted average diluted common shares outstanding | 38,519,581 | 38,525,484 | 38,448,594 | 38,511,747 | 38,651,391 | ||||||||||||||||
| Diluted EPS | $ | 0.49 | $ | 0.41 | $ | 0.46 | $ | 0.41 | $ | 0.46 | |||||||||||
| Reconciliation of GAAP Net Income to Operating Net Income: | |||||||||||||||||||||
| Net income | $ | 20,371 | $ | 17,161 | $ | 19,056 | $ | 17,205 | $ | 19,273 | |||||||||||
| FDIC special assessment | – | – | – | – | 2,100 | ||||||||||||||||
| Merger expenses | 863 | 742 | – | – | – | ||||||||||||||||
| Branch closing expenses | 477 | – | – | – | – | ||||||||||||||||
| Amortization of core deposit intangibles | 296 | 297 | 321 | 321 | 348 | ||||||||||||||||
| Net losses (gains) on equity securities | 307 | (432 | ) | 209 | (86 | ) | (557 | ) | |||||||||||||
| Tax impact of adjustments | (585 | ) | (171 | ) | (149 | ) | (66 | ) | (569 | ) | |||||||||||
| Operating net income | $ | 21,729 | $ | 17,597 | $ | 19,437 | $ | 17,374 | $ | 20,595 | |||||||||||
| Preferred dividends | 1,509 | 1,509 | 1,509 | 1,509 | 1,509 | ||||||||||||||||
| Operating net income available to common stockholders | $ | 20,220 | $ | 16,088 | $ | 17,928 | $ | 15,865 | $ | 19,086 | |||||||||||
| Operating diluted EPS (non-GAAP) (1) | $ | 0.52 | $ | 0.42 | $ | 0.47 | $ | 0.41 | $ | 0.49 | |||||||||||
| Return on Assets Measures | |||||||||||||||||||||
| Average assets | $ | 9,653,446 | $ | 9,742,853 | $ | 9,745,853 | $ | 9,860,753 | $ | 9,690,746 | |||||||||||
| Return on avg. assets | 0.84 | % | 0.70 | % | 0.79 | % | 0.70 | % | 0.79 | % | |||||||||||
| Operating return on avg. assets (non-GAAP) (2) | 0.90 | 0.72 | 0.80 | 0.71 | 0.84 | ||||||||||||||||
| (1) Operating net income available to common stockholders divided by weighted average diluted shares outstanding. | |||||||||||||||||||||
| (2) Operating net income divided by average assets. | |||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||
| Dec. 31, | Sept. 30, | Jun. 30, | Mar. 31, | Dec. 31, | |||||||||||||||||
| 2024 | 2024 | 2024 | 2024 | 2023 | |||||||||||||||||
| Return on Equity Measures | (dollars in thousands) | ||||||||||||||||||||
| Average stockholders' equity | $ | 1,241,738 | $ | 1,234,724 | $ | 1,220,621 | $ | 1,220,818 | $ | 1,198,389 | |||||||||||
| Less: average preferred stock | (110,927 | ) | (110,927 | ) | (110,927 | ) | (110,927 | ) | (110,927 | ) | |||||||||||
| Average common equity | $ | 1,130,811 | $ | 1,123,797 | $ | 1,109,694 | $ | 1,109,891 | $ | 1,087,462 | |||||||||||
| Less: average intangible assets | (213,205 | ) | (213,502 | ) | (213,813 | ) | (214,133 | ) | (214,472 | ) | |||||||||||
| Average tangible common equity | $ | 917,606 | $ | 910,295 | $ | 895,881 | $ | 895,758 | $ | 872,990 | |||||||||||
| Return on avg. common equity (GAAP) | 6.64 | % | 5.54 | % | 6.36 | % | 5.69 | % | 6.48 | % | |||||||||||
| Operating return on avg. common equity (non-GAAP) (3) | 7.11 | 5.70 | 6.50 | 5.75 | 6.96 | ||||||||||||||||
| Return on avg. tangible common equity (non-GAAP) (4) | 8.27 | 6.93 | 7.98 | 7.15 | 8.18 | ||||||||||||||||
| Operating return on avg. tangible common equity (non-GAAP) (5) | 8.77 | 7.03 | 8.05 | 7.12 | 8.67 | ||||||||||||||||
| Efficiency Measures | |||||||||||||||||||||
| Total noninterest expenses | $ | 38,498 | $ | 38,641 | $ | 37,594 | $ | 37,065 | $ | 37,845 | |||||||||||
| FDIC special assessment | – | – | – | – | (2,100 | ) | |||||||||||||||
| Merger expenses | (863 | ) | (742 | ) | – | – | – | ||||||||||||||
| Branch closing expenses | (477 | ) | – | – | – | – | |||||||||||||||
| Amortization of core deposit intangibles | (296 | ) | (297 | ) | (321 | ) | (321 | ) | (348 | ) | |||||||||||
| Operating noninterest expense | $ | 36,862 | $ | 37,602 | $ | 37,273 | $ | 36,744 | $ | 35,397 | |||||||||||
| Net interest income (tax equivalent basis) | $ | 65,593 | $ | 61,710 | $ | 62,255 | $ | 61,111 | $ | 62,627 | |||||||||||
| Noninterest income | 3,744 | 4,737 | 4,399 | 3,848 | 4,209 | ||||||||||||||||
| Net losses (gains) on equity securities | 307 | (432 | ) | 209 | (86 | ) | (557 | ) | |||||||||||||
| Operating revenue | $ | 69,644 | $ | 66,015 | $ | 66,863 | $ | 64,873 | $ | 66,279 | |||||||||||
| Operating efficiency ratio (non-GAAP) (6) | 52.9 | % | 57.0 | % | 55.7 | % | 56.6 | % | 53.4 | % | |||||||||||
| Net Interest Margin | |||||||||||||||||||||
| Average interest-earning assets | $ | 9,117,201 | $ | 9,206,038 | $ | 9,210,050 | $ | 9,323,291 | $ | 9,172,165 | |||||||||||
| Net interest income (tax equivalent basis) | 65,593 | 61,710 | 62,255 | 61,111 | 62,627 | ||||||||||||||||
| Net interest margin (GAAP) | 2.86 | % | 2.67 | % | 2.72 | % | 2.64 | % | 2.71 | % | |||||||||||
| (3) Operating net income available to common stockholders divided by average common equity. | |||||||||||||||||||||
| (4) Net income available to common stockholders, excluding amortization of intangible assets, divided by average tangible common equity. | |||||||||||||||||||||
| (5) Operating net income available to common stockholders, divided by average tangible common equity. | |||||||||||||||||||||
| (6) Operating noninterest expense divided by operating revenue. | |||||||||||||||||||||
| As of | |||||||||||||||||||||
| Dec. 31, | Sept. 30, | Jun. 30, | Mar. 31, | Dec. 31, | |||||||||||||||||
| 2024 | 2024 | 2024 | 2024 | 2023 | |||||||||||||||||
| Capital Ratios and Book Value per Share | (dollars in thousands, except for per share data) | ||||||||||||||||||||
| Stockholders equity | $ | 1,241,704 | $ | 1,239,496 | $ | 1,224,227 | $ | 1,216,609 | $ | 1,216,620 | |||||||||||
| Less: preferred stock | (110,927 | ) | (110,927 | ) | (110,927 | ) | (110,927 | ) | (110,927 | ) | |||||||||||
| Common equity | $ | 1,130,777 | $ | 1,128,569 | $ | 1,113,300 | $ | 1,105,682 | $ | 1,105,693 | |||||||||||
| Less: intangible assets | (213,011 | ) | (213,307 | ) | (213,604 | ) | (213,925 | ) | (214,246 | ) | |||||||||||
| Tangible common equity | $ | 917,766 | $ | 915,262 | $ | 899,696 | $ | 891,757 | $ | 891,447 | |||||||||||
| Total assets | $ | 9,879,600 | $ | 9,639,603 | $ | 9,723,731 | $ | 9,853,964 | $ | 9,855,603 | |||||||||||
| Less: intangible assets | (213,011 | ) | (213,307 | ) | (213,604 | ) | (213,925 | ) | (214,246 | ) | |||||||||||
| Tangible assets | $ | 9,666,589 | $ | 9,426,296 | $ | 9,510,127 | $ | 9,640,039 | $ | 9,641,357 | |||||||||||
| Common shares outstanding | 38,370,317 | 38,368,217 | 38,365,069 | 38,333,053 | 38,519,770 | ||||||||||||||||
| Common equity ratio (GAAP) | 11.45 | % | 11.71 | % | 11.45 | % | 11.22 | % | 11.22 | % | |||||||||||
| Tangible common equity ratio (non-GAAP) (7) | 9.49 | 9.71 | 9.46 | 9.25 | 9.25 | ||||||||||||||||
| Regulatory capital ratios (Bancorp): | |||||||||||||||||||||
| Leverage ratio | 11.33 | % | 11.10 | % | 10.97 | % | 10.73 | % | 10.86 | % | |||||||||||
| Common equity Tier 1 risk-based ratio | 10.97 | 11.07 | 10.90 | 10.70 | 10.62 | ||||||||||||||||
| Risk-based Tier 1 capital ratio | 12.29 | 12.42 | 12.25 | 12.03 | 11.95 | ||||||||||||||||
| Risk-based total capital ratio | 14.11 | 14.29 | 14.10 | 13.88 | 13.77 | ||||||||||||||||
| Regulatory capital ratios (Bank): | |||||||||||||||||||||
| Leverage ratio | 11.66 | % | 11.43 | % | 11.29 | % | 11.10 | % | 11.20 | % | |||||||||||
| Common equity Tier 1 risk-based ratio | 12.63 | 12.79 | 12.60 | 12.43 | 12.31 | ||||||||||||||||
| Risk-based Tier 1 capital ratio | 12.63 | 12.79 | 12.60 | 12.43 | 12.31 | ||||||||||||||||
| Risk-based total capital ratio | 13.60 | 13.77 | 13.58 | 13.41 | 13.28 | ||||||||||||||||
| Book value per share (GAAP) | $ | 29.47 | $ | 29.41 | $ | 29.02 | $ | 28.84 | $ | 28.70 | |||||||||||
| Tangible book value per share (non-GAAP) (8) | 23.92 | 23.85 | 23.45 | 23.26 | 23.14 | ||||||||||||||||
| Net Loan Charge-offs (Recoveries): | |||||||||||||||||||||
| Net loan charge-offs (recoveries): | |||||||||||||||||||||
| Charge-offs | $ | 3,363 | $ | 3,559 | $ | 3,595 | $ | 3,185 | $ | 8,960 | |||||||||||
| Recoveries | (29 | ) | (53 | ) | (324 | ) | (23 | ) | – | ||||||||||||
| Net loan charge-offs | $ | 3,334 | $ | 3,506 | $ | 3,271 | $ | 3,162 | $ | 8,960 | |||||||||||
| Net loan charge-offs as a % of average loans receivable (annualized) | 0.16 | % | 0.17 | % | 0.16 | % | 0.15 | % | 0.43 | % | |||||||||||
| Asset Quality | |||||||||||||||||||||
| Nonaccrual loans | $ | 57,310 | $ | 51,300 | $ | 46,026 | $ | 47,438 | $ | 52,524 | |||||||||||
| Other real estate owned | – | – | – | – | – | ||||||||||||||||
| Nonperforming assets | $ | 57,310 | $ | 51,300 | $ | 46,026 | $ | 47,438 | $ | 52,524 | |||||||||||
| Allowance for credit losses – loans (“ACL”) | $ | 82,685 | $ | 82,494 | $ | 82,077 | $ | 82,869 | $ | 81,974 | |||||||||||
| Loans receivable | 8,274,810 | 8,111,976 | 8,157,903 | 8,297,957 | 8,345,145 | ||||||||||||||||
| Nonaccrual loans as a % of loans receivable | 0.69 | % | 0.63 | % | 0.56 | % | 0.57 | % | 0.63 | % | |||||||||||
| Nonperforming assets as a % of total assets | 0.58 | 0.53 | 0.47 | 0.48 | 0.53 | ||||||||||||||||
| ACL as a % of loans receivable | 1.00 | 1.02 | 1.01 | 1.00 | 0.98 | ||||||||||||||||
| ACL as a % of nonaccrual loans | 144.3 | 160.8 | 178.3 | 174.7 | 156.1 | ||||||||||||||||
| (7) Tangible common equity divided by tangible assets | |||||||||||||||||||||
| (8) Tangible common equity divided by common shares outstanding at period-end | |||||||||||||||||||||
| CONNECTONE BANCORP, INC. | ||||||||||||||||||||||||||||||
| NET INTEREST MARGIN ANALYSIS | ||||||||||||||||||||||||||||||
| (dollars in thousands) | ||||||||||||||||||||||||||||||
| For the Quarter Ended | ||||||||||||||||||||||||||||||
| December 31, 2024 | September 30, 2024 | December 31, 2023 | ||||||||||||||||||||||||||||
| Average | Average | Average | ||||||||||||||||||||||||||||
| Interest-earning assets: | Balance | Interest | Rate (7) | Balance | Interest | Rate (7) | Balance | Interest | Rate (7) | |||||||||||||||||||||
| Investment securities (1) (2) | $ | 736,131 | $ | 6,207 | 3.35 | % | $ | 736,946 | $ | 6,157 | 3.32 | % | $ | 723,433 | $ | 5,757 | 3.16 | % | ||||||||||||
| Loans receivable and loans held-for-sale (2) (3) (4) | 8,103,624 | 118,934 | 5.84 | 8,123,416 | 119,805 | 5.87 | 8,268,299 | 121,130 | 5.81 | |||||||||||||||||||||
| Federal funds sold and interest- | ||||||||||||||||||||||||||||||
| bearing deposits with banks | 238,957 | 2,815 | 4.69 | 304,009 | 4,056 | 5.31 | 134,168 | 1,963 | 5.80 | |||||||||||||||||||||
| Restricted investment in bank stock | 38,489 | 959 | 9.91 | 41,667 | 1,048 | 10.01 | 46,265 | 912 | 7.82 | |||||||||||||||||||||
| Total interest-earning assets | 9,117,201 | 128,915 | 5.63 | 9,206,038 | 131,066 | 5.66 | 9,172,165 | 129,762 | 5.61 | |||||||||||||||||||||
| Allowance for credit losses | (83,938 | ) | (83,355 | ) | (88,861 | ) | ||||||||||||||||||||||||
| Noninterest-earning assets | 620,183 | 620,170 | 607,442 | |||||||||||||||||||||||||||
| Total assets | $ | 9,653,446 | $ | 9,742,853 | $ | 9,690,746 | ||||||||||||||||||||||||
| Interest-bearing liabilities: | ||||||||||||||||||||||||||||||
| Time deposits | $ | 2,478,163 | 27,374 | 4.39 | $ | 2,625,329 | 30,245 | 4.58 | $ | 2,495,091 | 26,486 | 4.21 | ||||||||||||||||||
| Other interest-bearing deposits | 3,838,575 | 31,194 | 3.23 | 3,747,427 | 33,540 | 3.56 | 3,747,093 | 32,846 | 3.48 | |||||||||||||||||||||
| Total interest-bearing deposits | 6,316,738 | 58,568 | 3.69 | 6,372,756 | 63,785 | 3.98 | 6,242,184 | 59,332 | 3.77 | |||||||||||||||||||||
| Borrowings | 648,300 | 3,430 | 2.10 | 717,586 | 4,239 | 2.35 | 823,123 | 6,467 | 3.12 | |||||||||||||||||||||
| Subordinated debentures, net | 79,862 | 1,305 | 6.50 | 79,735 | 1,312 | 6.55 | 79,356 | 1,313 | 6.56 | |||||||||||||||||||||
| Finance lease | 1,280 | 19 | 5.91 | 1,349 | 20 | 5.90 | 1,546 | 23 | 5.90 | |||||||||||||||||||||
| Total interest-bearing liabilities | 7,046,180 | 63,322 | 3.58 | 7,171,426 | 69,356 | 3.85 | 7,146,209 | 67,135 | 3.73 | |||||||||||||||||||||
| Noninterest-bearing demand deposits | 1,304,699 | 1,259,912 | 1,248,132 | |||||||||||||||||||||||||||
| Other liabilities | 60,829 | 76,791 | 98,016 | |||||||||||||||||||||||||||
| Total noninterest-bearing liabilities | 1,365,528 | 1,336,703 | 1,346,148 | |||||||||||||||||||||||||||
| Stockholders' equity | 1,241,738 | 1,234,724 | 1,198,389 | |||||||||||||||||||||||||||
| Total liabilities and stockholders' equity | $ | 9,653,446 | $ | 9,742,853 | $ | 9,690,746 | ||||||||||||||||||||||||
| Net interest income (tax equivalent basis) | 65,593 | 61,710 | 62,627 | |||||||||||||||||||||||||||
| Net interest spread (5) | 2.05 | % | 1.82 | % | 1.89 | % | ||||||||||||||||||||||||
| Net interest margin (6) | 2.86 | % | 2.67 | % | 2.71 | % | ||||||||||||||||||||||||
| Tax equivalent adjustment | (882 | ) | (823 | ) | (805 | ) | ||||||||||||||||||||||||
| Net interest income | $ | 64,711 | $ | 60,887 | $ | 61,822 | ||||||||||||||||||||||||
| (1) Average balances are calculated on amortized cost. | ||||||||||||||||||||||||||||||
| (2) Interest income is presented on a tax equivalent basis using 21% federal tax rate. | ||||||||||||||||||||||||||||||
| (3) Includes loan fee income. | ||||||||||||||||||||||||||||||
| (4) Loans include nonaccrual loans. | ||||||||||||||||||||||||||||||
| (5) Represents difference between the average yield on interest-earning assets and the average cost of interest-bearing liabilities and is presented on a tax equivalent basis. | ||||||||||||||||||||||||||||||
| (6) Represents net interest income on a tax equivalent basis divided by average total interest-earning assets. | ||||||||||||||||||||||||||||||
| (7) Rates are annualized. | ||||||||||||||||||||||||||||||
